Technology in Business

1. Technological changes affect almost every part of our lives. Thanks to the the advances in
communication and computer science, nearly anything you can imagine is only a few clicks
away. Making a video call to your parents living overseas, for instance, or watching a movie
with a mobile device even when you are travelling is possible with the technology that we have
today.
Besides these changes in our personal lives, technology has also changed the face and the pace of
how we do business. Business processes have been modified and organizations are now working
much more efficiently than ever. At the same time, technology has opened a new way of
communication, allowing businesses to communicate and collaborate beyond borders.
It is for sure that the technology has changed organizations in an astonishing way. Mobile
devices like smartphones and tablets combining with the power of internet have revolutionized
the way we work. E-mail communication have replaced nearly all written memos, phone calls,
and faxes. Smartphones and tablets can connect you to your business network while you are out
of the office, allowing you to respond quickly. Storing the important files on a cloud computing
system rather than your PCs, for instance, has made information easily accessible at anytime and
anywhere.
Also by the help of technology, virtual
organizations are now a reality. The Internet
has allowed businesses to create
geographically apart teams to work like a
single, unified organization. Video and
conference calling, cloud computing, and all
instant messaging tools have simplified
business processes. The result is greater productivity and efficiency in many cases.
Perhaps one of the most important change technology has
allowed businesses is to connect to your customers in a
new approach mostly using social media platforms like
LinkedIn, Twitter and Instagram. For instance via
LinkedIn, organizations can connect to different business
networks and try to generate new revenue streams. Via
Instagram and Twitter businesses can stay relevant in a
customer’s mind and help to solve their problems in their
business interactions with the organization
.

2. Technology
Technology is the collection of techniques,
skills, methods and processes used in the
production of goods or services or in the
accomplishment of objectives, such as
scientific investigation. Technology can be
the knowledge of techniques, processes, etc. or
it can be embedded in machines, computers,
devices and factories, which can be operated by
individuals without detailed knowledge of the
workings of such things. Technology can be most broadly defined as the entities, both material
and immaterial, created by the application of mental and physical effort in order to achieve some
value. In this usage, technology refers to tools and machines that may be used to solve real-world
problems. Technology can be viewed as an activity that forms or changes
culture.[15] Additionally, technology is the application of math, science, and the arts for the
benefit of life as it is known.
The use of the term "technology" has changed significantly over the last 200 years. Before the
20th century, the term was uncommon in English, and usually referred to the description or study
of the useful arts.
Business
A business, also known as an enterprise, agency or a firm, is an entity involved in the provision
of goods and/or services to consumers. Businesses are prevalent in capitalist economies, where
most of them are privately owned and provide goods and services to customers in exchange for
other goods, services, or money. Businesses may also be social not-for-profit enterprises or state-
owned public enterprises targeted for specific social and economic objectives. A business owned
by multiple individuals may be formed as an incorporated company or jointly organised as a
partnership. Countries have different laws that may ascribe different rights to the various
business entities.
Business can refer to a particular organization or to an entire market sector, e.g. "the music
business". Compound forms such as agribusiness represent subsets of the word's broader
meaning, which encompasses all activity by suppliers of goods and services. The goal is for sales
to be more than expenditures resulting in a profit.

3. Technology in the past
Think back to how business was done a few decades ago. There was no email, Internet, mobile
marketing, telecommuting or smartphones. The use of technology in business has taken a sudden
but remarkable upsurge in the history of man. In the old times, business took a slow pace, thanks
to the lack of tools that would allow for faster business transactions. Everything was done with
the help of some mechanical tools and the bare hands, which made it unthinkable to do business
instantly.A short course in the history of technology in business would allow one to see the
radical yet dramatic shift from the old business procedures to the innovative approaches as seen
today. In addition, it would also give one a better understanding of how important the use of
technology in business is.
Technological Boom
Innovations in technology started to rise in the nineteenth century. If you come to think about
it, these inventions are rather simple, but their impact on business caused it to transform to what
it is today. With a steady rise in the number of patents issued by the United States Patent Office,
multiple segments of the economy revolved to gain benefits.
Some of the past innovative products and methods that helped to shape the face of business and
economy are the barbed wire, cattle farming, railroad air brakes, sleeping cars, the camera, the
carpet sweeper, and the typewriter. All of these had influenced the way people worked and led
their daily lives. When these innovations were combined, they formed a powerful army that gave
way to the massive use of technology in business.
Electricity and Communications
Industrial processes rely on sources of energy for them to be fully functional. Before
electricity was utilized for this purpose, other natural sources such as coal and water were used.
This is rather an unconventional way of fueling up factories because the said energy sources are
not readily available for industrial use. With the discovery of the incandescent bulb by Thomas
Edison, a series of other discoveries and inventions gave way for instant sources of energy.
Electric utilities were ushered in during the late 1800?s. Although these utilities had a low
transmission range and limited power, wide residential use became possible. These utilities were
further developed by George Westinghouse that made it possible to supply both residential
homes and power-hungry industries the energy that they needed to perform daily business tasks.
Communications, on the other hand, was revolutionized with the invention of the telephone by
Alexander Graham Bell. It was indeed a giant leap for communication, which ultimately affected
the business world in many aspects. A necessary item in any business office, the telephone has
certainly bridged the gap between many people and as far as business is concerned, it brought
better relationships and opportunities from clients and customers.

