Preview

Summary Article of the Impact of Information Technology on Customer and Supplier Relationships in the Financial Services

Powerful Essays
Open Document
Open Document
1421 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Summary Article of the Impact of Information Technology on Customer and Supplier Relationships in the Financial Services
Introduction

Information technology plays an important role to support the relationships between customers and suppliers in financial industry. Different industry faces different competitive and different business practice. Besides, we can use information technology to determine the opportunities and threats to the relationships between customers and suppliers.

In this research, it focus on the financial service industry that is motivated by three factors which are the paucity of research in customer and supplier relationships in service industries relative to manufacturing industries, the sheer size of the financial service sector relative to other service sector and the potential for information technology to positively impact firm performance through channel expansion, cost mitigation and service level enhancement.

Financial service industry includes all Standard Industrial Classification (SIC) codes starting with the digit six. In this research, we only focus on those services typically classified as “financial”. Financial service companies are the earliest commercial users of information technology. Economic forces and technological advances, especially Internet has driven this consolidation across international boundaries and across type financial services. The financial service companies are relatively unique in regard to their value chains. Without possessing any intermediate product can add value to the finish product.

The financial services industry has been doing business electronically for many years. Some customer and regulatory statutes demand the use of paper-based transaction audit trails and reporting those transactions. However, the industry leaders will pressure them to adopt electric distribution and information management methods.

This report concerns on electronic connectivity, alliances and partnerships. There is a lack of understanding of and available insight into the emerging role of e-business as a delivery channel

You May Also Find These Documents Helpful

  • Satisfactory Essays

    It is usually more profitable in the long run for a company to keep existing customers than to find new ones. Financial services businesses – which are often in danger of being perceived as a commodity by customers – should take this to heart and work to deliver a level of service that keeps customers from switching to a different provider. Experience has shown, however, that most financial services businesses have much to learn about keeping customers.…

    • 542 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Business Realities

    • 299 Words
    • 2 Pages

    E-business uses the global reach of the Internet to connect customers, vendors, suppliers and employees together, and the information they need, to do a better job. It represents a secure, reliable, scalable and manageable framework that builds on existing technology investments to prepare for the future. It is about Web-enabling core business processes to improve customer service, reduce product cycle time, get better results from limited resources and sell products electronically. As a sales associate for Avon, I found the internet to be one of the best ways to offer customer convenience and efficiency. It also allowed me a better option of virtually advertising new and upcoming sales for to customers from the convenience of my home.…

    • 299 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    5 porter

    • 1835 Words
    • 8 Pages

    One of the biggest benefits of the Internet is its ability to allow organizations to perform business with anyone, anywhere, anytime. E-business is the conducting of business on the Internet, not only buying and selling, but also serving customers and collaborating with business partners. In the past few years, e-business seems to have permeated every aspect of daily life. Both individuals and organizations have embraced Internet technologies to enhance productivity, maximize convenience, and improve communications globally. From banking to shopping to entertainment, the…

    • 1835 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    The convergence of the Internet and emerging technologies has drastically changed the way companies do business. Most companies are looking for a way to understand the mission-critical challenges they are facing as a result of the e-business revolution. In its simplest terms, e-business (electronic business) takes key business processes and transforms the way a company does business by making efficient and cost-effective use of the Internet. Often companies redefine and reengineer their operations, their resources, core business skills and investment in technology to effectively reach the expanding global marketplace.…

    • 1032 Words
    • 5 Pages
    Powerful Essays
  • Better Essays

    Acc 557

    • 2303 Words
    • 10 Pages

    Johnson, E., Whang, S., (2002) “E-Business and Supply Chain Management: an Overview and Framework”, International Journal of Physical Distribution and Logistics Management, 11(4): 413-422, Retrieved on 13th February, 2013…

    • 2303 Words
    • 10 Pages
    Better Essays
  • Better Essays

    Role of It in Banks

    • 1575 Words
    • 7 Pages

    Banking environment has become highly competitive today. To be able to survive and grow in the changing market environment banks are going for the latest technologies, which is being perceived as an ‘enabling resource’ that can help in developing learner and more flexible structure that can respond quickly to the dynamics of a fast changing market scenario. It is also viewed as an instrument of cost reduction and effective communication with people and institutions associated with the banking business.…

