Are networks the organizational structure of the future? This review delves into the evolving sociological understanding of network forms of organization, tracing the shift from a critique of economic views to a more nuanced appreciation of their prevalence and functionality. By examining the economic and social benefits, this review helps show how network forms of organization foster learning. Sociologists initially emphasized the advantages of networks, highlighting their role in promoting learning, attaining status, managing resource dependencies, and providing employee autonomy. Now, sociologists are balancing the exclusive focus on prevalence and functionality with attention to constraint and dysfunctionality. As sociologists move away from critiquing what are now somewhat outdated economic views, they need to balance the exclusive focus on prevalence and functionality with attention to constraint and dysfunctionality. The authors review work that has laid a foundation for this broader focus and suggest analytical concerns that should guide this literature as it moves forward.
As a review featured in the Annual Review of Sociology, this article aligns with the journal's mission. It provides a synthesis of existing knowledge on network forms of organization. This broader perspective will be invaluable for future researchers and practitioners interested in organizational studies.