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The Impacts Information Technology On Business

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Information Technology (IT) is among the relevant factor assisting the business to penetrate in a new market for being innovative and generating new product and services which help the growth of the business and company. The revolution of IT and internet facilitates the outstanding performance of the economy in business sector, through the exchanges of information by using internet and electronic devices facilitate accessibility of doing business between companies globally. This study tries to analyse the impact of IT on business and the performance of the economy. The empirical findings show that the role of IT in business is tremendous.
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The Impacts Information Technology On Business
Moses Isdory Mgunda
Faculty of Economics and Business, Diponegoro University
Correspondence Email: mgundamoses@gmail.com
ABSTRACT
Information Technology (IT) is among the relevant factor assisting the business to penetrate in a
new market for being innovative and generating new product and services which help the growth
of the business and company. The revolution of IT and internet facilitates the outstanding
performance of the economy in business sector, through the exchanges of information by using
internet and electronic devices facilitate accessibility of doing business between companies
globally. This study tries to analyse the impact of IT on business and the performance of the
economy. The empirical findings show that the role of IT in business is tremendous.
Keywords: Information Technology (IT), Business, e-commerce(e-business), company,
organisation.
1. Introduction
In the global business, there are producers as product sellers and consumers as product
purchasers. These two people are interdependent; the business does not exist or successful if
there is no one between them. Producers require consumers to purchase products to sell, so
consumers require producers to satisfy their needs. Manufacturers sell goods at a market place,
and when consumers want to buy their needs, they go to the market place. These have occurred
hundreds or even thousands of years since the starting of business when technology not yet
improved. When technology improved, affects the development business system. Currently,
information technology is advancing very fast so that it is difficult to avoid it’s development. The
advancement of information technology not only assist people’s life to become better every day
but also support the global business. Things that are used to be expensive and take a long time,
now days can take a short period to complete. A work that would involve ten people now days
can involve one person(Shaqiri, 2015)
Information Technology (IT) has a role as a means of the transaction of online business, such as
through offering media facilities like the internet. The websites, apps, are given as an area for
consumers to select the items they want. These transactions also need other technologies to
support the online business, which is a telephone communication technology, banks that enable
consumer payment, media with producers, shipping agents such as post office. These things are
technologies that play a significant role and affect the development of online business. The
facilities offered due to the part and influence of IT makes online business tremendous due to it
is efficient, economical, and faster to both sides producers and consumers(Steenhuis & De Bruijn,
2012). The purpose of IT on human life is critical. The development of information technology
presently developing along with the progress of social development. Information technology is
broadly applied by people who see business opportunities due to the development of this
technology, such as online business. Globally online business is going to be usual. These have
become commonplace and have developed quite well. By using an online business, it is simple
for citizens to get the goods and services they are searching. The increasing number and
cheapness of internet connections in some countries influence the development of online
business. So this is beneficial for the advancement of online business, compared with the offline
business.
Information Technology explains any technology that enables humans to create, change, store,
communicate, and spread information. IT brings together high-speed computing and
communication for data, voice, and video. For instance of IT consists not only of personal
computers(laptops), but also telephones, Televisions, electronic household appliances, and
modern handheld devices like cellphones. The advancement of the tools is significant and
supportive of business activities that carried out, but it does not cost a small investment; besides,
technological advancement should be supported by facilities and infrastructure from the area or
place where the company is doing business activities.
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The progress of information technology brings a significant impact on different aspects of life,
specifically in the business sector. The new concepts currently are e-business (e-commerce) or
electronic business. The performance of e-commerce gives new prospects and challenges to
business professionals and organisations. Globally changes in the way of conducting business
are trending, and These changes are mainly in meeting the required information and
comprehensive network systems to assist faster and more flexible accessibility of services.
Internet-based computer technology has increasingly developed into the most effective form of
handheld computers and tablet PCs. High population mobility needs the world of commerce to
enable to offer goods and services instantly by consumer demand. In order to overcome
challenges, most business organisations are now using the media Internet to connect producers
and consumers (seller and buyer) doing transactions. The transactions through the Internet are
well known as e-business and e-commerce(Chaffey, n.d.). Many researchers describe that the
main characteristic of global business today is e-business. The business model facilitates the
exchange of information and business transactions that are paperless, via Electronic Data
Interchange (EDI), e-mail, electronic bulletin boards, electronic fund transfers, and other network-
based technologies. The e-business supported by three main factors, such as.
1. Increasingly of competition, to the global economy, Regional trade agreements, and
growing consumer power.
2. Social and Environmental factors such as changes in workforce characteristics,
government deregulation, awareness and demands for ethical practices, knowledge of
corporate social responsibility, and political change;
3. Technological factors, such as the short lifespan of product and technology life cycles,
innovations that occur almost every time, information-overloaded, and reduced risk of
technology costs on performance
Business
Business is a process whereby an individual/group of people offering or sells goods or services
for the aim of gaining profit. Business starts with the desire of humans to meet the requirements
that are impossible by themselves. Therefore, comes the desire to interact and help each other.
In development, humans have a variety of needs and interests that continue to grow. So it is not
enough to give and take, humans, try a system that brings benefits to fulfil the instincts of
individuals to prosper themselves. Business becomes a structured system for getting welfare in
life (Juan, 1991). High profits in any business obtained when there are cooperation and proper
organised management, so the business is now it has a close relationship with the company,
which is an organisation that runs to get benefits for its members. The company structured in a
structured manner, and there is a clear division of labour within a company. Regulators in the
company are known as managers, and the implementers are known as employees (Nikoloski,
2014).
