Managing Global

Systems

Presented by :
Muskaan
 GLOBAL SYSTEMS

• Global systems is the type of information systems

that works across national borders.

• It facilitates communication between

headquarters and subsidiaries in other countries.

• It incorporates all the technologies and

applications found in a typical information system.
 Multinational corporations must use global
information systems, which are systems that serve
organizations and individuals in multiple
countries. These companies might have unified
policies throughout their organizations, but they still
have to abide by the laws of the countries in which
each unit operates, and be sensitive to other local
aspects of their interaction with businesses as well
as consumers. Therefore, unlike organizations that
operate in a single country, multinational companies
have the burden of ensuring that their information
systems and the information flowing through the
systems conforms to laws, cultures, standards, and
other elements that are specific to countries or
regions.
GLOBAL SYSTEMS EXAMPLE
Developing an International Information Systems
Architecture
International information systems architecture :• The basic information
systems required by organizations to coordinate worldwide trade and other
activities.
 Global Systems Strategy
• Define the core business processes:
The first step is identifying core system which includes identifying critical core
business processes , identifying centres of excellence for these processes and
rank ordering these centres .

• Identifying the core systems to coordinate centrally:

The next step is to conquer the core systems and define these systems as truly
transnational.
 Global Systems Strategy
• Choosing the approach:
Third step is to choose an approach to implementing and managing change, avoiding
piecemeal or grand design approaches that try to do everything at once. Evolve
transnational applications from existing applications with a precise and clear vision of
the transnational capabilities the organization should have in five years.
• Make the benefits clear
From the beginning, it is crucial that senior management at headquarters and foreign
division managers clearly understand the benefits that will come to the company as
well as to individual units. Although each system offers unique benefits to a particular
budget, the overall contribution of global systems lies in four areas.
• contribute to superior management and coordination.
• second major contribution is vast improvement in production, operation, and supply
and distribution.
• global systems mean global customers and global marketing
• global systems mean the ability to optimize the use of corporate funds over a much
larger capital base.
These strategies will not by themselves create global systems. You will have to
implement what you strategize.
Management Solutions in developing
global systems include:
• Agreeing on common user requirements
• Introducing changes in business processes
• Coordinating applications development
• Coordinating software releases
• Encouraging local users to support global systems
 Global Value chain

Global value chain is the full range of activities(design, production,

marketing, distribution and support to the final consumer, etc) that are
divided among multiple firms and workers across geographic spaces to
bring a product from its conception to its end use and beyond.
 Global Value chain example

Apple iPhone
Technology Opportunities for Global Value
Chains
1. Data Analytics and Big Data: Utilize advanced analytics, machine
learning, and big data technologies to process and analyse vast
amounts of data from different stages of the global value chain. This
can help identify patterns, optimize processes, and predict supply
chain disruptions.

2. loT (Internet of Things ): Implement loT devices and sensors to

collect real-time data on the status and location of goods,
equipment, and vehicles. This data can be integrated into the MIS
to improve tracking, traceability, and inventory management.

3. Blockchain : Employee blockchain technology for secure and

transparent record-keeping of transactions and product movements
across the value chain. This can enhance trust and reduce fraud.
4. Cloud Computing: Use cloud-based MIS solutions to ensure scalability,
accessibility, and data storage. Cloud technology allows for remote
access and collaboration among global partners.

5. Artificial Intelligence (AI): Implement AI algorithms for demand

forecasting, predictive maintenance, and route optimization. Al can
help in making proactive decisions based on real-time and historical
data.

6. ERP Systems: Integrate Enterprise Resource Planning (ERP) systems

across the value chain to streamline processes, manage finances, and
standardize data sharing.

7. Supply Chain visibility Platforms: Invest in platforms that offer end-to-

end visibility into the supply chain, enabling better decision-making,
risk management, and responsiveness to changes.

8. 3D Printing and Additive Manufacturing: Explore opportunities to

implement 3D printing and additive manufacturing technologies to
reduce lead times and customize products.
Technology Issues for Global Value Chains
The technology challenges of global systems include:
• Computing platforms and systems integration: How the new core
systems will fit in with the existing suite of applications developed around
the globe by different divisions, different people, and for different kinds
of computing hardware.

