How is the cellular/modular organization different from the network structure?

What will be an ideal response?

Miles and Snow, et al propose in this chapter that the evolution of organizational forms is leading from the matrix and the network to the cellular. According to them, "a cellular organization is composed of cells (self-managing teams, autonomous business units, etc.) that can operate alone but that can interact with other cells to produce a more potent and competent business mechanism." It is this combination of independence and interdependence which allows the cellular organizational form to generate and share the knowledge and expertise to produce continuous innovation. The cellular/modular form includes the dispersed entrepreneurship of the divisional structure, customer responsiveness of the matrix, and self-organizing knowledge and asset sharing of the network. As proposed, the cellular/modular structure is similar to a current trend in industry of using internal joint ventures to temporarily combine specialized expertise and skills within a corporation to accomplish a that task individual units alone could not accomplish.

In contrast, the network structure is really a sort of non-structure by its virtual elimination of in-house business activities. Long-term contracts with suppliers and other strategic alliances replace the services the company could provide for itself.