Understanding Sigma Levels
What Is Sigma ? Sigma or standard deviation is a statistical measure of dispersion in data. It is a measure which uses the characteristic of past data to make judgements about how the process will perform in the future. If a given set of data has normal probability distribution then the number of defects that […]
Symptoms of an Overheating Economy
The IMF recently asked the Philippines to take measures to rein in its overheating economy. This is not the first time the IMF has made such a statement. In fact, IMF commonly asks countries to take measures to prevent “overheating.” However, the problem is that there is no standard definition which defines the phenomenon of […]
The AT&T – Time Warner Merger
AT&T is one of the biggest phone companies in the world. In fact, this was the company that first started building telephones. On the other hand, Time Warner is a giant in the media space. It owns major media channels like HBO and CNN. Each of these companies is gigantic in their own right. This […]
Work Study and Industrial Engineering
Introduction To survive in the current competitive and global environment, it is important for the organization to continuously look at ways to improve efficiency and productivity. It needs to discover a new, easy and cost-effective way of manufacturing or providing services. Work study and industrial engineering play important role in job simplification, job design, job […]
Emerging Trends in Information Technology
Introduction 21st century has been defined by application of and advancement in information technology. Information technology has become an integral part of our daily life. According to Information Technology Association of America, information technology is defined as “the study, design, development, application, implementation, support or management of computer-based information systems.” Information technology has served as […]
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
