Implications of Information Technology on Lloyds Banking Group

This report discusses the implications of information technology on Lloyds banking group, including the role of IT, ethical and social issues, types of networking technologies, the importance of internet, and stages of system development.

Individual Report

Abstract
Information Technology (IT) is giving its great contribution in success of any business. It
provides facility to run all business activities in the fast manner. Without IT a company or
business can't able to survive in respective market. There are implications of information
technology on Lloyds banking group has been discussed in this report. Different aspects of
information technology also has been mentioned in report. Mainly this report shows the actual
value of IT in service sector.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
LITERATURE REVIEW................................................................................................................1
Role of Information Technology (IT)..........................................................................................1
Ethical and Social Issues..............................................................................................................2
Types of Networking Technologies.............................................................................................3
Importance of Internet..................................................................................................................4
Stages of System Development...................................................................................................5
ANALYSIS AND DISCUSSION...................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
IT (Information Technology) currently plays great role in businesses or companies,
because IT gives opportunity to businesses for improving their existing performance in the
market. Nowadays, many technological gadgets, machines, tool and equipments are available in
the different markets which very supportive in success of any organization. Many companies are
expending huge amount of fund in market to implement the latest technology in their daily
operations. Many business experts said that IT is one of the best sources to company which helps
in saving lots of precious time, money and efforts, etc. Information technology supports in
increasing productivity of a company as well. This report discusses implications of information
technology on Lloyds banking group. It is one of the major banking companies in the United
Kingdom. Different types of networking technologies, importance of internet, ethical and social
issues etc. has been discussed in this report.
LITERATURE REVIEW
Role of Information Technology (IT)
According to Jiang, Klein and Fernandez (2018) information technology is currently
playing great role in success of Lloyds bank, because technology always gives opportunity to
this bank to run it's all banking activities productive and fast manner. Top-level management of
bank always believes in using new and latest technology in their daily operations, because it
helps in increasing existing productivity of bank. Currently this bank has great market reputation
and goodwill in market, because it has succeeded in providing quality services to their
customers. In this case, company capable for providing quality services because of information
technology. Currently bank has very effective IT department or team as well, which day or night
works for implementing advance technology in the business operations.
Nowadays online baking is very popular in the market. People are currently completing
their banking transactions at any place and at any time, because company gives them proper
technological banking support. A customer of bank no need ton come at its branch for
completing any banking task. Reason is, bank is providing all banking facility at home of a
customer through information technology. IT department of company always focuses on
implementing new technological gadgets and tool in their daily operations which can help in
saving lots of precious time and money of company and customers. That's why people like to be
a customer of Lloyds bank.
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The top-level management should always use these technological gadgets and tools to run
its banking operations on progressive path. On the basis of Baller, Dutta and Lanvin (2016) it is
too necessary for the company, otherwise company's banking business will become failure in
service sector. That's why upper management in each company including this bank need to take
advantages from information technology aspect. Currently there are huge competition in the
UK's banking sector, in which it is important to this banking company for continuously using IT
in their daily operations. Information technology department of bank still need to be more active
in their job role. Reason is, if department will not take actions on towards using latest and new
technology in their workplace, then this bank will become failure in service sector.
Ethical and Social Issues
There are many ethical and social issues that pertain to running Lloyds bank. Top-level
management of bank is responsible to consider those all ethical and social considerations which
can affect bank in both way positively and negatively. Ethical and social issues always affect this
bank negatively. The management of bank mostly takes various steps towards solving these
issues, but many times these issues become out of control, and then start to negatively affect to
bank. For example; company always follow and adhere all business laws and regulations in their
daily operations, but many times company put pressure on their employees to complete decided
targets on time. Then bank's employees needs to work overtime for completing their respective
targets, in which company not provides them favourable incentives as well. In this case, it is
completely violation of business ethics. That's why bank always need to follow ethical and social
considerations in its business environment. If management can follow these, then bank will able
to run all banking operations ethical manner.
As illustrated by Schönhals and et.al., (2018) privacy and confidentiality is another big
ethical issue which bank many times faces in their business operations. In banking sector, each
banking company is responsible to hide privacy and confidentiality of their customers. But many
times some cases raises in baking sector that, where a bank leak account details of a customer
publicly. In this case top-level management of bank need to take various decisions towards
dealing with these issues in productive manner. Bank is able use some legal terminologies which
can support in solving these issues. Currently employees are great resource to company which
always put their great efforts in daily operations of bank, in which management need to interact
with them for knowing their issues. Lloyds bank is capable to deal with these ethical and social
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issues by taking these steps in their business environment. On the other side, the management of
bank need to fulfil its CSR (corporate social responsibility) on time. Each business or company is
responsible to fulfil their CSR on time, because it is necessary to show own ethical and social
value. At the end, upper management of bank need to develop or create some productive policies
and plans which will support to bank for dealing with these various ethical and social issues.
