Exam
Name___________________________________
1. Enrolling employees in benefits plans is a business process handled by the finance and accounting function.
2. Operational management is responsible for directing the day–to–day operations of the business and therefore
needs transaction–level information.
3. Functional systems that support business processes within a single functional group, such as human
resources, are being phased out in favor of cross–functional systems.
4. Transaction processing systems are most commonly used by the senior management level of an organization.
5. In social business, firms use social networks for coordinating production tasks.
6. A transaction processing system is a computerized system that performs and records the daily routine
transactions necessary to conduct business.
7. A hotel reservation system is a typical example of a management information system.
8. You would use an MIS to help decide whether to introduce a new product line.
9. Management information systems typically support nonroutine decision making.
10. Most MISs use sophisticated mathematical models or statistical techniques.
11. Decision–support systems help managers make decisions that are unique, rapidly changing, and not easily
specified in advance.
12. Decision–support systems use internal information as well as information from external sources.
13. Shipping a product to a customer is an example of a business process.
14. ESSs draw summarized information from internal MIS and DSS.
15. ESSs are designed primarily to solve specific problems.
16. MIS job growth is projected to be 50% greater than other jobs in the next five years.
17. Enterprise systems often include transactions with customers and vendors.
18. Supply chain management systems are more externally oriented than enterprise systems.
19. A Skype conference call using VOIP and webcams is an example of a remote, synchronous collaboration tool.
20. Synchronous collaboration tools allow global firms to collaborate from different locations at the same time.
21. Identifying customers is a responsibility of the ________ function.
A) sales and marketing
B) manufacturing and production
C) human resources
D) finance and accounting
22. Producing bills of materials is a business process within the ________ function.
A) human resources
B) finance and accounting
C) manufacturing and production
D) sales and marketing
23. Which of the following is an example of a cross–functional business process?
A) paying creditors
B) creating a new product
C) assembling a product
D) identifying customers
24. Which type of system would you use to change a production schedule if a key supplier was late in delivering
goods?
A) ESS
B) MIS
C) TPS
D) DSS
25. You have been hired by a worldwide non–profit agency to implement a system to handle their donations.
The system must be able to handle and record telephone, sms, and Internet donations, provide up–to–the–
minute reports, and create highly customizable mailing lists. In addition, event fundraisers need to be able to
quickly access a donor’s information and history. Which of the following systems will best meet these needs?
A) TPS with ESS capabilities
B) TPS with DSS capabilities
C) TPS with MIS capabilities
D) TPS
26. To monitor the status of internal operations and the firm’s relations with the external environment, managers
need ________ systems.
A) knowledge
B) management information
C) transaction processing
D) decision–support
27. Which systems are typically a major source of data for other systems?
A) decision–support systems
B) management information systems
C) executive support systems
D) transaction processing systems
28. The term “management information systems” designates a specific category of information systems serving
A) integrated data processing throughout the firm.
B) transaction process reporting.
C) middle management functions.
D) employees with online access to historical records.
29. Which type of system would you use to determine the five suppliers with the worst record in delivering
goods on time?
A) DSS
B) TPS
C) MIS
D) ESS
30. A relocation control system that reports summaries on the total moving, house hunting, and home financing
costs for employees in all company divisions would fall into the category of
A) executive support systems.
B) knowledge management systems.
C) transaction processing systems.
D) management information systems.
31. Non–typical business problems with causes and effects that are rapidly changing are typically handled by
which type of information system?
A) DSS
B) TPS
C) MIS
D) ESS
32. ________ systems are especially suited to situations in which the procedure for arriving at a solution may not
be fully defined in advance.
A) Management information
B) Knowledge management
C) Transaction processing
D) Decision–support
33. Which type of system would you use to forecast the return on investment if you used new suppliers with
better delivery track records?
A) MIS
B) ESS
C) TPS
D) DSS
34. ESS are specifically designed to serve which level of the organization?
A) senior management
B) middle management
C) end–user
D) operational
35. Executive support systems are information systems that support the
A) knowledge and data workers in an organization.
B) day–to–day processes of production.
C) decision making and administrative activities of middle managers.
D) long–range planning activities of senior management.
36. Which systems often deliver information to senior executives through a portal, which uses a Web interface to
present integrated personalized business content?
A) transaction processing systems
B) management information systems
C) executive support systems
D) decision–support systems
37. Which type of system would you use to determine what trends in your supplier’s industry will affect your
firm the most in five years?
