Management Information Systems at UPS
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Questions and Answers

What is one of the key technologies used by UPS for package tracking?

  • Satellite Communication
  • Blockchain
  • Artificial Intelligence (correct)
  • Machine Learning

    • What are the major components of UPS's package tracking system?

  • Sources, processing, and delivery
  • Input, processing, and output (correct)
  • Initiation, processing, and closure
  • Inputs, actions, and results

    • How do UPS's information systems align with its business strategy?

  • By relying exclusively on manual processes
  • By reducing employee workload
  • By enhancing customer engagement
  • By increasing operational efficiency (correct)

    • What business objective do UPS’s information systems primarily address?

    <p>Improving package delivery speed</p> Signup and view all the answers

    What is an example of how UPS utilizes big data?

    <p>To enhance package tracking real-time</p> Signup and view all the answers

    What role does technology play in the UPS tracking system?

    <p>It includes hardware and software necessary for tracking.</p> Signup and view all the answers

    How has the investment in information technology capital changed from 1980 to 2009?

    <p>It grew from 32 percent to 52 percent of all invested capital.</p> Signup and view all the answers

    What happens when an organization changes its strategy or business processes?

    <p>It can create a need for changes in hardware and software.</p> Signup and view all the answers

    What is a key feature of modern business information systems?

    <p>They are increasingly interdependent with organizational capabilities.</p> Signup and view all the answers

    Which of the following best describes the dimensions of the UPS tracking system?

    <p>They encompass procedures, technology, and cost monitoring.</p> Signup and view all the answers

    What is the primary purpose of an information system?

    <p>To support decision making, coordination, and control</p> Signup and view all the answers

    How do data and information differ?

    <p>Information is data that has been processed into a meaningful form</p> Signup and view all the answers

    Which of the following is NOT part of the technology dimension of information systems?

    <p>Organizational human resources</p> Signup and view all the answers

    What best describes IT infrastructure?

    <p>It is a framework that supports the deployment of information systems</p> Signup and view all the answers

    What type of information can be derived from raw data at a supermarket checkout?

    <p>Total unit sales of specific products</p> Signup and view all the answers

    What is the main purpose of feedback in an information system?

    <p>To evaluate or correct the input stage.</p> Signup and view all the answers

    Which of the following activities is essential to convert raw data into meaningful form within an information system?

    <p>Processing</p> Signup and view all the answers

    What role do environmental actors play in relation to an organization's information systems?

    <p>They interact with the organization and its information systems.</p> Signup and view all the answers

    Which statement best describes the relationship between computers/software and information systems?

    <p>Computers and software are tools used to implement information systems.</p> Signup and view all the answers

    Which of the following best characterizes the output of an information system?

    <p>Output includes processed information returned to evaluate the input stage.</p> Signup and view all the answers

    What is one way managers must act creatively according to the business perspective on information systems?

    <p>Re-creating the organization</p> Signup and view all the answers

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

    <p>Higher employee turnover</p> Signup and view all the answers

    How is the value of an information system primarily determined?

    <p>By its contribution to better decision making and higher profits</p> Signup and view all the answers

    What is a key component of the business information value chain?

    <p>Transforming raw data through value-adding stages</p> Signup and view all the answers

    What role does an information system play from a business perspective?

    <p>It is an instrument for creating value and improving decision making</p> Signup and view all the answers

    What is one potential consequence of poor decision making due to inaccurate information?

    <p>Underproduction</p> Signup and view all the answers

    Which example illustrates a competitive advantage achieved through information systems?

    <p>Citibank introduced ATMs to enhance customer service</p> Signup and view all the answers

    What major factor can lead to the survival of a business in today’s environment?

    <p>Adapting to industry changes through information technology</p> Signup and view all the answers

    What primary role does an information system serve in improving decision making?

    <p>It supplies accurate real-time information</p> Signup and view all the answers

    Why might investing in information technology not guarantee good returns for all firms?

    <p>Because returns vary based on system implementation</p> Signup and view all the answers

    Which of the following factors can increase costs for a business?

    <p>Misallocation of resources</p> Signup and view all the answers

    How can businesses utilize information systems to respond to customers and suppliers effectively?

    <p>By utilizing real-time data and feedback</p> Signup and view all the answers

    What challenge arises from lack of accurate information in decision making for managers?

    <p>Dependence on luck and best guesses</p> Signup and view all the answers

    What does a Database Management System (DBMS) primarily do?

    <p>Store, organize, and access data from a database</p> Signup and view all the answers

    The logical view of data refers to how data is actually structured and organized.

    <p>False</p> Signup and view all the answers

    Name one example of a Relational DBMS.

