VIRTUAL ORGANIZATION (BOUNDARYLESS)

Date: 2015-10-07; view: 444.

Today, “information technology innovations can result in work groups or teams that are no longer bound by departmental barriers, resulting in a con­cept termed the virtual workplace or boundaryless organization. Communication can also be established by voicemail, fax, e-mail, and video­conferencing, enabling people to work together or individually on their work-related tasks without coming into the office, a concept called telecom­muting., a practice of working at a remote site by using a computer linked to a central office, or other employment location.”[1]

These are network organizations that utilize the latest communications and information technology while engaging in a shifting variety of strategic alliances and business contracts that sustain operations without the cost of owning all supportive functions. These organizations operate with the sup­port of extensive computer networks and, in so doing, are able to work across large geographical distances with a minimum number of full-time employees.

According to Daft, “the most recent approach to departmentalization extends the idea of horizontal coordination and collaboration beyond the boundaries of the organization. Vertically integrated, hierarchical organiza­tions are giving way to loosely interconnected groups of companies with permeable boundaries. Outsourcing, which means farming out certain activities such as manufacturing or credit processing, has become a signifi­cant trend. Moreover, partnerships, alliances, and other complex collabora­tive forms are now a leading approach to accomplishing strategic goals.”[2]

Organizing trends are toward shorter chains of command, using more cross-functional teams, task forces, and horizontal structures as well as wider spans of control as empowerment gains prominence.