CIS 761 Chapter 14

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On average, private sector IT projects underestimated budget and delivery time of systems by ________ percent.

50

In using a portfolio analysis to determine which IT projects to pursue, you would

Balance high-risk, high reward projects with lower-risk projects

As discussed in the chapter, which of the following is not one of the immediate consequences of inadequate software project management?

Customer Loyalty

Internal integration tools

Enable a project to have sufficient technical support for project management and development

A Gantt chart graphically depicts project tasks and their interrelationships TRUE / FALSE

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 TRUE / FALSE

False

Mandatory use of a system is one effective way of overcoming user resistance to an information system TRUE / FALSE

False

Scoring models are most commonly used to make the final decision when selecting different systems TRUE / FALSE

False

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

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 TRUE / FALSE

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 TRUE / FALSE

False

Which type of tool helps project managers identify bottlenecks in project development?

Formal planning and control tools

Which type of planning tool shows each task as a horizontal bar whose length is proportional to the time required to complete it?

Gantt chart

The ________ reviews and approves plans for systems in all divisions

IS steering committee

the organizational activities working toward the adoption, management, and routinization of a new information system are called

Implementation

Which of the following is not a tangible benefit of information systems?

Improved Resource Control

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) Information systems plan Project plan Portfolio analysis Enterprise analysis Strategic planning document

Information systems plan

Which of the following is not a responsibility of effective change management?

Integrating legacy systems

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

Internal Rate of Return

The most widely used project management software today is

Microsoft Project

To review a project's tasks and their interrelationships, you would use a

PERT chart

The central method used in a scoring model is to

Perform a weighted comparison of the criteria used to evaluate a system

Which method would you use to develop risk profiles for a firm's information system projects and assets?

Portfolio Analysis

The ______ is directly responsible for the individual systems project

Project Team

The ________ consists of systems analysts, specialists from the relevant end-user business areas, application programmers, and perhaps database specialists

Project Team

Which of the following statements best describes the effect that project structure has on overall project risk

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

Which of the following project management variables indicates how well the project satisfies management objectives?

Quality

Which of the following tools is not one you would use to control risk factors in an information systems project?

Real Options Pricing Models

All of the following are intangible benefits of information systems except

Reduced Workforce

Which method is used to assign weights to various features of a system?

Scoring Model

Which of the following statistics from studies on failed projects is not true?

The average cost overrun of IT projects is 20 percent

At the top of the management structure for information systems projects in a large company is

The corporate strategic planning group

An information system project's scope is directly related to its business requirements TRUE / FALSE

True

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

True

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

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 / FALSE

True

Intangible benefits generally do not lead to quantifiable gains in the long run TRUE / FALSE

True

More timely information is an intangible benefit of information systems TRUE / FALSE

True

Real options pricing models use the concept of options valuation borrowed from the financial industry TRUE / FALSE

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 / FALSE

True

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

True

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

True

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

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 / FALSE

True

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

True

Which of the following is not an organizational factor in systems planning and implementation?

User Interface

Which of the following is not one of the five main variables affecting project success?

Vendors

Which of the following types of projects is most likely to fail?

a business process redesign project that restructures workflow and responsibilities

Which of the following projects is the riskiest?

a project that managers are concerned will affect their roles and job descriptions

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?

all high-risk, low-benefit projects

Users prefer systems that

are oriented to facilitating organizational tasks and solving business problems

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?

both hardware and software expenditures and labor expenditures

External integration tools

consist of ways to link the work of the implementation team with users at all organization levels

All of the following are indications of a failed information systems project except

employees require training to properly use the system.

Formal planning and control tools

enable a project manager to properly document and monitor project plans

Which of the following is not one of the activities of the systems analyst?

formulation of capital budgeting models

An example of using an internal integration tool would be to

hold frequent project team meetings

Which of the following is a limitation of using a financial approach to evaluate information systems?

inability to assess costs from organizational disruption

One example of an implementation problem is

inadequate user training.

An example of using an external integration tool would be to

include user representatives as active members of the project team

ROPMs (real options pricing models) value information systems similar to stock options, in that

initial expenditures on IT projects are seen as creating the right to pursue and obtain benefits from the system at a later date

The central method used in a portfolio analysis is to

inventory all of the organization's information systems projects and assets.

The criteria used for evaluation in a scoring model are usually determined by

lengthy discussions among the decision-making group

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?

organizational impact analysis

The worth of systems from a financial perspective essentially revolves around the issue of

return on invested capital

In working with ROPMs (real option pricing models) and options valuation, a call option is a(n)

right to purchase or sell an asset at a later date at a fixed price

In sociotechnical design

separate sets of technical and social design solutions are developed and compared.

According to your reading of the chapter, change management is a process that

should be addressed before a project is developed

To best evaluate, from a financial standpoint, an IT investment whose benefits cannot be firmly established in advance, you would use

the real option pricing model

The project risk will rise if the project team and the IS staff lack

the required technical expertise.


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