Technology is the totality of any systems, skills, techniques, processes, or methods employed in the creation of goods and services or in the achievement of specific goals, for instance, scientific research. In business, technology is a branch of management that refers to the application of science to improve organizational performance, market competition, decision making, product creation, or service improvement. This branch of management considers technological issues from a business point of view and seeks to apply advanced knowledge, technology, and skillsets to enhance the efficiency of an organization. In fact, technology is a subset of management theory that acknowledges the importance of technology in organizations. It also recognizes that technology contributes to management practices by fostering development, management effectiveness, and market penetration.
Technology in management practice refers to a body of knowledge that can be researched, gathered, analyzed, and applied in order to improve the quality, quantity, speed, versatility, safety, and effectiveness of any existing or future process. It can also be applied to the field of human resources. In fact, there are numerous opportunities for managers to apply this body of knowledge in their fields. For instance, technology has become an essential part of every organization. This technology is used to improve quality, decrease cost, or both. Moreover, the use of technology has significantly contributed to increased the dynamism of organizations.
The practices of managers must therefore take into account the reality that business is characterized by changes. Although it is possible to create policies and procedures based on the past, however, these practices are no longer applicable in current situations. Businesses have to learn how to adapt to new technology and practices. Managers should therefore apply new technologies and management theories to guide them through this process. This way, managers will be able to ensure that their organizations remain highly functional even during times of change.
As a matter of fact, the use of technology is necessary for all organizations, irrespective of the nature of the business. In fact, research indicates that there are five key areas in which effective management of technology is required. These key areas are learning & growth, technical skills, information technology, strategic planning, and business analysis. Therefore, it is very important that managers become skilled in all of these disciplines. Furthermore, as most businesses are currently operating in a global environment, it is crucial that managers learn how to deal with issues such as internationalization, globalization, and other technologies. Thus, effective leadership and management skills are critical, especially when it comes to dealing with problems that arise due to these global trends.
In addition, the practices of managers must also incorporate the practice of technology change. This is important because, in this process, managers must be prepared to manage change effectively. In this practice, managers should be able to adapt to changes made to existing technology, and also to adapt to new technology that may emerge in the future. Furthermore, managers must be able to minimize costs associated with implementing these changes, while still increasing the productivity of their organization. In this regard, it is imperative for managers to practice process reengineering, which is essentially the process of incorporating new technology into an existing process.
Additionally, because the markets for technology are constantly changing, managers must be knowledgeable about technology, innovation, entrepreneurship, and business development. However, in this day and age, it is not enough for managers to simply understand these various topics. In fact, these topics are more than mere academic knowledge, because technology has a significant effect on society, so managers must be aware of the risks associated with not being adept when it comes to these areas.