It is very useful as it might help in researching potential job candidates, using it to find a better way to complete project, finding a speaker at conference, as well as finding a new job.

However, before racing off with a briefcase full of business cards, you should perfect meet-and-greet skills and able to convey clearly and concisely who you are. Lack of those skills may easily refined by taking a class and seminar on professional networking and relationships.

At the seminar and conference, business people meet each person for a short period, usually four minutes or less, which is just enough time to exchange basic information and contact data, and make a mental note as a start of beautiful friendship. Another way to build networks is to join organizations or attend events that are not always business-related.

But sometimes you don’t know how to approach a group or break away from a conversation when you’re in a room full of people. At these events you get exposure and avoid awkward small talk.

These relationships are also a great way to solicit peer advice. Whatever you’re going through at your company, someone at another company is probably going through the same thing.

As wise man said, building is easier than maintaining. Networking doesn’t just happen after joining a few associations and attend some conferences. Cultivating and keeping relationships with contacts is a long-term effort.

It is useful to jotting down a few notes on the back of a business card once it’s handed to you to remind you of your conversation. Contacting people 48 hours after a first meeting is also a good way to build on what you’ve started. Sometimes, you may need to hit if off by arranging a lunch or similar one-on-one meeting.

For people you don’t know well, sending holiday greetings with a business card enclosed helps to maintain some semblance contact. Sometimes, using a database program such as Microsoft’s ACT can help you sort by keyword and otherwise manage your posse so that when you need to get in touch, you can find it easily.

It may take a bit of effort, but networks pay off in unforeseen ways. Who knows, you might even make an actual friend along the way.

Source: Adapted from CFO, January 2007