Social and Economical Development

In this section, we will discuss on how organizations themselves and lifestyle of office workers are, or going to be, changed.

Downsizing and Rightsizing

Downsizing refers to the trend of relying on smaller computers.

Rightsizing is to choose computers of the right sizes.

Change in Organizational Structures

5.1FUNCTIONAL STRUTURE

develop strong skills within various functional units.

poor coordination of effort across functions.

Organization with a Functional Structure

Organization with a Divisional Structure(by region)

TRADITIONAL STRUCTURE

traditional structure is the divisional structure

forming of computer divisions are based on the geographic region they cover, the groups of products or services they deliver, or the customer segment they serve

the advantage of faster response to the competitive demand of the marketplace

oftern suffers from the duplication of resources and efforts across divisions

Virtual organization

A virtual organization can take one of two forms. In a network organization, the firm itself forms the core firm that works in close association with a number of partner firms. The partner firms, which have signed long-term contracts with the score firm, supply goods and services to the core firm. Each partner firm has its unique contribution to the network organization. For example, some may be responsible for manufacturing, some may provide after-sale service, and so on. The core firm coordinates the operation of the whole network organization. Usually, a network of small companies can work together to give the appearance of a large organization.

Network Organization

Cluster Organization

In a cluster organization, many of the most important projedcts rely on teamwork. People are grouped into temporary or permanent clusters that are formed as the needs arise. The clusters are serving different functions and are called business unit, staff unit, project team, etc. according to their functions. Business units serve external customers. Staff units serve other members of the organization. A project team is formed to serve for a given project and dissolved twith the completion of the project.

Back to content