What’s your Network Effect?
4 November 2019
You’ve likely heard of the Network Effect – it’s a concept used to describe large scaling tech startups. It’s when adding additional users, adds to the value of that product to others. But how can you apply this concept to the way you work, to collaborate and get better outcomes?
Think of the traditional example of the telephone, the more people that use it, the better it is for everyone in the network. The same can be said for Zoom, Facebook, Skype and countless other examples. However, when I’m talking about the Network Effect in this context, I’m not talking about a business or a tech platform or a high-density network effect, I’m talking about us as people, as individuals, being the “product” if you like, and how we can collectively add value to each other through collaboration.
It’s a topic particularly close to my heart as I’ve seen first-hand the benefits over and over. Each of us can create and access our own small network effect by simply collaborating with others and thereby adding value to both ourselves and everyone else in the group. It’s the concept that the sum of parts is more valuable than the parts themselves.
So when we have like-minded people coming together and sharing thoughts, experiences and learnings with each other, we are able to create immense value and better outcomes for everyone involved.
Are you creating a network effect that you can leverage?