Organizational Linkages Understanding the Productivity Paradox (1994) / Chapter Skim
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12 CONCLUSIONS
12 CONCLUSIONS
Pages 291-301
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From page 291... ...
Specific research recommendations can also be found in individual chapters. ORGANIZATIONAL LINKAGES EXPLAIN THE PRODUCTIVITY PARADOX Processes at and across individual, group, and organizational levels intertwine and affect one another such that productivity improvements at one level do not translate simply into productivity improvements at higher levels.
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From page 292... ...
Organizations are too complex, their performance is too multidetermined, and their inertia is too great for a single innovation at the individual level to have a substantial impact on organizational performance. Even if an intervention does in fact augment individual productivity, there may be no resulting improvements in organizational productivity.
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From page 293... ...
ORGANIZATIONAL STRUCTURES AND PROCESSES CAN INHIBIT OR FACILITATE LINKAGES In our examination of linkages, we identified structures and processes that inhibit increases in individual productivity from increasing organizational productivity. These structures and processes are common to organizations engaged in varied activities-office work, software development, postal services, manufacturing, computer-aided design, and others.
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From page 294... ...
However, there are many unknowns and questions in this domain alone, such as, what are the side effects and outcomes of linkages over time? The research direction required to provide answers to these and related questions will provide valuable insights into how to realize productivity gains from technology and other organizational interventions.
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From page 295... ...
Differential scaling occurs because it is unlikely that the number of units reporting to managers will decrease as fast as the number of managers, even if employment in the firm as a whole is cut by an equivalent 10 percent. Thus, span of control does not scale down at the same rate as number of managers, which has potentially negative consequences for organizational productivity.
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From page 296... ...
Empirical research is needed to identify the significant linkage variables and their relative importance. To do such research, multiple links within multiple organizations must be studied using longitudinal research designs.
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From page 297... ...
An important challenge is to extend this type of analysis to the other criteria. As an example, suppose the introduction of information technology improved quality at the individual level.
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From page 298... ...
They point out, however, that attempts to aggregate individual productivity measures or to disaggregate organizational measures are thwarted by the dissimilarity in measures of output. At the individual level, for example, output is often counted in units of product produced or service provided.
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From page 299... ...
We have studied this paradox by examining linkages among individuals, groups, and organizations and have found that those linkages can not only explain the paradox, but also provide the systems framework necessary for determining much of what needs to be learned about improving organizational performance. A key implication of our study is that organizational change, from the introduction of information technology to the downsizing of the enterprise, is an extremely complex endeavor.
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From page 300... ...
A different question to be addressed by an expanded analysis is, will a theory of organizational linkages developed for productivity apply as well to other criteria of organizational performance? As we look ahead, we cannot help but conclude that attaining a more productive society and higher overall standard of living will require a better understanding of organizational linkages.
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From page 301... ...
Organizational linkages must be understood well enough to permit the creation of conditions that will ensure that investments in technology provide the returns of which they are capable.
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