MIS Full Summary Flashcards
(230 cards)
1
Q
Describe the three categories of IT as distinguished by McAfee.
A
The three categories of IT are Function IT (FIT), Network IT (NIT), and Enterprise IT (EIT). FIT enhances standalone task efficiency, NIT facilitates communication and collaboration, and EIT restructures interactions among groups and partners.
2
Q
Explain the characteristics of Function IT (FIT).
A
FIT technologies improve the efficiency of standalone tasks and can be used without complements, although their value increases when complements are identified and utilized.
3
Q
How does Network IT (NIT) differ from Function IT (FIT)?
A
NIT provides means for communication and collaboration among people, requiring complements that can evolve over time, while FIT focuses on enhancing individual task efficiency.
4
Q
Define Enterprise IT (EIT) and its requirements.
A
EIT is used to restructure interactions among employees or with business partners and requires complements as soon as implemented, often necessitating top-down management for successful integration.
5
Q
What are the challenges managers face in IT adoption?
A
Managers must address employee resistance to new technologies, ensure productive use of IT, and build consensus within the organization for successful adoption.
6
Q
Explain the concept of the Quality Triangle in systems development.
A
The Quality Triangle addresses the tension between time, cost, and quality in product development, indicating that only two of these factors can be prioritized at a time.
7
Q
Describe the advantages and disadvantages of the Systems Development Life Cycle (SDLC).
A
Advantages of SDLC include structured approach and risk aversion, while disadvantages are its rigidity and high costs for major changes.
8
Q
What is the purpose of feasibility analysis in systems development?
A
Feasibility analysis evaluates the potential of a new idea against the resources required, considering economic, technical, and operational feasibility.
9
Q
How does agile methodology differ from traditional development methods?
A
Agile methodology focuses on incremental development with user interaction and feedback, allowing for flexibility and adaptation, unlike traditional methods which follow a linear approach.
10
Q
Explain the role of Integrated Development Environment (IDE) in programming.
A
IDE provides tools for writing, debugging, and compiling code, facilitating the programming process through features like color-coded commands and help systems.
11
Q
What are the four implementation strategies for new systems?
A
The four strategies are direct cutover, pilot implementation, parallel operation, and phased implementation, each with varying levels of risk and cost.
12
Q
Discuss the impact of computerization on the labor market as presented by Brynjolfsson and McAfee.
A
Computerization is expected to replace many jobs, particularly in routine tasks, while also creating new opportunities, leading to a complex dynamic in employment.
13
Q
What is the ‘lump of labor fallacy’ as discussed in the context of technology and employment?
A
The lump of labor fallacy suggests that there is a fixed amount of work available, which is challenged by the idea that technological advancements can create new jobs and increase demand.
14
Q
How does automation affect job polarization in the labor market?
A
Automation leads to job polarization, shrinking middle-income routine jobs while increasing demand for high-skilled cognitive and low-wage service jobs.
15
Q
What are the expected future impacts of job computerization according to Frey and Osborne?
A
They estimate that 47% of US jobs are at high risk of automation, particularly in transportation, office support, and production occupations.
16
Q
Describe the role of education in counteracting the effects of automation on employment.
A
Education may not be sufficient to counteract automation’s impact, as high-skilled workers may move down the occupational ladder, displacing lower-skilled workers.
17
Q
Explain the concept of ‘robot-dividend’ as mentioned in the context of automation and wealth distribution.
A
The robot-dividend refers to the idea that individuals could benefit from the economic gains of automation, similar to how citizens benefit from state dividends on natural resources.
18
Q
What is the significance of user participation in rapid application development?
A
User participation is crucial in rapid application development as it ensures that the final product meets user needs through iterative feedback and collaboration.
19
Q
How do programming languages differ across generations?
A
Programming languages differ by generation, from machine code (first generation) to assembly language (second), and then to higher-level languages (third and fourth) that are more user-friendly and abstract.
20
Q
What are the implications of the ‘technological plateau’ in job automation?
A
The technological plateau suggests a period where automation progress slows down before new breakthroughs enable further job automation, impacting employment dynamics.
21
Q
Discuss the importance of complements in maximizing IT value.
A
Complements such as better-skilled workers, teamwork, and redesigned processes are essential for maximizing the value derived from IT investments.
22
Q
Describe the Capitalisation Effect in relation to job creation.
A
The Capitalisation Effect refers to the phenomenon where more efficient production reduces costs, increases demand for goods, and creates new jobs.
23
Q
Explain the concerns raised by automation of cognitive tasks.
A
The automation of cognitive tasks raises concerns that the destruction effect may outpace job creation, potentially leading to technological unemployment.
24
Q
Define the factors that influence the extent of automation in the workforce.
A
The extent of automation depends on labor costs versus capital costs, regulatory and political factors, and public acceptance of new technologies.
25
How did historical perspectives on technology and employment differ?
Historically, figures like David Ricardo viewed machinery as injurious to laborers, while Jeremy Rifkin argued that automation boosts productivity but displaces workers, leading to under-consumption.
26
Explain the impact of the Industrial Revolution on the working class.
The Industrial Revolution led to worker replacement, stagnation or decline in real wages, and increased wealth inequalities, particularly during the 'Engels Pause' from 1800-1840.
27
Describe the findings of Frey and Osborne regarding job automation risk.
Frey and Osborne found that 47% of American jobs are at high risk of automation, particularly in occupations like insurance underwriting and technical writing.
28
What criticisms did the OECD raise regarding job automation predictions?
The OECD criticized that work tasks differ greatly within occupations, suggesting that the focus should be on tasks rather than entire occupations to assess automation risk.
