Topics for Mid-term 1: Short answer topics (POSTED ON MOODLE)

Name: Juhana Subayta

1) Strategic objectives—What are they? Why do they matter and how does MIS relate to them?
Strategic objectives—What are they?
There are six strategic business objectives:
Six reasons why information systems are so important for business today include:
(1) Operational excellence: Businesses continuously seek to improve the efficiency of the operations in order to achieve higher probability and high
profits. E.g., Walmart.
(2) New products, services, and business models: Business model describes how a company produces, delivers, and sells a product or service to create
wealth. E.g., Apple
(3) Customer and supplier intimacy: When a business really knows its customers, and serves them well, the customers generally respond by returning and
purchasing more. Likewise, with suppliers: the more a business engages its suppliers, the better the suppliers can provide vital inputs. E.g.: Mandarin
Oriental Hotel
(4) Improved decision making:
In Past, managers rely on forecasts, best guess, and luck, which resulted in overproduction, underproduction, Misallocation of resources, and poor
response of times – losing customers.
In Present, managers get real-time data from the marketplace to make decisions.
(5) Competitive advantage:
When firms achieve – operational excellence; new products, services and businesses models; customer/supplier intimacy; and improved decision making –
chances are that they have already achieved a competitive advantage.
- Charging less for superior products, better performance, and better response to suppliers and customers. E.G., Apple, Walmart.
(6) Survival: Business firms also invest in information systems and technologies because they are necessities of doing business. Sometimes these
‘necessities’ are driven by industry-level changes.
Why do they matter and how does MIS (Management Information System) relate to them?
Information systems are the foundation for conducting business today. In many industries, survival and even existence without extensive use of IT is
inconceivable, and IT plays a critical role in increasing productivity. Although information technology has become more of a commodity, when coupled with
complementary changes in organization and management, it can provide the foundation for new products, services, and ways of conducting business that
provide firms with a strategic advantage.
2) What are information systems and how should we study them?
Information system: interrelated components that manage information to:
• Support decision making and control
• Help with analysis, visualization, and product creation
Information: data (raw facts) that are shaped into meaningful, useful form
Activities in an information system that produce information: Input, Processing, Output, and Feedback.

Computer/ computer program VS information system:

Computer literacy, focuses primarily on knowledge of information technology.
Management information systems (MIS) tries to achieve this broader information systems literacy. MIS deals with behavioral issues as well as technical
issues surrounding the development, use, and impact of information systems used by managers and employees in the firm.
Type of System Information Inputs Information Outputs Users
Transaction Processing Systems (TPS): Transactions; records daily Detailed reports; lists; Operations personnel;
operational managers need to keep up with all the transactions in the organization. It is a events summaries first-line supervisors
computerized system that performs and records the daily routine transactions necessary to
conduct business, such as sales order entry, hotel reservations, payroll.
Management Information Systems (MIS): Summary Summary and exception Middle managers
also designates a specific category of information systems serving middle management, it transaction data; high- reports
provides them with reports on the organizations current performance volume data; simple models
Decision Support Systems (DSS): Optimized for data analysis, Interactive; simulations; Professionals, staff
focus on problems that are unique and rapidly changing, for which the procedure for arriving analytic models and data analysis managers
at a solution may not be fully predefined in advance. Business intelligence systems also analysis tools
address the decision-making needs of senior management. It focuses on strategic issues and
long-term needs.
Executive Support Systems (ESS): Aggregate data; external, Projections; responses to Senior managers
help senior management make these decisions. They address non-routine decisions, internal queries
requiring judgement, evaluation and insight because there is no agreed-on procedure for
arriving at a solution.

3) What the different levels of management decision making and which systems do they primarily use?
A typical firm comprises:
1. senior management: management with an overview of the organization, who seek to direct and use the skills of the
middle and operational management teams to achieve the key objectives of the organization. (It Uses ESS)
2. middle management: many have cross-functional roles with broader responsibilities—they seek to streamline
operations and integrate them, and coordinate activities. (It Uses MIS, DSS, & GDSS)
3. operational management: management at the front end of an operation, who deal with the day-to-day work of the
organization. (It Uses DSS, MIS, GDSS)
Each of these layers uses systems to support the decisions they must make to run the company.
4) What are enterprise applications? Why are they desirable? What is involved in implementing them?
Enterprise Applications: systems that span functional areas, focus on executing business processes across the business firm, and include all levels of
management. This application is a solution to all the different kind of systems in a company. It helps businesses become more flexible and productive.
FOUR major enterprise applications:
1. Enterprise systems also known as enterprise resource planning (ERP) systems, to integrate business processes in manufacturing and production,
finance and accounting, sales and marketing, and human resources into a single software system.
2. Supply chain management systems (SCM) help manage relationships with their suppliers. It shares information about orders, production and
inventory levels, so they can source, produce and deliver goods efficiently.
a. Interorganizational systems are one type of SCM, they automate the flow of information across organizational boundaries.
3. Customer relationship management systems (CRM) helps to manage the relationships with customers. It provides information to coordinate all
business processes that deal with customers.
4. Knowledge management systems (KMS) some firms perform better because of better knowledge about create, produce and delivering of products.
Firms knowledge is unique, difficult to imitate and are long-term strategic benefits. KMS enable organizations to better manage processes for
capturing and applying knowledge and expertise.

Why are they desirable? What is involved in implementing them?

It is difficult to ensure that all the systems within an organization work in harmony. Most organizations have a collection of new and legacy systems
that simply do not interact with one another. One possible solution to this problem is to implement an enterprise application. The organization can
thus invest in systems that span all of its functional areas. Enterprise applications can help make the business more flexible and productive by helping
coordinate business processes more closely and integrating groups of processes to ensure that they focus on the efficient management of resources
and customer service.

5) What is social collaboration in the context of MIS and business management, how might it benefit an organisation.
Collaboration is working with others to achieve shared and explicit goals. It focuses on task or mission accomplishment and usually takes place in a
business, or other organizations, and between businesses. Collaboration can be short-lived or longer term, depending on the nature of the task and the
relationship among participants. It can be one-to-one or many-to-many.
Social business is part of an organization’s business structure for getting things done in a new collaborative way. It uses social networking platforms to
connect employees, customers, and suppliers. The goal of social business is to deepen interactions with groups inside and outside a company to expedite
and enhance information-sharing, innovation, and decision-making.

how might it benefit an organization?

