Information Technology Reference
In-Depth Information
which item to produce first and when production should be
switched from one item to another. Materials requirement
planning determines the amount and timing for placing raw
material orders with suppliers. Purchasing uses the infor-
mation from materials requirement planning to place pur-
chase orders for raw materials and transmit them to qualified
suppliers. Production uses the detailed schedule to plan the
logistics of running and staffing the production operation.
The individual application modules included in the ERP
system are designed to support best practices, the most effi-
cient and effective ways to complete a business process.
Business application software vendors are experimenting
with the hosted software model to see if the approach meets
customer needs and is likely to generate significant revenue.
This approach is especially appealing to SMEs due to the low
initial cost, which makes it possible to experiment with pow-
erful software capabilities.
Numerous complications arise that multinational corpo-
rations must address in planning, building, and operating
their TPSs. These challenges include dealing with different
languages and cultures, disparities in IS infrastructure, vary-
ing laws and customs rules, and multiple currencies.
CHAPTER 9: SELF-ASSESSMENT TEST
An organization must have information systems that support
the routine, day-to-day activities that occur in the normal
course of business and help a company add value to its prod-
ucts and services.
1.
8.
Inventory control, purchase order processing, receiving,
and accounts payable systems make up a set of systems that
support the ___________________ business function.
9.
The ____________ transaction processing system man-
ages the cash flow of the company by keeping track of the
money owed the company.
Identify the missing TPS basic activity: data collection,
data editing, data _________, data manipulation, data
storage, and document production.
2.
The amount of support for decision making that a TPS
directly provides managers and workers is low. True or
False?
A company that implements an enterprise resource planning
system is creating a highly integrated set of systems, which
can lead to many business benefits.
10. Many multinational companies roll out standard IS appli-
cations for all to use. However, standard applications often
don't account for all the differences among business part-
ners and employees operating in other parts of the world.
Which of the following is a frequent modification that is
needed for standard software?
a.
3.
Which of the following is not one of the basic components
of a TPS?
a.
databases
b.
networks
c.
procedures
d.
analytical models
Software might need to be designed with local lan-
guage interfaces to ensure the successful implemen-
tation of a new IS.
4.
A form of TPS where business transactions are accumulated
over a period of time and prepared for processing as a single
unit is called _____________.
b.
Customization might be needed to handle date
fields correctly.
5.
Capturing data at its source and recording it accurately in
a timely fashion, with minimal manual effort, and in an
electronic or digital form that can be directly entered into
the computer are the principles behind _________.
c.
Users might also have to implement manual pro-
cesses and overrides to enable systems to function
correctly.
d.
all of the above
6.
Which of the following is a set of transaction processing
systems sometimes referred to as the “lifeblood of the
organization?”
a.
11. Which of the following is a primary benefit of implement-
ing an ERP system?
a. elimination of inefficient systems
b. easing adoption of improved work processes
c. improving access to data for operational decision
making
d. all of the above
12. The individual application modules included in an ERP
system are designed to support the ______ __________,
the most efficient and effective ways to complete a business
process.
purchasing systems
b.
accounting systems
c.
order processing systems
d.
none of the above
7.
Many organizations conduct ongoing transaction process-
ing system _____ to prevent accounting irregularities or
loss of data privacy that might violate federal acts.
 
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