Inspired by new concepts and the changing business environment, this is a humble attempt at putting together the pieces of the complex (or simpler) world of IT and its effect on modern business

1. Modern developments in IT
and its Impact on
Business Strategy
By
Rajesh Kumar Iyer.A

3. Strategy is the direction and scope of an
organization over the long term: which achieves
advantage for the organization through its
configuration of resources within a changing
environment, to meet the needs of markets and to
fulfill stakeholder expectations”
Johnson, Scholes and Whittington
- (Exploring corporate strategy)

4. Essentially strategy involves setting the future
plans of the organization, but it requires a
comprehensive understanding of the
organization’s:
 Resources (such as cash, assets and employees)
 Environment (such as markets, political and economic issues,
customers and competitors)
 Stakeholders (anyone with an interest in the business, such as
shareholders, government, etc) expectations

6.  Big data is a term for a collection of data which is so
large that it becomes difficult to store and process
using traditional databases and data processing
applications.
 Big data often also includes more than simply
financial information and can involve other
organizational data (both internal and external)
which is often unstructured
 It is estimated that 90% of the information available in
the world today has been created in the last few years

7.  Social network traffic
 Web server logs
 Satellite imagery
 Streamed audio content
 Banking transactions
 Government documentation
 Financial market data

8.  Driving innovation by reducing the time taken to
answer key business questions and therefore
make decisions
 Gaining competitive advantage by identifying
trends or information that has not been identified
by rivals
 Improving productivity by identifying waste and
inefficiency, or identifying improvements to
working procedures

9.  Ford’s modern Hybrid Fusion model of car generates up to 25GB of
data per hour and the company is experimenting with the vehicles
that produce ten times that amount.
 Uses of this data:
 A computer model has been developed that projects CO2
emissions generated by the fleet of vehicles on roads worldwide
for the next 50 years. This helps Ford to balance the fuel
economy requirements and environmental considerations
 Mathematical models have analyzed millions of possible vehicle
combinations to assist in the construction of technological
roadmap which has resulted in the development of new
features such as Ford Auto Start – Stop
 Ford researchers have developed specific tools such as the Ford
Fleet Purchase Planner, which analyzes fleet customers’ needs
and identifies their optimal vehicle choices

10.  Delivery company UPS equips its delivery vehicles with sensors
which monitor data on speed, direction, braking performance and
other mechanical aspects of the vehicle.
 Uses of this data:
 Optimizing performance and routes has led to significant
improvements
 Over 15 million minutes of idling time were eliminated in one
year, saving 103,000 gallons of fuel
 1.7 million miles of driving were also eliminated in the same
year, saving further 183,000 gallons of fuel
 Total savings of more than half a million dollars in the year of
implementation

11. New York Stock Exchange – 1 TB per day

12. Facebook – 30 TB per day

13. Airbus A380 – 30TB per 30 Minutes!

15. Cloud computing, also known as 'on-demand
computing', is a kind of Internet-based
computing, where shared resources, data and
information are provided to computers and other
devices on-demand

16. 5 MB in 1956 1 TB in 2015

18.  Cost Savings: The most significant benefit is saving of
capital and associated costs of maintaining an on
premises IT infrastructure
 Manageability: Cloud computing provides enhanced
and simplified IT management and maintenance
capabilities through central administration of
resources, vendor managed infrastructure and SLA
backed agreements
 Strategic edge: Cloud computing allows the businesses
to forget about technology and focus on its key
business activities and objectives.

19.  Security concerns: Since the entire data have to be
trusted with the service providers
 Vendor lock in: Once setup, organizations may
find it difficult to migrate their services from one
vendor to another
 Downtime: Business processes may be
temporarily suspended since cloud service
providers take care of a number of clients each
day

20. I’m not afraid of storms,
for I’m learning to sail
my ship
- Louisa May Alcott