Information Technology Reference
In-Depth Information
Electronic Funds Transfer
Electronic funds transfer (EFT)
is a system of transferring money from one bank account
directly to another without any paper money changing hands. It is used for both credit
transfers, such as payroll payments, and for debit transfers, such as mortgage payments. The
benefits of EFT include reduced administrative costs, increased efficiency, simplified book-
keeping, and greater security. One of the most widely used EFT programs is direct deposit,
which deposits employee payroll checks directly into the designated bank accounts. The two
primary components of EFT, wire transfer and automated clearing house, are summarized
in Table 6.4.
electronic funds transfer (EFT)
A system of transferring money
from one bank account directly to
another without any paper money
changing hands.
Table 6.4
ACH Payments
Wire Transfers
Comparison of ACH Payments
and Wire Transfers
When does payment clear?
Overnight
Immediately
Can payment be canceled?
Yes
No
Is there a guarantee of sufficient
funds?
No
Yes
What is the approximate cost
per transaction?
$.25
$10-$40
Distance Learning
With over 250,000 students, the University of Phoenix is the largest for-profit school in the
U.S. The school offers both distance learning and campus-based educational programs. In
the distance learning program, students complete coursework through electronic forums.
They can download lectures and assignments from a student Web site and study them at a
time and place most convenient to them. They can develop teamwork skills through collab-
oration on team learning assignments.
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Often called
distance learning
or cyberclasses, such electronic classes are likely to be the
wave of the future. With distance learning software and systems, instructors can easily create
course home pages on the Internet. Students can access the course syllabus and instructor
notes on the Web page. Electronic mailing lists allow students and the instructor to e-mail
one another for homework assignments, questions, or comments about material presented
in the course. It is also possible to form chat groups so that students can work together as a
“virtual team,” which meets electronically to complete a group project.
distance learning
The use of telecommunications to
extend the classroom.
Shared Workspace
Collaboration is much easier when all participants can be assembled in one place at the same
time. However, in today's fast-paced environment with people resources spread worldwide,
it is seldom possible to create this ideal situation. A
shared workspace
is a common work
area where authorized project members and colleagues can share documents, issues, models,
schedules, spreadsheets, photos, and all forms of information to keep each other current on
the status of projects or topics of common interest. This reduces time and geographical
barriers and makes it easier to collaboratively create, organize, share, and manage information.
The U.S. Marine Corps migrated many of their administrative tasks that involved the
e-mail exchange of Microsoft Office Word and Excel documents to a shared workspace to
collect the necessary information and make it available to those who need to see it. In
addition, the use of the shared workspace has considerably reduced the need for Marines to
leave Quantico for meetings at the Pentagon, thus decreasing travel costs and time away
from the base.
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shared workspace
A common work area where
authorized project members and
colleagues can share documents,
issues, models, schedules,
spreadsheets, photos, and all forms
of information to keep each other
current on the status of projects or
topics of common interest.
