Umer Hassan Butt AD511879

Name:

Umer Hassan Butt

Roll # :

AD511879

Registration No:

09-PGT-02603

Submitted To:

Muhammad Razzaq

Course Code:

891

Course Name:

Management Information System

Table of Contents
1 Introduction.........................................................................................................................................5
2 Role of Information Technology..........................................................................................................6
2.1 Process Improvement..................................................................................................................6
2.2 Cost Reduction.............................................................................................................................6

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Umer Hassan Butt AD511879

2.3 Quality Assurance........................................................................................................................6

2.4 Communications..........................................................................................................................6
2.5 Competitive Intelligence..............................................................................................................7
3 Significance of Information Technology..............................................................................................7
4 Information Technology in Business....................................................................................................8
4.1 Speed...........................................................................................................................................8
4.2 Efficiency......................................................................................................................................9
4.3 Multi-Tasking...............................................................................................................................9
4.4 Low Cost......................................................................................................................................9
4.5 Entrepreneurs..............................................................................................................................9
5 Role of Information Technology in Business......................................................................................10
5.1 Internet Presence......................................................................................................................10
5.2 Accounting.................................................................................................................................10
5.3 The Use of PDAs in Business......................................................................................................10
5.4 The Future of Technology in Business........................................................................................10
6 Significance of Information Technology in Business..........................................................................11
6.1 Communication.........................................................................................................................11
6.2 Organization..............................................................................................................................11
6.3 Research....................................................................................................................................11
6.4 Software Technology.................................................................................................................11
6.5 Databases..................................................................................................................................11
6.6 Online Training..........................................................................................................................11
7 History...............................................................................................................................................13
8 Impact of Information Technology in G.F.C.......................................................................................14
8.1 Staff...........................................................................................................................................14
8.2 Communication.........................................................................................................................14
8.3 Information and Data Management..........................................................................................14
9 SWOT Analysis...................................................................................................................................15
9.1 Strength:....................................................................................................................................15
9.2 Weakens:...................................................................................................................................15
9.3 Opportunities:............................................................................................................................15
9.4 Threats:......................................................................................................................................15

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10 Recommendations.........................................................................................................................15

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Impact of it on organization
performance

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Umer Hassan Butt AD511879

1 Introduction
Information technology (IT), as defined by the Information Technology Association of America
(ITAA), is the study, design, development, implementation, support or management of computer
based information systems, particularly software applications and computer hardware.

It refers to anything related with technology, such as networking, hardware, software, the
Internet, or the people that work with these technologies. Many companies now have IT
departments for managing the computers, networks, and other technical areas of their businesses.
Since we live in the "information age," information technology has become a part of our
everyday lives.

Information technology is concerned with improvements in a variety of human and

organizational problem solving activities through the design, development, and use of
technologically based systems and processes that enhance the efficiency and effectiveness of
information in a variety of strategic, tactical, and operational situations. Ideally, this is
accomplished through critical attention to the information needs of humans in problem solving
tasks and in the provision of technological aids, including electronic communication and
computer based systems of hardware and software and associated processes.

Professional activities in information technology and in the attainment of information technology

systems range from requirements definition or specification, to conceptual and functional design
and development of communication and computer based systems for information support. They
are concerned with such topics as architectural definition and evaluation. These activities include
integration of new systems into functionally operational existing systems and maintenance of the
result as user needs to change over time.

In Pakistan the banking and manufacturing industries are also using IT to increase their
performance. IT has changed the nature of working for both the industries and banking sector.
The recent advances in IT have changed the way these organizations work. The implementation
of IT has positive impact on these sectors of economy. Information technology is playing a vital
and expanding role in business. Information technology can help all kinds of businesses improve
the efficiency and effectiveness of their business processes, managerial decision making, and
work group collaboration. Thus strengthening their competitive position in a rapidly changing
market place.

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2 Role of Information Technology

The business sector produces products and services for profit. Information technology describes
any technology used to create process and disseminate information that is critical to business
performance. Role of information technology is important to the business sector as a
management tool to optimize the processing of information to produce goods and services for
profit. Some of them are described as follows:

2.1 Process Improvement

Information technology (IT) includes the management information systems (computers,

hardware, software, networks) used to automate and support business tasks and decision making.
IT is used to automate simple, routine tasks such as word processing and advanced processes
such as production, scheduling and logistics. In this manner, information technology enables
businesses to operate efficiently and profitably.

2.2 Cost Reduction

Automation improvements achieved by deploying information technology usually decrease the

number of personnel required. Economies of scale gained through the deployment of information
technology reduce the overall cost for businesses to produce products and services. This has an
overwhelmingly positive effect on the financial goals of a business. Thus the role of information
technology helps the organization to reduce its cost.

