Virtual Organization Structure

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18 July 2015

Virtual Organization Structure

Today we live in full of technology world. And we can’t imagine our lives without gadgets and Internet. The appearance of the Internet involved many consequences for mankind. Perhaps, the biggest contribution was made to communication. People received an opportunity to communicate with each other faster, simpler and safer. All you needed was an email account and the connection to the World Wide Web. There were no such things as Viber, Facebook and What’s App 20 years ago. With the advent of these services communication between people have become the most convenient ever. Most of us can’t live without such benefits. We spend hundreds of hours reading news, chatting with friends, watch videos and

Theory explains why social structure evolves over the time and shows the implications of what have happened since the initial of Web use. There is structuration theory that helps to understand social changes and gives an explanation of virtual organization. Take as base Gidden’s structuration theory in which he divided into 3 groups: establishment, virtualization and institutionalization. Establishment or another word formation is a structure in which virtual organization is established. The main focus in this group makes on participating members. Organization in virtual space becomes realizable because information and communication technology connect members. Virtual organization is viewed as the extension of traditional information technologies which supports and improves existing company’s administration and member’s activities and their role. Virtual organization can’t be without close collaboration of members. That is the most important feature of establishment. Next crucial level of structure of virtual organization is virtualization. It’s structure where such organization grows into the new aspect. Here virtual company integrates and this integration can provide improved communication channels and linkages among members, improve relationship between them and other companies. Also virtual organization continues to use information technologies to receive benefits from relationship among members. The last chain in structure of virtual company is institutionalization. It’s the structure where the social mechanisms create and develop. Here virtual organization establishes its own norms, culture, value system, beliefs. Culture is an essential element in any organization of any type. Yet, virtual organizations have to be even more aware about this concept as they entail a common leadership between the teams,