Enablingstrategic change through aligning ICT and management: Contributionsof ICT to management
Enablingstrategic change through aligning ICT and management: Contributionsof ICT to management
Purposeof the study
Thecoordination of the business’s activities towards achieving itsgoals determines its success. Human beings resist change, andemployees may not welcome any organizational changes in the business.Contrary to this, businesses are continually restructuring theiroperations and the way they are organized towards the achievement ofcritical business objectives. The change in business processes causesemotional turmoil to all entities that are associated with it. Allthese issues are handled by management that ensures that they do nottamper with the operations of the business. According to Murphy(2006), simulation can be used to provide a perspective of the realworld. Information technology can be used necessitate the simulationof the real world operations to control and aid in aligning theoperations of the business. This paper discusses the contributions ofinformation technology in the three main aspects of management humanresource management, financial control and strategic management.
Casestudy will be used in this study. The study is suitable for lookingat an in-depth analysis of the subject under research by providingelaborations on indicators that show the possibility of thehypothesis (Yin, 2013). It will prove whether applying informationtechnology works in the real world through helping employees andother stakeholders allied to the business to adapt change. In thestudy, the population of interest will be from company ABC that isknown for its success in integrating information technology at duringits strategic changes. The study group will involve the top managersand two junior employees from all the departments.
Methodsof data collection
Datafrom the study group will be obtained using open-ended questionnairesand interviews to determine how information technology contributes tothe adaptation of changes introduced in the business. Questionnaireswill be administered independently to the study group involved in thestudy. Interviews will be done after a random selection of a sectionthe study group depending on their availability to an interviewsession. The group will act as a stratified random sample of thewhole group, and their information will be generalized to the entireorganization similar to that obtained in the questionnaires.
Inorder to promote trust, fairness and success of the study, variousethical standards will be observed. Ethical standards also ensurethat the results of the study are sound to be reported or left foruse by other people that it reflects an honest picture of the topicunder study and it is accurate and free from bias (Kimmel, 2007). Inobserving these ethics, the following ethics will be put intoconsideration
Mutualresponsibility- Before the research, the researcher has a duty toexplain the duties of the participants and his or her duties as well.The researcher is bound to honor all the promises andresponsibilities as agreed.
Informedconsent- Before getting any information from the employees, they willbe asked to give consent to participate in the study. The employeeshave the freedom to discontinue the study at their will. Theresearcher will also inform the employees on the features of thestudy that may impact of their willingness to participate.
Confidentiality-Confidentiality of the information obtained from the employees willbe observed and will only be used for the purpose of the research.Participant’s information should be kept confidential and in caseof any situations that can risk this factor, it should be explainedto the participant. It is the responsibility of the researcher tomake sure that information collected is used for the right purposeand is otherwise, permission should be sought from the source.
Limitationsand Delimitations of the Study
Thereare factors that influence the research outcomes, and that cannot becontrolled and the researcher has limited control. The results of thestudy are determined by the willingness of the employees to answer tothe questions posed to them and the amount of information that theywill be willing to disclose. The background and honesty of theemployees are not known, so the research had no control over theseaspects.
Thereare obvious limitations that will crop up and that are not previouslyanticipated as impediments to the study. As is being conducted, apart of the study group may not be available for the panel interviewsdue to personal reasons. Further, the employees of the wholepopulation cannot participate in the study because of proceduralrequirements put by the business regarding any research done on itsemployees.
Findings,analysis and discussion
Thestudy established that there is a significance relationship betweeninformation technology and the strategic management in the businessinformation technology contributes to a smooth management (Spanos etal., 2002). Information technology has contributed to theco-ordination, control and evaluation of business processes.Management is the nervous system of a business based on the threecore areas of management human resource management, financialcontrol and strategic planning. Information Technology improves thecontrol and co-ordination between these functions by eliminatingconstraints in the inflow and outflow of information between thethree organizational functions ­(Spanos et al., 2002). How abusiness performs is determined by how these core areas arecoordinated Information Technology enhances the organizationalflexibility and communication between these areas. According toTallon et al. (2000), the firms that focus on operations use ICT asan essential tool in improving their planning and management support.The effectiveness of the core processes in managing finance, and thehuman resource as factors of production is determined by theeffectiveness of the information communication technology in abusiness.
ICTand Human Resource Management
Ithas significant effects on every aspect of the human activity. ICThas promoted cultural openness, employee participation andempowerment among the employees. It has transformed the governance,operation and the interaction of the people within the organizationdepartments. ICT has promoted e-governance that has eased theinteraction between the management and employees, employees withemployees and the rest of clients to the business. Productivity is animportant tool that should be harnessed in any organization if itneeds to achieve success. Productivity is achieved through increasingthe effectiveness and efficiency of the factors of production. ICThas not only helped to achieve these factors, but has also enhancedthe life of the employees.
ICTand Financial Control
Financialmanagement is essential to the survival of the business. The abilityto manage its finances determines a businesses’ ability to meet thechallenges in the market. The business has embraced ICT through theuse of accounting software packages to manage the day-to-day flow offinances and produce statutory reports (Manuela et al., 2007). Muchwork in financial management is efficiently done through computerizedfinancial control. Accessing and tracking the flow of finances in thevarious departments has been eased, and the finance department hasfinancial control over the allocation and uses of finances in theother departments. The business has also embraced electronic transferof money and avoided the risks involved in handling liquid cash andtaking the advantage of efficiency associated with electronic moneytransfer.
ICThas a direct linkage on the strategy to be adopted while strategieshave implications on the technology adoption, so the two areintegrated (Manuela et al., 2007). ICT has contributed in enablingthe transformation of the chain value of the business. Most of thevalue activities are automated, and ICT has contributed to theirintegration and transformation towards realizing lower operationalcosts. ICT has also contributed to the differentiation of thebusinesses products, thus giving it a differentiation advantage andgood relationship with its customers. It has also enhanced itsability to respond to market changes as well as providingopportunities to expand to new markets. The advantage has beenenhanced by the gradual learning that has created awareness in thedifferent opportunities that are in the market, and that has led tochanges in strategic goals.
ICThas contributed to the modernization of how management of differentfactors is done in an organization. The findings indicate that,embracing ICT in managing businesses today has led to changes inmanagement systems (Financial, strategic and human resourcemanagement). It increases managerial flexibility and openorganization where the management can implement strategic goals aswell as get feedback on the progress of how they are beingimplemented. The performance of the business in the market isincreasing because of the ability to use ICT to differentiate itselffrom other competitors in the market. It can be, therefore, concludedthat ICT is accepted in reshaping the management landscape ofcompanies because it eases and increases the level of effectivenessof the management.
Kimmel,A. J. (2007). Ethicalissues in behavioral research: Basic and applied perspectives. Malden, MA: Blackwell Pub.
Manuela,M., Cruz, C., & Cortes, C. (2007). Adaptivetechnologies and business integration: social, managerial andBusiness integration.USA: Idea Group reference, an imprint of the Idea Group Inc.
Murphy,P. (2006). Reviewing of Turning Gears, Inc., simulation.Darden Business Publishing, Academy of Management Learning andEducation, 5: 377
Tallon,P., Kraemer, K. & Gurbaxani, V. (2000). Executivesperceptions of the business value of information technology: Aprocess oriented approach.Journal of Management Information Systems 16 (4), pp. 145-173
Spanos,E., Prastacos, P., & Poulymenakou, A. (2002). Therelationship between information and communication technologiesadoption and management.Athens, Greece: Elsevier
Yin,K. (2013). Casestudy research: design and methods.USA: Sage Publications