HC1041 IT Impact on Business: Trip Advisor Assessment Answer
IT and Business
The main purpose of this report is to provide an idea about the impact of It on business. IT plays a very important role in every organization’s success because every operation and process need automation. With the help of It, operations become smooth and flexible. In this report, there is a detailed description of the needs and importance of IT for TripAdvisor. TripAdvisor is an American website that contains many reviews of the customers related to the restaurants, accommodation, hotel, and travel related content. There are different suggestions and travel blogs as well. It has headquarters in Needham, Massachusetts. It is one of the largest social travel websites all around the world. TripAdvisor is a user-focused website and it is totally free to the users and supported by hotel booking facility and an advertising model. It was started by Stephen Kaufer, Langley Steinert, Nick Shanny, and Thomas Palka in February 2000.
Need for IT
In this report, the travel industry is used to describe the importance of IT. In this report TripAdvisor has been selected as the organization and case study of the organization is used for showing the importance of IT on business. TripAdvisor has its own website that helps the customers to post the reviews and see the same. TripAdvisor needs IT in a very broad way as its all about the internet reviews that it provides to the customers as well as online booking facility. They must make their website up to the mark without any bugs (Jørgensen, 2016). TripAdvisor should make their website more attractive and interesting so that it attracts more customers. There should be some filters on the website as well that can report the fake reviews. There is a booking facility available on the website but still, many people do not use this, so it needs to boost up the services by doing proper advertisement.
Importance of IT for business survival
The scenario has been totally changed and the dependency on IT is increasing day by day for both the customers as well as on business (Lee & Joshi, 2016). IT helps an organization to create a strong communication inside and outside the organization and resolve complex issues in a simple way. TripAdvisor uses adopted advance cyber computing technologies for the business operations to make effective outcomes and eliminate all the complexities in the business (Soliha, 2010). It helped the organization in creating a high impact on the working process of the organization. It also assists TripAdvisor in providing scope for creating effective plans and analyze data for getting high growth. Information Technology is considered as the backbone for TripAdvisor as it helps in management, planning and adverting the services of the organization. It also helps in attaining the optimum growth level and assist in the long run. There are many factors that play an important role in the success of the business-like advertisement, sales, planning, and monitoring of data. The effective use of technology can help TripAdvisor in increase market shares, sales, competitiveness and control expenses. This process is known as digitalization and it provides encouragement in business. There are some other services of IT that help TripAdvisor like application deployment, payroll management, cloud computing, and application. In this organization, Information technology is applied on the basis of available resources, financial planning and training, and development. IT enables the reach of the services of TripAdvisor to a large population with high flexibility and convenience. People can access to the services of the organization irrespective of their location and timings (Rubio Gil, Jiménez Barandalla & Mercado Idoeta, 2017).
The requirement to apply IT
For the application of IT, it is important for understanding the needs of the organization and focus on cost planning. It helps in knowing the budget that can be used in setting up IT. The management of TripAdvisor has to design the process first and then implement the same because 30% of the costing of IT application is related to the cyber computing process as well as the installation of technological systems. Afterward, employees are directed to involve in the activities to set up the automation process. It enables the organization to create training and development department so undertake different pieces of training for adapting the technological changes. There are different software's available that assist in making training more effective (Kim & Sin, 2018).
Usage of IT by TripAdvisor
TripAdvisor uses It in its all the operations and it operates its website and application with the help of IT only. TripAdvisor uses a different type of software for maintaining its operations in an effective manner. There are employees that take help of information technology in getting many pieces of training and maintaining their internal systems for operations management, payroll management and human resource management (Zhu & Wang, 2013). They use it in clear communication so that there will be no confusion. TripAdvisor provides services through its website and mobile application, so IT plays a very important role in operating the business. There are external users of IT as well as customers. Customers get the services by the websites and make bookings online, so IT helps them in fulfilling their needs and requirements. There is a proper team that maintains the website and application so that they can ensure the perfection in the website as well as no bug in any of the function (Singh, 2016). The main usage of IT by the TripAdvisor would be in its online sales. This will help clients to book their tickets through the online portal and also be useful to resolve their issues upfront and instantly.
