Chapter 14 Test Bank

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Chapter 14 - Test bank
Management Information Systems (Lebanese International University )
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Management Information Systems, 14e (Laudon)

Chapter 14 Managing Projects
1) On average, private sector IT projects underestimated budget and delivery time of systems by
________ percent.
A) 30
B) 40
C) 50
D) 60
E) 70
Answer: C
Page Ref: 543
Difficulty: Moderate
AACSB: Reflective thinking
CASE: Content
LO: 14.1: What are the objectives of project management and why is it so essential in
developing information systems?
2) As discussed in the chapter, which of the following is not one of the immediate consequences
of inadequate software project management?
A) cost overruns
B) customer loyalty
C) time slippage
D) technical shortfalls
E) failure to obtain anticipated benefits
Answer: B
Page Ref: 544
Difficulty: Easy
AACSB: Analytical thinking
CASE: Analysis
3) Which of the following is not one of the five main variables affecting project success?
A) risk
B) vendors
C) time
D) quality
E) cost
Answer: B
Page Ref: 546-549
CASE: Content
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4) You have been hired to implement an enterprise system that will automate much of the billing
and accounting work for a statewide HVAC services company. Which of the following would
you prepare to describe how the new system will affect a firm's structure and operations?
A) information systems plan
B) internal integration report
C) sociotechnical design report
D) organizational impact analysis
E) strategic planning document
Answer: D
Page Ref: 564
CASE: Synthesis
5) All of the following are indications of a failed information systems project except
A) employees are refusing to switch to the new system.
B) employees have created a spreadsheet solution to manipulate the data generated by the
system.
C) a redesigned Web site has fewer visits to the customer support pages.
D) employees require training to properly use the system.
E) the system is not being used by anyone.
Answer: D
Page Ref: 544
CASE: Content
6) Which of the following project management variables indicates how well the project satisfies
management objectives?
A) goals
B) risk
C) quality
D) scope
E) cost
Answer: C
Page Ref: 548
Difficulty: Easy
CASE: Content
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7) Which of the following statistics from studies on failed projects is not true?
A) Only 32 percent of all technology investments were completed on time, on budget, and
with all features and functions originally specified.
B) Large software projects on average run 66 percent over budget and 33 percent over schedule.
C) Between 30 and 40 percent of all software projects are "runaway" projects that far exceed the
original schedule and budget projections and fail to perform as originally specified.
D) Thirty-two percent of technology investments are completed on time, within budget, and with
requirements met.
E) The average cost overrun of IT projects is 20 percent.
Answer: E
Page Ref: 544
CASE: Content
8) The cost of a project is based on the time to complete a project multiplied by the cost of
human
resources required to complete the project.
Answer: TRUE
Page Ref: 548
CASE: Content
9) An information system project's scope is directly related to its business requirements.

Answer: TRUE
Page Ref: 546
CASE: Analysis
10) ________ refers to the application of knowledge, skills, tools and techniques to achieve
specific targets within specified budget and time constraints.
Answer: Project management
Page Ref: 546
Difficulty: Easy
CASE: Content
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11) One of the five major variables in project management, ________ is an indicator of how well
the project satisfies management objectives.
Answer: quality
Page Ref: 548
Difficulty: Easy
CASE: Content
12) The ________ is the part of the system that users interact with.
Answer: user interface
Page Ref: 544
Difficulty: Easy
CASE: Content
13) A planned series of related activities for achieving a specific business goal is called a(n)
________.
Answer: project
Page Ref: 546
Difficulty: Easy
CASE: Content
14) At the top of the management structure for information systems projects in a large company
is
A) project management.
B) the CIO.
C) the corporate strategic planning group.
D) the board of directors.
E) chief executive officer (CEO).
Answer: C
Page Ref: 549
CASE: Content
LO: 14.2: What methods can be used for selecting and evaluating information systems projects
and aligning them with the firm's business goals?
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15) The ________ reviews and approves plans for systems in all divisions.
A) project management group
B) project team
C) IS steering committee
D) corporate strategic planning committee
E) chief executive officer (CEO)
Answer: C
Page Ref: 550
CASE: Content
16) The ________ consists of systems analysts, specialists from the relevant end-user business
areas, application programmers, and perhaps database specialists.
B) project team
E) system planning committee
Answer: B
Page Ref: 550
CASE: Content
17) The ________ is directly responsible for the individual systems project.
B) project team
E) systems planning committee
Answer: B
Page Ref: 550
CASE: Content
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18) A road map indicating the direction of systems development, the rationale, the current
systems, new developments to consider, the management strategy, the implementation plan, and
the budget is called a(n)
A) project plan.
B) portfolio analysis.
C) information systems plan.
D) enterprise analysis.
E) strategic planning document.
Answer: C
Page Ref: 550
CASE: Content
19) The central method used in a portfolio analysis is to