2.3 Quality Assurance

Quality assurance entails systematic testing to ensure that a business is producing quality goods
and services for its customers. Rigorous quality standards help business outputs meet the
required specifications. Quality assurance can be used within processes such as marketing,
customer support and accounting, as well as product testing. The effective and efficient
processing role of information related to achieving quality assurance goals is a key to the
delivery of quality goods and services to business customers.

2.4 Communications

The business sector must communicate internally with its workers and externally with its
suppliers and customers on an efficient basis. Role of information technologies includes word
processing; publishing software, email, internal computer networks, and the Internet facilitate
these communications. Mobile devices including PDAs and Internet based social media networks
are evolving as contemporary information technology platforms for business communications
and becoming strategic to the business sector.
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2.5 Competitive Intelligence

Strategic, competitive advantage plays a fundamental role in the success of a given business
within its sector. Role of information technology has become fundamental to acquiring
competitive advantage. The combination of process improvements, cost reductions,
communications and quality assurance all contribute to the competitive advantage of a business
unit. However, the constant identification and analysis of new risks and opportunities are critical
to the ongoing success of a business. Evolving Internet aggregation technologies, including
social networks, blogs and subscription databases, are becoming important tools needed to
achieve and maintain advantages within the business sector.

3 Significance of Information Technology

The study of the development, implementation and management of the computer based
information is known as Information Technology. It usually includes the application of computer
hardware and software. IT is very important because it deals with conversion, storage,
protection, processing, transmission and retrieval of data. It is being used in almost all fields of
life. From a simple installation of hardware to the database management, IT is very important for
carrying out various important activities. IT has also contributed in enhancing globalization.
Through the use of Information technology businesses are also able to properly manage and
administer their regular operations and activities. Moreover, IT also enhances the networking in
businesses, which is very important for making good relations in the businesses. Companies are
nowadays moving from the manual data handling to computerized handling.

As we know that information technology plays an important role to maintain the technology and
the World for the future. However, it also plays a vital; role in the developing the new countries
because it really take part to produce such technologies that are really useful and economically
better for those countries. It increases the economy of those countries that produces the new and
the latest technologies. It is also helpful in identify the different types of critical problems that
take the moral of the future down and it is also helpful in suggesting the solution related to those
problems in the way of development of new countries.

There are many businesses which are in need of the software packages for satisfying their
operational as well as functional needs. For fulfilling this requirement, these companies sign
deals with the software manufacturing companies. Information technology is useful in ensuring
the smooth functioning of all the departments in a company such as the human resource
department, finance department, manufacturing department and also in security related purposes.
With the help of information technology, the companies in the automobile manufacturing sector
are able to get rid of any sort of errors or mistakes in the proper functioning of the tools used for
designing and manufacturing purposes. Due to the development of the information technology
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sector, the companies are being able to keep themselves aware of the changes in the global
markets.

The software applications and the hardware devices are known to be the main elements of the
use of information technology. The web browsers, the operating systems, ERP's and special
purpose applications are the software’s which are used in information technology. Information
technology plays an important role in easily solving the mathematical problems and also in the
project management system. Information technology has a great use in the automated production
of sensitive information, automated up gradation of the important business processes and the
automated streamlining of the various business processes. It has also played an important role in
the areas of communication and automated administration of entire systems.

All our work related applications are now completely automated. 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 up gradation.

4 Information Technology in Business

Information technology is any field that involves computer technology. This includes hardware
maintenance, software development, networking solutions and technical support. Modern
businesses all over the world rely on computers to function and maintain high standards of
efficiency and customer service. Without IT professionals, companies would not have qualified
professionals to help maintain the technological elements inherent to their daily business needs.

4.1 Speed

One of the main reasons so many business have turned to the IT world for their professional
needs is the sheer speed at which computers and related technologies can process information.
Email is a perfect example, as it eliminates the need to wait several days for a packet of
documents to reach a client or business associate. Worldwide communications used to occur
primarily through postal delivery. While still the optimal method for sending packages, printable
materials such as legal documents or contracts may now move much more swiftly via the
Internet. Businesses can receive news and updates which may provide vital insight into current
market trends or changes in a client’s needs almost instantaneously. Businesses are therefore able
to provide immediate assistance to clients and thus improve their customer service.

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4.2 Efficiency

Increased speed often leads to increased efficiency. While eliminating the need to wait for
packages or sensitive materials to arrive, businesses are able to receive and respond to changes
instantly. This improved response time almost guarantees a higher chance at eliminating
potential issues by allowing businesses to react quickly. Information technology also allows data
to be stored in formats, which make information easier to store or send. The space a business
saves by not having to maintain a room filled with filing cabinets and boxes of paper documents
allows a company to function in less space and thereby reduce the cost of office rental or
construction.

