Developing successful organizational strategy and innovation - Organizational Design, Competences, and Technology
3 important questions on Developing successful organizational strategy and innovation - Organizational Design, Competences, and Technology
Technical complexity: The theory of Joan Woodward
Programmed technology: A technology in which the procedures for converting inputs into outputs can be specified in advance so that tasks can be standardized and the work process can be made predictable. Like SOP’s and rules.
High and low technical complexity
- High technical complexity Exists when conversion processes can be programmed in advance and fully automated. With full automation, work activities and the outputs that result from them are standardized and can be predicted accurately.
- Low technical complexity Exists when conversion processes depend primarily on people and their skills and knowledge and not on machines. With increased human involvements and less reliance on machines, work activities cannot be programmed in advance, and results depend on the skills of the people involved.
From mass production to advanced manufacturing technology>To reduce costs, a mass production company must maximize the gains from economies of scale and from the division of labour associated with large-scale production. There are two ways to do this:
- Using dedicated machines and standardized work procedures Dedicated machines: Machines that can perform only one operation at a time, such as repeatedly cutting or drilling or stamping out a car body part.
- Protecting the conversion process against production slowdowns or stoppages Advances manufacturing technology: Technology that consists of innovations in materials technologies and in knowledge technology that change the work process of traditional mass production organizations.
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