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Chapter 06 - Data: Business Intelligence
Chapter 06
Data: Business Intelligence
1. Today's chief information officers are finding that business intelligence software is
unnecessary and a financial burden for most companies.
True False
2. Information can tell an organization how it's currently performing and help it estimate and
strategize for future plans and performance.
True False
3. Information quality refers to the extent of detail within the information (fine and detailed or
coarse and abstract).
True False
4. There are two primary traits that help you determine the value of information: timeliness and
quality.
True False
5. If a manager identifies numerous data integrity issues, she or he should consider the reports
generated from that data as invalid and not use them when making decisions.
True False
6. The core component of any system, regardless of size, is a database and a database
management system.
True False
6-1
Chapter 06 - Data: Business Intelligence
7. MMSDB creates, reads, updates, and deletes data in a database while controlling access and
security.
True False
9. There are three primary data models for organizing information: the hierarchical, network,
and relational database models.
True False
10. The three primary data models for organizing information in a DBMS are hierarchical,
network, and metadata.
True False
11. Databases offer many security features, including passwords to provide authentication,
access levels to determine who can access the data, and access controls to determine what type
of access they have to the information.
True False
12. Relational integrity constraints enforce business rules vital to an organization's success and
often require more insight and knowledge than business critical integrity constraints.
True False
13. Data redundancy is the duplication of data, or the storage of the same data in multiple
places.
True False
6-2
Chapter 06 - Data: Business Intelligence
14. Relational databases offer many advantages over using a text document or a spreadsheet,
which include decreased flexibility and decreased scalability and performance.
True False
15. A data-driven website can help limit the amount of information displayed to customers
based on unique search requirements.
True False
16. Data-driven websites offer several advantages because it is far easier to manage content and
store large amounts of data.
True False
17. Zappos is an online shoe retailer, built its data-driven website caters to a specific niche
market: consumers who were tired of finding that their most-desired items were always out of
stock at traditional retailers.
True False
18. A data warehouse is a logical collection of information, gathered from many different
operational databases, that supports business analysis activities and decision-making tasks.
True False
19. Data warehouses struggle with combining too much standardized information.
True False
20. A data warehouse is a tool that helps in many ways, including implementing customer
profiles, hurting business operations, and many times alienating competitors.
True False
6-3
Chapter 06 - Data: Business Intelligence
21. Within the data warehouse model, the internal databases could include marketing, sales,
inventory, and billing.
True False
23. ETL, within a data warehouse model, stands for exit, track, and load.
True False
24. Within the data warehouse model, the external databases could include competitor
information, industry information, and stock market analysis.
True False
25. A data mart is the process of analyzing data to extract information not offered by the raw
data alone.
True False
26. Data-mining tools use a variety of techniques to find patterns and relationships in large
volumes of information that predict future behavior and guide decision making.
True False
27. Text mining analyzes structured data to find trends and patterns in words and sentences.
True False
28. The financial industry uses business intelligence to predict hardware failures.
True False
6-4
Chapter 06 - Data: Business Intelligence
29. The banking industry uses business intelligence to understand customer credit card usage
and nonpayment rates.
True False
30. Many organizations find themselves in the position of being data rich and information poor.
Even in today's electronic world, managers struggle with the challenge of turning their business
data into business intelligence.
True False
31. Transactional information is used when performing operational tasks and repetitive
decisions such as analyzing daily sales reports and production schedules to determine how
much inventory to carry.
True False
33. Organizational information comes at different levels and in different formats and
granularities.
True False
34. Reports for each sales person, product, and part are examples of detail or fine information
granularities.
True False
35. A foreign key is a field (or group of fields) that uniquely identifies a given entity in a table.
True False
6-5
Chapter 06 - Data: Business Intelligence
36. One of the advantages found in a relational database is increased information redundancy.
True False
37. Relational integrity constraints are rules that enforce basic and fundamental
information-based constraints.
True False
39. Extraction, transformation, and loading is a process that extracts information from internal
databases, transforms the information using a common set of enterprise definitions, and loads
the information into an external database.
True False
41. Employees need to compare different types of information for what they commonly reveal
to make strategic decisions. Which of the following represents the three common types of
information found throughout an organization?
