This case analysis report is about the IT security problems that Owen Richel, the Chief Security Officer of TJX should consider to improve by analyzing some security issues that TJX had faced during the 2005-2007 database intrusion. As technology advances, companies are facing some challenges regarding information privacy. “Information privacy concerns the legal right or general expectation of individuals, groups, or institutions to determine for themselves when, and to what extent, information about them is communicated to others.” (Lecture notes) One of the privacy problems includes unauthorized access, which violates the laws and company’s policies, can limit a person to ...view middle of the document...
Financial institutions provide banking services to customers and they definitely want to people to utilize their services (using debit card and credit card), but at the same time, with less risks. They also cooperate with organizations to provide payment approvals when a customer uses his/her cards to shop. The intrusion brought them law suits and complaints from the customers, which caused them time and money to fix the situation.
Other stakeholders include the shareholders of the company. Shareholders of TJX would want to maximize the profit that is being generated. All costs and expenses are the major consideration that the management of the company takes into account for. From their perspectives, they would want to keep the expenses as low as possible to avoid making losses. Since the cost of information security programs can cost a lot, shareholders could easily neglect its significance.
Role of Information Technology
Information technology plays an important role in TJX because the technological breach had affected the performance of the company, its consumers, banks, and credit card companies greatly. It is essential for keeping its customer personal information safely secured. TJX used the “Framingham system” or the “Watford system” to encrypt and store customers personal information, payment cards, cheques, and merchandise return information. They do so in order to prevent computer intrusions. Without these systems, customers’ cards information would be exposed to the risk of being stolen and unauthorized access. Wireless handheld devices, cash registers, and store’s computers are technologies used in store. They are needed for checking and updating its inventory in stores, performing payment process, and recording daily sales report and employees work schedules. In store kiosks are also one of the technologies that TJX uses that allows people to check the products’ information such as price. People can also use them to browse for clothing pieces they are interested in and mix and match. Basically, technology has been surrounding TJX and become its part.
Information technology also plays a major role in the retail industry in general. In fact, it has become a vital and integral part of every business. They need information technology for its daily operations, communication, inventory management, data management, and customer relationship management. From the in-store perspective, cash registers, hand-held price-checking devices, and store computers are all part of technology. Information technology allows store managers and their subordinates to keep track of its sales performance, inventory levels, and to perform sales payment transactions. It grants greater ease for them to operate. Within the offices of TJX, information technology helps to collect, store, and analyze data such as sales report, cost and expenses, productivity levels, staff information, etc. Aside from that, email, live chat systems,...