ITM 100 Class 2: Global E-business

Questions and Answers

How do information systems help organizations gain competitive advantage?

By outsourcing business processes

By limiting access to information systems

By decreasing the overall costs of production

By improving operational excellence (correct)

What do business processes primarily consist of?

Flows of materials, information, and knowledge (correct)

Only cross-functional activities

Fixed activities that cannot be changed

Retrospective assessments of performance

Why are systems for collaboration and social business deemed important?

They focus solely on data storage

They reduce the need for communication

They enhance decision-making speed and improve business relationships (correct)

They only serve management

How are business processes linked to information systems?

Information systems streamline and automate business processes Signup and view all the answers

Which of the following captures the relationship between business processes and business performance?

Business processes influence the overall performance of an organization Signup and view all the answers

What is a characteristic of effective business processes?

They may be either assets or liabilities Signup and view all the answers

In which area can information systems provide substantial improvement?

In communication and collaboration across the organization Signup and view all the answers

Which of the following options is NOT a benefit of information systems?

Encouraging single-person decision-making Signup and view all the answers

What is the primary function of Knowledge Management Systems (KMS)?

To capture and apply knowledge and expertise Signup and view all the answers

Which of the following best defines an intranet?

An internal company website accessible only by employees Signup and view all the answers

What distinguishes e-commerce from e-business?

E-commerce is focused on online transactions. Signup and view all the answers

What is a key characteristic of an extranet?

Accessible only to external vendors and suppliers Signup and view all the answers

Which of the following is NOT typically supported by a Knowledge Management System?

Monitoring employee attendance systems Signup and view all the answers

How do intranets and extranets contribute to business processes?

By increasing integration and expediting information flow Signup and view all the answers

Which of the following is an example of e-government?

A government website providing tax information Signup and view all the answers

The use of digital technology and the Internet to drive major business processes is referred to as what?

E-business Signup and view all the answers

What is the main purpose of collaboration in a business context?

To achieve shared and explicit goals Signup and view all the answers

Which factor is NOT associated with the changing nature of work?

Increased job security Signup and view all the answers

What is a primary goal of social business?

To deepen interactions and expedite information sharing Signup and view all the answers

Which of the following is a benefit of collaboration and teamwork in business?

Improved customer service Signup and view all the answers

How does enterprise social networking software primarily assist businesses?

By facilitating deeper employee and customer connections Signup and view all the answers

What characteristic defines informal collaboration?

Spontaneous and adaptable in nature Signup and view all the answers

Which statement about information transparency in social business is correct?

It promotes open exchange of information without unnecessary intervention. Signup and view all the answers

What impact does a higher level of collaboration have on financial performance?

It generally improves profitability and sales. Signup and view all the answers

Which of the following is NOT a tool or technology for collaboration and social business?

Traditional mail services Signup and view all the answers

What is the first step in evaluating and selecting collaboration and social software tools?

Identify your firm’s collaboration challenges Signup and view all the answers

In a collaborative business culture, which of the following is expected from senior managers?

Building teams and relying on them for decision-making Signup and view all the answers

Which tool allows for real-time document collaboration and requires internet access?

Google Drive Signup and view all the answers

What does the term 'command and control' in organizational culture imply?

Limited delegation of decision-making authority Signup and view all the answers

Which of the following should be considered when analyzing available products’ cost and benefits?

Potential return on investment Signup and view all the answers

Which factor is essential to evaluate concerning the risks associated with collaboration tools?

Security risks Signup and view all the answers

What role do managers play in a collaborative business culture?

To build and support teams Signup and view all the answers

Which functional business process is involved in assembling the product?

Manufacturing and production Signup and view all the answers

What is a primary benefit of automating manual steps in business processes?

Increases efficiency of existing processes Signup and view all the answers

What does a transaction processing system primarily serve?

Operational managers and staff Signup and view all the answers

Which of the following is NOT a benefit of information technology in business processes?

Maintaining traditional workflows unchanged Signup and view all the answers

What function does the order fulfillment process represent?

A cross-functional business process Signup and view all the answers

Which of these tasks is typically associated with human resources as a functional business process?

Hiring employees Signup and view all the answers

Which aspect does NOT describe how IT improves business processes?

Eliminates all manual processes Signup and view all the answers

Which example would be classified as a transaction processing system?

Sales order entry system Signup and view all the answers

Study Notes

Overview of Information Systems

Information systems enhance competitive advantage through improved operational excellence, innovation in products, customer intimacy, and better decision-making.
They facilitate enhanced communication and collaboration within businesses.

Business Processes

Business processes consist of material, information, and knowledge flows and are composed of a series of activities or steps.
These processes can be functional (e.g., sales, marketing) or cross-functional, and contribute significantly to the business's structure.

Types of Business Processes

Functional business processes include manufacturing (assembling products), sales and marketing (identifying customers), finance (creating statements), and human resources (hiring).

Enhancements Through Information Technology

IT improves business processes by increasing efficiency via automation and enabling new, more effective processes that can change information flow and decision-making dynamics.

Information Systems Categories

Transaction Processing Systems (TPS): Serve operational managers by recording daily transactions essential for business operations (e.g., payroll, sales).
Knowledge Management Systems (KMS): Capture and apply organizational knowledge, linking internal expertise with external resources.

Intranets and Extranets

Intranets: Internal company websites for employee access to enhance workflow.
Extranets: Restricted external websites for selected vendors and suppliers, often for supply chain coordination.

E-business and E-commerce

E-business encompasses digital technology utilization for major business processes.
E-commerce is a subset focused on online buying and selling.
E-government involves using the Internet to provide services to citizens and businesses.

Importance of Collaboration

Collaboration involves working together to meet shared goals, either in short-term or long-term team settings.
The modern workplace emphasizes collaboration due to the evolving nature of work, innovation, and shifting organizational structures.

Social business leverages social networking platforms to engage stakeholders, enhance interactions, and facilitate information sharing.
Emphasizes transparency that promotes direct information exchanges without executive intervention.

Benefits of Collaboration and Teamwork

Increased productivity, quality, innovation, customer service, and overall financial performance linked to a collaborative approach.

Tools for Collaboration

Common tools include email, instant messaging, wikis, virtual worlds, and cloud collaboration services like Google Drive.
Enterprise social networking tools and telepresence systems further facilitate collaborative efforts.

Managerial Checklist for Collaboration Tools

Steps for evaluating collaboration software: identify challenges, research solutions, analyze cost/benefit, assess security, consult users, and evaluate vendors.

Building Collaborative Cultures

Transitioning from "command and control" structures to collaborative environments fosters teamwork and broad participation in decision-making.
A collaborative culture relies on teams for decision-making and innovation across all aspects of the business.

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Description

This quiz covers key concepts from ITM 100, focusing on global e-business and collaboration as outlined in Management Information Systems: Managing the Digital Firm. Explore how information systems contribute to competitive advantage and operational excellence in digital firms. Test your understanding of the critical roles technology plays in business today.