Electronic business (E-commerce)
E-business is an electronic media-based business system like radio and television. Since the e-
business system is better known by the wider community when the internet employed as an
electronic media, the broad community assumes that e-business is an internet-based business
as its medium. The development of e-business continues to change with the availability of
electronic devices, like mobile phones and tablets. On cellphone or tablet systems, internet
access is wireless, and this supports the ameliorate of new protocols such as the Wireless
Application Protocol (WAP), which is an internet application without using a cable so that by using
a cellphone or tablet, users can access the internet in when and wherever there
available(Oetomo, 2001 & Shaqiri, 2015). According to Mohan Sawhney(Indrajit, 2002, Rudianto,
& Zainuddin, 2007), e-business is: "the use of electronic networks and associated technologies
to enable, improve, enhance, transform, or invent a business process or business system to
create superior value for current potential customers. "In principle, the definition clearly shows
how electronic and digital technology function as a medium for achieving business processes and
systems (exchanges of goods and services) that are far better compared to conventional
methods, especially seen from the benefits that can be felt by those concerned (stakeholders).
Changes in Technology
Technology is advancing very fast and diverse; the existence of IT now has entered various
aspects of life. Technology provides a smoother, more efficient, and more comfortable
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experience. Currently, almost all people use technology in their daily life in ranging from simple
to complex. Technology has a very broader area, so it is not comfortable to be explicitly
categorised. In essence, technological change can be grouped in four fields, including the
Computer sector, Transportation and Communication Sector, Energy and natural resources, and
New production process fields.
Technological advancement in the computer sector influences the company's internal
performance, especially in administration. Database systems can easily classify company data in
detail and accurately. Even this system can also be used for employee absence. In general, the
database system plays an essential role in the collection of company inventory. The sophistication
of the computer that previous doubted would decrease the number of employed people now
actually applies vice versa, such as increasing employment opportunities because most of the
large companies’ present time needs computer experts in the fields of data collection, informatics
(programming), and of course computer technicians. It is because of the importance of the
presence of technological resources that support the company's works(Issa-salwe, Ahmed,
Aloufi, & Kabir, 2010)
The capability of computers to handle complex problems today is undeniably beneficial for the
performance of the company’s employees. Processing various variables that takes a long time to
solve manually now is very easy and fast with a computer. Also, supported by the progress of
various analytical applications that are very diverse. Many choices for companies to use in which
applications are suitable for company needs. Secure storage and back up is also a plus. Now no
longer need to worry about missing data provided; the computer has no errors. Advancement of
technology in the field of transportation facilitates the movement of goods flow in a company.
Various services are available both from the land, sea, and most express, like airlines. The
transportation budget now is one of the things that take into consideration given the
consequences of funding and speed that are rising equally. Land transportation has the
advantage of cheaper funds. Sea transportation allows interisland services and large amounts of
capacity. Air transportation is flexibility and speed, but not for the size of the transport capacity
and cost.
Communication is the most talked-about field, easy to access due to the expansion of the internet
network, shifted the existence of tools such as facsimile, telegram, or post. E-mail facilities that
are easy, inexpensive, and fun with a variety of exciting features now become the foremost
choice. The internet is also a powerful weapon for marketing, given the increasingly increasing
public consumption of the internet. Networks also facilitate communication between employees
and the board of directors. Informal relationships now are more needed because they are
considered to have a significant impact on strengthening relations. Aside from the internet, TV
and radio remain the most significant focus of public consumption that companies use mainly and
advertise. Increasingly diverse and quality TV programs now adding certain parties' interests. For
instance, Automotive events initiated by transportation companies now adorned many screens.
The possibility of exchanging resources within one another is minimal, but technological
development makes it possible, even though sometimes it expensive.
The issues of environmental pollution are not friendly from the excessive use of technology. It is
undeniable; many technological tools made from inorganic (chemical) than natural ingredients
(organic). Carbon emissions are enormous, particularly in sophisticated equipment such as
computers, motor vehicles, and air conditioners. Nevertheless, present days, scientists are
starting to find solutions for the use of environmentally friendly technology initiated by advanced
companies, mainly from Japan and other parties of the world. Therefore this paper intends to
determine the effect of information technology on the global business and economic performance,
to know the role of technology in business and companies. The following section of this paper is
the researcher explains the methodology applied in this paper, section 3 consist the main results
and discussion about the impacts of technology on business, Utilization of Information
Technology in Business, The Role of Technology in the Company/Organization, and the Impact
of Technology Change on Economic Transformation and the last section is the conclusion and
recommendation based on data obtained in findings.
2. Research Methodology
The data applied in this paper are secondary data obtained from Internet World Stats, Digital
market outlook, international communication union (ITU) and other data this paper are from the
literature study and library research. Documentary method for data collection was applicable
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through the use of a checklist to collect various data due to prestigious of various information
concern variables such as business, internet and ICT. The descriptive analysis was done to
elaborate more concern the impacts of IT on business and performance of the economy.
