How to accurately understand and evaluate the influence of information technology on enterprise organizational change has been a very concerned issue in economics and management in recent years. Although there are many researches in this field, people's understanding of some basic problems in the relationship between information technology and organizational change is still controversial. From the perspective of enterprise practice, the application of information technology has not produced the expected effect. One of the important reasons is that the application of information technology will have some indefinable influence on the elements of organizational change such as enterprise organizational structure and business process. This paper combs the multiplicity and uncertainty of their relationship in order to promote the benign interaction between them.
Keywords: information technology; Organizational change; China Library Classification. : G202:F270 document identification code: a article number:1002-0241(2007)1-0153-05 receipt date: March 2, 2007.
How to accurately understand and evaluate the influence of information technology on enterprise organizational change is a very concerned issue in economics and management in recent years. Although there are many researches in this field, people's understanding of some basic problems in the relationship between information technology and organizational change is still controversial. From the perspective of enterprise practice, the application of information technology has not produced the expected effect. For example, the success rate of ERP /MRPII implementation in China is generally only 20% ~ 30%, and the success rate of BPR is only 30% ~ 40%. There are similar phenomena abroad. One of the important reasons is that the application of information technology will have some indefinable influences on the organizational structure, business processes and other elements of organizational change [1]. Therefore, it is necessary to systematically sort out the influence relationship between information technology and organizational change in the process of informatization, so as to promote the benign interaction between them. There are three different views on the relationship between information technology and organizational change in the document 1: technological determinism, organizational determinism and complementary theory. As a mainstream view, technological determinism holds that information technology determines organizational change and is the main driving force and enabler of modern organizational change. The main reason is that information technology has changed the information base of the organization, changed the way of information acquisition and flow, and broken the balance of interests inside and outside the organization, thus causing changes in organizational elements and behaviors. American scholars Elise and David( 1994) concluded after studying some modern enterprise organizations in western society: "If many factors are considered separately, perhaps the innovation of information technology is the most important factor affecting organizational structure and organizational design. [2] "However, some scholars believe that information technology has constraints and negative effects on organizational change. Henfridsson, Derholm and Anders(2000) analyzed some obstacles and vicious cycles caused by information technology to organizational change through a large number of case studies of Swedish service industry [3]. Argyris( 1990) called it "organizational defense routine". Organizational determinism holds that organizational characteristics affect the efficiency of information technology, and information technology will not have a substantial impact on organizational structure. The reason is that enterprise organizations have great choice in information technology and absolute control over the results [4]. Dewett and Gareth( 2000) believe that information technology itself cannot determine the development and change of organizational structure, and the fundamental force that determines the development and change of organizational structure is the basic condition of organizational operation, such as environmental uncertainty and organizational strategic goals, which are the fundamental driving factors of organizational design and change, and information technology is only a way to realize organizational change [5]. Some scholars believe that information technology is essentially a tool, and its effectiveness is determined by the members of the organization. After information technology is introduced into an organization, members of the organization can set its application scope, depth and degree of integration with other functions or tools. Although this setting will change constantly, the management response of photography and science and technology management is basically under the control of the members of the organization. Complementarity theory holds that information technology and organizational change interact and complement each other, change together and comprehensively affect the production performance of enterprises. Milgrom and Roberts( 1990) put forward an important hypothesis about complementary mechanism of enterprise informatization. They believe that enterprise informatization, complementary organizational change and human capital constitute a complementary system, which comprehensively affects the production performance of enterprises [6]. Brynjolfsson and Hitt( 1998) found that there is a complementary relationship between enterprise informatization and enterprise decentralization, especially the decentralization of enterprise to team [7]. Breshnahan et al. (2002), Brynjolfsson and Hitt( 1998), Gera and Gua (2004) found that enterprise information capital, accompanying organizational innovation, accompanying technological innovation and human capital are complementary [8- 9]. Wang He and Zhang (2006) used the data of Zhejiang enterprises to prove the complementarity between enterprise informatization and organizational change, and found that the complementarity between enterprise informatization and organizational behavior has obvious stage characteristics [10]. 