4.3 Multi-Tasking

Another business advantage of information technologies is the ability of computers to perform

multiple tasks simultaneously. Provided the hardware is able to support it, the operator may have
several different programs functioning at the same time. Furthermore, computers are generally
capable of performing complex calculations, such as mathematical equations or travel distances,
very quickly and accurately.

4.4 Low Cost

Computers themselves are much less expensive than they were years ago. As technology
becomes more common, the cost becomes more affordable. Furthermore, as already mentioned
computers may replace other means of document storage and thereby allow companies to trim
back on real estate expenses. Computers may also enable certain jobs to be eliminated. With a
single operator being capable of performing several tasks at once, less personnel is often required
to accomplish the same amount of work as before. Postal expenses and delivery costs may also
decline as emails replace mail correspondence. Though a staff of hardware and software
specialists is required to maintain operations, computers are an efficient means of eliminating
labor costs for other data processing jobs.

4.5 Entrepreneurs

The Internet has become one of the foremost means of communication. Most people have access
to a computer and to the Internet, thus making it easier to reach large masses of people all over
the world. Many people have opened their own businesses and begun making money at home.
Using information technology, a person may find a way to sell a product they manufacture
themselves, such as jewelry or clothing. Online advertisements are present on almost every
website and make it easy for consumers to find products and services offered by small business
owners. Anyone can launch their own website and begin pursuing promising careers without
having to concern themselves with expenses such as office space or commuting.

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5 Role of Information Technology in Business

Technology helps businesses maintain data flow, manage contacts, track processes and maintain
employee records. Technology makes it possible for businesses to operate efficiently and
effectively with minimal manpower and helps to reduce the cost of doing business. Technology
helps business operations by keeping them connected to suppliers, customers and their sales
force. Because of its ability to streamline operating costs, technology delivers instant access to
supplies and information, so businesses are better able to offer affordable pricing of goods and
services without sacrificing quality.

5.1 Internet Presence

Establishing an Internet presence is necessary even though your business may not be an
ecommerce type business. It allows current and potential customers to view your products and
services conveniently online. An Internet present gives businesses the ability to reach potential
customers worldwide. Certain products or services may not be in large demand where you live or
establish your business, but people in other parts of the country or the world may be searching
for exactly what you have to offer.

5.2 Accounting

With accounting software, many businesses are able to handle accounting functions without the
need for a CPA. The technological advances in accounting software have turned tracking sales,
invoicing, employee records and payroll into simple tasks with no specialized training required.
Some programs include notifications that alert the business owner when quarterly taxes and bills
associated with operating costs need to be paid.

5.3 The Use of PDAs in Business

Personal Data Assistants (PDAs) have become very important for business operations. These
devices make it possible for salespeople to be in constant contact with the office while working
in the field. The wireless technology of the PDA means that business can be conducted from any
location in the world. PDAs offers the ability to make phone calls, send email and instant text
messages, take still photographs or videos, access the Internet and obtain information instantly
and book flights and hotel rooms all from a small handheld device. PDA applications are
continually updated, offering more uses all the time.

5.4 The Future of Technology in Business

The progress of technology shows no signs of slowing. In fact, with the advent of the PDA and
other high tech devices, developers are finding new and very innovative ways to assimilate these

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products into society. A prime example of how technology has redefined business operations can
be seen by the use of social networking sites by advertising on YouTube, Facebook and Twitter.

6 Significance of Information Technology in Business

Information technology has a significant role in almost all areas of business. In fact, nowadays,
almost every kind of business has IT as one of its main components in office applications,
account software and other applications used in specific sectors.

6.1 Communication

Most businesses use emailing as one of their primary modes of communication. IT also provides
means of instant messaging through Internet.

6.2 Organization

The Internet has enabled business executives to hold conferences in real time environment.
Different IT tools are also used for sharing documents and managing spreadsheets.

6.3 Research

A number of organizations and companies use information technology to facilitate research and
surveys.

6.4 Software Technology

For most of the business companies, applications like MS Word, Power Point, Excel and Project
and graphic applications such as Photoshop play a key role in executing different tasks.
Additionally, software programs such as ERP (enterprise resource planning) allow firms to
integrate different business operations such as resource management, supply forecasting and so
on.

6.5 Databases

Many companies collect and store data, which can be accessed and processed anytime. Some of
the popular databases include MS, SQL Server and Oracle Database.

6.6 Online Training

Training remained a key concern of many businesses. With the help of IT, businesses have
managed to reduce their training costs significantly with the introduction of online training
systems.

