As per your reading of the chapter case discussing overseas outsourcing, the outsourcing support the United States receives from India will lead to:

As per your reading of the chapter case discussing overseas outsourcing, the outsourcing support the United States receives from India will lead to:



a. tremendous loss of jobs in the IT sector.
b. a severe IT labor shortage in the United States.
c. rise in systems cost.
d. reduction of spending on systems costs



Answer: D

One cost of offshore software outsourcing is knowledge transfer costs. This refers to:

One cost of offshore software outsourcing is knowledge transfer costs. This refers to:



a. the time it takes to transfer work to an outsourcer.
b. the loss of knowledge that accompanies layoffs when jobs are lost to outsourcers as well as retention bonuses to keep staff working long enough to share their knowledge.
c. the time, documentation, travel costs, and other costs it takes to ensure the outsourcer understands your business and project requirements.
d. the time it takes to transfer core data for a system to an outsourcer




Answer: C

VPNs:

VPNs:



a. use the public Internet for communications.
b. may not be able to support large numbers of remote users, due to the variable traffic on the Internet.
c. provide many of the same services as private networks.
d. all of the above.



Answer: D

In relation to global systems building, the Internet:

In relation to global systems building, the Internet:



a. allows the seamless flow of information through the enterprise.
b. affords local groups stable broadband access.
c. has reduced some networking problems.
d. all of the above.


Answer: C

When developing a global system, bringing the opposition of local groups into the process of designing and implementing the solution without giving up control over the direction and nature of the change is called:

When developing a global system, bringing the opposition of local groups into the process of designing and implementing the solution without giving up control over the direction and nature of the change is called:



a. cooptation.
b. change management.
c. implementation.
d. advocacy.



Answer: A

The ability of global systems to optimize the use of corporate funds over a much larger capital base means that:

The ability of global systems to optimize the use of corporate funds over a much larger capital base means that:



a. capital in a surplus region can be moved efficiently to expand production of capital-starved regions.
b. capital costs can be accounted or spread over a larger base of constituents.
c. costs can be amortized over a larger customer base.
d. value chains can be synchronized more effectively.


Answer: C

Based on your reading of the chapter, why should companies avoid implanting an all-encompassing, new global system when moving towards global operations?

Based on your reading of the chapter, why should companies avoid implanting an all-encompassing, new global system when moving towards global operations?




a. These may fail due to lack of visibility
b. Lack of power to convince senior management that transnational systems are worthwhile
c. "Grand design" approaches typically fail to identify centers of excellence
d. Opposition is strengthened because of requirements for huge resources





Answer: D

Which systems are worth sharing on a transnational basis, from a cost and feasibility point of view?

Which systems are worth sharing on a transnational basis, from a cost and feasibility point of view?



a. Only systems that support functions that are absolutely critical to the organization
b. Core systems and worthwhile provincial systems
c. Core systems and any financial systems that can be easily integrated with each other
d. Financial and accounting systems


Answer: A

Two of the management challenges in developing global systems are listed in your text as:

Two of the management challenges in developing global systems are listed in your text as:



a. managing the privacy concerns of different countries and coordinating applications development.
b. creating a financial structure that will operate internationally and managing the privacy concerns of different countries.
c. agreeing on common user requirements and managing the privacy concerns of different countries.
d. coordinating of software releases and introducing of changes in business processes



Answer: D

Based on your reading of the chapter case discussing Avnet Inc., Avnet mitigates the technical challenges posed by mergers and acquisitions by:

Based on your reading of the chapter case discussing Avnet Inc., Avnet mitigates the technical challenges posed by mergers and acquisitions by:



a. using a "Playbook" of best practices to integrate a new company into the corporate global system.
b. using Web services to allow for communication between the acquired company and Avnet's global system.
c. using a combination of regional best practices and using the best systems from each company.
d. pursuing a standardized implementation process as per the Avnet "Cookbook



Answer: C

Effective networked systems must have:

Effective networked systems must have:



a. a powerful telecommunications backbone.
b. a culture of shared applications development.
c. a shared management culture that crosses cultural barriers.
d. all of the above.



