1.4 Information System Challenges


Information system is an important tool for the success of organizations. But its implementation may pose
different challenges:
Security issues: information systems and technology provide access to huge volume of data. The growing
numbers of computers connected within a local network or global one like the Internet give a great
opportunity for unauthorized access if data is not well secured. Preserving privacy and security of data is
important for the success of information system.
Organizational business model: sometimes the implementation of new information system requires
change in business process. This requires careful management. Some managers fail to adopt the right
business model that suits the new technology or seek to preserve an old business model that is doomed by
new technology.
Social changes: the problem of implementing information system is more severe in developing countries
with limited resources either in tools and infrastructure or in human and experts.
Organizational culture: implementing information system in organization for the first time may require
change in the overall organization culture. Employees need to be aware that technologies are not going to
replace them to avoid user resistance. They need to be trained to cope with new changes

1.4 Information System Challenges


Global Information System Challenges
The rapid growth in information technology uses makes organizations expand globally while working locally.
These changes entail building and operating global information systems which poses different challenges:
Cultural differences: people from different countries have different tastes, gestures, and ethics. What is
accepted in country may be prohibited in others. This affects individuals and organizations involved in global
trade.
Language barriers: language differs from country to country. Even within the same country there are many
dialects. Using a word in a dialect may be offensive in other. Moreover, it is difficult to translate exact
meaning from language to language.
Different time zones: it is important to realize such difference in time especially when conducting meetings
or when providing customer service around the world.
Countries law: the fact that countries have different laws has a significant impact on global business. What
happens if disputes arise between byuer and seller from two different countries? What happens to
international transfer of data? What is legal and what is not and depending on which law?

1.4 Information System Challenges


Infrastructure challenge: information technology capabilities differ greatly between countries. Telephone
services, internet connections and skilled employees might be very expensive or even not available. Even
the speed of Internet has significant impact. For example, videoconference may not be possible between
people in different countries with different capabilities and infrastructure.
Currency and different in payment: The value of different currencies can vary significantly over time
making international trade more difficult and complex over time. Moreover, countries vary in their
mechanisms for payment.