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This Document Contains Chapters 18 to 20 BPI018 Business Intelligence Multiple Choice Questions 1. What is a technique used to divide an information set into mutually exclusive groups such that the members of each group are as close together as possible to one another and the different groups are as far apart as possible? A. Association detection B. Market basket analysis C. Cluster analysis D. Intelligent agent Answer: C. Cluster analysis Rationale: This is the definition of cluster analysis. 2. What reveals the degree to which variables are related and the nature and frequency of these relationships in the information? A. Association detection B. Market basket analysis C. Cluster analysis D. Intelligent agent Answer: A. Association detection Rationale: This is the definition of association detection. 3. Which of the following represents market basket analysis? A. Analyzes website information B. Analyzes checkout scanner information C. Detects customers' buying behavior D. All of the above Answer: D. All of the above Rationale: This is the definition of market basket analysis. 4. What is time-series information? A. Analyzes checkout scanner information B. Time-stamped information collected at a particular frequency C. Reveals the degree to which variables are related D. All of the above Answer: B. Time-stamped information collected at a particular frequency Rationale: This is the definition of time-series information. 5. Which of the following is a form of statistical analysis? A. Forecasting B. Market basket analysis C. Cluster analysis D. All of the above Answer: A. Forecasting Rationale: Forecasting is a form of statistical analysis. 6. What are forecasts? A. Predictions made on the basis of time-series information B. Time-stamped information collected at a particular frequency C. Reveals the degree to which variables are related D. All of the above Answer: A. Predictions made on the basis of time-series information Rationale: This is the definition of forecast. 7. Which company uses statistical analysis to automatically detect potential issues, provide quick and easy access to reports, and perform multidimensional analysis on all warranty information? A. Burlington Northern and Santa Fe Railroad B. BostonCoach C. Verizon Communications D. Whirlpool Answer: D. Whirlpool Rationale: Maytag uses statistical analysis tools to detect product issues. 8. Which of the following is not one of the parallels between challenges in business and those of war? A. Collecting information B. Using tactical business intelligence C. Discerning patterns and meaning in the information D. Responding to the resultant information Answer: B. Using tactical business intelligence Rationale: Using tactical business intelligence is not one of the parallels between challenges in business and those of war. 9. What is the primary problem most organizations face today concerning information? A. Business intelligence rich, information rich B. Data poor, information rich C. Business intelligence poor, information rich D. Data rich, information poor Answer: D. Data rich, information poor Rationale: Data rich, information poor is the primary problem most organizations face today concerning information. 10. What types of BI decisions include predicting sales, determining correct inventory levels and distribution schedules among outlets, and loss prevention? A. Retail and sales BI decisions B. Banking BI decisions C. Operations management BI decisions D. Insurance BI decisions Answer: A. Retail and sales BI decisions Rationale: These are all types of retail and sales BI decisions. 11. What types of BI decisions include forecasting levels of bad loans and fraudulent credit card use, credit card spending by new customers, and which kinds of customers will best respond to new loan offers? A. Retail and sales BI decisions B. Banking BI decisions C. Operations management BI decisions D. Insurance BI decisions Answer: B. Banking BI decisions Rationale: These are all types of banking BI decisions. 12. What types of BI decisions include predicting machinery failures and finding key factors that control optimization of manufacturing capacity? A. Retail and sales BI decisions B. Banking BI decisions C. Operations management BI decisions D. Insurance BI decisions Answer: C. Operations management BI decisions Rationale: These are all types of operations management BI decisions. 13. What types of BI decisions include forecasting claim amounts and medical coverage costs, classifying the most important elements that affect medical coverage; predicting which customers will buy new insurance policies? A. Retail and sales BI decisions B. Banking BI decisions C. Operations management BI decisions D. Insurance BI decisions Answer: D. Insurance BI decisions Rationale: These are all types of insurance BI decisions. 14. Which of the following can use BI to make informed decisions? A. Law enforcement industry B. Airline industry C. Broadcasting industry D. All of the above Answer: D. All of the above Rationale: All of the above can use BI to make informed decisions. 15. Which of the following is a result of implementing business intelligence systems and tools allowing business users to receive data for analysis? A. Reliable B. Understandable C. Easily Manipulated D. All of the above Answer: D. All of the above Rationale: All of the above are the results of implementing BI systems and tools. 16. Which of the following is the result of BI that implies that the data have been documented as the certified or approved data for the enterprise? A. Reliable B. Consistent C. Understandable D. Easily manipulated Answer: A. Reliable Rationale: Reliable is the result of BI that implies that the data have been documented as the certified or approved data for the enterprise. 17. Which of the following is the result of BI that the processes that deliver the data to the business community are well documents and there are no surprises such as missing or inaccurate data? A. Reliable B. Consistent C. Understandable D. Easily manipulated Answer: B. Consistent Rationale: Consistent is the result of BI that the processes that deliver the data to the business community are well documents and there are no surprises such as missing or inaccurate data. 18. Which of the following is the result of BI that the data have been defined in business terms and calculations and algorithms are easily accessed for comprehension? A. Reliable B. Consistent C. Understandable D. Easily manipulated Answer: C. Understandable Rationale: Understandable is the result of BI that the data have been defined in business terms and calculations and algorithms are easily accessed for comprehension. 19. Which of the following is the result of BI that it is no longer required to have a PhD in statistics to get sophisticated analytics delivered to users' fingertips? A. Reliable B. Consistent C. Understandable D. Easily manipulated Answer: D. Easily manipulated Rationale: Easily manipulated is the result of BI that it is no longer required to have a PhD in statistics to get sophisticated analytics delivered to users' fingertips. 20. What do organizations using BI ask to find the root causes to problems and provide solutions? A. What B. When C. Where D. Why Answer: D. Why Rationale: Organizations using BI can find the root causes to problems and provide solutions simply by asking "Why?". 21. Which type of BI manages daily operations and integrates BI with operational systems? A. Operational BI B. Tactical BI C. Strategic BI D. All of the above Answer: A. Operational BI Rationale: This is operational BI. 22. Which type of BI conducts short-term analysis to achieve strategic goals? A. Operational BI B. Tactical BI C. Strategic BI D. All of the above Answer: B. Tactical BI Rationale: This is tactical BI. 23. Which type of BI achieves long-term organizational goals? A. Operational BI B. Tactical BI C. Strategic BI D. All of the above Answer: C. Strategic BI Rationale: This is strategic BI. 24. Which form of BI has managers and analysts as its primary users? A. Operational BI B. Tactical BI C. Strategic BI D. All of the above Answer: A. Operational BI Rationale: Operational BI has managers and analysts as its primary users. 25. Which form of BI uses the time frame of days to weeks to months? A. Operational BI B. Tactical BI C. Strategic BI D. All of the above Answer: B. Tactical BI Rationale: Tactical BI has the time frame of days to weeks to months. 26. Which form of BI uses real-time metrics for its data? A. Operational BI B. Tactical BI C. Strategic BI D. All of the above Answer: A. Operational BI Rationale: Operational BI uses real-time metrics for its data. 27. Which form of BI uses months to years as its time frame? A. Operational BI B. Tactical BI C. Strategic BI D. All of the above Answer: C. Strategic BI Rationale: Strategic BI uses the time frame of months to years to make decisions. 