Deck 12: The Data Asset: Databases, Business Intelligence, Big Data, and Competitive Advantage

Question 1

In many organizations, available data is not exploited to advantage.

Answer 1

True

Question 2

The data a firm can leverage is a true strategic asset when it is imperfectly imitable.

Answer 2

True

Question 3

_____ refers to the process of combining aspects of reporting, data exploration and ad hoc queries, and sophisticated data modeling and analysis.

A) Logistics
B) Feefighter
C) Business intelligence
D) Electronic trading
E) Big Data

Answer 3

C

Question 4

_____ is the term used to describe raw facts and figures.

A) information
B) knowledge
C) analytics
D) data
E) intelligence

Question 5

Firms that base decisions on hunches are said to be gambling, not managing.

Question 6

Logistics is the term that describes the extensive use of data, statistical and quantitative analysis, explanatory and predictive models, and fact-based management to drive decisions and actions.

Question 7

Knowledge is defined as:

A) raw facts and figures.
B) the data presented in a context so that it can answer a question or support decision making.
C) the insight derived from experience and expertise.
D) a listing of primary data.
E) the process of breaking a complex topic into smaller parts.

Question 8

How are increasingly standardized data, access to third-party datasets, cheap, fast computing, and easier-to-use software collectively enabling a new age of decision making?

Question 9

_____ refers to software for creating, maintaining, and manipulating data.

A) Extranet
B) ROM
C) RAM
D) DBMS
E) Internet 2

Question 10

In database systems, a _____ refers to a list of data.

A) file
B) column
C) field
D) row
E) record

Question 11

_____ is by far the most popular language for creating and manipulating databases.

A) XML
B) HTML
C) PHP
D) Java
E) SQL

Question 12

_____ is the general term used to describe the massive amount of data available to today's managers.

Question 13

Data becomes _____ when it is presented in a context so that it can answer a question or support decision making.

A) knowledge
B) information
C) a database
D) wisdom
E) a relational language

Question 14

Data are raw facts that must be turned into information in order to be useful and valuable.

Question 15

All SQL databases are relational databases.

Question 16

Which of the following is often considered a defensible source of competitive advantage?

A) Data
B) Technology
C) Infrastructure
D) Market capital
E) Profits

Question 17

A study by Gartner Research claims that the amount of data on corporate hard drives doubles every eighteen months.

Question 18

In database systems, a table is also known as a _____.

A) field
B) record
C) file
D) row
E) key

Question 19

Advantages based on capabilities and data that others can acquire are long-lived.

Question 20

In database systems, a column is also known as a key.

Question 21

In database terminology, a record represents:

A) a list of data, arranged in columns and rows.
B) each category of data contained in a row.
C) a single instance of whatever the table keeps track of.
D) a field or combination of fields used to uniquely identify a file.
E) one or more keys that relate separate tables in a database.

Question 22

One of the factors that complicates the elimination of legacy systems is the:

A) costs associated with breaking extended vendor or outsourcer agreements.
B) low market value for outdated hardware and software.
C) absence of regulatory mechanisms to handle the efficient disposal of legacy systems.
D) unavailability of suitable data porting methods to offset data redundancy.
E) frequency at which technology improves as per Moore's law.

Question 23

Describe "database," "DBMS," and "SQL."

Question 24

_____ are the most common standard for expressing databases, whereby tables (files) are related based on common keys.

Question 25

A _____ is a system that provides rewards and usage incentives, typically in exchange for a method that provides a more detailed tracking and recording of consumer activity.

A) sugging report
B) canned report
C) dashboard
D) legacy system
E) loyalty card

Question 26

Firms that collect and resell data are known as:

A) data harvesters.
B) data mongers.
C) knowledge consultancies.
D) data miners.
E) data aggregators.

Question 27

In database systems, a row is also known as a _____.

A) table
B) column
C) key
D) record
E) field

Question 28

Enterprise software tends to be less integrated and standardized than the prior era of proprietary systems that many firms developed themselves.

Question 29

Systems that record a transaction (some form of business-related exchange), such as a cash register sale, ATM withdrawal, or product return are referred to as _____.

Question 30

_____ is a language used to create and manipulate databases.

Question 31

Any data-centric effort should involve input not only from business and technical staff, but from the firm's legal team, as well.

Question 32

_____ refers to a job title focused on directing, performing, or overseeing activities associated with a database or set of databases.

Question 33

Briefly describe the different sources of enterprise data for firms.

