ISYS104 Tutorial – week 4
Which features of organizations do managers need to know about to build and use
information systems successfully? What is the impact of information systems on
Define an organization and compare the technical definition of organizations with
the behavioral definition.
Students can make use of Figures 3–2 and Figure 3–3 in answering this question.
The technical definition for an organization defines an organization as a stable, formal
social structure that takes resources from the environment and processes them to produce
outputs. This definition of an organization focuses on three elements: capital, labor, and
production and products for consumption. The technical definition also implies that
organizations are more stable than an informal group, are formal legal entities, and are
The behavioral definition states that an organization is a collection of rights, privileges,
obligations, and responsibilities that are delicately balanced over a period of time through
conflict and conflict resolution. This definition highlights the people within the
organization, their ways of working, and their relationships.
The technical definition shows us how a firm combines capital, labor, and information
technology. The behavioral definition examines how information technology impacts the
inner workings of the organization.
Identify and describe the features of organizations that help explain differences in
organizations’ use of information systems.
Common features for organizations include formal structure, standard operating
procedures, politics, and culture. Organizations can differ in their organizational type,
environment, goals, power, constituencies, function, leadership, tasks, technology, and
Describe the major economic theories that help explain how information systems