Monday, December 23, 2013

The Impacts Of Is On Organizations And Markets (Ca

The Impact of Informatuon Systems on Organizations and Markets Vijay Gurbaxani and Seungjin Whang Z Z LU 0 Z 0 f- 3 .J The adoption of atomic number 16 applied science (IT) in organizations has been growing at a rapid pace. The physical exertion of the technology has evolved from the automation of structure processes to systems that are truly rotatory in that they introduce switch over into fundamental business procedures. Indeed, it is believed that to a greater extent than universe helped by computers, companies will live by them, mold scheme and i structure to fit new selective nurture technology [25] While the importance of the kind between education technology and organizational change is evidenced by the encompassing literature on the subject, l there is a want of comprehensive analysis of these issues from the economic perspective. The aim of this article is I to develop an economic understanding of how information systems come to close to key measures of organization structure. This article analyzes the roles of information systems, how they evolve and how they advert organizations and findets. In particular, we analyze the impact of I T on two i m p o r t a n t attributes o f f i r m s i f i r m size and the parcelling of decisionmaking authority a m o n g the various actors in a firm.
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To this end, we start with economic theories o f organization as the foundation for o u r analysis. Two such theories are relevant to o u r analysis: agency theory, inkially advanced and devel~ o p e d by Wilson [68], Ross [54], AIchian and Demsetz [2], and Je nsen and Meckling [34], and transaction po! se economics, whose development is due mainly to Coase [18], Klein, Crawford and Alchian [38], and Williamson [65-67]. Agency theory [34] rejects the classical view o f the firm as a unified profit-maximizing identity and proposes an alternative model o f a firm as an agency human relationship built on a set o f contracts a m o n g selfinterested agents (employees). As a consequence, when...If you want to get a full essay, mark it on our website: OrderCustomPaper.com

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