Business Info Systems Knowledge Check Chapters 1 + 2 +3 +9 + 6 + 8 + 10 + 11 + 4

An example of raw data from an automobile manufacturer would be: an average sale price of $26,000 for all Subaru Outbacks sold during January 2015 in Mount Kisco, New York. an average of 130 Subarus sold daily in New York in 2015. 1 Subaru Outback sold January 7, 2015 in Mount Kisco, New York for $25,000. 1,300 Subaru Outbacks sold during the first quarter 2015 in New York. annual sales of Subaru Outbacks increased 4.5 percent.

1 Subaru Outback sold January 7, 2015 in Mount Kisco, New York for $25,000.

________ provide information to coordinate all of the business processes that deal with customers in sales, marketing, and service to optimize revenue, customer satisfaction, and customer retention. TPS MIS CPS ESS CRM systems

CRM systems

To make sure they stock clothes that their customers will purchase, a department store implements a new application that analyzes spending levels at their stores and cross-references this data to popular clothing styles. Which of the following business objectives is this information intended to support? Improved decision making Operational excellence Customer intimacy New products Survival

Customer intimacy

Which metric is based on the relationship between the revenue produced by a specific customer, the expenses incurred in acquiring and servicing that customer, and the expected life of the relationship between the customer and the company? Customer lifetime value Cost per lead Customer average value Churn rate Cost per sale

Customer lifetime value

Which of the following systems are especially suited to situations in which the procedure for arriving at a solution may not be fully predefined in advance? KMS CRM DSS TPS MIS

DSS

Which of the following systems would you use to forecast the return on investment if you used new suppliers with better delivery track records? TPS DSS ESS MIS CRM

DSS

Which supply chain planning function determines how much product is needed to satisfy all customer demands? Just-in-time planning Distribution management Order planning Demand planning Replenishment planning

Demand planning

Which of the following refers to a company's organizations and processes for distributing and delivering products to its final customers? Value web Upstream portion of the supply chain Downstream portion of the supply chain Supplier's internal supply chain External supply chain

Downstream portion of the supply chain

Which of the following refers to the purchase or sale of goods and services over the Internet? E-business CRM SCM E-commerce MIS

E-commerce

________ modules deal with issues such as setting objectives, employee performance management, and performance-based compensation. ERM SCM SCP SFA PRM

ERM

What is the most important benefit of an enterprise application? Enabling cost-effective, e-business processes Enabling business functions and departments to share information Enabling managers to make better decisions Enabling speed of communicating Enabling a company to work collaboratively with customers and suppliers

Enabling business functions and departments to share information

Which of the following is not one of the competitive forces in Porter's model? External environment Customers Technology Suppliers Other competitors

External environment

Which of the following is the first step in BPM? Identify processes for change. Identify synergies. Extend the value chain. Improve design quality and precision. Reduce cycle time and simplify the production process.

Identify processes for change.

Why isn't overstocking warehouses an effective solution for a problem of low availability? It is an inefficient use of raw materials. It increases sales costs. It increases inventory costs. It increases production costs. It does not speed product time to market.

It increases inventory costs.

Which of the following systems are designed to summarize and report on the company's basic operations? TPS ESS KMS MIS DSS

MIS

Which of the following systems would you use to determine the five suppliers with the worst record in delivering goods on time? DSS CRM MIS ESS TPS

MIS

________ is the ability to offer individually tailored products or services using the same production resources as bulk production. Mass customization Demand customization CAD Personalization Size customization

Mass customization

Walmart exemplifies the power of information systems coupled with excellent business practices and supportive management to achieve which of the following? Operational efficiency Customer intimacy New business models Survival Competitive advantage

Operational efficiency

Which of the following is an interorganizational business process? Identifying a customer Checking product quality Creating financial statements Ordering raw materials Hiring an employee

Ordering raw materials

Which type of system would you use to change a production schedule if a key supplier was late in delivering goods? DSS MIS CRM system ESS SCM system

SCM system

________ modules in CRM systems help sales staff increase their productivity by focusing sales efforts on the most profitable customers, those who are good candidates for sales and services. PRM SFA Just-in-time ERM CLTV

SFA

The reduction of errors to 3.4 defects per million opportunities is central to the concept of: benchmarking. cycle time reduction. Six Sigma. TQM. BPR.

