information system for business

8/12/2019 information system for business

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Student Number ........................................

2

In the unlikely event that your paper is confused with another we ask that you fill in your name and

student number below before starting this paper. Make sure both are written very clearly. This is

OPTIONAL and you do not have to fill it in if you wish but it does enable us to be doubly sure that your

exam mark is correctly recorded.

NAME .................…................................... STUDENT NUMBER .....................................

INSTRUCTIONS

You must answer all four questions.

Write your answers in the spaces provided.

To make the presentation of your answer easier to read by the examiner, you may use dot points after a

short introduction or lead in sentence.

Extra answer space is provided at the end of this paper in the rare case that you will need it. If you do use

this extra space make sure to indicate where an answer has been continued.

PLEASE NOTE:

This exam paper is out of 100 marks.

There are 4 questions worth 25 marks each.

You have two hours to complete the paper plus reading time.

This equates to 1.2 minutes per mark or 30 minutes per question.

The rest of this page is blank.Question 1 starts on the next page



Student Number ........................................

3

Question 1 Information Systems and ICT Platforms in Business Solutions

Iceberg Groceries Ltd is a chain of stores specialising in only frozen groceries. The size and type of store

varies according to the location. Some stores sell a large range of products while others may specialise in

certain types of frozen products according to demand. In addition, some stores sell freezers and other

items related to frozen food such as freezer bags, ice trays and so on. Currently the supermarket chain

buys all of their products from wholesalers and distributes them to individual stores.

(a) Give an example of an operational decision that Iceberg Groceries personnel would make each

day. Briefly describe an information system that could be used to assist those decisions.

An example of an Operational Decision– look for something like preparation of a invoice, back

office systems like inventory of food systems, systems to help order something like a fridge,

calculation and so on

Description of an Operation Information System – basic low-end system to replace a manual task.

The usual such as highly structured, limited decision making, fixed method of doing things and so

on. Often automated systems. They may say TPS (or Transaction Processing system but they alsoneed to describe it)

(b) Give an example of a managerial decision that Iceberg Groceries personnel would make each day.

Briefly describe an information system that could be used to assist those decisions.

An example of a Managerial Decision – Middle management examining budget in a particular area

say costs for against budget, systems to help allocate people to jobs, something comparing progress,

that sort of thing

Description of a Managerial Information System - concerns allocation and utilisation of resources

– tactical decisions. Often mixture of structured and unstructured decisions depending on the type

of system. Again they may mention MIS but they should also describe

(c) Give an example of a strategic decision that Iceberg Groceries might make in a year.

Briefly describe an information system that could be used to assist those decisions.

An example of a Strategic Decision - Strategic decisions that look to the long term – often unique.

Examining trends at the grocery business say trends, new products, new stores etc . Introduction of

something new. Decisions about expansion and so on

Description of a Strategic Information System – highly unstructured, EIS systems. Augmented

systems that support decision making not make the decision itself, support the decision

(3 x 3 = 9 marks)

(d) One of the major advantages of ERP systems is that they can assist with business intelligence.

What is meant by the term business intelligence? What is meant by ERP systems? Using Iceberg

Groceries Ltd as an example, in what ways can an ERP system assist business intelligence?

Business Intelligence is a system that provides the right information, to the right user, at the right

timw. A tool produces the information, but the system ensures that the right information is

delivered to the right user at the right time. (Kroenke definition) (2 marks)

.........................................................................................................................................................................

An ERP Systems is the integration of all the organisations principal processes. Truly enterprise

wide. (2marks)



Student Number ........................................

4

(d) continued

An ERP systems can help business intelligence by: As an ERP system integrates all of the principle

processes of an organization they can tract customers, process orders, manage inventory and all

accounting functions across the entire organization.

