MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.

Transcription

1 Exam Name MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1) The MICROS system used by Johnny's Lunch to captures sales transaction data and help monitor inventory, control waste, and adhere to government regulations is best categorized as a(n) 1) A) CRM B) TPS C) KMS D) ESS 2) You have been hired by a non-profit agency to implement a system to handle their donations. Event fundraisers need to be able to quickly access a donor's information and history. The marketing department needs to be able to create customized mailing lists, in order to send different messages to different types of donors. What system will best meet these needs? 2) A) TPS B) TPS with ESS capabilities C) TPS with MIS capabilities D) TPS with DSS capabilities 3) are the computer-to-computer exchange of messages. 3) A) Social Networking B) Virtual worlds C) D) Wikis 4) Which type of system would you use to determine the five suppliers with the worst record in delivering goods on time? 4) A) DSS B) TPS C) ESS D) MIS 5) You manage the IT department at a small start up Internet advertiser. You need to set up an inexpensive system that allows customers to see real-time statistics such as views and clickthroughs about their current banner ads. Which type of system will most efficiently provide a solution? 5) A) extranet B) enterprise system C) CRM D) intranet 6) Helen is the head of a cosmetic distributor. They have over 300 accounts across Canada. Helen is tasked with scanning both the internal and external environment of the business. Helen then helps to determine overall strategies the company will pursue. What type of information system will Helen use to help her with her task? 6) A) MIS B) DSS C) TPS D) ESS 7) A(n) system collects data from various key business processes and stores the data in a single, comprehensive data repository, usable by other parts of the business. 7) A) automatic reporting B) enterprise C) transaction D) management information 8) Richard has started a new food business. He will have about 300 customers per day and receive supplies from 50 suppliers per month. In order to keep track of all of these various business transactions, he needs a system. What kind of system should Richard install? 8)

2 A) TPS B) cross-functional C) MIS D) DSS 9) The helps design programs and systems to find new sources of knowledge or to make better use of existing knowledge in organizational and management processes. 9) A) CKO B) CPO C) CSO D) CTO 10) The advantage of a having a centralized information services department that operates as a separate department similar to other departments is that 10) A) this is more likely to produce more compatible systems and more coherent long-term systems development plans. B) systems are built that can function independently and more efficiently. C) systems are built that directly address that function's business needs. D) this lowers costs of technology purchases. 11) are designed to support organization-wide process coordination and integration. 11) A) Management information systems B) Decision-support systems C) CRM systems D) Enterprise applications 12) Which type of system would you use to determine what trends in your supplier's industry will affect your firm the most in five years? 12) A) MIS B) DSS C) TPS D) ESS 13) Buying or selling goods over the Internet is called 13) A) e-business. B) e-commerce. C) an extranet. D) an intranet. 14) To monitor the status of internal operations and the firm's relations with the external environment, managers need systems. 14) A) management information B) knowledge C) decision-support D) transaction processing 15) You have been hired by Inspiration Inc, to help improve their profit margin. Inspiration Inc. is a business communications consultancy that services many clients in different industries throughout the United States. The end products of the company are customized recommendations for the best use of a clients existing resources for improving internal communications, typically delivered via documentation in different media. The company has approximately 100 consultants, all of whom are located in their central headquarters in Chicago. What system do you recommend to improve the company's business processes and increase their profit margin? 15) A) KMS, for minimizing redundant work on similar clients B) CRM, to maintain easily accessible customer records to minimize the time spent looking for client data C) marketing system, for improving sales levels D) Extranet, to enable quick collaboration over the Internet, minimize the time spent communicating with the client, and minimize the amount of paperwork needed

