Examination on the Strategic Use of Information Technology in Tanzania Service Industries
MZUMBE UNIVERSITY
SCHOOL OF BUSINESS
MBA (CORPORATE MANAGEMENT) PRODUCTION AND OPERATIONS MANAGEMENT
“An Examination on the Strategic use of Information Technology in Tanzania Service Industries in Achieving and Sustaining Competitive Advantage and Suggestions for improving their effectiveness”
ACRONYMS GDP ICT IT SME TCRA HIV TB Gross Domestic Product Information and Communication Technology Information Technology Small and Medium Enterprises Tanzania Communications Regulatory Authority Human Immunodeficiency Virus Tuberculosis
Introduction Businesses can attain sustainable competitive advantage by utilizing Information Technology (IT) in responding to the changing customers’ needs and changing business environment. (Talebnejad, 2008). This demands the organization to know how to apply this technology, and also devise appropriate and cost effective method for successful implementation. For example in 2004, the study of the relation between investment in IT and sales performance found out that they are positively related. Moreover in the same study, more than 79% of managers believed that IT has a vital role in business success (Talebnejad, 2008). On the same perspective, Tanzania service industry is on the road to great success if the companies and organizations adopt and use IT effectively in transforming their organizations.
Service Industry defined Services industry is characterized by the intangible nature of their products. It covers a very wide spectrum of intangible tradable products such as banking, money transfers, insurance, telecommunications, business consultancy, health care, transportation, air travel, distribution services, hotels accommodation, recreational, tour operations, and many others. Tanzania Service Industry Since 1990s, Tanzania government embarked on major economic reforms that aimed at creating competitive financial and market system that that operate on market-oriented economic principles (Mtatifikilo, 1995). Since
SCHOOL OF BUSINESS
MBA (CORPORATE MANAGEMENT) PRODUCTION AND OPERATIONS MANAGEMENT
“An Examination on the Strategic use of Information Technology in Tanzania Service Industries in Achieving and Sustaining Competitive Advantage and Suggestions for improving their effectiveness”
ACRONYMS GDP ICT IT SME TCRA HIV TB Gross Domestic Product Information and Communication Technology Information Technology Small and Medium Enterprises Tanzania Communications Regulatory Authority Human Immunodeficiency Virus Tuberculosis
Introduction Businesses can attain sustainable competitive advantage by utilizing Information Technology (IT) in responding to the changing customers’ needs and changing business environment. (Talebnejad, 2008). This demands the organization to know how to apply this technology, and also devise appropriate and cost effective method for successful implementation. For example in 2004, the study of the relation between investment in IT and sales performance found out that they are positively related. Moreover in the same study, more than 79% of managers believed that IT has a vital role in business success (Talebnejad, 2008). On the same perspective, Tanzania service industry is on the road to great success if the companies and organizations adopt and use IT effectively in transforming their organizations.
Service Industry defined Services industry is characterized by the intangible nature of their products. It covers a very wide spectrum of intangible tradable products such as banking, money transfers, insurance, telecommunications, business consultancy, health care, transportation, air travel, distribution services, hotels accommodation, recreational, tour operations, and many others. Tanzania Service Industry Since 1990s, Tanzania government embarked on major economic reforms that aimed at creating competitive financial and market system that that operate on market-oriented economic principles (Mtatifikilo, 1995). Since
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