28. What is data latency? A. The time duration to make data ready for analysis and loading the data into the database B. The time from which data are made available to the time when analysis is complete C. The time it takes a human to comprehend the analytic results and determine an appropriate action D. None of the above Answer: A. The time duration to make data ready for analysis and loading the data into the database Rationale: This is the definition of data latency. 29. What is analysis latency? A. The time duration to make data ready for analysis and loading the data into the database B. The time from which data are made available to the time when analysis is complete C. The time it takes a human to comprehend the analytic results and determine an appropriate action D. None of the above Answer: B. The time from which data are made available to the time when analysis is complete Rationale: This is the definition of analysis latency. 30. What is decision latency? A. The time duration to make data ready for analysis and loading the data into the database B. The time from which data are made available to the time when analysis is complete C. The time it takes a human to comprehend the analytic results and determine an appropriate action D. None of the above Answer: C. The time it takes a human to comprehend the analytic results and determine an appropriate action Rationale: This is the definition of decision latency. 31. Which of the following is a business benefit of BI? A. Single point of access to information for managers only B. BI available to financial organizational departments only C. Up-to-the minute information for everyone D. All of the above Answer: C. Up-to-the minute information for everyone Rationale: Up-to-the minute information for everyone is a business benefit of BI. 32. Which of the following is one of the four main categories of BI benefits? A. Quantifiable benefits B. Predictable benefits C. Tangible benefits D. All of the above Answer: A. Quantifiable benefits Rationale: Unpredictable benefits and intangible benefits are the two other categories of BI benefits. 33. Which type of BI benefits includes working time saved in producing reports and selling information to suppliers? A. Quantifiable benefits B. Indirectly quantifiable benefits C. Unpredictable benefits D. Intangible benefits Answer: A. Quantifiable benefits Rationale: Working time saved in producing reports and selling information to suppliers are types of quantifiable BI benefits. 34. Which type of BI benefits are the results of discoveries made by creative users? A. Quantifiable benefits B. Indirectly quantifiable benefits C. Unpredictable benefits D. Intangible benefits Answer: C. Unpredictable benefits Rationale: Discoveries made by creative users are unpredictable BI benefits. 35. Which type of BI benefits includes improved communication throughout the enterprise, improved job satisfaction of empowered users, and improved knowledge sharing? A. Quantifiable benefits B. Indirectly quantifiable benefits C. Unpredictable benefits D. Intangible benefits Answer: D. Intangible benefits Rationale: Improved communication throughout the enterprise, improved job satisfaction of empowered users, and improved knowledge sharing are all types of intangible BI benefits True/False Questions 36. Improving the quality of business decisions has a direct impact on costs and revenue. Answer: True Rationale: Improving the quality of business decisions has a direct impact on costs and revenue. 37. Quantifiable benefits, indirectly quantifiable benefits, unpredictable benefits, and intangible benefits are the four primary categories of BI benefits. Answer: True Rationale: Quantifiable benefits, indirectly quantifiable benefits, unpredictable benefits, and intangible benefits are the four primary categories of BI benefits. 38. Data latency is the time from which data are made available to the time when analysis is complete. Answer: False Rationale: Analysis latency is the time from which data are made available to the time when analysis is complete. 39. The three forms of BI include operational, tactical, and value-added. Answer: False Rationale: The three forms of BI include operational, tactical, and strategic. 40. Data is a strategic asset for a business and if the asset is not used the business is wasting resources. Answer: True Rationale: Data is a strategic asset for a business and if the asset is not used the business is wasting resources. Fill in the Blank Questions 41. Market __________ analysis analyzes such items as websites and checkout scanner information to detect customers' buying behavior and predicts future behavior by identifying affinities among customers' choices of products and services. Answer: Basket 42. __________ analysis performs such functions as information correlations, distributions, calculations, and variance analysis. Answer: Statistical 43. ___________ are predictions made on the basis of time-series information. Answer: Forecasts Essay Questions 44. Describe three types of data-mining analysis capabilities. Answer: (1) Cluster analysis is a technique used to divide an information set into mutually exclusive groups such that the members of each group are as close together as possible to one another and the different groups are as far apart as possible. (2) Association detection reveals the degree to which variables are related and the nature and frequency of these relationships in the information. (3) Statistical analysis performs such functions as information correlations, distributions, calculations, and variance analysis. 45. Explain the problem associated with business intelligence. Describe the solution to this business problem. Answer: The issue most organizations are facing today is that it is next to impossible to understand their own strengths and weaknesses, let alone their enemies, because the enormous amount of organizational data is inaccessible to all but the IT department. Please note that organization data includes far more than simple fields in a database, it also includes voice mails, customer phone calls, text messages, video clips, along with the numerous new forms of data organizations are storing. The Problem: Data Rich: Information Poor. The Solution: Business Intelligence. In every organization, employees make hundreds of decisions each day. They can range from whether to give customer X a discount, whether to start producing part Y, whether to launch another direct mail campaign, whether to order additional materials, etc. These decisions are sometimes based on facts, but mostly based on experience, accumulated knowledge, and rule of thumb. That poses a problem because experience, knowledge, and rule of thumb can take years to develop. Some employees never acquire them. Those who do may still fall prey to decision traps or biases in judgment. Improving the quality of business decisions has a direct impact on costs and revenue. For instance, giving a customer a discount may or may not help the bottom line, depending on the profitability of the client over the duration of the relationship. To improve the quality of business decisions, managers can provide existing staff with BI systems and tools that can assist them in making better, more informed decisions. The result creates an agile intelligent enterprise. 46. Describe the three common forms of data-mining analysis? Answer: The more common forms of data-mining analysis capabilities include Cluster analysis a technique used to divide an information set into mutually exclusive groups such that the members of each group are as close together as possible to one another and the different groups are as far apart as possible. Cluster analysis is frequently used to segment customer information for customer relationship management systems to help organizations identify customers with similar behavioral traits, such as clusters of best customers or one-time customers. Association detection reveals the degree to which variables are related and the nature and frequency of these relationships in the information. Maytag's warranty analysis tool, for instance, uses statistical analysis to automatically detect potential issues, provide quick and easy access to reports, and perform multidimensional analysis on all warranty information. This association detection data-mining tool enables Maytag's managers to take proactive measures to control product defects even before most of its customers are aware of the defect. The tool also allows Maytag personnel to devote more time to value-added tasks such as ensuring high quality on all products rather than waiting for or manually analyzing monthly reports. Statistical analysis performs such functions as information correlations, distributions, calculations, and variance analysis, just to name a few. Data-mining tools offer knowledge workers a wide range of powerful statistical capabilities so they can quickly build a variety of statistical models, examine the models' assumptions and validity, and compare and contrast the various models to determine the best one for a particular business issue. 