Does Information Technology Change?
Afzaal H. Seyal , Hon.
Fellow PKBD
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“ICT provides the potential to
bring about change and accerlating developments in the economy,
society and e-Government concept”, stated the Deputy Secretary
at the Prime Minister’s Office, Awg. Hj. Sulaiman Hj. Ismail
while chairing the preparatory meeting of the 12th ASEAN
Conference on Civil Service Matters (ACCSM). He added, “ There
has been increasing demand that public sector have to become
learner and more responsive to the needs of its constituents
while improving the accessibility and quality of its service”.
There has been given expectation that government services should
be delivered more effectively and efficiently with elements of
flexibility, creativity and innovation. So evidently, ICT plays
an important role in catalyzing the socio-economic development
of the country, improve information flow and processes within
public organizations.
Question is does ICT or IT in fact, brings change to the
organization or work place? More and more organizations today
face pressure due to changing environment that, in turn,
requires these organizations to adopt IT. Any literature on
effective organizational design will reveal six fundamental
forces that acts as stimulants for change------ the changing
nature of the work force, technology, economic shocks, changing
social trends, the “new” world politics, and the changing nature
of competition. No doubt! One of them has a tremendous affect on
the redesigning of the organization and that is “ change through
technology” as we believe that changes in technology change the
nature of work. The adoption of new technologies such as
computers, microfilming record management and retrieval,
graphics, telecommunications systems (including Internets,
Intranets and Extranets) robotics, and flexible manufacturing
operation to the new way of doing business through E-Commerce
(Electronic Commerce or Internet business) and more advancement
in M-Commerce (mobile commerce through mobile phones and PDS)
have a profound impact on the organizations that adopt them
regardless of the classification of type (private or public
sector) or size of the organizations.
Behavioral scientists have long worked on the philosophy of the
change management and agree that ‘’Change is to make things
different’. They are in a view that in order to bring an
effective and planned change in the organization there needs to
be a change agent or driver for the change. It can be a person
or group of persons who act as catalysts and assumes the
responsibility for managing change activities. Nevertheless,
some time organization structure, technology and people can be
main drivers for change. We will focus mainly on how changing
technology encompasses modifications in the way work is
processed and in the methods and equipments used.
Most of the early studies in management and organizational
behavior dealt with efforts aimed at technological change. In
today’s work environments tremendous change was brought-in with
the introduction of automation and computerization, and it has
not only revolutionized the work environment and work practice
but has tremendous impact on the daily routine-life of the user.
The change in technology has reshaped the business process
reengineering. The office of 1993 is dramatically different from
its counterpart of 1983 and of course offices in 2003 that gave
them a complete new look. Paperless office will soon be an
integral part of working of the organizations.
IT As Agent
In many cases, IT has become such an essential tool of the job
that it has changed the whole nature of the business in the form
of business-to-business (B2B), business-to-customer (B2C) and
customer-customer (C2C) form of electronic commerce and
electronic data interchange (EDI). A new concept in the
enterprise-wide resource planning (EWRP or ERP) business
methodology and supply change management has developed a new
business era. This is basically a new way the business domains
are setting up to differentiating their products. Instead of
relying on experience and specialist knowledge, the business is
using service and customers care with value-added through the
use of technology to help achieve competitive advantage. Most of
the business tycoons understand that technology has moved from
the background to the foreground as a means of getting
competitive advantages. The re-skilling of jobs puts more
emphasis on customer care rather than in-depth product
knowledge, because one can get the detailed knowledge from the
computer systems. So it is the skill that needs to be
demonstrated more. IT has reshaped the working with the
financial data. The quality of decision making has improved and
efficiency of the people are judged by the way they use the
data. IT has also allowed businesses to be geographically split
(global village) and allowing people to work at home and in the
field (Teleworkers). Indeed, such is the influence and power of
IT that companies are being pushed into “improving paradox”-to
improve their services simply because they can-how many house
buyers, for instance, really need to have their mortgage
applications confirmed within fifteen minutes, as banks like
Citibank promise? This is where IT is adding values to the
end-users.
Businesses are, rightly, walking up to the idea that information
is a major resource. But this involves sharing that information
as widely as possible, so it can no longer remain the ‘property’
of one department. This idea was the base for “client/server”
environment a corporate information resource tapped into almost
at will from a desktop show signs of becoming a reality. With
the overwhelming success of client-server environment the new
wave of technically qualified personnel emerged to manage the
networking.
IT as Catalyst
The wide availability of information put a question mark that do
organizations really need any ’middle’ to the managers.
Traditionally, the middle managers are to précis information and
pass it upwards for decision-making. This really do not make a
room for the middle manager but this trend isn’t solely a result
of IT, but IT has acted as catalyst, especially with the
emergence of Executive Information Systems (EIS). IT can also be
a catalyst in understanding the business as a whole, and ways in
which it could be improved. The relationship between IT people
and the users they serve is changing, too. The role of IT
department has changed from centralized to decentralized and
more as service providers. But unfortunately, in performing
these services sometimes IT expenditure becomes so high and out
of control that to quantify the real benefits become so gloomy
that organizations comes in the doldrums of the technological
thrusts. This is most often experienced with IT in Small and
Medium Enterprises (SMEs) or micro organizations.
