business information and ict business information and ict higher business management
TRANSCRIPT
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Business Information and ICTBusiness Information and ICT
Higher Business Management
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BM Unit 1 - LO2 2
Learning intentionLearning intention::
To introduce pupils to information
and information technology
Success Criteria:To define informationTo describe and categorize sources of information
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BM Unit 1 - LO2 3
What is Information?What is Information?
InformationData that has been processed
into a form that will assist in decision-making and planning
DataCollections of facts or quantities
which have been assembled in some formal manner
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Sources of informationSources of informationPrimary – information collected by the
business itself. Sometimes called field research. It is first-hand information.
Examples: market research data, consumer research
Secondary – information already published. Also called desk research.
Examples: government reports, MINTEL reports (google)
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Sources of informationSources of informationInternal – information collected within
the business.Examples: employee or customer
records
External – information collected from outside the business.
Examples: national statistics, rivals’ accounts
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Type of information
Costs Benefits
Primary Expensive to gather
Time-consuming to gather
Reliable as it first hand info
Verifiable as you the know the source
Up-to-date info
Secondary Inexpensive or free
May be irrelevant, may be out of date
Easy to obtain, wider number of sources available
Cheap or free
Internal No financial costs as the information is already established and there to use
Reliable, verifiable
Easy to access
External May have a financial cost
Wide number of sources
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Answer a questionAnswer a question
Discuss the value and reliability of:
primary informationsecondary information.
(6 marks) 2006
10 minutes
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Solution Solution –– primary information primary information Primary information can be both valuable and reliablebecause it has been gathered for a specific purpose, therefore meeting the needs of the organisation. (1 mark) It is also up-to-date, as it has been collected recently. (1 mark) In addition, you know how the information was gathered and can return to ask further questions/seek clarification if necessary, by the managers using the information. (1 mark) However primary information is expensive as you have to pay researchers to conduct it. (1 mark) It is time-consuming to gather as respondents have to be found and interviewed. And finally, it does not always give the ‘full picture’ as outside influences are not always considered such as PESTEC factors, eg a recession.
(1mark)
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SolutionSolution –– secondary informationsecondary informationOn the other hand secondary information can
be valuable because it is cost-effective because it is
cheaper to gather than primary. (1 mark)
Again, valuable because it gives firms an idea of the
general business environment. (1 mark). However, the
information may be biased as the publishers may have
their own agenda (1 mark). The information may be
inaccurate as sources may not be verified properly.
(1 mark). The information may be out of date as it may
have been collected months or years ago.
(1 mark)
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BM Unit 1 - LO2 11
Learning intentionLearning intention::
To introduce pupils to types and
values of information
Success Criteria:You should be able to: Define types of information Tell the difference between qualitative and quantitative information
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Types of informationTypes of information
WrittenWritten – presented on paper or – presented on paper or electronicallyelectronically
OralOral – communicated by voice – communicated by voicePictorialPictorial – displayed by a photo, image – displayed by a photo, image
or pictureor pictureGraphicalGraphical – displayed as a graph or – displayed as a graph or
chartchartNumericalNumerical – presented in numbers – presented in numbers
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Qualitative and quantitative Qualitative and quantitative informationinformation
Qualitative information is descriptive in nature and includes people’s feelings, attitudes and opinions towards a topic.
Example: Why is cheese AND Onion your favourite flavour of crisps?
Quantitative information is measurable and expressed numerically. It deals in facts and figures.
Example: How often do you eat a packet of crisps in a week?
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BM Unit 1 - LO2 14
Learning intentionLearning intention::
To introduce hardware into information technology
Success Criteria:You should be able to:Understand the term hardwareGive examples of hardwareDescribe positive and negatives for hardware
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MainframeMainframeLarge, powerful
supercomputers (like Cray) capable of multi-tasking.
Used mainly for scientific and engineering purposes.
NASA is one such user.
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MainframeMainframe
PositivesEnormous memoryVast processing
powerExtremely fast
NegativesHugely expensiveIncreasing
dependency
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PC and laptopsPC and laptopsHome, office or
mobile computers.Now have notebooks
and palmtops.Have hinged screen.LCD display.Battery powered.Trackpad instead of
mouse.
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PC and laptopsPC and laptops
PositivesGood value for
moneyEver-increasing
capacity and processing power
NegativesShort shelf lifeProne to viruses
and breakdowns
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NetworksNetworks
LANs (local area networks) are linked to a geographically close server.
