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Package Title: Test Bank

Course Title: Introduction to IS 6e

Chapter Number: 2

Answers in blue highlight

Question Type: Multiple Choice

  1. Which of the following is NOT a service provided by GrubHub?
  2. 24/7 customer service
  3. Coupons
  4. Recommending healthy options
  5. Restaurant reviews

Answer: C

Difficulty: Medium

Section: Opening Case

Learning Objective: 1, 4

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is NOT a benefit of GrubHub to restaurants?
  2. accurately predicting demand
  3. commission percentage
  4. free tablet
  5. managing orders

Answer: B

Difficulty: Easy

Section: Opening Case

Learning Objective: 1, 4

Bloom: Knowledge

AACSB: Information technology

  1. ______is a competitor of GrubHub.
  2. Amazon
  3. Boost
  4. Eat24
  5. Seamless

Answer: B

Difficulty: Medium

Section: Opening Case

Learning Objective: 1, 4

Bloom: Knowledge

AACSB: Information technology

  1. A competitive advantage refers to any ______that provide an organization with an edge against its ______in some measure such as cost, quality, or speed.
  2. assets; competitors
  3. assets; customers
  4. costs; competitors
  5. costs; customers

Answer: A

Difficulty: Easy

Section: Introduction

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. ______information system can be strategic ______.
  2. Any; because technology always provides an advantage
  3. Any; if it is used properly
  4. No; since everyone has access to technology
  5. No; when it is customized

Answer: A

Difficulty: Easy

Section: Introduction

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is NOT a fundamental element of a business process?
  2. Feedback
  3. Input
  4. Output
  5. Resources

Answer: A

Difficulty: Easy

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. ______are materials, services, and information that flow through and are transformed as a result of process activities.
  2. Inputs
  3. Outputs
  4. Processes
  5. Resources

Answer: A

Difficulty: Easy

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. An order from a customer is a(n) ______for a business process.
  2. Feedback
  3. Input
  4. Output
  5. Resource

Answer: A

Difficulty: Medium

Section: Business Processes

Learning Objective: 1

Bloom: Comprehension, Application

AACSB: Information technology

  1. When a customer receives a product, this is a(n) ______for a business process.
  2. Feedback
  3. Input
  4. Output
  5. Resource

Answer: C

Difficulty: Medium

Section: Business Processes

Learning Objective: 1

Bloom: Comprehension, Application

AACSB: Information technology

  1. The manufacturing equipment a company purchases is a(n) ______for a business process.
  2. Feedback
  3. Input
  4. Output
  5. Resource

Answer: D

Difficulty: Medium

Section: Business Processes

Learning Objective: 1

Bloom: Comprehension, Application

AACSB: Information technology

  1. Which of the following is an example of an efficiency metric?
  2. Good work environment
  3. Helpful customer service
  4. High-quality products
  5. Short customer wait-times

Answer: D

Difficulty: Hard

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Procurement is NOT completed in this functional area:
  2. Accounting
  3. Purchasing
  4. Sales
  5. Warehouse

Answer: C

Difficulty: Easy

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Fulfillment is triggered in the ______department.
  2. Accounting
  3. Purchasing
  4. Sales
  5. Warehouse

Answer: C

Difficulty: Easy

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Information systems do NOT play a vital role in ______.
  2. capturing and storing process data
  3. executing business processes
  4. monitoring process performance
  5. All of the above

Answer: D

Difficulty: Easy

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. RFID tags and bar codes are used in which process?
  2. capturing and storing process data
  3. executing a process
  4. monitoring process performance
  5. all of the above

Answer: A

Difficulty: Medium

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Dashboards are used in which process?
  2. capturing and storing process data
  3. executing a process
  4. monitoring process performance
  5. all of the above

Answer: A

Difficulty: Hard

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge, Application

AACSB: Information technology

  1. NASCAR’s pre-race inspection is a ______.
  2. Business process
  3. Reengineering tool
  4. Response to societal pressure
  5. Strategic advantage

Answer: A

Difficulty: Easy

Section: NASCAR Uses IT in Its Pre-Race Inspection

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is TRUE of NASCAR’s pre-race inspection app?
  2. It makes it easier for race car drivers to ensure their cars pass inspection the first time.
  3. It probably met with little resistance from people who were used to the tedious paper forms.
  4. Officials can annotate violations with digital notes and photographs.
  5. The dashboard makes it easy to quickly enter violations into the system.

