

Information Systems for Managers Exam Practice Tests
Course Introduction
Information Systems for Managers introduces students to the fundamental concepts, technologies, and strategic importance of information systems in modern organizations. This course explores how managers use information systems to improve decision-making, streamline operations, and gain a competitive advantage. Topics include information system components, management of IT resources, systems development processes, data management, information security, ethical and legal issues, and the impact of emerging technologies. Through real-world case studies and hands-on exercises, students develop the skills necessary to analyze, design, and implement effective information systems solutions aligned with organizational objectives.
Recommended Textbook
Business Driven Technology 5th Edition by Paige
Baltzan
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Page 2

Chapter 1: Business Driven Technology
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Sample Questions
Q1) How are the majority of companies today typically organized?
A) By departments or functional areas.
B) By departments or financial areas.
C) By degree or financial areas.
D) All of these.
Answer: A
Q2) The __________ department tracks strategic financial issues,including money,banking,credit,investments,and assets.
Answer: Finance
Q3) A ____________ is the confirmation or validation of an event or object.
Answer: Fact
Q4) A __________ is a collection of parts that link to achieve a common purpose. Answer: System
Q5) Top managers use __________ intelligence to define the future of the business,analyzing markets,industries,and economies.
Answer: Business
Q6) Information technology is a field concerned with the use of technology in managing and processing ________________________.
Answer: Information
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Chapter 2: Identifying Competitive Advantages
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Sample Questions
Q1) Buyer power is the ability of buyers to affect the price they must pay for an item.
A)True
B)False
Answer: True
Q2) A __________ advantage features a product or service on which customers place a greater value than they do on similar offerings from competitors.
A) Competitive
B) Competitor
C) Power
D) First-mover
Answer: A
Q3) Identifying competitive advantages can be difficult and explains why they are typically _______.
A) Temporary.
B) Satisfactory.
C) Terminated.
D) Unsuccessful.
Answer: A
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Chapter 3: Strategic Initiatives for Implementing Competitive Advantages
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Sample Questions
Q1) List and describe the four components of supply chain management.
Answer: (1)Supply chain strategy is the strategy for managing all the resources required to meet customer demand for all products and services.
(2)Supply chain partners are the partners chosen to deliver finished products,raw materials,and services,including pricing,delivery,and payment processes,along with partner relationship monitoring metrics.
(3)Supply chain operation is the schedule for production activities,including testing,packaging,and preparation for delivery.
(4)Supply chain logistics is the product delivery processes and elements,including orders,warehouses,carriers,defective product returns,and invoicing.
Q2) Which type of system did Saab implement to gain a competitive advantage?
A) SCM
B) CRM
C) BPR
D) ERP
Answer: B
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5

Chapter 4: Measuring the Success of Strategic Initiatives
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Sample Questions
Q1) The balanced scorecard views the organization from four perspectives,and users should develop metrics,collect data,and analyze their business relative to each of these perspectives.Which of the following is not one of the four perspectives in the balanced scorecard?
A) The leading perspective
B) The internal business process perspective
C) The customer perspective
D) The financial perspective
Q2) ________ are baseline values the system seeks to attain.
Q3) What is a count of the number of people who visit one site and click on an advertisement that takes them to the site of the advertiser?
A) Click-through
B) Cookie
C) Banner ad
D) Interactivity
Q4) _________ is the percentage of potential customers who visit a site and actually buy something.
Q5) _________ focuses on the extent to which an organization is using its resources in an optimal way.
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Chapter 5: Organizational Structures That Support
Strategic Initiatives
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Sample Questions
Q1) Broad functions of a CIO include all of the following except:
A) Ensuring the delivery of all IT projects, on time and within budget.
B) Ensuring that the strategic vision of IT is in line with the strategic vision of the organization.
C) Building and maintaining strong executive relationships.
D) Building and maintaining strong customer processes.
Q2) Which issue concerns CIOs the most?
A) Security.
B) Budgeting.
C) Enhancing customer satisfaction.
D) Marketing.