3 16) The four major enterprise applications are 16) A) SCMs, CRMs, DSSs, and KMSs. B) enterprise systems, SCMs, CRMs, and KMSs. C) enterprise systems, SCMs, DSSs, and CRMs. D) SCMs, CRMs, ESSs, and KMSs. 17) Which of the following types of system helps expedite the flow of information between the firm and its suppliers and customers? 17) A) intranet B) extranet C) TPS D) KMS 18) Which of the following is an example of a cross-functional business process? 18) A) paying creditors B) identifying customers C) assembling a product D) creating a new product 19) uses a set of integrated applications to address all aspects of the customer relationship. 19) A) CRM B) MIS C) CLU D) CLE 20) You work for a highly successful advertiser that is just about to expand nationally. Of utmost importance will be finding a way to store and disseminate their clients continually updated branding guides, which include multiple image files and text documents, to all of the firm's branches. What system will best serve these needs? 20) A) a TPS with KMS capabilities B) an intranet with KMS capabilities C) an extranet with KMS capabilities D) a CRM 21) Glen manufactures shoes for Nike in Hong Kong. His firm receives the plans for the shoes from Nike eight month before Nike needs the shoes. Glen needs a constant flow of information with Nike in Canada. Glen needs to know colour, sizes and number of models needed. Glen also gives Nike reports through the system as to the status and cost of production of Nikes' order. Nike is most likely using which system to keep in contact and manage their shoe production? 21) A) CRM B) intranet C) SCM D) extranet 22) The use of digital technology and the Internet to execute the major business processes in the enterprise is called 22) A) enterprise applications. B) e-commerce. C) MIS. D) e-business. 23) are computer-based simulated environment intended for its users to inhabit and interact via graphical representations called avatars. 23) A) B) Social Networking C) Wikis D) Virtual worlds 24) The CPO is responsible for 24) A) making better use of existing knowledge in organizational and management processes. B) overseeing the use of information technology in the firm. C) enforcing the firm's information security policy. D) ensuring that the company complies with existing data privacy laws.

4 25) Decisions that are unique, rapidly changing, and not easily specified in advance are best suited to which type of system? 25) A) DSS B) TPS C) ESS D) MIS 26) Eddy is feeling a lot stress in his work life right now. He is a purchasing manager for a large retail store and the Holiday season is fast approaching. He needs to make sure that the store is well stocked so that they have enough inventory from all their suppliers to cover this busy time of year. Eddy would most likely benefit by using what kind of system to perform his job at a high level? 26) A) TPS B) CRM C) ERP D) SCM 27) Which type of system would you use to forecast the return on investment if you used new suppliers with better delivery track records? 27) A) ESS B) TPS C) DSS D) MIS 28) Enterprise systems are also known as systems. 28) A) resource planning B) management information C) enterprise resource planning D) enterprise support 29) are a type of Web site that makes it easy for users to contribute and edit text content and graphics without any knowledge of Web page development or programming techniques. 29) A) B) Virtual worlds C) Social Networking D) Wikis 30) Enabling management to make better decisions regarding organizing and scheduling sourcing, production, and distribution is a central feature of 30) A) KMSs B) ERPs C) SCMs D) TPSs 31) Tata Motors' new information system, enabling it to automate processes in product design and production engineering planning, is best categorized as a(n) 31) A) ESS B) DSS C) TPS D) KMS 32) Which of the following types of organizing the information systems function would you be most likely to find in a small company with 20 employees? 32) A) as a separate, centralized department B) represented within each major division of the company C) as departments within each functional area D) none of the above 33) Bill works for Nike in Edmonton. Nike gives Bill access to internal company data such as inventory levels, pricing, product availability as well as training on new products. Nike is most likely using which system to help motivate and train their own employees? 33) A) CRM B) extranet C) SCM D) intranet 34) Identifying customers is a responsibility of the function. 34) A) manufacturing and production B) sales and marketing

