Question 1

Companies use IT systems to manage the ______________ which starts with the acquisition of raw materials or the procurement purchase) of products and proceeds through manufacture, transport, and delivery-and the disposal or recycling of products.

Accepted Answer

The description fits the definition of supply chain management, which involves the entire process from raw material acquisition to product disposal or recycling. IT systems are used to manage the various aspects of the supply chain such as inventory, transportation, and logistics. While IT systems may also be used in other processes such as strategic planning and sales, they are not the primary focus of those processes as they are in supply chain management.

Question 2

Organizations continue to run older business systems, called ______________ because they form the core of mission-critical computing systems.

Accepted Answer

Legacy systems are older business systems that are still being used because they are essential to the organization's mission-critical computing systems. A is not a commonly used term, B may refer to newer but outdated software, and D refers to software that is slow or inefficient due to excessive features.

Question 3

Enterprise systems help managers and companies improve their performance by enabling them to __________.

Accepted Answer

Enterprise systems are designed to integrate and streamline internal business processes and improve collaboration with external business partners. This allows managers and companies to improve their performance by increasing efficiency, reducing costs, and enhancing communication both within and outside the organization. Choices A and C are features that may be enabled by enterprise systems, but they are not the primary purpose of these systems. Choice D is not a typical use case for enterprise systems, which are typically implemented in-house rather than outsourced to vendors.

Question 4

With __________, supply chain partners collaborate in planning and demand forecasting in order to ensure that members of the supply chain will have the right amount of raw materials and finished goods when they need them.

Accepted Answer

Collaborative Planning, Forecasting, and Replenishment (CPFR) systems are specifically designed for supply chain partners to collaborate on planning and demand forecasting to ensure that the right amount of raw materials and finished goods are available when needed. ERP systems, KM systems, and SCM software may incorporate elements of CPFR but are not specifically designed for this purpose.

Question 5

Enterprise systems are integrated ISs that support core business processes and functions. How is integration achieved?

Accepted Answer

Integration in enterprise systems is achieved by linking databases and data warehouses so they can share data. This enables different business functions and processes to work together seamlessly and efficiently. Option A is incorrect as connecting networks alone does not guarantee integration of business processes. Option B is incorrect as outsourcing to vendors may not necessarily lead to a fully integrated system. Option D is incorrect as cloud computing is a delivery model rather than a method for achieving integration.

Question 6

Many ERP systems incorporate __________________ principles, which involve minimizing all forms of waste.

Accepted Answer

Lean manufacturing principles aim to minimize all forms of waste by optimizing the flow of goods and services throughout a company's operations. ERPs that incorporate lean manufacturing can help businesses reduce costs and improve efficiency.

Question 7

Which is not one of the reasons why companies might need to migrate from legacy systems to enterprise systems?

Accepted Answer

Option D is the only choice that is not a valid reason for migrating from legacy systems to enterprise systems. While it is true that there will be a learning curve for end users when transitioning to new systems, this is not a reason to avoid such a transition. In fact, it is often worth the initial productivity hit to gain the benefits of an enterprise system. Options A, B, and C are all valid reasons to migrate, as high maintenance costs, inflexible architectures, and difficulty integrating with modern applications can all hamper a company's ability to compete effectively.

Question 8

Consumer product and retail industries lose about $40 billion annually, or 3.5 percent of their sales, due to __________.

Accepted Answer

The answer of Consumer product and retail industries lose about...

Question 9

When companies need to update mission critical computing systems, they often turn to ______________________ which integrate core business process and functions.

Accepted Answer

Enterprise information systems, also known as enterprise systems, are designed to integrate core business processes and functions across an organization. This includes areas such as finance, human resources, supply chain management, and customer relationship management. Updating mission critical computing systems with an enterprise system can help improve efficiency, reduce costs, and provide better visibility into company operations.

Question 10

Why are ERP systems strategic weapons for food manufacturers?

Accepted Answer

ERP systems are essential for food manufacturers to manage costs, inventory, and government regulations, especially given the industry's margin pressures. They help in maintaining transparency and traceability in the supply chain. With the help of ERP, food manufacturers can make quick business decisions and mitigate risks. ERP system provides real-time data and helps to streamline the manufacturing process. Thus, ERP systems act as a strategic weapon for food manufacturers. A, B, and D are not the primary reasons why ERP systems are essential for food manufacturers.