Q3) Ethics are the laws that guide our behavior toward other people.
A)True
B)False
Q4) List and describe the four common IT-related strategic positions.
Q5) What is intangible creative work that is embodied in physical form?
A) Intellectual property
B) Copyright
C) Pirated software
D) Fair use doctrine
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Chapter 6: Valuing Organizational Information
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Sample Questions
Q1) List,describe,and provide an example of each of the five characteristics of high-quality information.
Q2) Which of the following represents the different information formats?
A) Detail, summary, aggregate
B) Document, presentation, spreadsheet, database
C) Individual, department, enterprise
D) None of these
Q3) Detail,summary,and _________ are the typical information granularities.
Q4) Timely information must be up-to-the-second to be accurate.
A)True
B)False
Q5) Which of the following is an example of transactional information?
A) Trend projection
B) Sales projection
C) Purchasing stock
D) All of these
Q6) The ________ characteristic of high-quality information ensures that each transaction,entity,and event is represented only once.
Q7) List the four primary sources of low-quality information.
Page 8
Q8) Organizations use _________ information to make ad hoc decisions.
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Chapter 7: Storing Organizational Information Databases
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Sample Questions
Q1) The ________ view of information focuses on how users logically access information to meet their particular business needs.
Q2) Which of the following is incorrect in reference to a database?
A) Can be relational or network.
B) Information is accessed by logical structure.
C) Information is accessed by physical structure.
D) Users can access different views of information.
Q3) The ___________ database model is a type of database that stores its information in the form of logically related two-dimensional tables.
Q4) Which of the following types of information can be found in a database?
A) Inventory
B) Transactions
C) Employees
D) All of these
Q5) What is the primary problem with redundant information?
A) It is difficult to determine which values are the most current.
B) It is often inconsistent.
C) It is difficult to determine which values are the most accurate.
D) All of these.
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Chapter 8: Accessing Organizational Information Data
Warehouse
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Sample Questions
Q1) Why would a business use a data warehouse that offers strategic level,external,integrated,and historical information?
A) Identify trends.
B) Make projections.
C) Decide key business issues.
D) All of these.
Q2) Why is Ben & Jerry's using business intelligence?
A) To improve quality.
B) To create new flavors of ice cream.
C) To improve financials.
D) To manage distribution.
Q3) Achieving perfect information is almost impossible.The more complete and accurate an organization wants its information to be,the more it costs.Which two variables are used to determine the trade-off for perfect information?
A) Accuracy versus completeness.
B) Accessibility versus completeness.
C) Accuracy versus complexity.
D) Accessibility versus complexity.
Q4) A data __________ contains a subset of data warehouse information.
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Chapter 9: Enabling the Organization Decision Making
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Sample Questions
Q1) Sensitivity analysis,what-if analysis,and market-basket analysis are the three quantitative models typically used by a DSS.
A)True
B)False
Q2) What finds the inputs necessary to achieve a goal,such as a desired level of output?
A) Drill-down
B) Sensitivity analysis
C) What-if analysis
D) Goal-seeking analysis
Q3) Which of the following is not a reason for the growth of decision-making information systems?
A) People need to analyze large amounts of information.
B) People must make decisions quickly.
C) People must apply sophisticated analysis techniques to make good decisions.
D) People no longer have to worry about protecting the corporate asset of organizational information.
Q4) A(n)___________ is a simplified representation or abstraction of reality.
Q5) List and define the four most common categories of AI.
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Chapter 10: Extending the Organization Supply Chain Management
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Sample Questions
Q1) What does the average company spend on production needs?
A) Almost 10 percent of every dollar that it earns.
B) Almost 20 percent of every dollar that it earns.
C) Almost 40 percent of every dollar that it earns.
D) Almost 50 percent of every dollar that it earns.
Q2) Which of the following is not a principle of supply chain management?
A) Customize the logistics network and focus intensively on the service requirements.
B) Listen to signals of market demand and plan accordingly.
C) Segment customers by service needs and then tailor services to those particular segments.