Question 34

Data obtained from outside sources, when combined with a firm's internal data assets, can give the firm a competitive edge.

Question 35

_____ is the term used to describe some form of business exchange.

Question 36

If a customer pays a retailer in cash, he is likely to remain a mystery to the retailer because his name is not attached to the money. Retailers can tie the customer to cash transactions and track the customer's activity if they can convince the customer to use a _____.

A) transaction processing systems
B) point-of-sale terminals
C) data cubes
D) dashboards
E) loyalty cards

Question 37

_____ is a class of computer software that seeks to reproduce or mimic human thought, decision making, or brain functions.

A) Biometrics
B) Artificial intelligence
C) Android
D) Legacy software
E) Intranet

Question 38

In database systems, a _____ defines the data that a table can hold.

A) row
B) key
C) record
D) file
E) field

Question 39

_____ refer to older information systems that are often incompatible with other systems, technologies, and ways of conducting business.

A) Data aggregator systems
B) Loyalty card systems
C) Legacy systems
D) Transaction systems
E) Mnemonic systems

Question 40

Turning data into useable information is hindered by transactional databases that are set up to be simultaneously accessed for reporting and analysis.

Question 41

E-discovery refers to:

A) identifying and retrieving relevant electronic information to support litigation efforts.
B) something a firm does not account for in its archiving and data storage plans.
C) older information systems that are often incompatible with other systems, technologies, and ways of conducting business.
D) collecting and reselling data.
E) rewards and usage incentive, typically in exchange for a method that provides a more detailed tracking and recording of consumer activity.

Question 42

The question "Where will the systems be contained?" is related to _____.

A) data relevance
B) data quantity
C) data sourcing
D) data hosting
E) data governance

Question 43

Which of the following questions relate to data quantity?

A) What data is needed to compete on analytics and to meet our current and future goals?
B) Can we even get the data we'll need?
C) How much data is needed?
D) Where will the systems be housed?
E) How should the firm handle security and access?

Question 44

What are the issues to be addressed in order to design, develop, deploy, and maintain data warehouses and data marts?

Question 45

A(n) _____ refers to a heads-up display of critical indicators that allow managers to get a graphical glance at key performance metrics.

A) interstitial
B) embassy
C) canned report
D) prediction interface
E) dashboard

Question 46

The question "What data is needed to compete on analytics and to meet our current and future goals?" is related to _____.

A) data relevance
B) data quantity
C) data sourcing
D) data hosting
E) data governance

Question 47

_____ provide regular summaries of information in a predetermined format.

A) Ad hoc reporting tools
B) Dashboards
C) Data cubes
D) Canned reports
E) Expert systems

Question 48

Random occurrences in data mining results can be detected by dividing the data and building a model with one portion and using another portion to verify the results.

Question 49

Why do firms need to create separate data repositories for their reporting and analytics work?

A) Most firms store their data assets offsite to insure themselves against the possibility of data damage through natural disasters.
B) Maintaining huge databases in-house can be a cost-sink for most firms.
C) Most organizations need to differentiate data derived in-house and from data aggregators.
D) Running analytics against transactional data can bog down a system.
E) Most firms derive their data in a combined and reformatted form.

Question 50

Data miners should realize that first findings of analytics always reveal an optimal course of action.

Question 51

Most transactional databases are not set up to be simultaneously accessed for reporting and analysis. As a consequence:

A) navigational databases are being preferred over transactional databases.
B) data is not efficiently transformed into information.
C) firms prefer to outsource data mining operations to third-party firms.
D) analysts no longer port data to data warehouses or data marts.
E) most firms incur additional expenditure to phase out legacy systems.

Question 52

Firms in fast-moving industries or with particularly complex businesses are in the best position to get database projects completed in enough time to reap benefits before business conditions change.

Question 53

Why do many organizations have data that cannot be converted to actionable information? What are the hurdles faced by firms that attempt to query transactional databases?

Question 54

_____ refer to databases focused on addressing the concerns of a specific problem or business unit.

A) Data marts
B) Dashboards
C) Data miners
D) Data aggregators
E) Data analytics

Question 55

Conventional reports look more like a spreadsheet, with the various dimensions of analysis in rows and columns, with summary values at the intersection.

Question 56

_____ is a method of querying and reporting that takes data from standard relational databases, calculates and summarizes the data, and then stores the data in a special database called a data cube.

