Sainsbury's and the Impact of Information Technology on Business

This report provides an in-depth analysis of Information Technology (IT) within the context of Sainsbury's, a major UK supermarket chain. It begins with an introduction to IT and its role in business, followed by a literature review discussing computer classifications, ethical and social issues, the function of Information and Communication Technology (ICT) in effective management, and the impacts of the internet and intranet. The report explores the various types of computers that Sainsbury's could utilize, from supercomputers to workstations. It delves into ethical considerations like discrimination, harassment, and data security. The report examines how ICT streamlines operations, boosts customer satisfaction, and enhances communication. It analyzes the impacts of the internet and intranet on business operations, including marketing, sales, and customer engagement. Finally, the report provides an analysis of the merits and drawbacks of investing in IT, concluding with a summary of the key findings and recommendations for Sainsbury's to leverage IT for sustainable growth and improved performance in the retail industry.

Introduction to
Information
Technology

ABSTRACT
Information technology plays a major role in enhancing the operations of the
organisation. There are various activities which needs to be carried out effectively. Sainsbury's
use the technology to provide better services to consumers. They had managed to achieved a
systematic growth in retail industry. The managers implement the technology to manage their
work and duties and responsibilities in a systematic manner. Moreover, the focus is to incur more
profits in the market and expanding the business in different regions. For further instance, there
are several benefits and drawbacks in investing in technology.

Table of Contents
ABSTRACT.....................................................................................................................................2
INTRODUCTION...........................................................................................................................4
LITERATURE REVIEW................................................................................................................4
Discussing different classification of computers which could be used by the organisation. .4
Discussing different ethical and social issues which is generally important for the business to
perform better.........................................................................................................................5
Discussing the function of Information and Communication Technology (ICT) in effective
management of business. Analysing the impact of internet as well intranet..........................7
Analysing the role of IT in helping managers to manage businesses.....................................9
ANALYSIS AND DISCUSSION.................................................................................................10
Multiple merits and drawbacks for investing in information technology.....................10
CONCLUSION..............................................................................................................................10
REFERENCES:.............................................................................................................................12
Books and Journals...............................................................................................................12

INTRODUCTION
Information Technology can be described as use of different computers which help to
create and process the data. Communication and information technology includes various
activities like create, process, retrieve and store data. The report aims to analyse about
understanding the information technology in context to business. Sainsbury's is the second
largest supermarket chain in the United Kingdom. The organisation has managed to achieve
sustainable performance in the market. It was founded in 1869 by John James Sainsbury with a
shop in Drury Lane, London. The company was the largest UK retailer of groceries for most of
the 20th century. There are different variety of products which the organisation is providing in the
market. On the other hand, in this report there will be brief evaluation of ethical and social issues
in regards to digital world. Along with that, there will be brief discussion about Information and
communication technology which helps the company to provide better services to the consumer.
For further instance, there will be evaluation role of information technology which helps the
managers to manage their business effectively.
LITERATURE REVIEW
Discussing different classification of computers which could be used by the organisation
Classification on the basis of size
 Supercomputers – These are the computers that performs at or near the highest
operational rate which helps to accomplish high level of performance in the market. Most
of the supercomputers run on Linux based operating systems. Sainsbury's can use this
type of computer to perform better in the market. They can enhance their overall
performance and achieve great profitability in desired industry. With the help of
supercomputers, Sainsbury's can implement extensive research in various fields and offer
better customer services.
 Mainframe computers – It is a type of giant computer known for its big size, memory
volume, computing speed and high performance. These computers are primarily used by
large organisations for critical applications like bulk data and large scale processing. In
relation to Sainsbury's the organisation has seen an efficient growth in market in the past
recent years. They can use the main frame computers to gain a competitive advantage in
retail industry (Lawson, 2019).

Classification on the basis of Functionality
 Servers – These are software and hardware that store data, manage network resources
and fulfil client’s requests. The organisation needs to serve data of the consumers in high
security. Sainsbury's generally stores the client data in a secured server. The organisation
is exponentially growing by offering quality services to the consumers (Honda and
Hashimoto., 2021).
 Workstation – Workstations are PCs and laptops that quickly perform complex,
technical tasks such as digital content creation and detailed analysis. Sainsbury's is
providing the individual workstation to every employee through which they can manage
the customer data and provide better services to customers.
Classification on the basis of Data Handling
 Analog – It is the type of computer which generally change the aspects with the help of
electrical and mechanical quantities. In relevance to Sainsbury's they can indulge in
continuous improvements with the help of analog data handling.
 Digital – This is the type of computer which performs the logical operations. There are
big calculations which can be easily done with the help of computers. Sainsbury's can
implement this system in order to solve complex problems in workplace and this helps
them to achieve greater results in future.
These are main classification of computers which can used by Sainsbury's in order to
become more profitable. It will certainly help the firm to manage their working repartitions in
significant manner. Moreover, the focus of Sainsbury's is to expand their business in different
regions. With the help of new technological tools, they can offer better services to the consumer.
Discussing different ethical and social issues which is generally important for the business to
perform better
Ethical and social issues play a crucial role for any organisation. Following the ethical
code of conduct can help them improve their overall performance and achieve more profitability
in the market. Ethical issues need to be fulfilled by company in an effective manner. Not dealing
with ethical issues can lead to different conflicts in workplace. On the other hand, social issues
may impact the individual or the society. The organisation needs to maintain a healthy working
environment in which there is no discrimination and every employee is getting equal

