Chapter 14

According to your reading of the chapter, change management is a process that A) should be addressed before a project is developed. B) begins when a project is implemented. C) is used primarily to mandate user acceptance. D) must be addressed in all systems development. E) is introduced after the system is developed.

A

In sociotechnical design A) separate sets of technical and social design solutions are developed and compared. B) ergonomic features of a system and the system's technical design are given equal importance. C) systems analysts with proven backgrounds in sociological concerns rate and compare a system's social and technical aspects. D) all of the above.

A

Internal integration tools A) enable a project to have sufficient technical support for project management and development. B) enable a project manager to properly document and monitor project plans. C) portray a project as a network diagram with numbered nodes representing project tasks. D) consist of ways to link the work of the implementation team with users at all organization levels. E) enable end users to communicate with system developers.

A

The central method used in a portfolio analysis is to A) inventory all of the organization's information systems projects and assets. B) perform a weighted comparison of the criteria used to evaluate a system. C) survey a large sample of managers on their objectives, decision-making process, and uses and needs for data and information. D) interview a small number of top managers to identify their goals and criteria for achieving success. E) score proposed systems on a number of dimensions, and select the one with the highest score.

A

The criteria used for evaluation in a scoring model are usually determined by A) lengthy discussions among the decision-making group. B) portfolio analysis. C) the IS steering committee. D) systems analysts. E) project managers.

A

To review a project's tasks and their interrelationships, you would use a A) PERT chart. B) Gantt chart. C) either A or B. D) neither A nor B.

A

Users prefer systems that A) are oriented to facilitating organizational tasks and solving business problems. B) work with existing DBMS. C) are able to provide optimum hardware and software efficiency. D) are capable of storing much more data than they need. E) have an easy-to-learn interface.

A

Which of the following is not a responsibility of effective change management? A) integrating legacy systems B) dealing with fear and anxiety about new systems C) training users of the new system D) enforcing user participation at all stages of system development E) ensuring users are properly trained

A

Which of the following projects is the riskiest? A) a project that managers are concerned will affect their roles and job descriptions B) a project that requires technical expertise that your firm's IT employees do not have C) a project that has a strict deadline, or sales will suffer D) a project that will automate many clerical duties E) a project that will displace employees

A

An example of using an external integration tool would be to A) define task dependencies. B) include user representatives as active members of the project team. C) create a PERT chart. D) hold frequent project team meetings.

B

As discussed in the chapter, which of the following is not one of the immediate consequences of inadequate software project management? A) cost overruns B) customer loyalty C) time slippage D) technical shortfalls E) failure to obtain anticipated benefits

B

Formal planning and control tools A) enable a project to have sufficient technical support for project management and development. B) enable a project manager to properly document and monitor project plans. C) portray a project as a network diagram with numbered nodes representing project tasks. D) consist of ways to link the work of the implementation team with users at all organization levels. E) enable senior management to track the development of systems.

B

One example of an implementation problem is A) poor user interface. B) inadequate user training. C) project running over budget. D) changes in job activities and responsibilities. E) reduction in labor force.

B

The ________ consists of systems analysts, specialists from the relevant end-user business areas, application programmers, and perhaps database specialists. A) project management group B) project team C) IS steering committee D) corporate strategic planning committee E) system planning committee

B

The ________ is directly responsible for the individual systems project. A) project management group B) project team C) IS steering committee D) corporate strategic planning committee E) systems planning committee

B

The central method used in a scoring model is to A) inventory all of the organization's information systems projects and assets. B) perform a weighted comparison of the criteria used to evaluate a system. C) survey a large sample of managers on their objectives, decision-making process, and uses and needs for data and information. D) interview a small number of top managers to identify their goals and criteria for achieving success. E) calculate the return on investment for each system, and choose the system with the best return.

B

The principal capital budgeting models for evaluating information technology projects are the payback method, the accounting rate of return on investment (ROI), the net present value, and the A) future present value. B) internal rate of return. C) external rate of return. D) ROPM (real options pricing model). E) present value of future cash flows

B

To best evaluate, from a financial standpoint, an IT investment whose benefits cannot be firmly established in advance, you would use A) capital budgeting. B) the real option pricing model. C) a scoring model. D) the net present value. E) a portfolio analysis.

