TECHNOLOGY

• WHAT IS TECHNOLOGY?
• TECHNOLOGY REFERS TO THE
INFORMATION,EQUIPMENT,PROCESS
ES AND TECNINIQUES REQUIRED TO
TRANFORM INPUTS INTO OUTPUTS.
• WHAT IS INFORMATION

TECHNOLOGY?
• IT CONSISTS OF ALL HARDWARE
AND SOFTWARE THAT A
ORGANIZATION NEEDS TO USE IN
ORDER ACHIEVE ITS BUSINESS
OBJECTIVES.
Snigdha 12/13/09
 The Role of IT
Create systems that provide strategic
advantage
Supports strategic changes, such as
business reengineering
Provides business intelligence
• Competitive intelligence
• Sustainable competitive advantage


Singdha 12/13/09
 Competitive Advantage
Computer system at any level of an
organization that change the goals,
processes, processes, products ,
services or environmental
relationships to help the organization
to gain competitive advantage.
Competitive advantage: what sets the
firm apart from the rest of its
competitors.
Basis for competition: cost, speed,
quality, variety, level of service .
• Snigdha 12/13/09
 10 Commandments for Managing
Change
1.Analyze organization and its need for
change
2.Create shared vision and common direction
3.Separate from past
4.Create sense of urgency
5.Support strong leader role
6.Line up political sponsorship
7.Craft an implementation plan
8.Develop enabling structure
9.Communicate, involve people, and be
honest
10.Reinforce and institutionalize change


12/13/09
A 4-Stage Process For Dealing
With Resistance

1.Consider Different People

2.Work With Values and Beliefs
3.Understand and Relate to Needs
and Problems
4.Tailor Your Message to Your
Audience.
12/13/09
1. Consider Different
People
•Identify the “adopters” - the
staff the change will affect
•Identify key professional and
organisational groups
•Identify crucial opinion-leaders in
the organisation.
12/13/09
2. Work With Values and
Beliefs
•Assess what’s important to people
with regard to the change at
personal, professional and
organisational levels

•Understand and relate to what

people consider important.
12/13/09
3. Understand and Relate To Needs
and Problems

•
•For all key players, assess “What’s
in it for Me?”
•Don’t be too precious about the
detail of the approach proposed
•Understand people’s problems and
needs from different perspectives.
12/13/09
4. Tailor Your Message To Your
Audience
•Do “homework” - get to know what’s
important to individuals and groups
•Keep the message as simple as
possible
•Use case studies and examples to
show benefits
•Highlight multiple pay-offs from
change
•Use both informal & formal
12/13/09
 Technological Uncertainty
Thompson’s Contribution
Thompson’s proposed 3 types of technology in complex
organization.
Ø Long-linked Technology:-
§ Requires efficiency and co-ordination among activities.
§ Characterized by Sequential interdependence.
§ Moderate Complexity and Formalization.
§ E.g – Mass-production assembly lines and most school cafeterias.
Ø Mediating Technology:-
§ Links clients on both the input and output side of the organization.
§ Characterized by Pooled interdependence.
§ Low Complexity and high Formalization.
§ E.g – Banks, Most Large Retail stores, Post Offices etc.
Ø Intensive Technology:-
§ Represents a customized response to a diverse set of contingencies.
§ Characterized by Reciprocal Interdependence.
§ High Complexity and low Formalization.
§ E.g – Hospital, Research labs etc.

12/13/09
 Thompson’s Technology
Classification
In p u A B C D O u tp u
t t
A . Lo n g -lin ke d Te ch n o lo g y
( Characterized by sequential
in te rd e p e n d e n ce )

Client A Transformation Process Client B

B . M e d ia tin g Te ch n o lo g y
( Characterized by pooled
in te rd e p e n d e n ce )
Resources
A
B Transformation Process
C
D O u tp u
t
A . In te n sive Te ch n o lo g y
( Characterized by reciprocal 12/13/09
 Influence Of Industry &Size
q Industry:
 Influences operating size ,its degree of competition
or extent of Govt. regulation.
 Example –buying of videocassette blank tapes is
based on price
q Size:
 critical determinant of structure.
 In smaller organisations the structure of
operations is dominated by primary
transformation process
 In large organisations the impact of technology is
not powerful.

12/13/09
DIBYATEJA - 16
 Industry size integrative model
v Industry Technology Size
• Structure
•

 Integration of industry size-technology-structure

relationship
 Organisation(particular size)before advantages are
provided by complex technology.
 Complex technology not adopted till organisation
become large to capitalise on economies of scale.
 Can also go in other way i.e. technology to size
 Example-mass production technology > increase
the size of organisation to be more efficient.

