Strategies for collaborating in an interdependent impermanent world

Purpose – Explores ways in which the internet and advanced electronic communication systems are enabling a new economy based on the networking of human knowledge. These networks span functional, organisational and national boundaries, allowing people to share data and information to generate new knowledge. Their increasing use and importance as a means of gaining competitive advantage has attracted much attention, especially in the study of leadership and organisation development. However, with the advent of more radical approaches to strategic collaboration like open source communities of practice, the existing literature still needs to say more about how and why these knowledge‐sharing and ‐creating communities form and how they are able to sustain levels of performance in time and through time. Design/methodology/approach – Analyses the work being carried out in a series of companies where highly interactive cross‐cultural work teams form an essential part of business strategy. Addresses the fundamental leadership and organisational challenges they face as they attempt to connect people to people and people to knowledge across the borders of business units and countries. Findings – Although improved performance is often credited to technological advancement, technology is only one of several key components that must be considered when choosing a collaborative strategy. Originality/value – Future trends suggest that the kinds of interdependent communities described in this paper will play an increasing role in a company's ability to keep pace with the level of complexity in its world and the amount of innovation required to compete. As the demands of customers become ever more sophisticated and change more rapidly, old organisational cultures become barriers to keeping up with demand, and responding with innovative products and solutions. Managers should also be open to making use of new perspectives which might ultimately change the core mission of the company.