3. Results and Discussion
The information system is significant in many companies/organisation; the main components
included are hardware, software, brain ware (human resources), and network. These types of
equipment are applicable to improve and raise work productivity, efficiency, effectiveness, and
assist in the achievement of the organisation’s goals. Through the utilisation of organisational
information systems, internet technology has become an arena of exploration of experts and
practitioners several business opportunities created due to this. Since the internet works as a
business facility in the 1990s, the activities of various companies seemed never to stop. Virtual
shops are open 24 hours to exchange information and transactions. The using of information
systems and internet technology by business organisations has given birth to e-business.
There are 3.9 billion internet users in the world, up to over 3.65 billion in the last year(ITU, 2018).
According to internet world stats data shows that Asia has the highest number of internet users
around globally. More than 2 billion of Asia’s people are using the internet. Due to this fact indicate
that most Asian companies using internet services in their business activities, like paying bills,
transfer money, exchange of information and communication. The second region which has most
numbers of internet user in Europe, in 2018, Europe had more than 700 million internet users
compared to Africa, which had more than 450 million internet users. The Middle East and
Oceania/Australia.region has a lower number of internet users.
Table 1. Internet Users in the World (In Millions)
Year
Asia
Europe
North
America
Latin
America/
Caribbean
Africa
Middle
East
2009
764.4
425.8
259.6
186.9
86.2
58.3
2010
825.1
475.1
266.2
204.7
110.9
63.24
2011
1016.8
500.72
273.07
235.82
139.88
77.02
2012
1076.68
518.51
273.79
254.92
167.34
90
2013
1265.11
566.26
300.29
302.01
240.15
103.83
2015
1563.21
604.12
313.86
333.12
313.26
115.82
2016
1792.16
614.98
320.07
384.75
339.28
132.59
2017
1938.08
659.63
320.06
404.27
388.38
146.97
2018
2062.14
704.83
345.66
438.25
455.84
164.04
Source: Internet World Stats
Therefore, being connected to the internet, companies and organisations have the opportunity to
conduct research faster based on the business company does. Form websites that promote their
commodities monitor consumer behaviour and advancing of video conferencing.
3.1. The Utilisation of Information Technology in Business
Many companies enjoying the presence of IT, the global business, the banking sector, education,
and health, these assist people in various activities and certainly ameliorate the standard of living,
while the description in this field is the application of Information Technology incorporate needs
time, and cost efficiency causes each business actor feels the need to use information technology
in the work environment. One of its uses is in business. Information Technology is used for
electronic trading. E-commerce is part of e-business, where the scope of e-business broader, not
just for business but also includes collaborating with business partners, customer service, job
vacancies. Besides, e-business also needs a technology database, e-mail, and other forms of
non-computer technology, such as goods delivery systems and payment instruments for e-
business. E-business was first introduced in 1994 when electronic banners first utilised for
promotional and advertising purposes on a website. Examples of popular e-commerce in the
world are Amazon, Alibaba and Apple
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Table 2. Overview of the E-Commerce Market for Consumer Goods with Values in Us
Dollars
Total number of
people purchasing
consumer goods via
e-commerce (in
billion)
Penetration of
consumer goods e-
commerce (total
population) (in
percentage %)
Value of consumer
goods e-commerce
market (total annual
sales revenue) (in $)
Average annual
revenue per user of
consumer goods e-
commerce (ARPU)
(In $)
2.818
37
1.786 Trillion
634
YEAR ON YEAR CHANGE IN PERCENTAGE (%)
+3.1
37
+14
+11
Source: Digital market outlook 2019
3.2. The Role of Technology in the Company/Organization
Technology is significant in the development of any company and organisation; it plays a
substantial role in boosting the economy of a particular company, the following are fundamental
roles of information technology in a company such as
1. Operational functions make the organisation structure more streamlined, and its
functions are taken over by information technology. Due to the nature of use that spreads
throughout the organisation's functions, units related to information technology
management carry out it”s functions as supporting agencies where information
technology is considered as a secure infrastructure.
2. The Monitoring and control function, imply that the existence of information technology is
an inseparable part of the activity at the managerial level embedded in each manager's
function, so that the organizational structure of the unit associated with it must be able to
have a span of control or peer relationship that allows for effective interaction with
managers in related companies.
3. The Planning and decision function, as an elevates information technology to a more
strategic role because of its existence as an enabler of a company's business plan and
is a knowledge generator for company leaders who are confronted with reality to make
some critical decisions every day. It is not uncommon for companies to ultimately choose
to place the information technology unit as part of the corporate planning and
development function because of the strategic functions mentioned above.
4. The function of Communication, in principle, included in firm infrastructure in the era of
modern organisations where information technology placed as a medium for individual
companies in communicating, collaborating, cooperating, and interacting.
5. Inter organisational function is a role that is unique because it triggered by the spirit of
globalisation that forces companies to collaborate or establish partnerships with other
companies. The concept of a strategic partnership or information technology-based
partnerships, such as the implementation of Supply Chain Management or Enterprise
Resource Planning, makes the company make many significant breakthroughs in
designing the organisational structure of its information technology unit. Indeed, it is not
uncommon to find companies that tend to outsource several business processes related
to information technology management to other parties for the smooth running of their
business. The type and function of the role of information technology directly affect the
design or structure of the company's organisational structure; and the organisational
structure of departments, divisions, or units related to information systems, information
technology, and information management.
