ANZ Banking Group Strategic Information System: Requirements & Risks

This report provides a comprehensive analysis of the Strategic Information System employed by the Australia and New Zealand Banking Group (ANZ). It begins by defining the bank's core business processes, including liquidity management, transaction management, and static data maintenance, emphasizing the need for an Enterprise Resource Planning (ERP) system like Oracle to manage their complexity. The report then details the key business requirements of ANZ, such as effective cash management, finance, customer relationship management, and human resources, highlighting how ERP implementation can support these needs. Furthermore, it explores the system requirements for Oracle ERP, emphasizing its role in enhancing efficiency, security, and data management. The report also discusses the criteria for software and vendor selection, including assessing vendor credentials, considering customer opinions, and evaluating scalability and costs. It identifies three ways ANZ utilizes technology to improve business efficiency: strategy forecasting and flexibility, management integration, and big data analytics with cloud computing. An evaluation of the technology implementation's efficiency and a subsequent examination of potential security risks and data breaches are presented, followed by guidelines on risk mitigation. The report concludes by underscoring the importance of a well-implemented strategic information system for ANZ's overall competence and effectiveness.

Strategic Information system
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Table of Contents
Introduction:....................................................................................................................................3
1. Define business processes........................................................................................................4
2. Develop business requirements...............................................................................................5
3. Determine the systems requirements.......................................................................................6
4. Software and vendor selection.................................................................................................8
5. Determine at least three ways which companies or organization utilize such technologies to
improve business efficiency..........................................................................................................10
6. Evaluate the level of efficiency of the technology implementation..........................................12
7. Examine Potential security risk and data breaches....................................................................14
8. Provide guidelines on how these risks could be mitigated........................................................16
Conclusion:....................................................................................................................................18
References:....................................................................................................................................19
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Introduction:
This report introduces to the conception of Strategic Information system. Australia and New
Zealand Banking Group is an Australian bank which is managing its business globally. the
organziation is investing a good amount in technology and IT solutions to foster the modern
business needs. This report shows the business process and business requirements of ANZ
banking group. Further, this report shows the systems requirements and vendor selection for the
bank. This report highlights the three ways which are implemented by Australia and New
Zealand Banking Group to improve the overall competence and effectiveness of the banking
business. The report also reveals the system prerequisite for the implementation of the enterprise
resource planning software and the adoption of the enterprise resource planning will support in
taking better investment decision .finally this report shows the risk faced by the ANZ bank and
guidelines for managing or mitigating those risk.
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1. Define business processes
Australia and New Zealand Banking Group which is commonly known as ANZ, is the 3rd
largest bank by the market capitalization in Australia, after the Westpac Banking Corporation
and Commonwealth Bank. the banking procedure conducted by ANZ are complex and consist of
liquidity management process (transfer, cross management of cash or liquidity and settlement),
distribution and the transaction management.in addition to this, the other processes which are
performed by ANZ bank consist of external and internal CSD settlement, the asset service
process and supporting settlement procedure like the cancellations, reservation, underwriting,
etc. the prime procedure which is undertaken by the ANZ bank is static data maintenance
process. Due to the complexity of the processes, there is a need for the ANZ bank to install the
enterprise resource planning software in the banking operations. The bank performs functions
function of underwriting, call center support, credit loans or consumer support, interface for
consumer data custody services, recoveries processing,, management of technology platforms,
regulatory and program compliance, portfolio analytics, collections, default management, , fraud
mitigation and detection reporting, conversions, custom development, risk management
and foreclosure (Dumas, et. al., 2013).
The ANZ corporate functions are the fields of business that service the organization globally. the
company is engaged in didgital banking which leads the strategic development and delivery of
excellent experience for the bank's staff and consumers. The bank is performing all the basic
consumer acquisition process which consists of underwriting, credit approval, document
processing, on-boarding, account opening, customer care and the merchant or customer credit
verification and evaluation. ANZ bank recognized the needs of information technology solutions
and infrastructure for maintaining the security of the clients. There is need to install the
enterprise resource planning software as they will help in taking improved investment decisions
and will maintain the operations of the company in an effective and efficient manner (Chang,
2016).
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2. Develop business requirements
The prime needs of the ANZ bank consist of effective cash management procedure, finance,
consumer relationship management and human resources. All the business requirements can be
maintained properly by implementing enterprise resource planning software. Below specified is
the core business requirement of the ANZ banking group:
 One of the key business requirements of ANZ banking group is the finance. Money is required
for maintaining all the business processes which are carried out by the ANZ bank. All the
software’s and human resources can be hired or installed by the bank only if there is adequate
finance available with the company
 The Australia and New Zealand Banking Group is required to install Strategy implementation
strategies which comprise of numerous other measures like an endorsement and an
implementation judgment, training and support or nay another method for maintaining the risk
and control. ANZ banking Group is required to develop strategies so that it can survive in the
competitive business environment
 Maintaining good relations with the consumers is another prime requirement of the ANZ
banking group. The bank works for the needs of the consumers so it is required to maintain the
information of the clients safe and secure. Keeping a close contact with clients helps in the
bulidng strong reputation of the bank in the market.
