chapters 8, 9,10 essentials of management information systems – Flashcards
Unlock all answers in this set
Unlock answersquestion
Analytical CRM
answer
includes applications that analyze customer data generated by operational CRM applications to provide information for improving business performance.
question
Bullwhip effect
answer
information about the demand for a product gets distorted as it passes from one entity to the next across the supply chain
question
Churn rate
answer
measures the number of customers who stop using or purchasing products or services from the company
question
Cross-selling
answer
is the marketing of complementary products to customers
question
Customer lifetime value CLTV
answer
is based on the relationship between the revenue produced by a specific customer, that expenses incurred in acquiring and servicing that customer, and the expected life of the relationship between the customer and company.
question
demand planning
answer
determines how much product a business needs to make to satisfy all of its customers' demands
question
Employee Relationship Management ERM
answer
software module that deals with employee issues that are closely related to CRM, such as setting objectives, employee performance management, performance based compensation, and employee training
question
Enterprise software
answer
is built around thousands of predefined business processes that reflect best practices.
question
Just-in-time strategy
answer
if a manufacturer had perfect information about exactly how many units of product customers wanted, when they wanted them, and when they could be produced, it would be possible to implement a highly efficient just-in-time strategy
question
Operational CRM
answer
includes customer-facing applications, such as tools for sales force automation, call center and customer service support, and marketing automation
question
Partner Relationship Management PRM
answer
uses many of the same data, tools, and systems as customer relationship management to enhance collaboration between a company and its selling partners. If a company does not sell directly to customers but rather works through distributors or retailers, PRM helps these channels sell to customers directly
question
Pull-based model
answer
also known as a demand driven or build-to-order model, actual customer orders or purchases trigger events in the supply chain
question
Push-based model
answer
production master schedules are based on forecasts or best guesses of demand for products, and products are pushed to customers
question
Social CRM
answer
tools that enable a business to connect customer conversations and relationships from social networking sites to CRM processes
question
Supply Chain
answer
is 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
question
Supply Chain Execution Systems
answer
manage the flow of products through distribution centers and warehouses to ensure that products are delivered to the right locations in the most efficient manner
question
Supply Chain Planning Systems
answer
enables the firm to model its existing supply chain, generate demand forecasts for products, and develop optimal sourcing and manufacturing plans
question
Touch point is a method of interaction with the customer, such as telephone, e-mail, customer service desk, conventional mail, FB, Twitter, Web site, wireless device, or retail store
answer
- Based on data warehouses populated by operational CRM systems and customer touch points - Analyzes customer data (OLAP, data mining, etc.) Customer lifetime value (CLTV) Analytical CRM
question
Bullwhip effect
answer
Information about product demand gets distorted as it passes from one entity to next across supply chain
question
Just-in-time strategy
answer
- Components arrive as they are needed - Finished goods shipped after leaving assembly line
question
Make applications more flexible,
answer
Web-enabled, integrated with other systems
question
Optimize sourcing, manufacturing plans are what kind of systems?
answer
Supply chain planning systems 2
question
Partner relationship management (PRM)
answer
Integrating lead generation, pricing, promotions, order configurations, and availability, Tools to assess partners' performances
question
Pull-based model ___________ model (demand-driven)
answer
Web-based& Customer orders trigger events in supply chain
question
Push-based model ____________ model aka Bulid-to-stock- Earlier
answer
SCM systems& Schedules based on best guesses of demand
question
Social CRM
answer
1. Incorporating social networking technologies 2. Company social networks 3. Customer interaction via Facebook
question
Supply chain execution systems
answer
Manage flow of products through distribution centers and warehouses
question
Supply Chain Network of organizations and processes for:
answer
Procuring materials, transforming them into products, and distributing the products
question
To implement, firms Select
answer
functions of system they wish to use. Map business processes to software processes. Use software's configuration tables for customizing.
question
Upstream supply chain:
answer
Firm's suppliers, suppliers' suppliers, processes for managing relationships with them
question
What are 3 Global supply chain issues?
answer
1) Greater geographical distances 2) Greater time differences 3) Participants from different countries: (Different performance standards & Different legal requirements)
question
What are some Business value of SCM systems?
answer
1. Match supply to demand; reduce inventory levels 2. Improve delivery service, Use assets more effectively
question
6. Increase _________ Business value of SCM systems5. Reduced supply chain costs lead to increased profitability-->Total supply chain costs can be 75% of operating
answer
Increase sales
question
What are some Enterprise application challenges?
answer
Business process changes Organizational learning, changes
question
What are some Enterprise application challenges?
