Impact of IT on Business: Case of Qantas
As the technology is upgrading day by day, therefore every organization need to implement the technological aspects into their account. The study provides the facts that need to take into consideration before implementing the information technology system into their account. Along with that, the study also defines the requirement and the importance of the IT system. Moreover, the organizations need to understand the advantage and the risk factors that may arise during the implementation of the IT system. In order to implement the IT system successfully, the organization need to have a skilled set of employees so that they can easily manage the different aspects of the organization’s IT system.
The advancement in the field of technology has literally forced every organization in order to have assistance from the technological aspects. Schwalbe (2015) said that, the implementation of the IT system can easily enhance the level of performance for the different industries. Along with that, it also helps the industries to satisfy their customers while providing them with a proper amount of service and products. The primary aim of this study is to evaluate the importance of the implementation of the IT system and provides a detailed description regarding the different aspects that can provide a proper amount of benefit to the organizations and the different industries. The study also provides a brief description regarding the different advantage and the risk factors that may arise due to the implementation of the new IT system. The industry that has been chosen in order to conduct the study successfully is the airlines industry and Qantas is the organization from that industry.
Need for IT system in business
The technological advancement is everywhere in the industry. Therefore, Qantas also need to implement the IT system into their account in order to make their business operations smooth. It has been tough for the passengers to wait in the queue for the tickets. In order to make the entire ticketing process smooth, Qantas have decided to implement the IT system through which they can provide their passengers with the benefit of online booking system. In addition to that, the organization also has to compete in the global world with their rival organizations. Therefore, Holtshouse (2013) said that, they also need to implement the IT system in order to have the competitive edge over their rival organizations. In addition to that, the proper IT system can also help Qantas to have a proper amount of revenue at the end of the year. Therefore, it can be said that the organization, Qantas needs to implement the IT system into their account.
Need of IT system for business survival
In this technical era, every organization from the different sectors tends to shift towards the IT system from the manual system. One of the biggest reasons behind this is the sustainability in the market. As every organization is making them enriched with the IT systems, therefore Qantas also needs to implement this aspect. Along with that, the implementation of the IT system would also enhance the performance level of the organization and increase the rate of efficiency in the business process. According to Dowling (2014), the implementation of the IT system also provides an ample amount of security to the organizations; therefore, the IT system can also be mandatory for the organizations in order to secure the different areas. Along with that, as Qantas is playing in the global field, therefore the implementation of the proper IT system is very much essential for them in order to sustain in the market.
Requirement to apply the IT system
Demian and Walters (2014) agree that IT systems and technologies have to be applied in the functioning of any successful organisation, and Qantas is no exception to this rule. The requirements and fields which require that application of IT into the business include the factors of overall costs and planning. Costs incurred by a company of a scale as large as Qantas have to be calculated using Information Technology tools such as computers, and the software and applications installed in them. In addition, planning of future ventures and events, as well as the market strategies designed to lead the organisation to success, require the use of the aforementioned IT tools as well.
The main equipments used in this organisation, in addition to their installation, are all based on the IT tools. For example, the main equipments of an airline company include the support equipments such as the Ground Support Equipments. They also involve the use of digital technologies, and are almost entirely dependent on IT tools for efficient functioning. Even the designing aspect requires the use of specific software and applications, and drafts are designed in tools such as computers. Finally, selected designs are included in the final draft and implemented, though only after careful consideration of all related factors (Chae et al. 2014).
IT systems are also applied in the aspects of installation and training, as main programs used for them are designed using Information Technology tools. Main requirements of applying the IT system to this organisation include acceptance of the officials and employees, as well as a decent amount of training in order to handle the aforementioned tools. Entities such as Qantas have to ensure that display the required flexibility to ensure effective application of IT tools.
