The Changing Face of Business Environment
The last decade has shown rapid development in the information technology and its application. This has helped changed the way we look at the world as well as the way business is conducted. Both business and trade have gained under the wave of information technology with improvement in efficiency, productivity and bottom line. Productivity improvement has facilitated speedy and accurate production in large volumes. Indian financial sector has also benefited from advancement in information technology.
Business and Information Technology
Current global and competitive business environment constantly asks for innovation, existing knowledge base is getting obsolete, continuously thriving for advancement in process improvement. The learning curve is always put to test, and every company is striving to remain ahead of the curve. Due to this shift in the way business is getting conducted has thrown out new reality of ever shortening product and service life cycle. More and more companies are coming out with customized products and finding ways to differentiate from competition.
A recent survey conducted has highlighted that the change in the business environment can be summarized with following:
Characteristics of Business Environment
To understand business environment and drivers of change, it is first important to study its characteristics. They are as follows.
Business Process Outsourcing
Business Process Outsourcing involves contracting one or many front end (customer related) or back end (finance, HR, accounting, etc.) activities within a company to a third party service provider. The number of jobs within BPO industry has increased exponentially in last decade. BPO is one of the new faces in business environment.
Outsourcing has help companies reduce their overhead expenses, improve productivity, shorten innovation cycles, encourage new market penetration and also improving customer experience. India has seen tremendous growth in BPO industry within function like customer care, finance/accounts, payroll, high end financial services, human-resource, etc.
The recent explosion of information technology has seen few but significant emerging trends, for example, mobile platform for doing business, cloud computing, technology to handle a large volume of data, etc.
These fresh technologies and platforms are offering numerous opportunities for companies to drive strategic business advantage and stay ahead of the competition. Companies need to work on new plans as to maintain flexibility and deliver customer satisfying products and services.
- Information Systems - Introduction
- Types of Information Systems
- Information Systems vs IT
- What is Information Overload
- Communication Systems and Groupware
Authorship/Referencing - About the Author(s)
The article is Written By Prachi Juneja and Reviewed By Management Study Guide Content Team. MSG Content Team comprises experienced Faculty Member, Professionals and Subject Matter Experts. We are a ISO 2001:2015 Certified Education Provider. To Know more, click on About Us. The use of this material is free for learning and education purpose. Please reference authorship of content used, including link(s) to ManagementStudyGuide.com and the content page url.