IT as Barrier
As it says that there are two sides of a coin that is true to
IT. Information Technology is blessing on one side and a
disguise on the other side. So we can precisely say that while
IT is often the change agent or catalyst of change, it can be a
barrier, too. We have heard a loss of power supply resulting
billion dollars loss due to failure in IT circuits. We have also
heard of the building societies that couldn’t merge because
their IT systems were incompatible or trading partners who could
not trade because their computer could not talk to each other
due to network failure. Another biggest issue was faced in year
2000 with Y2K bugs. Every day businesses are jeopardizing due to
new and new viruses. This has made it virtually impossible to
manage the integrity and availability of information. Millions
of dollars were wasted due to the poorly designed information
systems and lack of proper project managements. Globally IT is
facing with the severe threats in the form of digital divide and
becoming harder for the poor nations to justify the expenditure
on IT.
Solutions
The result is that many companies are now facing the “iceberg
problem’. The business is seen as a huge mass with great
inertia, difficult to maneuver and too slippery to get a proper
grip on. The key issue is to face up to change, with all its
inconveniences, and understand how and why it is happening. This
means acknowledging that it is needed, recognizing that it can
provide positive opportunities, and believing that it is really
possible.
The one piece of good news is, whether change is reactive or
proactive, business driven or technology driven, as the
management skills required for successful implementation IT
solution is one of the most fundamental questions to answer.
How to reap the benefits
One of the most important and essential prerequisite is
“Commitment”. This is the fundamental aspect of any change drive
within the organizations. Change requires a lot of people’s
time, usually on top of their full time job running the existing
system, which must continue until the new one is ready to be
implemented. “ Almost everybody underestimates the amount of
resources and length of time it’ll take to make a change”, said
one of the training directors of largest pharmaceutical groups
Ciba Geigy. It further emphasizes the role of CEOs as leaders.
CEOs could make things easier for themselves if, before
embarking on complex performance-improvement program with the
diffusion of new technology, they determined the extent of the
change required to achieve the business outcomes they seek.
Another very tedious and demanding element for change is
managing people and unfortunately this is most forgotten or
least considered driver of change. The companies are willing to
invest millions of dollars on hardware, and software but when it
comes to peopleware, they spend as little as of 2% of their
revenue on managing and training people who are considered
assets for any business. We don’t need a computer expert to tell
the CEO that most important and difficult thing to manage is to
manage people. However, as we said that the technical and other
inanimate problems of installing information technology are
often so daunting, that little efforts is spent on those whose
support is crucial to its success, the users. Communication and
consultation are the key word. Communication needs to be a
two-way process. Not only can end user make a big contribution
to the efficient and effective design of a system, they need to
have their say, if they have no new ideas to add. A managing
director of consulting firm specializing in change management
described his experience about a company that installed an
electronic mail system, and promptly informed all its employees
by sending them an e-mail message on the system they didn’t know
was there.
Nevertheless, we must understand that any technological change
in an organization is always worrying for staff and most of
these have technology phobia or anxiety that makes difficult for
them to adopt the technology. So as an agent of change work out
the details-salary changes, job structure, and redundancies etc-
as early as possible, and then tell people. I still remember the
word of Senior Executive Vice President of National Bank that
managing change is all about managing the rumors and panic that
precede it. Writer has several examples of his IT experience of
over two decades in the four different countries that at the
beginning the end-user do not welcome the technology and
associated technological changes due to nonexistence of computer
or IT non self-efficacy. Training can be another effective way
to improve computer self-efficacy and reducing the computer
anxiety. We should focus on proactive approach of training.
Particular attention should be given to brand new skills
connected with computerized systems such as data management,
data warehouse or network management. If training is the
practical side of the system, educating people in the culture of
the new system is also important-and should be extended to
directors and managers as well as operators and end users.
Building new teams and re-assessing people’s skills is part of
process, too. It’s no good assuming things will just go on the
way they were, or that people will still be suited to doing the
same job. I remember one very effective approach adopted during
delivering and installing a microfilming system to a Saudi
American Bank in Riyadh. I told the user manager: “This systems
is being done primarily for you. I am not going to do it unless
you manage it.” That worked tremendously to be effective. So the
key is involve users, train them on job and remove their
grievances.
Conclusively, working with change that IT brings to the
organization, we should keep in mind that change management will
not be effective if it does not brings significant change in the
attitudes and behavior of all the personals from CEOs to the
dispatch clerk in the organization. The change will only be
affective if it brings change in the behavior to adopt the
technology. Behavioral scientists have worked a lot on the
various theories to change attitude and behavior of the end user
towards adopting the technology. Every organization committed to
bring change due to the technology adoption must select its own
action plan to successfully implement the change management
program.
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