Management Information Systems 9E 1

Chapter 1

Introduction to Information Systems

Mini Quiz

1. / Mainframe computers are typically large, centrally controlled computers found in large organizations.
Answer: True Page Reference: 4
2. / The computer processor manages all of the following except:
a.  the input and output devices.
b.  the random access memory.
c.  the data storage devices.
d.  the operations on the data.
Answer: b Page Reference: 7
3. / The cloud on the horizon of wireless communications is the cost.
Answer: False Page Reference: 8
4. / Describe the difference between the physical system and the conceptual system of the firm.
Answer: The physical system of the firm consists of tangible resources—materials, personnel, machines, and money. The conceptual system consists of the information resources that are used to represent the physical system. Page Reference: 8
5. / The first computer-based systems were called:
a.  management information systems.
b.  decision support systems.
c.  electronic data processing systems.
d.  executive information systems.
Answer: c Page Reference: 9
6. / The key for defining information is that it is meaningful.
Answer: True Page Reference: 10
7. / What types of reports can be produced using report-writing software?
Answer: Periodic reports and special or ad hoc reports. Page Reference: 11
8. / Which level of management are department heads and supervisors?
a.  strategic planning level
b.  management control level
c.  tactical process level
d.  operational control level
Answer: d Page Reference: 14
9. / Which activity makes the difference between a successful and unsuccessful manager?
a.  problem solving
b.  organizing
c.  managing projects
d.  communicating
Answer: a Page Reference: 16
10. / Silicon transistor technology is expected to reach a physical barrier in the next decade or two.
Answer: True Page Reference: 19

True-False Questions

1. / The ENIAC computer was developed in 1946 by Mauchly and Eckert.
Answer: True Page Reference: 4
2. / The UNIVAC I was installed first at General Electric then at the U. S. Census Bureau.
Answer: False Page Reference: 4
3. / IBM revolutionized the computer industry by introducing the first line of mainframe computers.
Answer: False Page Reference: 4
4. / With multitasking, it appears that more than one user is working on the computer at the same time.
Answer: True Page Reference: 4
5. / Employees who have a full-time responsibility for developing and operating information systems are referred to as computer operators.
Answer: False Page Reference: 5
6. / Minicomputers were designed to handle the processing of small organizations at an affordable cost.
Answer: True Page Reference: 5
7. / IBM introduced the first minicomputer called the Personal Computer.
Answer: False Page Reference: 5
8. / Moore’s Law refers to the doubling of computer power every 18 months.
Answer: True Page Reference: 6
9. / A modem is used to modulate digital signals into analog signals.
Answer: True Page Reference: 8
10. / An open system interacts with its environment by means of conceptual resource flows.
Answer: False Page Reference: 9
11. / A closed system is of no value to developers of information systems.
Answer: True Page Reference: 9
12. / Data consists of facts and figures that are generally unusable.
Answer: True Page Reference: 9
13. / The processing of a firm’s data is referred to as a transaction processing system.
Answer: True Page Reference: 9
14. / Management information systems make information available to managers with different needs.
Answer: False Page Reference: 10
15. / Report-writing software can produce ad hoc reports.
Answer: True Page Reference: 11
16. / Mathematical models produce reports based on the firm’s actual business operations.
Answer: False Page Reference: 11
17. / The acronym IOS stands for information organizational system.
Answer: False Page Reference: 11
18. / Word processing began the use of electronics to facilitate communication.
Answer: True Page Reference: 12
19. / The virtual office concept refers to the performance of office activities regardless of physical location.
Answer: True Page Reference: 12
20. / Decision support systems are designed to assist a single manager in solving a particular problem.
Answer: True Page Reference: 12
21. / Group decision support systems are facilitated by means of word processing software.
Answer: False Page Reference: 12
22. / Artificial intelligence provides computers with the ability to mimic human behavior.
Answer: True Page Reference: 12
23. / ERPs support the individual processing of each business area of the firm.
Answer: False Page Reference: 13
24. / SAP is a large multinational company based in China that is the largest vendor of ERP software.
Answer: False Page Reference: 14
25. / The president and vice-presidents of a company are on the strategic planning level of the organizational hierarchy.
Answer: True Page Reference: 14
26. / Marketing, manufacturing, and finance are three traditional business areas of the firm.
Answer: True Page Reference: 15
27. / Henry Mintzberg recognized that managers perform five major management functions.
Answer: False Page Reference: 16
28. / Henry Mintzberg identified the managerial roles that managers play involve interpersonal, informational, decisional, and organizational activities.
Answer: False Page Reference: 16
29. / A problem can be potentially harmful or potentially beneficial to a firm.
Answer: True Page Reference: 16
30. / Intelligence, design, choice, and review activities are the four phases that problem solvers engage in.
Answer: True Page Reference: 17

