Role of Personnel and Technology Capacities in an Organization
In the contemporary business environment, organizational performance is significantly enhanced by personnel and technology capacities. For companies to realize their objectives embedded in their mission and vision statements, technology must be integrated with human labor. Firms that use the above approach enjoy benefits, such as lowered costs of production, declining expenses, and an improved revenue base. These organizations are also able to expand their operations quickly to international markets, innovate products and services faster, and maintain positive customer relationships. Capacity, therefore, is the lifeblood of many companies that are able to boast significant capture of the available market share. Through this strategy, organizations create value for their customers and operate sustainably in the long term. It is capacity that enables firms to maneuver through difficult economic times and handle crises gracefully as competitors terminate operations under the weight of these external pressures. Therefore, capacity is essential for organizational performance in today’s dynamic business context and primarily in enhancing the delivery of goods and services to clients.
In the contemporary business environment, organizations compete fiercely for available customers. These firms use all manner of strategies to outperform one another, and technology has been proven to be the most efficient way of competing efficiently in the modern market context. Businesses rely on technology to improve their service and product delivery mechanisms, a strategy that helps them capture their target consumers’ interests significantly. Technology, therefore, has become a necessity for firms that want to maximize value for their consumers and internal employees. Organizations use technology, such as artificial intelligence and augmented reality, sensors, virtual reality, machine learning, and big data to improve their service and goods delivery processes (Cascio & Montealegre, 2016). These processes strengthen the capacity for an organization to compete in today’s complex market environment in a considerable manner.
Organizations use technology capacity to lower the costs of products and services they provide to consumers, which results in decreased prices and high-quality items that attract customers. Today, many organizations have automated processes, such as refining raw materials to the end-user product, weighing the final goods, and packaging them in readiness for delivery to consumers on time. Moreover, organizations have integrated lean production computations into their technology used to refine raw materials into end products so that only limited resources are used (Cascio & Montealegre, 2016). This process helps firms avoid wastage of raw materials and results in optimized production of goods, which is the ultimate goal of every organization that intends to remain operational in an industry in the long term. Organizations that use technology to produce goods and services cut on costs that they would incur if they hired human labor for production purposes, which implies that, eventually, expenses remain controllable. Lower production costs often translate to goods and services that are priced lowly, which is the main objective of many firms: to give consumers high-quality products at low prices.
Additionally, technology helps organizations eliminate the challenges of time and physical geographical distances as operations are conducted online and more clients are reached. Today, firms can create websites and then upload their products and services to increase accessibility for consumers. The modern client does not have to visit brick-and-mortar stores in defined geographical spaces that are constrained by time to buy goods and services (Cox et al., 2018). Suppose a consumer in international spaces wants to purchase products from their favorite store or service provider. In that case, all they need to do is visit their website, click on the items they want, pay using their e-wallet, and then wait for deliveries. Organizations have integrated artificial intelligence in their websites that calculate for the client the total cost of their products, remit payment to the business e-wallet, and alert them of when they can expect delivery. Businesses also use technology to track ordered goods delivery to clients and process any complaints they receive promptly.
The efficiency created by technology has helped organizations control expenses and lower operations costs, as communication with clients is cheaper. These technologized businesses also cut costs by liaising with suppliers in the consumer’s region and then sending alerts for impending delivery through technologies like emails, international calls supported by the Internet, Zoom meetings, or Skype conversations (Cascio & Montealegre, 2016). Overall, technology has played a significant role in cutting organizational costs, controlling expenses, and considerably improving the efficient delivery of goods and services.
Similarly, personnel in an organization are capacities whose potential can be maximized to aid in the realization of set objectives quickly. It is the employees in an organization that help it foster customer relationships by embodying excellent client service behavior when delivering goods and services to consumers (Osborne & Hammoud, 2017). Through these acts, businesses are able to maintain their market share and capture new clients, proving the essentiality of personnel for the attainment of set goals. Moreover, employees in an organization are often the first point of contact when clients have complaints. Suppose an organization is conscious of the importance of personnel. In that case, it will have trained them to manage consumer grievances so that they can sell company concern for customers in their capacities. Further, personnel help in the building of a positive brand image for organizations considerably, thereby increasing their chances of survival even during economic crises. Firms rely on their employees in service industries to deliver excellence to consumers, implying that they would not be operational in the long term in their absence.
