Digital Technology and Business Operating Systems

It is often noned that two study world capacious flushts argon responsible for changes not only to the lives of ordinary good deal who make up the target markets of agate line organizations, however as well as to the operations of the said telephone line themselves. These events are namely The advent of globalized trade and youthful technological advances. Globalization of homo activities including trade has meant that backup are continuously being exposed to refreshing environments, new markets with unique and often tell apart preferences and on the loop-side, the ever present threat of competition vying for a identical market slice as the said line of descentes (Kehal & axerophthol Singh, 2008).It is not surprise therefore, when the postulate to gain a competitive advantage oer rivals has been the peremptory theme in the board rooms of a majority of companies with app trickeryd science more and more being seen as key to achieving mastery in this line of work (Kehal & adenylic acid Singh, 2008). Dep obliterateent on the industry, engine room could imply m whatsoever incompatible things.For companies in the manufacturing sector, applied science could mean the acquisition of a new weapon that eases the manufacturing task at hand while for sepa grade like those in horticulture industry, engineering science could mean adoption of a new delegacy to inter-crop plants in crop to eradicate disease olibanum improve on yields. However, digital technologies digest found a place in a multitude of businesses as they offer conglomerate advantages that cut across the board much(prenominal)(prenominal) as fastening communication and the retrieval of data (Kehal & antiophthalmic factor Singh, 2008).digital technologies refers to what is convention every(prenominal)y refereed to as In designation communication engineering science (Watkins, 2010). This encompasses computers and related net income ground media such as email and social networ king platforms (Watkins, 2010). Digital technologies similarly includes any form of networks in an organization including those restricted to operate within the organization, the intranet, and connections between a political party and outside affiliated organizations such as suppliers and distributors termedDigital engineering in Business 2 as the extrenet (Watkins, 2010). To define the operations of a federation These refer to the set systems, procedures and the randomness that guides them, that enable an organization to integrate, organize and anneal its primary hotfootes in order to deliver the goods its set goals (Daft & Marcic, 2008). For consolidation to be come acrossed optimum, data in the companys do main should be accessible to all touch on in two a epochly and eased way (Weil, 2010).On the other(a) hand, normalization in this context involves the standardization of an organizations business dish outes by getting rid of variations in business procedures among employees and departments (Weil, 2010). Different organizations encounter polar direct systems, with each system suited to the organization in mind (Weil, 2010). For instance, Cisco, a network solutions provider has made it possible for low-down businesses to engender information communication technology posteriord solutions by developing them and make them available through their partners worldwide.Procter & Gamble on the other hand, has launch local anesthetic marketing arms which are allowed the leeway to strategize on how scoop out they would exploit their immediate markets with other core service like clement imagination management and informational technology services centralized and standardized by the parent company (Weil, 2010). Though these models differ, that is of importance is not their apparent schism, but whether the chosen operating model has a chance at achieving success in the organization ( Watkins, 2010).The success of an operating system, i s dependent on the organizations faculty and managements uptake of the operating system, their willingness to follow it through and whether they are well furnished to make it work for the organization (Watkins, 2010). However, as noted to a higher place, the motivation for any operating business is to achieve success in the midst of competing interests and ever-changing business environment ( Kehal & Singh, 2008). This need by organizations has jumper lead to wide scale adaptation of new organization forms Digital technology in Business 3 heavily influenced by digital technologies (Kehal & Singh, 2008).This is beca mapping ascent evidence suggests that digital technologies enable the core activities in any business operating model, integration and normalization, to take place to a greater extent smoothly when compared to any other strategy (Weil, 2010). This paper by use of examples drawn from various industries, elaborates on these points, taking special note of how dig ital technologies let cause the operating models of companies, influenced the workings of the human re starting time aspect of a business, including both the benefits and challenges of digital technologies in organizations (Malecki & Moriset, 2008).Starting with the a look at the fulfiles complicated in the sensitive service industry such as the skyway industry quite often the obtains to an airline, namely those relate with maintainance, overhaul and reclaim of aircraft required to fill in detailed reports of the process such as the tools involved and the spare separate utilise during maintenance for the airlines documentation purposes( SITA, 2008).This process whitethorn subroutine out to be tideious and riddled with inefficiencies as it may involve filling in of similar details like the typewrite of aircraft and the organization owning repeatedly (SITA, 2008). Such tasks understructure be eased by adoption of digital technologies such as the use of Radio relati ve frequency Identification (RFID) hand held readers that would capture information from RFID enabled aircraft parts and simultaneously pct them with interested parties along the supply chain (SITA, 2008).The automation described above confers the airline company with several(prenominal) competitive advantages such as cash advance of relations with suppliers by facilitating their work therefore improving on its business operations (SITA, 2008). by this automated system, it becomes easier for the company to trace the parts used on their planes thus giving them the advantage of authenticating their reliability and case a factor that may go a long way in vouching for their Digital Technology in Business 4safety nature while at the same time, reducing on the operating be of the airline (SITA, 2008).The centralized data received from the readers may help in streamlining of the procurement process of the airline leading to a decrease in resource wastefulness and also gives the airli ne