1. The Bullwhip Effect occurs when minor fluctuations in retail demand cause BIG changes in inventory levels for the distributor, the manufacturer, and the suppliers. What did Dr. Diller suggest is the BEST strategy to prevent this from happening?

   All supply chain members should use SCM tools to improve their INFORMATION-SHARING capabilities.

   All supply chain members should carry sufficient amounts of SAFETY STOCK.

   All supply chain members should align their processes to adopt a PULL-based strategy.

   All supply chain members should align their processes to adopt a PUSH-based strategy.

1. Electronic Data Interchange (EDI) transactions were widely adopted and used in industries because:

   EDI is a widely-accepted document standard that caters to every major industry.

   EDI has moved from a private-network service to a web-enabled service.

   EDI enables automated processing of documents and transactions in enterprise software systems.

   All of the above.

QUESTION 3

1. Which of the following is TRUE, regarding Enterprise Systems (or ERP software)?

   The software utilizes best practices, so it works all the time... every time. It never fails.

   Firms never have to change anything about the way they work... the software guarantees success.

   The software is relatively cheap to purchase and easy to install.

   Firms can select the specific functions (or modules) of the software that they want to use.

QUESTION 4

1. Powell Motors is a car manufacturer that has adopted Porter's"focused differentiation" generic strategy--they want to make customized cars for a very specific type of consumer.Powell's executives were advised to establish partnerships with web-based companies that consistently interact with the same target audience.If these partnerships were successful in referring customers who ultimately bought Powell cars,which revenue model would likely benefit the web-based company MOST?

   Market creator

   Affiliate

   Advertising

   Service provider

QUESTION 5

1. What is the foundation of a firm's DSS? What should it allow the firm to do?

   AI and collaborative tools - Automatically generate solutions to rare or highly-complex problems

   AI and collaborative tools - Automate everything and eliminate people to reduce personnel costs

   Mathematical or analytical models - Solve unstructured problems automatically

   Mathematical or analytical models - Enable managers to perform sensitivity or "What-if" analyses

QUESTION 6

1. Sprawl-Mart is a Springfield-based discount retailer that has committed to a"cost leadership"generic strategy.They have approachedyou to advise them on the best strategic tactics for them to leverage their competitive advantage in the future.Whatshouldyourecommend?

   Lower prices immediately, as this will generate higher sales revenues and gross profits than their competitors

   Maintain current industryprices,as their cost structure enables them to earn higher profit margins than their competitors

   Usedataanalytics toengage in perfect price discrimination,as this will allow them to maximize their profits for every customer

   Leverage the power of big data analysis, as data mining will specifically identify keyinfluencers, who will drive future revenue gains

QUESTION 7

1. At the close of every business day, clerksatGordman'smust verify their store inventory and determine if any thefts have occurred. This is an example of what kind of decision?

   Structured

   Procedural

   Semi-structured

   Unstructured

QUESTION 8

1. Powell Motors is a small, niche-oriented custom car manufacturer in Springfield. They are a family-owned company that produces only about 200 cars/year, so they don't have a lot of employees or an extensive network of suppliers. Occasionally, their customers request specific materials and components for the cars they order, and Powell's procurement staff often has a difficult time finding them. What kind of E-Commerce entity would help Powell acquire the special parts they need when they need them?

   Private Industrial Network

   Internet of Things (IoT)

   Net Marketplace

   Knowledge Management Value Chain

QUESTION 9

1. Moe is considering developing an expert system for his bar, to help him fulfill his customers' obscure drink requests more efficiently. He approaches you and is concerned about the cost of developing this system. How should you respond to Moe?

   Expert systems are usually very costly to develop, because they focus on replicating unstructured processes.

   Expert systems are usually inexpensive to develop, but he will need new hardware (like a touch-screen ordering system).

   Expert systems are usually inexpensive to develop, so he should hire a development firm right away.

   Expert systems are usually very costly to develop, so it might just be cheaper to hire expert bartenders.

QUESTION 10

1. Dr. Hibbert is considering purchasing knowledge management software to help him better serve his medical patients. The salesperson tells him that the software uses "intelligence" to figure out how to cure his patients. Which technique is most likely being used in the software?

   Neural Networks

   Machine Learning

   Fuzzy Logic

   Case-Based Reasoning

QUESTION 11

1. What of the following figures/calculations is MOST important to a firm that has adopted Porter's "customer intimacy" generic strategy?

   Customer Lifetime Value

   Customer Switching Cost

   Transaction Cost

   Dynamic Pricing Value

2. Question 12
3. WhichofthefollowingisFALSEaboutafirm'sCRMsysteminvestments?

   Itcanimprovecustomerrelationships,butCRMisonlyusedforcustomer-relateddata.

   ItcanimproverelationshipswithpartnersviaPRMmodules/strategies.

   ItcanimprovesalesforceeffectivenessviaSFAmodules/strategies.

   ItcanimproveemployeeproductivityviaERMmodules/strategies.

QUESTION 13

1. In his lecture on Chapter 12, Dr. Diller praised 3M's KMS systems as being truly effective. What reason(s) did he cite for their success?

   3M's KMS systems give EVERY employee the ability to document the things they discover on the job.

   3M's KMS systems are used to continually develop and refine their strategic plan.

   3M's KMS systems are based on a wiki, which allows the knowledge to be distributed/applied easily.

   All of the above.

QUESTION 14

1. The "balanced scorecard" approach:

   forces managers to focus on things they can influence today.

   blends measurable dimensions (such as financial data) with unmeasurable dimensions (such as customer satisfaction).

   forces managers to focus on things in the recent past that have affected current performance.

   blends many flows of information to help operational managers make better semi-structured decisions.

QUESTION 15

1. Which term best describes a system that incorporates location-based data and maps?

   Decision Information System (DIS).

   Geographic Information System (GIS).

   Global Positioning System (GPS).

   Cartographic Visualization System (CVS).