INSTRUCTOR’S MANUAL
INFORMATION SYSTEMS TODAY:
MANAGING IN THE DIGITAL WORLD
CHAPTER NO. 01: MANAGING IN THE DIGITAL WORLD
ANSWERS TO REVIEW QUESTIONS
1-1. Describe the major challenges societies face.
Answer:
Major challenges are as follows:
• The digital divide is a major ethical challenge facing society today when you consider the
strong linkage between computer literacy and a person’s ability to compete in the digital
world.
• People in rural communities, the elderly, people with disabilities, and minorities lag
behind national averages for Internet access and computer literacy.
• A wider gap exists in the developing countries where infrastructure and financial
resources are lacking.
LO: 1— Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Reflective Thinking Skills, Ethical Understanding and Reasoning Abilities
1-2. Define the term knowledge worker. Who coined the term?
Answer:
Peter Drucker first used the term in 1959. It is generally taken to refer to workers who use, create,
modify, and/or synthesize knowledge as a fundamental part of their jobs.
LO: 1— Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and IT megatrends shaping the digital future.
AACSB: Reflective Thinking Skills
1-3. Name your two favorite mobile devices. For each device, discuss how it has influenced your
work or personal life.
Answer:
Answers may vary.
LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Reflective Thinking Skills
1-4. Describe how increasing digital density enables new business models.
Answer:
With the rapid change in new technologies, many companies have gained competitive advantage
by innovation as a result of increasing digital density. This is the result of organizations moving
away from in-house research and development and using an open research model reaching out to
customers and others. This innovation leads to an increasing amount of connected data enabling
new value-added interactions and business models.
, LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Use of Information Technology
1-5. List and describe several opportunities and challenges brought about by globalization.
Answer:
Opportunities include:
• It has opened up many opportunities for organizations, brought about by falling
transportation and telecommunication costs.
• Lower shipping costs.
• Moving cultures closer together.
• Streaming of media content from other countries at low costs.
• The creation of new markets from the rapid rise of a new middle class in developing
countries.
• The tremendous decrease in communication costs has increased the use of outsourcing.
Challenges include:
• Governmental challenges related to differences in political systems, regulatory
environments, laws, standards, or individual freedoms.
• Geoeconomic challenges include differences in infrastructure, demographics, welfare, or
workers’ expertise.
• Organizations face cultural challenges, such as dealing with differences in languages,
beliefs, attitudes, religions, or life focus but also different viewpoints regarding
intellectual property.
LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Reflective Thinking Skills, Dynamics of the Global Economy
1-6. Compare and contrast how the digital divide manifests in different parts of the world.
Answer:
In the U.S. the digital divide is rapidly shrinking, although those people in rural communities, the
elderly, people with disabilities, and minorities lag behind national averages for Internet access
and computer literacy. Outside the United States and other developed countries, the gap gets
even wider and the obstacles get much more difficult to overcome, particularly in the developing
countries where infrastructure and financial resources are lacking. For example, most developing
countries are lacking modern informational resources such as affordable Internet access or
efficient electronic payment methods like credit cards.
LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Analytic Skills, Multicultural and Diversity Understanding
1-7. Define and contrast data, information, and knowledge.
Answer:
Data are raw symbols, such as words and numbers. Data have no meaning in and of themselves,
and are of little value until processed.
Information is a representation of reality, and can help to answer questions about who, what,
where, and when.
, Knowledge is the ability to understand information, form opinions, and make decisions or
predictions based on the information.
LO: 2—Explain what an information system is, contrasting its data, technology, people, and
organizational components.
AACSB: Analytic Skills
1-8. Describe three or four types of jobs and career opportunities in information systems and in related
fields.
Answer:
There are a large number of different career opportunities. Likely to be mentioned are some from
the following list.
IS
Job Title Job Description
Activity
Analyze business requirements and select information systems that meet
Systems Analyst
Develop those needs.
Software Developer Code, test, debug, and install programs.
Systems Consultant Provide IS knowledge to external clients.
Audit information systems and operating procedures for compliance with
IS Auditor
Maintain internal and external standards.
Database
Manage database and database management software use.
Administrator
Webmaster Manage the firm’s Web site.
IS Manager Manage existing information system.
IS Security
Manage security measures and disaster recovery.
Manager
Chief Information Highest-ranking IS manager; oversee strategic planning and IS use
Manage Officer (CIO) throughout the firm.
Chief Digital Executive focused on converting traditional "analog" businesses to
Officer digital; oversee operations in rapidly changing digital sectors like mobile
(CDO) apps and social media.
University Teach undergraduate and graduate students; study the use of information
Study Professor systems in organizations and society.
Government Perform research and development of information systems for homeland
Scientist security, intelligence, and other related applications.
LO: 2—Explain what an information system is, contrasting its data, technology, people, and
organizational components.
AACSB: Reflective Thinking Skills
1-9. List and define four of the systems knowledge and/or skills core competencies.
Answer:
Systems Knowledge and Skills
Systems integration Connectivity, compatibility, integrating subsystems and systems
Development methodologies Steps in systems analysis and design, systems development life cycle,
alternative development methodologies
Critical thinking Challenging one’s and others’ assumptions and ideas
Problem solving Information gathering and synthesis, problem identification, solution
formulation, comparison, and choice
LO: 2—Explain what an information system is, contrasting its data, technology, people, and
organizational components.
, AACSB: Use of Information Technology
1-10. List and define five types of information systems used in organizations.
Answer:
There are many types of information systems used in organizations. Likely to be mentioned are
some from the following list.