5 C) finance and accounting D) human resources 35) systems are especially suited to situations in which the procedure for arriving at a solution may not be fully defined in advance. 35) A) Transaction processing B) Management information C) Knowledge management D) Decision-support 36) Bill works for a firm that manufactures doors for commercial businesses. He is the accountant for the firm. To do his job he must collect data about raw inventory levels, goods in production, finished goods and all the costs of the inputs of those processes. Bill would most likely benefit by using what kind of system to perform his job at a high level? 36) A) SCM B) CRM C) TPS D) ERP 37) The principal liaison between the information systems groups and the rest of the organization is a(n) 37) A) CTO. B) programmer. C) systems analyst. D) information systems manager. 38) A relocation control system that reports summaries on the total moving, house-hunting, and home financing costs for employees in all company divisions would fall into the category of 38) A) management information systems. B) transaction processing systems. C) executive-support systems. D) knowledge management systems. 39) Producing bills of materials is a business process within the function. 39) A) manufacturing and production B) finance and accounting C) human resources D) sales and marketing 40) A is a senior manager who oversees the use of IT in the firm. 40) A) CEO B) CTO C) CFO D) CIO 41) Which type of information system is an intranet most easily adapted to? 41) A) MIS B) TPS C) CRM D) KMS 42) The term "management information systems" designates a specific category of information systems serving: 42) A) integrated data processing throughout the firm. B) middle management functions. C) employees with online access to historical records. D) transaction process reporting. 43) ESS are specifically designed to serve which level of the organization? 43) A) middle management B) end-user C) senior management D) operational 44) Which of the following occupations would NOT be categorized as an "interaction" job? 44) A) business manager B) sales representative

6 C) operations manager D) engineer 45) Which types of systems consolidate the relevant knowledge and experience in the firm to make it available to improve business processes and management decision making? 45) A) KMS B) CRM C) TPS D) Extranets 46) Which benefits of Air Canada's new Maintenix software best illustrate the DSS capabilities of their new information system? 46) A) increased operational efficiencies B) ability to match work requirements against changing locations and flight schedules C) enhanced visibility of fleetwide data D) support of existing business model and enterprise resource planning and financial software 47) Systems analysts are 47) A) highly trained technical specialists who write computer software instructions. B) employees who heads the formal security function for an organization C) specialists who translate business problems and requirements into information requirements and systems D) senior managers in charge of the information systems function in a firm. 48) What is the most important function of an enterprise application? 48) A) increasing speed of communicating B) enabling cost-effective e-business processes C) enabling business functions and departments to share information D) enabling a company to work collaboratively with customers and suppliers 49) Executive support systems are information systems that support the 49) A) long-range planning activities of senior management. B) decision-making and administrative activities of middle managers. C) day-to-day processes of production. D) knowledge and data workers in an organization. 50) Mary has some decisions to make in regards to pricing her candy products. She is wondering what the effect will be on sales if she raises the price by 10% and reduces the amount of grams in the candy bags by 2%. Mary should use what kind of information system to help her make this decision? 50) A) functional B) cross-functional C) MIS D) DSS 51) Decision-support systems are often referred to as business systems. 51) A) intelligence B) information C) modeling D) analysis 52) Which of the following decisions requires knowledge based on collaboration and interaction? 52) A) Which product design is the most efficient for the user in terms of energy use? B) How long will it take to manufacture this product? C) In which geographical locations are our products garnering the most sales? D) Should we collaborate with outside vendors on new products and services?

7 53) Which type of system would you use to change a production schedule if a key supplier was late in delivering goods? 53) A) ESS B) MIS C) DSS D) TPS 54) are online communities for expanding users business or social contacts by making connections through their mutual business or personal connections. 54) A) Wikis B) Virtual worlds C) D) Social Networking 55) systems integrate supplier, manufacturer, distributor, and customer logistics processes. 55) A) Enterprise planning B) Reverse logistics C) Collaborative distribution D) Supply-chain management 56) John has worked in the marketing department of a computer supplier for five years. He obtains information on marketing decisions from a system that handles only marketing data for the firm. John is using which kind of system? 56) A) DSS B) MIS C) cross-functional D) functional 57) Which systems often deliver information to senior executives through a portal, which uses a Web interface to present integrated personalized business content? 57) A) executive support systems B) transaction processing systems C) decision-support systems D) management information systems 58) Donna works for a national pizza company in Calgary. They have over 100 stores across Canada. Every week they receive all the sales and cost data from all their stores. This data is processed and aggregated on a weekly basis. Then reports are given to Donna so that she can analyze the performance of the business. What kind of system is Donna using? 58) A) MIS B) TPS C) DSS D) cross-functional 59) Which of the following roles falls into the duties of an information systems manager? 59) A) acting as liaison between the information systems group and the rest of the organization B) writing software instructions for computers C) translating business problems into information requirements D) managing data entry staff 60) Which systems are typically a major source of data for other systems? 60) A) executive support systems B) decision-support systems C) management information systems D) transaction processing systems 61) An information system for would NOT be categorized as a KMS. 61) A) documenting the expertise of company specialists B) enabling the discovery of new product applications C) discovering new sales channels for a product

