Virtual Management
Virtual management seeks to separate certain responsibilities of managers from the actual site of production, the workers and resources at that site. It orients managers more directly to the needs of a service economy - wherein "commodity" and "product" relations are no longer a source of sustainable competitive advance, due to global competition or inability to predict liability.
Its major advantage, according to supporters, is to focus on the customer and the value chain from which the customer derives value. Its major drawback, according to detractors, is that commodity and product relations "outsourced" to developing nations do tremendous harm. Others see benefits, but note that it tends to specialize these nations, as under colonialism, when they fed "natural resources" and "human resources" to developed nations, into narrow and limited supply roles
Advantage of virtual Management:
- Virtual Management is about managing people at a distance using technology.
- Virtual Management can produce travel cost reductions of up to 50% with huge gains in team productivity and morale.
- Virtual Management is a high risk strategy unless corporations are committed, and requires investment in technology as well as in team training.
- Virtual Management means maintaining close working relationships with colleagues in many locations, without the need for as many meetings as traditionally needed.