Chapter 7 Study Guide

True or False: Both structured processes and dynamic processes are formally defined processes.
False
True or False: Structured processes are standardized processes that involve day-to-day operations.
True
True or False: Placing an order is an example of a structured process.
True
True or False: Structured processes are adaptive processes that change structure rapidly and readily.
False
True or False: Dynamic processes are more specific.
False
True or False: Using social networking sites to generate a buzz about a company’s new product line is an example of a dynamic process.
True
True or False: Dynamic processes support operational activities.
False
True or False: A workgroup processes exists to enable workgroups to fulfill the charter, purpose, and goals of a particular group or department.
True
True or False; Lead generation and lead tracking are processes concerning the sales and marketing department.
True
True or False: Order and account tracking are business processes concerning the operations department
False
True or False: A workgroup information system is an organizational structure where a separate department is established by the organization to support and manage its information.
True
True or False: The procedures for using workgroup information systems need to be understood only by the It department of an organization.
True
True or False: Workgroup information systems typically support 10 to 100 users.
True
True or False: Enterprise processes span an organization and support activities in multiple departments.
True
True or False: The solutions to problems in an enterprise system usually involve a single department of the organization.
False
True or False: CRM is an example of a structured inter-enterprise information system.
False
True or False: In inter-enterprise information systems, procedures are simple and generally not documented on formalized in any way.
False
True or False: Inter-enterprise information systems support one or more inter-enterprise processes.
True
True or False: Process efficiency is a measure of the ratio of process outputs to inputs.
True
True or False: The structure of a process has no bearing on its efficiency.
False
True or False: Adding process resources increases process effectiveness, but it adds cost.
True
True or False: Changing the structure of a process always involves a change in resources as well, even if it it only a simple reordering of tasks.
False
True or False: Information systems improve process quality by augmenting the actions of the human who performs that activity.
True
True or False: An information silo is a condition that exists when data are isolated in separated information systems.
True
True or False: Workgroups can develop information systems for their own needs, but over time, they would result in information silos.
True
True or False: The problems of duplicated data, disjointed systems, limited information, and inefficiencies are solved by spreading the data across multiple databases.
False
True or False: Business process re-engineering is the the activity of altering and designing business processes to take advantage of new information systems.
True
True or False: Business process re-engineering is a quick process, but it is exceedingly expensive.
False
True or False: In the customer acquisition phase of the customer life cycle, an organization categorizes its customers according to value and attempts to win back high-value customers.
False
True or False: Relationship management processes increase the value of existing customers by selling them more product.
True
True or False: CRM systems incorporate accounting, manufacturing, inventory, and human resources applications.
False
True or False: The primary purpose of an ERP system is integration.
True
True or False: Enterprise application integration is a suite of applications, a database, and a set of inherent processes for consolidating business operations into a single, consistent, computing platform.
False
True or False: Converting to an ERP system is not nearly as disruptive as converting to an EAI system.
False
True or False: An ERP solution consists of application programs, databases, and business process procedures, but does not contain training and consulting.
False
True or False: Choosing an ERP solution that has applications that function close to the organization’s requirements is critical to its successful implementation.
True
True or False: An ERP solution includes a database design as well as initial configuration data.
True
True or False: A trigger is a computer program stored in a database that is used to enforce business results.
False
True or False: Triggers and stored procedures are not components of an ERP solution.
False
True or False: The inherent processes that are defined in an ERP solution are known as process blueprints.
True
True or False: ERP vendors sometimes train an organization’s employees to become in-house trainers in training sessions called train the trainer.
True
True or False: Industry-specific solutions contain program and database configuration files, but not the process blueprints that apply to ERP implementations in specific industries.
False
True or False: Epicor and Microsoft Dynamics are the highest ranked ERP vendors in the market.
False
True or False: In enterprise systems, a single department manager is in charge.
False
True or False: Gap identification is a major task when implementing enterprise systems.
True
True or False: Transitioning to a new enterprise system requires careful planning and substantial training.
