Living on the Edge

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Saturday, May 20, 2006

Where do we draw the Line?

I am always fascinated by the way organisations work..infact many of them do not! Organizations are deemed to be one of the most efficient ways of domesticating the markets,as is popularly known in Transactional cost Analysis in Economics.This internalisation of external markets is literally and notionally protected for soverneity and efficiency by drawing of organizational boundaries.

Imaginary social thinkers led by Peter Drucker and others have visualised boundaryless organizations.But boundaries not only within but external to the organizations seems to be getting blurred day by day.Virtual organization,virtual work stations,SOHO,networking and other concepts have swept away the efficacy of strict organizational boundaries in today's business world.

The important issue before business leaders and thinkers is to provide a reasonably assuring answer to the query of re-drawing organizational boundaries.But the most pertinant one should be -Is it important at all?

Fast changing social exchanges in the market and its various normative governance forms is making the internalisation of markets fast redundant and hence the growth in popularity of networking organizations.But where do we draw the line....?

Would we ever have a convincing answer...will the apple ever fall on the right head??

2 Comments:

Anonymous Anonymous said...

You are not clear on what are you trying to point out...Are you writing Creating English or commenting about Organisations (Business, Social, Government) ?

If is the case II then it is not clear from your views what makes you think Organisations dont work??

July 4, 2006 at 2:22 PM  
Anonymous Anonymous said...

hmm are networking organisations and boundary less organisations referring the to same concept.

boundaryless organisations do not have fixed boundaries, it is not so that they do not have boundaries much like point and non-point sources of pollution. on a particular issue the membership is clear .. who is a memeber and who is not.. however the memebership can change from issue to issue leaving the organization with no fixed boundaries.

networking organisations actually are organisations with very fixed boundaries and often are more rigid on the same than the non-networked organization. at times they are just caught in the sole purpose of making their identity live on. hence they get caught in fixing boundaries too rigidly as it is very easy to dilute boundaries within a network.

also there is a simple model which tells you clearly when u need to redraw the boundaries of the organization and when you need to change the norms. acutally every situtaion can be dealt in both the ways.. however every situtaion generates a natural preference to one of the two. the curx lies in understanding this. if this is well understood then the course of action is also almost clear and concretised.

sorry to say social exchagnes are increasingly becomign barter exchanges and more like market exchanges .. so your last proposition stands a weaker wicket.

also in the end.. what is the difference between internalisation of the market .. and diffusing the organsation into a pan-market organizaiton by attempting to make it boundary less.

in short.. check the concepts , check the linkages between the various concepts that is the nomological space and thirdly understand the dynamics of space, time and structure.

July 16, 2006 at 9:49 PM  

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