Exam 9: The Business of Information Technology

This is a term used to describe a person who aligns business and IT strategies and uses technology to create a competitive advantage.

An IT dashboard provides:

Often the customer of an IT organization is not an external customer but rather an internal customer.

A CIO must spend part of the day performing _____ tasks and the some part of the day working on operational tasks. Rarely can a CIO focus on just one task in any given day.

WalMart, the world's largest retailer, uses RFID tags to track movement of goods across its intense supply chain. One identifiable benefit is that pallets of goods no longer need to be manually logged by a worker when received. Instead, an information system automatically logs the goods as they arrive. This benefit is identified as which type of business change:

This costing technique looks beyond the initial capital investment of an IT solution and includes costs associated with technical support, administration, training and system retirement.

An airport is in the process of implementing a new baggage claim system that tags each passenger's baggage with RFID. Readers are installed around the airport to track bags and see that the baggage is delivered to the right plane or the right carrousel. The airport is considering different funding models to see if the airlines, the airport or the passengers will be charged. Use the three funding models to explain how this new IT could be funded.

Activity based costing _____________

The business side of IT is very different from the business itself.

Match the three levels of Business-IT maturity to the business organization's approach to IT. Remember that Level 3 is more mature than Level 1.

The allocation method is the most equitable funding method used by many IT organizations.

Match the activity an IT organization provides with its description.

All of the following are new roles found in an IT organization today EXCEPT:

To justify an IT investment and receive necessary support and approval, a manager must often create a(n) ________________.

Match the three levels of Business-IT maturity to the term that best describes the level of maturity. Remember that Level 3 is more mature than Level 1. -

In the early days of IT, the CIO would report to the ____ as IT was seen as a way to control costs. As technology has become more strategic and able to deliver a competitive advantage, CIOs now report directly to the ____.

What does CIO stand for?

Peter Weill's produced a study that identified the 4 main categories that make up a company's IT portfolio: the IT infrastructure, transactional systems, informational systems, and strategic systems. Weill's research shows that most companies spend a majority of their IT portfolio on the 1.______ and the least amount of money is spent on the 2. __________. A company that is seeking to be highly agile should spend more money on the 3. __________ to provide a nimble platform and less money on the 4. _________ which tends to lock in current business processes.

Match the dashboard with its appropriate description.

Match the title with its responsibility.