Organizational Impact Paper
Tonya Hope
QI/361
October 14, 2014
Walter Kuchinksi
Organizational Impact Paper
In this paper I will discuss two types of organizational industries. I will discuss the manufacturing and the service industry and how innovation, design and creativity affect the organizations. A manufacturing industry is an organization that produces intangible and tangible products. For example the Chrysler Company produces the Concorde automobile that is designed by a team of management. The design team is in charge of making tangible and intangible products. The products that are produced are for different types of skill sets and designs. The Chrysler Concorde has 10,000 unique parts, the development team consists of 850 people and the price of the car is 19,000. The Chrysler Concorde development time 3.5 years and 1 billion dollars. Chrysler has put a lot of time and money into the Chrysler Concorde. The main goal of Chrysler Company is its budget and what it takes for the company to be successful. A service industry is the online banking industry. The chapter discusses how online banking is a service that makes banking convenient for travelers and busy people.
When understanding the successfulness of a company, the company also has to consider constraints. Some constrains are the companies budget, materials and characteristics. The development team has to be aware of the companies’ constraints and investigate and outset. Constraints can also reference a design problem. The design problem has different environmental constraints. The environmental constraints are nomological and social, legal political and economic. When the final design is accepted this is called and mandatory constraint it provides boundaries for the projects. These constraints are irremovable and are government regulated and depend on different parties to address boundaries. When products are new there are fewer constraints. This allows the design team to focus on the technical issues and enhance the products. The Law of Requistie Variety “(Ross Ashby, 1964) states that if a problem is to be solved, the variety of the response must be equal to or greater than the variety of the problem, that is the complexity of a response must at least match the complexity of the problem”. (Stamm, 2008 “Contextual Factors at the Industry Level”).
At the contextual industry level innovated projects have problems. At the industry contextual facts are a level professional dominance, speed changes, life cycles, industry norms and globalization. Professional dominance is bringing different industries together with different backgrounds. Speed of change is how fast new products enter the market. An example the book used are computers and the rate of how fast computer are out dated. Cars have a much longer life cycle compared to computers.
Managers like to enter new products in to the industry. Entering ideas into the market should be handled with caution. Manager sometime take shortcuts to introduce products to the market. This reaction results into creating problems that need solutions. Life cycles and norms of products are important they create completion mergers and decrease price in the markets. The Sony Walkman for an example, this product was created to focus on the quality of sound and