29
How does competition affect the labor market beyond automation?
The decrease in factory workers in the US and UK is attributed not only to automation but also to competition from low-cost countries like China and changing consumer demands.
30
Explain the concept of Universal Basic Income (UBI).
Universal Basic Income (UBI) is a regular payment made to individuals regardless of circumstances, proposed as a solution to potential unemployment caused by automation.
31
What role does information and communication technology (ICT) play in multinational enterprises' production decisions?
ICT adoption lowers coordination costs, influencing multinational enterprises to reorganize production across national borders and increasing the likelihood of in-house production.
32
Describe the relationship between ICT complexity and intra-firm trade.
The complexity of ICT systems increases the likelihood of intra-firm trade, as more complex systems require greater internal integration among firm units.
33
How does codifiability of production processes affect outsourcing decisions?
Industries with easily codifiable production processes are more likely to outsource after ICT adoption, as these processes can be broken down into distinct value chains.
34
What are the two types of coordination costs firms face?
Firms face internal coordination costs related to managing employees and decision-making, and external coordination costs associated with outsourcing relationships.
35
Explain the impact of IT on organizational structure according to Gurbaxani and Whang.
IT influences organizational structure by reducing information processing costs, which can lead to both centralization and decentralization of decision-making authority.
36
What are agency costs and how do they affect firms?
Agency costs arise from conflicts of interest between principals and agents, including monitoring costs, bonding costs, and residual losses, leading to inefficiencies.
37
How do firms reduce agency costs?
Firms reduce agency costs through direct monitoring, incentive-based contracts, outside monitoring, and fostering a strong corporate culture.
38
What is the significance of transaction cost economics in understanding firm boundaries?
Transaction cost economics explains why firms exist by assessing and minimizing the costs associated with market transactions, leading to internalization of activities.
39
Describe the concept of economies of scale in operations.
Economies of scale occur when average costs decrease as production increases, allowing larger firms to spread fixed costs over more units and reduce per-unit costs.
40
How does firm size relate to vertical and horizontal dimensions?
Firm size is defined by vertical size, which measures in-house production versus outsourcing, and horizontal size, which measures the number of markets served.
41
What is the impact of ICT adoption on intra-firm trade according to the study findings?
The study found that firms adopting ICT experience a significant increase in intra-firm trade share, indicating that reduced internal coordination costs outweigh external costs.
42
Explain the dual impact of IT on firm boundaries and market transactions.
IT reduces external coordination costs, enabling outsourcing and smaller organizations, while also reducing internal coordination costs, allowing for horizontal and vertical expansion.
43
Describe the role of Information Technology in enhancing operations within an organization.
IT enhances manufacturing and service operations by intensifying economies of scale, allowing for mass production and facilitating information scale economies. Examples include factory automation technologies like CAD/CAM and robotics, which improve production speed and reduce labor costs.
44
Explain how Information Technology impacts transaction processing in various industries.
IT automates routine transactions in industries such as banking, insurance, and retail, reducing operational costs by eliminating intermediaries. For instance, ATMs reduce the need for bank tellers, and systems like Shelternet and Eaasy Sabre eliminate middlemen in transactions.
45
How does Information Technology support decision-making in organizations?
IT provides data-driven decision-making tools, including forecasting models and AI-driven analytics, which help organizations make informed decisions. Examples include fleet management optimization by Hertz and Avis and dynamic pricing in airline yield management systems.
46
What is the significance of monitoring and performance evaluation through Information Technology?
IT enhances monitoring and control mechanisms within firms, reducing agency costs by tracking employee performance. For example, optical scanners in grocery stores monitor employee efficiency, while Frito-Lay uses handheld computers to track salesperson activity.
47
Define the role of Information Technology in documentation and communication within organizations.
IT supports record-keeping, internal communication, and standardization across organizations, as seen in DeLorean’s information system at Chevrolet, which reduced ordering errors, and Honda’s global IT network that ensures standardization across international operations.
48
Explain the relationship between Information Technology and decision rights in organizations.
IT influences decision-making by altering decision information costs and agency costs, leading to either centralization or decentralization of decision rights. For example, centralized IT systems in banking reduce local decision-making authority, while improved monitoring allows lower levels to take on more decision-making responsibilities.
49
How does Information Technology affect the size and structure of firms?
IT reshapes firm size by influencing external and internal coordination costs, allowing firms to outsource more activities and manage larger organizations effectively. It also enables firms to expand into new business areas and drive economies of scale.
50
Describe the impact of IT on external coordination costs and outsourcing.
IT reduces external coordination costs, allowing firms to outsource more activities. For instance, computerized reservation systems in airlines have led to a significant portion of reservations being handled by travel agencies, reducing the need for airlines to manage ticket sales directly.
51
What are the implications of IT on internal coordination costs and firm growth?
IT reduces internal coordination costs, enabling firms to grow larger and manage complex organizations effectively. For example, IBM and GM have expanded globally while maintaining control over operations through improved internal communication and performance tracking.
52
Explain the concept of IT fashion and its impact on organizations.
IT fashion refers to the transitory belief that certain technologies are new and efficient. Organizations may adopt these technologies for social approval and legitimacy, which can enhance reputation and executive compensation, but does not guarantee immediate performance improvements.
53
How do IT innovations spread within organizations?
IT innovations spread through a process similar to contagion, where early adopters influence others, leading to rapid growth and eventual saturation. The S-curve illustrates this process, showing phases from initial excitement to stabilization.
54
What are the stages of the IT innovation wave machine?
The stages include: Breaking the Surface (initial emergence), Sending Out Ripples (gaining visibility), Causing a Squawk (public debate), Building the Swell (accelerated adoption), and Riding the Crest (peak adoption and implementation challenges).