A. Levels, forms, granularities
B. Levels, forms, data
C. Levels, formats, granularities
D. Data, formats, granularities
6-6
Chapter 06 - Data: Business Intelligence
46. What encompasses all of the information contained within a single business process or unit
of work where its primary purpose is to support the performing of daily operational tasks?
A. Transactional information
B. Analytical information
C. Timeliness
D. Quality
6-7
Chapter 06 - Data: Business Intelligence
47. What encompasses all organizational information where its primary purpose is to support
the performing of managerial analysis tasks?
A. Transactional information
B. Analytical information
C. Timeliness
D. Quality
50. What is one of the biggest pitfalls associated with real-time information?
A. It is only available to high-level executives due to the expense.
B. It is only available in aggregate levels of granularity.
C. It continually changes.
D. It rarely changes.
51. Which of the following is not one of the five characteristics common to high-quality
information?
A. Accuracy
B. Completeness
C. Quantity
D. Consistency
6-8
Chapter 06 - Data: Business Intelligence
53. Which of the following implies that aggregate or summary information is in agreement with
detailed information?
A. Uniqueness
B. Completeness
C. Consistency
D. Accuracy
54. Which of the following implies that information is current with respect to the business
requirement?
A. Uniqueness
B. Accuracy
C. Consistency
D. Timeliness
55. What is it called when each transaction, entity, and event is represented only once in the
information?
A. Uniqueness
B. Accuracy
C. Consistency
D. Timeliness
56. Which of the following refers to the extent of detail within the information?
A. Knowledge information
B. Information granularity
C. Chance information
D. Information analytics
6-9
Chapter 06 - Data: Business Intelligence
57. Which of the following represent the four primary traits that help determine the value of
information?
A. Information type, information timeliness, information quality, and information governance
B. Information statistics, information tracking, information quality, and information
governance
C. Information type, information chance, information analytics, and information policy
D. Information timeliness, information quality, information quantity, and information
governance policy
58. What are the two different categories for information type?
A. Analytical and productive
B. Analytical and analysis
C. Transactional and analytical
D. Transactional and analysis
59. Which of the following encompasses all of the information contained within a single
business process or unit of work, where its primary purpose is to support daily operational
tasks?
A. Targeted information
B. Analytical information
C. Productive information
D. Transactional information
60. Which of the following encompasses all organizational information, where its primary
purpose is to support the performing of managerial analysis tasks?
A. Analytical information
B. Transactional information
C. Statistical information
D. Targeted information
6-10
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Chapter 06 - Data: Business Intelligence
61. Which of the following companies used analytical analysis to identify a correlation between
storms and the increased sale of Pop-Tarts?
A. 7-Eleven
B. Burger King
C. McDonald's
D. Walmart
62. Ben works at a top accounting firm in Salt Lake City, and his responsibilities include
writing letters, memos, and emails along with generating reports for financial analysis and
marketing materials for products. Ben's duties provide value-added to his company and would
be categorized as occurring at the different _____________.
A. Information levels
B. Information formats
C. Information granularities
D. Information focus
63. Ben works at a top accounting firm in Salt Lake City, and his responsibilities include
developing individual and departmental goals and generating financial analysis across
departments and the enterprise as a whole for the executive team to review. Ben's duties provide
value-added to his company and would be categorized as occurring at the different
_____________.
A. Information levels
B. Information formats
C. Information granularities
D. Information focus
64. Ben works at a top accounting firm in Salt Lake City, and his responsibilities include
developing reports for each salesperson, product, and part as well as departmentwide sales
reports by salesperson, product, and part. Ben's duties provide value-added to his company and
would be categorized as occurring at the different _____________.
A. Information levels
B. Information formats
C. Information granularities
D. Information focus
6-11
Chapter 06 - Data: Business Intelligence
66. Which of the following does not represent a company that requires up-to-the-second
information?
A. 911 response units
B. Stock traders
C. Banks
D. Construction companies
6-12
Chapter 06 - Data: Business Intelligence
70. Most people request real-time information without understanding that continual
__________ is one of its biggest pitfalls.
A. Improvements
B. Change
C. Clustering
D. Cleansing
71. Which of the following occurs when the same data element has different values?
A. Data modeling issue
B. Data mining issue
C. Data governance issue
D. Data inconsistency issue
72. Which of the following occurs when a system produces incorrect, inconsistent, or duplicate
data?
