This Document Contains Chapters 7 to 9 Chapter 7 Organizations and Information Systems 1) Which of the following statements is true of personal information systems? A) Personal information systems that support a particular department are called workgroup information systems. B) Adapting to changes in personal information systems is extremely difficult and time consuming. C) Personal information systems have a single user only, and so the procedures are probably not documented or formalized. D) The solutions to problems in a personal information system usually involve more than one department. Answer: C 2) Personal information systems are most likely to be used by ___________. A) physician partnerships B) drug salespersons C) PRIDE systems D) hospitals Answer: B 3) Which of the following is a characteristic of workgroup information systems? A) isolated problems B) informal procedures C) resistance to change D) affects multiple organizations Answer: C 4) Physician partnerships most likely use ___________. A) inter-enterprise information systems B) workgroup information systems C) enterprise information systems D) departmental information systems Answer: B 5) Which of the following statements is true of workgroup information systems? A) Workgroup information systems that support a particular department are called enterprise information systems. B) Workgroup information systems that support a particular business function are called personal information systems. C) The users of workgroup information systems are defined by levels of security authorization. D) Workgroup information systems that support a particular department are sometimes called departmental information systems. Answer: D 6) Which of the following is a characteristic of enterprise information systems? A) They do not document procedures as the procedures are simple and informal. B) They are shared between two or among more independent organizations. C) They typically have hundreds to thousands of users. D) They are limited to a single department in an organization. Answer: C 7) Which of the following statements is true of enterprise information systems? A) They are information systems that are shared by two or more independent organizations. B) The solutions to problems in these systems usually involve more than one department. C) They typically support less than 100 users. D) They are called personal information systems if they support a particular business function. Answer: B 8) ___________ are systems that are shared by two or more independent organizations. A) Inter-enterprise information systems B) Workgroup information systems C) Enterprise information systems D) Personal information systems Answer: A 9) Which of the following is most likely to make use of an inter-enterprise information system? A) hospitals B) drug salespersons C) PRIDE systems D) physician partnerships Answer: C 10) Functional information systems are information systems used by a single individual. Answer: False 11) Workgroup information systems that support a particular department are called personal information systems. Answer: False 12) The contact manager in an email account is an example of a personal information system. Answer: True 13) Personal information systems generally support around 10 users. Answer: False 14) Enterprise information systems have procedures that are formalized and extensively documented. Answer: True 15) Enterprise information systems are information systems that span an organization and support activities of people in multiple departments. Answer: True 16) Enterprise information systems are information systems that are shared by two or more independent organizations. Answer: False 17) The solutions to problems in an enterprise system usually involve more than one enterprise. Answer: False 18) In the case of workgroup information systems, problems are resolved by contract and litigation. Answer: False 19) Inter-enterprise information systems are information systems that are shared by two or more independent departments within an organization. Answer: False 20) Information silos help in resolving any problem that may arise due to isolated information systems. Answer: False 21) What are personal information systems? Answer: Personal information systems are information systems used by a single individual. The contact manager in an iPhone or in an email account is an example of a personal information system. Because such systems have only one user, procedures are simple and are generally not documented or formalized in any way. It is easy to manage change to personal information systems because only one person needs to adapt to the change. And, if there are problems, individual users can solve the problems themselves. 22) Explain workgroup information systems. Answer: A workgroup information system is an information system that is shared by a group of people for a particular purpose. For example, at a physicians' partnership, doctors, nurses, and staff use information systems to manage patient appointments, keep patient records, schedule in-office procedures and equipment, and facilitate other workgroup activities. Workgroup information systems that support a particular department are sometimes called departmental information systems. An example is the accounts payable system that is used by the accounts payable department. Other workgroup information systems support a particular business function and are called functional information systems. An example of a functional system is a Web storefront. Typically workgroup systems support 10 to 100 users. The procedures for using them must be understood by all members of the group. Often, procedures are formalized in documentation, and users are sometimes trained in the use of those procedures. When problems occur, they almost always can be solved within the group. 23) What are enterprise information systems? Answer: Enterprise information systems are information systems that span an organization and support activities in multiple departments. For example, at a hospital, doctors, nurses, the pharmacy, the kitchen, and others use information systems to track patients, treatments, medications, diets, room assignments, and so forth. Enterprise information systems typically have hundreds to thousands of users. Procedures are formalized and extensively documented; users undergo formal procedure training. Sometimes enterprise systems include categories of procedures, and users are defined according to levels of expertise with the system as well as by levels of security authorization. The solutions to problems in an enterprise system usually involve more than one department. Because enterprise systems span many departments and involve potentially thousands of users, they are very difficult to change. Changes must be carefully planned, cautiously implemented, and users given considerable training. Sometimes users are given incentives and other inducements to motivate them to change. 24) Explain inter-enterprise information systems. Answer: Inter-enterprise information systems are information systems that are shared by two or more independent organizations. Such systems typically involve thousands of users, and solutions to problems require cooperation among different, usually independently owned, organizations. Problems are resolved by meeting, contract, and sometimes by litigation. Because of the wide span, complexity, and multiple companies involved, such systems can be exceedingly difficult to change. The interaction of independently owned and operated information systems is required. 25) A(n) ___________ exists when data are isolated in separated information systems. A) walled garden B) information silo C) mashup D) viral hook Answer: B 26) Information silos arise as a result of ___________. A) data integration across several information systems within an organization B) the sharing of an inter-enterprise information system with several organizations C) too many users depending on a single enterprise-wide information system D) data being isolated in systems that are separated across different organizational levels Answer: D 27) Which of the following is an information systems application that supports the sales and marketing department in an organization? A) HR planning B) inventory management C) lead tracking D) recruiting Answer: C 28) Which of the following departments in an organization is supported by information systems applications such as recruitment and compensation? A) accounting department B) operations department C) human resources department D) customer service department Answer: C 29) Cost accounting and financial reporting are information systems applications that support an organization's ___________. A) manufacturing department B) human resources department C) accounting department D) customer service department Answer: C 30) Customer management and lead generation are information systems applications that support an organization's ___________. A) accounting department B) human resources department C) sales and marketing department D) customer service department Answer: C 31) ___________ is an information systems application that supports the human resources department in an organization. A) Assessment B) Budgeting C) Customer management D) Cash management Answer: A 32) Which of the following is a problem posed by information silos? A) Data cannot be duplicated. B) A lot