12/13/09
DIBYATEJA - 16
 Technology and Structure
Technology and Complexity
• Routine Tech.  Low complexity
 Holds true for structural activities
Mostly in the operating core
E.g., proportion of maintenance employees
and the span of control of first time
supervisors
• Non-routine tech.  high complexity
For sophisticated and customized works
 Technology and Structure
contd..

 Technology and Formalization

• Routine Tech.  Formalization
• Relationship vanished when size was
controlled for
• Presence of rules, manual, presence of job
descriptions, degree of specification of
jobs
• Non-routine Tech.-control systems
permitting greater discretion and
flexibility
 Technology and Structure
contd..

Technology and centralization

• Inconsistent results
• Routine tech.-centralised structure and
non-routine tech.-delegated decision
authority
• Moderated by the degree of formalization
• Formalization high, routine tech.-
decentralization
• Formalization low,routine tech.-
centralization
 Work-unit level vs.
organizational level
Technology research has been
undertaken at organization and work
unit level.
Organization :- organization as the unit of
analysis
Work unit:- task performed by individual
employee, leading ,leading to consider the
methods by which the method are
accomplished.
Impossible to draw useful conclusion
if it combined
•
shovan 47 12/13/09
 Manufacturing. Vs Service
Tech.
Only those organization support who
deals with single entity.
A lesser target achieved if both were
combined.
Less chance to find significant
relationship between technology and
structure.

Shovan 47 12/13/09
 Perrow’s Technology
Classification
Task Variability
Few Exceptions Many Exceptions
CRAFT NON-ROUTINE
Ill defined and
Unanalyzable
Problem Analyzability

t ine
3 Rou
on
ROUTINE N ENGINEERING
4
Well defined and

1
Analyzable

tine
u
Ro
12/13/09
 Perrow’s Technology-Structure Predictions
Structural Characteristics
CELL FORMALIZATION CENTRALISATION SPAN OF COORDINATION AND
TECHNOLOGY CONTROL CONTROL
1 Routine High High Wide Planning and rigid rules

2 Engineering Low High Moderate Reports and meetings

3 Craft Moderate Low Moderate-Wide Training & meetings

4 Non-Routine Low Low Moderate-Narrow Group norms and Group

Meetings

Dibya Prakash -15 12/13/09

ORGANIZATIONS AND INFORMATION
TECHNOLOGY

MEDIATING FACTORS
vEnvironment
vCulture
vStructure
ORGANIZ vStandard INFORMA
TION
ATIONS procedures TECHNOL
vBusiness process OGY
vPolitics
vManagement
Decisions
vChance

12/13/09
SHIBA - 46
 THE ORGANIZATION
Senior management
Major end users(divisions)

INFORMATION SYSTEMS
DEPARTMENT
IT INFORMATION SYSTEMS
INFRASTRUCTUR SPECIALISTS
E qCIO
qManagers
qHardware qSystems analysts
qSoftware qSystems designers
qData storage qProgrammers
qNetworks qNetwork specialists
qDatabase administrator
qClerical

12/13/09
SHIBA - 46
HOW INFORMATION SYSTEMS AFFECT
THE ORGANIZATIONS

üMICROECONOMIC MODEL OF THE FIRM

üTRANSACTION COST THEORY

ü
üAGENCY THEORY
ü
üVIRTUAL ORGANIZATION
ü

12/13/09
SHIBA - 46
 SUMMARY
• Discussed three landmark contribution in
understanding technology.
• Identified distinct relationship between unit,
mass and process technology
• Task Variability and Problem analyzability
underlying dimension of knowledge
technology
• Identified strong interdependence between
long linked, mediating and intensive
technologies.
• Impact of Technology and structure in terms
of complexity, formalization and
centralization
• Discuss with IS and department12/13/09 and its
 FUTURE OF IT –
ORAGISATION
• Effective means of collaborating, sharing
information and knowledge – for faster
decision process.
• Enhance organizational human relationships,
policies, strategic , control , internal(external)
environment
• Improvement in business process by IT-
induced reengineering
• Decreasing intensity of regulation and
reduction in hierarchy levels
12/13/09
 FUTURE OF IT –
ORAGISATION(contd.)
• Decentralization of decisions; task
enrichment at the work place.
• Better team oriented structures and
growing importance of knowledge
management.
• Establishing of “young dynamic
communicative responsible”
organizational culture
• Establishing good relations with
suppliers, partners and integration of
customers in business process
12/13/09