ISM 3013 Exam 3

Flashcard maker : Lily Taylor
The IS operational plan is a set of projects that will be executed by the IS department and by functional area managers
true
Place the stages of the systems development life cycle in order:
investigation – analysis – design – programming/testing – implementation – operation/maintenance
The buy option is particularly attractive if the software vendor allows the company to modify the package to meet its needs
true
Systems design answers the question,
How will the information system do what it must to obtain a solution to the business problem?
The application portfolio in an organization is a set of recommended applications resulting from the planning and justification process in application development.
true
If a firm shuts down its old COBOL legacy system and starts up the new PeopleSoft ERP system immediately, this is called
plunge conversion
Insourcing application development is usually less time consuming and less expensive than buying or leasing.
false
Costs are harder to quantify than benefits.
false
Which of the following are disadvantages of the buy option for acquiring IS applications?
software may not exactly meet the company’s needs, software may be impossible to modify, company will not have control over software improvements, software may not integrate with existing systems
The deliverable of the systems design stage is:
user requirements
As systems age, maintenance costs
increase
A geographic information system is a decision support system designed specifically to work with spatial information.
true
Which of the following is not a characteristic of a structured decision?
first three phases of the decision making process occur in no particular sequence
Executive dashboards provide support primarily to analytical, quantitative types of decisions.
false
The number of alternatives to be considered in decisions today is increasing.
true
Which of the following is not a characteristic of organizational decision support systems?
is a standalone system
Being a figurehead and leader is part of the _____ managerial role.
interpersonal
In the implementation phase of the decision making process, managers set criteria for the evaluation of alternative potential solutions.
false
Structured decision making is most prevalent at lower organizational levels.
true
Credit card companies would most likely use which of the following to check for fraudulent credit card use?
data mining
Goal-seeking analysis attempts to find the value of the inputs necessary to achieve a desired level of output.
true
Expert systems
work in very limited domains.
Expert systems are the primary tools used for knowledge discovery
false
Knowledge residing in the minds of employees that has not been documented is called explicit knowledge.
false
Which of the following are the three major types of knowledge management systems?
enterprise-wide knowledge management systems, knowledge work systems, and intelligent techniques
Which of the following statements is not an accurate description of the importance of knowledge to a firm?
knowledge is unconditional
often are designed and optimized for the specific tasks to be performed.
Knowledge workstations
Which of the following systems is not used to capture tacit knowledge?
neural network
Structured knowledge is explicit knowledge that exists in informal documents.
false
Which of the following does not describe the dimensions of knowledge in a firm?
It is subject to the laws of diminishing returns.
Hardware and software that attempts to emulate the processing patterns of the biological brain best describes
a neural network.
Technology that consists of computer-based systems that attempt to emulate human behavior is called
Al technology
Which of the following systems digitizes, indexes, and tags documents according to a coherent framework?
document management
Forward auctions are auctions that sellers use as a channel to many potential buyers
true
eBay uses a _____ auction.
forward
In traditional commerce, one or more of the following can be digital: the product or service, the process, and the delivery agent.
false
An electronic storefront is a Web site on the Internet that represents a single store.
false
In _____, direct and indirect materials in one industry are purchased on an as-needed basis.
vertical
Reintermediation offers larger organizations to pass on cost savings to their customers.
false
In _____ auctions, there is one buyer who wants to buy a product. Suppliers submit bids, and the lowest bid wins.
reverse
Virtual banks are those banks that are dedicated only to Internet transactions.
true
Customers are attracted to e-Commerce by
Time and Cost savings, Variety of products available, Detailed Information on Products
In most cases, traditional payment systems are not effective for electronic commerce.
true
Which of the following is not an effect that E-commerce has had on organizations?
E-commerce is a costly medium for increasing market shares
Which of the following is an example of Pure eCommerce?
Buying a ringtone on iTunes.com
A vendor asks its business partners to place logos or banners on their Web sites. If customers click on a logo, visit the vendor’s site, and make a purchase, then the vendor pays a commission to the partner. This scenario illustrates which business model?
affiliate marketing
Which of the following statements regarding the relationship between electronic commerce and search is not correct?
Retailers will provide fewer product details to avoid information overload for customers.
