In 1991, Rockart and Short mentioned eight dimensions of change involved in a networked approach to organizational functioning. The networked organization is recognizable through:
Today's networked organizations have flatter structures composed of task-focused teams. Flexible task performance shifts human interaction from superior-subordinate to peer-to-peer relationships. This requires that workforce and co-workers develop the ability to learn together and enjoy committed social gatherings.
- Increased role complexity brought on by continuous changes in products, markets, processes, and organization.
- Managers need to cope with unclear lines of authority and decision-making.
- Increased skill requirements.
- Many teams that are problem-focused and outcome oriented.
- Appropriate measurement systems to assess individual, team.
- Cultural adjustments to face changes in accountability and authority.
- Changing the planning process.
- Changing the technology infrastructure, a senior management priority.
Related organizational structures are:
- The fan-like organizational structure with greater decentralization and division of authority. This gives a more stable network
- The Matrix (Grid) organization for internal network
- The Web organization with more a dynamic network