Managing international information system

Managing international information system : 

Managing international information system By sabith.G

objectives : 

objectives Identify the major factors driving the internationalization of business Compare strategies for developing global businesses Demonstrate how information systems can support different global business strategies

Slide 3: 

Evaluate the issues and technical alternatives to be considered when developing international information systems Identify the challenges posed by global information systems and management solutions

Developing an International Information Systems Architecture : 

Developing an International Information Systems Architecture The basic information systems required by organizations to coordinate worldwide trade and other activities Business driver: A force in the environment to which businesses must respond and that influences the direction of the business..

BUSINESS DRIVERS : 

BUSINESS DRIVERS GLOBAL CUSTOMERS GLOBAL PRODUCTS GLOBAL OPERATIONS GLOBAL RESOURCES GLOBAL COLLABORATION

Slide 6: 

International Information Systems Architecture

The Global Environment: Business Drivers and Challenges : 

The Global Environment: Business Drivers and Challenges The global business drivers can be divided into two groups: General cultural factors: Global communication and transportation technologies Development of global culture Emergence of global social norms Political stability Global knowledge base

Specific business factors: : 

Specific business factors: Global markets Global production and operations Global coordination Global workforce Global economies of scale

Business Challenges : 

Business Challenges General: Cultural particularism: Regionalism, nationalism, language differences Social expectations: Brand-name expectations, work hours Political laws: Transborder data and privacy laws, commercial regulations

Specific: : 

Specific: Standards: Different Electronic Data Interchange (EDI), telecommunications standards Reliability: Phone networks not uniformly reliable Speed: Different data transfer speeds, many slower than United States Personnel: Shortages of skilled consultants

Global Strategies and Business Organization : 

Global Strategies and Business Organization Three kinds of organizational structure: Centralized (in the home country) Decentralized (to local foreign units) Coordinated (all units participate as equals)

ORGANIZING INTERNATIONAL INFORMATION SYSTEMS : 

ORGANIZING INTERNATIONAL INFORMATION SYSTEMS Domestic exporter strategy: Heavy centralization of corporate activities in the home country of origin. Multinational strategy: Centralized financial management and control while decentralizing production, sales, and marketing operations to units in other countries.

Slide 13: 

Franchisers: The product is financed and initially produced in the home country, but for product-specific reasons rely on foreign personnel for further production, marketing, and human resources. Transnational strategy: The value-adding activities are managed from a global perspective without reference to national borders, optimizing sources of supply and demand wherever they appear, and taking advantage of any local competitive advantages.

Four types of systems configuration : 

Four types of systems configuration Centralized systems: Systems development and operation occur totally at the domestic home base. Duplicated systems: Development occurs at the home base but operations are handed over to autonomous units in foreign locations.

Slide 15: 

Decentralized systems: Each foreign unit designs its own unique solutions and systems. Networked systems: Systems development and operations occur in an integrated and coordinated fashion across all units.

Reorganizing the Business : 

Reorganizing the Business To develop a global company and information systems support structure: Organize value-adding activities along lines of comparative advantage Develop and operate systems units at each level of corporate activity —regional, national, and international Establish at world headquarters

Management Challenges in Developing Global Systems : 

Management Challenges in Developing Global Systems Agreeing on common user requirements Introducing changes in business processes Coordinating applications development Coordinating software releases Encouraging local users to support global systems

Technology Challenges of Global Systems : 

Technology Challenges of Global Systems Computing platforms and systems integration: Develop global, distributed, and integrated systems to support digital business processes spanning national boundaries Use of same hardware and operating system does not guarantee integration. Establish data and technical standards

Connectivity: : 

Connectivity: Overcoming disparate national technical standards, data exchange restrictions and service levels User of Internet technology to create global intranets, extranets, virtual private networks (VPNs)

Internet Population in Selected Countries : 

Internet Population in Selected Countries

Software: : 

Software: Unique challenges for application software: Cost of new interface designs Integrating new systems with old User interface design Differences in language and conventions

Managing Global Software Development : 

Managing Global Software Development Offshore software outsourcing: Outsourcing portions of new systems like development work or maintenance of existing systems to external vendors in another country .

Major cost components of offshore software development: : 

Major cost components of offshore software development: Contract cost Vendor selection costs Transition management and knowledge transfer costs Domestic human resources costs

Management Opportunities: : 

Management Opportunities: Ability to lower costs through global scale economies by building international systems for producing and selling goods and services in different regions of the world

Management Challenges: : 

Management Challenges: Finding the right global business strategy Difficulties of managing change in a multicultural firm Difficulties of achieving global connectivity and integration

Solution Guidelines: : 

Solution Guidelines: Agreeing on common user requirements Introducing changes in business processes Coordinating applications development Coordinating software releases Encouraging local users to support global systems

THANK YOU.. : 

THANK YOU..