The general belief is that the more a business firm is collaborative in nature, the more successful it will be and that collaboration within and among firms is
more essential than in the past. The overall economic benefits of collaboration and social business are significant.

The business benefits of collaboration and social business are listed:

• Productivity: people working together accomplish tasks faster, with fewer errors, than those working alone.
• Quality: people can communicate errors and correct them faster when working together versus working alone.
• Innovation: people working in groups can generate more innovative ideas than if they were working alone.
• Customer service: people working in teams can solve customer complaints and issues faster and more effectively versus working in isolation.
• Financial performance: collaborative firms have superior sales, sales growth, and financial performance.
 EXTRA QUESTION (Not important)
Compare the roles played by programmers, systems analysts, information systems managers, the chief information officer (CIO), chief
security officer (CSO), chief data officer (CDO) and chief knowledge officer (CKO).
• Programmers are highly trained technical specialists who write the software instructions for computers.
• Systems analysts constitute the principal liaisons between the information systems groups and the rest of the organization. The systems
analyst’s job is to translate business problems and requirements into information requirements and systems.
• Information systems managers lead teams of programmers and analysts, project managers, physical facility managers, telecommunications
mangers, or database specialists.
• Chief information officer is a senior manager who oversees the use of information technology in the firm.
• Chief security officer is responsible for information systems security in the firm and has the principal responsibility for enforcing the firm’s
information security policy. The CSO is responsible for educating and training users and IS specialists about security, keeping management aware
of security threats and breakdowns, and maintaining the tools and policies chosen to implement security.
• Chief data officer is responsible for enterprise-wide governance and utilization of information to maximize the value the organization can realize
from its data. The CDO ensures the firm is collecting appropriate data, analyzing it appropriately, and using the results to support business
decisions.
• Chief knowledge officer helps design programs and systems to find new sources of knowledge or to make better use of existing knowledge in
organizational and management processes.

(IGNORE TRUE/FALSE & ESSAY QUESTIONS OF THE TEST BANK)

TEST BANK OF MIS: Managing the Digital Firm, 16e, Global Edition (Laudon) Ch 2 Global E-business and Collaboration

1) Producing a bill of materials is a business process in which 4) The ________ function is responsible for making sure
of the following functional areas? customers are aware of the company's products.
A) Finance and accounting A) finance and accounting
B) Human resources B) human resources
C) Manufacturing and production C) manufacturing and production
D) Research and development D) sales and marketing
E) Sales and marketing E) distribution and logistics

2) Which of the following is an example of a cross-functional 5) According to the chapter case, Sanofi Pasteur is using
business process? Microsoft Yammer for all of the following reasons except:
A) Identifying customers A) give employees more opportunities to innovate.
B) Shipping a product B) increase product innovations from lower down in the
C) Fulfilling a customer order organization.
D) Hiring employees C) simplify business processes
E) Paying creditors D) strengthen management controls over employees
E) set up activist groups for change
3) Order fulfillment involves all of the following business
processes except: 6) Identifying customers is a business process handled by the
A) checking the customer's credit. marketing function. TRUE
B) assembling the product. 7) One example of a business process is shipping a product to
C) submitting the order. a customer. TRUE
D) making customers aware of the product.
E) shipping the product.
8) What is the connection between organizations, information systems, and business processes?
Answer: Business processes refer to the manner in which work activities are organized, coordinated, and focused to produce a specific business result. They
also represent unique ways in which organizations coordinate work, information, and knowledge and the ways in which management chooses to coordinate
work. Managers need to pay attention to business processes because they determine how well the organization can execute, and thus are a potential source
for strategic success or failures. Although each of the major business functions has its own set of business processes, many other business processes are cross
functional. Information systems can help organizations achieve great efficiencies by automating parts of these processes or by helping organizations rethink
and streamline them. Firms can become more flexible and efficient by coordinating and integrating their business processes to improve management of
resources and customer service.
9) What are cross-functional business processes? Give an example.
Answer: Cross-functional processes are those that require input, cooperation, or coordination between the major business functions in an organization. For
instance, when a salesman takes an order, the major business functions of planning, production, inventory control, shipping, accounting, and customer
relations will all be involved before the order is completed.

10) Your aunt has asked you for your suggestions to make her business, a local sandwich shop, more efficient. Describe at least three types of business
processes that a sandwich shop has. Can any of these processes be made more efficient through the use of information systems?
Answer: The business processes of a sandwich shop include: Taking orders, making sandwiches, selling to the customer, ordering supplies, opening the store,
closing the store, cleaning the store, paying employees, hiring employees, paying creditors and vendors, creating financial statements, paying taxes, managing
cash. Many of these processes could be helped by better information systems, specifically those that require recorded data, such as any financial processes
(payments, cash management, taxes, payroll) and information gathered from and distributed to employees.
11) If sales of your products declined in a specific region of the country,
which of the following types of system would best help you understand 18) Non-typical business problems with causes and effects that are rapidly
why? changing are typically handled by which of the following types of
A) ESS information system?
B) TPS A) MIS
C) MIS B) TPS
D) DSS C) ESS
E) CRM D) DSS
E) KMS
12) You have been hired by a non-profit organization to implement a
system to handle donations. The system must be able to handle and 19) Which of the following types of information systems are especially
record telephone, text, and Internet donations, provide up-to-the- suited to situations in which the procedure for arriving at a solution may
minute reports, and create highly customizable mailing lists. In addition, not be fully defined in advance?
event fundraisers need to be able to quickly access a donor's A) MIS
information and history. Which of the following systems will best meet B) TPS
these needs? C) DSS
A) TPS D) KMS
B) TPS with DSS capabilities E) RPS
C) TPS with MIS capabilities
D) TPS with ESS capabilities 20) Which type of information system would you use to forecast the return
E) DSS with MIS capabilities on investment if your firm planned to switch to a new supplier that offered
products at a lower cost?
13) To monitor the status of internal operations and the firm's relations A) ESS
with the external environment, managers need which of the following B) TPS
types of system? C) MIS
A) DSS D) CRM
B) KWS E) DSS
C) TPS
D) MIS 21) Which level of the organization is an ESS specifically designed to serve?
E) BIS A) Operational
B) End-user
14) A(n) ________ is typically a major source of data for other systems. C) Middle management
A) TPS D) Senior management
B) MIS E) Knowledge workers
C) ESS
D) DSS 22) An ESS supports which of the following?
E) KMS A) Long-range planning activities of senior management
B) Knowledge and data workers in an organization
15) The term management information systems refers to a specific C) Decision making and administrative activities of middle managers
category of information systems serving: D) Day-to-day processes of production
A) integrated data processing throughout the firm. E) Transactional needs of the organization
B) transaction process reporting.
C) employees with online access to historical records. 23) Which of the following systems would you expect to deliver data from
D) the information technology function. external events, and summarized information from internal MIS systems?
E) middle management functions. A) TPS
B) ESS
16) Which of the following would you use in order to determine which C) MIS
of your suppliers has the best and worst records for meeting your D) DSS
production schedules? E) SCM
A) MIS
B) TPS 24) Which of the following would you use to forecast trends in your
C) UPS supplier's industry that could affect your firm over the next five years?
D) DSS A) ESS
E) CRM B) TPS
C) MIS
17) A relocation control system that reports summaries on the total D) DSS
moving, house hunting, and home financing costs for employees in all E) KMS
company divisions falls into which of the following categories?
A) KMS 25) Which of the following is a routine question that might be answered by
B) TPS an MIS system?
C) ESS A) Creating a new product
D) MIS B) Estimating the effect of changing costs of supplies
E) DSS C) Calculating the best trucking routes for product delivery
D) Compare planned to actual sales for each quarter
E) Forecasting new industry trends
26) Using the Internet to buy or sell goods is called: 34) Which of the following types of system enables management to make better
A) e-commerce. decisions regarding their suppliers?
B) e-business. A) SCM
C) an intranet. B) TPS
D) an extranet. C) KMS
E) e-government. D) ERP
E) MIS
27) All of the following are examples of business intelligence
systems except a system that: 35) Which type of system integrates supplier, manufacturer, distributor, and
A) summarizes and reports on a company's basic operations. customer logistics processes?
B) tracks the flows of materials in a factory. A) Collaborative distribution system
C) focuses on problems that are unique and rapidly changing. B) Supply chain management system
D) compares total annual sales figures for specific products to C) Reverse logistics system
planned targets. D) Enterprise planning system
E) addresses nonroutine decisions. E) Transaction processing system

