1. Implications of Digital Technology for Business and Customers
GCSE Business Communication Systems
Unit 2 – The Business Environment
Implications of Digital Technology for Business and Customers

2. Learning Outcomes Students should be able to:
demonstrate a knowledge and understanding of how digital technology has affected business, in the following areas:
retraining
job displacement
job creation
teleworking 
demonstrate knowledge and understanding of how a business can use the following digital technologies and their implications: 
Radio Frequency Identification (RFID) 
Global Positioning System (GPS) tracking 
contactless payment
evaluate the impact that digital technology has had on business and customers, particularly in relation to: 
security and/or e‐safety 
costs
training
legislation (students should be aware of the contents of the following: Data Protection Act, Copyright, Designs and Patents Act and Computer Misuse Act)
Images © thinkstockphotos.co.uk

3. Digital Technology has Affected Business
Retraining
Job Displacement
Job Creation
Teleworking 
Images © thinkstockphotos.co.uk

4. How a Business can use Digital Technology – RFID
Radio Frequency Identification (RFID)
Uses electromagnetic fields to identify and track tags attached to objects or people
Each tag is a unique identifier of the object
RFID device is scanned to retrieve the information
Business uses
Stock tracking
Restricted access zones
Anti-theft
Images © thinkstockphotos.co.uk

5. How a Business can use Digital Technology – GPS
Global Positioning System (GPS)
Is a satellite navigation system that determines their position anywhere in the world
Business uses
Distribution - track deliveries over land, sea or air
Marketing – linked to geographical location
Human resources – tracking location, breaks of staff eg sales or delivery staff
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6. How a Business can use Digital Technology – Contactless Payment
Contactless payment is a fast way to pay for purchases costing (currently £30 and under, 2017). Contactless payments are becoming increasingly common on a range of devices including:
Pre-paid, debit, charge and credit cards
Wearable devices, such as watches and wristbands
Mobile devices, such as smartphones and tablets
Business uses
Faster transactions/shorter queues
Cost reduction – staffing
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7. Images © thinkstockphotos.co.uk
Security/e-safety
Encryption
Secure site – https/ padlock
Username and password
Biometric Authorisation
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8. Images © thinkstockphotos.co.uk
Costs
Hardware/software
Set up
Maintenance
Updating
Staffing
Recruitment of new staff
Retraining of existing staff
Security
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9. Images © thinkstockphotos.co.uk
Training
Changing and upgrading technology leads to increased staff training and retraining
Whilst there are benefits of having a well trained staff. This training also comes at a financial cost to the business
Stress levels of staff can also be increased as they have to deal with continuous change and retraining
Training methodology may also be introduced as a result of technology e.g. video tutorials
Images © thinkstockphotos.co.uk

10. Images © thinkstockphotos.co.uk
Legislation
Data Protection Act
Customer data must be stored in accordance with the Data Protection Act
Principles:
Data must be kept accurate and up-to-date.
Data must be kept no longer than necessary.
Data must be processed fairly and lawfully.
Data must be held securely.
Data must not be transferred outside the EU.
Data must not be kept longer than necessary.
Data must only be used for the specified purpose.
Data must be adequate and relevant for the intended purpose.
Images © thinkstockphotos.co.uk

11. Images © thinkstockphotos.co.uk
Legislation
Copyright, Designs and Patents Act
Covers:
illegally copying or downloading software
stealing ideas from one company for use in another
using unlicensed software
non-payment of downloaded materials
Images © thinkstockphotos.co.uk

12. Images © thinkstockphotos.co.uk
Legislation
Computer Misuse Act
Covers:
gaining unauthorised access to a computer system
deliberately planting viruses in a computer system
committing computer fraud
using a company computer without permission
Images © thinkstockphotos.co.uk

13. Learning Check Can you:
demonstrate a knowledge and understanding of how digital technology has affected business, in the following areas:
retraining
job displacement
job creation
teleworking 
demonstrate knowledge and understanding of how a business can use the following digital technologies and their implications: 
Radio Frequency Identification (RFID) 
Global Positioning System (GPS) tracking 
contactless payment
evaluate the impact that digital technology has had on business and customers, particularly in relation to: 
security and/or e‐safety 
costs
training
legislation (students should be aware of the contents of the following: Data Protection Act, Copyright, Designs and Patents Act and Computer Misuse Act)
Images © thinkstockphotos.co.uk