8 D) distributing documents 62) The Smart Site Solution system used by Johnny's Lunch to help identify the best locations to open new franchises is best categorized as a 62) A) POS system B) KMS C) CRM D) DSS 63) Which of the following types of organizing the information systems function would you be most likely to find in a very large, multinational corporation? 63) A) represented within each major division of the company B) as departments within each functional area C) as a separate, centralized department D) none of the above 64) E-government refers to the application of to digitally enable government and public sector agencies relationships with citizens, businesses, and other arms of government. 64) A) any computerized technology B) the Internet and networking technologies C) e-business D) e-commerce 65) Susan is employed by a new car dealership. The dealership knows that it is less expensive to retain current customers than it is to get new customers. Her dealership likes to follow up with current customers every four months for up to two years to make sure that they are satisfied with their purchase. Susan would be well served to use what kind of system in her duties? 65) A) ERP B) SCM C) CRM D) TPS SHORT ANSWER. Write the word or phrase that best completes each statement or answers the question. 66) Managers need TPS to monitor the status of operations and the firm s relations with the external environment. 66) 67) An intranet typically centres on a that provides a single point of access to information from several different systems and to documents using a Web interface. 67) 68) expedite the flow of information between the firm and its suppliers and customers. 68) 69) IT includes the strategy and policies for using information technology within an organization. 69) 70) systems help firms manage their relationships with their customers. 70) 71) are ideal tools for storing and sharing company knowledge and insights. 71) 72) are highly trained technical specialists who write the software instructions for

9 computers. 72) 73) LinkedIn.com provides services to business professionals. 73) 74) Sometimes you will hear referred to as business intelligence systems because they focus on helping users make better business decisions. 74) 75) This of data in hundreds of separate systems ( silos of information ) degrades organizational efficiency and business performance. 75) 76) are representatives of departments outside the information systems group for whom applications are developed. 76) 77) A(n) is a set of logically related activities for accomplishing a specific business result. 77) 78) The is a senior manager who oversees the use of information technology in the firm. 78) 79) Operational management, middle management, and management each use a specific type of system to support the decisions they must make to run the company. 79) 80) Digital dashboards are becoming an increasingly popular feature of. 80) 81) systems integrate the key business processes of an entire firm into a single software system that enables information to flow seamlessly throughout the organization. 81) 82) KMS support processes for acquiring, storing, distributing, and applying knowledge, as well as processes for creating new and integrating it into the organization. 82) 83) applications create deep-seated changes in the way the firm conducts its business, and they are often costly to implement. 83) 84) To a large extent, the of a business firm depends on how well its business processes are designed and coordinated. 84) 85) includes the strategy and policies for using information technology within an organization. 85) 86) The most well-known wiki is. 86) 87) Companies can connect their intranets to internal company systems, enabling employees to take actions central to a company s operations 87)

10 88) applications span the entire firm, integrating information from multiple functions and business processes to enhance the performance of the organization as a whole. 88) 89) systems are used by middle management to combine data and sophisticated analytical models or data analysis tools to support nonroutine decision making. 89) 90) Supply chain management systems are one type of because they automate the flow of information across organizational boundaries. 90) 91) Salesforce.com, is a market-leading provider of on-demand software. 91) 92) systems that operate independently of each other are becoming a thing of the past because they cannot easily share information to support cross-functional business processes. 92) 93) The function is responsible for attracting, developing, and maintaining the firm's workforce. 93) 94) A state Web site that allows citizens to pay parking fines online is a form of. 94) 95) management needs systems to help with monitoring, controlling, decision-making, and administrative activities. 95) 96) Information systems automate many steps in business processes that were formerly performed. 96) 97) are often so central to a business that failure for a few hours can lead to a firm s demise and perhaps that of other firms linked to it. 97) 98) systems help businesses manage relationships with their suppliers. 98) 99) At the level, tasks, resources, and goals are predefined and highly structured. 99) 100) information systems groups report to a high-level central information systems group and CIO. 100) 101) Supply chain management systems are one type of system because they automate the flow of information across organizational boundaries. 101) 102) Business refer to the manner in which work is organized, coordinated, and focused to produce a valuable product or service. 102)

