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End of Chapter Answers

Answers to End of Chapter Questions


Chapter 1..........................................................................................................................................2
Chapter 2..........................................................................................................................................4
Chapter 3..........................................................................................................................................6
Chapter 4..........................................................................................................................................8
Chapter 5........................................................................................................................................10
Chapter 6........................................................................................................................................12
Chapter 7........................................................................................................................................14
Chapter 8........................................................................................................................................16
Chapter 9........................................................................................................................................18

End of Chapter Answers

Chapter 1
Question
Number
1

Data

Information

Knowledge

True

False

10

False

11

12

13

14

What are Data, Information and


Knowledge
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge What is Ethics
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge Life Long Knowledge
Creation
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge
What are Data, Information and
Knowledge
What is an Information System?

15

What is an Information System?

16

What is an Information System?

17

IS For a Telecom Billing Operation


Input: Name of customer, Mailing address, number
of calls made, Types of calls made( International
/Local)
Process: A billing system which can take into
account business requirements (like free local calls
from 9.00pm to 7.00am and weekends) and usage of
a customer to produce a bill
Output: Customized bills for all customers, based on
their usage which can be emailed as well as mailed
to their addresses.

What is an Information System?

Answer

Level 1 Head Reference for


Answer
What is an Information System?

Difficulty
M
E
M
E
E
E
E
E
M
M
M
D
D
M

End of Chapter Answers


18

The two types of knowledge are Explicit knowledge


and Tacit knowledge
Explicit Knowledge: is readily available to us in the
form of books, documents and web
Example: Textbook in Accounting
Tacit Knowledge: is knowledge gained through
experience, practice and insight
Example: To parallel park our car

What are Data, Information and


Knowledge

19

Knowledge Work: Work that involves the discovery,


transformation, analysis, synthesis, and
communication of data, information, and knowledge.
Knowledge Worker: It is a worker who requires
formal learning, the ability to acquire and apply
practical and theoretical knowledge and a habit of
continuous knowledge.
I believe that I will be knowledge worker after I
graduate as I am undergoing formal training and my
work will involve application of practical as well as
theoretical knowledge in the knowledge based
industry.

What are Data, Information and


Knowledge

20

Input: Names of all employees, name of bank, bank


account number, Salary
Process: software
Output: A automated system to transfer salary from
companies account to account of employee
This automated system will reduce human errors and
redundancy of work in crediting salary into the
employees account thus reducing expenditure to the
company.

What is an information system

End of Chapter Answers

Chapter 2
Question
Number
1

b. RAM

Level 1 Head Reference for


Answer
Hardware

a. cable modem

Hardware

b. operating system

Software Gets the Job Done

TCP/IP

The Internet and the WWW

Clock

Hardware

LCD

Hardware

Spreadsheet

Software Gets the Job Done

802.11 protocol

Connecting Over Networks

False

Hardware

10

False

The Internet and the WWW

11

Hardware

12

Hardware

13

Hardware

14

Hardware

15

Hardware

16

Accepting and storing data and information


Performing mathematical calculation
Applying logic to make decisions
Retrieving, displaying, and sending data and
information
Consistently repeating the above actions many times

The Components of IT

17

Hardware the electronic and mechanical


components that you can see and touch
Software the set of instructions that directs the
hardware
Networking allows knowledge workers to share
resources including hardware, software and
information, etc.

The Components of IT

18

Random Access Memory (RAM) is the primary


memory that serves as a temporary storage area for
data and instructions. In general, since the CPU first
looks to RAM for the data and instructions it needs,
and since accessing RAM is faster than accessing

Hardware

Answer

Difficulty
M

End of Chapter Answers


secondary storage (e.g., a hard drive), more RAM
means more conveniently stored, quickly accessed
data and instruction. This means that the computer
(CPU) will seem faster to the user with more RAM to
keep more data and instructions close at hand for the
CPU
19

Yes. Thumb Drives (a.k.a. USB keys) offer more


storage and quicker data access in a smaller, more
convenient package. Most PC makers have stopped
including diskette drives as standard PC equipment.
Relative to the USB keys, a floppy diskettes smaller
storage, slower access, and decreasing support by
PC makers all point to the demise of the once
ubiquitous floppy disk.

