Information Processing and Management/MBA 5111/

Questions and Answers

Question and Answer based on James A. OBrien, George M. Marakas (2011)
Management Information Systems.10th ed. New York: McGraw-Hill.

Compiled by: Habtamu Kitaba

4/8/2013

Chapter 1

Question: What are some of the toughest management challenges in developing IT solutions to
solve business problems and meet new business opportunities?

Answer: The challenges and opportunities that business managers face in managing information
systems and technologies to meet business goals.

The Business Enterprise Strategies/Processes/Structure/Culture

Business / IT Challenges

Speed and flexibility requirements of product development,

manufacturing, and delivery cycles.

Reengineering and cross-functional integration of business

processes using Internet technologies.

Integration of e-business and e-commerce into the organizations

strategies, processes, structure, and culture.

Information Technology

Business / IT Developments

Use of the Internet, intranets, extranets, and the Web as the

primary IT infrastructure.

Diffusion of Web technology to internetwork employees,

customers, and suppliers.

Global networked computing, collaboration, and decision support

systems.

Customer Value, Business Value

Business / IT Goals

Give customers what they want, when and how they want it, at the
lowest cost.

Coordination of manufacturing and business processes with

suppliers and customers.

Marketing channel partnerships with suppliers and distributors.

(Page16 and 17)

Question Explain the fundamental Roles of IS in Business and its significance

in gaining comparative advantage over its competitors

INFORMATION TECHNOLOGY
CAN ENABLE INNOVATION INTIATIVES AS
COMPANIES SEEK TO DEVELOP NEW PRODUCTS AND
SERVICE

Response
Support of Business Processes and Operations. Most
companies now use computer-based information systems to
help their employees record customer purchases, keep track
of inventory, pay employees, buy new merchandise, and
evaluate sales trends. Store operations would close down
without the support of such information systems.
support of Business Decision Making. Information systems also help managers and other
business professionals make better decisions. For example, decisions about what lines of
merchandise need to be added or discontinued and what kind of investments they require are
typically made after an analysis provided by computer-based information systems. This function
not only supports the decision making of managers, buyers, and others, but also helps them look
for ways to gain an advantage over other retailers in the competition for customers.
Support of Strategies for Competitive Advantage. Gaining a strategic advantage over
competitors requires the innovative application of information technologies. For example, Bank
management might make a decision to open branches in all districts of the country , with links to
the e-commerce Web site for online access. This offering might attract new customers and build
customer loyalty because of the ease of accessing service provided by such information systems.
Thus, strategic information systems can help provide products and services that give a business a
comparative advantage over its competitors.
Reference James A OBrien, George M. Markos (2011) 10th ed.New York :McGraw-Hill page 8-9
Question #4: Describe the purpose of Change Management and its impact in the
organization? (Page No. 469)

Answer for Question #4: Organizational changes can cause by new business/IT strategies and
applications and other changes in business processes. Change management fostering a new ebusiness culture within the organization by establishing communities of interest for employees
2

and other business stakeholders. Change management involves changing people in innovative
ways and recruits and trains them in the core competencies required in a changing workplace. It
also involves analyzing and defining all changes facing the organization in line with risk and cost
and to minimize the benefit of change.
(Page No.470-471)
Chapter 2

Question: Assume you are consulting one shoe manufacturer in the city and the
factorys survival is in danger because of the competition. What do you advise the
company for the success and survival in the long run?
(Hint: Use Michael porter model)
ANSWER
First the factory has to successfully develop strategies to confront the five
competitive forces that exist in the industry.
1)
2)
3)
4)
5)

To indentify the rivals within its industry,

To forecast the threat of new entrants into the industry and the market,
To identify the substitute products that might capture market share,
Bargaining power of customers and
Bargaining power of raw material suppliers

