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Lecture 9
Abdisalam Issa-Salwe
Thames Valley University
Information systems and
Organisational Change
Abdisalam Issa-S...
2
Abdisalam Issa-Salwe, Thames Valley University
3
Change Management and IT (cont…)
 A new system is more than just the h...
3
Abdisalam Issa-Salwe, Thames Valley University
5
User resistance
 People might be resistance of change.
Three types of ...
4
Abdisalam Issa-Salwe, Thames Valley University
7
Problem occurring when implement IS
 Problem that occur when
implement...
5
Abdisalam Issa-Salwe, Thames Valley University
9
 Testing:
 Insufficient time and money allocated to
testing
 Failure...
6
Abdisalam Issa-Salwe, Thames Valley University
11
IT and change (cont…)
 Other common cause of dissatisfaction
with inf...
7
Abdisalam Issa-Salwe, Thames Valley University
13
IT Role in Change (cont…)
 The type of products or services
that are ...
8
Abdisalam Issa-Salwe, Thames Valley University
15
IT Role in Change (cont…)
 IT acts as an enabling technology:
 IT ca...
9
Abdisalam Issa-Salwe, Thames Valley University
17
DATA WORKERS
KIND OF SYSTEM GROUPS SERVED
STRATEGIC LEVEL SENIOR
MANAG...
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CIMA- Lecture10(Information systems and Organisational Change)

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Change management is the process of assisting individuals and organisations passing from an old way of doing things to a new way of doing things.
Information Technology can be both a cause of a major change in doing business and a response to them

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CIMA- Lecture10(Information systems and Organisational Change)

  1. 1. 1 1 Lecture 9 Abdisalam Issa-Salwe Thames Valley University Information systems and Organisational Change Abdisalam Issa-Salwe, Thames Valley University 2 Change Management and IT  Change management is the process of assisting individuals and organisations passing from an old way of doing things to a new way of doing things.  Information Technology can be both a cause of a major change in doing business and a response to them
  2. 2. 2 Abdisalam Issa-Salwe, Thames Valley University 3 Change Management and IT (cont…)  A new system is more than just the hardware and the software;  It is also the people and organisational considerations  Significant new systems require cultural change  People are often willing to change, but they resist being changed Abdisalam Issa-Salwe, Thames Valley University 4 Project and IT  A project is affected by a number of factors:  Quality of system required, in terms of basic system requirements  Time, both to complete the project, and in terms of the opportunity cost of time spent on this project which could be spend on others  Costs and resources allocated to the project
  3. 3. 3 Abdisalam Issa-Salwe, Thames Valley University 5 User resistance  People might be resistance of change. Three types of user resistance:  People oriented:User is caused by factors internal to the user as individual or as a group. For example, user may need not to disrupt their current work practice and social groupings  System oriented: User-resistance is caused by factors inherent in the new system and functionality. For example, a poorly designed user-interface will generate user-resistance. Abdisalam Issa-Salwe, Thames Valley University 6 User resistance (cont…)  Interaction: User-resistance is caused by the interaction of people and the system. For example, the system may be well-designed but its implementation will cause organisational changes that users resist, e.g.. Reduce change of bonuses, redundancies, monotonous work
  4. 4. 4 Abdisalam Issa-Salwe, Thames Valley University 7 Problem occurring when implement IS  Problem that occur when implementing a new information system can be usually be traced to deficiencies in the development process. Some of these are:  Analysis:  the problem the system is intended to solve is not fully understood.  User inadequately consulted Abdisalam Issa-Salwe, Thames Valley University 8 Problem occurring when implement IS (cont…)  Design:  Insufficient user input  Lack of flexibility  Failure to perform organisational impact analysis  Programming:  Insufficient time and money allocated to programming  Programmer supplied with incomplete or inaccurate specification  The logic of the program misunderstood
  5. 5. 5 Abdisalam Issa-Salwe, Thames Valley University 9  Testing:  Insufficient time and money allocated to testing  Failure to develop an organised testing plan  Insufficient user involvement  User management do not review and sign-off results of testing  Conversion:  Insufficient time and money allocated to data conversion  Insufficient checking between old and new file  Process is rushed to compensate for time overruns elsewhere Problem occurring when implement IS (cont…) Abdisalam Issa-Salwe, Thames Valley University 10 IT and change (cont…)  Most research seems to indicate that the major cause of information systems failure is inadequate user involvement  Users need to be involved in the development process at all stages – including system design
  6. 6. 6 Abdisalam Issa-Salwe, Thames Valley University 11 IT and change (cont…)  Other common cause of dissatisfaction with information systems  If IS mangers are technicians, not mangers, technical ability for IS staff is no guarantee of management skills  Poor or non-existing planning is recipe for disaster:  Unrealistic deadlines would be identified much earlier if a proper planning process was undertaken.  A lack of monitoring and controlling:  Users change their requirements, resulting in costly changes to the system as it is being developed Abdisalam Issa-Salwe, Thames Valley University 12 IT Role in Change  IT can play a significant role as an enabler in the change management process  In some circumstance IT may be the driving force or trigger of organisational change  Even when IT is not significant factor in the actual change, it can play an important part in the change management process
  7. 7. 7 Abdisalam Issa-Salwe, Thames Valley University 13 IT Role in Change (cont…)  The type of products or services that are made and and sold,  i.e., Internet service  The way in which products are made:  The use of automation and computer aided design and manufacture, e.i. Computer Integrated Manufacturing (CIM)  CIM changed the methods and cost profiles of many manufacturing process Abdisalam Issa-Salwe, Thames Valley University 14 IT Role in Change (cont…)  The way in which employees are mobilised:  Computerisation encourages de-laying of organisational hierarchies and greater workforce empowerment and skills.  Using technology frequently requires change in working methods  The way in which services are provided:  High-street banks encourage customers to use ‘hole-in-the-wall’ cash dispensers, or telephone or Internet banking  Most large shops now user computerised Point of Sale Terminals at cash desks.  Many companies use e-commerce selling products and services over the Internet
  8. 8. 8 Abdisalam Issa-Salwe, Thames Valley University 15 IT Role in Change (cont…)  IT acts as an enabling technology:  IT can produce dramatic changes in individual businesses and whole industries. For example, competition in the airline industry has intensified due to information systems that allow easy fare comparisons and booking  Communication and coordination:  Coordination is essential when introducing change  IT can facilitate this through the use of e-mail, project management software, an internet, etc Abdisalam Issa-Salwe, Thames Valley University 16 IT Role in Change (cont…)  Source of unity and structure:  In times of restructuring, IS can be a visible sign of the new situation. For example, an organisation-wide network perhaps with an intranet provides evidence of and encourages acceptance of the new situation
  9. 9. 9 Abdisalam Issa-Salwe, Thames Valley University 17 DATA WORKERS KIND OF SYSTEM GROUPS SERVED STRATEGIC LEVEL SENIOR MANAGERS MANAGEMENT LEVEL MIDDLE MANAGERS OPERATIONAL OPERATIONAL LEVEL MANAGERS KNOWLEDGE LEVEL KNOWLEDGE & SALES & MANUFACTURING FINANCE ACCOUNTING HUMAN RESOURCESMARKETING

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