Exam 1 Flashcards
Information age
The present time during which infinite quantities of facts or Wylie available to anyone who can use a computer
Snapshot
A view of data at a particular moment in time
What is the chief technology officer responsible for?
Ensuring the throughput, speed, accuracy, availability, and reliability of an organizations information technology
Information
Data converted into a meaningful and useful context
Business unit
A segment of a company representing a specific business function
What is the chief privacy officer responsible for?
Ensuring the ethical and legal use of information within a company
Business analytics
The scientific process of transforming data into insight for making better decisions
Many chief privacy officers are what by training?
Lawyers
Business process
A Standardized set of activities that accomplish a specific task, such as processing a customers order
Internet of things
A world where interconnected Internet enabled devices or things have the ability to collect and share data without human intervention
Machine to machine
Devices that connect directly to other devices
Structured data
Stored in a traditional system such as a relational database or spreadsheet. Ex: sensor data, point of sale data, accounting data
Unstructured data
Data that is not stored in a formal database. Example word processed documents, text messages
Big data
A collection of large complex data sets, including structured and unstructured data, which cannot be analyzed using traditional database methods
What are the five characteristics of big data?
Variety
veracity
volume
velocity
value
Report
A document containing data organized in a table, matrix, or graph allowing users to comprehend and understand info
Static report
Created once based on data that does not change
Dynamic report
Changes automatically during creation
Business intelligence
Information collected from multiple sources such as suppliers, customers, competitors, partners, and industries that analyzes patterns, trends, and relationships for strategic decision making
Analytics
The science of fact-based decision making
Business analytics
The scientific process of transforming data into insight for making better decisions
Descriptive analytics
Techniques that describe part performance and history
Predictive analytics
Techniques that extract information from data and use it to predict future trends and identify behavioral patterns
Prescriptive analytics
Techniques that create models including the best decision to make or course of action to take
Behavioral analysis
Uses data about peoples behaviors to understand and predict future actions
Exploratory data analysis
Identifies patterns in data, including outliers, uncovering the underlying structure to understand relationships between variables
Pattern recognition analysis
Classifies or labels an identified pattern in the machine learning process
Social media analysis
Analyzes text flowing across the Internet including unstructured text from blogs and messages
Speech analysis
Analyzes recorded calls to gather information
Text analysis
Analyzes unstructured data to find trends and patterns and words and sentences
Web analysis
Analyzes unstructured data associated with websites to identify consumer behavior and website navigation
Knowledge
Skills, experience, and expertise coupled with information and intelligence that creates a persons intellectual resources
Knowledge worker
Individual valued for their ability to interpret and analyze information
Management information systems (MIS)
A business function, like accounting and human resources, which moves information about people, products, and processes across the company to facilitate decision-making and problem-solving
Chief data officer
Responsible for determining the types of information the enterprise will capture, retain, analyze, and share
Chief Security officer
Responsible for ensuring the security of MIS systems
Chief knowledge officer
Responsible for collecting, maintaining, and distributing the organizations knowledge
What is the Luddite fallacy?
The simple observation that new technology does not lead to higher overall unemployment in the economy. New technology doesn’t destroy drops it only changes the composition of jobs in the economy
What Is porters five forces model?
A model that identifies and analyzes five competitive forces that shape every industry
Porters five forces
Buying power, supplier power, threat of substitutes, threat of new entrants, rivalry among existing competitors
Organizations typically follow one of Porter’s three generic strategies when entering a new market, which are:
Cost leadership, differentiation, focused strategy
Value chain analysis
Views a firm as a series of business processes that each add value to the product or service
The difference between cost and value
Margin
What are challenges for managerial decision making?
Analyze large amounts of information
apply sophisticated analysis techniques
make decisions quickly
The six step decision-making process
Problem identification
data collection
solution generation
solution test
solution selection
solution implementation
Structured decisions
Situations where established processes offer potential solutions
Managerial decision making
Employees evaluate company operations to identify, adapt to, and leverage change
Unstructured decisions
Occurs in situations in which no procedures or rules exist guide decision makers toward the correct choice
Strategic decision making
Managers develop overall strategies, goals, and objectives
Project
A temporary activity a company undertakes to create a unique product, service, or result
Metrics
Measurements that evaluate results to determine whether a project is meeting its goals
Critical success factors
The crucial steps companies make to perform to achieve their goals and objectives and implement strategies
Key performance indicators
The quantifiable metrics a company uses to evaluate progress toward critical success factors. Examples: turnover rate of employees, number of product returns, number of new customers, average customer spending
External key performance indicators
Market share – the portion of the market that a firm captures
Internal key performance indicators
Return on investment – indicates the earning power of a project
Efficiency MIS metrics
Measure the performance of MIS itself, such as throughput, transaction speed, and system availability
Effectiveness MIS metrics
Measures the impact MIS has on business processes and activities, including customer satisfaction and customer conversation rates
Benchmark
Baseline values the system seeks to attain
Benchmarking
A process of continuously measuring system results, comparing those results to optimal system performance and identifying steps and procedures to improve system performance
What is the difference between a structured decision process and an unstructured decision process?
