Introduction
The advancement in technology has affected many areas of society. Business management has also experienced a significant change as companies, small and medium-sized enterprises (SMEs), and other business enterprises use technology. Technological development is enormous as innovation is being identified daily. This advancement brings numerous business benefits, making some huge companies and organizations set aside the research and development department. The focus of this department involves advancement in technology and other important company development. Multiple technological advancements have taken place in business management, resulting in positive outcomes.
Technological Changes
Various technological changes have occurred in the business management area, including artificial intelligence, information sharing, buyer enablement, data analytics, cloud computing, and automation of business activities. Other changes are working remotely, mobile technology, protection of information, provision of customer satisfaction, and management of resources (Wilburn & Wilburn, 2018). Technological changes with significant impact involve cloud computing, automation of business activities, working remotely, mobile technology, protection of information, provision of customer satisfaction, and management of resources.
First, cloud computing is a development that has been extended to business areas because of its efficiency. Most organization are shifting their local activities to cloud computing due to its benefits. Cloud computing requires less from the business as it only needs the business organization to have a good internet connection. Despite its size, this method can be applied to any organization (Mahmoud et al., 2019). This information technology architecture is cheap and easy to manage the organization’s business activities. Its billing is based on how the organization uses it, making it easy to migrate from upfront capital expenditure to subscriptions such as monthly and yearly operations, hence providing a cash flow advantage. Furthermore, it is flexible in its usage as organizations do not have to purchase the necessary equipment to accomplish specific tasks but rather rent applications and IT equipment such as software and hardware assets. Cloud computing enables the organization’s activities to be conducted in any geographical area so long as the user has authorized access to the system (Kale, 2019). Business software improvements are easily achieved through cloud computing because of the real-time connectivity utilized; hence, error detection and software development are done quickly.
Second, automation of business activities has increased hugely in recent times because of its numerous benefits. Through development in information technology, various business activities are getting automated. This helps lower the cost of running these activities and saves time in accomplishing other tasks. Various software automates the monitoring, billing, collection of clients’ data, and tracking metrics. Simple processes such as creating automated responses to clients’ questions and emails have enhanced the attainment of various business goals. Automation is increasingly being used in areas that require frequent updates and accuracy. This enhances the operational efficiency and consistency of the activity. Common automation areas involve sales, education and training, product development, finance, procurement, logistics and delivery, human resource and onboarding, and inventory tracking. The process uses reminders and notifications, which speed up the activity.
Third, working remotely has been enhanced by developing various computer applications. This is promoted through remote access to organization resources. The workers are provided access to resources that enable them to accomplish tasks, in the same manner, they would have completed while in their workstations (Fischer, 2018). For example, during the COVID-19 pandemic, many organizations could not accommodate their employees because of the strict regulations and the effects of the pandemic (Priyono et al., 2020). Most companies utilized remote work, which made most of them run their businesses despite the adverse effect.
Fourth, mobile technology stimulates business development and growth through its extensive usage. Mobile technology in the business includes mobile devices, laptops, mobile applications, and GPS. Currently, most people own a smartphone, making it easy to reach clients via phone calls, messages, emails, and social media. Companies utilize this technology to promote their business activities and brand. Mobile devices ensure that employees can work from anywhere and provide feedback on work progress (Sadeghi et al., 2021). Laptops have various features useful for employees when managing various tasks remotely. Additionally, mobile marketing has expanded significantly, making it easy for companies to advertise their products at a cheaper cost.
Fifth, information protection is enhanced through computer databases and other applications. This information is usually precious to the organization, and losing such data may result in enormous losses. Technology plays a crucial role in handling such data, especially with remote storage areas and servers such as cloud computing (Flyverbom et al., 2017). This reduces the chances of losing information through physical theft and hacking as they are stored in secure zones that do not provide access to unauthorized individuals. Sensitive information such as client’s data collected through surveys, is also protected during analysis, lowering the chances of information leakage.
