Introduction to Information Technology in Banking

Introduction to Information
Technology

Table of Contents
INTRODUCTION...........................................................................................................................3
LITERATURE REVIEW................................................................................................................3
ANALYSIS AND DISCUSSION...................................................................................................6
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
Information technology is broadly used in many businesses and turned out to make them
successful. It is the application of computers, networking and physical devices to create, store,
process, secure, retrieve, exchange, manipulate and transmit all types of electronic data. Many
industries are associated with computer networks or information technologies, including internet,
e-commerce, computer hardware, software, telecommunication equipments and computer
services. Uses of information technology in banking sectors has been continuously increased.
Information technology brings the biggest revolution in banking sectors such as Digitalization.
Information technology helps banks to provide proper services to their clients in a reliable,
secure and affordable manner. In this report there will be discussion on the major role of
information technology in the success of an organization like HSBC bank and also highlights
different stages of system development life cycle. This report will also include the social and
ethical issues that will generate from the uses of information technology system. This report will
also highlight different types of networking technologies uses in the organization and various
importance’s of the intranet and internet in the banking sectors.
LITERATURE REVIEW
As per stated by Dutta, Geiger, and Lanvin (2015) information technology plays a vital
role in an organization. Information technology has helped to inquire a particular issues of the
employees, managers and organization in a more effective and efficient way. IT helps in
improvement of productivity and growth of an organization. On the other hand the Schwalbe
(2015) contradicts that information technology affects security of confidential data and
informations. Lloyd (2017) supports that It is very useful in an organization to perform various
task in a very easier way. Information technology also provides communication technology
system in an organization to interact with clients, suppliers and distributors. The Marchewka
(2016) also supported that It is very quick, clear and fast technology to communication and
better communication creates a better image . The Baller, Dutta and Lanvin (2016) contradicts its
very expensive process because it requires many costly equipments and devices.
According to Senft, Gallegos and Davis (2016) IT also assists in many days to day
transactions processing in organization. Information technology has several benefits such as
tangible and intangible. These benefits will helps organization to achieve its goals and

objectives. It will also helpful in making more money and satisfy its clients according to their
desirers. On the other hand Schnoll (2015) contradicts that information technology many
generates several errors and production cessation. It will also create complexity in operations and
may encourages crime and terrorism.
As per stated by Sittig and Singh (2015) information technology generates many ethical and
social issues in an organization's functions and indecent use of IT can generate several issues of
an organization. There are various ethical and social issues that will pertain to running business.
With the use of information technology, posting inappropriate post for an organization on social
media can lead to legal proceeding and failure of business. According to Avgerou and Walsham
(2017) information technology create major issues related to cyber-crime. An inappropriate use
of IT to commit crime. This may create big financial losses and also loss of human life. Uses of
huge devices can enhance cyber-crime.
McKeown (2015) support information technology has several social issues that can interrupt in
business development. Information technology may generates violence between customers,
employees and organization. Many organizations adopt huge IT systems in its functions and this
over dependence on these systems will increases system errors and emerges low data quality.
According to Xiang, Magnini and Fesenmaier (2015) with the help of information technology,
multiple data and information can be maintained by single person but its disadvantage is, this
will create privacy and security problems. And an individual can hack all data and information’s
by gaining unauthorized access.
Different types of networking technologies- As per stated by Marchewka (2016) organisations
prefers many networking technologies in its operations such as accessing the internet, download
file from an email attachment etc. Explanation of different types of networks that are use in all
organisation. According to Schwalbe (2015) Local Area Network (LAN) is a most basic
network. This will connecting various devices within the same area. These network connections
are creates through Ethernet cables. LAN is classify as wireless LAN (WLAN). Wireless LAN
is created through the use of WiFi. Metropolitan Area Network (MAN) is larger than CAN and
LAN. These can span an entire city or town. These network is maintain by an individual or a
company. As per stated by Baller, Dutta Lanvin (2016) Campus Area Network (CAN) is larger
than Local area network and smaller than MAN. It will comprises various LAN's. Wide Area