ICT in Business

Question 1

Define Barcodes

Answer 1

Series of light and dark bars of different widths

with a code no. printed underneath

Question 2

4 things stores in barcodes

Answer 2

Country of origin code
Manufacturer code
Product code
Check Digit

Question 3

Advantages of Barcodes

Answer 3

• Faster to enter, read at any angle
• More accuracy, eliminates typing errors
• Low printing costs
• Free staff to do other tasks, do not have to manually price goods

Question 4

Disadvantages

Answer 4

• Only used input of no.
• Equipment expensive
• Corrupt barcodes cause delays

Question 5

5 Stages of JIT

Answer 5

• Code matched on stock database.
• One deducted from stock database / Item sold decreases record by 1. • checked / matched / compared against reorder level.
• If below level automatic request sent to supplier. (computer generated)
• Stock delivered
• Stock database updated.

Question 6

Advantages of JIT

Answer 6

• Smaller storage / warehouses needed as not much stock held
• Store is better able to respond to changing demand
• Easier to cope with several small deliveries (less staff) than 1 big one. • Do not run out of fast selling items
• Less risk of stock being out of date/waste

Question 7

Disadvantages of JIT

Answer 7

• Expensive to introduce/set up
  • More admin staff as store responsible for own ordering
  • True stock may differ because of theft, etc.
  • Cannot respond to unusual or sudden demand
  • Disruption to transport
  • Communication failure if qualified (not just ‘internet down / internet failure’)

Question 8

Define CAD

Answer 8

Computer Aided Design

CAD designs an object using a computer and CAM makes the object using a computer guided machine.

Question 9

Features of CAD

Answer 9

• Hatching/rendering: Allows the architect to try out different finishes on the building to see the aesthetic affect/choose the best.
• Wire drawing: Outline design (perspective) requires less processing to display/ permits rapid previewing.
• Walkthrough: allows the architect to see what the inside of the building will look like.
• Rotate: allows the architect to see the design from all angles.

Question 10

Advantages of CAD

Answer 10

• Can be more accurate than hand-drawn designs - it reduces human
  error
  - You can edit ideas, which makes it easier and cheaper to modify
  your design as you go along
  - Design can be sent electronically elsewhere instantly
  - A section of a design can be copied and pasted many times
  - Can be zoomed in for more detailed sections
  - Others could refer to hatching, walkthrough, etc
  - No physical prototype so no wastage

Question 11

Disadvantages of CAD

Answer 11

• The software itself can be expensive so initial costs are high.
• Staff need to be trained how to use the software, which also adds to
  costs.
  - Requires a powerful PC.

Question 12

Define CAM

Answer 12

Computer Aided Machinery

- CAM is the use of computers to control the manufacturing process using a design created in a CAD package.

Question 13

Advantages of CAM

Answer 13

• Cheaper manufacturer, automatic so costs reduced
• Faster design to manufacturer time
• Better quality, no human mistakes, no involvement
• Lower wages, less human involvement, produce cheaper
• Small quantities usually uneconomical, customers design made cheaply

Question 14

Electronic Funds Transfer at Point Of Sale

Answer 14

• is the hardware and software needed to automate the checkout process
• is moving money (electronically) from one account to another e.g. from a customer account to pay for goods purchased

Question 15

Company advantage of EFTPOS

Answer 15

• Money taken straight out of customer account so the company is guaranteed it
• Less need for physical security as not have to carry as much cash

Question 16

Customer advantages of EFTPOS

Answer 16

• Gives the customer many other services i.e. cashback, topping up your phone,
  - Allows a variety of payment methods, allows
• special offers – loyalty cards, BOGOF, vouchers
  - Less need for physical security as not have to carry as much cash. NOT twice.

Question 17

Commerce Advantages to company

Answer 17

• 24/7
• Low start up costs
• Save money rental space
• Easier update/cheaper changing the website than catalogue
• Global marketplace
• Gain custom by suggesting other items

Question 18

Ecommerce disavantage to company

Answer 18

• Need good customer service

Question 19

Commerce advantage to customer

Answer 19

• 24/7
• Easier to find info/ search engines
• Greater choice
• Save travel costs
• Empowers disables customers
• Price comparison
• Read reviews
• Online discounts
• Auto produce shopping list/ fav items saved

Question 20

Commerce disadvantages of customers

Answer 20

• Card clones
• Website crashes/ pay twice
• Fake websites/ steal identity
• Cant physically touch items
• Returns can be complicated and time consuming

Question 21

Advantages of EPOS

Answer 21

• Need for less staff as no need to put price on each item
  - Money taken straight out of customer account so the company is
  guaranteed it
  - Less need for physical security as not have to carry as much cash
  - Allows ‘just in time’, better stock control, (less waste)
  - Less time in queues so happier customers and greater throughput
  - Better management statistics / monitoring staff e.g. checkout
  performance
  - Allows better targeting
  - Automatic re-ordering
  - Attract / retain customers by allowing additional services e.g. cashback,
  topping up your phone, allows a variety of payment methods, allows special offers – loyalty cards, BOGOF, vouchers
  5