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UFCE8V-20-3 Information Systems Development SHAPE Hong Kong 2010/11

UFCE8V-20-3 Information Systems Development SHAPE Hong Kong 2010/11. Lecture 1: Organisations & Information Systems. Organisations: A functional view. Why do organisations exist? Because they are more productive than the same number of people working individually. But …

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UFCE8V-20-3 Information Systems Development SHAPE Hong Kong 2010/11

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  1. UFCE8V-20-3Information Systems DevelopmentSHAPE Hong Kong 2010/11 Lecture 1: Organisations & Information Systems

  2. Organisations: A functional view Why do organisations exist? Because they are more productive than the same number of people working individually. But … … only if they are organised! What does being organised imply? • Common goals and purposes • Division of labour - leads to delegation - structure • Coordination and control - leads to process UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  3. What do information systems do to support this? • They break down the organisation’s goals into individual and local goals • They enable communication and coordination between different parts of the organisation • They provide information on performance to ensure that targets are met and to identify problem areas Strategic Level Tactical Level Operational Level UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  4. One way of viewing organisations • Strategic level Relates the organisation to the environment Sets overall goals Medium / long term horizon • Tactical level Interprets organisation’s operational level Coordinates operational level Medium / short term horizon • Operational level Performs the primary task Short term horizon *In small organisations people may function on more than one level UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  5. Information flows in organisations • Vertical – “downwards” Departmental goals and budgets Individual instructions and targets • Vertical – “upwards” Summaries Analysis Performance Exception reports • Horizontal Between functional areas such as sales and production purchasing and stock control UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  6. An alternative view of organisations • Environmental – Information flows into and out of the organisation as well as within it • Strategic level – economic trends, market research • Tactical level – contracts with customers and suppliers • Operational level – orders, invoices, catalogues * So far we have taken a very formal view of organisations – it needs to be modified! UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  7. Organisations: A social view A social view focuses on the people in organisations. So…….. • “Functionalist”view of people • Individual is a “component of a machine” • Has a clearly defined role • Carries out unambiguous instructions • “Social”view of people • People in organisations retain their human characteristics – complex, meaning generating, have personal goals etc. … and this has a variety of effects (non-trivial) on how the organisation works UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  8. Political view • Organisations are places where people seek to further their careers • People may form coalitions or interest groups – to compete for resources e.g. • management v. workers • sales v. finance • People may have loyalties outside the organisation • e.g. parents, politics, religion UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  9. Social view • Organisations have a “culture”(rigid, loose, authoritarian, informal etc.) • People form human “relationships”(likes, dislikes etc.) • People seek “social fulfilment”within the organisation UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  10. Human limitations • Can’t predict the consequences of their actions – there may be a “knock on effect” • Can only cope with limited amount of information • Can only handle limited complexity in roles E.g. One person may have many roles, the roles may conflict, they may be unclear they may be interdependent UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  11. Objective v. Subjective People do not always see the same thing in the same way – depends on your “worldview”or “weltanschauung” • Objective – there is a real world out there – people may disagree about what it constitutes but there is a underlying reality that is “real” which can/must be investigated • Subjective – we use our senses to perceive the world – but put our own interpretation on what we see • In organisations people interpret information and events and assign meanings to them UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  12. Possible implications of the social view of organizations Organizations are by definition “social” – without the activity of people they could not exist – this will imply ... • For the organisation • impaired / improved delegation • impaired / improved coordination, communication • impaired / improved feedback • For the use of I.T. • I.T. changes will always have political implications causing (either/both) positive/negative effects e.g. lack of honest cooperation and/or user resistance or better cooperation and/or more user participation/motivation • Computer based information systems should attempt to meet the needs of the organisation – both social and functional UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  13. Extending Images of organisation Gareth Morgan offers these metaphors or images of organisations: • Organisation as machine (classical management theory) • Organisation as organism (classical systems view) • Organisation as brain (developed systems view, information processing) • Organisation as culture (anthropological , working lives) • Organisation as polity (focus on interests, power, negotiation) • Organisation as psychic prison (people trapped in their own creation) • Organisation as flux and transformation (change natural, stability unusual) • Organisation as instrument of domination (damage and exploitation) UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  14. Perspectives on technological change in organisations • Unitary – organisation as a team with shared interests and goals • Technocratic – new technology inevitable and virtuous • Pluralistic– need to negotiate cooperation between different interests • Radical– factional struggle for control over resources • Augmentative – technology tends to reinforce existing power distribution UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  15. A merged view of information systems UFCE8V-20-3 Information Systems Development SHAPE 2010/11

  16. Key points • This is not a view of a “bad” or “faulty” organisation rather it is part of the human condition. We can hope to cope, we cannot cure! • Human aspects do benefit the organisation – can adjust to changing situations, can innovate – not all good ideas come from the top • Both the functional and the social view are required to gain an adequate understanding of the organization … but organizations are open systems which are changing constantly as is their environment - so our understanding will always be incomplete UFCE8V-20-3 Information Systems Development SHAPE 2010/11

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