IT's Role in Business: Analysis of Success, Ethics, and Technologies

This report analyzes the role of Information Technology (IT) in business, focusing on its impact on organizations like Lloyds TSB. It explores the purpose of IT, its influence on success and failure, and the ethical and social issues associated with its use, such as data security and cyberattacks. The report delves into different network technologies (LAN, WAN, WLAN), the importance of the internet and intranet in business operations, and the stages of the system development life cycle. The analysis highlights the advantages of IT, such as improved efficiency and online services, while also addressing disadvantages like security risks and job displacement. The report emphasizes the need for robust security systems and ethical considerations to mitigate potential threats and ensure the sustainable success of businesses in the digital age. The report provides a comprehensive overview of IT's multifaceted role in modern business environments, offering insights into its benefits, challenges, and future implications for organizations.

INTRODUCTION TO INFORMATION
TECHNOLOGY

ABSTRACT
Information technology is most commonly used tool in organisation which helps business
in developing their coordination with consumers and raising productivity of the firm to great
extent. But due to increasing cases of security leakage firms are losing their consumers which
creates threat for these enterprises. Firms are required to take necessary actions such as using
effective protection system etc. to protect the data of consumers and confidential detail of
business as well. This can give better results to organisation.

TABLE OF CONTENTS
ABSTRACT ...................................................................................................................................2
INTRODUCTION...........................................................................................................................1
Purpose.........................................................................................................................................1
Background..................................................................................................................................1
LITERATURE REVIEW................................................................................................................1
The role of it in success or failure of organisation.......................................................................1
Ethical and social issues of using IT. ..........................................................................................2
Different types of network technologies......................................................................................2
Role and importance of internet and intranet in business............................................................3
Different stages of system development life cycle. ....................................................................4
Analysis and discussion...................................................................................................................5
CONCLUSION ...............................................................................................................................7
REFERENCES ...............................................................................................................................8

INTRODUCTION
Purpose
Purpose of this study is to analyses role of IT in business and its impact on working of
organisations.
Background
Information technology is the use of computers in storing, retrieving and transmitting and
manipulating data. Lloyds TSB is located in London. international investment bank and financial
services holding organisation. It provides all types of financial services such as personal loans
and business loans (Rivard and Aubert, 2015). The study will highlight the role of IT in success
and failure of organisation. Report will describe the ethical and social issues that impacts the
running of a business. Moreover, study also describes different types of networking
technologieS. The study also highlights importance of intranet and internet in banks. Role of
information technology has been greatly expanded. It is used almost by every organisation.
Technology is used to store information, manipulate, distribute and assist in creating information.
IT impacted the banks in being successful as use if internet in banks makes banking process
faster and reliable. By using internet maintenance and retrieval of information have become
faster and convenient. Author further says that use of mobile banking one can access their bank
from anywhere, transactions can be done by one tap. Internet has many advantages but some
negative impacts also as impact of technology results in loss of jobs in market as nowadays all
the work is done through mobiles and computers and manual requirements have been reduced.
LITERATURE REVIEW
The role of it in success or failure of organisation.
As per the view of Tarafdar, Gupta and Turel, (2015) information technology is the most
essential systems which contributes in success of organisation. Use of email and other social sites
help in improving communication in Lloyds TSB which supports in reducing confusion at
workplace and mistakes are minimised to great extent. Waser and et.al., (2016) argued that IT is
1

