These costs will be associated with maintaining the new technology introduced. Furthermore, training of employees to use the technology will also be costly and time consuming. More so, training employees could also lead them to leave the business in order to start up a new business because of the training given by management. Therefore, making the productivity level of the business down. If more technologies are changing then more training will be needed and this could lead to further employees leaving their Jobs.
Also redundancy costs will be increased if staffs are being replaced by technology. For example, in the US the manufacturing industry alone over 2. 7 million Jobs have been lost since 2001. As we have seen above cost leads to unemployment due to technology. Labor relations can be damaged due to poor introduction of technology. This will lead to employees to feel that their health and safety Is In danger. This Is due to not informing them on how to use the technology and not telling them about the health risk associated with the new technology.
Jobs will be lost as a result and this now will UT a strain on government to care for the welfare of these unemployment workers. Employees may feel that Job security may be lost due to the employees losing their jobs. That is employees feel that management does not care about their well being and they are more focused on the technology so, this will lead to the motivational levels of employees will decrease For example, CEO of PepsiCo Inc. Plans to cut 8,700 lobs or about 3 percent of the PepsiCo global workforce and boost marketing spending for its brand by as much as $600 million. It may save about $1. Billion by 014. Trade unions can also step in to oppose technological change if employees feel that their Jobs are in Jeopardy. With the intervention of trade unions they can oppose management and this could lead to the production process being halted. Looking back at the previous point, data protections also oppose a problem. The right to hold data on staff and customers Is controlled by national laws and the business must keep up-to-date with these legal constraints on its use of IT. In addition, employees leaving may also use or steal data from the business in order to alp with their new business idea when they leave.
Reliability of new technology plays an Important function In the business. The whole process to be halt. For example, several explosions of Samsung mobile phones have been reported. A Swiss teenager was left with second and third degree burns in her thigh due to her Galaxy Ex.’s explosion followed by two more Galaxy SO explosions in Switzerland and Ireland. A house in Hong Kong was set on fire by a Samsung Galaxy SO in July 2013, followed by another minor burnt Galaxy SO in Pakistan. Also a South Korean student’s Galaxy SO battery also exploded in 2012.
In addition, they may teething problems with new systems and the expected gain in efficiency may take longer to be realized than forecasted. This means that cost will need to be used to pay for repairs and maintenance of these systems. Furthermore if the production process is halted then the productivity level of the business will decrease leading to no sales and profits for the business leading to business failure. In addition, managements must also fear technological change as much as their Rockford does especially if they are not computer literate themselves.
So management will try to limit the introduction of new technology into the business. In addition recognizing the need to change and managing the technological change process require a great deal of management skills. This means that managers will need to be trained in order to manage the new technology introduced into the business. In conclusion, if businesses would like the benefits of technology in their business they should ensure that they analyze whether the technology is needed into the equines in making it efficient.
Involvement of managers and staff meaning allowing them to give feedback of the new technology introduced. Evaluate whether it is the best system and the budget available for the system can be formed. Planning is an important factor because notifying employees and staff about new technology and demonstrating to everyone will allow them to be familiar with the new technology. Lastly, monitoring the introduction and effectiveness of the system will benefit the business in terms of how or what can be done to improve performance.