Information Systems An Overview Part 3

designed to produce timely, integrated, relevant, accurate, and useful information for decision-making purposes. a. management information system b. transaction-processing system c. sequential processing system d. data warehousing system ANSWER: a 156. An information system collects past data for performance reports and current data for operational reports. This shows that the data component of the information system has a(n) ____. a. time orientation b. phase orientation c. log orientation d. active orientation ANSWER: a 157. A(n) ____, the heart of an information system, is a collection of all relevant facts organized in a series of integrated files. a. procedur e b. database c. process d. object ANSWER: b 158. Users need to be able to make use of _____, such as rumors, unconfirmed reports, and stories, when solving problems. a. informal information b. interfacing data c. prescribed information d. formal data ANSWER: a 159. Computer networks, database systems, point-of-sale (POS) systems, etc., are few examples of information technologies that support information systems in _____. a. decision making b. strategic planning c. orientation focusing d. consumer building ANSWER: a 160. A _____is designed to reduce the cost of transporting materials while maintaining safe and reliable delivery. a. logistics information system b. personnel information system c. manufacturing information system d. marketing information system ANSWER: a 161. A _____is typically used to support decisions related to managing an organization’s cash flows. a. financial information system b. logistics information system c. manufacturing information system d. marketing information system ANSWER: a 162. A comprehensive framework called the _____was created by Harvard Business School’s Michael Porter for analyzing an organization, its position in the marketplace, and how information systems could be used to make the organization more competitive. a. Five Forces Model b. Six Sigma Model c. Three Pyramid Model d. Four Resources Model ANSWER: a 163. _____is one of the forces of the Five Forces Model created by Michael Porter. a. Rivalry among customers b. Government regulations c. Threat of new entrants d. Taxable services ANSWER: c 164. According to Porter’s Five Forces Model, _____is low when customers have more options. a. supplier power b. buyer power c. new entrant power d. competitor power ANSWER: a 165. In the context of the IT job market, the top information systems job belongs to the _____. a. chief technology officer b. systems analyst c. webmaster d. computer programmer ANSWER: a 166. In the context of IT jobs in the information systems field, a _____is typically responsible for providing network and cybersecurity. a. network administrator b. cyber police c. network programmer d. cyber activist ANSWER: a 167. In the context of IT jobs in the information systems field, a _____is responsible for database design and implementation. a. database administrator b. database programmer c. database strategist d. database developer ANSWER: a 168. In the context of IT jobs in the information systems field, a _____designs and maintains an organization’s Web site. a. webmaster b. web designer c. web developer d. web host provider ANSWER: a Essay 169. Discuss how information systems are useful for students. ANSWER Answers will vary. Students use computers and office suite software and might take : online classes. Computers are often used to grade exam answers and generate detailed reports comparing the performance of each student in a class. Computers and information systems also calculate grades and GPAs and can deliver this information to the students. 170. Explain how banks use computers and information systems. ANSWER Answers will vary. Banks use computers and information systems for generating : customers’ monthly statements, running ATM machines, and for many other banking activities. 171. Explain personal digital assistants (PDAs). ANSWER Answers will vary. Many workers are now telecommuters who perform their jobs at home, and others often use their PDAs to conduct business while on the go. The most : common PDA is a smartphone (such as an iPhone, Droid, or a Blackberry). A typical PDA includes a calendar, address book, and task-listing programs; more advanced PDAs often allow for wireless connection to the Internet and have built-in MP3 players. 172. Explain how organizations use social networking sites. ANSWER Answers will vary. Organizations use social networking sites to give customers up-to: date information and how-to support via videos. These sites can reduce organizations’ costs by providing an inexpensive medium for targeting a large customer base. 173. Describe how information systems differ from information technologies. ANSWER Answers will vary. Information systems are broader in scope than information technologies, but the two overlap in many areas. Both are used to help organizations : be more competitive and to improve their overall efficiency and effectiveness. Information technologies offer many advantages for improving decision making but involve some challenges, too, such as security and privacy issues. 174. Explain what a knowledge worker should know to understand the role of information in generating and using business intelligence. ANSWER Answers will vary. Knowledge workers need two types of knowledge to be : competitive in the workplace: computer literacy and information literacy. Knowledge workers should know the following: a. Internal and external sources of data b. How data is collected c. Why data is collected d. What type of data should be collected e. How data is converted to information and eventually to business intelligence f. How data should be indexed and updated g. How data and information should be used to gain a competitive advantage 175. Give an example of how a management information system (MIS) can be used in the public sector. ANSWER Answers will vary. In the public sector, an MIS for a police department, for example, could provide information such as crime statistics, crime forecasts, and allocation of : police units. Management can examine these statistics to spot increases and decreases in crime rates or types of crimes and analyze this data to determine future deployment of law enforcement personnel. 