    <p>MySQL</p> Signup and view all the answers

    Big Data is characterized by the 3Vs: Volume, __________ and __________.

    <p>variety, velocity</p> Signup and view all the answers

    Which operation in a relational DBMS creates a subset of columns in a table?

    <p>Project</p> Signup and view all the answers

    Match the following DBMS-related terms with their correct definitions:

    <p>Select = Creates a subset of all records meeting stated criteria Join = Combines relational tables Project = Creates a subset consisting of columns NoSQL = Handles large unstructured datasets</p> Signup and view all the answers

    Non-relational databases require a strict tabular structure.

    <p>False</p> Signup and view all the answers

    What term is used to describe massive quantities of unstructured data collected from the Internet?

    <p>Big Data</p> Signup and view all the answers

    What is the main purpose of Online Analytical Processing (OLAP)?

    <p>To support multidimensional data analysis</p> Signup and view all the answers

    Data mining involves finding structures and rules in small datasets.

    <p>False</p> Signup and view all the answers

    What is a primary feature of cloud relational database services?

    <p>Pricing based on usage</p> Signup and view all the answers

    Once recorded, blocks in a blockchain can be changed.

    <p>False</p> Signup and view all the answers

    Which of the following best defines a database?

    <p>A collection of related files containing records</p> Signup and view all the answers

    What type of analysis does text mining primarily perform?

    <p>Sentiment analysis</p> Signup and view all the answers

    Entity-relationship diagrams are used to clarify relationships in a non-relational database.

    <p>False</p> Signup and view all the answers

    Online Analytical Processing (OLAP) enables users to view data across multiple ______.

    <p>dimensions</p> Signup and view all the answers

    What does a data warehouse do?

    <p>Stores current and historical data for decision making.</p> Signup and view all the answers

    Hadoop is an open-source software framework for ______.

    <p>big data</p> Signup and view all the answers

    Match the following data mining types with their descriptions:

    <p>Associations = Occurrences linked to a single event Sequences = Events linked over time Classifications = Patterns describing a group an item belongs to Clustering = Discovering unclassified groupings</p> Signup and view all the answers

    What is the purpose of a primary key in a relational database?

    <p>To uniquely identify each record in a table.</p> Signup and view all the answers

    In a relational database, the __________ represents a specific characteristic of an entity.

    <p>attribute</p> Signup and view all the answers

    Which of the following is NOT a type of information obtainable from data mining?

    <p>Static Reports</p> Signup and view all the answers

    Match the following database types with their descriptions:

    <p>Data Warehouse = Consolidates data from multiple sources for analysis Data Mart = Subset of a data warehouse focused on specific users Distributed Database = Data stored in multiple physical locations Relational Database = Structured data organized in tables</p> Signup and view all the answers

    Match the following terms with their definitions:

    <p>Entity = A generalized category representing person, place, or thing Attribute = Specific characteristics of an entity Primary Key = Uniquely identifies each record in a table Referential Integrity = Ensures relationships between tables remain consistent</p> Signup and view all the answers

    Which service is an example of a distributed database?

    <p>Google Spanner</p> Signup and view all the answers

    Web mining focuses only on the content of websites and not on user interaction data.

    <p>False</p> Signup and view all the answers

    Which component is NOT typically involved in linking internal databases to the web?

    <p>File server</p> Signup and view all the answers

    What percentage of an organization's useful information is usually unstructured data?

    <p>80 percent</p> Signup and view all the answers

    Data marts can be altered by users for specific needs.

    <p>False</p> Signup and view all the answers

    Relationships between tables in a database can be established without constraints.

    <p>False</p> Signup and view all the answers

    Name one key service of Hadoop.

    <p>Hadoop Distributed File System (HDFS) or MapReduce.</p> Signup and view all the answers

    Name two types of servers that help in making internal databases accessible over the web.

    <p>Web server and Database server.</p> Signup and view all the answers

    Which of the following is a characteristic of pull-based supply chain models?

    <p>Production is driven by actual customer demand.</p> Signup and view all the answers

    Customer Relationship Management (CRM) systems capture and integrate customer data from all departments of a business.

    <p>True</p> Signup and view all the answers

    What is one primary purpose of using supply chain management systems?

    <p>To match supply to demand.</p> Signup and view all the answers

    Sales Force Automation (SFA) tools primarily manage __________ and contact information for sales prospects.

    <p>sales</p> Signup and view all the answers

    Match the following CRM modules with their primary functions:

    <p>Sales Force Automation (SFA) = Managing sales prospects and generating quotes Customer Service = Managing customer service requests Partner Relationship Management (PRM) = Integrating lead generation and assessing partner performance Employee Relationship Management (ERM) = Setting employee performance objectives</p> Signup and view all the answers

    What is a key benefit of effective customer relationship management systems?

