An introduction to office machines

The advent of machines into the office is often thought of as a modern innovation and it is sometimes forgotten that their introduction goes back into the last century, starting with the typewriter and the telephone. This introduction of machines was responsible for far-reaching changes, not only in organisation, but also in the methods of work, in the tempo of the work, and to a large extent in the personnel of the office: particu­larly, it opened the door to the woman clerical worker without whose services present-day commerce and industry would come to a halt.

Nowadays a great deal is heard about the problems of mechanisation and the merits and disadvantages of employing office machines, but the basic problems have altered very little over the course of time, except in their magnitude. Whether the decision is to replace some hand-posted ledgers with a simple accounting machine or to revolutionise the entire office procedures with an electronic computer, the same basic questions arise. No generalisation can be made as to whether a machine or machines will result in benefits when installed and great care must be exercised by management, or those responsible to management, when assessing the advisability of purchasing or renting machines.

Because the problems are basic, however, it is possible to formulate some fundamental considerations which must be gone into when the possibility of mechanisation is being discussed, whether the mechanisa­tion is of one operation or whether it is of the whole of the office procedures.

First, the purpose to be served by the machines must be clearly defined and understood. Second, the impact of mechanisation on the office generally must be examined, and third the limitations of mechanisation must be recognised.

Initially, then, it is necessary to consider the areas of work where the machines’ capabilities can be utilised and the reasons for mechanising any particular clerical function. These may be set out as follows:

1. Most machines will carry out clerical operations more quickly than they can be done manually. The typewriter produces a letter far faster than it can be handwritten, and the electronic computer can work so fast that it can do in seconds work that would take hours by hand.
2. Machines will produce neater and more legible work. Again, the typewriter is far superior to modern handwriting, though the personal touch is absent.
3. Generally speaking, office machines save labour. Some office machines can do the work of several clerks, and their operation in many cases, such as addressing machines, does not call for great skill or much training. Even where highly skilled operators are called for the saving in personnel is usually significant, resulting in a reduction in the staff salary bill.
4. Many machines reduce the incidence of error. The tendency is to design office machines which require less and less operator interven­tion to complete their cycle of operations. Even where some manual operation is required very often automatic machine checks are built in which either call the operator’s attention to an error or even stop the machine from carrying on with the work.
5. Mechanisation very often reduces the incidence of fraud. Some machines, cheque writers for instance, are specifically designed to make fraud difficult: the use of other machines reduces the possibility of fraud simply because the operators are trained only in the operation of the machines and have insufficient knowledge of the general procedure to be able to devise a fraud.
6. It is claimed that mechanisation reduces fatigue and boredom. Undoubtedly much mental fatigue is caused when clerical work is done manually, which gives rise to many errors and a reduction in output. Mechanisation helps to avoid undue fatigue and its attendant troubles. The question of boredom is not so clear-cut. Whether machines decrease or increase this depends very largely upon the work to be performed and the personnel who do it.
7. Information of all kinds is needed in greater volume and far more quickly nowadays than in the past, and only the machine can cope with the demand. Hence the interest in computers, which can produce all sorts of statistics and other information very rapidly – information that is urgently needed in modern trading conditions. The speed of other office machines, however, also assists management by providing data much more quickly than is possible with most manual systems.
8. A question of prestige: certain machines are often desired and, indeed, installed for this aspect only. An electronic typewriter gives its operator status: such a machine will also be instrumental in keeping or helping to recruit staff.

The reasons, then, for installing office machines are many and varied, and in any particular case the reasons given for the installation may be the actual ones or may be self-justifying.

Machines are not a panacea for all the ills of an office, however, and mechanisation alone will not improve its efficiency. In fact, it may be the cause of a reduction in efficiency if the reasons for installing the machine are not valid, proper analysis of the job to be done is not made, or adequate preparation before the installation is not carried out. Indeed, in many cases a manual operation has an advantage over a mechanised one, sometimes because of greater flexibility and sometimes because it is actually quicker. For instance, it is much easier to produce a copy of a statement by hand than by computer because the computer in this respect is not flexible, and it is quicker to write envelopes, particularly where addresses are short, than to type them.