of file space is wasted. C) The interdependence between various information systems applications increases. D) There is a lack of integrated enterprise information. Answer: D 33) The problems posed by information silos ultimately lead to ___________. A) diseconomies of scope B) increased costs for an organization C) diminishing marginal returns D) reduced organizational innovation Answer: B 34) ___________ is the activity of altering the existing business processes and designing new ones to take advantage of new information systems. A) Business process management B) Business process reengineering C) Business process outsourcing D) Business process interoperability Answer: B 35) Which of the following statements is true of business process reengineering? A) It is a very fast process and is easy to carry out. B) When combined with enterprise resource planning (ERP), it has 100 percent success rate. C) It is a very expensive process. D) Due to its streamlined processes, it requires no expertise. Answer: C 36) Information silos arise when entities at one organizational level in a company create information systems that meet only their particular needs. Answer: True 37) The major issue caused by information silos is wasted file space. Answer: False 38) When an organization has inconsistent duplicated data, it is said to have a data integrity problem. Answer: True 39) Data inconsistency is a major problem caused by information silos at the department level. Answer: True 40) Enterprise application integration (EAI) refers to the activity of altering existing business processes and designing new ones to take advantage of new information systems. Answer: False 41) Business process reengineering is extremely fast and economical. Answer: False 42) What are information silos? Answer: Information silos are the conditions that exist when data are isolated in separated information systems. Silos come into existence as entities at one organizational level create information systems that meet only their particular needs. The major problems caused by information silos at department level include data duplication and data inconsistency, disjointed processes, limited information and lack of integrated information, isolated decisions leading to organizational inefficiencies, and increased expenses for a company. When an organization has inconsistent duplicated data, it is said to have a data integrity problem. 43) What are the problems caused by information silos? Answer: As organizations grow, information silos will eventually lead to duplication of data and cause potentially serious problems. First, data are duplicated because each application has its own database. Next, when applications are isolated, business processes are disjointed. A consequence of such disjointed systems is the lack of integrated enterprise information. This leads to the fourth consequence: inefficiency. When using isolated functional applications, decisions are made in isolation. Without integration, the left hand of the organization doesn't know what the right hand of the organization is doing. Finally, information silos can result in increased cost for the organization. Duplicated data, disjointed systems, limited information, and inefficiencies all mean higher costs. 44) How can organizations solve the problems caused by information silos? Answer: An information silo occurs when data is stored in isolated systems. The obvious way to fix such a silo is to integrate the data into a single database and revise applications and business processes to use that database. If that is not possible or practical, another remedy is to allow the isolation, but to manage it to avoid problems. Isolated data created by workgroup information systems can be integrated using enterprise-wide applications. Isolated data created by information systems at the enterprise level can be integrated into inter-enterprise systems using distributed applications that process data in a single cloud database or that connect disparate, independent databases so that applications can process those databases as if they were one database. 45) What is business process reengineering? Answer: Business process reengineering is the activity of altering existing and designing new business processes to take advantage of new information systems. Unfortunately, business process reengineering is difficult, slow, and exceedingly expensive. Systems analysts need to interview key personnel throughout the organization to determine how best to use the new technology. Because of the complexity involved, such projects require high-level and expensive skills and considerable time. Many early projects stalled when the enormity of the project became apparent. 46) Inherent processes are ___________. A) time-consuming business processes that involve substantial investment B) predesigned procedures for using software products C) the set of procedures that help companies implement business process reengineering D) business process reengineering techniques with low success rates Answer: B 47) Which of the following statements is true of inherent processes? A) Inherent processes are almost always a perfect fit. B) Organizations cannot license the software used in inherent processes. C) Inherent processes are expensive and time-consuming. D) Inherent processes provide an alternative to business process reengineering. Answer: D 48) The first phase in the customer life cycle involves ___________. A) sending messages to target audiences to attract customer prospects B) attempting to win back high-value customers C) converting prospects into customers who need to be supported D) increasing the value of existing customers by selling more products to them Answer: A 49) During the ___________ phase of the customer life cycle, prospects become customers who need to be supported by the organization. A) customer engagement B) marketing C) customer acquisition D) relationship management Answer: C 50) Which of the following is a component of relationship management? A) converting prospects into customers who need to be supported B) increasing the value of existing customers by selling them more products C) positioning products in the minds of customers through promotional strategies D) sending messages to target audiences to attract customer prospects Answer: B 51) During which of the following phases of the customer life cycle do win-back processes categorize customers according to value? A) customer acquisition B) marketing C) relationship management D) churn Answer: D 52) ___________ is the last phase in the customer life cycle. A) Marketing B) Customer acquisition C) Churn D) Relationship management Answer: C 53) Which of the following statements is true of customer relationship management (CRM) systems? A) They are applications used for consolidating business operations into a single, consistent, computing platform. B) They vary in the degree of functionality they provide. C) They incorporate accounting, manufacturing, inventory, and human resources applications. D) A major disadvantage of these systems is a lack of consistency in data. Answer: B 54) Enterprise resource planning (ERP) helps in ___________. A) consolidating business operations into a single, consistent computing platform B) managing all the interactions with customers C) providing layers of software that connect applications together D) connecting several enterprises within the same industry Answer: A 55) Which of the following statements is true of enterprise resource planning (ERP)? A) ERP is a suite of software applications that integrates existing systems by providing layers of software that connect applications together. B) The two major components of ERP systems are manufacturing applications and inventory applications. C) ERP is also referred to as enterprise application integration (EAI) due to its highly efficient integration properties. D) ERP systems are used to forecast sales and to create manufacturing plans and schedules to meet those forecasts. Answer: D 56) ___________ is the worldwide leader of enterprise resource planning (ERP) vendors. A) TQM B) EAI C) SCM D) SAP Answer: D 57) Enterprise resource planning (ERP) was originally used in the ___________ domain. A) accounting B) customer support C) manufacturing D) human resources Answer: C 58) ___________ is a suite of software applications that consolidates existing systems by providing layers of software that connect applications together. A) Enterprise resource planning (ERP) system B) Enterprise application integration (EAI) C) Customer relationship management (CRM) system D) Rich internet application (RIA) Answer: B 59) Which of the following is a function of enterprise application integration (EAI)? A) It is used to forecast sales and to create manufacturing plans to meet those forecasts. B) It manages all the interactions with customers, from lead generation to customer service. C) It creates information silos by departmentalizing applications. D) It enables existing applications to communicate and share data. Answer: D 60) Which of the following statements is true of enterprise application integration (EAI)? A) A disadvantage of the EAI software is the lack of metadata files that describe where data are located. B) The layers of EAI software prevent existing applications from communicating with each other. C) EAI makes use of a centralized database that acts as