DSS Midterm (نظري) PDF

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This document is a midterm exam paper for a Decision Support Systems (DSS) course. It contains multiple-choice questions related to various business concepts, decision-making processes, and DSS components.

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DSS Midterm - Q1 (01271873664) DSS – Midterm Q1 Faculty of Commerce Computers & Information Systems Department Subject: Decision Support Systems Sheet Topic: Theoretical Part Revision 1) Numerous types of business _______...

DSS Midterm - Q1 (01271873664) DSS – Midterm Q1 Faculty of Commerce Computers & Information Systems Department Subject: Decision Support Systems Sheet Topic: Theoretical Part Revision 1) Numerous types of business ________ result from today's business climate. a. decisions b. responses c. support d. pressures Answer: D 2) Companies are facing each of the following impacts of globalization except: a. Easier to find suppliers and customers in many countries b. Less complex business environment c. Cheaper materials d. More and stronger competitors ANSWER: B 3) Which of the following is an organizational response to a business environmental factor? a. customer demand b. government regulations c. new business models d. globalization Answer: C 4) Business environment factors that create pressures on organizations include all of the following except: a. workforce that is younger and shrinking b. need for real-time, on-demand transactions c. booming electronic markets on the Internet d. innovative marketing methods Answer: A 5) Today's computerized systems possess capabilities that can facilitate decision support in a number of ways, including each of the following except: a. Increased productivity of group members b. Improved communication and collaboration c. Agility support d. Reduced environmental pressures Answer: D 6) Solving semistructured problems may involve a combination of both standard solution procedures and human judgment. Management science can provide models for the portion of the decision-making problem that is ________. a. controlled b. semistructured c. unstructured d. structured Answer: D 7) A(n) ________ is a rule-based system that provides a solution, usually in one functional area, such as finance or manufacturing, to a specific repetitive managerial problem. a. decision support systems (DSS) b. transaction processing system (TPS) c. online analytical processing (OLAP) system d. automated decision system (ADS) Answer: D 8) By definition, a DSS must include which of the following component: a. business intelligence. b. expert system. c. animation system. d. user interface. Answer: D 9) Which of the following is a physical replica of a system, usually on a different scale from the original? a. Complex model b. Iconic model c. Duplicated model d. Composite model Answer: B 10) Which of the following model behaves like the real system but does not look like it? a. Composite model b. Analog model c. Dense model d. Iconic model Answer: B 11) The most important managerial function in the strategic level management is a. control b. direct c. plan d. organize ANSWER: C 12) The most important managerial function in the management control level is a. control b. direct c. plan d. organize ANSWER: D 13) The most important managerial function in the operational control level is a. control b. direct c. plan d. organize ANSWER: B 14) ……… systems are used by the firm's top managers. a. Management Information Systems b. Executive Information Systems c. Decision Support Systems d. d. Operational Level Systems ANSWER: B 15) ……… system is designed to meet the information needs of managers throughout the firm a. Management Information Systems b. Executive Information Systems c. Decision Support Systems d. Operational Level Systems ANSWER: A 16) …….. are interactive computer-based systems, which help decision makers utilize data and models to solve unstructured problems a. Management Information Systems b. Executive Information Systems c. Decision Support Systems d. Operational Level Systems ANSWER: C 17) Process of choosing amongst alternative courses of action for the purpose of attaining a goal or goals a. Decision Making b. Decision Analysis c. Choice d. Data Gathering ANSWER: A 18) unstructured decision making is a. More common at higher levels of the firm b. Concerned with decisions which only part of the problem has a clear-cut answer provided by an accepted procedure c. Repetitive and routine d. Concerned with decisions that decision makers can follow a definite procedure for handling them to be efficient ANSWER: A 19) Structured Decision is a. More common at higher levels of the firm b. Concerned with decisions which only part of the problem has a clear-cut answer provided by an accepted procedure c. Repetitive and routine d. Concerned with decisions that decision makers can follow a definite procedure for handling them to be efficient ANSWER: C, D 20) Semi-structured