Answer: C

Difficulty: Medium

Section: NASCAR Uses IT in Its Pre-Race Inspection

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is NOT a benefit of NASCAR’s pre-race inspection app?
  2. It makes it easier for race car drivers to ensure their cars pass inspection the first time.
  3. NASCAR executives can identify trends and patterns to help maintain a level playing field for all racers.
  4. NASCAR officials can drill down on any vehicle to review details about any pending issues.
  5. The pre-race inspection process has been simplified.

Answer: A

Difficulty: Easy

Section: NASCAR Uses IT in Its Pre-Race Inspection

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. ______is the result of optimizing the design, development, and production processes.
  2. Cost reduction
  3. Differentiation
  4. Productivity
  5. Quality

Answer: D

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. ______is the result of optimizing operations and supplier processes.
  2. Cost reduction
  3. Differentiation
  4. Productivity
  5. Quality

Answer: A

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. ______is the result of optimizing the marketing and innovation processes.
  2. Cost reduction
  3. Differentiation
  4. Productivity
  5. Quality

Answer: B

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. ______is a methodology for achieving incremental improvements in the effectiveness and efficiency of a process.
  2. BPI
  3. BPM
  4. BPR
  5. BPS

Answer: A

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. ______is the most difficult, radical, lengthy, and comprehensive strategy.
  2. BPI
  3. BPM
  4. BPR
  5. BPS

Answer: C

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. Six Sigma is a popular ______methodology.
  2. BPI
  3. BPM
  4. BPR
  5. BPS

Answer: A

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. The ______stage in BPI is characterized by establishing process metrics and monitoring the improved processes.
  2. Analysis
  3. Control
  4. Improve
  5. Measure

Answer: B

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. Chevron employed ______to provided detailed work instructions to its employees.
  2. Lean Six Sigma
  3. Nimbus
  4. SAP
  5. Six Sigma

Answer: B

Difficulty: Medium

Section: IT’s About Business: BPR, BPI, and BPM at Chevron

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. Chevron initially utilized ______to improve their supply chain, followed by employee-driven ______initiatives, and then adopted a unified _____ approach to standardize business processes.
  2. BPI, BPM, BPR
  3. BPM, BPI, BPR
  4. BPR, BPI, BPM
  5. BPS, BPR, BPM

Answer: C

Difficulty: Easy

Section: IT’s About Business: BPR, BPI, and BPM at Chevron

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. Chevron has used ______, a methodology that combines statistical process analysis with techniques to eliminate waste and improve process flow, since 2006.
  2. Lean Six Sigma
  3. Nimbus
  4. SAP
  5. Six Sigma

Answer: A

Difficulty: Medium

Section: IT’s About Business: BPR, BPI, and BPM at Chevron

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is a type of societal/political/legal pressure?
  2. Carbon management
  3. Globalization
  4. Innovation
  5. Powerful customers

Answer: A

Difficulty: Easy

Section: Business Pressures, Organizational Responses, and Information Technology Support

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. Sarbanes-Oxley is an example of ______
  2. a government regulation
  3. customer focus
  4. an ethical issue
  5. our social responsibility

Answer: A

Difficulty: Easy

Section: Business Pressures, Organizational Responses, and Information Technology Support

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. Palantir is NOT primarily used for ______.
  2. detecting fraud
  3. identifying patterns
  4. pricing mortgages
  5. privacy protection

Answer: D

Difficulty: Hard

Section: Business Pressures, Organizational Responses, and Information Technology Support

