Technology Key To Business Success

Published Date: 02 Nov 2017

Introduction

Recent research in (Entrepreneur Media : 2013) state that Information technology can be define as set of tools, processes, and methodologies such as coding programming, data communications, data conversion, storage and retrieval, systems analysis and design, systems control and associated equipment employed to collect, process, and present information. In broad terms, IT also includes office automation, multimedia, and telecommunications. From the point of entrepreneurship, IT definition is a term that encompasses all forms of technology used to create, store, exchange and utilize information in its various forms including business data, conversations, still images, motion pictures and multimedia presentations.

Objective

The objective of this assignment is to analyze the information technology as the key to the business success. IT is a modern tool that leading in the global market that helps almost all side of industries in the business, management and operations. IT helps us to provide data, services, documents, and smooth the productions. Leveraging information technology for business success is a key to survival in the modern business world.

Content

Information technology has grown to permeate the business world, affecting how companies make and market their products, as well as how people communicate and accomplish their jobs in modern organizations. Specialized software shapes best-practices and industry standards, continually changing the face of business in almost every way.

Production technology has allowed modern companies to make great strides in operational efficiency and the effectiveness of human resources. Automation technology, such as assembly lines and computer-controlled machinery, can allow companies to produce unprecedented volumes of goods, and advances in transportation technology allow businesses to ship their products anywhere in the world. Information technology has also changed the way that companies operate internally. Personal computers have become a necessity for a large majority of corporate jobs, and many manual labor jobs require the use of a handheld computer or other electronic device as well.

Leveraging advances in communications technology is imperative to surviving in the modern business world. Advances in cellular phone technology have revolutionized the way businesspeople communicate with clients, employees, suppliers and strategic partners. The Internet has revolutionized the marketing function in addition to opening up a wide range of communication options. Modern smart phones are changing the game yet again with the introduction of new and innovative applications. A small business owner can now access a web-based customer relationship management service on a smart phone from anywhere in the world, for example, allowing him to obtain vital data about contacts before making calls.

While information technology solutions can contribute to the success of your organization, there are a number of unique costs to consider. In addition to the cost of implementing an IT solution, you must employ highly educated and specialized workers to maintain, monitor, expand and repair your IT infrastructure.

Modern information technology has gained popularity rapidly since the mid-twentieth century, and the trend is likely to continue into the future. As IT solutions continue to increase the efficiency and effectiveness of business operations and communications, businesses will continue to rely on IT for success.

Advantages of IT in business

Information technology helps the management of company to be more efficient and more organize in the production. By applying the IT advantages, they can upgrade their communication skills, production, administration, and smooth performance in work place. Since computerized systems are so widely used, it is advantageous to incorporate information technology into your organization. The security system will also be upgraded through efficient IT system.

Information technology creates electronic storage systems to protect your company's valuable records. According to the Graziadio Business Report, published by Pepperdine University, secure maintenance of customer and patient files is vital to business integrity. Storage systems, such as virtual vaults, keep information safe by only allowing certain users within your company to access, withdraw, add or change the documents. IT security engineering systems protect your electronic information from being hacked, or wiped out during a technological disaster. Electronic security engineering means your valuable records will remain untouchable.

In business, people look for ways to do more work in a shorter amount of time. A November 2000 newsletter published by the Federal Reserve Bank of San Francisco explains that information technology improves your company's efficiency by developing automated processes to take burden off your staff. In turn, your employees are free to work on other things while the computer runs their reports, creates queries, tracks projects and monitors financials.

IT systems give you remote access to your company’s electronic network, so that you can work from home or on the road. This accessibility allows you to increase your productivity because you can still get work done, even when you aren’t physically in the office.

Communication is essential to the business world, and information technology gives your company the resources it needs to communicate quickly and effectively. Your IT department can hook your employees up with email, video conferencing equipment and internal chat rooms, so that they always have an efficient way to conduct business and communicate.