decsion is a. More common at higher levels of the firm b. Concerned with decisions which only part of the problem has a clear-cut answer provided by an accepted procedure c. Repetitive and routine d. Concerned with decisions that decision makers can follow a definite procedure for handling them to be efficient ANSWER: B 21) The process of decision making starts by a. Defining the problem b. Develop Alternative Solutions c. Select the solution d. Design the selected solution ANSWER: A 22) Phases in the decision-making process include each of the following except: a. intelligence b. analysis c. design d. choice Answer: B 23) There is a continuous flow of activity from one phase to the next phase in a decision making process, but at any phase there may be a return to a previous phase. ________ is an essential part of this process. a. Testing b. Trial-and-error c. Experimenting d. Modeling Answer: D 24) Which of the following involves finding or developing and analyzing possible courses of action in a decision making phase? a. Consultation phase b. Communication phase c. Intelligence phase d. Design phase Answer: D 25) Which of the following describes normative models? a. These models are based on anomalies in rational decision making. b. They are models in which the chosen alternative is demonstrably the best of all possible alternatives. c. They are models based on the phenomenon of preference reversal. d. They lead to an approach known as suboptimization. Answer: B 26) Which of the following, by definition, requires a decision maker to consider the impact of each alternative course of action on the entire organization because a decision made in one area may have significant effects in other areas? a. Satisfaction b. Worst-case c. Feasibility d. Optimization Answer: D 27) The ________ of a proposed solution to a problem is the initiation of a new order of things or the introduction of change. a. method b. implementation c. approach d. style Answer: B 28) Norfolk Southern Railroad built a ________ application that pulls data from the data warehouse and then graphically depicts actual performance against planned performance. a. dashboard b. graphical interface c. transaction processing d. forecasting Answer: A 29) Norfolk Southern Railroad invested in a Teradata ________, which is a central repository of historical data that is organized for easy access and manipulation to support decision making. a. database b. data warehouse c. data repository d. data disk Answer: B 30) Decision-Making Intelligence Phase a. consists of discovering, identifying, and understanding the problems occurring in the organization b. involves identifying and exploring various solutions to the problem c. choosing among solution alternatives d. All of the above ANSWER: A 31) Decision-Making Choice Phase a. consists of discovering, identifying, and understanding the problems occurring in the organization b. involves identifying and exploring various solutions to the problem c. choosing among solution alternatives d. All of the above ANSWER: C 32) Decision-Making Design Phase a. consists of discovering, identifying, and understanding the problems occurring in the organization b. involves identifying and exploring various solutions to the problem c. choosing among solution alternatives d. All of the above ANSWER: B 33) Develop alternative courses of action, Analyze potential solutions, Create model, Test for feasibility, Validate results and Select a principle of choice are activities of a. Decision-Making Design Phase b. Decision-Making Intelligence Phase c. Decision-Making Choice Phase d. Decision-Making Implementation Phase e. Decision-Making Monitoring Phase ANSWER: A 34) Scan the environment, Analyze organizational goals, Collect data, Identify problem, and Categorize problem are activities of a. Decision-Making Design Phase b. Decision-Making Intelligence Phase c. Decision-Making Choice Phase d. Decision-Making Implementation Phase e. Decision-Making Monitoring Phase ANSWER: B 35) An example descriptive model is/are a. Simulation b. Cognitive map c. What if scenarios d. All of the above ANSWER: D Fourth Year 2022-23 DSS Quick Review on (Part 3) [Section] 1. Groupthink tends to ________ the quality of decisions A) be detrimental to B) improve C) prolong D) complicate 2. Decision making that involves too much information may lead to a condition known as _______. A) groupthink B) information overload C) experimentation D) D) over assumption 3. Decisions are often made by ________, especially at lower managerial levels and in small organizations. A) groups B) management teams C) individuals D) computerized systems 4. Different decision styles require different types of support. A major factor that determines the type of required support is whether the decision maker is ________. A) autocratic B) consultative C) an individual or a group D) democratic 5. The identification of organizational goals and objectives related to an issue of concern and determination of whether they are being met is the beginning of the ________ of decision making. A) initial phase B) intelligence phase C) brainstorming phase D) generation phase 6. A ________ asks a computer what the effect of changing some of the input data or parameters would be. Answers: 1.A 2.B 3.C 4.C 5.B 6. what-if analysis TRUE & FALSE 1. Groupthink among decision makers can help lead to the best decisions. 