It Doesnt Matter Essay

1484 words - 6 pages

Nicholas G Carr in his article raises some key issues often discussed in our day-to-day lives. How important is Information Technology (IT) in our lives? Does it ease or complicate our activities. The author shares his opinion that Information Technology should be treated as a commodity and as a strategic position is losing its value. The author compares IT with electricity and railroads and concludes that they follow the same path. He illustrates phases of electricity and railroads and how they moved from having high opportunities to becoming invisible so much so that they did not matter. The author feels that IT does not have a competitive advantage and the importance given to IT ...view middle of the document...

Netflix used its Information Technology capabilities to build a highly automated distribution network that could deliver quality content directly to consumers Internet connected devices. Netflix used IT developments like descriptive, prescriptive and predictive analytics to analyze customer’s viewing history and provided them with eloquent recommendations. The story of Netflix enlightens us with the fact that IT used whether in isolation or shared can prove to be an invaluable advantage to a company.
The author believes IT is highly replicable. He feels since many IT functions can be reproduced, it has lead many companies to purchase and apply generic applications rather than creating custom applications for their companies thereby leading to economic obsolescence. However, the author fails to note that even though applications are generic, they have evolved and improved over time. The windows operating system software we used 10 years ago is different from what we are using now. Introduction of cloud computing has helped us achieve economies of scale, reduce spending on technology infrastructure, streamline processes and reduce capital costs which was not possible few years back. Infrastructure/Server virtualization has been a revolutionary technology in IT, providing benefits without being constrained to the physical world. Big Data technology analyzes large data with diverse volume, veracity, variety and velocity to reveal patterns, trends and interactions in human behavior. Companies like Google, Facebook, Starbucks, and Progressive are using big data as a competitive advantage to attract and retain its customer base. So, In my opinion instead of saying that IT is replicable leading to obsolescence, we should say IT is leading the way to make things bigger and better for us.
Thirdly, the author states that as IT is getting affordable, it is widely available making it a commoditized item. I disagree with this theory, IT resources send generic processes to off shore teams which helps companies reduce their cost and invest their precious investments in critical research and development activities which requires huge influx of capital. It is the technological advances and innovations that help us shed boundaries of communications. With the help of IT, we have grown from computers to laptops to tablets to smartphones and now smart watches. All these innovations require specialized skills and high capital investments. One of the highest expenses for an innovative firm is its investment in research & development, and such investments are possible only when it’s able to cut cost by employing offshore processes. And it is this innovation that has evolved our lifestyle from the days of using floppy disk, CD, DVD, flash drives to cloud based storage and wireless syncing and charging capabilities.
The writer shares his view that the demand for IT based advantages has matched its supply. But, we can learn from the past that this is...

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