4. Current Developments
The things that the past brought for the benefit of business using technology did not stop
there. Typewriters were replaced by word processors, telephones have gone mobile, and every
manual business transaction is being automated with various applications and software. The use
of technology in business is innumerable and widespread. Even a short history of this would
suffice for one to understand how revolutionary the changes have been.
Still, technology is always evolving as it continues to grow not only for business use, but also for
the growth and utilization of other fields. Therefore, coping with change is imperative for one to
reap the advantages of the use of technology in business.
Positive impact of technology:
Technology impacts on our daily lives. Our environments are all so full of technology to the
point that most of the time we take it for granted and never actually notice the level of impact
that it has on us until when we have no telephone, transport, water or electricity. Advancements
in technology have greatly increased our living standards. Despite the fact that we are currently
experiencing very high inflation rates and the rates of unemployment are very high, generally,
people are feeding better, are dressing better and are as a matter of fact living more comfortable
lives.

5. Technology also has a great impact on all the fundamental aspects of all our cultures including
laws and how they are enforced, language, art, health care, mobility, education and religion. For
instance the great technological improvements in health care have given a chance to doctors to
treat their patients in an environment that is virtual through the use of mediums such as video
conferencing which has also greatly benefited the legal environment as it allows the judges to
still listen to the cases of hard core criminals who cannot be allowed to get into the court rooms
due to security reasons.
Now communications are instantaneous, huge amounts of information move through email and
the Internet and powerful tools are in the hands of owners and employees. Innovations in
technology have improved operations at companies of all sizes and helped turn small local
businesses into global businesses.
Communication
Cell phones have become small business necessities for owners and employees. These devices
are lifelines for staying in touch when on the road and responding to customer inquiries in a
timely manner. Smartphones raise the bar with access to the Internet, email and business
applications in a small hand held device. Email, text messaging and social networking are other
advances in communication that keep small businesses connected to their customer bases and
improve internal communication within the company.
Marketing
Technology has freed small businesses from the restrictions of prints ads when it comes to
reaching new and existing customers. Internet marketing ranges from a simple informational
website, to advertising on search engines, to online product sales. Email marketing is an effective
and low cost method to reach a large group of people with a newsletter, coupons or business
updates. Mobile marketing is a relatively new frontier that reaches people through text
messaging, advertising on mobile applications and offering branded applications that tie
customers into what is happening with the business in a fun and entertaining way.
Productivity
Small businesses need to wring every ounce of productivity out of their operations and
technology tools help employees get tasks done more quickly. This may range from printing out
marketing materials to providing customer service through email or online chat. The key is to
keep employees focused when using technology and to use it appropriately with the goal of
saving time. Sometimes, a phone call may be more efficient and productive than an email.
Provide employees with the right hardware and updated software to keep them working at peak
proficiency.

6. Customer Service
Technology brings businesses closer to customers. Businesses use email to answer questions,
offer online chat to help customers that are visiting the business website, and equip call centers
with the latest phone equipment that makes customer service agents more efficient. Give
customers a choice of ways to contact the company. Technology is powerful, but keep the people
element in mind and don't skimp on training employees in effective customer service techniques
and the proper use of the technology.
Telecommuting
Many small businesses now offer telecommuting and flex time as benefits. Colleagues can stay
in touch from different locations, and when working different hours, by using email, online
collaboration tools and mobile computing devices. When in the office, workers can share digital
documents, convey information through presentations and create training videos to bring new
employees up to speed.
Teleconferencing
Teleconferencing over the phone is one of the simplest conferencing methods, but advancement
in recent years have brought web conferencing to the fore. Web conferencing can bring together
web cams, audio and collaborative online meeting spaces to create an extremely interactive
environment. Participants can see each other, work together on documents and recreate the in-
person meeting experience no matter where they are in the world. This is one way that small
businesses can extend their reach to include global customers and workers.
How Technology Affects Business Operations
Technology , including everything from physical devices to information technology networks
has a deeply transformative influence on the modern world and economy. From changing
consumer preferences to reshaping the way businesses produce and market goods, technology
can be seen even in the smallest details of day-to-day business operations, increasing the
productivity of workers and investments, accelerating economic activity, promoting
interdependence between industries and allowing for the continual deployment of new
technologies and also creating new business risks.
Productivity
Through process improvement, developing worker skills and product development, technology
tends to increase productivity in business operations. While the exact size of that improvement is
still a matter of academic debate, technologies like email make communication about business
operations considerably faster and easier, increasing the overall productivity of workers.

