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66) Selling a customer with a checking account a home improvement loan is an example of
A) operational CRM.
B) direct marketing.
C) cross-selling.
D) cross-channel promotions.
67) ________ management is an important capability for customer service processes that is
found in most major CRM software products.
A) Returns
B) Lead
C) Account
D) Events
68) Which of the following is an important capability for sales processes that is found in most
major CRM software products?
A) returns management
B) lead management
C) channel promotions management
D) events management
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
69) Customer relationship management applications dealing with the analysis of customer data
to provide information for improving business performance best describes ________
applications.
A) operational CRM
B) analytical CRM
C) operational SCM
D) analytical SFA
70) Operational CRM applications include tools for
A) identifying buying patterns.
B) calculating CLTV.
C) salesforce automation.
D) pinpointing unprofitable customers.
71) Analytical CRM applications
A) include tools for marketing automation.
B) provide consolidated data for operational CRM applications.
C) are based on data consolidated from operational CRM applications.
D) provide customer-facing applications.
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
72) Analyzing customer buying patterns is an example of
A) CLTV.
B) analytical CRM.
C) operational CRM.
D) demand planning.
73) Which metric is based on the relationship between the revenue produced by a specific
customer, the expenses incurred in acquiring and servicing that customer, and the expected
life of the relationship between the customer and the company?
A) churn rate
B) CLTV
C) cost per lead
D) cost per sale
74) The measurement of the number of customers who stop using or purchasing products or
services from a company is called
A) switching costs.
B) churn rate.
C) CLTV.
D) switch rate.
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
75) Which of the following statements about enterprise applications is not true?
A) Enterprise applications require organizational learning.
B) Enterprise applications introduce “switching costs.”
C) Enterprise applications are based on organization-wide definitions of data.
D) Enterprise applications are best implemented when few changes in business processes
are required.
76) Which of the following is not an example of next-generation enterprise applications?
A) open-source solutions
B) social CRM
C) solutions incorporating SCM
D) solutions incorporating SOA
77) Enterprise application vendors have created ________ to make their own customer
relationship management, supply chain management, and enterprise systems work closely
together with each other.
A) e-business suites
B) ERP systems
C) middleware
D) legacy systems
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
78) The bullwhip effect is countered by
A) globalization.
B) disintermediation.
C) implementing an SCM.
D) reducing information uncertainty.
79) ___________________________ include general ledger, accounts payable, accounts
receivable, fixed assets, cash management and forecasting, product-cost accounting, cost-
centre accounting, asset accounting, tax accounting, credit management, and financial
reporting.
A) Financial and accounting processes
B) Human resources processes
C) Manufacturing and production processes
D) Sales and marketing processes
80) ___________________________ include personnel administration, time accounting,
payroll, personnel planning and development, benefits accounting, applicant tracking, time
management, compensation, workforce planning, performance management, and travel
expense reporting.
A) Financial and accounting processes
B) Human resources processes
C) Manufacturing and production processes
D) Sales and marketing processes
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
81) ___________________________ include procurement, inventory management, purchasing,
shipping, production planning, production scheduling, material requirements planning,
quality control, distribution, transportation execution, and plant and equipment
maintenance.
A) Financial and accounting processes
B) Human resources processes
C) Manufacturing and production processes
D) Sales and marketing processes
82) ___________________________ include order processing, quotations, contracts, product
configuration, pricing, billing, credit checking, incentive and commission management, and
sales planning.
A) Financial and accounting processes
B) Human resources processes
C) Manufacturing and production processes
D) Sales and marketing processes
83) ___________________________ found it had excessively high inventories of its Pampers
disposable diapers at various points along its supply chain because of distorted information.
A) Scott Paper
B) Nabisco
C) Gamble & Procter
D) Procter & Gamble
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
84) _____________________ continuous replenishment system described in is an example of
the pull-based model.
A) Scott Paper’s
B) Nabisco’s
C) Walmart’s
D) Procter & Gamble’s
85) In addition to reducing costs, supply chain management systems help increase sales.
