Introduction to Information
Technology
HSBC
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Abstract
This report aims to look at how Information Technology (IT) impacts businesses, particularly
those in the service section. It gives HSBC as an example. The report will begin by talking
about different kinds of computer programs that companies can use. Next, it looks at any
moral and social problems that are becoming popular in our online world today. The report
will talk about how the internet and intranet change companies.. It will also show how
technology can help bosses run their businesses better. In the end, this report will examine
both good and bad effects if HSBC invests in technology. By learning from this, we want to
find out how technology can improve and strengthen businesses.
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Table of Contents
Table of Contents..................................................................................................................... 3
Introduction............................................................................................................................. 4
Literature Review..................................................................................................................... 4
Analysis and Discussion............................................................................................................8
Conclusion.............................................................................................................................. 10
References..............................................................................................................................11
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Introduction
HSBC in London provides worldwide financial services and banking for investments. HSBC
is a big name in worldwide money affairs. It has businesses in over 60 countries. Today in
our online world, businesses have to use technology's strength for better and smarter work.
This report wants to know how Information Technology (IT) helps businesses.
The different kinds of software that companies use include Human Resource Information
Systems (HRIS), Enterprise Resource Planning (ERP) and Customer Relationship
Management (CRM). Different computer programs help jobs with fewer mistakes, and also
make them better at looking after customers. (Mendoza & Mariussen wrote this in 2021)
We'll look at the computer programs that HSBC uses to run its business and help customers.
In this report, we will examine the major issues related to technical matters such as privacy
of personal information and protection against online crimes. These are crucial matters for
companies that rely heavily on technology in their jobs. We will also verify what HSBC has
done to ensure they conduct business in a fair and caring manner. We'll also see how
internet and intranet have altered the way businesses communicate. This way, they can
more easily assist customers. This happens not only in their own company but also with
others outside of it. In the end, we will consider how HSBC uses these methods to improve
its business and give customers a wonderful experience.
Literature Review
IT is very important in the service area, especially for managing money tasks. IT in the
service industry is unique because it improves communication and teamwork within a group,
as well as connecting with clients (Laudon & Laudon, 2020). HSBC, one of the world's
largest banks uses IT to improve its business and make customers happier.
HSBC uses Customer Relationship Management (CRM) software, which is a kind of
computer program. In 2021, HSBC spent money buying advanced machines to find out what
customers want and need (HSBC Holdings plc, 2023). This helps HSBC offer unique
benefits to its clients, making them more satisfied and loyal. Also, HSBC has been using
computer programs to study how customers behave and what they enjoy. This assists the
business to create more focused marketing work and gain new customers (BBC News in
2020).
In the online world, especially in finance services, questions about what's right or wrong and
social issues are getting more important. So, it has become a major concern for businesses
to use IT ethically. HSBC is trying to make its online safety better so customer data stays
protected and no information leaks can happen (HSBC Holdings plc, 2022). Also, HSBC is
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making sure its workers follow the right rules and act nicely while using computer systems
(Heng & Tan 2019).
Companies, like HSBC, have been strongly changed by ICT. The internet and intranet have
a big effect on this change. Internet lets HSBC do more than usual and help people around
the world. HSBC uses its website and mobile apps to help customers with online banking.
This has made their lives more simple and joyful (BBC News, 2020). Instead, HSBC uses
something called Intranet to improve communication and teamwork among its employees. It
also talks about good ways of doing things and shares ideas (Turban et al., 2022).
IT plays a key role for leaders in managing businesses successfully. HSBC uses IT tools like
business intelligence and analytics software to learn about their work activities. This assists
them in making smart decisions (O'Brien & Marakas, 2019). HSBC uses planning software
for projects. This helps jobs work well and finish quickly.
In our computer world, ethical and social issues are getting more important along with the
many types of software used in businesses. Lately, some big data leaks and cyber attacks
have happened. They ended up costing companies a lot of cash, damaging their image and
getting them in legal trouble (Autor said it 2015 pages 3-30). This revealed that considering
what is fair and good greatly impacts the use of technology for information.
