Information Technology In Business

CHAPTER 1 - BUSINESS DRIVEN TECHNOLOGY .

Information Technology's Role in Business

• Information technology is everywhere in business

Information Technology's Impact on Business Operations.

• Business Functions Receiving the Greatest Benefits from Information Technology.

     

Customer Service	70%
Finance	51%
Sales and Marketing	42%
IT Operations	39%
Operation Management	31%
HR	17%
Security	17%

• Information Technology Project Goals

Reduce  Cost/Improve Productivity	81%
Improve Customer Satisfaction	71%
Create Competitive Advantage	66%
Generate Growth	54%
Streamline Supply Chain	37%
Global Expansion	16%

• Organizations typically operate by functional areas or functional silos.
• Functional areas are interdependent.

Information Technology Basics

• INFORMATION TECHNOLOGY (IT)- a field concerned with the use of technology in managing and processing information.
• Information technology is an important enabler of business success and innovation.
• MANAGEMENT INFORMATION SYSTEMS (MIS)- a general name for the business function and academic discipline covering the application of people, technology, and procedures to solve business problem.
• MIS is a business function, similar to Accounting, Finance, Operations, and Human Resources.
• When beginning to learn about information technology it is important to understand :-

                   - Data, information, and business intelligence IT resources

                   - IT cultures.

Information

• DATA - raw facts that describe the characteristic of an event.
• INFORMATION - data converted into a meaningful and useful context
• BUSINESS INTELLIGENCE- applications and technology that are used to support decision making effort.

IT Resources

1. People use
2. Information technology to work with
3. Information

 IT Cultures

- Organizational information cultures include:

• INFORMATION-FUNCTIONAL CULTURE- Employees use information as a means of exercising influence or power over others.
• INFORMATION-SHARING CULTURE- Employees across department trust each other to use information to improve performance.
• INFORMATION-INQUIRING CULTURE- Employees across departments search for information to better understand the future and align themselves with current trends and new directions.
• INFORMATION-DISCOVERY CULTURE- Employees across department are open to new insights about crisis and radical changes and seek ways to create competitive advantages.

                                                          ~~~ THE END ~~~~

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