Tjx Case Study
Communications of the Association for Information Systems
Volume 23 | Number 1 Article 31
11-1-2008
Security Breach: The Case of TJX Companies, Inc.
William Xu
Carleton University, wxu3@connect.carleton.ca
Gerald Grant
Carleton University
Hai Nguyen
Carleton University
Xianyi Dai
Carleton University
Recommended Citation
Xu, William; Grant, Gerald; Nguyen, Hai; and Dai, Xianyi (2008) "Security Breach: The Case of TJX Companies, Inc.," Communications of the Association for Information Systems: Vol. 23, Article 31. Available at: http://aisel.aisnet.org/cais/vol23/iss1/31
This material is brought to you by the Journals at AIS Electronic Library (AISeL). It has been accepted for inclusion in Communications of the Association for Information Systems by an authorized administrator of AIS Electronic Library (AISeL). For more information, please contact elibrary@aisnet.org.
Security Breach: The Case of TJX Companies, Inc.
William Xu Gerald Grant Hai Nguyen Xianyi Dai Carleton University, Sprott School of Business wxu3@connect.carleton.ca
TJX Companies Inc. is a leading off-price apparel and home fashions retailer with headquarters situated in the United States. In late 2006, the company discovered it was victim to a massive security breach which compromised millions of customer records. Despite the internal exchanges within the IT department concerning the upgrade of their wireless security standard protocol, the company opted for cost savings rather than increased spending. As the company financials took a hit, the company was faced with pending lawsuits from credit card companies and affected customers; government scrutiny of IT security standards; loss of consumer confidence; among other concerns. Though it has not yet concluded the extent of the financial impact of this incident, analysts estimate the full cost of the breach might amount up to one billion dollars. This case presents a “wake-up call” for retail companies about the importance of IT security.
Volume 23 | Number 1 Article 31
11-1-2008
Security Breach: The Case of TJX Companies, Inc.
William Xu
Carleton University, wxu3@connect.carleton.ca
Gerald Grant
Carleton University
Hai Nguyen
Carleton University
Xianyi Dai
Carleton University
Recommended Citation
Xu, William; Grant, Gerald; Nguyen, Hai; and Dai, Xianyi (2008) "Security Breach: The Case of TJX Companies, Inc.," Communications of the Association for Information Systems: Vol. 23, Article 31. Available at: http://aisel.aisnet.org/cais/vol23/iss1/31
This material is brought to you by the Journals at AIS Electronic Library (AISeL). It has been accepted for inclusion in Communications of the Association for Information Systems by an authorized administrator of AIS Electronic Library (AISeL). For more information, please contact elibrary@aisnet.org.
Security Breach: The Case of TJX Companies, Inc.
William Xu Gerald Grant Hai Nguyen Xianyi Dai Carleton University, Sprott School of Business wxu3@connect.carleton.ca
TJX Companies Inc. is a leading off-price apparel and home fashions retailer with headquarters situated in the United States. In late 2006, the company discovered it was victim to a massive security breach which compromised millions of customer records. Despite the internal exchanges within the IT department concerning the upgrade of their wireless security standard protocol, the company opted for cost savings rather than increased spending. As the company financials took a hit, the company was faced with pending lawsuits from credit card companies and affected customers; government scrutiny of IT security standards; loss of consumer confidence; among other concerns. Though it has not yet concluded the extent of the financial impact of this incident, analysts estimate the full cost of the breach might amount up to one billion dollars. This case presents a “wake-up call” for retail companies about the importance of IT security.
References: Mergent Online. (2008) “TJX Companies, Inc.”, Company Financials, http://www.mergentonline.com, (accessed March 25, 2008).