55
Define the attention and adoption waves in IT innovation.
The attention wave represents the initial hype and buzz surrounding an innovation, while the adoption wave reflects the actual commitment of companies to implement the technology, which peaks later than the attention wave.
56
What is the J-curve effect in the context of IT fashion adoption?
The J-curve effect describes how firms that invest in fashionable IT may experience lower performance in the short term due to high costs and implementation challenges, but can achieve higher performance in the long term as the technology is integrated into operations.
57
Explain the significance of managerial IT skills in achieving competitive advantage.
Managerial IT skills are unique and difficult to replicate, making them a sustainable source of competitive advantage. While other IT-related factors like capital requirements and proprietary technology are easily imitable, effective integration of IT into business processes relies on these managerial skills.
58
How does the Resource-Based View (RBV) relate to IT and competitive advantage?
The RBV suggests that IT can provide a sustained competitive advantage when it is integrated with organizational capabilities and managed effectively. However, IT alone does not guarantee long-term dominance due to its imitable nature.
59
What are the potential outcomes of engaging with IT fashion for organizations?
Engaging with IT fashion can enhance short-term legitimacy and reputation, leading to higher executive compensation, but may not result in immediate performance gains. Long-term performance improvements may occur as the technology is better integrated into business operations.
60
Describe the implications for managers when adopting new IT innovations.
Managers should approach IT innovations mindfully, assessing their actual value and alignment with business needs rather than blindly following trends. They must be prepared for potential short-term performance dips and ensure that investments in IT are strategically sound.
61
Describe the Create-Capture-Keep Paradigm in IT-based switching costs.
The Create-Capture-Keep Paradigm suggests that firms can create a sustained competitive advantage by locking in customers through high switching costs. This involves creating a unique IT system that requires specific investments from customers, capturing their dependence on the system, and keeping them locked in by raising prices or reducing services.
62
Explain how General Electric differentiates its service support.
General Electric uses an answer center technology to differentiate its service support, enhancing customer service and support.
63
Do firms using the Create-Capture-Keep model face any challenges?
Yes, firms face challenges such as customer anticipation of lock-in risks, demands for guarantees, potential damage to reputation, and the emergence of competitive alternatives that reduce switching costs.
64
Define resource heterogeneity in the context of competitive advantage.
Resource heterogeneity refers to the differences in resources and capabilities among competing firms, which can lead to competitive advantages if firms possess unique resources that others do not.
65
How does the resource-based view explain the relationship between IT and competitive advantage?
The resource-based view posits that IT can serve as a competitive advantage if it improves the implementation of various strategies, provided that the resources are heterogeneous and immobile.
66
What are the implications of customer switching costs in the Create-Capture-Keep model?
The implications are that firms should focus on building strong customer relationships and service quality rather than relying on locking customers into proprietary systems, as this can damage reputation and lead to loss of future customers.
67
How does access to capital relate to competitive advantage in IT investments?
Access to capital does not inherently provide a competitive advantage, as key competitors typically have similar access. The advantage comes from the ability to manage IT investments effectively.
68
Describe the challenges associated with maintaining proprietary IT as a competitive advantage.
Maintaining proprietary IT is challenging due to rapid diffusion of technology, workforce mobility, and the difficulty of protecting IT innovations through patents, making it hard to sustain a competitive edge.
69
What is the impact of commoditization on IT as a competitive advantage?
Commoditization leads to IT becoming widely available and standardized, diminishing its ability to serve as a source of competitive advantage, as it becomes an essential but undifferentiated factor of production.
70
Explain the concept of the financial halo effect in relation to IT capability and firm performance.
The financial halo effect refers to the bias that prior financial success may have on the ranking of IT leaders, suggesting that any performance advantage may not solely be due to IT capability but rather influenced by previous financial performance.
71
How does the study by Chae et al. (2014) contribute to understanding IT capability and firm performance?
The study investigates the diminishing link between IT capability and firm performance, suggesting that unlike earlier findings, IT leaders do not consistently outperform their counterparts in profitability or cost efficiency due to standardization and commoditization of IT.
72
What are the key findings of Carr's argument in 'IT Doesn't Matter'?
Carr argues that IT has become a commodity, diminishing its strategic value as it is widely available and standardized, leading firms to focus more on risk management rather than aggressive IT investments.
73
Describe the role of social complexity in achieving competitive advantage through IT.
Social complexity involves the relationships and trust built within an organization, which are costly to imitate and can enhance the effective use of IT, contributing to a competitive advantage.
74
What is the conclusion regarding IT management skills as a source of sustainable competitive advantage?
IT management skills are concluded to be the only source of sustainable competitive advantage because they are valuable, rare, and difficult to imitate due to their history-dependent development and social complexity.
75
How does the integration of customer analytics contribute to competitive advantage in firms like Harrah's?
The integration of customer analytics allows firms like Harrah's to personalize rewards and track customer behavior across properties, creating a unique competitive advantage that is difficult for competitors to replicate.
76
What is the significance of the historical perspective on cost of imitating capabilities?
The historical perspective highlights that being in the right place at the right time can lead to the development of unique resources that are costly to imitate, thus providing a competitive advantage.
77
Explain the implications of technological and market uncertainty for IT investments.
Technological and market uncertainty can pose risks for IT investments, as firms may face challenges such as failure to achieve anticipated results, higher implementation costs, and customer acceptance issues.
78
How does the concept of invisible or tacit assets relate to competitive advantage?
Invisible or tacit assets, such as organizational culture and operating procedures, enable more efficient communication and guidance in complex situations, contributing to a firm's competitive advantage.
