Chap002wjp
Chapter 02 Major Business Initiatives: Gaining Competitive Advantage with IT Multiple Choice Questions
1. What is the name of the non-paid, non-employee business model of collaboration used by Goldcorp a Toronto-based gold mining company in Canada?
A. Online shopping
B. Collaborative shopping
C. Outsourcing
D. Crowdsourcing
2. What is a distribution chain?
A. The path a product follows once it leaves the warehouse
B. The business partners involved with supplying and distributing products or services
C. The path a product or service follows from its originator to the consumer
D. The distribution list for e-communications established for any product or service
3. In contemporary business, success depends on minimizing the _____ in an attempt to reduce the costs of producing and selling products or services.
A. Level of internal communications
B. Level of customer support
C. Distribution chain
D. Complexity of needed information technology
4. Which of the following activities tracks inventory and information among business processes and across companies?
A. Supply chain management (SCM)
B. Enterprise resource management (ERM)
C. Business intelligence (BI)
D. Distribution information systems (DIS)
5. Which of the following is a method for producing or delivering a product or service just at the time the customer wants it?
A. Direct sales
B. Just-in-time manufacturing
C. Hyper manufacturing
D. Immediate production
6. Which term describes an approach that produces or delivers a product or service just at the time the customer wants it?
A. Just-in-time
B. Supply chain
C. Distribution chain
D. Value chain
7. If you were to purchase a car before it was manufactured and the assembly of that car was dictated by your requirements, you would be utilizing which type of manufacturing process?
A. Customer-driven manufacturing
B. Just-in-time manufacturing
C. Customized construction
D. Transaction-based production
8. Which type of transportation uses multiple channels to transport products from the manufacturing location to the customer destination?
A. Hyper
B. Divergent
C. Inter-modal
D. Complex
9. The complexity of SCM is supported by technology. Which intricate SCM activity needs strong monitoring by SCM systems?
A. Multi-channel service delivery
B. Customer tracking
C. Inter-modal transportation
D. Sales force tracking
10. What is the primary focus of supply chain management (SCM)?
A. Overall cost leadership
B. Below the line initiative
C. Run-grow-transform framework
D. Overall cost leadership and below the line initiative
11. Which of the following results from a well-designed supply chain management system?
A. Enhanced fulfillment of supplies needed for production
B. Minimizing transportation costs
C. The smooth production of products
D. Well-designed SCM systems can enhance any of these stated activities
12. In relation to SCM, what is an information partnership?
A. Sharing production information with potential customers
B. Two or more companies cooperating by integrating their IT systems
C. Competitive suppliers providing production schedules to the manufacturer
D. Functional areas within your business sharing information
13. Optimizing what ensures that the right quantity of parts arrive at the right time for production or sale?
A. Logistics
B. Production
C. Cost and Price
D. Fulfillment
14. Optimizing what keeps the cost of transporting materials as low as possible?
A. Logistics
B. Production
C. Cost and Price
D. Fulfillment
15. For a moment, imagine yourself visiting your local florist to order flowers for a party you were preparing for. The florist, however, did not have the type of flower arrangement you hoped for but the florist was able to immediately find, order and deliver this arrangement directly to your home from their supplier. What kind of relationship does this represent?
A. An information partnership
B. A collaborative business
C. Dynamic communication
D. Customer sharing
16. Which of the following systems primarily concentrates on the customer?
A. CRM
B. ERP
C. SCM
D. CCM
17. Which of the following systems uses information about customers to gain insights into their needs, wants, and behaviors in order to serve them better?