a "virtual integrated database" for users to process. D) EAI software can be configured to automatically make conversions needed to share data among different systems. Answer: D 61) The expenses and risks associated with the implementation or upgrading of enterprise systems arise from the ___________. A) need for encrypting a company's data before an enterprise system can use the data B) lack of resources within a company to handle the implementation of the system C) lack of variety in the enterprise systems currently being sold in the market D) resistance from a company's employees to changes in existing systems Answer: D 62) When implementing new enterprise systems in a company, process issues that may arise can be effectively resolved by ___________. A) encouraging entities at different organizational levels to create separate information systems B) developing committees and steering groups for process management C) bringing conciliators or arbitrators into the company to sort the issues D) giving the responsibility of resolving issues to the company's CEO Answer: B 63) ___________ is a major issue faced by companies when implementing enterprise systems. A) The failure of applications to communicate and share data with each other B) The failure to incorporate accounting and human resource applications C) The lack of a centralized database where important data such as metadata can be stored D) The gap between the requirements of an organization and the capabilities of an application Answer: D 64) ___________ is a person's belief that he or she can be successful at his or her job. A) Extroversion B) Conscientiousness C) Self-actualization D) Self-efficacy Answer: D 65) Inter-enterprise PRIDE systems are referred to as ___________ because in such systems processing is divided across multiple computing devices. A) distributed systems B) departmental information systems C) business intelligence systems D) integrated systems Answer: A 66) Inherent processes save organizations from expensive and time-consuming business process reengineering. Answer: True 67) The second phase of the customer life cycle is customer acquisition. Answer: True 68) The last phase of the customer life cycle is relationship management. Answer: False 69) Every contact and transaction with a customer is recorded in the CRM database. Answer: True 70) Enterprise resource planning (ERP) incorporates accounting, manufacturing, inventory, and human resources applications. Answer: True 71) Enterprise application integration (EAI) is used to forecast sales and create manufacturing plans to meet those forecasts. Answer: False 72) SAP offers industry-specific packages that customize its product for particular uses. Answer: True 73) Enterprise application integration (EAI) connects system "islands" via a new layer of software. Answer: True 74) Unlike departmental systems in which a single department manager is in charge, enterprise systems have no clear boss. Answer: True 75) The work of committees and steering groups developed for providing process management is slow and expensive. Answer: True 76) Most organizations today create their own enterprise systems from scratch. Answer: False 77) Transitioning from one enterprise system to a new enterprise system is fairly easy due to the integrated steps involved in the process. Answer: False 78) Implementing new enterprise systems can improve efficiency of an organization. Answer: True 79) One of the reasons why people fear change is because it threatens their self-efficacies. Answer: True 80) Describe customer relationship management (CRM) system. Answer: A CRM system is a suite of applications, a database, and a set of inherent processes for managing all the interactions with the customer, from lead generation to customer service. Every contact and transaction with the customer is recorded in the CRM database. Vendors of CRM software claim using their products makes the organization customer-centric. A CRM database includes solicitation and lead management application, sales application, relationship management application, and customer support application. 81) Explain the four phases of the customer life cycle. Answer: The four phases of the customer life cycle are marketing, customer acquisition, relationship management, and loss/churn. Marketing sends messages to the target market to attract customer prospects. When prospects order, they become customers who need to be supported. Additionally, relationship management processes increase the value of existing customers by selling them more products. Inevitably, over time the organization loses customers. When this occurs, win-back processes categorize customers according to value and attempt to win back high-value customers. 82) What is enterprise resource planning (ERP)? Answer: ERP is a suite of applications, a database, and a set of inherent processes for consolidating business operations into a single, consistent, computing platform. ERP includes the functions of CRM and also incorporates accounting, manufacturing, inventory, and human resources applications. ERP systems are used to forecast sales and to create manufacturing plans and schedules to meet those forecasts. Manufacturing schedules include the use of material, equipment, and personnel and thus need to incorporate inventory and human resources applications. Because ERP includes accounting, all of these activities are automatically posted in the general ledger and other accounting applications. 83) What are some of the benefits of enterprise application integration (EAI)? Answer: EAI is a suite of software applications that integrates existing systems by providing layers of software that connect applications together. Although there is no centralized EAI database, EAI software keeps files of metadata that describe where data are located. Users can access the EAI system to find the data they need. In some cases, the EAI system provides services that supply a "virtual integrated database" for the user to process. The major benefit of EAI is that it enables organizations to use existing applications while eliminating many of the serious problems of isolated systems. Converting to an EAI system is not nearly as disruptive as converting to enterprise resource planning (ERP). It also provides many of the benefits of ERP. Some organizations develop EAI applications as a stepping stone to complete ERP systems. 84) Standards such as http, https, html5, css3, JavaScript, and Web services enable programs on varied and disparate devices to flexibly communicate with the cloud servers and database and indirectly communicate with each other. Answer: True Chapter 8 Social Media Information Systems 1) ___________ is the use of information technology to support the sharing of content among networks of users. A) Electronic data interchange B) Data warehousing C) Cloud computing D) Social media Answer: D 2) Which of the following statements is a characteristic of social media (SM) user communities? A) SM user communities are mostly based on geographic and familial ties. B) Most users of SM belong to several different user communities. C) In community SM site relationships, the relationships in second-tier communities are disassociated from first-tier users. D) A viral hook is an inducement to constrain communications between user communities. Answer: B 3) Social media (SM) communities differ from regular communities because ___________. A) they are based on mutual interests of users B) they are based only on organizational boundaries C) most people belong to a single community D) the total number of its users is determined by the sum of the sizes of all its communities Answer: A 4) Platforms that enable the creation of social networks, or social relationships among people with common interests, are offered by social media ___________. A) users B) sponsors C) providers D) communities Answer: C 5) Social media (SM) ___________ utilize SM sites to build social relationships. A) outlets B) users C) providers D) newsrooms Answer: B 6) Social media (SM) ___________ are formed based on mutual interests and transcend familial, geographic, and organizational boundaries. A) communities B) collaborators C) dashboards D) outlets Answer: A 7) Which of the following statements is true about viral hooks in a social media (SM) site? A) It is used to restrain information leaks from an organization. B) It is used to enhance an organization's privacy on its SM sites. C) It is designed to root out users who post junk content on an organization's SM site. D) It is an inducement to pass communication along the tiers of a community. Answer: D 8) Which of the following statements is a feature of social media (SM) providers? A) They do not support custom software for long durations as it is expensive. B) They generally charge users a license fee to use their applications. C) They use elastic, cloud-based servers to host SM presence. D) They sponsor content on SM sites. Answer: C 9) ___________ refers to data and responses to data that are contributed by users and SM sponsors. A) Connection data B) Capital data C) Content data D) Custom data Answer: C 10) ___________ is data about relationships. A) Connection data B) Capital data C) Content data D) Communication data Answer: A 11) A Facebook user likes pages of various organizations on Facebook. The fact that the user has liked a particular organization is