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Infrastructure Meaning

Infrastructure meaning: in business, economics, geography, in history, in software. Infrastructure is defined as the basic, underlying framework or features of an organization and system.

Infrastructure meaning: in business, economics, geography, in history, in software
Infrastructure meaning: in business, economics, geography, in history, in software

It can also be understood as the main structure of an organization that facilitates the working within that organization. For instance, in your house, infrastructure is the weight-bearing walls, a system of beams, and every element of the foundation that keeps it standing.

But the definition of infrastructure is not bound to buildings and homes; this term is used in the military as well. Military Infrastructure refers to the equipment and structure of a country or region.

Roads, school buildings, and bridges are part of our national infrastructure and these structures are required necessarily for the continuous growth of our communities. The word infrastructure is formed from a compound in English using the prefix infra meaning underneath and below.

The key factors of infrastructure are it is the basic system that undergirds the structure of the economy. Infrastructure is required on both a small and large scale.

On a small scale, it is the basic need of the private firms and local collection action whereas on a large scale infrastructure is usually produced by public regulated monopolies or public sectors. The investments made for infrastructure tend to be less volatile than some other assets and sometimes it is even sought as an investment.

Understanding infrastructure is important for the further understanding of its importance in business, economics, geography, history, and software.

Applicable to all large and small organizational frameworks, infrastructure covers a variety of systems and structures as long as the physical components are required. For instance, the electrical grid across a city, country, or state is based on infrastructure equipment and its intent to provide a service to the areas it supports.

The physical cabling and the components contributing to the data network of a company working within a specific location are also the infrastructure for the business in question as they are needed necessarily for the support of business operations.

In Business

Relation to business infrastructure refers to the basic facilities and structures that are necessarily needed for the full operation of the business. An example of the type of business infrastructure is an office building on which a company and its business run.

Therefore, the impact of infrastructure on business should be prioritized when developing strategies are concerned. In politics, infrastructure refers to ports, transportation, phone towers, buildings, the internet, police stations, fire stations, and all basic facilities. These types of infrastructure are very important for business growth and economic development.

Relating to business a question may come to your mind: what happens when a country invests in infrastructure? When a country invests in infrastructure then businesses become capable of delivering more goods and services.

Depending on various factors such as budget, the level of production of the products and services can be increased to a great margin resulting in long-term and faster economic growth. When a country develops a good infrastructure the citizens get benefits from it as well. That is the reason that the government with the aid of the private sector channels funds for economic infrastructure development, repair and maintenance.

For instance, when the roads are fixed or new ones are built at the required time the transportation industry of a company will boast itself because when the transportation will operate with efficiency, goods and services will be expected to be delivered on time or even faster than that estimated.

Infrastructure is an essential component that serves as a connection between markets, businesses, and their employees. It is assumed that without infrastructure businesses will experience bottlenecks and some won’t survive any longer.

In Economics

The development of a country is wholly dependent on the availability of infrastructure facilities as it plays a vital role in the improvement of the country’s standard of living. It also plays its part in growing the economic rate higher.

In economics, infrastructure refers to the activities, services, and facilities that support the operations and production of the sectors of the economy. These facilities, services, and activities will help in increasing the overall productivity of companies and businesses which will ultimately result in an increased economy for the country.

Economic infrastructure is also of prime importance as it facilitates the smooth running of the production sectors of the economy.

The infrastructure of the economy is also called social and economic overheads and they include railways, ships, roads, science, technology, banking, education, and other public concerns. Without the existence of these economic infrastructures, the growth and face pace of the country cannot be expected.

Economic infrastructures can be classified into 2 types. These are:

Social Infrastructure

The concern of social infrastructure is with the supply of services that are required to meet the needs of society. Simply, social infrastructure refers to necessities such as training and education.

It also includes drinking water, health and sanitation, sewerage, and many more. Social infrastructures are also known as social overheads. These social overheads indirectly contribute to increased productivity and the economy sees the results after some time. The production of social infrastructures is meant to be for the long run.

Physical Infrastructure

Physical infrastructure is the second type of economic infrastructure and it includes those infrastructures that directly relate themselves to the needs of production such as industry, trade, and agriculture.

In other words, physical infrastructure directly supports economic growth and a few examples of it are telecommunication, banking, transportation, insurance, energy, and irrigation. The economy is affected by physical infrastructure immediately and leads to continuous and immediate growth in the short term.

In Geography

One thing that we can all agree on is the need to improve the infrastructure. Different projects are going on all around the world contributing to the development of infrastructure. Along with its need in business and economy, infrastructure also holds great importance in geography.

In geography, infrastructure refers to the systems, structures, and facilities that are serving the economy of a city, country, town, area, business, or industry. The infrastructural geography examines the organizational structure and material of social life in diverse settings including different roles such as the role of host or state of other mediating institutions.

Why is infrastructure so important? You may have heard the more ingredients you have the bigger the cake is. If some ingredients are missing, then the taste of the cake would not be as good as it could it.

The same is the condition in the case of geographic infrastructure as by spending more on infrastructure, the government of various companies such as the United Kingdom and other developed nations is hoping for a bigger economy or you can put it in another way as they are spending this money to make more money.

In History: Infrastructure meaning

The history of infrastructure says that before 1700 infrastructure only consisted mainly of roads and canals as development was to be welcomed in the upcoming times. At that time, the main purpose for which canals were used was irrigation whereas sea navigations were aided by lighthouses and ports. Some advanced cities had aqueducts that were served for baths and fountains while fewer had sewers.

The earliest railways were in use for working processes such as being used in mines or to bypass waterfalls and were pulled by horses and people. It was in 1811 that John Blenkinsop designed the first successful and practical railway and the lines of these railways were built connecting the Middleton Colliery to Leeds.

Nomadic hunters were builders creating stone tombs, stone circles, and barrow mounds but creating and maintaining a system of roads would not be worth the energy.

Roads began to gain importance after the agricultural revolution and the concept of communities started to develop all-around with farming needed to be clear with consistent routes for trading and traveling.

With time, the construction of roads became formal and roads and bridges began to be built with geological features rather than skirting them. All these revolutions were welcomed for the establishment of new and stabilized infrastructure.

In Software

Have you ever heard of infrastructure software? It may be a new concept for many readers as they might be thinking about how software and infrastructure are related to each other but you know that software infrastructure is also one of the types of infrastructure.

It is a type of enterprise program or software that is designed specifically for helping organizations to perform their basic tasks such as workforce support, internal services, business transactions, and other processes.

The most common examples of infrastructure software are email, communication software, security applications, and database programs. The second name of infrastructure software is integration software or middleware.

The purpose of infrastructure software is to ensure that people and systems working for an organization can connect and do their jobs with accuracy and ensure the efficient execution of business processes, sharing of information, and managing connections with suppliers and customers.

This type of software is also necessarily related to and used for the market but it is more related to operations so that business applications and processes can run effectively.

It can be automatically configured to alert users about the best practices and discoveries based on the current activities of the industry and accordingly knowledge and expert systems also fall in this category.

Read also: What is Information Technology? ; Forex market hours, what time they open

External resource: Thought

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