Impact of IT For Business

Impact of IT For Business 


The acronym POS refers to Point of Sale, which denotes the exact time and place where the dealer or the company sold a particular product. The POS system includes the sales processes, from the point of ordering the product by a customer to the time it is delivered to the customer effectively. The POS system acts like an online register and records all the data regarding sales of particular products and the maintenance of the relevant stock. POS precisely maintains the number of units of products that have been left unsold, the number of products rejected and the number of products that have been delivered to the customers. Moreover, the details of the amount of products manufactured and the amount of products left in the stocks for the company are also maintained effectively by the POS systems. This helps in managing the business more effectively and the demands of the customers can be more commendably met, since the numbers of products available for delivery are accurately available in the computers, for access. 

Answer 1. 

There are numerous advantages of the POS systems, which can be enlisted below:
  • It abolishes the chances of human error and plays a role in saving money for the company in the long run
  • The POS system encompasses the usage of bar codes, which helps in record maintenance regarding the products. This also makes disseminating the services to the customers a lot faster and easier (Cunningham et al., 2015)
  • The records of the units sold and the units left in stock is very effectively maintained and it helps the company to serve the products that are in constant demand to the customers, effectively, by maintaining a steady supply of the products from the stock
  • Inventory management at Four Seasons Greenhouse and Nursery is made a lot easierwith the implementation of the POS systems
  • Some of the owners of the company had no idea that a few products that they had been dealing inactually had caused substantial loss to the company. Implementation of the POS systems in the Four Seasons Greenhouse and Nursery actually helped the managers to recognize the products that were profitable for them and the products that threatened to affect the revenues earned by the company
The disadvantages of the POS systems are:
  • Continuous updates of the software-based POS have to be carried out by the company in order to ensure that the software function fine and the information of the stock are available for reference at any time (Wang et al., 2015)
  • The POS systems require constant internet access for the normal functioning of the systems. If internet connections are not available then the information cannot be shared over the POS systems and this might cause delay and inconvenience for the customers
  • There are associated security risks with the POS systems. Many customers nowadays buy products from the shops utilizing the debit and the credit cardsand the information of the same remains in the servers after the swipe; this has a potential threat of exposure of the sensitive information of the bank details if the POS systems are unethically and illegally hacked or gained access into, without permissions.

Answer  2.

The POS systems are very beneficial and help the business gain a competitive advantage over its rivals, if properly implemented. The ways in which this aim can be achieved can be discussed as follows:
The detailed sales report helps to track the profit and loss statement associated with the various products that Four Seasons Greenhouse and Nursery deals in (Russell et al., 2015). This helps the management to upgrade the products that are in demand in the market and to manufacture more such products while the products that are experiencing lower sales in the market needs to be either eliminated from the stocks or sold at a cheap price. This helps the company to manage the stock efficiently, which is necessary for the businesses to thrive in the market
The improved customer services like the prompt replies to whether the products are available in stock or not and the faster transaction methods enabled by POS, satisfies the customers largely. The customer satisfaction is a big factor for gaining competitive advantage against the rival companies.
Few products tend to be sold at certain times of the day. This can be revealed by the POS systems. This enables the organizational staffs to arrange the items in the display at those particular times of the day, in order to boost the sales of the company; this also renders competitive advantage to the concerned company.
The POS systems can be used for managing the loyalty programs efficiently (Spaeth et al., 2017). The customers at Four Seasons Greenhouse and Nurserycanbe given special discounts if they have been associated with the company for long periods. This might increase the popularity of the products among the customers as well as boost the business. The management of the loyalty schemes and storing the details of the customers is a tedious job, which requires lot of attention to be effectively managed; the POS system does just that. This, in turn, helps Four Seasons to gain competitive advantage over its rivals since no other nursery or greenhouse offers such customer loyalty schemes.

Answer  3.

