Management and Information Systems

Management instruction Systems Managing the Digital Firm, 11e (Laudon/Laudon) Chapter 1 In smorgasbordation Systems in Global Business directly 1) Internet advertising is growing at a rate of to a greater extent than 25 portion a year. respond legitimate 2) Developing a stark naked product, fulfilling an line of battle, and hiring a sunrise(prenominal) employee argon fonts of crinkle transites. execute legitimate 3) A fully digital stiff produces altogether digital goods or divine proceedss. state sa rompine 4) A descent model describes how a c bother-up produces, delivers, and sells a product or table work to create wealth. resolve honest ) training engineering science (IT) harps of on the whole the hardw atomic phone number 18 that a home postulate to usage in order to discover its dividing line objectives, whereas randomness ashess consist of all the softw be and assembly line processes needed. attend FALSE 6) Computers ar save part of an study arranging. tell TRUE 7) Information systems literacy describes the behavioral cost to training systems, whereas figurer literacy describes the technical approach. fare FALSE 8) The dimensions of entropy systems are circumspection, organizations, and info technology. answer TRUE 9) Knowledge unravelers assist with paperwork at all levels of the devoted.Answer FALSE 10) In order to understand how a specific course firm enforces selective instruction systems, you need to know something about the hierarchy and finale of the caller-out. Answer TRUE 11) Business processes are logically related tasks for accomplishing tasks that withdraw been form-only(prenominal)ly encoded by an organization. Answer FALSE 12) There are quadruple major transmission line functions Sales and merchandise manufacturing and outturn finance and be and entropy technology. Answer FALSE 13) A network requires at least(prenominal) two figurers and a divided up resource, such as a pr inter.Answer FALSE 14) A substantial part of attention responsibility is creative work driven by new knowledge and training. Answer TRUE 15) Intranets suspend firms to work easily with third-party suppliers and vendors. Answer FALSE 16) An IT infrastructure lets the platform on which the firm put forward build its nurture systems. Answer TRUE 17) UPSs pulmonary tuberculosis of Web- base tools that allow customers to embed UPS functions such as introduce and cost calculations into their experience Web sites was an discipline systems solution gived to achieve customer conversance.Answer TRUE 18) Government and private sector standards are type wadters cases of complementary social as unsexs take to optimize returns from IT investments. Answer TRUE 19) A firm that invests in cost-effective affair processes is fashioning an investment in organizational complementary assets. Answer TRUE 20) In the behavioral approach to education systems, technology is ignore in favor o f understanding the psychological, social, and economic impacts of systems. Answer FALSE 1) The sextette important cable objectives of entropy technology are new products, services, and stock models customer and supplier intimacy survival private-enterprise(a) advantage operative excellence and A) amend flexibility. B) better ending making. C) alter barter practices. D) modify talent. Answer B 22) Dell Computers exercising of information systems to improve efficiency and put on mass customization techniques to maintain consistent profitability and an industry induce illustrates which business objective? A) improved flexibility B) improved business practices C) competitive advantageD) survival Answer C 23) The use of information systems because of necessity describes the business objective of A) survival. B) improved business practices. C) competitive advantage. D) improved flexibility. Answer A 24) Which of the pastime choices may lead to competitive advantage (1) new products, services, and business models (2) charging less for superior products (3) responding to customers in real time? A) 1 only B) 1 and 2 C) 2 and 3 D) 1, 2, and 3 Answer D 25) Verizons implementation of a Web-based digital dashboard to provide managers with real-time information such as customer complaints is an xample of A) improved flexibility. B) improved decision making. C) improved efficiency. D) customer and supplier intimacy. Answer B 26) The move of retail banking to use ATMs after Citibank unveiled its first ATMs illustrates the use of information systems to achieve which business objective? A) improved efficiency B) customer and supplier intimacy C) survival D) competitive advantage Answer C 27) An information system brush off be defined technically as a set of interrelated components that collect, process, store, and distribute information to upkeep A) decision making and control in an organization.B) communications and information flow. C) managers analyzing t he organizations raw information. D) the creation of new products and services. Answer A 28) The three activities in an information system that produce the information organizations use to control operations are A) information retrieval, research, and analysis. B) comment, make, and feedback. C) input, processing, and output. D) entropy analysis, processing, and feedback. Answer C 29) Order selective information for baseball tickets and bar code entropy are examples of A) raw input. B) raw output. C) customer and product data. D) gross revenue information. Answer A 0) The average number of tickets interchange daily online is an example of A) input. B) raw data. C) meaning(prenominal) information. D) feedback. Answer C 31) Output A) is feedback that has been processed to create meaningful information. B) is information that is returned to bewitch members of the organization to ease them evaluate the input stage. C) conveys data to the battalion who will use it or to the ac tivities for which it will be used. D) transfers processed information to the large number who will use it or to the activities for which it will be used. Answer