79
What are the limitations of the Create-Capture-Keep model in providing sustained competitive advantage?
The limitations include customer anticipation of lock-in risks, potential damage to reputation, and the emergence of market forces that reduce switching costs, making it an unreliable long-term strategy.
80
Describe the process of commoditization of IT and its impact on competition.
The commoditization of IT involves the transition from unique, proprietary systems to widely available, standardized technologies, leading to reduced differentiation and making IT an essential but undifferentiated factor in competition.
81
What is the conclusion regarding the sustainability of IT capability in the 2000s?
The conclusion is that IT capability has become less of a long-term competitive advantage due to standardization, easier access to outsourcing, and lower costs, making it necessary to reassess its value.
82
How does the study suggest firms should approach IT investments in light of commoditization?
Firms should focus on effective management of IT projects and strategic integration rather than solely on acquiring technical talent, as the competitive advantage from IT is diminishing.
83
Describe the matched sample comparison method used in the study.
The matched sample comparison method selects a treatment sample of IT leader firms and matches each with a control firm that is similar in size and industry. This approach minimizes biases due to industry and firm size differences and allows for a comparison of financial performance between the two groups.
84
Explain the significance of the InformationWeek 500 (IW 500) list in the study.
The IW 500 list is used to identify IT leader firms for the treatment group in the study. Firms included in the IW 500 for at least two years between 2001 and 2004 are selected, resulting in 561 IT leader firms that are compared against control firms.
85
Define the profitability measures used to assess firm performance in the study.
The profitability measures include Return on Assets (ROA), Return on Sales (ROS), Operating Income to Assets (OI/A), Operating Income to Sales (OI/S), and Operating Income to Employees (OI/E). These metrics evaluate profitability relative to total assets, sales, and workforce size.
86
How does the study assess cost efficiency among firms?
Cost efficiency is assessed using measures such as Cost of Goods Sold to Sales (COG/S), Selling & General Administrative Expenses to Sales (SGA/S), and Total Operating Expenses to Sales (OPEXP/S). These metrics evaluate the percentage of sales spent on production costs and overhead relative to revenue.
87
Explain the findings of the Wilcoxon Signed-Rank Test regarding IT leaders' profitability.
The Wilcoxon Signed-Rank Test found that IT leaders did not show consistently higher profitability measures such as ROA, ROS, or Operating Income ratios compared to control firms, contradicting earlier findings from the 1990s.
88
Discuss the implications of the regression analysis conducted in the study.
The regression analysis indicated that IT leaders did not maintain significantly higher profit ratios or lower costs over time, even after controlling for prior financial performance. This suggests that IT-driven advantages may not be persistent.
89
What major changes in the IT industry contributed to the loss of competitive advantage for IT leaders in the 2000s?
Major changes included the widespread adoption of Enterprise Resource Planning (ERP) systems, outsourcing, offshoring, and the rise of cloud computing, which made IT capabilities more accessible and standardized across firms.
90
Describe the impact of ERP systems on competitive advantage according to the study.
ERP systems can enforce standardization and integration, which may undermine a company's competitive advantage by forcing them to adopt uniform processes that do not align with their unique business strategies.
91
How did the study suggest future research should approach IT capability?
Future research should examine IT capability by considering alignment with business goals, the use of IT for analytics and innovation, and the impact of emerging technologies like AI and blockchain.
92
What were the key findings regarding the performance convergence between IT leaders and control firms?
The study found that before 2001, IT leaders outperformed control firms, but after 2001, the performance gap closed, indicating that control firms caught up and IT leaders lost their financial edge.
93
Explain the role of management in ERP implementation as discussed in the study.
Management plays a crucial role in ERP implementation by ensuring that it is treated as a business transformation initiative rather than just a technical project, involving top management in planning and execution to align the system with business strategies.
94
What are the risks associated with ERP implementation mentioned in the study?
Risks include misalignment between the ERP system and the company's strategy, potential loss of competitive advantage due to enforced standardization, and the complexity of managing significant organizational changes required for successful adoption.
95
Define the two types of customization options available during ERP implementation.
The two types of customization options are technical customization, which modifies the ERP system to align with existing business processes, and process customization, which adapts the organization's processes to fit the ERP's built-in functionalities.
96
How does the study suggest organizations can maximize the benefits of IT investments?
Organizations can maximize IT benefits by deploying consistent technology platforms, innovating business processes, and propagating successful practices widely across the organization.
97
What is the significance of the 'Deploy, innovate and propagate' strategy in digital processes?
This strategy emphasizes the importance of deploying a consistent technology platform, innovating better ways of working, and using that platform to propagate business innovations reliably across the organization.
98
Discuss the impact of digitalization on competition as outlined in the study.
Digitalization has accelerated competition by making it easier to share and replicate innovations, leading to increased performance spread, concentration, and turbulence within industries.
99
What challenges do organizations face when implementing ERP systems according to the study?
Organizations face challenges such as technical complexity, the need for significant organizational change, potential misalignment with business strategies, and the high costs associated with ERP implementation.
100
Explain the importance of change management in ERP implementation.
Change management is crucial for successful ERP implementation as it helps organizations manage the significant organizational changes required to align the ERP system with existing workflows and processes.
101
What are the best practices for successful ERP implementation mentioned in the study?
Best practices include treating ERP implementation as a business transformation, involving top management, identifying processes for standardization versus flexibility, and implementing the system in stages.
102
Describe the three areas of technical change capability in ERP customization.
Understanding ERP System Design, Software Development and Modification, and Project Management for Large-Scale Systems.
