Using MIS, 7e (Kroenke) Chapter 11  Information Systems Management   11

Using MIS, 7e (Kroenke)

Chapter 11  Information Systems Management

 

11.1   True/False Questions

 

1) One of the major functions of the information systems department is to develop, operate, and maintain applications.

Answer:  TRUE

 

 

 

 

 

2) The structure of the IS department remains constant across organizations.

 

 

 

 

 

 

3) In all companies, the chief information officer reports directly to the chief financial officer.

 

 

 

 

 

 

4) In IS departments, the technology office investigates new information systems technologies and determines how the organization can benefit from them.

Answer:  TRUE

 

 

 

 

 

5) The chief technology officer evaluates new technologies and identifies those that are most relevant to the organization.

Answer:  TRUE

 

 

 

 

 

 

6) In an IS department, the development group manages the computing infrastructure, including individual computers, networks, and communications media.

 

 

 

 

 

7) If an organization does not develop programs in-house, then the development group of the IS department will include programmers, test engineers, and technical writers.

 

 

 

 

 

 

8) The purpose of the data administration group is to protect data and information assets by establishing data standards and data management practices and policies.

Answer:  TRUE

 

 

 

 

 

9) The terms "information systems" and "information technology" can be used interchangeably.

 

 

 

 

 

 

10) IT must be placed into the structure of an IS before an organization can use it.

Answer:  TRUE

 

 

 

 

 

11) With the exception of system analyst, all the major job positions in the IS industry require business knowledge.

 

 

 

 

 

 

 

12) In the context of responsibilities involved in job positions in the IS industry, a business analyst works with business leaders to develop systems that implement business strategy and goals.

Answer:  TRUE

 

 

 

 

 

13) In the context of responsibilities involved in job positions in the IS industry, a technical writer develops test plans, and designs and writes automated test scripts.

 

 

 

 

 

14) In the context of knowledge, skill, and characteristics requirements for job positions in the IS industry, a consultant should have an entrepreneurial attitude and people skills.

Answer:  TRUE

 

 

 

 

 

15) In the context of knowledge, skill, and characteristics requirements for job positions in the IS industry, a network administrator should have in-depth knowledge of one or more programming languages.

 

 

 

 

 

 

16) Aligning information systems with organizational strategy is a one-time process.

 

 

 

 

 

 

17) IS must evolve as the organization merges with other organizations or sells its divisions.

Answer:  TRUE

 

 

 

 

 

18) Adapting IS to new versions of business processes is a quick process.

 

 

 

 

 

 

19) The chief information officer is the representative for IS and IT issues within the executive staff.

Answer:  TRUE

 

 

 

 

 

20) When considering a merger, it is important that the company consider integration of information systems in the merged entities.

Answer:  TRUE

 

 

 

 

21) It is the chief information officer's responsibility to establish and communicate IS priorities to the executive group, while the responsibility for enforcement rests with the chief executive officer.

 

 

 

 

 

 

22) A steering committee is a group of senior managers from the major business functions that works with the chief information officer to set the IS priorities.

Answer:  TRUE

 

 

 

 

 

 

23) The steering committee serves an important communication function between the executive group and the users of IS.

 

 

 

 

 

 

24) The steering committee provides a forum for users to express their needs, frustrations, and other issues they have with the IS department.

Answer:  TRUE

 

 

 

 

 

25) The CEO and other members of the executive staff usually set up the steering committee's schedule and agenda.

 

 

 

 

 

 

26) The IS department determines the membership of a steering committee.

 

 

 

 

 

 

27) Outsourcing is the process of hiring another organization to perform a service.

Answer:  TRUE

 

 

 

 

28) Outsourcing neither saves time for direct management nor for indirect management.

 

 

 

 

 

 

 

29) It is impossible to cap financial risk by outsourcing.

 

 

 

 

 

 

30) By outsourcing IS, organizations reduce risks associated with implementation.

Answer:  TRUE

 

 

 

 

 

31) In the context of outsourcing, once a company has chosen a vendor, further risk management is up to that vendor.

Answer:  TRUE

 

 

 

 

 

32) The acquisition and operation of hardware infrastructure cannot be outsourced.

 

 

 

 

 

 

33) Acquiring licensed software is a form of outsourcing.

Answer:  TRUE

 

 

 

 

 

34) In case of Software as a Service (SaaS), hardware and both operating system and application software are leased.