28) Which of the following types of systems typically use a digital 36) Which of the following types of system would you use to manage relationships
dashboard to display an array of charts and graphs of a with your customers?
business's key performance indicators? A) CRM
A) MIS B) MIS
B) TPS C) CLE
C) ESS D) CLU
D) CRM E) KMS
E) SCM
37) Which of the following would you use to consolidate the relevant knowledge
29) What is the most important function of an enterprise and experience in the firm and make it available to improve business processes
application? and management decision making?
A) Increasing speed of communicating A) TPS
B) Enabling business functions and departments to share B) An extranet
information C) KMS
C) Enabling a company to work collaboratively with customers D) CRM
and suppliers E) MIS
D) Enabling cost-effective e-business processes
E) Enabling inventory and supply chain management 38) You have been hired by BizCom, a business communications consultancy that
services many clients in different industries throughout the United States, to help
30) Which of the following systems is designed to span it improve its profit margin. BizCom provides customized recommendations for the
functional areas, focus on executing business processes across best use of a client's existing resources for improving internal communications,
the firm, and include all levels of management? typically delivered via documentation in different media. The company has
A) DSS approximately 50 consultants, all of whom are located in its central headquarters
B) MIS in Alexandria, Virginia. What type of system do you recommend that BizCom install
C) CRM to improve its business processes and increase its profit margin?
D) Enterprise applications A) An extranet, to enable quick collaboration over the Internet, minimize the
E) SCM time spent communicating with the client, and minimize the amount of
paperwork needed
31) A(n) ________ system collects data from various key B) A CRM, to maintain easily accessible customer records to minimize the time
business processes and stores the data in a single, spent looking for client data
comprehensive data repository, usable by other parts of the C) A KMS, for minimizing redundant work on similar clients
business. D) A marketing system, for improving sales levels
A) transaction processing E) A TPS, to help manage all daily activities and transactions
B) enterprise
C) automatic reporting 39) You manage the IT department at a small startup Internet advertiser. You need
D) management information to set up an inexpensive system that allows customers to see real-time statistics
E) knowledge management such as views and click-throughs about their current banner ads. Which type of
system will most efficiently provide a solution?
32) The four major types of enterprise applications are: A) CRM
A) SCM, CRM, DSS, and KMS. B) Enterprise system
B) SCM, CRM, ESS, and KMSs. C) Extranet
C) ERP, SCM, DSS, and CRM. D) Intranet
D) ERP, SCM, CRM, and KMS. E) MIS
E) TPS, MIS, DSS, and ESS.
40) Which of the following types of system helps coordinate the flow of
information between the firm and its suppliers and customers?
33) ________ systems are also known as enterprise systems. A) Intranet
A) Resource planning B) Extranet
B) Enterprise resource planning C) KMS
C) Enterprise support D) TPS
D) Management information E) DSS
E) Decision-support
41) Using ________ to enable government relationships 60) The pet products chain you work for, Pets Galore, has noticed that one of its brands of
with citizens, businesses, and other arms of government is dog food is not selling nearly as well as anticipated. What information systems of the
called e-government. business will you use to determine the reason for the poor sales? Discuss what information
A) the Internet and networking technologies you will retrieve from which system. Which of the information systems will be most
B) e-commerce important for your analysis? Which of the systems will be least important?
C) e-business Answer: You might query operational level TPS to make sure that the product is actually
D) any computerized technology getting to the stores and being restocked. You could query MIS to see average sales levels
E) telecommunications according to geography, location, and other factors to see if there are any specific factors
affecting the sales. You might query ESS to see if the same dog food is being sold by
42) In ________, digital technology and the Internet are competitors and what these prices are. You might use DSS to see what factors could increase
used to execute the major business processes in the sales.
enterprise. Assuming that the dog food is being properly stocked at the stores, the most important
A) e-commerce systems to query are the managerial-level systems: MIS for summaries of sales records to help
B) e-business pinpoint any other factors; ESS to check competition, and DSS for higher-level analysis to
C) enterprise applications forecast possible solutions.
D) MIS 61) Identify and discuss the major types of information systems that serve the main
E) SCM management groups within a business. What are the relationships among these systems?
(ESSAY)
43) Which of the following statements about the City Answer: The four major categories of information systems are:
Football Group and SAP’s Challenger Insights, as described 1. Transaction processing systems, such as payroll or order processing, track the flow of the
in the chapter case, is not true? daily routine transactions that are necessary to conduct business.
A) It was designed to share information with fans. 2. Management information systems (MIS) provide the management control level with
B) It was primarily designed to increase sales of food and reports and access to the organization's current performance and historical records. Most MIS
beverages reports condense information from TPS and are not highly analytical.
C) It uses RFID sensors to record player movements. 3. Decision-support systems (DSS) support management decisions when these decisions are
D) It helps coaches make decisions during a game. unique, rapidly changing, and not specified easily in advance. They have more advanced
E) It was designed to increase fan involvement. analytical models and data analysis capabilities than MIS and often draw on information from
external as well as internal sources.
44) Transaction-level information is essential for 4. Executive support systems (ESS) support senior management by providing data of
operational management to plan future production levels. greatest importance to senior management decision makers, often in the form of graphs and
FALSE charts delivered via portals. They have limited analytical capabilities but can draw on
45) Cross-functional systems are being phased out in favor sophisticated graphics software and many sources of internal and external information.
of systems that support business processes within a single The various types of systems in the organization exchange data with one another. TPS are a
functional group, such as human resources. FALSE major source of data for other systems, especially MIS and DSS. ESSs primarily receive data
46) A DSS is most commonly used by the executive from lower-level systems.
management level of an organization. FALSE
47) You would use an MIS to help determine if your 62) Zoom Vacuum, a family-owned manufacturer of high-end vacuums, has grown
business should introduce a new product line. FALSE exponentially over the last few years. However, the company is having difficulty preparing
48) For nonroutine decision making, managers rely on for future growth. The only information system used at Zoom is an antiquated accounting
decision support systems. TRUE system. The company has one manufacturing plant located in Iowa; and three warehouses,
49) Most transaction processing systems use sophisticated in Iowa, New Jersey, and Nevada. The Zoom sales force is national, and Zoom purchases
mathematical models or statistical techniques. FALSE about 25 percent of its vacuum parts and materials from a single overseas supplier. You have
50) Managers can use DSS to make decisions about been hired to recommend the information systems Zoom should implement in order to
problems that are unusual and not easily specified in maintain their competitive edge. However, there is not enough money for a full-blown,
advance. TRUE cross-functional enterprise application, and you will need to limit the first step to a single
51) A DSS uses internal information as well as information functional area or constituency. What will you choose, and why?
from external sources. TRUE Answer: Student answers will vary, e.g., a TPS focusing on production and manufacturing to
52) An organization's MIS and DSS supply an ESS with keep production costs low while maintaining quality, and for communicating with other
summarized information. TRUE possible vendors. The TPS would later be used to feed MIS and other higher-level systems.
53) Operational managers use ESS primarily to solve 63) Describe at least two benefits of using enterprise systems.
specific problems. FALSE Answer: Enterprise systems integrate the firm's key business processes in sales, production,
54) A web interface used to present integrated finance, logistics, and human resources into a single software system so that information can
personalized business content to users is called a portal. flow throughout the organization, improving coordination, efficiency, and decision making.
TRUE These systems help create a more uniform organization in which everyone uses similar
55) Enterprise applications integrate information from processes and information, and measures their work in terms of organization-wide
multiple functions and business processes to enhance the performance standards. The coordination of the firm's key business processes allows the firm
performance of the organization as a whole. TRUE to respond more rapidly to customer demands.
56) An SCM is considered to be an intraorganizational
system because it manages information that flows between 64) How have the technologies associated with e-business impacted government?
different companies. FALSE Answer: Governments on all levels are using Internet technology to deliver information and
57) Supply chain management systems are one type of services to citizens, employees, and businesses with which they work. The term e-government
interorganizational system. TRUE refers to the application of the Internet and networking technologies to enable government
58) A TPS is an information system that keeps track of all of and public sector agencies' relationships with citizens, businesses, and other arms of
the daily routine transactions of a business. TRUE government digitally. In addition to improving delivery of government services, e-government
59) Customer relationship management systems can make government operations more efficient and empower citizens by giving them easier
coordinate all of the business processes that deal with access to information and the ability to network digitally with other citizens. For example,
customers in sales, marketing, and service. TRUE citizens in some states can renew their driver's licenses or apply for unemployment benefits
online, and the Internet has become a powerful tool for instantly mobilizing interest groups for
political action and fund-raising.
65) What is a digital dashboard, and why are they becoming 72) Which of the following decisions requires knowledge based on collaboration
an increasingly popular tool? and interaction?
Answer: A digital dashboard displays graphical information and A) How long will it take to manufacture this product?
charts of key performance indicators on a single screen. They B) Should we work with outside vendors on new products and services?
are becoming increasingly popular because they provide C) In which geographical locations are our products garnering the most sales?
comprehensive and accurate information for decision making D) Which product design is the most efficient for the user in terms of energy use?
that helps managers quickly spot areas that need attention. E) How can we produce this product more cheaply?

