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MIGRATING TO NEW

TECHNOLOGY

ICAU3019B
Purpose

Enable you to apply and transfer


skills and knowledge to new and
upgraded technology in order to
solve organisational problems
Learning outcomes
1. Apply existing knowledge and
techniques to new technology
2. Apply advanced functions of the
technology to solve organisational
problems
3. Apply new functions of upgraded
technology 
Grade Code 72
Class mark Grade
83% DISTINCTION
70% CREDIT
50% PASS
All other cases FAIL

In addition to an overall pass, you must pass


each assessment event where there is a
"yes" in the "must pass" column. 
Criteria
Apply current knowledge to evaluate and explore
new technologies
Employ new technology with minimum
disruption to users
Ensure new technology meets user requirements
and solves organisational requirements
Make use of new technology to improve
productivity and efficiency

Changing Technology

To understand the future …


look at the past

Observe and learn from history 


Technology will continue
to CHANGE
the challenge is
to make effective use
of new technology
as it appears

Applying New Technology
As computer technology expanded, and became more powerful and
cheaper, other uses were discovered. Today, it is used in a wide range
of disciplines, including electronic commerce, multimedia, education and
entertainment.

New technology often means new skills need to be applied to existing


businesses. The fundamental nature of the business does not change
but the way it is conducted does. For example banking relies on online
services, selling on the internet replaces sales representatives, the
taxation department actively encourages electronic lodgment of tax
returns. Education has embraced online learning and embraced the
virtual classroom.
What is a strategy?

A tactic or an approach
to the way something
is to be done
IT Strategic Planning
How can IT help the organisation
perform better?
software, hardware, communications
Not all advances are appropriate
Any change has an element of risk
Planning increases the chance of new
technology benefiting the organisation 
IT Strategic Planning gives
direction for new technology
IT exists to support the achievement of
business objectives … for example

increase market share by 10% in 12 months


reduce costs by $10,000 per year 
more examples …
increase efficiency by increasing
production by 10% with current
staffing levels
increase quality by reducing the
number of defects by 10%
increase customer service by
developing a special relationship
with profitable clients

Develop an IT Strategic Plan

Develop the business strategy


Identify IT strategies
Analyse the IT strategies
Select the most appropriate IT strategy
Develop a plan to implement IT strategy 
The Business Strategy
The business plan sets the direction
of the organisation and is relevant
to many areas of the organisation
Human resources
Production
Sales and marketing
Information technology 
The business strategic plan
the way the organisation does
what it does
a statement of what actions the
organisation will take to support
its goals
usually for 1 to 3 years ahead
See following example
Examples of actions to support business goals
Business Goal Planned Action
Increase market share by 10% Sell more products by introducing a
in the next 12 months telemarketing campaign
Reduce costs by $10,000 per Automate a labour-intensive function
year
Increase efficiency by increasing Implement a more efficient production
production by 10% with current control system
staffing levels
Increase quality by reducing the Increase the number of inspections of
number of defects by 10% products during production
Increase customer service by Identify profitable clients and their
developing a special requirements
relationship[ with profitable
clients
Business Planning Techniques

To be successful, all businesses,


whether large or small need to plan!

If you fail to plan, you plan to fail 


Know your industry
In what areas is there an increasing
demand in your business field?
In what areas of your business is there
a declining demand?
How can you increase customer
satisfaction?
How can you reduce costs? 
SWOT
Strengths
the things the organisation is good at
Weaknesses
the things the organisation can improve on
Opportunities
advantages to be gained from external environment
Threats
forces that can adversely affect the business 
a SWOT strategy
select ONE idea for improving your business
apply a SWOT analysis to that idea 
Analysing strategies: Issues to explore

How much will technology cost?


When will the technology be available?
How long will it take to implement?
How well will IT systems support the
business plan
More issues to explore
What effect will change have on the
organisation?
What effect will the new system have
on existing systems?
What existing systems have to be
changed?
Will policies and procedures have to be
changed? 
Develop implementation Plan
Will this involve new hardware?
software? Communications
Purchasing packages?
Developing own software?
Training?
Procedures?
Security?
To implement … or not
The plan should include
A schedule of implementation
Expected costs
With all the information provided,
management can make a decision on
what parts of the strategy, in not all, to
implement 
Benefits of new technology
Organisations are extremely competitive
Business organisations continually need to
increase profits
Increase market share
Reduce costs
Non-profit organisations – governments, charities –
Provide improved services at less cost 
Some possible benefits of NT
New business opportunities
Increase in existing business
Greater efficiency
Greater competitive advantage
Improved management and work
practices

New business opportunities
New technology often creates business
opportunities for NEW business to start
up and take advantage of the new
technology:
Internet
Internet providers (ISPs)
Web pages
Advertisements for the internet
Communications and networks
Linking organisation’s computer systems 
Increasing existing business
Technology can enable existing
business to increase their operations
Banking - ATMs enable banking
transactions at any time of the day 
Increasing efficiency
The automation of systems, particularly
labour-intensive ones, eg banking
ATMs - it costs less to have a customer
make an ATM transaction than to have
a teller serving that customer

NT benefits for consumers too
Smart cards – like a private bank –
when the money runs out more credits
need to be purchased 
Productivity and efficiency gains
Productivity gains result from being able to
do a job more efficiently and ultimately at
less cost by:
Producing more for the same or less effort
Car manufacturer more cars, same time
Producing the same amount at less cost
Car manufacturer same number of cars, less
cost
Reducing labour costs
Cost of labour is a BIG expense
Many productivity gains reduce labour
costs
Supermarkets
Automated checkout
Automated inventory
Price changes – database
Internet shopping – groceries, books 
Social effects of new tech
Many jobs disappear or are redefined 
Summary
IT has changed rapidly
IT’s rate of change is increasing
Changes have occurred in organisations and society
IT has become accessible to everyone
Planning for new tech is called IT strategic planning
Business needs bring about technological change
New technology provides new business opportunities
The benefits of new technology include improved
productivity and efficiency

the end

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