Many entrepreneurs nowadays are using Information Technology. The need for time and cost
efficiency influence every business sector to feel the requirement of applying information
technology in the activities. Application of Information and Technology causes changes in work
habits. For example, the application of Enterprise Resources Planning (ERP). ERP is a software
application that includes a management system in a company. Also, the application of ICT in
Banking used in global Information and Communication Technology in transactions through the
internet or known as Internet Banking. Some transactions that can be done through Internet
Banking include money transfers, checking balances, bookkeeping, bill payments, and account
information
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3.3. Effect and Role of Information Technology in Business
In recent days there is an explosion of information; information is vital for operations management
activities. Many information outcomes in some companies being carried out by human being and
partly carried out by machines; as a result, the idea arises to overcome the problem of humans
and machines having to form a joint system with the results obtained from dialogue and interaction
between machines (computers) and human processors. Information technology is one of the
things needed in global business development. Indeed, we can say that Information Technology
(IT) is a critical factor for the development of global business nowadays. Everywhere already
using IT inside process the business activities. That is clear because IT makes it easy for business
people to carry out their business activities. The reason companies implement IT in their
companies is to get closer to consumers because of the ability of IT to bring distance and time so
that the company's products are near to consumers. So this facilitates the business to grow, this
period companies that do not use IT, we can say is waiting the day of the company bankrupt.
Doing business by using information technology creates a broad open market opportunity.
Conducting business through the internet makes it easier to promote products, find consumers,
customers through advertisements. There are factors that influence business development, such
as: increasing business complexity which is accelerated by the influence of the international
economy, global business competition, IT advancement and growth, time utilization, social
considerations and information technology capacity which are caused by information, service
needs, interaction capacity in computer network, data access speed capacity. In the field of
business, both trading goods and computer services, the role of information technology is
essential for routine, periodic, and incidental transaction activities and offers a wealth of
information faster and accurately. The influence and role of IT on the development of online
business include:
1. IT facilitates the dissemination of information can develop online business in various
regions of the world. such as e-commerce used by companies selling books, music,
videos, games and electronic goods
2. The experts in the IT field also assist in expanding and growing online businesses on the
internet. A significant number of experts in the IT field lead to the improvement of many
online business systems. Online businesses are very vulnerable to credit card tapping,
which causes consumers' disinterest in this business. Nevertheless, with the amelioration
of the system, the confidentiality of consumer identity, the product again the trust to buy
needs they want online.
3. Online businesses are popular because of the flexibility. Seller does not need to be in the
shop to wait for customers, but with computers and connectivity, the seller can sell the
products throughout the country and outside. Purchasers do not have to tire out to buy
their needs, because by only buying online, the purchased goods c delivered directly to
his address.
3.4. The Impact of Technology Change on Economic Transformation
Technological advancement not only motivates economic transformation but also somewhat the
result of technological advancement is social transformation. In many studies, it elaborated that
technological changes affect effectiveness and efficiency. So, this is proven because, in many
cases, when technology advance, the higher level of sophistication happens. The advancement
of technology is not as fast as the advancement of information technology (IT). Because of the
rapid advancement of information technology, it is inevitably to spur the development of other
technologies. Technology continues to change with the process of globalisation, shift towards the
transformation of the economy known as the Knowledge-Based Society (KBS). The further stage
of economic development based on natural resources towards science-based development. In
this, human resources are the result of the growth of education is a factor that determines in public
policy to ameliorate the welfare and quality of life of a country. Some literature provides a simple
meaning of KBS is an economic establishment with a knowledge or information base for the
production, distribution, application and consumption processes. In some unique sense, KBS is
the outcome of a technological revolution in the previous era. Three aspects of change are
essential in the process of implementing KBS. First, the factors of production that significantly
affect economic growth change in principle. Innovation and accumulation of knowledge are the
main factors of production. Second, the production equipment, which also affects economic
growth, changes in principle. Third, the primary sectors that drive economic growth experience
change qualitatively. There are four pillars to support KBS, such as (1) Education System, which
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guarantees that the public can utilize knowledge widely; (2) Innovation system, which is enable
to bring researchers and business people to apply commercially the results of research and
technology; (3) Infrastructure information Society, guaranteeing that the community can
effectively access information and communication and (4) Institutional and Economic Framework,
guaranteed macroeconomic environment stability, competition, labour employment and social
security (Purbo, 2004, 2008).
Economically, the advancement of information technology influences the increase of productivity,
and It facilitates to accomplish many works efficiently due to effective utilisation of resources, In
the 1980s developing countries aggressively promoting the vitality of their natural resources by
utilising information technology. These activities were successful and then motivated to increase
the investment in developing countries which subsequently encouraged local capacity building,
assist determination of government regulations, policies, and ameliorated the effectiveness of
technology implementation, because the countries interested in investing due to promotion also
bring technology from their home countries to developing countries(Zen and Qiang, 2007.2). To
accelerate technological change that greatly facilitates development in China, since the 1980s
the Chinese government tried to stimulate and encourage the influence of technological
advancement by providing various facilities and aids for domestic companies to conduct
Research and Development in various fields (Zen and Qiang, 2007.4). Outcomes of technological
advancement influence the execution of commercial shifting by attaining efficiency and
effectiveness in economic activities.
The technological advancement condition also eventually created a new mindset for the society,
particularly in urban areas, which lead to a shift in values and culture as a form of social
transformation in the life of the community. Improving the quality of life humans to carry out
various activities required by optimising the resources they have. Information Technology, whose
development is fast indirectly requires humans to use it in its activities.
4. Conclusion
The influence and role of information technology have indirectly made the business flourish.