WANs (wide area networks) use telecommunications such as cable and satellite to link up across continents.
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NetworksNetworks
PositivesEmployees linked
togetherShare data and
files
NegativesServer breakdownsProne to virusesReliance on
backups
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E-mailE-mail
Transfer of text, graphics and other information between computer users via telephone lines.
Requires internet access and valid email address.
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E-mailE-mail
PositivesInstant
communicationSame message
can be sent to many people
Cost-effective
NegativesJunk mailStaff may abuse
useVirusesE-mail has same
legal liability as written material
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Video-conferencingVideo-conferencing
Sound and vision linking people at different locations.
Enables a virtual meeting between people without having to travel.
Click for clip
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Video-conferencingVideo-conferencing
PositivesSaves
accommodation and travel costs
Saves travelling time
Relatively inexpensive
NegativesPoor connectionsTime lagsHard to pick up
body language
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InternetInternet
International network of computers.
In existence since 1969!
Main uses:e-mailnewsgroupssharing information.
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InternetInternet
PositivesAccess to vast
amounts of information
Access to wider global market
NegativesCheck reliability of
informationVirusesStaff may abuse
access
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NetbookNetbook
PositivesLonger battery life
than laptopsLightweightPortableInexpensive
NegativesSmall screenNo CD/DVD driveProcessor not as
powerful as PCs and laptops
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WebsitesWebsites
Positives Information is
available to customers about the product and/or service – you can see images and details about the product/service are given.
Negatives
Copy this slide into your jotter. We will also look at a real-life web site.
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Answer a questionAnswer a question
Describe the advantages of a website to an organisation.(6 marks) 2006
10 minutes
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SolutionSolution A website can give potential customers information about
the organisation and its products and can show images and detail product features online.
E-commerce offers customers the chance to buy online, and from the comfort of their own home.
24/7 availability, unlike stores or branches, which have opening hours, limiting sales.
Wider audience reached as customers in different countries can access the web.
Market research (questionnaires) can be carried out online by customers and can be collected easily.
Information gathered about potential and actual customers, who leave their details having entered the website – this can be used to target customers in future.
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Additional sources of ITAdditional sources of ITList as many as you can eg
Satellite navigation
Learning and Teaching Scotland
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Satellite navigationSatellite navigation
PositivesNever get lostPlans quickest
routes in secondsVoice commandsIf wrong route
chosen it re-calculates route
NegativesExpensiveNeed to update
mapsCan distract
driver’s attentionAttracts thieves
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Wi-fiWi-fi
PositivesNo cablesAllows flexible
working around office, home or elsewhere
No cable deterioration
Lower set-up cost because no cables
NegativesMust be secureSignal may not be
as strong as traditional connections
More prone to be affected by weather
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Smart phonesSmart phones
iPhone
Blackberry
Phones that double as computers with:
access to internete-mailcalendar and diaryseveral appscamera.
A mobile office.
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Smart phoneSmart phone
PositivesPortable Can access wi-fiAll features of
mobile phones Supports third-
party softwareSome contracts
have unlimited internet access
NegativesMore expensive
than normal phones
Short battery lifeNeed signalAdvanced features
not easy to understand
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Tablet PCTablet PC
iPad A computer somewhere in between a laptop and a smartphone.
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Tablet PCTablet PC
PositivesPortableWirelessLightweightCan use on the
move (ie standing)Most tablet PCs
have handwriting recognition software
NegativesExpensiveSome do not run all
applications offered on net
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USB memory sticks/flash drivesUSB memory sticks/flash drives
Portable storage devices that have eliminated the use of floppy disks and to some extent CDs and DVD as a form of storage.
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USB memory sticks/flash drives USB memory sticks/flash drives
PositivesPortablePlug and playRelatively cheap
mass storage
NegativesProne to virusesFragile and can
break easily
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Interactive CD or DVDInteractive CD or DVD
Interactive media used for staff training. Now old and rarely used. More for sources such as newspaper archives.
CD holds 650 MBDVD holds 17 GB
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Interactive CD or DVDInteractive CD or DVD
PositivesCheaper than
using consultantsOne-on-one: more
involving for staff
NegativesEmployees
unsupervisedFinite questionsNo human contact
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BM Unit 1 - LO2 42
Learning intentionLearning intention::
To introduce software into information technology
Success Criteria:You should be able to:Understand the term softwareGive examples of softwareDescribe positive and negatives for software
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Computer-aided manufacture Computer-aided manufacture (CAM)(CAM)
Computers and robots used to control machines.
