IT and Organizational Change in Digital Economies: A Socio-TechnicalApproach Rob K/lag Indiana Un iversi~ h~p ://ww w.sk~, indiana, edu/k linS Roberta Lamb Case l.~stern Reserve University http.'//insG,cwru. edu/rlamb 1. Introduction to the Digital Economy and Organizational Change Many people are enthusiastic about the prospects of a digital economy (sector) energizing the larger US economy. Much of the speculation and reporting emphasizes new business models - a fun topic. However, it is easy to assume that business firms and public agencies can readily change to take advantage of new business models whcn they decide which ones are most appropriate. Regardless of the specific business models that are devised and selected, they have to be enacted by organizations in order to realize their expected economic and social value. We know that organizations are imperfect implementers of business strategies, even those that appeal to many experienced managers. For example, between 1993 and 1995, Business Process Re-engineering (BPR) was enthusiastically advanced by the popular business press and was tried by a substantial number of our major business firms, despite high costs and a high failure rate (75%) (Bashein, Markus, and Rile> 1994). Many professional managers have now become wary of BPR, and
/lp/association-for-computing-machinery/it-and-organizational-change-in-digital-economies-a-socio-technical-9G45zYEjAu