7. Technologies like online customers service and customer support pages also reduce the need for
personal attention and increase the productivity of investments in these areas without sacrificing
customer experience.
Acceleration
Whether through faster airplanes or online data transfers, technology tends to accelerate the rate
of business operation. What once took weeks through the mail or face-to-face interactions can
now be accomplished in seconds with a keystroke. Online money transfers, Web purchasing and
Internet file sharing all tend to accelerate the production cycle, making the capitalization,
production, sale and distribution of goods considerably faster. From an operations standpoint,
technological acceleration both forces companies to move faster to meet consumer demands and
provides the tools for them to do so.
Globalization and Interdependence
The ease with which companies can communicate and transfer resources on a global scale makes
them more likely to conduct business with a global web of clients and suppliers. Technology like
Internet video conferencing and instant access to economic data from around the world makes it
just as feasible to conduct business or make investments in a neighboring town as doing so on
another continent. Technology facilitates this integration and interdependence through
improvements in transportation, logistics and communications.
New Technology
As technological innovation makes consumers want new types of products, businesses have to
adjust their operations to meet new market demands. Businesses integrate new technologies,
such as computers and software packages, into their daily operations and production cycle and
provide new products such as increased mobile compatibility for a line of electronics. Driven by
consumer desires for new technological goods and more convenient technological services,
businesses can compete with each other based on their pace of innovation and adoption of new
technologies.
Risks
Although adopting new technology can be very beneficial -- even necessary -- for a business,
every new technology also presents a unique set of new risks. Without proper employee training
in how to use a new software system, for example, technology can actually decrease productivity
and even reduce employee satisfaction. The rapid migration of personal and corporate operations
data to online databases also makes companies more vulnerable to cyber-attacks that can
adversely affect operations or shut down a business altogether.

8. Technology's Negative Impact on Business
Technology has positive affects on global business. The Internet makes it possible for people to
communicate easily with associates in other countries. Ecommerce makes it possible for
consumers to purchase almost anything from almost anywhere. And the flow of information is
fast and often free once you have paid for Internet access. However, technology also has
negative impacts on business.
With every advancement that is made in the technological world, creative destruction results. For
example, television impacts negatively on the movies and synthetic fibers impact the cotton
fibers negatively. The coming in of new types of technology also results in a negative impact on
the growth of the economy at times; television at times consumes all the productive hours that a
man has in a day. Every new form of technology gets into the market together with long term
consequences that are most of the time not foreseeable. For instance is there really a justification
for nations coming up with bombs, nuclear weapons and missiles to maintain security?
Business Relationships
Internet technology -- such as chat rooms, Skype and other software -- has made it possible to
hold meetings without all parties being physically present in the same place. A drawback is that
meeting with somebody over the Internet is much less personal than meeting face-to-face.
Internet technology in business decreases the personal aspect of business relationships. Business
people used to network in restaurants and on golf courses. Today, the lack of physical proximity
decreases brainstorming and other communications that use a personal touch.
Employee Morale
Installing monitoring software in the workplace sends the message to employees that the
company does not trust them, according to research done under the aegis of professor Howard
Besser while teaching at New York University. Giving employees responsibility, trust and
respect boosts their morale and productivity. Showing them that they are not trusted and must be
recorded decreases morale and worker productivity. This is true regardless of the actual reasons
for installing monitoring software, according to the same research.
Spam
Spam refers to unwanted and unsolicited email messages. Spam is widespread and has negative
impacts on business, according to the article "Impact of Information Technology on Global
Business" published by Purdue University. Wading through spam email is a waste of time, and
spam filters can only do so much. Users of spam filters must then check for necessary email
messages diverted incorrectly as spam.

9. Brick and Mortar
The popularity of ecommerce has had a negative impact on brick-and-mortar retail stores.
Smaller stores are finding more and more difficult to compete with both Internet businesses and
larger retail stores. For example, small community bookstores must compete with Amazon.com
as well as large stores such as Barnes & Noble that sell in person and online. Sometimes the
smaller stores end up going out of business.

10. Reference
 Archer, N. & Yuan, Y. F. (2000) Managing business-to-business relationships
throughout the e-commerce procurement life cycle. Internet Research-Electronic
Networking Applications and Policy
 Columbia University: How Does Information Technology Affect Productivity?
 Ernst & Young: Rapid Technology Innovation Creates a Smart, Mobile World
 McKenney, James L. "Waves of Change: Business Evolution Through Information
Technology." Harvard Business Press, 1995. (May 30, 2008)
http://books.google.com/books?id=1HPxUJNFgbgC&dq=%22waves+of+change%22
+mckenney&client=firefox-a&source=gbs_summary_s&cad=0
 McKinsey & Company: Using technology to improve workforce collaboration
 Sullivan, Arthur; Steven M. Sheffrin (2003). Economics: Principles in action. Upper
Saddle River, New Jersey 07458: Pearson Prentice Hall. p. 29. ISBN 0-13-063085-3.