103
Explain the implications of high and low technical change capability in organizations.
High technical change capability leads to easier system customization, while low capability results in limited expertise and higher risks.
104
Define process change capability in the context of ERP customization.
The ability to modify business processes, including understanding business processes, designing process changes, and managing large-scale business process changes.
105
How do organizations with high process change capability differ from those with low capability?
High capability organizations can manage large-scale projects and understand existing processes, while low capability organizations face resistance to change and implementation failures.
106
What are the four categories of organizations based on their technical and process change capabilities?
Novice, Technician, Organizer, and Expert.
107
Explain the significance of the framework for evaluating ERP customization choices.
It helps organizations assess feasible customization tools and anticipate capability growth.
108
Describe the phased adoption approach taken by PU in their ERP implementation.
PU adopted the Banner ERP system in phases, starting with the Student Module, followed by the Finance Module, and currently assessing the Scheduling Module.
109
What lesson did PU learn from their heavy customization of the Student Module?
Over-customizing ERP systems is costly and unsustainable.
110
How did PU approach the Finance Module differently than the Student Module?
The Finance team focused on process standardization rather than system customization.
111
What was a key success factor in PU's adaptation of business processes to ERP?
Extensive training of staff to facilitate process changes.
112
Summarize the contributions of the framework to practice and research in ERP customization.
It provides a structured approach for evaluating customization options and challenges the conventional 'fit processes to the system' assumption.
113
Identify the limitations of the framework developed for ERP customization.
It is based on a single case study and does not account for all factors influencing implementation success.
114
What future research directions are suggested for ERP customization studies?
Empirical validation through multiple case studies, exploring capability evolution, and investigating the role of organizational culture.
115
Describe the performance gap between early and late adopters of ERP systems.
Early adopters are typically higher-performing firms, while late adopters are often underperforming firms that mimic industry leaders.
116
Explain the role of institutional theory in ERP adoption decisions.
It highlights how firms adopt ERP systems due to coercive, normative, and mimetic pressures rather than purely cost-benefit analyses.
117
What methodology was used to assess firm performance in the study of ERP adoption?
The study used capital market pricing of equity and total shareholder returns as performance measures.
118
Summarize the findings regarding pre-adoption performance of late adopters.
Late adopters had significantly lower abnormal returns compared to early adopters before ERP implementation.
119
What was the post-adoption performance outcome for late adopters of ERP systems?
Late adopters showed greater improvement in abnormal returns compared to early adopters after implementation.
120
How did industry differences affect ERP adoption outcomes?
Manufacturing firms experienced stronger institutional pressures and showed greater performance disparities compared to non-manufacturing firms.
121
What are the top reasons for AI project failures?
Lack of clear vision, insufficient data quality, lack of expertise, failure to integrate AI with existing systems, and lack of change management.
122
Describe the Delta Model for improving data-driven organizations.
It assesses data robustness, enterprise responsibility, leadership support, and required analyst skills.
123
What is the significance of data warehousing in business decision-making?
It integrates scattered data into one repository to support better understanding of customer behavior and performance measures.
124
Explain the ETL process in data warehousing.
ETL stands for Extract, Transform, Load, which involves extracting data from sources, transforming it for quality, and loading it into a data warehouse.
125
What are the characteristics of a data warehouse?
Subject-oriented, integrated, time-variant, and nonvolatile.
126
Define the difference between a data mart and an enterprise data warehouse.
A data mart stores data for limited subject areas, while an enterprise data warehouse integrates data across the organization.
127
What is the purpose of data cleansing in the ETL process?
To ensure data quality by correcting, standardizing, and consolidating data from various sources.
128
How does metadata function in data warehousing?
Metadata provides information about data sources and targets, essential for IT personnel.
129
Describe the purpose of metadata in a database context.
Metadata provides information about the structure of the database, including database, table, and column names, refresh schedules, and data usage measures.
130
Explain the role of APIs in modern data management.
APIs allow vendors to provide platform-independent access to data, facilitating integration and interaction with various systems.
131
Define the term 'data mart' in relation to data warehousing.
A data mart is a subset of a data warehouse, designed to serve a specific business line or team, ensuring uniformity of data for analysis.
132
How does data flow from operational data sources to data marts?
Data first enters the Operational Data Store (ODS) for quick operational decisions, then moves to the data warehouse, from which data is extracted for data marts.
133
Explain the concept of a star schema in database design.
A star schema is a type of database schema that organizes data into fact tables and dimension tables, providing a dimensional view of data for analysis.
134
What is a fact table and what type of data does it contain?
A fact table contains numerical data recorded for each transaction, such as sales amounts or call durations.
135
Describe the purpose of dimension tables in a star schema.
Dimension tables provide the context or dimensions through which the data in the fact table can be analyzed, such as product names or customer demographics.
136
How do SQL queries interact with a star schema?
SQL queries run against the data stored in a star schema, joining fact and dimension tables through primary keys to retrieve relevant data.
137
What is the significance of the Patron Database (PDB) in Harrah's data strategy?
The Patron Database consolidates daily customer activity across all casinos, tracks real-time interactions, and supports personalized customer service.
138
Explain the function of the Marketing Workbench (MWB) at Harrah's.
The MWB serves as Harrah's data warehouse for analytics, providing insights into customer behavior, segmentation, and marketing performance.
139
What are the key benefits of Harrah's Total Rewards program?
The Total Rewards program incentivizes repeat visits by offering redeemable points for gambling activity, enhancing customer loyalty and tracking customer value.
140
Describe the evolution of information systems success measures over time.
Success measures have evolved from technical performance in the Data Processing Era to customer experience and engagement metrics in the Customer-Focused Era.