2. Experimentation with a real system is possible only for one set of conditions at a time and can be disastrous. 3. Collecting information and analyzing a problem are the fastest and least expensive parts of decision-making. 4. Fast decision-making requirements tend to reduce decision quality. 5. According to Simon, managerial decision making is synonymous with managers using decision support systems. 6. Most Web-based DSS are focused on improving decision efficiency. 7. Personality temperament tests are often used to determine decision styles. 8. A problem exists in an organization only if someone or some group takes on the responsibility of attacking it and if the organization has the ability to solve it. Answers: 1)False 2)True 3) False 4) True 5)False 6) False 7) True 8) True DSS Midterm – Q2 DSS – Midterm Q2 0 T/F Question 1. When faced with a turbulent business environment, organizations are best able to survive or even excel by minimizing changes until the environment stabilizes. 2. One measure of productivity is the ratio of inputs to outputs. 3. Because managerial decision making is complex, it is more important to emphasize methodical, analytical decision making rather than interpersonal communication skills. 4. Government regulations, political instability, competition, and changing consumer demands cause uncertainty that makes it difficult to predict the consequences of a decision. 5. The first phase in the decision-making process is design which involves inventing, developing, and analyzing possible alternative courses of action or solutions. 6. There can only be one database used in one DSS application. 7. A DSS database can include multimedia objects, e.g., pictures and sounds. 8. A DSS can be composed of several models, some standard and some custom built, used collectively to support strategic decisions in the company. 9. Because DSS deal with semistructured or unstructured problems, it is often necessary to customize models, using programming tools and languages. 10. When trying to solve a problem, developers at the manufacturer HP consider the three phases in developing a model. Their first phase is problem analytics. 11. If a problem arises due to misalignment of incentives or unclear lines of authority or plans,then no model can help solve that root problem. 12. Problem identification is the conceptualization of a problem in an attempt to place it in a definable category, possibly leading to a standard solution approach. 13. One approach to solving a complex problem is to divide it into simpler subproblems and then solve those subproblems. 14. The process of modeling involves determining the (usually mathematical, sometimes symbolic) relationships among the variables. 15. "Humans are economic beings whose objective is to maximize the attainment of goals" is one of the assumptions of rational decision makers. 16. The idea of "thinking with your gut" is a heuristic approach to decision making. 17. All decisions that result in a favorable outcome are considered to be good decisions. 18. The difference in decision making under risk and decision making under uncertainty is that under risk, we think we know the probabilities of the states of nature, while under uncertainty we do not know the probabilities of the states of nature. 19. To determine the effect of input changes on decision results, we should perform a sensitivity analysis. 20. The maximax decision criterion is used by pessimistic decision makers and maximizes the maximum outcome for every alternative. 21. The maximin decision criterion is used by pessimistic decision makers and minimizes the maximum outcome for every alternative. 22. Optimistic decision makers tend to discount favorable outcomes. 23. The several criteria (maximax, maximin, equally likely, criterion of realism, minimax regret) used for decision making under uncertainty may lead to the choice of different alternatives. 24. A decision table is sometimes called a payout table. 25. In a decision table, all of the alternatives are listed down the left side of the table, while all of the possible outcomes or states of nature are listed across the top. 26. The criterion of realism is also called the Laplace criterion. 27. The equally likely decision criterion is also called the Laplace criterion. 28. The manner in which the components of a DSS are assembled defines the major capabilities and the nature of the support this DSS provides. 29. Business intelligence is typically built to support the solution of a certain problem or to evaluate an opportunity. 