A) Ad hoc reporting
B) E-discovery
C) Data aggregation
D) Online analytical processing
E) Data adjacency

Question 57

The question, "Can we even get the data we'll need?" is related to data hosting.

Question 58

What are data warehouses and data marts? What is their significance in terms of data organization?

Question 59

Data used in OLAP reporting is usually sourced from standard relational databases.

Question 60

_____ put(s) users in control so that they can create custom reports on an as-needed basis by selecting fields, ranges, summary conditions, and other parameters.

A) Canned reports
B) Ad hoc reporting tools
C) Dashboards
D) Data cubes
E) Online analytical processing

Question 61

Total Rewards is an opt-out loyalty program at Caesars.

Question 62

Building a model with so many variables that the solution arrived at might only work on the subset of data used to create it is known as _____.

Question 63

What is Wal-Mart's motivation for sharing data with its supply partners?

A) Creating switching costs for suppliers
B) Lowering prices of products
C) Achieving maturity in the American market
D) Countering the accusations of union activists
E) Deflecting criticism for ruining local mom-and-pop stores

Question 64

Tesco is the planet's largest retailer.

Question 65

A data cube refers to a:

A) user who is in control of a database management system.
B) heads-up display of critical indicators that allow managers to get a graphical glance at key performance metrics.
C) special database used to store data in OLAP reporting.
D) firm that collects data with the intention of reselling it to others.
E) combination of fields used to uniquely identify a record, and to relate separate tables in a database.

Question 66

What is data mining? What are the key areas where businesses are leveraging data mining?

Question 67

_____ are model building techniques where computers examine many potential solutions to a problem, iteratively modifying various mathematical models, and comparing the mutated models to search for a best alternative.

A) Expert systems
B) Ad hoc reporting tools
C) Iterative mutations
D) Sampled alliterations
E) Genetic algorithms

Question 68

_____ refers to the ratio of a company's annual sales to its inventory.

Question 69

Data mining is leveraged by firms to determine which products customers buy together, and how an organization can use this information to cross-sell more products or services. This area of application of data mining is referred to as:

A) market basket analysis.
B) collaborative filtering.
C) customer churn.
D) customer segmentation.
E) vertical integration.

Question 70

Inventory turnover ratio is:

A) the ratio of a company's annual sales to its inventory.
B) the ratio of a company's variable cost to its inventory.
C) the ratio of a company's fixed cost to its inventory.
D) the ratio of a company's annual cost to its inventory.
E) the ratio of a company's fixed assets to its inventory.

Question 71

Computer-driven investment models can be very effective when the market behaves as it has in the past. However, in terms of historical consistency, they are vulnerable to failure in the face of:

A) brute force attacks.
B) black swans.
C) zero-day exploits.
D) over-engineering.
E) distributed denial of service.

Question 72

Customer lifetime value represents:

A) the portion of income spent on leisure by a customer over the course of his lifetime.
B) the increase in the purchase of current goods and services that results from an increase in income.
C) a customer's assessment of the value of the brand, above its objective value.
D) the present value of the likely future income stream generated by an individual purchaser.
E) the tendency of a customer to stick with a brand even when it is priced higher than an otherwise equal product.

Question 73

How has Wal-Mart leveraged information technology to become the world's largest retailer?

Question 74

The data mining operations at Caesars have revealed that most of the revenue it generates comes from the affluent classes that include European princes and shipping heirs.

Question 75

A(n) _____ is an AI system that examines data and hunts down and exposes patterns, in order to build models to exploit findings.

A) data mine
B) canned report
C) data aggregator
D) neural network
E) e-discovery

Question 76

Having too much inventory or insufficient inventory is known as a retailer's "twin nightmares."

Question 77

_____ is the process of using computers to identify hidden patterns in and to build models from large data sets.

A) Data harvesting
B) E-discovery
C) Optimization
D) Report canning
E) Data mining

Question 78

Which of the following conditions is essential for data mining to work?

A) The data must be collected from proprietary sources and not from data aggregators.
B) The organization must leverage standard relational databases as opposed to inferior hierarchical and analytical databases.
C) The events in the data should reflect current and future trends.
D) The data mining software must necessarily incorporate ad hoc reporting tools and dashboards.
E) The data should have passed the Diehard suite of stringent tests for randomness.

Question 79

Wal-Mart supplements its huge data assets with additional data provided by information brokers like Information Resources and ACNielsen.

Question 80

_____ are AI systems that leverage rules or examples to perform a task in a way that mimics applied human expertise.