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Umer Hassan Butt AD511879

Practical Study on General

fan Company Pvt. Limited

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7 History
General Fan Company (Pvt.) Ltd. was formed in 1954 as a small manufacturing unit for electric
fans. The company grew rapidly from its modest start because of the quality of its products. The
company was one of the major exporters of fans in 1960's to Iraq. However, the company was in
trouble in late 1970's due to differences in its partners. The present management took over the
company in 1978 and Engineer Muhammad Ilyas took over as Chief Executive of the company.
Under his dynamic leadership the company grew rapidly and G.F.C. became major recognized
brand for fans in the Pakistani market.

Mr. Muhammad Ilyas, the Chief Executive who is a foreign trained Electrical Engineer, brought
in new technologies for fan manufacturing from developed countries and improved G.F.C.
products in a continuous process.

The Chief Executive Mr. Muhammad Ilyas is a pioneer in the export of electric fans from
Pakistan. To initiate the export from Pakistan he attended an International exhibition for
electrical appliances in 1993 in Abu-Dhabi. The company also participated in many trade
delegations as well as exhibitions arranged by Export Promotion Bureau and Federation of
Chamber of Commerce & Industry In Bangladesh, Yemen, Saudi Arabia, Dubai, Bahrain. Qatar,
Sudan, Egypt, U.S.A. etc. G.F.C. was the first Pakistani company to export fans to the Middle-
East. G.F.C. Fans became an instant success due to their quality and durability in all the markets
where these were introduced.

General Fan Company has also set up a unit to manufacture capacitors used in electric fans,
washing machines and motors. Mr. Muhammad Ilyas (Chief Executive) and Mr. Muhammad Ijaz
(Finance Director) are always on the lookout for the latest technology for manufacturing of
electric fans as well as for corporate management of the company.

Now G.F.C. has established a new Computer department which keep its Executives update about
any inquires. This shows the interest of management not only in manufacturing technology but
they also know the importance of information technology. G.F.C. has stepped in this Millennium
fully equipped with manufacturing and information technology for Corporate Management and
Marketing.

G.F.C can rightly claim that they have all the best technologies in its workshops and in office
which are available for Design, production and Management.

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8 Impact of Information Technology in G.F.C

Technology has a major impact on business decisions in many organizations, especially those
where technology solutions are integral to critical operations. Often, technology is central to the
business itself, and larger organizations may employee a Chief Information Officer (CIO) whose
primary role revolves around technology based business decisions. G.F.C Pvt. Ltd. has also
incorporated with the glorious impacts of information technology. Information technology has
played a vital role in different departments of G.F.C fans. Some of the departments related to
technology are described as:

8.1 Staff

Technology plays a vital role in G.F.C decisions making about how to staff a business. At times,
decisions have to be made about what kind and number of staff to employ to manage and
maintain the technology itself. Information technology has made it possible to manage and
maintain the staff for productive and efficient work.

8.2 Communication

The role of technology in business communications is so encompassing that it is arguable that no

decision can be made in this area that does not involve technology solutions. All types of phone
systems, including office and mobile, are technology based and play a vital role in enhancing the
efficiency of the G.F.C fans. G.F.C Pvt. Ltd not only uses the phone system based technology for
communication but also Internet based communications have a major impact on how, where and
when business communication takes place. Many critical business decisions are communicated
through these technology solutions, so their impact is almost universal.

8.3 Information and Data Management

Critical business information are stored and retrieved through the business information
technology network in G.F.C Pvt. Ltd. Ongoing analysis and decision making are required on
how to maintain and secure this data. The chief executive Mr. Muhammad Ilyas is responsible
for ensuring that critical data is available and backed up in an offsite location. As with
communications technology, this data is the backbone of G.F.C fans.

Recently G.F.C Pvt. Ltd has launched an automated barcode attendance system which helps to
get the information about an employee instantly and immediately.

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9 SWOT Analysis

9.1 Strength:
 Patents.
 Plant New advance technology.
 Strong brand names.
 Good reputation among international customers.
 Exclusive access to high grade natural resources.
 Favorable access to distribution networks.

9.2 Weakens:
 No extra benefit to employee.
 Poor reputation among local customers.
 High cost structure.
 Lack of access to key distribution channels.

9.3 Opportunities:
 An unfulfilled customer need.
 Arrival of new technologies.
 Loosening of regulations.
 Removal of international trade barriers.

9.4 Threats:
 Shifts in consumer tastes away from the firm's products.
 Emergence of substitute products.
 New regulations.
 Increased trade barriers.

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10 Recommendations
General Fan Company (Pvt.) Ltd can grow rapidly by producing quality of its products with the
help of innovative new technology. Chief Executive has to provide extra benefits and bonuses to
the employees so that they will work whole heartedly. Management should look after his
employees by providing their children with education.

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