A. Supply chain management (SCM)
B. Transaction information processing (TIP)
C. Enterprise resource management (ERP)
D. Customer relationship management (CRM)
18. Which of the following systems can be used to gain insights into the needs, wants, and behaviors of customers?
A. Sales force automation systems (SFA)
B. Customer relationship management systems (CRM)
C. Transaction processing systems (TPS)
D. Collaborative information systems (CIS)
19. Which term describes a business' approach to offering multiple ways in which customers can interact with it?
A. Customer relationship management
B. Customer collaborative systems
C. Multi-channel service delivery
D. Multi-path convergence
20. What is a fundamental goal of CRM systems?
A. To provide customers with information partnerships
B. To lower the costs of maintaining inventory systems
C. To manage and track customer interactions
D. To manage, track, and supply products and services to customers in a timely manner
21. What of the following is not the primary focus of customer relationship management?
A. Bottom-line initiative (reducing operating costs)
B. Differentiation and focus (Porter's three generic strategies)
C. Top-line initiative (revenue enhancement)
D. Growing the organization (RGT framework)
22. What is the difference between SCM and CRM?
A. CRM records information about products and services; SCM records information about customers
B. CRM stores and processes transactional information; CRM stores and processes business intelligence
C. SCM manages product information; CRM manages customer information
D. CRM records and processes operational data; SCM records and processes tactical information
23. Customer relationship management (CRM) systems include which of the following functions?
A. Sales force automation
B. Customer service and support
C. Marketing campaign management and analysis
D. All of the above
24. Is CRM software?
A. No, it is a total business objective consisting of hardware, software, processes, and goals
B. Yes, it is the software solutions that make up a CRM system
C. CRM is a process, not IT
D. CRM is a way of thinking supported by the culture of business people and customers
25. One function in CRM is the sales force automation (SFA) system. What is its purpose?
A. To track all the steps in the sales process
B. To track the movements of salespeople so that, at any moment, the company can determine where they are located
C. To track products as they move from inventory to the customer
D. To track the sales process and the movement of people and products
26. Which of the following systems can perform sales lead tracking, contact management, and market analysis?
A. Sales force automation systems (SFA)
B. Customer relationship management systems (CRM)
C. Transaction processing systems (TPS)
D. Collaborative information systems (CIS)
27. IT supports CRM with front and back office systems. Which statement describes a front office system?
A. The notepad that salespeople use to record customer information while at the customer site
B. The computer interfaces that collect customers' information and sends it to the main information system
C. The computer systems that process customer orders and other customer information
D. The systems that interact with the supply chain management systems
28. Which systems are typically used to support customers or sales?
A. Back office systems
B. Front office systems
C. Side office systems
D. Information sales systems
29. Which systems are typically used to fulfill and support customer orders?
A. Back office systems
B. Front office systems
C. Side office systems
D. Information sales systems
30. What is the difference between front and back office systems?
A. Front office systems are external systems; back office systems are internal
B. Front office systems are Web based; back office systems are built on database systems
C. Front office systems process information in the beginning of a customer's transaction; back office systems process information at the end of the customer's transaction
D. Front office systems focus on getting the sale; back office systems focus on follow-up
31. Which type of system improves the performance of teams by supporting the sharing and flow of information?
A. E-communication
B. E-messaging
C. Workflow
D. Collaborative
32. What type of technology is needed to support integrated collaborative work environments, knowledge management, social networking, e-learning, and open-source collaboration?
A. ERP
B. V-systems
C. ICE
D. E-collaboration
33. Which type of online environment supports virtual teams and the online activities they complete?
A. Integrated collaboration environments (ICEs)
B. V-systems
C. Wiki
D. Geographical information systems (GIS)
34. If you were working on a project with a team whose membership was spread out over the US, Europe, and Asia, you would probably be working in a(n) _____ team.
A. Multi-spectrum
B. Shared partnered
C. Cross-organizational
D. Virtual
35. What term is used to describe teams whose members are located in varied geographical locations and whose work is supported by specialized ICE software?
A. Virtual teams
B. Innovative crews
C. E-teams
D. ICEware
36. Which type of system facilitates the automation and management of business processes?
A. E-system
B. Workflow
C. Alliance
D. Integrated
37. Which of the following terms is used to define all the steps or business rules, from beginning to end, required for a business process?
A. Business conventions
B. Workflows
C. Work methods
D. Organizational practices
38. Which type of information system manages a document through all the stages of its processing?
A. Word processing system
B. Database management system
C. File management system
D. Document management system
39. Which type of system supports the capturing, organizing, and dissemination of knowledge throughout the organization?
A. Database management (DBM) system
B. Knowledge management (KM) system
C. Business Intelligence (BI) system
D. https://www.sodocs.net/doc/9814117522.html,
40. Which of the following is an IT system that supports the capturing, organization, and dissemination of knowledge?
A. Business process management system
B. Knowledge management system
C. Workflow system
D. Automatic workflow system
41. The objective of a(n) _____ system is to ensure that the expertise contained within the minds of the employees is available to that organization.
A. Database management
B. Business intelligence
C. Information
D. Knowledge management
42. If you were to create, read, or respond to a blog on Facebook, you would be working with which of the following applications?