47. Explain the organization-wide benefits of BI. Answer: Richard Hackathorn of Bolder Technologies developed an interesting graph to demonstrate the value of operational BI. Figure B18.5 shows the three latencies that impact the speed of decision making. These are data, analysis, and decision latencies. Data latency is the time duration to make data ready for analysis, i.e., the time for extracting, transforming, and cleansing the data, and loading it into the database. All this can take time depending on the state of the operational data to begin with. Analysis latency is the time from which data is made available to the time when analysis is complete. Its length depends on the time it takes a business to do analysis. Usually, we think of this as the time it takes a human to do the analysis, but this can be decreased by the use of automated analytics that have thresholds. When the thresholds are exceeded, alerts or alarms can be issued to appropriate personnel, or they can cause exception processes to be initiated with no human intervention needed. Decision latency is the time it takes a human to comprehend the analytic result and determine an appropriate action. This form of latency is very difficult to reduce. The ability to remove the decision making process from the human and automate it will greatly reduce the overall decision latency. Many forward thinking companies are doing just that. For example, rather than send a high value customer a letter informing them of a bounced check (which takes days to get to the customer), an automated system can simply send them an immediate email or voice message informing them of the problem. 48. Describe the four categories of BI business benefits. Answer: A practical way of breaking down these numerous benefits is to separate them into four main categories: Quantifiable benefits: Quantifiable benefits include working time saved in producing reports, selling information to suppliers, etc. Indirectly quantifiable benefits: Indirectly quantifiable benefits can be evaluated through indirect evidence—improved customer service means new business from the same customer, and differentiated service brings new customers. Unpredictable benefits: Unpredictable benefits are the result of discoveries made by creative users and a few Intangible benefits: Intangible benefits include improved communication throughout the enterprise, improved job satisfaction of empowered users, and improved knowledge sharing. BPI019 Global Information Systems Multiple Choice Questions 1. What are the three primary challenges facing 21st century global businesses? A. Cultural, environmental, developmental B. Cultural, political, geoeconomic C. Political, environmental, compliance D. Political, cultural, architecture Answer: B. Cultural, political, geoeconomic Rationale: Cultural, political, and geoeconomic are the challenges facing 21st century global business. 2. What is the definition of geoeconomic? A. Geopolitical and environmental business challenges B. Geopolitical and economic business challenges C. Geographic and environmental business challenges D. Geographic and economic business challenges Answer: D. Geographic and economic business challenges Rationale: Geographic and economic business challenges are included in the definition of geoeconomic. 3. Which of the following is not a cultural business challenge? A. Differences in social attitudes B. Differences in political philosophies C. Differences in architectures D. Differences in customs Answer: C. Differences in architectures Rationale: Differences in architectures is not part of a cultural business challenge. 4. Which company created several different websites to respond to sensitive cultural differences? A. PIPEDA B. Pfizer C. McDonalds D. All of the above Answer: C. McDonalds Rationale: McDonald's created several different websites to try to reach different cultural segments. 5. Which of the following is a question a company should ask when creating a global website? A. Will the site require new navigational logic to accommodate cultural preferences? B. Will content be translated? C. Which country will the server be located in to support local user needs? D. All of the above Answer: D. All of the above Rationale: All of the above are questions companies should ask when creating global websites. 6. Which of the following industries has technology changed the way business is performed? A. Travel B. Education C. Training D. All of the above Answer: D. All of the above Rationale: All of the above have been transformed by technology according to the figure Examples of How Technology is Changing Business. 7. Which of the following is not a political business challenge? A. Differences in social attitudes B. Rules surrounding data transfer across national boundaries C. Regulations surrounding data transfer across national boundaries D. None of the above Answer: A. Differences in social attitudes Rationale: Differences in social attitudes is a cultural business challenge, not a political business challenge. 8. What is the name of the highly publicized survey administered by the Institute for Citizen-Centered Services and the Institute for Public Administration in Canada? A. Security First B. IPCA C. Citizens First D. ICCS Answer: C. Citizens First Rationale: Citizens First is the name of the publicized survey administered by the Institute for Citizen-Centered Services and the Institute for Public Administration in Canada. 9. Which of the following is the key result from the highly publicized survey administered by the Institute for Citizen-Centered Services and the Institute for Public Administration in Canada? A. Key drivers that directly impact online transactions is ease of finding information B. Key drivers that directly impact online transactions are site navigation and visual appeal C. Key drivers that directly impact online transactions are security and privacy D. Key drivers that directly impact online transactions are access and sharing Answer: C. Key drivers that directly impact online transactions are security and privacy Rationale: Key drivers that directly impact online transactions are security and privacy; the other factors help promote satisfaction but are not key. 10. What refers to the effects of geography on the economic realities of international business activities? A. Geopolitical B. Geoeconomic C. Geoenvironmental D. All of the above Answer: B. Geoeconomic Rationale: This is the definition of geoeconomic. 11. Which of the following is not one of the issues with global business? A. Flying IT specialists into remote sites is costly B. Sheer physical distances covering the globe make it difficult to operate local businesses C. Communicating in real-time across the globe's 24 time zones is challenging D. Finding quality telecommunication services in every country is difficult Answer: B. Sheer physical distances covering the globe make it difficult to operate local businesses Rationale: Sheer physical distances covering the globe make it difficult to operate multinational businesses, not local businesses. 12. What are the four global IT business management areas critical to running multinational companies? A. Business strategies, enterprise architectures, information issues, systems development B. Business strategies, information architectures, economic issues, telecommunication issues C. Business politics, enterprise architectures, telecommunication issues, systems development D. Business economics, enterprise architectures, information issues, telecommunication issues Answer: A. Business strategies, enterprise architectures, information issues, systems development Rationale: Business strategies, enterprise architectures, information issues, systems development are the four global IT business management areas critical to running multinational companies. 13. What are the four global IT business drivers that should be included in all global IT business strategies? A. Global customers, global products, global pricing, global supply B. Global partners, global pricing, global operations, global resources C. Global suppliers, global pricing, global operations, global collaboration D. Global customers, global products, global operations and resources, global collaboration Answer: D. Global customers, global products, global operations and resources, global collaboration Rationale: Global customers, global products, global operations and resources, global collaboration are the four global IT business drivers that should be included in all global IT business. 