D 32) Converting raw data into a more meaningful form is called A) capturing.B) processing. C) organizing. D) feedback. Answer B 33) An example of raw data from a home(a) chain of auto unsettled stores would be A) an average of 13 Toyotas are sold daily in Kentucky. B) 30 percent add in Toyota RAV 4 sales during September in Kentucky. C) 1 Toyota RAV4 sold March 3, 2008 in Louisville, Kentucky. D) all of the above. Answer C 34) The field that deals with behavioral issues as comfortably as technical issues surrounding the development, use, and impact of information systems used by managers and employees in the firm is called A) information systems literacy.B) information systems architecture. C) management information systems. D) information technology infrastructure. Answer C 35) In a hierarchical organization, the spe ed levels consist of A) managerial and professional employees. B) managerial, professional, and technical employees. C) professional and useable employees. D) managerial, professional, and operative employees. Answer B 36) Which of the six strategic business objectives did the NBAs use of synergy Sports Technology help to achieve? A) customer and supplier intimacy B) improved decision makingC) new products and services D) operational excellence Answer B 37) The fundamental set of assumptions, values, and ways of doing things that has been accepted by close to of a companys members is called its A) culture. B) environment. C) atmosphere. D) values. Answer A 38) Thomas Friedmans declaration that the world was now compressed meant that A) the Internet has reduced the economic advantages of developed countries. B) globalization is starting to leave less advantage to large corporations. C) the global economy is increasingly commanded by fewer and larger corporations.D) global capita lism is homogenizing culture and business practices end-to-end the world. Answer A 39) Data management technology consists of the A) physical hardware and media used by an organization for storing data. B) detailed, preprogrammed instructions that control and coordinate the computer hardware components in an information system. C) software governing the organization of data on physical storage media. D) hardware and software used to transfer data. Answer C 40) The hardware and software used to transfer data in an organization is called A) data management technology.B) networking and data management technology. C) data and telecommunications technology. D) networking and telecommunications technology. Answer D 41) Networking and telecommunications technologies, along with computer hardware, software, data management technology, and the people required to run and manage them, constitute an organizations A) data management environment. B) networked environment. C) IT infrastructure. D) information system. Answer C 42) An example of a business using information systems to create new products and services is A) Wal-Marts RetailLink system.B) the Mandarin oriental hotels customer-preference tracking system. C) Verizons Web-based digital dashboard. D) Apple Inc. s iPod. Answer D 43) An example of a business using information systems to attain operational excellence is A) Wal-Marts RetailLink system. B) the Mandarin Oriental hotels customer-preference tracking system. C) Verizons Web-based digital dashboard. D) Apple Inc. s iPod. Answer A 44) An example of a business using information systems for customer and supplier intimacy is A) Wal-Marts RetailLink system. B) the Mandarin Oriental hotels customer-preference tracking system.C) Verizons Web-based digital dashboard. D) Apple Inc. s iPod. Answer B 45) Maintaining the organizations financial records is a central purpose of which main business function? A) manufacturing and accounting B) finance and accounting C) sa les and manufacturing D) finance and sales Answer B 46) Based on the examples in the chapter, if you were asked to formulate a plan for a regional drive-in restaurant chains efforts to use information technology to develop a loyal customer base, what would be the beat out use of information technology from the list below? A) intent IT to increase supplier loyalty.B) intent IT to increase operational efficiency. C) Use IT to create new products and business models. D) Use IT to help survive government reporting requirements. E) Use IT to achieve customer intimacy. Answer E 47) The fact that online advertising revenues are growing at 25 percent a year, while offline conventional advertising revenues are growing at about 5 percent a year, suggests that A) Internet advertising is very inexpensive. B) offline traditional advertising is non very effective. C) the Internet is transforming the traditional advertising business model.D) new technologies are more economic at selling to c ustomers. Answer C 48) Toyota get Companys fomite orders management system allows it to improve efficiency by basing vehicle production on A) superior forecasts of regional demand. B) actual customer orders. C) improved decision making. D) customer preferences. Answer B Diff 3Page Ref 15 AACSB Use of information technology CASE Content Objective 1. 