
Week 9: Chapter 7 Questions
Question 1:
Wireless devices are convenient and productive technologies that enable users to connect and access web-based information and services. Such devices include pagers, cellular telephones, organizers and blackberry’s. These devices are highly applicable to business as they enable users use their time more effectively; for example when travelling via public transportation they can spend time doing work via their mobile.
Question 2:
Wireless transmission media/technologies include:
Microwave: mainly used for high-volume, long-distance, line-of-sight communication. They must have an unobstructed line of sight and can be susceptible to environmental interference.
Satellite: include three types of satellites: geostationary, medium earth orbit and low earth orbit. They normally have a high bandwidth and large coverage area. Generally, satellites can be expensive and similarly, must have unobstructed lines of sight.
Infrared: is the red light that is not commonly visible to human eyes. It has a low to medium bandwidth and normally is used only for short distances. Similarly to the above, infrared must have an unobstructed line of sight.
Question 3:
Bluetooth is ‘an industry specification used to create small personal area networks’. It is used normally as an application device for wireless handsets such as cell phones and portable music players.
Question 4:
WLAN’s are wireless area networks which are familiar to medium-range wireless networks. Of these medium-range wireless networks; Wi-Fi (Wireless Fidelity) is the most common type. Wi-Fi is generally a wired LAN but without the cables. WWAN’s are Wide-Area Wireless networks which are used to connect users to the Internet over geographically dispersed territory. WiMax is a secure wireless option that provides features such as voice and video. It has a larger access range to that of Wi-Fi and Bluetooth; with also a data transfer rate of up to 75 Mbps.
Question 5:
The main drivers of mobile computing is its’ mobility and broad reach. It is mobile in the fact that users can carry a mobile device with them and initiate real-time contact with other systems from different locations. The development of mobile computing has therefore allowed businesses and individuals to engage in mobile commerce. Mobile commerce has created significant opportunities for businesses in the sense that it has created new services to existing customers and has attracted new customers. Aspects such as the widespread availability of mobile devices, the no need for a PC and declining prices are all drivers of mobile commerce.
Question 6:
Mobile technologies are extremely applicable to creating business solutions. Business problems such as financial services can be solved through wireless electronic payment systems where individuals can pay for bills, products and services online. Furthermore, such mobile technologies can allow individuals to buy and sell products they normally wouldn’t beable to purchase due to the product not being close to their home. Overall, mobile technologies such as the above and mobile phones, laptops and blackberrys have all helped close the communication gap between businesses and their customers and suppliers.
Question 7:
Radio Frequency Identification technology (RFID) generally allows manufacturers to attach tags with antennas and computer chips on goods and then track their movement through radio signals. RFID was mainly designed to replace barcodes and to deplete the limitations barcodes posses e.g. barcodes require line of sight to the scanning device.
Question 8:
The 4 main security threats that arise from the use of mobile technologies include:
1) A rouge access point: the unauthorised access point to a wireless network.
2) War driving: the act of locating WLAN’s while driving around a city or elsewhere.
3) Eavesdropping: unauthorized access to data when traveling over wireless networks.
4) Radio frequency jamming: where a person or device intentionally or unintentionally interferes with your wireless network transmissions.
Week 10: Chapter 8 Questions
Section 8.1
A transactional processing is whereby data worthy of being generated is captured and stored. Therefore, transaction processing systems (TPs) are the systems that monitor, collect, store, and process the above data generated from all business transactions. The key objectives to TPs are to ensure efficiency, avoid errors and downtime, record results accurately and securely, and maintain privacy and security. Generally, their main goal is to ensure that the data put into the organisation’s database is correct.
Section 8.2
Question 1:
A functional area information systems provides information mainly to lower-and-middle level managers in the functional areas. This information is then used to help them plan, organize and control operations. One of its’ major characteristics are its’ routine reports. These reports range from hourly quality control reports to daily reports on absenteeism rates.
Question 2:
Functional area information systems (FAIS) support management by exception through the characteristic of exception reports. These reports include only information that falls outside certain threshold standards. To implement management by exception, management must firstly create performance standards. FAIS support on-demand reports through the drill-down reports and key-indicator reports.
