Final Project Part I

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Technology for Control, Social Business, and Big Data

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Organiza(on Theory and Design Twel9h Edi;on Richard L. Da9

Informa;on Technology Evolu;on

•  Transac(on Processing Systems (TPS)- automates business transac;ons

•  Data warehousing- use of huge databases •  Business intelligence- high-tech analysis of

data •  Social business- using social media

technologies •  Big data analy(cs – examining massive sets of

data 2

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Evolu;on of Organiza;onal Applica;ons of IT

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The Changing Philosophy of Control

•  Hierarchical control- monitoring employee behavior through rules, policies, hierarchy of authority, wriTen documenta;on, reward systems, formal systems

•  Decentralized control – based on values and assump;ons opposite to those of hierarchical control

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Hierarchical and Decentralized Control

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A Simplified Feedback Control Model

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The Level and Focus of Control Systems

•  Organiza(onal Level: The Balanced Scorecard – Measures financial, customer, employee, and market concerns

– Comprehensive management control system – Strategy map – visualiza;on of organiza;on success drivers and how they are linked

•  Departmental Level: Behavior versus Outcome Control – How people do their jobs – Outcomes people produce

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Major Perspec;ves of the Balanced Scorecard

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©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Strategy Map for Performance Management

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Department Level: Behavior vs. Outcome Control

•  Behavior control –based on managers’ direct observa;on and supervision of employee ac;ons to see whether the individual follows rules and policies and performs tasks as instructed

•  Outcome control – based on monitoring and rewarding results without supervision

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Facilita;ng Employee Coordina;on and Efficiency

Improving coordina9on and knowledge sharing among employees, enhancing efficiency, and

improving collabora9on

Intranets

Social Network Analysis

Knowledge Management

Social Business

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Knowledge Management

•  Knowledge Management- efforts to organize and make available the company’s intellectual capital and foster a culture of learning

•  Intellectual capital –sum of knowledge, experience, understanding, rela;onships, processes, innova;ons, discoveries

- codified knowledge- formal knowledge - tacit knowledge- experience

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Two Approaches to Knowledge Management

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Social Network Analysis

•  Social Network Analysis – informal rela;onships and network structures within an organiza;on

•  Roles - Hub: Center of an informa;onal network - Peripheral players: Fewest connec;ons - Brokers: Connec;ng people

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Roles in a Social Network

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Adding Strategic Value

Using IT for Social Business and Big Data analy;cs

•  Social Business- using social media technologies •  Social Media - company online pages, blogs, Facebook, YouTube - provides effec;ve sharing of tacit knowledge - builds trus;ng rela;onships with consumers - builds rapport between managers and employees

©2013 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Structural Design for Social Business

•  Social Media Directors are blending marke;ng, promo;ons, customer service, and support

•  77% of Fortune 500 companies use TwiJer

•  70% of Fortune 500 companies are on Facebook

•  34% of companies use company blogs to communicate with customers

•  Social Media Command Centers monitor comments about the company on social media

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

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Big Data is Really Big

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Elements of Big Data Func;on

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Structures for Organizing Big Data

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Impact on Organiza;on Design

•  Smaller Organiza(ons

•  Decentralized Organiza(on Structures

•  Improved horizontal coordina(on and collabora(on

•  Enhanced Network Structures

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Design Essen;als v Successful organiza;ons effec;vely apply technology v IT systems are used for beTer control and coordina;on of the organiza;on- hierarchical to decentralized control

v The balanced scorecard provides a balanced view of the organiza;on

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.

Design Essen;als

v Knowledge management and social network analysis increase coordina;on

v Social business using social media technologies is a growing area of ac;vity

v Big data is a recent advance in IT

v Advances in IT have impacted organiza;on design

©2017 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 23