Holistic Information Support For Virtual Business Organization

Abstract

Assessing and implementing a virtual organizational provides an organization a template for increasing the control and viability of its operations. Under circumstances of restricted availability of factors and presently restrictive conditions of business operation THE SELECTED PROBLEM AND VIEWPOINT OF THIS CONTRIBUTIONhe hyper-competitive global economy has created a new competitive landscape -one in which events change constantly and unpredictably (Ireland, Hitt, 1997; Galbraith, 2003;Daft, 2003). The conditions of globalization require companies to transform from the traditional industrial enterprises into the modern postindustrial ones, which are more open, flexible and innovative.Trends that appeared together with the development and the increasing application of information technology, and whose influence on the organization structure is the greatest, are: business globalization, change in the employment structure, elimination of boundaries between the parts within the organizations, but also between individual organizations.Many organizations form strategic relationships in order to compete effectively (Porter, 1985(Porter, , 1990. Many of these strategic relationships are conceived as a means to increase both the efficiency and effectiveness of those involved in these strategic relationships (Williamson, 1991;Gundlach, Achool, Mentzer, 1995;Galbraith, 2002;Daft, 2003). Inter-organizational relationships have become one of the most frequently used means of entering or expanding in the global marketplace (Varadarajin, Cunningham, 1995).The virtual organization concept is a specific case of such relationships.Virtual organizations enable organizational and/or individual core competencies to be brought together when needed, and disbanded when no longer required on one hand. On the other hand, competitive pressure over the modern conditions of business requires a high quality of business functioning. Business functioning of virtual organizations can be significantly improved mainly in the field of its management, which is its least developed and investigated area. A holistic information support to management presents an important viewpoint of management, which, to a great extent, determines the quality of the entire functioning of management and has also a major impact on the results of the business operation. These are true in general and even more so for the virtual organizations.