IS- CH 1

Research indicates that firms that support their technology investments with investments in key organizational, managerial, and social complementary assets receive superior returns. Which of the following is an example of a key organizational complementary asset?

A supportive business culture that values efficiency and effectiveness, an appropriate business model, efficient business processes, decentralization of authority, highly distributed decision rights, and a strong information system (IS) development team

Variation in Returns on Information Technology

Although, on average, investments in information technology produce returns far above those returned by other investments, there is considerable variation across firms

What is an information system?

An information system can be defined technically as a set of interrelated components that collect, process, store, and distribute information to support decision making and control in an organization.

__________ refer to the set of logically related tasks and behaviors that organizations develop over time to produce specific business results and the unique manner in which these activities are organized and coordinated.

Business processes

Which of the following statements about information systems and globalization is false?

Communication between businesses in different parts of the world is now instant, but expensive.

Which of the following best defines complementary assets?

Complementary assets are those assets required to derive value from a primary investment.

Which of the following information technologies consists of detailed, preprogrammed instructions that control and coordinate the computer in an information system?

Computer software

The Mandarin Oriental hotel in Manhattan keeps track of guest's preferences, such as their preferred room temperature and television programs, in a large data repository. Individual rooms are networked to a central network server computer, so that when a customer arrives, the system automatically changes the room conditions to meet each customer's specifications. This scenario is a good example of a business using information systems to achieve which of the following strategic business objectives?

Customer and supplier intimacy

DIKW Pyramid

Data- raw facts, numbers, symbols Information- Processed (aggregated) data Knowledge- "how?" Wisdom- "Why?" causality

Business firms invest heavily in information systems to achieve six strategic business objectives: operational excellence; new products, services, and business models; customer and supplier intimacy; improved decision making; competitive advantage; and survival. Which of the following is a good example of the relationship between information systems and operational excellence?

In 2016, Walmart achieved $499 billion in sales in large part because of its Retail Link system, which digitally links its suppliers to every one of Walmart's stores. As soon as a customer purchases an item, the supplier monitoring the item knows to ship a replacement to the shelf.

Taking plot into consideration, if you don't invest in IT, what is going to be your productivity?

Investment=0--> productivity= lower; 0 productivity -->out of business *outside this range, won't be able to use the regression line

Digital Firm

Is one in which nearly all of the organization's significant business relationships with customers, suppliers, and employees are digitally enable and mediated

From a business perspective, an information system provides a solution to a problem or challenge facing a firm and represents a combination of management, organization, and technology elements. Leadership, strategy, and management behavior are components of which dimension of information systems?

Management

__________ is a field that deals with the behavioral issues as well as technical issues surrounding the development, use, and impact of information systems used by managers and employees in a firm.

Management information systems

Its it always the case that if you invest on IT, you are going to have more productivity?

No, no always because regression line gives general trend

In 2016, Walmart achieved $499 billion in sales in large part because of its Retail Link system, which digitally links its suppliers to every one of Walmart's stores. As soon as a customer purchases an item, the supplier monitoring the item knows to ship a replacement to the shelf. Business firms invest heavily in information systems to achieve six strategic business objectives: operational excellence; new products, services, and business models; customer and supplier intimacy; improved decision making; competitive advantage; and survival. This scenario is a good example of a business using information systems to achieve which of the following strategic business objectives?

Operational excellence

Sociotechnical Approach to Information Systems

Optimal organizational performance achieved by jointly optimizing both social and technical systems used in production -Helps avoid purely technological approach

Research indicates that firms that support their technology investments with investments in key organizational, managerial, and social complementary assets receive superior returns. A supportive business culture that values efficiency and effectiveness, an appropriate business model, efficient business processes, decentralization of authority, highly distributed decision rights, and a strong information system (IS) development team is an example of which type of key complementary asset?

Organizational complementary assets

__________ actually produce the product and deliver the service in an organization.

Production workers

In which of the approaches to information systems is the performance of a system optimized when both the technology and the organization mutually adjust to one another until a satisfactory fit is obtained?

Sociotechnical

Research indicates that firms that support their technology investments with investments in key organizational, managerial, and social complementary assets receive superior returns. Which of the following are examples of key managerial complementary assets?

Strong senior management support for change, incentive systems that monitor and reward individual innovation, an emphasis on teamwork and collaboration, training programs, and a management culture that values flexibility and knowledge

Business firms invest heavily in information systems to achieve six strategic business objectives: operational excellence; new products, services, and business models; customer and supplier intimacy; improved decision making; competitive advantage; and survival. Which of the following is a good example of the relationship between information systems and customer and supplier intimacy?

The Mandarin Oriental hotel in Manhattan keeps track of guest's preferences, such as their preferred room temperature and television programs, in a large data repository. Individual rooms are networked to a central network server computer, so that when a customer arrives, the system automatically changes the room conditions to meet each customer's specifications.

Which of the following statements about the behavioral approach to understanding information systems is false?

The behavioral approach ignores technology.

With what does the field of management information systems deal?

The behavioral issues as well as technical issues surrounding the development, use, and impact of information systems used by managers and employees in a firm

A flexible collection of computers on the Internet begins to perform tasks traditionally performed on corporate computers. Major business applications are delivered online as an Internet service. Which technology changes affecting information systems are described in this scenario?

The growth in cloud computing

From a business perspective, an information system provides a solution to a problem or challenge facing a firm and represents a combination of management, organization, and technology elements. The organizational dimension of information systems involves which set of components?

The organization's hierarchy, functional specialties, business processes, culture, and political interest groups

Management Information Systems

a computerized information-processing system designed to support the activities of company or help managers make improved decisions

Input

captures or collects raw data from within the organization or from its external environment

The study of information deals with issues and insights contributed from technical and behavioral disciplines. The disciplines that contribute to the technical approach (focusing on formal models and capabilities of systems) are:

computer science, management science, and operations research.

Processing

converts this raw input into a meaningful form

A _________ is one in which nearly all of the organization's significant business relationships with customers, suppliers, and employees are digitally enabled and mediated.

digital firm

A flexible collection of computers on the Internet begins to perform tasks traditionally performed on corporate computers. Major business applications are delivered online as an Internet service. The developments in the scenario are part of the __________.

growth in cloud computing

Globalization

internet has drastically reduced costs of operating on a global scale; increases in foreign trade; presents both challenges and opportunities

A(n) __________ links two or more computers to share data or resources.

network

Strategic Business Objectives of Information Systems

operational excellence; new products, services, and business model; customer and supplier intimacy; improved decision making; competitive advantage; and survival

Which of the following types of operational personnel is responsible for monitoring the daily activities of the business?

operational management

From a business perspective, an information system provides a solution to a problem or challenge facing a firm and represents a combination of management, organization, and technology elements. The organization's hierarchy, functional specialties, business processes, culture, and political interest groups are components of which element of information systems?

organization

Feedback

output that is returned to appropriate members of the organization to help them evaluate or correct the input stage

__________ is the function of an information system that converts raw input into a meaningful form.

processing

The study of information deals with issues and insights contributed from technical and behavioral disciplines. The disciplines that contribute to the behavioral approach (focusing on the design, implementation, management, and business impact of systems) are:

psychology, sociology, and economics.

Information System

system that collect and store information

The __________ to information systems emphasizes mathematically based models to study information systems, as well as physical technology and formal capabilities of these systems.

technical approach

Output

transfers the processed information to the people who will use it or to the activities for which it will be used

Information Technology

used to achieve greater efficiency, innovation, and customer service; frequently changes the way a business works and supports entirely new business models