Ch 10 : IS 130

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False

TPSs are not helpful for performing audits.

Budgeting

Carlos is allocating his organization's financial resources among the participants and activities of the organization. Which of the following activities of the accounting/finance functional area does this example represent?

Human resources management

Enid uses a(n) ________ ERP module to track payroll and compensation, as well as perform benefits accounting for her organization.

No. While the consultant is correct in saying that an ERP system will help with Falstaff Co.'s information silo issue, this is done by integrating the FAISs and increasing their communications with each other.

Falstaff Company has hired a consultant to deal with its current problem of information silos. The consultant suggests that the company employ an ERP system that will help with its information silo problem by giving each FAIS its own database and independent network thereby reducing the risk of redundancies and loss of data. Would you agree with the consultant? Why or why not?

ERP II systems evolved from ERP Systems. The predecessor was developed to facilitate business processes related to manufacturing but did not extend to other business areas such as sales and marketing and did not include any CRM capabilities. As ERPs evolved, they included abilities to capture customer-specific information, administrative processes and marketing. ERP II is an enterprisewide extension of ERP that provides Web links all across the value chain and integrating internal-facing applications with external-focusing applications.

River, a business process consultant, is preparing an explanation to the company board how ERP II systems were developed and what other business systems preceded them. What information should she include in her summary?

Accounting and Finance

The "virtual close" is part of the ________ functional area.

Lower initial costs of hardware

What is one of the major financial benefits to using a cloud-based ERP for business processes?

To help multiple companies in an industry that are involved in the same business processes

What is the primary value of having ERP SCM and ERP CRM systems?

The system begins with the procurement process. If there is not enough product to ship to a customer, then the production process takes over. If there are not enough raw materials to make the product, then the fulfillment process will take over. Once the raw materials are obtained, the production process once again resumes. When the production process results in completed products, the procurement process resumes and concludes the entire process.

You have been asked to present an outline describing how the manner in which ERP systems integrate cross-departmental processes can help your company, which produces computer chips used in the production of Android cell phones. Which of the following should you present?

I. Data are entered into the system using an input device. Source data automation makes it easier to process the large volume of data. II. Data are either batched and processed periodically or processed online in real time. III. The data are then collected into detailed reports and input into the corporate database.

You have been asked to speak to your friend's high school Introduction to Information Systems class. Your topic of discussion is the use of TPS in modern businesses. Which of the following represents the BEST outline for your discussion?

Ad hoc

Your southern region is not doing very well. You want to know why, so you ask for a special report showing the numbers for the southern region compared to the northern, eastern, and western regions. This is a(n) ________ report.

Comparative

Your southern region is not doing very well. You want to know why, so you ask for a special report showing the numbers for the southern region compared to the northern, eastern, and western regions. This is a(n) ________ report.

Auditing

________, as opposed to accounting, involves monitoring how money is spent and assessing financial health.

Ad hoc

_________ reports contain special information not found in routine reports.

Enterprise Resource Planning (ERP) Systems

____________ are designed to correct a lack of communication among the FAIS.

SCM and CRM are both interorganizational processes.

Compare SCM and CRM.

Information Silos

ERP systems are designed to break down __________

True

Financial management, operations management, and human resource management are core ERP modules.

Ordering fresh perishables in real time

If Jeanette is using an ERP SCM system, which of the following will she be able to do?

Production/Operations Management

MRP is an example of a part of what functional area?

Source Data Automation

Organizations try to automate the TPS data entry as much as possible because of the large volume involved, a process called

False

Exception reports show a greater level of detail than is included in routine reports.

Information

FAISs deliver ________ mainly by providing reports to managers in the functional areas.

It needs a dependable, reliable, and large enough system to handle the TPS loads.

For which of the following reasons would MegaSuper Corp. MOST LIKELY spend a large amount of money on improving its database mainframe.

Dependability Processing capacity Reliability

Key features of transaction processing systems include:

Data are entered into the system using an input device. Source data automation makes it easier to process the large volume of data. Next, data are either batched and processed periodically or processed online in real time. Finally, the data are then collected into detailed reports and input into the corporate database.

On your next exam, your instructor expects you to explain how TPS systems work in businesses today, and he wants the information in the proper sequence and with the proper details. Which order should you choose for your answer?

Procurement

Shiela works in accounting and executes a three-way-match. Which organizational process is she part of?

True

The major objective of ERP Systems is to integrate an organization's various functional areas to facilitate the seamless flow of information.

Control

________ is a disadvantage of cloud-based ERP systems.

Key Indicator

A ________ report summarizes the performance of critical activities.

Reducing; Increasing; Increasing

A business that uses OLTP to process its online transactions has just recorded a sale. The result of this will be that the OLTP will be ______________ the inventory on hand, will be ______________ the sales figures, and will be ____________ the store's cash position by the amount paid.

The fulfillment process actually begins in the sales department with a customer's request to buy a product and ends in the accounting department when the organization receives payment for the product. This process involves the Sales, Warehouse, and Accounting departments and would, therefore, benefit from the use of an ERP system to automate the communication of data between these departments.

A member of senior management at your company says at a meeting that the company doesn't need an ERP to help with the fulfillment process because it begins and ends in the warehouse department; this means an FAIS for the warehouse should be sufficient. How should you respond?

Middleware

An EAI system integrates existing systems by providing software, called __________ that connects multiple applications.

He is correct that an OLTP system will help the company with its expanded business; however, he is incorrect in saying that the OLTP system records the transactions at the end of each day. It actually records transactions in real time which would likely be more helpful to Penguin Industries.

Penguin Industries is expanding its business into two adjacent states. It has hired a consultant to help with the transition. The consultant has suggested that the company employ an OLTP system because it will help record transactions at the end of each day, reduce the company's inventory by each unit sold, increase the sales figures for each unit sold, and increase the cash position of the store in which the purchase was made. Evaluate the consultant's advice.

Online Transaction Processing (OLTP)

Processing of business transactions online as soon as they occur

Include a set of interdependent software modules May force companies to change existing business processes to fit predetermined business processes of the ERP package Provide information necessary to control the business processes of the organization Integrate the planning, management, and use of all resources of the organization (all of these)

The characteristics of ERP systems include which of the following?

False

The production process must occur for any company to incorporate.

Warehouse

Where does the procurement process originate?

Flexibility

Which of the following is a benefit of ERP systems?

Cost

Which of the following represents a potential limitation of ERP systems over FAISs?

bar codes; TPS

You are a local retailer that offers self-checkout lines for customer convenience. To allow self-checkout to work, the station must read ________ and should connect to the company's ________.

Scalability

________ is an advantage of cloud-based ERP systems.

ERP

________ systems are an evolution for FAIS.

TPS

A(n) ________ is typically used to manage inventory.

Key Indicator

A(n) ________ report summarizes the performance of critical activities.

Transaction Processing System (TPS)

A(n) _________ collects data as soon as the data are generated, providing the input data for corporate databases.

Enterprise Application Integration (EAI)

A(n) ___________ integrates existing systems by providing software that connects multiple applications.


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