30. An effective database and its management can support many managerial activities; however, the real power of a DSS occurs when data are integrated with its models. 31. A key issue in data management is that of data quality. Poor quality data, which leads to poor quality information leads directly to waste. 32. Globalization has significantly reduced the complexity of the business environment. For example, companies can find suppliers and customers in many countries where materials are cheaper, which reduces competition and complexity.. 33. Managers, especially those at high managerial levels, are primarily hands-on problem solvers. 34. One of the major objectives of computerized decision support is to minimize the gap between the current performance of an organization and its desired performance. 35. A BI system has three major components: a data warehouse with source data; business performance management (BPM) for monitoring and analyzing performance; and a user interface such as a dashboard. 36. The objective of computerized decision support, regardless of its name or nature, is to help managers solve problems and assess opportunities faster and better than would be possible without computers. 37. Dashboards and information portals are data visualization tools. 38. Rationality is bounded only by limitations on human processing capacities but not by individual differences. 39. A problem exists in an organization only if someone or some group takes on the responsibility of attacking it and if the organization has the ability to solve it. 40. According to Simon, managerial decision making is synonymous with managers using decision support systems. 1. Answer: FALSE 2. Answer: FALSE 3. Answer: TRUE 4. Answer: TRUE 5. Answer: FALSE 6. Answer: False 7. Answer: True 8. Answer: TRUE 9. Answer: True 10. Answer: FALSE 11. Answer: TRUE 12. Answer: FALSE 13. Answer: FALSE 14. Answer: TRUE 15. Answer: TRUE 16. Answer: TRUE 17. Answer: FALSE 18. Answer: TRUE 19. Answer: TRUE 20. Answer: FALSE 21. Answer: FALSE 22. Answer: FALSE 23. Answer: TRUE 24. Answer: TRUE 25. Answer: TRUE 26. Answer: FALSE 27. Answer: TRUE 28. Answer: TRUE 29. Answer: FALSE 30. Answer: TRUE 31. Answer: TRUE 32. Answer: FALSE 33. Answer: FALSE 34. Answer: TRUE 35. Answer: FALSE 36. Answer: TRUE 37. Answer: TRUE 38. Answer: FALSE 39. Answer: TRUE 40. Answer: FALSE DSS Midterm – Q3 DSS – Midterm Q3 0 True and False 1) Numerous types of business ________ result 22) E-commerce has created an immense need for from today's business climate. ________ and an abundance of available information for performing it. A) decisions B) responses A) nonlinear programming C) support B) forecasting D) pressures C) auction models d D) queuing 2) Companies are facing each of the following b impacts of globalization except: 23) Which of the following models takes a single snapshot of a situation where everything occurs A) Easier to find suppliers and customers in many in a single interval? countries A) Sliced model B) Less complex business environment B) Snapshot model C) Cheaper materials C) Stationary model D) More and stronger competitors D) Static model b d 3) Business environment factors that create 24) In an article in Harvard Business Review, pressures on organizations include all of the Thomas Davenport (2006) argued that the latest following except: strategic weapon for companies is ________. A) workforce that is younger and shrinking A) customer relationship management B) need for real-time, on-demand transactions B) e-commerce C) booming electronic markets on the Internet C) online auctions D) innovative marketing methods D) analytical decision making a d 4) One of the major objectives of ________ is to 25) The term data mining was originally used to facilitate closing the gap between the current ________. performance of an organization and its desired A) include most forms of data analysis in order to performance, as expressed in its mission, increase sales objectives, and goals. B) describe the analysis of huge datasets stored in data warehouses A) business alliances C) describe the process through which previously B) customer relationships unknown patterns in data were discovered C) business models D) All of the above D) computerized decision support c d 26) Why has data mining gained the attention of the 5) Management is a process by which business world? organizational goals are achieved by using resources. The resources are considered A) More intense competition at the global scale ________, and attainment of goals is viewed as driven by customers' ever-changing needs and wants the ________ of the process. in an increasingly saturated marketplace. B) Consolidation and integration of database records, which enables a single view of customers A) expenses; profits and vendors. B) inputs; output C) Significant reduction in the cost of hardware and C) pressures; opportunities software for data storage and processing. D) scarce; success D) All of the above