Hardware

20

While no security is infallible, in general the smaller


the network (in terms of geographic size) the more
easily it can be secured. As network size increases it
is difficult to include the network within a secure
physical location. In addition, larger networks often
require some use of public connection media which
may be more easily accessed by unauthorized users
than private communications media.

Connecting Over Networks

End of Chapter Answers

Chapter 3
Question
Number
1

Answer
B. synthesis

Level 1 Head Reference for


Answer
Knowledge Work Activities

Difficulty

E
M

D. Data, Information, and Knowledge

B. communication

Decisions, Decisions Making


Decisions at the Individual Level
Knowledge Work Activities

D Investigate

Problem Solving

Unorganized

Knowledge Work Activities

CARROTS

complete

True

Decisions, Decisions Making


Decisions at the Individual Level
Decisions, Decisions Making
Decisions at the Individual Level
Knowledge Work Activities

False

10

False

Decisions, Decisions Making


Decisions at the Individual Level l
Problem Solving

11

Knowledge Work Activities

12

Knowledge Work Activities

13

Knowledge Work Activities

14

15

16

17

Investigate I want to buy a car so I go to


Consumer Reports and other sites to find the best
cars for the environment and to Edmunds.com and
other sites to research prices
Analyze I review the data Ive collected generating
possible choices and develop the criteria I will use
to make my choice
Decide I pick the solar powered Ferrari. My
second choice is a Honda Accord Hybrid
Do I contact Ferrari and ask them to make one
since no such car is available to the general public.
No luck so I buy the Honda Accord Hybrid.

Decisions, Decisions Making


Decisions at the Individual Level
Decisions, Decisions Making
Decisions at the Individual Level
Decisions, Decisions Making
Decisions at the Individual Level
Problem Solving

18

Unstructured a problem characterized by high


uncertainty and no well known method for solving
the problem.
Example: Choose a University or College to attend

Decisions, Decisions Making


Decisions at the Individual Level

E
M

M
M
D

End of Chapter Answers


Semi-Structured A problem that is in-between the
two extremes. Has some level of uncertainty in data
and decision process.
Example: Choose a major at the University or
College you attend
Structured A problem situation which has the
luxury of complete and certain information available
and a well-known method for solving the problem.
Example: Complete Major-Required Course I and
major-Required Course II in order before taking any
electives.
19

Investigate Identify and research the two


companies and the nature of both internships.
Discover where you will be working and what you
will be doing during your internship.
Analyze organize and think about the data and
information you found what does it mean? Which
internship and/or which company appear to be the
best fit with your immediate and future goals? Think
about how what you will be doing in your internship
may result in job offer at the end of the internship.
Would you be willing to accept and work for this
company? Develop criteria to help you choose
between the two internships.
Decide Select the best internship for you using
the criteria that you generated in the Analyze step.
Do Respond to the firm that offered you the
internship you chose and send a note to the other
firm thanking them and declining their internship
offer. Move to new IADD cycle by investigating
transportation to location of internshipetc.

Problem Solving

20

Yes. In order to solve problems, knowledge workers


must make decisions. Consider the following
problems and the decisions which solve the
problems: (1) Undecided major decide which
major to major in (2) No transportation to and from
school decide to walk, to ride the bus, or to buy a
car and drive to and from school and (3) Need a
local checking account so local merchants will cash
your check decide which local bank offers the best
deal on student checking and open an account
there.

