IS PRACTICE EXAM

The overall cost of ERP software can be prohibitive for some organizations. ERP software packages, including licensing, can exceed _____. ERP systems often have a steep learning curve. Due to the variety of capabilities included in many software packages, it can be difficult to implement, comprehend, and utilize a new ERP system. The costs associated with ongoing maintenance of an ERP system need to considered. Maintenance costs include personnel required to do software training, additional IT personnel, and consultants.

$100,000

Email, social media, and traditional mail are sources of

CRM customer interaction data.

Users often find it difficult to implement or even comprehend a new ERP system without significant training because of

ERP's steep learning curves

Software that businesses use to manage activities in both the internal and external operational environment is known as

Enterprise Resource Planning (ERP).

Of the following, select the reasons why up-to-date inventory management systems are highly efficient. More than one answer may be correct

Estimates of reordering points are highly accurate.Estimates of reordering points are highly accurate. Forecasts of order quantity levels are much improved.Forecasts of order quantity levels are much improved. Adherence to Equal Employment Opportunity legislation is stricter.Adherence to Equal Employment Opportunity legislation is stricter. Average CAMELS ratings have risen substantially.

Online analytical processing (OLAP)

is a key advanced technology behind CRM analytics.

Customized communication

or properly matching messages to the customer, results in less wasted communication, more sincere communication, and effectiveness.

What is Jira and GanttPro examples of?

project management software

Recruiting and hiring management software helps HR managers use both internal and external data to determine

what staff the organization will need and how it can obtain them.

What business software applications are commonly integrated with an enterprise resource planning (ERP) system as modules? Select all of the correct answer options.

CRM PM BI

Online analytical processing (OLAP) is the technology behind many business intelligence applications. Of the following, what three facts about OLAP and CRM are true?

CRM analytics are considered a form of online analytical processing (OLAP).CRM analytics are considered a form of online analytical processing (OLAP). OLAP includes predictive what-if analysis, report generation, and forecasting.OLAP includes predictive what-if analysis, report generation, and forecasting. CRM systems incorporate data mining through online analytical processing.CRM systems incorporate data mining through online analytical processing. Correct Online analytical processing (OLAP) is separate from data discovery and analysis.

This company is trying to determine the viability of their new feature. This can be done by using the

CRM to track consumption trends and usage behaviors such as how much time is spent engaging with that feature and with the app overall.

Describe benefits of cloud-based ERP systems over on-premises ERP solutions. More than one answer may be correct.

Cloud-based ERP systems allow organizations to access reports from remote locations. Cloud-based ERP systems have lower IT infrastructure expenses. Organizations using cloud-based ERP systems have reduced IT labor expenses. Organizations using cloud-based ERP systems have reduced IT labor expenses. Cloud-based options provide more control over on-premises ERP solutions.

Which of the following statements about sources of customer data are correct?

Customer surveys collect feedback from customers.Customer surveys collect feedback from customers. Data collection from social media platforms can be integrated within a CRM platform.Data collection from social media platforms can be integrated within a CRM platform. Analytics are used to uncover trends in the collected data.

What is the primary reason that businesses use CRM systems to help them identify MQLs and SQLs during the customer acquisition process?

Different engagement is needed to turn each type of lead into a customer.

Accounting systems that record ledger journaling and billing, as well as perform a variety of other financial calculations and tasks, are commonly being integrated with

ERP Systems

What occurs during the process optimization step of business process management?

Managers adapt (modify) the process to enhance process performance.

Describe the functions of project management software. More than one answer may be correct.

Organize project management tasks.Organize project management tasks. Enable collaboration among project stakeholders.Enable collaboration among project stakeholders. Provide project management security. make job assignments

Software that businesses use to manage activities in both the internal and external operational environment is known as Enterprise Resource

Planning

Of the following statements, which one specifically applies to the CRM integration of platforms such as Facebook, YouTube, and TikTok?

Social media platforms provide targeted customer information.

The first two steps in business process management (BPM) are examining the design of the process and modeling the process. What are the third and fourth steps of the process?

Step 3: running the process; Step 4: monitoring the process

Integrating a business software module into an ERP has several advantages. Which of the following business software modules includes customer payment information?

