A virtual organization is that entity or business firm whose employees / resource person are geographically located at different parts of the world and are connected means of tools of information technology (emails, social media, networks, groupware) to connect to each other but
they seem to be a single unified organization from a single location. Thus the organization set-up of virtual organization is slightly different the traditional one. These organizations can be formed for long-term objective to do the commercial activities or they can be formed for a certain period of time to achieve a particular goal.
It is the IT that coordinates the activities, combines the workers‘ skills and resources with an objective to achieve the common goal set a virtual organization. Managers in these organizations coordinate and control external relations with the help of computer network links. The virtual form of organization is increasing globally. The main advantages of the virtual organization are the flexibility: flexi-time, part-time work, job sharing, home based work etc.