After identifying this develop competitive strategy to counter the threats. The
Factory can apply one, some or all strategies based on the situations like cost
leadership, differentiation, innovation and alliance.
(Ref page 46)
Question: Discuss different barriers that may exist in the pathway fordeveloping a successful
e-commerce business
Answer for Question :
a. Design and Development
A poorly designed website will turn customers away!
"No matter how you measure success, the most important thing toremember is that you have to
work to be successful online. A websiteneeds to present information in a professional and easy to

understandmanner, it needs to be continuously updated, marketed and promoted and it needs to

make the customer feel safe and secure in their businesstransactions with you. In fact by
understanding a few key points youcan dramatically increase the chances of your website
achievingsuccess."
"The first thing that you should do is to determine what makes awebsite successful for you and
your stakeholders. Do you want awebsite that promotes your company and gives your customers
all manner of information about you and your products.Or, a website thatgenerates business
opportunities and genuine business enquiries. Or, abusiness that directly markets your products
and services thusgenerating sales directly online 24/7/365. It is also worth notingthat potential
customers may find their way to your premises by moreconventional means but may have first
been initiated by visiting yourwebsite."
b. Security
Security of information is probably the primary concern withecommerce. Whenever transactions
are being processed between a vendor and a customer, private information exchanges hands.
One of the major worries cited by ecommerce customers is the privacy of their personal and
financial information. Therefore, the implementation of security measures by ecommerce
vendors is a top priority for maintaining a viable business. In fact, security issues have served as
a major thrust in initiating the development of businesses that center solely on ecommerce
security solutions.

"After the terrorist attacks of September 11th, another ITAA survey inDecember, 2000 found that
an overwhelming 70% of respondents wereconcerned about cyber security and 74% worried that
their personalinformation could be stolen online (Burton, 2001). According to ITAAPresident
Harris N. Miller, the terrorist attacks have createduncertainty and anxiety over internet
security."
c. Legal Issues
Be mindful that any transactions on your website are considered a"contract". Therefore, all
terms must be fulfilled.
"From the legal perspective your web site is considered an invitationto make a contract. When a
customer fills her shopping cart, checksout, completes the form and hits the click-to-purchase

button, she issending you a contract. When you acknowledge the order, you haveconfirmed the
contract. When you have delivered the product, you haveconcluded the contract.
d. Ethical and Moral Issues
The same demand to conduct business in an ethical and moral mannerapplies to ecommerce just
as it does to an offline business. Justbecause you cannot "see" your customer does not mean you
have aninvitation to act in an unscrupulous manner.
e. Physical Boundaries
The Internet and e-commerce have drastically changed the way webusinesses can operate. There
are no longer physical boundaries thatseparate markets from consumers. However, unless a
company makes the attempt to reach the global marketplace by designing multiculturalwebsites,
their business will likely be restricted by language, currency and trade issues.
f. Conflicts, traditional outlets vs. electronic outlets
"The ability to adapt existing analog business models to the Web ismany times difficult and
tumultuous because they can interfere andcompete with existing businesses methods.
Manufacturers provide agreat example of the potential conflicts that can occur between
anexisting channel of distribution using distributors and dealers or adirect sales force and
providing order taking over the Internet. Inthese instances, distributors, dealers and direct sales
forces feelthreatened by the new Internet based implementation and justifiablyso. When
existingbusinesses develop an e-commerce strategy it is 70%about adopting new business
models and corporate cultural change andonly 30% about technology."

g. Financial Resources, Manpower and Skills

Training employees to adapt to online service is certainly a financialcommitment, but it is worth
the investment if a company plans to expand to the internet.

Chapter 3

Question: How could a business use information technology to increase switching costs and
lock in its customers and suppliers? Use business examples to support your answers. Page 69
Ans: A major emphasis in strategic information systems has been to find ways to create
switching costs in the relationships between a firm and its customers or suppliers. In other words,
investments in information systems technology can make customers or suppliers dependent on
the continued use of innovative, mutually beneficial interenterprise information systems. They
then become reluctant to pay the costs in time, money, effort, and inconvenience that it would
take to switch to a companys competitors.
Lock in customers and suppliers: A businesses investment in IT can lock in customers and
suppliers by building valuable relationships with them, where both parties are experiencing
mutual benefits. If that can be achieved, it will deter both customers and suppliers from
abandoning your firm for a competitor, or from intimidating a firm into accepting a lessprofitable relationship. Page 50 & 52

1. Briefly explain about IT asset management and why would we want to

do it?

