Experiencing Mis Canadian 4th Edition Kroenke Test Bank Download

Experiencing MIS Canadian 4th Edition
Kroenke Test Bank

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Experiencing MIS, Cdn. Ed., 4e (Kroenke)
Chapter 7 Competitive Advantage and Business Processes
1) One way to gain competitive advantage using information systems is through business
process.
Answer: TRUE
Diff: 1 Type: TF Page Ref: 232
Topic: Q1
Skill: RECALL
2) It is illegal to use a shared supply chain management system to infer what your competitor's
inventory levels are.
Answer: FALSE
Topic: Q1
Skill: APPLIED
3) Using MIS, one way to gain competitive advantage is to enhance the product or service by
applying technological change.
Answer: TRUE
Topic: Q1
Skill: RECALL
4) Functional silos are designed to work independently of one another.

Answer: TRUE
Topic: Q2
Skill: RECALL
5) Cross-functional systems facilitate work of a single department or business function.

Answer: FALSE
Topic: Q2
Skill: RECALL
6) Supplier relationship management is a business process for managing all contacts between the
organization and its supplies.
Answer: TRUE
Topic: Q8
Skill: RECALL
1
Copyright © 2016 Pearson Canada Inc.
7) In the last 10 years, all companies have entirely switched from functional systems to fully
integrated or cross-functional systems.
Answer: FALSE
Topic: Q2
Skill: RECALL
8) With functional silos, management must query separate functional systems and integrate the
data manually.
Answer: TRUE
Topic: Q2
Skill: RECALL
9) With functional systems, one of the biggest problems is duplicated data.

Answer: TRUE
Topic: Q2
Skill: RECALL
10) Functional systems often lead to disjointed processes and increased expenses.
Answer: TRUE
Topic: Q2
Skill: RECALL
11) Independent, isolated systems are good for making businesses more efficient today.
Answer: FALSE
Topic: Q2
Skill: RECALL
12) ERP systems integrate sales, orders, inventory, manufacturing, customer service, human
resources, and accounting.
Answer: TRUE
Topic: Q6
Skill: RECALL
13) Order entry is usually found in the accounting functional systems.

Answer: FALSE
Topic: Q2
Skill: RECALL
2
14) A general ledger application would be an example of a process-based system.
Answer: FALSE
Topic: Q2
Skill: RECALL
15) Most organizations today have a mixture of functional and integrated systems.
Answer: TRUE
Topic: Q2
Skill: RECALL
16) Customer Relationship Management (CRM) is an example of a cross-functional system.

Answer: TRUE
Topic: Q7
Skill: RECALL
17) Enterprise Resource Planning software uses one database to connect the functional areas.
Answer: TRUE
Topic: Q6
Skill: RECALL
18) Enterprise Application Integration uses an interface to access the individual functional
databases.
Answer: TRUE
Topic: Q3
Skill: RECALL
19) Customer service is typically part of the marketing and sales function.
Answer: FALSE
Topic: Q2
Skill: RECALL
20) The operations function handles order entry and inventory management.
Answer: TRUE
Topic: Q2
Skill: RECALL
3
21) It is not possible to improve business processes without technological change.
Answer: FALSE
Topic: Q3
Skill: RECALL
22) EAI leaves the functional systems and databases basically intact.
Answer: TRUE
Topic: Q3
Skill: RECALL
23) Either EAI or ERP can be used to integrate functional systems.

Answer: TRUE
Topic: Q3
Skill: RECALL
24) The user interface for Enterprise Application Integration systems and Enterprise Resource
Planning systems look completely different to the end user.
Answer: FALSE
Topic: Q3
Skill: RECALL
25) Business process design is well understood and the outcomes are fairly certain once the
changes are begun.
Answer: FALSE
Topic: Q4
Skill: APPLIED
26) In a functional system, the data required to answer queries from and about customers is
contained within the order management system so links to other systems are not necessary.
Answer: FALSE
Topic: Q2
Skill: APPLIED
27) Isolated systems can lead to inefficiency and higher organizational costs.
Answer: TRUE
Topic: Q2
Skill: RECALL
4
28) Porter's concept of the "process chain" is crucial for developing a competitive strategy.
Answer: FALSE
Topic: Q2
Skill: RECALL
29) Most employees welcome and embrace changes caused by business process redesign.
Answer: FALSE
Topic: Q4
Skill: APPLIED
30) Grand & Toy has expanded its business model by offering services through the web in the
last decade.
Answer: TRUE
Topic: Q1
Skill: RECALL
31) Functional systems in Porter's Value Chain are usually comprised of