176. Describe a database, and explain its role in an information system. ANSWER Answers will vary. A database, the heart of an information system, is a collection of : all relevant data organized in a series of integrated files. A comprehensive database is essential for the success of any information system. To create, organize, and manage databases, a database management system (DBMS) is used, such as Microsoft Access or FileMaker Pro for home or small-office use. In a large organization, a DBMS such as Oracle or IBM DB2 might be used. Databases are also important for reducing personnel time needed to gather, process, and interpret data manually. With a computerized database and a DBMS, data can be treated as a common resource that is easy to access and use. 177. Briefly explain the purpose of an information system’s process component. ANSWER Answers will vary. The purpose of an information system’s process component is generating the most useful type of information for making decisions. This component : generally includes transaction-processing reports and models for decision analysis that can be built into the system or accessed from external sources. An information system can include a wide range of models to support all levels of decision making. Users should be able to query an information system and generate a variety of reports. In addition, an information system should be able to grow with the organization so users can redefine and restructure models and incorporate new information into their analyses. 178. In the context of the major components of an information system, describe the factors affecting the usefulness of information. ANSWER Answers will vary. The quality of information is determined by its usefulness to users, : and its usefulness determines the success of an information system. To be useful, information must have the following qualities: a. Timeliness b. Integration with other data and information c. Consistency and accuracy d. Relevance If information lacks any of these qualities, the results are incorrect decisions, misallocation of resources, and overlooked windows of opportunity. If the system cannot give users a minimum level of confidence in its reliability, it will not be used or users might dismiss the reports it generates. Information must provide either a base for users to explore different options or insight into tasks. Another factor affecting the usefulness of information is the information system’s user interface. Because this interface must be flexible and easy to use, most information systems make use of graphical user interfaces, with features such as menus and buttons. To be useful, information systems should also produce information in different formats, including graphics (e.g., pie charts and bar graphs), tables, and exception reports, which highlight information that is outside a specified range. Supplying information in a variety of formats increases the likelihood of users understanding and being able to use the information. 179. Describe how a personnel information system (PIS) helps decision makers. ANSWER Answers will vary. A personnel information system (PIS) or human resource information system (HRIS) is designed to provide information that helps decision : makers in personnel carry out their tasks more effectively. A PIS/HRIS supports the following decisions, among others: a. Choosing the best job candidate b. Scheduling and assigning employees c. Predicting the organization’s future personnel needs d. Providing reports and statistics on employee demographics e. Allocating human and financial resources 180. Explain the main difference between an intranet and the Internet. ANSWER Answers will vary. The main difference between an intranet and the Internet is that an : intranet is private and the Internet is public. An intranet is a network within an organization that uses Internet protocols and technologies for collecting, storing, and disseminating useful information that supports business activities such as sales, customer service, human resources, and marketing. 181. Describe a manufacturing information system (MFIS). ANSWER Answers will vary. An MFIS is used to manage manufacturing resources so that : companies can reduce manufacturing costs, increase product quality, and make better inventory decisions. MFISs can perform many types of analysis with a high degree of timeliness and accuracy. An MFIS supports the following decisions, among others: a. Ordering decisions b. Product cost calculations c. Space utilization d. The bid evaluation process used with vendors and suppliers e. Analysis of price changes and discounts 182. In the context of using information technologies for a competitive advantage, explain the difference in focus for a bottom-line strategy and a top-line strategy. ANSWER Answers will vary. The focus of a bottom-line strategy is improving efficiency by : reducing overall costs. A top-line strategy focuses on generating new revenue by offering new products and services to customers or increasing revenue by selling existing products and services to new customers. 183. Describe the threat of substitute products or services. Explain how organizations fight this threat. ANSWER Answers will vary. The threat of customers choosing substitute products or services is high when many alternatives to an organization’s products or services are available. : Some organizations add services-such as Amazon’s personalized recommendations-to make their positions in the marketplace more distinctive. Other organizations use fees to discourage customers from switching to a competitor, such as cell phone companies adding charges for switching to another provider before the customer contract is up. 184. Explain how an organization can combat the threat of new entrants. ANSWER Answers will vary. The threat of new entrants into the marketplace is low when : duplicating a company’s product or service is difficult. Organizations often use focus strategies to ensure that the threat of new entrants remains low. In addition, organizations use information technologies to increase customer loyalty, which reduces the threat of new entrants. 