A) inventory all of the organization's information systems projects and assets.
B) perform a weighted comparison of the criteria used to evaluate a system.
C) survey a large sample of managers on their objectives, decision-making process, and uses and
needs for data and information.
D) interview a small number of top managers to identify their goals and criteria for achieving
success.
E) score proposed systems on a number of dimensions, and select the one with the highest score.
Answer: A
Page Ref: 552
CASE: Content
20) In using a portfolio analysis to determine which IT projects to pursue, you would
A) select the most low-risk projects from the inventory.
B) limit work to those projects with great rewards.
C) select only low-risk, high-reward projects.
D) balance high-risk, high reward projects with lower-risk projects.
E) avoid projects that were very costly.
Answer: D
Page Ref: 552
CASE: Content
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21) Which method would you use to develop risk profiles for a firm's information system
projects and assets?
B) scoring model
C) portfolio analysis
D) TCO
E) real options model
Answer: C
Page Ref: 552
CASE: Content
22) You have been hired by a pharmaceutical company to evaluate its inventory of systems and
IT projects. Which types of projects would be best avoided?
A) any high-risk projects
B) any low-benefit projects
C) all high-risk, low-benefit projects
D) none, any project might be beneficial
E) low cost, high benefit projects
Answer: C
Page Ref: 552
CASE: Analysis
23) The central method used in a scoring model is to

A) inventory all of the organization's information systems projects and assets.
B) perform a weighted comparison of the criteria used to evaluate a system.
C) survey a large sample of managers on their objectives, decision-making process, and uses and
needs for data and information.
D) interview a small number of top managers to identify their goals and criteria for achieving
success.
E) calculate the return on investment for each system, and choose the system with the best return.
Answer: B
Page Ref: 553
CASE: Content
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24) Which method is used to assign weights to various features of a system?

B) scoring model
C) portfolio analysis
D) TCO
E) real options model
Answer: B
Page Ref: 552
Difficulty: Easy
CASE: Content
25) The criteria used for evaluation in a scoring model are usually determined by
A) lengthy discussions among the decision-making group.
B) portfolio analysis.
C) the IS steering committee.
D) systems analysts.
E) project managers.
Answer: A
Page Ref: 552
Difficulty: Difficult
CASE: Content
26) The information systems steering committee is composed of information systems managers
and end-user managers responsible for overseeing several specific information systems projects.
Answer: FALSE
Page Ref: 550
CASE: Content
27) An information systems plan contains a statement of corporate goals and specifies how
information technology will support the attainment of those goals.
Answer: TRUE
Page Ref: 550
CASE: Content
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28) If an intended benefit of an IT project is improved decision making, managers should

