Information Technology department consisted of a single Computer Operator, who might be storing data on magnetic tape, and then putting it in a box down in the basement somewhere. The history of information technology is fascinating. Information technology is driven by the demands of the new, competitive business environment on the one hand and profound changes in the nature of computers in the other. IT systems come in the shape of many technologically advanced devices which help deliver important to managers who in turn, use this information to make crucial decision regarding the operations of their organization.Information or Internet Technology can come in the form of computers, robots, sensors, and decision support systems. The newest form of Information & Technologies which is being implemented on the market today is the use of handholds to aid managers and subordinates in their day to day operations. Computer Technology Auditing (IT auditing) began as Electronic Data Process (EDP) Auditing and developed largely as a result of the rise in technology in accounting systems, the need for IT control and the impact of computers on the ability to perform attestation services.IT is revolutionizing how business operates. Advanced technologies is becoming the single-most powerful force shaping the structure and functioning of work organizations, plants, offices, and executive suites. When people hear the words “Information & business technology,” the first thing that comes to their mind are computers and the Internet. It may also bring up words like “network,” “intranet,” “server,” “firewall,” “security,” as well as more arcane expressions such as “router,” “T-1,” “Ethernet,” or the mysterious and exotic-sounding “VOIP.” the term “Business IT” is not new and has not always referred to things relating to computer. Information technology is as old as the brain itself, if you think of the brain as an information processor. As far as IT being a science, even that goes back as far as the earliest attempts to communicate and store data. And that is essentially what information technology is: the communication and storage of information, along with the ability to process and make use of the information stored.Information technologies is the use of computers and software to manage information. In some companies, this is referred to as Management Information Services (or MIS) or simply as Information Services (or IS). The information technology department of a large company would be responsible for storing information, protecting data, processing the techniques, transmitting the information as necessary, and later retrieving information as necessary. The benefits resulting from IT Technology benefits were in many different forms such as allowing all firms to accomplish tasks they had been doing before at reduced costs, it opened up possibilities to do things never attempted before, also allowed firms to “re-engineer” parts of their companies and make better strategic positions.
Today, organizations understand the value of speed, quality and above all technology in their routine operations. Finding the right technology for demanding business needs is a brain drain for many. Organizations instead have more significant things (the main business) to think of, other than the technology chase. The scope of technology is growing at a rapid pace. Business operations involve the use of several hardware and software and managing them all like an expert is close to impossible.To match up to the recent industry demand every organization ought to have a sound technical base which should be fast, flawless and updated. Knowing the importance of being a technically sound business has raised the need for hiring an expert IT service provider. To focus on their core competencies while keeping up with the technological advancement is the core aim of organizations for contracting out their IT services to domain experts.IT service providers offer a robust IT strategy which is critical in today’s business environment. Other than a strategy they also empower technology with the help of system integration, IT testing, application development, management services and solutions. This makes it easier for organizations to keep pace with technical requirements judiciously and concentrate on major processes to deliver high value to the current customer base. The numerous benefits of hiring an IT service provider don’t end here. Some of them are as follows:Saves CostOne of the major benefits of outsourcing IT services is that it has a positive impact on margins. It controls capital expense in the early period of operations. Various fixed costs are converted into variable costs with outsourcing, thus making the capital available for use in other areas of business. This fact enables a business to attract more investors because a business has more of the capital which can be utilized in various areas of operations that directly generates revenue.Controlled OutlayOutsourcing controls expenses which otherwise is not possible for businesses to control in the normal course. Every expense when made on an in-house operation involves costs, which are passed onto the customers. An established IT service provider is equipped with excellent business networks and helps in easing up the expense, thus offering a competitive edge in regard to pricing of products and services.Focus on key areasOutsourcing comes with the biggest advantage of allowing in-house team to concentrate on their core competencies and objectives. With some business processes involving dealing with customers who are important for business and dealing with some operations which are not that core as a competency and thus divert their efforts. Contracting out eases up the pressure and allows the in-house team to focus their efforts on core areas of business.