A big ethical issue with technology is getting and using private information. With more big
data and study, businesses are getting lots of customer information. These include things
like names, addresses or credit card numbers (Hoy 2021). This information is often used for
special ads and marketing. But sometimes, it can be misused like stealing your identity or
cheating (Autor 2015 pp.3-30). So, businesses should ensure they get and use customer
details correctly. They need to be honest about their actions and put steps in place so
nothing poor occurs with the data.
A moral issue with technology is how artificial intelligence (AI) and machines make choices.
AI can make business processes faster and more correct (Autor 2015 pp.3-30). Suppose, if
a computer program learns from unfair data it might keep and even grow already present
biases when making choices (Burrell, 2016 pp. 1-12). So, businesses must ensure that they
use AI and automation fairly so others can observe it. They need to also set up rules so the
chance of unfairness or bias doesn't happen too much.
A big issue in our society is how IT changes jobs. Automation and AI could make our work a
lot faster, but at the same time they may take away jobs from people. This can also make it
difficult for some to get a fair amount of what they need (Autor, 2015 pp. 3-30). So,
companies should consider how people will be affected when they use money on
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technology. They need to make sure everyone gets good from things like robots and
computer smarts in a way that is fair for all people (Hoy, 2021 pp. 235-242).
Businesses can use different software to improve their work and operations. A type of
computer program that many folks use is known as Customer Relationship Management
(CRM) software. In 2021, Mendoza and Mariussen wrote about this in their work. CRM
software aids businesses in dealing with customers and leads. This means keeping records
about their customers, solving customer service questions and studying how people act
when buying from them. Fjermestad & Romano wrote this down back in 2019! They are
famous authors who like sharing their thoughts and ideas with the world.
Enterprise Resource Planning (ERP) software aids companies in handling their main
business actions. These include adding up money, telling for supplies, watching over stock
and people who work (Garg & Verma 2018). When businesses combine these actions into
one system, they can speed up their work and make it more precise. They also get a better
view of what's going on in their company.
For companies, another significant type of software is project management tools. Project
management software helps companies to arrange and watch projects, give jobs to group
members, and work as a team on project stuff or files (Kwak & Anbari 2017 p.1-20). This can
help companies make their tasks better, lessen project dangers and do more work.
Numerous ethical and social problems have arisen as a result of technology use in business
and society. A big ethical problem is making sure information stays private. With people
saving their information, there's a risk of it being stolen or used in the wrong way (Floridi
2018). Businesses need to make sure they get customer's information in a clear way and
have strong safety measures for keeping that data safe.
A big ethical issue is how technology changes jobs. Machines and smart robots with
computer brains can make people lose their jobs or change from work (Brynjolfsson &
Mitchell, 2017 pp. 76-80). It's critical that companies and managers address this issue. In
order for workers to be able to retrain and obtain better jobs in the future, new skills must be
found for them.
Using technology causes social issues like the digital gap. This means there's a difference
between people who use tech and those that do not (Warschauer & Matuchniak, 2010 pp.
179-225). This can lead to unequal chances in going to school and getting jobs. One more
social issue is how technology impacts our thoughts and joy, like getting hooked on screens
or being bullied online. This can also result in not having enough friends (Twenge &
Campbell, 2019).
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Businesses also need to consider how their use of technology impacts the environment. This
means looking at how much energy things like devices and data centers need, as well as
dealing with the waste they make (Gupta 2019 pp. 133-142).
The internet has changed how businesses communicate and handle customers (Fjermestad
& Romano, 2019). By using the internet, businesses can expand beyond their local market
and get customers from all over the world. This has assisted businesses to create new
opportunities and markets that didn't exist before.
The internet inside a company has greatly helped businesses by making it easy for people to
talk and work together. This lets workers share details, work on jobs together and get
business things from anywhere in the world. This has made companies work more smoothly
by cutting down the time and power needed to finish tasks (Fjermestad & Romano, 2019).