an example of ___________. A) content data B) user response C) data contribution D) connection data Answer: D 12) In the context of the five components of social media information systems (SMIS), which of the following statements is true of social media (SM) providers? A) They usually process SM sites using desktops, laptops, and smartphones. B) They store and retrieve SM data on behalf of users. C) They employ browsers and native mobile applications to store and retrieve connection data. D) They are informal, evolving, and socially oriented. Answer: B 13) In the context of the five components of social media information systems (SMIS), which of the following statements is true of social media (SM) procedures? A) They process SM sites using elastic, cloud-based servers. B) Organizations develop and operate their own custom, proprietary, social networking application software. C) Informality makes SMIS difficult to use. D) They are informal, evolving, and socially oriented. Answer: D 14) Social media enables people to form communities, which are groups of people related by a common interest. Answer: True 15) A social media information system is an information system that supports the sharing of content among networks of users. Answer: True 16) Social media communities develop and operate their own custom, proprietary, social networking application software. Answer: False 17) Social media communities are the companies that operate social media (SM) sites. Answer: False 18) Facebook, Google+, LinkedIn, Twitter, Instagram, and Pinterest are examples of social media providers that enable the creation of social networks. Answer: True 19) Social media providers create the features and functions of the site, and they compete with one another for the attention of users. Answer: True 20) Social media users include only individuals and not organizations that use social media sites. Answer: False 21) Organizations create and manage social media (SM) accounts just like typical users. Answer: True 22) Some companies hire staff to maintain their social media (SM) presence, promote their products, build relationships, and manage their image. Answer: True 23) Depending on how an organization wants to use social media, it can be a user, a provider, or both. Answer: True 24) Social media providers develop and operate their own custom, proprietary, social networking application software. Answer: True 25) Content data is data about relationships. Answer: False 26) Connection data differentiates social media information systems (SMIS) from Web site applications. Answer: True 27) Both Web sites and social networking sites present user and responder content, but only social networking applications store and process connection data. Answer: True 28) Social media (SM) application providers store and retrieve SM data on behalf of users. Answer: True 29) For social networking users, procedures are informal, evolving, and socially oriented. Answer: True 30) Informality in procedures means that unintended consequences are common in social media. Answer: False 31) Social media is creating new job titles, new responsibilities, and the need for new types of training. Answer: True 32) What is social media? Answer: Social media (SM) is the use of information technology to support the sharing of content among networks of users. Social media enables people to form communities of practice, or communities that are groups of people related by a common interest. A social media information system (SMIS) is an information system that supports the sharing of content among networks of users. 33) Who are social media (SM) users? Answer: Social media (SM) users include both individuals and organizations that use SM sites to build social relationships. Hundreds of millions of individuals visit SM sites on a regular basis, and they do so in several ways. Organizations are SM users too. One may not think of an organization as a typical user, but in many ways it is. Organizations create and manage SM accounts just like typical users. 34) What are social media (SM) providers? Answer: Social media (SM) providers are the companies that operate the SM sites. Facebook, Twitter, LinkedIn, and Google are all SM providers. They provide platforms that enable the creation of social networks, or social relationships among people with common interests. They develop and operate their own custom, proprietary, social networking application software and compete with one another for the attention of users. 35) Explain the hardware component of social media information systems (SMIS) with respect to each of the three organizational roles. Answer: Both community users and employees process social media (SM) sites using desktops, laptops, smartphones, iPads, HTML 5 devices, and, indeed, any intelligent communications device. In most cases, SM application providers host the SM presence using elastic servers in the cloud. 36) Explain the software component of social media information systems (SMIS) with respect to each of the three organizational roles. Answer: Social media (SM) users employ browsers and client applications to communicate with other users, send and receive content, and add and remove connections to communities and other users. These include desktop and mobile applications for a variety of platforms, including iOS, Android, and Windows. SM application providers develop and operate their own custom, proprietary, social networking application software. Supporting such custom software is expensive over the long term, but SM application vendors must do so because the features and functions of their applications are fundamental to their competitive strategy. 37) Explain the data component of social media information systems (SMIS). Answer: Social media (SM) data falls into two categories: content and connection. Content data is data and responses to data that are contributed by users. Connection data is data about relationships. Connection data differentiates SMIS from Web site applications. Both Web sites and social networking sites present user and responder content, but only social networking applications store and process connection data. SM application providers store and retrieve SM data on behalf of sponsors and user communities. 38) Explain the procedure component of social media information systems (SMIS) with respect to a user and an organization. Answer: For social networking users, procedures are informal, evolving, and socially oriented. One does what their friends do. Such informality makes using SMIS easy; it also means that unintended consequences are common. The most troubling examples concern user privacy. For organizations, social networking procedures are more formalized and aligned with an organization's strategy. Organizations develop procedures for creating content, managing user responses, removing obsolete or objectionable content, and extracting value from content. For example, setting up an SMIS to gather data on product problems is a wasted expense unless procedures exist to extract knowledge from that social networking data. Organizations also need to develop procedures to manage SM risk. 39) Explain the people component of social media information systems (SMIS) with respect to a user and an organization. Answer: Users of social media (SM) do what they want to do depending on their goals and their personalities. They behave in certain ways and observe the consequences. They may or may not change their behavior. SM users aren't necessarily rational, at least not in purely monetary ways. Organizations cannot be so casual. Anyone who uses his or her position in a company to speak for an organization needs to be trained on both SMIS user procedures and the organization's social networking policy. 40) Social media's flow cannot be designed or diagrammed as it is very ___________. A) dynamic B) static C) confounding D) simple Answer: A 41) Value chains determine ___________. A) social media's requirements B) social media's flow C) unstructured business processes D) structured business processes Answer: D 42) Which of the following statements is true of social customer relationship management (CRM)? A) Relationships between organizations and customers are unchanging. B) Each customer crafts his or her own relationship with a company. C) Sales managers can control what a customer is reading about a company and its products. D) Customers who are likely to make the highest purchases are likely to receive the most attention. Answer: B 43) ___________ is a dynamic social media process of employing users to participate in product design or product redesign. A) Social capitalization B) Flexible product development C) Crowdsourcing D) Collaborative product development Answer: C 44) Since its inception, social media (SM) has been widely used to market products to end users in ___________. A) improving communication channels within an organization B) business-to-business (B2B) relationships C) business-to-consumer (B2C) relationships D) promoting brand awareness Answer: C 45) A(n) ___________ social networking service like Yammer can be used to provide managers with real-time feedback about how to resolve internal operational inefficiencies. A) enterprise B) media sharing C) microblogging D) polling Answer: A 46) Which of the following is a use of social media (SM) in human resources? A) It is used to determine performance incentives. B) It