Technology and Organization Structure

Technology has invaded every aspect of our lives. In the past new technologies were meet with resistance that has since subsided and in many ways have become a part of standard operating procedure in our daily lives. The business world has not escaped the advancements of technology; in fact many companies have embraced the innovations and use them to their benefit. Employees in one office can communicate with their counterparts, clients and others almost effortlessly and in real time in other offices, states, and on other continents. Olsen & Pedersen (2009) postulate that modern technology is enveloping, multifaceted and rapidly changing as is evident in every area of our lives. As a result leaders have used technology in a variety of ways ranging from conducting long distance meetings to making informed decisions about the organization, and allow employees to work in teams irrespective of their locations. Organizations in many industries are face with the decision of how best to incorporate technology into their organization’s structure. While technology is available to an organization, it is most effective when the technology enhances the organization’s strategy, structure, communication, employee relationships and the company’s overall performance. Technology today has moved from what Henderson & Venkatraman (1993) refers to as a “back office” position to a more focal and significant role that has brought about change and has the potential to bring about greater transformation. Technological advancements could possibly bring about new strategies for some organizations and change the way they conduct business. In some instances companies are started because of the specific technologies. One example of this is a small business in near my office that creates, hosts, and maintains websites. If it were not for technology there would be not websites therefore it would be reasonable to assume that there would most likely no need for such a business.
Organizational