MIS Chapter 1 Exam
___________ makes long-range strategic decisions about the firm's products and services.
Senior management
_____________ is a global network that uses universal standards to connect millions of different networks around the world.
The Internet
Which of the following statements best describes organizational culture? A) It encompasses the sum of beliefs and assumptions by all members. B) It enables the organization to transcend the different levels and specialties of its employees. C) It reflects the senior management's perspective on the organization and goals. D) It allows a company to achieve greater operational efficiency. E) It is a set of assumptions and values accepted by most members.
e
Which of the following is not one of the current changes taking place in information systems technology? A) growing business use of "big data" B) growth in cloud computing C) growth in the PC platform D) emerging mobile platform E) increased usage of social networking by business
c
Which of the following objectives best describes the business strategy behind the technologies implemented by the San Francisco Giants, as discussed in the chapter case? A) customer and supplier intimacy B) survival C) competitive advantage D) customer support E) operational excellence
c
Which of the following roles in a firm would be least affected by using mobile devices to access information systems? A) senior executives B) sales executives C) production workers D) operational managers E) knowledge workers
c
Which of the following would not be a complementary asset for a solar panel manufacturer?A) international solar equipment certification standards B) government funding for green technology C) centralized hierarchical decision making D) innovation-driven management team E) subsidies for adoption of solar energy
c
An example of a business using information systems to create new products and services is A) Wal-Mart's RetailLink system. B) the Mandarin Oriental hotel's customer-preference tracking system. C) Verizon's Web-based digital dashboard. D) Apple Inc.'s iPod. E) the San Francisco Giants play tracking system.
d
In a business hierarchy, the level that is responsible for monitoring the daily activities of the business is A) middle management. B) service workers. C) production management. D) operational management. E) knowledge workers.
d
The Mandarin Oriental hotel's use of computer systems to keep track of guests' preferences is an example of A) improved flexibility. B) improved decision making. C) improved efficiency. D) customer and supplier intimacy. E) operational excellence.
d
The key elements of an organization are its structure, business processes, politics, culture, and ________________.
people
In a(n) _____ perspective, the performance of a system is optimized when both the technology and the organization mutually adjust to one another until a satisfactory fit is obtained.
sociotechnical
Detailed, programmed instructions that control computer hardware components in an information system are known as computer ______________.
software
Apple Computer dominates the online legal music sales industry primarily because of a failure of recording label companies to A) invest in technology. B) assemble accurate data. C) invest in complementary assets. D) modernize their information value chain. E) adopt a new business model.
e
Data management technology consist of the A) physical hardware and media used by an organization for storing data. B) detailed, preprogrammed instructions that control and coordinate the computer hardware components in an information system. C) two or more computers to share data or resources. D) hardware and software used to transfer data. E) software governing the organization of data on physical storage media.
e
The discipline that focuses on mathematical techniques for optimizing parameters of organizations, such as transportation and inventory control, is A) management science. B) MIS. C) computer science. D) utilization management. E) operations research.
e
The field that deals with behavioral issues as well as technical issues surrounding the development, use, and impact of information systems used by managers and employees in the firm is called A) information systems literacy. B) information systems architecture. C) business processes. D) information technology infrastructure. E) management information systems.
e
The three activities in an information system that produce the information organizations use to control operations are A) information retrieval, research, and analysis. B) input, output, and feedback. C) data, information, and analysis. D) data analysis, processing, and feedback. E) input, processing, and output.
e
The use of information systems because of necessity describes the business objective of A) operational excellence. B) improved business practices. C) competitive advantage. D) improved flexibility. E) survival.
e
Which field of study focuses on both a behavioral and technical understanding of information systems? A) sociology B) operations research C) economics D) behavioral computing E) management information systems
e
Which of the following choices may lead to competitive advantage?1. new products, services, and business models; 2. charging less for superior products; 3. responding to customers in real time A) 1 only B) 1 and 2 C) 2 and 3 D) 1 and 3 E) 1, 2, and 3
e
Which of the following is not one of the primary environmental actors that interacts with an organization and its information systems? A) competitors B) regulatory agencies C) customers D) suppliers E) sales force
