Report: Evaluating IT (POS) System Implementation at Four Seasons

This report provides an in-depth analysis of the Point-of-Sale (POS) system implemented by Four Seasons Greenhouse and Nursery. The executive summary highlights the adoption of IT, specifically the POS system, to improve business operations and gain a competitive edge. The report explores the advantages and disadvantages of the POS system, emphasizing its role in effective data tracking, which enhances decision-making regarding product production. The analysis includes the benefits of a centralized database, its support for decision-making processes, and recommendations for telecommunication options. Furthermore, the report addresses the risks associated with the POS system and suggests protective measures for data security, privacy, and confidentiality. The conclusion emphasizes the positive impact of the POS system on business efficiency and profitability, recommending regular updates and security measures. References to supporting literature are provided.

RUNNING HEAD: IT for Business
IT for Business

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Executive Summary
This report emphasizes how information technology is adopted by Four Seasons Greenhouse and
Nursery in its operations. The adoption is in the form of Point-of-Sale (POS) system which has
significantly improved the management of business operations along with gaining competitive
advantage. POS system has allowed effective tracking of the business data which has improved
the decision making regarding the production of items. It also gives the recommendations for the
telecommunication network and the privacy and security of the data.

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Contents
Introduction......................................................................................................................................3
Advantages and Disadvantages of POS System..............................................................................3
Gaining Competitive Advantage through POS System...................................................................4
Centralized Database- Advantages..................................................................................................4
POS System Supports Decision Making.........................................................................................4
Recommendations for Telecommunication options for POS System.............................................5
POS System- Risks and their protection..........................................................................................6
Conclusion.......................................................................................................................................7
Recommendation.............................................................................................................................7
References........................................................................................................................................8

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Introduction
Nowadays, information technology is utilized by almost every business of all the industries.
However, small businesses face some problems in the implementation of information technology
approaches due to their incompetence to afford the required expertise and resources.
Point-of-Sale (POS) system can be defined as a combination of hardware and software for the
purpose of creating a machine in order to process the transactions and payments (Harbor Touch,
2018). A POS system assists in the effective tracking of business data and provides instant
results which cannot be derived in case of manual tracking of sales. This report discusses the
benefits received by the company by application of POS system in their operations.
Advantages and Disadvantages of POS System
Advantages
The most important benefit derived from the implementation of POS system by garden centre is
the effective tracking of business data. This assisted in reducing the need of recording the
number of sales manually. The functions of storage and processing of data along with sales
history compilation and keeping of inventory up-to-date are performed simultaneously.
Moreover, a POS system is more useful when compared with a cash register as it performs
various functions related with data tracking and distribution which assists the owner in gaining
knowledge regarding operations of business (Bradford, 2015). It also reduced the dependence of
business on speculation for the purpose of identifying the number of units to be ordered and
facilitated easy decision making. Also, the owners are able to delegate the responsibility to
subordinates and establish accountability with the help of POS system (Expert Point of Sale,
2018).
Disadvantages
The POS system suffers from various limitations. There are security risks associated with a POS
systems it is linked to a central network therefore there is a risk of exposure of confidential
information of the clients to others (Kimmons, 2017). Moreover, POS systems require regular

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updating of the software which is a costly process. Also, the POS systems that are software based
systems are less convenient as compared to web-based system.
Gaining Competitive Advantage through POS System
POS system will assist in gaining competitive advantage along with contributing towards the
efficiency of business operations by providing a complete analysis of the business data i.e. the
data related to sales transactions. Such data helps the owners of the business in utilizing the
information gained with the help of POS system for the benefit of the business (Becker,
Uhr&Vering, 2013). It also helps in identifying the costs associated with the products along with
their profitability. The business achieves competitive advantage with such information as it shifts
its production processes to those products which are highly profitable. This increases the overall
profitability of the organization thereby leading to effective management of the business
operations with the proper reporting of accurate information (NCC, 2018).
Centralized Database- Advantages
There are several advantages of having a centralized database such as better security of data due
to data protection from tampering and stealing. In other words, there is better preservation of
data with the help of centralized database. Due to the existence of only one primary record for
the given set of data, the redundancy of data is minimized to a great extent along with the
maximization of data integrity (Gelinas, Dull & Wheeler, 2014). Since POS system is a
centralized database it is easy to be used since the entire information can accessed in a single
moment. Therefore, centralized database offers ease in the portability and administration of data
along with providing instant updates to the end user on the data. It also minimizes the costs
associated with labor and maintenance along with the cost of power supply thereby making it
more cost effective in comparison with the other database systems (Baldauf& Stair, 2010).
POS System Supports Decision Making
The number of units to be ordered by garden centre was earlier decided on the basis of
speculation. But POS system supported decision making regarding order quantity by providing
accurate data with regard to the inventories.