66) How can a good CRM system increase profits for a 73) Which of the following is not a business benefit of collaboration?
company? A) Improved quality
Answer: Customer relationship management uses information B) Improved financial performance
systems to coordinate all of the business processes surrounding C) Improved customer service
the firm's interactions with its customers. The systems D) Improved innovation
consolidate customer information from multiple sources - E) Improved compliance with government regulations
telephone, e-mail, wireless devices, traditional sales and
marketing systems, and the web - so that the firm can obtain a 74) ________ allows you to communicate with avatars using text messaging.
unified view of a customer. Understanding the customer allows A) A virtual world
a firm to increase the effectiveness of their marketing B) Screen sharing
campaigns. C) Collaborative writing
D) A large audience Webinar
67) Telepresence technology is primarily designed to: E) Telepresence
A) allow managers to observe how employees behave.
B) allow employees to share ideas and plans in real time. 75) All of the following are reasons for the increased business focus on
C) provide managers with a tool to visualize corporate collaboration and teamwork, except for:
performance. A) the need for creating innovative products and services.
D) store the firm's visual content like videos. B) growth of "interaction" jobs.
E) enable the sales force to keep track of customer orders. C) greater global presence.
D) the need for more efficient work hierarchies.
68) Which of the following is the greatest obstacle in enabling E) the need to reduce communication costs.
collaboration between employees at different, distant
corporate locations? 76) Which of the following statements regarding IBM Notes is not true?
A) Privacy A) It began as an e-mail and messaging client.
B) Permissions B) It is a widely used collaboration tool at larger firms.
C) Time zones C) It provides capabilities for wikis and microblogging.
D) Language D) It provides tools for full version control of all company documentation.
E) Corporate culture E) It is designed to provide security for sensitive corporate information.