develop a set of metrics to quantify the value of an improved decision.
Answer: TRUE
Page Ref: 550
CASE: Content
29) Scoring models are most commonly used to make the final decision when selecting different
systems .
Answer: FALSE
Page Ref: 552
CASE: Content
30) A(n) ________ is a method for deciding among alternative systems based on a system of
ratings for selected objectives.
Answer: scoring model
Page Ref: 552
CASE: Content
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31) You are working as a project manager for a small IT consulting firm and have been asked to
create a plan for reviewing and auditing completed projects in order to gauge their success. What
factors will you use to measure the success of a project? What questions would you ask in order
to understand why a project succeeded or failed?
Answer: Student answers will vary but should include an understanding of the main project
variables: scope, time, cost, quality, and risk. A sample answer is:
The factors I would use are:
• Cost: What was the original budget and final budget?
• Time: What was the original schedule and final schedule?
• Quality: Did the project meet the requirements outlined in the project plan?
• Scope: Did the scope of the project change?
Questions I would ask to understand the success or failure of the project would be:
• What technical difficulties were experienced and which could have been foreseen?
• What risks did the project entail?
• What events led to the scope changing?
• What difficulties occurred that were a consequence of personal, employee-oriented
problems?
• What difficulties occurred that were a consequence of environmental, organizational, or
managerial challenges?
• What do project team members consider as the primary challenges?
• What do clients or stakeholders consider as the primary challenges?
Page Ref: 543-549
CASE: Synthesis
32) Describe the elements of a management structure for information systems projects in a large
corporation.
Answer: In a large corporation, the management structure typically consists of (from top to
bottom levels in the hierarchy):
• Corporate strategic planning group: The higher level group of managers responsible for
developing the firm's strategic plan.
• Information systems steering committee: A senior management group with responsibility
for systems development and operation.
• Project management: A group of information systems managers and end-user managers
responsible for overseeing several specific information systems projects.
• Project team: The group directly responsible for the individual systems project, consisting
of systems analysts, specialists from the relevant end-user business areas, application
programmers, and perhaps database specialists.
Page Ref: 549-553
CASE: Analysis
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33) List five types of information that should be included in an information systems plan.
Answer: General categories of information included in an information plan are:
• Purpose of the plan
• Business rationale
• Current systems or situation
• New developments to consider
• Management strategy
• Implementation plan
• Budget
Page Ref: 550-551
CASE: Analysis
34) You have been hired as a consultant for a nationwide real estate firm, Cross & Deptford, who
are interested in achieving better organization between branches by updating their information
systems, but are not sure what will suit their needs. What will you recommend they do in order to
determine the most effective IT projects?
Answer: Cross & Deptford first should have an information systems plan created to determine
what their information requirements are and what systems will support their business goals. They
will need to inventory their existing systems and develop metrics to quantify any future
improvements are made. They can use portfolio analysis and/or scoring models to help determine
the most important information systems projects to pursue.
Page Ref: 552-556
CASE: Evaluation
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35) Describe the process of portfolio analysis. In what situations is this evaluation method
useful?
Answer: Portfolio analysis inventories all of the organization's information systems projects and
assets, including infrastructure, outsourcing contracts, and licenses. Each project can be
described as having a profile of risk and benefit to the firm, similar to the financial portfolio. In a
portfolio analysis, you would list the various systems projects and rate them according to their
potential risks and benefits. You would use the portfolio analysis to determine which potential
projects should be pursued and which should be modified or abandoned. High-risk, low-benefit
projects should be avoided, while low-risk, high-benefit projects would be at the top of the list.
High-benefit, high-risk projects and low-risk, low-benefit projects would be reexamined to see if
they could be modified to better fit with the company's strategic plans. A mix of profiles could
also be defined as acceptable in terms of the company's overall plans, much as is done with a
financial portfolio.
Page Ref: 552
Difficulty: Easy
CASE: Evaluation
36) You have been hired as a consultant to make recommendations for Smarty's, a healthy fast-
food chain that is undergoing major expansion and is in need of a supply chain planning system.
They are evaluating two commercially available software packages. What systems evaluation
model will help them assess and compare the two packages? How does this model work?
Answer: A scoring model can be used for selecting projects where many criteria must be
considered. It assigns weights to various features of a system and then calculates the weighted
totals. What Smarty's would do is have decision makers such as top managers list the various
features they feel are important to have in the system, such as the processes that need support or
reports they may need from the system. Each feature, or criteria, the managers list is given a
weight, or rating, in terms of how important it is overall to have in the system. Each package
then is evaluated in terms of the percentage of requirements it contributes or supports for each
criteria. In the scoring model, you multiply the weight with the software's percentage of
contribution to arrive at a score for each criteria. The scores of both software packages are
totaled and compared to see overall their contribution to fulfilling the company's requirements.
Page Ref: 552-553
CASE: Analysis
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37) You are using a capital budgeting method to assess the worth of your company's new
information system. Which of the following costs would you include in measuring the cash
outflow?
A) increased sales of products
B) hardware and software expenditures
C) labor expenditures
D) reduced costs in production and operation
E) both B and C
Answer: E
Page Ref: 554-555
CASE: Evaluation
LO: 14.3: How can firms assess the business value of information systems?
38) The worth of systems from a financial perspective essentially revolves around the issue of
A) total cost of ownership.
B) adherence to information requirements.
C) asset utilization.
D) return on invested capital.
E) the cost of computing equipment.
Answer: D
Page Ref: 553
Difficulty: Easy
CASE: Evaluation
39) All of the following are intangible benefits of information systems except
A) improved asset utilization.
B) increased organizational learning.
C) improved operations.
D) reduced workforce.
E) employee morale.
Answer: D
Page Ref: 553
CASE: Content
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40) Which of the following is not a tangible benefit of information systems?

