Technology and Organizational Evolution: An Institutionalisation Perspective

Abstract

In contemporary business organizations, technology provides the foundation around which organizations evolve and mature. It not only aids organizations in enabling strategic business objectives through automation of operations, but with their information processing and decision support capabilities, these technologies also aid in business planning and management. Thus, the scope of these technologies extends from strategic enablers to strategic advisors. The literature suggests various perspectives on the role of technology in organization, i.e., techno-centric, human-centric, and technology institutionalisation. This paper aims to look at technology lifecycle process, through the lens of technology institutionalisation perspective. According to the institutional view and theories, there are various sub institutions operating in a broader environment of organization, such as organizational culture, social structure, and competitive environment. The organization thrives on the mutual interactions of these sub institutions and establishes its legitimacy. When technology becomes institutionalised, it is taken for granted by its users within the organization. This means that they are comfortable with technology and can employ its features effectively in their routine activities without requiring functional consultant or coach support. Moreover, an overview of literature on technology deinstitutionalisation and institutional change is presented in this paper which aims to study how old technologies of the organization and legacy systems are changed and replaced with new ones.