Game design is built with these latencies into account, if people were to see the raw network updates they'd be shocked at how jerky and unplayable it is.
Generally if you're building a game to be tolerant of network latency you want a design where you're trying to be predictive than reactive. The former tolerates latency well since you're trying to guess where something will be in the future. The latter has latency in the feedback loop which is incredibly painful without some complex(time-rewind) mitigation measures.