IT for Business: POS System Implementation for Four Seasons Analysis

This report provides a comprehensive analysis of Point-of-Sale (POS) systems, focusing on their advantages, disadvantages, and implementation within businesses, particularly for Four Seasons Greenhouse and Nursery. It explores how POS systems enhance sales data management, inventory control, customer relationship management, and employee management. The report highlights the competitive advantages gained through efficient payment processing and tablet-based systems, as well as the benefits of a centralized database. It also addresses the telecommunication requirements for effective POS system operation, recommending solutions like WAN connections, high-speed internet, and cloud computing services. Furthermore, the report identifies potential risks associated with POS systems, including cyber-attacks and data breaches, and concludes with recommendations for Four Seasons Greenhouse and Nursery to optimize their POS system for improved decision-making and business operations. Desklib provides access to similar solved assignments and study resources for students.

Running Head: IT FOR BUSINESS 0
IT for Business
Report
Student name

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Table of Contents
Introduction.................................................................................................................................................2
Question 1:..................................................................................................................................................2
Advantages of Point-of-Sale (POS) System..................................................................................................2
Sales data:...............................................................................................................................................3
Inventory Management:..........................................................................................................................3
Customer Relationship and Experience:..................................................................................................3
Employee Management:.........................................................................................................................3
Loyalty Programs:....................................................................................................................................4
Gift Cards:................................................................................................................................................4
Reporting:................................................................................................................................................4
Disadvantages of POS System:....................................................................................................................4
Question 2...................................................................................................................................................5
Competitive advantages of POS system......................................................................................................5
Payment Processing Service:...................................................................................................................5
Tablet –based systems:...........................................................................................................................5
Question 3...................................................................................................................................................5
Centralized Database:..............................................................................................................................5
Question 4...................................................................................................................................................6
Question 5...................................................................................................................................................6
Recommendations.......................................................................................................................................6
Question 6...................................................................................................................................................7
Risks of POS system.....................................................................................................................................7
Conclusion...................................................................................................................................................8
References...................................................................................................................................................9

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Introduction
This report will provide information about the POS system and their working in different areas,
such as retails, restaurant, and small businesses.
This report will discuss about the recommendations and risks for Four Seasons Greenhouse and
Nursery Company. It will explain about the advantages and disadvantages of POs system for
Four Seasons Greenhouse and Nursery in later sections.
Question 1:
Advantages of Point-of-Sale (POS) System
Point of sale and point of purchase systems are beneficial for the retails businesses. They are
providing many benefits to the company in terms of cost and time. POS systems are hub where
everything merges. It is a system, that manages many things in a company and it is the central
component of company. It is place at the exit of customers. Customer executive is taking
payment for goods and services, which are taking by the customers from the company. POS
systems are combination of software and hardware, which is allows merchants to take transitions
as well as different business operations ( Guinn , 2019).
POS systems are used to collect money for purchases of customers from their stores. It records
the financial transactions at different level, such as on system or clouds. These POS system are
helping in the retails businesses. These systems are providing complete data about the products
and services. It is a way to reduce cost and time of company from reducing unnecessary
processes. It is not having a huge cost in implementation (Hudson, 2018).

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Source: ( Guinn , 2019)
Above figure is showing main areas, which are using POS systems for their sales. Here are some
key advantages of POS system, which are as:
Sales data:
POS systems are capable to generate robust reporting for sales. It provides reporting at real-time,
hourly, and daily basis. It provides the data that will provide help for decision-making.
Inventory Management:
Retails are based on the inventory management, which provides cash. Inventory management is a
tough task and it is easily managed by the POS system.
Customer Relationship and Experience:
History of customer data and purchase help to changes in products and services. It is also
providing customer retention. That data will also provide help in marketing and advertising of
products and services, which can increases sales of company. Data mining techniques can be
used for decision-making (Vercellis, 2011).
Employee Management:
Based on the POS system requirements, company can manage their employees according to
needs. Company can decide about shifts and number of employees though sales data reports. It