b d 6) Mintzberg's (1980) classic study of top managers 27) ) On the commercial side, the most common use suggests that managers perform ten major roles of data mining has been in ________ sectors that can be classified into three major categories.. Each of the following is one of those major A) manufacturing and heath care categories except: B) finance, retail, and health care A) relational C) online retail and government B) interpersonal D) R&D and scientific C) decisional B D) informational A DSS – Midterm Q3 1 7) According to Mintzberg's ten managerial roles, a 28) Business analytics and data mining provided 1- ________ is symbolic head; or someone who is 800-Flowers with all of the following benefits obliged to perform a number of routine duties. except: A) leader A) More efficient marketing campaigns. B) figurehead B) Increased mailings and response rates. C) liaison C) Better customer experience and retention. D) spokesperson D) Increased repeat sales. b b 8) Phases in the decision-making process include 29) ________ is the most commonly used network each of the following except: paradigm. A) intelligence A) Parallel processing B) analysis B) Processing element C) design C) Minotaur D) choice D) Back-propagation b d 9) Solving semistructured problems may involve a 30) The way that information is processed by the combination of both standard solution neural network is a function of its ________. procedures and human judgment. Management science can provide models for the portion of the A) composition decision-making problem that is ________. B) formation C) structure A) controlled D) makeup B) semistructured c C) unstructured 31) The output of neurons can be the final result or it D) structured can be ________ to other neurons. d 10) A(n) ________ is a rule-based system that A) sources provides a solution, usually in one functional B) contributions area, such as finance or manufacturing, to a C) keys specific repetitive managerial problem. D) inputs d A) decision support systems (DSS) 32) In single, hidden-layer structured neural network, B) transaction processing system (TPS) this hidden layer converts inputs into a ________ C) online analytical processing (OLAP) system combination. D) automated decision system (ADS) d A) continuous 11) Which of the following is one of the two major B) linear types of Decision Support Systems? C) nonlinear D) nonstop A) Number-oriented c B) Text-oriented 33) The ways neurons are organized are referred to C) Model-oriented as ________. D) Application-oriented c A) topologies 12) Which of the following is not a component of B) contour DSS architecture? C) formation A) Data D) configuration B) Model a C) Knowledge 34) It has been shown that the bag-of-word method D) Web may not produce good enough information d content for text mining tasks. More advanced 13) A DSS is an approach for supporting decision techniques such as ________ are needed. making. It uses an interactive, flexible, adaptable computer-based information system (CBIS) A) classification developed to support the solution to a specific, B) natural language processing ________ management problem. C) evidence-based processing D) symbolic processing A) easy C) nonstructured B B) problematic D) hard c DSS – Midterm Q3 2 14) Which of the following is a key element in most 35) Why will computers probably not be able to DSS and a necessity in a model-based DSS? understand natural language the same way and with the same accuracy that humans do? A) Database B) Analytical model A) A true understanding of meaning requires C) Modeling extensive knowledge of a topic beyond what is in the D) Business intelligence words, sentences, and paragraphs. c B) The natural human language is too specific. 15) ________ diagrams are graphical models of C) The part of speech depends only on the definition mathematical models, which can facilitate the and not on the context within which it is used. process of identifying the model's variables. D) All of the above. a A) Decision 36) At a very high level, the text mining process B) Tree consists of each of the following tasks except: C) Fish bone D) Influence A) Create log frequencies. d B) Establish the corpus. C) Create the term-document matrix. 16) Norfolk Southern Railroad built a ________ D) Extract the knowledge. application that pulls data from the data a warehouse and then graphically depicts actual 37) In ________, the problem is to group an performance against planned performance. unlabelled collection of objects, such as documents, customer comments, and Web pages A) dashboard into meaningful groups without any prior B) graphical interface knowledge. C) transaction processing D) forecasting A) search recall a B) classification 17) Norfolk Southern Railroad invested in a Teradata C) clustering ________, which is a central repository of D) grouping historical data that is organized for easy access c and manipulation to support decision making. 