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Effective processing reasons of business by POS
POS system provides business activities which are processed by POS system in such an effective
manner that it provides quick results with the recording of sales transactions during the process
of sale. Also, it keeps the information related to the inventory up-to-date along with proper
compilation of sales history which helps in processing of data effectively.
Is Manual Tracking of Information effective?
Tracking of information manually is an ineffective form of tracking since the computerized
processes have no comparison with the manual performance of operations. Furthermore,
business can be effectively managed only when proper access to the operational data is available.
Processes like cost reporting become difficult in case of manual tracking of information which in
turn makes it difficult to identify the profitability of every item.
Questions answered by POS Systems
A POS system provides answers to various questions such as order quantity, sales quantity and
the number of items to be discarded. With the help of POS system, guesswork is completely
eliminated in terms of numbers of items to be ordered as it provides accurate information
regarding the inventory.
Ways for utilizing the information for better management of business
The information provided by the POS system can be used for effective decision making
regarding the number to items to be ordered (Miron& Brown, 2006). Also, the processing and
storage of data performed by POS systems will assist in cost reporting along with the
profitability of individual items. Such information can be utilized for maximizing the production
of more profitable items thereby increasing the overall profitability of the business.
Telecommunication Options (POS System) Recommendations
Out of the three types of networks that are available (LAN, WAN and MAN), for meeting the
requirements of the Four Seasons Greenhouse and Nursery, use of LAN is suggested. The garden
centre has limited business operations therefore there is no need for WAN and MAN. LAN also

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supports many POS Terminals. It will assist in holding all kinds of records and settings for the
POS system since it is a centralized database server.
Media Types – With the use of Wireless technologies, Wireless LAN setting should be done for
POS system. The establishment of communication will be made by the terminals with the help of
WPA2 security standard in an encrypted manner. Narrowband microwave, Spread Spectrum and
Infrared, are some of the wireless technologies which can work in a wireless LAN Network.
POS System- Risks and their protection
There can be some risks in using POS system that are related to the data confidentiality, security
and privacy.
Security- The security of the data of business and the customers is under threat when the POS
systems are supported by older versions of operating systems. Even in cases where extended
support is not available for the operating systems, the security of the data in the system is
compromised. The data is also not secure when the POS system is fraudulent i.e. the hackers
have access to the data in system due to various practices such as skimming and phishing (Turner
&Weickgenannt, 2016).
The security of the data can be protected by making the use of anti-virus software available in
the market which will protect the data from the unauthorized access of the hackers. Also, the
default password should be changed such that it becomes more secure from the access of the
hackers. In case of maintenance of the system by a third party, it must be ensured that the same
password is not used for more than one client by formulating strong policies (Lord, 2016).
Privacy- The personal information of the customers such as credit card information stored in the
POS systems is under easy access for the hackers as they make the use of spywares and various
other hacks for making the use of such information for their own purposes (Trend Micro, 2014).
This is a risk for the privacy of the business and their customers.
The privacy of the data can be protected by way of generating a security protocol and making the
employees aware regarding its use by providing proper training. Regular updating of data will
also help in identifying any privacy threats on time. Also, multi-biometric systems can also be
used for the purpose of protecting the privacy of the data.

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Confidentiality- The data of customers have suffered from various confidentiality breaches in the
past. The confidentiality of data is under threat when it is accessed by someone who is not
allowed to view it.
It can be protected with the help of software that protect the data in the system from a variety of
threats. Such software also assists in protection of data from malware and various external
threats. Such emerging technologies must be utilized for protecting the confidentiality of
business and customer data.
Conclusion
This report provides for the implementation of information technology in business by the garden
center for better management of business. The information technology is implemented by the
garden centre in the form of POS system which helps in achieving efficiency in operations along
with competitive advantage through improved decision making. The decision making based on
POS system has significantly improved the profitability of the business.
Recommendation
Regular updating of the hardware and software are recommended for the purpose of protecting
the privacy, security and confidentiality of the data of garden centre. Also, various software can
be used and password can be installed for taking precautions against the activities of hackers.
Wide Area Network (WAN) can be used for establishing network with remote locations.

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References
Baldauf, K. and Stair, R. 2010. Succeeding with Technology.Cengage Learning.
Becker, J., Uhr, W. and Vering, O. 2013.Retail Information Systems Based on SAP
Products.Springer Science & Business Media.
Bradford, M. 2015. Modern ERP: Select, Implement, and Use Today's Advanced Business
Systems. Lulu.com.
Expert Point of Sale. 2018. What Is The Advantage Of A POS System?,[Online]. Available
at:https://www.expertmarket.com/pos/pos-system-advantages[Accessed on: 30 January 2018].
Gelinas, U. J., Dull, R. B. and Wheeler, P. 2014. Accounting Information Systems.Cengage
Learning.
Harbor Touch. 2018. What is POS? The Definitive Definition, [Online]. Available
at:https://www.harbortouchpossoftware.com/what-is-pos/ [Accessed on: 30 January 2018].
Kimmons, R. 2017. The Disadvantages of a Point of Sale System, [Online]. Available
at:https://bizfluent.com/list-6729611-disadvantages-point-sale-system.html[Accessed on: 30
January 2018].
Lord, N. 2016. WHAT IS POS SECURITY? PROTECTING DATA IN POS ENVIRONMENTS,
[Online]. Available at:https://digitalguardian.com/blog/what-pos-security-protecting-data-pos-
environments[Accessed on: 30 January 2018].
Miron, A. and Brown, D. R. 2006.The Professional Bar & Beverage Manager's Handbook: How
to Open and Operate a Financially Successful Bar, Tavern, and Nightclub. Atlantic Publishing
Company.
NCC. 2018. Exploring Four Advantages of Embedded POS, [Online]. Available
at:http://www.nccusa.com/exploring-four-advantages-embedded-pos/[Accessed on: 30 January
2018].

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Trend Micro. 2014. Point-of-Sale System Breaches, [Online]. Available
at:https://www.trendmicro.com/content/dam/trendmicro/global/en/business/capabilities/
solutions-for/point-of-sale/wp-pos-system-breaches.pdf[Accessed on: 30 January 2018].
Turner, L. and Weickgenannt, A. B. 2016.Accounting Information Systems: The Processes and
Controls.John Wiley & Sons.