 For the effective and efficient functioning of the Anza banking group, technical resources are
required. The proper management of cash receivables and inventory can be done by
implementing Oracle- enterprise resource planning software. For launching Oracle software the
bank needs to hire efficient resources that have some expertise in running and using these
softwares. Hence technical requirements are the key business requirements of Australia and New
Zealand Banking Group (Frias, 2014).
It is important for the Australia and New Zealand Banking Group to recognize its business
requirements so that it can serve to the needs of its clients in an effective and efficient manner.
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3. Determine the systems requirements
The need for implementation of Oracle ERP is essential for Australia and New Zealand Banking
Group. With the launch of this software, the organization will get numerous benefit s. the bank
can expand its consumer bases and can diversify its portfolio. Oracle-ERP reduces the work of
the internal staff. The Oracle – ERP solution should align with the objectives and goals of the
ANZ banking group. Oracle ERP is the single hand solutions for all the business problems which
are faced by the ANZ banking Group. The system is obligatory to upsurge the overall efficiency
of the banking business.it must be noted that the ERP solutions help in maintaining a good
relationship with the creditors, management and general consumers of the organizations. Due to
the application of the enterprise resource planning software mostly the Oracle, the entire business
operations which are performed by the bank are now more systematized and under control
Figure: Implementation of Oracle
Source: (Raju, et. al., 2014).
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In the contemporary world, the demand for IT solutions is rising due to the number of hackers
and unauthorized access. Oracle ERP helps in marinating the safety and security of the client’s
information. The banking procedures which are conducted by the bank will become more easy
and effective. In the past years, the bank suffered heavy losses due to its inability to survive in
the competitive world. The organisation was not able to manage the data of its clei8nts and was
constantly facing the issue of cyber-attacks and crimes. Hence, implantation of oracle ERP
solution can be adopted by the ANZ banking group for regulating its business processes and
functions in an effective and efficient manner. moreover, for the accurate im0plemnattion of the
Oracle-ERP software the ANZ banking group is required to be flexible (Raju, et. al., 2014).
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4. Software and vendor selection
It is important for the ANZ banking group to select appropriate software and vendor so that
business operations can be managed successfully. The software and the vendor selection by
Australia and New Zealand Banking Group are done on the basis of the following criteria:
Figuring out what the bank really needs:
One of the most significant things to do is to collect accurate, systematic necessities for what's
required in software, The Oracle – ERP solution should align with the objectives and goals of the
ANZ banking group and should meet the requirements of the investors. As a result, it is critical
to regulating the business necessities before cross-examining the software vendors.
Examining the software provider's certificates and credentials:
When assessing the technology partners and software vendors look into their background. It is
also significant to look for strong credibility and capabilities
Consider the opinions of other consumers
Ask the vendors for mentions in the banking industry. When emailing or speaking with
consumers, be definite to ask: Exactly how long have they been a customer? How has this
supplier addressed their precise requirements as a bank doing business in their precise industry?
Is the consumer service team knowledgeable and responsive?
Can it scale?
CIOs of the ANZ banks must enquire about and comprehend the level of scalability and
customization software solution offers, The last thing technology decision-makers and CIOs
want to be confronted with is the requirement to invest and re-evaluate in a new solution three or
two years down the road, when the prevailing system cannot handle the business's developing
needs.
Check for additional fees or hidden cost:
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Look for additional fees in the contract, like the hidden cost for in-person training, annual or
setup maintenance fees, document management services in addition to the once-a-month support
costs. The bank is required to watch for the provisions which permits the vendor to upsurge fees
throughout the course of a contract and perceive if there are necessities which would permit the
ANZ bank to get out of a contract after a year or six months if the oracle-ERP system is not
working in a proper manner (Lasisi, et. al., 2017).
Take a test drive.
Before pledging to a different software solution, be assured to frisson the tires. Then, throughout
the trial, be assured that the software comprises the features and functionality which are required
by the ANZ banking and don't be frightened to enquire the vendor regarding any issues or
complexities. While selecting the software to be sure that it perfectly fits in the ANZ bank for a
long period of time.
Agree to the KPIs (key performance indicators) before signing an agreement
The ANZ bank should work with the potential software suppliers to generate KPIs (key
performance indicators) prior to authorizing any agreements," "By placing KPIs in place upfront,
both the vendor and purchaser will exactly know what requires to become apparent to make the
software application a success.