11 103) A Web interface used to present integrated personalized business content to users is called a(n). 103) 104) SwissAir s corporate for sales provides its salespeople with sales leads, fares, statistics, libraries of best practices, access to incentive programs, discussion groups, and collaborative workspaces. 104) 105) Teams of employees who work together from many different locations around the world need tools to support collaboration. 105) 106) constitute the principal liaisons between the information systems groups and the rest of the organization. 106) 107) are representatives of departments outside of the information systems group for whom applications are developed. 107) 108) Intranets and extranets are really more technology than specific applications. 108) 109) enable organizations to better manage processes for capturing and applying knowledge and expertise. 109) 110) With, firms have teams around the globe in different time zones working on the same problem, so the need for continuous interaction and communication around the clock has greatly expanded. 110) 111) Very large firms with divisions and product lines might allow each division to have its own information systems group. 111) TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false. 112) Enrolling employees in benefits plans is a business process handled by the finance and accounting function. 112) 113) ESSs are designed primarily to solve specific problems. 113) 114) The performance of a business firm depends on how well its business processes are designed and coordinated. 114) 115) Transaction processing systems are most commonly used by the senior management level of an organization. 115) 116) Information supplied by an enterprise system is structured around cross-functional business processes. 116) 117) Managers need TPS to monitor the status of internal operations and the firm s relations with the external environment. 117) 118) Knowledge management systems (KMS) also link the firm to external sources of

12 knowledge. 118) 119) Intranets and extranets are really more technology platforms than specific applications. 119) 120) ESSs are designed to serve the middle management of the organization. 120) 121) Business processes refer to the manner in which work is organized, coordinated, and focused to produce a valuable product or service. 121) 122) Functional systems that support business processes within a single functional group, such as human resources, are being phased out in favour of cross-functional systems. 122) 123) Transaction processing systems are often so central to a business that TPS failure for a few hours can lead to a firm s demise and perhaps that of other firms linked to it. 123) 124) Most MISs use sophisticated mathematical models or statistical techniques. 124) 125) A transaction processing system is a computerized system that performs and records the daily routine transactions necessary to conduct business. 125) 126) Customer relationship management (CRM) systems help firms manage their relationships with their customers. 126) 127) At the operational level, tasks, resources, and goals are predefined and highly unstructured. 127) 128) Enterprise systems often include transactions with customers and vendors. 128) 129) Sometimes you will hear TPS referred to as business intelligence systems because they focus on helping users make better business decisions. 129) 130) Ordering a book online from chapters.indigo.ca or downloading a music track from itunes are entirely new business processes based on old business models. 130) 131) Middle management needs systems to help with monitoring, controlling, decision-making, and administrative activities. 131) 132) Decision-support systems use internal information as well as information from external sources. 132) 133) A hotel reservation system is a typical example of a management information system. 133) 134) Functional systems that operate independently of each other are becoming a thing of the future because they cannot easily share information to support cross-functional business processes. 134)

