Urbanization of the World and the Consequences for Managers
Urbanization and its Problems for Corporates The world is increasingly being urbanized and this has implications for the corporate sector and the managerial class. To start with, with more and more companies being located in urban areas, the corporate sector has to deal with the problems associated with urbanization like lack of access to basic […]
Are Indian Start-ups and eCommerce Firms Living in Fantasy Land without Profits?
Are Indian Start-ups and eCommerce Firms Living in Fantasy Land? It is a well known fact that India is a favourite destination for yield hungry investors and angel investors keen to fund start-ups and eCommerce firms in the hope that they would be able to garner significant profits at a later stage. Indeed, India is […]
Failure Mode and Effects Analysis (FMEA)
All products and services fail! Even the processes which have already achieved six sigma precision fail. However considering the possible sources of failures, the effects that they are likely to have and how prioritizing failure modes makes the product, service, process plan more robust. Considering possible failure modes and integrating them into the design goes […]
Change and Risk Management in ERP Implementation
An ERP system is a process and not an end in itself. Perfunctory Implementing of ERP system will not boost efficiency. Reasons for failure of an ERP project such as lack of commitment from management and employees, lack of communication, knowledgeable employees not available for the project, are mostly organizational issues and have nothing to […]
Different Growth Strategies for Firms Aiming to Become Market Leaders
All firms aim to become market leaders and be the dominant player in their chosen niche and space. Towards this, they actualize some strategies aimed at seizing the market and grab market share. However, not all firms succeed, and hence, the so-called “Holy Grail” (the quest for perfection and mastery) eludes most firms. For instance, […]
After 1990s there was a major transformation in the commercial world. All the organizations across industry sectors have started using information technologies to maximize their productivity and profitability. Organizations started using technologies like mainframes, PCs, telecommunications and the internet along with the goods and services which they offered to the consumers. This process has become the backbone of evolution of information technology. There has been manifold increase in investments in information technology sector.
The US economy has seen impressive growth in Gross Domestic Product in the past few years and it is in a state of expansion. There has been increased demand for labour and low inflation. The lack of increase in price has also flummoxed many economists. The traditional theories suggest that whenever there is growth in economy and decline in unemployment rate, there is an increased probability of price pressures.
“Productivity” means the process of utilizing the productive inputs to generate output. If all the input resources like men, machine/technology and materials are effectively used, then the costs can be better managed and the organizations can offer goods and services at moderate prices to the end users.
By combining the state-of-art information technology with business strategies, organizations can achieve increased productivity. Business strategy addresses various like identifying the target markets, consumer preferences and managing the process by which goods and services are produced/delivered to the end user.
Information technology makes it possible for the business leaders and decision makers to devise various business strategies based on economic theories. This is done with the flow of information to decision makers and employees throughout an organization. By implementing effective IT, the following operations can be easily analyzed by the managers. They are:
Organizations have already started experiencing the enhancement of business efficiency through the use of information technology. Significant breakthroughs have also happened in information technology like increase in speed and memory of computers. This in-turn has opened the doors for high-powered, state-of-art software applications.
The latest developments in the telecommunications technology is a value addition to the internet. The combination of all these technology has created a vast information network and this has become information pulse of an organization.
Business Intelligence (BI) refers to the tools and technique which is used to convert raw data into meaningful and useful information. Using these techniques, large amount of unstructured data is handled to identify and create new business opportunities.
The main aim of business intelligence is to make the user easily interpret the data. Based on the insights provided by tools of business intelligence, organizations gain competitive market advantage and long-term stability.
When these unstructured or raw data is transformed into value-added information, it increases the knowledge of business to individuals of all categories in an enterprise. These data are used by decision makers to implement various business strategies based on economic theory. Resources also can be easily managed to cater the needs of the ultimate consumer.
Common functions of BI are:-
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Communication Systems and Groupware – Information System Concepts that Apply in All Functional Areas of Business
February 12, 2025
