CIS 519 Midterm and Final Exam – Strayer NEW

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Chapter 1 Through 14

Chapter 1   Decision Support Systems and Business Intelligence

1) When faced with a turbulent business environment, organizations are best able to survive or even excel by minimizing changes until the environment stabilizes.

Diff: 2    Page Ref: 2

2) The management of Norfolk Southern, a large freight railroad company, invested in data warehousing technologies. Even though railroad transportation is a mature industry, Norfolk Southern gained a competitive advantage by using its data warehousing technologies to squeeze additional efficiency from its operations.

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3) 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.

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4) 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.

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5) One measure of productivity is the ratio of inputs to outputs.

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6) Managers, especially those at high managerial levels, are primarily hands-on problem solvers.

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7) Because managerial decision making is complex, it is more important to emphasize methodical, analytical decision making rather than interpersonal communication skills.

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8) Government regulations, political instability, competition, and changing consumer demands cause uncertainty that makes it difficult to predict the consequences of a decision.

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9) Computer applications have progressed from transaction processing and monitoring to problem analysis and solution applications, and much of the activity is supported by spreadsheet technologies.

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10) Computerized systems enable people to overcome their cognitive limits by quickly accessing and processing vast amounts of stored information.

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11) Accounts receivable and accounts payable processes are highly structured, which makes them easy to program.

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12) Research and development (R & D) planning and social responsibility planning are unstructured decisions, which cannot be supported by computerized decision support systems.

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13) The first phase in the decision-making process is design which involves inventing, developing, and analyzing possible alternative courses of action or solutions.

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14) Automated decision systems (ADS) are rule-based systems that provide solutions to repetitive managerial problems, usually in one functional area (e.g., finance, manufacturing).

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15) The term Decision Support Systems (DSS) can be used as an umbrella term to describe any computerized system that supports decision making in an organization.

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16) The two major DSS types are the model-oriented DSS, in which quantitative models are used to generate a recommended solution to a problem, and data-oriented DSS, which support ad hoc reporting and queries.

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17) 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.

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18) Most DSS are constructed to directly support specific decision making. In contrast, BI systems, in general typically provide accurate and timely information to support decision support indirectly. This difference is diminishing because decision support tools are being added to BI software packages.

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19) Dashboards and information portals are data visualization tools.

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20) 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.

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21) 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

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22) Norfolk Southern Railroad invested in a Teradata ________, which is a central repository of historical data that is organized for easy access and manipulation to