NOR ASIKIN BINTI SHAHRUDDIN BALA

D20171076989

Chapter 2 Gaining Competitive Advantage Through Information Systems

1.C 29.B
2.E 30.B
3.A 31.C
4.A 32.D
5.B 33.D
6.A 34.D
7.E 35.E
8.A 36.B
9.A 37.D
10.D 38.A
11.C 39.B
12.B 40.D
13.A 41.C
14.C 42.TRUE
15.D 43.FALSE
16.A 44.FALSE
17.C 45.FALSE
18.D 46.TRUE
19.B 47.TRUE
20.C 48.FALSE
21.E 49.TRUE
22.E 50.TRUE
23.D 51.FALSE
24.C 52.TRUE
25.C 53.TRUE
26.C 54.TRUE
27.E 55.TRUE
28.B 56.TRUE
57.TRUE 59.FALSE
58.TRUE 60.FALSE

61) Discuss the difference between being effective and being efficient.
The extent to which something is accomplished faster, at lower cost, or with
relatively little time and effort is being efficient. The extent to which something is
accomplished well is being effective.

62) Describe the differences between operational-level decision making and

tactical-level decision making by managers in organizations.
At the operational level of a firm, the routine, day-to-day business processes and
interactions with customers occur. Operational planning typically has a time frame
of a few hours or days, and the managers at the operational level, such as foremen or
supervisors, make day-to-day decisions that are highly structured and recurring.

At the managerial level (or tactical level) of the organization, functional managers
focus on monitoring and controlling operational-level activities and providing
information to higher levels of the organization. Managers at this level, referred to as
mid level managers, focus on effectively utilizing and deploying organizational
resources to achieve the strategic objectives of the organization. Managerial-level
decision making is not nearly as structured or routine as operational-level decision
making. Managerial-level decision making is referred to as semi structured decision
making because solutions and problems are not clear-cut and often require judgment
and expertise.

63) Explain the differences between tactical-level decision making and

executive-level decision making by managers in organizations.
At the managerial level (or tactical level) of the organization, functional managers
focus on monitoring and controlling operational-level activities and providing
information to higher levels of the organization. Managers at this level, referred to as
mid level managers, focus on effectively utilizing and deploying organizational
resources to achieve the strategic objectives of the organization. Managerial-level
decision making is not nearly as structured or routine as operational-level decision
making. Managerial-level decision making is referred to as semi structured decision
making because solutions and problems are not clear-cut and often require judgment
and expertise.
64) Explain how information systems implemented in the operational level are
different from those implemented at the strategic level.
Information systems at the operational level are designed to automate repetitive
activities, such as sales transaction processing, and to improve the efficiency of
business processes at the customer interface.
Information systems at the strategic level are used to obtain aggregate summaries of
trends and projections of the future. At the executive level, information systems
provide KPIs that are focused on balancing performance across the organization.

65) List Porter's primary competitive forces that analyze the competition within an
industry.
Porter's primary competitive forces that analyze the competition within an industry
include:
1. the rivalry among competing sellers in an industry.
2. the threat of potential new entrants into an industry.
3. the bargaining power that customers have within an industry.
4. the bargaining power that suppliers have within an industry.
5. the potential for substitute products from other industries.

66) Discuss the different functional information systems including some of the
applications of each.
1) Accounting & Finance: These are systems used for managing, controlling, and
auditing the financial resources of the organization. Sample applications include:
accounts payable, expense accounts, cash management, and payroll processing.
2) Human Resources: These are systems used for managing, controlling, and auditing
the human resources of the organization. Sample applications include: recruiting and
hiring, education and training, benefits management, employee termination, and
workforce planning.
3) Marketing: These are systems used for managing new product development,
distribution, pricing, promotional effectiveness, and sales forecasting of the products
and services offered by the organization. Same applications include market research
and analysis, new product development, promotion and advertising, pricing and sales
analysis, and product location analysis.
4) Operations: These are systems used for managing, controlling, and auditing the
production and operations resources of the organization. Sample applications include
inventory management, cost and quality tracking, materials and resource planning, job
costing, and resource utilization