69) All of the following are capabilities of enterprise social 77) Which of the following is not one of the four main classifications for
networking tools except: collaboration tools identified by the space/time matrix?
A) the ability to set up member profiles. A) Synchronous/colocated
B) the ability to share, store, and manage content. B) Same time/remote
C) the ability to establish groups and team workspaces. C) Different time/remote
D) tagging and social bookmarking. D) Remote/colocated
E) supply chain management. E) Same time/same place

70) Which of the following statements about collaboration is 78) ________ is a collaboration tool that supports remote (different place),
not true? synchronous (same time) collaboration.
A) In business, a collaboration can last as little as a few A) Video conferencing
minutes. B) E-mail
B) Business collaboration relies on the formation of teams that C) A MUD
are assigned a specific task or goal. D) A wall display
C) Successful collaboration can be achieved through E) A virtual world
technology regardless of the organization's culture or
structure. 79) According to the chapter case, which of the following statements about
D) One business benefit of collaboration is improved Glasscubes is not true?
innovation. A) Glasscubes has a large customer base of more than 50,000 customers spread
E) Businesses need special systems for collaboration. globally in over 100 countries.
B) Users can set up a free conference class for over 50 participants without any
71) Which of the following tools would you use to evaluate and prior booking or billing.
choose a collaboration tool for your organization? C) Glasscubes’ Team Collaboration feature allows team participants to have
A) Virtual meeting system conversations by posting messages on the workspace.
B) Cloud collaboration D) Glasscubes provides project management facilities such as Gantt charts, critical
C) IBM Notes path analysis, cost and time tracking of tasks, and comparison with estimates.
D) The collaboration matrix E) All data is remotely backed up using SSL encryption.
E) The time/space collaboration and social tool matrix
80) Crowdsourcing is one application of social business. TRUE
81) A key word in social business is "conversations." TRUE
82) An example of a remote, synchronous collaboration tool is a Skype
89) The principal liaison between the information systems groups and the
conference call using VOIP and webcams. TRUE
rest of the organization is a(n):
83) Global firms can collaborate from different locations at the same
A) programmer.
time using synchronous collaboration tools. TRUE
B) information systems manager.
C) systems analyst.
84) You have been hired to work with 8 employees from different
D) CTO.
branches of a national business to help create a web application to be
E) CIO.
used to train new sales employees. Identify six collaboration tools that
are available to help the team work together. Which single tool would
90) A ________ is a senior manager who oversees the use of IT in the firm.
be the most helpful for the project, in your opinion, and why?
A) CEO
Answer: Collaboration tools include e-mail and instant messaging;
B) CFO
social networking; wikis; virtual worlds, collaboration platforms such as
C) CIO
virtual meeting systems, Google Apps/Google Sites. The most helpful of
D) CTO
these might be a collaboration platform because it would enable people
E) CKO
to have discussions, calendars, conferences, and share documents.
85) A website that allows citizens to file taxes online is a form of e-
91) An information systems manager:
government
A) writes software instructions for computers.
B) acts as liaison between the information systems group and the rest of the
86) You have been hired by an international architectural firm, with
organization.
offices in Singapore, Paris, and Mumbai. The firm would like architects
C) translates business problems into information requirements.
and drafts people from different teams to be able to collaborate
D) manages data entry staff.
efficiently. How will you determine what the best collaboration tools
E) oversees the company's security policy.
are for their needs?
Answer: The first step in evaluation is to determine what the
92) The ________ helps design programs and systems to find new sources of
collaboration challenges are and to locate the firm in the time/space
knowledge or to make better use of existing knowledge in organizational and
matrix. Secondly, for each block of the matrix that the firm is in,
management processes.
determine what solutions are available from which vendors. Third,
A) CTO
analyze the products in terms of their costs and benefits to the firm.
B) CSO
Next, identify any risks involved with using the product. Then, seek the
C) CKO
help of potential users to identify implementation and training issues.
D) CPO
Finally, make a shortlist of tools and invite vendors to make
E) CEO
presentations.
93) Which of the following is a firm's CPO responsible for?
87) How do collaborative business culture and business processes
A) Ensuring that the company complies with existing data privacy laws
differ from "command-and-control" firms?
B) Making better use of existing knowledge in organizational and
Answer: In command-and-control organizations, the top leaders
management processes
determine all the really important matters and then order lower-level
C) Enforcing the firm's information security policy
employees to execute senior management plans. The job of middle
D) Overseeing the use of information technology in the firm
management is to pass messages back and forth up and down the
E) Acting as liaison between the information systems group and the rest of
hierarchy. Command-and-control firms require lower-level employees
the company
to carry out orders without asking too many questions, with no
responsibility to improve processes, and with no rewards for teamwork
94) All of the following job categories are expected to grow over the next
or team performance. If workgroups need help from another work
eight years except:
group, that is something for the bosses to figure out. Employees never
A) computer support specialists.
communicate horizontally, always vertically, so management can
B) software developers.
control the process.
C) systems analysts.
A collaborative business culture and business processes are very
D) computer programmers.
different. Senior managers are responsible for achieving results but rely
E) database administrators.
on teams of employees to achieve and implement the results. Policies,
products, designs, processes, and systems are much more dependent
95) Which of the following job categories is expected to experience the most
on teams at all levels of the organization to devise, to create, and to
growth over the next eight years?
build. Teams are rewarded for their performance, and individuals are
A) Computer support specialists
rewarded for their performance in a team. The function of middle
B) Software engineers
managers is to build the teams, coordinate their work, and monitor
C) Security analysts
their performance. The business culture and business processes are
D) Computer programmers
more social. In a collaborative culture, senior management establishes
E) Database administrators
collaboration and teamwork as vital to the organization, and it actually
implements collaboration for the senior ranks of the business as well.
96) Which of the following statements is not true?
A) The number of information system employees is expected to grow by 13
88) Why are "conversations" relevant to social business?
percent through 2026.
Answer: Customers, suppliers, employees, managers, and even
B) Between 2019 and 2026, IS/MIS will add about 550,000 jobs.
oversight agencies continually have conversations about firms, often
C) The number of computer programmers is expected to decline by 7 percent
without the knowledge of the firm or its key actors (employees and
through 2026.
managers). Supporters of social business assert that if firms could tune
D) In general, the technical occupations in IT are showing faster expansion
into these conversations, they will strengthen their bonds with
than occupations involved with the management of IT.
consumers, suppliers, and employees, increasing their emotional
E) The growth of online software services and cloud computing is impacting
involvement in the firm.
the job prospects for computer programmers.
 TEST BANK OF MIS: Managing the Digital Firm, 16e, Global Edition (Laudon) Ch 1 Information Systems in Global Business Today

1-1 How are information systems transforming business and why are they so essential for running and managing a business today?
1-2 What is an information system? How does it work? What are its management, organization, and technology components? Why are
complementary assets essential for ensuring that information systems provide genuine value for organizations?
1-3 What academic disciplines are used to study information systems and how does each contribute to an understanding of information
systems?