B

Which method is used to assign weights to various features of a system? A) information systems plan B) scoring model C) portfolio analysis D) TCO E) real options model

B

Which of the following is not one of the five main variables affecting project success? A) risk B) vendors C) time D) quality E) cost

B

Which of the following statements best describes the effect that project structure has on overall project risk? A) Highly structured projects are more complex, and run a higher risk of programmers and users misunderstanding the ultimate goals. B) Projects with relatively undefined goals are more likely to be subjected to users changing requirements and to run a higher risk of not satisfying project goals. C) Highly structured projects tend to be larger, affecting more organizational units, and run both the risk of out-of-control costs and becoming too difficult to control. D) Less structured projects are more able to be quickly developed, tested, and implemented using cutting-edge RAD and JAD development techniques, and pose less risk of running up unforeseen costs. E) the less structured a project, the greater the freedom of users to define the system

B

Which type of planning tool shows each task as a horizontal bar whose length is proportional to the time required to complete it? A) PERT chart B) Gantt chart C) both A and B D) neither A nor B

B

A road map indicating the direction of systems development, the rationale, the current systems, new developments to consider, the management strategy, the implementation plan, and the budget is called a(n) A) project plan. B) portfolio analysis. C) information systems plan. D) enterprise analysis. E) strategic planning document.

C

At the top of the management structure for information systems projects in a large company is A) project management. B) the CIO. C) the corporate strategic planning group. D) the board of directors. E) chief executive officer (CEO).

C

On average, private sector IT projects underestimated budget and delivery time of systems by ________ percent. A) 30 B) 40 C) 50 D) 60 E) 70

C

ROPMs (real options pricing models) value information systems similar to stock options, in that A) ROPMs can be bought and sold like stocks. B) a company's worth can be evaluated by the worth of their ROPMs. C) initial expenditures on IT projects are seen as creating the right to pursue and obtain benefits from the system at a later date. D) expenditures and benefits from IT projects are seen as inflows and outflows of cash that can be treated themselves like options. E) the price paid today for information systems reflects their future cash flows.

C

The ________ reviews and approves plans for systems in all divisions. A) project management group B) project team C) IS steering committee D) corporate strategic planning committee E) chief executive officer (CEO)

C

The most widely used project management software today is A) Vertabase. B) IBM Project Guide. C) Microsoft Project. D) Microsoft Excel.

C

The organizational activities working toward the adoption, management, and routinization of a new information system are called A) production. B) maintenance. C) implementation. D) acceptance. E) final acceptance.

C

The project risk will rise if the project team and the IS staff lack A) legacy applications as a starting point. B) good equipment. C) the required technical expertise. D) financial studies and plans. E) a committed management group of executive leaders.

C

Which method would you use to develop risk profiles for a firm's information system projects and assets? A) information systems plan B) scoring model C) portfolio analysis D) TCO E) real options model

C

Which of the following is not a tangible benefit of information systems? A) reduced rate of growth in expenses B) lower computer expenses C) improved resource control D) increased productivity E) end user satisfaction

C

Which of the following project management variables indicates how well the project satisfies management objectives? A) goals B) risk C) quality D) scope E) cost

C

Which of the following types of projects is most likely to fail? A) integration of a third-party automated payment system B) replacement of middleware with Web services for legacy application integration C) a business process redesign project that restructures workflow and responsibilities D) redesigning a user interface to an online investment site E) building a Web-based interface to an existing system

C

Which type of tool helps project managers identify bottlenecks in project development? A) internal integration tools B) external integration tools C) formal planning and control tools D) both B and C

C

You have been hired by a pharmaceutical company to evaluate its inventory of systems and IT projects. Which types of projects would be best avoided? A) any high-risk projects B) any low-benefit projects C) all high-risk, low-benefit projects D) none, any project might be beneficial E) low cost, high benefit projects

C

All of the following are indications of a failed information systems project except A) employees are refusing to switch to the new system. B) employees have created a spreadsheet solution to manipulate the data generated by the system. C) a redesigned Web site has fewer visits to the customer support pages. D) employees require training to properly use the system. E) the system is not being used by anyone.

D

All of the following are intangible benefits of information systems except A) improved asset utilization. B) increased organizational learning. C) improved operations. D) reduced workforce. E) employee morale.

D

An example of using an internal integration tool would be to A) define task dependencies. B) include user representatives as active members of the project team. C) create a PERT chart. D) hold frequent project team meetings. E) develop a system planning document for technical specialists.

D

External integration tools A) enable a project to have sufficient technical support for project management and development. B) enable a project manager to properly document and monitor project plans. C) portray a project as a network diagram with numbered nodes representing project tasks. D) consist of ways to link the work of the implementation team with users at all organization levels.

