Ch8 Information Systems Within The Exam Questions - Introduction to Information Systems 3rd Canadian Edition | Test Bank with Answer Key by Rainer by Rainer Cegielski. DOCX document preview.

Ch8 Information Systems Within The Exam Questions

Chapter 8

Information systems within the organization

Question Type: True/False

1) The Sportvision case shows IS are everywhere and can be used in many different ways.

Learning Objective: Provide a real-world application of an information system within an organization.

Section Reference: Opening Case

Difficulty: Easy

2) Pizza Pizza allowed their customers to design their own pizzas to increase sales while increasing the cost.

Learning Objective: Provide a real-world application of an information system within an organization.

Section Reference: IT’s About Small Business: Pizza Pizza’s Customer App

Difficulty: Easy

3) TPSs provide data that can be stored in the organization’s databases.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

4) The functional area information systems are the most fundamental information systems in the organization.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

5) The data processed by transaction processing systems provide the inputs for other organizational information systems.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

6) Greg is mowing lawns in the neighborhood for the summer. He does not need an information system.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

7) In general, organizations try to automate data entry as much as possible.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

8) HR Information Management System was originally for benefits and tracking vacation.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

9) When you make a purchase online, that transaction is an example of batch processing.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

10) Source data automation involves collecting data from sensors.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

11) Functional information systems support the entire enterprise or major portions of it.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

12) The information systems for Accounting and Finance could contain control and auditing process.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

13) The POM function within an organization monitors the customer sales activity.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

14) An example of a transaction in a HRIS application is adding a new employee.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

15) Information systems can be function-specific.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

16) Historically, the functional area information systems were developed independently of one another.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

17) EAI are not necessary if an ERP system has been installed.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Hard

18) Airgas chose to implement SAP “as-is” to adopt the industry’s best practices.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

19) Information silos were particularly efficient when business processes crossed functional boundaries in an organization.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

20) Business processes may be located within one functional area or may span multiple functional areas.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

21) Best practices are the most successful solutions or problem-solving methods for achieving a business objective.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

22) ERP II systems are considered 3rd generation ERP systems.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

23) Enterprise resource management is an enterprise-wide effort to acquire and retain customers.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

24) Financial management, operations management, and human resource management are extended ERP modules.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

25) ERP systems integrate the planning, management and use of all resources of the organization.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

26) When ERP systems are not appropriate in an organization, then that organization can use an enterprise application integration system.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

27) Organizations that use ERP systems are more agile and adaptive.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

28) Exception reports show a greater level of detail than is included in routine reports.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

29) Comparative reports compare things.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

30) Key-indicator reports shows data at a greater level of detail.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

31) Drill down reports are produced at scheduled intervals.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Medium

32) Ad hoc reports are run weekly.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

33) ERP systems always provide a competitive advantage because they make a business so much more efficient.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

34) An organization has to own all of the information systems it used.

Learning Objective: Provide a real-world application of an information system within an organization.

Section Reference: Opening Case: Is Baseball a Science?

Difficulty: Medium

35) Airgas improved its efficiencies by using SAP, which is a customer relationship management system.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: IT’s About Business: 10.2 SAP at Airgas

Difficulty: Medium

36) A company that implements an ERP system must reworking their business processes to meet the procedures established by their ERP systems to gain significant benefits.

Learning Objective: Summarize the fundamental concepts and skills related to the roles and functions of information systems within organizations.

Section Reference: Closing Case: Difficulties in Managing Enterprise Resource Planning Systems

Difficulty: Medium

Question Type: Multiple Choice

37) Sportvision is an example of a(n) __________.

a) ERP system

b) Expert system

c) FAIS

d) TPS

Learning Objective: Provide a real-world application of an information system within an organization.

Section Reference: Opening Case

Difficulty: Medium

38) Which of the following is true?

a) Transactions are only critical to the area they occur in.

b) Transactions can only involve one database.

c) Transactions can only involve one computer.

d) The actual processing of a Transaction has to be standard.

e) Transactions generate a small volume of data.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

39) Which of the following is false?

a) Corporate data is supplied by Transaction processing systems.

b) Information systems are only used by large organizations.

c) Reports from information systems are used in all levels of the organization.

d) Data from TPS systems feeds ERP systems.

e) Information systems within an organization support internal and external processes.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Hard

40) Which of the following is NOT a requirement for a TPS?

a) Avoid errors

b) Efficiently handle data in high volumes

c) Provide data analysis capabilities

d) Scalability

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

41) Organizational transactions are typically _____ volume, _____, and therefore _____ to computerize.

a) low, repetitive, difficult

b) high, repetitive, easy

c) high, different, difficult

d) low, different, easy

e) high, different, easy

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

42) Business transactions that are processed as they occur is an example of

a) batch processing

b) source data automation

c) OLTP

d) TPS

e) ESS

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

43) ____________ is when business transactions are processed as soon as they occur.

