ISYS Chapter 7 – Flashcards
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Traditionally, companies are organized around four distinct functional areas. Which of the following is one of those four areas?
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supply chain management
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Which of the following is a core business process?
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make to stock
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Whenever an order is placed with online retailers, the retailers put together the order, ship it, and charge the customer's credit card. This process of selling a product or service is known as the _____ process
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order to cash
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For most businesses, the ______ process entails subprocessess such as creating a customer record, checking the customers creditworthiness, creating an order, checking and allocating stock, picking, packing and shipping, invoicing, and collecting the payment
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order to cash
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An online retailer has finished creating a customer record. What should the retailer do next in an order to cash process?
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check customer credit
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In the order to cash process, once "checking credit" is done, it is followed by
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creating an order
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An online retailer has just finished creating an order for a customer. In an order to cash process what should the retailer do next?
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allocate stock
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The processes associated with the acquiring of goods from external vendors are together referred to as the _____ process
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procure to pay
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Which of the following is typically the first step in the procure to pay process?
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negotiate price and terms
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In the procure to pay process, the negotiation of price and terms is followed by
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issuing the purchase order
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______ immediately after the purchase order is issued in the procure to pay process
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goods are received
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Receiving the goods is immediately followed by ______ in the procure to pay process
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receiving the invoice
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In the _______ process, goods are produced based on forecasts and are stored in a warehouse and sales orders are then fulfilled from the inventory
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make to stock
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Which of the following uses a push based approach?
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make to stock
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In the ______ process, raw materials, subcomponents, and accessories are procured based on forecasts, but actual manufacturing does not start until sales orders are received
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make to order
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Which of the following uses a pull based approach?
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make to order
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Which of the following is typically the first step in the make to stock process?
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procuring inputs
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Which of the following goods are typically produced under a make to order approach?
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very expensive low volume goods
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Which of the following goods are produced using the make to order approach?
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commercial aircraft
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_____ are performed by the functional areas that process inputs and produce outputs
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core activities
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Which of the following is a core activitiy?
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operations and manufacturing
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Inbound logistics involves business activities associated with
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receiving and stocking raw materials parts and products
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Assembly processes are ___ activities
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operations and manufacturing
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Outbound logistics activities focus on the
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distribution of end products within the order to cash business process
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Administrative activities focus on the
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processes and decision making to orchestrate the day to day operations of an organization
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The hardware and software that must be implemented to support the applications that the primary activities are a part of the ____ activities
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infrastructure
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Which of the following is a support activity?
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technology development activities
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Human resource activities
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is classified as a support activity since the primary activities cannot be accomplished without the employees to perform them
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Designing and developing applications that support the primary business activities are a part of the _____ activities
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technology development
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A _____ information flow consits of information that is received from another organization
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upstream
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A _______ information flow relates to the information that is produced by a company and sent along to another organization
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downstream
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Systems that focus on the specific needs of individual departments and are not designed to communicate with other systems in the organization are referred to as
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stand alone applications
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Stand alone systems are also known as
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legacy systems
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Legacy systems can be problematic......
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Quick Software Solutions has an automated system to track employee absence
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A _____ is an integrated suite of business applications for virtually every department, process, and industry, allowing companies to integrate information across operations on a company wide basis using one large database
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enterprise system
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An internally focused system helps an organization coordinate with
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its departments
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A _____ coordinates business processes with customers, suppliers, and business partners of an organization
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externally focused system
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A system that communicates across organizational boundaries is sometimes referred to as a
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interorganizational system
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_____ are applications written by third party vendors for the needs of many different users and organizations
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packaged software
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Applications that are designed and developed exclusively for a specific organization are known as
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custom software
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Customers can purchase _____ software off the shelf to help them with their personal documents and communications
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packaged
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Packaged software is
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used for standardized, repetitive tasks
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Which of the following software is very cost effective since the vendor that builds the application spreads out the development costs by selling them to a large number of users
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packaged software
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Which type of software is best suited for tasks that are unique to a particular business?
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custom
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Which of the following is true regarding packaged software and custom software?
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the development costs of custom software are much higher than for packaged software because of the time, money, and resources that are required to design and develop them
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The features and modules that an enterprise system comes with out of the box are referred to as the
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vanilla version
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_____ is a systematic, structured improvement approach......
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business process management
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In the 1990s, business process management was known as
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business process reengineering
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After deciding to focus on business process management........
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they should identify the critical processes that are to be redesigned
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After identifying the ways in which information systems can be used to improve the processes....
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designing and implementing a prototype of the new process
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How is business process management similar to total quality management?
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they are intended to be cross functional approaches to improve an organization
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Applications that integrate business activities across departmental boundaries are often referred to as _____ systems
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enterprise resource planning
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Which of the following is true regarding enterprise resource planning?
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it makes the process of sharing information between business activities easier
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______ support the important internal activities of the organization for producing their products and services
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ERP core components
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Financial management, operations management, human resource management, and other important internal activities require the support of _____
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ERP core components
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______ support the primary external activities of the organization for dealing with suppliers and customers
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ERP extended components
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Specifically, ERP extended components focus primarily on
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customer relationship management and supply chain management
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Which of the following is true regarding the formula for success of an enterprise system?
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enterprise systems implementations should include personnel from different departments
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In service oriented architecture
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business processes are broken down into individual components or services
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By breaking down business processes into individual services......
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reusability, interoperability, and componentization