A) reduced rate of growth in expenses
B) lower computer expenses
C) improved resource control
D) increased productivity
E) end user satisfaction
Answer: C
Page Ref: 555
CASE: Content
41) The principal capital budgeting models for evaluating information technology projects are
the payback method, the accounting rate of return on investment (ROI), the net present value,
and the
A) future present value.
B) internal rate of return.
C) external rate of return.
D) ROPM (real options pricing model).
E) present value of future cash flows
Answer: B
Page Ref: 555
CASE: Content
42) In working with ROPMs (real option pricing models) and options valuation, a call option is
a(n)
A) obligation to purchase an asset at a later date at a fixed price.
B) obligation to either purchase or sell an asset at a later date at a strike price.
C) right to purchase an asset at a later date at a strike price.
D) right to purchase or sell an asset at a later date at a fixed price.
E) an obligation to sell an asset at a later date at a fixed price.
Answer: D
Page Ref: 556
CASE: Content
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43) ROPMs (real options pricing models) value information systems similar to stock options, in
that
A) ROPMs can be bought and sold like stocks.
B) a company's worth can be evaluated by the worth of their ROPMs.
C) initial expenditures on IT projects are seen as creating the right to pursue and obtain benefits
from the system at a later date.
D) expenditures and benefits from IT projects are seen as inflows and outflows of cash that can
be treated themselves like options.
E) the price paid today for information systems reflects their future cash flows.
Answer: C
Page Ref: 556
CASE: Analysis
44) To best evaluate, from a financial standpoint, an IT investment whose benefits cannot be
firmly established in advance, you would use
A) capital budgeting.
B) the real option pricing model.
C) a scoring model.
D) the net present value.
E) a portfolio analysis.
Answer: B
Page Ref: 556
CASE: Analysis
45) Which of the following is a limitation of using a financial approach to evaluate information
systems?
A) inability to measure ROI
B) inability to control vendor costs
C) inability to assess risk
D) inability to assess costs from organizational disruption
E) inability to assess the cost of technology
Answer: D
Page Ref: 557
Difficulty: Easy
CASE: Evaluation
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46) Transaction and clerical systems that displace labor and save space typically produce more
measurable, tangible benefits than management information systems.
Answer: TRUE
Page Ref: 553
CASE: Content
47) Intangible benefits generally do not lead to quantifiable gains in the long run.
Answer: TRUE
Page Ref: 555
Difficulty: Easy
CASE: Content
48) A benefit of using TCO analysis to evaluate an information technology investment is that it
is able to incorporate intangible and "soft" factors such as benefits and complexity costs.
Answer: FALSE
Page Ref: 554
CASE: Content
49) More timely information is a intangible benefit of information systems.