D) Listen to signals from telecommunications equipment and plan accordingly.
Q3) Deploy in incremental phases and measure and communicate success is one of the keys to success for SCM.
A)True
B)False
Q4) The customers' customer is upstream in the supply chain.
A)True
B)False
Q5) Make the sale to ___________ is one of the keys to SCM success.
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Chapter 11: Building a Customer-Centric Organization
Customer Relationship Management
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Sample Questions
Q1) The business world is shifting from customer focus to product focus.
A)True
B)False
Q2) Which of the following is not one of the CRM business drivers?
A) Inventory control
B) Increase revenues
C) Accountability
D) Automation/productivity/efficiency
Q3) Which of the following is not a CRM industry best practice?
A) Define information needs and flows.
B) Build an integrated view of the customer.
C) Scalability for organizational growth.
D) Implement using the big-bang approach.
Q4) ___________ CRM supports traditional transactional processing for day-to-day front-office operations or systems that deal directly with the customers.
Q5) What is the term that defines how much a customer spends on each purchase?
A) Recency
B) Frequency
C) Monetary value
D) Reporting
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Chapter 12: Integrating the Organization From End-To-End
Enterprise Resource Planning
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Sample Questions
Q1) Describe the role information plays in enterprise resource planning systems.
Q2) Describe the primary users and primary business benefits of CRM,SCM,and ERP applications.
Q3) Integrations are achieved by using ___________.
Q4) Identify the primary forces driving the explosive growth of enterprise resource planning systems.
Q5) Which application's primary business benefits include market demand,resource and capacity constraints,and real-time scheduling?
A) CRM
B) SCM
C) ERP
D) All of these
Q6) One of the primary reasons for ERP's explosive growth is that an ERP system is a logical solution to the many incompatible applications found in business today.
A)True
B)False
Q7) Sales,marketing,and customer service are the primary users of ______ systems.
Page 14
Q8) Compare middleware and enterprise application integration middleware.
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Chapter 13: Creating Innovative Organizations
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Q1) Which of the following is an example of a disruptive technology?
A) Oracle's database software
B) Sony's transistor-based consumer electronics (transistor radio)
C) Intel's low-end microprocessor
D) All of these
Q2) Many industries have been forced to change due to technology advances.Which of the below industries has felt the lowest amount of economic impact from ebusiness?
A) Auto industry
B) Retail industry
C) Travel industry
D) Waste or recycling industry
Q3) Amazon creates a unique recommendation listing for each customer that revisits its website.How would you classify Amazon's ebusiness strategy?
A) Information richness
B) Mass customization
C) Personalization
D) Interactivity
Q4) The Innovator's ___________ is a book by Clayton M.Christensen.
Q5) Describe Web 1.0 along with ebusiness and its associated advantages.
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Chapter 14: E-Business
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Sample Questions
Q1) Consumer-to-business applies to any _________ who sells a product or service to a business on the Internet.
Q2) What is the set of ideas about how all information in a given context should be organized?
A) Information architecture
B) Collective intelligence
C) Content management system
D) Ebusiness model
Q3) Business-to-business applies to businesses buying from and selling to each other over the ______________.
Q4) A click-and-motor business operates on the Internet only,without a physical store.
A)True
B)False
Q5) What is a pure-play business?
A) A business that operates only on the Internet without a physical store.
B) A business that sells products only in a physical store.
C) A business that sells services only in a physical store.
D) All of these.
Q6) Google is an example of a _________ -play business.
Page 16
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Chapter 15: Creating Collaborative Partnerships
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Sample Questions
Q1) Which of the below is not an example of a social bookmarking website?
A) Facebook
B) StumbleUpon
C) Del.icio.us
D) All of these
Q2) What do Netflix and Amazon use to drive their recommendation tools?
A) Web 1.0 content
B) Open source content
C) Virtual content
D) User-generated content
Q3) Copyright laws protect collaborative websites like blogs and wikis,allowing users to reuse material freely and easily.
A)True
B)False
Q4) Mobile banking and mobile sales are both a part of the emerging mbusiness.