The major advantage that is found in case of centralized database consists of the following:
Data integrity- The integration of the data minimizes the issue of data redundancy. The entire data is stored at a single place that helps in the fostering the reliability. 
Data Security- The data being stored at a single place ensures the fact that data theft or attack can be from one possible source. Single data base helps in minimizing tampering of data (Terzi et al., 2015). 
Cost reduction- The overall cost of the company is reduced as the database is single. The maintenance of the same is easier for the company. Hence, though the initial cost of the making one single database is huge, later the cost is reduced for companies. 
Improving speed- The centralized storage form employs a higher quality of components and redundancy that makes this storage more reliable than other storage forms. The centralized database storage facilitates comprehensive data access and virtualization procedures. 
Data sharing- COMPASS data repositories and the experienced programming staffs help in the export as well as creation of data into many different formats. On certain request the data dumps can be created in the required format in order to share with other informatics systems. If the data is stored in a particular location it can be accessed by multiple sites with managing the multiple privileges. 
Disaster recovery- COMPASS data repositories are regularly backed up and can be restored if there is any server failure or malfunctioning or occurrence of any type of natural disaster. Hardware redundancy is also managed at the infrastructure as well as the server level. This helps in maintain about 99% system uptime can be minted (Solberg et al., 2017). 

Answer 4. 

The Inventory software program in the market helps to tack the usage and analyzes the inventory levels on the basis of items (Rahmani et al., 2015). The POS software records the entire sale whenever it happens that the records of the inventory are well updated. The POS system analyzes the sale data, and identifies how the items on the shelves can be sold and the purchasing levels are adjusted accordingly. 
The sales history can be maintained and help to adjust the buying decision for the seasonal purchasing. The pricing accuracy of the integrating bar codes, credit card and scanner can be improved with the authorization ability of the POS. 

Answer 5. 

The telecommunication that can be used have been suggested below 
LAN: Local area network is a type of computer networks that interconnects different computers within a very limited area such as school, laboratory, residence, university campus (He et al., 2015). 
WAN: wide area network is a type of telecommunication computer network that extends over a very large geographical distance.
MAN: it’s a type of metropolitan network that interconnects users with different computer resources within a geographic region. 
The wireless as well as wired cables can be used for the connection purposes.
A wireless network is a type of the computer network that uses the wireless data connection between the network nodes (Dua et al., 2014). This method is used at home, telecommunication network and also by business installations as it helps in reducing the cost of introducing cables into building. They provide the network connection in a more efficient manner and a higher speed. Multiple gadget can use a single network and fiunction.

Answer 6. 

One of the risks of the POS system is that it can contain inherent vulnerability. In addition to this, all the transactional records are recorded in POS system and if the system is hacked or is affected then all the transactional data of the organization will be lost. The company will not be able to analyze the total sales made during a particular period. If the POS system is hacked then the entire process of the organization will get affected (Cui et al., 2016). Apart from this, if there is network failure in the POS system, then it can affect the payment application. In the POS system, there is a wide availability of malware packages, which can easily be purchased by the hackers and attack on the POS system without any sophistication. This can also affect the transactional process for the organization and at same time, it can display the wrong figure of the transaction.
One of the main solutions to avoid the risk of POS system is to access governance. In addition to this, the organization can also separate the access of the internet from the POS system with the firewall. This will prevent the hackers from hacking the system and at the same time, this will ensure safety in the transaction process of the POS system. Apart from this, in order to protect POS system from any kind of risk, the organization should make sure to disable SSID broadcast. The management of the organization should also disconnect or monitor the network ports, which will help in avoiding the risk in the POS system (Orr et al., 2015). Apart from this, the management of the organization can isolate the POS application with the help of the network segregation. In addition to this, in order to avoid the risk in the POS system, it is very important for the management to enable the strongest possible data encryption. 


This assignment has focused on importance of the POS system for the organization to gain the competitive advantage. In addition to this, the assignment has outlined the advantages and disadvantages of POS system for the organization.  The assignment has also provided advantage of having the centralized database for the organization. From the above assignment, it is evident that there are certain risks in the POS system. In addition to this, the assignment has also provided some solution to respond to the risks. 


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Cunningham, C., Good, T., Kearney, S.P., Miraglia, M., Amundsen, T., Giordano, P., Wang, Y.P. and Zhu, X., Metrologic Instruments Inc, 2015. Point of sale (POS) based checkout system supporting a customer-transparent two-factor authentication process during product checkout operations. U.S. Patent 8,976,030.
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Wang, B., Zheng, Y., Lou, W. and Hou, Y.T., 2015. DDoS attack protection in the era of cloud computing and software-defined networking. Computer Networks, 81, pp.308-319.
Spaeth, P., Shimko, B., Levy, P., Toibero, L., Garton, B., Black, M., Salters, M. and Mazour, J., Visa USA Inc, 2017. Opt-in/opt-out in loyalty system. U.S. Patent 9,852,437.

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