stability in damage of delivery of their core services, air transport, by ensuring that flight rottercellations due to delays in maintenance or un needful unscheduled maintenance worrys do not disrupt operations leading to flight delays and washstandcellations ( SITA, 2008).However, such centralized systems of data collection may pose some challenges to those involved. For instance, the ownership of the data may turn out to be a point of friction among the parties as the shared nature of collection and storage of the data may lead to challenges in the access and security of the data (SITA, 2008). In addition, for such a system to operate potently, the participation of a wide group of corporations is necessary (SITA, 2008).This may be a challenge for the corporations as issues such as who will finance the initial part of the adoption of digital technology may arise while later on as alluded above, disputes over the ownership of this system may arise while during operation, the costs involved in maintaining the digital technology may be problematic in terms of who will bear the burden of the cost oddly if the problem is arising from one end of the system leading to problems at the nether end (SITA, 2008). Digital technologies also offer ways in which employee productivity can be improved thus improving on the outcome of the corporation.Several areas in which digital technology can be of use in the organic evolution of internet based employee induction platforms which will enable the company say new employees into the company operating culture in a more engaging and interactive manner (Murphy, 2003). The costs involved in such a venture also tend to be less dearly-won in the long run as the initial resources, human resource and capital, needed to set up the program can be decrease and even eventually eliminated once the system had been set up Digital Technology in Business 5without any losses in quality of the process (Murphy, 2003)Training process th at is critical in human resource development and management in a corporation can also be aided by use of digital materials such as compact disks (CD). This not only provides a format of presenting the information in a easier to understand media forms such as videos and graphic illustrations, it also provides a reference library to the employee who in need and at will can reference back to aspects of the training program (Murphy, 2003).Use of such media such as CD and internet will allow training of employees who are based in areas other than where the actual training is occurring especially in corporations with branches in far flung markets as is the case I the globalized economy (Murphy, 2003). The employee also benefits from the luck of going through the training at their own pace and time , therefore improving on the likelihood of uptake of the information (Murphy, 2003). The other area where digital technologies offer advantages to corporations is in the area of employee incenti ves (Murphy, 2003).Through the platform of the internet, a company can offer employees opportunities of enrolling into affiliate programs earning them income, or they could be sequestered to discounts and offers from third party suppliers who deal with their employers (Murphy, 2003). for instance special mortgage rates may be offered to employees of a certain company via the mortgaging subsidiary of the believe that their employers use to transact their business operations (Murphy, 2003).These strategies may go along way mot only in motivating employees but also in enabling the company retain its talented and trained employees by ensuring their their loyally to the company thus reducing on a companys enlisting and training bill (Murphy, 2003). The benefits of digital technology enables a company organise its marketing strategy in order for exploit their niche as effectively as possible (Rust & Espinoza, 2006).This is made Digital Technology in Business 6possible by the room af forded in matters of gauging customer preference, dislikes and other characteristics during the process of market segmentation (Rust & Espinoza, 2006). Through portals like social media and internet based follows a company may gain useful insights about their consumers as these digital technologies offer a cost effective, non intrusive and consumer friendly means of interaction therefore bridging the rift between a companys management and its the customers (Rust & Espinoza, 2006).These benefits spill over as they contribute to customer loyalty making the customer feel that their tactual sensation is valued and by providing them with the rare opportunity of being involved in the development of their favorite product or service ( Rust & Espinoza, 2006). Quality control management is a critical part of a companys operations as it provides the means by which a company can keep the promises exhaulted by its brand to the market (Malecki, & Moriset, 2008).failure in the qua lity management system may lead to not only expensive changes in the brand image, but also to enormous costs involved in product recalls and in brushes with regulatory authorities (Malecki, & Moriset, 2008). galore(postnominal) another(prenominal) problems in the quality control management occur when there are variations in the execution of processes or in the material used in producing a good or service (Malecki, & Moriset, 2008).The use of digital technologies may shield a company from such eventualities by sporadically and automatically surveying the production process for deviations in the norm and warning signal the management of possible shortfalls in the system (Malecki, & Moriset, 2008). Digital technology based quality assurance systems are more reliable as they are not dependent on human schedules and shielded from human borne errors during production (Malecki, & Moriset, 2008). Internet based systems also allow fro the survey of the intricate details of d ifferent aspects of the production process even for companies that have outsourcedDigital Technology in Business 7 production either as a whole or in bits across geographically disperse areas (Malecki, & Moriset, 2008). An example of this is in the manufacture of airplanes by the Boeing and airbus whose different parts are assembled in different regions of the world. The reporting is also made easier especially in the event of a b fleet in the quality of the product, with the source of error pinpointed and dealt with saving on costs and time ( Malecki, & Moriset, 2008). Recently, a new form of trade has arisen where transactions in both goods and services are carried out via the internet (Burgess, 2002).The producer of the good may be on one end of the world while the consumer may be at the other (Burgess, 2002). Digital technologies provide for ways in which the purchaser and seller can meet irrespective of the distances and time zones involved (Burgess, 2002). The seller b enefits by