A) DSS
B) TPS
C) ESS
D) MIS
38. What is the most important function of an enterprise application?
A) increasing speed of communicating
B) enabling a company to work collaboratively with customers and suppliers
C) enabling cost–effective e–business processes
D) enabling business functions and departments to share information
39. ________ are designed to support organization–wide process coordination and integration.
A) Management information systems
B) Enterprise applications
C) Decision–support systems
D) CRM systems
40. A(n) ________ system collects data from various key business processes and stores the data in a single,
comprehensive data repository, usable by other parts of the business.
A) automatic reporting
B) transaction
C) enterprise
D) management information
41. The four major enterprise applications are
A) enterprise systems, SCMs, CRMs, and KMSs.
B) enterprise systems, SCMs, DSSs, and CRMs.
C) SCMs, CRMs, DSSs, and KMSs.
D) SCMs, CRMs, ESSs, and KMSs.
42. Enterprise systems are also known as ________ systems.
A) resource planning
B) enterprise support
C) management information
D) enterprise resource planning
43. An example of a highly structured decision is
A) creating a new product.
B) calculating the best trucking routes for product delivery.
C) estimating the effect of changing costs of supply materials.
D) granting credit to a customer.
44. Telus’s use of SharePoint for team sites is an example of using information systems to achieve which
business objective?
A) operational excellence
B) customer and supplier intimacy
C) survival
D) improved decision making
45. Enabling management to make better decisions regarding organizing and scheduling sourcing, production,
and distribution is a central feature of
A) ERPs.
B) KMSs.
C) SCMs.
D) TPSs.
46. ________ systems integrate supplier, manufacturer, distributor, and customer logistics processes.
A) Supply–chain management
B) Reverse logistics
C) Collaborative distribution
D) Enterprise planning
47. ________ systems are designed to help firms manage their relationships with their customers.
A) CRM
B) CLU
C) CLE
D) MIS
48. You are planning the launch of your new company, an application service provider that provides an online
timesheet and project tracking application. To best communicate with and manage your relationship with
your users, you would want to implement a(n)
A) CMS.
B) extranet.
C) KMS.
D) intranet.
49. Which types of systems consolidate the relevant knowledge and experience in the firm to make it available to
improve business processes and management decision making?
A) extranets
B) CRM
C) KMS
D) TPS
50. You work for a highly successful advertiser that is just about to expand nationally. Of utmost importance
will be finding a way to store and disseminate their clients’ continually updated branding guides, which
include multiple image files and text documents, to all of the firm’s branches. What system will best serve
these needs?
A) a TPS with KMS capabilities
B) an extranet with KMS capabilities
C) an intranet with KMS capabilities
D) a CRM
51. You have been hired by Inspiration Inc., to help improve their profit margin. Inspiration Inc. is a business
communications consultancy that services many clients in different industries throughout the United States.
The end products of the company are customized recommendations for the best use of a client’s existing
resources for improving internal communications, typically delivered via documentation in different media.
The company has approximately 100 consultants, all of whom are located in their central headquarters in
Chicago. What system do you recommend to improve the company’s business processes and increase their
profit margin?
A) extranet, to enable quick collaboration over the Internet, minimize the time spent communicating with
the client, and minimize the amount of paperwork needed
B) marketing system, for improving sales levels
C) KMS, for minimizing redundant work on similar clients
D) CRM, to maintain easily accessible customer records to minimize the time spent looking for client data
52. You manage the IT department at a small startup Internet advertiser. You need to set up an inexpensive
system that allows customers to see real–time statistics such as views and click–throughs about their current
banner ads. Which type of system will most efficiently provide a solution?
A) enterprise system
B) extranet
C) intranet
D) CRM
53. Which of the following types of system helps coordinate the flow of information between the firm and its
suppliers and customers?
A) extranet
B) TPS
C) intranet
D) KMS
54. E–government refers to the application of ________ to digitally enable government and public sector
agencies’ relationships with citizens, businesses, and other arms of government.
A) any computerized technology
B) e–business
C) e–commerce
D) the Internet and networking technologies
55. Buying or selling goods over the Internet is called
A) an extranet.
B) e–business.
C) e–commerce.
D) an intranet.
56. The use of digital technology and the Internet to execute the major business processes in the enterprise is
called
A) MIS.
B) enterprise applications.
C) e–business.
D) e–commerce.
57. Which of the following statements about collaboration is not true?
A) Successful collaboration can be achieved through technology regardless of the organization’s culture or
structure.
B) One business benefit of collaboration is improved innovation.
C) In business, a collaboration can last as little as a few minutes.
D) Business collaboration relies on the formation of teams that are assigned a specific task or goal.