1) Which of the following is not one of the six strategic business

objectives of information systems? 8) Which of the following is an example of a business using information systems to
A) New products and services improve customer and supplier intimacy?
B) Improved decision making A) Walmart's RetailLink system
C) Improved community relations B) The Mandarin Oriental's use of computers to keep track of guest preferences
D) Competitive advantage C) Privi Organics's use of the Oracle Human Capital Management system
E) Survival D) Apple's creation of the iPad
E) Leicester City's use of data analytics
2) Privi Organics's use of the Oracle Human Capital Management
system enabled it to improve which of the following? 9) Walmart exemplifies the power of information systems coupled with state-of-
A) Compliance with regulations the-art business practices and supportive management to achieve which of the
B) Managerial decision making following?
C) Efficiency in creation of new products A) New products and services
D) Employee morale B) Operational efficiency
E) Intimacy with its suppliers C) Survival
D) Customer intimacy
3) Which of the following may lead to competitive advantage? E) Competitive advantage
1. New products, services, and business models;
2. Charging less for superior products; 10) How much did American businesses spend on information systems hardware,
3. Responding to customers in real time software, and telecommunications equipment in 2017?
A) 1 only A) About $100 million
B) 1 and 2 B) About $1 billion
C) 2 and 3 C) About $100 billion
D) 1 and 3 D) About $1 trillion
E) 1, 2, and 3 E) About $10 trillion

4) A firm that invests in an information system because it is a 11) To make sure they stock clothes that their customers will purchase, a
necessity of doing business does so because it is seeking to department store implements a new application that analyzes spending levels at
achieve which of the following business objectives? their stores and cross-references this data to popular clothing styles. Which of the
A) Operational excellence following business objectives is this information intended to support?
B) Improved decision making A) Customer intimacy
C) Competitive advantage B) Survival
D) Customer intimacy C) Operational excellence
E) Survival D) Improved decision making
E) New products and services
5) The Mandarin Oriental's use of computer systems to keep
track of guests' preferences is an example of which of the 12) Approximately how much revenue was generated by e-commerce in 2017?
following? A) About $1 trillion
A) Improved flexibility B) About $2 trillion
B) Improved decision making C) About $229 billion
C) Improved efficiency D) About $700 billion
D) Customer intimacy E) About $180 billion
E) Operational excellence
13) All of the following are new technology-related trends in MIS except:
6) The Toxic Substances Control Act requires firms to retain
A) cloud computing.
records of employee exposure to toxic chemicals:
B) big data.
A) for 10 years.
C) IoT.
B) for 5 years.
D) the mobile digital platform.
C) for 30 years.
E) co-creation of business value.
D) for 1 year.
E) forever.
14) Which of the following statements about digital firms is not true?
7) Which of the following is the key business objective behind the A) In digital firms, time shifting and space shifting are the norm.
technologies implemented by Leicester City, as discussed in the B) Today, most firms are fully digital.
chapter-opening case? C) Digital firms offer extraordinary opportunities for flexible global organization
A) Higher fan satisfaction levels and management.
B) Survival D) Digital firms sense and respond to their environments more rapidly than
C) Improved player morale traditional firms.
D) Optimizing its players’ performances E) Digital firms have more flexibility to survive in turbulent times.
E) Reduced cost of training
15) A firm that must invest in new information systems capabilities in order 23) Approximately how many people worldwide have smartphones?
to comply with federal legislation is investing to achieve which business A) 1.1 billion
objective? B) 1.7 billion
A) Customer intimacy C) 1.9 billion
B) Operational excellence D) 2.7 billion
C) Survival E) 3.2 billion
D) Creation of new products
E) Improved decision making 24) Which of the following statements is not true?
A) Many Fortune 500 U.S. firms derive more than half their revenues from
16) Which of the following is not one of the IT innovations changing the world
foreign operations.
of business today?
B) Most PCs manufactured in China use microprocessor chips
A) IoT
manufactured in Korea.
B) Big data
C) Eighty percent of the toys sold in the United States are manufactured in
C) The mobile digital platform
China.
D) Cloud computing
D) In 2017, 60 percent of Apple's revenue was generated outside of the
E) Business intelligence
United States.
17) Which of the following is not one of the current changes taking place in E) Technology companies are particularly dependent on offshore revenue.
information systems technology?
A) Growing business use of big data 25) Internet advertising is growing at approximately 5 percent a year.
B) Growth in cloud computing FALSE
C) Growth in the PC platform
D) Emerging mobile digital platform 26) Creating a marketing plan is not an example of a business process.
E) Increased usage of data generated by the Internet of Things FALSE
18) Thomas Friedman's description of the world as "flat" refers to:
27) In order to be considered a digital firm, all of the firm's significant
A) the flattening of economic and cultural advantages of developed
business relationships and core business processes must be digitally
countries.
enabled. FALSE
B) the use of the Internet and technology for instantaneous communication.
C) the reduction in travel times and the ubiquity of global exchange and
28) A business model describes how a company produces, delivers, and
travel.
sells a product or service to create wealth. TRUE
D) the growth of globalization.
E) the increased use of global currencies.
29) Private business investment in information technology constituted 55
19) In 2017, what percent of the global economy depends on imports and percent of all invested capital in 2017. FALSE
exports?
A) 13 percent 30) You are starting a small bike messenger company. Given your type of
B) 25 percent services (hand-delivering packages within a small geographical area),
C) 30 percent could your firm be a digital firm? If so, what would make this a digital
D) 57 percent firm?
E) 66 percent Answer: Yes, your firm could be a digital firm. Being a digital firm doesn't
mean that you just offer digital goods and services. A digital firm would
20) All of the following describe the effects of globalization except: have most of its relationships with customers, suppliers, and employees
A) significant decreases in operating costs. be digitally enabled. Ordering deliveries, assigning deliveries, managing
B) reduction of labor costs through outsourcing. employees and assignments could certainly be digitally enabled; using cell
C) ability to find low-cost suppliers. phones, information systems, and handheld devices to connect
D) increases in transaction costs. customers, delivery management, and bike messengers.
E) replication of business models in multiple countries.
21) How many service jobs move offshore to lower-wage countries in a 31) What are the main changes taking place in organizational use of
typical year? information systems? Which of these do you think is having the greatest
A) 3,000 impact on businesses?
B) 30,000 Answer: The main organizational changes taking place are:
C) 300,000 1. businesses using social networking platforms to deepen interactions
D) 3 million with employees, customers, and suppliers,
E) 30 million 2. growing numbers of employees using mobile devices to connect with
their firm, customers, and suppliers.
22) Which of the following statements is not true? 3. co-creation of business value, with the sources of business value
A) In 2018, Global firms and governments spent about $480 billion on shifting from products to solutions and experiences and from internal
information systems hardware, software, and telecommunications sources to networks of suppliers and collaboration with customers.
equipment. Student answers as to the greatest impact will vary. An example answer is:
B) In 2018, Global firms and governments spent about $4.8 trillion on The increase in collaboration is having the greatest impact, as customers
information systems hardware, software, and telecommunications are essentially gaining greater control in determining the end product;
equipment. businesses who are flexible enough to listen to and respond to customer
C) Private business investment in information technology has grown from 21 demand will be more successful.
percent of total invested capital in 1999 to 33 percent of all invested capital
in 2017. 32) Define business process. What might be a business process used at a
D) Most of the business value of IT investment derives from organizational, hospital?
management, and cultural changes inside firms. Answer: A business process is a set of logically related tasks and
E) Much of the money spent by Global businesses on business and behaviors for accomplishing work. Hiring a new employee, customer
management consulting involves redesigning firms' business operations to intake, and filing medical records are examples of business processes at a
take advantage of new technologies. hospital.
33) The three activities in an information system that produce the 41) Data management technology consists of which of the following?
information organizations use to control operations are: A) Physical hardware and media used by an organization for storing data
A) information, research, and analysis. B) Detailed, preprogrammed instructions that control and coordinate the
B) input, output, and feedback. computer hardware components in an information system
C) data, information, and analysis. C) Two or more computers to share data or resources
D) data analysis, processing, and feedback. D) Hardware and software used to transfer data
E) input, processing, and output. E) Software governing the organization of data on physical storage media