14. What are the factors included in the global operations and resources category of global IT business drivers? A. Common equipment, facilities, assembly processes, and people are shared by a global company and IT can track shared resources B. The knowledge and expertise of colleagues in a global company can only be accessed, shared, and organized by global IT systems C. Customers who travel anywhere or companies with global operations and global IT systems help provide fast, convenient, homogeneous service D. Products are the same worldwide and global IT can help manage worldwide marketing, sales, and quality control Answer: A. Common equipment, facilities, assembly processes, and people are shared by a global company and IT can track shared resources Rationale: These are the common factors included in global operations and resources in global IT business drivers. 15. What are the factors included in the global customer's category of global IT business drivers? A. Common equipment, facilities, assembly processes, and people are shared by a global company and IT can track shared resources B. The knowledge and expertise of colleagues in a global company can only be accessed, shared, and organized by global IT systems C. Customers who travel anywhere or companies with global operations and global IT systems help provide fast, convenient, homogeneous service D. Products are the same worldwide and global IT can help manage worldwide marketing, sales, and quality control Answer: C. Customers who travel anywhere or companies with global operations and global IT systems help provide fast, convenient, homogeneous service Rationale: These are the common factors included in global customers in global IT business drivers. 16. What are the factors included in the global products category of global IT business drivers? A. Common equipment, facilities, assembly processes, and people are shared by a global company and IT can track shared resources B. The knowledge and expertise of colleagues in a global company can only be accessed, shared, and organized by global IT systems C. Customers who travel anywhere or companies with global operations and global IT systems help provide fast, convenient, homogeneous service D. Products are the same worldwide and global IT can help manage worldwide marketing, sales, and quality control Answer: D. Products are the same worldwide and global IT can help manage worldwide marketing, sales, and quality control Rationale: These are the common factors included in global products in global IT business drivers. 17. What are the factors included in the global collaboration category of global IT business drivers? A. Common equipment, facilities, assembly processes, and people are shared by a global company and IT can track shared resources B. The knowledge and expertise of colleagues in a global company can only be accessed, shared, and organized by global IT systems C. Customers who travel anywhere or companies with global operations and global IT systems help provide fast, convenient, homogeneous service D. Products are the same worldwide and global IT can help manage worldwide marketing, sales, and quality control Answer: B. The knowledge and expertise of colleagues in a global company can only be accessed, shared, and organized by global IT systems Rationale: These are the common factors included in global collaboration in global IT business drivers. 18. What is a method or system of government for management or control? A. Geoeconomic B. Governance C. Compliance D. ISACA Answer: B. Governance Rationale: This is the definition of governance. 19. What is the act of conforming, acquiescing, or yielding? A. Geoeconomic B. Governance C. Compliance D. ISACA Answer: C. Compliance Rationale: This is the definition of compliance. 20. What is the key driver for governance and compliance? A. Financial regulations B. Technological regulation C. Pressure from shareholders and customers D. All of the above Answer: D. All of the above Rationale: All of the above are key drivers for governance and compliance. 21. Which of the following describes the benefits of IT governance? A. Places structure around how organizations align IT strategy with business strategy B. Ensures companies stay on track to achieve their strategies and goals C. Implementing good ways to measure IT's performance D. All of the above Answer: D. All of the above Rationale: All of the above describe the benefits of IT governance. 22. What key questions should IT governance answer? A. How the finance department is functioning overall B. What key metrics management requires C. What return the business is getting from its personnel investment D. All of the above Answer: B. What key metrics management requires Rationale: A should state how the IT department is functioning overall, and C should state what return the business is getting from its IT investment. 23. Which of the following is not one of the five focus areas from the IT Governance Institute? A. Strategic alignment B. Risk management C. Performance measures D. Product delivery Answer: D. Product delivery Rationale: Value delivery is the IT governance area, not product delivery. 24. Which of the following represents the five focus areas from the IT Governance Institute? A. Strategic alignment, IT management, performance management, service delivery, product delivery B. Resource alignment, resource management, resource management, supply management, value delivery C. Strategic alignment, risk management, performance measures, resource management, value delivery D. IT alignment, risk strategy, performance architecture, service delivery, value delivery Answer: C. Strategic alignment, risk management, performance measures, resource management, value delivery Rationale: Strategic alignment, risk management, performance measures, resource management, value delivery are the five focus areas from the IT Governance Institute. 25. What IT governance focus area ensures the IT department delivers the promised benefits for every project or investment? A. Strategic alignment B. Risk management C. Resource management D. Value delivery Answer: D. Value delivery Rationale: Value delivery ensures the IT department delivers the promised benefits for every project or investment. 26. What IT governance focus area puts structure around measuring business performance, such as a balanced scorecard, which uses both qualitative and quantitative measures? A. Strategic alignment B. Performance measures C. Resource management D. Value delivery Answer: B. Performance measures Rationale: Performance measures puts structure around measuring business performance, such as a balanced scorecard, which uses both qualitative and quantitative measures. 27. What is a set of guidelines and supporting tools for IT governance that is accepted worldwide and generally used by auditors and companies as a way to integrate technology to implement controls and meet specific business objectives? A. CoBIT Information Systems Audit and Control Association B. Information Technology Infrastructure Library C. Committee of Sponsoring Organizations D. Capability Maturity Model Integration Method Answer: A. CoBIT Information Systems Audit and Control Association Rationale: CoBIT Information Systems Audit and Control Association is a set of guidelines and supporting tools for IT governance that is accepted worldwide and generally used by auditors and companies as a way to integrate technology to implement controls and meet specific business objectives. 28. What is a framework provided by the government of the United Kingdom and offers eight sets of management procedures? A. CoBIT Information Systems Audit and Control Association B. Information Technology Infrastructure Library C. Committee of Sponsoring Organizations D. Capability Maturity Model Integration Method Answer: B. Information Technology Infrastructure Library Rationale: ITIL is a framework provided by the government of the United Kingdom and offers eight sets of management procedures. 29. What is key for evaluating internal controls such as human resources, logistics, information technology, risk, legal, marketing and sales, operations, financial functions, procurement, and reporting? A. CoBIT Information Systems Audit and Control Association B. Information Technology Infrastructure Library C. Committee of Sponsoring Organizations D. Capability Maturity Model Integration Method Answer: C. Committee of Sponsoring Organizations Rationale: COSO is key for evaluating internal controls such as human resources, logistics, information technology, risk, legal, marketing and sales, operations, financial functions, procurement, and reporting. 