Because with information technology, a company can increase the need for time and cost-
efficiency. The more advanced technology also has a negative and positive impact on business,
which makes it easier to increase production and income but on the other hand much work that
was initially done by humans can be replaced by technology, this is a threat to all workers who
are experts in this context because their position is taken with technological . in general, the role
of information technology in the global business has many tremendous positive impacts than
negative impacts. The influence and role of IT on the development of business and economic
performance are as follows
Information technology makes it easy to dissemination information and the advance of online
business in different areas of the world without knowing the period, limitation and boundaries of
the countries. For instance, an e-commerce that applied by companies to sell a variety of
commodities. Currently, many people are experts in the IT field; it assists in advancing and
growing an online business through the internet. Therefore, due to many experts in the IT field,
online businesses can experience advancement and improvement in terms of the system. System
improvement is made to overcome the vulnerability of e-commerce against credit card tapping
that can decrease consumers of a business.
Nevertheless, through the awareness of consumer confidentiality, systems can be maintained,
and consumers can trust again to buy products via the internet. Online business is the most
popular platform because of its simplicity. Also, online businesses do not need always to be there
to supervise and wait for customers, but with a system that has been made in such a way as to
run it automatically. Internet connections that are increasingly easy and affordable due to IT
advancements also lead to prosperity in online businesses. Therefore the entry of the information
technology period in the global business brings a positive impact on the business progress, in the
period of information technology, a business can run without distance and time. Besides doing
business today can run without the need for substantial costs, for example, is conducting business
by using the internet. Also through a business such as export and import of goods and services,
payment of taxes, exchange of money, creation of employment and other merits facilitate the
outstanding performance of the economy, this enables the growth of national income. Therefore,
the author recommends the companies to improve their services and to be innovative in using
information technology in their business this will enable the company to earn a supernormal profit,
grow and advance.
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5. Acknowledgements
The author would like to thank God, who made everything possible for the accomplishment of this
article, also author thank an editor for some correction that he made this article.
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... Secara eksternal, teknologi dapat meningkatkan komunikasi eksternal atau komunikasi antara organisasi dengan pelanggan, pemasok, pemerintah, dan pemangku kepentingan lainnya dengan menggunakan berbagai pilihan tekonologi seperti email marketing, digital marketing, social media marketing, affiliate marketing, content marketing, dan lain sebagainya. Teknologi telah membuat komunikasi menjadi lebih mudah, lebih cepat, dan lebih luas jangkauan penyebarannya (Puspitawati, Nurhasanah, Khaerunnisa, 2021;Mgunda, 2019;Valerio, William, Noémier, 2019;Müller, Pommeranz, Weisser, Voigt, 2018;Márquez, Quintero, Sáenz, Almazán, 2018;Subramanian, 2018;Schwertner, 2017;Wardhana, 2015;Lindh, Dahlin, Hadjikhani, 2008). ...
... Pengambilan keputusan merupakan bagian paling penting dari organisasi apa pun. Dengan dipergunakannya teknologi seperti Big Data, AI, dan IoT, organisasi dapat membuat keputusan yang akurat berdasarkan pengumpulan data pasar dan data pelanggan yang penting guna membantu organisasi dalam melihat keunggulan maupun kelemahannya serta menyusun strategi yang sesuai (Puspitawati, Nurhasanah, Khaerunnisa, 2021;Mgunda, 2019;Márquez, Quintero, Sáenz, Almazán, 2018;Pujianto, Mulyati, Novaria, 2018;Subramanian, 2018;Schwertner, 2017;Kiel, Müller, Arnold, Voigt, 2017;Xie, Wu, Xiao, Hu, 2016;Wardhana, 2015). 3. Mendorong pemasaran dan pertumbuhan bisnis. ...
... Setelah menyusun strategi, langkah selanjutnya adalah menyusun pendekatan yang efisien untuk mendapatkan hasil yang menguntungkan dengan memanfaatkan teknologi. Organisasi menggunakan teknologi modern untuk masuk ke pasar seperti menggunakan digital promotion mix atau epromotion mix guna meningkatkan lalu lintas (traffic) (Rahman dan Nurdian, 2021;Puspitawati, Nurhasanah, Khaerunnisa, 2021;Magfiroh dan Rizqi, 2020;Premana, Fitralisma, Yulianto, Zaman, Wiryo, 2020;Mgunda, 2019;Dewi, 2018;Subramanian, 2018;Márquez, Quintero, Sáenz, Almazán, 2018;Schwertner, 2017;Lubis dan Junaidi, 2016;Wardhana, 2015). 4. Meningkatkan hubungan pelanggan. ...
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Teknologi dalam organisasi merujuk pada keseluruhan proses, alat, dan sistem yang digunakan untuk mengubah sumber daya menjadi produk atau jasa. Secara lebih rinci, teknologi ini meliputi: 1. Proses Transformasi. Teknologi mencakup metode dan teknik yang digunakan untuk mengolah input (sumber daya) menjadi output (produk atau layanan) yang diinginkan. 2. Mesin dan Alat. Teknologi juga mencakup mesin-mesin dan alat-alat yang digunakan dalam operasional sehari-hari organisasi. 3. Pengetahuan dan Keterampilan. Penggunaan teknologi membutuhkan pengetahuan dan keterampilan khusus yang dimiliki oleh anggota organisasi untuk menjalankan dan memanfaatkan alat serta sistem yang ada.