13 135) Transaction processing systems (TPS) enable organizations to better manage processes for capturing and applying knowledge and expertise. 135) 136) Supply chain management systems are more externally oriented than enterprise systems. 136) 137) Decision-support systems help managers make decisions that are unique, rapidly changing, and not easily specified in advance. 137) 138) Information systems automate many steps in business processes that were already automated. 138) 139) SCM systems consolidate and integrate customer information from multiple communication channels. 139) 140) Management information systems typically support non routine decision making. 140) 141) Digital dashboards are becoming an increasingly popular feature of DSS. 141) 142) Operational management is responsible for directing the day-to-day operations of the business and therefore needs transaction-level information. 142) 143) An intranet typically centres on a portal that provides a single point of access to information from several different systems and to documents using a Web interface. 143) 144) Salesforce.com, is a market-leading provider of on-demand customer relationship management (CRM) software. 144) 145) KMS support processes for acquiring, storing, distributing, and applying knowledge, as well as processes for creating new knowledge and integrating it into the organization. 145) 146) Maintaining online directories of employees with special areas of expertise is one application of knowledge management systems. 146) 147) ESSs are designed to incorporate data about external events, but they also draw summarized information from internal MIS and DSS. 147) 148) End users are representatives of departments outside the information systems group for whom applications are developed. 148) 149) Information that was previously fragmented in different systems can be easily shared across the firm to help different parts of the business work more closely together. 149) 150) Operational management, middle management, and senior management each use a specific type of system to support the decisions they must make to run the company. 150)

14 151) Managers need TPSs to monitor the status of internal operations and the firm's relations with the external environment. 151) 152) DSS applications create deep-seated changes in the way the firm conducts its business, and they are often costly to implement. 152) 153) Tata Motors had to revise many of its manufacturing processes to support digital manufacturing. 153) 154) Deciding whether to introduce a new product line is the responsibility of an operational manager. 154) 155) Enterprise systems integrate the key business processes of an entire firm into a single software system that enables information to flow seamlessly throughout the organization. 155) 156) Supply chain management (SCM) systems help businesses manage relationships with their customers. 156) ESSAY. Write your answer in the space provided or on a separate sheet of paper. 157) You have been hired to work with 10 salespeople from different branches of a national business in creating an online training site for new Sales employees. Identify six collaboration tools that are available to help the team work together. Which single tool would be the most helpful for the project, in your opinion, and why? 158) An internet based company that retails concert tickets on the web has found a niche market selling 2nd tier band concerts. They would like to involve their customer in helping them with their business by creating a viral marketing atmosphere and getting feed back and participation from these customers who are passionate about their music. What tools would help them create this type of customer collaboration? 159) How can a good CRM system increase profits for a company? 160) Describe the role of IT governance within the firm. 161) A retail sporting goods chain has been expanding rapidly for the last 4 years. This growth has exposed some problems in their old stand alone legacy computer systems. They are always stocking out of popular items. What type of system would you suggest they look at implementing and why? 162) What are cross-functional business processes? Give an example. 163) You work for a national consulting firm with offices in every province across Canada. The Calgary office has developed a new technique for costing out natural resource extraction. This took the Calgary office about 3 months to develop. The Toronto office is also consulting with resource based companies in Ontario. What system would aid the sharing of information that might be useful in various provinces and why?

15 164) Your aunt has asked you for your suggestions to make her business, a local sandwich shop, more efficient. Describe at least three types of business processes that a sandwich shop have. Can any be better coordinated through the use of information systems? 165) Describe at least two benefits of using enterprise systems. 166) What is the connection between organizations, information systems, and business processes? 167) The retail home improvement chain you work for, DIY Discount, has noticed that one of its brands of faucets is not selling nearly as well as anticipated. What information systems of the business will you use to determine the reason for the poor sales? Discuss what information you will retrieve from which system. Which of the information systems will be most important for your analysis? Which of the systems will be least important? 168) Apex Vacuum, a family-owned manufacturer of budget vacuums, has grown exponentially over the last few years. However, the company is having difficulty preparing for future growth. The only information system used at Apex is an antiquated accounting system. The company has one manufacturing plant located in Arkansas; and three warehouses, in Arkansas, Delaware, and California. The Apex sales force is national, and Apex purchases about a third of its vacuum parts and materials from a single overseas supplier. You have been hired to recommend the information systems Apex should implement in order to maintain their competitive edge. However, there is not enough money for a full-blown, cross-functional enterprise application, and you will need to limit the first step to a single functional area or constituency. What will you choose, and why? 169) Identify and discuss the major types of information systems that serve the main management groups within a business. What are the relationships among these systems?