    <p>Reduced customer service response times</p> Signup and view all the answers

    Improving delivery service is not an objective of supply chain management systems.

    <p>False</p> Signup and view all the answers

    What technology or tool facilitates automated management of customer service requests?

    <p>Customer service software or CRM tools.</p> Signup and view all the answers

    What is one of the primary functions of Operational CRM systems?

    <p>Sales force automation</p> Signup and view all the answers

    In analytical CRM, customer data is solely based on operational CRM systems.

    <p>False</p> Signup and view all the answers

    What does CLTV stand for in the context of analytics?

    <p>Customer Lifetime Value</p> Signup and view all the answers

    A major benefit of CRM systems is increased customer __________.

    <p>satisfaction</p> Signup and view all the answers

    Match the following CRM components with their descriptions:

    <p>Operational CRM = Sales force automation and marketing automation Analytical CRM = Analyzes customer data for insights Churn Rate = Indicator of customer retention or loss Sales Force Automation = Streamlines sales processes</p> Signup and view all the answers

    What factor can contribute to higher costs for a business implementing enterprise applications?

    <p>Substantial development time</p> Signup and view all the answers

    The churn rate is a measure of how many customers stop using a company’s products or services.

    <p>True</p> Signup and view all the answers

    ____ solutions are a next-generation approach to enterprise applications that allow for better integration and flexibility.

    <p>Cloud-based</p> Signup and view all the answers

    What is a key characteristic of a push supply chain model?

    <p>Inventory is produced in anticipation of customer demand</p> Signup and view all the answers

    Demand-driven supply chains adjust production based on real-time demand information.

    <p>True</p> Signup and view all the answers

    What is the primary objective of customer relationship management systems?

    <p>To enhance customer intimacy and improve customer relationships.</p> Signup and view all the answers

    Sales force automation tools help streamline the ________ process to increase sales efficiency.

    <p>sales</p> Signup and view all the answers

    Match the following terms with their appropriate descriptions:

    <p>Push Model = Forecast-based production Pull Model = Demand-driven production Warehouse Management = Optimizing storage and retrieval of goods Logistics Management = Coordinating movement of products and services</p> Signup and view all the answers

    Which of the following best describes warehouse management?

    <p>Optimization of storage and retrieval processes</p> Signup and view all the answers

    Sales force automation is primarily concerned with managing supply chain logistics.

    <p>False</p> Signup and view all the answers

    What advantage do customer relationship management systems provide?

    <p>They allow businesses to understand and meet customer needs better.</p> Signup and view all the answers

    What percentage of all e-commerce was accounted for by m-commerce in 2019?

    <p>45 percent</p> Signup and view all the answers

    Private exchanges are public marketplaces where multiple suppliers and buyers engage.

    <p>False</p> Signup and view all the answers

    What is a characteristic of digital goods?

    <p>Cost of producing the first unit is nearly the entire cost of the product</p> Signup and view all the answers

    In e-commerce, Business-to-Business (B2B) refers to transactions between businesses and individual consumers.

    <p>False</p> Signup and view all the answers

    Name one area of significant growth in m-commerce.

    <p>Mass market retailing</p> Signup and view all the answers

    What is the term for the elimination of intermediaries in a digital marketplace?

    <p>Disintermediation</p> Signup and view all the answers

    Exchanges are __________ owned third-party net marketplaces for spot purchasing.

    <p>independently</p> Signup and view all the answers

    Which of the following best describes net marketplaces?

    <p>Single digital marketplaces for many buyers and sellers.</p> Signup and view all the answers

    E-commerce can be categorized by platform, including ________ commerce.

    <p>mobile</p> Signup and view all the answers

    Match the following e-commerce business models with their descriptions:

    <p>Portal = A centralized platform for web services and access E-tailer = An online retailer Content provider = Companies providing digital material to consumers Transaction broker = Facilitates transactions between buyers and sellers</p> Signup and view all the answers

    Match the following types of e-commerce with their definitions:

    <p>Private exchanges = Secure website for linking large firms to suppliers Net marketplaces = Digital marketplace for many buyers and sellers Exchanges = Third-party net marketplaces for spot purchasing M-commerce = E-commerce conducted through mobile devices</p> Signup and view all the answers

    Location-based services utilize GPS map technology to provide relevant information about nearby businesses.

    <p>True</p> Signup and view all the answers

    What is a primary revenue model used in e-commerce?

    <p>Advertising</p> Signup and view all the answers

    Electronic Data Interchange (EDI) primarily facilitates the manual processing of invoices and purchase orders.