2 The influence of information technology on organizational characteristics There has always been a debate about the influence of information technology on organizational characteristics, which is mainly manifested in the following points: (1) centralization and decentralization of decision-making power. Different scholars have different views on whether information technology leads to centralization or decentralization. Some scholars (Malone, Yates and Benjamin, 1987) believe that information technology enables managers to obtain faster, more accurate and richer information, reduces the uncertainty of decision-making, and leads to a more obvious trend of high-level centralization. Some scholars believe that information technology can enable middle and lower managers to obtain more non-local information in the organization, so that they can make better decisions from a global perspective, which leads to a more obvious trend of decentralization. However, many scholars believe that this centralization and decentralization can not be completely determined by information technology, but also influenced by the type of information handled, the type of work of the former middle managers, the original hierarchical structure of the organization, organizational culture and decision-making difficulty. Gurbakzain and Whang( 199 1) believe that whether information technology leads to centralization or decentralization depends entirely on how information technology is applied [1 1]. When information technology reduces the cost of decision-making information, it will lead to centralization; When information technology reduces agency fees, it may lead to decentralization. More scholars believe that information technology leads to both centralization and decentralization. Information technology enables decision-making to quickly pass through multiple middle layers of management without reducing quality. The decisive factor of centralization and decentralization is not information technology, but information technology is helpful to both. Moreover, Attewell found through a large number of case studies that the application of information technology in organizations has two sides to the distribution of decision-making power, that is, the application of information technology can promote both centralization and decentralization of organizations [12]. (2) The decrease and increase of middle managers. Huber( 1984) thinks that the application of advanced information technology will improve the ability and efficiency of information processing, thus reducing the number of middle managers [13]. Brynjolfsson( 1994) and others used company-level data to prove that information technology investment is significantly related to the reduction of the middle-level scale of the company, and found that organizational flattening is more obvious within two to three years after information technology investment. Some people think that, on the contrary, they find that the application of information technology brings management complexity, which sometimes leads to the increase of management level and middle management personnel [14]; Others think that the influence of the application of information technology on middle managers is accidental, depending on its role in the organization and whether it controls information resources. Pinsonneault and Kraemer( 1993) studied the organizational scale from the organizational structure. They believe that the correlation between information technology and middle-level scale is uncertain. When the organization adopts centralized structure, information technology will reduce intermediate management. When the organization adopts a decentralized structure, information technology will increase middle-level managers [15]. 3 the impact of information technology on organizational boundaries and interface relationships. Theoretical circles have not yet reached a * * * understanding of how organizational boundaries change under the influence of information technology. Some scholars believe that compared with market transaction costs, the application of information technology is particularly obvious in saving internal coordination costs of enterprises, thus promoting the further improvement of vertical integration and the further expansion of boundaries of enterprises; However, some scholars hold the opposite view that the application of information technology can save more transaction costs, thus prompting enterprises to leave more activities to the market to complete, leading to _ _ _ _ narrowing the boundary [16]; Some scholars believe that the popularization of information technology application will promote economic activities to move to intermediate organizational forms (strategic alliances, virtual organizations), which is the so-called "moving to the middle" hypothesis. In this way, the boundaries of enterprises will tend to be blurred. Recent research has pointed out that the application of information technology can save both coordination cost and transaction cost. As for the level of savings and the change direction of enterprise boundaries caused by it, it is influenced by many factors and cannot be generalized. Generally speaking, under the influence of information technology, if the saving range of transaction cost is greater than that of coordination cost, then the economic activities of enterprises will be carried out more through the market, thus narrowing the boundary; On the contrary, it will further expand the boundaries of enterprises [17]. At the level of empirical research, foreign scholars use various data to analyze the relationship between the application of information technology and the vertical boundary of enterprises. Brynjolfsson et al. (1994) selected six industries in the macroeconomic sector of the United States, and conducted the first empirical study on the impact of information technology investment on enterprise