IT asset management is a combination of processes and policies, data and

technologies, and organization/ staffing necessary to ensure the effective
acquisition, deployment, use, maintenance, and disposal of IT assets.
It is a controlling process for the global enterprises complex IT assets.
Too many companies just look on IT asset management as nothing more than
bean counting, versus looking deeper and understanding the ROI and ROA that
can be achieved. There is a huge opportunity to get control over what you have to
satisfy even the most rigorous audit, and to negotiate better contracts. And that is
a lot more than bean counting.
IT asset management is concerned with all of the physical, financial and
contractual aspects of IT assets throughout their life.
IT asset management is an important building block for organizations because it
enables;o automated tracking, control and financial management of the assets (
devices and applications ) that comprise the IT Infrastructure.
o To acquire appropriate IT assets for an organization with minimum costs
and maximum benefits.
o To optimize the use of each IT asset during its life.
o To dispose of IT assets when they no longer provide a benefit compared to
the cost to maintain them.
o To support IT asset compliance.

o To provide the information needed for internal and external requirements.

(page 79 and 80)
Question #5: Outline basic criterion for instance while purchasing/selecting/ Hardware?
Answer for Question # 5
It is worthwhile to strictly adhere to the following:-Hard disk capacity
-Memory (capacity of holding large amount of data)
-Size and processing Speed (time consuming behavior for users)
-Compatibility with the software
-Computer brand itself which are internationally accepted, including Dell, Toshiba,
Acer and Hp
-Durability
-Simplicity
-No. of CPU
-New Technology (Model) (Page No. 94,110 and from the chapters concepts)
Chapter 4

Question #1: What factors should companies take into consideration when selecting business
application software? Make a list of factors and discuss their importance to this decision.
Answer for Question #1: (Page 134)
A company should take into consideration how to select business application softwares.
Organizations generally seek technology as a method to increase productivity, solve issues and
save money. Not having a well-defined strategy for purchasing software could result in the
purchase of various software products and services that actually cost more money in the long
term, due to long-term maintenance costs, lack of use or the use of similar systems to fill in the
feature gaps or compatibility with the existing system. You may find that purchasing a more
expensive and stable software product will replace several inexpensive and less effective
products, which could in turn reduce the time spent maintaining and integrating many ineffective
software products. To ensure that you select cost effective software solutions that meet a specific
business need, a company can use the following main criteria in evaluating software.
Get the big picture - What are the companys reasons for shopping for new software?
Make a list of the challenges a company would like the software to address
Functionality - Selection of a wrong software package can turn out to be costly and
adversely affect business processes
Compatibility a company should consider the software compatibility with the
existing system
7

 Knowledge transfer from supplier a company should know if the software provider
giving all the knowledge a company need to know to use the software on business
processes, do the software provider give training?
User friendly a company should know if the software is user friendly, does it have
manual for users to understand the software? is it user focused?
Cost a company should consider the total cost of ownership of the software. These
components include the software license, software maintenance, and implementation
services. The company has to look at the cost for the next 5-7 years in order to get a good
idea of the long term cost to the organization.
Security A company should know the risk associated with the software
Question: Discuss how cloud computing reshapes the business
Answer for Question: When companies strategically adopt cloud computing, the impact ripples
throughout the organization. Below is an overview of how things change and what the executive
team considers in the transformation.

Strategy. Companies reassess their strategy, looking at where cloud can accelerate
projects or enable them to take advantage of new opportunities. They also look at how
they are currently using cloud computing in the organization.

People. Cloud computing moves organizations toward a service focus, rather than a
functional one. As such, they begin reassessing their talent needs. For example, they look
at IT staff and consider whether they have or can develop the IT architects they will need
to design and manage cloud services.

Processes. Changes to processes may be significant. For example, research and

development will need to align more tightly with IT, as project planning and deployments
are accelerated with cloud. Likewise, in a companys finance organization there may be
changes to how profitability, budgeting, and depreciation are handled.