D

In using a portfolio analysis to determine which IT projects to pursue, you would A) select the most low-risk projects from the inventory. B) limit work to those projects with great rewards. C) select only low-risk, high-reward projects. D) balance high-risk, high reward projects with lower-risk projects. E) avoid projects that were very costly.

D

In working with ROPMs (real option pricing models) and options valuation, a call option is a(n) A) obligation to purchase an asset at a later date at a fixed price. B) obligation to either purchase or sell an asset at a later date at a strike price. C) right to purchase an asset at a later date at a strike price. D) right to purchase or sell an asset at a later date at a fixed price. E) an obligation to sell an asset at a later date at a fixed price.

D

The worth of systems from a financial perspective essentially revolves around the issue of A) total cost of ownership. B) adherence to information requirements. C) asset utilization. D) return on invested capital. E) the cost of computing equipment.

D

Which of the following is a limitation of using a financial approach to evaluate information systems? A) inability to measure ROI B) inability to control vendor costs C) inability to assess risk D) inability to assess costs from organizational disruption E) inability to assess the cost of technology

D

Which of the following is not an organizational factor in systems planning and implementation? A) standards and performance monitoring B) government regulatory compliance C) health and safety D) user interface

D

Which of the following is not one of the activities of the systems analyst? A) acting as a change agent B) communication with users C) mediating between competing interest groups D) formulation of capital budgeting models E) deciding which systems to develop

D

Which of the following tools is not one you would use to control risk factors in an information systems project? A) internal integration tools B) external integration tools C) formal planning tools and formal control tools D) real options pricing models E) Gantt charts

D

You have been hired to implement an enterprise system that will automate much of the billing and accounting work for a statewide HVAC services company. Which of the following would you prepare to describe how the new system will affect a firm's structure and operations? A) information systems plan B) internal integration report C) sociotechnical design report D) organizational impact analysis E) strategic planning document

D

Which of the following statistics from studies on failed projects is not true? A) Only 32 percent of all technology investments were completed on time, on budget, and with all features and functions originally specified. B) Large software projects on average run 66 percent over budget and 33 percent over schedule. C) Between 30 and 40 percent of all software projects are "runaway" projects that far exceed the original schedule and budget projections and fail to perform as originally specified. D) Thirty-two percent of technology investments are completed on time, within budget, and with requirements met. E) The average cost overrun of IT projects is 20 percent.

E

You are using a capital budgeting method to assess the worth of your company's new information system. Which of the following costs would you include in measuring the cash outflow? A) increased sales of products B) hardware and software expenditures C) labor expenditures D) reduced costs in production and operation E) both B and C

E

A Gantt chart graphically depicts project tasks and their interrelationships.

FALSE

A benefit of using TCO analysis to evaluate an information technology investment is that it is able to incorporate intangible and "soft" factors such as benefits and complexity costs.

FALSE

Mandatory use of a system is one effective way of overcoming user resistance to an information system.

FALSE

Scoring models are most commonly used to make the final decision when selecting different systems .

FALSE

The information systems steering committee is composed of information systems managers and end-user managers responsible for overseeing several specific information systems projects.

FALSE

The larger the systems project, the greater the chance that the project will be completed on time, within budget, and according to project requirements.

FALSE

User concerns and designer concerns are usually the same at the beginning of the project but may diverge later as the system is built.

FALSE

An information system project's scope is directly related to its business requirements.

TRUE

An information systems plan contains a statement of corporate goals and specifies how information technology will support the attainment of those goals.

TRUE

Counterimplementation refers to a deliberate strategy to thwart the implementation of an information system or an innovation in an organization.

TRUE

If an intended benefit of an IT project is improved decision making, managers should develop a set of metrics to quantify the value of an improved decision.

TRUE

Intangible benefits generally do not lead to quantifiable gains in the long run.

TRUE

More timely information is a intangible benefit of information systems.

TRUE

Real options pricing models use the concept of options valuation borrowed from the financial industry.

TRUE

The cost of a project is based on the time to complete a project multiplied by the cost of human resources required to complete the project.

TRUE

The design of jobs, health issues, and the end-user interface of information systems are all considerations in the field of ergonomics.

TRUE

The goal of sociotechnical design is to create systems where the organization and the technology change and adjust to one another.

TRUE

The relationship between users and information systems specialists has traditionally been a problem area for information systems implementation efforts.

TRUE

The systems analyst is the catalyst for the entire change process and is responsible for making sure that everyone involved accepts the changes created by a new system.

TRUE

Transaction and clerical systems that displace labor and save space typically produce more measurable, tangible benefits than management information systems.

TRUE