ISM3011 - E-Business System Fundamentals

Summer 2002 First Exam Sample Questions

Matching/Fill in the Blank Question

E-Commerce	Strategic Information Systems	Source Document
Data	Information	Processing

1. The buying and selling, and marketing and servicing of products, services, and information over a variety of computer networks is: E-commerce

2. The original formal record of a transaction: Source Document

3. The result of processing data into a useful form: Information

Multiple Guess Questions

4. Transaction Processing Systems (TPS):

• A. are not interesting to managers because they automate daily transactions.
• B. capture and store all data generated by a business in day-to-day operations.
• C. are utilized mostly by strategic level managers to support their decisions.
• D. utilize data generated from MIS reports to provide decision support.

5. The fundamental reason(s) for all business applications of information technology are:

• A. support of its business processes and operations.
• B. support of decision making by its employees and managers.
• C. support of its strategies for competitive advantage.
• D. all of the above.

Short answer discussion questions

6. How are most strategic information systems developed?

Strategic Information Systems (SIS) define the way that a company competes against its competitors. SIS usually completely change the company's products or services. SIS evolve over time in response to both opportunities recognized by managers and to competitive forces created by competitors. Alert, knowledgeable managers seize opportunities to utilize IT capabilities to improve the way the company does business and implement them into existing systems. Over time the new strategies emerge as the dominant IS/IT infrastructure. SIS are not designed and developed quickly in response to a single opportunity or managerial request. They are significant undertakings that typically take years to develop and perfect. The key point is that SIS evolve in response to competitive forces and support the changing strategies the company uses to gain a strategic advantage over its competition.

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