CIS 519 Midterm and Final Exam – Strayer NEW



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Chapter 1 Through 14

Chapter 1   Decision Support Systems and Business Intelligence

1) When faced with a turbulent business environment, organizations are best able to survive or even excel by minimizing changes until the environment stabilizes.

Diff: 2    Page Ref: 2

2) The management of Norfolk Southern, a large freight railroad company, invested in data warehousing technologies. Even though railroad transportation is a mature industry, Norfolk Southern gained a competitive advantage by using its data warehousing technologies to squeeze additional efficiency from its operations.

Diff: 2    Page Ref: 4

3) Globalization has significantly reduced the complexity of the business environment. For example, companies can find suppliers and customers in many countries where materials are cheaper, which reduces competition and complexity.

Diff: 3    Page Ref: 5

4) One of the major objectives of computerized decision support is to minimize the gap between the current performance of an organization and its desired performance.

Diff: 2    Page Ref: 6

5) One measure of productivity is the ratio of inputs to outputs.

Diff: 2    Page Ref: 7

6) Managers, especially those at high managerial levels, are primarily hands-on problem solvers.

Diff: 2    Page Ref: 7

7) Because managerial decision making is complex, it is more important to emphasize methodical, analytical decision making rather than interpersonal communication skills.

Diff: 3    Page Ref: 7

8) Government regulations, political instability, competition, and changing consumer demands cause uncertainty that makes it difficult to predict the consequences of a decision.

Diff: 2    Page Ref: 8



9) Computer applications have progressed from transaction processing and monitoring to problem analysis and solution applications, and much of the activity is supported by spreadsheet technologies.

Diff: 2    Page Ref: 9
10) Computerized systems enable people to overcome their cognitive limits by quickly accessing and processing vast amounts of stored information.

Diff: 2    Page Ref: 10

11) Accounts receivable and accounts payable processes are highly structured, which makes them easy to program.

Diff: 2    Page Ref: 11

12) Research and development (R & D) planning and social responsibility planning are unstructured decisions, which cannot be supported by computerized decision support systems.

Diff: 3    Page Ref: 11

13) The first phase in the decision-making process is design which involves inventing, developing, and analyzing possible alternative courses of action or solutions.

Diff: 2    Page Ref: 12

14) Automated decision systems (ADS) are rule-based systems that provide solutions to repetitive managerial problems, usually in one functional area (e.g., finance, manufacturing).

Diff: 3    Page Ref: 14

15) The term Decision Support Systems (DSS) can be used as an umbrella term to describe any computerized system that supports decision making in an organization.

Diff: 1    Page Ref: 16

16) The two major DSS types are the model-oriented DSS, in which quantitative models are used to generate a recommended solution to a problem, and data-oriented DSS, which support ad hoc reporting and queries.

Diff: 2    Page Ref: 17

17) A BI system has three major components: a data warehouse with source data; business performance management (BPM) for monitoring and analyzing performance; and a user interface such as a dashboard.

Diff: 2    Page Ref: 20

18) Most DSS are constructed to directly support specific decision making. In contrast, BI systems, in general typically provide accurate and timely information to support decision support indirectly. This difference is diminishing because decision support tools are being added to BI software packages.

Diff: 3    Page Ref: 24
19) Dashboards and information portals are data visualization tools.

Diff: 2    Page Ref: 26

20) The objective of computerized decision support, regardless of its name or nature, is to help managers solve problems and assess opportunities faster and better than would be possible without computers.

Diff: 2    Page Ref: 27

21) Norfolk Southern Railroad built a ________ application that pulls data from the data warehouse and then graphically depicts actual performance against planned performance.
A) dashboard
B) graphical interface
C) transaction processing
D) forecasting

Diff: 2    Page Ref: 3

22) Norfolk Southern Railroad invested in a Teradata ________, which is a central repository of historical data that is organized for easy access and manipulation to support decision making.
A) database
B) data warehouse
C) data repository
D) data disk

Diff: 2    Page Ref: 3

23) Numerous types of business ________ result from today's business climate.
A) decisions
B) responses
C) support
D) pressures

Diff: 1    Page Ref: 5



24) Companies are facing each of the following impacts of globalization except:
A) Easier to find suppliers and customers in many countries
B) Less complex business environment
C) Cheaper materials
D) More and stronger competitors

Diff: 2    Page Ref: 5

25) Which of the following is an organizational response to a business environmental factor?
A) customer demand
B) government regulations
C) new business models
D) globalization

