This chapter endeavours to clarify some of the concepts related to the virtual organisation and to move away from the definition of a “virtual organisation” as one with few or no tangible assets, existing in virtual space created through information communication technologies (ICT) (Warner & Witzel, 2004). The authors focus on the concept of an organisation, which is “virtually organised,” employing ICT for the majority of its communication, asset management, knowledge management and customer resource management, across a network of customers, suppliers and employees (Venkatraman & Henderson, 1998). The authors consider the concepts of virtual organisations and virtual organising and develop an instrument that can be used to evaluate organisational readiness to exploit virtual networks. The instrument can be used initially to measure the value of virtual models to the organisation and then reapplied to measure the extent to which these values are actually embraced.



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