Chapter 1: Information Technology in a Business Environment PDF

# Chapter 1: Information Technology in a Business Environment ### Business and Information Technology * Many people believe that business nowadays could not survive without the integration and use of information technology (IT). * Business organizations rely on computers to perform their daily ope...

# Chapter 1: Information Technology in a Business Environment ### Business and Information Technology * Many people believe that business nowadays could not survive without the integration and use of information technology (IT). * Business organizations rely on computers to perform their daily operations and transactions. * Example: banks have developed and designed new mobile banking apps to replace traditional banking. ### Business Organization As a System * Any type of business organization, whether multinational or local and large, medium, or small, can be viewed as a system because it consists of various parts that work collaboratively to attain a certain goal. * The main goal of many organizations is to provide added value their clients and customers. ### Business Concepts * The word "business" is traditionally defined as the exchange of products. * Business is an enterprise or activity with the intention to make profits. * The term business refers to an organization or enterprising entity engaged in commercial, industrial, or professional activities. * Business also refers to the efforts and activities undertaken by individuals produce and sell goods and services for profit. ### Types of Business * **Manufacturing:** Makes and sells finished products * **Merchandising:** Buys and sells finished products * **Services:** Provides services at a fee. * **Hybrid:** A business that encompasses a combination of these. **Capital:** Money invested in a business. ### Types of Business - Sole proprietorships - Partnerships - Corporations - Limited liability companies (LLCs) - Limited Partnership - Co-op - Non profit ### Business Size * Micro: Fewer than 5 employees(including the owner) * Small Businesses: Between 5 and 19 employees * Mid-Sized Enterprises: Between 20 and 199 employees. * Large Businesses: 200 or more employees ### Data vs. Information - **Data:** - Data are facts that are collected, recorded, stored, and processed by a system. - Insufficient for decision-making. - **Information:** - Information is data that have been organized and processed to provide meaning and improve decision-making. - Turning data into information is a process, or a set of logically related tasks performed to achieve a defined outcome. - The process of defining relationships among data to create useful information requires *knowledge*, which is the awareness and understanding of a set of information, and the ways in which that information can be made useful to support a specific task or reach a decision. ### Types of Data | Data | Represented By | | ------- | -------- | | Alphanumeric data| Numbers, letters, and other characters | | Image data | Graphic images and pictures | | Audio data | Sound, noise, or tones | | Video data | Moving images or pictures | ### Information Technology and its Discipline - IT is the study, design development, application, implementation, support, or management of Computer-Based Information System (CBIS), particularly software application and computer hardware. - IT is the application of technology to solve business or organizational problems on a broad scale. - IT compromises a wide range of hardware and software solutions that support organizations and evaluate data that help them accomplish their targets. - It also describes technology-based workflow processes that enhance the proficiency of an organization to provide services that produce profits. ### Business in the Information Era - Most businesses established in the Information Era mostly depend on the use of advanced technologies. - It is a fact that people currently live in the Information Era, commonly known as the Digital Age. - Information Era is described as enormous and incredible, where huge amounts of information can be shared around the world in just one click of a finger. - The Information Age enables businesses to compete in a marketplace that is complex, global, and customer focused. ### Businesses That Are Popular in the Digital Age - **Call Centers:** - A call center agent refers to a person who handles incoming or outgoing customer calls for a certain business. - **Banking (Online Banking and Mobile Banking).** - Online banking is popularly known as Internet banking. - Mobile Banking ### The Changing Role of IT in Business #### Productivity - Technological tools and applications such as computer-aided design (CAD), office application, programming software, database technology, and the like improve business productivity. #### Monitoring - IT tools are used for monitoring purposes in various areas of business organizations. - The main reason for this is to ensure that all resources are being utilized efficiently. #### Business Performance Management - Developed as a monitoring method that most businesses use to achieve their goals. #### Role of IT in Business - **Education:** - Glogster EDU - Mentimeter - Electronic Learning Organizer - Constant Therapy - Learning Management System: These systems are powerful online applications containing designed and developed courses for students - **Health:** - IT also plays a significant role in the field of medicine. ### Information Technology Career & Opportunities - **Help Desk Technical Jobs:** - Technician must be knowledgeable about computer systems and have good customer service skills. - **Technical Support Analyst Jobs:** - Technical support analysts are considered professionals who assist staff within an organization and support non-IT computer users. - **Business Intelligence Analyst Jobs:** - Business intelligence analysts are computer science graduates who use computer software programs to go through big data and trace specific information to formulate reports and create presentations by considering the company's level of efficiency and its department's advancements over a selected timeline. ### Trends in Information Technology Development - **The Adaptability of the Internet of Things (IOT):** IOT is a system of interconnected computing devices, mechanical and digital machines, objects, animals, or people. - **Development of Web Applications:** These are web applications that are composed of web pages or websites similar to traditional and most mobile applications, programs that are stored on a remote server. These are delivered over the internet through a browser interface. - **The Brainpower of Artificial Intelligence (AI):** AI is the simulation of human intelligence processes by machines, particularly computer systems. ### Thank You!