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5. Determine at least three ways which companies or organization utilize such technologies
to improve business efficiency
Nowadays, technology is extensively utilized in the banking sector. Australia and New Zealand
Banking Group adopted innovative and strategic ways to utilize the technology in a way that the
entire efficiency and the effectiveness of the business of Australia and New Zealand Banking
Group increased. Due to the application of the enterprise resource planning software mostly the
Oracle, the entire business operations which are performed by the bank are now more
systematized and under control. There are three ways which are implemented by Australia and
New Zealand Banking Group to improve the overall competence and effectiveness of the
banking business and they are stated underneath:
Strategy forecasting and flexibility:
In the competitive world, it is important for the Australia and New Zealand Banking Group to
frame strategies and keeps forecasting them. For the accurate im0plemnattion of the Oracle-ERP
software, the ANZ banking group is required to be flexible. Flexibility assists in the smooth
implementation of ERP software in the bank.
Management integration:
Australia and New Zealand Banking Group integrated its business operations with the
technology solutions so that the operations of the company can be performed in a more
organized manner. The bank adopted this way to use the ERP- Oracle in the business processes
which are carried out by the bank (Monk and Wagner, 2012).
Big data analytics and cloud computing:
Big data analytics is the procedure of examining varied and large information sets -- i.e., big data
to expose concealed configurations, unknown relationships, marketplace tendencies, consumer
predilections and other useful information which can aid organization to make more-informed
business verdicts. Determined by specific analytics software and system, big data analytics can
point the approach to numerous business welfares, together with new revenue chances, more
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operative promotion, better consumer service, enhanced operational competence and competitive
benefits over competitors.
Figure: Cloud computing
Source: (Yamato, 2015).
Cloud computing is the on-demand distribution of computing power, applications, database
storage and other Information Technology resources through a cloud services platform through
the internet with pay-as-you-go pricing. Cloud computing provides a modest means to entrée
servers, databases and a broad set of application services over the Internet. Cloud services
platforms like Amazon Web Services maintains and owns the network-connected hardware
which is prerequisite for these application services, while the use and provisions what need
through a web application (Yamato, 2015).
All the above three stated ways are equally important methods which must be adopted by the
Australia and New Zealand Banking Group to implement ERP- Oracle. Adopting such
technologies will improve the efficiency and effectiveness of the business which is managed and
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controlled by the Australia and New Zealand Banking Group in numerous parts of Australia and
New Zealand.
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6. Evaluate the level of efficiency of the technology implementation
In the modern world, the need for technology is rising with each passing year. Australia and New
Zealand Banking Group recognized the need for technology to be integrated into the business
processes which are carried out by the ANZ banking group. Below stated is the positive and
negative impact of the implementation of technology on the efficiency of business:
Positive impact
1. Overall Business Efficiency
The business operations run by ANZ banking group can be operated more professionally when
they utilize technology in the approved manner. Digitizing files marks it easy to modify
documents like contract templates and user agreements. Communication is prompt with
electronic mail and the capability to send papers back and forth in the course of negotiations.
Consumers can get facts on websites and appeal facts any time of the night or day by utilizing
online forms.
2. Automation of Operations and quick decisions made
Dissimilar businesses are having dissimilar needs. Wherever a corporate can Computerization a
procedure, it can transmit labor and financial resources. Computerization can happen in many
areas like when staying in touch with consumers. The data of the clients are kept updated due to
the automation which is provided due to technology implementation
3. Business Security
IT security is considered to be the biggest risk which is faced by Australia and New Zealand
Banking Group. Thieves and hackers steal company proprietary and customer information daily,
but technology can defend company’s data and information. If there is one key advantage to the
bank that must be monitored and continuously operated, it is digital safety. Hackers can easily
intrude business processes, Price Company thousands of bucks, and let the ANZ banking group
fall under civic inspection.
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4. Employee Monitoring
ANZ banking group can easily manage their large teams by using technology. Applications
pathway consumer service call intervals which aid managers to realize where pause times happen
and offer opportunities for coaching. GPS and Speed tracking of motorist’s upkeep an optimistic
civic image of staffs who understand they cannot get away with deprived behaviour. The
accurate technology mechanically pathways potential sales and sales numbers, which provides
managers control of foremost indicators rather than lagging behind (Tian and Xu, 2015).
Negative impact
1. Heavy cost:
Implementing technology involves heavy cost. ANZ banking group needs to invest lots of money
for implementing Oracle-ERP in the business processes which are carried out by the banks.
2. Employees resist change:
Usually, the implementation technology is resisted by the employees. A similar situation was
faced by Australia and New Zealand Banking Group. The employees were resisting the
implementation of Oracle-ERP.