Benefits and advantages of IT
Different benefits and advantages of IT in business are that it helps in generating high revenues because of the high flexibility. TripAdvisor does not have a physical existence as it only provides the services on the web or with the help of internet. It enables the user to get the services at any time from any corner of the world as they only need internet services to book ticket for the same. It helps in increasing the reach to the people and thereon it results in high revenues. It also leads to cost reduction as IT helps in making each process so simpler and easier (Kitone & Omieno, 2013). Earlier every work was handled manually but now with the increase in automation, it becomes easy as well cheap. IT also helps in improving the training process in the organization by making initiate online training programs. IT streamlines the communication process of the organization and enhance the communication internally as well as externally. Information technology safeguards the organization's confidential information for a long time. IT enables the user to store, share and backup the files for future use and to protect the information from unauthorized people (Tepavčević, Blešić & Bradić, 2018). Therefore, with the ramified changes in the economy, by using the advanced technologies and IT tool, Trip Advisor could easily strengthen the overall outcomes of the process by setting up automation.
Risks of IT
There is a very high level of risk that IT can bring to TripAdvisor. Usage of IT is based on the automation process that sometimes cannot be controlled by human beings. IT involves the risk of privacy, security, and confidentiality (Wang, 2014). There was an incident that happened in 2014 when unauthorized charges got deducted from Customer’s credit card. It was declared that information of credit card has been exposed for 880,000 customers and email addressed were encrypted for 560,000 customers. This data breach has impacted 1.4 million users and TripAdvisor then provided Experian's ProtectMyId Alert services to its customers for one year free if cost. So, such incidents are very risky and possess the worst impacts (Spiekermann & Korunovska, 2014). There are many hackers that misuse customer’s data and take advantage out of it. Sometimes there are people that enter fake reviews and misguide the other users so there should be a proper verification process for the fake users. TripAdvisor must use the secure network and IT system that can safeguard customers as well as the organization’s data. There are many organizations that also suffered from similar incidents, so TripAdvisor must ensure all the customers to safeguard their confidential data in the best possible manner. The main risk of the business IT process in TripAdvisor would the security data breach. This may lead to theft of the personal information of the clients and any ill-intentioned user may use this data for his personal benefit to earn money.
Ways to maintain and monitor IT by TripAdvisor
There are different ways that can help in maintaining and monitoring the IT system in an organization. Its issues are the most dangerous for the organization as it involved the confidential data of the customer's and the organization. It is important to adopt these measures so that there can be a proper check on the involvement of IT in the organizational operations. TripAdvisor should apply additional security ensures so that they can easily protect the customers. It must include working with some security experts and with law enforcement for investigating the issues. TripAdvisor should improve the intrusion detection, security tools, firewalls and prevention systems. While making a payment, the website saves the payment details of the customer's so TripAdvisor should eliminate the need for storing payment details in the system for safety purpose (Gupta, 2010). However, by hiring more than 20 IT experts will be the best process to set up the proper monitoring of the IT functioning in Trip Advisor. This will strengthen the overall outcomes in an effective manner. This newly IT expert in TripAdvisor will keep the coverage of the IT issues and discrepancies in the system and will be available 24* 7 hours to resolve these problems.
After the overall research, it has been concluded that IT plays a very major role in an organization by fulfilling some major aspects like quality, productivity, , and value. There is an era of internet where people are using the the internet for each small task so almost every business is taking benefit because of IT. It becomes easier for organizations to face competition in the market by upgrading their IT system as it helps in testing, designing, debugging and prototyping. It also helpshelps in training and development because there is a trend of online training programs that proved to be very effective and efficient in enhancing the knowledge of the employees. Therefore, it could be inferred that in order to strengthen the business functioning and communication channel in trip Advisor Company, there is a a need to implicate the advance cyber computing enterprises resources planning in the business process. It will set automation in various process and lower down the business costing as well.