Answer:  TRUE

 

 

 

 

 

35) With outsourcing, there is seldom any concern about loss of intellectual capital.

 

 

 

 

 

 

36) Outsourcing does not present any risks related to ending an agreement.

 

 

 

 

 

 

37) If the outsource vendor's employees have gained significant knowledge of the company, ending the agreement is a major risk.

Answer:  TRUE

 

 

 

 

 

38) Replacing an outsource vendor who is integrated into the business can be done without a lot of expenditure or duplication of effort.

 

 

 

 

 

 

39) After a vendor has completed the initial application development, it may become infeasible in terms of time and money to consider moving to another, better, lower-cost vendor.

Answer:  TRUE

 

 

 

 

 

40) Not just financial concerns, even time and events could force a company to decide to outsource.

Answer:  TRUE

 

 

 

 

 

 

41) The organization should protect a user's computer and its files.

Answer:  TRUE

 

 

 

 

42) IS users are restricted from participating in requirements meetings for new applications that they will use and for major changes to applications that they currently use.

 

 

 

 

 

 

43) It is reasonable for IS users to expect to receive repetitive training and support for the same issue.

 

 

 

 

 

 

44) IS users have a responsibility to follow security and backup procedures.

Answer:  TRUE

 

 

 

 

 

45) Installation of unauthorized hardware and programs may interfere with automated maintenance programs for upgrading the user's computer.

Answer:  TRUE

 

 

 

 

 

46) Most organizations will move their internal hardware infrastructure to the cloud in the next decade.

Answer:  TRUE

 

 

 

 

 

 

47) By 2024, companies will no longer be concerned about security and therefore, will opt to keep data on their own, privately controlled servers.

 

 

 

 

 

 

48) In the next decade, running a computer center for anyone other than a cloud vendor is not a promising career.

Answer:  TRUE

 

 

 

 

49) There will most likely be a fall in the use of mobile devices at work in the next 10 years.

 

 

 

 

 

 

50) In the next decade, mobile devices will become more expensive with dynamic user experiences.

 

 

 

 

 

 

 

11.2   Multiple-Choice Questions

 

1) Developing, operating, and maintaining an organization's computing infrastructure is a major function of the ________ department.

A) human resources

B) information systems

C) marketing

D) manufacturing

 

 

 

 

 

 

2) Which of the following statements is true of an IS department?

A) If the IS primarily supports accounting and finance activities, the CFO is appointed as the CIO.

B) Programs used in all information systems are developed in-house by the development group.

C) The operations group monitors user experience and responds to user problems.

D) Data administration is performed exclusively by the outsourcing relations group.

 

 

 

 

 

 

3) If an organization runs an information system that provides little support to accounting, it's chief information officer will most likely report to the ________.

A) chief financial officer

B) chief executive officer

C) director of information services

D) chief technology officer

 

 

 

 

 

 

4) Which of the following is a responsibility of a CIO?

A) reporting to the chief executive officer

B) heading the technology group

C) evaluating new technologies that are relevant to the organization

D) developing processes and IS that implement business strategy

 

 

 

 

 

 

5) Which of the following is a function of the technology office in an organization's IS department?

A) managing computing infrastructure

B) creating new information systems

C) investigating new information systems

D) maintaining existing information systems

 

 

 

 

 

 

6) In an IS department, the ________ group manages computing infrastructure, including individual computers, in-house server farms, networks, and communications media.

A) operations

B) technology

C) development

D) manufacturing

 

 

 

 

 

 

7) Which of the following statements is true of the operations group in an organization's IS department?

A) It establishes data standards and data management practices and policies.

B) It monitors the user experience and responds to their problems.

C) It manages all computing infrastructure except in-house server farms and communications media.

D) It will include technical writers if the programs are developed in-house.

 

 

 

 

 

8) Which of the following statements is true about the "maintenance" of information systems?

A) It is undertaken by the business analysts.

B) It is overseen by the chief technology officer.

C) It involves adapting existing systems to support new features.

D) It comprises developing test plans and designing automated test scripts.

 

 

 

 

 

 

9) In the IS department, the ________ group manages the process of creating new information systems as well as maintaining existing information systems.

A) operations

B) technology

C) development

D) outsourcing relations

 

 

 

 

 

 

10) If an organization does not develop programs in-house, then the development group of the IS department will be staffed primarily by ________ who work with users, operations, and vendors to acquire and install licensed software and to set up the system components around that software.

