I.T Infrastructure and Emerging Technologies
Recently, the use of information technology has been increasing in usage. Despite having brought a revolution in how businesses are done, this has come with much spending by the businesses. Despite the high costs that the businesses have incurred, managers reckon that it has given them a competitive edge in the market.
Nicholas Carr, an information technology analyst, has suggested that the strategic relevance of information technology be on the decline. Initially, businesses were gaining an edge by using IT. However, with the development of different software and applications information technology has become cheaper than before. With this, Information Technology is no longer a source of competitive edge in business but is now a commodity that is necessary for the business. This means it is no longer luxury but a necessity.
According to Nicholas, development of usage of information technology can be likened to the development that took place in the past such as railway and electricity. Although these brought a competitive edge to the people that used them first, they later became a necessity to most people. Currently, some of the like the rail cannot benefit the business that uses them. There have been developments that have made them irrelevant.
Nicholas argues that managers should shun believing that using information technology will give them a competitive edge forever. His prediction is that, with time, innovations will be done in the industry. This means that changes will coke with these innovations and development in the industry. As such, it is not advisable for businesses to rely so much on information technology. When there will be a new infrastructure, businesses that have over relied on the same will lose a lot of their investment just like those that had over invested in former technologies like railway.