Thomas W. Malone Robert Laubacher Michael S. Scott Morton
The MIT Press
Copyright 2003 Massachusetts Institute of Technology
All rights reserved. No part of this book may be reproduced in any form by any electronic or mechanical means (including photocopying, recording, or information storage and retrieval) without permission in writing from the publisher.
This book was set in Times Roman by SNP Best-set Typesetter Ltd., Hong Kong and was printed and bound in the United States of America.
Library of Congress Cataloging-in-Publication Data
Inventing the organizations of the 21st century/Thomas W. Malone, Robert Laubacher, and Michael S. Scott Morton, editors.
An initiative of MIT's Sloan School of Management.
Includes bibliographical references and index.
0-262-13431-4 (hc: alk. paper)—ISBN 0-262-63273-X (alk. paper)
1. Industrial management. 2. Strategic planning. 3. Industrial organization. 4. Corporations.
I. Malone, Thomas W. II. Laubacher, Robert. III. Scott Morton, Michael S. IV. Sloan School of
HD31 .I68 2003
The following corporate sponsors of MIT's "Initiative on Inventing the Organizations of the 21st Century" provided financial and organizational support for the research on which this book was based:
British Telecommunications (U.K.)
EDS/A. T. Kearney (U.S.)
National Westminster Bank (U.K.)
Norwegian Business Consortium (a collaboration involving Norsk Hydro, Norwegian Confederation of Business and Industry, Norwegian School of Management and Telenor)
Union Bank of Switzerland
Eli Lilly (U.S.)
LG Electronics (South Korea)
McKinsey & Company (U.S.)
Siemens Private Communication Systems (Germany)
We would like to give special thanks to the following individuals from sponsor companies for their help and support: Dan Moorhead, Elisa O'Donnell, Kerry Scott, Bruce Bond, Tim Jones, Gerhard Schulmeyer, Ragnhild Sohlberg, Nathaniel Foote, and Brook Manville.
Many of the people who made significant contributions to the 21st Century Initiative are authors of the chapters in this volume or are listed in the acknowledgments sections of those chapters. It is worth mentioning separately, however, the following people who played continuing roles in the Initiative:
Co-directors Thomas W. Malone, Michael S. Scott Morton
Executive directors Robert Russman Halperin, Ed Heresniak, Roanne Neuwirth
We would like to give special thanks to Robert Halperin, the 21st Century Initiative's first executive director. Without him, it is likely that this Initiative would never have happened.
Full-time project research staff Robert Laubacher
MIT faculty steering committee Thomas Malone, Michael Scott Morton, Jack Rockart, Peter Senge, Bengt Holmstr m, Wanda Orlikowski, John Carroll.
MIT core faculty group (includes members of faculty steering committee plus the following) Deborah Ancona, Lotte Bailyn, Erik Brynjolfsson, Charlie Fine, Tom Kochan, Don Lessard, John Sterman, JoAnne Yates.
Other MIT faculty members and researchers who undertook research in the Initiative or participated in working groups and sponsor meetings Harold Abelson, Thomas Allen, Michael Cusumano, Randall Davis, John de Figuereido, Chrysanthos Dellarocas, William Hanson, David Hardt, Paul Healey, Rebecca Henderson, William Isaacs, Richard Lester, John Little, Stuart Madnick, Robert McKersie, Thomas Magnanti, Jeffrey Meldman, Daniel Nyhart, Nelson Repenning, Daniel Roos, Julio Rotemberg, George Roth, Ed Schein, Maureen Scully, Warren Seering, John Sterman, David Tennenhouse, Sherry Turkle, John van Maanen, Stephen Ward.
MIT research scientists and doctoral students who participated in 21st Century Initiative events Joseph Bailey, Martha Broad, Guk-Hun Cho, Paul Gallagher, Andreas Gast, William Lehr, Sharon Eisner Gillett, Scott Rockart.
We would like to thank Lester Thurow and Glen Urban, who provided important encouragement and support as Deans of the MIT Sloan School of Management during the time of the Initiative. We also thank Robert McKersie and Tom Allen, the Deputy Deans for research during the Initiative. We are grateful to Meg Christian, Chris Foglia, Maria Byerly, and Pat White, for providing administrative support during the Initiative and to Peggy Nagel and Heather Snow for providing editorial assistance during the preparation of the manuscript.