is used to keep track of employees' personal lives. C) It is used for recruiting candidates. D) It is used for terminating employees. Answer: C 47) Internal personnel social media sites such as MySite and MyProfile in SharePoint and other similar enterprise systems are used for ___________. A) employee recruitment B) employee communication C) employee evaluation D) employee termination Answer: B 48) Which of the following indicates a risk of using social media in human resources? A) recruiting employees for vacant jobs only through social media and not otherwise B) determining employee performance through social media C) probing employee personal and social life through social media D) making errors in forming conclusions about employees through social media Answer: D 49) Which of the following statements is true of using social media to advance organizational strategies? A) The unpredictability of dynamic processes like social media is encouraged in supply chains. B) Solving supply chain problems via social media reinforces an organization's sense of privacy. C) Users who have no financial incentive are willing to provide reviews to the buyer community. D) Organizations whose business strategy involves selling to developer networks are the last to adopt SM-based customer support. Answer: C 50) Value chains determine unstructured business processes. Answer: False 51) Social media (SM) is by its very nature static. Answer: False 52) Social media's flow cannot be designed or diagrammed easily. Even if it was to be designed, the social media process would have changed even before the diagram is finished. Answer: True 53) Social media fundamentally changes the balance of power among users, their communities, and organizations. Answer: True 54) In social customer relationship management, relationships between organizations and customers are fixed. Answer: False 55) In social customer relationship management, since the relationships between organizations and customers emerge from joint activity, customers have as much control as companies. Answer: True 56) Traditional customer relationship management (CRM) flies in the face of structured and controlled processes of social CRM. Answer: False 57) eBay often solicits customers to provide feedback on their eBay experience; this is an example of crowdsourcing. Answer: True 58) Social media is widely used in business-to-business relationships and not in business-to-customer relationships. Answer: False 59) Operations use social media to improve communication channels with their customers, but not within an organization. Answer: False 60) Social media is increasingly used for finding employee prospects. Answer: True 61) Use of social media to recruit and evaluate potential employees is prohibited. Answer: False 62) Social media sites that become too defensive are obviously promulgating an unpopular management message. Answer: True 63) What was the purpose of traditional customer relationship management (CRM)? Answer: In the past, organizations controlled their relationships with customers using structured processes and related information systems. In fact, the primary purpose of traditional CRM was to manage customer touches. Traditional CRM ensured that an organization spoke to customers with one voice and that it controlled the messages, the offers, and even the support that customers received based on the value of each particular customer. 64) Explain the social customer relationship management (CRM) process. Answer: Social CRM is a dynamic, social media-based CRM process. The relationships between organizations and customers emerge in a dynamic process as both parties create and process content. In addition to the traditional forms of promotion, employees in an organization create wikis, blogs, discussion lists, frequently asked questions, sites for user reviews and commentary, and other dynamic content. Customers search this content, contribute reviews and commentary, ask more questions, create user groups, and so forth. With social CRM, each customer crafts his or her own relationship with the company. 65) What is the difference between traditional customer relationship management (CRM) and social customer relationship management (CRM)? Answer: In social CRM, because relationships emerge from a joint activity, customers have as much control as companies. This characteristic is an anathema to traditional sales managers who want control over what a customer is reading, seeing, and hearing about a company and its products. Further, traditional CRM is centered on lifetime value; customers who are likely to generate the most business get the most attention and have the most impact on the organization. But, with social CRM, a customer who spends 10 cents but who is an effective reviewer, commentator, or blogger can have more influence than a quiet customer who purchases $10 million a year. Such imbalance is incomprehensible to traditional sales managers. 66) Being linked to a network of highly regarded contacts is a form of ___________. A) social credential B) personal reinforcement C) mobility D) nepotism Answer: A 67) Which of the following statements is true of social capital? A) Social capital is an investment in human knowledge and skills for future profit. B) The value of social capital is determined by the number of relationships in a social network. C) Social capital can be gained by limiting the number of friends. D) Being linked into social networks undermines a professional's image and position in an organization. Answer: B 68) A person gains social capital by ___________. A) adding more friends B) removing unknown friends C) adding only work-related friends D) removing people who have less social capital Answer: A 69) Capital is defined as the investment of resources for future profit. Answer: True 70) Social capital is investment in human knowledge and skills for future profit. Answer: False 71) Being linked into social networks reinforces a professional's identity, image, and position in an organization or industry. Answer: True 72) A social networking user gains social capital by adding more friends and by strengthening relationships with existing friends. Answer: True 73) Humans have social capital, whereas organizations do not have social capital. Answer: False 74) To an organization, the strength of a relationship is the likelihood that an entity in the relationship will do something that benefits the organization. Answer: True 75) According to business literature, describe three types of capital that are used. Answer: Business literature describes three types of capital: traditional, human, and social. Karl Marx defined capital as the investment of resources for future profit. This traditional definition refers to investments into resources such as factories, machines, manufacturing equipment, and the like. In comparison, human capital is the investment in human knowledge and skills for future profit. By taking this class, people are investing in their own human capital. In other words, they are investing their money and time to obtain knowledge that they hope will differentiate them from other workers and ultimately give them a wage premium in the workforce. According to Nan Lin, social capital is investment in social relations with the expectation of returns in a marketplace. 76) What is social capital? Answer: According to Nan Lin, social capital is investment in social relations with the expectation of returns in a marketplace. One can see social capital at work in one's personal life. They strengthen their social relationships when they help someone get a job, set a friend up on a date, or introduce a friend to someone famous. They weaken their social relationships by continually freeloading, declining requests for help, or failing to spend time with friends. In one's professional life, they are investing in their social capital when they attend a business function for the purpose of meeting people and reinforcing relationships. Similarly, one can use social media to increase their social capital by recommending or endorsing someone on LinkedIn, liking a picture on Facebook, retweeting a tweet, or commenting on an Instagram picture. 77) According to Nan Lin, how do people benefit from social capital? Answer: According to Nan Lin, people benefit from social capital in four ways: 1) Information 2) Influence 3) Social credentials 4) Personal reinforcement First, relationships in social networks can provide information about opportunities, alternatives, problems, and other factors important to business professionals. Second, social networks provide an opportunity to influence decision makers at one's employer or in other organizations that are critical to their success. Third, being linked to a network of highly regarded contacts is a form of social credential. One can bask in the glory of those with whom they are connected. Finally, being linked into social networks reinforces a professional's identity, image, and position in an organization or industry. 