A(n) boundaryless organization is an organization that takes on a life of its own, apart from its founders or members and is valued for itself and not for the goods or services it produces.
The correct answer and explanation is:
The correct answer is False.
A boundaryless organization is not defined as one that takes on a life of its own, apart from its founders or members. That definition actually refers to the concept of an institution, not a boundaryless organization.
Explanation (300 words):
A boundaryless organization is a modern organizational structure introduced by former GE CEO Jack Welch. It refers to an organization designed to eliminate traditional barriers—both internal (between departments or hierarchical levels) and external (between the organization and its customers, suppliers, or partners). The primary aim of such a structure is to encourage collaboration, flexibility, and responsiveness in a rapidly changing business environment.
In a boundaryless organization:
- Communication flows freely across all levels and departments.
- There are fewer rigid job descriptions and hierarchical structures.
- Emphasis is placed on teamwork, knowledge sharing, and innovation.
- Technology is leveraged to connect employees and partners, regardless of geographic location.
- External partnerships, outsourcing, and alliances are commonly used to enhance capabilities.
This contrasts sharply with the idea described in the question, where an organization is “valued for itself and not for the goods or services it produces.” That characterization refers more closely to institutionalization, a concept in sociology and organizational theory. An institution is an organization that becomes so embedded in society or culture that it is seen as legitimate and important in its own right, regardless of its current effectiveness or output.
For example, a university or church might be considered an institution because of its historical, cultural, or societal significance—beyond just the services it provides.
In summary, a boundaryless organization is focused on eliminating traditional barriers to improve performance, not becoming an entity valued for its own sake. Therefore, the statement in the question is incorrect when describing a boundaryless organization.