Multiple Choice Questions

31. / Which computer was developed by Mauchly and Eckert?
a.  MARK I
b.  ENIAC
c.  UNIVAC I
d.  UNIVAC II
Answer: b Page Reference: 4
32. / Which computer was the first widely marketed universal automatic computer?
a. MARK I
b. ENIAC
c.  UNIVAC I
d.  UNIVAC II
Answer: c Page Reference: 4
33. / The computer that is centrally located and typically found in large organizations is the:
a.  mainframe.
b.  minicomputer.
c.  microcomputer.
d.  supercomputer.
Answer: a Page Reference: 4
34. / Which statement regarding the IBM System/360 line of computers is false?
a.  IBM revolutionized the computer industry with the line.
b.  These were the first computers with the ability to multitask.
c.  The System/360 line of computers was easily affordable.
d.  IBM became the industry leader.
Answer: c Page Reference: 4
35. / All of the following are considered information specialists except:
a.  database administrators.
b.  data entry clerks.
c.  programmers.
d.  webmasters.
Answer: b Page Reference: 5
36. / The computer that has the ability to handle the processing of small organizations at a more affordable cost is the:
a.  mainframe.
b.  minicomputer.
c.  microcomputer.
d.  supercomputer.
Answer: b Page Reference: 5
37. / The computer that was seen as a one that could be owned and operated by an individual is the:
a.  mainframe.
b.  minicomputer.
c.  microcomputer.
d.  supercomputer.
Answer: c Page Reference: 5
38. / By 1982, which computer company had not entered the personal computer market?
a.  Apple
b.  Hewlett Packard
c.  IBM
d.  Tandy
Answer: b Page Reference: 5
39. / The doubling of computer power every 18 months is referred to as:
a.  Moore’s Law.
b.  Intel’s Law.
c.  Murphy’s Law.
d.  Newton’s Law.
Answer: a Page Reference: 6
40. / The temporary storage for a computer is:
a.  CD-ROM.
b.  floppy disk.
c.  hard disk.
d.  RAM.
Answer: d Page Reference: 7
41. / Which of the following is not considered permanent data storage?
a.  CD-ROM
b.  Floppy disk
c.  Hard disk
d.  RAM
Answer: d Page Reference: 7
42. / Which of the following is a true statement regarding wireless communications?
a.  Wireless is expensive.
b.  Wireless is difficult to install.
c.  Security is a cloud on the horizon.
d.  Firewall hardware is expensive.
Answer: c Page Reference: 8
43. / Which of the following is not a tangible resource for the firm?
a.  Information
b.  Materials
c.  Personnel
d.  Machines
Answer: a Page Reference: 8
44. / Which resource is part of the conceptual system for the firm?
a.  Money
b.  Information
c.  Materials
d.  Machines
Answer: b Page Reference: 8
45. / Which system does not process the firm’s data?
a.  Accounting information system
b.  Electronic data processing system
c.  Management information system
d.  Transaction processing system
Answer: c Page Reference: 9
46. / Which is a false statement regarding the development of today’s management information systems?
a.  It looked like developing an MIS would be easy.
b.  Managers knew nothing about how computers worked.
c.  Managers were able to articulate exactly what they needed to information specialists.
d.  Information specialists new little about management.
Answer: c Page Reference: 10
47. / A computer-based system that makes information available to users with similar needs is a(n):
a.  accounting information system.
b.  decision support system.
c.  group decision support system.
d.  management information system.
Answer: d Page Reference: 10
48. / Reports that are prepared according to a schedule are called:
a.  ad hoc reports.
b.  perpetual reports.
c.  periodic reports.
d.  special reports.
Answer: c Page Reference: 11
49. / Reports that are prepared in response to unanticipated information needs are called:
a.  accounting reports.
b.  perpetual reports.
c.  periodic reports.
d.  special reports.
Answer: d Page Reference: 11
50. / What type of system is formed when the environment becomes involved when the firm interacts with such other organizations as suppliers?
a.  Interorganizational information system
b.  Open system
c.  Conceptual system
d.  Organizational information system
Answer: a Page Reference: 11
51. / Personal productivity systems include all of the following except:
a.  electronic mail.
b.  electronic calendaring.
c.  groupware.
d.  voice mail.
Answer: c Page Reference: 12
52. / The application that began office automation was:
a.  electronic mail.
b.  word processing.
c.  spreadsheets.
d.  presentations.
Answer: b Page Reference: 12
53. / A system that is developed to assist a single manager or small group of managers solve a single problem is referred to as a:
a.  group decision support system.
b.  management information system.
c.  transaction processing system.
d.  decision support system.
Answer: d Page Reference: 12
54. / A computer-based system that enables the management of all of the firm’s resources on an organization-wide basis is referred to as a(n):
a.  enterprise resource planning system.
b.  management information system.
c.  group decision support system.
d.  transaction processing system.
Answer: a Page Reference: 13
55. / Which management level includes regional managers, product directors, and division heads?
a.  Strategic planning level
b.  Management control level
c.  Operational control level
d.  Office planning level
Answer: b Page Reference: 14
56. / Which of the following is not one of the five major management functions outlined by Henri Fayol?
a.  Controlling
b.  Directing
c.  Leading
d.  Staffing
Answer: c Page Reference: 16
57. / Which of the following statements is false regarding problems?
a.  A problem is a condition or event that is harmful or potentially harmful to a firm.
b.  A problem is beneficial or potentially beneficial in a positive way.
c.  A problem is always bad.
d.  The outcome of a problem-solving activity is a solution.
Answer: c Page Reference: 16
58. / According to Simon, which is not an activity problem solvers engage in?
a.  Intelligence
b.  Alternatives
c.  Choice
d.  Review
Answer: b Page Reference: 17
59. / According to Simon, which problem solving activity is defined as inventing, developing, and analyzing possible courses of action?
a.  Intelligence
b.  Alternatives
c.  Design
d.  Choice
Answer: c Page Reference: 17
60. / Which technology company is close to perfecting a digital pen?
a.  IBM
b.  Intel
c.  Canesta, Inc.
d.  Logitech
Answer: d Page Reference: 18