Section 8.3
Question 1:
ERP are systems which integrate the planning, management, and use of all of an organisation’s resources. Generally, its main functionality is to integrate the functional areas of the organisation and to enable information to flow seamlessly across the functional areas. In addition, ERP’s control the businesses processes of the organisation which include financial and accounting process, sales and marketing processes and human resources processes.
Question 2:
Some drawbacks of ERP software include:
They can be extremely complex
Expensive
Time consuming to implement
Companies must purchase the entire software package even if they require only a few of the modules.
Section 8.5
Question 1:
A supply chain refers to the ‘flow of materials, information, money and services from raw material suppliers, through factories and warehouses to the end customers’. The supply chain management (SCM) is generally used to optimize the supply chain’s activities and to organize and plan these. SCM’s also reduce uncertainty and risks by decreasing inventory levels and cycle time by improving business processes and customer service.
Question 2:
The supply chain involves 3 major segments which include
1) Upstream- whereby sourcing from external suppliers occur
2) Internal- here, packaging, assemble or manufacturing take place.
3) Downstream- distribution frequently by external distributors occurs.
It is important to note that bidirectional flows of information and goods can take place within the supply chain.
Question 3:
The bullwhip effect is where erratic shifts in orders up and down the supply chain take place. Generally, customer demand variables can become magnified when they are viewed through the eyes of managers at each link in the supply chain.
Question 4:
Solutions to supply chain problems can include:
1) Using inventories: whereby building inventories creates insurance against supply chain uncertainties
2) Information sharing: this allows to monitoring of inventory levels whereby information sharing allows the transmission of data through electronic data interchange and extranets.
Question 1:
Wireless devices are convenient and productive technologies that enable users to connect and access web-based information and services. Such devices include pagers, cellular telephones, organizers and blackberry’s. These devices are highly applicable to business as they enable users use their time more effectively; for example when travelling via public transportation they can spend time doing work via their mobile.
Question 2:
Wireless transmission media/technologies include:
Microwave: mainly used for high-volume, long-distance, line-of-sight communication. They must have an unobstructed line of sight and can be susceptible to environmental interference.
Satellite: include three types of satellites: geostationary, medium earth orbit and low earth orbit. They normally have a high bandwidth and large coverage area. Generally, satellites can be expensive and similarly, must have unobstructed lines of sight.
Infrared: is the red light that is not commonly visible to human eyes. It has a low to medium bandwidth and normally is used only for short distances. Similarly to the above, infrared must have an unobstructed line of sight.
Question 3:
Bluetooth is ‘an industry specification used to create small personal area networks’. It is used normally as an application device for wireless handsets such as cell phones and portable music players.
Question 4:
WLAN’s are wireless area networks which are familiar to medium-range wireless networks. Of these medium-range wireless networks; Wi-Fi (Wireless Fidelity) is the most common type. Wi-Fi is generally a wired LAN but without the cables. WWAN’s are Wide-Area Wireless networks which are used to connect users to the Internet over geographically dispersed territory. WiMax is a secure wireless option that provides features such as voice and video. It has a larger access range to that of Wi-Fi and Bluetooth; with also a data transfer rate of up to 75 Mbps.
Question 5:
The main drivers of mobile computing is its’ mobility and broad reach. It is mobile in the fact that users can carry a mobile device with them and initiate real-time contact with other systems from different locations. The development of mobile computing has therefore allowed businesses and individuals to engage in mobile commerce. Mobile commerce has created significant opportunities for businesses in the sense that it has created new services to existing customers and has attracted new customers. Aspects such as the widespread availability of mobile devices, the no need for a PC and declining prices are all drivers of mobile commerce.
Question 6:
Mobile technologies are extremely applicable to creating business solutions. Business problems such as financial services can be solved through wireless electronic payment systems where individuals can pay for bills, products and services online. Furthermore, such mobile technologies can allow individuals to buy and sell products they normally wouldn’t beable to purchase due to the product not being close to their home. Overall, mobile technologies such as the above and mobile phones, laptops and blackberrys have all helped close the communication gap between businesses and their customers and suppliers.
