Introduction to IT: Tesco's Success, Ethics, and Network Analysis

This report provides a comprehensive analysis of the role of Information Technology (IT) in the success of Tesco, a leading multinational retail store. It examines the various IT systems employed by Tesco, such as RFIA technology, IFTTT, advanced e-commerce, and BYOD integration, and how they contribute to its operational efficiency, customer engagement, and profitability. The report also delves into the ethical and social issues arising from Tesco's IT practices, including data overload, security breaches, privacy concerns related to technologies like RFIA, and instances of discrimination. Furthermore, it differentiates between various networking technologies like LAN, MAN, and WAN, highlighting their applications within Tesco's operations. Overall, the report offers valuable insights into how IT strategies impact business performance, ethical considerations, and the importance of technological advancements in the retail sector.

Introduction to
Information Technology

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Identify the role of IT in the success or failure of Tesco............................................................3
TASK 2............................................................................................................................................5
Ethical and social issues to run the business effectively.............................................................5
TASK 3............................................................................................................................................6
Identify and difference between various type of networking technology...................................6
TASK 4............................................................................................................................................8
Importance of Intranet and Internet.............................................................................................8
TASK 5............................................................................................................................................9
Different stages of system development life cycle.....................................................................9
CONCLUSION..............................................................................................................................10
REFRENCES.................................................................................................................................12

INTRODUCTION
Information technology refer to the use of computer as well as software in order to create,
process, store, exchange, secure as well as retrieve the data based on the purpose of operations
(Rajaraman, 2018). Many companies have their own IT departments from where they can
manage all the storage of data and works on the technical data to retrieve the valuable
information that helps in decision making process. To better understand the report Tesco
company has been selected which is one of the leading multinational retail stores of UK. It has
huge customer base as the company deals in various goods like clothing, furniture, grocery and
electronics under one roof this provide huge convince to the customer. This report cover
following topic such as role of IT in the success or failure of Tesco. Analyse the ethical and
social issue to run the business as well as difference between different type of networking
technology. Further, importance of intranet and internet are covered in this report.
TASK 1
Identify the role of IT in the success or failure of Tesco
The information technology department is responsible to manage the electronic
technology of business like centralised database, business computer network, information
security, and business software deployment (Rivard and Aubert, 2015). Thus, a successful
business is a combination of business as well as technical skill that helps the business to
formulate effective decision and adopt the changes successfully.
According to Andrea Lee, (2016) Tesco which is multinational company and run its
business in both developed and developing country so in order to succeed it uses the information
technology to its advantage. Additionally, investing or strengthening information system has
helped the company to generate strong profit and enhance their profitability. Initially, Tesco used
to sell the grocery from the stalls in UK but later on with the use of essential information system
assisted the company manage as well as run all the department of business by maintaining the
coordination among them. These IT system helped in bringing the transparency as it helped to
identify for how many hours employee work and how much output do they produce within
stipulated time period. Along with that it helps in understanding the customer by maintaining the
database through electronic devices. Like, respected company maintained the membership card
as well as loyalty card that helped to define the purchasing power of customer as well as help in

formulating strategy in order to compel the customer to purchase the daily utility or shopping
item from respective store. Therefore, some of the technology used by Tesco to gain long term
success are defined below:
RFIA Technology: For the convenience of employee in stock counter Tesco introduces
the well known technology named RFIA enabled barcode. This technology is used to
automatically count the stock of store and when it fall short it directly update the supplier. This
technology does not require any supervision as well as transmit the data by its own due to which
even customer do not find any shortage of inventory. Thus, it is a successful technology adopted
by company to manage their inventory effectively.
IFTTT(If This Then Than): This technology was developed to enhance the online as
well as offline shopping experience of an individual. Further, company launched the application
which display all of its product (Technology in Tesco. 2016). Along with that it also helps to
intimate whether the price of any product goes up or down. Hence, it play a successful role to act
as a stimulus that instigate the customer to take quick and fair decision.
Advanced E-commerce: With the trend of internet and increase in digitalisation, Tesco
took the initiative to generate the human traffic from online platform. Thus, company posted
multiple images, content as well as video to appeal the interest of consumer (Bawden and
Robinson, 2015). The company also introduced its own payment method that is PayQwid which
customer uses at the time of making online payment. This is a successful process that helped to
spread the awareness about the company.
BYOD Integration: BYOD stands for Bring Your Own Devices, this information
technology is basically an application which is used by store managers to download and login
record of real time stock. The information is transmitted while scanning the product sue to which
it record the accurate information in relation to inventory. Moreover, the other advantage
associated with this technology is that internal staff can instantly and effectively deal with the
customer due to which is time effective technology.
Therefore, Tesco not only maintain its existing innovation but also adopt the new
technology to gain the privileged of fastest growth and put the best possible effort to achieves the
long term sustainable growth and development.