A. Data inconsistency issue
B. Data integrity issue
C. Data control issue
D. Data mining issue
73. Which of the following lists include all of the five characteristics common to high-quality
information?
A. Accuracy, completeness, strength, support, and positive feedback
B. Accuracy, association, referral, sales, and marketing
C. Accuracy, competition, support, customer service, and visibility
D. Accuracy, completeness, consistency, timeliness, and uniqueness
74. Which of the following would not be considered part of the complete characteristic of
high-quality information?
A. Is a value missing from the personal information?
B. Is each transaction represented only once in the information?
C. Is the address incomplete?
D. Is the area code missing for the phone information?
6-13
Chapter 06 - Data: Business Intelligence
75. Which of the following would not be considered part of the timely characteristic of
high-quality information?
A. Is the Zip code missing in the address?
B. Is the information current with respect to business needs?
C. Is the customer address current?
D. Is the information updated weekly or hourly?
76. Which of the following would not be considered part of the accurate characteristic of
high-quality information?
A. Is the name spelled correctly?
B. Is the email address invalid?
C. Do the name and the phone values have the exact same information?
D. Is aggregate information in agreement with detailed information?
77. Which of the following would not be considered part of the unique characteristic of
high-quality information?
A. Are there any duplicate orders?
B. Are there any duplicate customers?
C. Is aggregate information in agreement with detailed information?
D. Is each transaction and event represented only once in the information?
78. Which of the following would not be considered part of the consistent characteristic of
high-quality information?
A. Do all sales columns equal the total for the revenue column?
B. Is the two-digit state code missing in the information?
C. Is all summary information in agreement with detailed information?
D. Does the order number match the item and the color options available?
79. Which of the following represents a reason an organization might encounter low-quality
information?
A. Online customers intentionally enter inaccurate information to protect their privacy.
B. Different systems have different information-entry standards and formats.
C. Third-party and external information contains inaccuracies and errors.
D. All of these.
6-14
Chapter 06 - Data: Business Intelligence
80. Nestlé is one of the companies shown as an example of low-quality information causing
problems for the company. Which of the following are some of the errors they found in the data
or information?
A. They had 550,000 actual vendors, yet the information reports showed more than 9 million
due to duplication and abbreviation inaccuracies.
B. Some of the vendor names were abbreviated, whereas others were not.
C. They had too many inaccuracies and duplications to be able to identify customer profitability.
D. All of these
81. Some of the serious business consequences that occur due to using low-quality information
to make decisions include all of the following except:
A. Inability to accurately track customers
B. Inability to identify selling opportunities
C. Success of the organization depends on appreciating and leveraging the low-quality
information
D. Lost revenue opportunities from marketing to nonexistent customers
82. What is the overall management of the availability, usability, integrity, and security of
company data?
A. Data intelligence
B. Data governance
C. Data forbearance
D. Data forecasting
83. What maintains information about various types of objects, events, people, and places?
A. Database
B. Data model
C. Data mining
D. Data intelligence
6-15
Exploring the Variety of Random
Documents with Different Content
“Shannon’s” second and third broadsides, after the “Chesapeake”
ceased firing. The “Chesapeake’s” bowsprit received no injury, and
not a spar of any kind was shot away. The “Shannon” carried her
prize into Halifax with all its masts standing, and without anxiety for
its safety.
The news of Broke’s victory was received in England and by the
British navy with an outburst of pleasure that proved the smart of the
wound inflicted by Hull, Decatur, and Bainbridge. The two official
expressions of Broke’s naval and civil superiors probably reflected
the unexaggerated emotion of the service.
418
“At this critical moment,” wrote Admiral Warren by a
curious coincidence the day before his own somewhat less
creditable defeat at Craney Island, “you could not have restored
to the British naval service the pre-eminence it has always
preserved, or contradicted in a more forcible manner the foul
aspersions and calumnies of a conceited, boasting enemy, than
by the brilliant act you have performed.”
