UTD 2025 QUESTIONS AND ANSWERS
The purpose of Information Systems in Business - ANS is to support the achievement of the
organization's strategic, tactical, and operational goals
· Interdependence (Relationship) of IT and Business - ANS 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 - ANS Emerging Technologies, Challenges, Time and Space Shift
Effects of Emerging Technology Organizations and Information Systems - ANS 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 - ANS primarily the loss of individual privacy.
How Information Systems Are Transforming Business - ANS ◦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
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,◦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 - ANS ◦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 - ANS Business can be conducted at any time (time shifting)
and any place (space shifting
Strategic Business Objectives of Information Systems - ANS 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 - ANS 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!
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,New Products, Services, and Business Models - ANS 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 - ANS 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 - ANS 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 - ANS Delivering better performance
Charging less for superior products
Responding to customers and suppliers in real time
◦Examples: Amazon, Walmart, UPS
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, Survival - ANS 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) - ANS requires that public firms keep all data, including e-
mail, on record for 5 years
Dodd-Frank Act (2010) - ANS requires financial services firms to develop extensive new
compliance reports
HIPAA (Health Insurance Portability and Accountability Act - ANS addresses the storage,
retrieval, and access to protected patient health information, by health care providers, insurers
and other related parties.
Definition of Information Technology - ANS Although organization and management are
important too, it's the technology that enables the systems and the organizations and
managers who use the technology. Intranets and extranets'.
•Computer hardware, software, and data
•Data management technology
•Networking and telecommunications technology
•Networks, the Internet, intranets and extranets, World Wide Web
•IT infrastructure: provides platform that system is built upon
Intranets - ANS Intranets are private networks used by corporations
Extranets - ANS extranets are similar except that they are directed at external users
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