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Illustrates several issues associated with the effects of advanced information technology on the organizational design function. Explores the relationship between technology and organizational design. Cites some early empirical studies and identifies some contemporary challenges. Also mentions implications for new organizational forms within the context of a realigned health‐care industry perspective. Concludes that organizational theorists and information systems scholars must integrate their efforts in order to appreciate the changes within this field of management theory, thought and practice.

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