Globalisation in Information Systems - Essay Example

Information Technology Name Date Each day, there are new developments globally. New infrastructure and technologies are developed at a faster rate compared to its embracement into the society. Companies, industries and individuals come together to develop products and services that will aid accomplishing business transaction and acquiring facilities and services that are paramount in fulfilling personal and/ or group aim. Most important development is in the information system industry where numerous strides have been accomplished in introducing new era technologies and ways in which people operate and complete requirements. The use of information system has brought into consideration global networks that help in fulfilling the requirements of human. Thus, the aim of this paper is to define, analyse, and evaluate challenges and opportunities that face globalisation in information system and to explore the importance of embracing information system into business environment. Globalisation in Information Systems Globalisation may be defined as different or similar industries that are located in different countries or locations, which come together to provide products and services while information system is any written graphical or electronic method that is used for information communication. Thus, changes within society as resulted in increase in international trade and other cultural exchanges (globalisation) and have significant impact on the way that industries and organisations embrace information system. The world has changed and globalisation has changed the way activities are been handled; globalisation has changed from globalising countries to globalising individuals (Stair and Reynolds, 2007). In fact, today, individuals who are located in remote areas but access Internet are able to compete with or contribute to other individual, entire countries or even the largest corporation. Moreover, globalisation has ensured that tasks and subtask can be completed in different parts of the world. Through information system, the best individuals for a task can complete a portion while the other group works on another portion. For example in the computer industry, the hardware can be manufactured in Japan while the software can be manufactured in United States. At the end of the day, these parts are assembled into a complete design. Globalisation in information system has resulted in the improvement of business activities. The presence of high-speed internet has resulted in individuals and organisations that are located all over the world to create new opportunities. This has resulted in the global markets expanding resulting in opening of new markets. This means that industries and individuals can purchase or get products and services from the world while the distance is not a problem. Moreover, the presence of larger market brings into consideration numerous products and services resulting in competition, which will translate into value for money. However, the opportunities associated with globalisation in information system as introduced numerous obstacles that may involve culture, language and other numerous complications (Chandra and Ghosh, 2006). Culture and societal requirements play a major role in negating the fundamentals of globalisation. Regions and countries have different cultural factors that may significantly affect companies that are in global trade. Moreover, societies and communities use different languages that may become hard to translate into exact meanings of certain messages or graphics. Different region, states and nations have different laws and regulations that must be followed by both the individuals and those organisations that operate within the country. The laws and regulations deal differently on factors associated with patents, financial data, privacy, transborder data flow laws and copyrights to name some. Incorporating these laws and regulations into computer systems and procedures of transnational and multinational organisation will require a lot of resources. Moreover, trade agreements e.g. European Union (EU) and North America Free Trade Agreement (NAFTA) may prevent movement and completion of transactions. Additionally, there are numerous issues associated with technology transfer that may include governments’ refusal to sell some technology such as military related equipments to some countries. While other foreign companies may belief that their trade secrets, counterfeiting products and services, copyrighted materials and intellectual property may be impaired (Chandra and Ghosh 2006). Economical and technological requirements challenge globalisation in information system. Time and distance impairs the way that organisations and individual complete their transaction. Large time distance with long distance makes it difficult to talk with people in other parts of the world while the distance may delay delivery of a product. Moreover, numerous challenges are associated with currency since the value of the currency may vary significantly and thus makes international trade more complex and difficult. Infrastructure challenges are also inherent. This is because some parts, water and high quality electricity may lack in the world while other services such as skilled employees, Internet connections and telephone may not be readily available or might be expensive. On the other hand, some products and services cannot be transferred easily. For example, tangible or physical products may be difficult to deliver. Information System Information system plays a major role in accomplishing and fulfilling the requirements of an organisation and thus empowering the users. Information systems are supposed to provide best information that fulfils effectively certain tasks. An information system should be able to account to different organisational requirements. Generally, effective