useful system which benefits the organisation in making effective operation. By the use of
internet information is circulated quickly which assist in improving productivity of the Lloyds.
According to Hemrungrote, Jakkaew and Assawaboonmee, (2017) IT system enhances
risk in banking sector. As use of online services creates risk of hacking of data. This is the main
reason why people don't trust these types of services which affects the brand image and goodwill
of the banks.
Ethical and social issues of using IT.
As per the view of Tsohou and et.al., (2015) there are many ethical issues which are faced
by banking sector as such by the use on internet the data stores in computer systems and cloud
can be hacked by other persons. The confidential data stores in systems can be easily accessed by
others, malware attacks which results in financial loss for the banks. Further author also says that
the personal details of customers can also be leaked so in this way internet damages the security
of Lloyds TSB.. Author Knezek and Christensen, (2018) argues that there are not only ethical
issues which is been faced by Lloyds there are social issues also like unauthorised access by third
party and cyber bullying. As cyberbullying is increasing commonly people are harassed or bully
through social media websites. Some issues are also faced by banks that some times transaction
is done but amount is not transferred to persons account sometimes system also crashes due to
bug in programming etc. all these problems are major problem which can lead to sustainable loss
to Lloyds. Another social issue is that any frauds are in done in market as fake investment
schemes, text messages and calls are made to people and those people who have less knowledge
becomes victims of these types of frauds. Personal information of customers sometimes leaked
through internet which results in loss for individiual and Lloyds TSB. Once these types of
activity is done by some company it does not impact that organisation but also affects image of
other companies in banking sector as people make views that all investment schemes which are
launched by banks are fraud. Thus, this impacts on overall productivity and revenue generation
of the Lloyds TSB.
Different types of network technologies.
According to the author Brooks and et.al., (2017) there are various types of networks
available such as LAN. It is a local area network which spans in a small area only. LAN is
connected to a single room, a building or group of buildings in a society. LAN is connected by
telephone lines and radio waves. The author Brooks and et.al., (2017) argues that there are other
2

networks also rather than LAN such as WAN, it is wide area network which is geographically
distributed telecommunication networks that connects multiple local area networks. This network
is more advance than LAN and it provides wider coverage area. This network is useful for
Lloyds as WAN is consists of connections to banks headquarter, branches, collocation facilities
and cloud services. As by WAN all different areas of banks are connected to each other and fast
communication is created which assists in improving productivity of.
Author Antle, Jones and Rosenzweig, (2017) argues that other than LAN and WAN there
is another advance network also which is WLAN, this network is best which provides greater
creativity and fast data speed though this WLAN is costly as compare to other networks and is
used by most of the businesses these days. This network is a wireless computer network which
links two or more than two devices using wireless communication to form an LAN within a
limited area such as home, buildings in society or office campus. This is a wireless network so
cost of installation is also less and it is easy to install. All devices such as laptop, computer,
smartphone can be connected via WLAN.
Role and importance of internet and intranet in business.
Bannon, Bardzell and Bødker, (2018) says that there are many importance of using
internet in banking sector. Internet in Lloyds TSB provides many services like online dealing
such as people can do transaction at anytime from anywhere. It helps in development of business
as internet provides useful communication and marketing tools. Internet helps in achieving their
goals and becomes more successful in competitive market. By the use of internet Lloyds TSB
can do effective marketing of their products and services as there are various platforms like
online website and social media, through that effective marketing and promotion can be made.
Services like email marketing and social media customer supports, Skype chats, etc assists in
providing good return on investment for an business. Author de Vreede and et.al., (2016) argues
that there are many benefits of internet but there are some negative impacts also that by use of IT
information of Lloyds TSB can be accessed by other persons when the security system installed
is not so strong. There are many cyber attacks done by hackers which are done by the use of
internet and impacts in that way that it damages the security of business.
As per the view of author Rajaraman, (2018) use of intranet is useful for business tool as it acts
as a communication hub for the staff in Lloyds TSB. It helps in managing corporate data such as
staff news memos, and announcements centrally can be accessed at any time. Intranet increases
3

employees productivity, allows greater collaboration and simplifies decision-making in Lloyds
TSB. Author Rivard and Aubert, (2015) argues that by the use of IT security risks as it provides
open access to sensitive data. It can very costly and time consuming for Lloyds TSB to maintain,
as routine maintenance is must to keep intranet organised and functional.
Different stages of system development life cycle.
There are six stages in the system development life cycle. The stages are as follows-
Planning- This is the first step in which decision is made what an information system
should look like and what will be the features. Identification of resources which are needed to be
developed.
System analysis and requirements- This analysis is important before proceeding to next
step. In this step analysing of performance of software is done at various stages i.e., software is
running smoothly or not and notes are prepared for further requirements (Rajaraman, 2018).
Design- this stage is also simple as compare to other stages. In this stage blueprint of
software is seen by the user. Which includes design of software application, network database
and system interference.
Development- The main task of software building start with this step, in this step
building of information is started. Hardware required is purchased and installed and software is
coded and loaded on testing platform. This step is main step in stage of system development life
cycle
(Rivard and Aubert, 2015).
Integration and testing- Quality staff conduct testing process. The purpose of this stage
is to make sure that software works smooth with existing systems.
Implementation- Once the software is developed after that stage development stage
comes, after all testing to ensure that the program made is working smoothly or not final
implementation is made.
Maintenance- this is the last stage in this maintenance process is done where software
made is maintained properly and upgraded from time to time. Maintenance is done on regular
basis and it depends on feedbacks of the customers. Handling of errors and resolving of issues is
the last and final step in this whole process (Tarafdar, Gupta and Turel, 2015.).
4