What are the disadvantages which may stem from the introduction of office machines? Some are more important than others, but they may be examined as follows:

1. Depending upon the type of machine under consideration, the amount of capital to be tied up is often put as a disadvantage, and a convincing and attractive estimate of the savings to be made must be produced before capital is released for the more expensive equip­ment. The claims of the factory for capital expenditure on machinery for production are often more favourably considered by many boards of directors than any claim the office may advance for equipment.
2. The introduction of machinery to carry out any office task previously done by hand will nearly always cause some unfortunate repercussions in the office systems generally, and very often it results in the reformulation of many of the office procedures with a reduction in their flexibility and ability to cope with non-routine work.
3. Noise is an accepted penalty suffered in the cause of progress, and the introduction of office machinery has also resulted in more noise in the office. Perhaps designers of office machines could pay more attention to this problem than they do, but reduction of noise in any equipment almost always causes higher cost or a loss of efficiency and in this period of intense competition it is doubtful whether any appreciable improvement will take place until buyers of office machines make quiet operation one of their first considerations. As it is, noise is one of the disadvantages of mechanisation.
4. Quite a number of office machines are reasonably simple to operate and do not need skilled operators. In addition, even the more complex equipment is evolving towards simpler controls. However, a large number of office machines do require skilled, trained operators, who can and do demand high salaries. It is economically disadvan­tageous to employ such personnel unless full use can be made of their services in the work for which they are engaged, otherwise there is the tendency to use them on lower-grade work which does not justify their scale of salary, thus offsetting the savings in costs brought about by mechanisation. A further consideration is the possible necessity to have a standby operator in case of the absence of the regular one.
5. Not only are special operators demanded by some machines but also special stationery. This, in turn, means extra stationery stocks, increased cost and the inevitable delay when the manufacturers do not keep to their delivery dates. Really effective stationery stock control is required in such cases.
6. Modern office machines, generally speaking, are extremely reliable but nevertheless there remains the hazard of machines being out of use through mechanical or electrical failure, and the consequent danger of a breakdown in the provision of part of the office services. The more complicated the machine and the more complex the procedure it serves, the greater the inconvenience to management if a breakdown occurs.
7. The products of office machines are, in the main, paper records, and these are produced quickly and relatively easily. This gives rise to one the rarely recognised dangers of installing machines: the production of records not because they are needed but because they are easy to produce and may possibly be useful. Files and filing baskets are crammed with papers that staff has no time to look at, resulting in unnecessary costs in storage space, equipment, stationery and labour. A human failing rather than a machine one, but a circumstance that must be recognised.
8. Any discussion of the disadvantages of using office machines would not be complete without the mention of obsolescence. The import­ance of the rate at which a machine becomes out of date is a matter of opinion. Some writers lay stress on the question of obsolescence, but provided the machine is doing its job effectively and ef ficiently it is doubtful whether this point is of very great importance. Ft would seem that the increase in operating efficiency and savings in op erating costs of a new replacement machine would have to be really significant to justify concern on this score.

For all but the most inexpensive machines, therefore, a careful appraisal of the work to be mechanised and the machine to do it must be carried out. This may be anything from a simple job analysis prior to installing a relatively simple machine such as a photocopier to a lengthy feasibility study on consideration of a computer. Not all work is better mechanised and a completely objective view must be adopted before this step is taken.

First, will the results of installing a machine be better work – more accurate, more legible, the creation of a better impressiom?

Second, will the work be done more quickly after mechanisation? Is this speeding up worth the expense of mechanisation and what repercus­sions will it have on the source of the data to be worked on and on the succeeding stages of the procedure? There is little virtue in increasing output in one department if the extra volume cannot be handled by the next one, or if the previous department is unable to feed material fast enough.

Third, how will the machine affect the cost of doing the job? Mechanisation should bring financial economies, and if it fails to do so there must be some other very significant benefit to be derived from it. Not only the cost of doing the mechanised job must be considered but also the effect on the costs of associated jobs, as well as the additional cost of storage where special stationery stocks have to be maintained.