a) Batch processing

b) OLAP

c) OLTP

d) Source data automation

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

44) The most fundamental information systems in an organization are:

a) Office automation systems

b) Decision support systems

c) Functional area information systems

d) Transaction processing systems

e) Business intelligence systems

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

45) When interest is credited to your savings account at your bank, it is called a:

a) Process

b) Function

c) Calculation

d) Transaction

e) Decision

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

46) Batch processing is when the firm collects data from transactions __________, places them in groups, then prepares and processes the batches ___________.

a) as they occur, as they occur

b) as they occur, periodically

c) periodically, as they occur

d) periodically, periodically

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

47) Crediting interest to your savings account at your bank once a month, it is called a:

a) Process

b) Function

c) Calculation

d) Transaction

e) Decision

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

48) When interest is credited to your savings account at your bank, it is called a:

a) Process

b) Function

c) Calculation

d) Transaction

e) Decision

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

49) Data that have been processed by the organization’s _____ are inputs into the organization’s database.

a) office automation systems

b) functional area information systems

c) Transaction processing systems

d) decision support systems

e) digital dashboards

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

50) Which of the following is not a characteristic of a transaction processing system?

a) Small amounts of data are processed

b) Sources of data are mainly internal

c) Low computation complexity

d) High level of accuracy, data integrity, and security

e) High level of detail

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Easy

51) Which of the following is not an example of a transaction?

a) A person hired

b) A payroll check generated

c) A service sold

d) Printing a report

e) Checking out at Walmart

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Hard

52) Greg is mowing lawns in the neighborhood for the summer. Which of the following is not an example of a transaction he has in his business?

a) Adding a new client to his list.

b) Mowing a client’s lawn

c) Buying gas for his mower

d) Driving to the client’s house

e) Getting paid by the client

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

53) Which of the following is false?

a) TPS need large computers to process the transactions.

b) Business transactions can be processed when they occur.

c) Business transactions can be processed after they occur.

d) Data for transactions can be collected by sensors.

e) A transaction is a business event.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Hard

54) Which of the following is not a function of functional area information systems?

a) Providing information to managers in the functional areas

b) Supporting the managerial tasks of planning, organizing, and controlling operations

c) Providing information mainly in the form of reports

d) Providing data from business events to the corporate database

e) Providing analysis capabilities to middle level managers and staff

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

55) Functional area information systems provide ___________ mainly to lower- and middle-level managers in the functional areas via a variety of reports.

a) data

b) knowledge

c) information

d) wisdom

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

56) Which of the following is not a process within an information system for Accounting and Finance?

a) Budgeting

b) Managing Currencies

c) Inventory management

d) Auditing

e) Expense management

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

57) __________ involves monitoring how money is spent and assessing financial health.

a) Auditing

b) Budgetary control

c) Financial ratio analysis

d) Investment management

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

58) Which of the following is not a process within an information system for Human Resource Management?

a) Benefits administration

b) Firing decisions

c) Peer evaluations

d) Recruitment

e) Training

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Easy

59) The “virtual close” is part of the _________ functional area.

a) Accounting and Finance

b) Human Resource Management

c) Marketing

d) Production/Operations Management

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

60) Which of the following is false?

a) Inventory management determines how much inventory to order.

b) Large companies allow their vendors to manage their inventory.

c) The POM function within an organization monitors sales.

d) Quality control used by manufacturing units uses metrics.

e) Computer systems are used to integrate all aspects of product design.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

61) MRP is part of the ______________ functional area.

a) Accounting and Finance

b) Human Resource Management

c) Marketing

d) Production/Operations Management

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

62) Which of the following is false?

a) ERP systems are an evolution of functional information systems.

b) ERP systems look the same to users as functional information systems.

c) ERP systems have much the same functionality as functional information systems.

d) ERP systems produce the same reports as functional information systems.

e) ERP systems use the same data as functional information systems.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

63) Enterprise resource planning systems take a(n) _____ view of the overall organization.

a) User’s

b) Management

c) Functional

d) Business process

e) Transactional

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

64) _________ integrate the planning, management and use of all resources of the organization.

a) ERP systems

b) Expert systems

c) FAISs

d) TPSs

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

65) _____ integrate the planning, management, and use of all of an organization’s resources, and are designed to tightly integrate the functional areas of the organization.

a) Transaction processing systems

b) Supply chain management systems

c) Functional area information systems

d) Enterprise resource planning systems

e) Corporate extranets

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

66) Which of the following is false?

a) Functional area information systems were usually developed independently.

b) Functional area information systems easily communicate with each other.

c) ERP systems are designed to integrate business processes.

