What is digital firm?

                The basic definition of digital firm media is one in which nearly all of the organization’s significant business relationships with customers, suppliers, and employees are digitally enabled and mediated. This is used in business processes, or a set of logically related tasks and behaviors that organizations develop over time to produce specific results a unique manner in which these activities are organized and coordinated.  How a business does things is important to keep track of and know as it offers a competitive edge. Key corporate assets like intellectual properties are all managed through digital means. 

                One of the strengths of a digital firm is twenty-four hour access to the information to make key decisions regarding that business. The information can be accessed anywhere. For instance, someone could be in China instead of the main office in Delaware and still be able to make the calls because of the easy access to the data.

                Time shifting and space shifting are two parts of digital firm used by companies to do business on a global scale. Time shifting means someone can do business at any time; he or she is not limited to a normal 9 a.m. to 5 p.m.  Space shifting is that business is done nationally and internationally there are no boundaries. Work can be accomplished wherever it is most productive.

                Many companies are using the internet in every part of their business. The companies that are not fully digitized are moving that way over time. Email has replaced regular mail, and it is easy to communicate through things like Lync. Lync is a way to correspond to coworkers through instant messaging. Instead of being face-to-face people can also have meetings virtually with web cams.

                An essential component of the digital firm is its interdependence on information systems. It’s like the married with children line “you can’t have one without the other.”  Digital firms depend on technology and have a need for constant growth. A company’s five year strategic plan partly has to be based on what technology, or systems can do.

                An information system is a key factor in operating a business. The more efficiently information is accessed the more profit can be found. A good example of this is Wal-Mart. Wal-Mart has a retail link system so that when one product is sold to a customer, the supplier knows and can ship out the replacement. Information systems also improve customer relations, decision making skills, offer a competitive advantage.

                Whether or not a business survives today means how quickly it can adapt to ever changing technology. For example, a bank with no ATM would most likely not be open today. A company has to move with the times and be up to date. Most every business transaction today is done electronically and it is a necessity of doing business.