The Importance of Technology for Simplifying Business Functions

1400 Words6 Pages
In today's technology-rich world, all businesses have recognized the importance of technology for simplifying business functions. Hence, companies tend to invest large amounts of funding into this component. However, research results have shown that some companies benefit more from implementing IT solutions than others. Because similar technological solutions were implemented for these companies, the differentiating results are assumed to be due to the human factor. One might therefore ask the question whether the difference lies in the competence of managers not only to implement and use the technology, but also to help their subordinates understand and use newly implemented IT functions (Shao et al., 2010). Hence, the human factor might be connected closely to how competent managers are in terms of technological prowess as well as helping others to understand the various functions they need to perform their work in an optimal way. According to Shao et al. (2010, p. 1120), there is a proven link between managers' technological competence and the company's performance. Once a company makes an investment in technological implementations, the manager's role becomes one of both understanding the technology and relaying this understanding to subordinates. If a manager him- or herself is unable to fully understand and use the new implementations, it follows that subordinates will have similar difficulties. In other words, IT competence in managers is an important
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