Advantages of Computers in Business

What Are the Advantages of Computers in Business?

Computers have tremendously improved the way businesses operate in their respective industries. Technology has advanced so remarkably that those who are not using computers in their business are at a major disadvantage against their competitors. In particular, there are several important advantages that computers can provide to small businesses.

Organization

Computers allow the application of different types of software that can help businesses keep track of their files, documents, schedules and deadlines. Computers also allow businesses to organize all of their information in a very accessible manner. The ability to store large amounts of data on a computer is convenient and inexpensive, and saves space. A computer's ability to allow a company to organize its files efficiently leads to better time management and productivity.

Self-Sufficiency

Computers have made staff and companies more self-sufficient by allowing them to do tasks that previously had to be outsourced. For example, a company can now use office software to create their own training material. Desktop publishing software can be used to create marketing materials. Online tax and accounting programs allow companies to prepare their own taxes. This allows the dominant operations of a company to remain in-house and empowers the company to become more independent and less susceptible to errors committed by outside parties.

Cost-Effective

Emerging technology makes new tools and services more affordable and allows companies to save on their staff payroll and office equipment. Because computers allow work to be done faster and more efficiently, it is possible for a company to hire fewer staff. In addition, with networked and relatively inexpensive computers, companies can store data more easily, saving on the cost of outside file storage, and can avoid having to purchase as many copiers, fax machines, typewriters, and other such items that were used before computers became popular. Correspondingly, potentially profitable businesses can be started with a smaller overhead cost. Email capabilities decrease postage costs; software applications reduce the need for large accounting departments, while videoconferencing reduces the need for travel. All resources saved will trickle down to the consumers, who are then provided with much more affordable products and service.

Speed

Computers help speed up other business operations. The collecting of consumer feedback, ordering of raw materials, and inspection of products is made quicker through the use of computers, allowing companies to operate much faster and to produce better quality results.

Cheaper Research and Development

Research and development, costs will also decrease with the help of computers. Scientific research can now be done using the Internet and computer software applications designed to develop and produce new products and services. For example, instead of a company having to do in-person focus groups on a potential new product or to determine their target market, the company can conduct a widespread online survey for a far lower cost. In addition, new models of a product can be created online using virtual pictures and drawings instead of having to be hand-drawn. These interactive models created using software programs can help bring the product and its features to life for a far lower cost than creating an actual physical model of the given product.

Sales

Computers can help generate higher sales and profits for businesses via a company website. Many businesses now operate online and around the clock to allow customers from around the world to shop for their products and services.