Deck 9: Enterprise Systems

Question 1

Large organizations were the first to take on the challenge of implementing ERP.

Answer 1

True

Question 2

With an OLTP system, each transaction is accumulated over a period of time and prepared for processing in a large batch of similar transactions.

Answer 2

False

Question 3

Half of nearly 200 ERP implementations worldwide were judged to be failures.

Answer 3

True

Question 4

Many of the users of a company's product lifecycle management system are people outside that company.

Question 5

The product lifecycle management system is confined to use by members of the organization in product development and engineering.

Question 6

An important step in processing transaction data is to check data for validity and completeness, a task called data correction.

Question 7

In the ERP system, input to the general ledger occurs simultaneously with the input of a business transaction to a specific finance and accounting software module.

Question 8

Transaction processing systems provide valuable input to management information systems, decision support systems, and knowledge management systems.

Question 9

The sole advantage of the hosted software model is decreased total cost of ownership.

Question 10

Capturing and gathering all data necessary to complete the processing of transactions is called data collection.

Question 11

The average ERP implementation cost is $5.5 million with an average project duration just over 14 months.

Question 12

Data editing involves reentering data that was not typed or scanned properly.

Question 13

Effective use of an ERP system requires changes in work processes and in the details of how work gets done.

Question 14

Two key benefits gained from successful implementation of an ERP system include elimination of costly, inflexible legacy systems and upgrading technology infrastructure.

Question 15

Adoption of an ERP system will enable an organization to eliminate dozens or even hundreds of separate systems and replace them with a single integrated set of applications for the entire enterprise.

Question 16

An enterprise system is central to large organization and ensures that information can be shared across all business functions and levels of management. Small and medium size organizations do not employ such systems.

Question 17

Customer relationship management software helps plan, execute, and control all the activities involved in raw material sourcing and procurement, conversion of raw materials to finished products, and the warehousing and delivery of finished product to customers.

Question 18

An enterprise system ensures that the information needed for a single business function and all levels of management within that function is available.

Question 19

SMEs are exploring the use of hosted software to acquire, use, and benefit from new software even though it means extra complexity and high start-up costs.

Question 20

While integrated transaction processing system solutions have been developed for SMEs, unfortunately, most of these have a high total cost of ownership and are difficult to install.

Question 21

The individual application modules of an ERP system are designed to support best practices, the most efficient and effective ways to complete a business process.

Question 22

When a(n) _____ arrives from a supplier, it is matched to the original order and the receiving report and a check is generated if all data is complete and consistent.

A) order
B) pick list
C) invoice
D) request for quotation

Question 23

A small enterprise is one with _______ employees.

A) less than 100 employees
B) 100 to 250 employees
C) 250 to 500 employees
D) less than 500 employees

Question 24

The essential characteristic of a _____ is that there is some delay between an event and the eventual processing of the related transaction to update the organization's records.

A) online processing system
B) order processing system
C) transaction processing system
D) batch processing system

Question 25

Implementation of an ERP system provides an organization with an opportunity to also upgrade its technology infrastructure.

Question 26

Customer support, sales management, and contact management are key features of a Customer Relationship Management system.

Question 27

Infor has jumped ahead of SAP and Oracle and today leads the world in the sale of ERP systems.

Question 28

_____ involves capturing and gathering all data necessary to complete the processing of transactions.

A) Data manipulation
B) Data editing
C) Date input
D) Data collection

Question 29

It is wise to plan to spend 30 to 60 days per employee for ERP training.

Question 30

As an organization's purchasing systems generate purchase orders and the items ordered are received, information is sent to the _____ system to manage the amounts owed by the organization.

A) accounts receivable
B) accounts payable
C) invoicing
D) inventory control

Question 31

______ is an example of a transaction processing system.

A) Email
B) Microsoft Office software
C) Accounts payable
D) Software for creating spreadsheets

Question 32

Oracle is challenged to integrate ERP software from PeopleSoft, JD Edwards and Siebel systems.

Question 33

A key feature on an enterprise resource planning system is that _____.

A) all transactions are processed in online transaction processing mode
B) it comes fully integrated with all of the organization's e-commerce systems
C) it employs a database of key operational and planning information that can be shared by all
D) all of the above

Question 34

Integrated information transaction processing system solutions for SMEs

A) are difficult to install and operate
B) typically cost a few hundred to a few thousand dollars
C) have a high cost of total ownership
D) none of the above

Question 35

The BOM is a sort of recipe" of ingredients needed to make each item the organization manufactures.

Question 36

It is advisable to appoint a full-time mid-level manager to head the organization's ERP project.

Question 37

With _____, business transactions are accumulated over a period of time for processing in a single unit.

A) online transaction processing
B) real-time transaction processing
C) on-demand processing
D) batch processing

Question 38

A key to the success of implementation of an ERP system is to make the transition from the old way of doing things to the new way as quickly as possible, cutting corners whenever possible.

Question 39

Organizations expect their _____ to ensure that data is processed accurately and completely, avoid processing fraudulent transactions, and reduce clerical and other labor requirements.

A) batch processing systems
B) purchasing processing systems
C) online processing systems
D) transaction processing systems

Question 40

SMEs are too small to achieve substantial business benefits from the implementation of an ERP system.

Question 41

Many business application software vendors are pushing the use of _____ for SME to help them acquire, use, and benefit from new technology while avoiding much of the associated complexity and high start-up costs.

A) hosted software model
B) ERP systems
C) open source code
D) CRM

Question 42

More and more companies are using the ______ to capture and process transaction data from e-commerce applications.

