Identify the most significant new business risks facing Harley-Davidson as a result of integrating

eBusiness into its supply-chain management system and by allowing suppliers to have access to
the company’s Intranet.

1. The use of internet as a tool for communication between the suppliers and partners increases
the possibility of hackers to enter into the system unknowingly.
2. Suppliers’ systems may not be compatible with Harley Davidson’s system due to lack of
resources. Suppliers may not have enough people with knowledge and skills to operate the
system that Harley-Davidson requires. The suppliers’ poor systems may lack integrity and
quality. These circumstances might give inaccurate information to Harley Davidson.
3. Since Harley-Davidson provides access of information to the suppliers, they might take
advantage of this to manipulate the system thus increasing the possibility of fraud.

For each risk you identified in question number one above, identify a control Harley-Davidson might
have implemented to mitigate that risk.

1. Harley-Davidson should install advance security measures to protect the system from
unauthorized access that may damage the system’s integrity.
2. Harley-Davidson should require the suppliers to stay updated with the current technology by
investing on the software and hardware that the system requires.
3. Harley-Davidson should make the supplier discard the information they have used already or to
keep it secured.

Given the technology linkages between business partners in eBusiness systems, how might an
eBusiness system like Harley-Davidson’s increase business risks for its business partners?

1. Since Harley-Davidson requires a system different with other companies, businesses who may
want to partner with Harley-Davidson might think that working with the firm maybe costly and
provide less return.
2. Being chosen as a key supplier of Harley-Davidson may tend the suppliers sacrifice their business
relationship with their own customers because they might just focus on satisfying Harley-
Davidson thinking that being chosen as a key supplier is a privilege they can’t lose.
3. A key supplier on the other point of view is also a key customer of Harley-Davidson. High
dependence of these key suppliers on Harley-Davidson may make them lose their freedom on
making business decisions and may be only influenced by Harley-Davidson.
Research the SysTrust and WebTrust services from the information on the following web page
(or search the Internet or within the AICPA’s Information Technology Center Web site for “Trust
Services”): http://infotech.aicpa.org. Describe how WebTrust services differ from SysTrust
services. Describe how they are related.

What Trust Services principles are examined in a SysTrust engagement? Describe the role of the
criteria when evaluating these principles in a SysTrust engagement.

When providing assurance services that result in the expression of a WebTrust or SysTrust
opinion, a CPA/practitioner must follow the performance and reporting standards contained in
Statement of Standards for Attestation Engagements (SAAE) No. 10, Attestation Standards:
Revision and Recodification, as amended.

(source: https://www.aicpa.org/research/standards/preclarity-ssae.html)

According to the AICPA Web site indicated in question number four, what professional
standards must a CPA follow when providing assurance services that result in the expression of a
WebTrust or SysTrust opinion?

Four Trust Services Principles to evaluate whether a system is reliable:

1. Availability - Determines whether the system is available for operation and used as
committed or agreed.

2. Security - Determines whether the system is protected against unauthorized access (physical
and logical).

3. Processing Integrity - Determines whether the system processing is complete, timely and
authorized.

4. Confidentiality - Determines whether information designated as confidential is protected as

committed or agreed.

(source: http://infotech.aicpa.org)
 HARLEY-DAVIDSON, INC.
CASE STUDY

Submitted to:

Prof. Kristoffer Jayson C. Lazaro, CPA, MBM, MSA (units)

Submitted By:

Dela Rueda, Rominna G.

Pasco, Jascha Alliah A.

MARCH 11, 2019