INFORMATION TECHNOLOGY

HARDWARE 1.MAINFRAME COMPUTERS Large computers that process huge amounts of info for a firm quickly However, they are expensive and only used by very large organisations.

2.PERSONAL COMPUTERS Most common form of hardware. Can use a number of software packages. Can be linked to other PCs or equipment using a LAN or WAN.

3. INTERNET Worldwide system of computers. Accessible to millions of people. The Web is the most popular use of the Net. Can be used to do business. E- COMMERCE

WHY HAVE A COMPANY WEBSITE? Can be used to advertise your company to a wide audience. Can have an online shop that is open 24/7. Can sell to a wider market, opens new markets Can do online questionnaires. Give potential customers info about firm and products Let customers compare products Can gather information on your customers. Allows customers to with queries.

4.ELECTRONIC MAIL Now replacing the normal mail system for many businesses. Can add attachments which can be sent anywhere in the world in an instant. Can send one to various people.

However, there has been an increase in the number of junk mail or spam. Reduces interpersonal skills. Only useful if people are trained and use the system.

5.TELETEXT Provides useful info for a business but in a read only format. Picked up through TV sets.

6.INTERACTIVE VIDEO These are used for training purposes. Trainee given scenarios/simulations where they have to make responses and see what happens with the choice they made. E.g. Flight simulations for pilots Hazard perception tests

7.VIDEO-CONFERENCING Used to hold a virtual meeting. Means that people who work in different locations or countries do not have to come to one place. Saves the firm travel and accommodation costs.

8.FAX Used to send an exact copy of a document to another machine. Usually very fast and low cost. Slowly being replaced by

9.EPOS Stands for ELECTRONIC POINT OF SALE Records the purchases made by customers, which can be used to identify trends and help with forward planning. Some firms, like Tesco, link the system with their loyalty card to get a customer profile.

SOFTWARE 1.WORD PROCESSING Used to produce documents, such as letters and memos. Documents can be easily edited and have thesaurus and spell checking facilities.

2.DATABASES An electronic filing cabinet used to store records. Records can be easily edited and updated. Use of mail merge allows standardised letters to be produced, inserting the correct names and addresses.

In a database it is easy to search and sort info. Most database software will also allow you to produce reports to summarise info.

3.SPREADSHEETS This allows computers to do calculations by using formulae. Can use WHAT IF? This allows a manager to evaluation different courses of action. Can also be used to produce charts and graphs. E.g. Sales figures for the last 6 months for easy comparison.

4.DESK TOP PUBLISHING Allows users to produce materials, like newsletters and pamphlets, to a professional style.

5.PRESENTATION SOFTWARE Make slide show presentations that can be used for training purposes.

6.PERSONAL PRODUCTIVITY SOFTWARE Computerised accessories for the busy manager. Includes: –Diary –Calender –Notepad –Address Book

ICT IN DECISION MAKING ICT greatly helps in the decision making process as it helps to process data into meaningful information. ICT gives easy access to a whole load of info that could help a firm make effective decisions.

ICT IN PRODUCTION ICT has lead to greater product research, design and testing. Computer Aided Design (CAD) helps to design products to a high quality. Computer Aided Manufacturing (CAM) has helped to produce high quality goods quickly, with less waste.

COSTS OF ICT Price of hardware and software Cost of installation and upgrading Cost of staff training Loss of efficiency while getting use to system Errors/glitches in the system = lost work time Possibility of data loss Possibility of work being stolen. COMMERICAL ESPIONAGE/HACKING Health and Safety concerns.

BENEFITS OF ICT Increased speed of info handling and decision making Flexibility of integrated systems Increased efficiency Enhanced reputation. May get a competitive edge Reduction in staff costs Facilitates home working Able to relocate to cost effective locations