2. Introduction
• Technology plays a vital role in the business world.
• It provides the tools and functions on which almost all companies
throughout the world run.
• With the advent of new technologies, the use of computers and
Internet has increase.
1. History.
• Before the development of modern technology, there was the trade
and barter system.
• Advances led to a skeleton of what we know as business today.
• People handled every aspect of running a business, even the
responsibility of making machines work manually.
3. 2. Significance.
• Technology and business are practically inseparable today.
• Without technology and computers, the routine business would be severely
slowed.
3. Benefits.
• Business has become so entrenched with technology because of the benefits
that technology provides.
I.
It decreases the time it takes to perform a task .
II. Ability to take on multiple tasks at once.
III. Increases the volume of information that can be processed etc.
IV. There is a minimal chance of error .
V. Low acquisition costs .
4. 4. Opportunities.
• The use of technology in business has created opportunities for
more technological advances.
• Many business functions are able to operate autonomously with
the use of technology.
• This has led to the need for software development companies and
business consultants domestically.
5. Considerations.
– While there are innumerable benefits of using technology in
business, there are some downsides.
– According to the United Nations University, it has led to
increased dependency.
– According to the Small Business Bible, it has also led to a decline
in the skill level of the end users.
– It has eventual reduction of incomes.
5. Role of IT in Business
• Information technology (IT) has become a vital and integral part of every
business plan. From multi-national corporations who maintain mainframe
systems and databases to small businesses that own a single computer,
IT plays a role.
• The reasons for the omnipresent use of computer technology in business are
1. Communication.
•
•
For many companies, email is the principal means of communication between
employees, suppliers and customers.
Over the years, a number of other communications tools have also developed, for e.g.
live chat systems, online meeting tools and video-conferencing systems etc.
2. Inventory Management.
•
Inventory management systems track the quantity of each item a company maintains,
triggering an order of additional stock when the quantities fall below a predetermined amount
6. 3. Data Management.
• Companies are able to store and maintain a tremendous amount of
historical data economically, and employees benefit from immediate
access to the documents they need.
4. Management Information Systems.
• Management Information Systems (MIS) enable companies to track sales
data, expenses and productivity levels.
• Managers can track sales on a daily basis, allowing them to immediately
react to lower-than-expected numbers by boosting employee productivity
or reducing the cost of an item.
5. Customer Relationship Management.
• Customer Relationship Management (CRM) systems capture every
interaction a company has with a customer, so that a more enriching
experience is possible.
• It helps to improve the way they design and manage customer
relationships.
8. COMPETETIVE ADVANTAGE OF
INFORMATION TECHNOLOGY
1) INTRODUCTION : A fundamental change is happening in
companies’ competition due to changes in global business
environment.
2) DEVELOPMENT IN BANKING SECTOR : banking sector have
speed up communication & transaction for client.
3) ECONOMY OF PRODUCTION : The emergence of I.T. sets
another trend.
4) FUNDAMENTAL REQUIREMENT : Competitive advantage for
an organization if it is survive in long term.
9. 5) I.T. HAS BEEN PERCEIVED : it means to provide more
efficient process that would lead to lower cost.
6) WIDESPREAD IMPACT : increasing new technology
continues to progressively penetrate into core
business
7) ENORMOUS & DIVERSIFY : The usefulness of
information technology depending on the kind of
product & goods.
10. MIS FRAME WORK
What is MIS ?
MIS – Management Information Systems is the
development & use of Information That’s help business
achieve their goals & objective.
11. Components of Information
Systems
Five Component Framework
Hardware
Software
Data
Procedure
People
1. Hardware – Desktops, Laptops.
2. Software – Operating System , Application Programs.
3. Data – Facts & figures entered into Computers.
4. Procedures – How the other four components are used.
5. People – User, Technologists, is support.
12. Goals of MIS
Provide managers with Information.
Regular, Routine Operations.
Control, Organize & Plan Better.
13. MIS & Web Technology
Data may be made available from
management Information Systems on a
Company’s internet.
Employees can use browsers & their PC
to gain access to the data.
14. Financial MIS
Provides Financial information to all financial
managers within an organization.
Marketing MIS
Supports managerial activities in Product
Development, Distribution, Pricing Decisions &
Promotional Effectiveness.
15. Human Resource MIS
Concerned with all of the activities related to
employees & potential employees of the
organization.
16. Conclusion
Technological change can bring the following benefits to a business:
• Reduced running costs, Improved productivity, Improved
competitiveness etc.
However it may also consider the social costs of new technology:
•
•
•
Job losses
Motivation of workers – worried about machines taking over their jobs
(though extra training to work with machines may provide some increased
motivation)
Loss of traditional skills etc.
Technological change can be very expensive.
• Purchasing the equipment, Installation, Training staff, Maintenance
etc.
