Geographical Informal ion Systems have become useful tools for improving the administrative management of local governments. Despite its innovative aspects, GIS implementation in local governments has yet to be actively carried out, utilized in only a few occasions in establishing comprehensive plans or conduct ins model system developments. This can be basically attributed to technological, institutional, and economic difficulties, that is, a lack of understanding of GIS technology, database development, and the required institutional support. Using Seoul as a case study, this study analyses the potential and effectiveness of GIS and examines strategies of implementation, thereby suggesting basic policy direct ions for GIS investment in local governments.