The decentralized structure that involves collaboration among employees at different levels of an organization relies on the technology that aids communication. Other organizations, given the communication technology, are likely to attain the level of collaboration for the organizational structure.
Lack of effective leadership into successful implementation of the organizational structure may however be a barrier to emulating Cisco’s organizational structure. Resistance is likely, as was the case of Cisco, and unless an organization has an effective leader who can initiate and influence the implementation of the organizational structure, emulation is likely to fail.
Cisco’s Organizational Structure and Competitive Advantage
The organizational structure allows for the exchange of ideas among employees and executives and therefore offers opportunities for development into a competitive advantage. Product differentiation and low-cost products are some of the advantages that the organizational structure may initiate. Innovation into new “product design,” product reengineering, “product innovation,” and new operational procedures for cost-effectiveness are some of the strategies to competitive advantages that the organizational structure aids (Lamb, Hair, and McDaniel 41). Development of models for product differentiation and niche definition are other positive effects of the innovative environment, which the organizational structure facilitates, and aids competitive advantage.
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