78) Web surfers cannot filter out advertising content. Answer: False 79) Conversion rate measures the frequency that someone who clicks on an ad makes a purchase, "likes" a site, or takes some other action desired by an advertiser. Answer: True 80) Why do advertisers like digital advertising? Answer: Advertisers like digital ads because unlike traditional media such as newspapers, users can respond directly to these ads by clicking on them. Run an ad in the print version of the Wall Street Journal, and one has no idea of who responds to that ad and how strongly, but place an ad for that same product in a newspaper's online version, and one will soon know the percentage of viewers who clicked that ad and what action they took next. The ability to track these statistics led to development of the pay-per-click revenue model, in which advertisers display ads to potential customers for free, and then get paid when a customer clicks on the ad. 81) A ___________ is a statement that delineates employees' rights and responsibilities in an organization. A) statement of purpose B) labor bill C) social media policy D) corporate datasheet Answer: C 82) Which of the following statements is true of social networking problems? A) Responses to problematic content are best reserved for instances where it has caused an organization to do something positive. B) Inappropriate contributions that contain obscene or otherwise inappropriate content should be ignored indefinitely. C) The product development team should not receive criticisms posted on a social networking site. D) If problematic content represents reasonable criticism of the organization's products, the best response is to delete it. Answer: A 83) Patronizing responses to comments from content contributors can generate a ___________. A) positive review B) sympathetic appeal C) rise in followers count D) strong backlash Answer: D 84) The first step that any organization should take to manage the risk of employee communication is to develop and publicize a social media policy. Answer: True 85) If a reasoned, non defensive response generates continued and unreasonable user-generated content from that same source, it is best for an organization to delete it. Answer: False 86) Explain the major sources of user-generated content problems. Answer: When a business participates in a social network or opens its site to a user-generated content (UGC), it opens itself to misguided people who post junk unrelated to the site's purpose. Crackpots may also use the network or UGC site as a way of expressing passionately held views about unrelated topics, such as UFOs, government cover-ups, fantastic conspiracy theories, and so forth. Because of the possibility of such content, organizations should regularly monitor the site and remove objectionable material immediately. Unfavorable reviews are another risk. Research indicates that customers are sophisticated enough to know that few, if any, products are perfect. Most customers want to know the disadvantages of a product before purchasing it so they can determine if those disadvantages are important for their application. Mutinous movements are an extension of bad reviews. 87) How should one respond to social networking problems? Answer: The first task in managing social networking risk is to know the sources of potential problems and to monitor sites for problematic content. Once such content is found, however, organizations must have a plan for creating an organization's response. Three possibilities are: 1. Leave it 2. Respond to it 3. Delete it If the problematic content represents reasonable criticism of the organization's products or services, the best response may be to leave it where it is. Such criticism indicates that the site is not just a shill for the organization, but contains legitimate user content. A second alternative is to respond to the problematic content. However, this alternative is dangerous. If the response could be construed in any way as patronizing or insulting to the content contributor, the response can enrage the community and generate a strong backlash. In most cases, responses are best reserved for when the problematic content has caused the organization to do something positive as a result. If a reasoned, non defensive response generates continued and unreasonable UGC from that same source, it is best for the organization to do nothing. Deleting content should be reserved for contributions that are inappropriate because they are contributed by crackpots, because they have nothing to do with the site, or because they contain obscene or otherwise inappropriate content. However, deleting legitimate negative comments can also result in a strong user backlash. 88) ___________ in the context of management means loss of control of employees. A) Transcendence B) Divergence C) Emergence D) Dependence Answer: C 89) Chief Digital Officer (CDO) is a position responsible for developing and managing innovative social media programs. Answer: True 90) In the context of customer relationship management (CRM), a vendor might lose control of the customer relationship. Answer: True 91) In the context of management, transcendence means loss of control of employees. Answer: False Chapter 9 Business Intelligence Systems 1) ___________ process operational and other data in organizations to analyze past performance and make predictions. A) Virtualization techniques B) Live migration techniques C) Business intelligence systems D) Windowing systems Answer: C 2) Which of the following statements is true of business intelligence (BI) systems? A) Business intelligence systems are primarily used for developing software systems and data mining applications. B) The four standard components of business intelligence systems are software, procedures, applications, and programs. C) The software component of a business intelligence system is called an intelligence database. D) Business intelligence systems analyze an organization's past performance to make predictions. Answer: D 3) The patterns, relationships, and trends identified by BI systems are called business intelligence. Answer: True 4) As information systems, BI systems have three standard components. Answer: False 5) The data that an organization purchases from data vendors can act as the source data for a business intelligence system. Answer: True 6) Project management is one of the few domains in which business intelligence is rarely used. Answer: False 7) Using BI for identifying changes in the purchasing patterns of customers is a labor-intensive process. Answer: False 8) Business intelligence enables police departments to better utilize their personnel through predictive policing. Answer: True 9) What are business intelligence systems? Answer: Business intelligence (BI) systems are information systems that process operational and other data to analyze past performance and to make predictions. The patterns, relationships, and trends identified by BI systems are called business intelligence. As information systems, BI systems have five standard components: hardware, software, data, procedures, and people. The software component of a BI system is called a BI application. 10) How does business intelligence help marketers identify changes in the purchasing patterns of customers? Answer: Retailers know that important life events cause customers to change what they buy and, for a short interval, to form new loyalties to new store brands. Before the advent of BI, stores would watch the local newspapers for graduation, marriage, and baby announcements and send ads in response, which is a slow, labor-intensive, and expensive process. However, by applying business intelligence techniques to their sales data, companies can identify the purchasing pattern for different products, and by observing this purchasing pattern, companies can send ads for related products to those customers. 11) What is predictive policing? Answer: Many police departments are facing severe budget constraints that force them to reduce on-duty police personnel and services. Given these budget cuts, police departments need to find better ways of utilizing their personnel. Predictive policing uses business intelligence to analyze data on past crimes, including location, date, time, day of week, type of crime, and related data, to predict where crimes are likely to occur. Police personnel are then stationed in the best locations for preventing those crimes. 12) ___________ is the process of obtaining, cleaning, organizing, relating, and cataloging source data. A) Data manipulation B) BI analysis C) Publish results D) Data acquisition Answer: D 13) Which of the following is a fundamental category of business intelligence (BI) analysis? A) data acquisition B) reporting C) push publishing D) pull publishing Answer: B 14) Which of the following activities in the business intelligence process involves delivering business intelligence to the knowledge workers who need it? A) data acquisition B) BI analysis C) publish results D) data mining Answer: C 15) ___________ is the process of delivering business intelligence to users without any request from the users. A) Push publishing B) Pull publishing C) Data acquisition D) Data mining Answer: A 16) ___________ requires users to request business intelligence results. A) Push publishing B) Pull publishing C) Data acquisition D) Data mining Answer: B 17) BI analysis is the process of obtaining, cleaning, organizing, relating, and cataloging source data. Answer: False 18) The three fundamental categories of BI analysis are reporting, data mining, and BigData. Answer: True 19) Push publishing requires a user to request BI results. Answer: False 20) What are the three primary activities in the business intelligence process? Answer: The three primary activities in the business intelligence process include: acquire data, perform analysis, and publish results. Data acquisition is the process of obtaining, cleaning, organizing, relating, and cataloging source data. Business intelligence analysis is the process of creating business intelligence and includes three fundamental categories: reporting, data mining, and BigData. Publish results is the process of delivering business intelligence to the knowledge workers who need it. 21) Differentiate between push publishing and pull publishing. Answer: Push publishing delivers business intelligence to users without any request from the users; the BI results are delivered according to a schedule or as a result of an event or particular data condition. Pull publishing requires the user to request BI results. 