141
What are the four theories of project escalation discussed in the study?
The four theories are Self-Justification Theory, Prospect Theory, Agency Theory, and Approach-Avoidance Theory.
142
How does the completion effect relate to project escalation?
The completion effect suggests that as a project nears completion, decision-makers feel pressured to continue investing, even if it may not be rational.
143
What are the strengths of cloud computing from a business perspective?
Strengths include lower IT infrastructure costs, no significant upfront investments, easier scalability, and the ability to access high-tech IT resources.
144
Define the term 'multitenancy' in cloud computing.
Multitenancy refers to a single instance of application software serving multiple clients, improving resource utilization and efficiency.
145
What are the key challenges associated with cloud computing adoption?
Challenges include resistance to switching from traditional systems, concerns over data control, and the need for quality-of-service guarantees.
146
Explain the concept of hybrid cloud deployment.
A hybrid cloud combines private and public cloud resources, allowing organizations to keep critical data secure while utilizing public cloud services for non-critical information.
147
What role do regulators play in cloud computing?
Regulators ensure compliance with data security, privacy, and governance standards, addressing challenges related to data sovereignty and cross-border compliance.
148
How does cloud computing enable better energy efficiency?
Cloud computing allows for better energy efficiency and equipment recycling, driven by lower operating costs through streamlined IT infrastructure.
149
What is the significance of the SWOT analysis in evaluating cloud computing?
SWOT analysis identifies strengths, weaknesses, opportunities, and threats, helping businesses understand the potential and challenges of cloud computing.
150
Describe the impact of cloud computing on traditional IT roles.
Cloud computing shifts IT roles by making consumers subscribers rather than owners, allowing IT departments to focus on innovation rather than maintenance.
151
What are the delivery models of cloud computing?
The delivery models include Software as a Service (SaaS), Platform as a Service (PaaS), and Infrastructure as a Service (IaaS), each serving different user needs.
152
Explain the importance of customer experience metrics in measuring IS success.
Customer experience metrics assess loyalty, engagement, and retention, reflecting the growing importance of user satisfaction in evaluating information systems.
153
What are the implications of project-based vs. asset-based evaluation in IS success?
Project-based evaluation focuses on short-term success metrics, while asset-based evaluation considers long-term value creation and overall impact on the organization.
154
Describe the role of regulation in cloud computing.
Regulation in cloud computing addresses legal and security concerns as the technology grows, ensuring compliance with privacy laws, data residency, and ownership issues.
155
Explain the challenges of privacy, data residency, and ownership in cloud computing.
Cloud computing complicates traditional data ownership as users store information with third parties, leading to regulatory uncertainty when data is stored in countries with differing privacy laws.
156
How do contractual and liability issues affect cloud computing regulations?
Governments need to clarify positions on cloud contracts regarding security breaches and liability, potentially revising standard clauses to reflect cloud-specific risks.
157
What are the complexities of IT forensics and security in the cloud?
Investigating cybercrime in the cloud is complex due to virtualized resources, necessitating new forensic standards to track illegal activities.
158
Describe the national security risks associated with large data centers in cloud computing.
Large data centers that concentrate sensitive information pose national security risks, prompting governments to develop cybersecurity policies to protect cloud environments.
159
What recommendations are provided for business professionals regarding cloud adoption?
Recommendations include assessing which applications to move to the cloud, understanding the benefits for SMEs versus large enterprises, and developing a cloud strategy.
160
Explain the two-platform strategy adopted by Bayer HealthCare for its cloud CRM initiative.
Bayer HealthCare uses a cloud-based CRM for pharmaceuticals to standardize globally while maintaining on-premise CRM for non-pharma divisions due to regulatory needs.
161
What financial challenges did Bayer HealthCare face in its cloud CRM implementation?
Bayer HealthCare encountered high customization costs and integration expenses that limited expected savings from cloud adoption.
162
How did Bayer HealthCare address technological challenges in its cloud CRM initiative?
Bayer HealthCare implemented a robust integration framework and security measures to address complex integration with legacy systems.
163
What organizational strategies did Bayer HealthCare employ to facilitate cloud adoption?
Bayer HealthCare established change management programs, pilot testing, and training to overcome employee resistance and ensure stakeholder buy-in.
164
Define 'Just Right Outsourcing' as discussed in the context of outsourcing risks.
'Just Right Outsourcing' refers to achieving an optimal balance in outsourcing that minimizes risks while maximizing returns, rather than purely focusing on cost-cutting.
165
What are the strategic risks associated with outsourcing as identified in the paper?
Strategic risks include vendor opportunism, such as shirking, poaching, and opportunistic renegotiation.
166
How does the concept of chunkification help mitigate outsourcing risks?
Chunkification involves dividing outsourced processes into independent sub-tasks to prevent any single vendor from gaining excessive control or expertise.
167
Explain the operational risks involved in outsourcing.
Operational risks arise from process complexity, geographical distance, and communication barriers between the client and vendor.
168
What is the significance of regulatory compliance in cloud computing?
Regulatory compliance is crucial for companies using cloud solutions to ensure accountability to customers and mitigate risks associated with data security.
169
Describe the honeycomb model in the context of metaverse realms.
The honeycomb model explains the functionalities and affordances of different metaverse realms, helping evaluate their external fit, internal fit, and life cycles.
170
What distinguishes the metaverse from virtual reality?
The metaverse is a vast digital ecosystem for real-time user interaction, while virtual reality is a specific technology that provides immersive experiences within that ecosystem.
171
How can organizations benefit from investing in metaverse realms?