38) Today's computerized systems possess capabilities that can facilitate decision support in A) database a number of ways, including each of the B) data warehouse following except: C) data repository D) data disk A) Increased productivity of group members b B) Improved communication and collaboration 18) Which of the following is an organizational C) Agility support response to a business environmental factor? D) Reduced environmental pressures d A) customer demand 39) Decision-making processes fall along a B) government regulations continuum that ranges from ________ to C) new business models ________. D) globalization c A) highly structured; highly unstructured 19) Management is a process by which B) semistructured; unstructured organizational goals are achieved by using C) managerial; strategic resources. The resources are considered D) ad hoc; nonprogrammed ________, and attainment of goals is viewed as a the ________ of the process. 40) Which of the following is one of the two major types of Decision Support Systems? A) expenses; profits A) Number-oriented B) inputs; output B) Text-oriented C) pressures; opportunities C) Model-oriented D) scarce; success D) Application-oriented B C DSS – Midterm Q3 3 20) For years in the past, managers considered 41) The major benefit of ________ to the company is decision making a(n) ________, that is, a talent the ability to provide accurate information when acquired over a long period through experience needed. and by using intuition. A) data warehouse A) science B) analytical models B) strategy C) management information systems C) art D) business intelligence D) methodology d c 21) According to Mintzberg's ten managerial roles, a ________ is responsible for the motivation and activation of subordinates. A) leader B) figurehead C) liaison D) spokesperson a DSS – Midterm Q3 4 True and False 42) T/F: When faced with a turbulent business 53) T/F: The term Decision Support Systems (DSS) can be environment, organizations are best able to survive or used as an umbrella term to describe any even excel by minimizing changes until the computerized system that supports decision making environment stabilizes in an organization. False False 43) T/F: The management of Norfolk Southern, a large 54) T/F: The two major DSS types are the model-oriented freight railroad company, invested in data DSS, in which quantitative models are used to warehousing technologies. Even though railroad generate a recommended solution to a problem, transportation is a mature industry, Norfolk Southern and data-oriented DSS, which support ad hoc gained a competitive advantage by using its data reporting and queries. warehousing technologies to squeeze additional True efficiency from its operations. 55) T/F: A BI system has three major components: a data True warehouse with source data; business performance 44) T/F: Globalization has significantly reduced the management (BPM) for monitoring and analyzing complexity of the business environment. For example, performance; and a user interface such as a companies can find suppliers and customers in many dashboard. countries where materials are cheaper, which reduces False competition and complexity. 56) T/F: Most DSS are constructed to directly support False specific decision making. In contrast, BI systems, in 45) T/F: One of the major objectives of computerized general typically provide accurate and timely decision support is to minimize the gap between the information to support decision support indirectly. current performance of an organization and its This difference is diminishing because decision desired performance. support tools are being added to BI software True packages. 46) T/F: One measure of productivity is the ratio of inputs True to outputs. 57) T/F: Dashboards and information portals are data False visualization tools. 47) T/F: Managers, especially those at high managerial True levels, are primarily hands-on problem solvers. 58) T/F: The objective of computerized decision support, False regardless of its name or nature, is to help managers 48) T/F: Because managerial decision making is complex, solve problems and assess opportunities faster and it is more important to emphasize methodical, better than would be possible without computers. analytical decision making rather than interpersonal True communication skills. 59) T/F: The first phase in the decision-making process is 49) True design which involves inventing, developing, and 50) T/F: Government regulations, political instability, analyzing possible alternative courses of action or competition, and changing consumer demands cause solutions. uncertainty that makes it difficult to predict the False consequences of a decision. 60) T/F: Automated decision systems (ADS) are rule- True based systems that provide solutions to repetitive 51) T/F: Computer applications have progressed from managerial problems, usually in one functional area transaction processing and monitoring to problem (e.g., finance, manufacturing). analysis and solution applications, and much of the True activity is supported by spreadsheet technologies. 