Impact of Information Technology on HSBC Company

The report discusses the impact of IT on the efficiency and productivity of HSBC's business operations. It highlights the benefits of computer networks, storage devices, and AI in reducing operational costs, improving communication, and providing better customer services. However, it also addresses the ethical and social issues related to data privacy and accuracy that need to be addressed. The report concludes that the investment in IT can provide significant benefits to the HSBC company, but it needs to be implemented and managed effectively to achieve the desired outcomes.

INTRODUCTION TO
INFORMATION
TECHNOLOGY

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
LITERATURE REVIEW................................................................................................................3
ANALAYSIS AND DISCUSSION.................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES................................................................................................................................1

INTRODUCTION
The information technology is referred as the use of network, computers, storage and
physical devices and its infrastructure as well as processes to store, create, secure and exchange
the data and information with the helps of electrical gadgets or devices. The role of the
information technology in the business is able to determine the data and plan the journey of
business with the use of trends and information which are presented in the business data. It helps
in solve the business challenges as well as helps in growth of company. The HSBC holding plc is
the financial service's company. Its is the largest financial company which provide the products
such as credit cards, loans, private equity, insurance, investment banking, etc. in London ,United
Kingdom (Colombo, 2020). This report will discuss the impact of informational technology on
the business efficiency, types of computing network with the impacts on business, importance of
ethical and social issue in the virtual world to run the business efficiently and impact of artificial
intelligence in enhance the business. This report will also elaborate the discussion on the HSBC
investing n informational technology with the benefits and drawbacks.
LITERATURE REVIEW
According to the Chege, Wang and Suntu (2020), Informational technology is use of
computers and telecommunications that study, store, transmit the data and information. HSBC is
the British multinational company which holds the financial services and it is the largest public
limited company in the London, United Kingdom. This company offer the financial services to
customers. The informational technologism is the combination of software, people, hardware,
internet that are performed and automate the tasks and job within the business organization. The
importance of the informational technology in the business and it plays a major role within the
HSBC organization. There are various impacts of informational technology it helps the business
to improve the business operations such as helps in increased the data security, informational
technology are also helps in save business money, it helps in better communication, it also helps
in improve the productivity and profitability business operations. The informational technology
also helps in achieve the uniformity and coordination within the HSBC bank operations.
Ibrahim and Jebur (2019) stated that the operation cost are also reduced and the manual
works are limited. The use of the mobile technology and software helps in reduce the operational

cost. The automation helps in reduce the cost of production and technology helps in produce the
outputs with the use of fewer inputs the improvements in the production technology helps in
leads to reduce the production cost. The information technology helps in increased the data
security which are most important for the HSBC bank. There are the ability to encrypt the data
and need the authentications to access and its not easy to get it. The business protect their private
data with the helps of information technology with the appropriate cybersecurity measures. The
informational technology are impact on the business operation to save the business money and
the informational technology helps in increase the productivity and profitability of organization
because the physical activities are reduced such as email the message to the employees and it is
more efficient and faster. It also helps in support employees with the chatbot and payroll which
are digitally transfers so the maintenance workload are also reduced within the business
operations.
Lekhawichit (2022) indicated that the information technology helps in improve the
productivity and efficiency within the workplace because it helps in effectively access the files,
instant feedback on the collaborative projects, project management tools, automated data
analysis and processes, password management, real time communication with the video
conferencing and faster task resolution and get the faster results. The information technology
also helps in provide the remote work to employees, employees can work remotely and take
advantages of the technology. This helps business that they hire HSBC employees by
geographical locations. HSBC company also get advantages of informational technology because
it helps that the task can be coordinated, organized and uniform. Its is easier for follow the
procedure and the information technology helps in provide the frameworks for the projects and
tasks that everyone in the HSBC can follow.
Kenwright (2018) stated that the ethical and social issues in the virtual world are that
issues which are not able to conducts the morale, values principles for conduct the digital
interaction between the people, business and things. The ethical and social issues can be
protection of privacy, misuse of personal information and data accuracy. The personal
information are important for the HSBC company because the personal information of
customers lack then the company face the ethical and social issues which can affects the
reputation and brand of business as well as affects the business services. The lack of personal
issues is the biggest problem for the business to run effectively. The muses of personal