30. What is a process improvement approach that contains 22 process areas created by a group from government, industry, and Carnegie Mellon's Software Engineering Institute? A. CoBIT Information Systems Audit and Control Association B. Information Technology Infrastructure Library C. Committee of Sponsoring Organizations D. Capability Maturity Model Integration Method Answer: D. Capability Maturity Model Integration Method Rationale: CMMI is a process improvement approach that contains 22 process areas created by a group from government, industry, and Carnegie Mellon's Software Engineering Institute. 31. What is an enterprise architecture? A. A process improvement approach that contains 22 process areas created by a group from government, industry, and Carnegie Mellon's Software Engineering Institute. B. Key for evaluating internal controls such as human resources, logistics, information technology, risk, legal, marketing and sales, operations, financial functions, procurement, and reporting. C. Includes the plans for how an organization will build, deploy, use, and share its data, processes, and IT assets. D. None of the above. Answer: C. Includes the plans for how an organization will build, deploy, use, and share its data, processes, and IT assets. Rationale: This is the definition of enterprise architecture. 32. Which of the following is one of the fundamental issues surrounding the struggle between Internet censorship and openness? A. Controlling the conduits B. Filtering the flows C. Punishing the purveyors D. All of the above Answer: D. All of the above Rationale: All of the above are the fundamental issues surrounding the struggle between Internet censorship and openness. 33. Which of the following countries is Internet access banned or subject to tight limitation through government-controlled ISPs? A. Burma B. Libya C. Syria D. All of the above Answer: D. All of the above Rationale: All of the above ban or limit Internet access. 34. What clearly dominates as the primary problem hindering international telecommunication issues as reported by IT executives at 300 Fortune 500 multinational companies? A. Economic issues dominate B. Political issues dominate C. Technology issues dominate D. All of the above Answer: B. Political issues dominate Rationale: Political issues dominate the listing over technology issues, clearly emphasizing their importance in the management of global enterprise architectures. 35. Managing global enterprise architectures is a key global IT challenge for the 21st century. What is included in the term global enterprise architectures? A. Internet, intranet, economics, and politics B. Internet, intranet, extranet, and other telecommunication networks C. Internet, extranet, regulatory, and compliance D. All of the above Answer: B. Internet, intranet, extranet, and other telecommunication networks Rationale: Internet, intranet, extranet, and other telecommunication networks are included in global enterprise architectures. 36. Which company had an employee's spouse load file-sharing software onto a company laptop creating a security hole that appears to have compromised the names and Social Security numbers 17,000 current and former employees? A. McDonalds B. Pfizer C. CloudNine Communications D. Apple Answer: B. Pfizer Rationale: Pfizer had an employee's spouse load file-sharing software onto a company laptop. 37. Which company began a pilot project that gives employees about $1,000 to spend on productivity-enhancing tools in addition to standard issue equipment? A. CloudNine Communications B. BP C. McDonalds D. All of the above Answer: B. BP Rationale: BP began a pilot project that gives employees about $1,000 to spend on productivity-enhancing tools in addition to standard issue equipment. 38. What is deperimeterization? A. Occurs when an organization moves employees outside its network B. Occurs when an organization moves partners and suppliers outside its firewall C. Occurs when an organization moves partners and suppliers outside its network D. Occurs when an organization moves employees outside its firewall Answer: D. Occurs when an organization moves employees outside its firewall Rationale: This is the definition of deperimeterization. 39. What are transborder data flows? A. Occurs when an organization moves partners and suppliers outside its firewall B. Occurs when business data flows across international boundaries over the telecommunications networks for global information systems C. Occurs when an organization moves employees outside its firewall D. Occurs when business data flows through separate company business systems over the telecommunications networks for internal information processing Answer: B. Occurs when business data flows across international boundaries over the telecommunications networks for global information systems Rationale: This is the definition of transborder data flows. 40. What concerns the legal right or general expectation of individuals, groups, or institutions to determine for themselves when and to what extent information about them is communicated to others? A. Transborder data flows B. Deperimeterization C. Information privacy D. Information security Answer: C. Information privacy Rationale: Information privacy the legal right or general expectation of individuals, groups, or institutions to determine for themselves when and to what extend information about them is communicated to others. 41. Which of the following is a US-EU data privacy requirement? A. Access for consumers to their information B. Adequate security, data integrity, and enforcement provisions C. Notice of purpose and use of data collected D. All of the above Answer: D. All of the above Rationale: All of the above are part of the US-EU data privacy requirement. 42. Which of the following is one of the rights granted to European Union members under the directive on the protection of personal data grants? A. The right to know the course of personal data processing and the purposes of such processing B. The right to access and/or rectify inaccuracies in one's own personal data C. The right to disallow the use of personal data D. All of the above Answer: D. All of the above Rationale: All of the above are the rights granted to EU members. 43. An organization processing personal data of a person living in the EU must comply with which of the following principles? A. Processed for extended purposes B. Adequate, relevant, and not excessive C. Processed without the accordance of data subject's rights D. All of the above Answer: B. Adequate, relevant, and not excessive Rationale: Adequate, relevant, and not excessive is one of the compliances for EU data. 44. Which of the following is true in regards to the United States? A. Information privacy is not highly legislated nor regulated B. Information privacy is highly legislated and regulated C. Information privacy is highly legislated, but not regulated D. All of the above depending on the type of information Answer: A. Information privacy is not highly legislated nor regulated Rationale: In regards to the United States information privacy is not highly legislated nor regulated. 45. Which state recognizes an individual's right to privacy? A. Colorado B. New York C. California D. Florida Answer: C. California Rationale: California's constitution protects an inalienable right to privacy. 46. Which act protects children's privacy of personal information from American children who are under 13 years of age? A. HIPAA B. COPPA C. CIPPA D. All of the above Answer: B. COPPA Rationale: Children's Online Privacy Protection Act COPPA protects children's privacy. 47. Which act protects health insurance information? A. HIPAA B. COPPA C. CIPPA D. All of the above Answer: A. HIPAA Rationale: Health Insurance Portability and Accountability Act protects health insurance information. 48. How much was the website Xanga, an online community, fined for violating the Children's Online Privacy Protection Act? A. $100 B. $1,000 C. $100,000 D. $1,000,000 Answer: D. $1,000,000 Rationale: Xanga was fined $1 million for violating COPPA. 49. What is the purpose of PIPEDA? A. To provide EU citizens with a right of privacy with respect to how their personal information is collected, used or disclosed by an organization B. To provide Canadian citizens with a right of privacy with respect to how their personal information is collected, used or disclosed by an organization C. To provide US citizens with a right of privacy with respect to how their personal information is collected, used or disclosed by an organization D. All of the above Answer: B. To provide Canadian citizens with a right of privacy with respect to how their personal information is collected, used or disclosed by an organization Rationale: PIPEDA provides Canadians with a right of privacy with respect to how their personal information is collected, used or disclosed by an organization. True/False Questions 50. HIPPA is a federal law established in 1998 that applies to the collection of personal information from American children who are under 13 years of age. Answer: False Rationale: COPPA is a federal law established in 1998 that applies to the collection of personal information from American children who are under 13 years of age. 51. Compliance is a method or system of government for management or control. Answer: False Rationale: Governance is a method or system of government for management or control. 