Question 1

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

Accepted Answer

Business technology strategist

Question 2

An IT dashboard provides:

Accepted Answer

A)   Summary information gathered over a period of time.
B)   Statistics on system usage.
C)   A distraction from where more IT attention should be focused.
D)   Current and critical measurements for the organization in an easy to read manner.
E)   A snapshot of a firm's financial data at any given point in time. D

Question 3

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

Accepted Answer

A) True 
 B)False  True

Question 4

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.

Accepted Answer

A)   Administrative
B)   Strategic
C)   Database
D)   Financial
E)   Technology

Question 5

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:

Accepted Answer

A)   Innovation
B)   Efficiency
C)   Cessation
D)   Work force reduction
E)   Doing new things

Question 6

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.

Accepted Answer

The answer of This costing technique looks beyond the initial...

Question 7

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.

Accepted Answer

The answer of An airport is in the process of...

Question 8

Activity based costing _____________

Accepted Answer

A)   groups costs into meaningful buckets that are then distributed based on the activity or product they support.
B)   is useful for allocating small project work.
C)   charges all costs to "cost centers".
D)   considers only initial capital investments.
E)   calculates ongoing maintenance costs.

Question 9

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

Accepted Answer

A) True 
 B)False

Question 10

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.

Accepted Answer

The answer of Match the three levels of Business-IT maturity...

Question 11

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

Accepted Answer

A) True 
 B)False

Question 12

Match the activity an IT organization provides with its description.

Accepted Answer

The answer of Match the activity an IT organization provides...

Question 13

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

Accepted Answer

A)   Community manager
B)   Chief Social Media Officer
C)   Chief Knowledge Officer
D)   Chief Privacy Officer
E)   Chief administrative assistant

Question 14

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

Accepted Answer

A)   IT portfolio
B)   community plan
C)   business case
D)   workflow diagram
E)   business technology plan

Question 15

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.
-

Accepted Answer

The answer of Match the three levels of Business-IT maturity...

Question 16

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 ____.

Accepted Answer

A)   CFO; CEO
B)   CEO; CFO
C)   CFO; COO
D)   COO; CEO
E)   CEO; CTO

Question 17

What does CIO stand for?

Accepted Answer

The answer of What does CIO stand for?...

Question 18

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.

Accepted Answer

The answer of Peter Weill's produced a study that identified...

Question 19

Match the dashboard with its appropriate description.

Accepted Answer

The answer of Match the dashboard with its appropriate description.
...

Question 20

Match the title with its responsibility.

Accepted Answer

The answer of Match the title with its responsibility.
 ...

Exam 9: The Business of Information Technology