Abstract

Technological advancement is occurring rapidly in all the nations of the world and companies are making massive investments to implement various technologies. The managers can implement innovation in the business activities of TESCO to draw the attention of the target audience. The company also focuses on implementing technologies like using VPNs and firewalls for the protection of the data of the employees and the customers.

The third section of this study paper deals with the analysis and discussion of the included content regarding the impact of information technology in Tesco Plc. This section is used to analyze the classification of computers, ethical and social issues, the impact of the internet and intranet, and the role of IT for managers. A summary of the discussed content is mentioned in the conclusion section.

1. Introduction

Information technology is gaining popularity and is widely used in the retail sector of the UK. Information technology is effective to evaluate the data and help the companies to plan the strategies for the business by focusing on the current trends of the market (Muñoz and Avila, 2018). The study aims to be developed focusing on the operations of Tesco Plc. to identify the impact of IT on the business of the company. Tesco utilises various technologies to conduct its business operations. The company utilises technologies like Hadoop which is a cutting edge technology used for the manipulation of data. Hadoop is beneficial for the company to store and process massive data sets to evaluate the data points easily and rapidly. The implementation of technology is beneficial for the supermarket to find the product and finalise the transaction from any cash counters situated on the premises. The management can keep a track of the stock by managing the inventory accurately. However, the implementation of information technology is beneficial for offering the best experiences to the customers to boost the sales of the company.

The study aims to focus on elaborating the classifications of computers used in the retail business. The companies require standalone computers, servers along with thin clients for the completion of the tasks of TESCO. Tesco Plc. has incorporated Oracle along with “SAP Business Objects Polestar applications” to complete the operation of the business activities. The managers of the company use information technology to manage, assess and execute the operations of their respective departments. However, the importance of ethical issues along with social ones is discussed in the study. The impact of the internet and intranet on the business of Tesco Plc. has been discussed comprehensively for understanding the impact of information technology. The role of IT to help the managers to handle the business operations is stated elaborately in the study.

2. Literature Review

2.1 Classifications of Computer used in Business

The rapid growth of technologies is beneficial for the business of different organisations. However, Tesco Plc. is no exception and is using computers and laptops for the completion of business operations. The company is using several technologies for conducting business activities. The company is using Hadoop technology for the storage of massive data. The technology is centralised and is based on cloud technology. Cloud technology is used widely by the company in recent times to store and access data from any place and time. Tesco has also used GeoDirectory as the central database during the initial launch of the online shopping service (Buckley et al. 2020). The company is also utilising computer vision technology which has been provided by the Israeli AI start up Trigo. The technologies of SAP and Oracle are used for HR management, inventory management and other operations of the business. The technologies are beneficial for keeping a proper track of the stock in the companys inventory so that the stocks are available for the customers indicating a positive impact on the company.  According to the statements of Kousi and Naselli, in 2022 cashier free store is the new normal and is the reason that the companies are implementing the technology of artificial intelligence. Tesco is also focussing on offering self checkout services to the customers to offer them better services yet is focused on detecting frauds to prevent the loss faced by the company. However, technology in business has become vital for the growth and success of the company in the local and global markets (Kousi and Naselli, 2022).

2.2 Importance of Ethical and Social Issues

The prime issues that are faced by the customers using internet technologies for shopping include hackers getting personal data. Companies often collect from the customer surfing history which is used for promoting similar products to them that acts as the marketing strategy. The information is gathered for marketing purposes by the companies. The companies also face tough resistance from the employees while implementing information technologies in the business environment. Considering the ethical and social issues in business is vital for boosting the reputation of the company in the marketplace and drawing the attention of more customers. The hackers often steal the personal data of the customers and the employees leading to financial damage affecting the operations of TESCO. Tesco has implemented several measures so that unethical access by the perpetrators can be prevented in order to protect the personal data of the people. The company has installed firewalls and the servers are connected using VPN services.

As per the statements of Jha, 2021, ethical issues in the company are a complicated challenge faced and are essential to retaining customers along with the employees. Ethical issues in business cause adverse effects on the decision making process affecting the business activities adversely. The company often becomes the victim of several cyber crimes that include ransomware, DDoS attack, and phishing and so on. The perpetrators steal sensitive data of the company based on which they conduct unethical attacks (Jha, 2021). However, Tesco also faced several social challenges while implementing information technology in the business. The company had to develop strategies so that the business operations do not increase its carbon footprint. The company has implemented technologies for performing better and reducing the chance of pollution (Caldera et al. 2019).

