MICT710 - Analyzing Telstra's Digital Innovation & Ethical Issues

This case study provides an in-depth analysis of Telstra's digital innovation, examining the ethical implications of its transformation from a traditional engineering-based company to a fast-paced digital one. It explores the advantages and disadvantages of digital innovation, presents a framework for developing digital innovation, and assesses the ethical consequences of moving to a digital firm, including issues with IT governance. The analysis considers the importance of maintaining ACS codes of ethics, promoting a creative environment, and balancing flexibility with structure. It further investigates the potential use of decision support systems and business analytics within Telstra to achieve a competitive advantage, highlighting the need for appropriate IT governance and standards. The study concludes with recommendations for ensuring long-term sustainability and competitive advantage in a challenging digital landscape.

Running head: PROFESSIONAL PRACTICES AND ETHICS
Analysis of the ICT business and Ethical Analysis Framework
Case study of Digital Innovation of Telstra
Name of the Student:
Name of the University:
Author Note:

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PROFESSIONAL PRACTICES AND ETHICS
Executive Summary
The study develops the understanding about the digital innovation case scenario of Telstra.
Telstra has launched the 24/7 Telstra app and the crowd support platform that revolutionized the
use of the digital technologies. It is noticed that the company sourced some of the specific digital
talents that are quite renowned in the market. The analysis of the case study is presenting the
framework for implementing the digital innovation and strengthening the competitive position.
The managers need to take the responsibility of promoting a creative environment by
establishing the appropriate balance between the flexibility and structure. The study even notifies
that maintaining the ACS codes of ethics is quite important when implementing a digital
innovation within a firm. The personalization will be helpful enough to set the focus on the
relationship of a person with a business or a brand. The use of the new technologies required the
involvement of more staffs. Establishment of the deeper audience profiling will also be helpful
enough to mitigate the challenges and make the company much competitive at the Global
landscape.

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Table of Contents
Introduction......................................................................................................................................4
Case Study Analysis: Implications for advantages and disadvantages of digital innovation..........5
Framework for developing the digital innovation...........................................................................6
Assessment of the Ethical Consequences of moving to a digital firm............................................9
Issues with the IT governance.......................................................................................................12
Recommendation...........................................................................................................................13
Conclusion.....................................................................................................................................14
References......................................................................................................................................16

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List of Abbreviation
ROI: Return on Investment
ACS: Australian Computer Society
ITIL: IT Infrastructure Library
COBIT: Control Objectives for Information and Related Technologies

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Introduction
Currently, the digital platform businesses have been undergoing numerous unethical
business consequences due to the inappropriate regulations and leadership attributes. Especially,
during the digital innovations, it is essential to address the ethical codes of standards for
managing the disputes and developing the high end technological solutions. According to
Nottingham (2018), innovation is crucial to the business success in today’s business economy. In
many of the cases, it is noticed that the IT companies usually depend on the cyber securities and
the cyber security policies that may constitute a breach of data. While establishing the IT
governance and IT standards, the companies often utilize the technologies to minimize the risks.
However, the manual efforts and intangible resources are sometimes becoming essential to
manage the risks much considerably (Bannister and Connolly 2014). Developing new values and
achieving growth by establishing welfare for the stakeholders drive the organisation towards
strengthened competitive position.
The study will explore the use of business ethics during the digital innovations in Telstra.
Telstra has launched the 24/7 Telstra app and the crowd support platform that revolutionized the
use of the digital technologies. In order to implement this digital innovation, it is essential to
maintain the ethical business standards. The study will develop the IT governance and IT
standards framework for developing the ethical business practices. The study will also
demonstrate an awareness of the associated ethical implications of digital disruptions related to
the business. Furthermore, the study will identify both the positive and the negative implications
for using the digital support system. The evaluation of the framework based analysis will help in
suggesting the appropriate digital ethics within the business.

