Deck 11: Businessit Strategies for Development

Question 1

A good business model is essential for a new venture, but is seldom necessary for established businesses.

Answer 1

False

Question 2

A weakness is the potential for business and market losses posed by the actions of competitors and other competitive forces.

Answer 2

False

Question 3

A technology platform should include support for developing and maintaining inter-enterprise supply chain applications, integrated enterprise resource planning, and customer relationship management applications.

Answer 3

False

Question 4

A threat is the potential for business and market losses posed by the actions of competitors and other competitive forces.

Question 5

Team planning sessions frequently include answering strategic advantage questions.

Question 6

According to the text case, most CIOs find that putting together a strategic IT plan is a very simplistic process as it is based on the firm's overall strategic plan.

Question 7

The strategic development component of the business/IT planning process involves developing business strategies that support a company's business vision, such as using information technology to create innovative e-business systems that focus on customer and business value.

Question 8

In a planning context, a virtual world is a microcosm of the real world.

Question 9

An IT organization should include support for developing and maintaining inter-enterprise supply chain applications, integrated enterprise resource planning, and customer relationship management applications.

Question 10

The resource management component of the business/IT planning process involves developing business strategies that support a company's business vision, such as using information technology to create innovative e-business systems that focus on customer and business value.

Question 11

A strength is the potential for new business markets or innovative breakthroughs that might expand present markets.

Question 12

The technology architecture component of the business/IT planning process involves developing business strategies that support a company's business vision, such as using information technology to create innovative e-business systems that focus on customer and business value.

Question 13

An opportunity is the potential for new business markets or innovative breakthroughs that might expand present markets.

Question 14

Either the CEO or the CIO of a company must manage the development of complementary business and IT strategies in order meet its customer value and business value vision.

Question 15

The business case for investing in proposed e-business development projects is evaluated by company executives and business unit managers based on the strategic business priorities that they decide are most desirable or necessary at that point in time.

Question 16

An applications architecture should include support for developing and maintaining inter-enterprise supply chain applications, integrated enterprise resource planning, and customer relationship management applications.

Question 17

The business/IT planning process focuses on discovering innovative approaches to satisfying a company's customer value and business value goals.

Question 18

Creating a role-playing exercise to be used in supervisory training is not the same as creating a microworld.

Question 19

It is common for the current market value of an organization to exceed the market value of its assets.

Question 20

According to the text case, there are two basic types of IT risks.

Question 21

Many change management models include methods for performance measurement and financial incentives to get employees and stakeholders to cooperate with the changes that may be required.

Question 22

Any new way of doing things will generate some resistance from the people affected.

Question 23

A demand for better and more convenient solutions is a _______________ trend that is shaping strategic business/IT planning.

A) technology
B) competitive imperatives
C) deregulation
D) customer sophistication/expectations

Question 24

Which of the following is an example of questions that would be asked when establishing a "customer value" strategic vision?

A) Who are our customers?
B) How can we add value for the customer with e-business services?
C) How are our customers' priorities shifting?
D) Who should be our target customers?

Question 25

People factors have the highest level of difficulty and take the longest time to resolve of any dimension of change management.

Question 26

All of the following are examples of questions that would be asked when establishing an "understanding the customer" strategic vision except:

A) Who are our customers?
B) How can we add value for the customer with e-business services?
C) How are our customers' priorities shifting?
D) Who should be our target customers?

Question 27

_______________ planning involves the setting of objectives and the development of procedures, rules, schedules, and budgets.

A) Strategic
B) Operational
C) Tactical
D) All of the choices are correct.

Question 28

The business/IT planning process is rapidly losing favor with today's modern businesses.

Question 29

According to the text case, senior managers finally realized that IT personnel often have a more comprehensive view of the organization than many functional or divisional heads who are largely concerned with their own areas.

Question 30

Cost is the smallest obstacle to implementation of a knowledge management application.

Question 31

According to the text, creating leadership resolve is part of the build commitment process of change management.

Question 32

Which of the following is a question that would be asked when establishing a "value chain" strategic vision?

A) Who are our customers?
B) How can we add value for the customer with e-business services?
C) Are our competitors potential partners, supplies, or customers in an e-business venture?
D) Who would be our supply chain partners?

Question 33

All of the following are examples of questions that would be asked when establishing a "competition" strategic vision except:

A) Who are our real competitors?
B) How are our competitor's priorities shifting?
C) What is our toughest competitor's business model?
D) Are our competitors potential partners, supplies, or customers in an e-business venture?