2.3 Impact of Internet and Intranet on Businesses

Internet and intranet collectively are essential for the continuation of the business activities of Tesco across different nations of the world. As per the statements of Hamidi and Jahanshahifard, 2018, the implementation of various technologies is beneficial for the company to achieve its objectives and expand in the global; market. The use of internet technologies is beneficial for the company to manage various activities that include supply chain management, inventory management and other operations by the company to continue operating in the global market. The use of the internet is effective to establish proper communication among the different outlets of the company (Hamidi and Jahanshahifard, 2018).

The use of internet services is necessary for maintaining the supply chain management of the company as identified from the statements of Ben Daya et al. 2019. The authors also stated that the managers are offered the chance to track the stock and maintain inventory in all the outlets of the company. The use of the internet in SCM is beneficial for reducing the cost of the supply chain and improving the accuracy rate of the delivery date for online orders (Ben Daya et al. 2019). Similarly, an intranet is used within the organisation for establishing proper communication between the team members to have a proper track of the tasks for faster completion. Tesco has an online platform and the use of the internet is beneficial for increasing the security and protection of the data of the customers and the employees to prevent the loss of finance. Increasing the safety measures in the company is effective for reducing the chance of unethical attacks made to cause damage to the company and the customers. However, an intranet is beneficial for maintaining internal communication and helps the teams to collaborate better. On the other hand, the use of the internet allows the company to continue with its business operations globally.

2.4 Role of IT in Helping Managers to Manage Businesses

Information Technology plays a vital role for the managers to handle the business activity in Tesco PLC. Information technology is effective to evaluate particular data to support the business journey accordingly to determine the trends and offer the necessary products to the customers. Technological advancement is also beneficial for the managers to make decisions, enhance communication and coordinate with the team members for faster completion of the tasks. The managers of Tesco can implement innovation in the business operations so that the company can draw the attention of the target audience and convert them into potential customers. As per the statements of Chege et al. 2020, the implementation of information technology is beneficial for implementing innovation to enhance the performance of the company and achieve its objectives. The authors have considered ICT as the driving for employment creation that allows the people to interact and implement innovation. The implementation of ICT and IT in the company is dependent on entrepreneur innovativeness that boosts technological innovation affecting the performance of the company. The managers can develop several strategies that allow for achieving the objectives of the company (Chege et al. 2020).

Aydiner et al. 2019 stated that the use of business analytics is effective in enhancing the performance of the company. Business across the world is changing rapidly with the implementation of technological advancements. The companies can offer the best services to the customers leading to a better level of satisfaction. Offering a better level of satisfaction is effective for increasing the sales of the company and leads to better productivity. The implementation of information technology is beneficial for making business activities more efficient and offers a prompt response to the requirements of the customers. The company can invest in research and development and establish proper communication among the team members (Aydiner et al. 2019).

3. Analysis and Discussion

3.1 Classification of computer

Business organizations are using a personal computer to operate the business and manage the business organization. The personal computer system is also classified as desktop, laptop, tablet, and smartphone. Tesco is widely using the desktop and laptops to operate their business in the United Kingdom as well as in other countries. This computer system provides the facility for accounting, networking, presentation, and documentation. However, it is also analyzed that they are using an Oracle based operating system which is helping Tesco to keep a large number of records of products and services as well as information about customers. It is also identified that they have launched the personal app of Tesco which is operated using the smartphone by customers to order necessary products and services. Also, Tesco has adopted the latest tools and technology like information systems to effectively manage the online business process and provide a better experience to customers (Jelassi et al., 2020). It is also analyzed that the use of updated software in the computer system is necessary for the betterment of international business processes and to analyze the performances of business organizations. Therefore, they are also using SAP which is useful to manage the business procedure of Tesco and help the business organization in solution making. However, the latest generation of personal computers is also helping Tesco in decision making, online human resource management, collection of structured and unstructured data, and analysis. This computer system is also effective in managing the information sharing process and collaboration.

3.2 Key ethical and social issues of IT

From the above discussion, it is analyzed that too many social and ethical issues are associated with the use of information technology in the business process of Tesco Plc. The first issue which is identified is that employees and customers are not ready to accept the latest tools and technology that is used in the management of the business processes. Employees are facing issues in the use of the latest technology of IT within the organization. Also, all the customers do not have proper knowledge of IT based tools and technology. The second issue which is related to IT is the misuse of personal data of the business organization and the spread of fake information regarding the product and services. It is also analyzed that some customers and competitors are giving negative feedback publically which is not ethical.

