INFORMATION TECHNOLOGY IN ASDA
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Qn. 1
- Identify and discuss in detail, three different types of Information systems (such as ESS, DSS) used in the different levels of management of an organisation like ASDA. (10 marks)
An information system is an integrated system for the collection, storage, processing, and dissemination of information. Information system combines people, Information communication technology, and organizational processes to achieve organizational goals. According to O’Brien and Marakas (2011), there are four major types of information systems that can be ranked with the help of a pyramid diagram on the basis of the various levels of management in an organization. These types of information systems include the Expert Support System (ESS), The Decision Support System (DSS), The Management Information System (MIS), and the Transaction Processing System (TPS). For this question, ESS, MIS, and TPS are analyzed.
Source: O’Brien and Marakas (2011)
To start with, the TPS is applicable at the operational level of the ASDA, where the customers interact with ASDA employees. This is specifically identified through the Point of Sale system. The point of sale system records the daily branch sales in ASDA. The point of sale system is structured according to a specific pattern that guides the people involved at the operational level of management. These groups of people utilize the TPS in the case of ASDA are the cashiers at the point of sale systems. Their decisions are structured; for instance, they can only give a discount in situations where the system has indicated a discount could be offered on certain items.
Tactical managers often utilize MIS. The TPS forms part of the inputs for the processing of critical data in the MIS. The resulting information is essential for tactical managers to make informed semi-structured decisions. In the case of ASDA, the MIS is useful to branch managers. They utilize the MIS to determine the performance trends of items in their stores so that they can make relevant inventory orders depending on item demand trend
The ESS is useful to the top level management in ASDA. The ESS allows ASDA strategic managers who usually comprise of the executive team to make informed unstructured decisions. ASDA executive team includes the CEO, Andy Clarke, CFO, Alex Ruso, Chief Customer Officer (CCO), Steve Smith, and the Chief Operations Officer (COO), Mark Ibbotson. These executive teams utilize information from the branch managers through the DSS to make long term unstructured plans for ASDA. For example, the most recent decision for a merger between ASDA and Sainsbury, which was blocked by the regulator. This is an unstructured decision by the executive with the help of the ESS that would see ASDA enjoy economies of scale.
- List some of the new IT trends (such as cloud computing, big data, etc.) an organisation like ASDA might be adopting. (5 marks)
Information communication technology such as Cloud computing, big data, artificial intelligence (AI), voice commerce, Augmented shopping, and Machine learning.
- Having listed these IT trends, now briefly explain these trends. (5 marks)
Cloud computing is essential for real-time management of inventory and the analysis of combined ASDA sales data. Bid data recommend goods to ASDA online clients based on their purchasing history. Voice commerce, which is currently used by Amazon, allows customers to order goods without typing. This Information Technology trend utilizes applications like Siri and Google voice commands. Considering that Walmart, the parent company of ASDA, uses Artificial Intelligence cameras to detect shoplifters, this trend might soon be utilized by ASDA. Augmented shopping utilizes Augmented Reality (AR) technology and allows customers to try clothes virtually to see whether they fit. Machine learning is essential to monitor customer trends and is useful for cashier-less shopping, which could be appropriate during this covid-19 epidemic.
- Discuss the key benefits organisations like Asda stand to gain from adopting these new IT trends. (10 marks)
The IT trends mentioned above are useful to ASDA. ASDA is a private company driven by the desire to make profits. IT trends would reduce operational costs hence increasing profits; it would also improve customer experience, customer satisfaction, and lastly, make shopping on ASDA easy. To be specific, cloud computing allows for real time order of inventories and analysis of sales hence reducing the time used to place an order for items and increasing efficiency. Big data makes it easy for online customers to carry out routine shopping. Artificial Intelligence would reduce the cost of hiring security staff and minimize the loss of goods in ASDA outlets through theft. Voice commerce is essential to tap on customers without limbs and those with poor eyesight or those who live with blindness. Therefore, sales could increase since online shopping for such individuals and others who prefer to order through voice commerce would become convenient. Augmented shopping promotes online shopping by creating a convenient real virtual shopping experience.
Qn. 2
- Discuss some of the tools and techniques an organisation like ASDA can use to ensure their data resources are protected. (15 marks)
Cloud Data Protection (CDP): CDP tools are essential to the protection of cloud data such as inventories and sales data in ASDA. CDP tools help to encrypt these sensitive data hence protecting the data from outside surveillance like government surveillance. It also restores the hope for improved data security and privacy while using cloud computing.
Tokenization: Tokenization is next-level encryption convenient for credit cards and bank account numbers. Tokenization ensures the security of ASDA customers ‘data by eliminating the mathematical relations between data and the token. It is only possible to reverse tokenization through the ASDA mapping database. This feature makes it difficult for hackers to access crucial customer information.
