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11
35) The fundamental set of assumptions, values, and ways of doing things that has been accepted
by most of a company's members is called its:
A) business process.
B) environment.
C) atmosphere.
D) values.
E) culture.
AACSB: Application of Knowledge
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
36) All of the following can be considered managerial responsibilities except:
A) making action plans to solve organizational problems.
B) creating new products and services.
C) designing new information systems.
D) allocating human resources to coordinate the work to be done.
E) setting strategy for responding to business challenges in the environment.
AACSB: Analytical Thinking
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
37) Data management technology consists of:
A) the physical hardware and media used by an organization for storing data.
B) the detailed, preprogrammed instructions that control and coordinate the computer hardware
components in an information system.
C) the software governing the organization of data on physical storage media.
D) the hardware and software used to transfer data.
E) the universally accepted standards for storing data.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
12
38) Intranets:
A) are based on mainframe technology.
B) are multiple networks joined together.
C) are typically used to communicate with the business's trusted vendors.
D) use Internet technology for a private company network.
E) provide the platform on which a firm builds its information systems.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
39) As described in the chapter case, which of the following constitutes an organizational
element in the UPS tracking system?
A) The specification of procedures for identifying packages with sender and recipient
information
B) Monitoring service levels
C) Promoting the company strategy of low-cost, superior service
D) The use of handheld computers and networks for managing package delivery
E) Routing software that creates the most efficient delivery route for each driver
AACSB: Application of Knowledge
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
40) As described in the chapter case, which of the following constitutes a managerial element of
the UPS tracking system?
A) The web-based Post Sales Order Management System
B) The ability to provide package status reports to customers
C) The decision to use automation
D) The implementation of in-house package tracking software
E) The ability to embed UPS functions in external sites
AACSB: Analytical Thinking; Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
13
41) Consider an information system in a moving company that analyzes travel patterns and
decides which routes are the most efficient for every van. The need for employees to follow
procedures to update this system with arrival and departure times would be considered a(n)
________ dimension of the system.
A) organizational
B) managerial
C) people
D) technology
E) cultural
AACSB: Analytical Thinking; Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
42) The culture of UPS places service to the customer among the company's highest business
objectives, which is reflected in their use of information systems to enable customer tracking of
their packages. Based on your reading of Chapter 1, why is "culture" an important factor to
consider when building information system solutions to business problems?
A) Culture is one element that can be radically changed, not always for the better, by new
information systems.
B) Culture affects how information system solutions are implemented and used.
C) Culture is a cauldron of employee perspectives and conflicts, which can be used to improve
business processes.
D) Culture is the driving force behind decision making and innovation.
E) Culture is the basis for organizational politics.
AACSB: Analytical Thinking; Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
43) Which of the following is a global network that uses universal standards to connect millions
of different networks around the world?
A) An extranet
B) The World Wide Web
C) The Internet
D) An intranet
E) Verizon
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
14
44) ________ consists of detailed, preprogrammed instructions that control and coordinate the
computer hardware components in an information system.
A) Software
B) Programming
C) Enterprise applications
D) Business intelligence
E) Data management technology
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
45) ________ is a service provided by the Internet that uses universally accepted standards for
storing, retrieving, formatting, and displaying information in a page format.
A) FTP
B) Email
C) The World Wide Web
D) HTML
E) An extranet
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
46) Information systems consist of all the hardware and software that a firm needs to use in order
to achieve its business objectives.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
47) An extranet is a private intranet extended to authorized users outside the organization.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
15
48) Information systems literacy describes the behavioral approach to information systems, while
computer literacy describes the technical approach.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
49) People, organizations, and information technology are all dimensions of information
systems.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
50) In order to understand how a specific business firm uses information systems, you need to
know something about the history and culture of the company.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
51) Developing a new product, fulfilling an order, and hiring a new employee are all examples of
business processes.
AACSB: Application of Knowledge
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
52) Business processes are those logically related tasks for accomplishing tasks that have been
formally encoded by an organization.