Technology. Regarding technology, new issues include how to address data security and
governance in the cloud model, as well as how to support the business as it assumes more
of a service focus.

Structure. Changes in the organizations processes may also affect how the organization is
structured. For example, consider the impact that rapid and inexpensive deployment of
technology could have on product development. How do governance models remain relevant and
intact?

Question, Explain how application of Web service plays a vital role for a
business organization? (Page 165)
Answer, Web service can link key business functions for exchange of data in real time
within the Web based application that a business might share with its customers,
suppliers, and other business partners. For example, the business organization can use
web service to check the inventory of a supplier before placing a large order through
the purchase application of a business; check the credit rating of the business with a
credit-reporting agency before approving the purchase through sales application of
the business. It also enhances the development of the easy and efficient e-business and
e-commerce applications. Therefore, Web based business and computing function
through web service technologies enable the company to have good information to
make decision, save time and reduce cost related to wrong decisions. (Page 165)
Chapter 5

Question: What is data resource management and its goal?

Answer for Question: Data resource management is a managerial activity that applies
information technology and software tools to the task of managing an organizations data
resources to meet the information needs of their business stakeholders. The data resource
management significantly improved the early attempts to manage data resources using a file
processing approach which was too cumbersome, costly and inflexible to supply the information
needed to manage modern business processes and organizations. The goal of database
management is to solve the problems of file processing systems and to access easily, process
efficiently, retrieve quickly, and manage effectively the information needed to manage modern
business processes and organizations.

(Page(s): 178 & 209)

Question: What is the relationship between having huge amount of data in database and its
easy accessibility?
Answer: Having huge amount of data help to have accurate information based on our demand.
But when we come to easy accessibility, the amount of date doesnt affect its accessibility
.Rather the logical way of database structure and type of software used between users and
databases determine the easily accessibility of data .Mentioning Face book ,with more than 200
million users with their pieces of content, photo, video and the size of their database is
measured in pet bytes but there is no problem in its easy accessibility, is the life testimony in
our day to day activity. (183).

Chapter 6

Question # Describe the business values of Telecommunication and how it can contribute to
efficiency of the organization?
Answer for question
Business values , It provide better customer service by reducing delay in filling orders and
improves cash flow by speeding up the billing of customer, credit inquiries can be made and
answered in second, reduce expensive business trips, fast service lock in customers and
suppliers. page 224
How?
Use of internet, extranets and other telecommunication networks can dramatically cut cost,
shorten business lead times and response times, support e commerce, improve the collaboration
of work group develop online operational process, share resource, lock in customer and supplies
and develop new products and services.
For example, traveling salespeople and those at regional sales office can use the internet,
extranets and other networks to transmit customer orders from their laptops or desktops pcs,
thus breaking geographic barriers. Teleconferencing can be used to cut costs by reducing the
need for expensive business trips, allowing customers, suppliers and employees to participate in
meetings and collaborate on joint projects without traveling. Finally business to business e
commerce web sites are used by business to establish strategic relationships with their customers
and suppliers by making business transaction fast, convenient, and tailored to the needs of the
business partners involved. Page 224and 225

Describe the business benefit of extranets?

Answer (P.P 229, 234, 262)

The primary role of extranets is to link the internet resources of a company to the intranet of its
customers, suppliers, and other business partners. Extranets can also provide access to
operational company databases and legacy systems to business partners. The extranet also will be
used to alert local low-enforcement agencies where speeding and drunken- drawing
offense occurwith great frequencies. Business intelligence extranets, says deputy director for
traffic operations Rawson, help as all our jobs better

Thus, extranet enable customers, suppliers, consultants sub contactors, business prospects, and
others to access selected intranets web sites and other company databases. The business value of
extranets is derived from several factors. First, it makes customer and supplies access of intranet

10

resources a lot easies and faster than previses business methods. Second, intranets enable a
company to offer new kinds of interactive web-enabled services to their business partners.
Chapter 7

Question : Explain how business transactions occur in e-business. (Page: Optional)