Essay Questions

61. / Explain the differences between mainframe, mini, and personal computers.
Answer: Mainframe computers are large, centrally located computers typically found in large organizations whereas minicomputers are smaller and less powerful. Minis have the ability to handle the processing of small organizations and are less expensive then mainframes. Personal computers are small, relatively inexpensive computers that can be used for both business and personal applications. Page Reference: 4
62. / What are the three levels of management and who participates in each of the levels?
Answer: The highest level of management is the strategic planning level which consists of presidents and vice-presidents. The middle-level managers are at the management control level. These managers include regional managers, product directors, and division heads. The operational control level of management includes department heads, supervisors, and project leaders. This is the lowest level of management. Page Reference: 14
63. / What are the five major management functions as defined by Henri Fayol?
Answer: Planning, organizing, staffing, directing, and controlling. Page Reference: 16
64. / Identify and discuss the managerial roles that managers play.
Answer: Within the interpersonal roles, managers act as figureheads and liaisons. When a manager is acting in the informational role s/he is a monitor, disseminator, and spokesperson. The third role is decisional. In this role managers are entrepreneurs, disturbance handlers, resource allocators, and negotiators. Page Reference: 17
65. / Identify and define, in correct order, the four basic phases of problem solving defined by Herbert A. Simon.
Answer: When engaging in the intelligence activity the problem solver searches the environment for conditions calling for a solution. The design activity involves inventing, developing, and analyzing possible courses of action. The third activity is choice. This means the problem solver will select a particular course of action from the alternatives. Lastly, is review. This involves assessing past choices. Page Reference: 17