Exam 1 Study Guide
The exam will contain True / False, Multiple Choice, and possibly matching questions. In addition, there will be 3
short answer questions. For the short answer questions, you will write no more than a paragraph or two. Paper
will be provided for the shor
t answer questions.
You do not need a blue book. I will provide a scantron
The exam is closed book. However you may bring 1 page (2 sides) of notes on an 8 ½ x 11 piece of paper.
At the end of each chapter, key terms are presented, along with a refe
rence of where those key terms are
defined. Review these key terms and definitions.
The chapter summary items also provide good concise answers for the types of conceptual questions that
you are likely to see on the exam.
Make sure to review the cases disc
ussed in class.
For example, be able to discuss how the Harrah’s decision support system is used to improve
player loyalty and target offers to suit customer needs. Understand how historical and predictive
modeling is used to improve targeted customer offe
Review the Hershey case and be able to discuss the failure of its ERP system.
Review how Amazon’s EC2 has the potential to revolutionize the way we own and manage
computers and software.
Understand how FedEx uses Web services to expose its business pro
cesses to customers.
The material from the computer and Internet history lesson will be on the exam. However, you need not
remember exact dates of the historical events.
The ARPA’s role in the creation of the Internet.
The introduction of t
The creation and proliferation of the WWW.
The introduction of the first search engines.
Information Systems in Business
Understand the meaning of the terms data, information, and business intelligence.
Understand the different
organizational cultures related to information technology.
Know how IT must communicate and understand the business processes of other functional
business units. Understand how various business units and function rely on information
, sales and marketing might need credit information from accounting.
SCM would need historical sales information for materials requirements planning and
Be able to list and describe IT efficiency (throughput, response time, …) and
(usability, customer satisfaction, …) metrics.
List and describe the ways that IT can be used to give an organization a competitive advantage.
Describe the elements of Michael Porter’s Five Forces model, and how IT can be used to
Describe the elements of Michael Porter’s generic strategies. (Cost leadership, differentiation,
What is meant by the term “value chain?”
Know the difference between primary activities and support activities.
What are switchi
Be able to discuss Friedman’s flattening forces and how the Internet has contributed to those
Strategic Decision Making
Understand the role of and the function of
Transaction processing systems
Decision support systems
Executive information systems
Understand the levels of decision making
Be able to give examples of industries that use decision support systems and how those
industries can use a DSS to
make better decisions
Referring to the video shown in class, be able to discuss the industries that might use a
geographical information system and the reason those industries might use it.
Know how sensitivity analysi
if analysis, and goal
seeking analysis are used in a decision
Be able to list and describe the common elements of a digital dashboard
Be able to define and give an example of an intelligent agent.
De able to describe the purpose of data mining.
Be able to describe the Touring test
Using fuzzy logic to deal with uncertainty
Be able to discuss the limitations of AI
Introduction to business processes
Be able to describe the parts of a common business process such as a sales transaction.
Understand the difference between customer facing business processes and business
Be able to describe the risks associated with business process reengineering and how
those risks can be minimized.
Understand the differences between business process improvement and business
Be able to discuss th
e Hershey ERP failure presented in class.
What is business process modeling? How might a flowchart be used to model a business
Be able to identify and describe disruptive and sustaining technologies.
Be able to discuss trends
in Ebusiness such as grid computing the cloud technology.
Understand the meaning of the term “digital divide”.
You should be able to describe the evolution of the Internet.
In addition to the book discussion, you should know the basic timeline presented i
ARPA, DARPA, privatization, creation of the WWW, etc.
Understand the concepts surrounding Web 2.0 and Web 3.0.
Web 2.0 (User participation, collaborative social networking)
Web 3.0 (Data
driven, the semantic Web)
Understand the purpose of the esse
ntial Internet protocols and services.
Know the essential services provided by Internet Service Providers and Application Service
Pipeline to the Web (at&t, Charter, …)
Web hosting services
Be able to describe the difference between the terms Ebusiness and Ecommerce.
Be able to describe and give examples the various Ebusiness models.
Understand the term Ele
ctronic Data Interchange and its role in automating common business
Be able to describe how Ebusiness strategies can be used to give business a competitive
Sales and marketing
Mass customization and loyalty programs
Financial intermediary (PayPal)
Electronic payment and check systems
Procurement and supply chain
Web based self service
Be able to describe and give an example of an electronic exchange
ARCA / EX
Be able to list the types of business to consumer businesses and give examples of each.
Brick and mortar
Click and mortar
Be able to define the term reverse auction.
Understand the meaning of the term Service Oriented Architecure (SOA)
to describe a Web Service and characteristics of Web Services.
Understand the role of WSDL and SOAP in Web service.
A Web service is a good example of the Service Oriented Architecture (SOA).
Application service providers offer se
rvices such as Web hosting, and database hosting.
Ebusiness refers to the buying and selling goods on the Internet.
support system might use artificial intelligence.
MySpace and Facebook would be examples of Web 2.
social networking technologies.
The Internet and World Wide Web were created at nearly the same time.
Recording a credit card charge would be an example of a(n)
Decision support system
Transaction processing system (CORRECT)
Management information system
What term related to artificial intelligence is used to deal with ambiguity, such as near or far?
Fuzzy logic (CORRECT)
Decision support system
None of the above
Which of the
following are Internet protocols?
Web 2.0 and Web 3.0
All of the above
None of the above.
Give an example of a consumer
to consumer Ecommerce system (EBAY)