52. To succeed in a global business environment, cultural, political, and geoeconomic (geographic and economic) business challenges must be confronted. Answer: True Rationale: To succeed in a global business environment, cultural, political, and geoeconomic (geographic and economic) business challenges must be confronted. 53. The Information Technology Infrastructure Library (ITIL) is a framework provided by the government of the United Kingdom and offers eight sets of management procedures. Answer: True Rationale: The Information Technology Infrastructure Library (ITIL) is a framework provided by the government of the United Kingdom and offers eight sets of management procedures. 54. Capability Maturity Model Integration method (CMMI) is a process improvement approach that contains 22 process areas. It is divided into appraisal, evaluation, and structure. Answer: True Rationale: Capability Maturity Model Integration method (CMMI) is a process improvement approach that contains 22 process areas. It is divided into appraisal, evaluation, and structure. 55. Transborder data flows occur when an organization moves employees outside its firewall, a growing movement to change the way corporations address technology security. Answer: False Rationale: Deperimeterization occurs when an organization moves employees outside its firewall, a growing movement to change the way corporations address technology security. 56. Information privacy concerns the legal right or general expectation of individuals, groups, or institutions to determine for themselves when and to what extent information about them is communicated to others. Answer: True Rationale: Information privacy concerns the legal right or general expectation of individuals, groups, or institutions to determine for themselves when and to what extent information about them is communicated to others. Fill in the Blank Questions 57. The purpose of __________ is to provide Canadians with a right of privacy with respect to how their personal information is collected, used, or disclosed by an organization. Answer: PIPEDA 58. ____________ privacy concerns the legal right or general expectation of individuals, groups, or institutions to determine for themselves when and to what extent information about them is communicated to others. Answer: Information 59. ____________ occurs when an organization moves employees outside its firewall, a growing movement to change the way corporations address technology security. Answer: Deperimeterization 60. Capability Maturity Model Integration method (CMMI) is a process improvement approach that contains ________ process areas. It is divided into appraisal, evaluation, and structure. Answer: 22 61. ____________ is the act of conforming, acquiescing, or yielding. Answer: Compliance 62. ____________ refers to the effects of geography on the economic realities of international business activities. Answer: Geoeconomic 63. To succeed in a global business environment, cultural, ________, and geoeconomic business challenges must be confronted. Answer: Political Essay Questions 64. Explain the cultural, political, and geoeconomic challenges facing global businesses. Answer: Cultural business challenges include differences in languages, cultural interests, religions, customs, social attitudes, and political philosophies. Global businesses must be sensitive to such cultural differences. Political business challenges include the numerous rules and regulations surrounding data transfers across national boundaries, especially personal information, tax implications, hardware and software importing and exporting, and trade agreements. For security, there are high levels of concerns over information storage, transmission, and access and identity verification. For privacy and the protection of personal information, there are even stronger concerns about consolidation of information, unauthorized access, and sharing without permission. Geoeconomic refers to the effects of geography on the economic realities of international business activities. Even with the Internet, telecommunications, and air travel, the sheer physical distances covering the globe make it difficult to operate multinational business. Flying IT specialists into remote sites is costly, communicating in real-time across the globe's 24 time zones is challenging, and finding quality telecommunication services in every country is difficult. Skilled labor supplies, cost of living, and labor costs also differ among the various countries. When developing global business strategies, all of these geoeconomic challenges must be addressed. 65. Describe the four global IT business drivers which should be included in all IT strategies. Answer: Global IT business strategies must include detailed information on the application of information technology across the organization. The four global IT business drivers include global customers, global products, global operations and resources, and global collaboration. 66. Describe governance and compliance and the associated frameworks an organization can implement. Answer: Governance is a method or system of government for management or control. Compliance is the act of conforming, acquiescing, or yielding. A few years ago the ideas of governance and compliance were relatively obscure. Today, the concept of formal IT governance and compliance is a must for virtually every company, both domestic and global. Key drivers for governance and compliance include financial and technological regulations as well as pressure from shareholders and customers. CoBIT: Information Systems Audit and Control Association (ISACA) is a set of guidelines and supporting tools for IT governance that is accepted worldwide and generally used by auditors and companies as a way to integrate technology to implement controls and meet specific business objectives. ITIL: The Information Technology Infrastructure Library (ITIL) is a framework provided by the government of the United Kingdom and offers eight sets of management procedures: (1) service delivery, (2) service support, (3) service management, (4) Information and Communication Technology (ICT) infrastructure management, (5) software asset management, (6) business perspective, (7) security management, and (8) application management. ITIL is a good fit for organizations concerned about operations. COSO: Developed by the Committee of Sponsoring Organizations (COSO) is key for evaluating internal controls such as human resources, logistics, information technology, risk, legal, marketing and sales, operations, financial functions, procurement, and reporting. This is a more business-general framework that is less IT-specific. CMMI: Created by a group from government, industry, and Carnegie Mellon's Software Engineering Institute, the Capability Maturity Model Integration method (CMMI) is a process improvement approach that contains 22 process areas. It is divided into appraisal, evaluation, and structure. CMMI is particularly well-suited to organizations that need help with application development, life cycle issues, and improving the delivery of products throughout the life cycle. 67. Identify why an organization would need to understand global enterprise architectures when expanding operations abroad. Answer: An enterprise architecture includes the plans for how an organization will build, deploy, use, and share its data, processes, and IT assets. An organization must manage its global enterprise architecture to support its global business operations. Management of a global enterprise architecture is not only technically complex, but also has major political and cultural implications. For example, hardware choices are difficult in some countries because of high prices, high tariffs, import restrictions, long lead times for government approvals, lack of local service or replacement parts, and lack of documentation tailored to local conditions. Software choices also present issues; for example, European data standards differ from American or Asian standards, even when purchased from the same vendor. Some software vendors also refuse to offer service and support in countries that disregard software licensing and copyright agreements. 