Answer for Question: First data are captured and processed using transaction processing
system of five cycles. 1. Date Entry- capturing of business data, this can be done at an ecommerce web site on the internet. 2. Transaction Processing process data in two ways: i)
Batch processing, where transaction data are accumulated over a period of time and processed
periodically and ii) real-time processing (online processing), where data are processed
immediately after transaction occurs. 3. Database Maintenance- updating the database to reflect
the changes resulting from day to day business transactions. 4. Document and Report
Generation- reports such as purchase orders, paychecks, sales receipts, invoice etc. 5. Inquiry
Processing- making inquiries and receiving a responses regarding the results of transaction
processing activity (Page(s): 284)
Question: Describe the major components of marketing mechanisms and How they contribute in
achieving organizations e-commerce requirements?
Answer:
The principal functions of marketing in business is concerned with the planning, promotion
and sale of existing products in existing markets, and the development of new products and new
markets to better attract and serve present and potential customers.
There are 3 main components of marketing Interactive marketing
- It is customer focused system
that is based on using the internet,
intranets and extranets
It establishes two way
transaction b/n a business and its
customers
and
potential
customers.
Its goal is equipping a
company to use various internet
technologies
including
chat,

Targeted marketing
- Is an important tool in developing advertising
and promotion strategies to strengthen a
companys e-commerce initiatives, mainly by
revolutionizing advertising in the digital arena,
with a new way of doing something old e.g.
using digital bill boards.
It is an advertising and promotion
management concept including 5 main
components. Community- is advertising by
selecting communities online. Content- is

Sales force automation

-sales force automation
allow business managers
to improve delivery of
information and support
they provide to their sales
people.
-it is used as a bridge to
gain a strategic
advantage in sales

11

discussion
group,
questionnaires instant messaging
and e-mail correspondence to
attract, encourage and keep
customers to become partners in
creating (product development),
purchasing,
delivering
and
improving products and services

advertising on variety of selected wed sites by productivity and

selecting target customers. Context- is providing marketing
information to people who are looking for responsiveness.
specific good and services. Demographic
(psychographic)-is advertising to specific type or
class of people e.g. unmarried, age group Online
behavior- is tracking techniques by tracking a
persons online behavior at its website so efforts PAGES-284-289
can be targeted to that individual at each visit to
its website.
Chapter 9

Question: Explain the categories of e-commerce.

Answer: There are four basic categories of ecommerce application: these are
1. Business-to-Consumer (B2C) e-Commerce. In this form of e-commerce, businesses
must develop attractive electronic marketplaces to sell products and services to
consumers. For example, many companies offer e-commerce Web sites that provide
virtual storefronts and multimedia catalogs, interactive order processing, secure
electronic payment systems, and online customer support.
2. Consumer-to-Consumer (C2C) e-Commerce. The huge success of online auctions like
eBay, where consumers (as well as businesses) can buy from and sell to one another in an
auction process at an auction Web site, makes this e-commerce model an important ecommerce business strategy.
3. Business-to-Business (B2B) e-Commerce. If B2C activities are the tip of the iceberg,
B2B represents the part of the iceberg that is under the waterthe biggest part. This
category of e-commerce involves both e-business marketplaces and direct market links
between businesses. For example, many companies offer secure Internet or extranet ecommerce catalog Web sites for their business customers and suppliers. Also very
important are B2B e-commerce portals that provide auction and exchange Market places
for businesses.
4. Business-to-government (B2G) e-commerce. B2G is business-to-government (a
variation of the term B2B or business-to-business), the concept that businesses and

12

government agencies can use central Web sites to exchange information and do business
with each other more efficiently than they usually can off the Web. ( pages 354 -355)
Chapter 10

Consider you are a manager of one organization and your organization is on a transition
period to implement management information system (MIS). What are the main issues
that you consider and the actions to be take in the process. Discuss.
I.

