challenges gis by usman shaukat

8/13/2019 Challenges GIS BY USMAN SHAUKAT

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Challenges of Global

Information Systems

COURSE : MANAGEMENT INFORMATIONSYSTEM

SUBMITTED BY USMAN SHAUKAT


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Multinational Organizations and IS

A multinational firm (MNF) is a firm thatoperates in many countries. The firm may ormay not have a headquarters in a singlecountry, but operates divisions andsubsidiaries in different countries to take

advantage of local benefits (i.e., cheap labor)

MNFs must use global information systemswhich are systems that serve individuals andfirm units in multiple countries.

Global information systems are different thanother IS because these systems must conformto laws, cultures, and standards etc. in manycountries


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The Web and International Commerce

Web has become important vehicle for B2B andB2C commerce

Ratio of non-English speakers to English

speakers growing

Internet opens enormous global opportunities

Chinese market expected to be largest in future

Web offers opportunities to save on costs (see

subsequent slides)


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(continued)

Figure 9.1: Two-thirds of Internet users come from non-English-speaking

countries


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(continued)

Figure 9.2: Imperatives to heed when designing Web sites for an

international audience


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Think Globally, Act Locally

International companies think globally, act

locally

Be sensitive to regional customs Control must be decentralized

Strategic planning should be global

Can be followed with local flavor


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Challenges of Global Information

Systems

Global information systems face challenges

Technological barriers

Regulations and tariffs

Electronic payment mechanisms

Different language and culture

Economic and political considerations

Different measurement standards

Legal barriers

Different time zones

Challenges involve both the firms Web site and

other information systems


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Technological Challenges

Challenges

Not all countries have adequate information

technology infrastructures

Unable to build international IS Broadband communication lines needed

Solutions

Offer two versions of Websites to compensate for

slower bandwidth

Use low earth orbit satellite systems to build

network for voice and data


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Technological Challenges (continued)

Challenges

Language is technological challenge becauseeight-bit bytes not sufficient for languages with

large character sets (e.g., Chinese Fields such as telephone numbers present

problems for databases in MNFs

Solutions

Use double-byte characters (e.g., unicode allowsfor 65,536 characters)

Fields for telephone numbers must be variablelength to allow flexibility


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Regulations and Tariffs

Challenges

Countries have different importing regulations

Executives reluctant because of hassles

Even with research there are fears that employees

will not know how to comply with laws ofdestination countries

Solutions

There are programs such as NextLinx to help

importers and exporters for Web commerce NextLinx is integrated within the firms systems

When an international order is placed the

software determines tariffs, cost of delivery,

provides forms, and logistics


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Differences in Payment Mechanisms

Challenges E-commerce allows easy payment for online

purchases

Credit cards preferred payment method in North

America Not all countries adopt this preference

Japanese avoid using credit cards

Solutions

Web sites for international firms must have

multiple payment mechanisms

Konbini example in Japan


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Language Differences

Challenges

International parties must agree on common language

Data not transmittable internationally because information

must be translated; computers still cannot accurately

translate on the fly

English considered de facto international language Many countries require accounting systems to be in the local

language

Solutions

Largest companies translate Web sites into local languages

Web site design and translation should be done in overseas

offices although the server may be located in another

country; lack of uniformity in languages

Multiple accounting systems in different languages


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Cultural Differences

Challenges

Different countries vary

Tastes

Gestures

Treatment of people Ethical issues

Conservative groups against Americanization

Solutions

MNFs should employ local personnel to design

their Web sites or version of a Web site that will

appeal to a particular country


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Conflicting Economic, Scientific, and

Security Interests

Challenges Goal of corporate management

Seize large market share and maximize organizationprofits

Goal of governments is to protect economic, scientific,and security interests of its people

Occasionally interests conflict Drawings related to the design and manufacture of

weapons Software packages Encryption software

Differences in treatment of trade secrets, patents, andcopyright law

Solutions No easy ones Pressure from America for stronger copyright laws International trade groups


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Political Challenges

Challenge Information is power and some countries oppose policy of

free access to information and limit use of Internet

Governments recognize that software is an economic

resource and require firms to purchase local software to

build local industry; problems for firms trying to standardize

Solutions

MNFs may have to cut some content from their sites to limit

risks of offending local government

Limit use of employee blogs International human rights pressure may help in the long run

Use open source software (e.g., Linux, MySQL) can help


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Different Standards

Challenge

No international accounting standards United States uses English system of weights and

measures; rest of world uses metric system

Different standards for dates, temperatures, time,

telephone numbers, and addresses Different standards for product codes

Solution

Multiple accounting systems

Multiple versions of data where user can requestversion needed (i.e., software must be flexible and

give users choice)

Promotion of universal product codes


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Legal Barriers: Privacy and Data

Collection

Privacy laws in general

Respect for privacy in international business isunresolved challenge

Majority of democratic nations protect individual

privacy How privacy laws differ with respect to data

collection

Does the law apply to data collected by a companyor the government?

Does the law apply to manual data, digital data, orboth?

Does the law protect data concerning humanbeings or does the law also protect legal entitiessuch as corporations?


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Legal Barriers: US versus EU Approach

to Privacy with Respect to Data

Collection

US privacy laws

Slanted toward the public sector (government)

Over 50 % encompass manual and computerized systems

Limited provisions for individuals versus legal entities

(corporations)

EU privacy laws

Covers both public and private sector

Stronger protection regarding computerized decision makin

Variance in EU with respect to coverage of entities; strong

coverage with respect to individuals


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Legal Barriers: EU Practices with

Respect to Data Collected on Individuals

European Union practices (Directive on DataPrivacy) for data collected by corporations on

consumers follows the Fair Information

Practices mentioned in chapter 11

Personal data collected only for specifiedpurposes

Personal data must be given consent to be

processed

Collecting organizations must identifythemselves

People have right to object to processing of

personal data


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Legal Barriers: Legal Proceedings

Challenge

Suppose you purchased an item from a sitelocated in another country, and the item has adefect or arrived after the time promised. Becauseyour request for compensation or other remedieshas not been answered, you decide to sue. Where

do you file the lawsuit? Solution

Country- of-origin principle whereby all legalmatters are confined to the country where the site

operates Country-of-destination principle whereby the laws

of the country to which the site caters applyregarding dealings with the site, regardless of thesites country (EUs approach)


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Different Time Zones

Challenge

MNFs must craft policies that work for employees,customers, and IS for all time zones

Time stamping

Solutions

Teleconferencing systems can help; but huge timedifferences require accommodations foremployees in other time zones

Chat rooms and bulletin boards for asynchronouscommunication

Opportunity to work on projects 24 hours a day Enable customer support personnel to be availabl

24/7 without requiring night shift work

Standard policy for time stamping documents


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Summary

Companies using Web for business mustaccommodate non-English speaking audiences

Companies must tailor to local preferences

Must be aware of cultural differences and

payment preferences

Tariff and legal issues

Linguistic, cultural, economic, and political

challenges must be addressed


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Summary (continued)

Laws governing collection of data in UnitedStates and European Union are different

Incompatible data privacy laws

Restricted flow of personal data between

United States and EU

Safe Harbor arrangement enables EU to do

business with US

Old legal approach of territorial jurisdiction

inadequate

Free speech and consumer litigation of e-tailers

brought need for legal reform for cyberspace

challenges gis by usman shaukat

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