Example might be any one of the above but make sure they relate it to Iceberg (3 marks)

(7 marks)

In 2005, Patrick McDermott went missing at sea and was presumed to have died. He owed a substantial

amount of money to creditors and had a large life insurance policy. It was believed he faked his death. In

an effort to find him, a private company was hired by a current affairs TV show. The investigators set up

a website called www.findpatrickmcdermott.com which contained a secret piece of Spyware software that

tracked the IP address (that is, the Internet address) of any person who visited the site. Using this software

they discovered that Patrick McDermott logged on to the web site on many occasions and they were able

to track his movements. They have discovered that he is now alive in Mexico or South America.

(NineMSN 2nd February, 2009)

(e) Is it valid to use the Spyware software in this case? Briefly justify your answer.

Chances are students will answer this question quite well. Look for how they argue the points.

(3 marks)

Now imagine that this same piece of IP tracking software (Spyware) was used by a commercial company

to track the addresses of customers and use it for commercial gain.

(f) Is it valid to use Spyware in this case? You should make sure to justify your reasons. Your answer

should outline some of the ethical issues associated with the use of this piece of Spyware

software. Note, make sure to use paragraphs or dot points for separate parts of your answer

Depending on how they argue the first part check to see first of all that they are consistent or thatthey can argue the difference based on the different cases. Reward a student who appears to try to

justify their answer although they may be a little inconsistent. It is worth 6 marks so they have got

about 7 minutes to answer this question. This means that they should have thought about it and

written a bit. Brief answers therefore should not be rewarded highly.

(6 marks)



Student Number ........................................

6

These are listed in Kreonke on page 183 and include sourcing function such as finding vendors,

ordering function – sending and receiving and the settlement function which involves receiving

goods etc.

(4 marks)

(e) Briefly explain how the factors of facilities, inventory, transportation and information (see

Kroenke page 465) may affect the supply chain performance of the supermarket in this case study

and its profitability

I suggest you read Kroenke page 464 – 465 on this

Facilities: things such as the location of the warehouse, storage in the shops, driveways, how they

receive the goods

Inventory: how they manage inventory – not only the size but ordering for example, easy of

locating goods in storage

Transportation: not only the physical method, rail or truck etc but also who does it – maybe

outsourced

Information: The real SCM from an IS perspective. How you get the info and use it.

They have 10 minutes to do this question so I am looking for them to relate this back to the

supermarket example.

I mark for each if they have outlined it and 1 mark if it relates to the supermarket

(8 marks)



Student Number ........................................

7

Question 3 Database Management Systems

Imagine that you have been asked to build a web-based database application for a university class

enrolment system. As part of the process you are to build an entity-relationship diagram, identify the

attributes of the entities and develop a database application.

(a) Draw a separate entity-relationship diagram (ERD) for each of the following statements:

A Staff member must belong to only one Department but a Department may have many Staff.

A Subject may have many Classes but a Class must be associated with only one Subject

A Staff Member must have a Room and a Room must have only one Staff Member

(9 marks)

(b) Your next task is to develop the data dictionary for the Staff entity. In the table below nominate

three (3) possible attributes (including the primary key) of the Staff entity including the data type

and description. Make sure to identify a primary key.

Attribute Data Type Description of Attribute

StaffNumber or

ID etcInteger The Primary Key

StaffName or

first name etc

Text (50) Name of staff member

StaffPhoneNum

ber

Number or textPhone number of the staff member

(1 mark for each - 7 marks)



Student Number ........................................

8

(c) What is meant by the term Query as used with a DBMS?

A query is a request for data from a database

(2 marks)

(d) Provide an example of a query and briefly explain its components.

They should describe a meaningful query to obtain data such as a list of staff or students. Most

students will not write out the query but they should be able to articulate that it contains a list of

the fields to be displayed and from which table(s)

(3 marks)

Information should be of value, that is, the benefits of the information must outweigh the costs. However,

there can be both tangible and intangible costs and benefits of good information. Tangible means things

you can measure while intangible means things you cannot measure.

