IT for Business: Importance, Risks, and Benefits

IT for Business

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Contents
Introduction...........................................................................................................................................1
About the case.......................................................................................................................................1
Requirement of IT.................................................................................................................................1
Importance of IT for business survival..................................................................................................2
Requirements to apply IT......................................................................................................................2
Ways in which NAB bank is using IT...................................................................................................3
Advantages and benefits of using IT.....................................................................................................3
Types of risks........................................................................................................................................4
Way in which NAB can maintain and monitor IT.................................................................................4
Conclusion.............................................................................................................................................5
REFERENCES......................................................................................................................................6

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Introduction
In today’s time IT has become the major reason to success for many firms but it has also
enhanced many issues in the organisations. IT has helped the companies in collecting and
managing data and at the same time, it has enhanced the issues related to privacy and security
of data. Banking sector where data plays a most essential role in the management of business,
the use of IT can be helpful (Aliyu and Tasmin, 2012). This report will discuss the ethical
issue that arise in Australia’s NAB bank which was found accused of “Violating” consumers
through data sharing.
About the case
This case was about NAB crossing their lines by sending the message to their consumers
about their efforts to secure loans from a rival institution-something it knew about due to data
sharing deals with credit bureau Veda. In this data breach incident customers received an
email from the bank when the applied their loan from somewhere else. It stated that NAB’s
“smarter ” systems has alerted the bank to her actions and also it would like to provide
alternative loan products. Consumers got annoyed by the perceived privacy invasion (Head,
2016).
Requirement of IT
Modern day banking has totally shifted on banking. This is because it makes the processes
such as transactions, management of data and other banking processes to be simpler. Since
the business units are spread throughout the world hence they need to ensure that functions
are properly managed. In banking even the smallest of mistakes could threaten the whole
operations of the firm hence use of IT is essential (Joshi, et al. 2013). At the same time
centralised data centres are required that is capable of collecting data from different
operational units of Australian NAB bank for which IT technologies are the best solution.
Advanced IT systems such as automation could have helped them in securing the data which
went to their rival institutions and would have protected the company against the privacy
breach that took place.
Importance of IT for business survival
Banks like NAB which has its operations in different parts of the world needs to implement
IT so as to remain successful. IT is not only necessary for doing the business in an