TPS Software

A company is trying to determine why their CRM software is not generating better leads and asks you to analyze their process. Which of the following could be reasons why their CRM is not successfully generating leads? More than one answer may be correct.

The company only has a presence on Facebook—it has no social media presence on any other platform.The company only has a presence on Facebook—it has no social media presence on any other platform. The CRM is not set up to track which emails potential customers are clicking on to get to their e-commerce site.The CRM is not set up to track which emails potential customers are clicking on to get to their e-commerce site. The company has not placed any ads using Google AdWords.The company has not placed any ads using Google AdWords. The CRM tracks user preferences as they navigate the company's website, keeping track of which special offers generate more users to complete purchases.

A new app wants to use CRM to analyze whether a new feature would generate reliable income. Which of the following could be used to determine this? More than one answer may be correct.

The company uses the CRM to track how many users access this new feature and how much time they spend using it.The company uses the CRM to track how many users access this new feature and how much time they spend using it. The company uses the CRM to track how much more or less time users who access that feature spend in the app overall. The company uses the CRM to track which sections of the app most frequently crash for customers.

Which of the following is an example of how the project communications piece of project management software could be used when integrated with enterprise resource planning software? More than one answer may be correct.

The visual project completion map is automatically updated as phases are completed. The visual project completion map is automatically updated as phases are completed .The client is able to access information about all phases of the project in one place, reducing the need for individual status reports.The client is able to access information about all phases of the project in one place, reducing the need for individual status reports. A team lead is able to reassign a phase of the project when the project becomes too much work for the originally assigned staff.

From the following list, select all the ways in which CRM systems assist businesses in targeting a market segment.

They are used to identify a target market and provide insights into the profiles of these customers.They are used to identify a target market and provide insights into the profiles of these customers. They help identify the common characteristics of target market members, including geographic location, demographic and psychographic backgrounds, and income level.They help identify the common characteristics of target market members, including geographic location, demographic and psychographic backgrounds, and income level. They provide analysis of customer characteristics, which is an important part of the target market identification process.They provide analysis of customer characteristics, which is an important part of the target market identification process. They collect important transactional data that users can then manually sort, interpret, and use in target marketing identification.

From the following list, select all the sales prospecting tools that are most often integrated with CRM systems

ZoominfoZoominfo LinkedIn Sales Navigator Clearbit Prospector

Which component of a business management system can help a manager check and report on the company's current inventory?

a database management system (DBMS)

In a Gantt chart,

a project is broken down into its component tasks, some of which can be done at the same time, while other tasks are dependent upon the completion of preceding tasks. Each task is depicted on the chart, a horizontal bar chart, displaying an estimate of its time requirement.

Cloud-based ERP systems allow organizations to

access data and reports from remote locations at any hour of the day. Cloud-based ERP systems often have a lower price point when compared to on-premise options. IT support services provided by the cloud-based ERP organization result in reduced IT labor expenses.

What type of software can be integrated with ERP software to record ledger journaling and billing in the same platform as other, related data?

accounting

Share of customer,

also known as share of wallet, focuses on getting as much business as possible from fewer customers.

In the second step in business process management

analysts use flowcharts and other tools to depict the workflow, the sequence of operations, and the decision points. This is called the process modeling step.

Organizations that use an on-premises business management system

are also responsible for maintaining, updating, and securing the system.

By 2021, customer relationship management systems

as predicted by the Gartner IT Services company, will be the single largest revenue area of spending in enterprise software.

Which of the following data types are qualitative data? More than one answer may be correct.

attitude and opinionattitude and opinion motivation to purchasemotivation to purchase education

During the fifth step in business process management,

called process optimization, managers and decision makers modify the process to further improve performance. Once changes have been made, the process is again executed and analyzed. This recurring review and feedback activity allow managers to create a continually improving process.

A database management system

can store and categorize inventory data, allowing managers to look up items and create inventory reports.

A key component, and major advantage, of an ERP is its

centralized database.

The integration of e-commerce and ERP ensures that data is

collected from e-commerce operations, including customer information, order history, shipping information, and customer satisfaction measures.

Transaction processing software (TPS) includes

customer payment information, among other resources.

The business software applications that are commonly integrated with an ERP system include

customer relationship management (CRM), project management (PM), and business intelligence (BI) modules.