A) programmers and development personnel

B) PQA test engineers

C) business and systems analysts

D) technical writers

 

 

 

 

 

 

 

11) The purpose of the ________ group is to protect data and information assets by establishing data standards and data management practices and policies.

A) data administration

B) data warehousing

C) data mining

D) data communication

 

 

 

 

 

12) A ________ works with users to determine system requirements, designs and develops job descriptions and procedures, and helps determine test plans.

A) system analyst

B) business analyst

C) user support representative

D) systems auditor

 

 

 

 

 

 

13) A ________ prepares program documentation, help-text, procedures, job descriptions, and training materials.

A) system analyst

B) consultant

C) programmer

D) technical writer

 

 

 

 

 

 

14) The responsibilities of a computer technician include ________.

A) installing software and repairing networks

B) managing and protecting databases

C) writing program documentation

D) advising the CIO on emerging technologies

 

 

 

 

 

 

15) The responsibilities of a ________ include advising the chief information officer, executive group, and project managers on emerging technologies.

A) technical writer

B) chief financial officer

C) system analyst

D) chief technology officer

 

 

 

 

 

16) Which of the following statements is true about data administration?

A) The Chief Technology Officer (CTO) heads the data administration staff function.

B) It establishes standards to protect information assets.

C) This group includes system and network administrators exclusively.

D) This group manages the process of creating new information systems.

 

 

 

 

 

 

17) Which of the following is a limitation of aligning information systems with organizational strategy?

A) Adapting the IS to new versions of business processes is complex and time-consuming.

B) Aligning the IS direction with the organizational strategy occurs only when organizations merge.

C) Aligning the IS direction with the organizational strategy occurs only when the divisions are sold.

D) The steering committee provides a forum for the IS department to voice its complaints about the users.

 

 

 

 

 

 

 

18) The ________ is the representative for IS and IT issues within the executive staff who provides the IS perspective during discussions of problem solutions, proposals, and new initiatives.

A) chief operating officer

B) chief technology officer

C) chief information officer

D) chief executive officer

 

 

 

 

 

 

19) A(n) ________ is a group of senior managers from the major business functions that works with the CIO to set IS priorities and decide among major IS projects and alternatives.

A) steering committee

B) discussion forum

C) IS department

D) board of directors

 

 

 

 

 

20) Which of the following is a function of the steering committee for an IS department?

A) writing program code

B) imparting training

C) adapting software

D) setting IS priorities

 

 

 

 

 

 

 

21) Which of the following statements is true about the steering committee of an IS department?

A) The steering committee is comprised exclusively of employees from the IS department in an organization.

B) The steering committee's membership is determined by the IS department.

C) The steering committee's schedule and agenda are typically set by the CEO and other members of the executive staff.

D) The steering committee's meetings are conducted by the IS department.

 

 

 

 

 

 

22) Which of the following statements is true about IS planning functions?

A) The COO is the sole representative for IS and IT issues within the executive staff.

B) The steering committee represents the IS department exclusively in high-level discussions.

C) The IS department's priorities are developed by the CEO.

D) The CEO and other executive staff decide the membership of the steering committee.

 

 

 

 

 

 

23) ________ is the process of hiring another organization to perform a service.

A) Merging

B) Outsourcing

C) Headhunting

D) Diversifying

 

 

 

 

 

24) One of the reasons outsourcing is undertaken is to ________.

A) diversify the business portfolio

B) increase costs for the outsourcing vendor

C) cap an organization's financial exposure

D) enhance management's focus on nonessential functions

 

 

 

 

 

 

 

25) Which of the following statements is true about outsourcing?

A) It increases budgetary instability due to the level of risk involved.

B) It saves both direct and indirect management time.

C) It invariably leads to diseconomies of scale.

D) It guarantees a higher level of quality than that provided in-house.

 

 

 

 

 

 

26) An outsource vendor changes its strategic direction. Under which of the following outsourcing risks can this be associated?

A) de facto sole source

B) superfluous CIO

C) diseconomies of scale

D) loss of control

 

 

 

 

 

 

27) Which of the following statements is a characteristic of outsourcing?

A) Management should have expertise on a subject before it can decide to outsource.

B) An outsource vendor transfers the responsibility of risk management to the development group.

C) To achieve quality, it is easier to hire another vendor than it is to rehire internal staff.

D) Outsourcing leads to increased financial risk.