68. Explain the many different global information issues an organization might encounter as they conduct business abroad. Answer: For many years, global data access issues have been the subject of political controversy and technology barriers in global business environments. These issues have become more prevalent with the growth of the Internet and the expansion of ebusinesses. Transborder data flows (TDF) occur when business data flows across international boundaries over the telecommunications networks of global information systems. Many countries view TDF as violating their national sovereignty because transborder data flows avoid customs duties and regulations for the import or export of goods and services. Others view transborder data flows as violating their laws to protect the local IT industry from competition or their labor regulations from protecting local jobs. In many cases, the data flow issues that seem particularly politically sensitive are those that affect the movement out of a country of personal data in ebusiness and human resource applications. 69. Identify global system development issues organizations should understand prior to building a global system. Answer: It is extremely difficult to develop a domestic information system, but the added complexity of developing a global information system quadruples the effort. Global information systems must support a diverse base of customers, users, products, languages, currencies, laws, and so on. Developing efficient, effective, and responsive information systems for multiple countries, differing cultures, and global ebusinesses is an enormous challenge for any organization. Managers should expect conflicts over local versus global system requirements and difficulties agreeing on common system features. For the project to succeed, the development environment should promote involvement and ownership by all local system users. BPI020 Mobile Technology Multiple Choice Questions 1. What combines the functions of a cellular phone and a PDA in a single device? A. GPS B. RFID C. Smartphone D. VoIP Answer: C. Smartphone Rationale: This is the definition of a smartphone. 2. What is wireless fidelity? A. A means of linking computers using infrared or radio signals B. An omnidirectional wireless technology that provides limited-range voice and data transmission over the unlicensed 2.4-GHz frequency band, allowing connections with a wide variety of fixed and portable devices that normally would have to be cabled together C. A technology that uses active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers D. Commonly used to transmit network signals over great distances Answer: A. A means of linking computers using infrared or radio signals Rationale: This is the definition of wireless fidelity. 3. What is Bluetooth? A. A means of linking computers using infrared or radio signals B. A telecommunications industry specification that describes how mobile phones, computers, and personal digital assistants (PDAs) can be easily interconnected using a short-range wireless connection C. A technology that uses active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers D. Commonly used to transmit network signals over great distances Answer: B. A telecommunications industry specification that describes how mobile phones, computers, and personal digital assistants (PDAs) can be easily interconnected using a short-range wireless connection Rationale: This is the definition of Bluetooth. 4. What is radio frequency identification (RFID)? A. A means of linking computers using infrared or radio signals B. An omnidirectional wireless technology that provides limited-range voice and data transmission over the unlicensed 2.4-GHz frequency band, allowing connections with a wide variety of fixed and portable devices that normally would have to be cabled together C. A technology that uses active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers D. Commonly used to transmit network signals over great distances Answer: C. A technology that uses active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers Rationale: This is the definition of RFID. 5. What is a microwave transmitter? A. A means of linking computers using infrared or radio signals B. An omnidirectional wireless technology that provides limited-range voice and data transmission over the unlicensed 2.4-GHz frequency band, allowing connections with a wide variety of fixed and portable devices that normally would have to be cabled together C. A technology that uses active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers D. Uses the atmosphere (or outer space) as the transmission medium to send the signal to a microwave receiver Answer: D. Uses the atmosphere (or outer space) as the transmission medium to send the signal to a microwave receiver Rationale: This is the definition of microwave transmitter. 6. What is a global positioning system (GPS)? A. A constellation of 24 well-spaced satellites that orbit the Earth and make it possible for people with ground receivers to pinpoint their geographic location B. Designed to work with information that can be shown on a map C. Contains a microchip and an antenna, and typically work by transmitting a serial number via radio waves to an electronic reader, which confirms the identity of a person or object bearing the tag D. Commonly used to transmit network signals over great distances Answer: A. A constellation of 24 well-spaced satellites that orbit the Earth and make it possible for people with ground receivers to pinpoint their geographic location Rationale: This is the definition of GPS. 7. What is a geographic information system (GIS)? A. A device that determines current latitude, longitude, speed, and direction of movement B. Designed to work with information that can be shown on a map C. Contains a microchip and an antenna, and typically work by transmitting a serial number via radio waves to an electronic reader, which confirms the identity of a person or object bearing the tag D. Commonly used to transmit network signals over great distances Answer: B. Designed to work with information that can be shown on a map Rationale: This is the definition of GIS. 8. What is an RFID tag? A. A device that determines current latitude, longitude, speed, and direction of movement B. Designed to work with information that can be shown on a map C. Contains a microchip and an antenna D. Commonly used to transmit network signals over great distances Answer: C. Contains a microchip and an antenna Rationale: This is the definition of an RFID tag. 9. Which of the following is not a component of a RFID architecture? A. Tag B. Reader C. Store D. Computer network Answer: C. Store Rationale: The store is not a component of a RFID architecture. 10. Which organization allows customers to board flights using just a cell phone or PDA? A. United B. Saber C. Continental D. Southwest Answer: C. Continental Rationale: Continental Airlines allows customers to board flights using just a cell phone or PDA. 11. What is a small handheld computer capable of entirely digital communications transmission? A. PDA B. GPS C. GIS D. RFID Answer: A. PDA Rationale: This is the definition of PDA. 12. What is Bluetooth's maximum range? A. 3 feet B. 30 feet C. 300 feet D. Unlimited Answer: B. 30 feet Rationale: Bluetooth's maximum range is 30 feet. 13. Which of the following is not a primary difference between traditional satellites and low-orbit satellites? A. Travels closer to the Earth B. Can pickup signals from weak transmitters C. Consumes more power D. Costs less Answer: C. Consumes more power Rationale: Low-orbit satellites consume less power. 14. What are wireless mobile content services that provide location-specific information to mobile users moving form location to location? A. RFID B. Satellite C. LBS D. GPS Answer: C. LBS Rationale: This is the definition of LBS. 15. Which of the following is considered a location based services market segment? A. Emergency services B. Navigation services C. Tracking services D. All of the above Answer: D. All of the above Rationale: According to Figure B21.5 all of the above are LBS market segments. 16. Which of the following is not a privacy issues associated with location based information? A. Target marketing B. Embarrassment C. Harassment D. Identity theft Answer: D. Identity theft Rationale: Identity theft is not considered a privacy issue for LBS. 17. Which of the following is not a company using GPS to gain efficiencies and effectiveness? A. GM B. American Farmers C. UPS D. Dr. Pepper Answer: D. Dr. Pepper Rationale: Dr. Pepper is not using GPS to gain efficiencies and effectiveness. 18. Which of the following is a common GIS use? A. Finding what is nearby B. Routing information C. Information alerts D. All of the above Answer: D. All of the above Rationale: All of the above are common GIS uses. 19. What is a telecommunications technology aimed at providing wireless data over long distances in a variety of ways, from point-to-point links to full mobile cellular type access? A. Satellite B. Broadband C. WiMAX D. None of the above Answer: C. WiMAX Rationale: This is the definition of WiMAX. 