Answer: D

Networked systems are those in which:

Networked systems are those in which: 



a. development occurs at the home base and operations are handed over to autonomous units in foreign locations.
b. each foreign unit designs its own unique solutions and systems.
c. systems development and operations occur in an integrated and coordinated fashion across all units.
d. foreign units design the solutions and systems used at the domestic home base




Answer: C

Duplicated systems are those in which:

Duplicated systems are those in which: 



a. development occurs at the home base and operations are handed over to autonomous units in foreign locations.
b. each foreign unit designs its own unique solutions and systems.
c. systems development and operations occur in an integrated and coordinated fashion across all units.
d. foreign units design the solutions and systems used at the domestic home base



Answer: A

Centralized systems are those in which:

Centralized systems are those in which: 



a. development occurs at the home base and operations are handed over to autonomous units in foreign locations.
b. each foreign unit designs its own unique solutions and systems.
c. systems development and operations occur in an integrated and coordinated fashion across all units.
d. systems development and operations occur totally at the domestic home base




Answer: D

Centralized systems are those in which:

Centralized systems are those in which: 



a. development occurs at the home base and operations are handed over to autonomous units in foreign locations.
b. each foreign unit designs its own unique solutions and systems.
c. systems development and operations occur in an integrated and coordinated fashion across all units.
d. systems development and operations occur totally at the domestic home base




Answer: D

In terms of global business strategy, the governance of these firms has been likened to a federal structure—strong central management core of decision making, but considerable dispersal of power and financial resources.

In terms of global business strategy, the governance of these firms has been likened to a federal structure—strong central management core of decision making, but considerable dispersal of power and financial resources.



a. Domestic exporter
b. Multinational
c. Franchiser
d. Transnational



Answer: D

In terms of global business strategy and structure, a franchise company will use a policy of:

In terms of global business strategy and structure, a franchise company will use a policy of:



a. centralized production, accounting, marketing, human resources, with strategic management.
b. dispersed production, accounting, human resources, with centralized strategic management, and marketing.
c. dispersed production and marketing, with centralized accounting, human resources and strategic management.
d. dispersed production, marketing, and human resources, with centralized strategic management and finance/accounting.




Answer: D

In terms of global business strategy and structure, a multinational company will use a policy of:

In terms of global business strategy and structure, a multinational company will use a policy of:



a. mixed sales and marketing, with centralized production, accounting, human resources, and strategic management.
b. centralized production, accounting, marketing, human resources, with strategic management.
c. dispersed production, accounting, human resources, with centralized strategic management, and marketing.
d. dispersed production and marketing, with centralized accounting and strategic management.




Answer: D

In terms of global business strategy and structure, a domestic exporter will use a policy of:

In terms of global business strategy and structure, a domestic exporter will use a policy of:



a. some dispersed sales, with centralized production, accounting, human resources, and strategic management.
b. centralized production and accounting with decentralized marketing and human resources.
c. centralized production, accounting, marketing, and human resources.
d. dispersed production and marketing, with centralized accounting, human resources and strategic management.




Answer: A

Most large companies with overseas operations have inherited:

Most large companies with overseas operations have inherited:



a. recently built technology platforms for international systems.
b. batch-oriented reporting from independent foreign divisions to corporate headquarters.
c. transaction-oriented reporting based at the home office for overseas business.
d. global marketing systems developed domestically.



Answer: B

German companies generally:

German companies generally:



a. do not recognize the profit until the project is completely finished and they have been paid.
b. recognize profits before the project is finished.
c. recognize profits when the project is initialized.
d. do not recognize the profits until they have been formally audited




Answer: A

To avoid the cost and uncertainty of moving information across national boundaries, most multinational firms:

To avoid the cost and uncertainty of moving information across national boundaries, most multinational firms:



a. maintain a master database at their head offices.
b. develop a master system that meets the standards of all the countries concerned.
c. use microwave satellite transmission to move data.
d. develop separate systems within each country.



Answer: D

General challenges and obstacles to global business systems are typified by:

General challenges and obstacles to global business systems are typified by:



a. different technology standards, shortages of skilled consultants, and social expectations.
b. brand-name expectations, language differences, and commercial regulations.
c. different work hours, transborder data and privacy laws, and different technology standards.
d. different communications standards, language differences, and network reliability




Answer: B

Which of the following restricts the flow of personal information to countries that do not meet strict European information laws on personal information?

Which of the following restricts the flow of personal information to countries that do not meet strict European information laws on personal information?



a. Free Trade Agreement
b. European Union Data Protection Directive
c. United Nations Privacy Act
d. European Transborder Data Flow Act



Answer: B

General cultural factors driving global business are:

General cultural factors driving global business are:



a. global communication and transportation technologies, a global knowledge base, and global social norms.
b. the development of global markets, political stability, and a global workforce.
c. the rise of the global workforce, political stability, and a global knowledge base.
d. the rise of a global workforce, global economies of scale, and global production and operations.




Answer: A

Based on your reading of the chapter case discussing DHL, what led DHL to reconsider using a decentralized database system for local data?

