The Information Technology Revolution. We are living in revolutionary times, a revolution brought on by dramatic advances in Information Technology. If the steam engine, a new form of power, and mechanization created an Industrial Revolution over 150 years ago, computers and communications equipment have produced a Technology Revolution in the last half of the twentieth century. During the Industrial Revolution, there were three principal innovations. Click the Buttons to see each one:Innovation One Innovation Two Innovation Three (1) The substitution of machines for human skill and
effort. (2) The substitution of inanimate for animal sources of power-the steam
engine-creating an unlimited source of energy. (3) The substitution of new raw materials, especially minerals, for vegetable and animal substances. The Information Technology Revolution
Note the importance of Innovation in the Industrial Revolution.
In the Technology Revolution we have seen the rapid adoption of many innovations including mainframe computers, laptops, networks, the Internet, assembly language, fourth generation languages, spreadsheet programs and other advanced software programmes.
In the Technology Revolution, companies use IT as a new source of energy for processing and accessing information.
This technology helps the organization collect, store, retrieve, and apply knowledge to solve problems; IT converts the raw material of information into useable knowledge.The Information Technology Revolution
The Technology Revolution, like the Industrial Revolution, has changed the economy, creating new industries and ways of doing business.
Information technology, however, extends far beyond the computational capabilities of computers.
Today computers are used extensively for communications. They are also used for their traditional roles of data storage and computation. Overview of Information Technology in Workplace
Information technology refers to all forms of technology applied to processing,
storing, and transmitting information in electronic form.
The physical equipment used for this purpose includes computers, communications equipment and networks, fax machines, and even electronic pocket organizers.
Information systems execute organized procedures that process and/or communicate information. We define information as a tangible or intangible entity that serves to reduce uncertainty about some state or event. Overview of Information Technology in Workplace
Data can originate from the internal operations of the firm and from external
entities such as suppliers or customers
Data also come from external databases and services; for example, organizations purchase a great deal of marketing and competitive information. Brokerage firms provide a variety of research on different companies to clients. An information system usually processes these data in some way and presents the results to users. With the easy availability of personal computers, users often process the output of a formal system themselves in an ad hoc manner. Overview of Information Technology in Workplace Continued Human interpretation of information is extremely important in understanding how an organization reacts to the output of a system. Different results may mean different things to two managers. A marketing manager may use statistical programs and graphs to look for trends or problems with sales A financial manager may see a problem with cash flow given the same sales data. Overview of Information Technology in Workplace Continued Many systems are used routinely for control purposes in the organization and require limited decision making The accounts receivable application generally runs with little senior management oversight. It is a highly structured application
with rules that can be followed by a clerical staff. A department manager handles exceptions. The output of some systems may be used as a part of a program or strategy. The system itself could be implementing a corporate strategy, such as simplifying the customer order process. A system might help managers make decisions. Information Technology in Communications
Many computers are connected together using various kinds of communications lines to form networks.
Through a network, individuals and organizations are linked together.
Firms are willing to provide direct access to their systems for suppliers and customers If the first era of computing was concerned with computation, the second era is about communications.