Information Technology

Information technology (IT) is the acquisition, processing, storage and

dissemination of vocal, pictorial, textual and numerical information by a microelectronics-
based combination of computing and telecommunications. We use the term information
technology or IT to refer to an entire industry. In actuality, information technology is the use
of computers and software to manage information.
IT is the area of managing technology and spans wide variety of areas that include but
are not limited to things such as processes, computer software, information systems,
computer hardware, programming languages, and data constructs. In short, anything that
renders data, information or perceived knowledge in any visual format whatsoever, via any
multimedia distribution mechanism, is considered part of the domain space known as
Information Technology (IT).
A few of the duties that IT professionals perform may include data management,
networking, engineering computer hardware, database and software design, as well as
management and administration of entire systems. Information technology is starting to
spread farther than the conventional personal computer and network technology, and more
into integrations of other technologies such as the use of cell phones, televisions,
automobiles, and more, which is increasing the demand for such jobs.
In some companies, this is referred to as Management Information Services (or MIS)
or simply as Information Services (or IS). The information technology department of a large
company would be responsible for storing information, protecting information, processing the
information, transmitting the information as necessary, and later retrieving information as
necessary.

ROLE OF INFORMATION TECHNOLOGY IN TODAYS BUSINESS

Information Technology or IT mainly deals with computer applications. The common work
environment today is totally dependent on computers.
Information technology (IT) refers to the management and use of information using
computer-based tools. It includes acquiring, processing, storing, and distributing information.
Most commonly it is a term used to refer to business applications of computer technology,
rather than scientific applications. The term is used broadly in business to refer to anything
that ties into the use of computers.
Mostly businesses today create data that can be stored and processed on computers. In
some cases the data must be input to computers using devices such as keyboards and
scanners. In other cases the data might be created electronically and automatically stored in
computers.
Small businesses generally need to purchase software packages, and may need to
contract with IT businesses that provide services such as hosting, marketing web sites and
maintaining networks. However, larger companies can consider having their own IT staffs to
develop software, and otherwise handle IT needs in-house. For instance, businesses working
with the federal government are likely to need to comply with requirements relating to
making information accessible
The constant upgrade in information technology, along with increasing global
competition, is adding difficulty and hesitation of several orders of scale to the business and
trade. One of the most widely discussed areas in recent business literature is that of new
organizational network structures that hold survival and growth in an environment of growing
complexity.
Effective implementation of information technology would decrease liability by
reducing the cost of expected failures and increase flexibility by reducing the cost of
adjustment. The businesses reaction to the environment remains to be the vital determinant
for its effectiveness. The capabilities and flexibilities of computer-communication systems
make them gradually more appropriate to businesses by being able to respond to any specific
information or communication requirement.
IT (Information technology) provides commercial and industrial systems for
businesses. These systems enable businesses to function effectively and efficiently.
The use of information technology systems in a business environment can be classified into
four broad categories, namely, function, communication, management and enterprise.

1. Function IT Systems
These applications allow individuals to function effectively in the workplace. Examples of
these systems are word processors, spreadsheets, statistical analysis software and computer
aided design (CAD). Employees can work and perform their task individually or collectively
using these software technologies.
 2. Network IT Systems
Network IT allow effective communication within and outside an organisation. Examples
range from simple e-mail (electronic mail) to blogs, wiki, IM (instant messaging) and
electronic conferencing. These technologies promote interaction and collaboration among
working groups and also facilitate quick information flow at all levels.