Decisions, Decisions Making


Decisions at the Individual Level
and Problem Solving

End of Chapter Answers

Chapter 4
Question
Number
1

A Feedback

Level 1 Head Reference for


Answer
Business as Open Systems

B Create processes to achieve goals

Business as Open Systems

A Automate

Stakeholder

Applying IT to create more business


value
Business as Open Systems

Transaction

The Value Chain

Complementary

Competitive Advantage

How Business organize to create


value
The Value Chain

True

False

10

False

11

12

13

14

15

Functional: Ford Motors


Product Line: Microsoft
Geography: GE
Matrix: University System

Applying IT to create more business


value
Applying IT to create more business
value
Applying IT to create more business
value
Applying IT to create more business
value
Applying IT to create more business
value
Applying IT to create more business
value
Applying IT to create more business
value
How Business organize to create
value

16

McDonalds Production of Hamburger


Inbound Logistics: Raw Vegetables, meat, Cheese
etc
Operations: Preparation of Hamburger
Outbound Logistics: Big Mac
Marketing and Sales: Advertisements on Television,
Discounts and promotional offers
Services: Customer satisfaction surveys, Quality
assurance

The Value Chain

17

Manufacture of Dell Computers


Input
Micro-Processors from Intel/AMD
Knowledge Workers from Universities
Capital from Investors and Creditors
Operating system from Microsoft
Technology from R&D teams

Business as Open Systems

Answer

Difficulty
M

M
M
M
E
E
M
D

End of Chapter Answers

18

19
20

Process
Assembly line to manufacture Computers
Output
Laptops and Desktops
Helpline services to aid customers
Feedback from users and industry experts to help
improve and innovate products
It is essential to invest time and money in support
activities of a company. For example by having
active Human Resource (HR) policy and department
can enhance employee output. Such activities add
more business value to the organization
An Enterprise Resource Planning (ERP) system
helps an organization to effectively manage and
automate its primary and secondary activities
Managers in Matrix Organizations can
Organize team building activities
Have inter team meeting to discuss the work they
are currently handling
Have knowledge sharing session to provide a unified
knowledge base

The value Chain

The value Chain

How Business organize to create


value

End of Chapter Answers

Chapter 5
Question
Number
1

Answer
B Mainframes

Level 1 Head Reference for


Answer
The Technology Infrastructure of an
Organization
Information Systems that Support
Business Activities

Difficulty
E

B Atomicity

3
4

C Simulation Modeling
D Periodic

Business Intelligence
Beyond Databases: Using Other
Methods to Store Data, Information,
and Knowledge

M
E

Embedded Processors

Database

Foreign

Point of Sale (POS)

The Technology Infrastructure of an


Organization
The Primary Data Storage for
Organizations
The Primary Data Storage for
Organizations
Information Systems that Support
Business Activities

False

10

False

11

True

12

True

13

Beyond Databases: Using Other


Methods to Store Data, Information,
and Knowledge

14

Beyond Databases: Using Other


Methods to Store Data, Information,
and Knowledge

15

Beyond Databases: Using Other


Methods to Store Data, Information,
and Knowledge

16

Beyond Databases: Using Other


Methods to Store Data, Information,
and Knowledge

17

The file management system has the following


disadvantages over Database system
Data Redundancy: Some information needs to be
stored in more than one place leading to inconstancy
and redundancy

Databases: the Primary Data


Storage for Organizations

10

The Technology Infrastructure of an


Organization
The Technology Infrastructure of an
Organization
The Primary Data Storage for
Organizations
Information Systems that Support
Business Activities

E
E
M
E
M
E
E

End of Chapter Answers

18

19

20

11

Data Dependence: As the files are designed for a


particular system they may not be used by another
application (System dependent)
Data Inaccessibility: The data stored may not be
accessible from other applications.
Poor file management: The files are difficult to
manage and change. It also has difficulties when
multiple people are trying to modify the files at the
same time.
The different technologies are as follows:
Middleware: is software that links applications that
use dissimilar software and hardware platforms. A
middleware application tracks and software modules
and their status and then links them over network
connection.
Web Services: Processes data over from a sending
application and then delivers the data over the
network using standard data format called XML.
Enterprise Resource Planning (ERP): In this
approach the company runs all its applications from
a single database. Each functional unit (like HR,
R&D, and Finance) uses their own software but
linked to a common database.
Both systems can be useful. A strength of FIS is that
they are typically created with a focus on a particular
department. Thus an FIS may include
comprehensive data and tools for a specific
department. However, a workflow management
system can incorporate the data from a specific
department and integrate it with the work and data of
other departments that take part in the workflow.
Thus, a WMS may be ultimately more useful to that
organization as a whole.
Groupware can be of use for any organization by
supporting communication between the members of
the organization and by supporting group decision
making. Groupware may be used by City and County
governments to support meeting; to communicate
information about important decisions both before
and after decision making; and to even incorporate
the view of the electorate through the use of voting
systems.