419
A few days later he wrote again: —
420
In Parliament, July 8, John Wilson Croker said:
The Government made Broke a baronet, but gave him few other
rewards, and his wound was too serious to permit future hard
service. Lawrence died June 5, before the ships reached Halifax. His
first lieutenant, Ludlow, also died. Their bodies were brought to New
York and buried September 16, with formal services at Trinity
Church.
By the Americans the defeat was received at first with incredulity
and boundless anxiety, followed by extreme discouragement. The
news came at a dark moment, when every hope had been
disappointed and the outlook was gloomy beyond all that had been
thought possible.
“The ‘Argus’ was tolerably cut up in her hull. Both her lower
masts were wounded, although not badly, and her fore-shrouds
on one side nearly all destroyed; but like the ‘Chesapeake,’ the
‘Argus’ had no spar shot away. Of her carronades several were
disabled. She lost in the action six seamen killed; her
commander, two midshipmen, the carpenter, and three seamen
mortally, her first lieutenant and five seamen severely, and eight
others slightly wounded,—total twenty-four; chiefly, if not wholly
426
by the cannon-shot of the ‘Pelican.’”
The Americans did not fight the War of 1812 in order to make
themselves loved. According to Scott’s testimony they gained the
object for which they did fight. “In gunnery and small-arm practice we
were as thoroughly weathered on by the Americans during the war
as we overtopped them in the bull-dog courage with which our
boarders handled those genuine English weapons,—the cutlass and
the pike.” Superiority in the intellectual branches of warfare was
conceded to the Americans; but even in regard to physical qualities,
the British were not inclined to boast.
“When I had last seen her she was a most beautiful little
craft, both in hull and rigging, as ever delighted the eye of a
sailor; but the dock-yard riggers and carpenters had fairly
bedevilled her, at least so far as appearances went. First they
had replaced the light rail on her gunwale by heavy solid
bulwarks four feet high, surmounted by hammock nettings at
least another foot; so that the symmetrical little vessel that
formerly floated on the foam light as a sea-gull now looked like a
clumsy, dish-shaped Dutch dogger. Her long, slender wands of
masts which used to swing about as if there were neither
shrouds nor stays to support them were now as taut and stiff as
church-steeples, with four heavy shrouds of a side, and stays
and back-stays, and the Devil knows what all.”
“If them heave-‘emtaughts at the yard have not taken the speed
out of the little beauty I am a Dutchman” was the natural comment,—
as obvious as it was sound.
The reports of privateer captains to their owners were rarely
published, and the logs were never printed or deposited in any public
office. Occasionally, in the case of a battle or the loss of guns or
spars or cargo in a close pursuit, the privateer captain described the
causes of his loss in a letter which found its way into print; and from
such letters some idea could be drawn of the qualities held in highest
regard, both in their vessels and in themselves. The first and
commonest remark was that privateers of any merit never seemed to
feel anxious for their own safety so long as they could get to
windward a couple of gunshots from their enemy. They would risk a
broadside in the process without very great anxiety. They chiefly
feared lest they might be obliged to run before the wind in heavy
weather. The little craft which could turn on itself like a flash and dart
away under a frigate’s guns into the wind’s eye long before the
heavy ship could come about, had little to fear on that point of
sailing; but when she was obliged to run to leeward, the chances
were more nearly equal. Sometimes, especially in light breezes or in
a stronger wind, by throwing guns and weighty articles overboard
privateers could escape; but in heavy weather the ship-of-war could
commonly outcarry them, and more often could drive them on a
coast or into the clutches of some other man-of-war.
Of being forced to fly to leeward almost every privateer could tell
interesting stories. A fair example of such tales was an adventure of
Captain George Coggeshall, who afterward compiled, chiefly from
newspapers, an account of the privateers, among which he
430
preserved a few stories that would otherwise have been lost.
Coggeshall commanded a two-hundred-ton schooner, the “David
Porter,” in which he made the run to France with a cargo and a letter-
of-marque. The schooner was at Bordeaux in March, 1814, when
Wellington’s army approached. Afraid of seizure by the British if he
remained at Bordeaux, Coggeshall sailed from Bordeaux for La
Rochelle with a light wind from the eastward, when at daylight March
15, 1814, he found a large ship about two miles to windward.