Then the question of operation must be taken into account. Where skilled operators are required are they readily available or can existing staff be easily trained? Will the amount of time the machine will be in use every day justify the employment of specially skilled staff?

These are very significant questions that must have satisfactory answers before a decision to mechanise can be made, and it will be obvious that only by paying attention to these important questions will an objective view be taken.

So much office work is now mechanised that the problem facing office administrators is often not whether to mechanise certain procedures but rather whether particular machines currently in use should be replaced with more modern equipment. The same considerations are required for the replacement of machines as for the initial mechanisation, but the remarks previously made about obsolescence must be taken into account.

1. Selecting a Machine

The care needed to be taken in the actual selection of a machine is as great as that of the consideration to mechanise in the first place. The type of machine required can be decided only after the work to be done on it has been carefully analysed. It is, therefore, absolutely essential to investigate each operation in the procedure or procedures thoroughly in order that the right machine may be chosen for the task in hand. Other areas of possible mechanisation should also be considered so that a possible extension of the use of the machine can be noted for the future. Hence, where this is relevant, a machine capable of adaptation or programming for other work must be selected.

It should be noted that the majority of manufacturers are only too willing to give full information on the scope of their machines, and most of them have a consultancy service to advise potential customers. In addition, some of the simpler equipment can be borrowed on demonstra­tion loan to ascertain the benefits that will acrrue from its acquisition. Some machines such as electric typewriters, standard typewriters and calculating machines are freely available on this basis.

However, it must be remembered that the primary aim of a manufac­turer is to sell and any shortcomings in the equipment may not be brought to the client’s attention. In addition, some claims as to the versatility of a machine may be a little optimistic so far as speed or convenience in carrying out operations, other than the principal ones, are concerned. Hence, it is essential that equivalent machines of different makes be investigated thoroughly from all points of view before a final choice is made. If at all possible a friendly word with some other users may be advantageous in securing information as to a particular machine’s performance and reliability.

The pre-sales and after-sales service of the various manufacturers is also a very important aspect in the selection of a machine. Before the sale the manufacturer should be prepared to aid and guide the purchaser in advising on the precise equipment best suited to the client’s problems, on the necessary procedural changes in the work affected, and to make suggestions for expanding the use of the machine into other areas of work.

Where necessary, after the order is placed and before delivery is made, facilities for training operating staff should be provided and the services of a competent representative made available to advise senior staff on integrating the machine into the office system, on stationery and form lay-out and on other matters attendant on the installation of the machine.

After delivery, and for so long as is reasonably necessary, the manufacturer should be prepared to provide an after-sales service in continuing advice on the operation of the machine, advising and suggest­ing fresh uses and the provision of the necessary additional ancillary equipment. The buyer must beware of the make of machine where ancillary equipment ‘is planned’ but not immediately available, as sometimes this additional equipment never progresses beyond the deve­lopment stage.

Similarly, before an order is placed, it must be ascertained that regular and efficient maintenance facilities are obtainable and that spare parts and a prompt repair service are available at all times. The breakdown of a machine for which a spare part has to be awaited from somewhere abroad can lead to chaos in the provision of the office service. In some cases even a day’s breakdown can seriously interfere with the office programme. It must be emphasised that the vast majority of machines are backed by good maintenance and repair facilities but there are exceptions and this point has to be watched.

2. Procurement of Equipment

There are three ways in which office equipment may be acquired; by outright purchase, by hire purchase or by leasing.

2.1. Outright purchase

Outright purchase gives absolute ownership of the equipment concerned and so provides a fixed asset, albeit a depreciating one. It therefore gives management complete freedom to use or dispose of the equipment, and even at the end of its useful life it may still have some residual value. In addition, depending upon the financial legislation at the time, there will probably be tax relief on the purchase price.

Against these benefits must be set the disadvantage that capital expenditure is involved which might more usefully be employed in the more directly productive areas of the concern, and there may be a tendency on the part of management to retain in use equipment that it is no longer profitable to employ because of the need for expenditure of capital on more up-to-date equipment.