TASK 2
Ethical and social issues to run the business effectively
Tesco is effectively using the technology to manage the inventory, customer base and
information related to product. For instance, company developed the clubcard that helps in
collecting the points and provide discount to the ultimate consumer (Marzetta, 2015). Further,
with the help of these card company collect all the vital details of their consumer such as name,
contain details, address, birthday and frequency of purchase. This helped in enhancing the sales
and marketing strategy of company. According to Bradley Mitchell, (2019) Although there are
several advantage associated with information technology but on the same way there are certain
ethical as well as social issues faced by the selected issue which are defined below:
Overload of data: As Tesco has huge market share as well as customer base which leads
to overload of data. It become critical situation for the professional of Information Technology to
identify the relevant data amongst irrelevant ones (Tesco Ethical issue, 2018). Therefore, in order
to handle enormous amount of data require sophisticated software, processing power as well as
human analytical skill. Therefore, it is a social issue faced by company that can affect the
decision making process of business.
Security issues: Security breach is the major concern for the big MNCs like Tesco as
electronic storage of data is one of the biggest assets of company from which effectively future
decision can be made based on the changing requirement or need of customer. Thus, security or
social issue is the primary concern for company that can damage the profitability as well as
goodwill of company.
RFIA Technology: RFIA refer to Radio Frequency Identification which is used to detect
the inventory. This was developed for the convenience of customer as well as to maintain
goodwill of respective store. But there are certain ethical issue related to the same like it track the
buying behaviour of customer so if customer purchases any product from the store then there
picture are captured by this technology and again during the time of checking out of customer the
other camera captures the picture. The purpose of doing so is for the security staff purpose that it
do not lead to theft. Therefore, this spy practice and capturing the pictures of customer can be
beneficial for the company but ethical issue for customer (Lloyd, 2017).
Discrimination: It come under the ethical issue which can be faced by the employees of
an organisation. Initially, Tesco was involved in the discrimination activity based on the

remuneration provided to the male and female employee on the similar task. Due to which
company faced the protest of employee that affect the goodwill of company. Later on to run the
business effectively Tesco changed all its policies and come up with uniform policy for all the
internal member. Hence, it helped the company to overcome the crises and re-establish their
image in the public.
Therefore, there are several ethical as well as social issue which can be faced by the
company so they need to identify these issue and work on the technical field so that no external
party can access the data of the company.
TASK 3
Identify and difference between various type of networking technology
According to Dinesh Thakur, (2018) Computer network refer to the group of computer
which are linked with each other in order to share data and resources. It simply allow various
computer to connect as well as communicate. There are basically three types of network which
are defined below:
Local Area Network (LAN): LAN is one of the widely used network that is used to
connect those devices which are at the short range or distances which are in proximity. Here,
information is shared or transmitted within the proximity. Herein, Tesco can use LAN
networking technology to connect the people working in the same store. Further, one of the
computer is server while other which are connected to it is client. This help them to access high
speed of internet in order to provide speedy services. Additionally, it helps to share the file or
information amongst the interconnected network.
Metropolitan Area Network (MAN): The ownership to handle the MAN stays in the
hand of single authority or council. It simply connect the various LAN through single cable and
span in the entire region or city (Computer Network. 2018). Herein, respected company can use
MAN as it has high speed and one of the fast mode of communication. It also helps to transmit
the data in both direction.
Wide Area Network (WAN): It is used to cover long physical distances and has high
network connectivity to cover and communicate with one who is miles apart. In relation to
Tesco, can use WAN as it has over six thousand stores and it is necessary for the organisation to
maintain the connectivity amongst various stores which are far apart from each other.

Therefore, amongst the various networking technology Tesco adopts Wide Area Network
that is WAN as is transmit the data, share resources and software at the long distance. All the
message whether it is inform of data, sound and picture can be easily attached and share (Xiang,
Magnini and Fesenmaier, 2015). Hence, it helps to keep the coordination amongst the business
function of various store.
Difference between all three types of network:
Basis of difference LAN MAN WAN
Define LAN is a network
device which is a
group of computer that
are connected with
each other to cover a
small range such as
classroom, building
and manufacturing
plant.
MAN covers the larger
geographical area or is
the network devices
that can be connected
together through
several buildings for
instance, television
cable (Vaishnavi and
Kuechler, 2015).
It is a network device
which has huge range
and is not confined to
a specific geographical
location like Internet.
Network range Devices that are the
part of LAN are within
the working area only
and is spanned over
restricted range.
Network devices of
MAN are spanned
across the small
geographical area and
building.
WAN has no
boundaries due to
which it is spanned all
across the globe.
Speed Although it has
geographical
constraint so due to the
proximity factor it
provide high speed.
It has low speed in
comparison to LAN
The speed of WAN
varies based on the
different geographical
area like somewhere
where network
availability is good the
internet speed is also
good.
Speed range The speed of LAN MAN's speed can be Wan connection speed