Six Sigma.

Which of the following industries has the lowest barrier to entry? Solar energy Small retailer Airline Automotive Computer chip

Small retailer

Which of the following is an example of a key force in a firm's broader, less immediate environment? Competitors Regulations Customers Suppliers Socioeconomic trends

Socioeconomic trends

Seeing quality as the responsibility of all people and functions in an organization is central to the concept of: TQM. cycle time reduction. benchmarking. quality control. six sigma.

TQM.

What analytical framework discussed in the chapter helps understand and evaluate the benefits and uses of collaboration tools? Space/cost matrix Time/space matrix Cost/use matrix Task/time matrix Time/cost matrix

Time/space matrix

A characteristic or quality describing an entity is called a(n): attribute. field. tuple. key field. table

attribute.

Enterprise software is built around thousands of predefined business processes that reflect: cutting edge workflow analyses. best practices. the firm's organization. industry benchmarks. government regulations.

best practices.

The most successful solutions or methods for achieving a business objective are called: benchmarks. best processes. best practices. value webs core processes.

best practices.

Benchmarking: allows industry participants to develop industry-wide standards. compares the efficiency and effectiveness of your business processes against strict standards. coordinates the value chains of independent firms to enable them to collectively produce a product or service. synchronizes the business processes of customers, suppliers, and trading partners. is used to measure the speed and responsiveness of information technology.

compares the efficiency and effectiveness of your business processes against strict standards.

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: environment. values. atmosphere. culture. business process.

culture

All of the following are psychological aspects of quality except: effective marketing. the product's reputation. the courtesy of salespeople. the company's knowledge of its products. the sensitivity of support staff.

effective marketing.

A(n) ________ collects data from various key business processes and stores the data in a single comprehensive data repository, usable by many parts of the business. TPS MIS automatic reporting system DSS enterprise system

enterprise system

Data mining is a tool for allowing users to: summarize massive amounts of data into much smaller, traditional reports. quickly compare transaction data gathered over many years. perform multidimensional data analysis. find hidden relationships in data. obtain online answers to ad hoc questions in a rapid amount of time

find hidden relationships in data.

The final step in the four-step model of business problem solving is: outcome. implementation. feedback. employee re-training. change management.

implementation.

The business value of an effective supply-chain management system includes all of the following except: improved delivery service. faster time to market. cost reduction. supply matched to demand. increased inventory levels.

increased inventory levels.

In network economics, the value of a commercial software vendor's software products: increases as more people use them. increases due to higher marginal gain in output. is unrelated to the number of people that use them. decreases as more people use them. decreases according to the law of diminishing returns.

increases as more people use them.

An ESS is an information system that supports the: decision-making and administrative activities of middle managers. day-to-day processes of production. management of customer relationships. knowledge and data workers in an organization. long-range planning activities of senior management.

long-range planning activities of senior management.

When a firm provides a specialized product or service for a narrow target market better than competitors, they are using a ________ strategy. market transparency product differentiation process efficiency market niche mass customization

market niche

Consider an information system in a moving company that analyzes travel patterns and decides which routes are the most efficient for every van. The need for employees to follow procedures to update this system with arrival and departure times would be considered a(n) ________ dimension of the system. cultural technology managerial people organizational

organizational

A new pancake restaurant chain, is having difficulty finding pancake chefs. This is a business problem that falls into the: organizational dimension. management dimension. technical dimension. people dimension. cultural dimension.

organizational dimension.

Walmart's continuous replenishment system allows it to do all of the following except: keep costs low. transmit orders to restock directly to its suppliers. better meet customer demands. fine-tune merchandise availability. provide mass customization.

provide mass customization.