True
True or False: Service-oriented architecture is a software design philosophy in which activities are organized into modules of functionality that are requested and delivered over the Internet using process-oriented architecture standards.
False
True or False: A service provider creates a service description and publishes it using a standardized language called HyperText Markup Language (HTML).
True
True or False: Standards such as http, https, CSS3, JavaScript, and others enable programs to receive data form, and display data to, a variety of mobile and desktop devices.
True
True or False: The number of ERP solutions moving to the cloud is expected to increase because of its low cost.
False
Which of the following workgroup processes is related to operations?
A. sales forecasting
B. finished-goods inventory management
C. treasury management
D. account tracking
finished-goods inventory management
_____ are formally defined, standardized processes that involve day-to-day operations.
structured processes
Which of the following is an example of a structured process?
A. using social media to create buzz about a new product
B. solving the problem of excessive product returns
C. purchasing raw materials
D. deciding on the location of a new store
purchasing raw materials
_____ are flexible, informal, and adaptive processes that normally involve strategic and less specific managerial and activities.
dynamic processes
Which of the following is an example of a dynamic process?
A. Nike uses Facebook and Twitter to generate buzz about its new line of running shoes.
B. Amazon.com hires customer service representatives to help customers with their online order.
C. Samsung accepts a return of a defective television from its dealer.
D. Starbucks places an order from coffee beans from its local supplier.
Nike uses Facebook and Twitter to generate a buzz about its new line of running shoes.
Which of the following is a characteristic of dynamic processes?
A. They support operational and managerial decisions and activities.
B. They are adaptive processes that change structure rapidly and readily.
C. They are standardized processes.
D. They are usually formally defined and documented.
They are adaptive processes that change structure rapidly and readily.
Which of the following workgroup processes is related to sales and marketing?
A. order management
B. customer support
C. lead tracking
D. accounts receivable
lead tracking
Which of the following workgroup processes is related to operations?
A. account tracking
B. treasury management
C. finished-goods inventory management
D. Sales forecasting
finished-goods inventory management
Which of the following workgroup processes is related to manufacturing?
A. order entry and tracking
B. planning and scheduling
C. product and brand management
D. finished-goods inventory management
planning and scheduling
Which of the following workgroup processes is related to customer service?
A. account tracking
B. accounts payable
C. assessment
D. sales forecasting
account tracking
Which of the following workgroup processes is related to human resources?
A. assessment
B. customer support
C. order management
D. lead tracking
assessment
Which of the following information system minimizes data duplication among departments?
A. personal information systems
B. workgroup information systems
C. departmental information systems
D. enterprise information systems
workgroup information systems
Which of the following statements is true regarding workgroup information systems?
A. They support 10 to 100 users.
B. They are easy to change.
C. They can be operated without training.
D. They minimize data duplication amoung departments
They support 10 to 100 users.
_____ processes span an organization and support activities in multiple departments.
enterprise
Which of the following statements about enterprise information systems is true?
A. They are very difficult to change.
B. They do not require formal training.
C. They support 10 to 100 users.
D. The procedures are not documents, but are understood within the group.
They are very difficult to change.
The information system that a restaurant uses to order supplies and ingredients form its suppliers is an example of a(n) _____.
inter-enterprise information system
Which of the following statements about a structured inter-enterprise information system is true?
A. It is flexible and easily adaptable to organizational changes.
B. Its procedures are formalized and the problem solutions affect multiple organizations.
C. It does not require users to have any formal training.
D. It increases data duplication among departments.
Its procedures are formalized and the problem solutions affect multiple organizations.
_____ is an example of an inter-enterprise information system?
PRIDE
The two dimensions of process quality are _____.
efficiency and effectiveness
_____ is a measure of the ratio of process outputs to inputs.
process efficiency
Process _____ is a measure of how well a process achieves organizational strategy.
effectiveness
Information systems improve process quality by _____.
controlling process flow
Which of the following conditions exist when data are isolated in separated information systems?