Organizations can leverage the functionalities of metaverse realms to create immersive experiences for users, enhancing engagement and interaction.
172
What are the implications of cloud computing for large enterprises compared to SMEs?
While SMEs benefit from reduced IT costs through cloud computing, large enterprises may find on-premise IT cheaper but can still gain from private cloud solutions.
173
How should cloud providers strategize to attract large enterprises?
Cloud providers should focus on offering hybrid solutions and prioritize security and compliance to appeal to large enterprises.
174
What are the lessons learned from Bayer HealthCare's cloud CRM implementation?
Key lessons include the importance of financial strategies, technological partnerships, and establishing governance structures for successful cloud adoption.
175
Describe the characteristics of different metaverse realms.
Metaverse realms vary in how users enter, engage, and transfer between different realities, including reality, augmented reality, virtual reality, mixed reality, augmented virtuality, and virtuality.
176
Explain the concept of the Affordable Theory in the context of the metaverse.
The Affordable Theory asserts that technologies provide certain affordances for action, where immersion functionalities signal to users what they can or cannot do in a metaverse realm, using an immersive affordance lens.
177
How do avatars contribute to user experience in the metaverse?
Avatars help users immerse themselves and experience a metaverse realm, allowing for distinct identities and interactions that can enhance the relationship between the user and their avatar.
178
Define the Honeycomb Model in relation to metaverse functionalities.
The Honeycomb Model consists of seven functional building blocks that help classify, explain, predict, and build social media realities, applied here to examine virtual reality, blockchain, NFTs, and avatar affordances.
179
What are the seven functional building blocks of the Honeycomb Model?
The seven functional building blocks are Identity, Conversations, Sharing, Presence, Relationships, Reputation, and Groups.
180
How does the concept of 'Presence' differ in the metaverse compared to social media?
In the metaverse, presence involves the visibility of a user's avatar in a realm, impacting self-presence and engagement, while social media presence is primarily about visibility without the immersive experience.
181
Explain the significance of digital assets in the metaverse.
Digital assets allow users to securely buy, personalize, and verify items for their avatars, enhancing the immersive experience and enabling ownership within the virtual environment.
182
Describe the impact of blockchain technology on the trade of digital assets in the metaverse.
Blockchain technology enables the trade of digital assets such as NFTs, virtual real estate, in-game items, and collectibles, facilitating secure transactions and ownership verification.
183
What are the business models represented in the metaverse, specifically in Roblox and Decentraland?
Roblox operates on a closed business model with centralized governance, while Decentraland has an open model with self-governance by decentralized communities.
184
How does the metaverse bridge the gap between the physical and digital worlds?
The metaverse allows users to create digital versions of physical products, such as sneakers, and purchase both the digital and physical versions, enhancing the connection between the two realms.
185
Explain the potential risks associated with the metaverse.
Risks include social isolation, addiction to immersive environments, antisocial behaviors due to anonymity, cyber-terrorism, accessibility issues, and regulatory challenges.
186
What role does user-generated content play in the metaverse?
User-generated content allows users to monetize their creations through trading tokens, enhancing engagement and participation within the metaverse.
187
Describe the implications of the sharing economy on traditional business models.
The sharing economy introduces boundary fluidity, allowing for peer-to-peer transactions and collaborative consumption, which can disrupt traditional business models by reducing barriers to entry.
188
How do the four models of sharing economy platforms differ in terms of control and rivalry?
The four models—Franchiser, Principal, Chaperone, and Gardener—vary in the level of control exerted by the platform owner and the degree of rivalry among participants, impacting how services are delivered and consumed.
189
What is the significance of trust-building mechanisms in sharing economy platforms?
Trust-building mechanisms, such as ratings and peer reviews, are crucial for establishing confidence among users in sharing economy platforms, facilitating transactions between strangers.
190
How does generative AI create value for businesses?
Generative AI creates value by identifying patterns in data to produce new content, automating routine decisions, and delivering customized services more efficiently than traditional methods.
191
Discuss the limitations of generative AI as a source of sustainable competitive advantage.
Generative AI is unlikely to provide a sustainable competitive advantage as it can be adopted by many firms, leading to similar outcomes and diminishing first-mover advantages.
192
What are the strategic applications of the Honeycomb Model in the metaverse?
The Honeycomb Model can guide the alignment of metaverse technologies with market demands, understand internal functionalities, and provide a roadmap for the evolution of a metaverse realm.
193
Explain the concept of 'boundary fluidity' in the context of the sharing economy.
Boundary fluidity refers to the loosening of strict distinctions between organizational roles, allowing for casual participation in value creation and enabling new business models.
194
How can companies leverage generative AI to enhance their existing advantages?
Companies can apply generative AI to their unique resources and capabilities to generate innovative business ideas that would not emerge from using more generic resources.
195
Describe the key components that contribute to Amazon's success.
Amazon's success depends on relationships with millions of suppliers, software linking suppliers with customers, multiple interconnected information systems, complex warehousing and delivery operations, and mechanisms for managing returns, all within a culture that rewards efficiency and initiative.
196
Explain the concept of the Internet of Things (IoT).
The Internet of Things (IoT) allows every physical object to connect to the Internet, enabling data collection, identification, seamless data exchange, and sometimes control by other devices.
197
Define wearable technologies and their user needs.
Wearable technologies are devices containing a computer chip that can be worn on the body, such as watches and glasses. User needs include optimization and fashionable design.
198
How does the Source-User (SU) grid help executives?
The Source-User (SU) grid helps executives understand the information flows of wearable devices by identifying who consumes the information and whether the source is internal (from the wearer) or external (from the environment).
199
Explain the concept of self-situation awareness in wearables.
