Chapter 9: Functional Area and
Compliance Systems
Test Bank
Multiple Choice
1. Ideally, operational ISs (also called functional area ISs) provide ____________, knowing
what’s happening in any department or functio
...
Chapter 9: Functional Area and
Compliance Systems
Test Bank
Multiple Choice
1. Ideally, operational ISs (also called functional area ISs) provide ____________, knowing
what’s happening in any department or function at any time.
a. Quick response
b. Transparency
c. Integration
d. Operational performance
Answer: B
Difficulty: Easy
Section Ref: Quick Look at Chapter 9
AACSB: Use of information technology
2. Data from functional ISs are used extensively by enterprise applications, including business
intelligence (BI), ecommerce, customer relationship management (CRM), and
__________________.
a. Supply chain management (SCM)
b. Process management
c. External systems
d. Integration
Answer: A
Difficulty: Easy
Section Ref: Quick Look at Chapter 9
AACSB: Use of information technology
3. The success of International Speedway Corporation (ISC) mission depends largely on its
ability to fill seats at events and minimize _______ in marketing campaigns.
a. Time
b. Effort
c. Waste
d. Value
Answer: C
Difficulty: Easy
Section Ref: Opening Case: International Speedway Gets Lean
AACSB: Use of information technology
4. Increasing the number and frequency of highquality ___________ increases the chance of
being topofmind with customers when they are deciding on entertainment. Knowing what
customers want can be a powerful competitive edge.
a. Touchpoints
b. Communication
c. Promotions
d. Feedback
Answer: A
Difficulty: Easy
Section Ref: Opening Case: International Speedway Gets Lean
AACSB: Use of information technology
5. International Speedway used data to personalize emails and promotions to specific fans,
creating individualized campaigns delivered through consumers’ preferred channel(s)
determined by a customer’s profile. This is an example of _________________.
a. Touchpoints
b. Communication
c. Promotions
d. Integrated marketing
Answer: D
Difficulty: Easy
Section Ref: Opening Case: International Speedway Gets Lean
AACSB: Use of information technology
6. Your textbook describes three levels of management using a pyramid model. Which of the
following is not one of the management levels in the model?
a. Operational level
b. Managerial or administrative level
c. Strategic level
d. Executive level
Answer: D
Difficulty: Easy
Section Ref: 9.1 Management Levels and Functional Systems
AACSB: Reflective thinking skills
7. At what level do senior ortop level management plan and make decisions that set or impact
the longterm direction of the entire organization.
a. Operational level
b. Managerial or administrative level
c. Strategic level
d. Executive level
Answer: C
Difficulty: Easy
Section Ref: 9.1 Management Levels and Functional Systems
AACSB: Reflective thinking skills
8. What does SWOT analysis represent?
a. Strategy, willingness, outcome and timing
b. Strengths, weaknesses, opportunities, and threats
c. Success, waste, observation and topdown
d. System, wiki, operations, technology
Answer: B
Difficulty: Easy
Section Ref: 9.1 Management Levels and Functional Systems
AACSB: Reflective thinking skills
9. The purpose of control is to identify deviations from goals as soon as possible in order to
take corrective action. Tracking sales, inventory levels, orders, and customer support are
examples of control activities. What type of company data is most important at this level?
a. Internal data
b. External data
c. Vendor data
d. Administrative data
Answer: A
Difficulty: Easy
Section Ref: 9.1 Management Levels and Functional Systems
AACSB: Use of information technology
10. When work flows and data flows between departments do not work well or coordination is
difficult, they cause delays, errors, and poor customer service. This is why ___________ the
functional departments via information systems that enable communication, coordination,
and control is essential.
a. Managing
b. Integrating
c. Assisting
d. Developing
Answer: B
Difficulty: Easy
Section Ref: 9.1 Management Levels and Functional Systems
AACSB: Use of information technology
11. Data requirements of the operational level units are extensive and relatively routine, rarely
changing because they depend on fixed sources of input and __________, which is a set of
written instructions that document a routine or repetitive activity that is followed by an
organization.
a. Compliance systems
b. Strategic marketing plan
c. Standard Operation Procedures (SOP)
d. Quality control
Answer: C
Difficulty: Easy
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