Setting up and running a virtual company, using sound project management principles and techniques

Mini-study project (MBA)--University of Stellenbosch, 2003. === ENGLISH ABSTRACT: The differentiating factor of the twenty-first century will not be the size and scope of a company's resources, the global economy makes it possible for almost every organisation to gain access to any resources...

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Bibliographic Details
Main Author: Swanepoel, Christiaan Johannes
Other Authors: Brown, C.
Format: Others
Language:en_ZA
Published: Stellenbosch : Stellenbosch University 2012
Subjects:
Online Access:http://hdl.handle.net/10019.1/53586
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Summary:Mini-study project (MBA)--University of Stellenbosch, 2003. === ENGLISH ABSTRACT: The differentiating factor of the twenty-first century will not be the size and scope of a company's resources, the global economy makes it possible for almost every organisation to gain access to any resources. It will also not be about possessing the intellectual capital, knowledge, and expertise but the ability to source it. To be the best a company can no longer afford to specialise in every aspect of its business, and purchasing everything that might become obsolete in a while is not an option. More and more companies outsouree some of their non-core activities, leveraging the investments others made by taking advantage of the outsourcing partner's skills, in order to concentrate on their core competencies. Continuing to perform an activity in-house, while not being the best in the world at it is to forfeit competitive advantage. By outsourcing to the best, the company can use the time saved to concentrate on its core competencies and probably save some money in the process. An organisation can further also only grow at the rate at which it can expand its capacity when it is carrying out all functions internal, possibly costing valuable market share. It is not merely a question of whether the benefits outweigh the costs of outsourcing but rather a question of whether outsourcing is the right strategy for one's specific situation and whether the outsourcing contracts can be designed, implemented and managed in such a way that the benefits do exceed the costs. Constant organisational change and -alteration is a given. Stable organisational structures are something of the past. Networks are formed according to the skills required for the job at hand and once the project is complete the network will disband. Activities are outsourced to the best candidates and coordinated or managed by a project manager or -coordinator. Prepared or not, the virtual revolution has arrived. Two of the main drivers of organisational change and the consequent emergence of the virtual organisation are (1) the changing market conditions - different customer requirements will have different skill needs, and demand will dictate the formation of the virtual organisation; and (2) the fast development of Information and Communication Technology - with the latter changing virtually every site with access into a surrogate office. With the latest technological developments, even the excuse of not having access is becoming a lame one. A virtual organisation's strategy involves a substantial amount of outsourced activities and sometimes even total outsourcing. Every outsourced activity in turn is handled as a project or a task of a project, making a virtual organisation a project-driven one. Running a virtual venture is therefore all about coordinating and managing outsourced projects, and a company's expertise in doing this will determine its success or failure. Sound project management principles and techniques, discussed in this dissertation, can be used to not only start up a virtual company, but also to run it. === AFRIKAANSE OPSOMMING: Die onderskeidingsfaktor van die een-en-twintigste eeu sal nie die grootte en die omvang van 'n maatskappy se hulpbronne wees nie, want die globale ekonomie maak dit vir bykans elke organisasie moontlik om toegang te verkry tot enige hulpbron. Dit sal ook nie gaan oor die besit van intellektuele kapitaal, kennis en kundigheid nie, maar die vermoë om dit te bekom. Om die beste te wees, sal 'n maatskappy nie langer kan bekostig om in elke aspek van sy besigheid te spesialiseer nie, en die aankoop van dit wat gou in onbruik kan raak is nie 'n opsie nie. AI hoe meer maatskappye kontrakteer van hul nie-kern aktiwiteite uit, en benut daardeur die beleggings wat ander maak deur voordeel te trek uit die uitgekontrakteerde vennoot se kundigheid, om sodoende te konsentreer op hul eie kern vaardighede. Om aan te hou om aktiwiteite intern uit te voer, sonder om die wêreld se beste daarin te wees, is om die kompeterende voorsprong te versaak. Deur uit te kontrakteer aan die beste, kan die maatskappy die gespaarde tyd gebruik om te konsentreer op sy kern vaardighede en waarskynlik geld spaar in die proses. Verder kan 'n organisasie wat al sy funksies intern uitvoer, ook slegs groei teen die tempo waarteen dit sy kapasiteit kan uitbrei, waarskynlik ten koste van waardevolle markaandeel. Dit gaan nie net oor die vraag of die voordele verbonde aan uitkontraktering opweeg teen die nadele daaraan verbonde nie, maar eerder of uitkontraktering die regte strategie vir die spesifieke situasie is en of uitkontraktering ooreenkomste so ontwerp, geïmplementeer en bestuur kan word dat die voordele die nadele oorskry. Voortdurende organisatoriese verandering en -wysiging is 'n gegewe. Stabiele organisatoriese strukture is iets van die verlede. Netwerke word gevorm volgens die vaardighede wat benodig word vir die werk op hande en sodra die projek voltooi is ontbind die netwerk. Aktiwiteite word uitgekontrakteer aan die beste kandidate en gekoordineer of bestuur deur 'n projekbestuurder of -koërdlneerder. Die virtuele revolusie het aangebreek, of ons nou gereed is daarvoor of nie. Twee hoof dryfvere agter organisatoriese verandering en die gevolglike totstandkoming van die virtuele organisasie, is (1) veranderende marktoestande - verskillende kliëntbehoeftes sal verskillende vaardighede vereis, en aanvraag sal die vorming van die virtuele organisasie dikteer; en (2) vinnige ontwikkeling van Informasie en Kommunikasie Tegnologie - met laasgenoemde wat bykans elke plek met web toegang verander na In surrogaat kantoor. Met die nuutste tegnologiese ontwikkeling sal selfs die verskoning van nie toegang hê nie In flou een word. Die strategie van In virtuele organisasie behels In aansienlike hoeveelheid uitgekontrakteerde aktiwiteite en soms selfs algehele uitkontraktering. Elke uitgekontrakteerde aktiwiteit word op sy beurt hanteer as In projek of In sub-taak van In projek, en dit maak van virtuele organisasie projek gedrewe organisasies. Die bestuur van In virtuele onderneming is dus gebaseer op die koordinering en bestuur van uitgekontrakteerde projekte, en In maatskappy se kundigheid hierin sal sy suksesse of mislukkings bepaal. Goeie projek bestuur beginsels en tegnieke, bespreek in hierdie verhandeling, kan gebruik word om nie net In virtuele maatskappy op die been te bring nie, maar ook om dit te bestuur.