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also provides sales data and company can choose best employee based on their performance.
Company can also reward those employees, which performed better as well as their behavior.
Loyalty Programs:
Customers are requiring incentive from their retailers in different terms. Retailers can provide
best services for attracting them, such as loyalty programs. Retailers are getting more business,
which are proving loyalty to the customers. They can provide a card to customers, so it is easier
to find loyal customers (Teece, 2010).
Gift Cards:
The gift cards are a way to attract more customers. Sale of gift cards in provides to the customers
in the Christmas season, which is according to the federal laws and regulations. Customers are
happier with those retailers, which are providing such types of service. POS system is
maintaining records of these gift cards.
Reporting:
The POS system is a best solution for reporting for daily transaction as well as real-time
reporting. It is also having a function, which sends reports on daily basis. It helps to decide sales
goals for future (Soh & Markus, 1995).
There are different types of POS system, which are based on the business, such as restaurant
POS system, Bar POS system, Retail POS systems, small business POS system, Saloon and spa
POS systems, and many others (harbortouchpossoftware.com, 2011).
Disadvantages of POS System:
POS system are facing huge problems sometime because of system hacking and many other
issues. It is having a process are using networks, which is a security issue. This system also store
personal data of customers that was also a disadvantage, if that information is leaded from their
end.
POS systems are taking payment from debit card and credit cards, which required a high
security. Sometimes it takes so much time in billing due to network problems.

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Question 2
Competitive advantages of POS system
POS system is helpful managing sales data, inventory, customer relationship, and reporting.
Company can easily manage their employee’s shift and number of employees according to sales
of company. It is providing competitive advantages to the company. It is a technological
involvement, which save time and cost of the company.
POS system is having so many advantages for different businesses. It will provide a competitive
advantage to the retailer, as customers are more prepare those retailers, which are having latest
systems for sales. It is a way to introduced technology for managing records of sales. There are
few advantages, which is beneficial for growth of company, which are as:
Payment Processing Service:
New POS systems are proving their own payment services in the POS systems. It reduces
gateway charges of companies. They do not require paying for payment transfer to third party.
New POS systems are able to switch entire POS system instead of just the processing service
(Hutt & Speh, 2012).
Tablet –based systems:
POS systems are changes their hardware into tablet-based system. Tablet-based system is used
for mobility purpose. There are few issues with fixed POS system, which can resolve by the
tablet-based systems (Fairbanks, 2019).
Question 3
Centralized Database:
POS systems are having cloud-based services that are providing a centralized service to the
different retail shops of same organizations. Customers can access their history of purchases
from any retail shop.

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POS systems are now having cloud-based services, which are beneficial to manage different
store from a single place. There are many things, which makes more secure to POS system.
Retailer can use Virtual Private Networks for security purposes. POS system is also better for
customers as it is providing fast billing and record for future, which is used for exchange of
products (Baun, et al., 2011).
Question 4
Manager can get information in an effective manner. Therefore, they can take decisions
according to that information, such as monthly reports.
Management Information System (MIS) has many facilities for handling different operations of
companies. This report will provide competitive advantages of Point-of-Sale (POS) system,
which is used by Four Seasons Greenhouse and Nursery. Four Seasons Greenhouse and Nursery
is situated in Colorado. Information Systems are providing different functions, which are related
to particular company. Small businesses are also having different operations, such as sells,
purchase, and many others (Bharadwaj, et al., 2013).
Four Seasons Greenhouse and Nursery has established POS system in 2008, which provides data
about sells and purchase. That data reports are providing complete information of sell, which is
not easier in other documents (Chesbrough, 2010).
Question 5
Recommendations
POS systems are required high data transfer rates. Therefore, it requires better hardware with
best topology. Four Seasons Greenhouse and Nursery can enhance their POS system with Cloud
computing services, such as Service-as-a-Service (Hashemi & Hajiheydari, 2011). There are few
telecom recommendations for Four Seasons Greenhouse and Nursery, which are as:
1. Establish a Wide Area Network (WAN) connection with high-speed internet, which
provides a cloud based database.