Coggeshall tried to draw his enemy down to leeward, but only lost
ground until the ship was not more than two gunshots away. The
schooner could then not run to windward without taking the enemy’s
fire within pistol-shot, and dared not return to Bordeaux. Nothing
remained but to run before the wind. Coggeshall got out his square-
sail and studding-sails ready to set, and when everything was
prepared he changed his course and bore off suddenly, gaining a
mile in the six or eight minutes lost by the ship in spreading her
studding-sails. He then started his water-casks, threw out ballast,
and drew away from his pursuer, till in a few hours the ship became
a speck on the horizon.
Apparently a similar but narrower escape was made by Captain
Champlin of the “Warrior,” a famous privateer-brig of four hundred
and thirty tons, mounting twenty-one guns and carrying one hundred
431
and fifty men. Standing for the harbor of Fayal, Dec. 15, 1814, he
was seen by a British man-of-war lying there at anchor. The enemy
slipped her cables and made sail in chase. The weather was very
fresh and squally, and at eight o’clock in the evening the ship was
only three miles distant. After a run of about sixty miles, the man-of-
war came within grape-shot distance and opened fire from her two
bow-guns. Champlin luffed a little, got his long pivot-gun to bear, and
ran out his starboard guns as though to fight, which caused the ship
to shorten sail for battle. Then Champlin at two o’clock in the
morning threw overboard eleven guns, and escaped. The British ship
was in sight the next morning, but did not pursue farther.
Often the privateers were obliged to throw everything overboard
at the risk of capsizing, or escaped capture only by means of their
sweeps. In 1813 Champlin commanded the “General Armstrong,” a
brig of two hundred and forty-six tons and one hundred and forty
men. Off Surinam, March 11, 1813, he fell in with the British sloop-of-
war “Coquette,” which he mistook for a letter-of-marque, and
approached with the intention of boarding. Having come within pistol-
shot and fired his broadsides, he discovered his error. The wind was
light, the two vessels had no headway, and for three quarters of an
hour, if Champlin’s account could be believed, he lay within pistol-
shot of the man-of-war. He was struck by a musket-ball in the left
shoulder; six of his crew were killed and fourteen wounded; his
rigging was cut to pieces; his foremast and bowsprit injured, and
several shots entered the brig between wind and water, causing her
to leak; but at last he succeeded in making sail forward, and with the
aid of his sweeps crept out of range. The sloop-of-war was unable to
432
cripple or follow him.
Sometimes the very perfection of the privateer led to dangers as
great as though perfection were a fault. Captain Shaler of the
“Governor Tompkins,” a schooner, companion to the “General
Armstrong,” chased three sail Dec. 25, 1812, and on near approach
found them to be two ships and a brig. The larger ship had the
appearance of a government transport; she had boarding-nettings
almost up to her tops, but her ports appeared to be painted, and she
seemed prepared for running away as she fought. Shaler drew
nearer, and came to the conclusion that the ship was too heavy for
him; but while his first officer went forward with the glass to take
another look, a sudden squall struck the schooner without reaching
the ship, and in a moment, before the light sails could be taken in,
“and almost before I could turn round, I was under the guns, not of a
transport, but of a large frigate, and not more than a quarter of a mile
from her.” With impudence that warranted punishment, Shaler fired
his little broadside of nine or twelve pounders into the enemy, who
replied with a broadside of twenty-four-pounders, killing three men,
wounding five, and causing an explosion on deck that threw
confusion into the crew; but the broadside did no serious injury to the
rigging. The schooner was then just abaft the ship’s beam, a quarter
of a mile away, holding the same course and to windward. She could
not tack without exposing her stern to a raking fire, and any failure to
come about would have been certain destruction. Shaler stood on,
taking the ship’s fire, on the chance of outsailing his enemy before a
shot could disable the schooner. Side by side the two vessels raced
for half an hour, while twenty-four-pound shot fell in foam about the
schooner, but never struck her, and at last she drew ahead beyond
range. Even then her dangers were not at an end. A calm followed;
the ship put out boats; and only by throwing deck-lumber and shot
overboard, and putting all hands at the sweeps, did Shaler “get clear
433
of one of the most quarrelsome companions that I ever met with.”