    <p>False</p> Signup and view all the answers

    What is the fastest growing form of e-commerce?

    <p>M-commerce</p> Signup and view all the answers

    Name one industry that has seen revolutionary changes due to the rise of digital goods.

    <p>Publishing or record labels</p> Signup and view all the answers

    What is one of the primary benefits of e-commerce compared to traditional commerce?

    <p>Reduced transaction costs</p> Signup and view all the answers

    E-commerce has experienced continuous growth since its inception in 1995, even during economic downturns.

    <p>True</p> Signup and view all the answers

    What term is used to describe the use of the Internet to transact business?

    <p>E-commerce</p> Signup and view all the answers

    The shift from desktop to __________ has become a key trend in contemporary e-commerce.

    <p>smartphone</p> Signup and view all the answers

    Match the following e-commerce business models with their correct descriptions:

    <p>B2B = Business to Business B2C = Business to Consumer C2C = Consumer to Consumer C2B = Consumer to Business</p> Signup and view all the answers

    Which characteristic of e-commerce allows for seamless transactions across cultural and national boundaries?

    <p>Global reach</p> Signup and view all the answers

    Personalization and customization are not possible in the realm of e-commerce.

    <p>False</p> Signup and view all the answers

    What term refers to the elimination of intermediaries in the e-commerce process?

    <p>Disintermediation</p> Signup and view all the answers

    Which type of decision-making typically involves making predictions about future events?

    <p>Unstructured decisions</p> Signup and view all the answers

    Improving a single decision can lead to significant annual value for a business.

    <p>False</p> Signup and view all the answers

    Define artificial intelligence (AI) in a way that differentiates it from human intelligence.

    <p>Artificial intelligence is the simulation of human intelligence in machines, capable of performing tasks that typically require human intelligence, such as visual perception, speech recognition, decision-making, and language translation.</p> Signup and view all the answers

    The __________ is an important measure that reflects the potential monetary value of improved decision making across an organization.

    <p>business value</p> Signup and view all the answers

    Match the following types of decisions with their characteristics:

    <p>Routine decisions = Decisions made frequently with established guidelines Programmed decisions = Decisions that rely heavily on data and procedures Unstructured decisions = Decisions requiring significant intuition and judgment Strategic decisions = Long-term decisions that define the course of the organization</p> Signup and view all the answers

    Which of the following is a key benefit of business intelligence in decision making?

    <p>Providing real-time insights</p> Signup and view all the answers

    Enhancing decision making universally decreases overall operational costs.

    <p>False</p> Signup and view all the answers

    What are the major types of AI techniques that can benefit organizations?

    <p>Machine learning, natural language processing, robotic process automation, and computer vision.</p> Signup and view all the answers

    What type of decision requires judgment and lacks a well-understood procedure?

    <p>Unstructured</p> Signup and view all the answers

    Semi-structured decisions involve clear-cut answers provided by accepted procedures.

    <p>True</p> Signup and view all the answers

    List the four stages of the decision-making process.

    <p>Intelligence, Design, Choice, Implementation</p> Signup and view all the answers

    ______ decisions involve repetitive and routine processes with established procedures.

    <p>Structured</p> Signup and view all the answers

    Match the type of decision with its description:

    <p>Unstructured = Novel and important requiring judgment Structured = Routine decisions with a clear procedure Semi-structured = Partially defined with some clear answers Intelligence = Identifying and understanding problems in an organization</p> Signup and view all the answers

    Which of the following is NOT a stage in the decision-making process?

    <p>Evaluation</p> Signup and view all the answers

    Business performance management translates strategies into operational targets.

    <p>True</p> Signup and view all the answers

    What does Business Intelligence (BI) framework primarily involve?

    <p>Managing data from the business environment including warehousing, integrating, reporting, and analyzing.</p> Signup and view all the answers

    What is a primary function of an expert system?

    <p>To capture human expertise in a limited domain</p> Signup and view all the answers

    Natural language processing is used exclusively for voice commands.

    <p>False</p> Signup and view all the answers

    What type of machine learning involves multiple layers of processing to analyze data?

    <p>Deep learning</p> Signup and view all the answers

    Robotics involves the design and use of ______ machines that can substitute for humans.

    <p>movable</p> Signup and view all the answers

    Match the following AI techniques with their respective descriptions:

    <p>Expert Systems = Capture human expertise as a set of rules Machine Learning = Improving performance through data patterns Natural Language Processing = Processing speech or text commands Computer Vision = Extracting information from images</p> Signup and view all the answers

    Which of the following is a characteristic of neural networks?

