| Rapid change and intense competition have expanded the use of network structures that link multiple organizations. This weaving together of interdependent organizations requires a complex system of management coordination to align individual behavior with organizational and interorganizational goals.;This research makes major contributions to management practice. Results show that an organization can use leadership, formal and informal management systems to influence trust, commitment, information processing, conflict and adaptability. In turn, these qualities affect success. Influences from external organizations include leadership, interorganizational trust and commitment. Destructive feedback loops also exist among goal alignment, organizational trust, micromanagement and success. Another result illustrates the effects of the vastly different environments of the defense and commercial industries. Different dynamics, uncertainty and tasks in these two industries have different effects on internal and interorganizational goal alignment and ultimately on success. Recommendations include how to improve goal alignment, how to build trust and commitment internally and with external organizations, and how to leverage individual characteristics to increase success. They also illustrate that proactive design of management systems can accommodate environmental change and build a foundation for future success.;The research significantly contributes to management coordination theory. By interleaving behavior, management control, organizational design and system theories, and by considering internal and external influences, it integrates multiple levels of coordination from the micro level of an individual to the macro level of the environment and external organizations. Suggestions for future research include investigation of goal alignment in different internal and external environments, assessment of life cycle influences and the effects of too much adaptability on management coordination.;To narrow an existing gap between theory and practice, this research develops a management coordination system (MCS) model. The twelve element model provides a powerful tool for the practitioner while it integrates various theoretical disciplines with management practice in network organizations. The study uniquely evaluates internal and external dimensions of coordination and combines qualitative and quantitative methods to increase robustness. One commercial and one defense business unit of a major corporation were the subjects. Twenty-three external organizations on interorganizational teams in these business units provided external perspectives. |