Answer: TRUE
Page Ref: 555
CASE: Content
50) Real options pricing models use the concept of options valuation borrowed from the financial
industry.
Answer: TRUE
Page Ref: 556
Difficulty: Easy
CASE: Content
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51) ________ methods rely on measures of cash flows into and out of the firm.
Answer: Capital budgeting
Page Ref: 554
CASE: Content
52) In one strategic approach to determining information requirements, managers select a small
number of ________ that reflect firm success and profitability.
Answer: KPIs, key performance indicators
Page Ref: 552
CASE: Content
53) Differentiate between intangible and tangible benefits and list three examples of each. In
what types of systems are intangible benefits more predominant?
Answer: Tangible benefits can be quantified and given a monetary value. For example, a
monetary value can be given to increased productivity, lower operational costs, reduced
workforce, lower computer expenses, lower outside vendor costs, lower clerical and professional
costs, reduced rate of growth in expenses, and reduced facility, telecommunications, software,
services, and personnel costs.
Intangible benefits cannot be immediately quantified but may lead to quantifiable gains in the
long run, such as higher sales. Examples of intangible benefits include: improved asset
utilization, resource control, organizational planning, decision making, operations, increased
flexibility, learning, job satisfaction, client satisfaction, employee goodwill, more timely
information and more information, the fulfillment of legal requirements and a better corporate
image.
Systems that produce more intangible benefits are MIS, DSS, and collaborative work systems.
Page Ref: 553-556
CASE: Evaluation
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54) What is the purpose of using a real options pricing model to estimate the potential value of
an information systems project?
Answer: Some information systems projects are highly uncertain, especially investments in IT
infrastructure. Their future revenue streams are unclear and their up-front costs are high. For
example, consider a $20 million investment to upgrade your firm's IT infrastructure. If this
upgraded infrastructure were available, the organization would have the technology capabilities
to respond more easily to future problems and opportunities. Although the costs of this
investment can be calculated, not all of the benefits of making this investment can be established
in advance. But if the firm waits a few years until the revenue potential becomes more obvious, it
might be too late to make the infrastructure investment. It is in these cases that managers might
benefit from using real options pricing models to evaluate information technology investments.
Real options pricing models (ROPMs) value information systems projects similar to stock
options, where an initial expenditure on technology creates the right, but not the obligation, to
obtain the benefits associated with further development and deployment of the technology as
long as management has the freedom to cancel, restart, or change the project. ROPMs give
managers the flexibility to stage their IT investment or test the waters with small pilot projects or
prototypes to gain more knowledge about the risks of a project before investing in the entire
implementation. Valuation borrowed from the financial industry.
Page Ref: 556-557
CASE: Analysis
55) Which of the following projects is the riskiest?

