1.8 Information Systems

Question 1

Strategic Information Systems Planning

Answer 1

Information is a strategic resource that needs to be managed at the highest level:
** Must Align and Support the overall goals of the company

Question 2

(4) Reasons why Info Systems Change

Answer 2

1. Mandated Change
2. Necessary
3. Efficiency Improvements
4. Effectiveness Improvements

Question 3

Mandated Changes

Answer 3

Due to changes in legislation/regulations

ie. HST

Question 4

Necessary Changes

Answer 4

Unavoidable, not related to legislation

ie. company merger, software upgrades

Question 5

Efficiency Improvements

Answer 5

Development projects that reduce the need for people (automated systems)
ie. bar codes

Question 6

Effectiveness Improvements

Answer 6

Improving the Quality of information:
(leading to better decisions and increased profits)

ie. Walmart became more effective at generating sales while becoming more efficient at decreasing inventory levels
ie. Sports League developed a website where customers input scores directly (timely=effective, and more efficient)

Question 7

Non-discretionary

Answer 7

Development projects that are Mandated & Necessary, but:

Difficult to measure benefits - these projects ADD costs

Question 8

Discretionary

Answer 8

Efficiency/Effective projects = Benefits can be measured against costs

Effectiveness is harder to measure