A) HR, Accounting, Operations, Sales.
B) Accounting, Payroll, HR, Sales.
C) Operations, Advertising, HR, Sales.
D) Accounting, Advertising, Payroll, Marketing.
E) Primary activities and Support Activities.
Answer: A
Diff: 3 Type: MC Page Ref: 234
Topic: Q2
Skill: RECALL
32) Originally the ________ supported the work of a single department or function.
A) calculation systems
B) cross-function systems
C) departmental systems
D) inter-organizational systems
E) functional systems
Answer: E
Topic: Q2
Skill: RECALL
5
33) Systems that are designed to support activities across departmental boundaries are called
A) calculation systems.
B) functional systems.
C) cross-departmental systems.
D) inter-organizational systems.
E) operating systems.
Answer: C
Topic: Q2
Skill: RECALL
34) Systems that are used by two or more related companies are referred to as
A) functional systems.
B) calculation systems.
C) inter-organizational systems.
D) operating systems.
E) departmental systems.
Answer: C
Topic: Q2
Skill: RECALL
35) Which of the following are examples of accounting functional systems?

A) Lead tracking
B) Inventory management
C) Sales forecasting
D) Manufacturing operations
E) Accounts receivable
Answer: E
Topic: Q2
Skill: RECALL
36) Which of the following is (are) TRUE statements with functional systems?
A) Improved data results
B) Improved data integrity
C) Better communications
D) Increased profitability
E) Isolated systems
Answer: E
Topic: Q2
Skill: RECALL
6
37) Which of the following is a (are) consequence(s) of a disjoint system?
A) Efficiency
B) Greater supply of integrated enterprise information
C) Decreased cost
D) Cohesive business processes
E) Lower profits
Answer: E
Topic: Q2
Skill: RECALL
38) Which of the following is a rationale for business process design?

A) Existing functional systems are flawed and should be improved.
B) New and more efficient business processes that integrate the activities of all departments
involved in a value chain should be created.
C) Business processes are inefficient and do not integrate with other departments.
D) Existing business processes are returning a good ROI and should be kept running like this.
E) Existing systems do not support the value chain and therefore need to be improved.
Answer: B
Topic: Q3
Skill: RECALL
39) ________ support the business processes of attracting, selling, managing, delivering, and
supporting customers.
A) Enterprise Resource Planning Systems
B) Value Chain Management Systems
C) Supplier Relationship Management Systems
D) Supply Chain Management Systems
E) Customer Relationship Management Systems
Answer: E
Topic: Q7
Skill: RECALL
40) ________ support all of the primary business processes as well as the human resources and
accounting support processes.
A) Customer Relationship Management Systems
B) Supply Chain Management Systems
C) Enterprise Resource Planning Systems
D) Value Chain Management Systems
E) Supplier Relationship Management Systems
Answer: C
Topic: Q6
Skill: RECALL
7
41) When a company purchases an "Industry Standard Process" from a vendor like SAP, the
company often has to
A) lay off staff to conform to the new standards.
B) change the way to company operates to conform to the software.
C) buy more equipment to conform to the software needs.
D) hire more staff to use the software more efficiently.
E) wait years for a payback.
Answer: B
Topic: Q5
Skill: RECALL
42) When a company purchases an "Industry Standard Process" from a vendor like SAP, the
company may benefit
A) by gaining "best practices" it would otherwise have developed on its own.
B) because employees will conform with the changes rapidly and be more efficient.
C) because customers will demand lower prices.
D) hardly ever.
E) because the company will have a unique application that will generate competitive advantage.
Answer: A
Topic: Q5
Skill: APPLIED
43) ERP systems handle

