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What is Organizational Virtuality

Handbook of Research on Virtual Workplaces and the New Nature of Business Practices
The capability of an organization to connect geographically dispersed entities to continuously work together by taking recourse to information system resources.
Published in Chapter:
Explaining Organizational Virtuality: Insights from the Knowledge-Based View
Yulin Fang (City University of Hong Kong, Hong Kong) and Dev K. Dutta (University of New Hampshire, USA)
DOI: 10.4018/978-1-59904-893-2.ch011
Despite a sizable body of literature on virtual organization, little attention has been paid to defining organizational virtuality and identifying factors that influence degree of virtuality in organizations. Based on virtual organization literature and the knowledge-based view of the firm, we develop a working definition of organizational virtuality. We do this by conducting a review of existing definitions of a virtual organization, and identify organizational knowledge-related factors that influence virtuality. More specifically, we propose that 1) an organization’s need for knowledge exchange and ability to exchange knowledge jointly determine the level of organizational virtuality that develops in the firm; and 2) the higher the need for and ability to engage in knowledge exchange, the higher this level of resulting organizational virtuality. The contribution that this research makes to academia and managerial practice are also discussed.
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