A. information overload
B. data segregation
C. information silo
D. encapsulation
information silos
When an organization has inconsistent duplicated data, it is said to have a problem of _____.
data integrity
Information silos are not a problem until they begin to _____.
use and store data inconsistently across separate databases
_____ is the activity of altering and designing business processes to take advantage of new information systems.
business process re-engineering
_____ are pre-designed procedures for using software products.
inherent processes
_____ is a suite of applications, a database, and a set of inherent processes for managing all the interactions with the customer, from lead generation to customer service.
customer relationship management (CRM)
Which phase of the customer life cycle focuses on sending messages to the target market to attract customer prospects?
marketing
Which phase of the customer life cycle focuses on increasing the value of existing customers by selling more product?
relationship management
Which phase of the customer life cycle categorizes customers according to value and attempt to win back high-value customers?
loss/churn
_____ is a suite of applications called modules, a database, an a set of inherent processes for consolidating business operations into a single, consistent, computing platform.
enterprise resource planning
The primary purpose of an ERP system is _____.
integration
Enterprise application integration is _____.
a suite of applications called modules, a database, and a set of inherent processes for consolidating business operations into a single, consistent, computing platform.
Which of the following statements is true of enterprise application integration?
A. It leverages existing systems, and enhances the capabilities of functional applications.
B. It prevents existing applications from communicating and sharing data.
C. It connects system “islands” via a new layer of software.
D. It leads to data duplication because each application has its own database.
It connects system “islands” via a new layer of software.
The major benefit of enterprise application integration is that it _____.
enables organizations to use existing applications.
An ERP solution does not include _____.
a company’s operational data
A(n) _____ is a computer program stored within a database that runs to keep the database consistent when certain conditions arise.
trigger
A stored procedure is a _____.
program stored in a database that keeps the database consistent when certain conditions arise.
The inherent processes defined in an ERP solution are known as _____.
process blueprints
ERP vendors train an organization’s employees, called Super Users, to become in-house ERP trainers in training sessions called _____.
train the trainer
ERP training falls into two broad categories, one of which is training on how to use the ERP application software. Which of the following activities is a part of this category?
A. obtaining top-level management support
B. steps for using applications to accomplish the activities in processes
C. preparing the organization for change
D. dealing with employees resistance to the new system
dealing with employees resistance to the new system
To reduce the substantial work that needs to be done to customize an ERP application to a particular customer, ERP vendors provide _____.
industry-specific solutions
The top two ranked ERP vendors are _____.
Oracle and SAP
The four major ERP products of _____ are AX, Nav, GP, and Solomon.
Microsoft Dynamics
ERP vendor Infor acquired which of the following ERP products?
A. Epicore 9
B. Solomon
C. GP
D. Baan
Baan
Which ERP vendor acquired PeopleSoft and Siebel?
Oracle
When implementing new enterprise systems, usually the only solution for resolving process issues and providing enterprise process management is _____.
reinforce employees’ sense of self-efficiency
_____ is a major task when implementing enterprise systems.
gap identification
Which of the following is an effective technique to overcome employee resistance when implementing new enterprise systems?
A. coercing employees to learn the new system
B. paying employees straight-out for transitioning to the new system
C. training employees on the successful use of the new system
D. giving employees ultimatums and deadlines
training employees on the successful use of the new system
_____ refers to a person’s belief that he or she can be successful at his or her job.
self-efficiency
Flexible communication among distributed applications is possible because of a set of standards that support a design philosophy known as _____.
service oriented architecture
Which of the following is true of SOA?
A. It enables the requesting and releasing of cloud resources.
B. It allows cloud based applications to follow their own standard and structure.
C. It has access to cloud storage, but it cannot enable the releasing of cloud resources.
D. It has no access to cloud storage
It has access to cloud storage, but it cannot enable the releasing of cloud resources.
_____ is one of the SOA protocols.
OData
Organizations like Oracle and SAP find it difficult to move toward low-cost cloud solutions as _____.
they cannot walk away from the revenue of lucrative support contracts that they entail.