185. In the context of the top information systems job, describe the roles of a chief technology officer (CTO) or a chief information officer (CIO) and a chief privacy officer (CPO). ANSWER Answers will vary. The top information systems job belongs to either the CTO or the CIO. This person oversees long-range planning and keeps an eye on new : developments in the field that can affect a company’s success. Some organizations also have a CPO. This executive position includes responsibility for managing the risks and business impacts of privacy laws and policies. 186. Describe the role of a systems analyst and the qualifications required for the position. ANSWER Answers will vary. A systems analyst is responsible for the design and implementation of information systems. In addition to computer knowledge and an information : systems background, this position requires a thorough understanding of business systems and functional areas within a business organization. 187. Describe how networking technology will improve in the future. ANSWER Answers will vary. Networking technology will improve, so connecting computers will be easier, and sending information from one location to another will be faster. : Compatibility issues between networks will become more manageable, and integrating voice, data, and images on the same transmission medium will improve communication quality and information delivery. 188. Discuss the impact of Internet growth in the future. ANSWER Answers will vary. By examining various factors related to designing, implementing, and using information systems, it can be predicted that Internet growth will continue, : which will put small and large organizations on the same footing, regardless of their financial status. Internet growth will also make e-collaboration easier, despite geographical distances. 189. Discuss how information systems are useful for students. ANSWER Answers will vary. Students use computers and office suite software and might take online classes. Computers are often used to grade exam answers and generate detailed : reports comparing the performance of each student in a class. Computers and information systems also calculate grades and GPAs and can deliver this information to the students. 190. Explain how banks use computers and information systems. ANSWER Answers will vary. Banks use computers and information systems for generating customers’ monthly statements, running ATM machines, and for many other banking : activities. 191. Explain personal digital assistants (PDAs). ANSWER Answers will vary. Many workers are now telecommuters who perform their jobs at : home, and others often use their PDAs to conduct business while on the go. The most common PDA is a smartphone (such as an iPhone, Droid, or a Blackberry). A typical PDA includes a calendar, address book, and task-listing programs; more advanced PDAs often allow for wireless connection to the Internet and have built-in MP3 players. 192. Explain how organizations use social networking sites. ANSWER Answers will vary. Organizations use social networking sites to give customers up-todate information and how-to support via videos. These sites can reduce organizations’ : costs by providing an inexpensive medium for targeting a large customer base. 193. Describe how information systems differ from information technologies. ANSWER Answers will vary. Information systems are broader in scope than information : technologies, but the two overlap in many areas. Both are used to help organizations be more competitive and to improve their overall efficiency and effectiveness. Information technologies offer many advantages for improving decision making but involve some challenges, too, such as security and privacy issues. 194. Explain what a knowledge worker should know to understand the role of information in generating and using business intelligence. ANSWER Answers will vary. Knowledge workers need two types of knowledge to be competitive in the workplace: computer literacy and information literacy. Knowledge : workers should know the following: a. Internal and external sources of data b. How data is collected c. Why data is collected d. What type of data should be collected e. How data is converted to information and eventually to business intelligence f. How data should be indexed and updated g. How data and information should be used to gain a competitive advantage 195. Give an example of how a management information system (MIS) can be used in the public sector. ANSWER Answers will vary. In the public sector, an MIS for a police department, for example, could provide information such as crime statistics, crime forecasts, and allocation of : police units. Management can examine these statistics to spot increases and decreases in crime rates or types of crimes and analyze this data to determine future deployment of law enforcement personnel. 196. Describe a database, and explain its role in an information system. ANSWER Answers will vary. A database, the heart of an information system, is a collection of all relevant data organized in a series of integrated files. A comprehensive database is : essential for the success of any information system. To create, organize, and manage databases, a database management system (DBMS) is used, such as Microsoft Access or FileMaker Pro for home or small-office use. In a large organization, a DBMS such as Oracle or IBM DB2 might be used. Databases are also important for reducing personnel time needed to gather, process, and interpret data manually. With a computerized database and a DBMS, data can be treated as a common resource that is easy to access and use. 197. Briefly explain the purpose of an information system’s process component. ANSWER Answers will vary. The purpose of an information system’s process component is : generating the most useful type of information for making decisions. This component generally includes transaction-processing reports and models for decision analysis that can be built into the system or accessed from external sources. An information system can include a wide range of models to support all levels of decision making. Users should be able to query an information system and generate a variety of reports. In addition, an information system should be able to grow with the organization so users can redefine and restructure models and incorporate new information into their analyses. 