AACSB: Application of Knowledge
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
53) Employee attitudes about their jobs, employers, or technology can have a powerful effect on
their abilities to use information systems productively.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
16
54) A network requires at least three computers and a shared resource.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
55) A firm's IT infrastructure provides the platform on which the firm can build its information
systems.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
56) According to the chapter case, UPS's use of web-based tools that allow customers to embed
UPS functions, such as tracking and cost calculations, into their own websites, was an
information systems solution used to achieve customer intimacy.
AACSB: Analytical Thinking; Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
57) Data is information that has been shaped into a form that is meaningful to human beings.
AACSB: Application of Knowledge
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
58) Feedback is output returned to appropriate members of the organization to help them
evaluate or correct the input stage.
AACSB: Application of Knowledge
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
59) Intranets are private corporate networks extended to authorized users outside the
organization.
AACSB: Information Technology
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
17
60) What important managerial function is impaired by not having access to timely and accurate
information? What is the effect of this lack of data?
AACSB: Analytical Thinking; Information Technology; Written and Oral Communication
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
61) Describe the people dimension of information systems and give an example. Is this
dimension as vital as the technology dimension when considering a technology-based solution to
a business problem?
AACSB: Reflective Thinking; Information Technology; Written and Oral Communication
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
62) You are a marketing manager for a national movie theater chain. Give an example of data
that your department could use for creating meaningful information. What type of information
could that data produce?
AACSB: Application of Knowledge; Information Technology; Written and Oral
Communication
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
18
63) Define business process. What might be a business process used at a hospital?
AACSB: Reflective Thinking; Written and Oral Communication
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
64) What is the difference between information technology and information systems?
AACSB: Application of Knowledge; Written and Oral Communication
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
65) This chapter discusses how each organization has its own culture and sets of values shared
by most of its members. What kind of shared values might you find at a law firm?
AACSB: Analytical Thinking; Written and Oral Communication
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
66) Why is the building of a house an appropriate analogy for the building of an information
system?
AACSB: Analytical Thinking; Written and Oral Communication
LO: 1.2: What exactly is an information system? How does it work? What are its people,
organizational, and technology components?
19
67) A database into which employees manually input customer names and addresses is riddled
with errors and you have been charged with rectifying the situation. In considering the
organizational dimensions of this problem, you should consider:
A) the skill levels of the employees inputting the data.
B) the training given to the employees inputting the data.
C) the business processes in place governing the manual input of the data.
D) the types of automatic error checking provided by the input software.
E) the storage capacity of the database.
AACSB: Application of Knowledge; Information Technology
LO: 1.3: How will a four-step method for business problem solving help you solve information
system-related problems?
68) The first step in the model of business problem solving discussed in the chapter is:
A) interviewing the people involved in the problem.
B) identifying the problem.
C) outlining the problem's causes.
D) assigning the problem to a problem solver.
E) evaluating possible solutions to the problem.
AACSB: Application of Knowledge
LO: 1.3: How will a four-step method for business problem solving help you solve information
system-related problems?
69) Inadequate database capacity is an example of the ________ dimension of business
problems.
A) technology
B) organizational
C) people
D) management
E) cultural
AACSB: Analytical Thinking; Information Technology
LO: 1.3: How will a four-step method for business problem solving help you solve information
system-related problems?
20
70) Legal compliance is an example of the ________ dimension of business problems.
A) management
B) organizational
C) people
D) technology
E) cultural
AACSB: Analytical Thinking
LO: 1.3: How will a four-step method for business problem solving help you solve information
system-related problems?
71) You are a new manager at a plumbing supply manufacturer where there are an unusually
high number of returns for a new aerator used in the production of high-end faucets. In
examining the problem you determine that the primary cause is the improperly designed die cast
for the aerator. Which dimension of a business problem does this reflect?
A) People
B) Technology
C) Management
D) Organizational
E) Cultural
AACSB: Application of Knowledge; Analytical Thinking
LO: 1.3: How will a four-step method for business problem solving help you solve information
system-related problems?
72) Poor business processes are an example of the ________ dimension of business problems.
A) management
B) organizational
C) people
D) infrastructure
E) cultural
AACSB: Analytical Thinking
LO: 1.3: How will a four-step method for business problem solving help you solve information
system-related problems?
