The IT Environment and Organization


Organization is a socially legitimate activity that comes its directly to exist from economic functionality and the legitimacy it creates for by itself, for its traders, and for their wider network of constituencies. It is in debt for its social legitimacy towards the trust that inspires in employees and contemporary culture at large; to its relationship with governments and other solutions in resolving problems of social importance, and to their enduring commitment to providing economic value that serves the public very good.

The Information Globe

In the developing world, there are two key economic routines or realms: a bulk-processing globe yielding products that essentially congeal resources with a little knowledge under Marshall’s key points of reducing returns, and a knowledge-based part of the financial system that creates increasing-returns virtual commodities, just like Hewlett-Packard’s computers. Companies inside the knowledge environment often have businesses that duration both planets. But quite often, high-tech firms separate all their knowledge-based businesses from their bulk-processing ones.

The Management Environment

In the understanding world, competition is usually not a straightforward exercise in bargaining although a series of quests to deliver another technological winner–the next cash cow. In this milieu, managers have to be more mission-oriented than production-oriented. They have to organize section units of people–those that can deliver the following product that will make a company rich–in small groups that article directly to the CEO or to the board of directors.

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