Chapter 3 of Kavanagh's Human Resource Information Systems discusses the design and implementation considerations for HRIS, emphasizing customer roles, data categories, and various architectures such as two-tier and cloud computing. It also highlights the importance of security, project planning, team roles, and the potential pitfalls in system implementation. Additionally, a case study on Nikko Hotels International illustrates cultural diversity challenges faced by management when entering the competitive U.S. market.