Deck 5: Creating Business Value

Question 1

According to Chris Moore what is some good advice for students seeking a career in IT or business?

A) Always be changing
B) Grow your network of contacts
C) Know a little about everything
D) Be a specialist in your field
E) Make sure IT is your passion

Answer 1

Always be changing

Question 2

Which of the following is not one of Porter's Five Forces?

A) New Entrants
B) Suppliers
C) Buyers
D) Statistics
E) Supply chain

Answer 2

Statistics

Question 3

The open systems model indicates that a business operates by transforming ___ into ____and by constantly interacting with its environment.

A) inputs, outputs
B) outputs, inputs
C) processes, goals
D) goals, processes
E) input, processes

Answer 3

inputs, outputs

Question 4

A ____ is a person or entity that has an interest in and an influence on how a business will function in order to succeed (or in order not to fail).

A) President or CEO
B) Stakeholder
C) Shareholder
D) Manager
E) Client

Question 5

A stakeholder may be ____ or ____ relative to the system.

A) external, internal
B) above, below
C) to the right, to the left
D) inside, outside
E) external, outside

Question 6

Influence may be ____ or _____.

A) actual, potential
B) real, imagined
C) right, wrong
D) powerful, weak
E) none of the above

Question 7

In functional and decentralized structures, the lines of authority (who has the right to tell whom to do what) and communication are _____ oriented.

A) vertically
B) horizontally
C) diagonally
D) All of the above
E) None of the above

Question 8

The matrix structure ____ the functional and decentralized organizational structures.

A) opposes
B) aligns
C) contradicts
D) blends
E) separates

Question 9

Which of the following is an advantage of the matrix organizational structure?

A) Frustration due to dual lines of authority and responsibility
B) Enhanced problem solving, cooperation, communication, and resource sharing
C) Increased need for coordination between functional areas consumes time and resources
D) Potential for goal conflict between functional and decentralized components of matrix
E) All of the above

Question 10

Which of the following is a disadvantage of the matrix organizational structure?

A) Increased flexibility and responsiveness to business needs and environmental changes
B) Enhanced problem solving, cooperation, communication, and resource sharing
C) Increased need for coordination between functional areas consumes time and resources
D) Decision making occurs lower in organization and closer to customer
E) All of the above

Question 11

Which of the following is a disadvantage of the functional organizational structure?

A) Economies of scale through efficient use of resources
B) Significant technical expertise found in the functional areas
C) Clear chain of authority and communications within a function
D) Employees may focus on functional area goals rather than organizational goals
E) All of the above

Question 12

Which of the following is an advantage of the functional organizational structure?

A) Significant technical expertise found in the functional areas
B) Poor communication and coordination between functional areas
C) Relatively inflexible or slow to respond to change in the business environment
D) Employees may focus on functional area
E) None of the above

Question 13

Which of the following is an advantage of the decentralized organizational structure?

A) Duplication of resources and efforts across organizational units
B) Technical knowledge not as in-depth relative to functional organizational form
C) Greater development of breadth of managerial skills
D) Less direct control by upper management
E) None of the above

Question 14

Which of the following is a disadvantage of the decentralized organizational structure?

A) Less direct control by upper management
B) Faster response and greater flexibility
C) Greater communication and coordination between organizational units
D) Greater development of breadth of managerial skills
E) All of the above

Question 15

Organizations need to perform a series of steps known as business

A) values
B) processes
C) goals
D) plans
E) thinking

Question 16

____ to a process are those resources needed to start a process.

A) Input
B) Guides
C) Output
D) Enablers
E) None of the above

Question 17

_____ are rules or policies within which a process must operate

A) Input
B) Guides
C) Output
D) Enablers
E) None of the above

Question 18

_____ are the results of a process.

A) Input
B) Guides
C) Output
D) Enablers
E) All of the above

Question 19

_____ are a special kind of input or resource that facilitates a process.

A) Input
B) Guides
C) Output
D) Enablers
E) All of the above

Question 20

Data, information and knowledge are examples of _____ to a process.