Structured is one for which there is an understood and accepted method, and unstructured is one for which there is no agreed-upon decision making process
Transaction processing system
Basic business system that serves the operational level and assists in making structure decisions
Decision support system
Models information to support managers and business professionals during the decision-making process
Executive information system
A specialized DSS that supports senior level executives within the organization
What does CRUD stand for within the transaction processing system?
Create, read, update, and delete
Analytical information
Encompasses all organization information and its primary purpose is to support the performing of managerial analysis or semistructured decisions
Online analytical processing
Manipulation of information to create business intelligence in support of strategic decision making
Sensitivity analysis
The study of the impact that changes in one or more parts of the model have on other parts of the model
Goal seeking analysis
Find the input necessary to achieve goals such as a desired level of output
Optimization analysis
An extension of goal seeking analysis, finds the optimum value for a target variable by repeatedly changing Other variables, subject to specified constraints
What are the four quantitative models used by DSSs?
Input, process, output, feedback
How are the transaction processing system and decision support system related?
The TPS supplies transaction based data to the DSS
What is an executive information system?
Specialized DSS that support senior-level executives within the organization. Characteristics are granularity, visualization, and digital dashboard
The executive information system needs information from what to help executives make decisions?
The transaction processing systems
Drill-down
Enables users to get details, and details of details, of information
Slice-and-dice
Looks at information from different perspectives
Pivot
Rotates data to display alternative presentations of the data
Expert systems
Computerized advisory programs that imitate the reasoning processes of experts in solving difficult problems
Generic algorithm
An artificial intelligence system that mimics the revolutionary survival of the fittest process to generate increasingly better solutions to a problem
Case-based reasoning
A method whereby new problems are solved based on the solutions from similar cases solved in the past
Mutation
The process within a genetic algorithm of randomly trying combinations and evaluating the success or failure of the outcome
What are some examples of AI?
Automation, complex analytics, fraud detection, resource scheduling
Machine learning
A type of artificial intelligence that enables computers to both understand concepts in the environment and also to learn
Data augmentation
Occurs when adding additional training examples by transforming existing examples
What is overfitting and underfitting?
Over fitting is when the machine learning model matches the training data so closely that the model fails to make correct predictions. Unfitting occurs when a machine learning model has poor predictive abilities because it did not learn the complexity in the training data
Sample bias
Occurs when using incorrect training data to train the machine
Prejudice bias
Occurs as a result of training data that is influenced by cultural or other stereotypes
Measurement bias
Occurs when there is a problem with the data collected that skews the data in One Direction
Variance bias
A mathematical property of an algorithm. This is the only bias not associated with the input or training data. Models are sensitive to noise
Neural network
Attempts to emulate the way the human brain works
Fuzzy logic
Mathematical method of handling imprecise or subjective information
Reinforcement learning
The training of machine learning models to make a sequence of decisions
Haptic interface
Uses technology allowing humans to interact with a computer through bodily sensations and movements
Customer facing process
Results in a product or service that is received by an organizations external customer
Business facing process
Invisible to the external customer but essential to the effective management of the business
Business process mapping
The activity of creating a detailed flow chart or process map of a work process showing its inputs, tasks, and activities in a structured sequence
Business process model
Graphic description of a process showing the sequence of process tasks which is developed for a specific model
As-is process model
Represents the current state of the operation that has been mapped without any specific improvements or changes to existing processes
To-be process model
Shows the results of applying change improvement opportunities to the current (as-is) process model
Workflow
Includes the tasks, activities, and responsibilities required to execute each step in a business process
Workflow control systems
Monitor processes to ensure tasks, activities, and responsibilities are executed as specified
Digitization
The automation of existing manual and paper-based processes and workflows to a digital format
Operationalized analytics
Makes analytics part of a business process
Business process improvement
Attempts to understand and measure the current process and make performance improvements accordingly
Robotic process automation
Do use of software with artificial intelligence and machine learning capabilities to handle high volume, repeatable tasks that previously required a human to perform
Machine vision
The ability of a computer to see by digitizing an image, processing the data contains, and taking some kind of action
Business process reengineering
The idea that radical redesign and re-organization of an enterprise (wiping the slate clean) sometimes was necessary to lower costs and increase quality of service. Also that information technology was the key enabler for change
Data mining
The process of analyzing data to extract information not offered by the raw data alone
What are the three elements of data mining?
Data, discovery (new patterns), deployment (implementing discoveries)
Data Profiling
The process of collecting statistics and information about data in an existing source
Data replication
The process of sharing information to ensure consistency between multiple data sources
Recommendation engine
A data mining algorithm that analyzes a customers purchases and actions on a website and then uses the data to recommend complementary products
Classification
Assigns records to one of a predefined set of classes
Estimation
Determines values for an unknown continuous variable behavior or estimated future value
Affinity grouping
Determines which things go together
Clustering
Segments a heterogeneous population of records into a number of More homogenous subgroups
Data mining prediction
A statement about what will happen or might happen in the future like predicting future sales or employee turnover
