IST 301: Information and Organizations Wei-Fan Chen, Ph.D. The Penn State University Wilkes-Barre Campus

Lecture 4: Information Processing and IT Systems Organizational information processing: Three analytic models Huber’s Model Galbraith’s Model Daft and Lengel’s Model Types of information systems Impact of IT on organizations

Lecture 4: Information Processing and IT Systems GM Environmental Activities Staff (pp.448-449) In 1981-1982 Change #1: More interactions Change #2: Power relationship change Change #3: Work schedule change

Premise Information processing is a fundamental process (function) in organizations.

Definition Data v.s. Information Data Science v.s. Information Science Information processing is the process (action) of collecting, modifying, summarizing, prioritizing, and routing information.

Organizational information processing Huber’s Model: Two criteria Efficiency (message routing and summarizing) Discretion (message modification and delay)

Organizational information processing Galbraith’s Model Overcome uncertainty Two steps Reducing information needs Increasing information processing capacity

Organizational information processing Daft and Lengel’s Model Consider uncertainty and ambiguity (deal with effectiveness) A fit (coordination) between information processing requirements its amount

Organizational information processing Together, the three models provide the basis for understanding why different types of information systems are needed in organizations

Types of information systems Operational systems: structure work Communication systems: enhance communication Control systems: monitor performance Decision support systems: aid decision making Inter-organizational systems: facilitate transactions among organizations

Impacts of IT on organizations Technological imperative IT as a causal variable Organizational imperative Change organizations to fit IT Emergent process perspective Consider other external factors

Review questions What are the three models of organizational information processing? What are the five types of information systems? What are the impacts of IT on organizations?

Homework (week 7- reading 4) Briefly discuss about the three analytic models of information processing mentioned in the article. Read the case study on pp.477-478 in the reading (British Rail Case Study) Answer the four questions asked in the article.