INTERNATIONAL INFORMATION SYSTEMS

Why Information SystemNeed of informationNeed of right informationNeed of right information at the right timeNeed of right information at the right time at

the right placeNeed of right information at the right time at

the right place and act on it on timeAll these are possible if we have a proper

system. Thus giving rise to Information System

Information Systems

A set of “people” , “procedures” & “Resources” that collects transforms and disseminates information in an organization

It is frequently used to refer to the interaction between

people, processes, data and technology. In this sense, the term is used to refer not only to the information and communication technology (ICT) an organization uses, but also to the way in which people interact with this technology in support of business processes.

IT and IS

What is Information Technology?

– Any form of technology used by people to handle information.

What are Information Systems?– Integrated components processing, storing and

disseminating information in an organisation.– Interdisciplinary study of systems that provide

information to users in organisations.– Information systems help to control the performance

of business processes.

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Management Information Systems

MIS– The study of information systems focusing on their use

in business and management.

– It is a planned system of the collecting, processing, storing and disseminating data in the form of information needed to carry out the functions of management.

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Approaches– Technical– Behavioural– Sociotechnical

MIS 'lives' in the space that intersects technology and business. MIS combines technology with business to get people the information they need to do their jobs better/faster/smarter.

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Identify the major factors driving the internationalization of the business.

Compare strategies for developing global businesses

Demonstrate how information systems can support different global business strategies

Managing International Information Systems - Objectives

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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

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Global Product Development and Production

Figure 16-1

Global Product Development and ProductionIdea of the product developed in singaporeConcept approved in Houston, USAConcept design in SingaporeEngineering design in TaiwanFinal assembly in Australia, Singapore,

India , China

Developing an International Information Systems ArchitectureInternational 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

International Information Systems Infrastructure

Information system is needed as that will support the communications, coordination of people and products, and order processing for both domestic and foreign markets.

The world just keeps getting smaller and smaller. No company can afford to ignore foreign markets or the impact of foreign competition on the domestic business environment.

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Companies need to understand the characteristics and individual needs of foreign markets, just as the need of understanding domestic markets.

The basic information systems required by organizations to coordinate worldwide trade and other activities.

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International Information Systems Infrastructure

Figure 16-2

Business Challenges

General:Cultural particularism: Regionalism,

nationalism, language differencesSocial expectations: Brand-name

expectations, work hoursPolitical laws: Transborder data and

privacy laws, commercial regulations

Business ChallengesSpecific: 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 OrganizationThree kinds of organizational structure:

Centralized (in the home country)

Decentralized (to local foreign units)

Coordinated (all units participate as equals)

Business StrategiesDomestic 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

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 SystemsAgreeing 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 SystemsComputing 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

Technology Challenges of Global SystemsConnectivity:Overcoming disparate national technical

standards, data exchange restrictions and service levels

User of Internet technology to create global intranets, extranets, virtual private networks (VPNs)

Software ChallengesUnique challenges for application

software:Cost of new interface designsIntegrating new systems with oldUser interface design• Differences in language and conventions

Management OpportunitiesAbility to lower costs through global scale

economies by building international systems for producing and selling goods and services in different regions of the world

Managing International Information

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