Diff: 3    Page Ref: 5
26) Business environment factors that create pressures on organizations include all of the following except:
A) workforce that is younger and shrinking
B) need for real-time, on-demand transactions
C) booming electronic markets on the Internet
D) innovative marketing methods

Diff: 1    Page Ref: 6

27) One of the major objectives of ________ is to facilitate closing the gap between the current performance of an organization and its desired performance, as expressed in its mission, objectives, and goals.
A) business alliances
B) customer relationships
C) business models
D) computerized decision support

Diff: 3    Page Ref: 6

28) Management is a process by which organizational goals are achieved by using resources. The resources are considered ________, and attainment of goals is viewed as the ________ of the process.
A) expenses; profits
B) inputs; output
C) pressures; opportunities
D) scarce; success

Diff: 2    Page Ref: 7



29) Mintzberg's (1980) classic study of top managers suggests that managers perform ten major roles that can be classified into three major categories. Each of the following is one of those major categories except:
A) relational
B) interpersonal
C) decisional
D)  informational

Diff: 2    Page Ref: 7

30) For years in the past, managers considered decision making a(n) ________, that is, a talent acquired over a long period through experience and by using intuition.
A) science
B) strategy
C) art
D) methodology

Diff: 2    Page Ref: 7
31) According to Mintzberg's ten managerial roles, a ________ is responsible for the motivation and activation of subordinates.
A) leader
B) figurehead
C) liason
D) spokesperson

Diff: 2    Page Ref: 7

32) According to Mintzberg's ten managerial roles, a ________ is symbolic head; or someone who is obliged to perform a number of routine duties.
A) leader
B) figurehead
C) liason
D) spokesperson

Diff: 2    Page Ref: 7

33) Today's computerized systems possess capabilities that can facilitate decision support in a number of ways, including each of the following except:
A) Increased productivity of group members
B) Improved communication and collaboration
C) Agility support
D) Reduced environmental pressures

Diff: 2    Page Ref: 9



34) Decision-making processes fall along a continuum that ranges from ________ to ________.
A) highly structured; highly unstructured
B) semistructured; unstructured
C) managerial; strategic
D) ad hoc; nonprogrammed

Diff: 2    Page Ref: 11

35) Phases in the decision-making process include each of the following except:
A) intelligence
B) analysis
C) design
D) choice

Diff: 2    Page Ref: 12
36) Solving semistructured problems may involve a combination of both standard solution procedures and human judgment. Management science can provide models for the portion of the decision-making problem that is ________.
A) controlled
B) semistructured
C) unstructured
D) structured

Diff: 2    Page Ref: 13

37) A(n) ________ is a rule-based system that provides a solution, usually in one functional area, such as finance or manufacturing, to a specific repetitive managerial problem.
A) decision support systems (DSS)
B) transaction processing system (TPS)
C) online analytical processing (OLAP) system
D) automated decision system (ADS)

Diff: 2    Page Ref: 14

38) Which of the following is one of the two major types of Decision Support Systems?
A) Number-oriented
B) Text-oriented
C) Model-oriented
D) Application-oriented

Diff: 2    Page Ref: 17



39) Which of the following is not a component of DSS architecture?
A) Data
B) Model
C) Knowledge
D) Web

Diff: 2    Page Ref: 17

40) The major benefit of ________ to the company is the ability to provide accurate information when needed.
A) data warehouse
B) analytical models
C) management information systems
D) business intelligence


41) Management is a process by which organizational goals are achieved using ________.

42) Making a decision means selecting the best alternative from two or more ________ solutions.

43) The level of organization's ________, or the success of management, depends on the performance of managerial functions, such as planning, organizing, directing, and controlling.

44) ________ indicates that an individual's problem-solving capability is limited when a wide range of diverse information and knowledge is required.

45) ________ defines long-range goals and policies for resource allocation.

46) ________ is the efficient and effective execution of specific tasks.



47) Gorry and Scott-Morton suggested, for example, that for semistructured decisions and unstructured decisions, conventional ________ and management science (MS) tools are insufficient.

48) ________ involves transforming the real-world problem into an appropriate prototype structure.

49) Structured problems, which are encountered repeatedly, have a high level of ________.

50) ________ is the application of scientific approach and mathematical models to the analysis and solution of managerial decision situations.