The capacities of the American privateer could to some extent
be inferred from its mishaps. Notwithstanding speed, skill, and
caution, the privateer was frequently and perhaps usually captured in
the end. The modes of capture were numerous. April 3, 1813,
Admiral Warren’s squadron in the Chesapeake captured by boats,
after a sharp action, the privateer “Dolphin” of Baltimore, which had
taken refuge in the Rappahannock River. April 27 the “Tom” of
Baltimore, a schooner of nearly three hundred tons, carrying
fourteen guns, was captured by his Majesty’s ships “Surveillante”
and “Lyra” after a smart chase. Captain Collier of the “Surveillante”
reported: “She is a remarkably fine vessel of her class, and from her
superior sailing has already escaped from eighteen of his Majesty’s
cruisers.” May 11, the “Holkar” of New York was driven ashore off
Rhode Island and destroyed by the “Orpheus” frigate. May 19,
Captain Gordon of the British man-of-war “Ratler,” in company with
the schooner “Bream,” drove ashore and captured the “Alexander” of
Salem, off Kennebunk, “considered the fastest sailing privateer out
434
of the United States,” according to Captain Gordon’s report. May
21, Captain Hyde Parker of the frigate “Tenedos,” in company with
the brig “Curlew,” captured the “Enterprise” of Salem, pierced for
eighteen guns. May 23, the “Paul Jones,” of sixteen guns and one
hundred and twenty men, fell in with a frigate in a thick fog off the
coast of Ireland, and being crippled by her fire surrendered. July 13,
Admiral Cockburn captured by boats at Ocracoke Inlet the fine
privateer-brig “Anaconda” of New York, with a smaller letter-of-
marque. July 17, at sea, three British men-of-war, after a chase of
four hours, captured the “Yorktown” of twenty guns and one hundred
and forty men. The schooner “Orders in Council” of New York,
carrying sixteen guns and one hundred and twenty men, was
captured during the summer, after a long chase of five days, by three
British cutters that drove her under the guns of a frigate. The
“Matilda,” privateer of eleven guns and one hundred and four men,
was captured off San Salvador by attempting to board the British
letter-of-marque “Lyon” under the impression that she was the
weaker ship.
In these ten instances of large privateers captured or destroyed
in 1813, the mode of capture happened to be recorded; and in none
of them was the privateer declared to have been outsailed and
caught by any single British vessel on the open seas. Modes of
disaster were many, and doubtless among the rest a privateer might
occasionally be fairly beaten in speed, but few such cases were
recorded, although British naval officers were quick to mention these
unusual victories. Unless the weather gave to the heavier British
vessel-of-war the advantage of carrying more sail in a rough sea, the
privateer was rarely outsailed.
The number of privateers at sea in 1813 was not recorded. The
list of all private armed vessels during the entire war included
435
somewhat more than five hundred names. Most of these were
small craft, withdrawn after a single cruise. Not two hundred were so
large as to carry crews of fifty men. Nearly two hundred and fifty, or
nearly half the whole number of privateers, fell into British hands.
Probably at no single moment were more than fifty seagoing vessels
on the ocean as privateers, and the number was usually very much
less; while the large privateer-brigs or ships that rivalled sloops-of-
war in size were hardly more numerous than the sloops themselves.
The total number of prizes captured from the British in 1813
exceeded four hundred, four fifths of which were probably captured
by privateers, national cruisers taking only seventy-nine. If the
privateers succeeded in taking three hundred and fifty prizes, the
whole number of privateers could scarcely have exceeded one
hundred. The government cruisers “President,” “Congress,”
“Chesapeake,” “Hornet,” and “Argus” averaged nearly ten prizes
apiece. Privateers averaged much less; but they were ten times as
numerous as the government cruisers, and inflicted four times as
much injury.
Such an addition to the naval force of the United States was very
important. Doubtless the privateers contributed more than the
regular navy to bring about a disposition for peace in the British
classes most responsible for the war. The colonial and shipping
interests, whose influence produced the Orders in Council, suffered
the chief penalty. The West India colonies were kept in constant
discomfort and starvation by swarms of semi-piratical craft darting in
and out of every channel among their islands; but the people of