Learning Objective: 3

Bloom: Comprehension

AACSB: Information technology

  1. BYOD stands for
  2. Be Your Online Discussion
  3. Be Your Own Deadline
  4. Bring Your Online Decision
  5. Bring Your Own Device

Answer: D

Difficulty: Easy

Section: Business Pressures, Organizational Responses, and Information Technology Support

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is a problem with BYOD?
  2. Cost
  3. Productivity
  4. Satisfaction
  5. Security

Answer: D

Difficulty: Medium

Section: Business Pressures, Organizational Responses, and Information Technology Support

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. Banks have a lot of competition locally in addition to competing with online banks. This concept applies to ______.
  2. Bargaining power of buyers
  3. Bargaining power of suppliers
  4. Threat of entry of new competitors
  5. Threat of substitute products or services

Answer: A

Difficulty: Hard

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Application

AACSB: Information technology

  1. The web ______buyer power.
  2. decreases
  3. increases
  4. has no impact on
  5. has a mixed impact on

Answer: D

Difficulty: Medium

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Application

AACSB: Information technology

  1. Which of the following is a support activity in Porter’s value chain model?
  2. Customer service
  3. Human resource management
  4. Logistics
  5. Operations

Answer: B

Difficulty: Medium

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Application

AACSB: Information technology

  1. WalMart has a(n) ______strategy.
  2. Cost leadership
  3. Customer orientation
  4. Differentiation
  5. Innovation

Answer: A

Difficulty: Easy

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is TRUE?
  2. Alignment within a single organization is fairly easy.
  3. Businesses can utilize enterprise architectures to foster alignment.
  4. Most organizations are able to achieve alignment.
  5. Most IT and business executives agree on their level of alignment.

Answer: B

Difficulty: Easy

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is NOT a characteristic of alignment?
  2. Organizations rotate business and IT professionals across departments and job functions
  3. Organizations create a vibrant and inclusive company culture
  4. Organizations view their IT department employees as supremely important
  5. Organizations provide overarching goals that are completely clear to each IT and business employee

Answer: C

Difficulty: Easy

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. The OLPC’s experiment with solar-powered tablets took place in ______.
  2. Bangladesh
  3. Ethiopia
  4. Rural US communities
  5. Uganda

Answer: B

Difficulty: Easy

Section: IT’s About Business: Solar-Powered Tablets in Ethiopia

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. The OLPC’s experiment with solar-powered tablets in Ethiopia ______.
  2. showed some promise of being successful
  3. showed very little promise of being successful
  4. was a major failure
  5. was a major success

Answer: D

Difficulty: Easy

Section: IT’s About Business: Solar-Powered Tablets in Ethiopia

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. The goal of OLPC’s experiment with solar-powered tablets in Ethiopia was to ____.
  2. improve literacy in children
  3. reduce the digital divide
  4. see if under-developed countries could use technology
  5. test alternatives to battery power

Answer: A

Difficulty: Easy

Section: IT’s About Business: Solar-Powered Tablets in Ethiopia

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. The Weather Channel is a powerful and well-known brand that is ______viewers.
  2. gaining
  3. losing
  4. maintaining
  5. training

Answer: B

Difficulty: Easy

Section: IT’s About Business: The Weather Channel

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. Which of the following is NOT a reason The Weather Channel is losing customers?
  2. Mobile devices are now the primary source of weather information.
  3. People prefer highly accurate short-term weather predictions rather than semi-reliable five-day forecasts.
  4. They don’t have a mobile app.
  5. They show too many reality TV shows.

