Abstract

When the relationship between computer systems and organizations is studied, social-organizational consequences of computer usage are quite often examined. On the other hand,consequences of different organizational structures on computer-based information systems are seldomly taken into consideration. This case study describes an organizational change that took place in the production department of small manufacturing firm. In the pre-existing organizational structure various exogenous and endogenous disturbances hindered an effective production scheduling: frequent corrective action had to be taken in order to meet delivery dates (the fragmented information flows limited productivity growth). The usual way to solve a problem of information and control is to increase sophistication of the technical support of the information system (using larger computers, on-line terminals, etc.). A different strategy is based on a simplifying production organization as a first step. In the firm examined semi-autonomous workgroups were introduced to substitute the rigid and fragmented work organization. As a consequences the organizational structure and the work flow become more controllable through the information network and microcomputer usage for production control brings improvements both in economic efficiency and effectiveness. Success of microcomputer applications seems to depend strongly upon simplifying and specializing the information system (i.e., the super-structure) and the organization (i.e., the structure). Such a change can be achieved only by designing and implementing different organizational structures that admit explicit bargaining between members and clearer industrial relations.

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