Questions & Answers for Mid-Term Examination
1- Identify and describe the three levels of the organizational hierarchy. Which types of information systems serve each level? Answer:
The three levels of the organizational hierarchy:
Types of information systems serve each level:
Operational-level systems: support operational mangers, keeping track of the elementary activities and transactions. Management-level systems: serve the monitoring, controlling, decision-making, and administrative activities of middle managers. Strategic-level systems: help senior management tackle and address strategic issues. 2- List and briefly describe the major types of system in organization? Answer:
Transaction Processing Systems (TPS): are the basic business systems that serve the operational level of the organization. And it is also a computerized system that performs and records the daily routine transactions necessary to conduct business. Management Information Systems (MIS): serve the management level of the organization, providing managers with reports and often-online access to the organization’s current performance and historical records and primarily serve the functions of planning, controlling, and decision-making. Decision-Support System (DSS): also serve the management level or the organization. DSS help mangers make decisions that are unique, rapidly changing, and not easily specified in advance. Executive Support System (ESS): serve the strategic level of the organization. They address non-routine decisions requiring judgment, evaluation, and insight because there is no agreed on procedure for arriving at a solution.
3- What are the five types of TPS in business organizations? What functions do they perform? Give example of each. Answer:
Five types of TPS with example:
Sale/Marketing Systems (eg. Sale management, customer service…) Manufacturing/Production Systems (eg. Purchase order, scheduling,…..) Finance/Accounting Systems (eg. General ledger, payroll…….) Human Resources Systems (eg. Personnel records, training,…….) Other types of TPS that are unique to a particular industry. (eg. University: admissions, grade records,…..)
4- What are the characteristics of MIS? How do MIS differ from TPS? From DSS? Answer:
Characteristics of MIS: (Inputs: high volume transaction level data; Processing: simple models; Outputs: summary reports; Users: Middle Manager) MIS differ from TPS: MIS serve at management level and TPS serve at Operational level. MIS differ from ESS: MIS serve at management level and ESS serve at strategic level.
5- What are the characteristics for DSS? How do they differ from those of ESS? Answer:
Characteristics for DSS: (Inputs: transaction level data; Processing: Interactive; Outputs: Decision analysis; Users: Professional and staff) DSS differ from ESS: DSS serve at management level and ESS serve at strategic level and its characteristics are: Inputs: Aggregate data; Outputs: projections; Users: senior managers.
6- Describe the relationship between TPS, MIS, and ESS.
The relationship between TPS, MIS, and ESS: TPS are typically a major source of data for other systems, data also be exchanged to MIS to produce reports, whereas ESS are primarily a recipient of date from lower-level systems.
7- List and describe the information systems serving each of the major functional areas of a business. Answer:
Sale and Marketing Systems:
Enter, process, and track orders
Determine prices for products and services
Sale and forecasting
Prepare 5 years sales forecasts
Manufacturing and Production Systems
Control the actions of machines and equipment
Decide when and how many products should be produced...
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