The management of inter-organizational cooperation Free Essay Example

Intra-organization cooperation is the relationship that takes place within the organization allowing departments or sections to smoothly perform a transaction support so as to provide information, services and equipments within an organization. On the other hand, inter-organizational is strategy adopted by organizations of forming ties with other organizations in order to enhance there capacity of serving more clients or to acquire resources with ease especially from local markets.

Such linkages are formed as a managerial response to the need of critical resources which are controlled by others in the environment thus enhancing the power of any one organization dealing with other environmental elements.

Organizations enter into inter-cooperative relationships if they are sure that the relationship will benefit them. In terms of operation costs, inter-organization encounters complexity costs and loss of operating autonomy.

Contrary, intra-organizational cooperation grants an organization the opportunity to express its autonomy in operation (Longoria, 2005). Inter-organizational cooperation brings about interdependency between organizations in that they rely on each other so that they may be able to benefit in return.

Conversely, an intra-organizational cooperation is self sufficient for it strives to remain competitive in the market on its own by use of modern technology in production, research and innovation and organization design.

Intra-organizational cooperation involves utilization of available capital labor and resources to maximize profits in performance, while inter-organizational cooperation’s helps to minimize conflicts in the market. Inter-organizational cooperation’s are driven by tactical and strategic objectives in that they save on cost through closer cooperation leading to maintenance of healthy business relationship.

The management of inter-organizational cooperation’s is given more attention by the company due to their higher strategic importance.

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