Apple has a high CE value due to the extreme customer loyalty exhibited by their customers. This loyalty leads to

customers who purchase many Apple products including phones, tablets, wearables, and other devices. Additionally, Apple spends very little on their customer acquisition costs and even less on their customer retention costs.

What is one of the greatest risks of an organization storing customer data?

data breaches

A company can ethically share your user data with third parties as long as they

disclose it to you in some way—generally within the terms of service agreement.

Which type of ERP module collects data such as customer information, order history, shipping information, and customer satisfactions measures?

e-commerce operations

Customer interaction encompasses all communication between a customer and an organization. A customer relationship management system (CRM) captures interactions from which three of the following sources?

emailemail social mediasocial media traditional mail

Most HRM modules provide a structured dashboard that managers can access for information. Which of the following information types are included? More than one answer may be correct.

employee absences or leaves employee compensation employee performance review status employee environmental controls

Which of the following represents a type of HR management system? More than one answer may be correct.

employee benefits administration softwareemployee benefits administration software employee evaluation softwareemployee evaluation software compensation management softwarecompensation management software customer relationship management software

Smaller firms may rely on software packages such Kronos Workforce Ready, BambooHR, PerformancePro for services related to

employee evaluation.

Major corporations mainly use employee compensation software that is included in an

enterprise planning resource (ERP) suite.

Gartner IT Services company predicts that by 2021, customer relationship management systems will be the single largest revenue area of spending in

enterprise software.

The value that the future lifetime revenue an organization's customers will generate minus customer acquisition costs and customer retention costs is called customer

equity.

The five steps of business process management (BPM) in order are:

examining the design of the process, modeling the process, running the process, monitoring the process, and initiating process improvements.

Apple has a very high customer equity (CE) value. Apple has gained this high CE value due to

extreme customer loyalty.

In the second step in business process management, analysts use flowcharts and other tools to depict the workflow, the sequence of operations, and the decision points. This is called the process monitoring step.

false

Major corporations often manage their employee compensation plans through web-based services.

false

Normally in a company's overall compensation strategy, employee salary is more important than employee benefits.

false Along with pay, employee benefits make up a critical part of an overall compensation strategy.

Customer surveys, social media, and analytics are used to

gather data on current customers, which helps inform possible future patterns.

Radio frequency identification (RFID) technology

has allowed faster (real-time) inventory tracking and management. The adoption of the universal product code (UPC) as the standard barcode marked the modern era of inventory management systems.

Describe difficulties in implementing an ERP system. More than one answer may be correct.

high costs steep learning curve maintenance costs poor access to data

Because some tasks can be done concurrently while other tasks are dependent upon the completion of preceding tasks, Gantt charts are constructed using a

horizontal bar chart

CRM software helps businesses

identify which leads are MQL and which are SQL so that the businesses can properly engage both groups and turn them into customers.

A new app was released providing consumers with digital coupons for products the consumer indicates they frequently purchase. The app gives different users coupons with different values and shares purchasing as well as demographic information with the product manufacturer. Under what circumstances would the information sharing with product manufacturers be ethical?

if the app's terms of service indicated who they would be sharing information with and what information would be shared

The popular prospecting tools

include Zoominfo, LinkedIn Sales Navigator, Clearbit Prospector.

Qualitative data

includes categories for attitude, opinion, and motivation to purchase.

The proliferation of e-commerce-based organizations today has

increased the need for more robust transaction management processing systems and encouraged their integration into ERP systems.

CRM systems provide users with

information that helps them identify good prospective customers and create customized sales funnels.

A benefit of integrating project management software into enterprise resource planning software is that it

integrates all of the project data in a central location. This allows for better communication, including visual maps and the reduced need for individual status reports.

Recruiting and hiring management software can help HR managers evaluate how their organization's future staffing needs are influenced by

internal factors such as employee turnover and external factors such as public demand for the organization's products.

Customer equity

is the value that the future lifetime revenue an organization's customers will generate minus customer acquisition costs and customer retention costs.

Users often find it difficult to implement or even comprehend a new ERP system without significant training because of ERPs' steep

learning curves

Descriptive data about a customer includes categories such as

lifestyle and career.

Descriptive data includes

lifestyle, career, family status, and education. This data type provides additional information about the customer base.

