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Designing Lateral Organizations: An Analysis of the Benefits, Costs, and Enablers of Nonhierarchical Organizational Forms *
Author(s) -
Joyce William F.,
McGee Victor E.,
Slocum John W.
Publication year - 1997
Publication title -
decision sciences
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.238
H-Index - 108
eISSN - 1540-5915
pISSN - 0011-7315
DOI - 10.1111/j.1540-5915.1997.tb01300.x
Subject(s) - categorization , knowledge management , business , organizational architecture , organizational structure , computer science , process management , management , economics , artificial intelligence
Twenty‐first century organizations will require designs that enable them to cope with turbulent environments. Organizations have experimented with lateral organizational designs for this purpose, but research evidence concerning these forms is sparse. We analyzed data obtained from 512 employees within eight diverse organizations implementing flexible lateral organizations. Using a sequence comparison methodology, we were able to identify and categorize the major costs, benefits, and enablers associated with implementing these forms of complex organizations. Propositions for effectively managing lateral relations were tested and managerial implications were explored.