Analysis and discussion
The role of internet has Bank in many ways, as by the use of internet the day to day work
of the Lloyds TSB becomes faster. All process are done in an efficient and smooth manner.
Different types of banking apps are introduced so that banking task can be done as fast as
possible. It makes easy for public to do all banking task as by using banking apps transactions
can be made to anyone at any time so if banks make more investment in IT is will be beneficial
as banking operations becomes fast and easy. Internet has expanded the world of digitisation
(Waser and et.al., 2016). The major d
The uses of internet have many advantages but there are some disadvantages also as these
as people do online shopping through internet and they enter their confidential details there but
they are not aware about security risk i.e., their accounts may be hacked by hackers through
cyberattacks, transferring money by online application is very risky because sometimes due to
bugs in software or errors amount is deducted from the customer’s account but not transferred to
the recipient. Another negative impact of IT is that the personal details of consumers can also be
misused by other people (Hemrungrote, Jakkaew and Assawaboonmee, 2017). For solving all
these issues bank should made an efficient security system so that chances of been hacked can be
reduced. Banking system should use trusted software only and must keep there systems up to
date so that the proper security can be maintained. By following security measures the bank can
be safe from data hacking and data theft.
There are ethical and social issues which are been faced by the use of internet. Ethical
issues like cyber attack and malware can hack the data that is stored in systems and clouds which
results in loss. To deal with this issue banks should use strong wire wall security so that any
malicious software can not enter in the system. The use of security software should me made so
that it can offer advance protection. Many antivirus software like avast and quick heal is
available business should use that. By use of technology and internet manual requirement of
workers has been reduced which results in this way that less jobs are available in the market.
Mostly all business tasks are done by machines and advance technologies (Tsohou and et.al.,
2015).
Today many frauds are done through internet. It has becomes a best suitable medium to
do fraud with people and people who have less knowledge becomes victims of the frauds. The
frauds are done by sending emails and calls regarding various investments schemes, they are
5

manipulated in this way that they have better investment schemes for making their money double
(Hemrungrote, Jakkaew and Assawaboonmee, 2017). All organisation don't do this activity but
once it is done by some company it affects the other brands image also as people things that all
companies are fraud. By this types of frauds public trust towards the organisation reduces. For
reducing these types of frauds banks sends text messages to customers that they need not to share
OTP with anyone, and if any fraud calls are made to them asking their details they should not
respond to that. After doping all this m,measures still frauds are done by some fraud organisation
or some group of individuals.
There are various types of networks available such as LAN, WAN and WLAN. Normally
LAN in Bank (Howlett and et.al., 2018). LAN provides network coverage to small areas only so
it is not much useful in performing all task smoothly so if Lloyds TSB uses LAN it will be not
beneficial as it can not provide wider connectivity. Mostly WAN is used in banks provides
wider area connectivity which connects all the departments, headquarter and branches. There is
more advance and fast type of network which is available ie, WLAN. In WLAN two LAN's are
connected via wireless connection. This connection is wireless as wires are not required to
connect one LAN to another. so if Lloyds TSB uses WLAN it is beneficial for them as it
provides higher speed for banking activities. The connection is costly but provides high speed
data and connection formed is more secure. All devices such as laptops, desktops and
smartphones are connected by this network. If Lloyds TSB investment in IT sector it is
beneficial as it makes the banking process faster and more advance. All the transaction can be
done as fastly as possible. through mobile banking money can be transferred by customers from
anywhere anytime. There are some drawbacks also for banks of using internet as it requires
higher cost for installing internet routers, as technology updates from time to time so Lloyds TSB
also have to make changes according to that so that the systems can be secured.
Use of internet has been advantageous for Lloyds as it helps in productivity and growth.
lot of time is saved by doing all business task through internet, thus if banks makes more
investment and try to improves its network speed and quality by adopting latest network systems
it will result in higher productivity and more work will be done through internet in less time. As
by investing more in IT customer base of Lloyds can be increased through various social media
platforms like Facebook and Instagram effective marketing of services and schemes has been
done by Lloyds. In past times bank has suffered from various cyber attacks and to deal with this
6