2.2. Hire purchase

This is a method which results in ultimate absolute ownership of the equipment concerned whilst at the same time limiting the amount of capital expenditure immediately necessary, the initial requirement being only the amount of the deposit.

However, it has serious drawbacks. The first is that interest rates on hire purchase agreements tend to be very high. The second is that the equipment remains the property of the finance house advancing the purchase money until the final instalment is paid. This means that the user cannot deal with the equipment freely (for example, the equipment cannot be sold or offered as security even if most of the instalments have been paid). Moreover, the hirer is usually responsible for all the usual and necessary servicing and maintenance. Further, depending upon the financial legislation at the time, there is no tax relief on the instalments.

An alternative to hire purchase is a commercial loan and such loans are offered by almost all finance houses, including the commercial banks. Loans have the advantage of minimum capital outlay, usually rates of interest are lower than those attaching to hire purchase agreements, and these arrangements do attract tax relief, subject, of course, to the financial legislation at the time of the transaction. Further, the equip­ment becomes the sole property of the borrower immediately.

3. Leasing Equipment

In the past it was usual for organisations to own all their own office machines, equipment and furniture financed by one of the methods described above. Recently, however, there has been a trend towards leasing these items and there are certain benefits in doing this. These include:

1. There is no capital outlay so funds are conserved and can be used for pursuing the main objectives of the organisation.
2. It is possible to try out a piece of new equipment over a lengthy period with the assurance of being able to replace it if it proves unsuitable.
3. When necessary, machines and equipment can easily be changed for newer, more efficient versions without the trouble of having to sell the existing ones.
4. In the case of equipment subject to much wear and tear, adequate maintenance provisions can be arranged in the leasing contract. Some contracts specify the loan of replacements during repairs.
5. Being revenue expenditure, the leasing payments attract tax relief.
6. Budgeting for office expenditure is simplified because the leasing charges are known exactly.

Against these advantages must be set the following drawbacks:

1. The equipment never becomes the property of the organisation and so has no residual value when disposed of.
2. In the long run leasing may be more expensive than purchase, even taking into consideration maintenance costs and depreciation charges on own equipment.
3. In certain circumstances there may be restrictions on the use of leased equipment.

With the ever-increasing use of office machinery the possibility of breakdown and consequent disruption of the office services is of concern to the office administrator. Two approaches can be taken in regard to this problem: a to enter into maintenance contracts or b to use machines until they break down and then call in a repairer. These two options can be considered under their own headings.

4. Maintenance Contracts

These provide for regular maintenance of machines and are analogous to preventive maintenance in the factory. The advantages of this are that machines are kept in good working order, breakdowns are kept to a minimum and so disruptions to workflow are few. The fact that equip­ment is regularly serviced also has a beneficial effect on the operators’ attitudes to their own care of their machines. The main disadvantage of maintenance contracts is that the costs for this service may total more than servicing breakdowns when they occur.

5. Repairs on Machine Failure

Where mechanics are called in only when a breakdown occurs there may be a saving in overall maintenance costs, though this will depend upon the intrinsic reliability and age of the equipment concerned and how it is treated in use. The adverse effects of this practice are that machines may not perform as efficiently as they might after a period, breakdowns mean machines out of action with the consequent disruption of work, and operators may have to spend time carrying out minor servicing instead of performing the work for which they are paid. Should constant break­downs occur because of lack of regular maintenance this may have an adverse effect upon operators’ attitudes.

The choice of which practice to adopt, apart from the attitude of management, depends upon the type of equipment involved (some are more prone to break down than others), the amount of continuous work the machines have to do, whether there is standby equipment or facilities readily available, and the care with which the operators use their machines.

This chapter is intended to be a general introduction to the question of mechanisation in the office; it tries to answer the question: ‘What points must be considered before acquiring office machinery and equipment?’ No specific type of machine has been dealt with and it follows, therefore, that the different points raised will have a different emphasis according to the particular equipment under consideration.

Source: Eyre E. C. (1989), Office Administration, Palgrave Macmillan.