Types of Networking Technologies
In this modern world, there are different types of networking technologies using by
companies and businesses. These networks help to a company for boosting its functions of
information technology. Networking technologies are very major part of IT, because these
provide many facilities to a business or company. Networking technologies plays great role in
this banking company as well, because employees within company can easily communicate with
their customers with these technologies.
According to Drummer, Feuerriegel and Neumann (2017) PAN (Personal Area Network)
and LAN (Local Area Network), etc. are some major networking technologies in the market. In
these technologies, PAN is one of the most popular network which uses by almost all businesses
or companies. It is a basic network which has based on wireless modem. There phones, printers,
tablets, computer etc. are completely operated through this network. This personal area network
main uses by company in their different banking offices. Then next one is local area network
(LAN), It is basically a very simple type of networks which has used by a person in very simple
manner. Employees within bank no need to take special knowledge to use it in their daily
banking operations. This network is mainly helpful in connecting many computers with each
other. Bank can easily transfer its various banking informations from one computer to another
computer. That's why local area network is playing great role in the Lloyds bank.
Difference between networking technologies
PAN and LAN are two most popular networking technologies, but both are something
different from each other. Data rate of PAN is 250 kbps to 24 Mbps and it has completely based
on technologies like ZWAVE, Zigbee and Bluetooth etc. It is mainly uses by bank for
completing law date rate tasks. Short distance applications has mainly used under PAN network.
This network has not required extra space to operate, user can easily use this network, very
reliable, fully secure, easily connected with many devices, and user don't need extra wire and
cable for using this, so these all are some major roles of PAN network.
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On the basis of Saldanha, Mithas and Krishnan (2017) LAN provides 10, 100 and 1000
Mbps data rate speed to users and it has mainly used to transfer data in high speed through only
wireless LAN. This network mostly uses by people in home and offices, so this bank is also
highly required it to complete its technological tasks. 2.4GHz and 5GHz etc. bands has included
in this network. It has capacity to transfer data in very fast manner. A company is able to make
secure their data while transferring through LAN network. This provides facility to share
software programs also to users. These are some major roles of PAN network.
Importance of Internet
Internet is the most powerful tool under information technology, because without internet
a banking can't able to survive in service sector. That's why it is too necessary for Lloyds bank
also, because all banking transactions, account management, HRM functions only has happened
through internet. IT department of company always try to use high speed internet in their daily
operations. According to many technological experts, internet is one of the biggest gifts of
science. Company currently able to serve their banking services only through internet, so it is
really a productive tool for the bank. Customers are very satisfied with company's e-banking
facilities, in which this e-banking facilities are also successfully provided by company through
internet. Top-level management of bank is taking huge advantages from internet in this time.
Currently people have no need to come at branch to maintain their bank pass books, because
bank already has provided them facility of online pass book on its application through internet. A
customer can see their all banking transactions at time and in any place through internet. Bank
now enables to provide 24*7 fund transfer facility to their customers, so they can easily transfer
decided fund from one account to another account. Before trend of internet, a customer was need
to go bank branch to transfer their fund, but now that customer no need to go branch to complete
this task because of internet.
As illustrated by Sharma (2016) currently each sector or industry can't run their daily
operations without internet, because now it becomes a way of life. It means, a person enables to
fulfil its many needs and wants through internet. That's why it has become most useful tool for
all humans. IT department of bank always focuses on implementing hi-tech internet tools which
provides very high speed while using internet. Currently the bank has large customer share in
service industry, so it always needs to save importance data of their customers. In this case,
nowadays internet gives facility to bank for saving their useful and important data on different
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platforms, like personal servers, websites, drop box, data saver sites, etc. Marketing team of bank
now need to put huge efforts to search various market date, because currently it can easily search
huge market data through internet. At the end, these all factors are completely showing the
importance of internet.
Stages of System Development
System development is a process of designing, defining, testing and lastly implementing
a new and latest software program. An IT professional always try to develop and innovate new
software programs. According to 7 Stages of System Development Life Cycle (2018) there are
seven stages of system development life cycle. These seven stage of system development are as
follows; planning, system analysis, design, development, integration & testing, coding and
maintenance etc.
