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Service Request Sr-Kf-013 Paper

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Service Request SR-kf-013 Paper
Kudler Fine Foods is a gourmet food shop design to be a one stop shop for cooking ingredients and tools. The company is interested in developing a system to track customer purchases through a frequent shopper program. Customers will be awarded points toward free item and discounts. The program will provide data gathered from purchasing behaviors to help streamline processes, satisfy customers, develop a closer relationship with each member, and foster a stable platform for efficiency in operations. In this paper I will discuss the potential legal, ethical, and specific costs related to the issues of developing a frequent shopper program. Finally, I will discuss how this information system has an effect on the organizational structure.
The loyalty rewards program has many benefits to both the customer and the company; however, there are legal concerns that must be addressed. Membership will begin on a sign-up basis. Customers who want a membership will provide personal information and be subjected to legal terms, privacy agreements, and security policies. Sensitive data is collected at different times in conjunction with loyalty programs. The first instance is created during the loyalty card application. The second instance develops when purchases are recorded, and finally when the spending histories are recorded; creating a consumer profile. Kudler has illustrated what information it will collect in the Database Diagram – PNG under customer table. This information includes Full Name, address, phone number, anniversary, e-mail address, and date of birth. Class action lawsuits can develop if a customer believes his or her privacy has been compromised. Cost for legal representation, governance fines, and legal awards can reach millions of dollars in penalties.
Ethical concerns can be an issue, but asking customers to provide

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