22) The use of an organization's operational data as the source data for a business intelligence system is not usually recommended because it ___________. A) is not possible to create reports based on operational data B) is not possible to perform business intelligence analyses on operational data C) requires considerable processing and can drastically reduce system performance D) considers only the external data and not the internal data regarding the organization's functions Answer: C 23) A ___________ is a facility for managing an organization's business intelligence data. A) datasheet B) dataspace C) data warehouse D) data table Answer: C 24) The source, format, assumptions and constraints, and other facts concerning certain data are called ___________. A) metadata B) data structures C) microdata D) network packets Answer: A 25) Problematic data are termed ___________. A) random data B) macro data C) vague data D) dirty data Answer: D 26) Which of the following problems is particularly common for data that have been gathered over time? A) wrong granularity B) lack of integration C) lack of consistency D) missing values Answer: C 27) ___________ refers to the level of detail represented by data. A) Abstraction B) Granularity C) Dimensionality D) Aggregation Answer: B 28) Which of the following statements is true of data with granularity? A) It can be too fine or too coarse and also have wrong granularity. B) If granularity is too coarse, data can be made finer by summing and combining. C) It is not possible to have a wrong granularity for a data. D) If granularity is too coarse, data can be separated into constituent parts using regression. Answer: A 29) The more attributes there are in a sample data, the easier it is to build a model that fits the sample data, but that is worthless as a predictor. Which of the following best explains this phenomenon? A) the free rider problem B) the curse of dimensionality C) the tragedy of the commons D) the zero-sum game Answer: B 30) A ___________ is a data collection, smaller than the data warehouse that addresses the needs of a particular department or functional area of a business. A) data mart B) data room C) datasheet D) dataspace Answer: A 31) A ___________ is designed to extract data from operational systems and other sources, clean the data, and store and catalog that data for processing by business intelligence tools. A) data mart B) data center C) data room D) data warehouse Answer: D 32) Users in a data mart obtain data that pertain to a particular business function from a ___________. A) data room B) data center C) datasheet D) data warehouse Answer: D 33) Which of the following statements is true of a data warehouse? A) A data warehouse is larger than a data mart. B) A data warehouse functions like a retail store in a supply chain. C) Users in a data warehouse obtain data pertaining to a business function from a data mart. D) Data analysts who work with a data warehouse are experts in a particular business function. Answer: A 34) A data warehouse is a facility for managing an organization's business intelligence data. Answer: True 35) External data purchased from outside resources are not included in data warehouses. Answer: False 36) Placing BI applications on operational servers can dramatically reduce system performance. Answer: True 37) Data inconsistencies can occur from the nature of a business activity. Answer: True 38) Data granularity refers to the level of detail represented by data. Answer: True 39) The granularity in clickstream data is too coarse. Answer: False 40) If the granularity of certain data is too coarse, the data can be separated into constituent parts using statistical techniques. Answer: False 41) The curse of dimensionality states that the more attributes there are, the more difficult it is to build a model that fits the sample data. Answer: False 42) Data marts are data collections that address the needs of a particular department or functional area of a business. Answer: True 43) Data marts are usually larger than data warehouses. Answer: False 44) Data analysts who work with data warehouses are experts at data management, data cleaning, data transformation, and data relationships. Answer: True 45) Users in a data mart obtain data that pertain to a particular business function from a data warehouse. Answer: True 46) An advantage of data warehouses is the low cost required to create, staff, and operate them. Answer: False 47) Explain the functions of a data warehouse. Answer: The functions of a data warehouse are to: 1. Obtain data 2. Cleanse data 3. Organize and relate data 4. Catalog data Programs read operational and other data and extract, clean, and prepare that data for business intelligence processing. The prepared data are stored in a data warehouse database using a data warehouse DBMS, which can be different from an organization's operational DBMS. Data warehouses include data that are purchased from outside sources. Metadata concerning the data–its source, its format, its assumptions and constraints, and other facts about the data–are kept in a data warehouse metadata database. The data warehouse DBMS extracts and provides data to BI applications. 48) What is data granularity? Answer: Data granularity refers to the level of detail represented by data. Granularity can be too fine or too coarse. In general, it is better to have too fine a granularity than too coarse. If the granularity is too fine, the data can be made coarser by summing and combining. If the granularity is too coarse, however, there is no way to separate the data into constituent parts. 49) What is clickstream data? Answer: Clickstream data is the data that is captured from customers' clicking behavior. Such data is very fine and includes everything a customer does at a Web site. Because the data is too fine, data analysts must throw away millions and millions of clicks if a study requires data that is coarser. 50) Explain the curse of dimensionality. Answer: The curse of dimensionality is associated with the problem of data having too many attributes. For example, if internal customer data is combined with customer data that has been purchased, there will be more than hundred different attributes to consider. It is hard to select only a few attributes from those available. The curse of dimensionality states that the more attributes there are, the easier it is to build a model that fits the sample data, but that is worthless as a predictor. 51) What are the functions of a data warehouse? Answer: A data warehouse takes data from data manufacturers (operational systems and other sources), cleans and processes the data, and locates the data on the shelves of the data warehouse. Data analysts who work with a data warehouse are experts at data management, data cleaning, data transformation, data relationships, and the like. However, they are not usually experts in a given business function. The data warehouse then distributes the data to data marts. 52) How is a data warehouse different from a data mart? Answer: A data warehouse can be compared to a distributor in a supply chain. The data warehouse takes data from the data manufacturers (operational systems and other sources), cleans and processes the data, and locates the data on the shelves of the data warehouse. The data analysts who work with a data warehouse are experts at data management, data cleaning, data transformation, data relationships, and the like. The data warehouse then distributes the data to data marts. A data mart is a data collection, smaller than the data warehouse, that addresses the needs of a particular department or functional area of the business. If a data warehouse is the distributor in a supply chain, then a data mart is like a retail store in a supply chain. Users in a data mart obtain data that pertain to a particular business function from a data warehouse. Such users do not have the data management expertise that data warehouse employees have, but they are knowledgeable analysts for a given business function. 