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Virtualization and Its Role in Business

Virtualization and Its Role in Business

Jerzy A. Kisielnicki
Copyright: © 2009 |Pages: 6
ISBN13: 9781605660264|ISBN10: 1605660264|EISBN13: 9781605660271
DOI: 10.4018/978-1-60566-026-4.ch643
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MLA

Kisielnicki, Jerzy A. "Virtualization and Its Role in Business." Encyclopedia of Information Science and Technology, Second Edition, edited by Mehdi Khosrow-Pour, D.B.A., IGI Global, 2009, pp. 4028-4033. https://doi.org/10.4018/978-1-60566-026-4.ch643

APA

Kisielnicki, J. A. (2009). Virtualization and Its Role in Business. In M. Khosrow-Pour, D.B.A. (Ed.), Encyclopedia of Information Science and Technology, Second Edition (pp. 4028-4033). IGI Global. https://doi.org/10.4018/978-1-60566-026-4.ch643

Chicago

Kisielnicki, Jerzy A. "Virtualization and Its Role in Business." In Encyclopedia of Information Science and Technology, Second Edition, edited by Mehdi Khosrow-Pour, D.B.A., 4028-4033. Hershey, PA: IGI Global, 2009. https://doi.org/10.4018/978-1-60566-026-4.ch643

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Abstract

A new management trend of the global information technology (IT) application—virtualization—has appeared in the contemporary management. Virtualization is a process of enterprise transformation (using IT) that allows breaking through various limitations of organizational constraints. Virtualization changes dramatically the image of business, especially of small and medium enterprises (SMEs); by adopting the concept of virtualization, they can become fully competitive and may effectively operate in the global market. Barriers of the scale between SMEs and large organizations disappear. This new type of organizations is often called in literature modern organization or virtual organization. Organizations of this type have an effective decision-making process, and function based on economic criteria. Consequently, their opportunities to grow and to compete in the global market are greater than for traditional SMEs. Hence the thesis that virtualization allows individual organizations to enter strategic co-operative alliances with other similar businesses. Such of virtual organizations have a competitive position in the global market. In the literature, there are many terms used to define virtual organization: “network organizations” (Drucker, 1988, p. 9), “organizations after re-engineering” (Hammer & Champy, 1993, pp. 77-79), “crazy organization,” “crazy time for crazy organization” (Peters, 1994, pp. 5-7), and “intelligent enterprise” (Quinn, 1992, p. 3).

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