Chapter 2 How Businesses Use Information Systems

1)
Operational management is responsible for directing the day-to-day operations
of the business and therefore needs transaction-level information.

2)
Deciding whether to introduce a new product line is the responsibility of an
operational manager.

3)
Business processes refer to the manner in which work is organized, coordinated,
and focused to produce a valuable product or service.

4)
The performance of a business firm depends on how well its business processes
are designed and coordinated.

5)
Information systems automate many steps in business processes that were already
automated.

6)
Ordering a book online from Chapters.Indigo.ca or downloading a music track
from iTunes are entirely new business processes based on old business models.

7)
Functional systems that operate independently of each other are becoming a
thing of the future because they cannot easily share information to support
cross-functional business processes.

8)
Operational management, middle management, and senior management each use a
specific type of system to support the decisions they must make to run the
company.

9)
At the operational level, tasks, resources, and goals are predefined and highly
unstructured.

10)
Managers need TPS to monitor the status of internal operations and the firm’s
relations with the external environment.