TECHNOLOGICAL ENVIRONMENT – HOW

IT IMPACTS BUSINESS?

https://inurture.co.in/blogs/technological-environment-how-it-impacts-business/

Technology

It can come as an important tool within the company, improving the operations and
functions or it can be the very reason why a company exists. Such is the scale of impact of
technology on business. Heads of companies are on constant lookout for updates and
developments in the technological environment. This helps them not just to improve the
efficiency of the way the organization works but to be aware of the transformational phase
and come up with groundbreaking strategies to drive growth. Management students during
their academic course are taught how technological environment can influence business
environment. This write-up tries to provide few instances and helps readers realize how
technology constantly transforms businesses.

New Technology – New Products – New Business

During the 1990s, the world of photography started to see a shift from film photography to
digital photography. Three big names in the field of film photography then were Fujifilm,
Konica and Kodak. The change in technology affected these businesses greatly. Experts
state that Fujifilm was more successful in adapting to the new digital technology and today it
manufactures digital cameras and lenses. Though Kodak manufactured digital cameras
during the 90s and 2000s it did not see great success and now it has joined hands with
Flexitronics to stay in the domain. Konica on the other-hand got merged to Minolta in 2003.
Today, the company is into manufacturing printers and copiers. This is a wonderful example
of how technology can impact the very existence of the business.

Technology Transforming Operations

The introduction of new technology has constantly changed the way a company functions.
The developments in IT has taken over almost all departments of an organization. Today,
information is mostly stored in servers as opposed to decades-old method of storing in hard
copies (files and registers). Thanks to the advancement in the internet, companies use
digital marketing strategies to market and sell their products today. Even the research and
design department of organization are subject to constant developments in technology. For
instance, companies like Boeing and Siemens are investing hugely on adapting 3D printing
technique for designing their products. The companies believe this can quicken the design
process, reduce cost and improve effectiveness of designing.
Technology Helps Develop Business Strategies

The transformation in the way how data is collected, recorded, retrieved and utilized has
helped companies come up with groundbreaking business strategies. Today, companies
monitor customer taste and trends using data that is available. The development in
information technology has made it possible for businesses to study customer behavior and
develop strategies accordingly. Technology has not only made it possible to collect and
store data but organizations are able to analyze the available data to come up with
meaningful conclusions and make informed decisions. With more and more customer focus,
data analytics will play a key role in growth strategies of companies.

Experts and researchers who have worked extensively trying to know the nature and extent
of impact technology can have over business state that technology has disrupted business
models and changed the fundamental principles. Gone are those days where companies
could stick to decades old model and they have their share of customers in the market.
Today, companies are working towards aligning themselves with the new-age technology.
While some organizations have been successful in leveraging on technological
development to grow in the market, to some businesses it has been challenging to adapt to
the changes. Technology and globalization has made its impact on business of all scales.
Management professionals have come out of the traditional path of using logical methods
for planning and are on continuous look out for new ways to help align themselves with the
market changes and get the best for their business.