51) Automated Decision Systems (ADS) is a business ________ system that uses intelligence to recommend solution to repetitive decisions (such as pricing).

52) Decision support systems are computer-based support systems for management decision makers who deal with ________ problems.

53) ________ is the first component of the DSS architecture.

54) The process of business intelligence is based on the ________ of data to information, then to decisions, and finally to actions.

55) Business intelligence's major objective is to enable ________ access to data, enable manipulation of these data, and to provide business managers and analysts the ability to conduct appropriate analysis.



56) ________ is a process of searching for unknown relationships or information in large databases or data warehouses, using intelligent tools such as neural computing, predictive analytics techniques, or advanced statistical methods.


57) ________ which is also referred to as corporate performance management (CPM), is an emerging portfolio of applications and methodology that contains evolving BI architecture and tools in its core.


58) ________ are a type of user interface that provides a comprehensive visual view of corporate performance measures, trends, and exceptions.

59) A ________ is a system in which human participants and/or machines perform a business process, using information, technology, and other resources, to produce products and/or services for internal or external customers.

60) List four major business environmental factors in today's business environment.


61) List and define the three interpersonal roles of a manager as described by Mintzberg.

62) List and define the three informational roles of a manager as described by Mintzberg.

63) List and define the four decisional roles of a manager as described by Mintzberg.

64) Describe the four phases in the decision-making process.

65) Distinguish between structured and unstructured problems.

66) Describe the three categories that comprise Anthony's taxonomy of management.

67) List the steps involved in the management science (MS) approach to problem solving.


68) List the components of the architecture of business intelligence.

69) Describe the nine elements of a work system.

Chapter 2 Decision Making, Systems, Modeling, and Support

1) When trying to solve a problem, developers at the manufacturer HP consider the three phases in developing a
model. Their first phase is problem analytics.

Diff: 2    Page Ref: 39

2) If a problem arises due to misalignment of incentives or unclear lines of authority or plans, then no model can help solve that root problem.

Diff: 2    Page Ref: 39

3) When developers design and develop tools, the first guideline is to develop a prototype to test the designs and get early feedback from the end users to see what works for them and what needs to be changed.

Diff: 2    Page Ref: 39

4) It is important to remove unneeded complexity from a model before handoff because as a tool becomes more complex it requires more automation.

Diff: 3    Page Ref: 39

5) Groupthink among decision makers can help lead to the best decisions.

Diff: 3    Page Ref: 41

6) Experimentation with a real system is possible only for one set of conditions at a time and can be disastrous.

Diff: 2    Page Ref: 41

7) Collecting information and analyzing a problem are the fastest and least expensive parts of decision-making.

Diff: 2    Page Ref: 41

8) Fast decision-making requirements tend to reduce decision quality.

Diff: 1    Page Ref: 41

9) According to Simon, managerial decision making is synonymous with managers using decision support systems.

Diff: 1    Page Ref: 42

10) Most Web-based DSS are focused on improving decision efficiency.

Diff: 1    Page Ref: 42
11) Personality temperament tests are often used to determine decision styles.

Diff: 2    Page Ref: 43

12) Problem identification is the conceptualization of a problem in an attempt to place it in a definable category, possibly leading to a standard solution approach.

Diff: 3    Page Ref: 48

13) One approach to solving a complex problem is to divide it into simpler subproblems and then solve those subproblems.

Diff: 2    Page Ref: 49

14) A problem exists in an organization only if someone or some group takes on the responsibility of attacking it and if the organization has the ability to solve it.

Diff: 2    Page Ref: 50

15) The process of modeling involves determining the (usually mathematical, sometimes symbolic) relationships among the variables.

Diff: 1    Page Ref: 51

16) "Humans are economic beings whose objective is to maximize the attainment of goals" is one of the assumptions of rational decision makers.

Diff: 2    Page Ref: 52

17) The idea of "thinking with your gut" is a heuristic approach to decision making.

Diff: 1    Page Ref: 52

18) Rationality is bounded only by limitations on human processing capacities but not by individual differences.

Diff: 2    Page Ref: 55

19) In general, people have a tendency to measure uncertainty and risk badly; for example, people tend to be overconfident and have an illusion of control in decision making.

Diff: 2    Page Ref: 56

20) Web-based systems have clearly influenced how decision making is supported.

Diff: 2    Page Ref: 63
21) Groupthink tends to ________ the quality of decisions.
A) be detrimental to
B) improve
C) prolong
D) complicate


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