d) ERP systems use a common database.

e) ERP systems integrate functional areas within an organization.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

67) ERP systems are designed to break down ____________.

a) expert systems

b) FAISs

c) information silos

d) TPSs

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

68) The ________ generation of ERP allows a company to compete on a functional level by adopting an enterprisewide approach using the Internet to connect all participants in the value chain.

a) 1st

b) 2nd

c) 3rd

d) 4th

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

69) The characteristics of ERP systems include all of the following except:

a) Integrating the planning, management, and use of all resources of the organization

b) Providing information necessary to control the business processes of the organization

c) Including a set of interdependent software modules

d) Typically fitting an organization’s existing business processes

e) They are expensive and time-consuming

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

70) Enterprise resource planning systems are very _____ software products, meaning that companies typically have to change their _____ to accommodate how the software functions.

a) unstructured, business processes

b) structured, reporting relationships

c) structured, accounting processes

d) unstructured, inventory control

e) structured, business processes

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

71) The ________ generation of ERP was designed to address back-office business processes.

a) 1st

b) 2nd

c) 3rd

d) 4th

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

72) _____ are interorganizational ERP systems that provide Web-enabled links between an organization’s key business systems and its customers, suppliers, business partners, and others.

a) Functional area information systems

b) Supply chain management systems

c) Transaction processing systems

d) Office automation systems

e) ERP II systems

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

73) _____ are the most successful solutions or problem-solving methods for achieving a business objective.

a) Business functions

b) Best practices

c) Optimal strategies

d) Business processes

e) Enterprise solutions

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

74) Which of the following is NOT a benefit Airgas received by implementing SAP?

a) Better price management

b) Competitiveness

c) Leaner operating costs

d) Small increase in revenue

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

75) The drawbacks of ERP systems include all of the following except:

a) They are complex

b) They are expensive

c) They are time-consuming to implement

d) Companies may need to change existing business processes to fit the software

e) They consist of modules

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

76) Which of the following is a benefit of ERP systems?

a) Business process adaptation

b) Complexity

c) Cost

d) Flexibility

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

77) Which of the following was not included in early ERP systems?

a) Sales and Marketing

b) Inventory Control

c) Order Entry

d) Distribution

e) Raw materials management

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

78) Which of the following is a limitation of ERP systems?

a) Cost

b) Decision-making

c) Efficiency

d) Flexibility

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

79) Which of the following is false about ERP II systems?

a) They utilize the Web.

b) They include human resources processes.

c) Functionality is delivered as e-business suites.

d) They support internal- facing applications as well as external-facing applications.

e) These ERP systems have no optional modules.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

80) Which of the following is false?

a) Breaking down functional silos makes an organization more adaptive.

b) An organization doesn’t have to use the business processes coded into the ERP.

c) ERP systems change an organization’s business processes.

d) ERP systems are time consuming to implement.

e) ERP systems require functional areas to work together.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

81) Which of the following has not been identified as a reason for ERP implementation failure?

a) Failure to include affected employees in planning

b) The complexity of the planning

c) Lack of documentation

d) Insufficient training

e) No change management processes

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

82) A __________ report summarizes the performance of critical activities.

a) comparative

b) drill-down

c) key indicator

d) summary

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

83) _____ reports contain special information not found in routine reports.

a) Ad hoc

b) Summary

c) Drill-down

d) Key-indicator

e) Exception

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

84) __________ reports allow users to click on an item in a report and to be able to access underlying details about that item.

a) Comparative

b) Detailed

c) Drill-down

d) Summary

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

85) _____ reports are produced at scheduled intervals.

a) Ad hoc

b) Routine

c) Exception

d) Detailed

e) Key indicator

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

86) __________ reports include only information that falls outside certain threshold standards.

a) Comparative

b) Exception

c) Key indicator

d) Summary

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

87) _____ reports summarize the performance of critical activities.

a) Ad hoc

b) Routine

c) Exception

d) Detailed

e) Key indicator

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

88) Kathy has taken a job with her ideal company and is excited to start in their sales department. During orientation, she is told that the company is very proud of their ERP system from SAP. Looking at the list of modules the company has, Kathy wonders which one she won’t be using. From the list below, which one would you tell Kathy is the one she won’t be using.

a) Customer relationship management

b) Human resource management

c) Business intelligence

d) Operations management

e) E-Business

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

89) When the chief financial officer of a company wants a report on business units who have spent 10 percent more than their allotted budget, she would be requesting which type of report?

a) Ad hoc

b) Routine

c) Exception

d) Detailed

e) Key indicator

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Medium

90) _____ reports include only information that falls outside certain threshold standards.

a) Ad hoc

b) Routine

c) Exception

d) Detailed

e) Key indicator

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

91) Which of the following is NOT an ad hoc report?

