EXECUTIVE SUMMARY Since introduction of computer in 1950 to organizations, information technology has been deploying to gain competitive advantage for business organization. According to Ward and Griffiths, (1996), that information technology (IT) has gone through three evolutions. Today is third era of IT, organization view IT to support existing business strategy, create new opportunities for business, competitive advantage and new strategy opportunities leads to new markets and products and survival in this quick and challenge environment. The affects of IT felt across entire organization such as accounting software for Accounting process, Customer Relationship Management (CRM) system to understand customers needs and wants, SAP …show more content…
Since introduction of computer in 1950 to organizations, information technology has been deploying to gain competitive advantage for business organization. According to Ward and Griffiths (1996), that IT has gone through three evolutions. First era, the computer is to automatic labour-intensive processes to reduce labour costs. In the second era, emphasize in development of management information system that provides information for decision-making. Today, in third era, organization view IT to support existing business strategy, create new opportunities for business, competitive advantage and new strategy opportunities leads to new markets and products and survival in this quick and challenge environment. A variety of factors have been shown to have an important impact on the ability of the firms to gain competitive strategy advantage and sustaining competitive advantage, including the relative of cost positioning (Porter, 1980), products differentiation (Caves & Williamson, 1985, Porter, 1980) and the ability of firm to cooperate in strategic alliance (Chen & Chen, 2003, Lee & Vonortas, 2002). The complexity of IT
In the world of business, information technology strategy has been overlooked by owners for they are so focused on marketing strategies. Keeping up with the use of information technology is in just about all types of industrial process and just as important. It has been a proven fact that it contributes to the development of strategies and tactics when developing a product or service. During the twentieth century the accelerated progress in information technology has developed a large variety of technologies for the collecting and storage of information such as the Internet, software companies, and personal computers.
The information technology always require changes and updation time to time, because new technologies and techniques are coming in the market, that’s why, it is essential for the business organizations and companies to change and upgrade their information technology systems. Similarly, the requirements of the people and customers are also being changed with the passage of time and to fulfil the requirements of the customers companies are looking to change and upgrade their information technology system and environment.
The increased number of IT investment is applied in organization. It is clear that information technology has become the competitive fact in world business. Collaboration is the new trend in business world. No one can deny the importance of information technology application. Besides the profits outcome, the impacts of information technology deployment also create commitment, trust and value. Advanced information system can improve each steps of business process. It enables people to share information, performance task simultaneously and making decision efficiently. IT companies designed different products to satisfy each step of business operation in terms of manufacturing and human resources. Seminole should apply this new IT infrastructure to business operation. Firstly, company can use the transaction processing systems (IPS) to keep track of all business activities and transaction of the organization such as payroll and employee record keeping. IPS also shows all information from internal and external operation. Secondly, Business intelligence systems are designed for decision-making support. Management information system (MIS) is a system that helps managers to keep track of company performance status, which purposed for decision-making and evaluation. Decision-support system (DSS) is purposed for future business decision-making. Thirdly, Enterprise application systems are designed for integrating business process from different functions, such as supply chain
As we have learned throughout this course, the value of information technology has been one of the most influential aspects of conducting business. Information technology is used on a daily basis at all organizations, and it has grown exponentially throughout the course of history. Organizations purchase and implement information technology to gain a competitive edge over their competitors. This dates all the way back to the invention of the steam engine, in the mid-1800s, which allowed finished products to be mass transported by the railroad system. The companies and corporations that used the rail system gained a competitive advantage over smaller companies that used other modes for transporting their
Foundation of IT in a place is very crucial for most business. Organizations can use IT resource to create innovative and strategic process that helps business to reach beyond the status quo. Organization without new technologies resources can lose momentum and fall behind in competition. On the other hand, organizations with effective and updated technologies remain competent and superior; get competitive advantage thus acquire and maintain their big market share.
Ever since modern technology has been developed so much in advanced, companies running their businesses has been exceptional with the use of newer updated information technology systems. Essentially it has been a more efficient and productive tool improving businesses significantly with advanced IT with the cost a less amount of spending’s and employers. Companies should be able to recognize that better data management and the analytics has been the key factor to sharpening the business wisely allowing it to grow with more potential in skillset and mindset such a making s smart decisions t, fast in solving and efficient in producing. For instance, Business activity and work
How information technology can be effectively integrated with company’s "production, marketing, human resource, research design and finance" to take the advantage of core competence, as well as leveraging the quality and speed to help company business continuity.
(Sivaprasad & JangaJe, 2012): With the introduction of Information Technology in the business, every organization that comprises IT has started to take benefits of this technology. This is done by attaining the advantage over other competitors in the market, by providing new features to the customers after incorporating technology at the operational side specially, increasing the operational speed and reducing the probability for any error in operations. (Wen, 2012): IT also assists higher management in the process of decision making.
Information Technology (IT) is a foundation for conducting business today. It plays a critical role in increasing productivity of firms and entire nation. It is proven that firms who invested in IT have experienced continued growth in productivity and efficiency. Many companies' survival and even existence without use of IT is unimaginable. IT has become the largest component of capital investment for companies in the United States and many other countries.
Information Technology (IT) is a foundation for conducting business today. It plays a critical role in increasing productivity of firms and entire nation. It is proven that firms who invested in IT have experienced continued growth in productivity and efficiency. Many companies' survival and even existence without use of IT is unimaginable. IT has become the largest component of capital investment for companies in the United States and many other countries.
CHANGE is the only constant in the relationship between information systems and organizations. As technology evolves and changes, its introduction into organizations requires changes in the firm 's infrastructure and the services it can provide to its employees, customers, and suppliers.
In modern society, technology has affected in every area and industries, and helped develop more advantage than tradition industries without technology. E-commerce, Customer Relationships Management (CRM) and online sales etc. are widespread use in many organisations around the word (Philip Kotler., 2013).
Competitive advantage is explained by Mahoney and Pandian (1992) as the function of industry analysis, organizational governance and the firm’s effects in the form of resource advantages and strategies. In order for a firm to be competitive it must adapt to the volatile business environment and through strategic management decisions establish a competitive advantage that will ultimately produce superior performance relative to its competitors (Akimova 2000).
This report is prepared for Ms Toni Carlos, an owner of small business called EIA (Education In Australia). The business was established nine years ago and expended with the time. As the time evolved the growth in the business has reached to the height that manual operations were not enough to handle the business. Expanding business from a small region to the national level is also one of the owner’s desires, which can be best managed by the use of information technology. This report enlightens the owner to incorporate the new method of information systems to reincarnate her business. This assignment provides the foundation on which the owner can combine her existing business logic and with new information technology to erect a powerful business capable of doing much more than its current capacity. This document provides references for the basic literature to make user understand of what information system can do and what kind of appropriate information system will be suitable for her business. The document is designed and the references have been chosen keeping in mind user’s current issues, new requirements, the
Information technology is of great importance in this century 21, where life depends on rapid technological development. In the business world, information technology has been a big difference since its emergence as it helps in the development of both domestic and international sectors. Before Information technology in companies was more hierarchical in the transmission of information (misinformation). With the advent of information technology, the transfer of information has become much easier than ever and it was one of the most important reasons for the emergence of competitive advantages (SHARIRO, RG 2016). Information technology is one of the reasons why business technology is helping to enter the new market better and more at the present