Ch01+Managing+Digital+Firms

= = = Why is Information Technology Important =

Information Technology or IT, also cited as Information Service (IS) or Management Information Service (MIS), can be defined as the //development, design, study, implementation and management of computer related information//. It can also be defined as the use of computer (hardware and software) to manage information.
 * Definition of Information Technology **

**What is Information Technology?** In the era of 1960s and 1970s, information technology was limited to people working in the banking sector, mathematical engineers and computer scientists. In 1980s, the arrival of personal computers made it possible to be used in many more sectors and gave rise to a surge in the field of information technology. Previously, for the purpose of business, storage tapes were created by a single network administrator to interconnect employee workstations. The information stored in this workstation was placed in a server farm, located far off from the industry. However, now people have started communicating, using e-mails instead of snail-mails. It is an industry which deals with the usage of computer hardware and software and networking. Information technology has accomplished a lot in the 21st century. IT is a combination of computer and communication technology. It is the transfer of information from one peer to another.

**Why is Information Technology important?**
 * Information technology ** ** is used for storing, protecting, processing, securing, transmitting, receiving and retrieving information. In business establishments, information technology is used for solving mathematical and logical problems. Information technology helps in project management system. Firstly, planning is done, then the data is collected, sorted and processed and finally, results are generated. It helps managers and workers to inquire about a particular problem, conceive its complexity and generate new products and services, thereby improving their productivity and output.

The primary importance of information technology in ** ** education ****  is that various learning resources can be accessed instantly, by students as well as teachers, at their convenience. Learners can also adopt multimedia approach and collaborative learning. The information is authentic and the latest updated information is available. Multiple communication approaches like chats, forums, e- mails, etc. can be adopted by them. Students can access the on-line libraries and distance learning is also possible. Information technology has proved to be a significant employer. Many people with knowledge of computers have got jobs in the field of information technology and have successfully made it into a **** career **  **. It has helped in finding cures for many diseases thereby serving mankind in more ways than one. Different kind of softwares are provided for hearing and visually impaired people which aids them in their passion for learning new things and gathering information. **