Role of IT in Today's Business - Term Paper Example

Role of IT in today’s business The current era is known as the age of information technology and the integration of contemporary and up-to-date tools and technologies (such as e-business, e-commerce, etc) into the business sector make the overall customary business practices more effective and easier. Additionally, information technology presents new ways and tools to the businesses for creating, managing and selling their products or services. Information technology is at the present common in every walk of life and every kind of corporation is using some kind of information technology in order to carry out its business activities. In addition, by implementing information technology into their business the corporations have better options for managing their business activities. This paper will outline different aspects of information technology. The basic aim of this research is to examine the impacts of information technology on businesses. Role of IT in Today’s Business Improving business efficiency is the term that can be utilized to describe the scope of information technology role in today’s business. Additionally, at the present, competition in the fast growing trade circumstances requires timeline for people to analyze and implement advance distributing information and knowledge which comes in a more rapid manner than ever before. In addition, it is a key fact that technology plays a crucial role in today's business setting. Seeing that a lot of companies at the present significantly rely on computer machines and software that are valuable for them to provide precise information for their business, to mange them properly. Moreover, IT role in business today has become ever more necessary for all businesses to slot in information technology related solutions to manage them in a successful way. In this scenario, one major aspect that several organizations have adopted IT infrastructure on a large scale by implementing the ERP (Enterprise Resource Planning) systems in order to carry out their business transaction, business hosting, marketing and data processing requirements (Bae and Ashcroft; Turban, Leidner and McLean). Majority of businesses today seem to be a balanced flow of knowledge that is available for some organizations that implement information technology inside the business. Additionally, the constant up gradation of IT sector is gradually developing and it results in strong impact on business applications that has changed considerably from the time when the IT enabled organizations were often considered as data processing. Today, in several industries, IT provides such services, which are useful for some businesses to make them more eminent than their competitors in local or international market. In addition, successful managers of companies or corporations examine information technology like a strategic business enabler or as a substitute of an expenditure center; furthermore work for maximal competence and effectiveness of their IT operations. As a result, they can focus on their resources on providing worth to the business and quick reaction to today’s environment of swiftly varying business conditions (TechNet; Turban, Leidner and McLean). The Changing Role of IT in Today's Business Climate At the present, business competitors must make sure that no matter whatever funds they allocate and what investments they formulate are paid incrementally. As a result, in this perspective, capitulate from an IT asset or investment desires to be pretty quick. Additionally, the advancements in information technology have allowed the business society to create a passion with the scope of risk management that various IT executives are finding it to be challenging and difficult to adopt devoid of some external help. In this scenario, partnerships with IT services companies would result in better productivity, global competition, organizational network structures, reduction in the expenditure of failures that are expected and healthy growth rates across the business level. On the other hand, it will help the businesses to realize that how this new emerging business atmosphere currently requires a more nuance methodology to balance the cost of information technology against long term and short term gains in productivity (Vizard; Bae and Ashcroft; TechNet). In today’s business settings we can believe the fact that a several IT leaders and managers are going onwards to have a difficult time oriented to a complex economic certainty that puts a quality for linking project management skills of IT with business expertise in order to accomplish a precise maximal result in a very short time span. Furthermore, information technology has its own impact lying on all trade organizations and businesses. We know that in the past more than a few years ago, most of the people have talked about information technology and how to cut costs in business expenditures through information technology (Vizard; Bae and Ashcroft; TechNet). But as the economy began to improve, analysts’ gave their views that the dialogue which is going to take place between IT and business leaders is dynamic that leads towards the productivity of the whole company, instead of the budget that is to be allocated for IT (Vizard; Bae and Ashcroft; TechNet). The ideas discussed in above passage do not signify that IT cost is no longer a concern. But we can argue that as the economy or business improves, industry managers and owners would like to hear further about how to influence IT for enhancement of the business with no considerably increase in the amount of the payroll (Vizard; Bae and Ashcroft; TechNet; Miley). Importance of Information Technology in Business There is no difference between information technology and the scope of business that partially or fully relates with advance business environment. Moreover, it includes software development, hardware maintenance, various solutions required for networking and complex technical assistance. In time changing atmosphere for corporations where rapid development of business related IT applications are established day by day with new features. On the other hand, trade either in local markets or in all over the world now relies on computer machines for the maintenance of high standards of competence, customer support service and working in a business ongoing aspect. Moreover, in the absence of IT corporations and professionals both would not have competency to maintain technological and technical essentials inherent to their daily business needs for the achievement of success in global market place (Miley). Factors affecting in the growth of business Speed One most important reason in business that have twisted the business environment for their IT enabled needs is the sheer speed through which machines and associated technologies would be able to process the information. We can refer speed aspect to the example of Email, as it shortens the way of communication. Now we can provide instant help to our business partners in a very short time. This results in the improvement of customer service (Miley). Efficiency In fact increase in speed leads to increased efficiency. Hence, improving the reply/response time almost guarantees a possibility for the elimination of possible problems by allowing businesses to respond rapidly and efficiently (Miley). Multi-Tasking A different perspective through which our business can achieve considerable achievements is multi tasking. Multi tasking in information technologies is the capability of machines to carry out several tasks at the same time (Miley). Low Cost The costs of computers are decreasing with the passage of time. Thus, other means of storing data and information can be replaced with the computers. It will increase the efficiency of a business (Miley). Conclusion Information technology presents new methods and tools to the businesses for creating, managing and selling their products or services. At the present, organizations use a lot of modern tools and technologies (such as e-business, enterprise resource planning and e-commerce) in order to carry out their business activities effectively. This paper has discussed in detail how organizations are making use of information technology in this competitive world. This paper has shown that the use of information technology is essential for the businesses in order to survive in this ever-increasing competitive world. Works Cited Bae, Benjamin and Paul Ashcroft. Implementation of ERP Systems: Accounting and Auditing Implications. June 2004. 21 March 2011 . Miley, Erik. Importance of Information Technology in Business. 10 May 2010. 22 March 2011 . TechNet. The Role of Information Technology in Today’s Economy. 27 February 2009. 21 March 2011 . Turban, Efraim, et al. Information Technology for Management: Transforming Organizations in the Digital Economy . New York: Wiley, 2005. Vizard, Michael. The Changing Role of IT in Today's Business Climate. 21 February 2011. 21 March 2011 . Read More