Chapter 8

Question 1

Knowledge management system (KMS)

Answer 1

Supports the idea of the learning organisation with lawyers, collaborate, share knowledge, and work in teams to improve organisational efficiency and effectiveness 

Organisations that use KMNS tend to be forward-looking and building for the longer term. They are investing in the infrastructure and in the knowledge of their employees – which will come at an increased cost. 

Question 2

How IT and IT strategy links to the organisations overall strategy (4)

Answer 2

IT can create new business opportunities.

IT can improve operational efficiency and effectiveness

Enables structural change (virtual teams joint ventures).

IT can create competitive advantage.

Question 3

Turning data to information to knowledge

Answer 3

Collection

Evaluation – insures relevance

Analysis – comparisons made

Interpretation – some comments added

Reporting – information made available for use

Question 4

Expert systems

Answer 4

A system that stimulates the problem solving techniques of human experts. For example, car insurance, quote websites

Question 5

Data processing system (DPS), or transaction processing system (TPS)

Answer 5

Large, volume processing, easily captured.

Usually simple and well defined information

Vital to day-to-day operations (payroll, shop till)

Older system is likely to be inflexible (legacy systems).

Question 6

Management information systems (MIS.).

Answer 6

Extension of DPS allows much greater reporting, normally has a report, writing package attached.

Helps with budgeting, forecasting and controlling.

Question 7

Executive information system (EIS)

Answer 7

Systems for senior executives that contain internal and external data.

They support strategic decision making

Graphing and charting things like KPIs.

Question 8

Decision support system is (DSS.)

Answer 8

Data modelling software that uses mathematical formula to replicate organisational activities.

Can be used in scenario planning 

Question 9

Knowledge management systems (KM S.).

Answer 9

Please capture me and manage knowledge

Question 10

Cloud-based systems

Answer 10

Applications, services or resources made available to users on demand via the Internet 

Question 11

Database management system (DBMS)

Answer 11

Software that builds the database and organises access to and changes within the file structure

Question 12

System architecture

Answer 12

How are the components of an information system are arranged and linked together

Question 13

Centralised architecture

Answer 13

Built around a central hub

Processing is performed at the centre

Question 14

Distributed architecture

Answer 14

Processing being performed across the organisation at several different locations

Question 15

Advantages of distributed or decentralised processing

Answer 15

Flexible. Use of IT

Not reliant on a single server

Local control and involvement from users.

Question 16

Network topology

Answer 16

How a computer network is physically arranged in a company

Network design is often influenced by how the organisation is managed

Question 17

Ways in which information systems and IT can create a competitive advantage.

Ward and Griffiths.

Answer 17

Through better links with customers or suppliers

By enabling the production, marketing and distribution of new products or services

Through, providing information to help develop and implement strategy (big data)

Question 18

E-commerce

Perceived benefits

Answer 18

Enhance communication between employees

Improve the supply chain

Cheaper information exchange with suppliers

Low-cost access to new markets

Creation and maintenance of customer relationships 

Question 19

Virtual companies

Characteristics

Skyrme

Answer 19

The need for high-level trust and mutual support between virtual companies

Practical matters, including when communicating by email to ensure different topics are covered in different emails

Emails and more conversational with a higher degree of informality.

Virtual companies are often low value in traditional assets that are normal as a high value in terms of data investment. 

Question 20

IT general controls

Answer 20

IT environment

Computer operations

Access to programs and data

Program development.

Program changes.

Effective disaster recovery plan

Business continuity plan.

Question 21

IT application controls

Answer 21

Transaction processing controls, sometimes called input processing controls.

These controls are specific to individual applications. 

Question 22

Application service providers (ASP)

Answer 22

Companies who offer software services, usually over the Internet 

Question 23

Database management systems

Two benefits

Answer 23

Decrease duplication of data

Help to ensure data consistency