opportunities (Bowles and Valentine, 2020). There are multiple ethical and social issues which
can affect the working operations of Sainsbury's are mentioned below:
 Discrimination and Harassment – In this new evolving market scenario the
organisation needs to provide equal rights to every employee which is working in the
company. This is one of the most crucial ethical and social issues. There are various
principles which can be abided by the firm in order to provide healthy environment to
employees. At workplace discrimination affect the mental health of the individual. In
relation to Sainsbury's they need to provide a positive working environment in which the
employees do not face any discrimination. They need to abide different code of conduct
which needs to be implemented in workplace. This will help them to perform better and
the management can expect increased amount of productivity form the employees.
 Complying the Governance Issues – There are various new rules and regulations which
needs to be followed by organisation. The managers of firm have inherent responsibility
to manage the employees and follow different compliance and governance issues. In
accordance to Sainsbury's they need to formulate different strategies and approaches to
comply with all the governance issues. It is essential for the employees to follow the
policies. It is beneficial for the company to maintain a positive brand image in market.
They can acquire great position in the desired industry.
 Security of the client Data – For various organisation this is the major issue they need to
secure the data of the customers. Most of the individuals is basically facing different
problematic situations. In relation to Sainsbury's the main duty is to implement proper
advance system in which they can focus protecting the client data in an effective manner.
This will certainly help them to enhance their overall performance and help them to
achieve great results in future.
The ethical and social issues which is faced by Sainsbury's can affect their performance
in the market. These issues could likely affect the working operations of firm. They need to
minimize the impact of these issues in order to incur more profits in the market.
Discussing the function of Information and Communication Technology (ICT) in effective
management of business. Analysing the impact of internet as well intranet
Information and technology creates an efficient and effective business. It helps to carry
out the operations with minimal human errors. With the use of sufficient technology, the

management can fulfil the needs and wants of the customers. The organisation is bound to
achieve the goals and objectives within a significant time frame. Technology helps an
organisation, create multiple solutions of various problems, which compromises their growth in
the market. The company will understand the behaviour and changing preferences of the
consumers. Information and technology also guides the organisation to significantly change itself
as per the market trends and conditions (Ravichandran and Giura, 2019). Following are the ways
through which technology and communication helps the business become more effective:
 Boosting customer satisfaction – Many of the organisations, who are involved in
operations, has implemented a digital infrastructure in workplace. Through this, they are
able to provide improved services to customers. In relation to Sainsbury's, they
concentrate on use of technology to enhance customer experience. They have also
introduced an online feedback portal. This will leverage the customer satisfaction and
provide expertise in certain areas of work.
 More streamlined scheduling of Manpower and Jobs - With expeditious
advancements, the Human resource management can implement new information and
technology software. This will help them, recruit numerous potential candidates.
Sainsbury's HRM accomplishes multiple duties and responsibilities in an accurate
manner. With HR solutions software system being used, they can manage the accounts
and data of every employee, who is working for the organisation.
 Providing ongoing training – All of the technology used in organization, can help
provide adequate amount of training to the employees. This will drastically improve the
overall productivity of workplace. Sainsbury's implements the STAR development
procedure, for enhancement of skills and capabilities of the employees. They must use
various technology based tools to monitor activities of the workforce and enhance their
overall performance in an appropriate manner.
 Establish an enhanced communication between the staff and management –
Communication technology can help the management to establish and enhance
communication with the employees. In relation to Sainsbury's they had direct access to
communicate with the management in case of any emergency. Moreover, the
management of Sainsbury's is also involved with the workforce. They track their
performance of regular basis. They further focus on maximizing their efforts in the

