The Rise Of Network Team – The New Age Organizational Structure

The traditional organization structure was based on hierarchy. While it worked wonders until now, the modern age technologies, fast paced developments and rising demand both within the organization and externally have led to the bottleneck for such a structure. Hence the companies are moving away from the traditional models to a more interconnected structure. This has resulted in the concept of network of teams. When a project is assigned to a team, they no more work in isolation; rather they are now interacting with various segment of business like operations, technology and such like. The network structure is characterized by a less hierarchical approach which is flexible and decentralized. In such a structure the team leaders not only coordinate within the team but also externally for the desired output. There are many advantages of network teams within organizations.

• The first and foremost benefit which is recognized in the today’s corporate structure is the knowledge transfer. With the help of networking within teams, the passing of information becomes easy and effective. If a particular team or an individual has gained training regarding a particular skill set then sharing it within the network passes on the information to others who might need a part or whole of it.
• It helps in channelizing creative ideas and approaches regarding a process or initiative. These ideas reach out to the management in a faster pace and can be strategically undertaken for the better productivity or building up a stronger workforce.
• Previously, getting the word out within the hierarchical structure was difficult. But with network teams it is easy and effective. For example, an assignment is handed over to a particular team for which they are understaffed in terms of knowledge or certain technology oriented information. When the news is set out, other teams with the proper skill set can be reassigned the assignment or can intervene in certain areas for the successful deliverable's.
• Complete utilization of the resources can be facilitated through this approach.
• It cuts down the costs to a considerable extent in terms of training and outsourced help.

With all the benefits of a network team organization, there are a certain pointers to be kept in mind for the implementation of this system.

• The existing organizational structure has to be taken in to consideration before the implementation of the network organization.
• Setting up of a real time information network is beneficial in this case. This helps in analyzing the way employees seek and find the information.
• The conversion of the departments which are associated with services towards other teams in to shared service groups is a constructive step in this case.
•  The reward and compensation systems need to be remodeled.
• Recruitment and selection process also needs to be reformed in order to hire people who are active towards communications and can effective set within such a structure.

The hierarchical organization is slowly phasing out. The network based approach is run parallel to the hierarchy approach in many organizations now days keeping in to consideration its benefits in the long run.