varies from 10Mbps to
1000Mbps
either 10 Mbps or
100Mbps
ranges from 10-
100Mbps
TASK 4
Importance of Intranet and Internet
Intranet:
Intranet is s secure space that helps to store the data, access it as well as develop
electronic material (Schement, 2018). It can be accessed by specific employee where they access
the offline website and file for which training is provided to them.
Importance of Intranet
Easy way to share information: Intranet is the quick source to transmit the data as
sharing the information through internal mode leads to the quick participation and respond of
people. Thus, it is a communication hub used by Tesco to stored and accessed the data such as
staff news, memos at any time.
Engage social media platform:The employees uses the social media sites like Twitter,
Facebook and LinkedIn in order to enhance their personal communication as well as experience.
The use of Intranet tool helps selected company to integrate these digital platform to conduct
secure, safe and internal communication which is manageable while engaging the traffic through
social channel.
Knowledge management: Organisation store various information so Intranet act as a one
stop storage of all the important data. Herein, Tesco this is the easier method for the employee to
retrieve the data and quickly use the relevant information in favour of company. The company
gets huge advantage of storing the information at a single place which act as a competitive
advantage as it leads to easy access and quick decision making by company.
Helps to share the resources: Intranet help to create a community or virtual workspace
that is used to store, share as well as collectively work together (Weidmann, 2015). It act as a
training platform where training content is provided to the staff through online platform. Thus, it
is a desirable method adopted by Tesco to enhance the knowledge of their existing staff.
Improve the customer service: Adequate and consistent information assist the staff to
better access the information and enhance the customer level services. It include dealing, review

as well as appraisal of staff. Thus, the data is finally utilised in favour of customer so that they
remain connected with the Tesco for long duration.
Employee feedback: To make the working place productive company provides the
constructive feedback to the employee in order to enhance their performance. Herein, Tesco uses
Intranet to make the feedback better as well as easier. This is done based on the 326 survey
where everyone whether it is colleague or manager provide feedback for the particular person.
Internet:
Internet is a platform from where user can access the global information regarding any
topic. It provide abundant information ans easily connect to the customer or client through
internet that helps to enhance the profitability and productivity of business (Campbell, Martin
and Fabos, 2018).
Importance of Internet
Source of information: Company can gather huge data regarding buying pattern of
consumer that helps to build the favourable strategy. Based on the research and survey report
most of the sites update very authentic data which can be used by Tesco as an effective source
off doing business.
Digital marketing: With the high scope of digital media most of the company are making
their existence in digital media which has been only possible because of high number of internet
user. Thus, Tesco which is in to retail sector and experience stiff competition due to which
through online platform it helps to convert prospectus into the end customer. Therefore, rather
than selling the product through the website company promote its brand via social media, SEO,
mobile application, affiliate marketing and so on.
TASK 5
Different stages of system development life cycle
System development life cycle is basically a technical or non technical activity that helps
to meet the requirement of customer. There are 7 stages of system development which is defined
below:
Planning: Within this stage the problem is determined along with its solution like
whether the new system can help to achieve the objective of Tesco. Based on the study and
feasibility of objective initiative are taken by the business to improve its services.

System analysis and requirement: At this stage all the solution or alternative helps to
determine the best suited fit to achieve the goal of business. It is used to analyse the requirement
of ultimate consumer and make sure new system is utilised to meet the expectation. There are
certain tools which are utilised by Tesco like CASE that is Computer Aided System to deal with
specific need.
System design: It helps to determine the specific detail, specification and the features
used to cater the functional requirement of business (King, 2015). In relation to Tesco all the
necessary hardware or software component and network capabilities helps the business to
accomplish its goal successfully.
Development: It include the flow chart that helps to develop the business and organise
the system effectively by significantly working on the production process. This stage provide
huge benefit to the selected company by training the people in order to gain effective result from
the system.
Integrating and Testing: At this stage the system is tested to find out the chances of
error and bugs. The purpose of doing same is to determine whether the proposed design is
actually meeting the requirement of customer. It include verification of new system and is
validation for the successful completion of programme.
Implementation: After receive the confirmation of validation of data here actually the
system is installed. The data and the essential component of old data is placed into the new
system that helps to minimise the cost as well as risk.
Operations and management: Finally Tesco needs to regularly update and maintain the
system that helps in value addition adding up new capability as well as boost the performance to
meet the requirement successfully (Ross, 2016).
CONCLUSION
From the above report it has been determined that informational technology is an
essential part of business that strengthen all the technical area like store the raw data and help the
business to retrieve the relevant information. IT helps the business to get various advantage due
to which most of the company makes investment in the innovative technology as it satisfy the
need of customer and also helps to anticipate the upcoming trend. On contrary, there are various
ethical and social issue associated with the IT such as privacy breach of which the company
should take additional effort. Moreover, for the better transmission and communication of data

networking technology is used to share the data and resources effectively. Intranet and internet
are the essential tool that help to manage the knowledge and gather abundant information which
is utilised for the long term success of business. Therefore there are various stages of system
development life cycle that helps to modify and improve the system by reworking on it.

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