Deck 9: Business Intelligence Systems

Question 1

Data acquisition is the process of creating business intelligence.

Answer 1

False

Question 2

The three primary activities in the BI process are to acquire data, perform analysis, and publish results.

Answer 2

True

Question 3

A data mart is a data collection that addresses a particular functional area of the business.

Answer 3

True

Question 4

The software component of a BI system is called a BI application.

Question 5

Data warehouses do not include data that are purchased from outside sources.

Question 6

It is possible to capture the customers' clicking behavior using clickstream data.

Question 7

Problematic data are termed dirty data.

Question 8

A reporting application is a BI application that inputs data from one or more sources and applies reporting operations to that data to produce business intelligence.

Question 9

Business intelligence (BI)systems have only four of the five components of IS: hardware, software,
data, and people.

Question 10

Granularity is a term that refers to the level of detail represented by the data.

Question 11

Push publishing requires the user to request BI results.

Question 12

Placing BI applications on operational servers can dramatically increase system performance.

Question 13

Data mart is another term used for a data warehouse.

Question 14

The five basic reporting operations that produce business intelligence can all be accomplished using SQL and basic HTML or a simple report writing tool.

Question 15

A value of 999-999-9999 for a U.S.phone number is an example of dirty data.

Question 16

Operational data is structured for fast and reliable transaction processing.

Question 17

Report servers are specialized Web servers.

Question 18

A data mart is a lot larger than a data warehouse.

Question 19

It is better to have data with too coarse a granularity, than data with too fine a granularity.

Question 20

The three fundamental categories of BI analysis are reporting, data mining, and knowledge management.

Question 21

The remarkable characteristic of OLAP reports is that they are dynamic.

Question 22

Knowledge discovery in databases (KDD)is used as a synonym for data mining.

Question 23

In supervised data mining, a model is developed after the analysis.

Question 24

Knowledge management enables employees to leverage organizational knowledge to work more efficiently.

Question 25

In an OLAP report, a measure is the data item of interest.

Question 26

Regression analysis measures the impact of a set of variables on another variable.

Question 27

A drawback associated with OLAP reports is their inability to let users drill down into the data.

Question 28

A common business application of decision trees is to classify loans by likelihood of default.

Question 29

Total sales, average sales, and average cost are examples of dimensions used in an OLAP report.

Question 30

OLAP provides the ability to sum, count, average, and perform other simple arithmetic operations on groups of data.

Question 31

Neural networks are a popular unsupervised data mining technique used to predict values and make classifications.

Question 32

Decision tree analysis is a supervised data mining technique.

Question 33

An OLAP cube and an OLAP report are the same thing.

Question 34

Data mining is the application of statistical techniques to find patterns and relationships among data for classification and prediction.

Question 35

With unsupervised data mining, analysts do not create a model or hypothesis before running the analysis.

Question 36

Cluster analysis is used to identify groups of entities that have similar characteristics.

Question 37

RFM analysis considers how recently (R)a customer ordered, how frequently (F)they ordered, and how much margin (M)the company made on the orders.

Question 38

In market-basket terminology, confidence is the probability that two items will be purchased together.

Question 39

In market-basket terminology, a conditional probability estimate is called lift.

Question 40

In marketing transactions, the fact that customers who buy product X also buy product Y creates a cross-selling opportunity.

Question 41

Problematic operational data are termed ________.

A) bad data
B) rough data
C) dirty data
D) granular data

Question 42

Dynamic reports are BI documents that are updated at the time they are requested.

Question 43

Because of the various problems with operational data, large organizations choose to extract operational data into a(n)________.

A) OLAP cube
B) neural network
C) data warehouse
D) Web server

Question 44

________ records the source, format, assumptions and constraints, and other facts about the data.

A) Clickstream data
B) Dimensional data
C) Outsourced data
D) Metadata

Question 45

Expert systems attempt to capture human expertise and put it into a format that can be used by nonexperts.

Question 46

Expert systems are difficult to develop, but are easy to maintain.

Question 47

A BI server extends alert/RSS functionality to support user subscriptions.

Question 48

Push publishing delivers business intelligence ________.

A) according to a schedule or as a result of an event or particular data condition
B) through reporting, data mining, and knowledge management
C) by obtaining, cleaning, organizing, relating, and cataloging source data
D) in response to requests from users

Question 49

________ is defined as information containing patterns, relationships, and trends.

A) Process mining
B) Business process management
C) Business intelligence
D) Spatial intelligence

Question 50

Expert systems are rule-based systems that use "If ...then" rules unlike those created by decision tree analysis.

Question 51

Publishing static BI is difficult because it requires the publisher to set up database access when documents are consumed.

Question 52

A sales report that is current as of the time the user accessed it on a Web server is a static report.

Question 53

Static reports are BI documents that are fixed at the time of creation and do not change.

Question 54

KM streamlines operations and reduces costs by eliminating redundant or unnecessary processes.

Question 55

Data ________ is the process of obtaining, cleaning, organizing, relating, and cataloging source data.

A) entry
B) acquisition
C) mining
D) encryption

Question 56

Which of the following is a fundamental category of BI analysis?

