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Network organization

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Explain five ways your network organization can reduce cost and improve productivity.

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Solution Summary

This explains the concept of network organization and its utility

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A network organization is a collection of autonomous firms or units that behave as a single larger entity, using social mechanisms for coordination and control.
http://www.analytictech.com/mb021/virtual.htm
Network organizations are those organizations which work on self managing but interconnected teams. Here the employees are more of "partners" who would function independently, take decisions independently, and work as a part of network comprising of extremely high-powered, self sufficient teams, empowered to take their own decisions.

Network organizations will be the units of the future since empowerment and decision authority must be with the people who are closest to the product and the customers. Marvin Weisboard, an expert in organizational development suggests that self - management typically adds 40% increase in output per man hour. For network organizations, most forms of communication between the partners or fragments are carried out via the internet, e-mail, online communication, video conferencing and so forth. People across continents and time zones will communicate face ...

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