A) Input
B) Guides
C) Output
D) Enablers
E) Helper

Question 21

_____ is a special kind of measurement created by a business process that is then returned to the system to control the system's future inputs, processes, and outputs.

A) Feedback
B) Monitoring
C) Reporting
D) All of the above
E) None of the above

Question 22

Which of the following is not a goal of BPR?

A) reduce costs
B) increase throughput
C) increase speed
D) increase satisfaction
E) None of the above

Question 23

Which of the following is an example of the transformation of data?

A) A database query
B) Results from a Web search
C) A client/customer list
D) Sales data for the third quarter
E) Creating a mailing list

Question 24

One of the first ways that a business seeks to apply IT is through:

A) Communicating
B) Transforming
C) Automating
D) Informating
E) None of the above

Question 25

According to the text, which of the following is a benefit derived from automation for the Banking industry?

A) Increases speed and accuracy of product transactions
B) Increases flexibility and improves access of services to customers
C) Improves accuracy
D) Reduces costs and transfers control to customers
E) Improve ease of use

Question 26

According to the text, which of the following is a benefit derived from automation for the Travel industry?

A) Increases speed and accuracy of product transactions
B) Improves accuracy
C) Reduces costs and transfers control to customers
D) Allows transfer of processes to customers through online services
E) None of the above

Question 27

According to the text, which of the following is not a benefit derived from automation for the Grocery/Retail industry?

A) Increases speed and accuracy of product transactions
B) Improves accuracy
C) Allows transfer of processes to customers through online services
D) Reduces costs and transfers control to customers
E) All of the above

Question 28

_____ is recognizing that executing processes also creates new data and information.

A) Communicating
B) Automating
C) Informating
D) Transforming
E) processing

Question 29

Using IT to help them acquire or maintain a competitive advantage over or in line with their competitors defines:

A) Communicating
B) Automating
C) Informating
D) Transforming
E) Processing

Question 30

A company possesses a _____ when it sustains higher-than-average profits for its industry.

A) Large market share
B) Monopoly
C) Competitive advantage
D) Oligopoly
E) Unfair advantage

Question 31

There are two basic ways of obtaining competitive advantage. What are they?

A) cost and differentiation
B) cost and placement
C) differentiation and placement
D) cost and quality
E) none of the above

Question 32

_____ can be simply defined as the highest level of decision making, involving basic questions of status, strategy, and compliance within an organization.

A) IT governance
B) Board governance
C) Organizational governance
D) Corporate governance
E) None of the above

Question 33

The distribution of IT decision-making rights and responsibilities among enterprise stakeholders, and the procedures and mechanisms for making and monitoring strategic decisions regarding IT defines:

A) Corporate governance
B) Corporate policy
C) IT governance
D) IT policy
E) IT command

Question 34

Which legal instrument sets out the ground rules that protects Canadians' privacy at a federal level?

A) Sarbanes-Oxley
B) Bill 198
C) Multilateral Instrument 52-109
D) PIPEDA
E) None of the above

Question 35

_____ help guide the professionals within the field in terms of what is and is not acceptable and ethical behaviour.

A) Codes of behaviour
B) Codes of conduct
C) Codes of ethics
D) Codes of law
E) None of the above

Question 36

IT governance is:

A) how the organization will set goals, objectives, priorities, and policies for IT
B) how it will integrate IT with business strategies and goals
C) which organizational members will make decisions regarding the successful completion of these tasks
D) all of the above
E) none of the above

Question 37

The primary focus of IT governance is on _____.

A) Decision rights associated with IT
B) Information processing
C) Network vulnerabilities
D) Technology acquisition and modernization
E) Knowledge generation

Question 38

Which of the following statements best explains why software piracy is both illegal and unethical?