A supply chain driven by actual customer orders or purchases follows a ________ model. pull-based push-based replenishment-driven build-to-stock continuous delivery

pull-based

In a relational database, the three basic operations used to develop useful sets of data are: select, project, and join. select, project, and where. select, join, and where. who, what, and where. select, from, and join.

select, project, and join.

Inadequate database capacity is an example of the ________ dimension of business problems. organizational cultural management technology people

technology

In choosing the best solution for a business problem, all of the following are important considerations except: the length of time to implement the solution. the cost of the solution. the attitudes of employees. the feasibility of the solution given existing resources and skills. the ability to forget about the problem once it has been solved.

the ability to forget about the problem once it has been solved.

A database into which employees manually input customer names and addresses is riddled with errors and you have been charged with rectifying the situation. In considering the organizational dimensions of this problem, you should consider: the skill levels of the employees inputting the data. the business processes in place governing the manual input of the data. the storage capacity of the database. the types of automatic error checking provided by the input software. the training given to the employees inputting the data.

the business processes in place governing the manual input of the data.

The emergence of software as a web service has acted as a disruptive technology for: PC manufacturers. local Internet service providers. telecommunications providers. traditional boxed software companies. traditional key-word search engines.

traditional boxed software companies.

A computerized system that performs and records the daily activities necessary to conduct business is classified as a(n): management-level system. transaction processing system. business intelligence system. decision support system. executive support system.

transaction processing system.

Output: is information that is returned to appropriate members of the organization to help them evaluate the input stage. transfers processed information to the people who will use it or to the activities for which it will be used. is a stream of raw facts representing events occurring in organizations or the physical environment. is feedback that has been processed to create meaningful information. transfers raw data to the people who will use it or to the activities for which it will be used.

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

A data ________ stores current and historical data of potential interest to decision makers throughout the company. warehouse mart archive center mine

warehouse

Which of the following is the best definition of an information system? Computers, keyboards, printers, and telecommunications devices A set of detailed programmed instructions that transform raw data into information A set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision making and control in an organization A global network that uses universal standards Physical devices and software that can be connected to share voice, data, images, sound, and video

A set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision making and control in an organization

Which of the following illustrates the use of information systems to achieve product differentiation? A hot tub dealer's use of information systems to determine which models and options its customers are most likely to buy A shoe manufacturer's use of information systems in selling custom, made-to-order shoes directly to customers A PC manufacturer's use of information systems to facilitate direct access from suppliers to production schedules A grocery store chain's use of information systems to produce products and services at a lower price than competitors A hotel chain's use of information systems to analyze detailed data on guests to determine each guest's profitability

A shoe manufacturer's use of information systems in selling custom, made-to-order shoes directly to customers

Which of the following is not one of the four basic strategies a company can employ to deal with competitive forces? Strengthen customer and supplier intimacy Differentiate products Compete on employee loyalty Focus on market niche Low-cost leadership

Compete on employee loyalty

Which of the following provides a suite of integrated software modules for finance and accounting, human resources, manufacturing and production, and sales and marketing that allows data to be used by multiple functions and business processes? Groupware CRM software Process management software ERP systems Application software

ERP systems

CRM systems help businesses achieve which of the following business objectives? Enhanced supplier intimacy Enhanced customer intimacy Automated production forecasts Faster time to market with new products and services Automated accounting processes

Enhanced customer intimacy

Which are the three major dimensions of business problem solving? Organizational dimensions, technology dimensions, and cultural dimensions People dimensions, technology dimensions, and environmental dimensions Technology dimensions, organizational dimensions, and environmental dimensions Organizational dimensions, people dimensions, and technology dimension Organizational dimensions, people dimensions, and environmental dimensions

Organizational dimensions, people dimensions, and technology dimension

Which of the following traditional solutions enables manufacturers to deal with uncertainties in the supply chain? Perfect information Demand planning Continuous replenishment Just-in-time strategies Safety stock

Safety stock

To what competitive force did the printed encyclopedia industry succumb? Increased bargaining power of suppliers Positioning and rivalry among competitors Low cost of entry Increased bargaining power of customers Substitute products or services