Based on your reading of the chapter case discussing DHL, what led DHL to reconsider using a decentralized database system for local data?



a. Decentralization raised costs
b. Risks of local information centers would fail and jeopardize shipments in other countries
c. Difficult to quickly change systems globally
d. All of the above



Answer: D

As per the chapter case study on Maine's Medicaid claim processing system, which of the following tools would have done the most to prevent the challenges presented by its new information system?

As per the chapter case study on Maine's Medicaid claim processing system, which of the following tools would have done the most to prevent the challenges presented by its new information system?



a. PERT and Gantt charts
b. External integration tools
c. Internal integration tools
d. Formal planning and control tools




Answer: B

In sociotechnical design:

In sociotechnical design:



a. separate sets of technical and social design solutions are developed and compared.
b. ergonomic features of a system and the system's technical design are given equal importance.
c. systems analysts with proven backgrounds in sociological concerns rate and compare a system's social and technical aspects.
d. all of the above.



Answer: A

As discussed in the chapter case, which of the following difficulties proved the most challenging to Wallace, Welch, and Willingham in the implementation of its new CRM system?

As discussed in the chapter case, which of the following difficulties proved the most challenging to Wallace, Welch, and Willingham in the implementation of its new CRM system?



a. User-designer communications gap
b. Management support
c. Managing the change in business process
d. User acceptance




Answer: D

According to the chapter case discussing mergers and acquisitions, what is the most predominant cause for the fact that 60 percent of M&As result in falling stock value for the acquiring company?

According to the chapter case discussing mergers and acquisitions, what is the most predominant cause for the fact that 60 percent of M&As result in falling stock value for the acquiring company?



a. The acquiring firm underestimates the risks in merging IT infrastructures.
b. Target companies often have outdated information systems or have stopped spending on IT investments.
c. Target companies rarely have IT systems that are compatible with the acquiring firm.
d. Acquiring firms tend to build entirely new information systems rather than inventorying all existing systems and choosing to keep only those with proven value.



Answer: A

Formal planning and control tools:

Formal planning and control tools:




a. enable a project to have sufficient technical support for project management and development.
b. enable a project manager to properly document and monitor project plans.
c. portray a project as a network diagram with numbered nodes representing project tasks.
d. consist of ways to link the work of the implementation team with users at all organization levels.



Answer: B

External integration tools:

External integration tools:




a. enable a project to have sufficient technical support for project management and development.
b. enable a project manager to properly document and monitor project plans.
c. portray a project as a network diagram with numbered nodes representing project tasks.
d. consist of ways to link the work of the implementation team with users at all organization levels





Answer: D

Internal integration tools:

Internal integration tools:




a. enable a project to have sufficient technical support for project management and development.
b. enable a project manager to properly document and monitor project plans.
c. `portray a project as a network diagram with numbered nodes representing project tasks.
d. consist of ways to link the work of the implementation team with users at all organization levels.





Answer: B

Which of the following types of projects is most likely to fail?

Which of the following types of projects is most likely to fail?



a. Integration of an third-party automated payment system
b. Replacement of middleware with Web services for legacy application integration
c. A business process redesign project that restructures workflow and responsibilities
d. Redesigning a user interface to an online investment site




Answer: C

An example of an implementation problem is:

An example of an implementation problem is:



a. poor user interface.
b. inadequate user training.
c. project running over budget.
d. changes in job activities and responsibilities




Answer: B

Users prefer systems that:

Users prefer systems that:



a. are oriented to facilitating organizational tasks and solving business problems.
b. work with existing DBMS.
c. are able to provide optimum hardware and software efficiency.
d. are capable of storing much more data than they need




Answer: A

The level of a project's risk is influenced primarily by:

The level of a project's risk is influenced primarily by:



a. project size, project structure, and the level of technical expertise.
b. project cost, project scope, and the implementation plan.
c. project scope, project schedule, and project budget.
d. project size, project scope, and the level of technical expertise




Answer: A

The net present value:

The net present value:



a. is the amount of money an investment is worth in today's dollars, taking into account its cost, earnings, and the time value of money.
b. calculates the rate of return from an investment by adjusting the cash inflows produced by the investment for depreciation.
c. is defined as the rate of return or profit that an investment is expected to earn, taking into account the time value of money.
d. is a measure of the time required to pay back the initial investment of a project.




