You may use the following commands to configure the hostname on a Cisco router or switch. Changing the hostname will not affect the performance of the router or switch but it will help you identify the particular device you are connected to. Also, this is a non-ISR 1700 series router run on the Graphical Network Simulator 3 (GNS3) platform.
Enter configuration commands, one per line. End with CNTL/Z.
Again, changing the hostname will not improve or degrade the performance of the hardware device but I believe it is a good network administration practice.