The IS integration Problem

Information Systems that Support


Business Activities

Beyond Databases: Using Other


Methods to Store Data, Information,
and Knowledge

End of Chapter Answers

Chapter 6
Question
Number
1

Answer
B Elaboration

Level 1 Head Reference for


Answer
The Stages and Activities of System
Development

Difficulty
M

A Inception

The Stages and Activities of System


Development

B Diamond Family

IS Methodology

D - Risk avoidance

Managing the IS Project

team composition

The People Who Develop IS

Unified Programming Language (UML)

IS Methodology

Integrated Development Environment (IDE).

IT Tools for IS Development

False

The Stages and Activities of System


Development

False

IS Methodology

10

True

The People Who Develop IS

11
12

True
A

IT Tools for IS Development


The Big IS Development Questions

E
E

13

The Big IS Development Questions

14

The Big IS Development Questions

15

The Big IS Development Questions

16

The stages of the Life cycle are:


1. Pre Inception: the stage in which the organization
promotes or inhibits ideas for on Information system.
2. Inception: In this stage the focus in on
understanding the problem and planning the project.
3. Elaboration: The project team finalizes the
requirement and designs the system architecture.
4. Construction: The development team builds the
core functionalities of the system.
5. Transtion: The development team finalizes the
system and puts it in change. It also trains the users
of the system and the management.
6. Production: In this stage the organization
continuously monitors, maintain and evaluate the
system.
7. Retirement: In this stage the old system is retired
and usually leads to the inception of a new system,

The Stages and Activities of System


Development

12

End of Chapter Answers

17

18

19

20

13

1. Entity-Relationship Diagram (ERD)


2. Logical Data Model
3. Data Flow Diagram (DFD)
4. Unified Modeling Language(UML)
In the evolutionary model developers first
investigate, specify and implement a core
functionality with minimum functionality. Then the
developers evaluate the functionality and add
enhancements or changes to it. Prototyping is used
to build the system with the inputs from the
customers. In such a development model the
customer can make changes and enhancements to
the requirements and these can be incorporated in
the system easily
The waterfall model is rigid in structure and is difficult
to make changes in the previous stage once the
development reaches the next stage of the lifecycle.
Parallel process of wok cannot take place in the
waterfall model.
Ideally, we would like to have an IS in place
immediately (zero development time) and then use it
forever (100% production) with no need for changes.
Of course, we live in the real world so project
managers must manage resources and risks while
seeking to build an IS as quickly as possible and with
the flexibility and quality to be useful in production for
as long as possible.
Managers should not only rely on financial analysis
for their feasibility. Although by obtaining the ROI,
NPV and IRR gives a good picture about the
feasibility of the project using financial benefit there
are other intangible factors which need to be
considered. Project managers should also consider
the strengths of the organization and the impact of
the IS project on stakeholders. For example:
Customer satisfaction is based on the speed at
which customer is able make transactions of the
company website. A satisfied customer may lead to
increased business.

IS Methodology

IS Methodology

The Stages And Activities Of


System Development.

