Information Technology in HSBC Bank: A Comprehensive Analysis

This report provides a comprehensive analysis of Information Technology (IT) within HSBC Bank. It begins with an abstract outlining the project's focus on IT's impact, including internet and intranet services, network technologies, and ethical considerations. The introduction establishes HSBC as a multinational banking institution and highlights the importance of IT in its operations. The literature review explores existing research on IT in banking, including challenges in third-world supplier relationships, customer service issues, and ethical concerns like credit rating manipulation. The analysis and discussion section examines the successes and failures of IT, emphasizing cloud computing, automation, remote working, mobile technologies, customer satisfaction, and open-source software. It also addresses IT failures, such as poor communication and financial costs. Ethical and social issues within HSBC's IT sector are discussed, including money laundering scandals and their impact on the community. The report differentiates between network technologies like LAN, MAN, and WAN, highlighting their characteristics and applications. It also examines the importance of the internet and intranet in banking, including online services and security measures. Finally, it covers the system development life cycle (SDLC) stages. The report concludes with a summary of the key findings and recommendations for improving IT strategies within HSBC.

INFORMATION
TECHNOLOGY

Abstract
The whole project is depend on information technology and how they will develop new
technologies into the organization. Technologies which include internet and intranet with the
help of them we can communicate with everyone all over the world. They both provide so many
services which are beneficial to us. Then some different types of network which helps banking
sector to work within the organization and also helps to do transactions outside the organization.
Then there is a focus on improving social and ethical issues which are happening because of
small reasons and how can we develop or growth of our bank by make changes. All the issues
and their solutions and the improvements and developments are done through various stages of
system development life cycle.

Table of Contents
Abstract............................................................................................................................................2
INTRODUCTION...........................................................................................................................4
Literature Review.............................................................................................................................4
Analysis and Discussion.................................................................................................................5
Ethical and social issues HSBC bank..........................................................................................7
Difference between network technologies..................................................................................7
Importance of internet and intranet............................................................................................8
Internet........................................................................................................................................8
Intranet........................................................................................................................................9
System development life cycle..................................................................................................10
planning.....................................................................................................................................10
Analysis.....................................................................................................................................10
Design......................................................................................................................................10
Implementation ........................................................................................................................11
Maintenance .............................................................................................................................11
Programming............................................................................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Information technology is the use of any computer, networks, storage and different physical
devices and process to create, store, process, secure and exchange all types of electronic data.
The commercial use of IT is surrounded by both the computer technology and telephony. It is the
study of design, development, support, implementation or management of computer system
basically software and computer hardware. IT employees assure that computer work is good for
people. HSBC bank is multinational investment bank and holding financial services company. It
was the 7th largest bank in the world by 2018 and founded in 1865 and it is founded by Sir
Thomas Sutherland and its headquarter is located in 8 Canada square, London, united kingdom.
HSBC is organised within 4 business groups which are global banking, commercial banking,
retail banking and wealth management.
Success and failure of IT technology in banking sector and finding their ethical and social issues
and different type of networking technologies which are useful. Importance of internet and
intranet in banks. Most important is system development life cycle through which technologies
may improve and upgrade.
Literature Review
As per the view of (Chaison., 2017) Analysis Facing issue in building third world suppliers
because they are not paying fair or appropriate prices. HSBC have lack of flexibility and
visibility to all their channels and this will affect consumers they are getting confuse. Customers
are even not able to find correct account of HSBC. HSBC has lack of hierarchy and process and
its look like more confusion and resources are stretching and people left unsatisfied. They have
to think on resolving naming conference and provide them redirect and clear links. Engagement
is still low because engagement is important for the company and they have to focus on building
positive engagement. The ethical issues they are facing that are manipulating credit ratings,
selling of securities in wrong way, unauthorized banking and selling their shares. Customers are
facing problems while borrowing money from the bank. HSBC bank has already lost their
reputation and profits they can increase their profits and again build a strong reputation in the
banking industry. Standard lacking may have a chance of losing important customers. Some

general issues they can face because of time and employees can't stay for a long time and work
for them and records are not maintained and they are lying on records.
Analysis and Discussion
Success and failure of information technology in business
The information technology gives the wings to the businesses and the plays an important
role in the growth of an organization. As the digitization is increasing, more and more businesses
are getting the benefits of the digital tools to improve the quality of the business. Information
technology also helps the analyzing the data and the planning of the business. There are several
factors that gives the company a great success -
 Cloud Computing
The cloud computing is the new and the regularly evolving technology that improves the
efficiency of the company. The cloud computing also improves the time management and the
agility for an organization. It is confirmed by the several organization that more than $1 trillion
of the profit by using the cloud services(Collins, Worthington and Schoen., 2016).
 Automation in the Business Processes
The automation in the business gives bring the great revolution and also helps in reducing the
cost and saves the time that speed up the business processes. Information technology plays a
major role in developing the automated process for the organizations. The processes such as the
packing, billing, tracking customer data, can be easily done by the information technology.
 Remote working
The innovation in the information technology gives the opportunity to remotely access the
network of the company because most of the employees are working remotely.
 Mobile Technologies
With the rise of information technology, the mobiles are picking the success very fastly and the
trend of Bring your Own Device gives the satisfaction to the employees because the protection of
the data is increased due to the involvement of information technology. This trend brings the
revolution and also the estimated profit of about $180 billion because of the rise of the
information technology.
 Customer satisfaction
The customer satisfaction the main motive of every organization to stay in the market for the
long term. Information technology provides the best experience to communicate with the