• Connectivity: Problems include costs and tariffs, network management,

installation delays, poor quality of international service, regulatory
constraints, changing user requirements, disparate standards, and
network capacity. Firms provide international connectivity by building
their own international private network using proprietary standards or by
using Internet technology. However, many countries lack the
communications infrastructure for extensive Internet use, and some
countries face high costs, government control, or government
monitoring.
• Software: Building software that can be used by multiple business units from
different countries that have unique business processes, languages, cultures, and
definitions of data.

• Political Challenges
Information is power. Some countries fear that a policy of free access
to information could threaten their sovereignty. The fact that the countries have
different laws has a significant impact on global business in general, and on e-
commerce in particular. The differing laws can pose serious challenges to
international transfer of data, free speech and the location of legal proceedings
when disputes arise between buyer and seller.

• Cultural Differences
Cultural differences refer in general to the many ways in which people from
different countries vary in their tastes, gestures, preferred colours, treatment of
people of certain gender or age, attitudes about work, opinions about different
ethical issues, and the like.
Governments might be inclined to forbid the reception of some information for
reasons of undesirable cultural influence.
 Computing platforms
• Computing Platforms provide the computational capabilities
to apply methods and models to geographic data. Computing
Platforms vary in capability, price, and availability from mobile
devices to advanced supercomputers and from standalone
computers to complex networked infrastructures to address
different user needs and data-processing workloads. What do
you mean by computing platform?
• A compute platform is a data environment where software
implementation occurs. The platform can consist of either the
operating system (OS) framework or physical hardware
architecture of the computer where the software execution
occurs.
 Computing platforms examples
• Graphics processing units
• Spatial cloud computing
• Mobile devices
• Cyber infrastructure
• eScience, the evolution of science
 Systems Integration
• Systems integration means that you allow a heterogeneous
(hodgepodge) IS to communicate or integrate and share information (or
data) seamlessly with one another.

• Systems integration is a key issue for an organization for its growth -

Management needs to pay close attention to this issue.

• ERP systems are a major kind of enterprise information system allowing

organizations to integrate different systems into one organization-wide
application with an integrated database management system.

• System integration is the successful putting together of the various

components, assemblies and subsystems of a system and having them
work together to perform what the system was intended to do.
Software/ system integration system examples

• Spatial Database Management Systems(DBMS)

• Spatial MapReduce
• Artificial intelligence tools and platforms for GiS
• Geospatial Technology transfer
System Integration components
 Connectivity

• Connectivity is overcoming disparate national technical

standards ,data exchange restrictions and service levels.
• It is the of use internet technology to create global intranets
extranets and virtual private networks.
• Connectivity is the integral part of the global systems as it is
the ability to link together the systems and people of a
global firm into a single integrated network just like the
phone system but capable of voice, data and image
transmissions
 Connectivity Problems

Data Integration and Standardization: International networks

often involve diverse data sources and formats. Connecting and
integrating data from different regions and systems can be
complex and require standardized data formats and protocols.
Data Security and Compliance: International data transfers must
adhere to various data protection regulations, which can vary
between countries. Ensuring data security and compliance with
international laws is a significant challenge.
Cultural and Language Barriers: MIS systems often need to
accommodate multiple languages and cultural differences, which
can impact data entry, interpretation, and user interfaces.
Time Zone Differences: Coordinating operations and data
updates across different time zones can be challenging.
especially for real-time systems and decision support tools.
Connectivity Problems (continued)

Global Scalability: Expanding MIS systems to a global scale

may require significant infrastructure investments, software
upgrades, and considerations for scalability.
Vendor and Service Provider Selection: Choosing the right
international network service providers and technology
vendors is crucial, as they can impact the reliability.
performance, and cost-effectiveness of MIS connectivity.
Regulatory and Compliance Changes: Keeping up with
evolving international data regulations and compliance
requirements is a constant challenge for MIS professionals.
Geopolitical Risks: Political tensions between countries can
introduce risks related to connectivity and data access,
potentially impacting international MIS operations
 Software localisation

