BUSINESS INFORMATION SYSTEMS FINAL EXAM
REVIEW UPDATED ACTUAL QUESTIONS AND
CORRECT ANSWERS
Question:
1. Decision
Answer:
A choice among alternatives.
Question:
2. Good Decision Making Requires
Answer:
Good information
Skills
Tools
Knowledge of the domain to appropriately analyze the relevant information
Question:
3. Decision Making Requires
Answer:
Analytical Reasoning Skills
Ability to solve highly complex problems
Question:
4. In business, Good Decision Making Depends Upon
Answer:
Access to pertinent, reliable, timely, quality data
Robust, comprehensive tools and methodologies
Tight, well-maintained processes
Question:
5. Impact of Decision
Answer:
Greater when made by people who are higher in the organization
When more resources are committed by decision
When more people are impacted by the outcome
,Question:
6. Decision Making Considerations
Answer:
Decision making can be seen as choosing between alternative inputs (decision
variables) based on target outputs
Question:
7. Structured or Programmed Decisions
Answer:
Decisions that are routine and repetitive and often have a well-defined procedure
Example: Manager of a fast food restaurant needs to decide on the number of
hamburger buns to buy for tomorrow
Target Output: Ensure a very low probability (<5%) that the restaurant will run out
of hamburger buns tomorrow
Input: Potential number of hamburger buns needed (decision variable)
Process Information:
Effect of the day of the week and month of sales
Effect of local events on sales
Effect of weather on sales
Constraints on the number of hamburger buns
Manager could program a spreadsheet that would output the probability of a
stockout given a certain number of hamburger buns for each day
Question:
8. Semi-structured Decisions
Answer:
Decisions that have some elements that are structured and other elements that
are unstructured
Question:
9. Semi-structured Decisions Example
Answer:
Planning annual compensation for employees in a large company
Decision Support System (DSS): Routes driven by Federal Express vehicles
Question:
10. Unstructured or Non-programmed Decisions
Answer:
Decisions that are novel, that do not have a pre-existing procedure
, Question:
11. Unstructured or Non-programmed Decisions Example
Answer:
Decision to introduce a new smartwatch by an electronics company
Executive Information System (EIS): Where to locate a new manufacturing facility
Question:
12. Strategic Planning (More Unstructured Decisions)
Answer:
Choosing the organization's objectives
Deciding how to achieve objectives
Predicting the future
Question:
13. Managerial Control (More Semi-Structured Decisions)
Answer:
Ensuring efficient, effective use of resources
Detailed plan and enactment of achieving objectives
Continual oversight
Question:
14. Operational Control (More Structured Decisions)
Answer:
Ensuring efficient, effective conducting of tasks
Ensuring processes are well-maintained, followed and tight
Question:
15. Automated Decisions Making
Answer:
Some structured decisions can be automated
Question:
16. Basic Phases of the Decision Making Process
Answer:
Intelligence
Design
Choice
REVIEW UPDATED ACTUAL QUESTIONS AND
CORRECT ANSWERS
Question:
1. Decision
Answer:
A choice among alternatives.
Question:
2. Good Decision Making Requires
Answer:
Good information
Skills
Tools
Knowledge of the domain to appropriately analyze the relevant information
Question:
3. Decision Making Requires
Answer:
Analytical Reasoning Skills
Ability to solve highly complex problems
Question:
4. In business, Good Decision Making Depends Upon
Answer:
Access to pertinent, reliable, timely, quality data
Robust, comprehensive tools and methodologies
Tight, well-maintained processes
Question:
5. Impact of Decision
Answer:
Greater when made by people who are higher in the organization
When more resources are committed by decision
When more people are impacted by the outcome
,Question:
6. Decision Making Considerations
Answer:
Decision making can be seen as choosing between alternative inputs (decision
variables) based on target outputs
Question:
7. Structured or Programmed Decisions
Answer:
Decisions that are routine and repetitive and often have a well-defined procedure
Example: Manager of a fast food restaurant needs to decide on the number of
hamburger buns to buy for tomorrow
Target Output: Ensure a very low probability (<5%) that the restaurant will run out
of hamburger buns tomorrow
Input: Potential number of hamburger buns needed (decision variable)
Process Information:
Effect of the day of the week and month of sales
Effect of local events on sales
Effect of weather on sales
Constraints on the number of hamburger buns
Manager could program a spreadsheet that would output the probability of a
stockout given a certain number of hamburger buns for each day
Question:
8. Semi-structured Decisions
Answer:
Decisions that have some elements that are structured and other elements that
are unstructured
Question:
9. Semi-structured Decisions Example
Answer:
Planning annual compensation for employees in a large company
Decision Support System (DSS): Routes driven by Federal Express vehicles
Question:
10. Unstructured or Non-programmed Decisions
Answer:
Decisions that are novel, that do not have a pre-existing procedure
, Question:
11. Unstructured or Non-programmed Decisions Example
Answer:
Decision to introduce a new smartwatch by an electronics company
Executive Information System (EIS): Where to locate a new manufacturing facility
Question:
12. Strategic Planning (More Unstructured Decisions)
Answer:
Choosing the organization's objectives
Deciding how to achieve objectives
Predicting the future
Question:
13. Managerial Control (More Semi-Structured Decisions)
Answer:
Ensuring efficient, effective use of resources
Detailed plan and enactment of achieving objectives
Continual oversight
Question:
14. Operational Control (More Structured Decisions)
Answer:
Ensuring efficient, effective conducting of tasks
Ensuring processes are well-maintained, followed and tight
Question:
15. Automated Decisions Making
Answer:
Some structured decisions can be automated
Question:
16. Basic Phases of the Decision Making Process
Answer:
Intelligence
Design
Choice
