Test Bank For
Managing and Using Information Systems A Strategic Approach, 8th Edition by Keri E.
Pearlson, Carol S. Saunders, Dennis F. Galletta
Chapter 1-13
Chapter 1, The Information Systems Strategy Triangle
Multiple Choice
1. The “Managerial Levers” concept is useful for the following reasons:
a) Management can find what “levers” to push to force people to do what they want.
b) Management should not make a change unless they align multiple issues, such as
tasks, measures, values, incentives, etc.
c) System investments need to be financially highly leveraged.
d) All of the above
e) None of the above
Ans: b (Medium)
2. All of the following are likely causes of Kaiser Permanente’s difficulties before their
new KPHealthConnect EXCEPT for:
a) Bonus incentives not matching strategy
b) The alignment of the Information Systems Strategy Triangle
c) The failure of automated systems
d) The leadership and organizational culture
e) Patient service processes needing to be updated and streamlined
Ans: c (Medium)
3. A general manager should:
a) Rely on IS personnel to make IS decisions
b) Ignore how IS are used and managed
c) Have a deep technical knowledge of IS
d) Understand the use and consequences of technologies relevant to the business
e) Not be expected to ask or understand technology related questions
Ans: d (Easy)
4. When a company’s business strategy and technology strategy are intertwined, this
situation is known as _______.
a) convergence
, b) alignment
c) dynamic
d) differentiation
e) technologically adjusted
Ans: a (Hard)
5. Organizational, cultural, and control variables are considered the ________ used by
decision makers to effect change in their organization.
a) collaboration tools
b) managerial levers
c) events
d) IS
e) organization objectives
Ans: b (hard)
6. The ____________ is a plan articulating where a business seeks to go and how it
expects to get there.
a) vision statement
b) mission statement
c) stakeholder statement
d) stockholder statement
e) business strategy
Ans: e (Medium)
7. Organizations seek to gain a competitive advantage by differentiation, cost, or
_________.
a) service
b) focus
c) profit
d) value
e) speed
Ans: b (Easy)
8. Google has disrupted a number of industries, particularly the advertising and software
industries. Google's ability to quickly and aggressively provide new products and
services is best described by:
a) Porter’s Generic Strategies
, b) The Hypercompetition Model
c) The Information Systems Strategy Triangle
d) The Social Business Strategy
e) Customer Relationship Management
Ans: b (Easy)
9. Through the use of various technologies, a ski resort tracks the slopes each customer
skis and the times he or she skis them. Skiers then have the ability to view this
information online, and can choose to seamlessly share their accomplishments on
Facebook. In addition, photographers positioned at the resort post pictures on Facebook
for the skier. This ski resort has worked hard to develop a strong:
a) IS Strategy
b) Social business strategy
c) Business strategy
d) Organizational strategy
e) Customer strategy
Ans: b (Hard)
10. The organizational strategy should ideally _____ the IS strategy.
a) drive
b) complement
c) dictate
d) ignore
e) sustain
Ans: b (Easy)
11. The general manager for a retail clothing outlet was recently cited as saying, “IT is
the cornerstone of our company. All of our decisions are based on the sophisticated
systems that we have deployed throughout our organization. IT drives our decisions.”
What position should the manager hold regarding IT and its influence on decision
making?
a) IT should drive business decisions.
b) Organizational goals should drive IT decisions.
c) Organizational strategy should drive IS decision making.
d) Business strategy should drive IS decision making
e) All strategy should be driven by IT strategy.
Ans: d (Hard)
, 12. To remain competitive, an organization’s business strategy must adapt and respond to
all of the following variables. Which variable in particular does IS help to determine?
1. Market forces
2. Customer demands
3. The capabilities of the organization
4. The organization’s mission
5. Organizational design
Ans: c (Hard)
13. The physical means by which information is exchanged among hardware components
is called _______.
a) hardware
b) software
c) networking
d) personnel
e) data
Ans: c (Medium)
14. Significant changes in IS should trigger a reassessment of the _____________.
a) business strategy
b) social strategy
c) process strategy
d) data strategy
e) system strategy
Ans: a (Medium)
15. A social business strategy is designed to use social IT tools for all of the following
EXCEPT:
a) Collaborating with stakeholders
b) Building deeper connections with stakeholders
c) Innovating with stakeholders
d) Excluding stakeholders
e) Networking with employees, customer and/or suppliers
Ans: d (Easy)
16. General managers should take an active role in decisions about information systems.
This is vital because:
Managing and Using Information Systems A Strategic Approach, 8th Edition by Keri E.