customers and solving their problems very easily. The company also gives the platform to the
customers like E-mail, one click solutions so that the customers can easily interact with the
company for any type of queries(Duh., 2015).
 Open Source Software
There are several software available in the market that allows the free usage to the various
companies. The main benefit of the open source software is the flexibility in the license ans it
also allows the user to modify the source code. Such actions of the information technology
provides the better exposure in the competitive environment and also maximize the profits of the
company ans also ensures the company's sustainability.
Failures of the Information technology
There are several factors of the IT failures in the businesses that are as follows -
 The poor communication is the major failure in the organization that impacts the large
amount of the employees.
 The huge financial cost is also the main cause of the IT failures.
 Poor user interface of may also causes the significant problems for the organization and
the faulty hardware is the main factor of the IT failure.
 The unavailability of the proper IT resources and the unskilled professional also impact
on the failure of the information technology.
 The freezing, rebooting and the and the stop functioning in between the process results in
the decremented in the purchase of the product and also reduces the profit of the
company.
 Bad small organization do not take part in the online marketing because of the hackers of
the competitors who leak the private and the confidential data of the company. So, this is
also the main concern of the IT failure.
Ethical and social issues HSBC bank
IT sector is related with ethical and social issues, the information from this sector will flow from
one network to other network. HSBC is trying to access their organization in ethical way but still
they have so many ethical issues in their past like scandal of money laundering. With this ethical
issues they are effecting local community. After happening of this scandal everyone has trust

issues that's why they have to make positive affect on their local community. HSBC have to
make believe their community that their money is safe with them. Not providing good working
condition will effect the workers and their conditions. Owners have to don't act like that they are
cutting down their profits and investing in things this may be unethical and it will effect to the
stakeholders(Dutta Geiger and Lanvin., 2015).
Difference between network technologies.
LAN- LAN is a local area network and it is a computer network which is used in small places
like office, home or schools etc. almost all the computers are connected through with each other
and the information and internet connection are same in all the computers. Most of the LAN
connections use Ethernet to connect with other computer together.
WAN- Wide area network is a network which works on a large scale geographical area. WAN is
connected to various small networks including metro area networks and local area networks.
This will assure that the user from one location can communicate with other users in different
locations.
MAN- Metropolitan area network is a network which interconnects users with resources of
computer in a large geographic region. It will cover huge area more than the local area network
but it is smaller than the wide area network because wide area is spreaded all over.
LAN MAN WAN
LAN stands for local area
network.
MAN stand for metropolitan
area network.
WAN stands for wide area
network.
The ownership of LAN is
private.
The ownership of MAN can be
private or public.
WAN is also not be owned by
one company.
LAN is fast in transmission
speed.
In comparison with LAN
WAN transmission speed is
average.
The transmission speed of
WAN is slow.

Reproduction delay is short in
LAN
Procreation delay in MAN is
balanced.
In this there is a long
propagation delay.
Less blockage in LAN and it
will help to do work quickly.
In this there is more blockage
in MAN and this will create
problem for MAN.
In compare with both of LAN
and MAN it has more
blockage than them.
The maintenance and design of
LAN is easy.
MAN face difficulties in
maintaining and designing in
compare with LAN.
Maintenance and design of
WAN is more difficult than the
LAN and MAN.
LAN allows only single pair
of device for communication.
At the same time so many
computers can interact with
different computers.
A large group of computers
can communicate with other
computers at the same time.
LAN is basically used for
colleges, hospitals and schools.
It is used in small cities and
towns.
WAN is used for continent and
countries.
Importance of internet and intranet.
So many peoples are confused between internet and intranet. There are so many differences in
both them and one of the important difference is that internet is open for all and anyone can use
it from everywhere where they want and intranet needs authentication for login into an
organization because it is private(Chaison., 2017).
Internet
Internet is important part of human beings' life and it is important in every field. In banking
sector internet helps their users to manage their savings and by doing everything while sitting at
home will save their time. Internet in banks give so many services like online offers and it will
allow them to control their accounts at any time and anywhere. HSBC bank use encryption
devices to assure their client that their information is safe with them. Ultimately it gives you
security from hacks and online frauds. By providing service of online banking we can access any
information of our account from anywhere. We can safely and easily transfer money without
having fear of fraud. Internet gives you unlimited information what you want and that can be
seen by everyone also. Mobile banking makes life easy whether we want to transfer funds or if
we want to check balance of our account or we want to purchase without cash everything is just