Question 11

Implementing an enterprise system is challenging because it requires extensive organizational changes. Which of the following was not one of the required changes identified in your textbook?

Accepted Answer

The required changes identified in the textbook were the redesign of business processes, changes in how people perform their jobs, and integration of many types of information systems. The textbook does not mention an increased size of IT staff and technical personnel as a required change.

Question 12

Lessons learned from ERP failures include each of the following except:

Accepted Answer

Vendor blogs, white papers, and YouTube posts may offer useful information about ERP solutions, but they are unlikely to provide objective data. In general, companies should rely on a variety of sources, including independent analysts and customer reviews, to make an informed decision about which ERP solution is right for them. The other options listed are all valid lessons that can be learned from ERP failures.

Question 13

__________ are commercial software packages that integrate business processes, including supply chains, manufacturing, financial, human resources, budgeting, sales, and customer service.

Accepted Answer

ERP (Enterprise Resource Planning) systems are the commercial software packages that integrate various business processes like supply chains, manufacturing, financial, human resources, budgeting, sales, and customer service. CPFR (Collaborative Planning, Forecasting, and Replenishment) systems, SCM (Supply Chain Management) software, and KM (Knowledge Management) systems are not specifically designed to integrate all these business processes.

Question 14

The greatest challenges when implementing enterprise systems are due to _____.

Accepted Answer

Implementing enterprise systems often involves significant process and organizational changes, which can be difficult for employees to adjust to. This can lead to resistance, reluctance to use the new systems, and decreased productivity. Dealing with these issues requires effective change management strategies, including communication, training, and support. While technology and vendor selection can also be challenging, they are often secondary to the process and change management issues.

Question 15

Despite potential benefits, not all companies invest in ERP if they cannot meet requirements or overcome the challenges. Which of the following is not one of those requirements or challenges?

Accepted Answer

The statement "Initial costs to purchase or lease and set up the ERP are very low" is incorrect, as the correct statement is "Initial costs to purchase or lease and set up the ERP may be extremely high." The other options are valid requirements or challenges for companies considering implementing an ERP system.

Question 16

Business-to-business integration B2Bi) is vital for efficient and accurate flow of data across internal ISs and external business partners. B2Bi and secure data exchange over the Internet is done through __________.

Accepted Answer

B2B gateways are specialized software that enables secure communication and data exchange between different ISs and external B2B partners. They can provide data translation, transformation, and routing services to ensure a seamless flow of information across different systems and networks. Wireless routers and data sources are not specifically designed for B2B integration, while EAI middleware is more focused on integrating internal systems within an enterprise rather than connecting with external partners.

Question 17

__________ is the ability to thrive in a changing environment, which can be achieved by streamlining processes for quick response.

Accepted Answer

Agility refers to the ability to adapt and thrive in a changing environment. Streamlining processes for quick response is one way to achieve agility. Scalability refers to the ability to handle increased volume or growth without losing performance. Reengineering refers to the fundamental redesign of processes to improve performance. Collaborative planning refers to the process of working together to plan and coordinate activities. While all of these concepts may be important for a successful organization, agility is the best choice for the given definition.

Question 18

What is the first step toward becoming an agile manufacturer?

Accepted Answer

Developing the means to monitor the marketplace is the first step toward becoming an agile manufacturer because it enables the organization to understand customer needs, anticipate changes in demand, and respond quickly to market trends. This information is crucial for agile manufacturing, which relies on flexibility and responsiveness to meet changing customer demands. While the other options may also be important for becoming an agile manufacturer, they are not the first step in the process.

Question 19

Typically, how are ERP systems acquired?

Accepted Answer

ERP systems are typically acquired by purchasing or leasing packaged software from vendors who specialize in ERP systems. While some companies may opt to build their own ERP system in-house or with proprietary software, this is less common and often not as cost-effective as purchasing a pre-existing software solution. Similarly, while consulting companies and vendors may offer custom-built solutions, these are generally not the primary way in which ERP systems are acquired.

Question 20

Each of the following describes ERP systems except:

Accepted Answer

ERP systems can interface with legacy apps through various integration methods. Therefore, A is incorrect. B, C, and D are all accurate descriptions of ERP systems.

Quiz 10: Enterprise Systems and Applications