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In addition to setting agendas, effective GMs allocate significant time and effort when they first take their jobs to developing a network of cooperative relationships among those people they feel are needed to satisfy their emerging agendas. Even after the first six months, this activity still takes up considerable time; but generally, it is most intense during the first months in a job. After that, their attention shifts toward using the networks to both implement and help in updating the agendas.

This network-building activity is aimed at much more than just direct sub-ordinates. GMs develop cooperative relationships with and among peers, outsiders, their bosses' boss, and their subordinates' subordinates. Indeed, they develop relationships with (and sometimes among) any and all of the hundreds or even thousands of people on whom they feel dependent because of their jobs. That is, just as they create an agenda that is different from, although generally consistent with, formal plans, they also create a network that is different from, but generally consistent with, the formal organization structure.

In these large networks, the nature of the relationships varies significantly in intensity and in type; some relationships are much stronger than others, some much more personal than others, and so on. Indeed, to some degree, every relationship in a network is different because it has a unique history, it is between unique people, and so forth.

GMs develop these networks of cooperative relationships using a wide variety of face-to-face methods. They try to make others feel legitimately obliged to them by doing favors or by stressing their formal relationships. They act in ways to encourage others to identify with them. They carefully nurture their professional reputations in the eyes of others. They even maneuver to make others feel that they are particularly dependent on the GMs for resources, or career advancement, or other support.

In addition to developing relationships with existing personnel, effective GMs also often develop their networks by moving, hiring, and firing subordinates. Generally, they do so to strengthen their ability to get things done. In a similar way, they also change suppliers or bankers, lobby to get different people into peer positions, and even restructure their boards to improve their relationship with a needed resource.

Furthermore, they also sometimes shape their networks by trying to create certain types of relationships among the people in various parts of the network. That is, they try to create the appropriate "environment" (norms and values) they feel is necessary to implement their agendas. Typically this is an environment in which people are willing to work hard on the GM's agenda and cooperate for the greater good. Although executives sometimes try to create such an environment among peers, bosses, or outsiders, they do so most often among their subordinates.

Almost all effective GMs use this network-building process, but the best performers do so more aggressively and more skillfully. "Excellent" performers, for example, create networks with many talented people in them and with strong ties to and among their subordinates. They do so by using a wide variety of methods with great skill. The "good/fair" performers tend to use fewer network-building methods, employ them less aggressively, and in the process, create weaker networks.

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