ACCA Performance Management (F5) Certification Practice Exam

What is a significant disadvantage of new information systems?

1. Lack of user support

2. Complex user interface

3. High maintenance costs

4. Lack of compatibility with existing systems

The correct answer is: Lack of compatibility with existing systems

The significant disadvantage of new information systems, particularly in the context of option D, is the potential lack of compatibility with existing systems. When organizations implement new systems, they often have legacy systems in place that are essential for daily operations. If the new system is not compatible with these legacy systems, it can lead to various issues such as data silos, increased complexity in operations, or even the need for extensive re-engineering of existing processes. This lack of compatibility can hinder business operations, lead to increased costs, and create resistance among users who may need to change their workflows or deal with data integration problems. Furthermore, the integration challenges can also result in downtime during the transition phase, causing potential disruption to the business. Organizations must therefore carefully assess compatibility when adopting new systems to ensure a smooth transition and continued operational efficiency. Compatibility considerations should be a central part of the decision-making process during system selection and implementation.