Describe the cost benefits of using a cloud-based ERP compared to an on-premise system. More than one answer may be correct.

lower IT infrastructure expenses lower maintenance costs reduced IT labor expenses reduced vendor support costs

Cost benefits of using cloud-based ERP systems as compared to on-premise systems include:

lower IT infrastructure expenses; lower maintenance costs; and reduced expenses for IT personnel due to the IT support services provided by cloud-based ERP vendors.

Along with salary, human resources (HR) managers typically need to track employee hiring dates, marital status, number of dependents, and benefits choices and usage. To ensure this is done correctly, nearly all firms use a system that

manages benefits.

Customized communication is best described as

matching the message to the individual customer.

Ensuring that the system is maintained, updated, and secured is a major drawback to

on-premises systems.

What is a key advanced technology behind CRM analytics?

online analytical processing

CRM analytics are often considered a form of

online analytical processing (OLAP). OLAP is the technology behind many business intelligence applications and is used for data discovery and analysis including predictive what-if analysis, report generation, and forecasting. Often, CRM systems use data mining to extract information from a customer database.

In order to reduce security risk and facilitate collaboration among project stakeholders, most project management (PM) software is

or located on the internet.

Project management software offers the ability to

organize and track scheduling, forecasting, resource allocation, tracking, task management, budgeting, and execution. In addition, project management software enhances collaboration and communication between all project stakeholders and contractors. With access rights and permissions enabled, project management software secures the details and information pertaining to a project.

During the fifth step optimization process step of business process management, what are two key things manager look for in the process?

potential slowdowns and savings opportunities

Organizations create and consume many different types of data that are generated from the internal and external operating environment. These include

production, inventory, accounting/financial, and human resources. ERP systems are used to consolidate this data in a central location for access and retrieval, which cuts down on data redundancy and access time.

Jira and GanttPro are two examples of

project management software. These two types of software are commonly used by small businesses.

What aspect of today's business environment is central to the need for robust transaction management processing systems?

proliferation of e-commerce-based organizations

Select two technologies that have advanced the efficiency of inventory management systems.

radio frequency identification (RFID)radio frequency identification (RFID) universal product codes (UPC)universal product codes (UPC) magnetic resonance imaging (MRI)magnetic resonance imaging (MRI) reduced vertical separation minima (RVSM)

Data breaches

remain one of the biggest threats to storing customer information. CRM systems store large volumes of information from customers and employees and are often the target of cybercriminals.

HR management systems include

software for benefits administration (enrolling, maintaining, managing, and discontinuing benefits for employees and their dependents), evaluating and/or tracking the performance of employees, and strategically compensating employees.

From the following list, select the two resources that organizations can track using accounting management software.

tangible assets intangible assets customer relationships supply chain resources

Organizations can use accounting systems and software to track

tangible assets (such as land, equipment, and inventory) and intangible assets (such as good will, brand equity, intellectual property, patents, and trademarks).

CRM software provides which of the following important customer qualification benefits? More than one answer may be correct.

the ability to make distinctions between true prospects and unrealistic sales opportunities the ability to make distinctions between true prospects and unrealistic sales opportunities the opportunity to create customized sales funnels based on specific organizational needs and sales characteristics

The concept of "share of customer" focuses on getting

the most business from the fewest customers.

Describe the factors associated with maintenance costs incurred by employing an enterprise resource planning (ERP) system. More than one answer may be correct.

time costsincreased IT PersonnelSoftware Consultants

In order for a CRM to be effective, it needs to

track quality data from a variety of sources. Having a presence on only one social media site limits the demographics of the data collected. Similarly, the company should be collecting the data regarding which emails are generating leads versus which ones get deleted before they are read.

A benefits management system

tracks employee hiring dates, marital status, number of dependents, and benefits choices.

Machines were not used to assist in employee management until the late 1800s, when businesses began tracking employee work hours with time clocks and punch cards.

true

In the fourth step of business process management, managers measure the performance of the engine. This is called the process monitoring step.

true In the fourth step of business process management, managers measure the performance of the engine by tracking both individual process components and the process as a whole. This is called the process monitoring step.

CRM systems are

useful in the identification of an organization's target market, the common characteristics of diverse target markets and their members, and the definition and analysis of key customer characteristics for target marketing.