Usefulness of IT system
There is an ample amount of usefulness of the proper implementation of the IT system. One of them is considered in the field of the communication. The proper implementation of the IT system in Qantas can easily enhance their communication process. Along with that, it can also enhance the affectivity and the efficiency level of the process. Using emails, the employees can easily communicate with each other. In addition to that, the IT system also helps in the different operational processes of Qantas. The online ticket booking system is an example of this aspect. This makes their customers happy enough to travel with Qantas. According to Kellermann and Jones (2013), sharing of the information is also an important factor that needs to be taken into account by Qantas. Moreover, the IT system can also help Qantas in order to take proper decisions. The database management system makes the management of Qantas to have a proper storage of the important set of information. That can be considered while making any critical decisions.
Advantages of IT system in the organization
Some factors can be considered as the advantageous for Qantas while implementing the IT system in their business operations.
The rapid amount of communication can help Qantas to enhance their business productivity. The exchange of emails in between the employees regarding the different matters saves an ample amount of time for them. Along with that, the mobile SMS service can also make a proper communication with the customers that may provide them with the proper details of the passenger regarding the booking in the flight (Lloyd, 2017).
It also enhances the business efficiency for Qantas. As the works can go in smoothly, therefore it can create an efficient working environment in Qantas. Along with that, the proper management of the database system also helps Qantas to have a set of data regarding their business details. That also makes them efficient enough to stand in the global market.
Advantage over rivals
According to Larssonet al. (2014), the organizations that are not using the technological aspects into their business operations are far behind from those who are using this aspect. Therefore, in order to provide an ample amount of competition to the rival organization, Qantas need to have the IT system into their account.
As the implementation of the system is cheap enough for the organizations, therefore it is considered as a benefit for the organizations. Qantas also need to taste this benefit regarding the business operations.
Risk factors regarding the IT system
Along with the different advantages, there are also some risk factors that are associated with the IT system. One of them is the threats regarding the intruders. Leeet al. (2015) said that, the hackers are so much technically advanced that they can break into any system and take the important set of data from there. Along with that, the database system is also vulnerable enough to get hacked. Along with the security issue, privacy is another issue that needs to be taken into consideration while calculating the risk factors for Qantas. As the details of the passengers such as the personal information along with the credit and debit card details are stored in the database system, therefore the organization also have to look their privacy measures (Bloom et al. 2015).
Monitoring the IT system
Maintenance of the IT system by this entity requires strict application of the attributes of discipline and effective amounts of training. Senior officials and leaders have to make sure that the tools incorporated for usage in the company are handled by efficient people. Only those who have displayed the ability to handle the various components of the IT system have to be allocated the responsibility of maintaining and monitoring those (Merlino et al. 2016). Personnel dedicated and skillful in certain areas have to be provided the opportunities to display their talents, and an overall head of the monitoring team should be provided the final results after each evaluation. Regular checkups and evaluations make sure that the system is running in an efficient manner consistently, since smooth functioning of the overall system is necessary for an entity such as Qantas.
Officials have to make sure that they measure the effectiveness and performances of employees working under them. This maintains a set standard among all the workers, including those who have been allocated the responsibility of maintaining and monitoring the IT systems. Another method of monitoring the IT system is to directly observe the levels of customer satisfaction and the role that the said system has played in its final evaluation (Chan, 2013).
In order to implement the IT system in an organization, the management needs to identify the areas in which they have enough strength. Along with that, they also need to understand the areas in which they are lacking. The successful implementation of the IT system for Qantas, needs to have a skilled set of employees who can handle the different aspects of the IT system. In addition to that, the employees need to be provided with a proper training session that can enhance the skills of the employees. These sorts of activities can be helpful for Qantas in order to maintain the IT system in their account successfully.
The level of dependency of all organizations, regardless of their sector, on the technological tools of today cannot be denied. Among all such technological tools and systems, the Information Technology sector has been of an especially immense significance. Various aspects of the system have to be maintained in order to effectively gain the maximum possible profits. Industries such as the airline industry and its financial entities such as Qantas have a notably high level of dependency on Information Technology tools. A proper level of monitoring and maintenance is necessary for ensuring the effectiveness of the overall IT system. Thus, it is concluded that IT systems have numerous advantages and have to be maintained properly, so as to enable companies such as Qantas to derive maximum benefits from it.