1. Which activity is an example of how information systems support the business functions of a
sales and marketing department?
An employee verifies a customer’s credit status using a credit check software
An employee
...
1. Which activity is an example of how information systems support the business functions of a
sales and marketing department?
An employee verifies a customer’s credit status using a credit check software
An employee processes monthly payroll checks and benefits using an open-source software.
An employee processes accounts payable using proprietary software.
An employee reviews daily inventory reports using an inventory management software.
2. An automobile manufacturing company utilizes an information system that allows customers
to design and customize their cars. Customers first log in to the company website and create a
dream car project. They can then customize the car by choosing the engine, trim, paint colors,
and other options. The car specifications are forwards to a sales representative, who contacts
the customer to finalize the purchase order. The production begins shortly after the contract is
finalized and the car is usually delivered within a few weeks. Which type of computer-based
information system provides a competitive advantage based on the described scenario?
A decision support system (DSS) that improves decision-making.
A transaction processing system (TPS) that promotes product differentiation.
A geographic information system (GIS) that helps increase market share.
A management information systems (MIS) that enhances the customer experience.
3. An organization has recently implemented an enterprise resource planning system. What
competitive advantage will this system provide to the business?
Minimizing a need for a value chain.
Analyzing customer relationships with other vendors.
Providing real-time assessment of organizational choices.
Providing cost savings to customers.
4. A project manager at a construction company utilizes a decision support system (DSS) that
incorporates historical, construction-related, and financial data from the accounting department
when generating bids for new construction projects. The project manager was able to create
realistic bids in a short amount of time. Which competitive strategy does the DSS system at the
construction company aim to accomplish?
Customer satisfaction
Cost saving
Operational efficiency
Product differentiation
5. What are three primary components of information technology? Choose 3.
An Android-base smartphone
A network router
A data entry clerk
A host computer operating system
Supply chain process
An order fulfillment flowchart
6. A company has been experiencing serious hacking of their database. The company needs to
hire someone who would identify business protection goals and work with other managers to
identify and analyze risks. Which IT professional does the company need to hire in order to
address this challenge?
Chief technology officer
Database administrator
Chief security officer
Web developer
7. The manufacturer of a popular mouthwash liquid brand is losing sales to a competitor who
has been able to use bulk purchasing of its main ingredients from these wholesalers to receive a
substantial price break in materials. Which IT management challenge is addressed in this
scenario?
Improve decision-making
Achieve operational excellence
Develop new products and services
Develop strong relationships with suppliers
8. A medium-sized legal services firm is facing an uncertain future as its larger competitors have
managed to outsource their legal transcriptions services to virtual companies, thereby
substantially reducing their internal secretarial pool. Which IT management challenge does the
medium-sized legal services firm face in this scenario?
Attain customer intimacy and service
Ensure long-term survival
Achieve economies of scale
Improve decision-making
9. A company that provides off-site storage has recently been destroyed by a hurricane. What
information technology challenge does this company face?
Demand for uninterrupted power supplies at the organization’s expense
Implementation of a decisions support system
More off-site backups to maintain customers data
Need for increased networking infrastructure
10. A mail-order catalog company is wondering why certain customers who have confirmed
receiving their catalogs in the mail on a quarterly basis are failing to make payments on their
invoices. It turns out that the catalog department has updated the address information of
customers who have moved over the past 12 months, but the billing department has been
sending the invoices to each customer’s old address. Which IT professional needs to address the
data quality challenge?
Chief information officer
Chief execution officer
Web administrator
Database administrator
11. An American company with a branch office in Holland is facing the challenge of coping with
different levels of employee productivity because the average workweek is 38 hours in the US
but 29 hours in Holland. Which IT management challenge is demonstrated in the given
scenario?
Social universalism
Social and cultural norms
Trans-border privacy
Cultural particularism
12. Data about which type of business issues can be collected and analyzed using modern-day
information systems? Choose 2
Secret labor union
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