1. © 2011 South-Western | Cengage Learning Informational Needs for Global Business Activities 14-1 14-1Creating Global Information Systems 14-2 14-2Global Information Systems Challenges CHAPTER 14

2. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 2 14 LESSON 14-1 Creating Global Information Systems GOALS Explain why information is power in the global economy. Describe the three major components of global information systems. Explain some of the factors to consider when planning and developing global information systems.

3. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 3 14 Information Is Power Information systems in domestic business Information systems in international business

4. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 4 14 Comparing Domestic and International Business Environments FactorsDomestic EnvironmentInternational Environment CultureOne dominant cultureMultiple cultures CurrencyOne currencyMultiple currencies GovernmentOne dominantMultiple governments InfrastructureWell-developedMultiple infrastructures LanguageOne dominant languageMultiple languages LocationOne country, one continentMultiple countries and continents RegulationsOne dominant systemMultiple systems Time zonesLimited time zonesMultiple time zones

5. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 5 14 Global Information System A global information system is a computer-based system that provides information about company operations around the world to managers of a multinational organization.

6. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 6 14 Information System Components A global information system is composed of three basic elements: Data inputs Operational components System outputs

7. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 7 14 Data Inputs Data inputs are those pieces of information that feed the global information system database. These inputs reflect both internal organization inputs and external environment inputs.

8. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 8 14 Operational Components Operational components are the parts of an information system that manage the database and system operations. There are five basic types of operational components: Systems control Database management User interface systems Application systems Reporting systems

9. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 9 14 System Output System outputs are the data generated from an information system. There are four basic types of application outputs: Product management Communication Sales management Senior management

10. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 10 14 Planning and Developing the System Role of top-level managers Role of other information systems managers

11. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 11 14 LESSON 14-2 Global Information Systems Challenges GOALS Explain global information challenges arising from cultural and country issues. Describe data collection issues related to data sources and data quality. Explain how technological issues create challenges to global information systems.

12. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 12 14 Cultural and Country Issues Language differences Attitudes Business and financial environment Differing information needs Degree of control

13. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 13 14 Data Collection Issues Sources of data Primary data Secondary data Quality of data Data validity Data reliability Data comparability

14. INTERNATIONAL BUSINESS, 4e CHAPTER © 2011 South-Western | Cengage Learning SLIDE 14 14 Technological Issues Communication technology Host-country requirements Host-country and international regulations