Data discovery and classification: Data discovery is an essential technique for data security. Through the use of data discovery and classification tool or the mapping tool, ASDA will identify the relevant data of the European Union people in their possession and classify the data according to sensitivity for protection. The first step to protection is to identify what you need to protect Elliot, 2019). Sensitive data that could be in possession of ASDA include credit card numbers, Names, phone numbers, and addresses.
Vulnerability and Compliance (VCM) tools: Since GDPR consists of a penalty in case of sensitive data breaches, VCM tools are essential in identifying the loopholes within the ASDA network. VCM tools scan for significant vulnerabilities and initiate a remedy for the identified loopholes in a network.
Data loss prevention (DLP) tools and Data Masking Tools: It is common for organizations to lose customer data, especially when an employee is fired or quits his job. This is especially possible in ASDA. Therefore, it is essential to employ DLP to protect client data while in transit, at rest, and even when in use. DLP works like encryption to safeguard sensitive data.
Application Level Encryption: ASDA applications that make it easy and convenient for customers to shop is available for both android and apple powered services. It is essential to encrypt sensitive data within the app itself as and when data is created, processed, and prior to its storage. Application Level Encryption allows access by authorized application users only. Data admins cannot even access encrypted app data.
- Explain briefly the key GDPR principles the management of ASDA must adhere to in relation to the processing of personal data of its customers. (15marks)
Lawfulness, Fairness, and Transparency: This is the first GDPR principle, and it dictates that ASDA management should understand the GDPR regulations for data collection and processing. Also, ASDA ought to be transparent on the data collected with European Union citizens. Lastly, ASDA ought to use the data obtained for a reason obtained only and within the time period of data processing only.
Purpose Limitation: The GDPR states that the purpose must be “specified explicit and legitimate.” This principle demands that ASDA management should only collect data for a specific purpose and use the data for that purpose only unless the data is meant for archiving subject to scientific, statistical, or in the event of public interest in the data.
Data Minimisation: The Data minimization principle requires ASDA management to ensure they only process the required personal data. Through data minimizing, in case of a data breach, a limited volume of sensible data particular to the processing that has been breached will be compromised.
Accuracy: The ASDA management is required to do away with stale data with immediate effect and upon the request of the respective client. GDPR dictates that Personal data should be accurate and up to date.
Storage Limitations: The GDPR requires organizations to remove personal data in the event that it is no longer needed. It is the duty of ASDA management to determine when and how someone seizes to be a customer in order to delete their personal data in ASDA’s possession.
Integrity and Confidentiality: It is the duty of ASDA to put measures in place that would ensure sensible client data is safeguarded and kept private. ASDA should prevent any unsanctioned processing or unintentional ruin of sensible data.
Qn3.
- Identify and discuss some of the key networking infrastructure (e.g., intranets and extranets, LANs) an organisation like ASDA might use for day to day business operations. Explain in detail how the use of these applications can add business value to contemporary organisations. (20 marks)
Network infrastructures facilitate the sharing of information in an organization. There are various types of computer network infrastructures most likely in use by ASDA. This includes the Local Area Network, the Wide Area Network, the Intranet, and the Extranet.
Local Area Network is a network that could only cover a small geographical location. They are preferable for use in a building or an office. There are over 600 ASDA branches in the UK. It is only suitable for ASDA to install LAN systems for the effective dissemination of information within its branches.
The Wide Area Network is also applicable to ASDA. WANs are efficient for large geographical locations such as an entire country like Britain, WANs can even span on the entire United Kingdom. ASDA is headquartered in Leeds, the United Kingdom it is appropriate to use WAN to connect with its 600 branches. WAN is suitable for connecting several LANs. The WAN network helps to facilitate issues like price changes in all the 600 branches at once.
The intranet is another useful network infrastructure for an organization like ASDA. The intranet is a network infrastructure that is controlled by a specific organisation, say ASDA. The intranet has restricted access in that, internal users only, such as authorized staff, can be granted access to the network. Since access is monitored and authorized personnel are required to sign in; therefore, the intranet protects critical company information from leaking out to competitors or other unwanted parties.
The extranet is also applicable in an organization like ASDA. An extranet is similar to the intranet only that it allows external users to access a specific set of information. For instance, online customers are a perfect example of the external users allowed to access the commodities sold at ASDA, and the selling price of these commodities as well. They are only allowed to view information pertaining to the sale of goods at ASDA.
References
O’Brien, J., and Marakas, G., 2011. Management Information Systems. New York: McGraw-Hill Higher Education.
Elliott, D., 2019. Opinions ∙ Data Protection Is More Than Privacy. European Data. Protection Law Review, 5(1), pp.13-16.