Organizations and information systems have a mutual influence on each other. The information needs of an organization affect the design of information systems and an organization must be open itself to the influences of information systems in order to more fully benefit from new technologies. The organization's environment, culture, structure, standard operating procedures, politics and management decisions are mediating factors that influence the interaction between information technology and organizations. Show Figure 3-1
From a technical view, an organization is a formal, legal, social structure that processes resources, or inputs, to produce outputs. The firm is seen as infinitely malleable, with capital and labor substituting for each other quite easily. Figure 3-2
A behavioral definition of an organization is that it is a collection of rights, privileges, obligations, and responsibilities that is balanced over time through conflict and conflict resolution. This definition suggests that building new information systems or rebuilding old ones involves much more than a technical rearrangement of machines or workers. Technological change requires changes in who owns and controls information, who has the right to access and update that information, and who makes decisions about whom, when, and how. Figure 3-3
The technical and behavioral views of organizations complement one another. The technical definition describes how thousands of firms in competitive markets combine capital and labor with information technology, whereas the behavioral model describes how technology affects the organization's inner workings. All modern organizations can be seen as bureaucracies which share some essential characteristics: clear division of labor, hierarchy, explicit rules and procedures, impartial judgments, technical qualifications for positions, and maximum organizational efficiency. Additionally, all organizations develop routines and business procedures, politics, and cultures. Business processes are collections of routines, or standard operating procedures (SOPs), which enable a firm's efficiency. Figure 3-4
Organizational politics reflects the political struggles due to divergent concerns and perspectives of individuals and groups within the organization. Political resistance is one of the great difficulties of bringing about organizational change. Organizational culture is the set of fundamental assumptions about what products the organization should produce, how it should produce them, where, and for whom. Organizational culture is a powerful unifying force that restrains political conflict. However, technological change that threatens commonly held cultural assumptions usually meets great resistance. No two organizations are identical. Organizations have different structures, goals, constituencies, leadership styles, tasks, and surrounding environments. Differences in these characteristics will affect the type of information systems used by the organization. Organizations have different social and physical environments, which exert a powerful influence on the organization's structure. Information systems help organizations respond to their surrounding environments, from which they draw resources and to which they supply goods and services. Information systems are key tools for environmental scanning, helping managers identify external changes that might require an organizational response. Figure 3-5
Organizations also differ in their ultimate goals, the types of power used to achieve them, the groups and constituencies they serve, the nature of leadership within the organization, the tasks performed, and the technology used. Which of the following is not a part of organization's specific environment?The correct answer is D) competitors. Competitors are not categorized as part of an organization's environment; they are not involved in organizational decision-making and development strategies.
What is an Organisation specific environment?The specific environment or organizational domain includes the range of goods and services produced by the organization that is useful for customers and other stakeholders.
Which of the following is usually a part of an organization's general environment?The general environment is composed of the nonspecific elements of the organization's surroundings that might affect its activities. It consists of five dimensions: economic, technological, sociocultural, political-legal, and international.
Which of the following is part of an organization's internal environment?An organization's internal environment is composed of the elements within the organization, including current employees, management, and especially corporate culture, which defines employee behavior.
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