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1 Chapter 3. Information Technology and The Design of Work Managing and Using Information Systems: A Strategic Approach by Keri Pearlson PowerPoint Slides prepared by Gene Mesher Copyright © 2001 John Wiley & Sons, Inc.

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Page 1: 1 Chapter 3. Information Technology and The Design of Work Managing and Using Information Systems: A Strategic Approach by Keri Pearlson PowerPoint Slides

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Chapter 3. Information Technology and The Design of Work

Managing and Using Information Systems: A Strategic Approach

by Keri PearlsonPowerPoint Slides prepared by Gene Mesher

Copyright © 2001 John Wiley & Sons, Inc.

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Copyright John Wiley & Sons, Inc. All rights reserved. Reproduction or translation of this work beyond that named in Section 117 of the United States Copyright Act without the express written consent of the copyright owner is unlawful. Requests for further information should be addressed to the Permissions Department, John Wiley & Sons, Inc. Adopters of the textbook are granted permission to make back-up copies for their own use only, to make copies for distribution to students of the course the textbook is used in, and to modify this material to best suit their instructional needs. Under no circumstances can copies be made for resale. The Publisher assumes no responsibility for errors, omissions, or damages, caused by the use of these programs or from the use of the information contained herein.

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Introduction

Chapter 3 looks at the impact of IS on the way work is done by individual workers.

It explores the changing nature or work, IT’s impact on different types of workers and the rise of new work environments.

It also looks at how IT has enabled and facilitated a shift toward work that creates, disseminates and applies knowledge.

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JOB DESIGN FRAMEWORK

What tasks will be performed?How will the work be performed?Who will do the work?Where will the work be performed?How can IS increase performance,

satisfaction and effectiveness of the workers doing the work?

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What tasks need to be performed?

What is the best way to have these tasks done?

Done by a person

Who is going to do these tasks?

Where is that person when doing the work?

How can IT enhance theworker efficiency and satisfaction?

Done by a computer

Automate the tasks

Figure 3.1 Framework for job design impacts

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HOW INFORMATION TECHNOLOGY IS CHANGING THE NATURE OF WORK

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New Ways to do Traditional Work

The introduction of IT can greatly change workers’ day-to-day tasks.

IT changes workers’ communication patternsWorkers using mobile devices can send and

receive message and tap into databases, affecting sales and service tasks.

The cost and time needed to access information is dramatically lower, giving workers new tools.

Work has become much more team oriented an effect amplified by the Internet.

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Creating New Types of WorkSince the early 1980s, increased IS/IT use

has created many new types of jobs.Consulting firms have become widespread

that specialize in IS-related work.Examples of newly created jobs now

common in traditional organizations include: knowledge managers, systems analysts, database and network administrators, webmasters and web site designers.

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New Challenges in the Work of Managers (Figure 3.2)

Organizations face the challenge of managing a work force that is no longer in a single location.

Work is also more team oriented, making it more difficult to assess individual contributions.

One solution is to use electronic employee monitoring systems, automates the supervisory process, but may also hurt morale and undermine attempts to encourage overall contributions to the organization.

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Figure 3.2 Changes in employee supervision and evaluation

TraditionalApproach

Personal. Manager usually present or relies on others to ensure employees are present and productive

Focus is on process through direct observation. Manager sees how employee performed at work. Subjective (personal) factors are very important.

NewerApproach

Electronic, or assessed by deliverable. As long as the employee is producing value, he does not need formal supervision.

Focus on output or target. As long as these are achieved, performance considered adequate. Subjective factors less important, harder to gage.

Supervision Evaluation

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Work It creates millions of new jobs, some in entirely new industries.

Working More work is team-oriented, enabled byArrangements communications and collaboration technologies. Geographic constraints of some professions are eliminated, enabling telecommuting.

Human New strategies are need to supervise,Resources evaluate, and compensate remotely performed, team-oriented work. IT requires new skills workers often lack.

Figure 3.3 Summary of IT’s effects on employee life

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HOW INFORMATION TECHNOLOGY IS CHANGING WHERE WORK IS DONE

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The Growth of Telecommuting

Telecommuting has gained popularity since the late 1990s because: Lowers corporate overhead since workers who

are at home don’t take up office space lowering facilities costs

Workers who are giving increased flexibility are more productive and express higher levels of job satisfaction

2/3’s of Cisco employees occasionally work from home. The policy has saved the company $1M in expenses, while workers prefer to set their own schedules and work in more comfortable surroundings.

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Enabling Factors for Telecommuting

Three factors support the growth of telecommuting growth (Fig. 3.4): Work is increasingly knowledge-based so workers

don’t need to be “at work” to do their jobs. More powerful computers plus cheap

telecommunications such as DSL make it possible for telecommuters to be connected to corporate networks at high data rates.

Telecommuting enables workers to shift their work to accommodate their lifestyles, esp. parenting or live in distant locations far from the office.

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Figure 3.4 Telecommuting’s driving factors

Shift to knowledge-based work

Eliminates requirement that certain work be performed in a specific place.

New technologies Make remotely performed work practical and cost-effective.

Changing demographics and lifestyle preferences

Provides workers with geographic and time-shifting flexibility.

Driver Effect

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Figure 3.6 Advantages and disadvantages of telecommuting

Reduced stress, heightened morale and lower absenteeism

Harder to evaluate performance

Geographic flexibility Employee may become disconnected from company culture

Higher personal productivity Telecommuters are more easily replaced by electronic immigrants

Housebound individuals can join the workforce

High level of self-discipline required

Employee Advantages Potential Problems

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Mobile Workers

Mainly sales and service personnel, sometimes it means traveling personnel being more connected

Their roles are changing by the heavy use of four technologies: laptops, PDAs, handheld terminals and mobile phones (See Figure 3-5).

High quality laptops are the most important and widely used of all mobile work technologies.

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Figure 3.5 Key technologies in redesigning work

Laptops Consultants and sales

Eliminates constraints of travel. Enable workers to be productive anywhere.

PDAs Mostly professionals

Provides a low-cost, simple way of organizing information and communicating data.

Handheld terminals

Service professionals (delivery, tech. support, service & repair)

Enhances productivity and adds capabilities and real-time communication.

Portable phones

Anyone Allows immediate voice (and sometimes data) communication.

Technology Used by Impacts

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INFORMATION SYSTEMS ENABLES MORE GROUP WORK

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Groupware and Electronic Collaboration

Groupware tools such as Lotus Notes, Microsoft Outlook and technologies, such as video conferencing have made it cost-effective for workers in distant locations to create, edit and share electronic documents and processes.

Collaboration adds value to many types of tasks, particularly those that benefit from exchange of ideas.

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Whirlpool’s Product Design Management (PDM) system

PDM unites design teams electronically using a central data repository.

Engineers around the world collaborate online to create several basic designs using PDM.

Each region then customizes generic design for local use.

PDM cuts design time in half, thereby saving money and brings products to market more quickly.

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Ford Motor Company

Ford now develops cars for world markets by electronically linking design and engineering centers via videoconferencing and corporate intranets.

Faster more efficient communication allows Ford to design and produce cars in less time.

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FOOD FOR THOUGHT: THE PRODUCTIVITY PARADOX

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Does IS/IT Investment Improve Worker Productivity?

Some researchers argue ongoing costs outweigh productivity gains

Other research suggests employee productivity is rising

Some argue the measurement of productivity is flawed; e.g., fails to capture gains in service.

Controversy remains unresolved after many years of research.

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End of Chapter 3