... Teknologi dan informasi menjadi hal sangat berpengaruh dalam kehidupan sehari-hari, dan berdampak bagi dunia bisnis (Berisha-Shaqiri, 2015;Mgunda, 2019). Pengguna internet tahun 2018 mencapai 4,2 Miliar pengguna (Jardine, E. 2020), pada tahun seturusnya mengalami peningkatan secara signifikan hingga pada tahun 2022 mencapai 5,1 Miliar. ...
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... However, the study does not consider specific aspects of digital transformation in specific industries or the socio-cultural implications of digital change for society. Mgunda (2019) highlights the impact of information technology on daily activities and global businesses. She emphasizes the need for organizations to understand the effects of digital technologies like artificial intelligence, blockchain, and the Internet of Things on their operations. ...
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Organizations are utilizing digital technologies to modernize their innovations in today’s competitive and rapidly changing market environment. This study’s goal is to explore the influence of open innovation on firms’ digital technology integration, aiming to enhance their innovation skills and produce competitive, adaptable digital solutions. The methods used include analysis, synthesis, and generalization. Organizations can enhance open innovation by acquiring knowledge, capabilities, ideas, technologies, and information for new products and services, with the relationship between open innovation and digital innovation accelerating their capabilities. The study emphasizes the challenges organizations face in modern IT, emphasizing open innovation, access to external knowledge, and the need for improved internal production efficiency and competitiveness. The practical value of this study is manifested in the identification of strategies for optimizing open innovation for their transformation into digital solutions.
... In a modern business context that focuses on changing consumers and their preferences, information technology plays an important role in helping companies adapt and meet changing customer expectations. Recent studies also confirm that information technology is a key factor in business success today (Mgunda, 2019;Subramanian, 2018). ...
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Information technology is now a key pillar in an organization's business strategy to achieve optimal profits. Consumer changes and preferences play a central role in the development and adjustment of information technology to meet fluctuating market demands. The success of achieving the company's vision and mission is highly dependent on human resources who excel in the IT field. This research aims to review the importance of IT and HR in achieving the ideal vision and mission that has been planned. This research focuses on descriptive qualitative research that explores previous studies on IT, HR, consumer change, preferences, and business performance. Relevant data surrounding these variables were collected, summarized, and analyzed. The results confirmed that IT and HR play a crucial role in improving business performance. These factors must be combined holistically to achieve competitive advantage and sustainable long-term business performance, especially in the face of dynamic consumer changes and preferences. Keywords: IT, HR, business performance, consumer preferences
... Business Information Systems (BIS) are technological infrastructures used by companies or organizations to manage, store, process, and communicate information related to their business activities (Mgunda, 2019). BIS not only encompasses software and hardware used to automate business processes but also includes procedures, policies, and people involved in managing this information. ...
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With the advancement of information technology, business information systems have become integral elements in business operations across various sectors. However, the use of this technology also brings new challenges in managing intellectual property rights, including the protection of copyrights, patents, trademarks, and others. This research aims to analyze the legal challenges in managing intellectual property rights in business information systems through the perspective of Law No. 11 of 2008 concerning Electronic Information and Transactions in Indonesia. The method used in this research is a qualitative literature review, drawing data from Google Scholar for the period from 2009 to 2024. The qualitative approach in the literature review allows researchers to understand the complex and diverse phenomena related to the research topic. The results of the study indicate that the management of intellectual property rights (IPR) in business information systems in Indonesia faces complex legal challenges. Although Law Number 11 of 2008 concerning Electronic Information and Transactions (ITE Law) provides a framework, its implementation often leads to uncertainty and challenges in IPR protection. One of the main challenges is the clarity and legal certainty in the digital environment, as well as consistent law enforcement against IPR violations. Thus, there is a need to enhance cooperation between the government, law enforcement agencies, and the private sector to improve law enforcement related to IPR in business information systems.
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Online shopping transactions using the TikTok Shop media often experience problems and poor service quality from the business actors. It is because they commonly commit fraud in online shopping with the TikTok Shop media. It is due to the absence of a direct meeting between the seller and the buyer, the size and color of the goods purchased do not match, the dishonesty of the business actors about the goods being sold, and the consumer's lack of understanding of the details of the product ordered. For this reason, consumer rights must be protected by the provisions of laws and regulations. This study analyses consumer protection in online shopping transactions through the TikTok Shop media based on Law Number 8 of 1999 and Law Number 1 of 2024. This study used empirical jurisprudence with a sociological normative approach. The type of data used is primary data. The results of the study indicate that there are aspects of legal protection for online consumers, as shown by Consumer Protection Law Number 8 of 1999 and Electronic Information and Transactions Law (ITE) Number 11 of 2008. The law provides fundamental rights for consumers, such as the right to security, accurate information, and compensation for non-conforming products. The results indicate the importance of implementing the principles of transparency and responsibility among online business actors to prevent consumer losses. Adequate consumer protection can increase consumer trust in e-commerce and encourage business actors to be more responsible in running their businesses.