Question 34

_______________ planning is done on a short-term basis to implement and control day-to-day operations.

A) Strategic
B) Operational
C) Tactical
D) Scenario

Question 35

Systems that tend to inconvenience or frustrate users cannot be effective, no matter how technically elegant they are or how efficiently they process data.

Question 36

Moving to an e-business environment involves a lot of procedural changes, but no major organizational change.

Question 37

E-business architecture planning links strategy development to business modeling and component development methodologies in order to produce the strategic e-business applications needed by a company.

Question 38

Implementing new e-business strategies and applications is only the latest catalyst for major organizational changes; many large, global companies have undergone multiple major organizational changes since the 1980s.

Question 39

One of the keys to solving the problem of end user resistance to new information technologies is keeping them isolated from the process until the technology is ready to go live.

Question 40

Because senior management at many companies consistently identify e-business as an area of great opportunity, and one in which the company needs stronger capabilities, planning works really well, as does converting such strategy into action.

Question 41

The question "How many new activities must be performed as a result of the Internet?" best represents the _______________ component of e-business models.

A) scope
B) connected activities
C) implementation
D) sustainability

Question 42

The _______________ component of the information technology architecture includes the networks, computer systems, system software, and integrated enterprise application software that provide the computing and communications platform supporting the strategic use of information technology.

A) IT organization
B) data resources
C) technology platform
D) applications architecture

Question 43

The _______________ component of the business/IT planning process involves developing strategic plans for managing or outsourcing a company's IT resources.

A) resource management
B) technology architecture
C) strategic development
D) All of the choices are correct.

Question 44

Outsourcing, growth, and customer orientation are _______________ trends that are shaping strategic business/IT planning.

A) technology
B) competitive imperatives
C) deregulation
D) customer sophistication/expectations

Question 45

A situation where previously regulated markets are opening is a _______________ trend that is shaping strategic business/IT planning.

A) technology
B) competitive imperatives
C) deregulation
D) customer sophistication/expectations

Question 46

All of the following are considered competitive strategies except:

A) Differentiation
B) Innovation
C) New entrants
D) Alliances

Question 47

Technology convergence, increasing information content, and e-commerce are _______________ trends that are shaping strategic business/IT planning.

A) technology
B) competitive imperatives
C) deregulation
D) customer sophistication/expectations

Question 48

All of the following are considered competitive forces except:

A) Cost leadership
B) Competitors
C) Customers
D) New entrants

Question 49

_______________ are the potential for new business markets or innovative breakthroughs that might expand present markets.

A) Weaknesses
B) Opportunities
C) Threats
D) Strengths

Question 50

_______________ are core competencies and resources where a firm is a market or industry leader.

A) Weaknesses
B) Opportunities
C) Threats
D) Strengths

Question 51

The _______________ component of the business/IT planning process involves making strategic IT choices that reflect an information technology architecture designed to support a company's e-business and other business/IT initiatives.

A) resource management
B) technology architecture
C) strategic development
D) All of the choices are correct.

Question 52

The _______________ component of the information technology architecture includes business applications designed as an integrated architecture of enterprise systems that support strategic business initiatives.

A) IT organization
B) data resources
C) technology platform
D) applications architecture

Question 53

Offering customers something distinctive or at a lower cost than competitors is a component of the _______________ business model.

A) revenue source
B) pricing
C) sustainability
D) customer value

Question 54

The _______________ component of the information technology architecture includes the organizational structure of the IS function within a company and the distribution of IS specialists, designed to meet the changing strategies of a business.

A) IT organization
B) data resources
C) technology platform
D) applications architecture

Question 55

The _______________ component of the business/IT planning process involves developing business strategies that support a company's business vision, using IT to create innovative e-business systems focusing on customer and business value.

A) resource management
B) technology architecture
C) strategic development
D) All of the choices are correct.

Question 56

Which of the following questions best represents the sustainability component of a business model?

A) What is it about the firm that makes it difficult for other firms to imitate it?
B) What are the firm's capabilities and capabilities gaps that need to be filled?
C) Where do the dollars come from?
D) To which customers is the firm offering this value?

Question 57

The _______________ component of the information technology architecture includes the many operational and specialized databases that store and provide data and information for business process and decision support.

A) IT organization
B) data resources
C) technology platform
D) applications architecture

Question 58

According to the text case, which of the following is not an IT risk?

