INFORMATION

TECHNOLOGY

Made By:
Kirti Sharma (025)
BBA (B&I) , 3rd semester
Maharaja surajmal institute

Information technology (IT)

What is Information Technology?

The term 'information technology' evolved in the 1970s and if we consider a medium or large
company providing goods or services, its information technology department will be responsible
for storing, protecting, processing, retrieving and transmitting the information.

Information Technology (IT) is a wide and varied sector, and is represented in some form in
almost all the industries. It is a blend of computers and communication technology where IT
professionals perform variety of duties, ranging from development and installation of
applications to designing complex computer networks and databases.

The information technology industry consists of computers, communication mediums,

peripherals, electronics-related organizations, softwares and services. Usage of information
technology for the completion of tasks in any organization, speeds up the processing and
information mobility, and also improves the reliability and integrity of information.

It is "the study, design, development, implementation, support or management of information

systems". Information technology is a general term that describes any technology that helps to
produce, manipulate, store, communicate, and/or disseminate information.

Components of Information Technology

Computers: Computers are very important in order to store and process data. Depending on
the size, cost and processing ability, computers are divided into four categories. They are
mainframes, supercomputer, minicomputers and microcomputers (desktops or personal
computers).

Servers: A server is a combination of hardware and software, and is used to provide services to
the client computers. These services generally include storage and retrieval of information. A
standalone computer can also act as a server, provided it's running on server operating system.

Database Management Systems (DBMS): Database Management System is basically a set of

software programs which manages the storage and retrieval and organizes the information in a
computer. This information is in the form of a database and is managed with the help of
softwares. The DBMS accepts requests from the application program and instructs the
operating system to transfer the appropriate data. There are various departments to monitor the
flow of information, which include System Administrators, IT Managers, Database
Administrators and Chief Information Officers (CIOs).

Networking: A computer network is a collection of computers and peripherals connected to

each other through different modes. These modes can be wired or wireless. The network allows
computers to communicate with each other (share information and resources like printers,
scanners, etc.).

Network Security and Cryptography: Network security is one of the most important aspects of
information technology. It consists of all the provisions made in an underlying computer network,
in order to prevent unauthorized usage of information. It also includes implementing the policies
adopted by the government and the applicable cyber laws. It is also helpful in providing
protection from computer hacking at the cyber boundaries of an organization.
Why is Information Technology Important:

All our work related applications are now completely automated, thanks to the IT sector. IT
professionals are people involved in essential management of sensitive data, exclusive
computer networking and systems-engineering. The advancement of the IT sector has resulted
in automated:

Administration of entire systems.

Production and manipulation of sensitive information.

Cultural development and communication.

Streamlining of business processes and timely upgradation.

Impact of IT in different sectors:

Technology today touches everything we do. You never know how much something can play a
major role in your life until you sit back, relax, and sit right in front of the computer and access
the internet. It can be beneficial in your family, business, and personal life.

First of all, The Internet brings friends and family closer together. Before the Internet, it was
possible to keep in touch with relatives and friends across the country or around the world and it
was also expensive. Today, A person living in Louisiana now has the means to communicate
with friends, family, or other people who live halfway across the world. This has allowed many
people to stay in touch with each other, that they may not have been able to keep in touch with
prior to this invention.

Information Technology has an impact over the following sectors in our life:-

1) Banking Sector
2) Insurance Sector
3) Medical Field
4) Education Field
5) Business

Impact of IT on Banking
1). Technology has opened up new markets, new products, new services and efficient delivery
channels for the banking industry. Online electronics banking, mobile banking and internet
banking are just a few examples.
2). Information Technology has also provided banking industry with the wherewithal to deal with
the challenges the new economy poses. Information technology has been the cornerstone of
recent financial sector reforms aimed at increasing the speed and reliability of financial
operations and of initiatives to strengthen the banking sector.

3). The IT revolution has set the stage for unprecedented increase in financial activity across the
globe. The progress of technology and the development of world wide networks have
significantly reduced the cost of global funds transfer.

4). It is information technology which enables banks in meeting such high expectations of the
customers who are more demanding and are also more techno-savvy compared to their
counterparts of the yester years. They demand instant, anytime and anywhere banking facilities.

5). IT has been providing solutions to banks to take care of their accounting and back office
requirements. This has, however, now given way to large scale usage in services aimed at the
customer of the banks. IT also facilitates the introduction of new delivery channels--in the form
of Automated Teller Machines, Net Banking, Mobile Banking and the like.

