Verizon
...in today's organizations is significant. Technology can even change the way organizations are structured when a new system is introduced. Moreover, in many organizations, new IT systems have complicated the way people communicate by adding complexity to the organization structure. This could be the case for financial systems such as SAP, which are designed to meet requirements of one exclusive part of the organization.
However, new IT systems can also reduce organizational complexity. Technology can be designed to fit any requirement of a particular organization. A new technology could be flexible enough to simplify power relationships and processes. When information is well organized and access is easy, communication improves between and within areas.
IT systems are imperative in present organizations and it is not mandatory to invest in sophisticate technologies. Small systems can also be used to manage internal information within areas. Local structured databases such as MS Access and common files in the shared server can play a crucial role in the organization processes.
The implementation of a new technology involves the creation of networks and communication systems between different areas and individuals among with the system mechanism by itself. When SAP was implemented in Bellsouth Colombia, it had a significant impact in the existing organization structure. In order to introduce the new system, the company experienced structural, technological and cultural changes. (1)
The structural changes are always the most visible among employees. "Its effect is to alter the configuration of relationships, the distribution of resources and the operation of command and control procedures. One largely unplanned and incremental structural change is the emergence of new functions." (2) In the case of BellSouth, structural changes were...
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