Uses of Computer in Business
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The use of computer technology in business has provided many facilities. Businessmen are using computers to interact with their customers on a global scale and in the global market place. Many business tasks are performed more quickly and efficiently. Computers also help them to reduce the overall cost of their business.
A computer can be used in business in the following ways:
1. Marketing
Any business organization can use computers for marketing their products. Marketing applications provide information about the products to the customers. The computer is also used to manage the distribution system, advertising, and selling activities. It can also be used in deciding pricing strategies. Four major elements of marketing are product, promotion, place, and price. The marketing applications help managers to develop strategies and then combine these elements for better marketing.
2. Stock Exchange
The stock exchange is the most important place of businessmen. II is a place where brokers submit and receive their bids. Many stock exchanges are using computers for conducting bids. The use of paper is reducing rapidly.
Many stock exchanges have Launched computerized systems. The stockbrokers do all trading activities electronically. They can submit and receive bids using computers. They can also interconnect with computer display screens when brokers match the buyers with sellers. It reduces cost as no paper or special building is required to conduct these activities.
3. Banks
The use of computers in banks has provided my benefits. It saves a lot of time and provides convenience for the customers.
Computers are used to handle international trade in multiple currencies. The cheques are read by Magnetic Ink Character Read (MICR). Banks use mainframe computers to maintain customer accounts. The transactions are handled easily and quickly with a computerized system.
Many banks also provide the facility of Automated Teller Machine (ATM). The ATM is used to withdraw cash directly from the machine without the interaction of any person. Many banks provide credit cards that can be used to purchase different items using the Internet.
4. Departmental store
The user of computers in departmental stores has made business activities fast and accurate.
The cashier can enter the sales data on the computer by using Bar-code Reader. The bar-code reader reads the bar-codes printed on the items. The bar-code contains the price of a particular item. The computer uses this input to calculate the bill.
The record of sale is stored in the computer. This record can be used to analyze accounts and stock inventory. Different types of reports can also be generated from this record. The businessman can take important decisions using these reports to improve the business.
5. Office Automation
Office automation is the process of automating office tasks using computers. Many types of tasks are performed in an office. These tasks include:
- Decision-making
- Data manipulation
- Document handling
- Communication and storage
Many computer technologies are used to perform these activities in an office easily. Some computerized systems used in an office are as follows:
Document Management System (DMS) :
DMS consists of different applications like word processing, desktop publishing. reprographic, image processing, and archival storage applications.
1. Word processing is used to create documents electronically. It is used to produce high-quality letters, proposals, reports, and brochures, etc.
2. Desktop publishing is used to make these documents attractive with photos and graphics etc. It is used to publish the documents.
3. Spread Sheet Application is used to maintain records and calculate expenses, profits, and losses, etc. It is used to perform mathematical, statistical, and logical processing.
4. Reprographics is a process of reproducing multiple copies of a document.
5. Image Processing is used to scan and store an image on a computer. It can also modify and improve the quality of image.
6. Message Handling System: It is used to send messages or documents from one location to another. Many techniques are used for this purpose such as facsimile (fax), email and voice mail, etc.
7. Office Support System: it is used to coordinate and manage the activities of a work-group. The members of a work-group can share their work and coordinate with one another. Groupware and desktop organizers are examples of this system.