A) mainly HR functions.
B) mainly sales tracking.
C) only accounting.
D) sales and accounting.
E) all of the company's functions.
Answer: D
Topic: Q6
Skill: RECALL
44) The elimination of the middle layer in a supply chain is called

A) disintermediation.
B) intermediation.
C) reintermediation re-intermediation.
D) normalization.
E) price elasticity.
Answer: A
Topic: Q8
Skill: RECALL
8
45) ________ is a business process for managing all contacts between an organization and its
suppliers.
A) SRM
B) CRM
C) BRM
D) KRM
E) FRM
Answer: A
Topic: Q8
Skill: RECALL
46) Functional applications are sometimes call

A) islands of automation.
B) inefficient systems.
C) isolated silos.
D) functional islands.
E) functional silos.
Answer: E
Topic: Q2
Skill: RECALL
47) ________ are used by non-manufacturers, such as distributors and retailers.

A) Human resource systems
B) Manufacturing systems
C) Accounting systems
D) Operations systems
E) Marketing and sales systems
Answer: D
Topic: Q2
Skill: APPLIED
48) Which of the following is a function of a manufacturing system?

A) Order entry
B) Customer service
C) Scheduling
D) Order management
E) Inventory management
Answer: C
Topic: Q2
Skill: RECALL
9
49) Which of the following is involved in supply chain management?
A) SRM
B) CRM
C) VRM
D) CRM and VRM
E) SRM and CRM
Answer: E
Topic: Q8
Skill: RECALL
50) Which of the following is NOT a driver of supply chain management performance?
A) Information
B) Transportation
C) Facilities
D) Hardware
E) Inventory
Answer: D
Topic: Q8
Skill: RECALL
51) ERP uses

A) integration to manage the 5 different databases in a typical company.
B) pull-push production planning.
C) customized programming to adapt to the purchaser's way of doing business.
D) one centralized database.
E) undocumented, brand new software.
Answer: D
Topic: Q5
Skill: RECALL
52) Which of the following contains the elements of the customer life cycle?
A) Marketing, Customer acquisition, Relationship management, Customer service
B) Customer acquisition, Loss/churn, Accounts receivable, Customer service
C) Loss /churn, Relationship management, Marketing, Accounts receivable
D) Relationship management, Accounts payable, Loss/churn, Marketing
E) Loss/Churn, Relationship management, Customer acquisition, Marketing
Answer: E
Topic: Q7
Skill: RECALL
10
53) The purpose of relationship management applications is to
A) extend social marketing effectiveness.
B) reduce accounts receivable.
C) advertise promotions in a timely way.
D) get new customers.
E) maximize the value of the existing customer base.
Answer: E
Topic: Q7
Skill: RECALL
54) Sales management applications support

A) the maximization of the value of the customer.
B) sales to existing customers.
C) network marketing.
D) database conversion
E) prospecting for new customers.
Answer: B
Topic: Q7
Skill: RECALL
55) Interorganizational systems that enable companies to efficiently handle the flow of goods
from suppliers to customer are known as
A) application software.
B) disintermediating systems.
C) competitive advantages.
D) CRM systems.
E) supply chain management systems.
Answer: E
Topic: Q8
Skill: RECALL
56) The internet and database management systems have allowed manufacturers like Dell to sell
directly to consumers. This is called
A) direct marketing.
B) B2G sales.
C) disintermediation.
D) integrated CRM.
E) eBay.
Answer: C
Topic: Q8
Skill: RECALL
11
57) The only source of revenue in the supply chain is the
A) sales department.
B) cash register.
C) end consumer.
D) purchasing department.
E) manufacturer.
Answer: C
Topic: Q8
Skill: RECALL
58) Functional applications are sometimes called functional