1 49) In a business hierarchy, the level that is responsible for monitoring the daily activities of the business is A) middle management.B) service workers. C) production management. D) operational management. Answer D 50) Which of the chase are environmental actors that interact with an organization and its information systems? A) customers B) suppliers C) regulatory agencies D) all of the above Answer D 51) From a business perspective, raw data is transformed systematically during various stages, transforming it into valuable information, in a process called A) the information value chain. B) the IT value chain. C) information process ing. D) feedback. Answer A 2) A corporation that funds a political action committee, which in turn promotes and funds a political candidate who agrees with the values of that corporation, could be seen as investing in which main category of complementary assets? A) managerial B) governmental C) social D) organizational Answer C 53) Apple Computer dominates the online court-ordered music sales industry primarily because of a failure of arranging label companies to A) invest in technology. B) adopt a new business model. C) invest in complementary assets. D) modernize their information value chain. Answer B 54) An example of an organizational complementary asset isA) using the appropriate business model. B) a collaborative work environment. C) laws and regulations. D) all of the above. Answer A 55) An example of a social complementary asset is A) technology and service firms in adjacent markets. B) training programs. C) distributed decision-making rights. D) all of the above. Answer A 56) Disciplines that devote to the technical approach to information systems are A) computer science, engineering, and networking. B) operations research, management science, and computer science. C) engineering, utilization management, and computer science.D) management science, computer science, and engineering. Answer B 57) The discipline that focuses on mathematical techniques for optimizing parameters of organizations, such as transportation and scrutinize control, is A) management science. B) MIS. C) operations research. D) utilization management. Answer C 58) Sociologists study information systems with an pump to understanding A) how systems affect individuals, groups, and organizations. B) how human being decision makers perceive and use formal information. C) how new information systems change the control and cost structures inside the firm.D) the production of digital goods. Answer A 59) Psychologists study information systems with an eye to understanding A) how syst ems affect individuals, groups, and organizations. B) how human decision makers perceive and use formal information. C) how new information systems change the control and cost structures inwardly the firm. D) the production of digital goods. Answer B 60) The costs for firms operating on a global scale have been drastically reduced by A) networking technology. B) investments in organizational complementary assets. C) the Internet. D) the rise of digital content. Answer C 1) Which of the chase are key bodily assets? A) intellectual property, core competencies, and financial and human assets B) production technologies and business processes for sales, marketing, and finance C) knowledge and the firms tangible assets, such as goods or services D) time and knowledge Answer A 62) overrun or underproduction of goods and services, misallocation of resources, and ugly response times are the results of a firms having A) poor relationships with suppliers. B) poor relationships with custom ers. C) inadequate information. D) a surplus of information.Answer C 63) A firm that must invest in new information systems capabilities in order to comply with federal legislation can be said to be investing to achieve which business objective? A) customer intimacy B) operational excellence C) survival D) improved reporting Answer C 64) Which of the side by side(p) would NOT be used as an input for an information system? A) digital dashboard B) handheld computer C) bar-code scanner D) cell cry Answer A 65) Which field of study focuses on both a behavioral and technical understanding of information systems? A) sociology B) operations research C) economicsD) management information systems Answer D 66) The three principle levels within a business organization hierarchy are A) senior management, operational management, and service workers. B) senior management, middle management, and operational management. C) senior management, operational management, and information systems. D) se nior management, middle management, and service workers. Answer B 67) Engineers, scientists, or architects, who design new products or services for a firm, belong to which level of a business hierarchy? A) middle management B) production workers C) knowledge workersD) data workers Answer C 68) Which main business function is responsible for maintaining employee records? A) sales and marketing B) human resources C) finance and accounting D) manufacturing and production Answer B 69) Which of the by-line constitutes an organizational element in the UPS tracking system described in the chapter? A) the specification of procedures for identifying packages with sender and recipient information B) monitoring service levels C) promoting the company strategy of cheap, superior service D) the use of handheld computers and networks for managing package obstetrical delivery Answer A 0) A managerial element in the UPS tracking system described in the chapter is A) taking inventory. B) providin g package status reports to customers. C) the decision to use automation. D) in-house package tracking software. Answer C 71) ________ is data that has been shaped into a form that is meaningful to human beings. Answer Information 72) ________ is output returned to appropriate members of the organization to help them evaluate or correct the input stage. Answer Feedback 73) ________ is a global network that uses universal standards to connect millions of distinct networks around the world.Answer The Internet 74) Computer ________ consists of the detailed, preprogrammed instructions that control and coordinate the computer hardware components in an information system. Answer software 75) The ________ is a service provided by the Internet that uses universally accepted standards for storing, retrieving, formatting, and displaying information in a page format. Answer World Wide Web/Web/ entanglement 76) ________ are private incorporate networks extended to authorized users outside th e organization. Answer Extranets 7) The key elements of an organization are its people, structure, business processes, politics, and ________. Answer culture 78) In a(n) ________ perspective, the performance of a system is optimized when both the technology and the organization reciprocally adjust to one another until a satisfactory fit is obtained. Answer sociotechnical 79) ________ makes long-range strategic decisions about the firms products and services. Answer Senior management 80) Investments in organization and management, such as investments in new business models and training, are also kn deliver as ________.Answer organizational and management capital 81) find operational excellence. How can information systems help achieve it? Answer operating(a) excellence is the achievement of higher levels of productivity, efficiency, profitability. Information systems can help achieve operational excellence by improving communications to supplier and optimizing the append chain. Inf ormation systems could help managers communicate with workers more efficiently, enable technological induction in products, minimize warehouse overhead, streamline distribution. 