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Computer-aided manufactureComputer-aided manufacture
PositivesSaves labour costsConsistent quality24/7 production
NegativesCostly breakdownsMachines can’t
think for themselves
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Electronic point of sale (EPOS)
Allows an electronic record to be kept of all purchases and returns.
Electronic Funds Transfer at Point of Sale (EFTPOS) is when Debit and Delta are used.
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EPOS EPOS
PositivesRecords purchases
and returnsAids stock controlCan be used for
market research
NegativesBarcodes may be
faultyInformation has to
be entered correctly on barcode
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DatabaseDatabaseData saved and
organised in an electronic filing system.
Keeping and sorting records.
Searching for information.
Filing reports.Mail merge.
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SpreadsheetSpreadsheet
An electronic worksheet used to manage numbers and carry out calculations.
Produces charts and graphs.
What if? scenarios.Budgets, wages,
sales figures, estimates.
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Word-processingWord-processing
An electronic typewriter.
Prepare letters, memos, reports.
Edit text.Graphics and
images.Mail merge.
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Desktop publishingDesktop publishing
Package that allows professional documents to be created.
Text, graphics and imagesHigh-quality documents.Magazines, newsletters,
price lists, posters, forms, booklets, manuals, catalogues, leaflets.
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Presentation packagesPresentation packages
Projects an image onto large screen.
Used for presentations.
Can use audio and movie clips.
Easily available handouts and notes.
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Computer-aided design (CAD)Computer-aided design (CAD)Computerised process for
creating new parts or products or altering existing ones.
Mainly used by architects, designers and engineers.
Also used in animation and in simulations.
Alterations can be made without redrawing.
Click for clip
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Decision-making packagesDecision-making packages
Analytical tools for managers.
Produces statistics and graphs.
Helps managers evaluate information.
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Project management packagesProject management packages
Enables project teams to co-ordinate activities.
Details budgets.Team member tasks.Records resources used
or allocated.Time deadlines.Progress reports.
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Multimedia systemsMultimedia systems
Use a variety of ways of storing, processing,transferring and retrieving information.
Can involve:text and soundtext, sound and graphicstext, sound and videovideo and soundinteractive elements (voice command, touch
screen etc).
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Facsimile transmission (fax)Facsimile transmission (fax)
A fax sends identical copies of any document over a telephone line.
It is fast and costs same as telephone call. Now rare in use.
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BM Unit 1 - LO2 57
Learning intentionLearning intention::
To introduce pupils to general costs
and benefits of ITSuccess Criteria:You should be able to:Describe examples of benefits and
costs of IT on an organisation.
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Learning and Teaching Scotland
Benefits of IT/software for a Business???
Can you list some?
Costs of IT/software for a Business???
Can you list some?
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Benefits of ITBenefits of ITIncreases productivity.Reduces waste.Increases speed of work.Improves accuracy and quality.Increases access to information.Improves communication and decision
making.Saves floor space.
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Costs of ITCosts of IT
Costly to develop, install and maintain.Training staff is costly and timely.Introduction may not be easy.Requires new skills.Breakdowns very costly and inconvenient.De-skilled workers leads to low motivation.
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Benefits of softwareBenefits of software
Information can be handled very quickly.
Speed and quality of decision making improved.
Fewer errors made making calculations.
Improved accuracy and quality.
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Costs of softwareCosts of softwareExpensive to buy.Staff training required and costly.Staff learning curve can be costly.Time can be lost due to glitches.External threats – viruses.
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Answer a questionAnswer a question
Describe the benefits of investing in new technology.(5 marks) 2009
10 minutes
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HintHintThink about how ICT will affect
businesses in terms of TCP:
Time – how does it affect the time taken to do things?
Cost – what are the financial implications?People – how does it affect
employees/customers?
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Solution Solution
Increases the speed of information handling as computers can process information faster than humans can.
Improves production methods through use of robotics and CAD/CAM, which are more accurate than labour.
Reduces staffing costs as machines will make some employees redundant.
Allows for teleworking as employees can use ICT to work from home.
Allows for improved communications on a global scale as e-mail and video-conferencing can connect branches on different continents.
Can mean e-commerce is possible as customers can buy online, increasing the firm’s potential market.
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Uses of ITUses of IT
Assists decision making.Assists with providing information for
staff.Helps maintain complete and accurate
business records.Aids effective communication within
an organisation.