e
______________ is data that has been shaped into a form that is meaningful to human beings.
Information
____________ is known as the enormous volume of data generated by Internet activity, such as Web traffic and e-mail.
Big Data
______ are private corporate networks extended to authorized users outside the organization.
Extranets
A fully digital firm produces only digital goods or services. True or False
False
All business processes are formally documented by an organization. True/False
False
Computers make up the entirety of an information system. True/False
False
Creative work driven by new knowledge and information is an insignificant part of management responsibility. True/False
False
Information systems literacy describes the behavioral approach to information systems, whereas computer literacy describes the sociotechnical approach. True/False
False
Information technology (IT) consists of all the hardware that a firm needs to use in order to achieve its business objectives, whereas information systems consist of all the software and business processes needed. True/False
False
Knowledge workers make long-range strategic decisions about products and services. True/False
False
There are four major business functions: human resources; manufacturing and production; finance and accounting; and information technology. True/False
False
There is little variation in returns on IT investment across firms. True/False
False
____________ is output returned to appropriate members of the organization to help them evaluate or correct the input stage.
Feedback
A business model describes how a company produces, delivers, and sells a product or service to create wealth. True or False
True
A firm that invest in a strong IS development team is making an investment in organizational complementary assets. True/False
True
Developing a new product, hiring a new employee, and fulfilling an order are examples of business processes. True or False
True
Internet advertising is growing at approximately 15% a year True or False
True
Intranets link different systems and networks within a firm. True/False
True
Investment in IT is 33% of all invested capital. True or False
True
Laws and regulations creating fair, stable market environments are examples of complementary social assets required to optimize returns from IT investments. True/False
True
The behavioral approach to information systems leaves aside technical solutions to instead analyze the psychological, social, and economic impacts of systems. True/False
True
The three main dimensions of information systems are management, organizations, and information technology. True/False
True
UPS's use of Web-based tools that allow customers to embed UPS functions such as tracking and cost calculations into their own Web sites was an information systems solution used to achieve customer intimacy. True/False
True
You need to know something about the hierarchy and culture of the company in order to understand how a specific business firm uses information systems. True/False
True
The ____________ is a service provided by the Internet that uses universally accepted standards for storing, retrieving, formatting, and displaying information in a page format.
World Wide Web/Web/WWW
An example of a business using information systems to attain operational excellence is A) Wal-Mart's Retail Link system. B) the Mandarin Oriental hotel's customer-preference tracking system. C) Verizon's Web-based digital dashboard. D) Apple Inc.'s iPod. E) Citibank's ATMs.
a
An example of a social complementary asset is A) technology and service firms in adjacent markets. B) training programs. C) distributed decision-making rights. D) incentives for management innovation. E) a strong IS development team.
a
An example of an organizational complementary asset is A) using the appropriate business model. B) a collaborative work environment. C) laws and regulations. D) the Internet. E) strong senior management.
a
From a business perspective, raw data is transformed systematically during various stages, transforming it into valuable information, in a process called A) the information value chain. B) the IT value chain. C) information processing. D) feedback. E) dissemination.
a
Sociologist study information systems with an eye to understanding A) how systems affect individuals, groups, and organizations. B) how human decision makers perceive and use formal information. C) how new information systems change the control and cost structures within the firm. D) the production of digital goods. E) mathematically based models and physical technology.
a
The fundamental set of assumptions, values, and ways of doing things that has been accepted by most of a company's members is called its A) culture. B) environment. C) atmosphere. D) values. E) ethos.
a
Thomas Friedman's declaration that the world was now "flat" meant that A) the Internet has reduced the economic advantages of developed countries. B) globalization is starting to offer less advantage to large corporations. C) the global economy is increasingly commanded by fewer and larger corporations. D) global capitalism is homogenizing culture and business practices throughout the world. E) global shipping rates have reached historic lows.
a
Which of the following are key corporate assets? A) intellectual property, core competencies, and financial and human assets B) production technologies and business process for sales, marketing, and finance C) knowledge and the firm's tangible assets, such as goods or services D) time and knowledge E) significant business relationships
a
Which of the following constitutes an organizational element in the UPS tracking system described in the chapter? A) the specification of procedures for identifying packages with sender and recipient information B) monitoring service levels C) promoting the company strategy of low-cost, superior service D) the use of handheld computers and networks for managing package delivery E) a Web-based Post Sales Order Management System
a
Which of the following would not be used as an input for an information system? A) digital dashboard B) handheld computer C) barcode scanner D) cell phone E) RFID reading
a
An example of a business using information systems for customer and supplier intimacy is A) Wal-Mart's Retail Link system. B) the Mandarin Oriental hotel's customer-preference tracking system. C) Verizon's Web-based digital dashboard. D) Apple Inc.'s iPod. E) Citibank's ATMs.
b
Converting raw data into a more meaningful form is called A) capturing. B) processing. C) organizing. D) feedback. E) analysis.