done by internet on phone. Internet can be operated by everyone. Internet is not owned by any
organization everyone can access it. Managing and monitoring your account is simple when we
are using good budgeting and e banking application at your fingertips. Internet is available to
everyone but it is not safe. Internet banking have some issues which are that old generation
doesn't feel safe with online transactions or e banking. Cyber crime is a threat. We have to create
strong username and passwords. There are limitation on transferring limited amount of
money(Schwalbe., 2015).
Intranet
Intranet is a private network use by any particular organization and no one can operate intranet
from anywhere like internet. In intranet there are limited users and the information provided to
the users are also limited in number. Intranet is owned by private companies. One of the best
thing of intranet is that it is safe. Numbers of visitors are less in intranet. In HSBC bank intranet
important function is providing and efficient ways of system to department information about
products and services. Having a navigation system makes it easy to use. The time which is spent
by employees on research will reduce. The goal of intranet is to make easy communication,
cooperation and document sharing for users within an organization. HSBC bank use intranet for
sharing banks data among employees of banks safely. It is easy to work in group and set up
convention. In HSBC intranet helps employees to collaborate to be a better staff, involves and
engage staff and promoting banks culture. It provide tools to your employees to do work
efficiently. Make life easy for employees by making various sites which contains helpful types of
economic resources. Intranet is a great tool for teaching staff or give training on our products and
services. Upload videos directly to the site for workers to watch and study them. Special projects
can coordinate employees from various departments this will make strong communication
between them. The important thing for HSBC bank is to get involves in the community of our
bank where all the information of our bank is on our site. From there bank can easily participate
by hosting and promoting raising funds among staff(Lloyd., 2017).
System development life cycle
A system development life cycle used in management of projects that will explain also the stages
which are involved in system development project and through useful study they will maintain
completed application. System development life cycle is applicable to technical and non

technical systems. In most of the cases a system will be IT technology such as software and
hardware. Managers who are managing project and programs they will not take part in
development system along with their software engineers or development teams(Marchewka.,
2016).
System development life cycle is made up of multiple stages. Generally there are so many steps
but methodology follows these steps:
planning
Planning is the most critical stage for creating a favorable system, during this time we will
decide that exactly what you want to do and which problems you gonna solve by explaining
problems, objectives and some resources like cost. Learn the study of asking alternative solutions
after meeting with suppliers, clients, employees and consultants. Learn how to improve your
product and make it better than the competitors. After examine all the data we will have 3
choices that work on developing a new system, make improvements in the current system which
we are using or leave the system in the condition it has(Baller Dutta and Lanvin., 2016).
Analysis
In analysis they have to understand the needs of business and processing needs. After coming on
this step the project department team will describe the projects in details and also check where
this project is useful. The useful study which will made for project as well, deciding that it is
economically, socially, technologically is possible. Maintaining Strong communication level in
the organization is important with the clients to assure that you have a clear vision of the final
product and its function(Senft, Gallegos and Davis 2016).
Design
This is the interesting part because design will come after getting the requirements of customers
and here we need good understanding because this stage define the elements of the system,
security level, components, architecture, modules and the various interfaces and different data
which goes through system. A normal design of system can be prepare with just pen and paper to
figure out how the system will going to look like and how it will work and after this extended

design of system is produced, and it will meet all the technical and functional requirements(Sittig
and Singh., 2015).
Implementation
Implementation is a process in which implementing the design into the source code via coding.
Combine all the parts together into training environment which will detect defects and errors.
Tested report prepared via test plan that have errors which includes task related test such as case
generation test and allocate resources for testing. Merge the information system into the
surrounding and install or upgrade to the new system(Avgerou and Walsham., 2017).
Maintenance
After the system will installed users have their needs including all the activities like they need
phone support and physical support. Mentioning of excellent communication is important
because it can be maintained with the customers, and prototypes are also important when there is
a need of meeting requirements. By creating a system in short redundancy it is confirmed that we
will able to meet the requirements of customer before building the whole system(Hills., 2018).
Programming
It is the critical part of development cycle. Concentration is needed here because coding work
and deliver the software which is selected and it needs hard work. Generally company will
select a team of programmers to work on specific project. All the tasks which are given are
divided into sub aspect and this will known as task allocation. That's why every coder has their
own work(McKeown., 2015).
CONCLUSION
Information technology is important and have a large impact on technology sector. Information
technology has a great impact on banking field and it is very important for HSBC bank. Working
without technology is impossible in banking sector because it helps in storing data and
improving communication in bank. Internet and intranet has a great impact on banking sector
without both of them the work in bank is almost impossible. So with the help of internet and
intranet technologies everything seems to be so easy. Various technologies has their own

importance and technologies are developing all over the world and whole banking sector is
mainly depends on information and communication for their daily work.
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