GCSE Business

Business Operations

Technological Influence Computer-Aided Manufacturing (CAM)

Definition: Uses computers to operate robots and other
Information and Communications machines in production lines.
Technology (ICT)
Definition: The computing and Advantages:
communications systems that a business Computer-Aided Design (CAD) ☑ Can be linked with CAD ➔ speeds up the whole
might use to exchange information with production process
stakeholders. Definition: Allows designers to produce new products ☑ Measurements easily transferred to manufacturing
using 3D models displayed on computer screens. process
☑ Less scope for error in production ➔ more accurate
How can ICT be used in a Advantages: ➔ allows for standardised quality ➔ greater
Reduce costs and improve quality are the main customer satisfaction ➔ fewer returns
business? benefits, there are a number of different examples: ☑ Used in mass production/flow production ➔ easy to
☑ Speeds up design ➔ simple to edit adjust ➔ speed ➔ cheaper
• Communication ➔ through emails / texts / ☑ Alternative designs can be considered ➔ simple ☑ Fewer workers ➔ lower wage costs ➔ less
word processing ➔ ordering to edit supervision
• Marketing ➔ websites / “spam” ☑ Producing drawings of finished goods and parts /
• Stock control / customer details ➔ no need to build models (prototypes) nor finished Disadvantages:
databases ➔ tills ➔ barcodes goods ➔ reduce costs ☒ Cost of setting up ➔ machinery ➔ training of
• Record keeping ➔ and analysis / ☑ To view finished goods before manufacture to workers ➔ possible redundancy payments to
spreadsheets ➔ finance ➔ online banking find best design ➔ improves quality and accuracy unskilled workers
• Selling ➔ online auction sites of the design ☒ Reputation of business if making redundancies
• Research ➔ using the internet ☑ Testing ➔ materials and design to reduce errors
and reduce costs
☑ Linked to CAM to speed up production
Why would workers be concerned by the
Disadvantages:
☒ Cost of setting up ➔ machinery ➔ training of
introduction of new technology?
workers
• May lose jobs ➔ technology may replace need for
workers / changes require fewer workers
• Promotion opportunities may be reduced ➔ with
3D smaller workforce
• Lower morale ➔ lack of job security / promotion
opportunities
• Fewer hours ➔ reduced pay
• Need to familiarise with technology ➔ need to be
3D Printing trained ➔ may need to work harder
• Health risks ➔ technology could be dangerous
Definition: Products and components can • New skills may be gained ➔ which may lead to
be produced using 3D printers working from higher pay ➔ greater opportunities
computer-drawn designs.
 GCSE Business
Business Operations
E-Commerce
Definition: Involves the buying and selling of
Impact of technology on customers goods and services via the internet. M-Commerce
Definition: Mobile commerce involves buying goods
• Better service ➔ as more work done by machines and services through handheld mobile devices such as
• Lower prices ➔ as lower total wage bill £ smartphones.
• Inferior service ➔ because of lower morale of £

£
workers
• Higher prices ➔ to pay cost of machines Benefits of creating customer records
• No effect ➔ as customers do not appreciate
differences in service using a database

• More effective data handling ➔ sort and search for

Apps (Applications) customer records quickly ➔ inputting the data
Purchasing materials using • It is easy to make changes ➔ save your work and
Definition: Pieces of software designed for a specific print it out again
purpose and for use on smartphones and tablets. e-commerce [buying on the internet] • Can create reports ➔ print out records and store
hard copies
Advantages: • Can create mail merge ➔ speed up sending
Social Media ☑ Can see images of products ➔ can compare correspondence via letters
many products • Marketing ➔ creating customer profile and loyalty
Definition: Involves websites and applications which ☑ Prices of many sellers can be compared ➔ scheme
allow users to create and share information, ideas on one computer
and interests with other individuals, communities and ☑ No need to travel to suppliers ➔ so costs
networks. saved
☑ Can pay online ➔ may save bank charges
☑ May be cheaper ➔ because seller costs
Video Conferencing lower
☑ Wider choice ➔ from many sellers
Definition: The use of computers to provide a video ☑ Order 24/7 ➔ more convenient for business
link between two or more people. owners
Why would customers be concerned by
Disadvantages:
☒ Goods not inspected ➔ to see if goods meet the introduction of new technology?
the need
☒ Images may be misleading ➔ so quality The customers:
difficult to judge • Delays in service ➔ consequences of this
☒ Delays ➔ in receiving goods ➔ if goods need • Better service ➔ as more work done by machines
to be returned • Lower prices ➔ as lower total wage bill for the
☒ Possibility of fraud ➔ if goods not sent ➔ business
Web Chat when paying • Inferior service ➔ because of lower morale of
☒ Technical issues ➔ e.g. reliability, speed workers
Definition: Simple means of communicating in real ☒ Convenience/easier ➔ than possibly having • Higher prices ➔ to pay cost of machines
time using only web browsers such as Firefox or to drive miles to purchase the item • No effect ➔ as customers do not appreciate
Internet Explorer. differences in service