answer
Switching costs, dependence on software vendors Data standardization, management, cleansing
question
advertising revenue model
answer
Web site generating revenue by attracting a large audience
question
affiliate revenue model
answer
an e-commerce revenue model in which Web sites are paid as "affiliates" for sending their visitors to other sites in return for a referral fee
question
behavioral targeting
answer
tracking the click-streams (history of clicking behavior) of individuals across multiple Web sites for the purpose of understanding their interests and intentions, and exposing them to advertisements which are uniquely suited to their interests
question
business-to-business (B2B)
answer
electronic commerce electronic sales of goods and services among businesses
question
business-to-customer (B2C)
answer
electronic commerce electronic retailing of products and services directly to individual consumers
question
co-location
answer
a kind of Web site hosting in which firms purchase or rent a physical server computer at a hosting company's location in order to operate a Web site
question
community provider
answer
a Web site business model that creates a digital online environment where people with similar interests can transact (buy and sell goods); share interests, photos, videos; communicate with like-minded people; receive interest-related information; and even play out fantasies by adopting online personalities called avatars
question
consumer-to-consumer (C2C)
answer
electronic commerce consumers selling goods and services electronically to other consumers
question
cost transparency
answer
the ability of consumers to discover the actual costs merchants pay for products
question
crowdsourcing
answer
using large Internet audiences for advice, market feedback, new ideas and solutions to business problems; related to the "wisdom of crowds" theory
question
customization
answer
the modification of a software package to meet an organization's unique requirements without destroying the package software's integrity
question
digital goods
answer
goods that can be delivered over a digital network
question
disintermediation
answer
the removal of organizations or business process layers responsible for certain intermediary steps in a value chain
question
dynamic pricing
answer
pricing of items based on real-time interactions between buyers and sellers that determine what an item is worth at any particular moment
question
electronic data interchange (EDI)
answer
the direct computer-to-computer exchange between two organizations of standard business transactions, such as orders, shipment instructions, or payments
question
e-tailer
answer
online retail stores from the giant Amazon to tiny local stores that have Web sites where retail goods are sold
question
exchange third-party Net
answer
marketplace that is primarily transaction oriented and that connects many buyers and suppliers for spot purchasing
question
free/fremium revenue model
answer
an e-commerce revenue model in which a firm offers basic services or content for free, while charging a premium for advanced or high value features
question
geoadvertising
answer
delivering ads to users based on their GPS location
question
geoinformation services
answer
information on local places and things based on the GPS position of the user
question
geosocial services
answer
social networking based on the GPS location of users
question
information asymmetry
answer
situation where the relative bargaining power of two parties in a transaction is determined by one party in the transaction possessing more information essential to the transaction than the other party
question
information density
answer
the total amount and quality of information available to all market participants, consumers, and merchants
question
intellectual property
answer
intangible property created by individuals or corporations that is subject to protections under trade secret, copyright, and patent law
question
location-based services
answer
GPS map services available on smartphones
question
long tail marketing
answer
refers to the ability of firms to profitably market goods to very small online audiences, largely because of the lower costs of reaching very small market segments (people who fall into the long tail ends of a Bell curve)
question
market creator
answer
an e-commerce business model in which firms provide a digital online environment where buyers and sellers can meet, search for products, and engage in transactions
question
market entry costs
answer
the costs merchants must pay to bring their goods to market
question
marketspace
answer
a marketplace extended beyond traditional boundaries and removed from a temporal and geographic location
question
menu costs
answer
merchants' costs of changing prices
question
micropayment
answer
payment for a very small sum of money, often less than $10
question
mobile commerce (m-commerce)
answer
the use of wireless devices, such as cell phones or handheld information appliances, to conduct both business-to-consumer and business-to-business e-commerce transactions over the Internet
question
net marketplace
answer
a single digital marketplace based on Internet technology linking many buyers to many sellers
question
personalization
answer
ability of merchants to target marketing messages to specific individuals by adjusting the message for a person's name, interests, and past purchases
question
podcasting
answer
publishing audio broadcasts via the Internet so that subscribing users can download audio files onto their personal computers or portable music players
question
prediction markets
answer
an analysis of the portfolio of potential applications within a firm to determine the risks and benefits, and to select among alternatives for information systems
question
price discrimination
answer
selling the same goods, or nearly the same goods, to different targeted groups at different prices
question
price transparency
answer
the ease with which consumers can find out the variety of prices in a market
question
private exchange
answer
another term for a private industrial network
question
private industrial networks
answer
Web-enabled networks linking systems of multiple firms in an industry for the coordination of trans-organizational business processes
question
revenue model
answer
a description of how a firm will earn revenue, generate profits, and produce a return on investment
question
richness
answer
measurement of the depth and detail of information that a business can supply to the consumer as well as information the business collects about the customer
question
sales revenue model
answer
selling goods, information, or services to customers as the main source of revenue for a company
question
search costs
answer
the time and money spent locating a suitable product and determining the best price for that product
question
social graph
answer
map of all significant online social relationships, comparable to a social network describing offline relationships
question
social shopping
answer
use of Web site featuring user-created Web pages to share knowledge about items of interest to other shoppers
question
streaming
answer
a publishing method for music and video files that flows a continuous stream of content to a user's device without being stores locally on the device
question
subscription revenue model
answer
Web site charging a subscription fee for access to some or all of its content or services on an ongoing basis
question
transaction costs
answer
costs incurred when a firm buys on the marketplace what it cannot make itself
question
transaction fee revenue model
answer
an online e-commerce revenue model where the firm receives a fee for enabling or executing transactions
question
wisdom of crowds
answer
the belief that large numbers of people can make better decisions about a wide range of topics or products than a single person or even a small committee or experts (first proposed in a book by James Surowiecki)
question
What are the three types of decisions?
