This lesson presents to the learner the importance of computers in business and the advantages of using computers in business

1. UKWIMI TRADES TRAINING
INSTITUTE
COMPUTER APPLICATION
TERM 1 – SESSION 3

2. TOPIC COVERED TODAY:
IMPORTANCE OF COMPUTERS IN BUSINESS
•Office Automation
•Stores large amount of date and information
•Improves Productivity
•Sharing of data and information
•Competitiveness
•Security
•Marketing
•Cost Benefits

3. IMPORTANCE OF COMPUTERS IN BUSINESS
• Computer plays an important role in business environment as every
organisation adopts it in some form or the other to perform the tasks
in effective manner.
• In the past few years’ rapid development in IT, particularly in
communications, electronic service networks, and multimedia have
opened up new opportunities for corporates.
• All these are contributing towards new and effective ways of
processing business transactions, integrating business processes,
transferring payments and delivering services electronically.
• It has affected the business in the following ways:

4. Office Automation
• Computers have helped automation of many industrial and business
systems.
• They are used extensively in manufacturing and processing industries,
power distribution systems, airline reservation systems,
transportation systems, banking systems, and so on.
• Computer aided design (CAD) and computer-aided manufacture
(CAM) are becoming popular among the large industrial
establishment.

5. Stores large amount of date and information
• Business and commercial organizations need to store and maintain
voluminous records and use them for various purposes such as
inventory control, sales analysis, payroll accounting, resources
scheduling and generation of management reports.
• Computers can store and maintain files and can sort, merge or update
as and when necessary.

6. Improves Productivity
• With the introduction of word processing software, Computers have
recently been applied to the automation of office tasks and
procedures.
• This is aimed at improving the productivity of both clerical &
managerial staff.

7. Sharing of data and information
• Due to networking of computers, where a number of computers are
connected together to share the data and information, use of e-mail
and internet has changed the ways of business operations.

8. Competitiveness
• Computers offer a reliable and cost-effective means of doing business
electronically.
• Routine tasks can be automated.
• The customers can be provided support round the clock, which is 24
hours a day.
• With advancement in IT sector, corporates are spreading business
around the world thus, increasing their presence and entering new
markets.

9. Security
• To provide security to data and important computer programs, almost
every organization has some security programs to avoid the illegal
access of the company’s information by unauthorized persons.
• The three fundamental attributor of a security program are
confidentially, integrity and availability which allow access to only
authorized persons in an organization.

10. Cost Benefits
• The extensive availability of internet based information means that
companies have a wider choice of suppliers which leads to a more
competitive pricing.
• Due to the presence of internet the role of the middleman becomes
less important as companies can sell their product or services directly
to the customer.

11. Marketing
• Corporate engaged in e-business can take help of their respective
websites to create brand awareness of their products, thus, creating
new avenues of promotion of their products.
• In addition, companies’ websites can also provide better services such
as after sales service to the customer.