Information Technology is an enabler of business functions. The benefits of a well implemented IT system can include efficiency, capacity, speed, scalability or accuracy. But businesses often grapple to find a balance between the requirement to innovate and find efficiencies that benefit the business versus changes that affect the technical system itself. Below is a cheat sheet that provides some guidance on business benefits;
|More sales||In what way does the expenditure improve sales?||Predictable Outcomes
Relevancy for Others
|Improved safety||What safety outcomes does this provide/improve?||Training
Lost Time Injury Frequency Rate (LTIFR)
Medically Treated Injury Frequency Rate
Total Recordable Injury Frequency Rate
Easier safety observation records
Easier near miss records
|Better security||What safety outcomes does this provide/improve?||Compliance
|Improved collaboration||How will business collaboration improve to find efficiencies or improved quality?||Shared goals
|Better performance||What aspects of performance improvement translate to the business?||More granular measures
|More capacity||What aspects of capacity improvement translate to the business?||Store more data
|Higher quality||What aspects of the quality improvement translate to the business?||Data integrity/fewer mistakes
Table 1. IT drivers and business outcome measures
Production (increase) or reduction (in operating cost). The two elemental benefits that business can realize from the adoption of new technology. Whether it is increased sales, better customer service, improved customer relationships, faster service, more efficient service, diversity, reduced costs or higher quality products there is little debate that IT systems can be used to improve traditional business functions in order to provide a competitive advantage.
What are the top strategies for opening new markets in business? What are the pros and cons of adopting new technologies and how does a business select the strategy that best suits its needs?
The economy, events, trends and circumstance play a part in business survival and prosperity. Agility is a measure of the business' ability to adapt and even embrace change. Technology plays a decisive role in modern business transformation efforts. Examples of technology that enables agile responses: Cloud services, remote access, as-a-service products and mobility products.
The massive volumes of information available today both on the Internet and through corporate networks can be used as reference material to solidify or justify decisions. The benefits of ample and accurate information have been known and well understood for hundreds of years. In fact, it was the need to accelerate technological progress that gave rise to the Internet today. The commercial value of information has been proven over and over by companies such as Google and Facebook and is reflected in the patent legal system. But we reveal the most influential technology in history, and the results may surprise you.
No doubt that occasionally the IT systems themselves will need upgrading, maintenance or replacement. Sometimes the benefit to the business may be something that is not tangible such as reduced risk to other systems. Backup systems are a good example of this kind of benefit.
Technology supporting technology is one of the most difficult areas to quantify in terms of value because areas such as security, business continuity and disaster recovery only come to the forefront in extreme situations.
Social media has been adopted by most world known brands in order to engage customers, to gain feedback and/or to build a sense of community.
Technology to aid customer engagement exists through CRM (Client relationship management) systems, social media and website feedback to name a few. User experience is one common measure of the digital engagement quality.
IT to Reduce Risk
The reduction of risk from the adoption of IT systems is almost a paradox. Yes, using traditional paper systems carries its own risks but while technology mitigates traditional risks it also introduces a brand new set. For this reason, the business of mitigating risk is a big market in technology. As a rule of thumb, the more complex the system, the more parts that can fail and the higher the need for risk mitigating technologies.
Examples of risk reducing technolgies include backup systems, stacks, clusters or farms.
But hardware failure is just one component of a technology risk matrix.