Indeed Information Technology Changes Everything of a Firm: A Strategic Maneuvering

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Introduction:

Information Technology has been playing a pivotal role in the world of global business, particularly during the 1980s onward. In this article we would focus on the prospective side of the Information technology in order to upgrade the productivity and quality, in order to have a competency and good market share in order to sustain in the line.

I) Role of Information Technology as an impetus to the organizational change:

IT could change everything in our life, starting from manufacturing, distribution, or retailing. Now days there is no single firm found to be not directly or indirectly related to IT. Moreover, globalization of business demands global organization, meaning rely on IT again. In the operational aspects efficiency improvement, product6 development and services all are related to IT.

Time frame and beginning with a perfect start is very vital to be a successful. For this AC (After Computer generation) generation of management is better than BC generation. Because, quite a good understanding between man and machine and technology is required for optimum usage.

Ii) A Challenge to stand or fall behind for a company: 

A company could fall or stand the way the wish to operate the firm globally. And Kaizan is required in this act of time management and quality management.  A firm in the competitive mixtures must have a good combination of speed, quality, cost and services. Just having the best, for example, physicist and the best material scientists not enough.

Iii) Reducing cycle times:

To be sustainable and competitive, the company must reduce of its cycle times. Technically speaking, relatively big goals such as for example, engineering 30%, for manufacturing it could be 60% could be set. . In the business if we do not have an understanding of speed in the world and the impact of IT on business, now and in the future; or we are going to be a loser.

Iv. Marketing and sales options:

Only making is not enough rather selling and marketing is important too. The customer is the king, and demanding, ignoring this call is very expensive. Competition is growing, prices are falling and low cost countries are moving in. If we shy away from IT to connect to our customers, it would be like moving in the wrong direction on the escalator.

Today we can show a customer a plant configuration on a computer simulation, we can walk through the plant, customize technical specs and immediately show the effect go on price or we can connect him to specialists with video links.. 

V. Centralized vs. Decentralized of controlling:

Philosophically with IT management can choose both the directions. IT could be an instrument both for centralization and it can be a fantastically innovative decentralized force, where we really dare to give people responsibility.

Vi. AC and BC generations in the organization:

In every organization there are BC (Before Computer generation) and AC (After computer generation). Natural ACs is under 55 years old. Information age doesn’t come easy. In an organization where 200 top managers are working should have at least 20% ACs, at the mid level it should be 35% minimum, and among engineers it should be 50% at least. In 10 years everything will be changed. All engineers and mid managers will be ACs. Nearly everyone in top management will ACs too. Waiting 10 years to come is expensive, 20 years back IT competency was specialized – scientific and accounting. It was not the lifeblood of the whole company as it is now.

Today, speeding up of right IT competency is the key for competitiveness.

Vii. What should be done in the end? 

The best example of IT borne success company is ABB (Asea Brown Boveri Ltd.), which become a lean and mean global company using IT rightly. The best managers at ABB get moved around. The idea is to have the best people taking their best practices with them and exposing newcomers. For instance, if you have a person in Bangladesh who does an excellent job, better send him to India where he would transfer his skills and knowledge, rather than to have managers from India travel to Bangladesh and have a seminar.

Concluding remarks:

The best example of the above is ABB, where the top management understands, knowledge and commitment have made it successful in the global business during the previous decade. However, it is not pilfer proof, to be successful with IT implementation it should be done phase by phase starting out from the small departments which is / are not the core operations. So, IT implementation should be started with the least significant to most significant arena of the company. Not to forget, strong back is a fundamental task in implementing IT, Old manual systems should not be deleted immediate after starting the IT systems. Nothing is flawless and nothing is hundred percent solid, so, cautionary steps also be there as a strategic maneuver.

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