61) T/F: Accounts receivable and accounts payable False processes are highly structured, which makes them 52) T/F: Computerized systems enable people to easy to program. overcome their cognitive limits by quickly accessing True and processing vast amounts of stored information. 62) T/F: Research and development (R & D) planning and True social responsibility planning are unstructured decisions, which cannot be supported by computerized decision support systems. False DSS – Midterm Q3 5 Section (1) DSS – Midterm Q3 6 DSS Midterm – Q4 DSS – Midterm Q4 0 True and False 1) When HP approaches problem-solving, the first 22) Generating alternatives manually is often step in solving business problems is building a necessary in the model-building process. The model that enables decision makers to develop a best option for the decision makers is to good understanding of the problem. generate as many of these alternatives as is Answer: FALSE conceivable. 2) In a decision making environment, continuous Answer: FALSE change always validates the assumptions of the 23) Generally speaking, people intuitively decision makers. estimate risk quite accurately. Answer: FALSE Answer: FALSE 3) The most important feature of management 24) A data warehouse can support the support systems is the computational efficiency intelligence phase of decision making by involved in making a decision. continuously monitoring both internal and Answer: FALSE external information, looking for early signs 4) Web-based decision support systems can of problems and opportunities through a provide support to both individuals and groups Web-based enterprise information portal or that act in a decision-making capacity. dashboard. Answer: TRUE Answer: TRUE 5) Single decision makers rarely face decisions 25) Business intelligence systems typically with multiple objectives in organizations and so support solving a certain problem or evaluate are not the focus of data analytics tools. an opportunity, while decision support Answer: FALSE systems monitor situations and identify 6) The design phase of decision making is where problems and/or opportunities, using analytic the decision maker examines reality and methods. identifies and defines the problem. Answer: FALSE Answer: FALSE 26) Artificial intelligence-based DSS fall into this 7) Only after the failed implementation of a category of document-driven DSS. decision can the decision maker return a prior Answer: FALSE stage of decision making. 27) The DSS component that includes the Answer: FALSE financial, statistical, management science, or 8) Web-based collaboration tools (e.g., GSS) can other quantitative models is called the model assist in multiple stages of decision making, not management subsystem. just the intelligence phase. Answer: TRUE Answer: TRUE 28) Knowledge-based management subsystems 9) Uncovering the existence of a problem can be provide intelligence to augment the decision achieved through monitoring and analyzing of maker's own intelligence. the organization's productivity level. The derived Answer: TRUE measurements of productivity are based on real 29) All of the following are benefits of using data models for decision support EXCEPT Answer: TRUE A) it is easier to manipulate a model than a real 10) Qualitative elements of a problem cannot be system. incorporated into formal decision models, so one B) you can find out probable outcomes of an can only seek to minimize their impact. action before actually taking it. Answer: FALSE C) using well-designed models always 11) Since the business environment involves guarantees you success in implementation. considerable uncertainty, a manager cannot D) the cost of a model is usually much lower than use modeling to estimate the risks resulting manipulating the system in implementation. from specific actions. C). Answer: FALSE 30) In the design phase of decision making, 12) A normative model examines all the possible selecting a principle of choice or criteria alternatives in order to prove that the one means that selected is the best. A) if an objective model is used with hard data, Answer: TRUE all decision makers will make the same choice. 13) Since a descriptive model checks the B) risk acceptability is a subjective concept and performance of the system for only a subset plays little part in modeling. of all possible alternatives, there is no C) using well-designed models guarantees you guarantee that a selected alternative will be success in real life. optimal. D) optimality is not the only criterion for Answer: TRUE acceptable solutions. D) DSS – Midterm Q4 1 14) All of the following are benefits of using 31) The Web can play a significant role in making models for decision support EXCEPT large amounts of information available to A) it is easier to manipulate a model than a real decision makers. Decision makers must be system. careful that this glut of information does not B) you can find out probable outcomes of an A) increase their enthusiasm for data available action before actually taking it. on the web. C) using well-designed models always B) take on the same credibility of internally- guarantees you success in implementation. generated data. D) the cost of a model is usually much lower than C) take on the same role as human intuition. manipulating the system in implementation. D) detract from the quality and speed of decision C). making. 