A. Knowledge management
B. Social networking site
C. E-Communication
D. E-Community
43. What is the difference between a social networking site and a social networking system?
A. A social networking site is a physical location; a social networking system is a virtual location
B. A social networking site is a virtual place to socialize; a social networking system is the tools that link you to people
C. A social networking site is a local space; a social networking system is a global space
D. The two phrases can be used interchangeably
44. Do businesses use social networking systems?
A. Not during business hours or with organizational systems
B. Contemporary businesses provide space in their systems for socializing but time and space is limited and monitored
C. Yes, to connect to influential people from outside your immediate environment or organization
D. Social networking systems are an emerging technology whose potential is still unknown
45. What is an e-learning tool?
A. Online testing environments
B. Wizards that accompany applications
C. Online encyclopedias
D. IT-enabled systems that facilitate learning
46. What is a Wiki?
A. A product, such as a Webkinz, who is tied to a virtual life through the manufacturer
B. A Web site that allows you to create, change, or eliminate content
C. A reference site for technical information related to the Web; the sites are usually geared towards e-learning
D. Technology that supports virtual relationships and social networking
47. What is open-source information?
A. Programming code that is available or open to customers
B. Information that is linked with the originator of the information and any related sources of information
C. Evolving information or information that can be edited by the community that uses it
D. Information that requires further investigation into its credibility
48. According to the authors, which information technology will change the face of business with respect to finding and making new contacts and facilitating learning?
A. Wiki
B. V-learning and e-communication
C. Social networking and e-learning
D. Webcasting and podcasting
49. The IT ____ within an organization will determine the philosophical approach to IT development, deployment, and usage.
A. Strategic management team
B. Department
C. Leadership
D. Culture
50. The structure of IT develops from the culture within that organization and can develop into what type of approach?
A. Top-down silo
B. Matrix
C. Fully-integrated
D. Top-down silo, matrix, or fully-integrated
51. A _____ IT structure develops from a strong "command and control" management approach.
A. Fully-integrated
B. Matrix
C. Top-down silo
D. Most IT structures develop from a strong "command and control" management approach.
52. A(n) _____ IT structure develops from a centralized IT department; one that serves the whole organization and not just a piece of it.
A. Top-down silo
B. Fully-integrated
C. Matrix
D. Operational
53. A(n) _____ IT structure develops from decentralized IT functional units; these units support an individual department or functional area.
A. Fully-integrated
B. Top-down silo
C. Operational
D. Matrix
54. What is the title for the person responsible for overseeing every aspect of an organization's information resource?
A. CIO (chief information officer)
B. CTO (chief technology officer)
C. CSO (chief security officer)
D. CPO (chief privacy officer)
55. If every technology officer working for your organization reported to you, your title would be _____.
A. CTO (chief technology officer)
B. CSO (chief security officer)
C. CIO (chief information officer)
D. CPO (chief privacy officer)
56. What is the title of the person responsible for overseeing both the underlying IT infrastructure within an organization and the user-facing technologies?
A. CIO (chief information officer)
B. CPO (chief privacy officer)
C. CSO (chief security officer)
D. CTO (chief technology officer)
57. What is the title of the person responsible for the technical aspects of ensuring the security of information such as the development and use of firewalls, intranets, extranets, and anti-virus software?
A. CTO (chief technology officer)
B. CIO (chief information officer)
C. CPO (chief privacy officer)
D. CSO (chief security officer)
58. What is the title of the person responsible for ensuring that information is used in an ethical way and that only the right people have access to certain types of information?
A. CPO (chief privacy officer)
B. CIO (chief information officer)
C. CTO (chief technology officer)
D. CSO (chief security officer)
59. If one of your responsibilities within an organization was to determine who had access to employee's social security IDs, your title would probably be _____.
A. CIO (chief information officer)
B. CTO (chief technology officer)
C. CSO (chief security officer)
D. CPO (chief privacy officer)
60. What is an advantage of being an early adopter of technology?
A. Increasing the competitive advantage of the organization
B. Enhancing the reputation of the organization
C. Cutting operational costs
D. Increasing productivity
61. If you rewarded employees for trying new technologies even if they proved to be unsuccessful, what would you be encouraging?
A. Increased risk of failure
B. Technology innovative failure
C. Emerging technology
D. Runaway trains
62. What is the advantage of being a late adopter of technology (wait-and-see organization)?
A. Minimizing wasted spending and loss of productivity
B. Increasing market share by grabbing disgruntled customers from the competition
C. Increasing overall revenues by cutting operational costs
D. Enhancing the reputation of the organization
63. What is an enterprise resource planning (ERP) system?
A. An integrated software system for every functional area within an organization
B. A collaborative document management system that stores and manages documents needed by the entire organization
C. A database management system that maintains information on the information resources for the entire enterprise
D. A strategic planning methodology that promotes enterprise-wide planning rather than decentralized planning
64. Which type of software dominates the supply chain management (SCM) environment?
A. Transaction processing
B. E-collaboration
C. Front office systems
D. Enterprise resource planning
65. If you needed direct access to stored information from another functional area within your organization, what type of system would you need?
