Free Business Information Technology Impact Essay Sample
Information provides a link between producers, buyers and intermediaries in business. The revolutionary rate of information technology today is high and its significance on business development cannot be overemphasized. Information technology impact on business is all round and ranges from product processes to changing the competitive scope. At this point, the focus is not on whether information technology will have an impact on competitive position, but when and how the impact will strike.
In the article How Information Gives You Competitive Advantage, an attempt has been made to expound on how information technology can be exploited by organizations. Company managers need to evaluate current and potential information availability or intensity in their businesses. High information intensity on chain value (which means the large number of customers and suppliers the company deals with directly and its products) is needed in establishing investments areas in information technology.
Managers also need to have predictive information on how information technology will impact on their products and services. This is especially on the competitive arms, that the buyers, suppliers and bargaining powers are considered to be.
Identification and ranking on how information technology might create competitive advantage is the next step of ensuring a company's survival. Not all information is favorable to the company's products and services. A working assumption is that information can affect each and every process and that new linkage can be made on the value chain. Through this assessment, the company will know which processes will significantly be affected, and thus need more inputs to place the company at a better position. Apart from that, companies also need to evaluate how information can alter the scope of competition. For instance, if through information, the company can serve new segments, or if due to flexibility on information technology, the company will allow competitors to invade its niches.
To remain competitive, companies also need to utilize information technology in developing demand driven products. A good example is the Western Union's Easy Link service, which allows personal computers, word processors, and other electronic devices to send messages to each other through high speed data transfer. Companies that do not embrace such technology definitely remain disadvantaged.
As businesses immerse themselves in the digital age, the dynamics of information technology continue to evolve, presenting fresh opportunities and challenges. One crucial nuance lies in the granularity of information—companies must not only assess the overall information intensity but also delve into the specifics of data relevance and accuracy.
Moreover, the advent of big data analytics amplifies the potential impact of information technology. Analyzing vast datasets can unveil intricate patterns and trends, offering companies a deeper understanding of consumer behaviors and market dynamics. This analytical prowess becomes a strategic asset in shaping not only products and services but also the overall business strategy. The interconnectedness facilitated by information technology extends beyond the confines of a single company. Collaborative platforms and ecosystems are emerging as key drivers of innovation and competitiveness. Companies can forge strategic partnerships, leveraging shared data and insights to create synergies that propel them ahead in the market.
Cybersecurity, in the realm of information technology, emerges as a paramount concern. As businesses increasingly rely on digital infrastructure, safeguarding sensitive information from cyber threats becomes imperative. A comprehensive approach to cybersecurity is integral to maintaining not just operational continuity but also protecting the trust of customers and stakeholders.
Furthermore, the temporal aspect gains prominence in the context of information technology impact. The speed at which technology evolves necessitates agility in adaptation. Companies must not only implement effective strategies but also remain nimble in the face of rapid technological advancements, ensuring that their competitive advantage remains resilient over time.
In exploring new segments through information technology, the concept of personalized and customized offerings becomes pivotal. Tailoring products and services to meet individual customer needs, enabled by advanced data analytics and technology, emerges as a potent strategy for capturing niche markets and fostering customer loyalty.
In conclusion, the landscape of information technology in business is a dynamic terrain that demands continuous exploration and adaptation. From the nuances of data granularity to the strategic implications of big data analytics, companies navigating this landscape must embrace a forward-looking approach, recognizing that the correct and timely application of information technology is not a one-time endeavor but an ongoing strategic imperative.