Managing Dynamic Technology Oriented Business Management

Question: Discuss about the Managing Dynamic Technology for Oriented Business Management. Answer: Inadequate information led to disaster in companies Kodak is one of the examples of organisation, which failed because of inadequate information. Kodak was bankrupt due as the company lost its edge in new technology competition. The company was unable to collect adequate information about the change in the technology of camera. The information system in any organisation plays important role in decision making. There is a direct relationship between management decision, organisation, information, decision-making, command and control. Many organisations faced disaster due to lack of information needed (Twati, 2014). The management of information system is a key to success. They did not move into the digital world and stick to the traditional technology used in camera and filmmaking. Due to inadequate information, the company was unable to develop a right business strategy for future. The digital revolution changes the business concept of camera and filmmaking. Other companies like Fuji started collecting mandatory information for adopting changes of the digital revolution. Kodaks management was unable to control the future vision of the company for digitalisation in photography industry (Wakolbinger, Fabian and Kettinger, 2013). There are different theories are available for human-related information practices. Social network theory explained the position of individual in different social groups. The individual have a different motivation in the direction of different information. This theory concludes that the original meaning of information is distracted the main objective and develop inadequate information (Lohikoski et al., 2014). The inadequate information becomes a disaster of Kodak and company become bankrupt. The social construction of technology is another theory, which focuses on the technological growth of social groups are influenced with their meaning in relation to the individual. This theory explains that society and individual misuse the original meaning of information. Kodak was failed to develop management of information system that led to the disaster of a company. The company has failed because it had the wrong information about the business. The management of company focus on film business, however, they should focus on storytelling business. Leadership is ultimately re sponsible for decision making for the organisation (Twati, 2014). Kodak has also gone through the various restructuring process, which affect the organisation and employees. There is social and organisation culture factor that influences the company to adopt information system. The organisational culture pressure decides the flow of information whether it is upward to downward or downward to upward. Generally, top level management resists them self with opposing and contrast. This enables them to take a decision after comparing with contrast situations. The inadequate information to top management makes them unaware about how the competition around them is changing (Wakolbinger, Fabian and Kettinger, 2013). The management of company always assumed that customer, value filmed based photo for their high quality. Kodak was lacking the innovation culture in an organisation and innovation is directly related to the information system. The decision making is a crucial process which requires management intuition and reasoning. Intuition is the feeling of a possible course of action that comes after a year of experience, whereas reasoning is the decision based on facts and figures. The effective decision making is not possible until management does not have enough information. Another problem is too much information that conflicts each other in the decision-making process. The digital revolution changes the mindset of the customer about photography. This gives freedom to the customer to save their photographs in many ways in digital format (Cox, White and Abernethy, 2014). It was also cheaper as a comparison to traditional hard print photograph. Another reason of company failure is inadequate information about target customers. The market has changed and the customer also changes, Kodak target cus tomers were women however business environment demographical changes made men as a target customer. Nokia Case Information is a crucial factor in any company which drives the industry more profitable and equitable in the market. Inadequate information led to disaster for any industry in the market. Information failure in any industry due to some reasons like organizations does not have a perfect knowledge of economic scenario and secondly, one organization knows better than the other about economic trends in the market (Quora, 2016). These scenarios arise due to unbalanced information in the market. In both the situation, there are chances of inappropriate use of resources, with customers paying too much or too less and the organizations or industries produce too much or too less. Nokia mobile phone is the example of failure from telecommunication industry that could not make an innovative move in the latest technology trends due to less or inadequate information. Nokia is Finland-based mobile company from has failed to share the information about innovative ideas into advanced technologies. Nokia management didnt communicate the adequate information to top management regarding the technological advancements in recent years (Nokia, 2016). After 2012, other mobile phones brands worked for latest technology such as Android but the top managers of the Nokia thought that company is too late to enter into the new technology due to high competition but they didnt know that Asian and European markets still expected from Nokia phone that it could do everything like other phones could do. Due to lack of market information, it developed the windows platform which cannot meet the requirement of customers that leads to the loss of brand value in the market. There are othe r competitors already entered on that time like Apple and Samsung to work on latest technologies and meet the market demands (Aspara et al., 2016). In organization, Nokia management did not adopt new strategies at the time of the adoption of new technologies in the market. Nokia management continuously worked on Symbian technology rather switch on new market trends. Due to lack of information to the management regarding competitors and technological advancements, Company has still struggled to retain its original market share (Ciesielska and Iskoujina, 2012). Company organization structure is designed by the managers to ensure good productivity and smooth flow of information regarding decision making. Managers follow the autocratic style of leadership in the organization while taking any decisions related to organization growth. This leadership affects the hierarchy level of the company. Employees cannot share the information and ideas due to the autocratic style of manager that lacks the productivity and growth of the employees. Another issue which creates a problem for Nokia is that the long chain of command creates problems f or business. Information flows from top to bottom and comes across various multiple layers creates conflicts in the organization (Laamanen, Lamberg and Vaara, 2016). It hinders the decision-making process of the company. Managers give important instructions to their employees regarding any issue that