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2. Provide network access to the customers, so that they can order or select products and
services.
3. Establish a centralized database server for record management of customers as well as
employees.
4. Provide CAT- 6 cables for connection of different POS system with centralized server.
5. Establish a leased line connection for better cloud computing services.
6. Provides wireless access points to POS system to manage work.
7. Establish tablet-based systems
8. Introduced new technologies to enhance business, such as cloud computing services
Source: Author
Question 6
Risks of POS system
POS systems are also having some security issues. Following are issues in POS systems:
1. Cyber-attacks: hacker can hack the complete software and they can stop working of
retails shop. It is also a reason of illegal money transfer (Barkly, 2018).
2. System hacked: If systems are hacked by anyone then complete, processing is stop.
Customers are not trust those systems again in future.

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3. Breach of personal data of customers: Company or anyone else can change the security of
system and they can share personal data of customers, which is sensible for customers.
4. Stealing credit cards information: Customers are used debit cards, credits cards, and
others cards for money transfer. This information is also stored in the POS system, which
requires high security. Hackers can take the credentials of any employee or manager and
access the baking data of customers as well as retailer (Gupta & Hammond, 2005).
5. Username and password leaking: Every employee has username and password for
accessing the POS system, which is not highly secure. This is a risk for POS system that
they are not hardware for understanding biometric identity.
6. Data of customers is not safe as each agent is having access of the POS system.
POS systems are having few risks, which are related to security, privacy, and confidentiality.
POS systems are connected through LAN, MAN, and WAN technologies. There are so many
port and security leak points in the POS system. Hackers can access the POS system though
network and they can change the data of their database systems.
POS systems are also having privacy issues, as all the personal data is stored in the POS systems.
However, company is not allowed to share personal data of customers.
POS systems are highly secure now a day from the cyber security. Network of company is used
firewalls and other security softwares as well as monitoring of network through an IT
professional (Wu, et al., 2015).
Conclusion
It is concluded from the previous parts of this report that POS system is beneficial for small
business as well as larger business. POS system is a combination of technology and hardware. It
provides transaction record any time. Reports are helpful for decision-making. There are many
operations are managed by POS system in a company.
Finally, it is concluded that Four Seasons Greenhouse and Nursery is having their POS system,
which provide many benefits, such as sales reports, decision-making power, and employees
management.

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References
Guinn , . J., 2019. What Is a Point of Sale System?. [Online]
Available at: https://www.softwareadvice.com/resources/what-is-a-point-of-sale-system/
[Accessed 23 January 2019].
Barkly, 2018. 5 Cybersecurity Statistics Every Small Business Should Know in 2018. [Online]
Available at: https://blog.barkly.com/small-business-cybersecurity-statistics-2018
Baun, C., Kunze, M., Nimis, J. & Tai, S., 2011. Cloud computing: Web-based dynamic IT
services.. 1 ed. London: Springer Science & Business Media..
Bharadwaj, A., El Sawy, O., Pavlou, P. & Venkatraman, . N., 2013. Digital business strategy:
toward a next generation of insights. Managemengt information system:mis quarterly, 37(2), pp.
471-662.
Chen, . H., Chiang, R. H. & Storey, V. C., 2012. Business intelligence and analytics: from big
data to big impact. London: MIS quarterly.
Chesbrough, H., 2010. Business model innovation: opportunities and barriers.. Long range
planning, 43(2-3), pp. 354-365.
Fairbanks, L., 2019. Best POS Systems for 2019. [Online]
Available at: https://www.businessnewsdaily.com/2955-best-pos-systems.html
[Accessed 23 January 2019].
Gupta, . A. & Hammond, R., 2005. Information systems security issues and decisions for small
businesses: An empirical examination. Information management & computer security, 13(4), pp.
297-310.
harbortouchpossoftware.com, 2011. What is POS? The Definitive Definition. [Online]
Available at: https://www.harbortouchpossoftware.com/what-is-pos/
[Accessed 23 Jauary 2019].

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Hashemi, N. & Hajiheydari, N., 2011. Customer knowledge Management framework in E-
commerce. Singapore, IACSIT Press, pp. 129-133.
Hudson, . M., 2018. POS (Point of Sale) Retail System. [Online]
Available at: https://www.thebalancesmb.com/pos-point-of-sale-retail-system-2890157
[Accessed 23 January 2019].
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