Impact of ICT Innovations on Business (Collaborating with ICT Innovations for Business Survival)

1. Impact of ICT Innovations on Business (Collaborating with ICT Innovations for Business Survival) Dr. Wayne Summers Columbus State University, Columbus, GA, US summers_wayne@colstate.edu

2. IMPACT • It took 35 years from the date the telephone was invented for it to reach 25% of the world population. • It took 26 years for the television to achieve the same feat, • 16 years for the personal computer, • only seven years for the Internet

3. IMPACT • Internet users worldwide have quadrupled between 2000 and 2005 • In the world, there are now more mobile than fixed line phones • Approximately 70% of the developing world’s population now lives within the footprint of a mobile phone service

4. IMPACT “ICT plays a vital role in advancing economic growth and reducing poverty. A survey of firms carried out in 56 developing countries finds that firms that use ICT grow faster, invest more, and are more productive and profitable than those that do not” OVERALL SUMMARY OF THE IC4D http://siteresources.worldbank.org/EXTINFORMATIONANDCOMMUNICATIONANDTECHNOLOGIES/Resources/282822-1141851022286/IC4D-Summary.pdf

5. IMPACT “Information and communications technologies (ICT) have had uneven deployment both between nations and within nations. These differences in the use of ICT and the Internet are part of the ‘digital divide’ ” Peslak, A. A review of national information and communication technologies (ICT) and a proposed National Electronic Initiative Framework (NEIF), First Monday, volume 11, number 5 (May 2006), http://firstmonday.org/issues/issue11_5/peslak/

6. Impact of ICT Innovations on Business • Introduction • History / Development of Information & communications Technology (ICT) • Impact Of ICT Innovations On Business • Future of ICT • Conclusions

7. Introduction • Information technology and business are becoming inextricably interwoven. I don't think anybody can talk meaningfully about one without the talking about the other.Bill Gates

8. Introduction • That seems to me a vital point. It is incontestable that the spread of computing power has reduced radically the costs for companies of collecting, analysing, retrieving and re-using information. The growth of voice and data communications means companies are increasingly able to share and spread this information at great speed, over large distances. • So as computers become cheaper and more powerful, the business value of computers is limited less by computational capability and more by the ability of managers to invent new processes, procedures and organisational structures that leverage this capability. • Just as electricity enabled development of the continuous production line processes, the decentralised availability of information through IT allows the reduction of hierarchical structures within firms and greater empowerment and capabilities for work teams and individual workers.

9. Introduction • ICTs can also transform a firm's relations with its customers, providing increased scope to tailor products to individual requirements. • ICTs also allow more lean and timely inventory management. • In other words, investment appears to have a greater beneficial impact if complemented by organisational changes, greater use of delegated decision-making and improvements in related workforce skills.] (http://www.dti.gov.uk/ministers/archived/alexander141101.html

10. History / Development of Information & communications Technology (ICT) • Almost everybody today believes that nothing in economic history has ever moved as fast as, or had a greater impact than, the Information Revolution. But the Industrial Revolution moved at least as fast in the same time span, and had probably an equal impact if not a greater one. - Peter Drucker • · The new information technology—Internet and e-mail—have practically eliminated the physical costs of communications. - Peter Drucker • I think there is a world market for maybe five computers. - IBM Chairman Thomas Watson, 1943

11. History / Development of Information & communications Technology (ICT) Six stages of ICT in public sector • Email System and Internet Network (internal usage) • Enabling Inter-Organizational and Public Access to Information (one way to public) • Allowing Two-way Communications (posting email & fax addresses; tracking information – status reports) • Allowing Exchange of Values (public able to make payments, etc.) • Digital Democracy • Portal for Citizens

12. Impact Of ICT Innovations On Business • “In the last forty years, adoption and implementation in the public sector has been slower than the private sector in most of the Asia Pacific countries. The private sector has been encouraged to use ICT in many types of business functions such as information management, payroll, and accounting since the 1960s.” [Ong 2001]

13. Future of ICT • Moore's Law asserts that the price of the Information Revolution's basic element, the microchip, drops by 50 percent every eighteen months. • Peter Drucker argues that like the industrial revolution two centuries ago, the information revolution so far has only transformed processes that were here all along. In contrast, he argues that E-commerce, facilitated by ICT, has the potential to be to the information revolution what the railroad was to the Industrial Revolution - a totally new, totally unprecedented, totally unexpected development that transformed both the mental and economic geography of companies and communities.

14. conclusions • Security is, I would say, our top priority because for all the exciting things you will be able to do with computers.. organizing your lives, staying in touch with people, being creative.. if we don't solve these security problems, then people will hold back. Businesses will be afraid to put their critical information on it because it will be exposed.Bill Gates

15. conclusions • This new knowledge economy will rely heavily on knowledge workers. ...the most striking growth will be in “knowledge technologists:” computer technicians, software designers, analysts in clinical labs, manufacturing technologists, paralegals. ...They are not, as a rule, much better paid than traditional skilled workers, but they see themselves as “professionals.” Just as unskilled manual workers in manufacturing were the dominant social and political force in the 20th century, knowledge technologists are likely to become the dominant social—-and perhaps also political—-force over the next decades. -- "The next society" Economist.com (November 2001)

17. I want to know what good is a Web search engine that returns 324,909,188 "matches" to my keyword. That's like saying, "Good news, we've located the product you want. It's on Earth."