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3.1©2003byPrenticeHall33INFORMATIONSYSTEMS,ORGANIZATIONS,MANAGEMENT,ANDSTRATEGYChapterSchoolofManagementHUST3.2©2003byPrenticeHall•Whatdomanagersneedtoknowaboutorganizationsinordertobuildanduseinformationsystemssuccessfully?•Whatimpactdoinformationsystemshaveonorganizations?•Howdoinformationsystemssupporttheactivitiesofmanagersinorganizations?EssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyOBJECTIVESSchoolofManagementHUST3.3©2003byPrenticeHall•Howcanbusinessesuseinformationsystemsforcompetitiveadvantage?•Whyisitsodifficulttobuildsuccessfulinformationsystems,includingsystemsthatpromotecompetitiveadvantage?OBJECTIVESEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategySchoolofManagementHUST3.4©2003byPrenticeHall1.Sustainabilityofcompetitiveadvantage2.Fittingtechnologytotheorganization(orvice-versa)MANAGEMENTCHALLENGESEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategySchoolofManagementHUST3.5©2003byPrenticeHallORGANIZATIONSANDINFORMATIONSYSTEMSFigure3-1EssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyMEDIATINGFACTORS:EnvironmentCultureStructureStandardProceduresPoliticsManagementDecisionsChanceORGANIZATIONSINFORMATIONTECHNOLOGYTheTwo-WayRelationshipBetweenOrganizationsandInformationTechnologySchoolofManagementHUST3.6©2003byPrenticeHallOrganization:•Stable,formalstructure•TakesresourcesfromenvironmentandprocessesthemtoproduceoutputsEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyORGANIZATIONSANDINFORMATIONSYSTEMSSchoolofManagementHUST3.7©2003byPrenticeHallTechnicalMicroeconomicDefinitionoftheOrganizationEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyORGANIZATIONSANDINFORMATIONSYSTEMSFigure3-2SchoolofManagementHUST3.8©2003byPrenticeHallBehavioraldefinitionofOrganization:•Collectionofrights,privileges,obligations,responsibilities•Delicatelybalanced•ConflictresolutionEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyORGANIZATIONSANDINFORMATIONSYSTEMSSchoolofManagementHUST3.9©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyCOMMONFEATURESOFORGANIZATIONSTheBehavioralViewofOrganizationsFigure3-3SchoolofManagementHUST3.10©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategy•OrganizationsarebureaucraciesthathavecertainstructuralfeaturesORGANIZATIONSANDINFORMATIONSYSTEMSCommonFeaturesofOrganizationsSchoolofManagementHUST3.11©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyStructuralCharacteristicsofOrganizations:•Cleardivisionoflabor•Hierarchy•Explicitrulesandprocedures•ImpartialjudgmentsORGANIZATIONSANDINFORMATIONSYSTEMSCommonFeaturesofOrganizationsSchoolofManagementHUST3.12©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyStructuralCharacteristicsofOrganizations(cont.):•Technicalqualifications•MaximumorganizationalefficiencyORGANIZATIONSANDINFORMATIONSYSTEMSCommonFeaturesofOrganizationsSchoolofManagementHUST3.13©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyStandardOperatingProcedures:•Preciserules,procedures,andpractices•EnableorganizationstocopewithallexpectedsituationsORGANIZATIONSANDINFORMATIONSYSTEMSCommonFeaturesofOrganizationsSchoolofManagementHUST3.14©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyOrganizationalPolitics:•Divergentviewpointsleadstopoliticalstruggle,competition,andconflict•HamperorganizationalchangeORGANIZATIONSANDINFORMATIONSYSTEMSCommonFeaturesofOrganizationsSchoolofManagementHUST3.15©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyOrganizationalCulture:asetoffundamentalassumptionsabout:•Whatproductstheorganizationshouldproduce•Howandwhereitshouldproducethem•ForwhomtheyshouldbeproducedORGANIZATIONSANDINFORMATIONSYSTEMSCommonFeaturesofOrganizationsSchoolofManagementHUST3.16©2003byPrenticeHallAllorganizationshavedifferent:•Structures/Organizationaltypes•Goals•Constituencies•LeadershipStyles,Tasks•SurroundingEnvironmentEssentialsofManagementInformationSystemsChapter3InformationSystems,Organizations,Management,andStrategyORGANIZATIONS&INFORMATIONSYSTEMSUniqueFeaturesofOrganizationsSchoolofManagementHUST3.17©2003byPrenticeHallEssentialsofManagementInformationSystemsChapter3InformationSystems,organizations,Management,andStrategy•Entrepreneurial:Startupbusiness•Machinebureaucracy:Midsizemanufacturingfirm•Divisionalizedbureaucracy:For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