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Page 12-1
CHAPTER 12
REGULATING AND MANAGING
TECHNOLOGY
INTRODUCTION
The rapid advances in technology in just the past few decades have radically changed
how business operates. More information than ever before—about individuals,
organizations, and governments—is located on servers or in “the cloud” and businesses
increasingly include technology in their daily operations through e-business, robotics,
artificial intelligence and much more. These extraordinary developments challenge
businesses and governments to manage information while protecting both data security
and individuals’ privacy. What actions have governments and businesses taken, and what
are the ethical implications of their actions?
PREVIEW CASES
Cybersecurity Breaches at Major U.S. Retailers and Sally the Salad Robot
Who should protect people from attacks on the theft of their personal data, as shown in
the example above? How can technology users guard against the inappropriate use of
personal information? Are jobs protected as technology takes over more and more
activities in the workplace? What role do governments or businesses need to play to
protecting individuals’ privacy and job security?
CHAPTER OUTLINE
I. GOVERNMENT REGULATION OF TECHNOLOGY
Teaching Tip: Preview Case
The introductory case examples touch on only a few of the many social,
ethical and legal issues that arise from regulating and managing
technology. Issues of who should be entrusted to provide oversight of
technology are a rich area for in-class debate or research.
Technological breakthroughs occur every day. The following videos show
some of the recent breakthroughs, yet students could likely locate even
more recent discoveries:
https://www.youtube.com/watch?v=H3_fy3TOR5c and
https://www.youtube.com/watch?v=u3vdgJVyKeg.
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II. THE ROLE OF TECHNOLOGY IN BUSINESS
A. Access to Stakeholders’ Personal Information
III. E-BUSINESS
IV. THE USE OF ROBOTS AND ARTIFICIAL INTELLIGENCE AT WORK
Teaching Tip: The Right to be Forgotten
Student could select opposing sides of the debate over whether users
have the right to “be forgotten,” as now permitted in Europe. What are
the pros and cons of this controversial issue?
Teaching Tip: Net Neutrality
Net Neutrality, especially as being discussed in the United States and
shown in Exhibit 12.A, is another strong candidate for a student debate
on this topic.
Teaching Tip: Personal Information
Technological advances occur at a rapid pace so students may be
challenged to anticipate the next advancement and the implications this
change may have on the protection of their personal information.
Also, students are become more and more comfortable with public
access to information through social media, so is the protection of
personal information still a major concern for students or is the lack of
privacy just taken for granted in today’s technology-laden world?
Protection of personal information is a global issue, as evident in this
report from South Africa:
https://www.youtube.com/watch?v=7N7qKy3gf0o.
Teaching Tip: Understanding Artificial Intelligence
The following video provides an explanation of the developing role of
AI in our lives, from the viewpoints of those engaged in its
development: https://www.youtube.com/watch?v=GboOXAjGevA.
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V. THE CHIEF INFORMATION, SECURITY, TECHNOLOGY OFFICER
VI. CYBERCRIME – A THREAT TO ORGANIZATIONS AND THE PUBLIC
A. Exploring Why Hackers Hack
B. Costs of Cybercrime
VII. BUSINESS RESPONSES TO INVASIONS OF INFORMATION
SECURITY
VIII. GOVERNMENT EFFORTS TO COMBAT CYBERCRIME
GETTING STARTED
KEY LEARNING OBJECTIVES
LO 12-1:Identifying the various interventions undertaken by governments to
regulate technology.
Teaching Tip: Computer Hackers
This is another controversial issue ripe for debate or discussion. Should
computer hackers be punished as intellectual robbers or trespassers, or
should all information be freely available to the public? What
information should be protected, if any, and who should be responsible
for information security? What role do white hatters or grey hatters
play in today’s technology world and are they critical allies for
businesses or potential criminals that should face prosecution? Is some
hacking good for society but other hacking is not, and who decides?
Teaching Tip: Chief Information Officer
It might be helpful for students to invite a local company’s chief
information, security or information officer to class to talk on the issues
she or he faces each day on the job. What new challenges have
emerged for this company executive? What solutions to knotty
problems have been achieved?
Page 12-5
Copyright © 2020 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the
prior written consent of McGraw-Hill Education.
Given the serious and costly threats of cybercrime, businesses have created
comprehensive defenses, cutting across all organizational functions and supported by the
organization’s executive leadership. Experts encourage companies to develop incident-
responses plans against cyberattacks. International and national government groups have
attacked cybercrime through regulatory and voluntary efforts. Additional coordinated
efforts are needed and must be in harmony with businesses’ anti-cybercrime efforts.
KEY TERMS
artificial intelligence
autonomous automobile
big data
chief information officer (CIO)
cybercrime
Digital Millennium Copyright Act
e-business
General Data Protection Regulation
hackers
intellectual property
net neutrality
omnichannel
ransomware attacks
right to be forgotten
software piracy
INTERNET RESOURCES
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www.bsa.org Business Software Alliance
www.cio.com Chief Information Officer professional website
www.ecommercetimes.com E-Commerce Times
hackercombat.com Hacker Combat Community
DISCUSSION CASE
THE ARRIVAL OF AUTONOMOUS CARS—BRIGHT FUTURE OR LOOMING
THREAT?
Discussion Questions
1. What are the benefits and costs, or advantages and disadvantages, of
autonomous driving technology to various corporate stakeholders and society?
Copyright © 2020 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the
prior written consent of McGraw-Hill Education.
