Chapter 14 – The Online Workplace
Chapter Summary
Organizations Today – The Online Workplace
Where We Have Come From
- Traditional manufacturing organizations were the backbone of many towns and cities prior to the age of the Internet. Many of these workplaces were housed in a building.
- In the past organizations employed thousands of skilled workers. Many people worked in heavy industries.
- Traditional organizations had clear boundaries with layers of management. There were clear boundaries between functional units.
- These organizations were often slow to change to the needs of the market economy due to their size.
What about Today?
- Organizations are smaller and flatter. There are fewer managerial layers.
- New organizations have a web presence as well as buildings.
- E-commerce, the digital marketplace, and physical stores are the drivers of the economy. The online presence of businesses has been accelerated due to COVID-19.
- The consumption of the movie and music industries has also changed to include an online presence.
- Web platforms have changed the everyday dynamics of communications and business transactions.
- People’s purchasing behaviour has changed – people buy online.
- The modern workplace and workers are adaptable and flexible.
- Companies have a global presence and virtual teamworking has become a norm.
The Challenge of Change
- Today’s fast-paced technological environments demand that companies are interconnected and respond to change rapidly.
- Technology is driving change and efficiencies in a fast-paced economy. Change needs to happen quickly.
- Many companies embrace failure as an opportunity to learn and grow improving products and services.
It’s a New World – The Virtual Environment
The Virtual Organization
- COVID-19 has influenced how virtual organizations conduct their business.
- Virtual Organizations are flexible networks of independent entities that are linked together with information technology. They share skills, knowledge, and expertise. Collaboration is essential.
- The traditional boundaries of organizations have been broken and today we have ‘boundaryless’ organizations – which have a global scope.
Virtual Teams
- Virtual Teams operate with virtual organizations.
- Virtual Teams can be temporary and may work together on specific projects.
- These teams are similar to traditional teams in that they are goal and performance-orientated. However, the team may not be situated in the one building or country and IT is used for collaboration. Virtual teams may be disbanded once a project has been completed. COVID-19 demonstrated the effectiveness of virtual team working.
- There are challenges to working in Virtual Teams, these include a lack of physical interaction and the lack of non-verbal cues. The clarification of team roles also needs clarification. Cross-cultural issues need to be understood by team members.
- The psychological safety within teams needs consideration in order for teams to be successful.
The Challenges That Technology Poses for Modern People
Career Planning
- Career planning is different than in the past. The world appears smaller and travel and education are less expensive. This offers improved carer choices.
- Careers are more flexible and workers can create and re-create their careers.
- Workers must take responsibility for managing their own careers.
- Workers need to develop a ‘boundaryless mindset’.
- The gig economy is rising in popularity.
The Darker Side of Technology
- Technology can have some unwelcome challenges.
- Issues of ‘cyberslacking’, ‘cyberdevient behaviour’, and cyberbullying can be problematic.
- Consideration of digital intrusion and cognitive overload is needed by employers.
- New EU legislation has been put in place to protect workers concerning the right to disconnect from tasks after working hours.
- Robust policies and social and organizational support are needed to support victims.
The Challenges for the Future of Work
Future Scope
- Competition and new technologies will continue to drive change.
- Change is disruptive and disruptive technological innovations will create the jobs of the future.
- New organizational structures and cultures will continue to emerge. Many of these will be small, remote, cross-cultural, hybrid, and environmentally friendly organisations. There will still be space for the global corporations.
- There are advantages and disadvantages to working from home.
- Going forward organisations need to consider cybersecurity and General Data Protection Regulations.
Back to the Future?
- Before the Industrial Revolution, the workforce was made up of artisans and agricultural workers. The Industrial Revolution introduced huge manufacturing companies and technological change.
- Today, there seems to be a number of organizations that are smaller and specialized, but interconnected by technology.
- Technology has enabled the global economy to respond to the COVID-19 world crisis.
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Chapter 14 – Useful Websites
The Society for Industrial and Organizational Psychology is a sub-division of The American Psychological Society and has many links to useful resources relating to Organizational Psychology.
The British Psychological Society hosts interesting articles specifically looking at psychological organizational research.
Don Tapscott is a futurologist. He argues that young people have been born into a world connected with technology. As a result, the world is being transformed and this world is more open and transparent. This talk he outlines four core principles that show how this open world can be a better place. He has an interesting website with links to his TED talks:
Innovation is recognised as the foundation for growth in this fast-paced digital world. Clinton addresses the importance of innovation in the psychological sphere based on the Jones’s (2016) claim that the psychology of innovation helps identify the common traits among successful entrepreneurs.
- Clinton, A. N. (2020). The importance of innovation to global psychology. Retrieved from https://www.apa.org/international/global-insights/innovation
- Jones, K. (2016). The Psychology of Innovation: From Purpose to Gratitude. Retrieved from https://www.forbes.com/sites/forbesagencycouncil/2016/04/06/the-psychology-of-innovation-from-purpose-to-gratitude/?sh=6a6e4625694a
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Chapter 14 – Further Reading
- The PWC website gives an interesting overview of the future of work. https://www.pwc.com/gx/en/research-insights/economy/the-world-in-2050.html
Ten predictions for the future of innovation:
Remote, hybrid, and working from home has become a regular occurrence since the onset of the COVID-19 pandemic. Dr. Michael Drayton discusses the contribution of remote working to burn-out and offers guidance on how to get the best from remote working.
- https://thepsychologist.bps.org.uk/burnout-and-remote-working
- Drayton, M. (2021). Anti-Burnout. How to create a psychologically safe and high performance organisation. Routledge.
Newman et al. (2020) conducted a systematic literature review on the concept of innovation climate on the team and organisational levels.
- Newman, A., Round, H., Wang, S., and Mount, M. (2020). Innovation climate: A systematic review of the literature and agenda for future research. Journal of Occupational and Organizational Psychology, 93, 73-109. https://doi.org/10.1111/joop.12283
Agile changed the way in which software was designed, developed, and delivered. A successful project using Agile is heavily dependent upon teamwork and communications and how team members interact. Ultimately Agile teams rely on psychological safety.
- Clark, T. R. (2022). Agile doesn’t work without psychological safety. Retrieved from https://hbr.org/2022/02/agile-doesnt-work-without-psychological-safety
Whilst the ‘fail-fast’ approach is used to initiate fast learning, DePrisco (2022) discusses how this transition can be made.
- DePrisco, M. (2022). How to transition from a ‘fail fast’ mentality to a ‘learn fast’ mindset. Retrieved from https://www.forbes.com/sites/forbesbusinesscouncil/2022/01/12/how-to-transition-from-a-fail-fast-mentality-to-a-learn-fast-mindset/?sh=73e70b213f0b
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Chapter 14 – Audio and Video links
Video Links
The brief video, The Future of Work, available on the PWC website, is a brief video clip on the different types of organizational structures which are envisaged for the future. It outlines the Green, Blue, and Orange organizational worlds of work and how digital technologies will be used in each of them.
Clayton Christensen discusses growth under the topic of disruptive innovation and the role that it holds in society.
A webinar on the Psychology of Innovation introduces the concept of innovation and change and how we can understand the human processes behind this.
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Chapter 14 – Essay questions
- Outline the major historical changes that have occurred in the workplace in the last 120 years.
- Discuss the challenges that technology poses for organizations in the 21st century.
- How have virtual organizations and virtual teams changed how individuals interact with each other in the workplace?
- Evaluate the challenges that technology poses for people in the workplace today.