A) a project that managers are concerned will affect their roles and job descriptions
B) a project that requires technical expertise that your firm's IT employees do not have
C) a project that has a strict deadline, or sales will suffer
D) a project that will automate many clerical duties
E) a project that will displace employees
Answer: A
Page Ref: 557
CASE: Synthesis
LO: 14.4: What are the principal risk factors in information systems projects, and how can they
be managed?
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56) Which of the following statements best describes the effect that project structure has on
overall project risk?
A) Highly structured projects are more complex, and run a higher risk of programmers and users
misunderstanding the ultimate goals.
B) Projects with relatively undefined goals are more likely to be subjected to users changing
requirements and to run a higher risk of not satisfying project goals.
C) Highly structured projects tend to be larger, affecting more organizational units, and run both
the risk of out-of-control costs and becoming too difficult to control.
D) Less structured projects are more able to be quickly developed, tested, and implemented using
cutting-edge RAD and JAD development techniques, and pose less risk of running up unforeseen
costs.
E) the less structured a project, the greater the freedom of users to define the system
Answer: B
Page Ref: 557
CASE: Analysis
be managed?
57) The project risk will rise if the project team and the IS staff lack
A) legacy applications as a starting point.
B) good equipment.
C) the required technical expertise.
D) financial studies and plans.
E) a committed management group of executive leaders.
Answer: C
Page Ref: 558
CASE: Content
be managed?
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58) The organizational activities working toward the adoption, management, and routinization of
a new information system are called
A) production.
B) maintenance.
C) implementation.
D) acceptance.
E) final acceptance.
Answer: C
Page Ref: 558
Difficulty: Easy
CASE: Content
be managed?
59) One example of an implementation problem is

A) poor user interface.
B) inadequate user training.
C) project running over budget.
D) changes in job activities and responsibilities.
E) reduction in labor force.
Answer: B
Page Ref: 561
CASE: Analysis
be managed?
60) According to your reading of the chapter, change management is a process that
A) should be addressed before a project is developed.
B) begins when a project is implemented.
C) is used primarily to mandate user acceptance.
D) must be addressed in all systems development.
E) is introduced after the system is developed.
Answer: A
Page Ref: 559
Difficulty: Easy
CASE: Evaluation
be managed?
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61) Users prefer systems that

A) are oriented to facilitating organizational tasks and solving business problems.
B) work with existing DBMS.
C) are able to provide optimum hardware and software efficiency.
D) are capable of storing much more data than they need.
E) have an easy-to-learn interface.
Answer: A
Page Ref: 559
CASE: Content
be managed?
62) Which of the following is not one of the activities of the systems analyst?
A) acting as a change agent
B) communication with users
C) mediating between competing interest groups
D) formulation of capital budgeting models
E) deciding which systems to develop
Answer: D
Page Ref: 558
Difficulty: Easy
CASE: Content
be managed?
63) Which of the following types of projects is most likely to fail?

A) integration of a third-party automated payment system
B) replacement of middleware with Web services for legacy application integration
C) a business process redesign project that restructures workflow and responsibilities
D) redesigning a user interface to an online investment site
E) building a Web-based interface to an existing system
Answer: C
Page Ref: 560-561
CASE: Evaluation
be managed?
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64) Which of the following is not a responsibility of effective change management?

A) integrating legacy systems
B) dealing with fear and anxiety about new systems
C) training users of the new system
D) enforcing user participation at all stages of system development
E) ensuring users are properly trained
Answer: A
Page Ref: 559-560
CASE: Analysis
be managed?
65) Which of the following tools is not one you would use to control risk factors in an
information systems project?
A) internal integration tools
B) external integration tools
C) formal planning tools and formal control tools
D) real options pricing models
E) Gantt charts
Answer: D
Page Ref: 560-561
Difficulty: Easy
CASE: Content
be managed?
66) Internal integration tools

A) enable a project to have sufficient technical support for project management and
development.
B) enable a project manager to properly document and monitor project plans.
C) portray a project as a network diagram with numbered nodes representing project tasks.
D) consist of ways to link the work of the implementation team with users at all organization
levels.
E) enable end users to communicate with system developers.
Answer: A
Page Ref: 560
CASE: Content
be managed?
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67) An example of using an internal integration tool would be to