A) automation.
B) silos.
C) islands.
D) confusion.
E) integration.
Answer: B
Topic: Q2
Skill: RECALL
59) Systems that span functional ________ are known as cross-functional systems.
A) departments
B) processes
C) systems
D) boundaries
E) functions
Answer: D
Topic: Q2
Skill: RECALL
60) Inventory management systems are usually found in the ________ functional area.
A) sales and marketing.
B) operations.
C) human resources.
D) accounting and finance.
E) manufacturing.
Answer: B
Topic: Q2
Skill: RECALL
12
61) Payroll is an application that is traditionally run in the functional area of
B) human resources.
C) manufacturing.
D) operations.
E) accounting and finance.
Answer: B
Topic: Q2
Skill: RECALL
62) The general ledger (GL) is an application that is traditionally run in the functional area of
B) manufacturing.
C) operations.
D) human resources.
E) accounting and finance.
Answer: E
Topic: Q2
Skill: RECALL
63) Order entry is an application that is traditionally run in the functional area of
A) human resources.
B) accounting and finance.
C) manufacturing.
D) operations.
E) sales and marketing.
Answer: D
Topic: Q2
Skill: RECALL
64) ________ combines functional systems by using software bridges to connect different
functional systems.
A) EAI
B) ERP
C) CRM
D) SAP R/3
E) MIS
Answer: A
Topic: Q3
Skill: RECALL
13
65) Lead tracking is an application that is traditionally run in the functional area of
A) operations.
B) sales and marketing.
C) manufacturing.
D) accounting and finance.
E) human resources.
Answer: B
Topic: Q2
Skill: RECALL
66) SAP is one of the leading vendors of ________ software.

A) ERP
B) SCM
C) CRM
D) DBMS
E) CASE
Answer: A
Topic: Q6
Skill: RECALL
67) Software that integrates sales, orders, inventory, manufacturing, customer service, human
resources, and accounting is called
A) ERP systems.
B) vapour ware.
C) DBMS.
D) CAM.
E) MPS.
Answer: A
Topic: Q6
Skill: RECALL
68) One of the problems of functional systems is that data stored for different functional areas
may be inconsistent and
A) incomplete.
B) redundant.
C) outdated.
D) not integrated
E) disjointed.
Answer: B
Topic: Q2
Skill: RECALL
14
69) When functional systems are isolated, business processes are
A) redundant.
B) disjointed.
C) incomplete.
D) not integrated.
E) outdated.
Answer: B
Topic: Q2
Skill: RECALL
70) If the order entry system defines part numbers using a 6-digit code and the inventory system
defines part numbers using an 8 digit code, the data must be ________ in order for the two
systems to share data.
A) recombined
B) imported
C) restructured
D) updated
E) converted
Answer: E
Topic: Q2
Skill: RECALL
71) Oracle, Microsoft, and SAP are all examples of ________ software vendors.
A) MRP
B) CRM
C) ERP
D) SCM
E) CASE
Answer: C
Topic: Q6
Skill: RECALL
72) An example of integrated, cross functional information system would be

A) CASE.
B) CAM.
C) CAO.
D) CRM.
E) CAD.
Answer: D
Topic: Q7
Skill: RECALL
15
73) A hotel that is experiencing a slow period could use a(n) ________ to market promotions to
its best customers.
A) flyer campaign
B) general ledger program
C) twitter account
D) facebook page
E) integrated CRM application
Answer: E
Topic: Q7
Skill: RECALL
74) Business process management is all about

A) CRM.
B) installing SAP R/3 to gain industry standard processes.
C) shortening your supply chain.
D) accomplishing the same activities with less resource cost.
E) becoming a cost leader under Porter's models.
Answer: D
Topic: Q3
Skill: RECALL
75) ________ systems link up all the processes that touch the customer.
A) MRP
B) CASE
C) CRM
D) ERP
E) SRM
Answer: C
Topic: Q7
Skill: RECALL
76) Business process design projects are expensive and difficult because
A) business processes are often complex.
B) of legacy technology.
C) of legal issues.
D) poor business processes are inefficient.
E) business processes are complex and poor business processes are inefficient.
Answer: A
Topic: Q4
Skill: RECALL
16
77) The movement of business process design came about because systems developers began to
wonder how they could
A) improve existing functional systems.
B) develop customer management relationship systems.
C) use networks to go beyond just automating functional applications.
D) use systems to automate the supply chain.
E) integrate several different areas in an entire value chain.
Answer: E
Topic: Q3
Skill: RECALL
78) When implementing a system such as SAP companies must (can)

A) experience substantial change.
B) save money.
C) experience its primary benefits from the software
D) adhere to industry standard processes.
E) continue to use all their own business process standards.
Answer: D
Topic: Q6
Skill: RECALL
79) The greatest advantages of a CRM system is that

A) organizations can prioritize sales time and effort.
B) it can use sales management applications.
C) customer-touching processes can be linked to one another.
D) all the data is stored in a single database.
E) sales people can potentially increase sales.
Answer: C
Topic: Q7
Skill: RECALL
80) When adopting an ERO, the organization gains benefits because

A) ERP has process blueprints.
B) ERP allows the organization to gain the benefit of processes that have already been proven
successful.
C) ERP integrates all the activities in the organization and makes the organization successful.
D) ERP allows the organization to standardize all of the corporate data.
E) ERP places all the corporate data into a single database and makes business process more
successful.
Answer: B
Topic: Q6
Skill: RECALL
17
81) SRM applications support these three basic processes
A) approve, enter, pay.
B) book, receive, attend.
C) attract, qualify, convert.
D) invoice, inventory and payment.
E) source, purchase and settle.
Answer: E
Topic: Q8
Skill: RECALL
82) Companies selling to other companies or to government need to fully

A) integrate CRM and SRM systems.
B) reach a wider audience.
C) integrate ERP systems into their business models.
D) become electronic exchanges.
E) incorporate non-merchant ecommerce.
Answer: A
Topic: Q8
Skill: APPLIED
83) In the auto industry, supply chain management applications will include
A) SRM, inventory and CRM.
B) customer tracking, production, and advertising.
C) SRM and CRM only.
D) ERP.
E) production capacity.
Answer: A
Topic: Q8
Skill: APPLIED
84) In the settlement phase of an SRM application the SRM is linked to

A) the financial management application or module.
B) operations and manufacturing department.
C) the company's web ordering system.
D) the supplier's bank account.
E) the inventory management application.
Answer: A
Topic: Q8
Skill: APPLIED
18
85) ________ is software that integrates all of the processes that touch a customer.
Answer: CRM
Diff: 2 Type: SA Page Ref: 243
Topic: Q7
Skill: RECALL
86) A(n) ________ system stores all customer data in one place.
Answer: CRM
Topic: Q7
Skill: RECALL
87) EAI applications store data in (a) ________ database(s).

Answer: multiple
Topic: Q3
Skill: RECALL
88) Systems that integrate all of an organization's core processes are called ________ systems.
Answer: ERP
Topic: Q3
Skill: RECALL
89) One of the most successful vendors of ERP software is the German firm ________.
Answer: SAP
Topic: Q6
Skill: RECALL
90) Business application software from large companies usually has ________ processes.
Answer: industry standard
Topic: Q5
Skill: RECALL
91) Four major factors, or drivers, affect supply chain performance: facilities, inventory,
transportation, and ________.
Answer: information
Topic: Q8
Skill: RECALL
19
92) ________ were developed to solve the problems associated with functional silos.
Answer: Cross-functional systems
Topic: Q2
Skill: RECALL
93) To compete internationally, organizations must eventually achieve the efficiencies of cross-
functional, ________ systems.
Answer: process-based
Topic: Q2
Skill: RECALL
94) ________ systems include HR, Accounting and Finance, Marketing and Sales, Operations,
and Manufacturing.
Answer: Functional
Topic: Q2
Skill: RECALL
95) Personnel performance assessments are tasks that are supported by the ________ functional
systems.
Answer: human resources (HR)
Topic: Q2
Skill: RECALL
96) Cash management is a task that is supported by ________ functional systems.