b
Disciplines that contribute to the technical approach to information systems are A) computer science, engineering, and networking. B) operations research, management science, and computer science. C) engineering, utilization management, and computer science. D) management science, computer science, and engineering. E) economics, sociology, and psychology.
b
In a hierarchical organization, the upper levels consist of A) managerial and professional employees. B) managerial, professional, and technical employees. C) professional and operational employees. D) managerial, professional, and operational employees. E) knowledge workers.
b
Maintaining the organization's financial records is a central purpose of which main business function? A) manufacturing and accounting B) finance and accounting C) sales and manufacturing D) finance and sales E) human resources
b
Psychologists study information systems with an eye to understanding A) how systems affect individuals, groups, and organizations. B) how human decision makers perceive and use formal information. C) how new information systems change the control and cost structures within the firm. D) the production of digital goods. E) mathematically based models and physical technology.
b
The six important objectives of information technology are new products, services, and business models; customer and supplier intimacy; survival; competitive advantage; operational excellence; and A) improved flexibility. B) improved decision making. C) improved business practices. D) improved efficiency. E) improved business value.
b
The temp agency that you own is having serious difficulties placing temps because few of them are familiar with Internet research. Investing in training software to enhance your workers' skills is an example of using technology to achieve which business objective? A) customer and supplier intimacy B) survival C) operational excellence D) improved decision making E) new products and services
b
The three principal levels within a business organization hierarchy are A) senior management, operational management, and service workers. B) senior management, middle management, and operational management. C) senior management, operational management, and information systems. D) senior management, middle management, and service workers. E) senior management, data workers, and service workers.
b
Verizon Corporation's use of a Web-based digital dashboard to provide managers with precise real-time information illustrates which business objective? A) improved flexibility B) improved decision making C) competitive advantage D) survival E) customer and supplier intimacy
b
Which main business function is responsible for maintaining employee records? A) sales and marketing B) human resources C) finance and accounting D) manufacturing and production E) middle management
b
Which of the following best describes the primary reason for implementing a new information system, from a business perspective? A) The system enables the firm to create new products and services B) The system will create new value for the firm, beyond its cost. C) The system will automate key business processes. D) The system is in use by our primary competitors. E) The system integrates well with the Web.
b
A corporation that funds a political action committee, which in turn promotes and funds a political candidate who agrees with the value of that corporation, could be seen as investing in which main category of complementary assets? A) managerial B) governmental C) social D) organizational E) auxiliary
c
A firm that must invest in new information systems capabilities in order to comply with federal legislation can be said to be investing to achieve which business objective? A) customer intimacy B) operational excellence C) survival D) improved reporting E) improved decision making
c
A managerial element in the UPS tracking system described in the chapter is A) taking inventory. B) providing package status reports to customers. C) the decision to use automation. D) in-house package tracking software. E) ability to embed UPS functions in external sites.
c
All of the following are advantages for a firm of cloud computing except A) ability to support mobile computing. B) ability to support remote work. C) ability to improve communication. D) ability to rely on markets to build value. E) ability to reduce data storage costs.
c
An example of raw data from a national chain of automobile stores would be A) an average of 13 Toyotas are sold daily in Kentucky. B) 30-percent increase in Toyota RAV4 sales during September in Kentucky. C) 1 Toyota RAV4 sold March 3, 2013, in Louisville, Kentucky. D) 10-percent improvement in sales projections for Toyota sales next year. E) a demographic breakdown of all Toyota buyers in the past year.
c
Engineers, scientists, or architects, who design new products or services for a firm, belong to which level of a business hierarchy? A) middle management B) production workers C) knowledge workers D) data workers E) service workers
c
Networking and telecommunications technologies, along with computer hardware, software, data management technology, and the people required to run and manage them, constitute an organization's A) data management environment. B) networked environment. C) IT infrastructure. D) information system. E) culture.
c
Output A) is feedback that has been processed to create meaningful information. B) is information that is returned to appropriate members of the organization to help them evaluate the input stage. C) transfers data to the people who will use it or to the activities for which it will be used. D) transfers processed information to the people who will use it or to the activities for which it will be used. E) converts raw input into a meaningful form.
c
The average number of tickets sold daily online is an example of A) input. B) raw data. C) meaningful information. D) feedback. E) processing.
c
The move of retail banking to use ATM's after Citibank unveiled its firs ATMs illustrates the use of information systems to achieve which business objective? A) improved efficiency B) customer and supplier intimacy C) survival D) competitive advantage E) improved decision making
c