boundaries in154 2007.11,and found that in1976-/kloc-. The influence of information technology on organizational interface is also uncertain. Li Jun, Wu Xiaobo and others. (200 1) thinks that information technology has changed the communication mode between departments, enterprises and customers, causing changes in the internal and external interfaces of their organizations [18]: on the one hand, interface strengthening, for example, the application of information technology will promote the intensity and density of information communication between R&D and sales departments, and narrow the distance between them; On the other hand, the interface is weakened. For example, the application of information technology will gradually make the functions of some departments be completed by computers and networks, which will lead to the weakening of the interface between this department and other departments; In addition, it may also bring about the disappearance and integration of the interface. 4 The influence of information technology on organizational forms Information technology has various requirements for organizational forms. According to the characteristics of information technology and the requirements of organization, some foreign scholars have done a lot of research on the transformation of organizational forms and produced a series of new organizational forms. Robbins(2003), a famous American management scientist, summarized the enterprise organization based on information technology and thought that information enterprises tend to adopt organic organizational characteristics. In order to obtain the flexibility, openness and speed necessary for successful operation in the digital age, the organizational structure must have a high degree of vertical, horizontal and oblique communication skills; Establish a cross-level and cross-functional team and widely empower employees; Reduce the standardization of the organization; Ensure that information and work activities can flow freely among participants in various organizations; Inclusive and nurturing borderless organizational relationships. Peppard and Rowland(2003) proposed that the enterprise organization in the information age is a process-oriented organization, and described the characteristics of team organization. In addition, many scholars have put forward organizational forms such as network organization, horizontal or process-oriented organization, clover organization, knowledge-based, intelligent or learning organization, team organization or cluster organization, adaptive organization and rapid circulation organization. Nolan (1979) pointed out that the application process of information technology in organizations is essentially a learning process, which is influenced by organizations, technologies and employees' abilities. Different information technologies reflect the needs of different organizational structures [19]. 1990 Nolan further emphasized the importance of matching the information technology architecture with the organizational structure design. At present, the relationship between the above-mentioned new organizational forms and traditional organizational forms caused by the application of information technology is still controversial. Some scholars believe that the emergence of these emerging organizational forms is only a gradual change to the original traditional organizational forms, which is applicable under certain circumstances and conditions, but it will not completely replace the bureaucratic structure; Others believe that these emerging organizational forms have the advantages of flexibility and adaptability and will replace bureaucracy and become the dominant organizational paradigm in the future. 5 The impact of information technology on inter-organizational relations Most studies show that information technology, especially inter-organizational information systems, can promote inter-organizational cooperation and reduce the cost of cooperation. Malone et al. (1987) emphasized that information technology, especially inter-organizational information system, can improve the efficiency of inter-organizational relations and reduce the communication cost of information when applying transaction cost theory to study the relationship between information technology and enterprises. It can enhance the information storage and processing ability between organizations, increase the number of potential cooperative enterprises to choose from, and supervise the performance and behavior of member enterprises; It can enhance the interdependence and intimacy between cooperative enterprises. Hengst and Sol (1996) analyzed the influence of information technology on inter-organizational coordination structure. They believe that information technology makes the coordination structure between enterprises more centralized, increases the number of participants in the strategic coordination stage, and shortens the term of inter-enterprise agreements. In addition, some studies have also found that information systems will bring some problems and risks to the cooperative relationship between organizations. Chattejee( 2002) found that the application of information system will cause the following problems: how to distribute the cost and benefit of cross-organizational information system among member enterprises reasonably; The ownership of the system limits the realization of interests; Systematic property rights problems may lead to the behavior tendency of participating enterprises to show insufficient investment. Kumar and Dissel( 2004) analyzed the risks that may affect inter-organizational cooperation in various inter-organizational information systems: in inter-organizational information systems with * * * information resources, the risks mainly include "public tragedy" conflicts caused by excessive use of * * * resources by participating enterprises, and unequal control of inter-organizational information systems by leading enterprises and participating enterprises. In the inter-organizational information system of supply chain type, due to the opportunism tendency and transaction cost in the process of inter-organizational transaction, the exclusive investment in building and maintaining the inter-organizational information system and the unequal information control between leading enterprises and participating enterprises will increase the lock-in risk; In the network-based inter-organizational information system, risks mainly include personnel differences, cultural differences and conflicts caused by property rights distribution. 