Deck 30: Business Process Management

Question 1

A customer's credit is checked before checking the availability of goods in order to ________.

A)increase the rate of credit approval of customers
B)arrange for the special terms requested
C)prevent the wastage of shipping-verification labor
D)align the processes with organizational goals

Answer 1

C

Question 2

Give an example to illustrate how business processes fail to work when misaligned with an organization's goals.

Answer 2

Business processes do not work well when they are misaligned with an organization's goals, objectives, or competitive strategy.The most obvious reason for changing a process is that it has efficiency or effectiveness problems.Consider a sales process.If the organization's goal is to provide high-quality service, then if the process takes too long or if it rejects credit inappropriately, it is ineffective and needs to be changed.

Question 3

Repositories are most often collections of data.

Answer 3

True

Question 4

A business will be in crisis continually, dealing with one process emergency after another, when it ________.

A)plans to develop the business process
B)actively seeks to change business processes
C)waits and lets the need for change just happen to it
D)plans to update its business process

Question 5

While processing a purchase order, if a customer's request for special terms is disapproved, the cost of checking availability and credit is wasted.

Question 6

When the assessment process indicates that a significant need for change has arisen, the Business Process Management cycle is ________.

A)repeated
B)terminated
C)altered
D)updated

Question 7

In which of the following types of business process management (BPM)scopes does problem resolution via committee and policy occur?

A)functional
B)departmental
C)inter-enterprise
D)enterprise

Question 8

A(n)________ is a network of activities, actors, roles, repositories, and data and sequence flows that interact to accomplish a business function.

A)business enterprise
B)business process
C)inventory network
D)communication system

Question 9

Acecom Automobiles, an automobile manufacturing company, has always stocked steel and aluminum for its manufacturing process.However, it has now decided to procure the material directly from the manufacturer, instead of stocking it.This decision will lead to a change in Acecom's ________.

A)product line
B)supply chain
C)credit policy
D)distribution structure

Question 10

John's furniture manufacturing company receives an order for 500 chairs from the city school.Which of the following is the first step John should take to process the order?

A)check customer credit
B)approve special terms
C)verify availability
D)prepare a quotation

Question 11

Which of the following steps is the most appropriate if a company decides to accept more risk and sell to companies with lower credit scores?

A)modifying the credit checking process
B)implementing different ways of checking credit
C)approving special terms before checking the credit
D)shipping the inventory directly from the manufacturer to lower the credit

Question 12

In which of the following situations will credit checking be made the first step in the procedure of processing an order?

A)during recession
B)during a merger
C)during an acquisition
D)during inflation

Question 13

Business process management (BPM)cannot be applied to nonprofit organizations.

Question 14

Which of the following is the first step in a business process management (BPM)cycle?

A)defining business process requirements
B)creating models of business processes
C)implementing the needed business processes
D)assessing business process effectiveness

Question 15

How can a change in customers, product lines, and supply chains affect business processes?

Question 16

Describe business process management (BPM)in brief.

Question 17

Which of the following is an example of an inter-enterprise scope?

A)supply chain management
B)enterprise resource management
C)accounts management
D)customer relationship management

Question 18

A substantial change in the business environment, like the onset of recession, might mean that checking credit becomes unnecessary.

Question 19

The credit-check process is independent of the inclusion or exclusion of new categories of customers.

Question 20

Which of the following statements is true about the relationship between business processes and information systems (IS)?

A)A business process and an information system (IS)have the same purpose.
B)An information system (IS)in an organization is used by only one business process.
C)Every activity in a business process is a component of an information system (IS).
D)Information system (IS)elements are embedded within a business process.

Question 21

A procedure is a component of an information system and is embedded within a process activity.

Question 22

A particular information system cannot be used by multiple single business processes simultaneously.

Question 23

The resolution of implementation problems can be difficult for enterprise and inter-enterprise processes because there is no recognized authority to enforce solutions.

Question 24

The difficulty of creating an as-is process diagram depends on the sophistication of the organization.

Question 25

The relation between business processes and information systems is many-to-many.

Question 26

Which of the following statements is true about choosing whether to develop information systems (IS)or business processes first?

A)For a business process that is being constructed, building an information system (IS)after creating the business process is likely to cause problems.
B)If an information system is built after the creation of business processes, other business processes that use the same information system (IS)can be integrated easily.
C)If business processes are built after the information system (IS)development process, activities that are not part of the IS may not be considered.
D)If an information system (IS)is built first, the development team should determine the requirements by itself.

Question 27

Every activity of a business process involves an information system.

Question 28

If employees are already using an information system (IS), one way of adjusting role resources is to improve the information system so as to facilitate a new process.

Question 29

Business processes and information systems overlap.

Question 30

An advantage of an enterprise resource planning (ERP)system is that to implement it, an organization need not attempt to do everything at once.

Question 31

Both information systems and business processes can be purchased off-the-shelf.

Question 32

What are the three principles that relate business processes and information systems?

Question 33

The components and purpose of a business process and an information system are the same.

Question 34

Which of the following statements is true about designing, creating, and implementing a new business process?

A)Process changes that don't work can be undone easily.
B)Computer simulation of alternative processes is inexpensive.
C)Technology may change during the development process.
D)Resolution of implementation problems is easier for enterprise processes.

Question 35

Enterprise resource planning (ERP)vendors do not include business processes as a part of the software package.

Question 36

Which of the following statements is true about process problems?

A)The task of solving a process problem is ideally given to systems analysts.
B)An as-is diagram for business processes exists in all organizations.
C)Business analysts prefer to use process schematics instead of Business Process Modeling Notation.
D)When a business process has simply evolved, it is possible that no one knows the entire process.

Question 37

Creating computer programs and designing databases in-house is more affordable than buying off-the-shelf software.

Question 38

An application that works for the business processes developed initially is likely to include functions that will cater to business processes designed in the future.

Question 39

A business process need not use just one information system.

Question 40

An application that includes business processes as part of the package requires time for integration and training.