    <p>Find patterns in large datasets</p> Signup and view all the answers

    Intelligent agents are capable of performing tasks without any user input.

    <p>True</p> Signup and view all the answers

    What type of AI is used for facial recognition systems?

    <p>Computer vision</p> Signup and view all the answers

    Study Notes

    Management Information Systems

    • UPS uses information technology (IT) to compete globally
    • Key questions to discuss regarding UPS and IT:
      • How UPS uses big data to improve package delivery
      • How overnight shipping works
    • Inputs, processing, and outputs of UPS's package tracking system
    • Technologies used by UPS and how they relate to UPS's business strategy
    • Business objectives addressed by UPS's information systems
    • Consequences of these systems being unavailable
    • Dimensions of UPS tracking system:
      • Organizational: procedures for tracking packages and managing inventory
      • Management: monitoring service levels and costs
      • Technology: handheld computers, bar-code scanners, networks, desktop computers
    • IT Investment:
      • Between 1980 and 2009, IT investment grew from 32% to 52% of all invested capital
    • Interdependence of Organizations and Information Technology:
      • Business strategic objectives, business processes, firm, information systems, telecommunications, software, and data management are interdependent.
    • Technology Dimensions of Information Systems:
      • Computer hardware and software
      • Data management technology
      • Networking and telecommunications technology: Networks, the Internet, intranets and extranets, World Wide Web
      • IT infrastructure: providing the platform for building systems
    • Information System Definition:
      • Set of interrelated components: collect, process, store, and distribute information. Supporting decision making, coordination, control
      • Data vs. Information: Data are raw facts. Information is data shaped into meaningful form.
    • Data and Information:
      • Raw data from a supermarket checkout counter transformed into meaningful information
    • Three activities of information systems:
      • Input: captures raw data from the organization or external environments.
      • Processing: converts raw data into meaningful form.
      • Output: transfers processed information to users
    • Feedback: output is returned to appropriate members of the organization to help evaluate or correct the input stage
    • Computers/computer program vs Information Systems: computers and software are the foundation and tools similar to material and tools used to build a house
    • Functions of an Information System:
      • Input
      • Processing (Classify, arrange, calculate)
      • Feedback
      • Output
      • Environmental actors (customers, suppliers, competitors, stockholders, regulatory agencies) interact with the organization.
    • Levels in a Firm: senior management, middle management, operational management, scientists and knowledge workers, data workers.
    • Separation of business functions:
      • Sales and marketing
      • Human resources
      • Finance and accounting
      • Manufacturing and production
      • Unique business processes
    • Management Dimension of Information Systems:
      • Managers set organizational strategy for responding to business challenges
      • Managers are evaluated on performance
      • Managers must act creatively (creating new products, services, and occasionally re-creating the organization).
    • Business perspective on Information Systems:
      • Information systems as an instrument for creating value
      • Investments in information technology leading to superior returns (productivity, revenue increases, superior long term strategic positioning)
    • Business Information Value Chain
      • Raw data transformed through stages that add value to the information
      • Value of information system: better decisions, greater efficiency, higher profits
    • Role of Information Systems in Business Today:
      • Growing interdependence between ability to use information technology and ability to implement corporate strategies and achieve corporate goals.
      • Business firms heavily invest in information systems to achieve operational excellence, new products/services, customer/supplier intimacy, improved decision making, competitive advantage, and survival.
    • Operational Excellence: achieving higher profitability through improved efficiency using information systems and technology. Walmart's Retail Link system.
    • New Products, Services, and Business Models: information systems are enabling tools for new products, services, and business models (iPad, Android OS, Netflix).
    • Customer and Supplier Intimacy: well-served customers return, which raises revenues and profits; intimacy with suppliers provides vital inputs, lowering costs (e.g., JCPenney's system).
    • Improved Decision Making: accurate information avoids forecasting, guesses, and luck; it leads to better outcomes. (e.g., Verizon).
    • Competitive Advantage: delivering better performance, superior products, and real-time response to customers and suppliers (e.g., Apple, Walmart, UPS).
    • Survival: information technologies as a necessity of business; industry-level changes, examples from Citibank (ATMs) and regulatory requirements (Toxic Substances Act, Sarbanes-Oxley Act).
    • Investing in information technology does not guarantee good returns; there's variation in returns from system investments; factors include adopting the right business model, investing in complementary assets.

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    Description

    This quiz explores how UPS leverages information technology to enhance its global competitiveness. Key topics include the use of big data in package delivery, the mechanics of overnight shipping, and the critical dimensions of UPS's tracking systems. Additionally, we will discuss IT investments and the interdependence of organizations and technology.

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