16 1) B 2) C 3) C 4) D 5) A 6) D 7) B 8) A 9) A 10) A 11) D 12) D 13) B 14) D 15) D 16) B 17) B 18) D 19) A 20) C 21) D 22) D 23) D 24) D 25) A 26) D 27) C 28) C 29) D 30) C 31) D 32) D 33) D 34) B 35) D 36) D 37) C 38) A 39) A 40) D 41) D 42) B 43) C 44) D 45) A 46) B 47) C

17 48) C 49) A 50) D 51) A 52) D 53) D 54) D 55) D 56) D 57) A 58) A 59) D 60) D 61) C 62) D 63) A 64) B 65) C 66) internal 67) portal 68) Extranets 69) governance 70) Customer relationship management (CRM) 71) Wikis 72) Programmers 73) networking 74) DSS 75) fragmentation 76) End users 77) business process 78) CIO 79) senior 80) ESS 81) Enterprise 82) knowledge 83) Enterprise 84) performance 85) IT governance 86) Wikipedia 87) transaction 88) Enterprise 89) Decision-support 90) interorganizational system 91) customer relationship management (CRM) 92) Functional 93) human resources 94) e-government 95) Middle

18 96) manually 97) Transaction processing systems; TPS 98) Supply chain management (SCM) 99) operational 100) Divisional 101) interorganizational 102) processes 103) portal 104) intranet 105) workgroup 106) Systems analysts 107) End users 108) platforms 109) Knowledge management systems (KMS) 110) globalization 111) multiple 112) FALSE 113) FALSE 114) TRUE 115) FALSE 116) TRUE 117) TRUE 118) TRUE 119) TRUE 120) FALSE 121) TRUE 122) TRUE 123) TRUE 124) FALSE 125) TRUE 126) TRUE 127) FALSE 128) TRUE 129) FALSE 130) FALSE 131) TRUE 132) TRUE 133) FALSE 134) FALSE 135) FALSE 136) TRUE 137) TRUE 138) FALSE 139) FALSE 140) FALSE 141) FALSE 142) TRUE 143) TRUE

19 144) TRUE 145) TRUE 146) TRUE 147) TRUE 148) TRUE 149) TRUE 150) TRUE 151) TRUE 152) FALSE 153) TRUE 154) FALSE 155) TRUE 156) FALSE 157) Collaboration tools include (1) Internet-based collaboration environment; (2) and instant messaging; (3) Cell phones and smart phones; (4) Social networking; (5) Wikis; and (6) virtual worlds. The most helpful of these might be the Internet-based collaboration environment, because it would enable people to have discussions, calendars, conferences, and share documents. 158) Some of the systems they should be using include: and Instant Messaging (IM), Social Networking, Wikis, and perhaps Virtual Worlds. Using a multiple tools and media would give a variety to their customers who would appreciate this interaction about a service which they are passionate about. 159) Customer relationship management uses information systems to coordinate all of the business processes surrounding the firm's interactions with its customers. The systems consolidate customer information from multiple sources telephone, , wireless devices, traditional sales and marketing systems, and the Web so that the firm can obtain a unified view of a customer. This allows the firm to identify its most profitable customers and make special efforts to please them. 160) IT governance is the management of how the information systems function is organized and handled within the firm. IT governance includes the strategy and policies for using information technology within an organization. It specifies the decision rights and framework for accountability to ensure that the use of information technology supports the organization's strategies and objectives. For example, IT governance decides how decisions implementing and evaluating new systems are made, whether the IT function should be decentralized or centralized, who has power to create and manage systems, and what kind of ROI is expected from systems. 161) This sporting goods chain might look at implementing a supply chain management system. Supply chain management (SCM) systems help businesses manage relationships with their suppliers. These systems help suppliers, purchasing firms, distributors, and logistics companies share information about orders, production, inventory levels, and delivery of products and services so that they can make better decisions about how to organize and schedule sourcing, production, and distribution. The ultimate objective is to get the right amount of their products from their source to their point of consumption with the least amount of time and with the lowest cost. Supply chain management systems are one type of interorganizational system because they automate the flow of information across organizational boundaries. 162) Cross-functional processes are those that require input, cooperation, or coordination between the major business functions in an organization. For instance, when a salesman takes an