82) You work for an auto shaper and distributor.How could you use information systems to achieve greater customer intimacy? Answer You could create a Web site that allows customers to customize cars, communicate with support personnel and other car owners. You could create an automated e-mail service reminding car owners to take their car in for periodic checkups. You could have an information system that tracks customer preferences in local areas, so you can provide cars that reflect local customer needs and desires. 83) What is the difference between information technology and information systems? Describe some of the functions of information systems.Answer Information technology (IT) consists of all the hardware and software that a firm needs to use to achieve its business objectives. Information syste ms are more complex. An information system can be defined technically as a set of interrelated components that collect (or retrieve), process, store, and distribute information to support decision making and control in an organization. An information system supports decision making, coordination, and control helps employees probe problems helps employees visualize complex subjects helps create new products 4) You are a marketing manager for a national image theater chain. Give an example of data that your department could use for creating meaningful information. What type of information could that data produce? Answer Movie ticket sales from individual theaters would be an example of raw data. Meaningful information from this would be average number of tickets sold to seniors on certain days of the week. 85) Define business process. What tycoon be a business process used at a hospital? Answer A business process is a set of logically related tasks and behaviors for accomplishing w ork.Hiring a new employee, customer intake, and filing medical records are examples of business processes at a hospital. 86) You are starting a small bike messenger company. Given your type of services (hand-delivering packages within a small geographical area), could your firm be a digital firm? If so, what would make this a digital firm? Answer organism a digital firm doesnt purely rely on having digital goods and services. A digital firm would have most of its relationships with customers, suppliers, and employees be digitally enabled.Ordering deliveries, assigning deliveries, managing employees and assignments could certainly be digitally enabled using cell phones, information systems, and handheld devices to connect customers, delivery management, and bike messengers. 87) This chapter discusses how each organization has its own culture and sets of values shared by most of its members. What kind of shared values might you find at a law firm? Answer Shared values at a law firm mi ght be The legal system works, the legal system is fair, lawyers help people, and people need help with the legal system because it is complicated. 8) You work at the business headquarters for a chain of movie theaters. Describe this firms information value chain. Answer An information value chain adds value to data at various stages, transforming it into valuable data. At a chain of movie theaters, data would be gathered from ticket sales and concession sales. Information systems would help transform this into meaningful information, such as determining the types of movies common in certain regions, times and days of the week that people most often saw movies, what snacks were the most universal.This information would be valuable in making decisions, such as offering ticket discounts during less popular time slots, and offering more popular snack items. Further feedback based on the results of these decisions could determine whether these decisions were effective. 89) How does a companys use of information systems affect its corporate strategies? Provide an example. Answer A firms ability to effectively use information technology is interdependent with its ability to implement corporate strategies and achieve corporate goals.More and more, the ability to compete and succeed depends on a companys ability to implement technology. What a business would like to do in the future can depends on what its systems will be able to do. Examples of this might be a company who invests in information systems that enable it to create new products or to make its distribution system more efficient, allowing the company to become the low-cost producer. 90) The information systems of Accenture, a global consulting firm, allow for a highly decentralize organization without a traditional headquarters.Based on your reading of Chapter 1, which of the six strategic business objectives does Accentures information systems contribute to? Answer Student answers will vary. The followi ng is an example of a possible answer Accentures information systems allow its mobile workforce to be within easy, constant reach of its customers, contributing to the business objective of customer and supplier intimacy. Additionally, the ability of employees to connect to and work with local branch information systems in standard ways, regardless of their location, contributes to more efficient processes and operational excellence.