Substitute products or services

________ systems integrate and share information from suppliers, manufacturers, distributors, and logistics companies. Collaborative distribution Supply chain management Digital dashboard Enterprise planning Reverse logistics

Supply chain management

A firm that invests in an information system because it is a necessity of doing business does so because it is seeking to achieve which of the following business objectives? Survival Improved decision making Operational excellence Customer intimacy Competitive advantage

Survival

A firm that must invest in a new information system in order to comply with federal legislation is investing to achieve which of the following business objectives? Operational excellence Survival New products. Customer intimacy Improved decision making

Survival

Which of the following is not an advantage for new companies entering the marketplace? They are more highly motivated. They can often hire younger, less expensive workers. They can establish new relationships with suppliers. They can implement new systems and equipment. They are not locked into an existing brand image.

They can establish new relationships with suppliers.

Which of the following refers to a company's suppliers, supplier's suppliers, and the processes for managing relationships with them? Value web External supply chain Supplier's internal supply chain Upstream portion of the supply chain Downstream portion of the supply chain

Upstream portion of the supply chain

The enormous volume of data generated by Internet activity, such as web traffic, email, and social media is referred to as: the mobile digital platform. IoT. cloud computing. big data. business intelligence.

big data.

A distortion of information about the demand for a product as it passes from one entity to the next across the supply chain is called the ________ effect. bullwhip whirlpool network diffraction ripple

bullwhip

BPM tools can do all of the following except: capture and enforce business rules for performing processes. create models of improved processes. create a digital model of a part, product or structure. integrate existing systems to support new or redesigned processes. document processes requiring improvement.

create a digital model of a part, product or structure.

In a ________ system configuration, separate information systems are designed and managed by each foreign unit. decentralized duplicated centralized networked virtual

decentralized

A build-to-order supply-chain model is also called a ________ model. push-based replenishment-driven supply-based continuous delivery demand-driven

demand-driven

The use of digital technology and the Internet to execute the major business processes in the enterprise is called: MIS. e-commerce. e-business. enterprise applications. KWM.

e-business.

A schematic of the entire database that describes the relationships in a database is called a(n): field key diagram. data dictionary. data definition diagram. entity-relationship diagram. intersection relationship diagram.

entity-relationship diagram.

The value chain model: focuses primarily on collaboration with suppliers. sees the supply chain as the primary activity for adding value. categorizes five related advantages for adding value to a firm's products or services. categorizes four basic strategies a firm can use to enhance its value chain. helps a firm identify points at which information technology can most effectively enhance its competitive position.

helps a firm identify points at which information technology can most effectively enhance its competitive position.

The first step in the model of business problem solving discussed in the chapter is: assigning the problem to a problem solver. identifying the problem. evaluating possible solutions to the problem. outlining the problem's causes. interviewing the people involved in the problem.

identifying the problem.

Verizon's implementation of a web-based digital dashboard to provide managers with real-time information, such as customer complaints, is an example of: competitive advantage. supplier intimacy. improved flexibility. improved decision making. a new product.

improved decision making.

All of the following describe the effects of globalization except: increases in transaction costs. ability to find low-cost suppliers. replication of business models in multiple countries. reduction of labor costs through outsourcing. significant decreases in operating costs.

increases in transaction costs.

The three activities in an information system that produce the information organizations use to control operations are: data analysis, processing, and feedback. information, data, and processing. input, output, and feedback. information, research, and analysis. input, processing, and output.

input, processing, and output.

A data mart usually can be constructed more rapidly and at lower cost than a data warehouse because: it is open-source. it uses a web interface. all of the information belongs to a single company. it typically focuses on a single subject area or line of business. all the information is historical.

it typically focuses on a single subject area or line of business.

A scheduling system for minimizing inventory by having components arrive exactly at the moment they are needed and finished goods shipped as soon as they leave the assembly line best describes a ________ strategy. bullwhip safety-stock push-pull just-in-time frictionless

just-in-time

The ________ strategy concentrates financial management and control out of a central home base while decentralizing production, sales, and marketing operations to units in other countries. franchise virtual company domestic exporter multinational transnational

multinational

The owners of a new bike messenger service, are concerned about how they will manage their messengers once the messengers have left the office. This is a business problem that falls into the: people dimension. technology dimension. management dimension. organizational dimension. cultural dimension.

people dimension.