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Effects of IT on employeesEffects of IT on employees
Greater productivity.Retraining required.Changes in customer relations – more
impersonal yet quicker response.Less personal contact.
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Effects of IT on organisationEffects of IT on organisationDecentralisation possible.Additional departments/jobs may be
created.Fewer staff required.Changes to span of control – narrower
due to fewer staff or wider due to autonomy of staff.
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BM Unit 1 - LO2 69
Learning intentionLearning intention::
To introduce pupils toLEGISLATION that affects information and the storage and retrieval of information.
Success Criteria:To define information and legislation
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Data Protection Act 1998Data Protection Act 1998The Data Protection Act was passed
in 1998, superseding the 1984 Act, which was repealed.
There are eight data protection principles in the Act. However, the new principles are not exactly the same as those in the 1984 Act.
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Main featuresMain featuresPersonal data must be collected only for lawful
purposes.Firms must register what information is heldPersonal data held must be relevant to purpose of
use.Personal data must be accurate and up to date.Personal data must be held no longer than needed.Data subject may ask to see his/her information. Information should be kept safeOrganisations should not use the information other
than the purpose
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Revision and past paper practice
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Learning and Teaching Scotland
Describe the main features of the Data Protection Act 1998. 5 marks
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Command word explanation
DescribeThis command word means to:explain/illustrate/express.
How should you answer: A definition and/or explanation should be given.
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Describe the main features of the Data Protection Act 1998. 5 marks
An organisation can only hold information for a specific lawful purpose.
They must register this purpose with the Data Protection Registrar.
Individuals have a right to access the information held about them.
Compensation may require to be paid if the information is inaccurate.
The information must be accurate (needs description).
The information must be up-to-date.
There must be appropriate security measures in place to safeguard the information.
Information should only be held for as long as necessary.
Also acceptable are the terms adequate and relevant – must be explained well
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Describe the main features of the Data Protection Act 1998. 5 marks
An organisation can only hold information for a specific lawful purpose.
They must register this purpose with the Data Protection Registrar.
Individuals have a right to access the information held about them.
Compensation may require to be paid if the information is inaccurate.
The information must be accurate (needs description).
The information must be up-to-date.
There must be appropriate security measures in place to safeguard the information.
Information should only be held for as long as necessary.
Also acceptable are the terms adequate and relevant – must be explained well
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Command word explanation
DiscussThis command word means to:Debate/examine/confer/talk about – theword infers development of
How should you answer: Negatives and positives should beaddressed in the question
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Question from 2010 paper
Discuss the effects of ICT on an organisation.
5 marks
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Solution Increased productivity for the organisation as more is produced using ICT and
robotic machinery
Increased initial costs – the initial financial costs will be high to install the ICT
Staff training may be required in order that staff fully utilise the ICT
Resistance to the technology by staff
Improved communications should exist both internally and externally
More professional documentation will be produced
The organisation will gain a competitive edge over its rivals who do not fully use ICT
Teleworking will be possible for staff within the organisation as the ICT will exist to allow them to work from home
Points to look at: (Invites positive and negative comments but full marks can be awarded for positive or negative comments only.) Do not accept uses only Financial costs – max 1
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Describe the advantages of e-commerce to an organisation – 5 marks
Taken from 2012 paper
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Mini test
ICT is used to help head office communicate effectively with branches in remote areas of the country. Explain how modern technology can be used to communicate effectively within an organisation.
6 marks – 2008 past paperTime allowed – 9 minutes
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Command word explanation
ExplainGive a detailed response (definition and explanation) as to how/why something may benefit or hinder.
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Solution• Use of shared resources on LAN’s – work can be done by more than one employee atdifferent branches on the same software or file.• Staff can have their own area or could have departmental areas where information is stored.• E-mail – messages can be sent to more than one employee at a time.• Attachments can be sent between employees.• Video-conferencing – branch managers can hold meetings without leaving their office, saves costs of travel and accommodation.• Mobile phones – used by sales person to stay in touch with head office or branches.• Fax machines – information can be faxed from one branch to another.• Internet − used to check company website information.• Powerpoint used for delivering training.• Spreadsheets – used to show charts/graphs and allow for easieranalysis of information.• Word processing – can be used to send letters, memos, notices to employees.• Database – can be used to sort large quantities of information for use by staff.
SAME ID BUT DIFFERENT EXPLANATION GAINS MARKSNO REPETITION OF HOW IT HELPS EFFECTIVE COMMUNICATION
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Type of information
Costs Benefits
Primary
Secondary
Internal
External