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Case Study Analysis: Implications for advantages and disadvantages of digital innovation
The telecommunications and media companies have been facing the challenges due to the
Digital Disruptions. Telstra has thus adopted the digital innovation for strengthening the position
in a competitive landscape. In the year of 2010, Telstra realised that the origins are needed to be
transformed from the traditional engineering culture to the advanced digitalized world
(Karkoskova and Feuerlicht 2015). Considering such requirement, the Telstra Digital was
established. The company sourced some of the specific digital talents that are quite renowned in
the market. The critical mass associated with this digital innovation is now one of the best and
biggest digital teams all across the country (Gardiner 2015). Currently, the digital solution
established by Telstra has been serving more than 1.5 million regular users who can access the
app in their Smartphone devices or tablets (Telstraglobal.com 2018). The Crowd Support
community is another most preferable channel that helped Telstra in revolutionizing their
customer services (Bannister and Connolly 2014). In many of the cases, it is noticed that the IT
companies usually depend on the cyber securities. In fact, it is noticeable that directors often fail
to implement the cyber security policies that may constitute a breach of data. While establishing
the IT governance and IT standards, the companies often utilize the technologies to minimize the
risks. However, the manual efforts and intangible resources are sometimes becoming essential to
manage the risks in a significant way. The managers of Telstra formulated a systematic
framework to develop the digital innovations by considering the IT governance and IT standards.
Apparently, the digital innovation is much beneficial for this advanced world where the
demands of the customers are continuously changing. Hatakka, Devinder and Sæbø (2016)
mentioned that the technological devices become a crucial part of human lives in today’s date.
The digital innovation has enhanced the communication among the people worldwide. Such

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advancements are even saving time and money by exchanging faster internet connection. The in-
depth assessment of the digital innovation suggests some of the loopholes despite the advantages.
Patroni, von Briel and Recker (2016) argued that people have become much dependent on the
technologies due to the advancements took place in current environment. Eventually, technology
has been replacing the human efforts. The decline of the human capital is increasing the
unemployment rate. In fact, the invention of the digital innovations requires appropriate rule and
regulations (Karkoskova and Feuerlicht 2015). In addition to this, the business companies need
to maintain the appropriate code of ethics. The mismanagement of the appropriate ethical
standards may hamper the entire innovations within the organisation (Govekar and Willis 2016).
Therefore, it is important for the managers to develop the appropriate framework and maintain
the continuous improvement to overcome these specific barriers.
Framework for developing the digital innovation
In last few decades, it has been observed that the role of IT has been supporting not only the
internal operations, but the all aspects of business. Sometimes, it is even difficult to the managers
to keep the track of the digital technologies. Therefore, the establishment of the holistic
framework would be much appropriate for the digital technological innovations. According to
Hutchins, Meese and Podkalicka (2015), this holistic framework for digital innovation comprises
of five major areas. These specific areas as follows:
 Experience of the users
Telstra understands that the developed digital services or products are needed to be easier to
use. It should even provide the better experiences to the users for involving them into the various
digital activities.

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 Value Propositions
The managers always require assessing the value based approaches associated with
technological innovations. The value based assessment is necessary for aligning the digital
technologies with the customers (Bradlow and Jayachandra 2015). Moreover, it articulates the
digital product or service among the customers to attract them in a larger amount.
 Scanning the digital evolution
It is quite necessary for Telstra to scan the digital environment and gather the adequate
information associated with the new digital devices and channels. It helps in identifying the
individual behaviour to avail any opportunity or evolving the offerings (Suzor et al. 2018).
 Skills
The establishment of the digital innovations needs to ensure the maximization of the return
on investments. The firm requires acquiring internal and external innovative skills for creating
new roles and receiving help from the consultants who will put these digital services on the right
track (Alreemy et al. 2016).
 Improvisation
The managers need to take the responsibility of promoting a creative environment by
establishing the appropriate balance between the flexibility and structure (Thompson, Ravindran,
and Nicosia 2015). The continuous improvement of the digital technologies will be necessary to
retain the competitive position.
In order to use this framework, a sequential planning is needed to be followed by the
company. The sequence based planning is described further:

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a) At the initial stage, it is important to appoint a specific person for taking the initiative. The
person needs to be involved at the intersection of technology and business. They generally have
the enriched ideas about the functions happening on the both side. The consultant or anyone from
the internal business environment can be associated with the process.
b) The framework can be utilized in a best way by arranging a workshop and developing a
printed outlet for having the calculations done automatically. The facilitators can drive the
conversation and gather information through developing this workshop.
c) After collecting the forms, the average scores will be calculated. It is important to focus on
the lower score to identify the area of improvements and where the ROI of the future investments
need to be ensured. The firms can discuss the results either during the workshop or afterwards in
another session.
d) After gathering knowledge from this workshop, the firm needs to prepare a plan of actions
at the end. Accordingly, these actions are needed to be executed for increasing the element score
especially on those areas where the performance is low.
e) Finally, the company needs to establish the weekly or monthly follows ups for checking
the progress and appropriate track to keep the priorities in order.
This framework would be justified enough in establishing the innovative business
environment within the organization.
Assessment of the Ethical Consequences of moving to a digital firm
The digital innovation depends on the appropriate regulatory factors that ensure the long
term sustainability. The IT department of Telstra needs to maintain the ACS codes of ethics prior

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to implement the digital innovation within the firm. ACS Code of Ethics is an integral part of the
constitution of Australian Computer Society (Acs.org.au 2018). The members associated with
ACS needs to advance and uphold the dignity, honor, and efficiency level of being a professional
service provider. The following codes of ethics are needed to be maintained in such context:
 Primacy of the Public interests
It is important place the interests of the public at the top list of priority. In fact, the public
interests should be placed above the sectional and personal businesses
 Enhancing the quality of life
It is necessary to enhance the quality of life that is affected by the job structure and schedule.
 Honesty
The representation of the knowledge, skills, products or services should maintain the high
integrity level.
 Competence
The workers should perform diligently and competently for the associated stakeholders.
 Professional Development
In order to provide the quality services and products, it is essential to enhance the
professional development (Acs.org.au 2018). The job role of the associated staffs and colleagues
are also needed to be developed professionally.
 Professionalism

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It is important enhance the integrity of the society and the members should be respected. The
maintenance of the professionalism is much essential.
Maintaining these codes of ethics is quite important when implementing a digital innovation
within a firm. The continuous approach towards these codes of conduct ensures the long term
sustainability and determines the competitive advantage in a challenging landscape. However,
Mayer et al. (2015) implied that the implementation of the ICT tools or digital innovation, it is
quite necessary to maintain the IT governance and IT standards. Similarly, the IT department of
Telstra needs to maintain the ACS codes of ethics prior to implement the digital innovation
within the firm and develop the IT standards during the governance process (Acs.org.au 2018).
According to Quezada-Sarmiento et al. 2017) IT governance is a structured framework, which is
formulated for ensuring the IT infrastructure of an organisation that generally enables and
supports the achievement of the organisational goals. At the professional level, the IT
governance standard is ISO/IEC 38500:2015. This standard sets out the entire information and
communication technology, which serves as the key resource for digital innovation. It suggests
some of the specific technologies that help in achieving the competitive advantage in a
significant manner. The three widely recognised, third-party, and vendor-neutral frameworks are
associated with this IT governance framework. These frameworks are described further:
 ITIL®
IT infrastructure Library or ITIL was developed by the Cabinet Office of UK. It is utilized as
the library of the best-practices associated with IT service management. This technological tool
is widely adopted. This technology is supported by ISO/ISE 20000:2011 and the independent
certification can be achieved through this standardization (Ahuja and Chan 2015).

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 COBIT®
Another IT governance control framework is Control Objectives for Information and
Related Technologies or COBIT. This framework helps in meeting the challenges associated
with the IT department in today’s world. This framework is specifically dealing with the
challenges of regulatory compliances, alignments of IT strategy with the organisational goal, and
risk management (Vunk, Mayer and Matulevičius 2017). The guidelines of COBIT’s
management include the structured framework for measuring and controlling the capability
providing tools for assessing the processes. This framework develops the appropriate and
structured method of implementing digital innovations.
 ISO 27002
ISO 27002 is one of the best practices that create the high-end standards for the IT services
associated with the information security management within an organisation (Mahy, Ouzzif and
Bouragba, 2016). Establishing this IT standard is quite helpful for developing the competitive
edge of the firm in a significant manner.
It has been observed that the major challenges faced in the development of the digital
solutions in the establishment of the integrated and coordinated framework that meet these three
specific IT standards (Venkatraman 2017). Apart from these standards, some of the sub-domains
are also included in such cases. The following sub-domains are needed to be aligned:
 Regulatory compliance
 Business continuity and the disaster recovery
 Knowledge management that includes the intellectual capital
 Project Governance