Sixth, customer satisfaction makes an essential part of the business as it is through the clients that the business can grow. Clients’ satisfaction requires a strong support system that provides the client with all the requirements. However, humans are erroneous, and there are certain instances when customer care services provided may not meet the client’s requirements. With technological advancement, this issue is resolved by tools that enable the customer care section to handle such issues in real-time (Rovira et al., 2021). For example, various social media sites such as Twitter, Facebook, and Instagram have helped resolve such problems. Moreover, various help desk software has been developed, which enhances the performance when handling issues. Tickets are used to handle multiple clients, reducing the chances of miscommunication and misinformation.
Lastly, the management of organizational resources has been enhanced by developing various software such as Enterprise Resource Planning (ERP). This helps manage human resources and financial resources within the organization. Various open-source and proprietary software provides multiple solutions for managing organizational resources (AlMuhayfith & Shaiti, 2020). These programs enable organizations to meet their needs efficiently and quickly, promoting profit generation. Most of these tools are affordable, while few of them are relatively expensive.
Positive Impact of Technological Development on Business Management
Technological development in business management has resulted in various positive impacts such as productivity, acceleration, global communication, product development, and finance management. First, productivity has been enhanced through improvement in product development, business processes, and employees skills. Certain costs, such as advertisement, have been minimized as email marketing and social marketing requirements are cheap (Sharma & Goyal, 2019). Online customer care services and help desk have promoted productivity in many areas of the businesses without foregoing clients. This software ensures that the clients are provided with the right services, which helps promote the relationship between the organization and the customer.
Second, business activities have been accelerated through the advancement in technology. Previously, it used to take a significant amount of time for businesses to reach clients, primarily through the mail. Various communication tools that operate in real-time have been developed, making it easy to access a wider market (Kale, 2019). Transfer of funds and distribution of products have become efficient. Also, within the organization, employees can interact remotely and share organization resources at home, increasing the business activity rate.
Third, cloud computing has enhanced global communication, enabling business organizations to conduct business activities remotely. This has removed the barrier of traveling to conduct business activities as businesses only require an online link to communicate with the client at a secure network. Automation has made the organization manage its resources remotely and securely (Kale, 2019). This has promoted the enormous growth of businesses as most activities are done using computer programs that are accurate and efficient.
Fourth, product development is promoted through technological innovation that enables the business organization to adjust to market requirements. Client’s feedback and response through customer care services enable business organizations to identify weaknesses and make necessary changes to products and services (Rovira et al., 2021). Furthermore, process control is done using computer software, resulting in quality products that have passed through error detection systems. Combining this system and customer satisfaction response enhances product development that meets the required needs.
Lastly, the finance department is a critical business management area requiring significant care. It handles tasks that may lead to the development and growth of the business or failure. Through automation processes, the risks associated with this department have been minimized (Wilburn & Wilburn, 2018). Activities such as invoicing are done using programs, reducing the chances of making errors. Furthermore, programs that provide notifications and reminders during their operation manage financial transactions, promoting accuracy.
Conclusion
In conclusion, the advancement in technology has brought significant changes in business management. Various technological changes have a significant impact, including cloud computing, automation of business activities, working remotely, mobile technology, protection of information, provision of customer satisfaction, and management of resources. First, cloud computing has enabled the organization to share its resources among employees remotely and reduce the costs of purchasing resources. Second, automation of activities reduces the risk and increases efficiency. Third, working remotely has promoted organizational development as employees operate in their chosen environment. Fourth, mobile technology has enhanced information sharing and marketing. Fifth, technology has promoted the protection of organizational data through remote databases. Sixth, customer satisfaction has been enhanced through programs tailored to customer care services. Lastly, various human and financial resources are easily managed by programs such as ERP. These changes result in positive outcomes, including productivity, acceleration, global communication, product development, and finance management.
References
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