Personnel in an organization also increase its survival by engaging in efficient recruitment, hiring, training, and retaining of workers. Many organizations that have managed to remain operational for a long time have a human resources department that recruits employees that add value to their existing product and service delivery models. The department also organizes frequent learning and development sessions for employees to strengthen their skills and knowledge base to deliver business products and services to clients in a competitive manner (Wassem et al., 2019). Moreover, it is the personnel in organizations that are consistently involved in devising innovations that improve the competitiveness of their employers in the market environment (Anuar & Shahibi, 2018). In the absence of personnel, firms would not be able to create strategies that would enable them to compete effectively, such as engaging in disruptive creative ways of packaging goods or providing services. Lastly, it is the management personnel of an organization responsible for designing strategic approaches of governance as a way of enhancing their competitiveness in the market. Firms have executive personnel that control their internal operations in a synchronized manner to actualize set objectives. Therefore, overall organizational service and product delivery is significantly enhanced by technology and personnel capacities.
References
Anuar, N. B., & Shahibi, M. S. (2018). The effect of knowledge management capacity in innovation performance. International Journal of Academic Research in Progressive Education and Development, 7(3). https://doi.org/10.6007/ijarped/v7-i3/4369
Cascio, W. F., & Montealegre, R. (2016). How Technology Is Changing Work and Organizations. Annual Review of Organizational Psychology and Organizational Behavior, 3, 349-381. https://doi.org/10.1146/annurev-orgpsych-041015-062352
Cox, K., Jolly, S., Staaij, S. V., & Stolk, C. V. (2018). Understanding the Drivers of Organizational Capacity. RAND Corporation. https://www.rand.org/content/dam/rand/pubs/research_reports/RR2100/RR2189/RAND_RR2189.pdf
Osborne, S., & Hammoud, M. S. (2017). Effective employee engagement in the workplace. International Journal of Applied Management and Technology, 16(1). https://doi.org/10.5590/ijamt.2017.16.1.04
Wassem, M., Baig, S. A., Abrar, M., Hashim, M., Zia-Ur-Rehman, M., Awan, U., Amjad, F., & Nawab, Y. (2019). Impact of capacity building and managerial support on employees’ performance: The moderating role of employees’ retention. SAGE Open, 9(3). https://doi.org/10.1177/2158244019859957
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Question
Organizational performance is often viewed simply as a manner of managing increasing sales results while controlling expenses. The important role of capacity within organizational performance is often overlooked or taken for granted. In this first week of the course, you will learn about the nature of capacity in an organization and how capacity relates to objectives. Producing goods or services can only be accomplished by utilizing the capacity of the organization. The first assignment provides a focus on how capacity directly relates to successful organizational performance.
The second assignment emphasizes the necessity of assessing capacity with the deliverables the organization plans to provide. From this assignment, you will realize the importance of aligning capacity and objectives in an exercise known as capacity planning.
Technology has become a fundamental resource in housing, transmitting, and building capacity. Among the benefits of technology are the increased speed of development, increased storage of capacity, and increased access to serve customers around the globe. These benefits allow an organization to improve its capacity more quickly, maintain more capacity, and provide its goods and services to more markets in distant places.
Signature Assignment Preview
Your culminating Signature Assignment (due in Week 8) will be a reflection of all that you have learned within the course, including capacity and objectives, growth forecasts and capacity, sustaining and improving capacity, and the role of leadership in maintaining and growing capacity.
For this assignment, you will research and write a paper on the nature of capacity in an organization and the role capacity plays in producing deliverables. You will need to learn that producing goods or services can only be accomplished by utilizing the capacity an organization possesses.
Incorporate these components into your paper:
Research the peer-reviewed sources regarding the role that capacity plays in a given organization or a group of organizations.
Isolate the key components (personnel and technology) of capacity in an organization.
Discuss the functions these components play in the delivery of the organization’s goods and/or services to customers.
Length: 4-6 pages, not including title and reference pages
References: Include a minimum of 5 scholarly resources.