THE EFFECT OF COMMUNICATION TECHNOLOGY ON THE RELATIONSHIP BETWEEN ORGANIZATIONAL ENVIRONMENT AND ORGANIZATIONAL STRUCTURE: STUDY IN BANKING INDUSTRY
No Thumbnail Available
Date
2014-06-02
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
This study examines the moderating effect of communication technology on the relationship between organizational environment and organizational structure. Responses from 94 managers (59% response rate) were collected through questionnaire that had been distributed to 32 banks in Pekanbaru, Riau Province, Indonesia. Using a multiple regression analysis, the results show that the interaction of environmental dynamism and communication technology has a negative effect on organizational structure (formalization, complexity and integration). This study also found that the relationship between environmental complexity and centralization of organizational structure was moderated by communication technology. Meanwhile, communication technology has a positif effect on the relationship between environmental complexity and organizational structure (complexity and integration). This study provides further evidence on the importance of communication technology to organizational structure
Description
Keywords
Communication technology, organizational environment, environmental dynamism, environmental complexity, organizational structure