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Explain the Impact of IT Developments on an Organisation

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matt corran

on 21 November 2013

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Transcript of Explain the Impact of IT Developments on an Organisation

Explain the Impact of IT Developments on Full of Beans
Cost
The impact of updating the IT equipment would cost Full of Beans quite a lot of money, they would have to spend money on new software and new computers that can use the new software. Full of beans might have to cut back on a different department so that they have more money to spend on the software and hardware.
Impact on Procedures
A business needs good and working procedures to function efficiently. A good way to see how effective the procedures are, is to get an external company to assess them. When things change within the business then procedures need adjust to accommodate the changes. It takes time to put the new procedures into place, this makes coping with the change hard. For Full of Beans this would mean being assessed by another company and dealing with change in the company as procedures are changing, this will make business slow for a period of time.
Dealing with redundancies
All business will need to make employees redundant at some point. If Full of Beans is going to change in any way then the employees job roles may change so they either take on this new job role or they are made redundant. If Full of Beans made anyone redundant then they would have to think about the redundancy payment, and how that will effect them aspecially if they are making a number of people redundant at the same time. This could be a big cost to Full of Beans.
Enabling home and remote working
Restructuring of staff
Integration of legacy systems
Legal requirements
Security
Balancing core employees with contractors and outsourced staff
Core employees are permanently employed by the organization, for Full of Beans this will be managers and normal employees, this means that they are an ongoing cost. Whereas contractors are not permanent, for Full of Beans these people will be very fiew and far between as they will only do this if they need something done that they can not do themselves and therefore are not a ongoing cost to the business. Outsourcing staff are not permanent and are likely to not be as cost-effective. Full of Beans wont do this because they wont want to be doing anything that isnt cost effective because they are a small business. It is better to run a business using core employees they are more reliable and more available.
This change may bring up problems such as cost of keeping up to date, changes to the environment and changes in human resources. This will be a problem because the staff wont like adapting to change, this will make Full of beans slow for a period of time.
Selling products of services using technology brings its own issues. Things like the security of the customers details when using credit cards as payment. Full of Beans will need to make sure that they A: get their money and B: don't share the customers details with the wrong people. Security systems are improving just as fast as security hackers, so there isn't much that can be done about that apart from catch it quickly. The use of user ID's and passwords helps to increase security of the customers. Having restricted access improves security within the Full of Beans also having a hieratchical system that has different permissions will help for security with in the company.
Full of Beans needs to deal with legal legaslation. Examples of these legaslations are Copyright and The Data Protection Act. The purpose of these legaslations are to protect the customers and the company. Some of the ways that they protect the customer is to stop the company from selling their details to other companies (data protection act). A way that they protect Full of Beans is to stop other companies from taking their brand name/logo (copyright).
Change within Full of Beans will have a bad effect on the staff. Staff may well have to have training to be able to use the new software. They may be expected to be administrators in addition to their main job. It is unlikely that Full of Beans will be able to carry on as normal, staff might not have the skills to carry out the new software efficiently, it will take time for employees to get used to it, and accept it. This will make Full of Beans slower for a period of time.
Impact on staff
A good way for Full of Beans to cut costs is to get employees to work at home. The problems with doing this is that it is hard for managers to monitor the work being done. Also there can be a problem with distractions at home like family, and having the right equipment
Old systems will not work with new and updated versions of technology. The options that Full of Beans has in this case is to replace or update their technology. Factors of doing this will include the cost of upgrading or replacing technology and employees getting used to the new technology, this will slow progress with in Full of Beans for a period of time.
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