Uses of Information Technology in Businesses: POS System

Running head: IT FOR BUSINESSES
It for Businesses
Name of the Student
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1IT FOR BUSINESSES
Executive Summary:
The aim of this report is to demonstrate the uses of information technology in the business
field. In this report integration of the POS system in the business is elaborated. The main
benefits of the POS system are elaborated in this report. Though the POS system possesses
the various type of advantages for the business, it also has various type of disadvantages, and
a brief about this disadvantages has been discussed in this article. This POS system gives the
advantage to the business from the other businesses. There is some recommendation provided
for the telecommunication method for the POS system which includes the MAN, WAN and
the LAN. Also, risks related to the POS system for the businesses is discussed in this report.

2IT FOR BUSINESSES
Table of Contents
1. Introduction:...........................................................................................................................3
2. Advantages and Disadvantages of POS system:....................................................................3
3. Competitive advantages in businesses through POS system:................................................4
4. Advantages of Centralized Database:....................................................................................5
5. Recommended Telecommunication for the POS system:......................................................5
6. Risks related with the POS system for business:...................................................................6
Conclusion:................................................................................................................................8
References:.................................................................................................................................9

3IT FOR BUSINESSES
1. Introduction:
Information technology is leading the businesses to the path of the success by
providing new technology to the business which is actually simplifying the business process.
The information technology is providing innovation to the businesses in various way. This
innovation is resulting efficient data storing technique, faster execution of processes and
effective distribution of information in the businesses.
This article particularly focuses on a specific innovation of information technology in
the businesses which is the point-of-sale system or the POS system. A POS system simply is
a combination of hardware and software which is used for accepting the payments from the
customers for a general business transaction process (Rahman and Ripon 2014).
In this article advantages and disadvantages of POS system in business, advantages of
the centralized system and how the POS system can be used for decision making will be
evaluated. Also, some telecommunication options will be recommended for the POS system,
and the risks related to the POS system will be evaluated.
2. Advantages and Disadvantages of POS system:
The point-of-sale system or the POS system has various types of advantages in the
businesses. The main advantage of the POS system is that by using this system, the owners of
the business will be able to track the important business data extracted for the sales
transaction immediately after the sale or at the point of sale. Tracking the sales data in real
time eliminates the necessity of tracking this data manually (Scott 2016). The POS system
automatically retrieves data from a real time sale and update the stocks according to the sales
data. Also, it compiles the complete sales history.