Technology Products:

(1). Net Banking

(2). Credit Card Online

(3). One View

(4). InstaAlerts

(5). Mobile Banking

(6). NetSafe

(7). e-Monies Electronic Fund Transfer

(8). Online Payment of Excise & Service Tax

(9). Phone Banking

(10). Bill Payment

(11). Shopping

(12). Ticket Booking

(13). Railway Ticket Booking through SMS

(15). Smart Money Order

(16). Card to Card Funds Transfer

(17). Funds Transfer (eCheques)

(18). Anywhere Banking

(19). Internet Banking

(20). Mobile Banking

Electronic Banking

For many consumers, electronic banking means 24-hour access to cash through an automated
teller machine (ATM) or Direct Deposit of paychecks into checking or savings accounts. But
electronic banking now involves many different types of transactions.

Electronic banking, also known as electronic fund transfer (EFT), uses computer and electronic
technology as a substitute for checks and other paper transactions. EFTs are initiated through
devices like cards or codes that let you, or those you authorize, access your account. Many
financial institutions use ATM or debit cards and Personal Identification Numbers (PINs) for this
purpose. Some use other forms of debit cards such as those that require, at the most, your
signature or a scan. The federal Electronic Fund Transfer Act (EFT Act) covers some electronic
consumer transactions.

Electronic Fund Transfers

EFT offers several services that consumers may find practical:

 Automated Teller Machines or 24-hour Tellers are electronic terminals that let you bank almost
any time. To withdraw cash, make deposits, or transfer funds between accounts, you generally
insert an ATM card and enter your PIN.

 Debit Card Purchase Transactions let you make purchases with a debit card, which also may be
your ATM card. This could occur at a store or business, on the Internet or online, or by phone.
The process is similar to using a credit card, with some important exceptions. While the process
is fast and easy, a debit card purchase transfers money fairly quickly from your bank account to
the company’s account

 Electronic Check Conversion converts a paper check into an electronic payment in a store or
when a company receives your check in the mail. In a store, when you give your check to a
cashier, the check is run through an electronic system that captures your banking information and
the amount of the check

Impact of IT on Insurance
There is an evolutionary change in the technology that has revolutionized the entire insurance
sector. Insurance industry is a data-rich industry, and thus, there is a need to use the data for
trend analysis and personalization.
With increased competition among insurers, service has become a key issue. Moreover,
customers are getting increasingly sophisticated and tech-savvy. People today don’t want to
accept the current value propositions, they want personalized interactions and they look for
more and more features and add ones and better service

The insurance companies today must meet the need of the hour for more and more
personalized approach for handling the customer. Today managing the customer intelligently is
very critical for the insurer especially in the very competitive environment. Companies need to
apply different set of rules and treatment strategies to different customer segments. However, to
personalize interactions, insurers are required to capture customer information in an integrated
system.

With the explosion of Website and greater access to direct product or policy information, there is
a need to developing better techniques to give customers a truly personalized experience.
Personalization helps organizations to reach their customers with more impact and to generate
new revenue through cross selling and up selling activities.

To ensure that the customers are receiving personalized information, many organizations are
incorporating knowledge database-repositories of content that typically include a search engine
and lets the customers locate the all document and information related to their queries of
request for services. Customers can hereby use the knowledge database to mange their
products or the company information and invoices, claim records, and histories of the service
inquiry. These products also may be able to learn from the customer’s previous knowledge
database and to use their information when determining the relevance to the customers search
request.

Impact of IT on Medicine
Information technology has been shown to reduce medication errors and associated
ADEs at every stage in medication administration.1 Information systems include
decision support at the prescription stage, computerized physician order entry, unit
dosing systems, and bar-coding of individual medications among others.

We developed a computer simulation model and used it to evaluate the effectiveness of

a number of information technology applications, individually and collectively, to reduce
medication errors and associated ADEs.2 The model incorporated estimates from
published studies of the potential reduction in medication errors that could result from
implementation of various information technologies.

Electronic patient records are now being developed to assist in the clinical management
of patients within secondary care. This paper reviews how various types of information
technology used in these electronic patient records can improve the performance of
clinical pharmacy services.

The different levels of information technology support for some of the main aspects of
clinical pharmacy services are described. How the impact and outcome of information
technology support for these services should be evaluated are discussed. The human
and technological factors that must be considered to ensure that the implementation
succeeds and the potential benefits are realized are examined.

Impact of IT on Education
Technology is a gift of God. After the gift of life it is perhaps the greatest of God's gifts. It is the
mother of civilizations, of arts and of sciences. - Freeman Dyson
Technology has certainly changed the way we live. It has impacted the different facets of life
and redefined living. Undoubtedly, technology plays an important role in every sphere of life.
Several mundane manual tasks can be automated, thanks to technology. Also, many of the
complex and critical processes can be carried out with ease and efficiency with the help of
modern technology. Thanks to the manifold positive effects of technology, the fields of
education and industry have undergone a major change and sure, they have changed for the
better.

