In the last 100 years, the world has experienced tremendous technological changes in different fields. The emergence of modern technology is one of the changes that has influenced our lives both positively and negatively. Many scholars have argued that technological changes, which happened in the 21st century, affected almost all aspects of human lives (Baltzan and Phillips, 2009).
Today, because of the issues of globalization, many things have improved in different fields. One such area is the business sector. Internet and other forms of technology have enabled the business to move to another level (Stanford University, 2012). Management of businesses has also improved greatly ensuring efficiency and increased production. In this report, I will discuss the numerous advantages and disadvantages of using technology in business management.
Case analysis
The newly proposed change by the management of Broadway Cafe is a good business decision. Generally, the decision to replace a manual system of management with a modern system of management is a business decision that will have a big impact on both the staff members and the enterprise itself. In one way or the other, the new management software (application) will improve the general business performance at Broadway Cafe. As it appears now, the management of Broadway Cafe has two options. Either the management should purchase COTS applications or rely on the services of Nick Zele, a highly technical employee who is willing to develop a new system for the cafe. Now the question is “What are the merits and demerits of these two options?” To address this question, I will look at each option one at a time.
Advantages and disadvantages of using an employee to build a custom system for Broadway Cafe
One advantage of using an employee like Nick to develop a new management system for Broadway Cafe is that Nick and other employees will be empowered (Baltzan and Phillips, 2009). When the management can trust its employees and have confidence in their abilities, this by itself is a good decision for any organization. Recognizing employees’ unique abilities is a good way of empowering them too. Furthermore, the employee (Nick) is more conversant with the operations and, therefore, the product will be doctored to suit Broadway Cafe.
In addition to this, if the management allows Nick to develop the system for the cafe, it will be cheap and affordable (Boreham, 2008). Nick is more likely to develop the system for the Broadway cafe at a reduced price compared to the current market price. As such, the decision to allow Nick to develop the system will be an added advantage in terms of expenses. Moreover, Nick will have extra money to take home.
On the other hand, using an employee to build the system for Broadway Cafe may have numerous disadvantages. This system is being developed to ensure efficiency, monitor employees properly, and improve employee performance. Suppose Nick Zele develops this system (considering that he has the technical knowhow), he is likely to manipulate the system in such a way that it will favor employees and not the management. Hence, there is a high possibility that a conflict of interest will emerge (Boreham, 2008). In addition to this, if Nick develops the system, there is a bigger chance that he will not be highly objective to see other weaknesses that need to be addressed within the cafe (Stair and Reynolds, 2011).
Advantages and disadvantages of purchasing a COTS time and attendance application
If the management decides to purchase a COTS time and attendance application, this may come with several added advantages. One of the advantages is that this decision will save time (Stanford University, 2012). The decision to buy an already developed system will save time since the management will not have to wait for a new system to be prepared from scratch. This saves time.
The second advantage is that purchasing a COTS application will be more reliable considering that the program will come with a warrant (guarantee). In addition to this, the application may be able to address even unforeseen issues, thus, making the applications more objective (Stanford University, 2012). This is because the firm is more experienced in this sector.
The disadvantage is that purchasing a COTS time and attendance application and outsourcing a firm to customize the application may involve high initial and maintenance costs. Finally, this will require the management to train new personnel to manage the system or keep relying on the application provider for upgrading, which increases costs of installation.
Reaction of employees
Generally, employees tend to resist changes at the workplace and this particular change may not be welcomed politely (Boreham, 2008). Therefore, the old generation will be unhappy with the new changes. This is because the new system will ensure that employees are more effective considering that their schedule will be monitored and, hence, reducing time to idle around.
If the application operates effectively, employees will work effectively and, therefore, reducing any extra work, which requires the employee to work overtime for extra pay. This means that there will be no overtime for employees. Also, older employees will feel unhappy given that these changes may result in a loss of jobs for many of the workers, particularly during the low season.
By providing proper communication and ensuring that there are periods of capacity building on the use of the new system, the management will ensure that there is a smooth transition. In addition to this, the management should provide clear clarification and justification of its actions to enable employees to adjust accordingly. There is a need to train all employees before the implementation of this program (Stanford University, 2012). Training will help workers to learn the advantages of this technology.
In conclusion, modern technology has improved the business and other sectors in many ways. Thanks to modern technology, different issues of business management have improved greatly ensuring work efficiency. On the other hand, because of numerous changes in management issues, employees are experiencing many challenges causing a big conflict between the management and employees. To enable a smooth transition, there is a need to have proper communication and adequate training before initiating any management changes.
Reference List
Baltzan, P., & Phillips, A. (2009). Business-driven information systems. (2nd ed.). New York, NY: McGraw-Hill Irwin.
Boreham, P. (2008). New technology @ work. New York, NY: Routledge.
Stair, R., & Reynolds, G. (2011). Principles of Information System. Sydney: Cengage Learning.
Stanford University. (2012). Technology in the Workplace. Web.