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Argues that the virtual organization is a creature of the mind ‐ not so much a concrete, easily identifiable type of organization ‐ as it is a management perspective or framework. Contends the imaginary organization (IO) has much in common with federations, where members cede some of its autonomy to a greater whole. Looks at typical forms of IO, based on research and consulting experience. Figures add depth to the arguments. Stresses the IO leader must take the lead in developing shared infrastructures and systems, protocols for customer relations, and investment in involvees.

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