The first one is planning where a system developer identify those resources which are
highly needed in the development of a system or software. In this stage, developer need to create
a productive system plan where it needs to mention those all aspects which can impact system
development process. After planning, the next stage is system analysis where developer is
responsible to properly analysis existing developing system. It is necessary to develop that
effective system or software. Design or designing is the third stage under system development
where developer need to give a specific design and interface to that system. In this case,
developer should give an attractive design to their system which will capable to attract lots of
people. Then next one is development stage, in which it is the main stage under system
development task. In this stage, developer highly need to use its expertise to develop a
productive system or software. Integration & testing is fifth stage where developer is responsible
to test their existing system. After testing, coding is another important stage where systematic
coding is highly required to develop a useful system. At the end, the last or seventh stage is
maintenance where developer is responsible to properly maintain that system or software. On the
basis of Mithas and Rust (2016) maintenance is too necessary task in system development life
cycle process, because system developer is capable to make their system more productive
through maintenance.
ANALYSIS AND DISCUSSION
A company or a business can't gain effective results from their daily operations without
information technology. Top-level of management of Lloyds bank group always invest huge
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amount or fund for employing modern and new information technology in their business
environment. It is too necessary for the company, because currently company can't run their
banking activities without technology. The management of company is always responsible to
consider ethical and social issues during their business operations, because if management avoid
this factor then it will need to face different challenges. Bank is responsible to follow all ethical
and social considerations.
On the other side, there are different types of networking technologies available in
market, like PAN and LAN etc. Currently these networks plays great role in daily activities of
bank, because employees of bank can easily complete their each task through these networks. As
illustrated by Thomas, Costa and Oliveira (2016) an organization can't survive in market without
using internet, because it becomes most useful tool for people or companies or businesses. In this
case, the bank also can't increase its profit ratio in service sector without internet. For example;
currently company is providing e-banking facility to their customers which completely operate
through internet. It provides the best ways to this banking company for achieving large market
share and customer in service sector. That's why internet is too necessary thing to this company.
At the end, a developer highly need to follow all seven stages of system development life cycle
to complete their system or software development task in proper manner.
CONCLUSION
It can be concluded that top-level management of Lloyds bank group is currently taking
many advantages from information technology. There is IT really plays great role in the success
or failure of a business. Bank is required to make a specific plan which will help in dealing
ethical and social issues. Company can maintain an ethical environment also in their workplace
through this plan. There are various networking technologies existing in market like PAN and
LAN which can help in boosting operational activities of bank. IT department of bank need to
use the latest networking technologies in their daily operations to increase existing productivity.
After networks, internet is another major technological tool which really giving great
contribution in all over growth of the bank. There are seven stages of system development
available which each system developer should follow to develop a productive system or
software.
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REFERENCES
Books and Journals
Baller, S., Dutta, S. and Lanvin, B., 2016. Global information technology report 2016. Geneva:
Ouranos.
Drummer, D., Feuerriegel, S. and Neumann, D., 2017. Crossing the next frontier: the role of ICT
in driving the financialization of credit. Journal of Information Technology. 32(3).
pp.218-233.
Jiang, J., Klein, G. and Fernandez, W., 2018. From project management to program
management: an invitation to investigate programs where IT plays a significant
role. Journal of the Association for Information Systems. 19(1). pp.40-57.
Mithas, S. and Rust, R. T., 2016. How information technology strategy and investments
influence firm performance: Conjecture and empirical evidence. Mis Quarterly. 40(1).
pp.223-245.
Saldanha, T. J., Mithas, S. and Krishnan, M. S., 2017. Leveraging Customer Involvement for
Fueling Innovation: The Role of Relational and Analytical Information Processing
Capabilities. MIS quarterly. 41(1).
Schönhals, A., and et.al., 2018. Role of the electrode material on the RESET limitation in oxide
ReRAM devices. Advanced Electronic Materials. 4(2). p.1700243.
Thomas, M., Costa, D. and Oliveira, T., 2016. Assessing the role of IT-enabled process
virtualization on green IT adoption. Information Systems Frontiers. 18(4). pp.693-710.
Online
7 Stages of System Development Life Cycle. 2018. [Online]. Available Through:
<https://iphtechnologies.com/how-many-steps-are-in-the-system-development-life-
cycle/>.
Sharma, V. 2016. Importance of Internet in our life. [Online]. Available Through:
<http://www.klientsolutech.com/internet-in-our-life/>.
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