Family History Names and Alphabets

I recently started reading Getting It Right: The Definitive Guide to Recording Family History Accuratelyby Mary H. Slawson. The author suggests that an ancestor's names should always be recorded in the language that the ancestor used to record their name and, barring that information, in the language mostly likely used in their home or country of origin. So for example, a German ancestor should have their German version of their name stored as the name of the ancestor and the anglicized version (if one was found in other source documents) of the name should be stored as an AKA. This is very well and good, especially if you have tools that support the process.

But what if the name uses another alphabet than the researcher. We are faced with the ancestors name in their native alphabet and possibly another alphabet interpretation to make it easier and more accessible for the researcher. After discussing the issue with some of my colleagues, here are my conclusions:

There are two cases where you may have a non-native alphabet version of ancestors name. The first is when the alternate alphabet has been used in a source document. In this case the name should be recorded "as is" as an AKA with a pointer to the source and the extraction.

The second is where the alternate alphabet version of the name is an interpretation by the researcher of a native alphabet name found in a source document. In this case it is not extracted information, but a specific researcher's interpretation of the information (possibly using standard tools, but still an interpretation). The interpreted name should still be recorded as an AKA and include the declaration that it is an interpretation, a pointer back to the original name that was extracted, an explanation of the interpretation method used, and the name of the researcher.

My concern is if the extracted and interpreted versions of the name are all lumped together as information from the source, you have a situation creating erroneous assumptions and possibly bad conclusions about the ancestor.

It would also be very helpful for the family history applications to show the researcher's native alphabet when displaying the information, along with ancestor's native alphabet for family history flavor and context.