Chapter 12 - Digital Technologies Flashcards
What is disruptive technology?
Relates to instances where technology is used to fundamentally change and ‘disrupt’ the existing business model in an industry
What is Fintech?
Financial Technology
What are the advantages of using Fintech?
Better use of data
Frictionless customer experience using elements suchs as smartphone apps to provide a broad and efficient range of services
More personlisation of product/service
Lack of physical presence
Access to cheap capital to fund growth
What are the five emerging trends should business leaders focus on in developing digital strategies?
Internet of me
Outcome economy
Platform (R)evloution
Intelligent enterprise
Workforce reimagined
What is the internet of me?
Users placed at centre of digital experience through apps and services being personalised
What is Platform (r)evolution?
Global platforms are becoming easier to establish and cheaper to run. The rate of evolution is only going to increase
What are the three myths about digital transformation?
Organisations that are not digital already have missed their chance
Becoming a digital business is an administrative exercise that focusses on achieving operational efficiencies
Digital transformation can be successfully achieved just by creating a digital business unit headed up the a Chief Digital Officer
What is Artifical Intelligence?
Area of computer science that emphasises the creation of intelligent machines that work and react like human beings
What is machine learning?
Detect patterns and learn how to make predictions and recommendations by processing data and experiences
What are the three major types of machine learning?
Supervised learning
Unsupervised learning
Reinforcement learning
What is supervised learning
Algorithm uses training data and feedback from humans to learn the relationships of given inputs to given outputs.
What are the three steps to how supervised learning works?
- Human labels every element of input data and defines output variable
- Algorithm trained on the data to find the connection
- Once training is complete then the algorithm is applied to new data
What is unsupervised learning?
Algorithm interrogates input data without being given any explicit output variable
What are the three steps to using unsupervised learning?
- Algorithm receives unlabelled data
- Algorithm then infers some sort of structure on the data
- Algorithm identifies groups of data that exhibit similar behaviour
What is reinforcement learning?
Algorithm learns to perform a task by trying to maximise the rewards it receives for the actions it takes
What are the three steps to reinforcement learning?
- Algorithm takes an action on the environment
- Receives a reward if the action taken brings the machine a step closer to its objective
- Algorithm optimises for the best series of actions by correcting itself over time
What are the benefits of cloud and mobile computing?
Store and share data
On demand self service
Flexibility
Collaboration
More competitive
Easier scaling
Reduced maintenance
Back-ups
Disaster recovery
Better security
What are the risks of cloud and mobile computing?
Reliance on the service provider
Regulatory risks
Unauthorised access of business and customer data
What is the internet of things?
inter connection via the internet of computing devices embedded in everyday objects, enabling them to send and receive data
What is big data?
Term for a collection of data which is so large that is becomes difficult to store and process using traditional databases and data processing applications
What are some examples of data that inputs into Big Data systems?
Social network traffic
Web server logs
Traffic flow information
GPS tracking
What are the 3V’s used to describe big data?
Volume
Variety
Velocity
What are the benefits of big data?
Driving innovation
Gaining competitive advantage
Improving productivity
What is blockchain?
Decentralised, distributed and public digital leader that is used to record transactions across many computers so that the record cannot be altered retroactively
How can blockchain enhance the accounting profession?
Reducing costs of maintaining and reconciling ledgers
Providing absolute certainty over the ownership and history of assets
Helping accountants gain clarity over available resources
Freeing up resources to concentrate on planning and valuation, rather than record-keeping
What is data visualisation?
General terms that describes any attempt to take data and help people to understand it better by presenting it in a visual context
What is 3D printing?
Three-dimensional solid objects created from digital files.
What are the benefits of 3D printing?
Reduced waste
Eliminate transport costs
Less environmental impact
Shorter lead times
Greater customisation
Increased profitability
Social benefits
What are the problems associated with 3D printing?
Cost
Quality Concerns
Lack of skills
Legal concerns
Environmental impact
Ethical concerns
What is process automation?
Refers to the use of digital technology to perform a process or processes to accomplish a workflow or function
What are the benefits of process automation?
Productivity
Accuracy
Consistency
Audit trail
Flexibility
Staff retention
Availability
Cost savings
What are the challenges of process automation?
Lack of integration in IT systems
Lack of standardisation
Reluctance to reduce headcount
Cost
Lack of skills
