BA 5201 Organization and Management Organizational technology Instructor: Ça ğ rı Topal 1

Technology The work performed by an organization The knowledge, tools, machines, information, skills, and materials used to complete tasks within organizations as well as the nature of the outputs of the organization The way an organization uses resources to produce products and services Not only the machinery but also the method Associated with organizational structure 2

Levels of technology Organizational-level or core technology Work unit or departmental technology Interdependent relationships between work units or departments 3

Organizational-level technology Woodward's classification Technical complexity criterion Unit or small batch technology Mass or large batch technology Continuous process or flow technology 4

Woodward's classification Unit or small batch technology A few units at a time Customized production Little stockpiling Labor intensive Custom tailor shop Organic structure Coordination with customization 5

Woodward's classification Mass or large batch technology Many units of the same or similar product Moderate capital and labor intensity Undifferentiated output Stockpiling possible Clothing Mechanistic/bureaucratic structure Coordination with standardization 6

Woodward's classification Continuous process/flow technology Continuous production Capital intensive Standardized production and output Direct labor involvement is little labor involvement Breweries Organic structure Coordination with professionalization 7

Hull and Collins’ classification Technical batch technology High knowledge complexity and small scale operations General-purpose computer controlled and automated capital equipment Professional and technical experts, and skilled and semi-skilled operators Organic-professional adhocracy High research and development, and innovative activity Aerospace electronics 8

Hull and Collins’ classification Traditional batch technology Low knowledge complexity and small scale operations General-purpose non-automated capital equipment Skilled or unskilled operators Simple traditional craft structure Low research and development, and innovative activity Dressmaking 9

Hull and Collins’ classification Continuous process technology High knowledge complexity and large scale operations Automated and integrated, and sometimes computer controlled capital equipment Skilled operators and a large number of engineers Professional bureaucracy Medium to high research and development, and innovative activity Petrochemical plant 10

Hull and Collins’ classification Mass production technology Low knowledge complexity and large scale operations Automated, repeat-cycle, and sequential capital equipment Semi-skilled operators and a small number of engineers Mechanistic-bureaucratic or machine bureaucracy Low to medium research and development, and innovative activity Carburetor assembly 11

Service as a core technology Intangibility Customization Customer participation Simultaneous production and consumption Labor intensity Low workflow integration and organic structure Low level of automation Flexible workflow Unclear and subjective evaluation measures 12

Work unit or department technology Dimensions Task variety Many or few exceptions A large or small number of unrelated tasks and unexpected events Various or limited raw materials Flexibility or inflexibility Task analyzability Readily available or unavailable information Standardized and programmed or ambiguous and complex 13

Work unit or department technology Categories-craft technology Low variety and low analyzability Mostly organic structure Moderate formalization and centralization Experienced workers with moderate specialization Moderate span of supervisory control Horizontal communication Test chefs and degustators Somewhat flexible control and coordination 14

Work unit or department technology Categories-routine technology Low variety and high analyzability Mechanistic structure High formalization and centralization Low skill and narrow specialization Wide span of supervisory control Little vertical communication Maintenance and clerical jobs Close control 15

Work unit or department technology Categories-engineering technology High variety and high analyzability Mostly mechanistic structure Moderate formalization and centralization Formal training and moderate specialization Moderate span of supervisory control Vertical and horizontal communication Accounting and legal research jobs Somewhat close control and coordination 16

Work unit or department technology Categories-non-routine technology High variety and low analyzability Organic structure Low formalization and centralization Highly trained and experienced workers and generalists Small span of supervisory control Extensive horizontal communication Strategic planners and top management Flexible coordination 17

Interdependent relationships Thompson's framework Interdependence and coordination How much does one unit or department depend on another to complete work? What is the nature of that interdependence? How can we achieve the necessary coordination? Mediating technology Long-linked technology Intensive technology 18

Thompson's framework Mediating technology Bringing together individuals, departments, or organizations with complementary needs Standard operating procedures and manuals Low need for communication and coordination Low horizontal communication No need to locate different units closely Pooled interdependence Relatively independent units 19

Thompson's framework Long-linked technology Proceeding in a serial or step-wise fashion Steps in sequential order Interdependent units close or adjacent to one another Communication channels between units Scheduled tasks Sequential interdependence Relatively dependent units 20

Thompson's framework Intensive technology Involving situations in which the outputs of one individual, unit, or department become the inputs of another individual, unit, or department Different skills, techniques, and methods brought together to accomplish a specific purpose Units located together to facilitate communication and mutual adjustment Reciprocal interdependence Interdependent units 21

Task/job design and technology Fitting people to jobs Jobs nearly inflexible People flexible People selected and trained Conducive to job specialization and assembly- line operations 22

Task/job design and technology Fitting jobs to people Available labor force over technology Technology and jobs consistent with available skills and abilities Job redesign and job enrichment Creating more challenging and motivating jobs 23

Task/job design and technology Socio-technical systems Combining the first and second approaches Qualities of individual employees, technologies, and relations between the two Design of tools, equipment, and process depending on human aspects and adaptation 24