3. Management IT systems
MITS is a planned application that is designed to process data and transform it into useful
information for management decision making. In general, MIS are subsets of Enterprise IT
systems. However, because of the vital role MIS play in a business environment, it is
considered here as a major information technology for businesses .Management operates at
different levels and so it is possible to apply management information systems at these varied
levels. Basic examples of management information systems are human resources
management systems, financial management information systems and marketing
management information systems.
4. Enterprise IT Systems
Enterprise IT systems are technologies designed to integrate and manage entire business
processes for large organisations. Typically, enterprise application software is hosted on large
servers over a computer network. Transmission of information can either be internal or
external.
Examples of enterprise information systems may be accounting software, health care specific
software or electronic data Interchange (EDI). Another example of software within this
category is CRM (Customer relationship management software).
Information technology plays various roles in business, and provides a huge range of
capabilities that enhance management performance. It is therefore important to understand
the four major categories of IT systems and their functions in a business environment.
Information technology has introduced various new technological applications and tools that
have increased productivity and efficiency in business organizations. Information technology
has facilitated easy and quick modes of communication.
Advertising
1. Information technology has introduced several new methods of advertising,
particularly through the Internet. Businesses increase their income through these methods
of advertising.
 E-Commerce
2. E-commerce refers to commercial transactions and businesses that use the Internet for
transferring information. These days, countless businesses offer online services. Some
types of online businesses include consumer-based retail sites and the exchange of
services and trading goods between corporations.
Communication
3. Employees and workers in organizations use emails, instant messages and video
conferences for quick and effective communication.
Applications
4. Most business organizations use software programs such as MS Word, Access, Excel
and Power Point. Mostly, photo manipulation tools like Photoshop are also used by
organizations.

Prediction
5. According to the website networksolutions.com, it is predicted that in the coming
years, the boundaries between electronic commerce and conventional commerce will fade
away as more and more businesses are moving selective sectors of operations online.

Importance of Information Technology

All our work related applications are now completely automated, thanks to the IT sector. IT
professionals are people involved in essential management of sensitive data, exclusive
computer networking and systems-engineering. The advancement of the IT sector has
resulted in automated:
 Administration of entire systems.
 Production and manipulation of sensitive information.
 Cultural development and communication.
 Streamlining of business processes and timely upgradation.
Advantages of Information Technology:

The advantages of information technology are many. True globalization has come about only
via this automated system. The creation of one interdependent system helps us to share
information and end linguistic barriers across the continents. The technology has not only
made communication cheaper, but also possible much quicker. The wonders of text
messages, email and auto-response, backed by computer security applications, have opened
up scope for direct communication. Computerized, internet business processes have made
many businesses turn to the Internet for increased productivity, greater profitability, clutter
free working conditions and global clientèle. Information technology has rippled on in the
form of a Communication Revolution. Specialists in this field like programmers, analyzers
and developers are able to further the applications and improve business processes
simultaneously. The management infrastructure thus generated defies all boundaries. Among
the many advantages of the industry are technical support post-implementation, network and
individual desktop management, dedicated business applications and strategic planning for
enhanced profitability and effective project management.

IT provides a number of low-cost business options to tap higher productivity with dedicated
small business CRM and a special category for the larger operations. Regular upgrades have
enabled many businessmen to increase productivity and identify a market niche that would
never have been possible without the connectivity.. The sophistication of the modern work
stations and general working conditions is possible only due to the development of
Information Technology.

CONCLUSION
Information Technology has revolutionized the phase of business around the world.
Local businesses have become international due to a simple website. I.T. has helped
businesses in advertising.
Information Technology is having impact on all trade industries and businesses, in
service as well as in manufacturing. It is affecting workers at all levels of organizations, from
the executives to middle management and clerks. Information technology is increasingly
becoming a basic factor of all types of technologies such as craft, engineering, routine, and
non-routine.
I.T. has helped in customer service, huge corporations like Microsoft attend to
customer needs through email and chat services. Networking internal and external in
organizations has improved the working of businesses. Staffs and clients likewise can get in
touch with the managers for feedback, progress reports and extensions.
Communication has bloomed, two business organizations if they need to work together can
easily do so. Hotmail, when merged with MSN was easy since the service was online.
Business these days require a lot of planning, due to high tech organization systems on
computers, planning can be done on an organized pattern, with schedule formats, grant charts
etc. Huge databases can now be controlled and stored on network and back up drives.
Accesibility of files also has become an easy task with series of password keys and shared
folders. Cash transactions are easily made, delay in reduced hence giving liquidity to
business.

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