The Importance of Information Technology Delivering added value provides useful and

in Business Today quality service

The love affair with innovation – The Business also focuses on production,
mainstream love affair with innovation began distribution and the sales of goods and
with the invention of the computer. It attained services.
momentum with the birth of the Internet.
Information technology and its discipline- It
The Rise of Innovation – can be traced to the comprises of hardware and software solutions
human race getting smarter. According to the that support organizations and evaluate data
Flynn Effect, general IQ has begun to rise that help them accomplish their targets.
since the 1930s. The average IQ has risen - Describes technology based workflow
from 80 points to 100 points. processes that enhance proficiency of an
organization to provide services that produce
profits.
Innovation in Business - Information technology
- It makes the most of handling high
fosters innovation in business. Innovation
performance communication links to wide-
results in smarter apps, improved data storage,
ranging information from one location to
faster processing, and wider information
another.
distribution. Innovation makes businesses run
more efficiently. And innovation increases
Computer – one of the main components of IT
value, enhances quality, and boosts
- Allows users to input data, process
productivity.
them into information and store them for later
use.
Reasons for accelerated business growth
Global village – which distance and isolation
1. Information technology has given
have been dramatically reduced by electronic
business that tools to solve complex
media such as television and the internet.
problems.
2. Information technology allows business
Information Technology
to make better decisions
QMS – Queue Management system
3. Information technology has improved
Facilitate the customers waiting process,
marketing
monitor the time spent in queue
4. Information technology has improved
customer support
Information Era (Digital Age) – enormous and
5. Information technology has improved
incredible; huge amounts of information can be
resource management
shared in just one click of a finger.
- compete in a marketplace that is
Business organization as a system
complex, global and customer focused.
System – consist of various parts that work
collaboratively
Aspects of Technology needed by society
- To attain a certain goal
- Information System - Online banking
- Networking - E-business
Main goal: provide added value to their clients
- Social Media - E-commerce
and customers.
- Mobile applications - M-commerce
Finance – depends in support from financial
institutions
Sales of products – depends on the need of
customers
Business environment – considered the most
fundamental aspect of any business
Popular Business in the Digital Age
- Call center – most demand jobs all over the
world
- unified type of company that handles
inbound and outbound calls from current and
potential customers
Call agent – person who handles incoming and
out coming customer calls for a certain
business
- Banking
Online – banks offers through internet
Mobile – online transactions through an app
using mobile phones
- required a mobile banking app and
SMS notifications
IT – is about telecommunicating networks
- Facilitates the storage, distributions, retrieval,
management, manipulation, sharing,
acquisition, collection, delivery, and processing
of information and other digital content.
- has replaced the traditional or conventional
methods of business activities with modern and
innovative technological tools.
Monitoring – used for monitoring purposes in
various areas of business organizations to
ensure that all resources are being utilized
efficiently.
Technology – no longer about luxury, instead, it
has become a necessity.
Education technology – widely used to support
teaching and learning.
Trends in information technology
development
- Adaptability of the internet of things
Ability to transport data over a network without
requiring human to human or human to
computer interaction
- Development of Web Application
Web app – application program that is stored in
a remote server and delivered over the internet
over the internet through a browser interface
-The brainpower of Artificial Intelligence
AI – is the simulation of human intelligence
process by machines. Process include
learning, reasoning and self-correction

Technological tools – helps business

organizations increase profit, efficiency and
productivity.
Productivity tools – Computer aided design
(CAD), office application tools
Office application tool – examples are word
processors, spread sheet, and presentation
software, programming software, database
technology and the like.
IT – hardware and software solutions
IS – including the people that are using the
hardware and software
5 components of Information system
Hardware – the actual computer (CPU, monitor,
mobile phone)
Software – (excel, windows 7, PS) programs and
created via programming: tells the hardware what
to do
Data – Pieces of information that are manipulated
by the software
People – user, programmers, analyst, IT
department
Process – order of steps that you need to
accomplish a goal
SDLC – software/system development life cycle
- Methodology for software or system
development
- Blueprint for a project
Step 1: Requirement gathering and analysis –
planning the project
Step 2: Software design
Step 3: Coding and Implementation
Step 4: Testing
Step 5: Deployment
Step 6: Maintenance/Post-deployment (60%)
Waterfall model – step by step
Iterative method – more versions of the project
Spiral model – prototype
SRS – software requirement specification
Introduction to E-business
E-business – refers to any online-run business.
- Technique used by business organizations to
improve business strategy and be more productive
and profitable through IT.
Computer networks – refers to connection between
computers to share information and resource.
PAN (Personal Are Network) – used to allow
communication between devices close to each
other.
- Ex: printers, scanners, personal digital assistants
and game console.
- Connect ranges from 20 to 30 feet or app 60-90
meters away from each other.
LAN (Local Area Network) – one of the most
commonly used.
- Cover a small area such as a house, room or
building.
CAN (Campus Area Network) – used for academic
institutions where LAN are interconnected in a
limited geographical area.
MAN (Metropolitan Area Network) – within the area
of a town or city where it connects two or more
LANs or CANs.
WAN (Wide Area Network) – it is used within
regional or national areas.
Internet (International Network) – considered the
largest computer network that allows users to
access without restrictions.
Networks used for E-business
Intranet – refers to the internal network of a
business organization.
- Only authorized users can access the network
through the internet.
Extranet – refers to the network of a business
organization that has a limited scope, giving access
only to trusted entities.
Internet – is the largest network that are linked by
various technologies ranging from electronic and
wireless to fiber optic.
3 basic characteristics of information
Reach – refers to the potential number of local and
international customers of a business organization
that can interact with each other through the use of
the internet.
- Can also be defined as the number of categories
and products that can be covered in a consumer
interface.
Richness – Information that business organizations
can share to their customers.
Affiliation – effectiveness of the linkages between
business organizations.

Risks to Barriers to E-commerce adoption

Strategic: when business makes a wrong decision
to invest in e-business.
Practical: poor customers service manifested
through slow or no connection.