Abstract
This chapter reviews Galbraith’s original theory of organizational information processing and its proposed advancements. Original theory version describes uncertainty, especially task uncertainty, as the determinant of an organization’s structure. Four strategies are proposed to solve the organizational design problem: creation of slack resources and creation of self-contained tasks reduce the need for information processing. Investment in information systems and creation of lateral relations are strategies to reduce this uncertainty by increasing the capability of information processing but also has its limitations. Interpersonal characteristics as well as interdepartmental and interorganizational relations determine the organizational design problem, not just task uncertainty. Therefore, equivocality has to be reduced besides uncertainty. The additional factors are presented and integrated in a new model based on the original theory. The relevance of organizational information processing theory in the context of IT is demonstrated by practical examples, for explanation, justification, and integration of IT. Theoretical basis can be used to disclose possible reasons for problems and different outcomes which are arising in the case of IT adaptation.
During the preparation of this chapter, the author was an exchange student at Swansea University, funded by the ERASMUS Programme of the European Union.
This is a preview of subscription content, log in via an institution.
Buying options
Tax calculation will be finalised at checkout
Purchases are for personal use only
Learn about institutional subscriptionsAbbreviations
- CNC:
-
Computerized numerical control
- ERP:
-
Enterprise resource planning
- IS:
-
Information systems
- IT:
-
Information technology
- OIPT:
-
Organizational information processing theory
References
Ahmad, S., Schroeder, R. G., & Mallick, D. N. (2010). The relationship among modularity, functional coordination, and mass customization: Implications for competitiveness. European Journal of Innovation Management, 13(1), 46–67.
Anandarajan, M., & Arinze, B. (1998). Matching client/server processing architectures with information processing requirements: A contingency study. Information & Management, 34(5), 265–274.
Argyres, N. S. (1999). The impact of information technology on coordination: Evidence from the B-2 ‘stealth’ bomber. Organization Science, 10(2), 162–180.
Bensaou, M., & Venkatraman, N. (1995). Configurations of interorganizational relationships: A comparison between U.S. and Japanese automakers. Management Science, 41(9), 1471–1492.
Burke, K., Aytes, K., & Chidambaram, L. (2001). Media effects on the development of cohesion and process satisfaction in computer-supported workgroups – An analysis of results from two longitudinal studies. Information Technology & People, 14(2), 122–141.
Chidambaram, L. (1996). Relational development in computer-supported groups. MIS Quarterly, 20(2), 143–165.
Chou, S.-W., & Chang, Y.-C. (2008). The implementation factors that influence the ERP (enterprise resource planning) benefits. Decision Support Systems, 46(1), 149–157.
Cooper, R. B., & Wolfe, R. A. (2005). Information processing model of information technology adaptation. An intra-organizational diffusion perspective. The DATA BASE for Advances in Information Systems, 36(1), 30–48.
Daft, R. L., & Lengel, R. H. (1986). Organizational information requirements, media richness and structural design. Management Science, 32(5), 554–571.
Daft, R. L., & Macintosh, N. B. (1981). A tentative exploration into the amount and equivocality of information processing in organizational work units. Administrative Science Quarterly, 26(2), 207–224.
Fairbank, J. F., Labianca, G., Steensma, H. K., & Metters, R. (2006). Information processing design choices, strategy, and risk management performance. Journal of Management Information Systems, 23(1), 293–319.
Flynn, B. B., & Flynn, E. J. (1999). Information-processing alternatives for coping with manufacturing environment complexity. Decision Sciences, 30(4), 1021–1052.
Galbraith, J. R. (1973). Designing complex organizations. Reading: Addison-Wesley.
Galbraith, J. R. (1974). Organization design: An information processing view. Interfaces, 4(3), 28–36.
Gattiker, T. F. (2007). Enterprise resource planning (ERP) systems and the manufacturing-marketing interface: An information-processing theory view. International Journal of Production Research, 45(13), 2895–2917.
Leonard-Barton, D., & Kraus, W. A. (1985). Implementing new technology. Harvard Business Review, 63(6), 102–110.
Morton, N. A., & Hu, Q. (2008). Implications of the fit between organizational structure and ERP: A structural contingency theory perspective. International Journal of Information Management, 28(5), 391–402.
Stock, G. N., & Tatikonda, M. V. (2008). The joint influence of technology uncertainty and interorganizational interaction on external technology integration success. Journal of Operations Management, 26(1), 65–80.
Williamson, O. E. (1985). The economic institutions of capitalism. The Free Press: New York.
Zmud, R. W. (1979). Individual differences and MIS success: A review of the empirical literature. Management Science, 25(10), 966–979.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2012 Springer Science+Business Media, LLC
About this chapter
Cite this chapter
Haußmann, C., Dwivedi, Y.K., Venkitachalam, K., Williams, M.D. (2012). A Summary and Review of Galbraith’s Organizational Information Processing Theory. In: Dwivedi, Y., Wade, M., Schneberger, S. (eds) Information Systems Theory. Integrated Series in Information Systems, vol 29. Springer, New York, NY. https://doi.org/10.1007/978-1-4419-9707-4_5
Download citation
DOI: https://doi.org/10.1007/978-1-4419-9707-4_5
Published:
Publisher Name: Springer, New York, NY
Print ISBN: 978-1-4419-9706-7
Online ISBN: 978-1-4419-9707-4
eBook Packages: Business and EconomicsBusiness and Management (R0)