This exam is short answer/essay. Please answer each question to the best of
your ability. Feel free to use the book. When you are done, return via email
or email attachment.
Why, for the major industrial powers, are knowledge and information key ingredients for creating wealth?
In todays world, knowledge and information are very important if you want to make it to the top. For major industrial powers, these key ingredients are a necessity. Its a fast pace world and if you want to hang with the big dogs you need to do things fast and efficient. Being up to date with the current technologies can make business more efficient and helps the major industrial powers to maximize their profits.
How has the Internet and Internet technology transformed business?
The Internet and internet technology has multiplied every aspect of business. The Internet offers the chance to do business globally from almost any location. Information can be exchanged anywhere in less than a second. Consumers can buy anything they want from around the world in a matter of minutes. The Internet has completely changed the face of the word business.
What exactly is an information system?
An information system is interrelated components working together to collect, process, store, and disseminate information to support decision making, coordination, control, analysis, and visualization in an organization.
Define the term “business processes” and list at least one example of each one in the four areas of manufacturing/production, sales/marketing, finance/ accounting, and human resources.
Business processes are the unique ways in which organizations coordinate and organize work activities, information, and knowledge to produce a product or service. One for manufacturing/ production would be an assembly line. One for sales/marketing would be focus groups. One for finance/accounting would be computer the system of credits and debits. One for Human Resources would be
Describe supply chain management and list the major entities in the supply chain and the function of each of them.
Supply Chain management is the integration of supplier, distributor, and customer logistics requirements into one cohesive process.
The supplier, such as manufacturing plants send the product to distribution centers such as retail outlets. People and information which are linked together sell the product to the customer/consumer.
How can businesses use information systems as an competitive advantage? (Give four types or examples.)
There are many ways in which businesses can use information systems as a competitive advantage. Strategic computer systems change goals, operations, products, services or environmental relationships to help the organization gain a competitive advantage. Information technology can reduce agency costs because it makes it easier for managers to oversee a greater number of employees. If more information is given to middle managers through computerization, the need for large numbers of lower-level workers is usually reduced. Also, the ability to pitch to smaller target markets is one advantage of information systems.
Why is it necessary for the manager to understand the particular organization itself before attempting to develop information systems for its use?
The manager needs to understand the particular organization itself before attempting to develop information systems because it plays a major role in how the information system would work. The manager needs to know what information systems the organization has used previously and what training employees have had in using them. If a manager were to create a system that seemed like a foreign language to employees, it would cause major disarray for the organization.
Describe the four categories of electronic commerce and give an example of each one.
o Business-business: Using networks to place orders, receive invoices and make payments; the well established form of EDI that typically uses EDI
o Business-consumer: Effectively electronic retailing. Gaining popularity with the World Wide Web for example, through various electronic shopping malls
o Business-administration: Transactions between companies and government organizations; currently in its infancy; examples include government procurement tenders (in the USA), and potentially for VAT reruns and payment of corporate taxes
o Consumer-administration: Still to emerge, but could include self-assessed tax returns and welfare payments on-line
How can Internet technology support electronic business and supply chain management?
Internet technology gives electronic business and supply chain management a medium to operate. As Internet technology advances and becomes more efficient, so does