53) ___________ is the process of sorting, grouping, summing, filtering, and formatting structured data. A) Push publishing B) Publish results C) Cloud computing D) Reporting analysis Answer: D 54) Which of the following refers to data in the form of rows and columns? A) granulated data B) structured data C) micro data D) coarse data Answer: B 55) The goal of ___________, a type of business intelligence analysis, is to create information about past performance. A) push publishing B) data mining C) reporting analyses D) Big Data Answer: C 56) ___________ are reports produced when something out of predefined bounds occurs. A) Exception reports B) Static reports C) Dynamic reports D) Subscription reports Answer: A 57) ___________ is the application of statistical techniques to find patterns and relationships among data for classification and prediction. A) Data encryption B) Data warehousing C) Data mining D) Data decryption Answer: C 58) ___________ techniques emerged from the combined discipline of statistics, mathematics, artificial intelligence, and machine-learning. A) Push publishing B) Pull publishing C) Data mining D) Exception reporting Answer: C 59) Which of the following statements is true of unsupervised data mining? A) Analysts apply unsupervised data mining techniques to estimate the parameters of a developed model. B) Analysts create hypotheses only after performing an analysis. C) Regression analysis is the most commonly used unsupervised data mining technique. D) Data miners develop models prior to performing an analysis. Answer: B 60) ___________ is an unsupervised data mining technique in which statistical techniques identify groups of entities that have similar characteristics. A) Cluster analysis B) Content indexing C) Regression analysis D) Cloud computing Answer: A 61) In the case of ___________, data miners develop models prior to conducting analyses and then apply statistical techniques to data to estimate parameters of the models. A) pull publishing techniques B) supervised data mining C) push publishing techniques D) unsupervised data mining Answer: B 62) Regression analysis is used in ___________. A) progress reporting B) bug reporting C) supervised data mining D) unsupervised data mining Answer: C 63) ___________ is used to measure the impact of a set of variables on another variable during data mining. A) Cluster analysis B) Context indexing C) Cloud computing D) Regression analysis Answer: D 64) Which of the following statements is true of Big Data? A) Big Data contains only structured data. B) Big Data has low velocity and is generated slowly. C) Big Data cannot store graphics, audio, and video files. D) Big Data refers to data sets that are at least a petabyte in size. Answer: D 65) In the ___________ phase, a Big Data collection is broken into pieces and hundreds or thousands of independent processors search these pieces for something of interest. A) crash B) break C) reduce D) map Answer: D 66) The results generated in the map phase are combined in the ___________ phase. A) pig B) control C) reduce D) construct Answer: C 67) ___________ is an open source program supported by the Apache Foundation that manages thousands of computers and that implements MapReduce. A) Hadoop B) Big Data C) Linux D) Apache Wave Answer: A 68) Which of the following statements is true of Hadoop? A) Hadoop is written in C++ and runs on Linux. B) Hadoop includes a query language called Big. C) Hadoop is an open source program that implements MapReduce. D) Technical skills are not required to run and use Hadoop. Answer: C 69) Reporting analysis is used primarily for classifying and predicting BI data. Answer: False 70) Structured data is data in the form of rows and columns. Answer: True 71) With unsupervised data mining, analysts do not create a model or hypothesis before running the analysis. Answer: True 72) Regression analysis is used to identify groups of entities that have similar characteristics. Answer: False 73) Cluster analysis measures the impact of a set of variables on another variable. Answer: False 74) Big Data refers to data that have great variety and may have structured data as well as different formats. Answer: True 75) Big Data has low velocity and is generated slowly. Answer: False 76) MapReduce is a technique for harnessing the power of thousands of computers working in parallel. Answer: True 77) Big Data has volume, velocity, and variation characteristics that far exceed those of traditional reporting and data mining. Answer: True 78) What is data mining? Answer: Data mining is the application of statistical techniques to find patterns and relationships among data for classification and prediction. Data mining techniques emerged from the combined discipline of statistics, mathematics, artificial intelligence, and machine-learning. Most data mining techniques are sophisticated, and many are difficult to use well. Such techniques are valuable to organizations, and some business professionals, especially those in finance and marketing, have become expert in their use. Data mining techniques fall into two broad categories: unsupervised and supervised. 79) What is unsupervised data mining? Answer: With unsupervised data mining, analysts do not create a model or hypothesis before running the analysis. Instead, they apply a data mining technique to the data and observe the results. With this method, analysts create hypotheses after the analysis to explain the patterns found. These findings are obtained solely by data analysis. One common unsupervised technique is cluster analysis. With it, statistical techniques identify groups of entities that have similar characteristics. A common use for cluster analysis is to find groups of similar customers from customer order and demographic data. 80) Explain supervised data mining. Answer: With supervised data mining, data miners develop a model prior to the analysis and apply statistical techniques to data to estimate parameters of the model. For example, suppose marketing experts in a communications company believe that cell phone usage on weekends is determined by the age of the customer and the number of months the customer has had the cell phone account. A data mining analyst would then run an analysis that estimates the impact of customer and account age. One such analysis, which measures the impact of a set of variables on another variable, is called a regression analysis. 81) What is Big Data? Answer: Big Data is a term used to describe data collections that are characterized by huge volume, rapid velocity, and great variety. Considering volume, Big Data refers to data sets that are at least a petabyte in size, and usually larger. Additionally, Big Data has high velocity, meaning that it is generated rapidly. Big Data is varied. Big Data may have structured data, but it also may have free-form text, dozens of different formats of Web server and database log files, streams of data about user responses to page content, and possibly graphics, audio, and video files. Big Data analysis can involve both reporting and data mining techniques. The chief difference is, however, that Big Data has volume, velocity, and variation characteristics that far exceed those of traditional reporting and data mining. 82) ___________ are business intelligence documents that are fixed at the time of creation and do not change. A) Critical reports B) Dynamic reports C) Static reports D) Exception reports Answer: C 83) ___________ reports are business intelligence documents that are updated at the time they are requested. A) Subscription B) Third-party cookie C) Static D) Dynamic Answer: D 84) ___________ are user requests for particular business intelligence results on a particular schedule or in response to particular events. A) Subscriptions B) Third-party cookies C) Static reports D) Dynamic reports Answer: A 85) Which of the following statements is true of business intelligence (BI) publishing alternatives? A) The skills required to publish static content are extremely high. B) Publishing dynamic BI is more difficult than publishing static content. C) For static content, the skill required to create a publishing application is high. D) For Web servers, push options are manual. Answer: B 86) The ___________ of business intelligence servers maintains metadata about the authorized allocation of business intelligence results to users. A) exception report B) dynamic report C) delivery function D) management function Answer: D 87) Static reports are business intelligence documents that are updated at the time they are requested. Answer: False 88) A printed sales analysis is an example of a dynamic report. Answer: False 89) Push options are manual when emails or collaboration tools are used for BI publishing. Answer: True 90) For dynamic content, the skills required to create a publishing application are low. Answer: False 91) The management function of BI servers maintains metadata about the authorized allocation of BI results to users. Answer: True 92) Differentiate between static reports and dynamic reports. Answer: Static reports are business intelligence documents that are fixed at the time of creation and do not change. A printed sales analysis is an example of a static report. In the business intelligence context, most static reports are published as PDF documents. Dynamic reports are business intelligence documents that are updated at the time they are requested. A sales report that is current as of the time a user accessed it on a Web server is a dynamic report. In almost all cases, publishing a dynamic report requires the business intelligence application to access a database or other data source at the time the report is delivered to the user. Test Bank for Experiencing MIS David Kroenke, Randall Boyle 9780133939132, 9781292107707, 9780134773636, 9780136509868, 9780136078685, 9781486019281, 9780132157940
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