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يتمثل الغرض الرئيسي لاجراء البحث في معرفة دور تكنولوجيا المعلومات في تعزيز جودة الخدمة المصرفية
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40 ‫بمتغ‬ ‫يتعلق‬ ‫سؤاال‬) ‫يرات‬ (‫على‬ ‫عت‬ ّ ‫وز‬ ‫وقد‬ ، ‫البحث‬ 266 ‫التجارية‬ ‫المصارف‬ ‫من‬ ‫مجموعة‬ ‫وزبائن‬ ‫موظفين‬ ‫من‬ ‫مستجيب‬) ‫الع‬ ‫مصر‬ ، ‫التجاري‬ ‫الخليج‬ ‫مصرف‬ ، ‫األهلي‬ ‫بابل‬ ‫(مصرف‬ ‫وهي‬ ‫االشرف‬ ‫النجف‬ ‫محافظة‬ ‫في‬ ‫املة‬ ‫ف‬ ‫المعلوم‬ ‫تكنولوجيا‬ ‫تأثير‬ ‫مدى‬ ‫بمعرفة‬ ‫تتعلق‬ ‫البحث‬ ‫مشكلة‬ ‫وكانت‬ ،) ‫لالستثمار‬ ‫المنصور‬ ‫في‬ ‫ات‬ ‫البحث‬ ‫إشكالية‬ ‫عن‬ ‫اإلجابة‬ ‫الى‬ ‫باإلضافة‬ ‫البحث‬ ‫هدف‬ ‫وكان‬ ‫المصرفية‬ ‫الخدمة‬ ‫جودة‬ ‫تعزيز‬ ‫أيضا‬ ‫م‬ ‫طرح‬ ‫ال‬ ‫الخدمات‬ ‫وجودة‬ ‫المصرفية،‬ ‫األنشطة‬ ‫في‬ ‫المعلومات‬ ‫تكنولوجيا‬ ‫تطبيق‬ ‫وأهمية‬ ‫فهوم‬ ‫مصرفية‬ ‫ا‬ ً ‫وفق‬ ‫الخطي‬ ‫االنحدار‬ ‫معامالت‬ ‫و‬ ، ‫بيرسون‬ ‫ارتباط‬ ‫معامل‬ ‫من‬ ‫بكل‬ ‫االستعانة‬ ‫تم‬ ‫كما‬ ، ‫ل‬ ‫برنامج‬ ‫االجتماعية‬ ‫للعلوم‬ ‫اإلحصائية‬ ‫الحزمة‬ (SPSS v.25) ‫عالقة‬ ‫وجود‬ ‫الى‬ ‫الدراسة‬ ‫توصلت‬ ‫وقد‬ ‫ا‬ ‫رتباط‬ ‫المصرف‬ ‫الخدمة‬ ‫جودة‬ ‫وبين‬ ‫مجتمعة‬ ‫وابعادها‬ ‫المعلومات‬ ‫تكنولوجيا‬ ‫بين‬ ‫جدا‬ ‫قوية‬ ‫إيجابية‬ ‫كذلك‬ ، ‫ية‬ ‫ا‬ ‫الخدمة‬ ‫جودة‬ ‫في‬ ‫وابعادها‬ ‫المعلومات‬ ‫لتكنولوجيا‬ ‫معنوية‬ ‫داللة‬ ‫ذو‬ ‫إيجابي‬ ‫تأثير‬ ‫وجود‬ ‫كما‬ ‫لمصرفية‬ ‫التجارية‬ ‫المصارف‬ ‫إدارات‬ ‫قبل‬ ‫من‬ ‫كامل‬ ‫دعم‬ ‫هناك‬ ‫يكون‬ ‫أن‬ ‫بضرورة‬ ‫الباحثون‬ ‫أوصى‬ ‫النج‬ ‫في‬ ‫ف‬. ‫المصرفية‬ ‫الخدمة‬ ‫جودة‬ ‫لتعزيز‬ ‫أساسي‬ ‫كمدخل‬ ‫المعلومات‬ ‫تكنولوجيا‬ ‫الستخدام‬ ‫االشرف‬ ‫الكلمات‬ ‫ا‬ ‫ل‬ ‫م‬ ‫ف‬ ‫ت‬ ‫ا‬ ‫ح‬ ‫ي‬ ‫ة‬ : ‫التجاري‬ ‫المصارف‬ ، ‫المصرفية‬ ‫الخدمة‬ ‫جودة‬ ، ‫المعلومات‬ ‫تكنولوجيا‬ ‫ة‬ .
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يتمثل الغرض الرئيس لإجراء البحث في معرفة دور تكنولوجيا المعلومات في تعزيز جودة الخدمة المصرفية، ولتحقيق هذا الغرض تم استخدام استبيان يحتوي على (40) سؤالا يتعلق بمتغيرات البحث ، وقد وزّعت على (266) مستجيب من موظفين وزبائن مجموعة من المصارف التجارية العاملة في محافظة النجف الاشرف وهي (مصرف بابل الأهلي ، مصرف الخليج التجاري ، مصرف المنصور للاستثمار ) ، وكانت مشكلة البحث تتعلق بمعرفة مدى تأثير تكنولوجيا المعلومات في تعزيز جودة الخدمة المصرفية وكان هدف البحث بالإضافة الى الإجابة عن إشكالية البحث أيضا طرح مفهوم وأهمية تطبيق تكنولوجيا المعلومات في الأنشطة المصرفية، وجودة الخدمات المصرفية ، كما تم الاستعانة بكل من معامل ارتباط بيرسون ، و معاملات الانحدار الخطي وفقًا لبرنامج الحزمة الإحصائية للعلوم الاجتماعية (SPSS v.25) وقد توصلت الدراسة الى وجود علاقة ارتباط إيجابية قوية جدا بين تكنولوجيا المعلومات وابعادها مجتمعة وبين جودة الخدمة المصرفية ، كذلك وجود تأثير إيجابي ذو دلالة معنوية لتكنولوجيا المعلومات وابعادها في جودة الخدمة المصرفية كما أوصى الباحثون بضرورة أن يكون هناك دعم كامل من قبل إدارات المصارف التجارية في النجف الاشرف لاستخدام تكنولوجيا المعلومات كمدخل أساسي لتعزيز جودة الخدمة المصرفية .
