Potential Problems in People Management concerning Information Security in Cross-cultural Environment - The Case of Brazil

This paper discusses the potential problems due to cultural differences, which foreign companies may face in Brazil concerning information security. Top 3 investing countries in Brazil, namely US, Netherlands, and Japan are examined. Potential problems concerning the management of people in information security are developed by using Geert Hofstede’s framework and based upon the authors’ experience in global business activities. To evaluate the magnitude of potential of problems, a recently proposed measure called Level of Potential (LoP) is adopted. A survey was conducted in Brazil to evaluate the severity of potential problems and the practicability of LoP. To examine the practicability of LoPs, the logical LoPs are compared with their surveyed severities. Our results show that LoP can predict problems to a certain extent in the Brazilian business environment. The results reveal that Japanese companies may face problems least, while the Dutch ones face the difficulties most. The problem of “Using previous company’s confidential information” is a problem with the highest severity among the potential problems since “teaching others” is encouraged by employees’ belief.