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Broken Ties: The Impact of Organizational Restructuring on the Stability of Information-Processing Networks. |
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AbstractInformation-processing networks (IPNs) denote dynamic network-based information-processing structures that operate as coordination mechanisms that transcend formal hierarchies. Despite growing interest in information technology-enabled IPNs, the literature has been silent in exploring the various ontological structures of IPNs and the structural efficiency embedded in each IPN, especially in the event of radical organizational changes. To fill this gap, this study identifies, from the perspective of graph theory, four ontological IPN archetypes that can serve as blueprints for information processing within and across organizations--random, small world, moderate scale free (MSF), and Barabasi. We then assess how each structure reacts to corporate restructuring (e.g., downsizing) and investigate, based on computer simulation, the extent to which each structure preserves a worker's efficiency and the stability of the network structure in the event of downsizing. Two moderating variables
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