Self-situation awareness refers to a wearable device where the consumer is the wearer and the source of information is external, such as Google Glass providing internet access while on the move.
200
Describe the purpose-interaction (PI) matrix for wearables.
The purpose-interaction (PI) matrix helps understand the different purposes of wearable devices based on human experience and whether they interact with the wearer only or with others.
201
What is the 5-E Framework in the context of wearable technologies?
The 5-E Framework conceptualizes opportunities for leveraging wearable technologies by combining the source of information with the purpose of the device, focusing on eliminating risks, extending capabilities, elevating competences, and enriching experiences.
202
How can mobile technology impact work-life balance (WLB)?
Mobile technology can impact work-life balance by providing 24/7 connectivity, increasing flexibility and productivity, but also raising expectations of availability and blurring boundaries between work and personal time.
203
Define the compartmentalized perspective of work-life relationships.
The compartmentalized perspective demands a total separation of work and personal life, viewing personal life as primary and work as a secondary utility.
204
Explain the negotiation strategy for managing mobile technology use in WLB issues.
The negotiation strategy aims to harmonize personal situations with project demands, recognizing that rigid boundaries between work and personal life are not feasible.
205
What are the four phases of digital workspace transformation?
The four phases are: 1) Inertia - maintaining physical workplace logic; 2) Experimental Repatterning - trial and error in digital environments; 3) Leveraging Causation Planning - structured long-term planning; 4) Calibration - balancing long-term planning with ongoing experimentation.
206
Describe the role of AI in automating business processes.
AI automates business processes through robotic process automation (RPA), which handles back-office administrative tasks like data transfer and document analysis.
207
How does AI gain insights through data analysis?
AI uses algorithms to detect patterns in large data volumes, enabling predictions, fraud detection, and personalized targeting.
208
What is the significance of understanding AI technologies for businesses?
Understanding AI technologies involves recognizing their strengths and limitations, which is crucial for effective integration and leveraging capabilities.
209
Explain the importance of creating a portfolio of AI projects.
Creating a portfolio of AI projects involves identifying opportunities and bottlenecks in information flow to effectively implement AI solutions.
210
Describe the scaling challenges faced by companies when implementing AI solutions.
Companies often have knowledge about AI, but the process to utilize it can be time-consuming and costly, hindering optimal distribution.
211
Explain the concept of inadequate firepower in data analysis.
Inadequate firepower refers to a situation where a company collects more data than it can effectively analyze and apply due to limitations in human or computer resources.
212
How should companies prioritize use cases for AI implementation?
Companies should prioritize use cases based on which ones offer the most short- and long-term value to their overall strategy.
213
Define the role of proof-of-concept pilots in AI initiatives.
Proof-of-concept pilots are used to test different technologies simultaneously and assess initiatives with high potential business value.
214
What is the significance of business-process redesign in AI implementation?
Business-process redesign involves rethinking workflows to determine the division of labor between humans and AI, which can vary significantly depending on the project.
215
Describe the functions of cognitive technology in investment services.
Cognitive technology can generate financial plans, provide real-time goals-based forecasting, rebalance portfolios, minimize taxes, track assets, and engage clients virtually.
216
Explain the importance of scaling up AI solutions in organizations.
Scaling up requires detailed plans and collaboration between technology experts and business process owners, as cognitive technologies typically support individual tasks.
217
What are the motivations behind cyberattacks?
Motivations include financial gain, corporate espionage, extortion, political beliefs, and revenge.
218
Identify the types of hackers and their characteristics.
White hat hackers seek to improve security by identifying weaknesses, while black hat hackers exploit vulnerabilities for malicious purposes.
219
How do social engineering techniques pose a threat to cybersecurity?
Social engineering manipulates individuals into revealing confidential information, often through deceptive tactics like impersonating IT support.
220
What are common vulnerabilities that hackers exploit?
Common vulnerabilities include weak passwords, unpatched software, insider threats, and unsecured devices.
221
Describe the role of individual security measures in protecting against cyber threats.
Individual security measures include being cautious online, using strong passwords, keeping software updated, and following organizational security policies.
222
What frameworks and standards are important for organizational security measures?
Key standards include ISO 27000, PCI DSS, HIPAA, GDPR, and the NIST Cybersecurity Framework.
223
Explain the significance of conducting security audits.
Security audits help identify weaknesses through penetration testing, vulnerability scanning, policy reviews, and compliance checks.
224
What are the challenges faced by law enforcement in combating cybercrime?
Challenges include the global nature of cybercrime, the technical complexity of threats, and the well-funded nature of criminal networks.
225
How can organizations effectively manage insider threats?
Organizations should adopt robust insider policies, raise awareness of threats, screen new hires, and monitor employee activities.
226
What is shadow IT and why is it a concern for organizations?
Shadow IT refers to the use of unauthorized applications and services by employees, which can lead to increased cybersecurity risks.
227
Describe the four archetypes for dealing with shadow IT.
The four archetypes include strict management of cybersecurity with limited user needs, balanced management of cybersecurity and user needs, rigid policies with poor communication, and flexible policies with user engagement.
228
How can organizations balance cybersecurity risks with user needs?
Organizations can balance risks by engaging with employees, providing alternatives, and communicating restrictions transparently.
229
What are Goal-Oriented Actors (GOAs) in the context of shadow IT?
GOAs are tech-savvy individuals who intentionally use shadow IT to enhance productivity while being aware of cybersecurity risks.
230
What recommendations can help organizations manage shadow IT effectively?
Recommendations include accepting shadow IT, assessing risks, educating users, creating a user experience team, and managing GOAs and followers differently.