(Based on Problem 2 in Kroenke on Page 34)

(e) Describe one tangible cost and one tangible benefit, and one intangible cost and one intangible

benefit of information for a web-based student class enrolment system in the case study above.

Tangible cost of good information: the most obvious example is the cost of they system to produce the

information

Intangible cost of good information: any cost that cannot be measured or is difficult to measure.

Ongoing maintenance is an obvious one.

Tangible benefit of good information: Save time coming into uni to re-enrol.

Intangible benefit of good information: less stress associated with driving to uni or spending time

with family – that sort of thing. Or it could be other things such as more accurate information

hence less errors hence less need to correct enrolments by office staff.

(4 marks)



Student Number ........................................

9

Question 4 Data Communications, eCommerce and Information Systems Development

(a) Suppose you are the manufacturer of specialist consumer kitchen appliances and you are about to

bring out a new line of mixers that will make the existing model obsolete. Assume you have 500

mixers of the existing model in inventory. Describe two (2) different eCommerce strategies to

help dispose of the old mixers.

(Based on Problem 1 in Kroenke on Page 461)

One option would be to sell the mixers directly to the consumer on an auction Web site in order to

clear the inventory. Another option would be to offer the entire inventory as a lot over an auction

site geared to the industry. Finally, the inventory could be listed on an electronic exchange geared

toward the industry. I would look for strategies such as directly selling to customers (special

clearance for exam) or selling to distributors cheaply

(6 marks)

(b) Briefly describe what is meant by a client-server computing? Identify the major components.

Client-server computing is a network where there are intelligent ‘client’ computers that can do

things such as word processing and a ‘server’ that stores data in a central location for access by

clients. It may hold networking programs

Look for something along these lines

(4 marks)

(c) Outline one (1) method for system conversion from an old system to a new system. Your answershould include the advantages and disadvantages of the method identified.

One method of system conversion is: it is one of the 4 ‘P’ They should only mention ONE. Either

Plunge, Phased, Parallel or Pilot and describe it. (1 mark)

The advantages and disadvantages of the method include: they should then outline one advantage

and disadvantage of the method they choose. Look at Kroenke p 246-8 (2 marks)

(3 marks)



Student Number ........................................

10

(d) It is sometimes difficult for workers to adapt to change when a new system is introduced. One

method to help workers to adapt to a new information system is training. Outline one other

method to help adapt to change and identify when it should be introduced in the Systems

Development Life Cycle (SDLC).

A method (not including training) to help with change would be: any method/techniques to help

users adapt. Look for answers that have things such as involving users in the development, regular

newsletters, periodic demonstrations – anything that you think helps with change (2 marks)

It would be introduced: obviously it would depend on what is being suggested but it should be

realistic and hopefully early in the cycle (2 marks)

(4 marks)

(e) Prototyping is an alternative method to the conventional Systems Development Life Cycle

(SDLC). In what situations would it be better to use prototyping instead of the SDLC? What are

some of the potential problems of using a prototype as a method for developing a system?

A prototype would be used when: is a mock-up of a system or part of a system and is often used

when requirements are not clear. (2 marks)

The disadvantages of a prototype include: there is a perception that the system will be completed

earlier than it actually will and that in the end the system might cost more (particularly if changes

to the requirements are introduced) (2 marks)

(4 marks)

(f) Imagine that you have been asked to review the performance of an ICT help desk within a largeorganization. The help desk is currently operated by an external outsource company. What is

meant by the term Outsourcing? Describe one (1) potential advantage and one (1) potential

disadvantage of using outsourcing for something such as an ICT help desk.

Outsourcing is: the process of hiring another organization to perform a service. (2 marks)

An advantage of outsourcing is: often can save cost, gain experience, free up time

A disadvantage of outsourcing is: lose control, benefits outweighed by long term costs, and no easy

exit (2 marks)

(4 marks)

End of Questions



Student Number ........................................

11

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