organisation and helps them to enhance their overall performance. With the help of
technology, the management can show their vision to employees which they want to
achieve in market.
Analysing the impact of internet and intranet
Internet
In this new digital era most of the customer use internet services to buy different products
online. Most of the organisation mainly focus on providing best services to consumers. There are
new results which can be achieved by the organisation with the help of technology. Internet can
create a positive impact on the organisation. The companies can understand the consumer needs
and offer better products and services in market. Internet also provide various opportunities for
the firm in order to capitalise in different aspects which includes marketing, sales of product etc.
(Chafi and Fakhri, 2018). There is a positive impact on business due to internet which are as
followed:
 The organisation can gather the client information to serve better products in accordance
to their needs and wants. Sainsbury's use the technology to understand the new dynamics
of industry. They are tweaking their products and improve them in a significant manner.
Furthermore, the organisation is able to enhance their future operations with the help of
technology. The organisation is also carrying out different communication and other
electronic activities effectively. Sainsbury's has developed their own networks to offer
better services to consumer and achieve and sustainable growth in retail industry.
 With the help of internet services, the business is able to attract different consumer in
market. In relation to Sainsbury's they are attracting different customers with the help of
online campaigns. The internet services play a major role in enhancing their profits in
industry. The management is also seeing an exponential growth in industry. They had
mainly focused on improving their infrastructure which was partially digital. The
organisation has incurred increased number of profits in recent years.
Intranet
The intranet is defined as a private network used within the organization to perform day
to day tasks. It is comparatively more secure and safe to use. It also helps in establishing better
communication channels for workplace. All of the employees working in the organization, often
engage in teleconferences, where intranet is used. It strictly operates in a closed network, which

minimizes any data security breaches in workplace (Molotsky, 2021). The impact of intranet in
business is described below:
 Making employees productive - Intranet makes employees more productive, as they
will be able to socialise with other staff and take suggestions in order to maximize their
efforts. Sainsbury's has used this technology, for better communication between
subordinates.
 Making the searching documents simpler – Intranet helps in search of different
relevant information. The employees can conclude their work with ease and low to none
human errors. Sainsbury's workforce is capable of providing the best services to
customers. Intranet is key driver which helps the employees to create their own content
and prepare better market analyses for the organisation.
Analysing the role of IT in helping managers to manage businesses
Information technology helps integrate business processes more resourcefully. They can
implement new ideas to improvise the overall productivity (Marasco and Okumus, 2018).
Following are the ways through which information technology can help the managers:
 More efficient Daily operations – Information technology is capable of enhancing the
business operations of firm. In Sainsbury's, the managers use the technological tools to
establish effective communication with employees, for instance, by checking the
inventory by using inventory management software. The organisation is equipped with
digital infrastructure, which results in appreciable performance and they currently aim to
improve in the future.
 Better customer experience – Information technology offers better products and
services to consumers. Sainsbury's has implemented the quality check system which
maintains desirable quality of product and services. New opportunities are available; on
which they can capitalise if overall sales are positively impacted.
 Taking effective decisions – With the help of ERP tools and other similar software, the
decisions related to internal and external proceedings of the entity, can be effectively
managed. This helps them to assess critical aspects, for achieving better results in the
market.

ANALYSIS AND DISCUSSION
Multiple merits and drawbacks for investing in information technology
Most of the organisation which are present in market invest heavily in technology to
carry out the operations effectively. They tend to provide better products and services to the
consumer (Pathak and Sharma, 2019). Benefits and drawbacks in relation to Sainsbury's is
mentioned below:
 Improving communication – Defined as the most crucial benefit for the organisation, it
improves overall performance in the market. The management and the staff tends to
develop an effective relationship through communication. Sainsbury's uses the
technological factors to understand the demands of consumers.
 Improving the Data storage systems – The organisation is able to manage the data of
the employees systematically. Sainsbury's uses the data storage systems to monitor the
performance and regulate the organisation. The data is also secured with the new
software system which the company has recently introduced.
Drawbacks of Investing in Information Technology
 Incur more expenses on organisation and time consumption – Investing in
Information technology can create a serious impact on the organisational budget.
Sainsbury's is truly depended on the new technology, which the management needs to
consider in business processes. Implementing information systems require relevant
amount of time, which may delay various processes.
 Insecurity between employees – Usage of Information technology also affects an
employee's motivation. Sainsbury's is heavily investing in technology which tends to
creates an imbalance in workplace, as the employees feel less productive.
CONCLUSION
From the analysed report, it has been concluded that Information technology plays a huge
role in enchaining the working operations of a firm. On the other hand, Sainsbury's uses different
types of software which improves their overall performance and complete their work in a timely
manner. Along with that, there is brief discussion about role of information and technology in
creating business impactful, resourceful and sustainable. Furthermore, in this report various

advantages and disadvantages of the company are thoroughly discussed, which define the
position of information systems, used in the company.

REFERENCES:
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