Three_Dimensions_to_Business

The three dimensions to businesses are organizational, personal, and technological. Each of these essential dimensions of a business creates certain problems as well. The organizational structure of a business is generally set up as a hierarchy. A smaller number of people with greater responsibility and accountability are on top; these are generally the members of upper management, technicians, professionals, and other skilled workers. The lower levels of the hierarchy are the production workers and other more labor intensive personnel. Many times the levels in the organization have conflicting interests. Unions can have disagreements with management or owner practices and shut down entire companies. Some organizations have low morale from unpleasant work environments, unethical management practices, or lack of any positive corporate culture. Companies like Enron had managers that were in blind pursuit of profit, which created major problems for the company, investors, and the public’s perception of corporate accountability as well. The technological components of a business can be problematic as well. Many systems are outdated, operate poorly, or are inadequate for modern business needs. Some systems may be adequate for certain aspects of an organization, but not others. These systems also may not be able to communicate needed information to other areas of a business, causing more issues. Any of these technological problems can cause a significant loss in revenue. The difference between Information technology (IT) and an information system is; an information system is something that is used to collect, store, and distribute information; and information technology is the technical components and people that make the information system work. The information system is comprised of inputting, processing, and outputting data that can be refined for use in daily business activities. An example of an information system is the Auto CAD program I use at work. This program takes the data I enter in the form of measurements, speeds, feeds, tool steel material grade, cutter type and size, and creates a program that tells a Computer Numeric Control (CNC) mill or lathe what to do. Before Auto CAD all CNC programming was done manually line by line, each line being one command or movement on a mill. This information system turns a two day programming job into a four hour job. This increases our efficiency, therefore increasing company profits. The desktop computers, the Auto CAD program, the CNC lathes and mills, the machine shop I work in, and the workers in the shop all make up the information technology.