Answer: C

Difficulty: Medium

Section: IT’s About Business: The Weather Channel

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. ______is NOT one of The Weather Channel’s main competitors.
  2. Dark Sky
  3. Sky Motion
  4. WeatherSphere
  5. Wunderground

Answer: D

Difficulty: Easy

Section: IT’s About Business: The Weather Channel

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. Startups like Dark Sky can predict to the minute when it is going to start raining or snowing within the next hour because they ______.
  2. are magicians and psychics
  3. hired superior weather forecasters with PhDs
  4. integrate and analyze data to improve short-term forecasting
  5. really understand the weather better than anybody else

Answer: C

Difficulty: Easy

Section: IT’s About Business: The Weather Channel

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. IBM’s Watson ______.
  2. can process structured and unstructured content
  3. can diagnose diseases and recommend treatment
  4. won Jeopardy!
  5. All of the above

Answer: D

Difficulty: Easy

Section: Closing Case

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. IBM’s Watson ______Jeopardy!.
  2. lost to Ken Jennings on
  3. was able to access Wikipedia while on
  4. won $1 million on
  5. none of the above

Answer: C

Difficulty: Easy

Section: Closing Case

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. IBM’s Watson is a(n) ______.
  2. Dashboard
  3. ERP system
  4. Expert system
  5. FAIS

Answer: C

Difficulty: Hard

Section: Closing Case

Learning Objective: 1

Bloom: Application

AACSB: Information technology

  1. IBM’s Watson is used in which of the following industries?
  2. Agriculture
  3. Energy
  4. Healthcare
  5. Retail

Answer: C

Difficulty: Easy

Section: Closing Case

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

Question Type: True/False

  1. Effectiveness focuses on doing the right things.

Answer: True

Difficulty: Medium

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Organizations adopt BPI to sustain BPM over time.

Answer: False

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. Chevron’s strategy was to analyze its existing processes to identify specific areas to improve.

Answer: False

Difficulty: Easy

Section: IT’s About Business: BPR, BPI, and BPM at Chevron

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. In mass production, a company produces a large quantity of items that are customized to individual customers.

Answer: False

Difficulty: Easy

Section: Business Pressures, Organizational Responses, and Information Technology Support

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. The bargaining power of buyers is low when buyers have many choices and high when buyers have few choices.

Answer: False

Difficulty: Easy

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. Alignment often fails because business and IT managers have different objectives.

Answer: True

Difficulty: Easy

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. “Organizations promote business and IT professionals within their departments so they become the experts in their functional area” is NOT a characteristic of excellent alignment.

Answer: True

Difficulty: Medium

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

Question Type: Fill-in-the-Blank

  1. ______are the people and equipment that perform process activities.

Answer: Resources

Difficulty: Easy

Section: Business Processes

Learning Objective: 1

Bloom: Knowledge

AACSB: Information technology

  1. Business process______is a management system that includes methods and tools to support the design, analysis, implementation, management, and continuous optimization of core business processes throughout the organization.

Answer: management

Difficulty: Easy

Section: Business Process Reengineering, Business Process Improvement, and Business Process Management

Learning Objective: 2

Bloom: Knowledge

AACSB: Information technology

  1. ______relationship management is an organization-wide effort toward maximizing the customer experience.

Answer: Customer

Difficulty: Easy

Section: Business Pressures, Organizational Responses, and Information Technology Support

Learning Objective: 3

Bloom: Knowledge

AACSB: Information technology

  1. Strategic information systems provide a ______by helping an organization implement its strategic goals and improve its performance and productivity.

Answer: competitive advantage

Difficulty: Easy

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

  1. Business-information technology alignment is the tight integration of the ______with the organization’s strategy, mission, and goals.

Answer: IT function

Difficulty: Easy

Section: Competitive Advantage and Strategic Information Systems

Learning Objective: 4

Bloom: Knowledge

AACSB: Information technology

Question Type: Essay

  1. In what three areas do information systems play a vital role? For each area, where is the information system involved? Describe a business example for each area.

Answer:

1)Executing the process

  1. Embedded/intertwined; Process fails without system working
  2. Example – if the system is down, the company can’t take orders

2)Capturing and storing process data

  1. Sometimes happens inside the system but sometimes has to be entered into it
  2. Example – analytics, decision-making systems

3)Monitoring process performance

  1. Instance level (specific task) or process level (the whole process); evaluation
  2. Example – making sure everything is running smoothly (dashboards)

Difficulty: Medium