15) In the design phase of decision making, D) selecting a principle of choice or criteria 32) All of the following statements about the means that decision implementation phases are true A) if an objective model is used with hard data, EXCEPT all decision makers will make the same choice. A) implementation is every bit as important as B) risk acceptability is a subjective concept and the decision itself. plays little part in modeling. B) employees need only the decisions from the C) using well-designed models guarantees you CEO, not the rationale. success in real life. C) ERP, CRP, and BPM tools can all help track D) optimality is not the only criterion for decision implementation. acceptable solutions. D) ES and KMS can help in training and support D) for decision implementation. 16) What form of decision theory assumes that B) decision makers are rational beings who 33) For DSS, why are semistructured or always seek to strictly maximize economic unstructured decisions the main focus of goals? support? A) the theory of bounded rationality A) There are many more unstructured and B) normative decision theory semistructured decisions than structured in C) satisficing decision theory organizations. D) human optimal decision theory B) MIS staff prefer to work on solving B) unstructured and semistructured decisions. 17) When an Accounts Payable department C) Unstructured and semistructured decisions improves their information system resulting are the easiest to solve. in faster payments to vendors, without the D) They include human judgment, which is Accounts Receivable Department doing the incorporated into DSS. same, leading to a cash flow crunch, what D) can we say happened in decision-theoretic 34) What class of DSS incorporates simulation terms? and optimization? A) optimization A) model-driven DSS B) profit minimization B) data-driven DSS C) suboptimization C) communications-driven/Group DSS D) cash flow problems D) knowledge-driven DSS C) model-driven DSS 18) All of the following statements about risk in 35) When a DSS is built, used successfully and decision making are correct EXCEPT integrated into the company's business A) all business decisions incorporate an processes, it was most likely built for a(n) element of risk. A) recurrent decision. B) decision makers frequently measure risk and B) one-off decision. uncertainty incorrectly. C) unimportant decision. C) methodologies are available for handling D) ambiguous decision. extreme uncertainty. recurrent decision. D) most decision makers are pessimistic about 36) The fact that many organizations share many decision outcomes. similar problems means that in sourcing a D). DSS, it is often wiser to acquire a(n) 19) The software that manages the DSS database A) ready-made DSS. and enables relevant data to be accessed by B) custom-made DSS. DSS application programs is called C) offshored DSS. A) KWS. D) consultant-developed DSS. B) ERP. ready-made DSS. C) DBMS. D) CRM. C DSS – Midterm Q4 2 20) The model management subsystem provides 37) What type of user interface has been the system's analytical capabilities and recognized as an effective DSS GUI because appropriate software management. Which of it is familiar, user friendly, and a gateway to the following is NOT an element of the model almost all sources of necessary information management subsystem? and data? A) model base A) ASP.net B) MBMS B) Web browsers C) DBMS C) visual basic interfaces D) model execution, integration, and command D) mainframe interfaces processor B) C) 38) The user communicates with and commands 21) While Microsoft Excel can be an efficient tool the DSS through the user interface for developing a DSS, compared to using a subsystem. Researchers assert that some of programming language like C++, a the unique contributions of DSS are derived shortcoming of Excel is from A) it cannot be used effectively for small or A) the Web browser. medium sized problems. B) the user being considered part of the system. B) Excel is not widely understood compared to a C) some DSS user interfaces utilizing natural- language like C++. language input (i.e., text in a human language). C) it is not widely available for purchase. D) the intensive interaction between the D) errors can creep into formulas somewhat computer and the decision maker. easily. D) D) Section (2) DSS – Midterm Q4 3 DSS – Midterm Q4 4 DSS – Midterm Q4 5 DSS – Midterm Q4 6 DSS – Midterm Q4 7

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