Disadvantages of IT in business

First disadvantage of IT in business is implementation expenses. Every business must consider startup costs when implementing any type of information technology system. In addition to the cost of hardware and software, some technology vendors require businesses to purchase user licenses for each employee that will be operating the system. Businesses must examine the cost of training employees in unfamiliar technology. Although basic information technology systems may be user friendly, advanced programs still require formal instruction by an expert consultant. In addition to the startup expenses, information technology systems are expensive to maintain. Systems malfunction, and when they do, businesses must engage skilled technicians to troubleshoot and make the necessary repairs. These expenses present a major disadvantage of information technology in business, particularly to businesses that are entering the technology era for the first time.

By referring to the (Entrepreneur Media : 2012) job elimination is the second disadvantage of IT in business now. Implementing information technology into business operations can save a great deal of time during the completion of daily tasks. Paperwork is processed immediately, and financial transactions are automatically calculated. Although businesses may view this expediency as a boon, there are untoward effects to such levels of automation. As technology improves, tasks that were formerly performed by human employees are now carried out by computer systems. For example, automated telephone answering systems have replaced live receptionists in many organizations. This leads to the elimination of jobs and, in some cases, alienation of clients. Unemployed specialists and once-loyal employees may have difficulty securing future employment.

In addition, the ability to store information in an electronic database facilitates quicker, more efficient communication. Security branches also come as the issue in the IT. In the past, an individual would sift through stacks of paper records to retrieve data. With properly implemented technology, information can be recovered at the touch of a button. Although information technology systems allow business to be conducted at a faster pace, they are not without their flaws. Information technology systems are vulnerable to security breaches, particularly when they are accessible via the Internet. If appropriate measures are not in place, unauthorized individuals may access confidential data. Information may be altered, permanently destroyed or used for unsavory purposes.

Discussion

In the business strategy concept, do we think about the impact of IT in our business which is trying to grow up? What are the big impacts towards our management and production? For a new company which starting in building a new life, there are many important part we should consider with such as accounting, startup cost, time management and the communication.

It is a little bit hard to manage a new accounting account for our company by our own. Modern accounting software packages simplify the process of setting up accounts and posting daily transactions. Managing accounts with a small-business accounting package such as Microsoft Money or QuickBooks can eliminate the need to hire full-time or third-party accountants. Accounting software also assists managers by creating informative reports and financial statements to increase decision-making effectiveness.

Internet becomes important software that need by all people nowadays either to manage business, daily use or communication with other connections. The internet will make us interact with a million numbers of lines globally. The Internet has all but leveled the playing field for small-business marketers competing against established businesses. With advanced video and graphics editing software, small-business owners can create professional marketing materials that reach thousands or millions of viewers online. Entrepreneurs can take advantage of cost-efficient web marketing tools such as Google AdWords to spread targeted marketing messages to a broad audience or a select niche. Several small businesses can share expensive advertising space online through banner- and traffic-swaps.

Despite the numerous advantages granted by modern technology, there are still drawbacks to technology's inseparable relationship with the business world. One such drawback is the increase in startup expenses for new businesses. Almost every new business requires computer workstations, multiple telephone lines and network infrastructure before it can begin operations. Bootstrap entrepreneurs can often get away with using their own PCs and cell phones during the startup phase, but serious new ventures undertaken by experienced entrepreneurs usually involve large infrastructure projects to accommodate rapid growth.

Time management is crucial for any small-business owner. Freeing up time from administrative minutiae can allow you to focus on more productive activities, such as drumming up new business and making vital contacts with suppliers and potential strategic partners. Advances in computer and cellular telephone technology allow business owners unprecedented access to in-depth scheduling and customer relationship management software, enabling busy entrepreneurs to hold "face to face" meetings online, from anywhere in the world.

Conclusion

Based on the above discussions, we can conclude that information technology is a compulsory in our daily life in this millennium world. IT provides us with variety advantages especially in managing database information for people and system. IT will protect our security system like customer’s information, private and confidential details about organization, important issues related with our company and also bring us to clear and functional communication with others. For example to maintain the communication with our potential customers, we need that information to make them always rely to us to fulfill their needs and wants. A customer with a focus on providing superior customer service needed to provide its clients with 24-hour global access to all of their information. A multinational company, with many lines of business, needed to update its office systems by which the employees carried out the manual aspects of their business transactions.