ITSS 3300 UTD EXAM 1 UPDATED QUESTIONS AND ANSWERS
The purpose of Information Systems in Business - CORRECT ANSWER✅✅✅is to support the
achievement of the organization's strategic, tactical, and operational goals
· Interdependence (Relationship) of IT and Business - CORRECT ANSWER✅✅✅Businesses rely on
information systems to help them achieve their goals; a business without adequate information systems
will inevitably fall short. But information systems are also products of the businesses that use them.
Businesses shape their information systems and information systems shape businesses.
Transformation - CORRECT ANSWER✅✅✅Emerging Technologies, Challenges, Time and Space Shift
Effects of Emerging Technology Organizations and Information Systems - CORRECT
ANSWER✅✅✅Advances in technology enable quicker and cheaper information system changes,
enabling the organization to be more agile in addressing changing customer wants and needs, even
creating new market opportunities. The net effect is an ever-increasing interdependence between
Business organizations' Information Systems and the outside environmental changes brought on by
emerging technologies affecting both the internal workings of the business and its customers.
There is a price to pay for this transformation - CORRECT ANSWER✅✅✅primarily the loss of
individual privacy.
How Information Systems Are Transforming Business - CORRECT ANSWER✅✅✅◦Mobile digital
platform
◦Systems used to improve customer experience, respond to customer demand, reduce inventories, and
more
◦Growing online news media readership
◦More knowledge of customers' locations, behaviors, tendencies
◦Video systems can and do record everything
◦Expanded artificial intelligence capabilities enable self-learning systems
◦Expanding e-Commerce and Internet advertising and processing
New federal security, health information, and accounting laws
,Challenges Facing Organizational Information Systems - CORRECT ANSWER✅✅✅◦Ability to use
information technology and data
◦Ability to implement corporate strategies and achieve corporate goals
◦Ability to speedily act/react to changing market conditions
◦Ability to protect corporate information assets
◦Ability to adequately fund, implement, and sustain organizational information systems.
Time shifting and space shifting - CORRECT ANSWER✅✅✅Business can be conducted at any time
(time shifting) and any place (space shifting
Strategic Business Objectives of Information Systems - CORRECT ANSWER✅✅✅1.Operational
excellence
2.New products, services, and business models
3.Customer and supplier intimacy
4.Improved decision making
5.Competitive advantage
6.Survival
Operational Excellence - CORRECT ANSWER✅✅✅Information systems and technology are important
tools in achieving greater efficiency and productivity
◦Example: Walmart's Retail Link system links suppliers to stores for superior replenishment system
Improvements of efficiency and productivity lead to higher profitability!
New Products, Services, and Business Models - CORRECT ANSWER✅✅✅Business model: describes
how company produces, delivers, and sells product or service to create wealth
Information systems and technology are major enabling tools for new products, services, business
models
◦Breakthroughs: Apple's iPad, Google's Android OS, and Netflix
◦Newer Examples: 'Alexa', Ring, Facial Recognition, Wind Turbines
, Customer and Supplier Intimacy - CORRECT ANSWER✅✅✅Serving customers well leads them to
return, increasing revenue and profits
◦Example: Amazon tracks browsing and purchasing to suggest other products for consideration and
purchase
Intimacy with suppliers allows them to provide vital inputs, which lowers costs
◦Example: Manufacturers' access to suppliers' inventory systems to check availability before ordering.
Improved Decision Making - CORRECT ANSWER✅✅✅Accurate, Timely, and Complete Information
Enables Objective, Data-Driven Decision-Making.
The Consequences:
◦Relying Solely on Forecasting, Experience, or Simply Luck
◦Creating the Wrong Product, Marketing, Cost
◦Over/Under Production
◦Mis-Allocation of Resources
◦Poor Production Quality
◦Missed Customer Expectations
Competitive Advantage - CORRECT ANSWER✅✅✅Delivering better performance
Charging less for superior products
Responding to customers and suppliers in real time
◦Examples: Amazon, Walmart, UPS
Survival - CORRECT ANSWER✅✅✅Information technologies as necessity of business
Industry-level changes
◦Example: Introduction of ATMs
Governmental regulations requiring record-keeping
◦Examples: HIPAA, Sarbanes-Oxley Act, Dodd-Frank Act
The Sarbanes-Oxley Act (2002) - CORRECT ANSWER✅✅✅requires that public firms keep all data,
including e-mail, on record for 5 years
The purpose of Information Systems in Business - CORRECT ANSWER✅✅✅is to support the
achievement of the organization's strategic, tactical, and operational goals
· Interdependence (Relationship) of IT and Business - CORRECT ANSWER✅✅✅Businesses rely on
information systems to help them achieve their goals; a business without adequate information systems
will inevitably fall short. But information systems are also products of the businesses that use them.