a) Comparative report

b) Drill-down report

c) Key-indicator report

d) Monthly report

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

92) To effectively manage by exception (i.e., use exception reports), the company must first create:

a) Performance standards

b) Best practices

c) User information requirements

d) A database

e) Employee evaluation guides

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

93) Greg is mowing lawns in the neighborhood for the summer. Which type of report would he used to see which of his clients still owe him money?

a) Ad hoc

b) Summary

c) Exception

d) Detailed

e) Key indicator

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

94) Greg is mowing lawns in the neighborhood for the summer. Which type of report would he used to see which if a particular client still owe him money?

a) Ad hoc

b) Routine

c) Exception

d) Detailed

e) Key indicator

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

95) Pizza Pizza allowed customers to design their own pizzas via iPhone to:

a) Increase sales

b) Decrease costs

c) Increase costs

d) A and b

e) A and c

Learning Objective: Provide a real-world application of an information system within an organization.

Section Reference: IT’s About Small Business: Pizza Pizza’s Customer App

Difficulty: Easy

96) Which of the following is false regarding SAP at Airgas?

a) Airgas saw economic benefits during the conversion process.

b) The project will be over its projected cost budget.

c) Airgas switched over its supply chain operations to SAP first.

d) Airgas used subject-matter experts to identify required functionality in their SAP system.

e) Airgas implemented SAP without the help of consultants.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: IT’s About Business: 10.2 SAP at Airgas

Difficulty: Medium

97) Which of the following is true?

a) Implementing an ERP system will maintain a competitive advantage.

b) Implementing an ERP system will allow a company to operate faster than their competition.

c) The IT costs of an ERP implementation goes down over time.

d) Customizing an ERP system is permitted.

e) The benefits of an ERP implementation go down over time.

Learning Objective: Summarize the fundamental concepts and skills related to the roles and functions of information systems within organizations.

Section Reference: Closing Case: Difficulties in Managing Enterprise Resource Planning Systems

Difficulty: Medium

98) Kennametal’s main problem with its ERP installation was _________.

a) it cost too much

b) it couldn’t upgrade the ERP system

c) it made their business processes less efficient

d) all of the above were problems Kennametal experienced

Learning Objective: Summarize the fundamental concepts and skills related to the roles and functions of information systems within organizations.

Section Reference: Closing Case: Difficulties in Managing Enterprise Resource Planning Systems

Difficulty: Easy

Question Type: Essay

99) Differentiate between transaction processing systems and functional area information systems.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems and Functional Area Information Systems

Difficulty: Medium

100) Differentiate between batch processing and online transaction processing.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

101) Greg is mowing lawns in the neighborhood for the summer. How could he use source data automation to make data entry easier?

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Medium

102) Explain how information systems for accounting and finance support an organization.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

103) Explain how information systems for production operations management support an organization.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

104) Explain how information systems for human resource management support an organization.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

105) Explain how information systems for marketing and sales support an organization.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

106) Define enterprise resource planning systems and discuss why they were developed.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

107) Describe the various reports that can be obtained from functional area information systems.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Medium

108) Contrast routine reports and drill-down reports.

Learning Objective: Discuss the three major types of reports generated by the functional area information systems and enterprise resource planning systems, and provide an example of each type.

Section Reference: 10.4 Reports

Difficulty: Easy

109) Define source data automation and describe why this process is so important to transaction processing systems.

Learning Objective: Explain the purposes of transaction processing systems, and provide at least one example of how businesses use these systems.

Section Reference: 10.1 Transaction Processing Systems

Difficulty: Hard

110) Discuss why functional area information systems would have been built as silos. Explain the limitations of that approach.

Learning Objective: Define functional area information systems, and provide an example of the support they provide for each functional area of the organization.

Section Reference: 10.2 Functional Area Information Systems

Difficulty: Medium

111) Discuss the reasons why ERP systems evolved and what organizations hope to gain by implementing them.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

112) Differentiate between ERP systems and ERP II systems.

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Medium

113) What are ad-hoc (on-demand) reports? Why does an organization need to be able to run ad-hoc reports?

Learning Objective: Explain the purpose of enterprise resource planning systems, and identify four advantages and four drawbacks to implementing an ERP system.

Section Reference: 10.3 Enterprise Resource Planning Systems

Difficulty: Easy

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The material provided herein may not be downloaded, reproduced, stored in a retrieval system, modified, made available on a network, used to create derivative works, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise without the prior written permission of John Wiley & Sons Canada, Ltd.

Document Information

Document Type:
DOCX
Chapter Number:
8
Created Date:
Aug 21, 2025
Chapter Name:
Chapter 8 Information Systems Within The Organization
Author:
Rainer Cegielski

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