A) Program Risk
B) Market Risk
C) Business Operations Risk
D) Technology Risk

Question 59

_______________ are the potential for business and market losses posed by competitors, competitive forces, government, or disruptive technologies.

A) Weaknesses
B) Opportunities
C) Threats
D) Strengths

Question 60

_______________ are areas of substandard business performance compared to others in the industry or market segments.

A) Weaknesses
B) Opportunities
C) Threats
D) Strengths

Question 61

A business application planning process includes consideration of IT proposals for all of the following except:

A) Addressing strategic business priorities
B) Building business cases
C) Planning for application development
D) Planning for application implementation

Question 62

Implementing new business/IT strategies requires managing the effects of major changes in _______________.

A) business processes
B) managerial roles
C) employee work assignments
D) All of the choices are correct.

Question 63

A company that enters the _______________ quadrant of a strategic positioning matrix is extensively networked with its customers, suppliers, and competition through Web sites, intranets, and extranets.

A) global market penetration
B) product and service transformation
C) cost and efficiency improvements
D) performance improvement in business effectiveness

Question 64

The _______________ model supplants, rather than replaces, existing physical business offices and call centers by using the Internet as a sales and service channel.

A) self-service innovator
B) supply chain innovator
C) channel mastery
D) market creator

Question 65

Which of the following is not considered one of the top ten enterprise resource planning challenges?

A) Organizing the data
B) Getting end user buy-in
C) Dealing with multiple/international sites and partners
D) Moving to a new platform

Question 66

E-mail, chat systems, discussion groups, and a company website are typical examples of the _______________ quadrant of a strategic positioning matrix.

A) global market penetration
B) product and service transformation
C) cost and efficiency improvements
D) performance improvement in business effectiveness

Question 67

A company that enters the _______________ quadrant of a strategic positioning matrix has a high degree of internal connectivity and pressures to improve its business processes.

A) global market penetration
B) product and service transformation
C) cost and efficiency improvements
D) performance improvement in business effectiveness

Question 68

The _______________ model uses the Internet to provide a comprehensive suite of services that the customer's employees can use directly.

A) self-service innovator
B) supply chain innovator
C) channel mastery
D) market creator

Question 69

The _______________ model requires you to be among the first to market and to remain ahead of competition by continuously innovating. Examples are Amazon.com and E*TRADE.

A) self-service innovator
B) supply chain innovator
C) channel mastery
D) market creator

Question 70

The most valuable Internet applications allow companies to transcend communication barriers and establish connections that will do all of the following except:

A) Enhance productivity
B) Stimulate innovative development
C) Improve customer relations
D) Increase the quality of job applicants

Question 71

A company that enters the _______________ quadrant of a strategic positioning matrix must capitalize on a high degree of customer and competitor connectivity and use of IT.

A) global market penetration
B) product and service transformation
C) cost and efficiency improvements
D) performance improvement in business effectiveness

Question 72

The _______________ model uses the Internet to streamline the interactions among all parties in the supply chain to improve operating efficiency.

A) self-service innovator
B) supply chain innovator
C) channel mastery
D) market creator

Question 73

The _______________ model uses the Internet to reduce search costs and offers the customer a unified process for collecting information necessary to make a large purchase.

A) infomediary
B) supply chain innovator
C) channel mastery
D) market creator

Question 74

The _______________ model supplements, rather than replaces, physical distribution and marketing channels. Examples are Cisco and Dell.

A) market creator
B) channel reconfiguration
C) channel mastery
D) All of the choices are correct.

Question 75

Having a _______________ perspective means measuring financial performance, such as number of debtors, cash flow, or return on investment.

A) learning and growth
B) customer
C) financial
D) business process

Question 76

Having a _______________ perspective means measuring the company's learning curve, such as the time spent on staff training.

A) learning and growth
B) customer
C) financial
D) business process

Question 77

A company that measures the time it takes to process a phone call, tabulates the results of customer surveys, and tracks the number of user complains has a _______________ perspective.

A) learning and growth
B) customer
C) financial
D) business process

Question 78

Having a _______________ perspective means reflecting on the performance of key business processes.

A) learning and growth
B) customer
C) financial
D) business process

Question 79

The _______________ model uses the Internet to process purchases, including the process of searching, comparing, selecting, and paying online.

A) infomediary
B) supply chain innovator
C) channel mastery
D) transaction intermediary

Question 80

New business processes are stored in a _______________ of reusable business models and application components.

A) repository
B) bank
C) database
D) All of the choices are correct.