The Big IS Development Questions

End of Chapter Answers

Chapter 7
Question
Number
1

Level 1 Head Reference for


Answer
E-Commerce: An Overview

The E-Commerce Difference

The E-Commerce Difference

E-Commerce Between
Organizations

e-commerce

E-Commerce: An Overview

E-commerce strategy

The E-Commerce Difference

Infomediary

The E-Commerce Difference

Supply Chain

E-Commerce Between
Organizations

False

E-Commerce Between
Organizations

10

True

E-Commerce: An Overview

11

False

The E-Commerce Difference

12

True

The E-Commerce Difference

13

E-Commerce for Consumers

14

E-Commerce for Consumers

15

E-Commerce for Consumers

16

E-Commerce for Consumers

17

A business model defines how a company will meet


the needs of its customers while making a profit.
Having a business model will enable them to focus
on their customers and also make profits on a long
term basis.
The 3 broad categories are
1. Spot Buying
2. Strategic Sourcing
3. Exchange
Benefits
Lower Prices
Shopping 24/7
Greater Searchability
Shorter Delivery times for digital Products
Sharing of information with other consumers

E-Commerce for Consumers

E-Commerce Between
Organizations

E-Commerce for Consumers

18

19

14

Answer

Difficulty
M

End of Chapter Answers


Improved customer service
Limitations
Delay in receiving physical products
Slow downloads in areas where high speed internet
is limited
Security and privacy concerns
Inability to touch, feel and see product
Unavailability of micropayments for purchase of
small cost products
20

15

E-commerce is affecting business in the following


ways:
Reducing barriers to entry
Preventing any company from owning the market
Enhancing collaboration/alliances
Multiplying market niches
Changing marketplace drivers
e-commerce is also leading to
Information density: Increasing the quality and the
quantity of information to the customer.
Mass Customization: The method in which
customized products or services can be provided on
demand
Personalization of Marketing goods

The E-Commerce Difference

End of Chapter Answers

Chapter 8
Question
Number
1

Answer
D All of the above

A Cookie

D WSDL

C Web Client

5
6

Fourth
Scripting Language

Response

A(n) Applet

False

10

False

11

False

12

True

13

14

15

17

The 4 tier e-commerce infrastructure has the


following components:
Web Client: Enter the URL and you send an
HTTP request to a Web serve
Web Server: Receives request and decides on how

16

Level 1 Head Reference for


Answer
Second-Generation E-Commerce
Technologies:
Providing Interaction
Second-Generation E-Commerce
Technologies:
Providing Interaction
Fourth-Generation E-Commerce
Technologies:
Transforming Processes
Second-Generation E-Commerce
Technologies:
Providing Interaction
The Stages of E-commerce
Second-Generation E-Commerce
Technologies:
Providing Interaction
Second-Generation E-Commerce
Technologies:
Providing Interaction
Second-Generation E-Commerce
Technologies:
Providing Interaction
First-Generation E-Commerce
Technologies:
Establishing a Web Presence
Second-Generation E-Commerce
Technologies:
Providing Interaction
Second-Generation E-Commerce
Technologies:
Providing Interaction
Fourth-Generation E-Commerce
Technologies:
Transforming Processes
Third-Generation E-Commerce
Technologies:
Supporting Transactions

Difficulty
E
E
M
M
E
E
E
M
E
M
E
E
E

First-Generation E-Commerce
Technologies:
Establishing a Web Presence
Third-Generation E-Commerce
Technologies:
Supporting Transactions

Second-Generation E-Commerce
Technologies:
Providing Interaction

End of Chapter Answers


to send response back to the client server. It request
is static then sends back response but it the request
is dynamic then the web server routes the request to
the client and application server.
Application Server: If needed the server performs
queries on the data server to get the requested data.
Data/File Server: Stores data that may be needed for
the E-commerce transaction.
18

XML (eXtensible Markup Language) uses tags to


mark up content and/or data so that applications can
recognize it. The goal of XML is to describe data.
XML tags allow applications to understand the
underlying meaning of data and then react
appropriately. For example, an <invoice> tag may
signal to an on-line application that the incoming
data represents an invoice for an ordered product
and then the application can process the data
accordingly.