While one organization is in the process of transition to MIS, the organization

should consider, the physical facilities of the office for network installation, the
type of network, the type of equipment,
II.
cost of implementation
III.
feasibility study of the system
IV.
Availability of skilled manpower within the organization
V.
the personality of the person who is going to responsible for the data base in
relation to confidentiality and security
VI.
Decision need to be made weather to outsource or insource the management of
the MIS by considering the level of secrecy of information that is going to be
uploaded on the data base. If the company cannot afford letting the outsourced
MIS operating company get access to many confidential information, the only
options will be training internal candidates and let them take over the MIS.
Question: A DSS involves an interactive analytical modeling process .List the four basic types
of analytical modeling activities that are involved in using a decision support system.
Answer for Question #3: (Page: 408)
What-if analysis: - Observing how changes to selected variables affect other variables.
Sensitivity analysis,:- Observing how repeated changes to a single variable affect other
variables
Goal-seeking analysis:-Making repeated changes to selected variables until a chosen variable
reaches a target value
optimization analysis:- Finding an optimum value for selected variables,
Given certain constraints

Chapter 11

Question: Describe the purpose of Change Management and its impact in the organization?
(Page No. 469)

13

Answer for Question: Organizational changes can cause by new business/IT strategies and
applications and other changes in business processes. Change management fostering a new ebusiness culture within the organization by establishing communities of interest for employees
and other business stakeholders. Change management involves changing people in innovative
ways and recruits and trains them in the core competencies required in a changing workplace. It
also involves analyzing and defining all changes facing the organization in line with risk and cost
and to minimize the benefit of change.
(Page No.470-471)

Question: Describe the reasons of end user resistance and its solutions in implementation of
new IT strategies in an organization.
There are a lot of reasons for end-user resistance in new information technology
implementation, even if user resistance to share knowledge has the biggest share, immaturity of
technology, immaturity of knowledge management industry, Cost and lack of need are the main
reasons for end-user resistance.
One of the key to solve the problems of end-user resistance to new information technologies is
proper education and training. In addition to this more important thing is the end-user
involvement in organizational change and in the development of new information system can be
the main solution. Answer for Question #5 :( Page: 468)
Chapter 12

Discus the basics of project management and their importance to a successful system development effort 481

Answer for Question: any discussion of information systems design and development would be
incomplete without including a discussion of basic project management concepts, techniques,
and tools. Before we progress any further in our discussion of implementation, we need to
understand how our project, which we hope is on time and within budget, got to this point. The
skills and knowledge necessary to be a good project manager will translate into virtually any
project environment. Page 507
Question:
A major activity during the implementation phase of the system development life cycle is
the acquisition of the hardware and software necessary to implement the new system.
Describe how do companies evaluate and select hardware, software, and IT services to best
fit with the business problem solution? /Page # 509-512/

14

Answer:
Companies may require suppliers to present bids and proposals based on system specifications
developed during the design stage of systems development.
Minimum acceptable physical and performance characteristics for all hardware and software
requirements are established. Most large business firms and all government agencies formalize
these requirements by listing them in a document called an RFP (Request for Proposal) or RFQ
(Request for Quotation). Then they send the RFP or RFQ to appropriate vendors, who use it as
the basis for preparing a proposed purchase agreement.
Companies may use a scoring system of evaluation when there are several competing proposals
for a hardware or software acquisition. They give each evaluation factor a certain number of
maximum possible points. Then they assign each competing proposal points for each factor,
depending on how well it meets the users specifications.
Whatever the claims of hardware manufacturers and software suppliers, the performance of
hardware and software must be demonstrated and evaluated.
On the basis of the size of the investment, independent hardware and software information
services (such as Datapro and Auerbach) may be used to gain detailed specification information
and evaluations.
The evaluation should encompasses to address issues on the hardware, soft ware and IT service
performance, cost, reliability, compatibility, technology, ergonomics,
connectivity,scalability,support, quality, maintenance, flexibility, efficiency, backup, raining,
documentations, accessibility, business position of the vendor, system development and
conversion strategy, as appropriate, and carrying out rating of these evaluations tools and
awarding to the winner vendor.
Chapter 13