2007.11/science of science and science and technology management 6 differences in the influence of enterprise informatization stage on organizational change in different stages of informatization, due to the different material basis, basic functions and application degree of informatization, enterprise informatization has different requirements for organizational behavior characteristics, so organizational change presents significant differences with different stages of informatization. In 1980s, Boar, an American IT strategist, put forward a five-stage model of the combination of IT and enterprise business: (1) local development stage. At this stage, information technology is used to automate isolated business areas. Only the department that realizes automation has little change in its business process and organizational structure, and the organizational structure and business process of the whole enterprise are basically unaffected. (2) Internal integration stage. Information technology is used in * * * shared systems that span multiple functional areas. At this stage, it may lead to the reduction of middle management levels and make the organization turn to a flat organizational form and network organizational structure characterized by fewer levels and more self-directed teams; At the same time, enterprises have begun to consider using information technology to change rigid and complex business processes. (3) Business process redesign stage. Information technology is used to develop a process-centered management system. At this stage, information technology is often applied most effectively by re-designing the process, which has a comprehensive impact on the organizational structure of enterprises. (4) Business network redesign stage. Information technology is applied to integrate the business processes of specific enterprises, their suppliers and customers, thus forming a continuous unity, which leads to the vertical integration of organizational forms and processes. (5) Redefining the business scope. At this stage, the influence of information technology on organizational structure and business process is original and revolutionary. Generally speaking, the study holds that the first to second stages are a gradual process of natural development, while the third, fourth and fifth stages are revolutionary changes, involving changes and innovations in organizational structure and processes. Nolan( 1979), Synnott[20]( 1987) and Zhang et al. (2006) studied the development stages of enterprise informatization from different angles. A basic understanding formed by these studies is that the influence of enterprise informatization on organizational change in different development stages has obvious stage characteristics. In the initial stage of informatization, the task of informatization is to assist enterprises to complete office automation and information collection. At this stage, the basic organizational behavior of enterprises has not changed, and loose early scientific management is still the main task. In the stage of internal information integration, its task is to realize the optimal allocation of internal resources. At this time, a series of changes have taken place in the organizational form of enterprises, the degree of centralization and integration of enterprises has improved, and rigid professional management has begun to be implemented within enterprises. In the networking stage, its task is to realize the optimal allocation of resources in the internal and external markets of enterprises. At this time, the organizational structure and production mode will undergo fundamental changes, the degree of centralization and integration will be greatly reduced, and enterprises will begin to implement flexible organizational team management. 7 Opinions and Suggestions (1) The impact of information technology on organizational change is multiple and uncertain. As mentioned earlier in this paper, the influence of information technology on organizational characteristics, organizational forms, organizational boundaries and organizational behavior is diverse and vague. In order to further clarify and clarify the relationship between them, it is necessary to strengthen empirical research, especially in empirical research, pay more attention to analyzing the intermediary role of some intermediary and regulatory variables, such as industry type, organization scale and information stage. By adding contingency factors such as intermediary factors, we can further explain and clarify the multiplicity and uncertainty of the influence of information technology on organizational change, and draw the relationship diagram between them. (2) Recently, based on the mechanism of information technology on organizational change, some scholars put forward the complementary hypothesis and the phased complementary mechanism hypothesis of information technology and organizational change, which provided a new perspective and thinking for analyzing the relationship between them. Because there are many studies on the role of information technology in organizational change, there are few studies on the role of information technology in organizational change, especially a series of problems related to their complementarity, such as the determination of complementary scope, the selection of complementary types and the measurement of complementary effects. It still needs to be further elaborated in theory, described by quantitative model and tested by enterprise data.
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