Software localization is the process of adapting

software to both the culture and language of an end
user.
Companies localize software to overcome cultural
barriers and ensure their products reach a much
larger target audience.
Software localization involves changes to visual
layout and design elements to make software look
and feel natural to the target user.
 Standard localization process
• Analysis of the material received, and evaluation of the tools and
resources required for localization
• Cultural, technical and linguistic assessment
• Creation and maintenance of terminology glossaries
• Translation into the target language
• Adaptation of the user interface, including resizing of forms and dialog
boxes, as required
• Localization of graphics, scripts or other media containing visible text,
symbols, etc
• Compilation and build of the localized files for testing
• Linguistic and functional quality assurance
• Project delivery
CASE STUDY
Information Systems in the Global Economy: Fossil, United States Computer-Based Information
Systems Support Best Business Practices High-quality, up-to-date, well-maintained computer-
based information systems are at the heart of today's most successful global corporations. For a
business to succeed globally, it must be able to provide the right information to the right people
in the organization at the right time, even if those people are located around the world.
Increasingly, this means that decision makers can view the state of every aspect of the business
in real time. For example, an executive in Paris can use an information system to see that a
company product was purchased from a retailer in San Francisco three minutes ago. If a
company's information system is not efficient and effective, the company will lose market share
to a competitor with a better information system. For a deeper understanding o f how
information systems are used in business, consider Fossil. You are probably familiar with the
Fossil brand. Fossil is well known for its watches, handbags, jewelry, and fashion accessories
that are sold in numerous retail and department stores around the world. Fossil was founded in
1984 when it set up wholesale distribution of its products to department stores in North
America, Asia, and Europe. The company quickly grew and began manufacturing products for
other brands such as Burberry, Diesel, DKNY, and Emporio Armani. As Fossil grew, the
information it managed expanded until it threatened to be unmanageable, so Fossil invested in
a corporate-wide information system developed by SAP Corporation and designed for wholesale
companies.

The SAP information system efficiently stored and organized all of Fossil's business information,
which assisted Fossil management with important business decisions they needed to make. An
information system's ability to organize information so that it provides fuel for smart business
decisions is the real value of computer-based information systems. SAP, IBM, Oracle, and other
computer-based information systems developers do much more than provide hardware systems
and databases.
The systems they install are governed by software that implements best business
practices. These systems assist managers in designing the best business solutions,
which is why selecting the right computer-based information system is crucial to a
company's success. Using the SAP information system to manage its business, Fossil
continued to prosper. The company linked its information system to those of its
customers, such as Wal-Mart and Macy's, to automate the task of fulfilling orders.
Fossil was one of the first companies to launch an online store on the Web, and
managed its evolution from a wholesale business to a retail business. Another
information system was developed for Web sales that worked with the core SAP
corporate-wide information system. More recently, Fossil began experimenting by
opening its own retail stores, which have now blossomed into hundreds of Fossil stores
across the United States and in 15 other countries. However, because managing a retail
store is different from managing a wholesale company, Fossil again turned to SAP and
IBM to design additional information systems that would service its retail needs.
Because Fossil's retail and wholesale operations share production warehousing and
shipping, the retail information system is designed to be integrated with its wholesale
information system. Fossil's information systems are all integrated, connecting to one
central database. Using these information systems, the company can quickly react to
market demands. For example, if Fossil sees that a particular style of watch is selling
well at its retail store in London, it can quickly ship more of that style to department
stores operating in the same area. Fossil credits the information systems for simplifying
its business infrastructure and supporting consistent best practices across its
expanding global business.
Questions for Understanding and Analysis-
1. How might the information systems such as those used at Fossil make
use of the various components of a computer-based information
system: hardware, software, databases, telecommunications, people,
and procedures?
2. 02. How do computer-based information systems like Fossil's help
businesses implement best practices?
Thankyou