information are not good for the company they can face the many issues such as lose of
customers and deficit in business world. The data privacy are most important for the business
and it is the ethical and social issues for the company. The data privacy is the security for the
business customers as well as its security for the company. The business should be complied
with the data privacy issues so the sensitive data of customers and company not get misused.
Sholihin (2020) also revealed that the business need to protect the personal information
of customers which are most important. The personal information that may stored by the
business is customer details, transactions, data collection, employees records, etc. that all
information must be recorded by the business. Because the data can be misused by the third
parties for the theft, fraud and scam. The author also found out that it can be affected the image
of the business and also affects the business effectiveness and efficiency. It can also interrupt the
experience of HSBC customers ad they can get dissatisfied because of privacy issues. It can also
hurt company reputation. There are various challenges which can be faced by the HSBC
company in regards the data privacy such as sophisticated phishing scams, third party frauds,
attacks focusing on the remote workers, etc.
In moreover, According to the Maloney, Zamanifard and Freeman (2020) there are
various privacy issues which can breaches the data such as hacking, tracking and trading that are
directly impact on the data privacy and it is not good for the business to run effectively. Hacking
the business data is most ethical and social issues for the company because it causes the business
reputation and so, the company needs to acquire the strong privacy for company to run
effectively. The author also stated that the accuracy of data are also important for the HSBC
company to run the business effectively and efficiently. They need to focus on the accuracy of
data and information which has been benefits for the business authority and power. The wrong
data collection can be issues for the business, and they may face some challenges which are not
good for the company. The accuracy and privacy are most important ethical and social issues in
the virtual world and Bank financial services company mainly needs to focus on the data privacy
and data accuracy.
Luz Martín‐Peña (2018) stated that the computer network are referred as the various
numbers of properties such as authorization, capacity, technology, structure, organizational
purpose, etc. there are various computer networks which impact on the business such as local
area network, wide area network, storage area network and wireless local area network, etc. the

computer network are for the boniness environments which includes the performance, network
traffic, network security, hardware, management, cost, maintenance requirements and
redundancy. The computer network helps HSBC company to run effectively and also provide the
various facilities that reduce the work loads and also decrease the working stress environments
which are mots important for the business in the networking world.
Langley (2021) revealed that the computer network directly impacts in business
operations. It helps in improved the communication gap between the employees, manager and
customers. This also helps in provide the larger storage capacity to business and helps in
improved the business communication which are most important for the HSBC company. The
modern network allow that the transfer of information at the relax time with the helps of internet
access and also provide the more flexibility to employees as well as helps in reduce the stress
environments of financial service company. The company also have the cost benefits of the
computer networking because the parer work also reduce and transportation cost are also reduced
as well as the company require to hire the fewer employees because the computer network helps
company in cots benefits and efficiency of business which are most essential for the financial
service's organization.
Attaran and Woods (2019) stated that the computer networking helps improve the
customers services and its directly impact on the business because the employees access the
information of customers with the helps of networking and serves the better quality of services to
customers and company can add the additional information of customers in the computing
networks so that another employees of HSBC can update with the customer's information in real
time. This helps inn provide the flexibility to customers, and they enjoy the better customers
services which are most important for the business productivity and profitability generate the
revenues for company. Without connected the computer the information can be transfer in real
time and it is effective for company as well as convenience to access the information and
improve the speed of daily task and business operations.
H NABBOUS (2018) founded that the local area network are mostly used in the business
where the company can interconnect the devices in the geographical areas and limits area for
managed and controlled the data and information from one location. In the context of wide area
network, that computer networking are used for interconnected that data in the large area and

also connects the communication devices and computers over the larger distances for the shared
the information and services of company. The company can user the WAN for the ATM
switches and use technologies to achieve the network connection. The wireless area network are
also used in the business which are directly impact on the efficiency and effectiveness of
company because in these network devices can be connected using the wireless communication
which and employees and manager can communicate from everywhere so, it is effective for the
HSBC company to run their business.
The storage areas network also helpful for the business because the company stored the
many data and information of customers within the organization and provide the financial
services to review their personal information. Recording and managing the personal data and
transactions of customers are most significant for the HSBC company so, it helps in improve the
performance and provide the application availability. It also helps in improve the security and
data protection as well as provide the data backup facilities which are most important for the
HSBC bank for the financial services.
Soni (2018) revealed that the artificial intelligence is the human intelligence process by
the compute systems, machines and application. The artificial intelligence are includes the
various methods for the business to utilize the intelligent computers for the improve the clients
experience, increase profitability, improve proficiency, support income and also change the
business developments. The organization developments are depended on the changes which are
drive by the business techniques to use the artificial intelligence in the business. The author
stated that there are various positive impact on the HSBC company and role of artificial
intelligence in the business such as automation recruitments, the machine learning used in the
business to hire employees in effective and it is beneficial for the HR departments because of
automating employees recruiting by the scheduling interview, screening resumes, trailing
applications, etc. the chatbots are also used in screening the employees for company.
According to the Di Vaio (2020) the artificial intelligence helps in personalize in
marketing and sales the HSBC products and services. That also helps in determine that what type
of products and services the customers will buy. The chatbot helps customer to provide the better
quality services and support customers to find customers issues and response customers in real
time. AI also helps in improve the security of business with the application and programmers
such as crime prevention and protection assurance that are mots essential for the HSBC company