But, using more internet technologies can also cause new issues and risks. Now that
businesses are using the internet more, there's a higher risk of computer hacks and privacy
issues. Companies that use social media also worry about the ethical issues of using
personal information.
IT is very important for companies today. It helps people work better, communicate and
share easily with others. It also makes their company stand out from the rest in business
markets. Computer systems and programs have made businesses work differently by doing
jobs, managing information, and providing fast insights about business activities.
IT in businesses plays a big part by helping with work using machines without needing to
use hands. For example, business software can do bookkeeping and money report tasks.
This saves them time and money (Kwak & Anbari, 2017 pp. 1-20). CRM program can also
chat automatically with customers. This helps businesses manage their links better and
makes customers who buy things from them happier.
IT also aids businesses to communicate and team up more effectively. Video calls, quick text
messages and other teamwork tools help us talk or work with others no matter where they
are. This has helped teams to work well together and be more effective.
Analysis and Discussion
HSBC, a large bank with many locations in over 60 countries, uses different computer
programs to run its complicated business and give services to customers. These include:
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CRM (Customer Relationship Management) software that looks at customer information,
watches their actions and makes things better to make customers satisfied and loyal.
Banking software that handles tasks such as overseeing accounts, making transactions and
paying bills. It makes sure that the work is done right, safe and fast for customers in a good
way.
HSBC, a group of banks, should follow rules that prevent money laundering. They use AML
software to do this. This program aids HSBC in preventing financial crimes, such as money
laundering and financing for bad individuals. It does this by closely observing how customers
spend money and noticing unusual actions (Laudon & Laudon, 2020). HSBC uses software
to find and fix problems in its business. It checks for credit risks, market issues, or
operational troubles. This aids them in making smart decisions for their business while
dealing with dangers correctly. HSBC uses various computer security programs such as
antivirus, firewall, systems that detect attacks and data scrambling. This shows how much
they care about keeping safe from dangers on the internet (Laudon & Laudon, 2020).
HSBC faces many ethical and community issues tied to how they use technology. These
problems can seriously damage a group's credibility and confidence. Among the major moral
and societal dilemmas that HSBC must deal with are:
Privacy and Data Protection: HSBC collects a lot of customer information. This
covers items such as personal data and bank transactions (Gupta, 2019 pp. 133-142).
HSBC sticks to rules for safeguarding data and maintains customer secrets securely.
Security: HSBC is in charge of keeping its customers' information and money safe
from online dangers. This means doing safety things like firewalls, code scrambling and
needing more than one way to check who you are. This stops people that aren't allowed
from getting into customer accounts.
Transparency: HSBC needs to be clear about using technology and make sure
customers know how their data is being used. This means giving simple and easy-to-
understand privacy rules and conditions for its online services.
HSBC needs to make sure that all customers can use its online services, even those with
disabilities. This means giving options like different ways of showing information and special
tools for people who have problems seeing or hearing (Gupta, 2019). Also, HSBC uses AI to
improve its services and make customers happier. But it must use these tools carefully so
that they don't treat some customers unfairly (Brynjolfsson & Mitchell, 2017).
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HSBC has been greatly affected by the internet and intranet. They've made their business
more efficient, which also helps with customer service. Some of the major effects of the
internet and intranet on HSBC are as follows:
Improved Communication: Communication has been improved by internet and
intranet for people who work at HSBC (Fjermestad & Romano, 2019). This leads to
quicker decisions being made and more tasks getting finished.
Enhanced Customer Service: Online banking by HSBC is easy to use because of
the internet. This has made customers more comfortable and their reach greater
(Fjermestad & Romano, 2019). People can do banking work and look at their bank
accounts anytime, anywhere without having to visit a real branch.
Increased Efficiency: HSBC has used the internet and intranet to make many tasks
that required manual work automatic. This saves cash and makes them quicker. For
example, using internet banking has made people visit bank branches less. This
saves HSBC money.
Global Reach: The internet has helped HSBC to expand its services everywhere in
the world. This allows them to serve customers from different countries and times.
This has allowed HSBC to expand further and earn more cash.