answer
- Unstructured - Structured - Semistructured
question
Unstructured decisions
answer
Decisions made at the a senior management level; nonroutine and no well-understood procedure on making them
question
Structured decisions
answer
Decisions made at the operational management level; repetitive and routine
question
Semistructured decisions
answer
Decisions made at the middle management level; parts of the issues are understand handled using accepted procedures
question
What are the four stages of decision making?
answer
1. Intelligence 2. Design 3. Choice 4. Implemation
question
High velocity decision making
answer
The intelligence, design, choice, and implementation parts of the decision-making process are captured by computer algorithms that precisely define the steps to be followed to produce a decision.
question
What are the qualities of decisions and the decision-making process?
answer
- Accuracy - Comprehensiveness - Fairness - Speed (efficiency) - Coherence - Due process
question
Accuracy
answer
Decision reflects reality
question
Comprehensiveness
answer
Decision reflects a full consideration of the facts and circumstances.
question
Fairness
answer
Decision faithfully reflects the concerns and interests of the affected parties.
question
Speed (efficiency) Decision
answer
making is efficient with respect to time and other resources including the time and resources of customers.
question
Coherence Decision
answer
reflects a rational process that can be explained to others
question
Due Process Decision
answer
is the result of a known process and it can be appealed to a higher authority.
question
Business intelligence and analyticics
answer
Promises to deliver correct, nearly real-time information to decision makers, and the analytical tools help them quickly understand the information and take action
question
What are some of the types of production reports?
answer
- Sales - Service/Call center - Marketing - Procurement and Support - Supply chain - Financials - Human resources
question
Parameterized reports
answer
Users enter several parameters as in a pivot table to filter data and indicate impacts of parameters
question
Dashboards/Scorecards
answer
Visual tools for presenting performance data defined by users
question
Ad hoc query/Report creation
answer
Allows users to create their own reports based on queries and searches
question
Drill down
answer
The ability to move from a high level summary to a more detailed view
question
Forecasts, scenarios, models
answer
These include capabilities for linear forecasting, "what if" scenario analysis, and analyzing data using standard statistical tools
question
What are the two tools used to support for semistructured decisions?
answer
- Sensitivity analysis - Pivot table
question
Sensitivity analysis
answer
Is a model that ask what-if questions repeatedly to predict a range of outcomes when one or more variables are changed multiple times
question
Pivot tables
answer
"super user" managers and analysts employ to identify and understand patterns in business information that may be useful for semistructured decision making.
question
Balanced scorecard method
answer
A framework for operationalizing a firm's strategic plan by focusing on measurable outcomes on four dimensions of firm's performance: business process, customer, learning, and growth. Also is currently the leading methodology for understanding the most important information needed by a firm's executives.
question
Key Performance Indicators (KPIs)
answer
The measures proposed by senior management for understanding how well the firm is performing along any given dimesnions
question
Business Performance Management (BPM)
answer
Attempts to systematically translate a firm's strategies into operational targets. Once implemented, the firm's performance is measured with information drawn from the firm's enterprise database systems.
question
Drill-down capabilities
answer
Displays details of summary-level information by allowing the pointing and clicking on a specific data field for which the user desires an additional level of detail
question
Group Decision-Support System (GDSS)
answer
Is an interactive computer-based system for facilitating the solution of unstructured problems by a set of decision makers working together as a group in the same location or in in different locations.