Question 7:
Radio Frequency Identification technology (RFID) generally allows manufacturers to attach tags with antennas and computer chips on goods and then track their movement through radio signals. RFID was mainly designed to replace barcodes and to deplete the limitations barcodes posses e.g. barcodes require line of sight to the scanning device.
Question 8:
The 4 main security threats that arise from the use of mobile technologies include:
1) A rouge access point: the unauthorised access point to a wireless network.
2) War driving: the act of locating WLAN’s while driving around a city or elsewhere.
3) Eavesdropping: unauthorized access to data when traveling over wireless networks.
4) Radio frequency jamming: where a person or device intentionally or unintentionally interferes with your wireless network transmissions.
Week 10: Chapter 8 Questions
Section 8.1
A transactional processing is whereby data worthy of being generated is captured and stored. Therefore, transaction processing systems (TPs) are the systems that monitor, collect, store, and process the above data generated from all business transactions. The key objectives to TPs are to ensure efficiency, avoid errors and downtime, record results accurately and securely, and maintain privacy and security. Generally, their main goal is to ensure that the data put into the organisation’s database is correct.
Section 8.2
Question 1:
A functional area information systems provides information mainly to lower-and-middle level managers in the functional areas. This information is then used to help them plan, organize and control operations. One of its’ major characteristics are its’ routine reports. These reports range from hourly quality control reports to daily reports on absenteeism rates.
Question 2:
Functional area information systems (FAIS) support management by exception through the characteristic of exception reports. These reports include only information that falls outside certain threshold standards. To implement management by exception, management must firstly create performance standards. FAIS support on-demand reports through the drill-down reports and key-indicator reports.
Section 8.3
Question 1:
ERP are systems which integrate the planning, management, and use of all of an organisation’s resources. Generally, its main functionality is to integrate the functional areas of the organisation and to enable information to flow seamlessly across the functional areas. In addition, ERP’s control the businesses processes of the organisation which include financial and accounting process, sales and marketing processes and human resources processes.
Question 2:
Some drawbacks of ERP software include:
They can be extremely complex
Expensive
Time consuming to implement
Companies must purchase the entire software package even if they require only a few of the modules.
Section 8.5
Question 1:
A supply chain refers to the ‘flow of materials, information, money and services from raw material suppliers, through factories and warehouses to the end customers’. The supply chain management (SCM) is generally used to optimize the supply chain’s activities and to organize and plan these. SCM’s also reduce uncertainty and risks by decreasing inventory levels and cycle time by improving business processes and customer service.
Question 2:
The supply chain involves 3 major segments which include
1) Upstream- whereby sourcing from external suppliers occur
2) Internal- here, packaging, assemble or manufacturing take place.
3) Downstream- distribution frequently by external distributors occurs.
It is important to note that bidirectional flows of information and goods can take place within the supply chain.
Question 3:
The bullwhip effect is where erratic shifts in orders up and down the supply chain take place. Generally, customer demand variables can become magnified when they are viewed through the eyes of managers at each link in the supply chain.
Question 4:
Solutions to supply chain problems can include:
1) Using inventories: whereby building inventories creates insurance against supply chain uncertainties
2) Information sharing: this allows to monitoring of inventory levels whereby information sharing allows the transmission of data through electronic data interchange and extranets.
Section 8.6
Electronic data Interchange (EDI) enables business partners to exchange routine documents such as purchasing orders through electronic communication.
Benefits of EDI include:
It minimizes data entry errors as each entry is checked by the computer
The length of the message can be shorter, and the messages are secured.
Also reduces cycle time, increases productivity, enhances customer service and minimizes paper usage and storage.
Disadvantages of EDI:
It involves a significant amount of initial investment
Operating costs are high due to the use of expensive, private VANs.
Traditional EDI system is inflexible.
Requires a long startup period.
Week 11: Chapter 9 Questions
Section 9.1
Question 1:
The decision making process proposed by Simon involves the following four phases:
Intelligence: where managers examine a situation and identify and define the problem
Design: decision makers construct a model that simplifies the problem
Choice: involves selecting a solution, which is tested “on paper”
Implementation: is only successful if the proposed solution resolves the problem.
Question 2:
Managers need IT support as it is proven to be difficult to make good decisions without valid and relevant information. IT support aids problems such as helping make appropriate decisions in short time frames, are able to conduct sophisticated analysis’s and allow managers to explore a number of alternatives before making a final decision.