Security Risks: The internet and intranet also bring security issues to HSBC
because bad guys can use these tools against their systems or data. HSBC has
invested in safety features.
IT plays important role in every organisation. Following are the some important roles of
This helps the business to make better services and processes, which makes customers
happier. HSBC really needs IT because it gives many digital services like online banking and
mobile apps. These have made life simpler for people (Turban & Wetherbe, 2022). These
online services let people work anywhere and anytime, making sure customers are happy
with their experience.
Improving Operational Efficiency: IT has turned many of HSBC's hand jobs into
automatic, making them work better and save cash. (Turban & Wetherbe, 2022) For
example, machines that handle tasks on their own have made jobs we do by ourselves less
important. This means that agreements can be made faster and with less errors.
Enabling Global Operations: IT has helped HSBC increase its services all over the
world, helping customers in numerous countries and various times. Computers have helped
businesses run their global operations better. They make quick chats and talking in real life
possible.
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Enhancing Data Analytics: IT has assisted HSBC in gathering and examining
customer information. It shows them what others like or do. (Turban & Wetherbe, 2022):
These thoughts made the company's items better and perfect for each buyer.
Mitigating Risks: IT has helped HSBC manage and lessen risks, including online
safety threats or stealing money. IT systems help businesses watch what they do and make
deals. They can find out anything odd happening and then handle possible risks before it
gets too big (Floridi, 2018).
Conclusion
In simple words, businesses must use IT (information technology) alot. This also includes
businesses like HSBC that focus on service. HSBC has put together many IT parts and
tools. These include digital banking, automatic money handling systems, and data analysis.
This makes its job more effective and offers better services for those using it. HSBC's use of
IT has made its risk control better, increased global power and smooth operations. It also
helps with data analysis and improving customer experience.
However, when people use IT or computers it can have issues like internet threats,
someone's information leaking and relying too much on machines. So, firms like HSBC must
ensure their computer systems are secure and function properly. They must also obey rules
about treating people fairly.
References
Autor, D. (2015). Why are there still so many jobs? The history and future of workplace
automation. Journal of Economic Perspectives, 29(3), 3-30.
BBC News. (2020, October 14). HSBC to accelerate restructuring plan after profit plunge.
https://www.bbc.com/news/business-54524721
Brynjolfsson, E., & Mitchell, T. (2017). What can machines learn, and what does it mean for
occupations and the economy? AEA Papers and Proceedings, 107, 76-80.
Burrell, J. (2016). How the machine ‘thinks’: Understanding opacity in machine learning
algorithms. Big Data & Society, 3(1), 1-12.
Fjermestad, J., & Romano, N. C. (2019). Customer relationship management. Routledge.
Floridi, L. (2018). The logic of information: A theory of philosophy as conceptual design.
Oxford University Press.
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Garg, A., & Verma, A. (2018). Enterprise resource planning: fundamentals of design and
implementation. Springer.
Gupta, H. (2019). Green computing and sustainability: An overview. In Advances in
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Heng, M. S. H., & Tan, C. W. (2019). The impact of information technology on the ethical
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Hoy, M. B. (2021). Ethics in research and publication: Privacy and confidentiality. Journal of
the Academy of Nutrition and Dietetics, 121(2), 235-242.
HSBC Holdings plc. (2022). Annual Report and Accounts 2021.
https://www.hsbc.com/-/files/hsbc/investors/hsbc-results/2021/annual-report-and-
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Laudon, K. C., & Laudon, J. P. (2020). Management information systems: Managing the
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Mendoza, J. J., & Mariussen, A. (Eds.). (2021). Ethical and social issues in the information
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O'Brien, J. A., & Marakas, G. M. (2019). Management information systems. McGraw-Hill
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Turban, E., Leidner, D., McLean, E., & Wetherbe, J. (2022). Information technology for
management: Digital strategies for insight, action, and sustainable performance. John Wiley
& Sons.
Twenge, J. M., & Campbell, W. K. (2019). Associations between screen time and lower
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