Advantages and Disadvantages of Computers in Business

The advantages of computers in business include improved work efficiency, reliable record keeping, effective communication, business research and marketing. However, computers contribute to unemployment, health issues and require additional infrastructure for effective operation

Advantages of ComputersImproved work efficiency: Compared to human beings, computers do not suffer from mental and physical fatigue. Computers are able to produce consistent output regardless of other external factors. This level of precision and consistency is very useful in fields like accounting and manufacturing.

Reliable record keeping: Computers can store larger volumes of business data for a longer period of time. In comparison to physical files, data stored in computer disk drives occupy less space hence are cheaper to store. In addition, files stored in computers are easily accessible.

Business research: In order to succeed, a business must be able to gain a competitive advantage in the market. This can be achieved through extensive research. Through the Internet, computers facilitate business research by providing access to vital information from different parts of the world. This enables the business stakeholders to make informed decisions to the advantage of the business.

Marketing: Through the Internet, computers can be used a business marketing tool. The Internet provides an avenue for the business to reach out to new customers. In addition, internet marketing can be targeted toward a specific niche hence improving the business performance.

Communication: Communication is a key factor for the success of any business. With computers, business stakeholders can communicate via emails, bulk short message service and video conferencing. In addition, communication via emails can be retrieved and referenced in the future.

Creating and editing business documents: Computers are used for creating and editing documents, such as books, brochures, catalogs, letters and posters. The use of computers makes such documents have visual appeal and minimize typing and grammatical errors.

Disadvantages of ComputersLoss of employment: Computers have the ability to carry out several tasks effectively at a cheaper cost. In this regard, businesses may choose to replace human labor with computers. Such reduction of labor affects the economy in a negative way.

Health issues: Staring at computers for long hours may result in eye-related problems. In addition, computers reduce the mobility of employees in the workplace. This reduction in physical exercise may contribute to instances of weight gain and other related diseases.

Additional infrastructure needs: For computers to serve the business effectively, they need additional infrastructure, such as specific software. This software is used to accomplish specific tasks, such as accounting, keeping inventory, data management, opening files and prevention of computer viruses. Computers need constant maintenance for effective performance. In this regard, larger businesses are obliged to enter into maintenance contracts with computer specialists. This results in additional costs for businesses.

Computer crimes: Through the use of malicious software, hackers may gain access to private business information. Loss of such information may negatively affect the reputation of the business and hence may lead to loss of customers. In addition, such private information may be sold to other business competitors thus resulting in unfair competition in the market.