A) define task dependencies.
B) include user representatives as active members of the project team.
C) create a PERT chart.
D) hold frequent project team meetings.
E) develop a system planning document for technical specialists.
Answer: D
Page Ref: 560
CASE: Synthesis
be managed?
68) Formal planning and control tools

development.
levels.
E) enable senior management to track the development of systems.
Answer: B
Page Ref: 561
CASE: Content
be managed?
69) Which type of planning tool shows each task as a horizontal bar whose length is proportional
to the time required to complete it?
A) PERT chart
B) Gantt chart
C) both A and B
D) neither A nor B
Answer: B
Page Ref: 561
CASE: Content
be managed?
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70) To review a project's tasks and their interrelationships, you would use a
A) PERT chart.
B) Gantt chart.
C) either A or B.
D) neither A nor B.
Answer: A
Page Ref: 561
CASE: Content
be managed?
71) Which type of tool helps project managers identify bottlenecks in project development?
A) internal integration tools
B) external integration tools
C) formal planning and control tools
D) both B and C
Answer: C
Page Ref: 561
Difficulty: Easy
CASE: Content
be managed?
72) External integration tools

development.
levels.
Answer: D
Page Ref: 561
CASE: Content
be managed?
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73) An example of using an external integration tool would be to

A) define task dependencies.
B) include user representatives as active members of the project team.
C) create a PERT chart.
D) hold frequent project team meetings.
Answer: B
Page Ref: 561
CASE: Synthesis
be managed?
74) Which of the following is not an organizational factor in systems planning and
implementation?
A) standards and performance monitoring
B) government regulatory compliance
C) health and safety
D) user interface
Answer: D
Page Ref: 564
Difficulty: Easy
CASE: Content
be managed?
75) In sociotechnical design

A) separate sets of technical and social design solutions are developed and compared.
B) ergonomic features of a system and the system's technical design are given equal importance.
C) systems analysts with proven backgrounds in sociological concerns rate and compare a
system's social and technical aspects.
D) all of the above.
Answer: A
Page Ref: 564
CASE: Content
be managed?
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76) The most widely used project management software today is

A) Vertabase.
B) IBM Project Guide.
C) Microsoft Project.
D) Microsoft Excel.
Answer: C
Page Ref: 565
Difficulty: Easy
CASE: Content
be managed?
77) The larger the systems project, the greater the chance that the project will be completed on
time, within budget, and according to project requirements.
Answer: FALSE
Page Ref: 557
Difficulty: Easy
CASE: Content
be managed?
78) The systems analyst is the catalyst for the entire change process and is responsible for
making sure that everyone involved accepts the changes created by a new system.
Answer: TRUE
Page Ref: 558
Difficulty: Easy
CASE: Content
be managed?
79) The relationship between users and information systems specialists has traditionally been a
problem area for information systems implementation efforts.
Answer: TRUE
Page Ref: 558
Difficulty: Easy
CASE: Content
be managed?
26

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80) User concerns and designer concerns are usually the same at the beginning of the project but
may diverge later as the system is built.
Answer: FALSE
Page Ref: 558- 559
CASE: Content
be managed?
81) A Gantt chart graphically depicts project tasks and their interrelationships.
Answer: FALSE
Page Ref: 561
CASE: Content
be managed?
82) Mandatory use of a system is one effective way of overcoming user resistance to an
information system.
Answer: FALSE
Page Ref: 563
CASE: Analysis
be managed?
83) Counterimplementation refers to a deliberate strategy to thwart the implementation of an

information system or an innovation in an organization.
Answer: TRUE
Page Ref: 563
CASE: Content
be managed?
27

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84) The design of jobs, health issues, and the end-user interface of information systems are all
considerations in the field of ergonomics.
Answer: TRUE
Page Ref: 564
CASE: Content
be managed?
85) The goal of sociotechnical design is to create systems where the organization and the
technology change and adjust to one another.
Answer: TRUE
Page Ref: 564
CASE: Content
be managed?
86) Successful system building requires careful ________ management to minimize

organizational resistance.
Answer: change
Page Ref: 558
CASE: Content
be managed?
87) A user-designer ________ occurs when there is a difference in background, interests and
priorities that impedes discussion and problem solving among users and IS specialists.
Answer: communications gap
Page Ref: 558
CASE: Content
be managed?
28

