Test 1-B      IND488

Name:___________________________________________________________________

	1.	Information systems and technologies have yet to become a vital component of a successful businesses and organizations. It can be said that at this point in time, information systems do not constitute an essential field of study in business administration and management. 
	A)	True
	B)	False

	2.	In any organization, end users rely on many types of information systems. These systems might include: 
	A)	Simple manual (paper-and-pencil) information systems. 
	B)	Formal (written procedures) and informal (word-of-mouth) systems. 
	C)	Computer-based information systems. 
	D)	All of the above are information systems that are found in most organizations. 

	3.	Which one of the following components would not be considered a characteristics of an information system: 
	A)	Consists of interrelated components. 
	B)	Accepts inputs and produces outputs in an organized process. 
	C)	Basic components consist of input, processing, and output. 
	D)	Does not depend on programs and procedures to accomplish a set of specific functions. 

	4.	When discussing the systems concept, a system which interacts with other systems in its environment is commonly referred to as: 
	A)	A cybernetic system. 
	B)	A dynamic system. 
	C)	A subsystem. 
	D)	An open system. 

	5.	When using the systems approach to define a problem and opportunity, which one of the following statements would be considered an example of a problem as opposed to a symptom?: 
	A)	Sales are declining. 
	B)	Employee morale is low. 
	C)	Market share is declining. 
	D)	Inventory holding costs are too high because current information about inventory holding and production plans are not available. 

	6.	The first stage of the systems development life cycle is: 
	A)	Systems design. 
	B)	Systems maintenance. 
	C)	Systems investigation. 
	D)	Systems analysis. 

	7.	According to your text, globalization is defined as the process of:: 
	A)	Expanding and competing in global markets. 
	B)	Restructuring work by transforming business processes. 
	C)	Profitably operating in a competitive environment of continual and unpredictable changes in customer opportunities. 
	D)	None of the above apply to globalization. 

	8.	Planning is discussed, typically, in terms of the level of planning (strategic, tactical, and operational) and the planning time frame. Operational planning deals with 
	A)	The development of an organization's missions, goals, strategies, and policies. 
	B)	The design of tactics and the development of procedures, rules, schedules, and budgets. 
	C)	Planning on a day-to-day basis to implement and control operations. 
	D)	The setting of objectives. 

	9.	Planning for competitive advantage is especially important in today's competitive arena and complex information technology environment. Your text discusses numerous IS strategic planning models. For example, the competitive strategic opportunities matrix is concerned with: 
	A)	Competitors, customers, suppliers, new entrants, and substitutes 
	B)	Cost leadership, differentiation, growth, innovation, and alliances 
	C)	Basic business activities 
	D)	Strengths, weaknesses, opportunities, and threats. 

	10.	Planning is discussed, typically, in terms of the level of planning (strategic, tactical, and operational) and the planning time frame. Long range planning involves planning for: 
	A)	Three to five years into the future. 
	B)	Two or three years into the future. 
	C)	Six months to one year. 
	D)	Monthly planning of a one-year or two-year time frame. 

Answer Key -- nd488-1b

	1.	B	
	2.	D	
	3.	D	
	4.	D	
	5.	D	
	6.	D	
	7.	A	
	8.	C	
	9.	D	
	10.	A