information flows from many levels that confuse the employees to take important decisions. The company faced the serious dilemma a few years back regarding the loss of production of cell phones due to some technical error. One of the supervisors from the technical team in the company not notified to the manager that hampers the thousands of production units of a cell phone. Information inadequacy influences the motivation of the employees in the company. The overall downfall of the company due to wrong decisions taken by the management is mostly due to irrelevant information and too much investment in the only one technology. Also, it finds that company chain of command led to Nokia being incompetent, slow, and inconsistent (Walter, Kellerman and Lechner, 2012). British Petroleum (BP) Oil disaster case British petroleum oil disaster is the worst case in the history of US. The explosion is between the sea and huge fire sets into the ship. It was the worst industrial disaster for the country. It was a huge explosion under deep water in the Gulf of Mexico on July 15, 2010.Eleven people dead and many of the missings still not found. It considered as the biggest accident in the history of the oil industry. In this case, the root cause of this accident was the lack of information about the leakage of oil and gas into the well by the employees and the top management. Top management has no information about the leakages of a toxic substance in the well for many days. Lack of timely exchange of information with the top management and lower level management led to the serious accident (Heller, 2012). The inadequate information led to disaster and this has been proven in the incidence of British Petroleum disaster. The technology creates many problems in the communication process. The social cognitive theory explains that individual influence behavioural change and development by social groups. The cognitive and emotional are the factors that mainly influence the individual decision making (Ye, 2014). British petroleum did not have adequate control over information of security and safety. This disaster is the result of inadequate information to the company management. The company management has taken a much wrong decision which results in this accident. The company ignore the safety information of the project required to run the operation more securely. The company took poor decisions like lack of proper test and experiment of the chemical before using them for the project (Gire et al., 2013). The engineering team analyse the accident and found that the risk was associated with cement floor and drilling process. The company was lacking effective information system that makes aware them about the risk associated with drilling and production process. The management did not have command and control over the operational information. The decision making becomes difficult when too many people involved in this process. The effective and fast decision can be taken by few people after analysing facts and figures. The company has changed its top management after this disaster for ineffective and wrong decision making. The management of the company held responsible for ignoring the adequate information required for correct decision making (Cox, White and Abernethy, 2014). The company has an expert of risk management team to stop disaster at any time. But due to late and inadequate information provided by the lower level management became situation more complex. Managers and employees does not make the proper planning about any type of crisis are happened in future. Risk management team did not give the adequate training and substantial information to all hierarchy levels in management due to rigid organization structure (NYC, 2016). Due to complex organization structure, information flows from various levels of management and it affects the decision-making process. Due to strict command and control of board and managers in the organization that lacks the free flow of information process in the company (Safford, Ulrich, and Hamilton, 2012).Effective and timely information communicate to every level of management led to stop any disastrous situation. Managers need to exchange of relevant information to all of their subordinates and junior level manageme nt so that they can take effective decisions at the time of critical incidents. References Quora (2016). Why did Nokia fail?[Online].Available at: https://www.quora.com/Why-did-Nokia-fail (Accessed by: 26 August 2016). Nokia (2016). Nokia outlines new strategy, introduces new leadership, operational structure.[Online].Available at: https://company.nokia.com/en/news/press-releases/2011/02/11/nokia-outlines-new-strategy-introduces-new-leadership-operational-structure (Accessed by: 26 August 2016) Aspara, J., Lamberg, J.A., Laukia, A. and Tikkanen, H., (2013). Corporate business model transformation and inter-organizational cognition: the case of Nokia.Long Range Planning,46(6), pp.459-474. Ciesielska, M. and Iskoujina, Z., (2012). Trust as a success factor in open innovation. The case of Nokia and Gnome.Managing Dynamic Technology-Oriented Business: High-Tech Organizations and Workplaces. Information Science Reference, pp.11-29. Laamanen, T., Lamberg, J.A. and Vaara, E., (2016). Explanations of Success and Failure in Management Learning: What Can We Learn From Nokias Rise and Fall?.Academy of Management Learning Education,15(1), pp.2-25. Walter, J., Kellermanns, F.W. and Lechner, C., (2012). Decision making within and between organizations rationality, politics, and alliance performance. Journal of Management,38(5), pp.1582-1610. Heller, N.A., (2012). Leadership in Crisis: An Exploration of the British Petroleum Case. International Journal of Business and Social Science, 3(18). pp 1-12. Safford, T.G., Ulrich, J.D. and Hamilton, L.C., (2012). Public perceptions of the response to the Deepwater Horizon oil spill: Personal experiences, information sources, and social context.Journal of environmental management,113, pp.31-39. The New York Times (2016). BP Shortcuts Led to Gulf Oil Spill, Report Says. [Online]. Available at: https://www.nytimes.com/2011/09/15/science/earth/15spill.html?_r=0 (Accessed by: 27 August 2016). Lohikoski, P., Kujala, J., Haapasalo, H. and Ala-Mursula, L. (2014). Information contingencies in the virtual teams of global new product development projects. In Proceedings of the PMI Research and Education Conference. pp. 27-29. Wakolbinger, T., Fabian, F. and Kettinger, W. J. (2013). IT-enabled Interorganizational Information Sharing Under Co-opetition in Disasters: A Game-Theoretic Framework. Communications of the Association for Information Systems, 33(1), pp. 5. Twati, J.M. (2014). The influence of societal culture on the adoption of information systems: The case of Libya. Communications of the IIMA, 8(1), pp. 1. Cox, C.E., White, D.B. and Abernethy, A.P. (2014). A universal decision support system. Addressing the decision-making needs of patients, families, and clinicians in the setting of critical illness. American journal of respiratory and critical care medicine, 190(4), pp. 366-373. Gire, D.H., Whitesell, J.D., Doucette, W. and Restrepo, D. (2013). Information for decision-making and stimulus identification is multiplexed in sensory cortex. Nature neuroscience, 16(8), pp. 991-993. Ye, J. (2014). A multicriteria decision-making method using aggregation operators for simplified neutrosophic sets. Journal of Intelligent Fuzzy Systems, 26(5), pp. 2459-2466.