[Q.1] Select the most appropriate statement among the following:
a) operational managers make unstructured decisions
b) Middle level managers undertake long range planning
c) As the management level goes up the hierarchy, information becomes more and more summarized.
d) None of the above
Ans: (c) As the management level goes up the hierarchy, information becomes more and more summarized.
Q.1A) As the management level goes up the hierarchy, information becomes more and more ______________ .
Ans: Summarized
Q) _____ systems often use AI to attempt to solve unstructured and –semi-structured problems.
Ans: Decision Support (DSS)
[Q.2] Which of the following describes an ERP system?
A) ERP systems provide a foundation for collaboration between departments
B) ERP systems enable people in different business areas to communicate
C) ERP systems have been widely adopted in large organizations to store critical knowledge used to make the decisions that drive the organization’s performance
D) All of the above
Answer: D) All of the above
[Q.3] Which of the following is a reason for ERPs explosive growth?
A) ERP is a logical solution to the mess of incompatible applications
B) ERP addresses the need for global information sharing and reporting
C) ERP is used to avoid the pain and expense of fixing legacy systems
D) All of the above
Answer: D
[Q.4] What are the primary business benefits of an ERP system?
A) Sales forecasts, sales strategies, and marketing campaigns
B) Market demand, resource and capacity constraints, and real-time scheduling
C) Forecasting, planning, purchasing, material management, warehousing, inventory, and distribution
D) All of the above
Ans: C) Forecasting, planning, purchasing, material management, warehousing, inventory, and distribution
[Q.5] Which of the following occurs when everyone involved in sourcing, producing, and delivering the company's product works with the same information?
A) Eliminates redundancies B) Cuts down wasted time
C) Removes misinformation D) All of the above
Ans: (D) All of the above
[Q.6] What are several different types of software, which sit in the middle of and provide connectivity between two or more software applications?
A) Middleware B) Enterprise application integration middleware
C) Automated business process D) e-business infrastructure
Ans: ( A) Middleware
Response: This is the definition of middleware.
[Q.7] Indicate the correct evolution path of ERP software:
a) MRP-I - MRP-II - EERP – ERP
b) EERP - ERP - MRP-I - MRP-II
c) ERP - EERP - MRP-I - MRP-II
d) MRP-I - MRP-II - ERP – EERP
Ans: (d) MRP-I - MRP-II - ERP - EERP
[Q.8] Which is one of the most critical steps in the ERP implementation?
a) Creation of Organisational Model
b) Creation of Integrated Data Model
c) Creation of Business Model
d) Creation of Data Model
Ans: b) Creation of Integrated Data Model
[Q.9] _________ handling and sharing has become a vital process for efficient and effective working of any organisation.
a) Material b) Resource c) Information d) Database
Ans: (c) Information
[Q.10] ________ became the fundamental concept of production management and control.
a) BOM b) MRP c) ERP d) MRP II
Ans: b) MRP
[Q.11] What is at the heart of any ERP system?
A) Information B) Employees C) Customers D) Database
Ans: (D) Database
[A central database to capture, store and provide access to all information easily and conveniently]
[Q.12] What must a system do to qualify as a true ERP solution?
A) Be flexible B) Be modular and closed
C) Extend within the company D) All of the above
Ans: (A) Be flexible
[To qualify as a true ERP solution the system must be flexible, modular and open, and extend beyond the company.]
[Q.13] What is one of the key resources of every organisation, in today’s competitive business environment?
a) Employee b) Information c) ERP d) Database
Ans: (b) Information
[Q.14] In an integrated data model, what gives a snapshot of the organisation at any given time?
a) ERP b) Database c) Management d) MIS
Ans: (b) Database
[Q.15] EIS stands for:
a) Executive Interaction System b) Executive Interconnecting Systems
c) Executive Information Systems d) Executive Instrumental Systems
Ans: (c) Executive Information Systems
[Q.16] ERP system is built on a ____________ utilising a common computing platform
a) Centralised database b) Individual databases
c) Modular databases d) Centralised layout
Ans: a) Centralised database
[Q.17] Which of the following is an example for commercial ERP
a) ERP5 b) Microsoft Dynamics AX c) Compiere d) Fisterra
Ans: b) Microsoft Dynamics AX
[Q.18] ERP vendors usually design their systems around standard business processes, based upon __________
a) Business standards b) Global standards
c) Best business practices d) Best profitable standards
Ans: c) Best business practices
[Q.19] What is the key to MRP?
a) Quantity of requirements for components are based upon the structure of the Bill of Material.
b) Production of requirements for components are based upon the structure of the Bill of Material.
c) Time-phasing of requirements for components are based upon the structure of the Bill of Material.
d) Capacity of requirements for components are based upon the structure of the Bill of Material.
Ans: c) Time-phasing of requirements for components are based upon the structure of the Bill of Material.
