1.1.4 Impact of Digital Systems on Organisations

• What should you be aware of regarding digital systems?


  The efficiencies and benefits of digital systems, including advantages and disadvantages.
• What are some office-based digital systems for an organization?

  • Creating electronic documents (letters, presentations, calculations)
  • Collaborating on documents via cloud systems
  • Supporting workflow with management software
  • Using electronic signatures
  • Sharing documents via email
  • Enterprise content management (ECM)
  • Stock management systems
  • Management Information Systems (MIS)
• What is one way to create electronic documents in an office setting?

  Using a word processor to create letters.
• What software can be used for presentations?


  Presentation software.
• How can cloud systems facilitate collaboration on documents?


  They allow users to work together on documents and discuss changes simultaneously.
• What is the purpose of electronic signatures?


  To sign documents in the online world.
• What are the two common types of electronic signatures?


  • Simple electronic signatures (scanned signatures, tick boxes)
  • Enhanced electronic signatures (uniquely linked to the signatory with a private key)
• How can documents be shared via email?


  By transferring documents as email attachments.
• What is the purpose of Enterprise Content Management (ECM)?


  To manage an organization’s documents and unstructured information.
• How do stock management systems help supermarkets?


  They help manage stock levels to prevent shortages and excess inventory.
• What is the process of stock management in supermarkets?


  • Noting stock levels to prevent sell-outs
  • Avoiding over-ordering due to limited storage
  • Using a database to track items sold
  • Scanning barcodes at the POS to update stock information
  • Predicting sales based on various factors
• What does a Management Information System (MIS) do?


  It collects data from multiple online systems and helps make management decisions.
• What can individuals create using consumer digital systems?


  Electronic documents for personal matters.
• What are examples of smart devices?

  • Digital assistants (e.g., Google Home)
  • Smart lightbulbs
  • Smart thermostats
  • Smart doorbells
  • Smart locks
• What are some examples of home streaming services?

  iPlayer, Netflix, Apple Music, Spotify.
• What are the three methods of system conversion?


  • Pilot method
  • Parallel method
  • 'Big bang' method
• What are the benefits of the pilot method in system conversion?


  • Risk reduction and testing
  • Limited impact if issues arise
  • Staff can help train others
  • Focus on resolving specific problems
• What is a disadvantage of the pilot method?


  There isn’t a backup system if things go wrong.
• What are the advantages of the parallel method of system conversion?


  • Users can return to the old system if needed
  • Immediate availability of the new system
  • Outputs can be compared for accuracy
• What is a disadvantage of the parallel method?


  It can be expensive due to the need for additional staff.
• What characterizes the 'big bang' method of system conversion?


  • Immediate use of the new system
  • Cost-effective with shorter implementation time
  • No backup system if the new system fails
• What is a potential risk of the 'big bang' method?


  If the new system fails, there is no backup system available.
• How has digital technology influenced job roles?


  • Increased new job roles in the digital technology sector
  • Job losses in traditional roles due to automation
• What are some examples of new job roles created by digital technology?

  Systems Manager, Database Designer, App Developer.
• What is a drawback of job losses due to new technology?


  Individuals may lose their jobs and need retraining.
• What changes in work patterns have occurred due to digital technology?


  • Remote work options
  • Flexible working hours
  • Collaborative working through cloud systems
• What is the digital divide?


  The gap between populations with full access to technology and those with restricted access.
• What are some factors contributing to the digital divide?


  • Geographic location (urban vs. rural)
  • Education level
  • Socioeconomic status
  • Global industrial development
• What is the significance of retraining and upskilling in the context of emerging technologies?


  It helps individuals adapt to new roles created by technology.
• What are the advantages and disadvantages of Business to Business (B2B) Electronic Data Interchange (EDI)?


  Advantages:

  • Streamlined communication
  • Reduced errors
  • Faster transactions

  
  

  Disadvantages:

  • High initial setup costs
  • Dependence on technology
  • Potential security risks
• What is the digital divide?


  The digital divide refers to the gap between populations with access to technology and those without.
• How will the next billion people come online?


  They will come online using cheap, mobile phones.
• What is the relationship between fixed broadband costs and the poorest countries?


  Fixed broadband is becoming more expensive in the poorest countries.
• What is the need for retraining and upskilling in the context of emerging technologies?


  • People need to undertake new roles.
  • Best candidates often understand traditional roles being replaced.
  • Retraining and upskilling can offer new roles.
• What does B2B stand for in the context of electronic data interchange?


  B2B stands for Business to Business.
• What is Electronic Data Interchange (EDI)?


  EDI is the electronic interchange of business documents between companies in a standard format.
• What documents are typically exchanged in B2B EDI?


  Purchase orders and invoices are typically exchanged.
• What are the advantages of B2B EDI over traditional processes?


  Advantages:

  • Faster order processing
  • Staff can focus on valuable tasks
  • Reduced costs and errors
  • Easier order tracking
  • Environmentally friendly
• What are the disadvantages of B2B EDI?


  Disadvantages:

  • Fewer networking opportunities
  • High induction costs
  • Requires EDI compatibility with other companies
• What is online shopping also known as?

  Online shopping is also known as e-commerce.