Use of Information technology in business

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Every business today is talking of technology and for more than a decade, investment in technology has centered on computerized internal processes with an aspire of reducing costs and improving operating effectiveness to sustain a business model aimed at delivering more of less in principally stable markets. The situation is no longer the same since today many aspects of those markets have changed, driven by a tedious mix of globalization, where competition has increased, shift towards the media as the new source of information and on the other hand stronger demands for localization and customization (Wiley, 2002). This has resulted in a new model which emphasizes on "do less of more" and speed to change in order to compete against these forces.
It has been noted that the ability to save on costs encounters the law of diminishing returns the enterprise now focus for using technology is shifting towards external goals that can lift revenues, market share as well as margins. In addition to that, the evolving nature of global business and the network of relationships companies have with external vendors are being reconfigured to derive competitive advantage and increase profitability.
Optimizing the relationships with suppliers, customers and partners is proving to add more value to the organizations than spotlighting internally on the costs of operating internal processes. By so doing, the law of diminishing returns is making it increasingly difficult to achieve a real breakthrough, On the other hand, adding value through entering new markets and adding new services increases revenue as well as profit, which afterwards can lead to increase in shareholder value.
According to Kenney (1995), the modern business requirements identify new and different technologies and capabilities, which are conveyed in new ways and at different time scales. It has been noted that today`s market focus is now on people, collaboration, and communications and not like in the past where people relied on computer and data. In today`s market, the relationship between the external business solutions as well the internal information technology remains the ongoing balance of any business enterprise.
What new technologies can be used by the corporations to compete better in this new economy?
As globalizations affect the business trends, there has been an increased interest and discussion about innovation in technology over the past few years, but coming up with a solution on this has become a challenge to determine. Though we might say that there is no solutions for this, today`s range of pressure has forced out vital issues and problems that are a must to be dealt with for the survival as well prosperity.
Business on its own has been subjected to a number of severe shocks while on the other hand time has increasingly become the new issues in the way business can adapt to chan...