Business growth isn’t achieved by luck. It is the result of a concentrated effort of various elements strategically working together to achieve success.
Traditionally, your IT department was responsible for providing infrastructure for business operations such as backend systems for ERP (employee resource programs) and CRM, LAN and WAN access, helpdesk support, as well as backup and security. But the role of IT has changed and information technology now plays a role in business growth that is as important as its other elements.
Expanding the responsibilities of IT
The formula for business success has changed since the value of IT has become apparent to businesses. It now involves driving innovation with IT solutions. Moving away from strictly a “back office” role, the duties and responsibilities of IT have also been adapted. Business executives now expect IT to provide a competitive advantage to the organisation as well as the relevant backend systems to support productivity.
There are some collaborative areas where IT has had to transform into a recognised and reliable leader. By playing a key role in these different areas of business, IT aids business growth.
Areas of business that rely on IT
“The reasons for the omnipresent use of computer technology in business can best be determined by looking at how it is being used across the business world,” says Chris MacKechnie in his article Information technology & its role in the modern organisation. From digital marketing to resource management, these are only a few of the areas where IT is being used to drive businesses.
Data mining and business analysis
Market research can be done in many ways, but the value of big data doesn’t lie in the data itself – it lies in what you do with it. To ensure you’re making the right data-driven business decisions, you need an IT department that combines the expertise of data mining with the strategic thinking of a business analyst. IT provides descriptive, predictive and prescriptive data analysis and collaborates with executives to assist in making valuable business decisions.
Management Information Systems (MIS)
Big data plays a crucial role in the strategic planning process of a company as well as the execution thereof. MIS gives companies access to their sales data, expenses and productivity levels. As a result, they can track profitability over time, maximise return on investment and identify problem areas.
Marketing for business growth
With the advent of digital marketing, businesses are constantly striving to position themselves better online. IT solutions can ensure strong, sustained marketing support by tending to backend needs such as integrating SEO into CRM and other marketing systems. It can also provide organisations with more in-depth knowledge about their target market, their buying behaviour and needs.
Whether it’s tangible, human or financial, the complex processes involved with managing your resources have been automated by IT. There are now cloud-based enterprise resource management (ERP) solutions that allow executives to gain a bird’s eye view of their organisational resources at the click of a button.
Investing in and managing IT
These aren’t the only areas of business where IT drives business growth. It’s also involved in communication, inventory management, customer relationship management, marketing, research and development, as well as project management. The amount of value you derive from IT and how much it contributes to business growth directly relates to how much you invest in it and how you manage it. IT has become a valuable resource for businesses. Not sure how to go about investing in IT for business growth and want to know how much is too much? Let us help you with our 5 Step guide to IT department budget development.