Question 43

The traditional transaction processing systems that support the _____ business function include inventory control, purchase order processing, receiving, and accounts payable.

Question 44

Manufacturing ERP systems follow a systemic process for developing a production plan that starts with _______.

A) cash flow forecasting
B) demand planning
C) inventory control
D) sales forecasting

Question 45

______ will help avoid a common cause of failed ERP implementation.

A) Keeping the scope of the implementation fluid so changes can be easily incorporated
B) Minimizing the time and dollars spent on training end users
C) Defining metrics to assess the progress of the project
D) Not requiring the full-time involvement of a business executive

Question 46

The processes used by leading companies to complete a business process in the most efficient and effective manner are called _____.

A) current best approach
B) streamlined processes
C) best practices
D) process improvement

Question 47

Transaction processing systems use a large amount of input and output data to update the official _____ of the company about orders, sales, customers, and so on.

Question 48

CRM is used primarily by people in ______.

A) finance and accounting
B) product development and manufacturing
C) sales, marketing, and customer service
D) human resources, marketing, and finance

Question 49

The _____ refines the production plan defined by the demand management process to develop a detailed production schedule specifying details such as which item to produce first and when production should be switched from one item to another.

A) sales and operation plan
B) detailed scheduling plan
C) material requirement plan
D) none of the above

Question 50

PLM software ______.

A) distributes data to only employees of the organization
B) provides data required for FDA and environmental compliance
C) secures data so that changes cannot be made early in the product design process
D) is frequently employed by non-manufacturing organizations

Question 51

_____includes the planning, execution, and control of all activities involved in raw material sourcing and procurement, conversions of raw materials to finished products, and the warehousing and delivery of finished product to customers.

A) Enterprise resource planning
B) Materials requirement planning
C) Customer relationship management
D) Supply chain management

Question 52

_____ involves reentering data that was not typed or scanned correctly.

A) data editing
B) data correction
C) data manipulation
D) data collection

Question 53

A(n) _____ system is central to a system and ensures that information can be shared across all business functions and all levels of management to support running and managing of a business.

A) accounting
B) enterprise
C) order processing
D) purchasing

Question 54

Purchasing uses the information from the _____ to place purchase orders for raw materials.

A) sales and operations plan
B) materials requirement plan
C) detailed scheduling plan
D) none of the above

Question 55

The _____ plan takes demand and current inventory levels into account and determines specific product items that need to be produced and when in order to meet the forecast future demand.

A) sales and operation plan
B) demand plan
C) detailed scheduling plan
D) material requirement plan

Question 56

By upgrading and standardizing on its technology infrastructure, an organization can _____.

A) eliminate a hodgepodge of multiple hardware platforms,operating systems, and databases
B) reduce ongoing hardware and software maintenance
C) reduce the training load for those people who must support the infrastructure
D) all of the above

Question 57

With _____ processing, each transaction is processed immediately, without the delay of accumulating transactions into a batch.

Question 58

A(n) _____ is a set of coordinated and related activities that takes one or more types of input and creates an output of value to the customer of that process.

Question 59

______ of nearly 200 ERP implementations worldwide evaluated were judged to be failures. Customization of a vendor's ERP system is often required to _____

A) About one-fourth
B) One-third
C) Half
D) Over half

Question 60

Many SMEs elect to implement _____ ERP systems.

A) proprietary
B) in-house developed
C) custom coded
D) open source

Question 61

The average ERP implementation cost is ______ million with an average project duration just over 14 months.

Question 62

During the late 1980s and early 1990s, many organizations recognized that their legacy TPSs lacked the _____ needed to coordinate activities and share valuable information across all the business functions of the firm.

Question 63

TPS systems capture and process data that describe fundamental business _____.

Question 64

Moving from a culture of simply selling products to one of placing the _____ first is essential to a successful CRM deployment.

Question 65

______ accounting involves the use of both historical and estimated data in providing information that management uses to conduct daily operations, plan future operations, and develop overall business strategies.

Question 66

There are many software vendors who offer _____ versions of their ERP or CRM software at a low monthly rental rate.

Question 67

Running these systems efficiently and reliably is so critical that the ______ systems are sometimes referred to as the lifeblood of the organization.

Question 68

The transaction processing cycle includes data collection, data ______, data correction, data storage, and documentation production.

Question 69

Many SMEs elect to implement _____ ERP systems from vendors such as Plex and NetSuite that enable users to access the ERP application using a Web browser.

Question 70

Data ______ is the process of performing calculations and other transformations related to business transactions.

Question 71

Sales ordering is the set of activities that must be performed to capture a ______.

Question 72

With open software, anyone can see and modify the ______ to customize it to meet their needs.

Question 73

Potential problems ______ the hosted products of different vendors is considered a disadvantage of the hosted software model.

Question 74

With an OLTP, each transaction is processed immediately without the delay of ______ transactions into a batch.

Question 75

The recording of a sale and the creation of an accounts receivable entry indicating that a customer owes money for goods received is an example of _____ accounting.

Question 76

______ production involves generating output records, documents, and reports.

Question 77

CRM is used primarily by people in the sales, marketing, and service organizations to capture and view data about ______.

Question 78

SME stands for small and medium-size enterprises where small is defined as an enterprise with less than _____ employees.

Question 79

_____ are the most efficient and effective ways to complete a business process.

Question 80

Data _____ ensures that all the necessary to complete processing of transactions is captured and gathered.