Managing Information Technology

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Chapter 13 • Leading the Information Systems Function 555

COUNTRY TELECOMMUNICATIONS INFRASTRUCTURES
To fully realize the benefits of integrated global information
systems, countries must be able to provide transnational
companies the necessary telecommunications infrastructure
and its associated worldwide connectivity. Landlines in
many developing countries are still limited and are often
supplanted by easy-to-set-up wireless infrastructures.
Unfortunately, not all cellular networks provide the band-
width necessary for enterprise-wide applications, and
satellite connections can be expensive.
Many global companies base their Asian headquar-
ters in the tiny island nation of Singapore to take advantage
of the fact that it is one of the most wired countries in the
world (Collett, 2003). Other emerging economies in Asia—
such as Malaysia—have created special zones for foreign
subsidiaries where the telecommunications are world-class,
even when the infrastructure in the rest of the country
is limited. Global IT managers must be aware of what
different countries will be able to provide before making
decisions on global systems rollouts and multinational
development efforts.


LEGAL AND SECURITY CONSIDERATIONS Further, to
being technically knowledgeable and culturally sensitive,
the global IT manager must also keep constantly abreast of
current legal and ethical issues in the countries of opera-
tion. Governmental regulations on technology transfers,
intellectual property and copyrights, privacy laws, and
transborder data flows are but a few of the areas that must
be constantly monitored. For example, the European
Union’s Data Protection Directive requires that companies
exporting data about EU citizens across borders meet
Europe’s very stringent privacy standards, and failure to
comply can lead to hefty fines.


Further, global electronic commerce has led to
considerable legal arguments over issues of jurisdiction
regarding intellectual property and Web content. For
example, which country’s laws should apply when objec-
tionable Web content may be viewed in any country in the
world? Network security has also become a global concern
for IT managers. With the promise of global connectivity
comes the danger of network attacks from locations
around the world.

LANGUAGE AND CULTURE Among the most common
problems facing global IT managers dealing with a cultur-
ally diverse group of international workers is the issue of
differences in language. Fluency in English is often mis-
taken for an understanding of Western idioms. A baseball
expression (“hit a home run”) may make as little sense in a
country whose national sport is cricket as would “bowling
a googly” in the United States. Further, body language and
gestures have different connotations in different countries.
Cultural differences also play an important role in
determining the effectiveness of global technology imple-
mentations. Figure 13.16 summarizes nine dimensions
identified by House et al. (2002) that managers need to be
aware of. For example, when dealing with individuals
from a society characterized by high power distance, the
manager should be aware that those employees may be
less comfortable with contradicting their superiors than
are their Western counterparts. This may require, for
example, different communication mechanisms if project
team members are to avoid potential problems.

TIME ZONE DIFFERENCES With employees around the
world separated by up to as much as 10 to 15 hours, find-
ing times for synchronous meetings and discussions can be


  • Uncertainty Avoidance Extent to which members of a society avoid uncertainty (through social norms or bureaucratic
    processes) to improve predictability of future events

  • Power Distance Degree to which members of a society expect and accept that power is distributed unequally within a firm.

  • Collectivism-I Extent to which organizations and society reward collective distribution of resources and collective action

  • Collectivism-II Degree to which individuals see themselves as part of a group, whether it is an organization or family

  • Gender Egalitarianism Extent to which a society or organization minimizes gender role differences and gender
    discrimination

  • Assertiveness Degree to which individuals are assertive, confrontational, and aggressive in societal relationships

  • Future Orientation Extent to which society engages in future-oriented activities such as planning, investing in the
    future, and delaying gratification

  • Performance Orientation Extent to which group members are encouraged and rewarded for performance improvement
    and excellence

  • Human Orientation Extent to which a collective encourages and rewards individuals for being fair, generous, altruistic,
    caring, and kind to others


FIGURE 13.16 Nine Dimensions of Cultural Differences (Adapted from House et al., 2002)

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