Exam 11: Information Systems Management

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In the next decade, running a computer center for anyone other than a cloud vendor is not a promising career.

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True

Explain how the benefits of outsourcing are outweighed by its long-term costs.

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Outsourcing can appear too good to be True.Some of the benefits of outsourcing that are outweighed by its long-term costs are:
•High unit cost, forever-Although a fixed cost does indeed cap exposure, it also removes the benefits of economies of scale.
•Paying for someone else's mismanagement-An organization can find itself paying for another organization's mismanagement or may suffer the consequences of poor management, such as lost data.
•In time, outsource vendor is de facto sole source-The outsource vendor may change its pricing strategy over time.Initially, an organization obtains a competitive bid from several outsource vendors.However, as the winning vendor learns more about the business and as relationships develop between the organization's employees and those of the vendor, it becomes difficult for other firms to compete for subsequent contracts.The vendor becomes the de facto sole source and, with little competitive pressure, might increase its prices.

Which of the following statements is True about users of information systems?

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C

Which of the following statements is True of the operations group in an organization's information system (IS) department?

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In the information system (IS) department, the ________ group manages the process of creating new information systems as well as maintaining existing information systems.

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________ is a form of outsourcing.

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Maintaining alignment between information systems direction with organizational strategy is a one-time process.

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Information systems (IS) must evolve as the organization merges with other organizations or as divisions are sold.

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Which of the following statements is a characteristic of outsourcing?

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If an organization runs information systems that provide little support to accounting, its chief information officer will most likely report to the ________.

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The purpose of a ________ group is to protect data and information assets by establishing data standards and data management practices and policies.

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Acquiring licensed software is a form of outsourcing.

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Replacing an outsource vendor, who is integrated into the business, can be done without a lot of expenditure or duplication of effort.

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A steering committee is a group of senior managers from the major business functions that works with the chief information officer (CIO) to set the information systems (IS) priorities.

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Adapting information systems (IS) to new versions of business processes is a quick process.

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Which of the following is a risk of outsourcing information systems (IS)/ information technology (IT) functions?

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Most organizations will move their internal hardware infrastructure to the cloud in the next decade.

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The structure of the information systems (IS) department remains constant across organizations.

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In the information systems (IS) industry, a technical writer develops test plans, and designs and writes automated test scripts.

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Which of the following statements is True about outsourcing?

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