A. Legacy information system (LIS)
B. Data warehouse
C. Enterprise-wide database management system (E-DBM)
D. Enterprise resource planning system (ERP)
66. What is a legacy information system (LIS)?
A. A massive, outdated information system
B. A powerful DBMS that supports ERP
C. A Web-based information system that connects the information collected from distinct systems
D. A retired information system
67. Which of the following is not required of an ERP system?
A. Modular design
B. Decentralized database systems
C. Integrated functions
D. Internet-enabled
True / False Questions
68. The distribution chain is simply the path followed from the distributor of a product or service to the end consumer.
True False
69. A supply chain management system automates inventory tracking but still requires that information be transferred manually.
True False
70. Domestic supply chains rarely use inter-modal transportation.
True False
71. Revenue and profit are optimized by a well-designed supply chain management. True False
72. Supply chain management includes fulfillment.
True False
73. Information partnership occurs when all functional areas in a company cooperate by integrating their IT systems.
True False
74. Information partnerships require the integration of IT systems from two or more independent companies.
True False
75. Customer relationship management systems cannot help you acquire new customers. True False
76. When a business offers multiple ways in which customers can interact with it, its approach is a multi-channel service delivery.
True False
77. Customer relationship management should be completely based upon software—there are no other components to consider.
True False
78. CRM systems automatically track all of the steps in the sales process.
True False
79. A CRM system only interfaces with front office systems in order to better serve the customer.
True False
80. Both the front office and the back office systems send customer information to the corporate database.
True False
81. Front office systems are the primary interface to customers and sales channels.
True False
82. A back office system is used to fulfill and support customer orders.
True False
83. An e-collaboration system supports integrated collaborative work environments, knowledge management, social networking, e-learning, and open-source collaboration.
True False
84. Virtual team members are typically located in the same geographic areas.
True False
85. Virtual teams work in an integrated collaboration environment (ICE).
True False
86. Collaboration systems are designed to support the sharing and flow of information between companies.
True False
87. A "work course" system facilitates the automation and management of business processes. True False
88. A "work course" defines all of the steps or business rules, from beginning to end, required for a business process.
True False
89. The document management system manages a document through all the stages of its processing.
True False
90. A social networking site is a virtual space that allows people to build and maintain friendships.
True False
91. A social networking system is the set of links and communication privileges for an online social community.
True False
92. E-Learning tools are IT-enabled systems that facilitate collaboration.
True False
93. A nanonite is a Web site that allows you to create, change, or eliminate content from their site.
True False
94. Open source information is software for which the code is available and free to the customer.
True False
95. The broad integrated collaboration environment market is dominated by the likes of
IBM/Lotus, Microsoft, and Novell.
True False
96. The IT structure determines the culture within an organization.
True False
97. In a top-down silo approach, an organization would create a department or IT function devoted exclusively to everything related to technology.
True False
98. The chief information officer (CIO) is responsible for overseeing every aspect of an organization's information resource.
True False
99. The chief technology officer is responsible for overseeing both the underlying IT infrastructure within an organization and the user-facing technologies.
True False
100. The chief security officer is responsible for the ethical use of information within an organization.
True False
101. The chief privacy officer is responsible for ensuring that only the people who should see information have access to that information.
True False
102. When a company encourages it employees to seek new and innovative ways to use technology without punishment of failure, that company supports the theory of Porter's 5 Force Model.
True False
103. Enterprise resource planning (ERP) systems primarily support the strategic planning processes and the creation of tactical information.
True False
104. A legacy information system is a powerful system capable of supporting the needs of many functional areas in business.
True False
Fill in the Blank Questions
105. The _____ is the path followed from the originator of a product to the end consumer.
________________________________________
106. _____ tracks inventory and information among business processes and across companies. ________________________________________
107. A supply chain management system automates the tracking of _____ and information among business processes and across companies.
________________________________________
108. _____ is a method for producing or delivering a product or service at the time the customer wants it.
________________________________________
109. _____ is the use of multiple channels of transportation used to move products from their source to the customer.
________________________________________
110. _____ refers to ensuring the right quantity of parts for production or products for sale arrive at the right time.
________________________________________