Globalization, Innovation and 21st Century Organizational Trends

12.1 Explain the cultural, political, and geoeconomic challenges facing global businesses.
The global business environment is competitive market to compete in that faces several challenges in
order to be successful. These challenges include cultural, political and geoeconomic challenges. The
cultural business challenges deal primarily with language barriers, cultural interests, religions, customs,
social attitudes and political philosophies. It is important for business to oblige to cultural preferences
and be considerate to cultural differences that can occur. Political challenges that can be faced include
guidelines and regulations concerning data transfers. Specific data, such as personal information, tax
implications, hardware and software importing and exporting, as well as trade agreements is data
political businesses must take into account as security measures. Global geoeconomic business
challenges discusses the effect of geography on the economic activities of international business. There
are many geographical differences such as labor supplies, cost of living, and labor costs also differ
among various countries.

12.2 Describe the four global IT business drivers that should be included in all IT strategies.
The four global IT business drivers that should be included in all IT strategies include global customers,
global products, global collaboration, and global operations and resources. Global customers refer to the
customers that travel worldwide and companies that involve global operations that provide fast
convenient, consistent service. Worldwide marketing, sales, and quality control that global IT can
manage with the same products worldwide are the global products drivers. Global IT systems also assist
in the organization of the communication between associates to share knowledge and collaboration.
Global operations and resources include the capital, facilities, and people that are managed by IT and
monitors shared resources, geographic flexibility, operations and global supply chains.

12.3 Describe governance and compliance and the associated frameworks an organization can
implement.
Global strategies are driven by governance and compliance. Governance is a system for management
and control. Compliance is agreeing, accepting and yielding. Shareholders and customers put pressure
on these two business strategies as they are driven by financial and technological regulations. There are
several different IT governance frameworks organizations can follow. The first framework is CoBIT:
Information Systems Audit and Control Association that provides guidelines and tools that are used by
by auditors and companies that sustain IT technology to control and meet specific business
requirements. The next framework is Information Technology Infrastructure Library that is implemented
by the government of the United Kingdom and provides eight management procedures, service delivery,
service support, service management, information and communication technology infrastructure
management, software asset management, business perspective, security management and application
management. The Committee of Sponsoring Organizations is a business-general framework that
evaluates human resources, logistics, information technology, risk, legal, marketing and sales,
operations, financial functions, procurement and reporting. The final framework is the Capability
Maturity Model Integration method that aids with application development, life cycles issues, and
improving product delivery through the 22 process areas.

12.4 Identify why an organization would need to understand global enterprise architectures when
expanding operations abroad.
In order to support global business operations, organizations must manage the global enterprise
architectures through many cultural and political applications. The internet and World Wide Web are
primary providers to the international business processes. The internet provides business advantages
through the expansion of markets, reducing costs, and improving profit margins. It also enhances
customer communication through data exchange with all of those involved with the international
organization. Other global enterprise operations that need to be taken into account include the
software choices whose standards might not be compatible with other countries. There also might be
challenges with communication and operational expenses

12.5 Explain the many different global information issues an organization might encounter as it conducts
business abroad.
The biggest concern business face as business is conducted abroad is security. Networks and
applications are constantly being opened to customers, partners and suppliers can pose a threat to be
hacked or interrupted in some way, unless the access control and authentication is monitored.
Inadequate security results in lost revenues, lost market share, or loss of the entire
business. Information privacy is also a global information issue that must meet United States and the
European Union privacy requirements.

12.6 Identify global system development issues organizations should understand before building a global
system.
Global systems development issues are far more severe than domestic systems development issues. The
main issues are the global standardization of data definitions. Language, cultural, and technological
differences make sharing information difficult among the parts of an international business. There needs
to be a common database with definitions and business processes that all business can follow.
Organizations also face challenges with developing