 

 

 

 

 

28) ________ is a form of outsourcing.

A) Buying off-the-shelf software

B) Customizing information systems

C) Acquiring licensed software

D) Updating data standards

 

 

 

 

 

 

 

29) Which of the following is a form of outsourcing hardware infrastructure exclusively?

A) acquiring licensed products

B) IaaS cloud hosting

C) SaaS

D) PaaS

 

 

 

 

 

 

30) Which of the following is an outsourcing alternative in which hardware and both operating system and application software are leased?

A) licensed software

B) Infrastructure as a Service (IaaS) cloud hosting

C) Software as a Service (SaaS)

D) virtualization

 

 

 

 

 

 

31) Which of the following is an example of outsourcing an entire business function?

A) acquiring licensed security software instead of developing it in-house

B) making customizations to licensed software

C) outsourcing the function of arranging employee travel

D) outsourcing the payroll function

 

 

 

 

 

32) In 2005, Marrion International chose a human resources consulting agency to handle its human resource needs for the next 7 years. This is an example of ________ outsourcing.

A) network

B) software

C) business function

D) application

 

 

 

 

 

 

 

33) When a company outsources a system, control over prioritizing fixes for software failures and problems belongs to the ________.

A) CTO

B) quality vendor

C) hiring organization

D) CIO

 

 

 

 

 

 

34) Which of the following is a risk of outsourcing IS/IT functions?

A) It gives undue authority to the CIO in the executive team.

B) It provides the hiring organization with too many choices.

C) It involves the potential loss of intellectual capital.

D) It invariably results in diseconomies of scale.

 

 

 

 

 

 

35) Every IS user has a right to a secure computing environment. This means that ________.

A) the organization should protect his/her computer and its files

B) the user should solely be in charge of protecting the organization's computers and files

C) the user should inform the IS about software upgrades

D) the user will never face a network problem

 

 

 

 

 

36) Which of the following is a right of users of information systems?

A) installing programs and applications of their choice

B) making hardware modifications when desired

C) receiving effective training

D) obtaining the configuration of their choice

 

 

 

 

 

 

 

37) Which of the following is generally a responsibility of users of information systems?

A) reporting trivial problems

B) replacing legacy systems with improved ones

C) upgrading data standards

D) following security and backup procedures

 

 

 

 

 

 

38) Which of the following statements is true about users of information systems?

A) They have a responsibility to protect their computers from viruses by installing their choice of antivirus software.

B) They should ensure the availability of reliable and secure Internet connections.

C) They should learn standard techniques and procedures for the applications they use.

D) They should learn to install hardware and software on their own.

 

 

 

 

 

 

39) Users should not bother IS personnel for trivial issues, instead they should fulfill their responsibilities by ________.

A) learning basic computer skills

B) sharing their passwords with others to use their help in solving those trivial issues

C) installing security programs by themselves

D) making hardware modifications

 

 

 

 

 

40) Which of the following statements is true about the changes and developments foreseen by the year 2024?

A) Licensed, off-the-shelf software will become less configurable, less adaptable, and less flexible.

B) Most organizations will move their internal hardware infrastructure into the cloud.

C) SDLC will be typically used for systems development.

D) Small computing devices will lose their popularity and become more expensive.

 

 

 

 

 

 

11.3   Essay Questions

 

1) List the major functions of the IS department.

 

 

 

 

 

2) Describe the CIO's typical reporting relationships.

 

 

 

 

3) Describe the typical responsibilities of a CTO.

 

 

 

4) Name the four groups found in a typical IS department and explain the major responsibilities of each.

 

 

 

5) Explain the major IS planning functions.

 

 

 

 

6) Describe a steering committee and explain the CIO's role with regard to it.

 

 

 

7) What is outsourcing? Explain the management advantages of outsourcing.

 

 

 

 

8) How does outsourcing help reduce costs?

 

 

 

 

 

9) How does outsourcing facilitate risk reduction?

 

 

 

10) Describe the different outsourcing alternatives for hardware, software, data, and procedures.

 

 

 

 

 

11) Describe the loss of control associated with outsourcing.

 

 

 

 

 

12) Explain how the benefits of outsourcing are outweighed by its long-term costs.

 

 

 

13) Explain the risks associated with ending an outsourcing agreement.

 

 

 

 

14) List any four rights of users of information systems.

 

 

 

 

 

 

15) List any four responsibilities of users of information systems.