The IT Environment and Organization


Business is a socially legitimate activity that derives its directly to exist from economic overall performance and the legitimacy it creates for by itself, for its buyers, and for it is wider network of constituencies. It owes its social legitimacy towards the trust this inspires in employees and contemporary culture at large; to its collaboration with government authorities and other brokers in solving problems of social importance, and to their enduring determination to delivering economic value that provides the public good.

The Information Community

In the industrialized world, there are two main economic regimes or worlds: a bulk-processing community yielding items that essentially congeal resources after some knowledge below Marshall’s guidelines of diminishing returns, and a knowledge-based part of the economic climate that generates increasing-returns online commodities, like Hewlett-Packard’s personal computers. Companies inside the knowledge world often have surgical procedures that amount both realms. But in most cases, high-tech companies separate their knowledge-based surgical procedures from their bulk-processing ones.

The Management Environment

In the knowledge world, competition is certainly not a straightforward exercise in bargaining but a series of missions to deliver another technological winner–the next money cow. In that milieu, managers have to be even more mission-oriented than production-oriented. They should organize multitude units of people–those who can deliver the following product that will assist a company rich–in small clubs that record directly to the CEO or to the board of directors.

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