Businesses shape their information systems and information systems shape businesses.
Transformation - CORRECT ANSWER✅✅✅Emerging Technologies, Challenges, Time and Space Shift
Effects of Emerging Technology Organizations and Information Systems - CORRECT
ANSWER✅✅✅Advances in technology enable quicker and cheaper information system changes,
enabling the organization to be more agile in addressing changing customer wants and needs, even
creating new market opportunities. The net effect is an ever-increasing interdependence between
Business organizations' Information Systems and the outside environmental changes brought on by
emerging technologies affecting both the internal workings of the business and its customers.
There is a price to pay for this transformation - CORRECT ANSWER✅✅✅primarily the loss of
individual privacy.
How Information Systems Are Transforming Business - CORRECT ANSWER✅✅✅◦Mobile digital
platform
◦Systems used to improve customer experience, respond to customer demand, reduce inventories, and
more
◦Growing online news media readership
◦More knowledge of customers' locations, behaviors, tendencies
◦Video systems can and do record everything
◦Expanded artificial intelligence capabilities enable self-learning systems
◦Expanding e-Commerce and Internet advertising and processing
New federal security, health information, and accounting laws
,Challenges Facing Organizational Information Systems - CORRECT ANSWER✅✅✅◦Ability to use
information technology and data
◦Ability to implement corporate strategies and achieve corporate goals
◦Ability to speedily act/react to changing market conditions
◦Ability to protect corporate information assets
◦Ability to adequately fund, implement, and sustain organizational information systems.
Time shifting and space shifting - CORRECT ANSWER✅✅✅Business can be conducted at any time
(time shifting) and any place (space shifting
Strategic Business Objectives of Information Systems - CORRECT ANSWER✅✅✅1.Operational
excellence
2.New products, services, and business models
3.Customer and supplier intimacy
4.Improved decision making
5.Competitive advantage
6.Survival
Operational Excellence - CORRECT ANSWER✅✅✅Information systems and technology are important
tools in achieving greater efficiency and productivity
◦Example: Walmart's Retail Link system links suppliers to stores for superior replenishment system
Improvements of efficiency and productivity lead to higher profitability!
New Products, Services, and Business Models - CORRECT ANSWER✅✅✅Business model: describes
how company produces, delivers, and sells product or service to create wealth
Information systems and technology are major enabling tools for new products, services, business
models
◦Breakthroughs: Apple's iPad, Google's Android OS, and Netflix
◦Newer Examples: 'Alexa', Ring, Facial Recognition, Wind Turbines
, Customer and Supplier Intimacy - CORRECT ANSWER✅✅✅Serving customers well leads them to
return, increasing revenue and profits
◦Example: Amazon tracks browsing and purchasing to suggest other products for consideration and
purchase
Intimacy with suppliers allows them to provide vital inputs, which lowers costs
◦Example: Manufacturers' access to suppliers' inventory systems to check availability before ordering.
Improved Decision Making - CORRECT ANSWER✅✅✅Accurate, Timely, and Complete Information
Enables Objective, Data-Driven Decision-Making.
The Consequences:
◦Relying Solely on Forecasting, Experience, or Simply Luck
◦Creating the Wrong Product, Marketing, Cost
◦Over/Under Production
◦Mis-Allocation of Resources
◦Poor Production Quality
◦Missed Customer Expectations
Competitive Advantage - CORRECT ANSWER✅✅✅Delivering better performance
Charging less for superior products
Responding to customers and suppliers in real time
◦Examples: Amazon, Walmart, UPS
Survival - CORRECT ANSWER✅✅✅Information technologies as necessity of business
Industry-level changes
◦Example: Introduction of ATMs
Governmental regulations requiring record-keeping
◦Examples: HIPAA, Sarbanes-Oxley Act, Dodd-Frank Act
The Sarbanes-Oxley Act (2002) - CORRECT ANSWER✅✅✅requires that public firms keep all data,
including e-mail, on record for 5 years