Fourth-Generation E-Commerce
Technologies:
Transforming Processes

19

The features often looked for in an e-commerce


website include: interactivity and security. These are
critical for the effective usage of e-commerce.
The fear of lost data and identity theft can make
many nervous about using e-commerce.
Students may mention technologies such as:
AJAX
Blogging
RSS
VOIP

Fourth-Generation E-Commerce
Technologies:
Transforming Processes

Fourth-Generation E-Commerce
Technologies:
Transforming Processes

20

17

End of Chapter Answers

Chapter 9
Question
Number
1

Level 1 Head Reference for


Answer
Corporate and IT Governance

Transfer (This choice does not exists)

Enterprise Risk Management

Enterprise Risk Management

Enterprise Risk Management

Near sourcing

A Global Perspective

Off shoring

A Global Perspective

Enterprise Risk Management

Enterprise Risk Management

Applicable risk

Enterprise Risk Management

False

Global IS and Global IT

10

False

Global IS and Global IT

11

True

Global IS and Global IT

12

True

A Global Perspective

13

Enterprise Risk Management

14

Enterprise Risk Management

15

Enterprise Risk Management

16

The congress passed the Sarbanes Oxley act in


2002 to restore public and investors trust in public
accounting and reporting of publicly traded
companies.
After the Enron and World Com financial frauds the
SOX held the CEO and the CFO liable and
responsible for the financial statements produced by
the company. The SOX required more
documentation of process, decreased the time
between reporting financial statements, and
prohibited accounting firms from selling their non
audit business to the companies.
A global perspective is a world wide approach to
business that seeks to create business value in an
economic world that is largely flat, borderless and
cyber connected.
Example: GE off shoring its billing operations to
India, thus saving money for itself and creating jobs
and revenue in India.
Four challenges to IT Globalization are identified by

Enterprise Risk Management

A Global Perspective

Global IS and Global IT

17

18

18

Answer

Difficulty
E

End of Chapter Answers

19

20

19

Ives and Jarvenpaa on page 271 of text, they are: (1)


the linkage of global IT to global business strategy;
(2) Information Technology platforms; (3)
International data sharing; and (4) cultural
environment. Here is a possible answer if the student
chooses (4) Cultural environment:
The answer to this depends on your point of view.
For example, you might believe that cultural
environments are the most serious challenge to IT
globalization. If so, then successfully competing on a
global scale requires more than just native speaking
IT professionals or knowledge workers. A truly global
organization is aware of and embraces the diversity
inherent in different cultures. An organization would
be committed to education and training of its
knowledge workers in cultural differences,
languages, etc. Also, HR policies would rotate IT
managers and IT employees through various
locations to enable them to gain firsthand knowledge
and experience of various cultures. Also, IT
departments would be mindful of cultural
environments when developing websites, global IS,
etc.
Enterprise Information Security is defined on page
284 of the text as an ongoing, strategic business
process of risk and threat assessment and
management, which helps to ensure safe and
continuous business operation and the availability,
confidentiality, and integrity of an enterprises
information resources wherever they might be
located. Availability means that the business has
access to whatever information resource it needs to
create business value. Confidentiality addresses the
need to keep safe certain types of sensitive
information and to restrict access to this information
to authorized users. Integrity as related to
information means ensuring that the facts, events,
knowledge, etc., captured and stored in information
systems is accurate and complete (see CARROTS
in Chapter 3). The threats and risks include
unauthorized access, compromise, theft, loss, etc
and a complete answer would address several of
these. Recent examples of public and private
organizational risk will include those from the text
such as the Kaiser example on page 286, as well
as examples from current headlines such as
Homeland Security Admits Privacy Errors in AntiTerror Effort. The integration and exposure of
sensitive data is an increasing risk faced by modern
organizations. While Kaiser received fines, the
Department of Homeland Security faces the risks of
loss of credibility, possible reduced effectiveness,
and of litigation.
(http://www.eweek.com/article2/0,1895,2077595,00.
asp?kc=EWEWEMNL122506EP25A)
The PPT framework is:

Enterprise Information Security

Enterprise Information Security

End of Chapter Answers

People refers to the members of an organization


and the roles that they play.
Technology includes tools, methods and
mechanisms to support organizational processes.
Policy represents the documented rules for
governance.

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