Chapter 9 Flashcards
Technology:
The combination of skills, knowledge, abilities, techniques, materials, machines, computers, tools and other equipment that people use to convert or change raw materials into valuable goods and services.
Inside an organization, technology exists at three levels:
Individual level
Functional or departmental level
Organizational level
Individual level
Technology is the personal skills, knowledge and competences that individual woman and men possess.
Functional or departmental level
The procedures and techniques that groups work out to perform their work create competences that constitute
technology.
Organizational level
The way an organization converts inputs into outputs
Mass production
The organizational technology that uses conveyor belts and a
standardized, progressive assembly process to manufacture goods
Craftwork:
The technology that involves groups of skilled workers who interact closely to produce custom-designed products
What is the process of technology and organisational effectiveness
Work enters
Input process
Conversion process
Output process
Work leaves
Input stage
At this stage, technology – skills, procedures, techniques and competences – allows each organisational function to handle relationships with outside stakeholders so that the organisation can effectively manage its specific environment.
Conversion stage
At this stage, technology – a combination of machines, techniques and work procedures – transforms input into outputs.
The best technology allows an organisation to add the most value to its inputs at the least cost of organisational
resources.
Organisations often try to improve the efficiency of their conversion processes.
Output stage
At this stage, technology allows an organisation to effectively dispose of finished goods and services to external stakeholders.
To be effective, an organisation must possess competences in testing the quality of the finished product, in selling and marketing the product, and in managing after-sales service to customers.
Three principal approaches to measuring and increasing organizational effectiveness.
External resource approach
Internal systems approach
Technical approach
External resource approach
Uses technology to increase its ability to manage and
control external stakeholders
Internal systems approach
Uses technology to increase the success of its
attempts to innovate; to develop new products, services and processes; and to reduce the time needed to bring new products to market.
Technical approach
Uses technology to improve efficiency and reduce costs
while simultaneously enhancing the quality and reliability of its products
