Angel Terry The Meaning of Digital Firm Business Communications 204 The meaning of Digital Firm is nearly all of the organization’s significant business relationships with customers, suppliers, and employees are digitally enabled and mediated” (Laudon, p. 11). This is the meaning of digital firm in which it was given in our text book. This however, is not how I comprehend the definition of Digital Firm. I comprehend it in another way in which several other people may or may not comprehend the meaning but the word itself means what it says “Digital. ” Think about that.
Therefore the meaning of Digital Firm in my perspective is digital. Now, of course there is more to it than that but in a nutshell, in one word that is the meaning of this word. Digital Firm also means in my perspective is operating a business continuously and operating a business in a global workplace. It also is adapting business strategies to meet market demands, improving in inventory and supplies, making the relationships between customers better, and improving organizational productivity. ” N. A. (2012) All of these things tie in together to make up Digital Firm.
Weather these things happen digitally or manually it is all the same it has to happen in order to keep the company operating, the market going, the world flowing. Operating a business continuously is very important not only for that company but also for the economy. It takes businesses operating continuously for the economy to stay steady. It also means that people jobs in the market are safe. Something as small as operating a business continuously all lead back to Digital Firm. Adapting business strategies to meet market demands is another way Digital Firm comes in.
I am a graphic designer I am working toward marketing goals everyday at the company I work for. What makes it easier to do that is our internet and our computers. This is also an example of Digital Firm. The last one I will discuss is improving inventory and supplies. The best way that Digital Firm ties in with this is because several companies has a suppliers list and they also have an inventory list. They do not have to keep up with this list manually this list is kept on a computer and a program keeps up with how much inventory goes in and out and who the suppliers are.
This is also how Digital Firm works. Another link to Digital Firm is Technology. Technology is utilized in various areas within an organizations today using Digital Firm and is so important because of situations like I said before there are methods of keeping up with inventory and so forth. That is only one way technology is used however. Technology plays a major role in Digital Firm because Digital Firm is made up of nothing but the internet and web technology. With technology changing drastically everyday that would make Digital Firm changing as well.
Here is an example, companies would do anything to keep their clients or to take clients from their competitors. Who wouldn’t want to make it easier for their customers right? What I am getting at is this something else that Digital Firm makes possible is virtual meetings. If a client can’t come to the office and the company can’t go to the client but somehow they each have to meet well, there is a way for that. I don’t know of a company who is not in competition of the other company in trying to get clients and maintain their trust so that they keep coming back.
There is no doubt that virtual meetings is just the start the company proving to their clients that they will do anything to maintain their business. The way technology works in Digital Firm is “prior to digital technology, electronic transmission was limited to analog technology, which conveys data as electronic signals of varying frequency or amplitude that are added to carrier waves of a given frequency. Broadcast and phone transmission has conventionally used analog technology. Digital technology is primarily used with new physical communications media, such as satellite and fiber optic transmission.
A modem is used to convert the digital information in your computer to analog signals for your phone line and to convert analog phone signals to digital information for your computer. ” Parakhiya (2009). Let me give an example as to how technology helps in the Digital Firm. Back in 2008-2009 when the economy was bad and companies had to make adjustments to the company weather it was decreasing in the purchasing of inventory or letting employees go there was the flexibility there to do both because of the technology the company had.
There was flexibility to survive. Digital Firms give flexibility to companies in the time of the recession and how do you think they knew that they could survive on cutting out employees and cutting out the “middle man” because of information technologies. These companies maintained their systems digitally through information systems. We live in a time where everything is digital. Could you imagine the old filing system? I could not imagine going to the doctor and the nurses pulling my file from a cabinet. I know that my file is secure through a computer.
I know that when the doctor comes into my room he has paper work in his hands that I am sure is filed away somewhere but could you imagine having every piece of information on me how thick would my chart be? This is why there is a system. This is why companies rely on Digital Firm. What if Digital Firm did not exist the world as we know it would be dead because we would be lost no one would have a steady job, the economy would be gone and we would not be in a recession we would be in a depression, and then therefore we would have no use for technology.
Technology would be no use to us in a world that is dead. Digital firms are not only important but they are also very powerful. References: Laudon, K. , Laudon, J. , 2012. Management Information Systems VitalSource eBook for Herzing University, 12th Edition. Pearson Learning Solutions N. A. (2012)Digital Firm retrieved on November 2, 2012 from http://en. wikipedia. org/wiki/Digital_firm Vasantkumar, Parakhiya (2009) Managing Digital Firm retrieved on November 4, 2012 from http://www. slideshare. net/vparakhiya/managing-digital-firm