Deck 10: System Proposals, Feasibility Studies, Cost-Benefit Analysis, and Improvement Techniques

Question 1

The following are the most important points of a detailed system proposal
(i) who will supply and install the required equipment
(ii) cost-benefit analysis
(iii) comparison of alternative solutions
(iv) implementation plan

A)i, ii and iii
B)i, iii and iv
C)ii, iii and iv
D)ii and iii

Answer 1

ii, iii and iv

Question 2

At the end of the feasibility study the systems analyst

A)meets the users for a discussion
B)gives a summary feasibility report to the management
C)gives a systems proposal to management
D)tells the top management if the system is not feasible

Answer 2

gives a summary feasibility report to the management

Question 3

A cost-benefit analysis is performed to assess

A)economic feasibility
B)operational feasibility
C)technical feasibility
D)all of the above

Answer 3

economic feasibility

Question 4

The primary objective of cost-benefit analysis is

A)to find out direct and indirect cost of developing the information system
B)to determine the tangible benefits of the information system
C)to determine if it is economically worthwhile to invest in developing the information system
D)to determine the intangible benefits of the information system

Question 5

The following assumptions are made in case of break even analysis, except

A)All fixed costs are fixed
B)All variable costs are fixed
C)The prices of input factors are constant
D)Volume of production and volumes of sales are equal

Question 6

At breakeven point there is

A)Profit
B)Loss
C)No profit or loss
D)None of these

Question 7

Which of the following should be taken into account when planning a project?

A)Social environment
B)Political environment
C)Operational environment
D)All of the above

Question 8

Improvement efforts are determined by:

A)Criticality of problems
B)Current performance
C)Priorities for future output
D)All of the above

Question 9

Performance measurement is:

A)The determination of improvement efforts.
B)The process of quantifying action.
C)The improvement of operations.
D)The planning and control of operations.

Question 10

Performance relating to the five operations' objectives can be plotted on which type of diagram?

A)Quality
B)Outcome
C)Polar
D)Satisfaction

Question 11

Which kind of standards are those that are set arbitrarily to reflect some level of performance that is regarded as appropriate or reasonable?

A)Competitor performance standards
B)Target performance standards
C)Historical standards
D)Absolute performance standards

Question 12

For a police department, using competitor performance standards, a competitor might be:

A)A fire service
B)A foreign police authority
C)A similar police department
D)All of the above

Question 13

What approach is used to compare organisation operations with those of other companies?

A)SWOT analysis
B)PERT analysis
C)Benchmarking
D)Competitor performance assessment

Question 14

The origins of benchmarking as it is used today go back to which company?

A)Microsoft
B)Toyota
C)Xerox
D)McDonald's

Question 15

A comparison between operations or parts of operations that are within the same total organisation is called:

A)Internal benchmarking
B)Competitive benchmarking
C)Non-competitive benchmarking
D)External benchmarking

Question 16

Benchmarking against external organisations that do not compete directly in the same markets is called:

A)Non-competitive benchmarking
B)Collaborative benchmarking
C)Practice benchmarking
D)Non-assault benchmarking

Question 17

Which of the following is regarded as a fundamental flaw in the whole concept of benchmarking?

A)It limits improvements to currently accepted methods of operating.
B)It does not involve learning.
C)It limits critical thinking.
D)It is not a continuous process.

Question 18

What matrix positions each factor according to its performance and its importance?

A)Competitive forces matrix
B)Performance importance matrix
C)Importance performance matrix
D)Customer assessment matrix

Question 19

What do the letter 'D' and 'I' stand for in Deming's cycle of improvement?

A)Design and improve
B)Develop and implement
C)Design and implement
D)Define and improve

Question 20

Ishikawa Diagrams are another name for what technique of improvement?

A)Cause-effect diagrams
B)Input-output analysis
C)Process maps
D)Scatter diagrams

Question 21

The principles of the business process re-engineering (BPR) approach do NOT include:

A)Checking that all internal customers act as their own suppliers to identify problems.
B)Scrapping any process line over two years old and starting again from scratch.
C)Striving for improvements in performance by radical rethinking and redesigning the process.
D)Rethinking business processes cross-functionally to organise work around natural information flows.

Question 22

Qualifying competitive factors are those which:

A)Directly win business for the operation.
B)Need to be better than a good industry standard.
C)Are relatively unimportant compared with the others.
D)May not win extra business if the operation improves its performance but can certainly lose business if performance falls below a particular point.

Question 23

Which of the following is not a tool and technique used in the process of Plan Risk Responses

A)Contingent Response Strategies
B)Expert Judgment
C)Risk and Impact Matrix
D)Strategies for positive risks or opportunities

Question 24

During which stage of Risk planning are modeling techniques used to determine overall effects of risks on project objectives for high probability, high impact risks?

A)Identify Risks
B)Plan Risk responses
C)Perform Qualitative risk analysis
D)Perform Quantitative risk analysis