Role of Information Technology in the Expansion of a

Small Business

Information technology (IT) is a branch of engineering dealing with the use of computers and telecommunications equipment to store, retrieve, transmit and manipulate data. The IT association of America has defined IT as "the study, design, development, application, implementation, support or management of computer-based information systems". The term is commonly used as a synonym for computers and computer networks, but it also encompasses other information distribution technologies such as television and telephones.

Information technology (IT) has become a vital and integral part of every business plan. From multi-national corporations who maintain mainframe systems and databases to small businesses that own a single computer, IT plays a role. The reasons for the omnipresent use of computer technology in business can best be determined by looking at how it is being used across the business world.

Information technology is a modern phenomenon that has dramatically changed the daily lives of individuals and businesses throughout the world. Information technology is driven by the microchip, which owes its existence to the semi-conductor. IT solutions run the gamut from personal computers and computer software to production robotics to communications technology. Leveraging information technology for business success is key to survival in the modern business world.

Small Business can expand with the role of IT in

different sectors as listed below:

Communication

E-Commerce

Data Management

Multi-Tasking

Customer Relationship Management

Low Cost

Communication

• . Over the years, a number of other

communications tools have also evolved,

allowing staff to communicate using live

chat systems, online meeting tools and video-conferencing systems.

• Voice over internet protocol (VOIP)

telephones and smart-phones offer even

more high-tech ways for employees to communicate.

• The manager of the organization can

communicate with his/her staffs online or

through phone calls.

E-Commerce

E-commerce is buying and selling

services and goods over the Internet.

Online operations reduce the time and

personnel required for business processes.

It also reduces costs in areas like

document preparation, telephoning, and mail preparation.

Customers can shop having an access

to internet and paying through paypal

which makes them convenient.

Data Management

Today, most companies store digital versions of documents on servers and storage devices.

These documents become instantly available to everyone in the company, regardless of their geographical location.

Companies are able to store and maintain a tremendous amount of historical data economically, and employees benefit from immediate access to the documents they need.

Multi-Tasking

Another business advantage of information technologies is the ability of computers to perform multiple tasks simultaneously.

Provided the hardware is able to support it, the operator may have several different programs functioning at the same time.

Furthermore, computers are generally capable of performing complex calculations, such as mathematical equations or travel distances, very quickly and accurately.

Customer Relationship

Management

Companies are using IT to improve the way

they design and manage customer relationships

If a customer calls a call center 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 customer has a better, more focused experience and the company benefits from

improved productivity.

Low Cost

Computers themselves are much less expensive than they were years ago. As technology becomes more common, the cost becomes more affordable.

Furthermore, as already mentioned, computers may replace other means of document storage and thereby allow companies to trim back on real estate expenses.

With a single operator being capable of performing several tasks at once, less personnel is often required to accomplish the same amount of work as before.

Postal expenses and delivery costs may also decline as emails replace mail correspondence.

Conclusion

The following roles of Information

Technology can expand a small business and lead it towards success.

Thank You ...

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