A) Software piracy is considered wrong because of the act of stealing and unethical because it violates the "do no harm" principle.
B) Software piracy violates federal law.
C) Software piracy means a loss of income to software companies, thus making the software more expensive for the consumer.
D) Software piracy may make it more difficult for an information worker to get his or her work done.
E) None of the above

Question 39

In Canada, which act ensures that companies are responsible for the data they collect?

A) Sarbanes-Oxley (SOX)
B) PIPEDA
C) Charter of Rights and Freedoms
D) Freedom of Information Act
E) None of the above

Question 40

Personal Information Protection and Electronic Documents Act (PIPEDA):

A) sets ground rules for how private sector organizations may collect, use, or disclose personal information
B) holds company's officers personally responsible for providing accurate public financial information to investors
C) focuses on personal health information
D) foundations of enterprise information security
E) focuses on E-commerce

Question 41

What law instrument is used in Canada to protect people's privacy?

A) Sarbanes-Oxley Act
B) Multilateral Instrument 52-109
C) EU Data Protection Directive
D) PIPEDA
E) None of the above

Question 42

A CIO is:

A) Chief Information Officer
B) Chief Infrastructure Officer
C) Commanding Information Officer
D) Commanding Internet Official
E) Corporate Information Officer

Question 43

The leadership and management of a business are directly accountable to its owners defines:

A) Effective Governance
B) IT Governance
C) Corporate Governance
D) Less-robust Governance
E) Policy Governance

Question 44

The distribution of IT decision-making rights and responsibilities among enterprise stakeholder describes:

A) Effective Governance
B) IT Governance
C) Corporate Governance
D) Less-robust Governance
E) Policy Governance

Question 45

IT governance is:

A) how the organization will set goals, objectives, priorities, and policies for IT
B) how it will integrate IT with business strategies and goals
C) which organizational members will make decisions regarding the successful completion of these tasks
D) all of the above
E) none of the above

Question 46

The primary focus of IT governance is on _____.

A) Decision rights associated with IT
B) Information processing
C) Network vulnerabilities
D) Technology acquisition and modernization
E) None of the above

Question 47

In Canada, which act ensures that companies are responsible for the data they collect?

A) Sarbanes-Oxley (SOX)
B) PIPEDA
C) Charter of Rights and Freedoms
D) Freedom of Information Act
E) None of the above

Question 48

Personal Information Protection and Electronic Documents Act (PIPEDA):

A) sets ground rules for how private sector organizations may collect, use, or disclose personal information
B) holds company's officers personally responsible for providing accurate public financial information to investors
C) focuses on personal health information
D) foundations of enterprise information security
E) none of the above

Question 49

All CIPS members (including students) agree to abide by the following Code of Ethics and its ethical principles/imperatives EXCEPT:

A) Protecting the public interest and maintaining integrity
B) Demonstrating competence and quality of service
C) Maintaining confidential information and privacy
D) Avoiding conflict of interest
E) Charge $1000.00 or more for the consulting service per day

Question 50

Founded in 1958, CIPS is a non-profit organization that represents thousands of IT professionals on important issues affecting the IT industry and profession has been a leading contributor of the following EXCEPT:

A) Setting standards with the profession
B) Providing IT support to its community
C) Proving Certification of IT professionals
D) Proving Information Technology Certified Professional designations
E) Setting the coding standard

Question 51

Project Portfolio Management (PPM) is a (an):

A) management process designed to help an organization acquire and view information about all of its projects
B) internal process used to govern strategic project selection
C) portfolio owner who get the "best bang for the buck" from resources invested
D) individual listings in the portfolio
E) sensible sorting, adding, and removing of items from the collection based on their costs, benefits, and alignment with long-term strategies or goals.

Question 52

A major part of good governance is an understanding of:

A) what the ethical and appropriate governance practices are to apply
B) what the relevant codes of conduct consist
C) what is and is not acceptable and ethical behavior
D) all of the above
E) none of the above