Reference no: EM132307221

In a study in the Journal of Science entitled "Google Effects on Memory: Cognitive Consequences of Having Information at Our Fingertips," researcher Betsy Sparrow suggests that, when people don't know something, they tend to think about where to find it online before they try to remember it. In other words, they try to locate the information externally, rather than internally. Sparrow indicates people have always used external memory sources, such as other people in their work and/or home lives. However, it is now easier to look up the information online rather than call or ask another person or even search their own memories for the answer. 

 

• Sparrow suggests that we look up information we need online instead of calling another person who may know the answer. What impact could this have on organizational communication?
• Does the "Google effect" enhance or hinder a boundaryless organization? In what ways? 

 

Tom and Eddie's, is an upscale hamburger restaurant in the Chicago area. Started in 2009 at the height of the recession, the partners had difficulty securing bank financing, so they financed the operation themselves with the help of a third partner. The partners had long and successful careers as executives with McDonald's and, recognizing the importance of the financial function, they hired another former McDonald's executive as CFO. Tom and Eddie's had 3 restaurants and wanted to expand to 10 stores and then franchise the operation. There are many considerations in planning and opening new restaurants, including the demographics of the area, the square footage of the surrounding commercial space, ease of access and even the design of furniture and equipment. The restaurants incur "known" costs, such as rent, payroll, taxes, utilities and other recurring costs, and cash flow is important in managing these costs because of the significant "unknown factor," which is sales. Tom and Eddie's also use a very technology-intensive inventory management and control system because of the perishable nature of the ingredients used by the restaurants.

 

• Consider the different types of budgets discussed in the chapter. Which type of budget appears to be the most important to Tom and Eddie's CFO?