Question : One of your friends who are recently started his own magazine invites you to handle
the Technology column of the magazine. You agreed to handle the column and you received
topic from the magazine management office to submit your article on the issue of Internet
abuses in the workplace. The message you received also request you to define activities of the
following internet abuses in the workplace for readers i.e General E-mail abuses, Unauthorized
Usage and Access, Copyright Infringement/Plagiarism, Newsgroup Postings, Transmission of
Confidential Data, Pornography, Hacking, Non-Work-Related Download/Upload, Leisure Use of
the Internet, Usage of External ISPs and Moonlighting.
Define at least 7 of internet abuses in the workplace?
Answer:
15

General E-mail Abuses: Include spamming, harassments, chain letters, solicitations,

spoofing, propagations of viruses/worms, and defamatory statements.
Unauthorized Usage and Access: Sharing of passwords and access into networks
without permission.
Copyright Infringement/Plagiarism: Using illegal or pirated software that costs
organizations millions of dollars because of copyright infringements. Copying of
Web sites and copyrighted logos.
Newsgroup Postings: Posting of messages on various non-work-related topics from
sex to lawn care advice.
Transmission of Confidential Data: Using Internet to display or transmit trade
secrets.
Pornography: Accessing sexually explicit sites from workplace as well as the
display, distribution, and surfing of these offensive sites.
Hacking: Hacking of Websites, ranging from denial of service attacks to accessing
organizational databases.
Non-Work-Related Download/Upload: Propagation of software that ties up office
bandwidth. Use of programs that allow the transmission of movies, music, and
graphical materials.
Leisure Use of the Internet: Loafing around the Internet, which includes shopping,
sending e-cards and personal e-mail, gambling online, chatting, game playing,
auctioning, stock trading, and doing other personal activities.
Usage of External ISPs: Using an external ISP to connect to the Internet to avoid
detection.
Moonlighting: Using office resources such as networks and computers to organize
and conduct personal business (side jobs).
Text Book Page: 539

Question: Mention at least four security measures provided by computer devices, which measure
physical traits (Biometric security) that make each individual unique.
Answer:
Voice verification
Fingerprints
Hand geometry
Signature dynamics
Keystroke analysis
Retina scanning
Face recognition
Genetic pattern analysis

16

Chapter 14

Question : Describe some of the challenges for management of technology infrastructure

and the strategies to solve the systems development problems that arise in global
information technology?

Answer for Question : The management of global information technology has cultural and
political implications, for example hardware choices are difficult in some countries because of
high prices, high tariffs, import restrictions, lack of local service or spare parts and others. It is
also challenging to manage international date communications networks such as internet,
intranet, extranet and other networks. In addition establishing computing facilities
internationally is another global challenge.
Some of the strategies to solve the systems development problems that arise in global
information technology can be to transform an application used in the home office into a global
application, to set up a multinational development team with key people from several
subsidiaries to ensure that the system design meets the needs of local sites as well as corporate
head quarters, to outsource the development work to global offshore development companies
that have the skills and experience required to develop global business/ information technology/
applications and others. (Pages: 606, 611-612)

Question: Discuss the three components of IT management and explain how IT should be
managed. (Page: 580)

Answer for Question: Managing the IS/ IT that support the modern business processes of
companies today is a major challenge for both business and IT managers. Managing IT in a
large company has three major components:
1. Managing the joint development and implication of business/IT strategies: this
approach led by CEO and CIO, Proposals are developed by business and IT managers
and professionals regarding the use of IT to support the strategic business priorities of
the company.
2. Managing the development and implementation of new business/IT applications and
technologies: which is the primary responsibility of the CIO & CTO. In this component

17

managing IT involves managing the processes for IS development and implementation, as

well as the responsibility for research into the strategic business uses of new IT.
3. Managing the IT organization and the IT infrastructure: the CIO & IT managers
share responsibility for managing the work of IT professionals who are typically
organized into a variety of project teams and other organizational subunits. In addition
they are responsible for managing the IT infrastructure of hard ware, software, database,
telecommunication networks, and other IT resources which must be acquired, operated,
monitored and maintained. (Page(s): 580)

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