Answer: accounting
Topic: Q2
Skill: RECALL
97) ________ systems are functional systems that store data about potential customers, their
product interests, and contacts with them by sales personnel for lead-tracking purposes.
Answer: Marketing and sales
Topic: Q2
Skill: RECALL
98) When a salesperson enters a customer order and verifies the customer's credit they are using
a functional application from the ________ systems.
Answer: operations
Topic: Q2
Skill: RECALL
20
99) ________ can save the organization substantial costs of designing a new process.
Answer: Industry standard processes
Topic: Q5
Skill: RECALL
100) There are three factors of information: purpose, ________, and means.
Answer: availability
Topic: Q7
Skill: RECALL
101) The ________ of ERP systems erodes if all companies use the same "industry standard"
processes.
Answer: competitive advantage
Topic: Q6
Skill: RECALL
102) It is the combination of people, procedures, hardware, software, and data that creates
________.
Answer: sustainable advantage
Topic: Q6
Skill: RECALL
103) ________ systems are used by two or more related companies.

Answer: Inter-organizational
Topic: Q2
Skill: RECALL
104) The purpose of ________ management applications is to maximize the value of the existing
customer base.
Answer: relationship
Topic: Q2
Skill: RECALL
105) Integrated CRM applications store data in a ________ database.

Answer: single
Topic: Q7
Skill: RECALL
21
106) With a(n) ________ system, people in the functional areas use the software to send and
receive data directly from the central database.
Answer: ERP
Topic: Q3
Skill: RECALL
107) Diagrams that show business processes show the flow and logic of one set of processes;
these are referred to as ________.
Answer: blueprints
Topic: Q4
Skill: RECALL
108) Because all customer data resides in a single location in a CRM system, all CRM processes
can be ________ to one another.
Answer: linked
Topic: Q7
Skill: RECALL
109) In an ERP, the processes displayed in the business ________ have been tried and tested by
hundreds of organizations.
Answer: blueprints
Topic: Q5
Skill: RECALL
110) What is an enterprise resource planning system?

Answer: Enterprise resource planning systems support all of the primary business processes as
well as the human resources and accounting support processes.
Diff: 2 Type: ES Page Ref: 241
Topic: Q5
Skill: RECALL
111) What are the steps in the customer life cycle?

Answer: Marketing, customer acquisition, relationship management, and loss/churn.
Topic: Q7
Skill: RECALL
112) What is an industry standard process?

Answer: An industry standard process is embedded is a business process that is embedded in
enterprise application software.
Topic: Q5
Skill: RECALL
22
113) What is a SRM system?
Answer: A supplier relationship management is a business process for managing all contacts
between an organization and its suppliers.
Topic: Q8
Skill: RECALL
114) What is a CRM system?

Answer: Customer relationship management (CRM) systems support the business processes of
attracting, selling, managing, delivering, and supporting customers.
Topic: Q7
Skill: RECALL
115) What is a supply chain?

