Does Information Technology Contribute to Organizational Performance in Today Organizations?

Information generation (IT) has substantially affected many agencies. The dramatic increase of the Internet and telecommunications technologies offers numerous advantages to agencies. For instance it permits many assisting operations to be outsourced to nations like India, Singapore, Philippines and so forth.

Some IT merchandise along with the Internet, Intranet, voice mail, email, voice and video conferencing, groupware, Web services, and understanding control can assist corporations to offer faster, extra green, and extra entire offerings to the clients.

Before discussing whether data technology contributes to organizational performance, let us define organizational overall performance. Although many researchers have tried to offer a clear definition of performance, there may be nevertheless no conventional definition t. In popular, organizational performance refers to how nicely an organization is doing relative to a predetermined set of standards.

For instance, let us say, the organization "ABC Logistics Inc." might define their performance in phrases of quick response time, improve customer support, reduce errors, enhance records manage, reduce office work, lessen manpower in terms of percent as a purpose for this yr. If we need to look the position of IT in organizational performance for this organization, we need to investigate how IT contributes to those overall performance indicators.

I should confess that I have not accomplished any severe significant studies to explore how IT contributes to organizational overall performance. However I actually have looked at the IT enabled activities of 2010 Baldrige Winners to explore the role of IT in organizational performance. For individuals who are not acquainted with Baldrige award, let me give a short precis about the award. The U.S. Authorities mounted the Baldrige Award in 1987 to sell cognizance of fine excellence; to recognize first-class achievements of U.S. Organizations, and to publicize a hit nice strategies. The twin desires of the Baldrige criteria are to improve fee to customers, which ends up in marketplace success, and to improve usual financial and agency overall performance to meet the desires of shareholders, proprietors, and other stakeholders.

The National Institute of Standards and Technology(NIST) manages the award and it can accept every 12 months in six classes which include manufacturing, carrier, small commercial enterprise, health care, training, and nonprofit companies. The Award standards classify overall performance into five primary classes: patron assessment of product and offerings, financial and marketplace consequences, human useful resource effects, dealer and associate overall performance, and organizational effectiveness consequences. Below indicates the Information Technology enabled Activities of 2010 Baldrige Winners.

MEDRAD: This Company develops, markets, and offerings clinical devices that diagnose and deal with disease. In this enterprise, Customer Relationship Management (CRM) databases being used to apprehend the voice of clients. They use huge IT networks to recognize the voice of methods. They use Systems Applications and Products in Data Processing (SAP) to manage their every day operations. Also, MEDRAD makes use of SharePoint extranet functionality to establish collaboration boards with key companions and outside companies, including providers and OEMs. Databases and IT equipment getting used for collecting and transferring staff expertise.

Freese and Nichols Inc: It is a water and wastewater engineering firm from Texas, US. Their majority of labor become achieved by way of CAD and 3-D software program. They use net-based software program for venture management, accounting and payroll features; they use consumer surveys to become aware of patron needs. They use databases to save all type of statistics consisting of customers, staffs and initiatives. Employees working in a couple of locations have laptops. Web, audio, and video conferencing, as well as chat and computing device sharing getting used to guide collaboration throughout all locations. Electronic newsletters being used to communicate organizational updates. Microsoft Outlook is being used for day-to-day communications.

Studer Group: It is a healthcare consulting company in the US. They use public websites and emails as one of the tactics to gain facts approximately purchaser. Also, they use Portal, VPN access, on line price reporting systems for Information Sharing.

Bernard Law Montgomery County Public Schools (MCPS): They use digital grade e-book, on-line evaluation programs, and Web-primarily based software for final touch of the kingdom Individualized Education (IEP) shape; on line pupil surveys and on line Parent surveys to deal with their day to day operations effectively. Similarly, an internet-based totally system for human resource control and on-line get entry to to MCPS curriculum publications getting used assist the scholars. Also, a Web-enabled answer getting used for tracking and handling MCPS monetary commercial enterprise capabilities

K & M Management: This employer operates  fast-casual eating place in Texas, US. Real-Time dashboard getting used for choice making and technique management. Likewise, Website, e mail, and phone communique getting used to gather visitor comments.

Advocate Good Samaritan Hospital: This health center makes use of numerous IT merchandise such as Network attached and wireless computer systems, Voice over Internet Protocol (VOIP) telecommunication devices Wi-Fi connections, a secure net portal and secure hardware based totally commercial enterprise-to-commercial enterprise virtual private community computer systems. Microsoft Online Services being used for e mail communications. Also, Decision help gear/resources along with electronic scorecards on the GSAM G2G intranet, the AHC statistics warehouse (CHIS), the Advocate Learning Exchange (AleX), Nursing Compass, Revenue Cycle Compass and AMS are getting used for decision making and process management. Likewise, digital clinical document (EMR) device, e-ICU® era, Centralized telemetry gadget and Electronic mattress board statistics device getting used to assist sufferers. Also External GSAM internet site being used to offer sufferers, families, and the community the capacity to find a doctor, research an contamination, register for diverse fitness packages and screenings.

If we look at the previous 12 months awards recipients, we will see the IT role in organizational performance. For example, few awards recipients have used Online pc databases to discover consumer boom possibilities; paperless technology (EDI and digital price range switch) for consumer conversation; data warehouse to degree the performance of tactics; suitable software for SPC charts, method control charts, design of experiments, and Intranet; and VPN and Lotus Notes and e-mails for records sharing. Likewise, few recipients have used Real-Time dashboard and custom designed software program for decision making and technique control, Internet as communication medium and hooked up various software inclusive of payroll software; accounting software program; manufacturing software to deal with the methods effectively. Also, few used Dashboard/balanced scorecard for strategic making plans, Internet/intranet for customer members of the family, and a centralized IT business enterprise network (some of the additives covered EDI, paper, fax, intranet, e-mail, personal computer bedside workstations, and voice reputation) for better control and on-line education to employees.

By searching on the IT enabled activities of Baldrige Winners, I would say Information Technology contributes to Organizational Performance. An effective IT machine and numerous IT-related merchandise can offer the infrastructure to facilitate statistics drift between tactics; among human beings inside and outside of an corporation; assist organizations to automate extra processes; offer more flexibility and several different blessings which can be closed to link to organizational overall performance. In summary IT can act as an enabler to improve organizational overall performance.

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