CHAPTER 4 NETWORK INFLUENCE INVOLVE FIRMS TO ACTION
4.5 A FRAMEWORK OF INFLUENCE PROCESS
4.5.3 A Process Framework for Influence Process
Combining the cross-case analysis shown in Table 4.10 and typology of influence choice, a general influence process is proposed, which includes four main steps: Exploration, Preparation, Accessing, and Implementation. It is shown in the Figure 4.24.
Figure 4-24. The Influence Process Framework
Exploration: The first step to start an influence process is exploration, to consider all factors that have
impact to the effect of influence. The Influencer should firstly screen its resources, business network, and capability. The Influencer then can have an idea on the range of resource tie that it has leverage on. A decision made on leveraging which resource tie is the fundamental one. This is because the more critical and scarce the resource tie is to focal firm, the more effective its influence will be. Spontaneously the influencer will pick the resource tie according to its own capability, strength of the resource tie, and the overall external environment, then a decision on using which type of influence process in Figure 4.24. comes up. However, in the actual cases, rather than with intention, the
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their depth of experience. So in a practical guideline for designing influence process, this step should be intentionally conducted so as to ensure effectiveness of influence.
Preparation: With a clear understanding of the influence process choice, a set of tools should be
prepared to support the implement of influence. This set of tools should be the message carrier about the importance of low carbon issue, to the resource owner and focal firm. This message should be tailored according to the target. In CDP Investor Program the questionnaire is focus on revealing the embedded carbon-related risk in an investor’s portfolio, while the WWF LCMP label system
emphasizes the excellency of a firm’s green performance which help firms gain a stronger customer normative legitimacy from the customer. And this set of tools should be in a proper format in order to sufficiently reflect the nature of the resource tie. It could be questionnaire, label, ranking list, or report, depending on which resource owner is the target and which format can mostly present messages they care about.
Accessing: After all preparation is done, the resource owner or focal firm should be approached. A
well design accessing mechanism can enlarge the scope of influence, forming a stronger influential power towards the focal firm. The resources of influencer, such as the business connection with resources owner, its expertise, as well have significant impact on the result of accessing, reflecting on the amount and strength that influencer get from resource owner.
Implementation: The final step is to implement the actual influence to focal firm. Influencers should
apply the tools developed in the Construction stage and support the focal firm on using the tool. This support is critical to some type of the influence strategy, especially to those targeted on SMEs, because the smaller firms do not have enough skilful staff and time to develop its own capability of tools utilization, and if this kind of support is absent, they are more reluctant to comply. The results, after tools are applied, can be collected and analysed as the project carries on. Publicizing this result further expands the impact of influence, it is one key part of the jigsaw to finish the influence process as whole. This result is shown to the resource owner, and this result completes the original reasoning arguments presented to them. As starting the new influence cycle, showcases of successful
performance of participated focal firm, such as workshops in CDP Supply Chain Program and award ceremony in WWF LCMP, are the final piece of first-round influence process, but also the basic for second-round activities.
4.6 Chapter Summary
Engaging more firms to take actions on carbon emission reduction is the first step in improving industry performance. And it is a crucial and starting point of the transition to a low carbon industrial
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system, because without the intention to participate, firms rarely care for the carbon footprint measurement and further improvement. The cases and discussion in this chapter aim to draft a
practical process to influence more and more firms. The key step of the influence is to screen feasible, effective relationships in order to exert impact. Depending on the influence target and options, a typology of influence process choice is identified. Organizations have to decide the leveraging relationship and influence choice, then produce relevant tools to support the process, access focal firms, and eventually release the influence power. The four-step procedure produce a cycle, spinning up the impacts to more and more companies. The success of influence relies fundamentally on the resources ties that are picked. Effectiveness of these ties varies due to its criticalness, focal firm’s context and the nature of the focal firm. Through cases an initial answer is given: large firms are sensitive to social recognition while SMEs to customer pressures, regulatory pressures are most influential, but this rough answer will be further discussed later. These models lay their roots in the field of organization response to external control. By applying institutional theory, stakeholder theory and resource dependence theory, the models gridded by cases have implications to both these
practices and these theories. As seen from the later chapter, how the firms react and improve link to the influence strategies as well.
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