20. What are the two components of a WiMAX system? A. WiMAX tower, WiMAX GPS B. WiMAX tower, WiMAX receiver C. WiMAX receiver, WiMAX transponder D. WiMAX transponder, WiMAX tower Answer: B. WiMAX tower, WiMAX receiver Rationale: The two primary components of a WiMAX system are WiMAX tower and WiMAX receiver. 21. Which of the following is not a benefit of WiMAX? A. Long range B. Low cost C. Low bandwidth D. Wireless Answer: C. Low bandwidth Rationale: High bandwidth is a benefit of WiMAX. 22. Which of the following represents an unusual use of RFID? A. Preventing toilets from overflowing B. Identifying human remains C. Timing athletic events D. All of the above Answer: D. All of the above Rationale: All of the above are unusual uses of RFID according to Figure 7.21. True/False Questions 23. Microwave transmitters are commonly used to transmit radio signals over great distances. Answer: True Rationale: Microwave transmitters are commonly used to transmit radio signals over great distances. 24. A geographic information system (GIS) is designed to work with information that can be shown on a map. Answer: True Rationale: A geographic information system (GIS) is designed to work with information that can be shown on a map. 25. Wireless fidelity (wi-fi) is a means of linking computers using bluetooth signals. Answer: False Rationale: Wireless fidelity (wi-fi) is a means of linking computers using infrared or radio signals. 26. WiMAX, or Worldwide Interoperability for Microwave Access, is a telecommunications technology aimed at providing wireless data over short distances in a variety of ways. Answer: False Rationale: WiMAX, or Worldwide Interoperability for Microwave Access, is a telecommunications technology aimed at providing wireless data over long distances in a variety of ways, from point-to-point links to full mobile cellular type access. 27. Radio frequency identification (RFID) technologies use active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers. Answer: True Rationale: Radio frequency identification (RFID) technologies use active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers. 28. A smartphone combines the functions of a cellular phone and a PDA in a single device. Answer: True Rationale: A smartphone combines the functions of a cellular phone and a PDA in a single device. 29. Bluetooth is a telecommunications industry specification that describes how phones and computers can be easily interconnected using a long-range wireless connection. Answer: False Rationale: Bluetooth is a telecommunications industry specification that describes how mobile phones, computers, and personal digital assistants (PDAs) can be easily interconnected using a short-range wireless connection. 30. Location-based services (LBS) are wired content services that provide location-specific information to mobile users moving from location to location. Answer: False Rationale: Location-based services (LBS) are wireless mobile content services that provide location-specific information to mobile users moving from location to location. 31. The Global Positioning System (GPS) is a constellation of 24 well-spaced satellites that orbit the Earth and make it possible for people with ground receivers to pinpoint their geographic location. Answer: True Rationale: The Global Positioning System (GPS) is a constellation of 24 well-spaced satellites that orbit the Earth and make it possible for people with ground receivers to pinpoint their geographic location. 32. A communications satellite is a big microwave repeater in the sky; it contains one or more transponders that listen to a particular portion of the electromagnetic spectrum, amplifying incoming signals, and retransmitting them back to Earth. Answer: True Rationale: A communications satellite is a big microwave repeater in the sky; it contains one or more transponders that listen to a particular portion of the electromagnetic spectrum, amplifying incoming signals, and retransmitting them back to Earth. Fill in the Blank Questions 33. Location-based ____________ are wireless mobile content services which provide location-specific information to mobile users moving form location to location. Answer: Services 34. Cellular telephones (cell phones) work by using _____________ to communicate with radio antennas (or towers) placed within adjacent geographic areas called cells. Answer: Radio waves 35. ____________ fidelity is a means of linking computers using infrared or radio signals. Answer: Wireless 36. ___________ is a telecommunications industry specification that describes how mobile phones, computers, and personal digital assistants (PDAs) can be easily interconnected using a short-range wireless connection. Answer: Bluetooth 37. Radio frequency identification tags have the potential to reinvent the ___________ chain. Answer: Supply 38. The three components of an RFID system include the tag, ________, and computer network. Answer: Reader 39. Microwave ____________ uses the atmosphere (or outer space) as the transmission medium to send the signal to a microwave receiver. Answer: Transmitters 40. A global ____________ system is a constellation of 24 well-spaced satellites that orbit the Earth and make it possible for people with ground receivers to pinpoint their geographic location. Answer: Positioning 41. A _________ information system is designed to work with information that can be shown on a map. Answer: Geographic 42. A ___________ combines the functions of a cellular phone and a PDA in a single device. Answer: Smartphone Essay Questions 43. Identify the many cellular technologies along with their advantages and disadvantages. Answer: 1G-Analog voice service only. 2G-Digital voice service, 9.6 Kbps to 14.4 Kbps data service, enhanced calling features (such as caller ID), no always-on data connection. 3G-superior voice quality, always-on data connection up to 2 Mbps, broadband data services (such as streaming audio and video). 4G-Wi-Fi access networks, always-on data connection 20-100 Mbps, converged data and voice over IP. 44. Describe how satellite technology works. Answer: A communications satellite is a big microwave repeater in the sky; it contains one or more transponders that listen to a particular portion of the electromagnetic spectrum, amplifying incoming signals, and retransmitting them back to Earth. A microwave transmitter uses the atmosphere (or outer space) as the transmission medium to send the signal to a microwave receiver. The microwave receiver then either relays the signal to another microwave transmitter or translates the signal to some other form, such as digital impulses. Microwave signals follow a straight line and do not bend with the curvature of the Earth; therefore, long-distance terrestrial transmission systems require that microwave transmission stations be positioned about 37 miles apart. 45. Explain how LBS, GPS, and GIS help to create business value. Answer: LBS, GPS, and GIS help to create business value by providing tools and techniques such as emergency services, navigation services, tracking services, location advertising, and security services. 46. Describe RFID and how it can be used to help make a supply chain more effective. Answer: Radio frequency identification (RFID) technologies use active or passive tags in the form of chips or smart labels that can store unique identifiers and relay this information to electronic readers. Manufacturers improve supply-chain planning and execution by incorporating RFID technologies. By placing RFID tags on cases and pallets shipped from manufacturers to distribution centers, companies would be able to keep close tabs on their shipments. In turn, that would allow distribution centers and its suppliers to streamline their supply chains and ultimately ensure shelves were always fully stocked. 47. List some of the advantages of using a communications satellite. Answer: Communication satellites are cost effective for transmitting large quantities of data over very long distances. Satellites are typically used for communications in large, geographically dispersed organizations that would be difficult to tie together through cabling media or terrestrial microwave. 48. Explain how American farmers are using GPS satellite navigations systems. Answer: American farmers use GPS satellite navigation to map and analyze fields, telling the farmers where to apply the proper amounts of seeds, fertilizer, and herbicides. As an example, one GPS application is to use geographic fixes from the GPS and a computerized counter to record how much grain is being harvested each second from each meter of the field. Test Bank for Business Driven Technology Paige Baltzan 9780073376844, 9781259924927, 9781260727814, 9780073376905

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