Employee Empowerment In MACS Design

16553 Words 67 Pages
Register to read the introduction… The reason is that the MACS is the central information system in most organizations. Like all information systems, its benefits are a direct function of the quality of the information contained in it, and whether employees find it useful for decision making. Asking for input about system design and the kinds of information that should be generated from the system from those employees who work with a MACS on a routine basis (and in some cases even for those who only use the system on a limited basis) has several effects. First, the system is updated with information that comes from employees who are closest to their jobs and hence know what information they need. Second, through participation employees will feel that they are having a direct effect on their work environment and this could increase their motivation and morale. Third, the organization as a whole benefits because it is able to obtain the most up-to-date information and at the same time potentially increase motivation for its employees to perform. The situation that organizations want to avoid is one in which uninformed people design the information system without really understanding the information needs of employees. When this occurs, employees believe that the system is useless and begin to develop their own private information systems to get their work done and gauge their performance. Clearly, if many employees are developing their own systems, there is little coordination throughout the organization regarding information, and a formal system is largely …show more content…
Senior management can simply determine by fiat what each subordinate manager’s budget will be. This may be the most appropriate method if subordinate managers are not very knowledgeable about the budgetary process or if the organization is simply trying to save time and the resources involved with the other two types of budget-setting methods. The disadvantage of setting budgets in an authoritarian manner is that subordinate managers have very little ownership of the budget, since they were not involved in any way with setting the budget. This lack of ownership could lead to decreased motivation to achieve the budget. Further, managers never really learn about the budgeting process and will always be left in the dark. Finally, the organization misses out on the insight and information about local operations that subordinate managers may

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