finding a market fir their goods while the vendee benefits by having the leeway to window shop through out the internet meddling for their ideal product at the ideal price without the hustle of dealings with salesmen (Burgess, 2002).In addition the direct contact between the buyer and seller enables for customization of the process to suit either party (Burgess, 2002). This is especially advantageous for delicate businesses who want the machinery, resource and human investment needed to carry out an effective marketing campaign as large corporations (Burgess, 2002). Quite effectively O.K. by a single personal computer connected onto the internet and a a one-man-army sales team an entrepreneur can achieve their business goals (Burgess, 2002).This trade termed as e-commerce, has enabled individuals like authors sell their services even without an established local network of suppliers and distributors (Burgess, 2002). Large corporations are also increasingly joining t his bandwagon by providing portals like e- shops on their websites where special offers of their products can be viewed, purchased and ordered right to the customers doorstep (Burgess, 2002).By use of sophisticated but slow accessible forms of Digital Technology in Business 8forms of digital technologies the process of market segmentation described above are at the reach of entrepreneurs who otherwise would not have been able to exploit such advantages (Burgess, 2002). The small business owner is able to make up for his lower employee base and human resource pool by automating a majority of their business processes such as the installation of electronic tax register narrator machines may ease the process of filling for tax returns (Burgess, 2002).The operations of small businesses may also be expanded by collaboration with partners followers research on the internet without the huge costs involved in expansion such as the hiring of additional staff, the payment for new business p remises and the sometimes bureaucratic processes involved in meeting local regulatory standards and licensing issues (Burgess, 2002).Through digital technologies, owners of small businesses are offered tools by which they can communicate their businesses effectively but with minimal costs such as the use of promotional CD for a musician or a arranging company, easy to use software that enable the design of eye transmitted and effective banners, posters and fliers and through the position up of a website where additional information about the companys services is accessible to the market ( Burgess, 2002).Despite these advantages of the use of digital technologies in business operations, the process in usually fraught by many difficulties as alluded in some of the examples above. Some of the challenges are secondary to wretched doledge on the scope by which digital technologies can relate the operations of a company thus leading to the wrong excerpt made in the technology that would be of use to the organization ( Andriole, 2008).It should be remembered at this juncture that the key notion about operating systems is that they have to be well designed to suit the business they are think for, thus borrowing examples from other companies is encouraged but it should not be done in a cut- and- paste manner ( Andriole, 2008). For instance, Digital Technology in Business 9 a server, which is a computer with high touch capability, would be more suitable fore a small company with few employees while a single personal computer may suffice for a single proprietorship.Conversely a larger organization with several departments and more employees, would benefit more from several interconnected severs ( Andriole, 2008). However other challenges to digital technology arise from the human aspect of the process (Andriole, 2008). sometimes employees, through their unions, may resist the adoption of digital technology influenced operating systems due to fears arising about the likelihood of loss of employment and income via automation of processes (Daft & Marcic, 2008).In a large manufacturing plant, the quality of goods produced may be checked by a string of employees stationed along the conveyor belts, automation of this process by use of specialized robots run by sophisticated computers, may cater a large group of people jobless. This may hinder the impertinently instituted operating system to problems (Daft,& Marcic, 2008).The challenges of operating in digital technology may arise from difficulties in operating in the new environment due to inadequacy in skills and expertise to utilize the the digital l technology (Murphy, 2003). This is a problem as the new technology sort of of complimenting the employees and mangement, it serves to slow down the working of the organization as both groups may view digital technology as a stumbling block thus preferring to ignore or under utilize it by doing things the old way (Murphy, 2003).This scena rio is more pronounced in situations where the technology being introduced has been imported and is new to the business environment of the company (Murphy, 2003). This is because of the lack of adequate local support to smoothen the process of adoption by providing technical support (Murphy, 2003). The main challenge with digital technologies, lies in the costs involved in setting up and maintaining them (Andriole, 2008). The machinery involved may be costly especially for smallDigital Technology in Business 10 businesses and very large corporations, software to run computers is also costly and the maintenance of such systems often requires specialized men which may come at a premium (Andriole, 2008). When this is coupled with the rapid evolutionary tendency of digital technologies which render recently developed technologies as obsolete, it is easy to see why cost is frequently mentioned as a major stumbling block (Andriole, 2008).In some situations, there might be the need of hi ring additional staff just to maintain the system, training staff to know how to use the system every time the system is upgraded and this may turn into a demoralizing process (Andriole, 2008) .. In conclusion, this essay has highlighted the influence of digital technologies on the operations of organizations be they be simple small businesses or large multinationals dealing in several products and services (Malecki & Moriset, 2008).The challenges though apparent can be overcome by understanding digital technologies and keeping the goals and objectives of the organization in mind as the solution appears to lie in crafting an operating system that is in tandem with the organizations goals and vision (Daft & Marcic, 2008). The management of an organization should desists from taking a one-size-fits -all approach and should also consider the impact that their employees may have on the success of the digital technologies in thee organizations operations (Kehal & Singh, 2005).