EQUIPHIRE

EquipHire

[Name of the Institute]EquipHire

Introduction

In the context of the contemporary global business environment, the concept of the business has become a very common phenomenon. In order to cope with the volatile and dynamic consumer demand, businesses have to develop flexible and interactive organizational structures. The integrative information systems that are implemented in the current businesses allow them to streamline the basic functions and operations. Considering the changes in the current business environment the IT sector has developed several significant information systems that enhance the effectiveness of the organizational activities (Bharadwaj, 2000, pp. 193). The success and effectiveness of an organization depends on the extent to which it is able to minimize the inefficient functions and personalize the services as the customer needs. This factor will allow the company to be able to achieve a strategic advantage and differentiate itself form the rest of the competitors.

The implementation of technology and high tech information processing systems in the businesses is a very complex decision. The fact is that in the current business environment the implementation of technology has become a crucial factor; however the success of the companies depends on the level of investment that they make in this regard. A company has to evaluate its business environment and the internal resources, and determine the ideal level of investment in the IT infrastructure. The investment has to be done as per the resources available to the company and as a result of a comprehensive cost and benefit analysis (Santhanam & Hartono, 2003, pp. 132). The management has to consider the opportunity cost of not introducing the latest technological information systems in the organization, and balance that with the financial cost of implementing these systems with in the organizational network. This is a crucial decision of the management as it would allow them to develop an e business model, while focusing on the financial position of the company. This decision has to be made in a time efficient manner, as the current business environment has become increasingly volatile, and the decision making process has to be highly efficient in nature (Amit & Zott, 2001, pp. 511). Otherwise the competitors can take an advantage and capture the majority of the consumer market. Hence the management decision regarding the investment in the e-business infrastructure has to be made in a short term basis, and as per the financial position of the organization.

Discussion

Business Description 'EquipHire'

EquipHire is a commercial and domestic equipment hire company, which has a comprehensive operational network consisting of 11 branches in metropolitan Sydney, Newcastle, and Wollongong. It is a family owned business which was started 18 years ago, and now has developed in to a highly successful and professional business entity. The company has drastically enhanced its cash flow conditions over the operational years and recently it recorded the turnover of more than $18 million, in the financial year 2012. The company employs a wide variety of human resources, with more than 78 personal; employed in various part time and fulltime ...