information system should be able to provide information on the past, present and future projects on internal and external factors. This information facilitates in planning the requirements of the organisation. The managers and other leaders will use information from information system to control decisions and thus fulfilling the obligations of certain sector or operations. Thus, it improves on the quality and quantity of operations because information system provides information for sound decision-making (Stair and Reynolds, 2007). Currently, organisations are growing in terms of their size and production. This expansion results in increase of data that should be synthesized. Therefore, presence of information system ensures that the larger amount of data is disseminated and summarised depending on its specific requirement. Thus, the use of information system minimises information overload and hence managers may avoid confusion because of huge data that will be in their disposal. This means huge data can be summarised into graphs and tables that will be easy to apply in certain situations. Moreover, such information is provided in a way that it is easily compared to previous data or information. Nowadays business have numerous branches while other sector requires decentralisation of authority. Thus, the presence of information system has ensured that there is a way of monitoring operations at different levels within the organisation. This means that the availability of information system has ensured that there are means of measuring performance and employing necessary changes in the plans and procedures of the organisation. At different levels of the organisation, there are different requirements and thus the presence of information system can monitor the entire process effectively. An information system helps in controlling and coordinating the activities of the organisation. Information system integrates different departments and their particulars into a product that can easily be managed and controlled during planning initiatives. It connects all the activities within the organisation resulting in an environment that decisions can be made easily because computers and other information system equipments have helped in data processing and storage capabilities. Thus, information can be accessed by a click of the mouse or just after entering a password (Lo and Yeung 2006). Additionally, information technology helps in communication processes. The presence of information technology has improved communication process because of presence of cheaper, quicker and more efficient means for communicating. Through text messages or email, it is possible to communicate with customers and suppliers throughout the world provide they have the appropriate technology. Moreover, Internet has opened numerous avenues including face-to-face communication attribute to video conferencing throughout the world. Moreover, the presence of initiatives such as Internet has increased the time that business transaction can be completed. The global business is open 24X7 and thus business transaction can be completed any time and transaction can happen across countries through an easier and convenient means. Moreover, the goods and services can be delivered to exactly the location of the business (Porter, 2008). The use of information technology within the organisation has improved on cost effectiveness measures. This is because most organisation documents have been computerised and thus streamlining the requirements of the business resulting in the entire organisation been cost effective. The effectiveness increases on productivity that will later be reflected in the increase of profits. Generally, the entire process is less strenuous but better and effective working conditions. Even through the cost overheads is high; the outcome of effective embracement of information technology will result in numerous benefits (Lo and Yeung, 2006). Generally, the world is changing at a faster rate in which organisation should embrace the way that the organisations operate. This may include measures and strategies of embracing new technologies or change. Globalisation in information system is an important initiative that has increased on productivity and efficiency on the products. However, numerous challenges are faced by globalisation in information system that originates from cultural, societal, economical, technical and philosophical ideologies. Diversity in culture, numerous currency valuations, economic constraints, technological insufficiency, infrastructural discrepancies. Laws and regulations, governmental perceptions and views result in prevention of effective embracement of information systems. This means that strategies should be in place to reduce complications associated with these numerous shortcomings. Nevertheless, information technology is inherent in fulfilling today’s business requirements. Each business activity requires the use of computers, calculators and mobiles to some extent. Thus, some benefits of using information system in fulfilling organisation requirements include facilitating planning and decision making, minimises information overload, makes work easier, encourages decentralisation and centralises and provides easy back up measures. Moreover, information technology ensures that there is appropriate communication means; the process is cost effective and availability of more time to fulfil business requirements. References Chandra, A. & Ghosh, S. 2006. Remote Sensing and Geographical Information System. London: Alpha Science Publishers. Lo, C. and Yeung, A. 2006. Concepts and Techniques of Geographic Information Systems, 2nd Ed. New York: McGraw Hill Publishers. Porter, M. 2008. On Competition. Boston: Harvard Business Press. Stair, R. and Reynolds, G. 2007. Principles of Information Systems, 8th Ed. London: Cengage Learning. Read More