    • 1575 Words
    • 7 Pages
    Better Essays
  • Powerful Essays

    Global Strategy

    • 1751 Words
    • 8 Pages

    The shift in global business has created a new form approach in global business landscape, thereby forcing firms to rethink their marketing strategies. The development in the global business environment stands out as having a dominating role in this shift. It is the business demand on the internet for increase and greater bandwidth. Global business is seen as the means to facilitate e- commerce by offering rapid transfer rate to open up multimedia delivery to small and medium size firms and individuals.(Dennis and Harris 2002, 12) The first shift has to do with the rapid growth and greater involvement of firms' in global business activities. In particular, the tremendous growth in outsourcing activities has necessarily engaged new entrants in global business-to-business (B2B) activities (i.e., importers) to which much greater attention should be paid. The second change is the transition to amore holistic approach to managing supply chain systems through greater coordination of entire distribution channels, alliances, and relational exchanges. To address the needs of their customers, firms require harmony and continuity in their supply chain systems and as supply sources are increasingly global, for example, through increased outsourcing, relational exchanges and alliances have become much more important. The third development fostering a major change in how firms conduct business and compete is the transition to electronic forms of exchange, particularly with respect to information access, storage, and retrieval. (Dennis et al) maintain that the rate of innovation and technological change puts extraordinary and unique pressure on the companies as they struggle with the demand of 24/7 economy (ibid). As we continue to embrace the advent of information technology we should also remember that all cannot be done or will be done by information technology, even thought it plays a great role in today business. According to kanter , in our…

    • 1751 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    Impact of Ict on Atms

    • 4932 Words
    • 20 Pages

    Information Technology has over the last four decades made a tremendous impact on the organization affecting products, services, and the business processes at large. Firms have basically found out opportunities to use the Information Technology to reduce their costs, improve quality and increase their efficiency towards serving their customers. From other individual cases, its evident that investments in Information Technology has provided a greater competitive advantage to the firms.…

    • 4932 Words
    • 20 Pages
    Powerful Essays
  • Satisfactory Essays

    ebis112 assignment

    • 375 Words
    • 2 Pages

    For their products and services, managers gradually build an intimacy between suppliers and customers through information systems. As a result, there is a growth in communication between them and a decrease in the cost of production and services, which help the online purchase, advertising electronically and soliciting customers’ feedback reach a high level of efficiency. These accelerate the speed of respond to marketing demand in terms of products and services; Walmart’s retail link is such an example.…

    • 375 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Mr. Kennedy

    • 1366 Words
    • 6 Pages

    E-Business strategies and technologies followed by organisations in the B2B sector, B2C sector, B2G and C2G sector.…

    • 1366 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    information system

    • 1662 Words
    • 5 Pages

    E-mail, online conferencing , and cell phones have become essential tools for conducting business . Information system are the foundation of fast paced supply-chain. The internet allows many business to sell , advertise , and solicit customer feedback online. Organizations are trying to become more competitive and efficient by digitally enabling their core business processes and evolving into digital firms. The internet has stimulated globalization by dramatically reducing the cost of producing , buying , and selling goods on a global scale. New information system trends include the emerging mobile digital platform , online software as a service , and cloud computing. Oppa Trading Limited should use strategic business objective of information system. By using those objective they could improve their operational excellence , create new product , business , and business models. They could also increase their customer and supplier intimacy , and improved decision making.…

    • 1662 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    Ebusiness Infrastucture

    • 5771 Words
    • 20 Pages

    Introduction “The infrastructure of e-business has become a mission-critical component of today’s global enterprise that can not be overlooked. Judging from the impact of recent outages in some of the industry’s leading e-business providers – and from the concerns expressed by leading CIOs and CTOs in e-business – the risk of infrastructure problems continues to grow.” 1 Few technologies have revolutionized business more than the advent of the Internet. Since the mid-nineties, companies all over the world have been quick to realize that the Internet’s true value is not in people’s ability to browse the Web or send e-mail, but rather, in the new opportunities it creates for enhancing business processes, reducing costs and increasing profits. However, e-business is not simply defined as e-commerce transactions; it is about using technology to redefine old business models in order to maximize customer value. With the relentless evolution of e-business technology, non e-business models and organizational structures will be faced with increasing pressures. Competition will exploit Internet technology as much as possible. New competitors will emerge out of nowhere using new business models and an enhanced customer experience to take away market share and mind share. In order to compete – some might even say survive – in this new economic era, a company must be able to react quickly to challenges – constantly innovating their processes to stay in step with technology and ahead of competition. To…

    • 5771 Words
    • 20 Pages
    Powerful Essays
  • Powerful Essays

    E Banking

    • 4103 Words
    • 12 Pages

    Schlossberger, O 2014, 'Regulation of electronic payment services ', International Journal of Management Cases, 16, 4, pp. 65-75.…

    • 4103 Words
    • 12 Pages
    Powerful Essays
  • Best Essays

    Xie.T.F. and Johnston.J.W. (2004) Strategic alliances: Incorporating the impact of e-business technological innovations. Journal of business and industrial marketing. 19 (3) 209…

    • 1930 Words
    • 6 Pages
    Best Essays
  • Good Essays

    Information technology (IT) is a strategic resource that facilitates major changes in competitive behaviour, marketing and customer service (Kotler, 2007:312). In other word, it is the automation of processes, controls, and information production using computers, telecommunications, software and ancillary equipment such as automated teller machine and debit cards. It is a term that generally covers the harnessing of electronic technology for the Information needs of a business at all levels. Ifezue (2003:38) lists some banking services that had been revolutionized through the use of information technology as including account opening, customer account mandate, and transaction processing and recording.…

    • 10390 Words
    • 42 Pages
    Good Essays

Related Topics