A field identified in a table as holding the unique identifier of the table's records is called the: primary field. key field. primary key. identifying field. foreign key.

primary key.

Converting raw data into a more meaningful form is called: feedback. organizing. capturing. processing. inputting.

processing.

Walmart's continuous replenishment system is an example of a ________ model. pull-based supply chain optimization enterprise-based forecast-based push-based

pull-based

The goal of social commerce applications is to: harness collective knowledge to generate new ideas. use social media to connect with customers. connect through personal and business profiles. upload and share business documents. share opinions about purchasing products or services.

share opinions about purchasing products or services.

Key forces in a business's immediate environment include: economic conditions. technological innovations. politic conditions. stockholders. global events.

stockholders.

Each of the following is required for successful collaboration, except: breadth of collaboration. strong hierarchy. decentralized structure. appropriate collaboration technology. open culture.

strong hierarchy.

A network of organizations and business processes for procuring raw materials, transforming these materials into intermediate and finished products, and distributing the finished products to customers is called a(n): distribution channel. supply chain. value chain. enterprise system. marketing channel.

supply chain.

Instant messaging, videoconferencing, and shared screens are all examples of ________ collaboration tools. asynchronous synchronous bimodal colocated spontaneous

synchronous

The principal liaison between the information systems groups and the rest of the organization is a(n): CSO. information systems manager. CIO. systems analyst. programmer.

systems analyst.

Businesses use ________ tools to search and analyze unstructured data sets, such as emails and memos. Hadoop web mining DBMS OLAP text mining

text mining

The idea that the more any given resource is applied to production, the lower the marginal gain in output, until a point is reached where the additional inputs produce no additional output, is referred to as: inelasticity. virtual economics. supply and demand. the point of no return. the law of diminishing returns.

the law of diminishing returns.

Customer definitions of the quality of a product include all of the following except: durability and safety of the product. customer support for the product. accuracy of the advertising with respect to the product. ease of use of the product. uniformity of the product.

uniformity of the product.

Which of the following customer relationship management applications provides analysis of customer data? Analytical CRM Operational PRM Operational SCM Operational CRM Analytical SFA

Analytical CRM

Which of the following tools is used to analyze customer buying patterns? Analytical CRM SFA Operational CRM CLTV Demand planning

Analytical CRM

________ typically develop a single information system, usually at the home base, and then replicate it around the world. Multinational firms Franchisers Domestic exporters Virtual companies Transnational firms

Franchisers

Assume you work for a package delivery service in a major metropolitan area and that the business has been losing customers for several years. You have been asked to find a solution to this problem. What is the correct way to proceed? Identify relevant information technologies, interview employees, choose a technology, and implement the technology. Look for solutions, evaluate the solutions, identify the problem more clearly, and then implement the solution. Think about what solutions can be implemented, look for solution designs, evaluate the designs, and then implement the solution. Identify the problem, design alternative solutions, choose the best solution, and then implement the solution. Design solutions, evaluate and identify the problems, choose the best solution, and then implement the solution.

Identify the problem, design alternative solutions, choose the best solution, and then implement the solution.

A relocation control system that reports summaries on the total moving, house-hunting, and home financing costs for employees in all company divisions would fall into the category of a/an: KMS. TPS. CRM system MIS. ESS.

MIS.

Which of the following fields 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? Information technology infrastructure Management information systems Information systems literacy Information systems architecture Computer information systems

Management information systems

A manufacturer of deep-sea oil rigs may be least concerned about which of these marketplace forces? New market entrants Low number of suppliers Substitute products Traditional competitors Product differentiation

New market entrants

________ CRM includes customer-facing applications such as tools for sales force automation, call center and customer service support, and marketing automation. Analytical Social Sales force Operational Web-based

Operational