Journal of Management and Organizations Strategy
Volume 3, Numéro 2, Pages 1-8
2021-12-27
Globalization And Reshaping Organizational Structures.
Authors : T Ali Yousfa .
Abstract
This paper explores the dynamic relationship between globalization and organizational restructuring, with a focus on how multinational corporations (MNCs) adapt their internal power structures and strategic practices to meet the demands of an increasingly interconnected world. Drawing upon foundational globalization theories by Kenichi Ohmae and Anthony Giddens, the study demonstrates that globalization is not merely an economic phenomenon but a transformative force affecting institutional, cultural, and social dimensions. Ohmae’s concept of a “borderless economy” and Giddens’s analysis of global time-space compression both support the view that traditional national boundaries are becoming less relevant. In this context, corporations are compelled to restructure themselves away from rigid, hierarchical models toward more decentralized and network-oriented forms of organization. One major implication of this shift is the redistribution of power within MNCs. Centralized decision-making, once the norm, is being replaced by horizontal structures in which regional subsidiaries and transnational teams hold greater strategic influence. This transition is driven by the need for responsiveness to diverse markets, as well as the rise of digital tools that facilitate real-time global coordination. Furthermore, the paper highlights the growing importance of knowledge-intensive functions—such as R&D, IT, and marketing—which increasingly transcend geographical and organizational boundaries.
Keywords
Globalization , Reshaping , Organizational , Structures
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