Sometimes, people are sending fake information regarding the business operation and management system of Tesco plc using the online services of information technology (Blakeney, 2019). Tesco is providing information for the ease of customers but some of them are taking the message negatively. It is also identified that the breakdown of communication in the middle is creating a negative impact on the business process of Tesco which leads to social issues like lack of brand values among customers. It is also analyzed that cybercrime is also increasing day by day which leads to social and ethical issues for the business organization. Employees are also sharing personal information of the business organization to the third party using the online services which are not ethical behavior. Also, third parties are hacking the important data of the business organization and customer information by utilizing the given information.

3.3 Impact of Internet and Intranet on the business process of Tesco Plc

Internet and Intranet are also contributing their role in the management of the business of Tesco plc.  The Internet is used to establish a global connection and on the other hand, an intranet is used to manage the business within an organization. Both the internet and intranet are impacting the business of Tesco.

Supply chain management

Internet and Intranet are also contributing to their role in the management of the business of Tesco plc (SPARKS, 2018).  The Internet is used to establish a global connection and on the other hand, an intranet is used to manage the business within an organization. Both the internet and intranet are impacting the business of Tesco.

Communication opportunities

 It has been also analyzed that integration of the internet and intranet is beneficial to get communication opportunities for the expansion of business and to connect with a large customer base. An effective communication channel is also established within the organization to manage the entire operation of the business organization and to provide guidelines to the employees for the improvement of products and services.

Data privacy and security

The Internet is also widely used by Tesco to operate the business on an online business platform.  Therefore, data privacy and security have become necessary for the business organization. It is also analyzed that Tesco is using an authentic networking system and high security to keep the record private. They have also included a strong firewall for the safety of data. It is also found that these days cyber crime is increasing rapidly which impacts the business process of Tesco. 

Relationship with customers and employees

Internet and Intranet are also utilized to manage the business operation within an organization and to establish a strong and long lasting relationship with customers and employees. It is also identified that the internet is used to share information with the customer in real time along with solutions to their problem.

3.4 Role of IT in helping managers to manage the business of Tesco Plc.

These days, due to digitalization, the process of business operation has been changed and managers are facing problems in the management of business operations. From the above analysis, it is found that the information system is helping the manager in the process of training and development. The manager of Tesco Plc is using online services to get effective knowledge regarding online business management (Turgut et al., 2022). It is also analyzed that information technology is also helping the managers to provide guidelines and training to the employees in order to enhance productivity and efficiency. Information technology is also playing an important role in the decision making process. This technology is helping the manager in the collection of data on consumers and current market trends. It is also automatically analyzed using the tools and technology of the information system which is used for decision making and execution of strategic plans for further growth and development. IT is also useful to determine the future trends of the marketing of the different geographical regions using online services. 

It is also analyzed that managers of Tesco are also using information technology for the expansion of business. Information technology is helping the business manager of Tesco in improving customer experiences and satisfaction by providing the product and services on time. IT is also helping the manager in an analysis of the performance of employees which is important for the expansion of business. The performance of the business is also effectively improved by integrating the latest tools and technology of the information technology like automated computing devices, cloud based storage space, and an online feedback management system. However, IT is also contributing to its effectiveness in sharing information within and outside the organization. It is identified that the manager is developing an online communication channel with high security to share valuable information about the organization with staff. They are also sharing information with the customers via IT based communication channels.

4. Conclusion

This study paper focused on the impact of information technology on Tesco Plc. From the analysis of the introductory part, it has been concluded that Tesco is the leading business organization of supply chain management and they are operating their business across the countries. Also, this business organization has adopted information technology to intensify the business process. It has been also concluded that they are taking the help of technology to manage the transaction and supply of goods and services. From the analysis of the literature review, it has been concluded that they have classified the computer system according to their use. In the earlier days, the desktop is widely used by Tesco to keep the record of products and services along with customer detail. After that, they have adopted the latest generation of computer systems like laptops, tablets, and smartphones to manage their business operations.

 It has been also concluded that too many ethical and social issues are associated with the use of Information technology. Consumers are giving negative feedback publically which impacts the reorganization of brand value and image. It has been also identified that the internet and intranet are also playing a vital role in the management of business processes and expansion. Managers are also using information technology to analyze the performance and effectiveness of the communication channel. The analysis and discussion part of this study paper also focused on the impact of classification of different types of computer systems and issues which is associated with the use of IT. However, it has been concluded that the classification of supply chain management of Tesco is effectively enhanced by utilizing the tools and technology of the information system. Managers can establish a strong communication channel to increase the engagement and loyalty of customers as well as employees.

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