Delta Airlines’s new mobile app that allows passengers to check-in online and boarding the flight without printing out a paper boarding pass in an example of:
e-Services
In this type of e-commerce, the sellers and buyers are organizations.
business to business
A large number of online eCommerce marketplaces try to create offer lowers costs to their customers by
none of the following are correct: Providing self-service options, Interactive Marketing and Personalization, Collaborative filtering
A _____ is automatically launched by some trigger and appears behind the active window.
pop under ad
Business-to-consumer applications comprise the majority of electronic commerce volume.
false
Dell’s online business model relies heavily on
disintermediation
Channel conflict occurs when click-and-mortar companies have problems with their regular distributors when they sell directly to customers online.
true
Internet advertising is impersonal, one-way mass communication.
false
_____ includes those areas where customers directly interact with the company.
customer-touching CRM
Open-source CRM software doesn’t have as many features or functions as other proprietary software.
false
_____ are the physical products, raw materials, and supplies that flow along a supply chain.
material flows
_____ is the component of an operational CRM system that automatically records all the aspects in a sales transaction process.
sales force automation
Properly designed CRM systems provide a single, enterprise-wide view of each customer
true
Returned products, recycled products, and disposal of materials or products are called:
reverse flows
Enterprise resource management is an enterprise-wide effort to acquire and retain customers.
false
The real problem with interacting with customers over the Web is that the company does not have an opportunity to make a good first impression in person.
true
Over time, the customer relationship with vendors has become more personal.
false
_____ integrate the planning, management, and use of all of an organization’s resources, and are designed to tightly integrate the functional areas of the organization.
ERP systems
Organizations that use ERP systems are more agile and adaptive.
true
Financial management, operations management, and human resource management are extended ERP modules.
false
Extended ERP modules:
business intelligence, eBusiness, supply chain management, customer relations management
Sourcing from external suppliers occurs in the upstream portion of the supply chain.
true
Whether forecasters overestimate or underestimate demand, the company still faces problems.
true
project management process
traditional approach to project management divides every project into five distinct phases:
1. initiation
2. planning
3. execution
4. monitoring/control
5. completion
NPV – net present value
analysts convert future values of benefits to their present-value equivalent by “discounting” them at the organization’s cost of funds
ROI – return on investment
measures management’s effectiveness in generating profits with its available assets, calculated by dividing net income attributable to a project by the average assets invested in it
Strategies for Acquiring IT Applications
1. buy the application
2. lease it
3. open-source software
4. software-as-a-service
5. outsource them
6. develop them in house
lease the applications
can save a company both time and money, especially attractive to small-to-medium sized enterprises, as well as buy large corporations to test if a large investment should be made
outsourcing
acquiring IT applications from outside contractors or external organizations
deliverable
the end product of the systems analysis stage, essentially a set of requirements
direct conversion
old system is cut off and the new system is turned on at a certain point in time, this type is least expensive
pilot conversion
introduces new system in one part of the organization, such as in one plant or in one functional area. new system runs for a period of time and then is assessed
phased conversion
introduces components of the new system, such as individual such as individual modules, in stages. each module is assessed, if it works properly, then other modules are introduced until the entire new system is operational.
business intelligence
information systems that assist managers in decision making by allowing extensive, user driven data analysis via a variety of modeling techniques, or by providing easy intuitive access to structured information.
data mining
the process of searching for valuable business information in a large database, data warehouse or data mart
neural network
a system of programs and data structures that approximates the operation of the human brain
supply chain management
an activity in which the leadership of an organization provide extensive oversight for the partnerships and processes that comprise the supply chain and leverage these relationships to provide and operational advantage.
upstream supply chain segment
where sourcing or procurement from external suppliers occur.
downstream supply chain segment
where distribution takes place, frequently by external distributors
CRM – customer relationship management
a customerfocused and customer-driven organiztional strategy that concentrates on satisfying customers by addressing their requirements for proucts and services and then by providing high quality responsive services
open-source CRM
CRM software whose source code is available to developers and users
sales force automation
the component of an operational CRM systm that automatically records all the aspects in a sales transaction process
analytical CRM
CRM systems that analyze customer behavior and perceptions in order to provide actionable business intelligence
Reintermediation
can be defined as the reintroduction of an intermediary between end users (consumers) and a producer
Disintermediation
cutting out the middle man
application portfolio
The set of recommended applications resulting from the planning and justification process in application development.

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