Computers and the Internet technology have revolutionized the field of education. The
importance of technology in schools cannot be ignored. In fact, with the onset of computers in
education, it has become easier for the teachers to render knowledge and for the students to
grasp it. The computer technology is used to add a fun-element to education. And it goes
without saying that the Internet has endowed education with interactivity.

The computers offer an interactive audio-visual media. PowerPoint presentations and animation
software can be used to render information to the students in an interactive manner. The visual
effects provided by the animation and presentation software result in inviting greater interest
from the students.

Moreover, these softwares serve as visual aids to the teachers. Overhead projectors and
screens facilitate a simultaneous viewing of information by a large number of students. These
audio-visual teaching aids have brought about marked improvements in student attendance and
attentiveness. Interactive media have proven to be useful in enhancing the concentration levels
of students. This underlines the importance of computer teaching against textbooks.

Today, computer education is a part of school and college curricula. Considering the wide range
of applications of the computer technology, it is necessary for each one of us to befriend
computers. Considering the advantages of the Internet technology, it is important for each of us
to gain a basic knowledge of Internet access and connectivity.

Online education and distance learning have given a new dimension to the field of education
and higher learning. Today, students do not necessarily need to be physically present in
classrooms. Many educational institutes offer online courses to their students. Most of the
schools and colleges offer online assignment submission facilities

The importance of science and technology in education cannot be stressed enough. The
introduction of technology in the educational field has made the process of learning and
knowledge sharing, an interactive and fun-filled activity. Technology is indeed one of God’s
greatest gifts to mankind.

Impact of IT on Business
Information technology is a wide field, and has enabled organizations across the world to work
in an efficient manner. It plays a very important role in effective management and running of a
business. The use of information technology in organizations is inevitable, be it any type of
company like manufacturing or medicinal sector. It has contributed largely to the process
advancements in organizations. The exact impact of information technology on business
administration can be determined by the elements mentioned below.

Basic Elements of Information Technology

Software and Applications

Software is an important part of information technology which relates to computer applications
that enable a company to generate, store, program, and retrieve data as and when needed.
There are many softwares developed for different purposes. All operations in the business
sector are carried out by software that are assigned for executing specific tasks.

Without these computer applications the businesses wouldn't have been able to carry out their
functions in a proper and efficient manner. Operating systems, ERPs, special purpose
applications, and web browsers are some examples of different softwares.

There are some softwares which are exclusively built to contribute to the proper collaborative
working of all sections of the businesses, which are known as Enterprise Resource Planning
(ERP). These are complex applications which enable people to efficiently manage all functions
and operations of all processes in the businesses.

Hardware Devices
These are various computer equipments that house the softwares. Devices like
microcomputers, mid-size servers, and huge mainframe systems are some examples of
hardware. Businesses have to maintain a huge collection of important data. For this purpose,
they employ these devices which are responsible for storing confidential company data and
retrieving it back when required. Other hardware devices include network devices that are used
for providing Internet access to the businesses to work and communicate expeditiously. There
are even devices which enable manufacturing tools and equipments to work accurately in the
industrial sector.

Running Businesses with Information Technology

Small scale businesses need to buy software packages that would cater to their specific
management, operational, and functional needs. For this purpose, they need to approach firms
and IT manufacturers who deal in such software applications.

Other IT services include Internet marketing and email marketing, web hosting and promotions,
and maintaining client networks. Larger businesses on the other hand have their own
operational and functional employees who develop software applications and work on several IT
needs of the businesses. They usually purchase ERP softwares to coordinate different
processes and functions into a single application, which is actually more convenient.

Manufacturing businesses may make use of servers and databases to store their vast data
regarding inventory, B2B, B2C, FMCG (in the retail business sector), etc. Automobile
manufacturers use computers to guide manufacturing and designing tools to function in a
precise manner, ruling out the possibilities of any human error.

Businesses all around the globe have to take the aid of information technology in some way or
the other to keep themselves in sync with the market and the world. There are several
departments in business organizations such as HR and recruitment, finance and payroll,
administration, and security. All these departments utilize IT to carry out their respective
operations in a productive manner and efficient manner.

The information technology role in business sector certainly is of a great importance, which
enables businesses to effectively and successfully plan, manage, execute strategies which lead
to profit. Moreover, the impact of information technology on business is on the rise, as several
advancements are focused on to be implemented in various business processes.