Answer: A

The payback method of capital budgeting:

The payback method of capital budgeting:



a. is the amount of money an investment is worth, taking into account its cost, earnings, and the time value of money
b. calculates the rate of return from an investment by adjusting the cash inflows produced by the investment for depreciation
c. is defined as the rate of return or profit that an investment is expected to earn, taking into account the time value of money
d. is a measure of the time required to pay back the initial investment of a project





Answer: D

______ are all intangible benefits of information systems.

______ are all intangible benefits of information systems.



a. Improved asset utilization, increased organizational learning, and improved operations
b. Reduced workforce, lower outside vendor costs, and increased productivity
c. Increased productivity, reduced workforce, and increased job satisfaction
d. Lower operational costs, improved resource control, and more information




Answer: A

______ are all tangible benefits of information systems.

______ are all tangible benefits of information systems.



a. Improved asset utilization, increased organizational learning, and improved operations
b. Reduced workforce, lower outside vendor costs, and increased productivity
c. Increased productivity, reduced workforce, and increased job satisfaction
d. Lower operational costs, improved resource control, and more information



Answer: B

The principal capital budgeting models for evaluating information technology projects are the payback method, the accounting rate of return on investment (ROI), the net present value, and:

The principal capital budgeting models for evaluating information technology projects are the payback method, the accounting rate of return on investment (ROI), the net present value, and:



a. the future present value.
b. the internal rate of return.
c. the external rate of return.
d. ROPM.



Answer: B

A CSF approach to establishing an enterprise's information requirements is especially suitable for:

A CSF approach to establishing an enterprise's information requirements is especially suitable for:



a. distinguishing between individual and organizational objectives.
b. identifying the key entities and attributes of the organization's data.
c. understanding how organizational units define critical data.
d. the development of DSSs and ESSs.




Answer: D

The weakness of enterprise analysis is that:

The weakness of enterprise analysis is that:



a. it has a tendency to focus on automating existing processes rather than developing new business processes.
b. there is no particularly rigorous way in which the results can be aggregated into a clear company pattern.
c. what may be considered critical to a manager may not be important for the organization as a whole.
d. the questions focus too heavily on management's critical objectives



Answer: A

The central method used in a portfolio analysis is to:

The central method used in a portfolio analysis is to:




a. inventory all of the organization's information systems projects and assets.
b. perform a weighted comparison of the criteria used to evaluate a system.
c. survey a large sample of managers on their objectives, decision-making process, and uses and needs for data and information.
d. interview a small number of top managers to identify their goals and criteria for achieving success.




Answer: A

The central method used in a scoring model is to:

The central method used in a scoring model is to:



a. inventory all of the organization's information systems projects and assets.
b. perform a weighted comparison of the criteria used to evaluate a system.
c. survey a large sample of managers on their objectives, decision-making process, and uses and needs for data and information.
d. interview a small number of top managers to identify their goals and criteria for achieving success



Answer: B

The central method used in a strategic analysis is to:

The central method used in a strategic analysis is to:



a. inventory all of the organization's information systems projects and assets.
b. perform a weighted comparison of the criteria used to evaluate a system.
c. survey a large sample of managers on their objectives, decision-making process, and uses and needs for data and information.
d. interview a small number of top managers to identify their goals and criteria for achieving success.




Answer: D

The central method used in an enterprise analysis is to:

The central method used in an enterprise analysis is to:



a. inventory all of the organization's information systems projects and assets.
b. perform a weighted comparison of the criteria used to evaluate a system.
c. survey a large sample of managers on their objectives, decision-making process, and uses and needs for data and information.
d. interview a small number of top managers to identify their goals and criteria for achieving success




Answer: C

Two principal methodologies for establishing the essential information requirements of the organization as a whole are:

Two principal methodologies for establishing the essential information requirements of the organization as a whole are:



a. enterprise analysis and portfolio analysis.
b. business systems planning and critical success factors.
c. enterprise analysis and business systems planning.
d. capital budgeting and portfolio analysis.




Answer: B

A road map indicating the direction of systems development, the rationale, the current systems, new developments to consider, the management strategy, the implementation plan, and the budget is called a(n):

A road map indicating the direction of systems development, the rationale, the current systems, new developments to consider, the management strategy, the implementation plan, and the budget is called a(n):



a. project plan.
b. portfolio analysis.
c. information systems plan.
d. enterprise analysis.



Answer: C

The major variables in project management are:

The major variables in project management are:



a. scope, time, cost, and performance.
b. scope, time, cost, quality, and risk.
c. time, cost, quality, performance, and risk.
d. time, cost, scope, and performance.




Answer: B

In the chapter case study on A.G. Edwards, improvements in its information systems projects were achieved:

In the chapter case study on A.G. Edwards, improvements in its information systems projects were achieved:




a. primarily through implementing a systems-wide view of project management.
b. through use of a structured, enterprise-wide definitions of project management techniques, such as requirements gathering and task assignment.
c. through the combined use of a framework for managing projects and management training.
d. through the adaptation of stricter measurements of project success and failure.




Answer: A