34) Data collected at checkout counters in a grocery store is an 42) Which of the following statements best describes organizational culture?
example of: A) It encompasses the sum of beliefs and assumptions by all members.
A) output. B) It enables the organization to transcend the different levels and specialties
B) processing. of its employees.
C) feedback. C) It reflects the senior management's perspective on the organization and
D) input. goals.
E) information systems. D) It allows a company to achieve greater operational efficiency.
E) It is a fundamental set of assumptions, values, and ways of doing things
35) The total number of food items with storage temperature that has been accepted by most members of the organization.
problems is an example of which of the following?
A) Input 43) Networking and telecommunications technologies, along with computer
B) Raw data hardware, software, data management technology, and the people required
C) Meaningful information to run and manage them, constitute an organization's:
D) Feedback A) data management environment.
E) Processing B) networked environment.
C) information technology (IT) infrastructure.
36) Output: D) information system.
A) is feedback that has been processed to create meaningful E) culture.
information that can be used by others.
B) is information that is returned to appropriate members of the 44) Maintaining the organization's financial records is a central purpose of
organization to help them evaluate the input stage. which main business function?
C) transfers data to the people who will use it or to the activities for A) Manufacturing and accounting
which it will be used. B) Finance and accounting
D) is the result of processing raw input data into meaningful C) Sales and manufacturing
information. D) Finance and sales
E) converts raw input into a meaningful form. E) Human resources

37) Converting raw data into a more meaningful form is called: 45) All of the following are examples of environmental actors in an
A) capturing. information system except:
B) processing. A) competitors.
C) organizing. B) regulatory agencies.
D) feedback. C) customers.
E) analysis. D) suppliers.
E) sales force.
38) Which of the following is an example of raw data from an
automobile manufacturer? 46) Which of the following best describes the primary reason for
A) An average of 120 Subarus sold daily in New York in 2017 implementing a new information system, from a business perspective?
B) 1,200 Subaru Outbacks sold during the first quarter 2017 in New A) The system enables the firm to create new products and services.
York B) The system will create new value for the firm, beyond its costs.
C) One Subaru Outback sold July 27, 20176 in Mohegan Lake, New C) The system will automate key business processes.
York for $24,000 D) The system is in use by our primary competitors.
D) Annual sales of Subaru Outbacks increased 5.3 percent E) The system integrates well with the Web.
E) An average sale price of $25,500 for all Subaru Outbacks sold
during July 2017 in Mohegan Lake, New York 47) Which of the following would not be a complementary asset for a solar
panel manufacturer?
39) In a hierarchical organization, the upper level consists of: A) International solar equipment certification standards
A) scientists. B) Government funding for green technology
B) senior management. C) Centralized hierarchical decision making
C) professional employees. D) Innovation-driven management team
D) data workers. E) Subsidies for adoption of solar energy
E) knowledge workers.
48) In a business hierarchy, which of the following levels is responsible for
40) The fundamental set of assumptions, values, and ways of doing monitoring the daily activities of the business?
things that has been accepted by most of a company's members is A) Middle management
called its: B) Service workers
A) culture. C) Production management
B) environment. D) Operational management
C) atmosphere. E) Knowledge workers
D) business process.
E) mission.
 57) Which main business function is responsible for maintaining
49) In ________, raw data is systematically acquired and transformed employee records?
during various stages that add value to that information. A) Sales and marketing
A) an information value chain B) Human resources
B) the firm value chain C) Finance and accounting
C) information processing D) Manufacturing and production
D) the feedback process E) Middle management
E) the dissemination process
58) Which of the following constitutes an organizational element in the
50) A corporation that funds an employee training program to build UPS tracking system described in the chapter?
computer skills could be seen as investing in which main category of A) The specification of procedures for identifying packages with sender
complementary assets? and recipient information
A) Managerial B) Monitoring service levels
B) Governmental C) Promoting the company strategy of low-cost, superior service
C) Social D) The use of handheld computers and networks for managing package
D) Organizational delivery
E) Auxiliary E) A web-based Post Sales Order Management System