issue bank adopted various security measures and build advance security systems (Bannon,
Bardzell and Bødker, 2018).
By using IT communication has become more fast as nowadays business meetings are
done through video conferencing which assist in more effective planning and decision making.
Communication is fast so all task are done on time which results in greater productivity. The
advantage of this network is that it is cost effective. There are more advantages of internet and
less disadvantages, main negative impact of using internet in bank is that information shared may
be on risk and can be accessed by some individuals (Antle, Jones and Rosenzweig, 2017).
CONCLUSION
From the above study it can be concluded that use of IT has a great impact on business.
As by different social media platforms like Facebook and online website marketing is easily done
by business. Internet provides large customer base to business. IT is beneficial for banks as it
makes their banking process easy and by use of internet banking and other banking apps
transaction is done fast from anywhere in the world. Further the study concludes about negative
impacts of internet as such as cyber attacks and effect of that, by such attacks the confidential
details may be misused by others.
7

REFERENCES
Books and Journals:
Antle, J.M., Jones, J.W. and Rosenzweig, C.E., 2017. Next generation agricultural system data,
models and knowledge products: Introduction. Agricultural systems. 155. pp.186-190.
Bannon, L., Bardzell, J. and Bødker, S., 2018. Introduction: Reimagining Participatory Design-
Emerging Voices. ACM Trans. Comput.-Hum. Interact.. 25(1). pp.1-1.
Beynon-Davies, P., 2016. Information Systems Development: an introduction to information
systems engineering. Macmillan International Higher Education.
Brooks, S.W. and et.al., 2017. An Introduction to Privacy Engineering and Risk Management in
Federal Information Systems (No. NIST Interagency/Internal Report (NISTIR)-8062).
Hemrungrote, S., Jakkaew, P. and Assawaboonmee, S., 2017. March. Deployment of Google
Classroom to enhance SDL cognitive skills: A case study of introduction to information
technology course. In 2017 International Conference on Digital Arts, Media and
Technology (ICDAMT) (pp. 200-204). IEEE.
Howlett, M.M. and et.al., 2018. INT-010 The impact of the introduction of health information
technology on medication errors in a paediatric intensive care unit.
Jarvenpaa, S.L. and Lanham, H.J., 2015, January. Introduction to the inter-organizational
collaborative dynamics and role of information technology minitrack. In 2015 48th Hawaii
International Conference on System Sciences (pp. 4355-4355). IEEE.
Knezek, G. and Christensen, R., 2018. Section Introduction: Attitudes, Competencies, and
Dispositions for Teaching and Learning with Information Technology. Second Handbook
of Information Technology in Primary and Secondary Education. pp.235-237.
Rajaraman, V., 2018. Introduction to information Technology. PHI Learning Pvt. Ltd..
Rivard, S. and Aubert, B.A., 2015. Information technology outsourcing: An introduction. In
Information Technology Outsourcing (pp. 15-34). Routledge.
Tarafdar, M., Gupta, A. and Turel, O., 2015. Special issue on'dark side of information
technology use': an introduction and a framework for research. Information Systems
Journal. 25(3). pp.161-170.
Tsohou, A. and et.al., 2015. Managing the introduction of information security awareness
programmes in organisations. European Journal of Information Systems. 24(1). pp.38-58.
Vreede, G.J. and et.al., 2016. Collaboration technology in teams and organizations: Introduction
to the special issue. Information Systems Frontiers. 18(1). pp.1-6.
Waser, R. and et.al., 2016. Introduction to nanoionic elements for information technology.
Resistive Switching: From Fundamentals of Nanoionic Redox Processes to Memristive
Device Applications. pp.1-30.
8