Changing technology and the implementation of this new technology is intended to enhance the ability of organizations to grow in the global marketplace; regrettably, there may also be unintended consequences. The general model of organizational loss of effectiveness (LOE) postulated in 2005 examines changes in the behaviour of employees resulting from technological change within an organization. It was demonstrated in this research that a loss of stability, similar to that described by Spitz (1945) in infants, will be experienced by the employees within an organization as a result of a technology change. This loss of stability leads to the development of a predictable and measurable set of symptoms, the resulting negative consequences may diminish the overall health of the organization and result in an Organizational Loss of Effectiveness (LOE). There are apparent similarities between anaclitic depression as described by Spitz, and the descriptions of development of potential space and the use of transitional objects. The works of Winnicott and others suggests that valuable contributions to understanding the development, and perhaps mitigation, of those symptoms resulting from changing technology may be discovered in this research. Although acknowledging that there is uncertainty, risk, and volatility inherent in technological change is a first step, new and innovative approaches need to be considered as we continue to research the occurrence and implications of the organizational LOE. '... the important thing is that with the theory of transitional phenomena at hand many old problems can be looked at afresh' (Winnicott, 1971).