20 order, the major business functions of planning, production, inventory control, shipping, accounting, and customer relations will all be involved before the order is completed. 163) This firm would be a prime candidate for a KMS. Knowledge management systems (KMS) enable organizations to better manage processes for capturing and applying knowledge and expertise. These systems collect all relevant knowledge and experience in the firm and make it available wherever and whenever it is needed to improve business processes and management decisions. They also link the firm to external sources of knowledge. KMS support processes for acquiring, storing, distributing, and applying knowledge, as well as processes for creating new knowledge and integrating it into the organization. They include enterprise-wide systems for managing and distributing documents, graphics, and other digital knowledge objects; systems for creating corporate knowledge directories of employees with special areas of expertise; office systems for distributing knowledge and information; and knowledge work systems to facilitate knowledge creation. Other knowledge management applications use intelligent techniques that codify knowledge for use by other members of the organization and tools for knowledge discovery that recognize patterns and important relationships in large pools of data. 164) The business processes of a sandwich shop would include: Taking orders, making sandwiches, selling to the customer, ordering supplies, opening the store, closing the store, cleaning the store, paying employees, hiring employees, paying creditors and vendors, creating financial statements, paying taxes, managing cash. Many of these processes could be helped by better information systems, specifically those that require recorded data, such as any financial processes (payments, cash management, taxes, salaries) and information gathered from and distributed to employees. 165) Enterprise systems integrate the firm's key business processes in sales, production, finance, logistics, and human resources into a single software system so that information can flow throughout the organization, improving coordination, efficiency, and decision making. These systems help create a more uniform organization in which everyone uses similar processes and information, and measures their work in terms of organization-wide performance standards. The coordination of the firm's key business processes allows the firm to respond more rapidly to customer demands. 166) Business processes refer to the manner in which work activities are organized, coordinated, and focused to produce a specific business result. They also represent unique ways in which organizations coordinate work, information, and knowledge and the ways in which management chooses to coordinate work. Managers need to pay attention to business processes because they determine how well the organization can execute, and thus are a potential source for strategic success or failures. Although each of the major business functions has its own set of business processes, many other business processes are cross-functional. Information systems can help organizations achieve great efficiencies by automating parts of these processes or by helping organizations rethink and streamline them. Firms can become more flexible and efficient by coordinating and integrating their business processes to improve management of resources and customer service. 167) You might query operational level TPS to make sure that the product is actually getting to the stores and being restocked. You could query MIS to see average sales levels according to geography, location, and other factors to see if there are any specific factors affecting the sales. You might query ESS to see if the same faucets are being sold by competitors and what these prices are. You might use DSS to see what factors could increase sales. Assuming that the faucets are being properly stocked at the stores, the most important systems to query are th managerial-level systems: MIS for summaries of sales records to help pinpoint any other factors; ESS to check

21 competition, and DSS for higher-level analysis to forecast possible solutions. 168) Student answers will vary. E.g. A TPS focusing on production and manufacturing to keep production costs low while maintaining quality, and for communicating with other possible vendors. The TPS would later be used to feed MIS and other higher level systems. 169) The four major categories of information systems are: 1. Transaction processing systems, such as payroll or order processing, track the flow of the daily routine transactions that are necessary to conduct business. 2. Management-information systems (MIS) provide the management control level with reports and access to the organization's current performance and historical records. Most MIS reports condense information from TPS and are not highly analytical. 3. Decision-support systems (DSS) support management decisions when these decisions are unique, rapidly changing, and not specified easily in advance. They have more advanced analytical models and data analysis capabilities than MIS and often draw on information from external as well as internal sources. 4. Executive-support systems (ESS) support senior management by providing data of greatest importance to senior management decision makers, often in the form of graphs and charts delivered via portals. They have limited analytical capabilities but can draw on sophisticated graphics software and many sources of internal and external information. The various types of systems in the organization exchange data with one another. TPS are a major source of data for other systems, especially MIS and DSS. ESSs primarily receive data from lower-level systems.