A)True
B)False
Q5) The primary objective of __________ management is to be sure that a company's knowledge of facts,sources of information,and solutions are readily available to all employees whenever they are needed.
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Chapter 16: Integrating Wireless Technology in Business
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Q1) Which of the following is not an emerging mobile trend indicating ways that consumers and businesses will benefit from mobile technologies?
A) Social networking gets mobilized
B) Mobile TV
C) Multifunction devices become cheaper and more versatile
D) All of these
Q2) What technology has experienced rapid and widespread growth in the 21<sup>st</sup> century and has created one of the largest technology markets after the PC revolution in the 1980s and 1990s?
A) Collaboration technology
B) Mobile technology
C) Social networking technology
D) Electronic business technology
Q3) Describe the business benefits associated with enterprise mobility.
Q4) Explain the business benefits of using wireless technology.
Q5) ________________ technology refers to any type of electrical or electronic operation that is accomplished without the use of a "hard-wired" connection.
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Chapter 17: Building Software to Support an Agile Organization
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Sample Questions
Q1) What is the design phase in the SDLC?
A) Involves establishing a high-level plan of the intended project and determining project goals.
B) Involves analyzing end-user business requirements and refining project goals into defined functions and operations of the intended system.
C) Involves describing the desired features and operations of the system.
D) Involves placing the system into production so users can begin to perform actual business operations with the system.
Q2) Which of the following is not one of the primary principles an organization should follow for successful agile software development?
A) Slash the budget.
B) Keep requirements to a minimum.
C) Test and deliver infrequently.
D) Assign non-IT executives to software projects.
Q3) The implementation phase involves taking all of the detailed design documents from the design phase and transforming them into the actual system.
A)True
B)False
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Chapter 18: Managing Organizational Projects
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Sample Questions
Q1) Explain the triple constraint and its importance in project management.
Q2) What is a project management office (PMO)?
A) Measurable, tangible, verifiable outcome, result, or item that is produced to complete a project or part of a project.
B) Represents key dates when certain groups of activities must be performed.
C) An individual who is an expert in project planning and management, defines and develops the project plan, and tracks the plan to ensure the project is completed on time and on budget.
D) An internal department that oversees all organizational projects.
Q3) The relationships among the triple constraint variables are not dependent.
A)True
B)False
Q4) Which of the following is a characteristic of a successful project?
A) Delivered on time.
B) Delivered within budget.
C) Meets the business's requirements.
D) All of these.
Q5) Project ____________ represent key dates when a certain group of activities must be performed.
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Chapter 19: Outsourcing in the 21st Century
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Q1) Insourcing is an arrangement by which one organization provides a service or services for another organization that chooses not to perform them in-house.
A)True
B)False
Q2) ___________ outsourcing is using organizations from developing countries to write code and develop systems.
Q3) Which of the following are the influential driver(s)affecting the growth of outsourcing markets?
A) Core competencies
B) Rapid growth
C) Industry changes
D) All of these
Q4) Which of the following is the primary reason why companies outsource?
A) Tap outside sources of expertise.
B) Concentrate resources on core business.
C) Reduce headcount and related expenses.
D) Better manage the costs of internal processes.
Q5) Describe why outsourcing is a critical business decision.
Q6) Explain the business benefits of outsourcing.
21
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Chapter 20: Developing a 21st-Century Organization
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Q1) Where is the position of IT infrastructure within the organization?
A) Top
B) Middle
C) Bottom
D) Depends on the company as to the position of the IT infrastructure
Q2) RFID uses ________ or passive tags in the form of chips or smart labels.
Q3) What is the blending of computers and wireless telecommunications technologies with the goal of efficiently conveying information over vast networks to improve business operations?
A) Mobile commerce
B) Telematics
C) Electronic tagging
D) Radio frequency identification
Q4) Core business relationships and models are dramatically changing,including shifts from which of the following?
A) Customer-centricity to product-centricity
B) Mass customization to mass production
C) The value in material things to the value of knowledge and intelligence
D) All of these
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