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7. Examine Potential security risk and data breaches
Figure: The risk of a data breach
Source: (Fenton & Bieman, 2014).
Data breach is the loss of data due to the attacks which are caused by the hackers. Data breach is
often termed as the loss of data. Basically, data breach arises when the data is being copied,
deleted or transferred in an unauthorized manner. The Australia and New Zealand Banking
Group is facing serious risk and security threats as the number of hackers in the information
technology world is rising. There is a need for the ANZ group to develop appropriate measures
so that this risk can be mitigated. Below stated are the main security risk who is being
encountered by Australia and New Zealand Banking Group:
 Data breach and duplication of data
 The DDoS and Botnets attacks
 The Loss of the financial data
 Lack of proper accountability
 Malware threats and Manipulation of data
 Lack of education and training to the personnel
 Improper hardware and software
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 The ACH Frauds which consist of mainly the Corporate Account Takeover and the Inside
Attacks or the risk
 The card skimming and First-Party Deceptions
 The Threat of the Spoofing attacks and mobile banking
 An imprecise data with inconsistent of the Software
 The phishing threats
 The Transferring of the trade communications in an incorrect manner
 Generating Feeble passwords which can be easily cracked
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8. Provide guidelines on how these risks could be mitigated
It is essential for the ANZ banking group to mitigate risk so that the business operations which
are carried by the bank can be maintained effectively and efficiently. Below mentioned are the
guidelines for managing or mitigating the risk which is faced by Australia and New Zealand
Banking Group:
Cybersecurity: Cyber security consists of procedures, controls and technologies which are
intended to defend the data, systems and networks of ANZ banking group from cyber-attacks.
Operative cyber security decreases the danger of cyber-attacks and guards the banks and its
clients from the illegal misuse of networks, technologies and systems.
Regular backups: A good backup approach is really essential for the security of data.
A backup is the most recent protection against the information which is lost, providing a way to
re-establish the original data.
Data encryption: Data encryption is a process of varying electronic data into a scrawled state by
means of ciphers or algorithms. Formerly, data encryption was utilized for passing military or
government information electronically. Over the time as the people started transmitting and
entering sensitive or personal information over the internet, data encryption has to turn out to be
a popular method of risk mitigation.
Appointing full-time IT professionals: ANZ banking group should hire experts and
professionals for maintaining the business operations more effectively and efficiently. Hiring full
time employees is important to the success of the business.
Passwords and face log in: A password is a cord of characters which are used to confirm the
individuality of an operator in the course of the authentication procedure. Passwords are
normally utilized in conjuncture with a username; they are intended to be recognized only by the
operator and permit that operator to gain admission to the personal, website or
device. Passwords can be very lengthy and can be small (Elzamly & Hussin, 2014).
Firewalls: A firewall is software which is primarily utilized to sustain the security of a secluded
network. Firewalls block the illegal access to or from secluded networks and are frequently
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engaged to avoid illegal illicit or Web user’s software from attainment access to secluded
networks which are connected to the Internet. A firewall can be applied using a combination of
hardware and software or just hardware or software. A firewall is known as the first line of
protection in safeguarding sensitive information. For better security, the information can be
encoded.
Antivirus’s software: Antivirus software was first used to remove and discover the computer
viruses, henceforth the name is an antivirus. Nevertheless, with the propagation of other types of
antivirus software or malware started to deliver defines from other CPU threats. In specific,
contemporary antivirus software which can defend from ransomware, backdoors, browser
hijackers, worms, Trojan horses, rootkits, adware and spyware, malicious browser helper
objects(BHOs), key-loggers, malicious LSPs, dialers and fraud tools,
All the above guidelines should be adopted by the Australia and New Zealand Banking Group to
mitigate the risk. Each risk mitigation measure is having its own advantage or benefits to the
banking operations.
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Conclusion:
From the above report, it is can be concluded that the need for technology is important for
managing the business operations of the ANZ banking group in a smooth and effective manner.
This report clearly showed the business process and requirements of the ANZ banking group.
Technical resources are considered to be the prime business requirement of the organization. The
bank is implanting Oracle – ERP solutions for protecting the information of its clients and better
investment decisions. This report also concluded that implementing technology has its own
advantages and disadvantegs. The business should recognize these needs and accordingly select
the vendor. Selecting a right vendor is necessary for the success full implementation of enterprise
resource planning software. In addition to this, the report concluded that there are numerous
threats which are faced by the bank due to the implementation of the technology. Each of the
risks which are encountered by the vendor is required to be mitigated, monitored and controlled
by the bank by developing appropriate security measures. Further, it can be concluded that the
ANZ banking group maintain it business functions effectively by integrating its functions with
technology.
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