[Q.20] The department in charge of recording all financial activities is the __________ department.
a) Human Resources b) Accounting
c) Marketing d) Production
Ans: (b) Accounting
[Q.21] Which department actually creates the finished goods?
a) Marketing b) Research
c) Human Resources d) Production
Ans: (d) Production
[Q.22] Which management level is responsible for monitoring the day-to-day events in an organization and taking any required corrective action?
a) Supervisory b) Middle managerial
c) Stockholder d) Top Managerial
Ans: (a) Supervisory
[Q.23] Which level of management requires summarized information in capsule form to reveal the overall condition of the business
a) Top Management b) Middle management
c) Supervisors d) Stockholders
Ans: (a) Top Management
[Q.24] ____________ systems record day-to-day transactions such as customer orders, bills, inventory levels and production output.
a) Transaction processing b) Management information
c) Decision support d) Executive support
Ans: (a) Transaction processing
[Q.25] The ___________ activity records the customer requests for goods or services.
a) payroll b) sales order processing
c) inventory d) general ledger
Ans: (b) sales order processing
[Q.26] Projections and responses to queries are information output characteristics associated with a(n)
a) DSS b) ESS
c) MIS d) TPS
Ans: (c) MIS, (a) DSS, (b) ESS
[Q.27] Management information system usually
a) serves managers interested in weekly, monthly, and yearly results, not day-to-day activities
b) helps managers make decisions that are unique, rapidly changing, and not easily specified in
advance
c) provides managers with a generalized computing and telecommunication capacity that can
be applied to a changing array of problems
d) performs and records the daily routine transaction necessary to the conduct of business
Ans: c) provides managers with a generalized computing and telecommunication capacity that can
be applied to a changing array of problems
[Q.28] Assembling a product, identifying customers and hiring employees are
a) transactions b) phases
c) business processes d) business functions
Ans: (c) business processes
[Q.29] A quality information includes
a) more information b) reduces information overload
c) both (a) and (b) depending on organization d) Executive Information System
Ans: c) both (a) and (b) depending on organization
[OR (b) reduces information overload]
[Q.30] The most important advantage of ERP is
a) flexibility b) business integration
c) better analysis d) use of latest technology
Ans: (b) business integration
[Q.31] Expert systems can be considered as an extended version of
a) Executive Information System b) Decision Support System
c) MIS d) GIS
Ans: (b) Decision Support System
[Q.32] Transaction processing system works in the
a) Strategic Information layer b) Tactical Information layer
c) Operational Information layer d) Top layer
Ans: (c) Operational Information layer
[Q.33] EIS stands for
a) Expert Information System b) Express Information System
c) External Information System d) Executive Information System
Ans: (d) Executive Information System
[Q.34] Processed data is known as
a) File b) Record
c) Information d) Document
Ans: (c) Information
[Q.35] Which one of the following is not a management level?
a) Operational b) Top
c) Middle d) None of these
Ans: (d) None of these
[Q.36] Which one of the following is not a type of Information?
a) Tactical b) Statistical
c) Operational d) Strategic
Ans: (b) Statistical
[Q.37] One of the tasks of operational management is
a) new plant location b) welfare policy
c) daily scheduling d) competitor survey
Ans: (c) daily scheduling
[Q.38] Which of the following is a tactical decision?
i) Capital Source Decision ii) Product Decision
iii) Plant-location Decision iv) Budget Allocation
Ans: (iv) Budget Allocation
[Q.39] Error reports are an example of
i) Scheduled reports ii) Demand reports
iii) Exception reports iv) Predictive reports
Ans: (iii) Exception reports
[Q.40] The most complex type of decision that management will have to face is
i) unstructured decision ii) structured decision iii) control iv) none of these
v) pyramid structure
Ans: i) unstructured decision
[Q.41] A useful information must be
a) accurate b) timely
c) complete d) all of these
Ans: (d) all of these
[Q.42] Simon model is for
a) transaction processing b) decision making
c) database making d) all of these
Ans: (b) decision making
[Q.43] GDSS stands for
a) Group DSS b) Grouping DSS
c) Good DSS d) none of these
Ans: (a) Group DSS
[Q.44] The most important reason for failure of MIS is
a) use of improper tools for design b) non-involvement of end-users
c) improper specification d) none of these
Ans: (b) non-involvement of end-users
[Q.43] Information is
a) the accumulation of raw data b) the way we analyze problems
c) the best form of knowledge d) data shaped into meaningful form
Ans: (d) data shaped into meaningful form
[Q.44] Transaction processing system works in the
a) Strategic information layer b) Tactical information layer
c) Operational information layer d) Top layer
Ans: (c) Operational information layer
[Q.45] MYCIN is an example of
a) an expert system b) an information system
c) a cultural system d) None of these
Ans: (a) an expert system [in the field of medicine]
[Q.46] Strategic planning is measurable in terms of
a) days b) months
c) weeks d) years
Ans: (d) years
[Q.47] E-mail is an important function of
a) expert system b) office automation system
c) transaction processing system d) none of these
Ans: (b) office automation system
[Q.48] Payroll and order processing systems are examples of
a) TPS b) DSS c) EIS d) None of these
Ans: (a) TPS (Transaction Processing System)
[Q.49] Robotics and neural networks are related to
a) E-commerce b) artificial intelligence
c) Telecommunication d) None of these
Ans: (b) artificial intelligence
[Q.50] Which one of the following is not a physical component of MIS?