to acquire the artificial intelligence into the network safety within the financial service's
organization.
Bolton (2018) stated that the artificial intelligence activity in reduce the operational cost
and also save the time of business. AI can help in save time of business with the helps of
automation. The automation of artificial intelligence helps in reduce the human errors which can
affects the productivity and profitability of organization as well as it also assist in improve the
customer experience and satisfied them to provide the better quality services. With the helps of
AI the company also perform their task and job in the efficient and effective manner and its
logistics operations such as planning, accounting, etc. the business used the AI for collect and
analysed the data in the accurate manner as well as build the marketing platform for the company
to providing advertising to find customers and analyse the data. They can develop the marketing
and sales to attract the more customers.
Rana (2022) indicated that the artificial intelligence can affect the business growth and
developments in future and provide new opportunities to business for the growth and
developments. AI allows the company employees to solve the complex problems with the new
technologies and can improve the quality services of customers. Employees trained regards the
AI, they can handle and manage the everyday task in effective way. AI rapidly change the
financial service industry in the business world and provide new possibilities with digital
information in organization processes.
AI also helps in compete the competitiveness of HSBC with the business growth
strategies and provide the information related to competitors promotion, customers, etc. the
company can take the most informed decision with the helps of competitive data information and
easily track competitors that what they do in business. The cyber securities are most important
for the financial services company because there are various risk of cyber attacks and threats
such as thefts and hack which can be faced by the financial company so, the network security are
also most important for the financial business.
ANALAYSIS AND DISCUSSION
As per the analysis and discussion on that advantages and disadvantages of the HSBC
company investing in information technology. The artificial intelligence is the machine learning
and deep learning in the business operation for the growth and developments of company. There
are various advantages that the business invest in the informational technology. The HSBC

company use the machine learning with the good amount of data and that helps in plan the smart
and perfect pricing for the business products and services.
The company require the various amounts of information to set the price such as
production cost, customer review, customers activity, competitors price and customers
willingness to pay. The face recognition are also used in business for the build better security for
future with AI. It also helps in improve the cybersecurity of HSBC company and company not
require to fear about the loss (Bhbosale, Pujari and Multani, 2020). It helps in enhance the
customers support and it is the beneficial for the company because customers are more
important for the HSBC company and it helps to reduce the customer's time and helps them to
chatbots are also available for the 24×7 hours for the customers to provide effective and reliable
services to customers. The artificial intelligence helps in provide the consistent result to business.
It helps in improve productivity and enhance the data security.
As per the drawbacks of HSBC company invest in informational technology that it
increase the dependency on technology without technology the business not bale to perform
effectively. The large cost involved and it expensive for business with using the latest technology
are the biggest drawbacks of HSBC company. The information technology are also required the
updates on the regular basis and it is the biggest challenges and issues for the business because
update also take time. If the information technology in business face some fault's hen the
business operations are also get stopped and it is the disadvantages of technology which are used
for run business effectively (Gelmanova, 2018). The company also focus on the security which
are also important for business privacy and protection but their can be risk of security and fraud
in relation to data. The employees can be more loss in the communication skills and there can be
internet security issues which can affects the revenues and profitability of financial service's
company.
It also affects on the people because they pay online, banking online and work online so,
it badly affects the individual life as well as affects the business if machine and online banking
machine will default then the work of HSBC can also et stop and it is the biggest advantages of
informational technology so, the company needs to know about that before invest in information
technology. The work of business will be also dependent on totally information technology and
business will not able to do function without technology. Information technology also make lazy
to employees and it is the biggest drawback for HSBC company.

CONCLUSION
As the conclusion, the information technology used the financial services company for
accomplish the goals and objectives and also used for improve the performance and profitability
of organization. HSBC company also used the information technology for provide the better
customers services and run business effectively and efficiently. This report discussed the impact
of AI on business that helps in improve the business operation to reduce the cost and save time as
well as provide flexibility to business. In the conclusion, the report also elaborated the types of
computer networks such as LAN, WLAN, WAN, etc. with their impacts on business as well as
social and ethical issues such as data privacy, data accuracy and misuse of personal information
consider in virtual world for run business efficiently.

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