Question 3:
The decision matrix is composed of three primary classes. These three broad categories of the nature of decisions can be combined in a decision support matrix that consists of nine cells.
Lower-level manager usually perform the structured and operational control-orientated tasks (cells 1,2 and 4). The tasks in cells 3,5 and 7 are normally performed by middle managers and professional staff. Lastly, in cells 6,8 and 9 the responsibility of these tasks mainly fall on the senior executives.
Section 9.2
Data mining performs two specific operations. These two operations include predicting trends and behaviours and identifying previously unknown patterns. Generally, data mining addresses why it is happening and provides predictions of what will happen in the future. Data mining identifies business opportunities in a bid to create a sustainable competitive advantage. For example, retailing, sales and manufacturing and production.
Section 9.3
A digital dashboard provides rapid access to timely information and direct access to management reports. Some of the capabilities associated with digital dashboards include:
* Drill-down: the ability to go to details, at several levels which can be done by a series of menus or by direct queries.
* Status access: the latest data available on KPI or some other metric, ideally in real time.
* Exception reporting: reports that highlight deviations larger than certain thresholds. Reports may include only deviations.
Week 12: Chapter 10 Questions
Section 10.1
Question 1:
When assessing the costs of IT, challenges can arise. One of these major problems that companies face is to allocate fixed costs among different IT projects. Similarly, complications can arise when the cost of a system does not end when the system is installed. Costs for maintaining, debugging, and improving the system can accumulate over many years.
Question 2:
Some of the difficulties that accompany the intangible benefits from IT include:
Benefits can be harder to quantify due to these benefits being in an intangible form.
Due to the fact that organizations use IT for several different purposes complicating benefit analysis.
As many systems in reality are not implemented on time or within budget constraints creating problems when obtaining a return from an IT investment.
If the proposed system is ‘cutting edge’- there may be no previous evidence of what sort of financial payback the company can expect.
Question 3:
NPV which stands for Net Present Value; is used by organizations to aid cost-benefit analysis calculations. When NPV is implemented, analysts convert future values of benefits to their present-value equivalent by discounting them at the organisation’s cost of funds.
Return on Investment (ROI); measures management’s effectiveness in generating profits with its available assets. The ROI measure is a percentage, and the higher the percentage return, the better.
The business case approach is a method used to justify investments in projects. A business case approach comes in the form of a written document that managers use to justify funding one or more specific applications or projects.
Section 10.5
Question 1:
The types of companies that provide outsourcing services are small or medium-sized companies with few IT staff and restricted budgets. Large companies may also choose to use outsourcing if for example; they might want to experiment with new IT technologies without making a substantial up-front investment.
Question 2:
Application service providers (ASPs); are agents or vendors who assemble the software needed by enterprises and packages the software with services such as development, operations and maintenance. Advantages to companies using them include:
Saves expenses such as labour costs in the initial development stage.
Helps reduce the costs of software maintenance and upgrading and user training over the long run.
The company can select another software product from the vendor to meet its changing needs.
Makes the company more competitive be enhancing the company’s ability to adapt to changing market conditions.
Question 3:
The disadvantages associated with ASPs include:
ASPs might not offer adequate security protection
Software might not be a perfect fit for the desired application.
Company must make certain that the speed of the Internet connection between the customer and the ASP is adequate to handle the requirements of the application.
Section 10.6
Question 1:
The major steps of selection of a vendor and a software package:
Step 1: Identify Potential Vendors
Step 2: Determine the evaluation criteria
Step 3: Evaluate Vendors and Packages
Step 4: Choose the Vendor and Package
Step 5: Negotiate a contract
Step 6: Establish a service level agreement.
Question 2:
A request for proposal (RFP); is a document that is sent to potential vendors inviting them to submit a proposal that describes their software package and explains how it would meet the company’s needs. The RFP provides the vendors with information about the objectives and requirements of the system.
Question 3:
Service Level agreements (SLAs) are formal agreements that specify how work is to be divided between the company and its vendors. These divisions are based on a set of agreed-upon milestones, quality checks, and what-if scenarios.