a) Hardware b) Database
c) Information d) Personnel
Ans: (c) Information
[Q.51] Which of the following is the activity subsystem of MIS?
a) Marketing b) Logistics
c) Strategic planning d) Information processing
Ans: (c) Strategic planning
[Q.52] Information systems that include management information, decision support and executive information system are collectively known as
a) Management support systems
b) Operations support systems
c) Cross-functional systems
d) None of these
Ans: (a) Management support systems
[Q.53] Information systems that re-engineer business processes or promote business innovation are examples of
a) decision support systems
b) strategic information systems
c) transaction processing systems
d) management information systems
Ans: (b) strategic information systems
[Q.54] A financial information system encompasses
a) Reports on labour costs and productivity
b) All business transactions and other economic events and is based on the double entry book-keeping concept
c) Cash and investment management, capital budgeting, financial forecasting and
financial planning
d) Order processing, inventory control, accounts receivable and accounts payable.
Ans: b) All business transactions and other economic events and is based on the double entry book-keeping concept
[Q.55] Which of the following is used for ERP software evaluation?
a) The extent to which the development and methodology of the software are object-oriented
b) The ability of the software to handle server and client based data and application logic
c) Ease with which the software can be learned, implemented and taught to employees
d) None of these
Ans: c) Ease with which the software can be learned, implemented and taught to employees
[Q.56] Design making process is a model of
a) 3 stages b) 5 stages
c) 7 stages d) 4 stages
Ans: (d) 4 stages [Intelligence, Design, Choice and Implementation]
[Q.57] Functional integration means that
a) single software support functions for knowledge work are provided as different systems.
b) single software support functions for knowledge work are provided as a single system.
c) external data banks can be accessed through different workstations.
d) users cannot access facilities through a single consistent interface.
Ans: (b) single software support functions for knowledge work are provided as a single system.
[Q.58] The decision in which a problem is solved by a predefined procedure or algorithm is called
a) Structured decision b) Non-structured decision
c) Semi-structured decision d) Both (a) and (b)
Ans: (a) Structured decision
[Q.59] Which of the following statement is true regarding MIS?
a) MIS are primarily meant for providing decision from the data after processing them
b) MIS is designed for individuals rather than for the job position
c) MIS is designed for different levels of management
d) None of these
Ans: (c) MIS is designed for different levels of management
[Q.60] ___________ management is responsible for taking tactical decision.
a) Top level b) Middle level
c) Junior level d) Both (b) and (c)
Ans: (b) Middle level
[Q.61] Management information systems (MIS)
a) create and share documents that support day-to-day office activities
b) process business transactions (e.g., time cards, payments, orders, etc.
c) capture and reproduce the knowledge of an expert problem solver
d) use the transaction data to produce information needed by managers to run the business
Ans: d) use the transaction data to produce information needed by managers to run the business
[Q.62] Which one of the following is not a business driver for an information system?
a) business process redesign
b) knowledge asset management
c) proliferation of networks and the Internet
d) security and privacy
e) collaboration and partnership
Ans: (c) proliferation of networks and the Internet
[Hint: Business driver means a business-related need/reason for growth in the adoption of information systems. Option (c) is a technological driver]
[Q.63] Decision makers who are concerned with tactical (short-term) operational problems and decision making are
a) middle managers b) executive managers
c) supervisors d) none of the above
Ans: (a) middle managers
[Q.64] The general transformation cycle for information is:
a) information to data to knowledge.
b) knowledge to data to information.
c) data to knowledge to information.
d) data to information to knowledge.
e) none of the above
Ans: (d) data to information to knowledge.
[Q.65] The most important attribute of information quality that a manager requires is:
a) relevance
b) media
c) presentation
d) timeliness
e)none of the above.
Ans: (a) relevance
[Q.66] To improve the performance of a business process, which of the following is most relevant?
a) Input
b) Processing
c) All of the above
d) Control and feedback
e) Output.
Ans: (d) Control and feedback
[Q.67] Monitoring the legal constraints which a company operates under requires review of:
a) a company’s customers.
b) a company’s outputs.
c) a company’s macro-environment.
d) a company’s micro-environment
e) all of the above.
Ans: (c) a company’s macro-environment.
[Q.68] Information systems that support the business functions that reach out to suppliers are known as:
a) back office information systems
b) decision support systems
c) expert information systems
d) front office information systems
e) none of the above
Ans: (a) back office information systems
[Q.69] The flow of transactions through business processes to ensure appropriate checks and approvals are implemented is called:
a) procedures
b) work flow
c) process flow
d) process requirements
e) procedures
Ans: (b) work flow