51) Which of the following is an example of an organizational 59) Which of the following constitutes a managerial element in the UPS
complementary asset? tracking system described in the chapter?
A) Choosing the appropriate business model A) Taking inventory
B) A collaborative work environment B) Providing package status reports to customers
C) Laws and regulations C) Using information to creating plans to deal with competitors
D) The Internet and telecommunications infrastructure D) In-house package tracking software
E) Strong senior management E) Ability to embed UPS functions in external sites

52) Which of the following is an example of a social complementary 60) Which of the following is a global network that uses universal
asset? standards to connect millions of different networks around the world?
A) Technology and service firms in adjacent markets A) An extranet
B) Training programs B) The World Wide Web
C) Distributed decision-making rights C) The Internet
D) Incentives for management innovation D) An intranet
E) A strong IS development team E) Verizon

53) Which of the following roles in a firm would be least affected by 61) Which of the following is a service provided by the Internet that uses
using mobile devices to access firm information systems? universally accepted standards for storing, retrieving, formatting, and
A) Senior executives displaying information in a page format?
B) Sales executives A) HTML
C) Production workers B) The World Wide Web
D) Operational managers C) E-mail
E) Knowledge workers D) An extranet
E) FTP
54) Which of the following would be used as an input for an
information system? 62) Which of the following is a private corporate network extended to
A) Sales by region report authorized users outside the organization?
B) Sales for stores in a region A) An intranet
C) Product ID, and price B) The World Wide Web
D) Year to date sales of products C) The Internet
E) Marketing costs report for each product D) An extranet
E) FTP
55) The three principal levels within a business organization hierarchy
are: 63) Which of the following deals with behavioral issues as well as
A) senior management, operational management, and service technical issues surrounding the development, use, and impact of
workers. information systems used by managers and employees in the firm?
B) senior management, middle management, and operational A) Information systems literacy
management. B) Information systems architecture
C) senior management, operational management, and information C) Business processes
systems. D) Information technology infrastructure
D) senior management, middle management, and service workers. E) Management information systems
E) senior management, data workers, and service workers.
64) Which field of study focuses on both a behavioral and technical
56) Personnel who design new products or services for a firm belong understanding of information systems?
to which level of a business hierarchy? A) Sociology
A) Middle management B) Operations research
B) Production workers C) Economics
C) Knowledge workers D) Computer science
D) Data workers E) Management information systems
E) Service workers
65) Information technology (IT) consists of all hardware and 86) What is the difference between information technology and
software that a firm needs to use in order to achieve its business information systems? Describe some of the functions of information
objectives. TRUE systems. (VIP)
66) Computers and programs are the only things required to Answer: Information technology (IT) consists of all the hardware and
produce the information an organization needs. FALSE software that a firm needs to use to achieve its business objectives.
67) Information systems literacy focuses primarily on knowledge of Information systems are more complex.
information technology. FALSE An information system can be defined technically as a set of
68) The three main dimensions of information systems are interrelated components that collect (or retrieve), process, store, and
management, organizations, and information technology. TRUE distribute information to support decision making and control in an
69) Knowledge workers make long-range strategic decisions about organization.
products and services. FALSE An information system:
70) There are four major business functions: human resources; • supports decision making, coordination, and control.
manufacturing and production; finance and accounting; and • helps employees analyze problems.
information technology. FALSE • helps employees visualize complex subjects.
71) You need to know something about the hierarchy and culture • helps create new products.
of the company in order to understand how a specific business firm 87) You are a marketing manager for a national movie theater chain.
uses information systems. TRUE Give an example of data that your department could use for creating
72) All business processes are formally documented by an meaningful information. What type of information could that data
organization. FALSE produce?
73) Creative work driven by new knowledge and information is a Answer: Movie ticket sales from individual theaters would be an
significant part of management responsibility. TRUE example of raw data. Meaningful information from this would be:
74) Intranets link different systems and networks within a firm. average number of tickets sold to seniors on certain days of the week.
TRUE 88) This chapter discusses how each organization has its own culture
75) UPS's use of web-based tools that allow customers to embed and sets of values shared by most of its members. What kind of shared
UPS functions such as tracking and cost calculations into their own values might you find at a law firm?
website is an information systems solution used to achieve Answer: Shared values at a law firm might be: The legal system works,
customer intimacy. TRUE the legal system is fair, lawyers help people, and people need help
76) There is little variation in returns on IT investment across firms. with the legal system because it is complicated.
FALSE
77) Laws and regulations creating fair, stable market environments 89) Disciplines that contribute to the technical approach to
are examples of complementary social assets required to optimize information systems include:
returns from IT investments. TRUE A) computer science, engineering, and networking.
78) A firm that invests in a strong IS development team is making B) operations research, management science, and computer science.
an investment in organizational complementary assets. TRUE C) engineering, utilization management, and computer science.
79) Data is information that has been shaped into a form that is D) management science, computer science, and engineering.
meaningful to human beings. FALSE E) economics, sociology, and psychology.
80) Feedback is output returned to appropriate members of the
organization to help them evaluate or correct the input stage. 90) Which of the following disciplines focuses on mathematical
TRUE techniques for optimizing parameters of organizations, such as
81) The key elements of an organization are its structure, business transportation and inventory control?
processes, politics, culture, and people. TRUE A) Management science
B) MIS
82) Middle managers make long-range strategic decisions about
C) Computer science
the firm's products and services. FALSE
D) Utilization management
E) Operations research
83) Detailed, programmed instructions that control computer
hardware components in an information system are known as 91) Sociologists study information systems with an eye to
computer software. TRUE understanding:
84) Define operational excellence. How can information systems A) how systems affect individuals, groups, and organizations.
help achieve it? (IMPORTANT) B) how human decision makers perceive and use formal information.
Answer: Operational excellence is the achievement of higher C) how new information systems change the control and cost
levels of productivity, efficiency, and profitability. Information structures within the firm.
systems can help achieve operational excellence by improving D) the production of digital goods.
communications to suppliers and optimizing the supply chain. E) mathematically based models and physical technology.
Information systems could help managers communicate with
workers more efficiently, enable technological innovation in 92) Psychologists study information systems with an eye to
products, minimize warehouse overhead, and streamline understanding:
distribution. A) how systems affect individuals, groups, and organizations.
B) how human decision makers perceive and use formal information.
85) You work for an auto manufacturer and distributor. How could C) how new information systems change the control and cost
you use information systems to achieve greater customer structures within the firm.
intimacy? D) the production of digital goods.
Answer: You could create a website that allows customers to E) mathematically based models and physical technology.
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.