A) decrease sales
B) increase sales
C) increase market share
D) decrease market share
86) Information from CRM systems increases sales revenue by
_______________________________________ for focused marketing and cross-selling.
A) identifying the least expensive customers and segments
B) identifying the most expensive customers and segments
C) identifying the least profitable customers and segments
D) identifying the most profitable customers and segments
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
87) ______________________ is the most successful enterprise-scale software as a service
(SaaS) and the undisputed global leader in cloud-based customer relationship management
(CRM) systems.
A) Salesforce.com
B) Salesleads.com
C) Saleschurn.com
D) Saleseffect.com
88) ______________________ tools enable a business to connect customer conversations and
relationships from social networking sites to CRM processes.
A) Social CRM
B) Twitter CRM
C) Facebook CRM
D) Salesforce CRM
89) ________ systems are based on a suite of software models used to support business
activities across the firm.
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
90) As they move through the ________, raw materials are transformed into finished products
and shipped to retailers and customers.
91) The total time it takes to complete a business process, from start to finish, is called its
________ time.
92) Next-generation enterprise suites use ________ and SOA to link to systems of customers
and suppliers.
93) With new flows of information made possible by Web-based tools, supply chain
management can more easily follow a(n) ________ model.
94) ________ modules in CRM systems help sales staff increase their productivity by focusing
sales efforts on the most profitable customers, those who are good candidates for sales and
services.
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
95) ________ CRM includes customer-facing applications such as tools for sales force
automation, call center and customer service support, and marketing automation.
96) Using social networking tools to converse with customers is called ________.
97) A company having difficulty with timely delivery of parts to its manufacturing plants
should look to implementing a supply chain ________ system.
98) Enterprise application vendors are now including ________ features, such as tools for data
visualization, flexible reporting, and ad-hoc analysis, as part of the application.
99) __________________________ include general ledger, accounts payable, accounts receivable,
fixed assets, cash management and forecasting, product-cost accounting, cost-centre
accounting, asset accounting, tax accounting, credit management, and financial reporting.
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
100) __________________________ refers to the total elapsed time from the beginning to the
end of a process.
101) A firm’s __________________________ is a network of organizations and business
processes for procuring raw materials, transforming these materials into intermediate and
finished products, and distributing the finished products to customers.
102) Nike’s contract suppliers do not _______________________ sneakers from scratch.
103) ___________________________________ manage the flow of products through
distribution centres and warehouses to ensure that products are delivered to the right
locations in the most efficient manner.
104) ___________________________________ supply chains typically span greater geographic
distances and time differences than domestic supply chains and have participants from a
number of different countries.
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
105) ________________________________________ systems, capture and integrate customer
data from all over the organization, consolidate the data, analyze the data, and then
distribute the results to various systems and customer touch points across the enterprise.
106) ________________________________________ software deals with employee issues that
are closely related to CRM, such as setting objectives, employee performance management,
performance-based compensation, and employee training.
107) __________________________ is the marketing of complementary products to customers.
108) Identify and describe three major enterprise applications.
109) Identify at least four benefits and four challenges of enterprise systems.
110) Identify two classifications for supply chain software. For each classification, identify five
capabilities.
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111) What additional complexities are faced in global supply chains? How does the Internet help
in managing global supply chains?
112) Identify two supply chain models. Which is better?
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
113) Identify and describe the two types of customer relationship management applications.
114) Identify five benefits of customer relationship management systems.
115) You have been hired by Santori, Inc., a small company that imports and distributes an
Italian sparkling water. The company is interested in what benefits an enterprise system
would bring. Would an enterprise system be appropriate for this company? What steps
would you take in determining this?
Laudon/Laudon/Brabston, Management Information Systems, Seventh Canadian Edition
116) Plant Away is an Oregon-based retailer and distributor of trees and shrubs. They have
hundreds of smaller nurseries based around the country that grow the plant stock. The
majority of their business is conducted online. Consumers purchase typically small
quantities of products online and Plant Away coordinates the shipping from the most
appropriate nursery. What unique problems might you anticipate they have in their supply
chain? What might remedy these problems?
117) You have been hired by Croydon Visiting Nurse Services, whose business processes are all
manual, paper-based processes. How might a CRM system benefit them?