Information Technology In Business

Information technology in business for better reliability, profitability and higher growth

Information technology has crucial impact on the overall performance of a business, its reputation in the economy, performance of the employees, profitability over the years, firm’s growth rate and so on. To draw conclusion on the impact of information technology in business these factors need to be evaluated. If all the financial statements like balance sheet, cash flow statement, profit and loss account and retained earning s are evaluated, then it can be found that the performance, now-a-days, largely depends on the effective use of information technology in business.
 

Analysis of the impact of information technology is very important for all the professionals, investors as well as for the company to understand the reasons behind success or failure of a business. There is no doubt, that effective uses of information technology, in the leading business enterprises, play a vital role in their successes. With the help of information technology, a business entity would be able to serve more customer efficiently than before. Financial statements would be rapidly available, internal control would be more effective and processing time would be minimum because of it. Still, the accuracy would be maintained because of keeping information in details, leading to more customer satisfaction for a business.
 

Now the world is considered as a ‘global village’ and information technology has made communication not only cheaper but also quicker. The information technology industry is growing at a rapid pace and it is playing an ever increasing role in supporting business transformation and strategies. Information technology is a vital part of today’s global economy and it is expected to increase in importance in days to come. Because of the presence of information technology in business, the start up cost has become minimal and the time management has become more effective. It seems information technology has given business enterprises, the opportunity to control the business with fingertips.