198. In the context of the major components of an information system, describe the factors affecting the usefulness of information. ANSWER Answers will vary. The quality of information is determined by its usefulness to users, : and its usefulness determines the success of an information system. To be useful, information must have the following qualities: a. Timeliness b. Integration with other data and information c. Consistency and accuracy d. Relevance If information lacks any of these qualities, the results are incorrect decisions, misallocation of resources, and overlooked windows of opportunity. If the system cannot give users a minimum level of confidence in its reliability, it will not be used or users might dismiss the reports it generates. Information must provide either a base for users to explore different options or insight into tasks. Another factor affecting the usefulness of information is the information system’s user interface. Because this interface must be flexible and easy to use, most information systems make use of graphical user interfaces, with features such as menus and buttons. To be useful, information systems should also produce information in different formats, including graphics (e.g., pie charts and bar graphs), tables, and exception reports, which highlight information that is outside a specified range. Supplying information in a variety of formats increases the likelihood of users understanding and being able to use the information. 199. Describe how a personnel information system (PIS) helps decision makers. ANSWER Answers will vary. A personnel information system (PIS) or human resource information system (HRIS) is designed to provide information that helps decision : makers in personnel carry out their tasks more effectively. A PIS/HRIS supports the following decisions, among others: a. Choosing the best job candidate b. Scheduling and assigning employees c. Predicting the organization’s future personnel needs d. Providing reports and statistics on employee demographics e. Allocating human and financial resources 200. Explain the main difference between an intranet and the Internet. ANSWER Answers will vary. The main difference between an intranet and the Internet is that an : intranet is private and the Internet is public. An intranet is a network within an organization that uses Internet protocols and technologies for collecting, storing, and disseminating useful information that supports business activities such as sales, customer service, human resources, and marketing. 201. Describe a manufacturing information system (MFIS). ANSWER Answers will vary. An MFIS is used to manage manufacturing resources so that : companies can reduce manufacturing costs, increase product quality, and make better inventory decisions. MFISs can perform many types of analysis with a high degree of timeliness and accuracy. An MFIS supports the following decisions, among others: a. Ordering decisions b. Product cost calculations c. Space utilization d. The bid evaluation process used with vendors and suppliers e. Analysis of price changes and discounts 202. In the context of using information technologies for a competitive advantage, explain the difference in focus for a bottom-line strategy and a top-line strategy. ANSWER Answers will vary. The focus of a bottom-line strategy is improving efficiency by : reducing overall costs. A top-line strategy focuses on generating new revenue by offering new products and services to customers or increasing revenue by selling existing products and services to new customers. 203. Describe the threat of substitute products or services. Explain how organizations fight this threat. ANSWER Answers will vary. The threat of customers choosing substitute products or services is high when many alternatives to an organization’s products or services are available. : Some organizations add services-such as Amazon’s personalized recommendations-to make their positions in the marketplace more distinctive. Other organizations use fees to discourage customers from switching to a competitor, such as cell phone companies adding charges for switching to another provider before the customer contract is up. 204. Explain how an organization can combat the threat of new entrants. ANSWER Answers will vary. The threat of new entrants into the marketplace is low when duplicating a company’s product or service is difficult. Organizations often use focus : strategies to ensure that the threat of new entrants remains low. In addition, organizations use information technologies to increase customer loyalty, which reduces the threat of new entrants. 205. In the context of the top information systems job, describe the roles of a chief technology officer (CTO) or a chief information officer (CIO) and a chief privacy officer (CPO). ANSWER Answers will vary. The top information systems job belongs to either the CTO or the : CIO. This person oversees long-range planning and keeps an eye on new developments in the field that can affect a company’s success. Some organizations also have a CPO. This executive position includes responsibility for managing the risks and business impacts of privacy laws and policies. 206. Describe the role of a systems analyst and the qualifications required for the position. ANSWER Answers will vary. A systems analyst is responsible for the design and implementation of information systems. In addition to computer knowledge and an information : systems background, this position requires a thorough understanding of business systems and functional areas within a business organization. 207. Describe how networking technology will improve in the future. ANSWER Answers will vary. Networking technology will improve, so connecting computers : will be easier, and sending information from one location to another will be faster. Compatibility issues between networks will become more manageable, and integrating voice, data, and images on the same transmission medium will improve communication quality and information delivery. 208. Discuss the impact of Internet growth in the future. ANSWER Answers will vary. By examining various factors related to designing, implementing, : and using information systems, it can be predicted that Internet growth will continue, which will put small and large organizations on the same footing, regardless of their financial status. Internet growth will also make e-collaboration easier, despite geographical distances.