Understanding the Impact of Technology

Webster Dictionary defines technology as the practical application of

knowledge especiallyin a particular area. These "particular" areas

encompass every aspect of our daily lives. Technology is responsible for all

of the modern conveniences that we take for granted. Wheelen and Hunger

write that properly managing technology and innovation is crucial in a

fast-moving interconnected world.

Technological advances have shortened the amount of time it takes to

get a new product to the market. According to the text , in the past, 10 to

15 years went by before products were replaced by new ones- now it only

takes 4 or 5 years. Companies must be innovative in research and

development programs in order to gain any competitive advantage, or

maintain an already established advantage. However, a corporation must

have the technological competence to make use of any innovative

technology that their research and development programs develop.

The rapid development of technology in today's world does present a

down side.

Chicago (ILL) River North, " Illinois Institute of...

Scanned page of Sears, Roebuck and Company catalog...

English: Cycle of Research and Development, from "...

I think that many companies are in such a "rush" to bring a new

product to the market that they do no properly test it first. The american

automobile industry is often plagued by costly re-calls on new models of

cars, SUVs and light trucks. A second example would be pharmaceutical

companies having to pull a certain drugs off store shelves because of safety

issues.

A third example of a "downside" I would like to mention is from my

workplace. In 1994, Sears Auto switched from using hand-written repair

orders to using computer generated sales tickets. All tire and merchandise

pricing is kept on the computer. The big disadvantage to this system is

when the computer servers go down, work in the Auto Centers comes to a

stand still. All service and tire orders must be generated thru the computer

system. I think several other organizations encounter this same problem

during their dailey operations.

After reading the Strategic Management text, I have concluded that

technology has made a positive impact on the business world. Competition

has drivern corporations to maximize technological advances in all areas of

our world. Organizations must embrace technology in order to keep the

company both profitable and competitive.