Describe the evolution of the virtual organization. What are the pros and cons associated with this design? Provide examples of three technological devices/concepts that have had the greatest impact on virtual organizations. Respond to at least two of your peers for this posting.
Baack, D. (2017). Organizational behavior (2nd ed.). [Electronic version]. Retrieved from https://ashford.content.edu
Films Media Group (2008). Balance in life and work (Links to an external site.)Links to an external site.. [Video clip]. In 9 to 5 No Longer. Retrieved from
Monday Nov 6 at 5:09am
The virtual organization has become more popular in the customer service and tech support field as well as management. The majority of the time when you call a phone, cable, or tech support company for your apple device, you are speaking with a customer service agent that is working from home on their computer on a secure company network. Ahuja and Carley (1998) define a virtual organization as a geographically distributed organization whose members are bound by a long-term common interest or goal, and who communicate and coordinate their work through information technology. I currently started working for world travel holdings as travel sales agent last week and we speak and collaborate with the trainer, colleagues, and other people in tech support and human resources through video chat using a headset and by phone.
Three technological devices that have the greatest impact on virtual organizations is high speed internet, videoconferencing, and computers. Having high speed internet allows phone agents to bring up a customer and company database to deliver excellent service. Videoconferencing is also used with high internet speed, it allows workers who are in 2 different locations to communicate with each other by use of a web cam and headset. When a coach needs to give a customer agent feedback on a previous call, they will use a web camera, which allows the coach or supervisor to pick up on any important nonverbal cues a staff member may give. Without the computer, colleagues will not be able to work, because you need more than just a landline phone and some companies will even give you a company computer to work on.
Ahuja, M. K., & Carley, K. M. (1998). Network structure in virtual organizations. Journal of Computer-Mediated Communication, 3(4). Retrievedfrom http://jcmc.indiana.edu/vol3/issue4/ahuja.html (Links to an external site.)
Monday Nov 6 at 3:08pm
In addition to a general organization, there is another type known as the virtual organization. “Ahuja and Carley (1998) define a virtual organization as a geographically distributed organization whose members are bound by a long-term common interest or goal, and who communicate and coordinate their work through information technology” (Baack, 2017, p. 10.2). This type of organization can be considered an organization without walls. They have a small workforce, and outsource most production and other aspects of business. Their makeup of management style is centralization, which entails higher level managers making the business decisions.
Some of the pros are that included in the virtual organization are lower overhead costs (less insurance for employees), adaptable and flexible, high use of information technology, resources are used effectively, and governmental administration is at a low. Cons include a lack of social interactions among people (especially in this world we live, social skills at a minimum); the credibility of the company can be at stake as people will wonder how ‘real’ the company is; and security issues over the internet (just like recent breaches that have been shared in the news lately).
Three technological devices/concepts that have had the greatest impact on virtual organizations are social media, cell phone, and conference call/videoconference options. Social media has allowed companies new ways to interact and promote their services and goods. The cell phone has allowed for increased productivity during and after work hours. Videoconferences/teleconferences have provided ways for people all over the world to meet simultaneously and conduct business functions.
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