SOCI 235 Lecture Notes - Lecture 14: Piece Work, Contract Management, Deskilling
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SOCI 235 – Technology and Society
The Computer and the Organization of Work – Oct. 23rd
Graph: Annual average productivity growth, selected OECD countries
• In every country, productivity growth peaks at same time, then declines – 1950-1973
• Last period, 1973-1987 represents the speed and rapid spread of personal computers
• ou a see the opute age eehee, eept i the podutiit statistis
• Productivity growth is slow in the computer age – why?
o 1. Problem with the evidence – measures are inadequate
o 2. Difficulties in applying general purpose technology
Computers have spread widely into the workplace:
• The use of the mainframe spread in the 1950s, 60s, and 70s
• 1980s – use of personal computers spread
• 1990s – networked computers were developed and diffused across workplaces
As the use of computers developed and diffused across workplaces, productivity growth in
richest countries slowed – what explains this slowing of productivity growth while a new
technology diffuses? → 2 reasons
1. Problems in the measurement of productivity growth
a. Standard growth accounting methods do not adequately measure the benefits
associated with i) quality improvements, ii) product innovation, iii) better
customer service, including speed of delivery
2. Difficulties in applying GPT – General Purpose Technology
a. Often argued that computers can only be sued effectively if the right sorts of
employees are available and if product organization is suitably adjusted
b. Use of computers has implications for the demand for skills, they could only
contribute to productivity growth if employees with the necessary skills are
available
c. Computers reduce the cost of smaller batch production – producers had to
recognize this to use them effectively
d. Related to points above, efficient use of computers may require a substantial
reorganization of production, including shifting from more responsibility in the
work process to workers themselves
The problems with measuring the benefits of computers:
1. Enormous improvements in quality – question is, does GDP take into account the
changes in quality of computers, probably not
2. Computer provides new products – games, spreadsheets, etc.
a. Does GDP capture value of new products, people are getting out more than the
oe the’e spedig eause the ae gettig a etiel e epeiee
3. What have computers been used for? Logistics! Goods are then delivered more rapidly;
this does’t eessail sho up i GDP statistis
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Argument can e ade that podutiit easueets do’t take ito aout all the eefits
of computers
• O aothe had, thee ae eaples of iestet teholog that has’t paid off
Influence of computers on skill levels
• Computers require literacy, not all previous jobs required it
• Hard to now hold a job without literacy
• Almost certain that spread of computers has increased skill levels – everyone has to be
literate
• People need to be able to read charts, diagrams, symbols, etc. in plants or mills
o This skill is eessa hee it as’t 50 eas ago – i.e. capacity or read charts
• Counter argument:
o The old ways of doing things required different skills
1st conclusion → computer industry has increased skills
Some things worth considering:
• Increased demand for literary implies an increased demand for more skilled employees
• Computer-related skills have to be compared with previous skills – those required
before computer control of manufacturing processes was introduced
o Often required close proximity to production process
o Before introduction of computer control, operators in paper industry i) had to
assess whether bulges were developing in rolls of paper during winding, ii) are
said to have been able to assess the adequacy of chemical pulping process
through observation of colour of fluids released during the process, iii) said to
have been able to assess whether acidity of paper was correct by putting it on
their tongues
• Possible that skill levels required for pre-computer controlled processing were
equivalent to those now required, but were different
o I) education levels required of process workers have risen
o Ii) in 1980s, aggressive commitment to upgrading skills in non-union mills in the
United States
o Iii) some of older skills may have been romanticized s
Influence of computers on small batch production – problem of batch production
• They classify assembly production into:
o 1. Manual – someone working with hand tools to make something
o 2. Dedicated-machine assembly – use of one or more machines designed to
produce something with specific characteristics/dimensions
o 3. Programmable assembly – use of computer controlled machines that can be
reprogrammed to produce things with a range of characteristics/dimensions
• What happens to unit costs output within each technological form?
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Document Summary
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