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88) ________ is the interaction of people and machines in the work environment, including the
design of jobs, health issues, and the end-user interface of information systems.
Answer: Ergonomics
Page Ref: 564
CASE: Content
be managed?
89) You are the senior project manager for a Web development company with upwards of 100
current client projects. You have been assigned to evaluate two upcoming projects. One project
is to develop a time- tracking solution that would allow your 20 freelancers to submit daily time
sheets and would report on the time spent on each project. The other project is to redesign the
client interface to the company extranet to make it easier to use. The extranet allows clients to
log in and view their current Web sites under development, as well as view project statistics,
documents, and progress reports. Compare the two projects in terms of risk factors.
Answer: Student answers will vary but should include an understanding of the main risks
factors: size, structure, and technical expertise. An example answer is:
The main risk factors are size, structure, and technical expertise.
• Size. The time-tracking project is a larger project: It involves creating new programming that
may interface with back-end systems and will immediately influence payment and cost. It also
affects business processes. Redesigning an interface for the client extranet may simply be
designing one or two pages that will be replicated for each client once the initial design is done.
• Structure. It may be easier to define the requirements of the time-tracking software, as this
process is relatively straightforward. Understanding what makes the user interface problematic
and defining ways to make it easier to use is somewhat of a less tangible quality than reporting
on time, so this may be a concern in the second project.
• Technical expertise. Since the time-tracking project is a new application, there may be some
issues of making sure any in-house staff has the appropriate level of expertise. The user interface
involves working with existing programming that will not change. However, there may be a need
to make sure that an expert who understands usability is present.
Page Ref: 557-558
CASE: Evaluation
be managed?
29

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90) Americlinic, a national chain of budget health-care clinics, is creating an information system
that will allow patients and doctors at participating franchises to communicate online. The goal
of the system is to allow doctors to respond to minor health questions quickly and more
efficiently, saving patients unnecessary visits to the clinic. This will be a major procedural
change. What steps would you recommend to this company to ensure the user acceptance of the
system?
Answer: The first step should be to conduct an organizational impact analysis, to determine the
changes in procedures, job function, organizational structure, power relationships, and behavior
that this system requires or will engender. Any organizational changes should occur prior to
implementing the system. In order to gain compliance and support of the doctors, I would
establish a review committee of influential participating doctors and change agents to discuss the
system prior to development and during development in order to meet physician needs and
requirements. I would also involve focus groups of intended users to review prototypes of the
system to make sure it is easy to use, and hopefully easier to use in the relevant health situations
than going to the doctor. The company will need to make sure that there is also an option for
users that do not have Internet access. User training for doctors and nurses will be essential. The
company should also consider incentives for doctors and patients that use the system.
Page Ref: 558-565
CASE: Synthesis
be managed?
30

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Chapter 14 - Test bank

Management Information Systems (Lebanese International University )

StuDocu is not sponsored or endorsed by any college or university

Management Information Systems, 14e (Laudon)

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9) An information system project's scope is directly related to its business requirements.

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19) The central method used in a portfolio analysis is to

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23) The central method used in a scoring model is to

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24) Which method is used to assign weights to various features of a system?

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28) If an intended benefit of an IT project is improved decision making, managers should

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40) Which of the following is not a tangible benefit of information systems?

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49) More timely information is a intangible benefit of information systems.

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55) Which of the following projects is the riskiest?

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59) One example of an implementation problem is

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61) Users prefer systems that

63) Which of the following types of projects is most likely to fail?

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64) Which of the following is not a responsibility of effective change management?

66) Internal integration tools

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67) An example of using an internal integration tool would be to

68) Formal planning and control tools

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72) External integration tools

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73) An example of using an external integration tool would be to

75) In sociotechnical design

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76) The most widely used project management software today is

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83) Counterimplementation refers to a deliberate strategy to thwart the implementation of an

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86) Successful system building requires careful ________ management to minimize

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