Answer: A supply chain is a network of organizations and facilities that transforms raw
materials into products delivered to customers.
Topic: Q8
Skill: RECALL
116) What is the difference between a CRM and a traditional functional application?
Answer: The difference between CRM systems and traditional functional applications is that
CRM addresses all activities and events that touch the customer and provides a single repository
for data about all customer interactions. With functional systems, data about customers are
sprinkled in databases all over the organization. Some customer data exist in customer
management databases, some in order entry databases, some in customer service databases, and
so forth. CRM systems store all customer data in one place and make it possible to access all
data about the customer.
Topic: Q7
Skill: APPLIED
117) It is said that adopting a system such as SAP R/3 may trigger a reduction in competitive
advantage through the spread of industry standard processes. Explain why this may happen and
identify the important difference that may mitigate this reduction.
Answer: Adopting a system such as SAP/3 may cause a reduction in competitive advantage
through the spread of industry standard processes because the organization is imitating other
organization's processes instead of developing/improving its own. Therefore, it seems to provide
not much differentiation from other organizations. However, as we have learned, information
systems do not only refer to the hardware, software, and procedures, but also data and people.
Thus, the organization's competitive advantage depends on the good combination of these five
components. Also, industry standard process can help an organization improve their processes by
realizing the best practices of its competitors.
Topic: Q5
Skill: APPLIED
23
118) As all the companies in an industry move to more integrated information systems how can
they still reap a competitive advantage from them? Does adopting the standard business blueprint
still provide a competitive advantage?
Answer: Although many companies raced to implement an ERP system prior to Y2K, there was
considerable variation in the level and quality of the integration of the business processes that
they achieved. There is still a lot of room for improvement. Companies hope to build on these
integrated systems not only by improving the processes, but also by adding wireless access,
Web-enabling them, and integrating other new technologies like RFID tags and scanning
applications. Some very large companies even have multiple ERP systems that are difficult to
integrate between their different business units. There is potential for integration on an even
larger, corporate scale. There is some debate today about whether ERP systems have become so
prevalent that they have become commoditized and don't offer any differentiation in industry.
ERP vendors have tried to counter this by expanding their offerings to support things like
archiving and specialized reporting. They now offer to go back and perform process tune-ups
and even optimizing things like the supply chain.
Topic: Q6
Skill: APPLIED
119) Give an example of an application from each of the five categories of functional systems.
Answer: Marketing and Sales: Sales forecasting
Operations: Inventory management
Manufacturing: Scheduling
Human resources: Payroll and compensation
Accounting and finance: Accounts receivable
Topic: Q2
Skill: RECALL
120) Describe how an ERP supports each of the primary activities in Porter's value chain model.
Answer: The generic value chain has five primary and four support activities. The primary
activities of the value chain include inbound logistics, operations, outbound logistics, marketing
and sales, and service. An ERP allows for the linking of these activities together so that data
from the primary and support activities can be combined in the decision making process.
Topic: Q2
Skill: APPLIED
24
121) Inter-organizational information systems such as SCM, SRM, and Web-based systems have
the potential for providing significant competitive advantage today. While this is good in theory,
what potential problems does it present?
Answer: The adoption of inter-organizational information systems involves multiples
departments; that is, its implementation demands the organization to invest enough time in a
thorough understanding of the system a priori. One potential problem that may arise is that data
are not properly corrected (e.g., accurate information, normalized data) and entered in the
system. This problem may cause the system to fail because the ultimate goal of these systems is
the exchange of accurate and reliable information. Another issue is people's resistance to using
the new system and the change. If users are not given a proper training in the benefits, use, and
purpose of the system as well as not given the opportunity to get involved in the implementation
stages, users start losing faith in the usefulness of the information system.
Topic: Q6
Skill: APPLIED
25

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Experiencing MIS Canadian 4th Edition

Kroenke Test Bank

4) Functional silos are designed to work independently of one another.

5) Cross-functional systems facilitate work of a single department or business function.

9) With functional systems, one of the biggest problems is duplicated data.

13) Order entry is usually found in the accounting functional systems.

16) Customer Relationship Management (CRM) is an example of a cross-functional system.

23) Either EAI or ERP can be used to integrate functional systems.

31) Functional systems in Porter's Value Chain are usually comprised of

35) Which of the following are examples of accounting functional systems?

38) Which of the following is a rationale for business process design?

43) ERP systems handle

44) The elimination of the middle layer in a supply chain is called

46) Functional applications are sometimes call

47) ________ are used by non-manufacturers, such as distributors and retailers.

48) Which of the following is a function of a manufacturing system?

51) ERP uses

54) Sales management applications support

58) Functional applications are sometimes called functional

66) SAP is one of the leading vendors of ________ software.

72) An example of integrated, cross functional information system would be

74) Business process management is all about

78) When implementing a system such as SAP companies must (can)

79) The greatest advantages of a CRM system is that

80) When adopting an ERO, the organization gains benefits because

82) Companies selling to other companies or to government need to fully

84) In the settlement phase of an SRM application the SRM is linked to

87) EAI applications store data in (a) ________ database(s).

96) Cash management is a task that is supported by ________ functional systems.

103) ________ systems are used by two or more related companies.

105) Integrated CRM applications store data in a ________ database.

110) What is an enterprise resource planning system?

111) What are the steps in the customer life cycle?

112) What is an industry standard process?

114) What is a CRM system?

115) What is a supply chain?

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