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Growth and Profitability by Michael C. Donegan

By Michael C. Donegan

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Finance personnel typically rely on technological tools to do their jobs; however, they may not be so knowledgeable at maintaining the technology. If substandard tools are provided to professionals, they may have to fend for themselves when it comes to managing the secondary demands of the job (making their computer work or administering software) rather than focus on their primary objective (managing the budget and forecasting process). This human element of the finance organization can be a powerful resource for the organization if the right people are a part of the team and if they are allowed to generate and implement new ideas.

Distinguished from technology defined earlier, information systems have a broader impact on the entire platform of the organization’s technological capability. This term is used more on a macro-level as opposed to the term technology. Information systems give organizations the ability to gather data in the business environment and translate it to knowledge. They also provide the ability to communicate information and data within and outside the organization. Information systems provide a basis for evaluating customers COMPONENT PARTS 31 while allowing them to provide feedback to the organization.

Application Service Providers Outsourcing in its pure technological form is embodied in ASPs. ASPs are thirdparty vendors that rent software and information system capability. Enabled by the Internet, an ASP can provide the functionality of an enterprise resource planning tool (ERP), E-Commerce tools, customer relationship management (CRM) tools, or other accounting/tax software via web browser. For a flat fee the ASP takes care of implementing, operating, upgrading, and maintaining software for businesses.

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