Let’s talk about the final
presentation, first…
• Each group has to present the case in the very
last lecture.
• At the same day, the group has to hand in your
essay before making presentation, as well
• The time, Up to 27 minutes
• 3 minutes Q&A
• The presentation should be precise, organized,
and readable
• Consider your audience is essential
1
Assessment
• Oral presentation (30%), including time
management & readability, of course you can
animate the presentation as well
• PLEASE, DO NOT exceed 30 minutes
• Essay (70%), including structure, content,
insight (big idea), and format
2
The formatting guideline for the
Essay
• The entire paper (title page, abstract (300
words), body, figures, tables, references, etc.)
must be in ONE document
3
The formatting guideline for the
Essay
• The word limitation is 3000 words, excluding
title page, abstract, all tables, appendices, and
references
• The title page must include the name of each
group member’s full name and their email
address
4
The formatting guideline for the
Essay
• Use Times New Roman 12-point font, double
spaced, 1-inch (2.5 cm) margin all around, and
A4 size paper
• Record the file name as the header on each
page
• Number all of the pages of the essay
• Check that the essay prints correctly (i.e., all
imported figures and tables appear)
5
Chapter
Workplace Technology and
Design
13
Understanding the Theory & Design
of Organizations
Eleventh Edition
Richard L. Daft
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Service and Manufacturing Technologies
• Technology refers to the work processes,
techniques, machines, and actions used to
transform input into outputs
• Technology influences organizational structure
• Understanding technology helps dictate how
organizations can be designed for efficiency
• Core technology relates to the transformation
process to provide goods/service
• Non-core technology is not directly related to the
primary mission of the organization
7
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Core Transformation Process for a Manufacturing Company
8
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Pressures Affecting
Organization Design
9
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Definition of Manufacturing Sector
• Agglomeration of industries engaged in
chemical, mechanical, or physical
transformation of materials, substances, or
components into consumer or industrial
goods.
10
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Manufacturing Firms
• Technical complexity defines the extent of
mechanization of the manufacturing process
• The conception relates the design of manufacturing
firms
• Three basic technology groups defined by
Woodward (Woodward, 1958):
– Small-batch and unit production
– Large-batch and mass production
– Continuous-process production
11
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Woodward’s Classification Based on
System of Production
12
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly
6 accessible website, in whole or in part.
Examples of the technology groups
• Group 1
• Production of single or small pieces to customer
order, Ex, Hermes Kelly Bag
• Group 2
• Production of large batches, assembly line type,
and mass communication
• Group 3
• Continuous flow production of liquids, gases, and
solid shapes
13
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Relationship between Technical Complexity
and Structural Characteristics
14
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Strategy, Technology, and Performance
• Strategy, structure, and technology need to
be aligned
• Successful firms have complementary
structures and technologies
• Failing to adopt a new technology or failing to
realign strategy can lead to poor performance
15
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Contemporary Applications
The Digital Factory
•
•
•
•
•
•
The shop floor has been revolutionized
Computer-aided Design (CAD)
Computer-aided Manufacturing (CAM)
Manufacturing Process Management (MPM)
Integrated Information Network
Product life-cycle Management (PLM)
16
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Lean Manufacturing
• Highly trained employees at every stage of
production
• Cut waste and improve quality
• Incorporates technological elements
17
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Lean Manufacturing
• Keep the customers in their mind at all times
• The heart of lean manufacturing is not
machines or software, but people (customers
and trained employees)
• Paved the way for mass customization
– Using mass-production technology to quickly and
cost-effectively assemble individual goods for
customers
18
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Performance and Structural Implications
Flexible manufacturing allows diverse products
to be made on one assembly line
Computer-aided craftsmanship
More efficient
Increased productivity
Decreased scrap
Customer satisfaction
19
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Flexible Manufacturing Technology vs.
Traditional Technologies
20
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Comparison of Organizational Characteristics
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
10 mins break
22
Service Sector
The service sector is part of the economy
that produces intangible goods. It
consists of services such as
transportation, messenger services and
warehousing.
23
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Service Firms
Source: NSC 2006 report
24
Service Firms
• Service technologies are different from manufacturing
technologies and require different organizational
design
• Education, health care, transportation, and banking
all have unique dimensions
• Services have intangible output
• There is direct interaction with customer and
employee
• Human element is important
• Quality of service cannot be directly measured
25
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Core Organization Service Technology
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Trend Toward Lean Services
• Customer expectations are rising
• Expectations have required that service firms
must become lean, too
– Cut waste
– Improve customer service
• Adopt continuous improvement approach
27
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Structural Characteristics of Service
Organizations versus Product Organizations
28
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Designing the Service Organization
• Service organizations are not necessarily large
• Often small locations, close to customers
• Service organizations require technical core employees
– close to customer
• Service customers interact directly with technical
employees
• The skills of technical employees need to be high
• Employees need knowledge, awareness, and
interpersonal skills
• Decision making is often decentralized
29
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
• Let’s talk about the noncore departmental
technology
30
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Core Transformation Process for a Manufacturing Company
31
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Non-Core Departmental Technology
• Every department in an organization has a
production process
– Variety: frequency of unexpected and novel events
– Analyzability: ability to apply standard procedures
• Routine vs. Nonroutine Dimension
32
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Framework for Department Technologies
33
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Department Design
• The appropriate design can be determined once the
department’s technology is identified
• Overall design is either organic or mechanistic
• Design characteristics vary depending on work unit
– Formalization (standardized rules)
– Decentralization (flat organizational form)
– Employee skill level (well-educated and experience)
– Span of control (number of employees report to one
manager)
– Communication and coordination (frequency)
34
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Relationship of Department Technology to
Structural and Management Characteristics
35
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Workflow Interdependence
Among Departments
• The extent to which departments depend on
each other for resources or materials
• Low interdependence means that departments
can do their work independently
• High interdependence means departments
depend on each other
36
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Interdependence and
Management Implications
mediating technology allows
each department to work
independently
Long-linked technology, the
combination in one organization of
successive sequential stages of
production
Intensive technology, provide a
variety of products or services in
combination to a client
37
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Interdependence of Departments Involved in the
Flight Departure Process
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Structural Priority and Implications
Reciprocal interdependence should
receive first priority
Reciprocal activities should be grouped
together
Poor coordination will cause poor
performance
Organizations should be designed to
address interdependence
39
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Impact of Technology on Job Design
Job Design
Technology impacts:
Job Simplification
1) Job Design
Job Rotation
2) Sociotechnical systems
Job Enrichment
Job Enlargement
Sociotechnical systems approach recognizes the
interaction of technical and human needs
42
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Sociotechnical Systems Model
Socio refers to the people and groups
that work in organizations and how
work is organized and coordinated.
Technical refers to the materials,
tools, machines, and processes
used to transform organizational
inputs into outputs
43
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Design Essentials
Key research notes that technology and structure can be coaligned
Service technologies differ in a systematic way from
manufacturing technologies
It is important to apply the correct management system to a
department
Interdependence among departments dictates the amount of
communication and coordination required in design
New technologies are enriching jobs to make organizations a
happier place to work
Sociotechnical system theory attempts to design systems that
meet technical and human aspects
44
©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Examples
• Amazon Prime Air
• Google Glass
45