Pearlson, Carol S. Saunders, Dennis F. Galletta
Chapter 1-13
Chapter 1, The Information Systems Strategy Triangle
Multiple Choice
1. The “Managerial Levers” concept is useful for the following reasons:
a) Management can find what “levers” to push to force people to do what they want.
b) Management should not make a change unless they align multiple issues, such as
tasks, measures, values, incentives, etc.
c) System investments need to be financially highly leveraged.
d) All of the above
e) None of the above
Ans: b (Medium)
2. All of the following are likely causes of Kaiser Permanente’s difficulties before their
new KPHealthConnect EXCEPT for:
a) Bonus incentives not matching strategy
b) The alignment of the Information Systems Strategy Triangle
c) The failure of automated systems
d) The leadership and organizational culture
e) Patient service processes needing to be updated and streamlined
Ans: c (Medium)
3. A general manager should:
a) Rely on IS personnel to make IS decisions
b) Ignore how IS are used and managed
c) Have a deep technical knowledge of IS
d) Understand the use and consequences of technologies relevant to the business
e) Not be expected to ask or understand technology related questions
Ans: d (Easy)
4. When a company’s business strategy and technology strategy are intertwined, this
situation is known as _______.
a) convergence
, b) alignment
c) dynamic
d) differentiation
e) technologically adjusted
Ans: a (Hard)
5. Organizational, cultural, and control variables are considered the ________ used by
decision makers to effect change in their organization.
a) collaboration tools
b) managerial levers
c) events
d) IS
e) organization objectives
Ans: b (hard)
6. The ____________ is a plan articulating where a business seeks to go and how it
expects to get there.
a) vision statement
b) mission statement
c) stakeholder statement
d) stockholder statement
e) business strategy
Ans: e (Medium)
7. Organizations seek to gain a competitive advantage by differentiation, cost, or
_________.
a) service
b) focus
c) profit
d) value
e) speed
Ans: b (Easy)
8. Google has disrupted a number of industries, particularly the advertising and software
industries. Google's ability to quickly and aggressively provide new products and
services is best described by:
a) Porter’s Generic Strategies
, b) The Hypercompetition Model
c) The Information Systems Strategy Triangle
d) The Social Business Strategy
e) Customer Relationship Management
Ans: b (Easy)
9. Through the use of various technologies, a ski resort tracks the slopes each customer
skis and the times he or she skis them. Skiers then have the ability to view this
information online, and can choose to seamlessly share their accomplishments on
Facebook. In addition, photographers positioned at the resort post pictures on Facebook
for the skier. This ski resort has worked hard to develop a strong:
a) IS Strategy
b) Social business strategy
c) Business strategy
d) Organizational strategy
e) Customer strategy
Ans: b (Hard)
10. The organizational strategy should ideally _____ the IS strategy.
a) drive
b) complement
c) dictate
d) ignore
e) sustain
Ans: b (Easy)
11. The general manager for a retail clothing outlet was recently cited as saying, “IT is
the cornerstone of our company. All of our decisions are based on the sophisticated
systems that we have deployed throughout our organization. IT drives our decisions.”
What position should the manager hold regarding IT and its influence on decision
making?
a) IT should drive business decisions.
b) Organizational goals should drive IT decisions.
c) Organizational strategy should drive IS decision making.
d) Business strategy should drive IS decision making
e) All strategy should be driven by IT strategy.
Ans: d (Hard)
, 12. To remain competitive, an organization’s business strategy must adapt and respond to
all of the following variables. Which variable in particular does IS help to determine?
1. Market forces
2. Customer demands
3. The capabilities of the organization
4. The organization’s mission
5. Organizational design
Ans: c (Hard)
13. The physical means by which information is exchanged among hardware components
is called _______.
a) hardware
b) software
c) networking
d) personnel
e) data
Ans: c (Medium)
14. Significant changes in IS should trigger a reassessment of the _____________.
a) business strategy
b) social strategy
c) process strategy
d) data strategy
e) system strategy
Ans: a (Medium)
15. A social business strategy is designed to use social IT tools for all of the following
EXCEPT:
a) Collaborating with stakeholders
b) Building deeper connections with stakeholders
c) Innovating with stakeholders
d) Excluding stakeholders
e) Networking with employees, customer and/or suppliers
Ans: d (Easy)
16. General managers should take an active role in decisions about information systems.
This is vital because:
