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Information Technology Is A Key To Business Success Information Technology Essay

Paper Type: Free Essay Subject: Information Technology
Wordcount: 2034 words Published: 1st Jan 2015

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Information technology also referred to as IT is the application of computers and telecommunications equipment to store, retrieve, transmit and manipulate data, often in the context of a business or other enterprise. In the business context, the Information Technology has defined as “the study, design, development, application, implementation or management of computer-based information systems”. The business of information technology is to complete business processes, provide information for decision making, connect business with their customers, and provide productivity tools to increase efficiency.

Information Technology is the key enabler to improving customer satisfaction, operational efficiencies and by extension, profitability. Technology has been the great enabler of business and especially retail enterprise.Information technology is everywhere in business. Understanding information technology provides great insight to anyone learning about business.

Information Technology (IT) is fast becoming a key lever which management can use to deliver operational benefits whether in reducing operational costs, entering emerging markets or scaling their business across multiple geographic regions. With advances in technology and its impact on today’s business models, companies are increasingly pushing the boundaries to remain competitive. Information Technology is one key area to do this business need to view IT as an enabler rather than a cost center.


To explain the key of Information Technology for business to success

To know the advantages of Information Technology in Business

To describe the ways of Information Technology can improve your business to success


Key of Information Technology for business to success

Information technology is a modern phenomenon that has dramatically changed the daily lives of individuals and businesses throughout the world. Leveraging information technology for business success is key to survival in the modern business world. Information technology has grown into the business world by influencing companies to market their products, communicate and accomplish their jobs in modern organizations. IT made her firm to grow rapidly to its ability to leverage information technology and the internet to drive sales. This can helped the firm to have clients all over the world. It also helps the revenue of the firm to increase every year.

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Production technology has allowed modern companies to make substantial progress in operational efficiency and the effectiveness of human resources. 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.

Apple Success with information technology

Apple achieved business success through the use of information, information technology and people by finding a way to make their product more interesting. With the use of information Apple determine in sales what would sell and who could benefit from their product and what would the pros outweigh the cons of their product. For example with certain products they make like the I Pad the size is easy to carry you can play games and watch videos type papers take photos its touch screen which the customers enjoy.

Information technology (IT) enables managers to be more competent in the business function and the organization departments to be more effective. Information technology can control the use of computers and computers software. Apple’s CEO, late Steve Jobs wants to “control the primary technology in everything he does”. For example, he was obsessed with control, he wants i-Pod playing songs encoded by Apple only, but it will limit the i-Pod markets. Then he came with the idea landing with a Windows compatible and that made i-Pods sales when up. Apple’s designs are distinctive and their devices rely more in standard technologies. His decision to change was fundamental to the exceptional success that Apple has over the past ten years.

Advantages of Information Technology in Business

Information technology (IT) benefits the business world by enable organizations to work more efficiently and to maximize productivity. Almost every work environment is dependent on information technology that related to computer applications. Since the computerized system so widely used, it is advantageous to incorporate information technology into an organization. For the storing and protecting information, information technology can creates electronic storage systems to protect your company’s valuable records. The storage systems also can keep information safe by only allowing certain users within your company to access, withdraw, add or change the documents.

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One of the most significant benefits of information technology is the capability to stock a large amount of information. As you know, computers can keep records of the company in terms of data movements, transactions, customer records and others. This information could be used, analyzed, aggregated and displayed in any format, which gives the people in the business to make a great decision about the company. Instead, data can show system response times, financial analysis, customer trends, profitable customers and anything that is associated with the link. This can surely help to improve the operation and management of the company. Employers can use this to determine the ways and methods they need to do in order to know their employees according to performances.

One of the major benefits of information technology in business is to increase the efficiency. People look for ways to do more work in a shorter amount of time. The information technology improves your company’s efficiency by developing automated processes to take burden off your staff. For example, your employees are free to work on other things while the computer runs their reports, creates queries, tracks projects and monitors financials. Beside that, the communication is essential to the business world, and information technology gives your company the resources it needs to communicate quickly and effectively. For example, 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.

Information technology can assist the business to have an efficient and more effective customer service. This is the reason why many business owners are using the social media for them to promote their service and products. As there are now numerous people who use the social media, it is a great avenue for these businesses to use it in terms of interacting with their customers. Finally, information technology was undeniably very useful and functional in the field of business because every transaction can now be just simple and easy especially if the program or system used is designed well.

Ways of Information Technology can improve your business

“Where can Information Technology best contribute to the business?” By following this approach within your company, you can help focus your use of IT for increased business bene¬t. The first way of information technology can improve your business is reduce the cost or expense. This is the bene¬t of IT that ¬rst comes to mind for most people. The original IT projects were put in place to “automate” processes in order to reduce cost, often by replacing large numbers of people with a few computers. , if your business is not competitive in your industry because of a higher than normal expense level, then this may be the most important way that IT can contribute to your business success. An example of a case study for lowering costs is Amazon, which has used information technology to streamline its business in order fulfillment. IT projects also reduce expense by automating any process that requires heavy use of clerical people, or any process that uses highly repetitive well-de¬ned procedures.

The second way of information technology can improve your business is differentiation. For differentiation strategies, organizations try to make their products and services different from their competitors. Apple has been successful with this strategy by designing its computers to look much different from PCs and focusing on its computers’ ease of use. As another example, Amazon.com has differentiated its website by using certain information technologies, such as personalization technologies to recommend products to customers based on their previous purchases. Amazon.com also uses the one-click system for fast checkout. With this system, customers can enter credit card numbers and addresses once, and in subsequent visits simply click once to make a purchase, without having to enter information again.

For most businesses, increasing revenue offers higher payback than reducing expense. It’s even more true when revenue can be added by increasing sales to existing customers, eliminating the necessity of additional customer acquisition costs. Many E-commerce web sites in the dot com era were justi¬ed on the basis of increasing revenues, but most of them just provided an additional sales channel for existing customers, and actual revenues didn’t increase. In addition to e-commerce web sites, one examples of systems that might increase revenues which is data warehouse systems can help identify customers who are most likely to buy as a result of certain types of promotion, or who would be more likely to buy as a result of cross-selling efforts.

The other way of information technology can improve your business by improved the quality. An Information Technology can improve the quality of your products or services if the project implements process improvements that would be too time consuming or dif¬cult to do without using computers. By improving quality, we can end up increasing revenue, improving customer retention, and even reducing cost, but quality improvement should be considered as a goal in itself. For example, when use of modeling software to better understand and predict product failures, and to take action before products fail.

Beside that, improved customer satisfaction is the way of information technology can improve your business to success. Improving customers satisfaction is one of those things that is obvious, and yet very dif¬cult. If customers are more satis¬ed then your revenues will grow, either through repeat purchases or through word-of-mouth advertising. Costs are likely to be lower as well, since you won’t have to spend as much to deal with customer complaints and returns. Information Technology can help by providing web access for customers, and by making information available to customers by phone or by fax.


For the conclusion, Information Technology is essentially a wide and varied field. Information technology can speed up the time it takes new products to reach the market. From innovations in microprocessors to efficient drug delivery systems, information technology helps businesses respond quickly to changing customer requirements. Other than that, information technology provides a wide range of tools entrepreneurs can use to guide their new companies through the startup and growth stages.

The companies that will succeed and flourish in the 21st century are the companies that will understand what users need and will be able to offer them the experience that can be obtained through technology information systems. Modern information technology has gained popularity rapidly since the mid-twentieth century, and the trend is likely to continue into the future.Simply put, Information Technology has changed the business landscape due to its wide and varied scope.


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