question
What are the characteristics of GDSS?
answer
Follow structured methods for organizing and evaluating ideas and for preserving the results of meetings, enabling non-attenders to locate information after the meeting.
question
What are the 6 intelligent techniques used for intelligent systems for decision support?
answer
- Expert systems - Case-based reasoning - Genetic algorithms - Neutral networks - Fuzzy logic - Intelligent agents
question
Expert systems Knowledge
answer
-intensive computer program that captures the expertise of a human in limited domains of knowledge
question
Case-based
answer
reasoning Artificial intelligence technology that represents knowledge as a database of cases and solutions.
question
Genetic algorithms
answer
Problem-solving methods that promote the evolution of solutions to specific problems using the model of living organisms adapting to their environment.
question
Neural networks
answer
Hardware or software that attempts to emulate the processing patterns of the biological brain
question
Fuzzy Logic Rule-based artificial intelligence technology
answer
that tolerates imprecision by using nonspecific terms called membership functions to solve problems.
question
Intelligent Agents Software program
answer
that uses a built-in- or learned knowledge base to carry out specific, repetitive, and predictable task for an individual user, business process, or software application.
question
Knowledge management
answer
The set of processes developed in an organization to create, gather, store, maintain, and disseminate the firm's knowledge.
question
Tactic knowledge
answer
Expertise and experience of organizational member that has not been formally documented.
question
Structured knowledge
answer
Knowledge in the form of structured documents and reports
question
What are the types of knowledgeable management systems?
answer
- Enterprise content management systems - Knowledge network systems - Knowledge work systems - Digital asset management systems - Learning management system
question
Enterprise content management (ECM) systems
answer
Help organizations manage structured and semistructured knowledge, providing corporate repositories of documents, reports, presentations, and best practices and capabilities for collecting and organizing e-mail and graphic objects.
question
Knowledge network systems
answer
Online directory for locating corporate experts in well- defined knowledge domains
question
Knowledge Work Systems (KWS)
answer
Specialized systems built for engineers, scientists, and other knowledge workers charged with discovering and creating new knowledge for a company.
question
Digital asset management systems
answer
Classify, store, and distribute digital objects such as photographs, graph images, video, and audio
question
Learning management system
answer
Tools for the management, delivery, tracking, and assessment of various types of employee learning
question
What are the examples of knowledge work systems?
answer
- Virtual Reality Systems (VRS) - Augmented Reality (AR) - Virtual Reality Modeling Language (VRML)
question
Virtual Reality Systems (VRS)
answer
Interactive graphics software and hardware that create computer-generated simulations that provide sensations that emulate real-world activities
question
Augmented Reality (AR)
answer
Technology for enhancing visualization that provides a live view of a physical world environment whose elements are augmented by virtual computer-generated imagery
question
Virtual Reality Modeling Language (VRML)
answer
A set of specifications for interactive three-dimensional modeling on the World Wide Web
question
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 best describes:
answer
ERP systems.
question
Enterprise software (or Enterprise system) is built around thousands of predefined business processes that reflect:
answer
best practices.
question
In order to achieve maximum benefit from an enterprise software package, a business:
answer
changes the way it works to match the software's business processes.
question
You have been asked to implement enterprise software for a manufacturer of kitchen appliances. What is the first step you should take?
answer
Select the functions of the system you wish to use.
question
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:
answer
supply chain.
question
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.
answer
bullwhip
question
Which of the following enable a firm to generate demand forecasts for a product?
answer
supply chain planning systems
question
Supply chain ________ systems manage the flow of products through distribution centers and warehouses to ensure that products are delivered to the right locations in the most efficient manner.
answer
execution
question
In which of the following does an actual customer order or purchase trigger events in the supply chain?
answer
pull?based supply model
question
The business value of an effective supply chain management system includes all of the following except:
answer
increased inventory levels.
question
Selling a customer with a checking account a home improvement loan is an example of:
answer
cross?selling.
question
A comprehensive customer relationship management package includes a module for
answer
partner relationship management (PRM) system
question
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
answer
Customer Lifetime Value (CLTV)
question
Analyzing customer buying patterns is an example of:
answer
analytical CRM.
question
A company's suppliers, supplier's suppliers, and the processes for managing relationships with them is the:
answer
upstream portion of the supply chain.
question
Customer relationship management applications dealing with the analysis of customer data to provide information for improving business performance best describes ________ applications.
answer
analytical CRM
question
________ 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.
answer
SFA
question
Enterprise application vendors are now including ________ features, such as tools for datavisualization, flexible reporting, and ad hoc analysis, as part of the application.
answer
business intelligence