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The purpose of this paper is to represent historical link between technological progress and economic development. Furthermore, the reasons are aimed at presenting the stages of development of technological progress and its contribution to economic development, particularly in changing economic and social life. I want to emphasize that many researchers of scientific thought, technological progress has been learned as one of the root causes of cyclical movement of capitalist economy. Others seek to quantify the share of technological progress in the rate of GDP growth. Also, in this paper are going to be analyzed the importance of technological progress in society and will be given a chronological framework for the role and importance of the scientific and technological revolutions.
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In the past few decades there has been a revolution in computing and communications, and all indications are that technological progress and use of information technology will continue. The revolution in information and communication technology has changed not only our lives but also the way how people do business. Using information technology, companies possess the potential to reach more customers, introduce new products and services quickly, and collaborate with suppliers and business partners from all over the world. Transformation from industrial society to information society and industrial economy to knowledge economy is a result of the impact of ICT and Internet use. Main objective of this paper is to describe information technology; opportunities of Internet usage for businesses to achieve strategic advantages compared to their competition and how they can facilitate the movement of goods and services from producers to customers.
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Technology is considered as a key factor for economic development. Many authors in the field of technology management mention this impact on economic development as a motivator for their technology oriented study. What is this relationship between technology and economic development? In most studies, the relationship between technology and economy remains implicit. The purpose of this paper is to explore the relationship between technology and the economy. Four literature streams are discussed which each provide insight into this relationship. The paper contributes to the management of technology field by summarizing different views that relate to technology and economy.
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Purpose – The purpose of this paper is to identify the impact of a new global positioning technology on firms’ business models. Design/methodology/approach – The empirical setting was a consortium of Danish organizations, established to develop a positioning-based technology platform as a basis for innovative commercial products and/or services. Three of the consortium companies were selected for case-study research. Findings – The main findings were that companies will use the new technology to extend their existing business models, and that the technology platform potentially represents the creation of a new business model for the partner companies in the consortium. Practical implications – This paper is important in that it will help companies understand technological impact from a business model perspective, thereby enabling them to manage innovation better by distinguishing between the creation, extension, revision or termination of business models. Originality/value – The main contribution of this study is its use of the business model perspective to analyse the impact of an emergent technology on companies’ innovation activities. This perspective makes it easier to develop strategic initiatives while managing innovation, and underlines the importance of purposive human action in adopting a proactive behaviour, reducing deterministic views on technological impact.
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Using information systems effectively requires an understanding of the organisation, management, and the technology shaping the systems. All information systems can be described as organisational and management solutions to challenges posed by the environment. The advances in information systems have affect on our day-to day lives. As the technology is evolving immensely so are the opportunities in a healthy way to prepare the organisation in the competitive advantage environment In order to manage the IS/IT based systems, it is important to have an appropriate strategy that defines the systems and provide means to manage them. Strategic Information Systems Alignment (SISA) is an effective way of developing and maintaining the IS/IT systems that support the business operations. Alignment of the IS/IT plans and the business plans is essential for improved business performance, this research looks at the key features of SISA in the changing business circumstances in Saudi Arabia.
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This article describes a business model that is growing in prevalence and that carries novel implications: the development of general-purpose technologies for licensing to downstream specialists. In their archetypical format, these general-purpose technologies are constructed in ways that can be employed by different potential downstream licensees, and can accommodate their different strategies. This strengthens the hand of innovative firms in the rising markets for knowledge-based assets, and can be expected to improve their ability to capture a greater share of the value their technology creates. The innovation of business model designed for licensing such technologies will have unpredictable, but inevitable, consequences for industry structure and organizational capabilities, as well as for the content and context for the upstream science.
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In recent years, the relationship between information technology (IT) and productivity has become a source of debate. In the 1980s and early 1990s, empirical research on IT productivity generally did not identify significant productivity improvements. More recently, as new data are identified and more sophisticated methodologies are applied, several researchers have found evidence that IT is associated not only with improvement in productivity, but also in intermediate measures, consumer surplus, and economic growth. Nonetheless, new questions emerge as old puzzles fade. This survey reviews the literature, identifies remaining questions, and concludes with recommendations for applications of traditional methodologies to new data sources, as well as alternative, broader metrics of welfare to assess and enhance the benefits of IT.
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Purpose To innovate the company business model, executives must first understand what it is, and then examine what paths exist for them to improve on it. This article aims to examine this issue. Design/methodology/approach The article provides a practical definition of business models and offers a Business Model Framework (BMF) that illuminates the opportunities for business model innovation. Findings The article finds that BMF sequences possible business models from very basic (and not very valuable) models to far more advanced (and very valuable) models. Using the BMF, companies can assess where their current business model stands in relation to its potential and then define appropriate next steps for the further advancement of it. Practical implications An organization must give a senior manager the resources and authority to define and launch business‐model experiments. Originality/value The article provides a cogent model for assessing the potential for new business model innovation, a framework for carrying it out and a management plan for decision making.
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