A) automation
B) catalog
C) report servers
D) data mining

Question 57

Real Simple Syndication (RSS)is the single most important content function in KM applications.

Question 58

Which of the following is true of source data for a BI system?

A) It refers to the organization's metadata.
B) It refers to data that the organization purchases from data vendors.
C) It refers to the level of detail represented by the data.
D) It refers to the hierarchical arrangement of criteria that predict a classification or a value.

Question 59

________ requires the user to request BI results.

A) Push publishing
B) Pull publishing
C) Desktop publishing
D) Accessible publishing

Question 60

________ is a term used to refer to the level of detail represented by the data.

A) Granularity
B) Intricacy
C) Elaboration
D) Complexity

Question 61

A data ________ is a data collection, smaller than the data warehouse, that addresses a particular component or functional area of the business.

A) mart
B) mine
C) cube
D) model

Question 62

A sales team should attempt to up-sell more expensive products to a customer who has an RFM score of ________.

A) 311
B) 555
C) 113
D) 545

Question 63

Which of the following is an example of a measure in an OLAP report?

A) customer type
B) purchase date
C) sales region
D) average cost

Question 64

Which of the following statements is true about reporting applications?

A) Reporting applications deliver business intelligence to users as a result of an event or particular data condition.
B) Reporting applications consist of five standard components: hardware, software, data, procedures, and people.
C) Two important reporting applications are RFM analysis and OLAP.
D) Reporting applications produce business intelligence using highly sophisticated operations.

Question 65

Which of the following describes a dimension in an OLAP report?

A) It is a characteristic of a measure.
B) It is the item that is processed in the OLAP report.
C) It is the data item of interest.
D) It is referred to as a decision tree.

Question 66

A ________ takes data from the data manufacturers, cleans and processes the data, and then stores it.

A) data mart
B) data mine
C) data warehouse
D) data model

Question 67

Due to a phenomenon called the ________, the more attributes there are, the easier it is to build a model that fits the sample data but that is worthless as a predictor.

A) attribute paradox
B) curse of dimensionality
C) uncertainty principle
D) economies of scale

Question 68

________ analysis is a way of analyzing and ranking customers according to their purchasing patterns.

A) TQM
B) CRM
C) Market-basket
D) RFM

Question 69

The remarkable characteristic of OLAP reports is that they are ________ , as they are online and the viewer of the report can change their format.

A) extensible
B) informal
C) specific
D) dynamic

Question 70

RFM analysis is used to analyze and rank customers according to their ________.

A) purchasing patterns
B) propensity to respond to a marketing stimulus
C) socio-economic status
D) motivation and needs

Question 71

Which of the following is a basic operation used by reporting tools to produce information from data?

A) coalescing
B) transposing
C) dispersing
D) calculating

Question 72

An OLAP report has measures and dimensions.Which of the following is an example of a dimension?

A) total sales
B) average sales
C) sales region
D) average cost

Question 73

Which of the following statements is true about data marts?

A) A data mart is like a distributor in a supply chain, while a data warehouse can be compared to a retail store.
B) Data mart users possess the data management expertise that data warehouse employees have.
C) Data marts address only a particular component or functional area of a business.
D) Data marts are larger than data warehouses.

Question 74

U.S.Steel Corp.is a well known steel manufacturing company.SAMCROW, one of the customers of U.S.Steel Corp.holds an RFM score of 111.Which of the following characteristics relates SAMCROW with its RFM score?

A) SAMCROW has ordered recently and orders frequently, but it orders the least expensive goods.
B) SAMCROW has not ordered in some time, but when it did order in the past it ordered frequently, and its orders were of the highest monetary value.
C) SAMCROW has not ordered for some time, it did not order frequently, and, when it did order, it bought the least-expensive items.
D) SAMCROW has ordered recently and orders frequently, and it orders the most expensive goods.

Question 75

OLAP stands for ________.

A) online analytical processing
B) object-based lead analysis procedure
C) object-oriented analytical protocol
D) organizational lead analysis process

Question 76

The viewer of an OLAP report can change its format.Which term implies this capability?

A) processing
B) analytical
C) dimension
D) online

Question 77

Ajax is one of the customers of a well known linen manufacturing company.Ajax has not ordered linen in some time, but when it did order in the past it ordered frequently, and its orders were of the highest monetary value.Under the given circumstances, Ajax's RFM score is most likely ________.

A) 155
B) 511
C) 555
D) 151

Question 78

An ________ and an OLAP report are the same thing.

A) OLAP measure
B) OLAP cube
C) OLAP dimension
D) OLAP array

Question 79

How should a sales team respond to a customer who has an RFM score of 545?

A) The sales team should contact this customer immediately.
B) The sales team should let go of this customer; the loss will be minimal.
C) The sales team should attempt to up-sell more expensive goods to this customer.
D) The sales team should spend more time with this customer.

Question 80

Which of the following statements is true about operational data?

A) It is always better to have data with too coarse a granularity than with too fine a granularity.
B) If the data granularity is too coarse, the data can be made finer by summing and combining.
C) Purchased operational data often contains missing elements.
D) Problematic operational data are termed rough data.