Role of IT to improve businesses and organisations
Wednesday, 9 April 2014 00:00
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Information technology has become an integral and vital part of every nation. From gigantic corporations who maintain mainframe systems and databases to organisations that own a few computers, IT plays a huge role in their improvement.
The reasons for the universal use of computer technology in businesses and organisations can best be determined by looking at how it is being used across Sri Lanka.
Communication, conveying information through the exchange of thoughts, messages, or information has become so much easier thanks to advancements in IT.
Many companies rely on email as the primary means of communication between employees, suppliers and customers.
Email being one of the early drivers of the Internet, provides a simple and inexpensive means to communicate. Over the years, other forms of digital communication have emerged, allowing staff to communicate using live chat systems and video-conferencing systems. Voice over internet protocol (VOIP) telephones and smart-phones offer even more high-tech ways for employees to communicate.
Equipping employees with a virtual private network (VPN) for remote access provides greater productivity and enhanced security, especially during an unexpected event.
When it comes to managing inventory, organisations need to make sure they have just the right amount of stock to meet their demands without investing in more than what they actually need. Inventory management systems monitor the quantities of each item a company maintains, activating an order of additional stock when the quantities drop below a certain amount. These systems are at optimum use when the inventory management system is connected to the point-of-sale (POS) system. The POS system makes sure that each time an item is sold one of those items is removed from the inventory count, creating a closed information loop between all departments.
In the old days, data was constricted to large file rooms, rows of filing cabinets and the snail mailing of documents. However today, those trends are fading fast. Most companies store digital versions of documents on servers and storage devices. These documents become instantly available to everyone in the company seamlessly, no matter where you are. This helps companies to store and maintain large amount of data, cutting costs and provides easy access to the documents they need.
Thing about storing data is that it’s only a benefit if you can process that data effectively.
Progressive companies use that data as part of their strategic planning process as well as the tactical execution of that strategy.
Management Information Systems (MIS) help companies to track all sorts of important information like sales data, expenses and productivity levels. The information can be harnessed to track profitability over time, optimise return on investment to maximum levels and pin point areas of improvement. Managers can monitor sales on a daily basis, allowing them to immediately respond to lower-than-expected numbers by boosting employee productivity or reducing the cost of an item.
Thanks to IT, companies are able to improve the way they design and manage customer relationships.
Facebook, Twitter and YouTube presence go a long way.
Customer Relationship Management (CRM) systems record every interaction a company has with their customers, so that a more enriching experience is possible. Whenever a customer calls a call centre with an issue, the customer support representative will be able to see what the customer has purchased, view shipping information, call up the training manual for that item and effectively respond to the issue.
The entire interaction is recorded in the CRM system, ready to be accessed if the customer calls again.
This way, the customer has a better, more focused experience and the company benefits from an improved level of productivity.