Type of Systems Purpose Sample Application
Transaction processing system Process day-to-day business Grocery store checkout cash
event data at the operational register with connection to
level of the organization. network; student registration
system
Management information system Produce detailed information to Inventory management and
help manage a firm or a part of a planning system; student
firm. enrollment management
Decision support system Provide analysis tools and Product demand forecasting
access to databases in order to system; loan and investment
support quantitative decision analysis
making.
Intelligent system Emulate or enhance human Automated system for
capabilities. analyzing bank loan
applications; self-driving car
Business intelligence system Analyze Big Data to better Online analytical processing
understand various aspects of a (OLAP) system
business.
Office automation system Support a wide range of Word processor, spreadsheet,
(personal productivity software) predefined day-to-day work presentation software, e-mail
activities of individuals and client
small groups.
Collaboration system Enable people to communicate, Electronic mail system with
collaborate, and coordinate with automated, shared calendar
each another.
Knowledge management system Enable the generation, storage, Knowledge portal for finding
sharing, and management of answers to common questions
knowledge assets.
Social software Facilitates collaboration and Social network, connecting
knowledge sharing. colleagues and friends
Geographical information system Create, store, analyze, and Site selection for new
manage geographically shopping mall
referenced data.
Functional area information Support the activities within a Planning system for personnel
system specific functional area of a training and work assignments
firm.
Customer relationship Support interaction between a Sales force automation, lead
management system firm and its customers. generation
Enterprise resource planning Support and integrate all facets Financial, operations, and
system of the business, including human resource management
planning, manufacturing, sales,
marketing, and so on.
Supply chain management system Support the coordination of Procurement planning
suppliers, product or service
production, and distribution
INFORMATION SYSTEMS TODAY:
MANAGING IN THE DIGITAL WORLD
CHAPTER NO. 01: MANAGING IN THE DIGITAL WORLD
ANSWERS TO REVIEW QUESTIONS
1-1. Describe the major challenges societies face.
Answer:
Major challenges are as follows:
• The digital divide is a major ethical challenge facing society today when you consider the
strong linkage between computer literacy and a person’s ability to compete in the digital
world.
• People in rural communities, the elderly, people with disabilities, and minorities lag
behind national averages for Internet access and computer literacy.
• A wider gap exists in the developing countries where infrastructure and financial
resources are lacking.
LO: 1— Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Reflective Thinking Skills, Ethical Understanding and Reasoning Abilities
1-2. Define the term knowledge worker. Who coined the term?
Answer:
Peter Drucker first used the term in 1959. It is generally taken to refer to workers who use, create,
modify, and/or synthesize knowledge as a fundamental part of their jobs.
LO: 1— Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and IT megatrends shaping the digital future.
AACSB: Reflective Thinking Skills
1-3. Name your two favorite mobile devices. For each device, discuss how it has influenced your
work or personal life.
Answer:
Answers may vary.
LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Reflective Thinking Skills
1-4. Describe how increasing digital density enables new business models.
Answer:
With the rapid change in new technologies, many companies have gained competitive advantage
by innovation as a result of increasing digital density. This is the result of organizations moving
away from in-house research and development and using an open research model reaching out to
customers and others. This innovation leads to an increasing amount of connected data enabling
new value-added interactions and business models.
, LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Use of Information Technology
1-5. List and describe several opportunities and challenges brought about by globalization.
Answer:
Opportunities include:
• It has opened up many opportunities for organizations, brought about by falling
transportation and telecommunication costs.
• Lower shipping costs.
• Moving cultures closer together.
• Streaming of media content from other countries at low costs.
• The creation of new markets from the rapid rise of a new middle class in developing
countries.
• The tremendous decrease in communication costs has increased the use of outsourcing.
Challenges include:
• Governmental challenges related to differences in political systems, regulatory
environments, laws, standards, or individual freedoms.
• Geoeconomic challenges include differences in infrastructure, demographics, welfare, or
workers’ expertise.
• Organizations face cultural challenges, such as dealing with differences in languages,
beliefs, attitudes, religions, or life focus but also different viewpoints regarding
intellectual property.
LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Reflective Thinking Skills, Dynamics of the Global Economy
1-6. Compare and contrast how the digital divide manifests in different parts of the world.
Answer:
In the U.S. the digital divide is rapidly shrinking, although those people in rural communities, the
elderly, people with disabilities, and minorities lag behind national averages for Internet access
and computer literacy. Outside the United States and other developed countries, the gap gets
even wider and the obstacles get much more difficult to overcome, particularly in the developing
countries where infrastructure and financial resources are lacking. For example, most developing
countries are lacking modern informational resources such as affordable Internet access or
efficient electronic payment methods like credit cards.
LO: 1—Describe the characteristics of the digital world, contemporary societal issues of the
digital world, and how increasing digital density is shaping the digital future.
AACSB: Analytic Skills, Multicultural and Diversity Understanding
1-7. Define and contrast data, information, and knowledge.
Answer:
Data are raw symbols, such as words and numbers. Data have no meaning in and of themselves,
and are of little value until processed.
Information is a representation of reality, and can help to answer questions about who, what,
where, and when.
, Knowledge is the ability to understand information, form opinions, and make decisions or
predictions based on the information.
LO: 2—Explain what an information system is, contrasting its data, technology, people, and
organizational components.
AACSB: Analytic Skills
1-8. Describe three or four types of jobs and career opportunities in information systems and in related
fields.
Answer:
There are a large number of different career opportunities. Likely to be mentioned are some from
the following list.
IS
Job Title Job Description
Activity
Analyze business requirements and select information systems that meet
Systems Analyst
Develop those needs.
Software Developer Code, test, debug, and install programs.
Systems Consultant Provide IS knowledge to external clients.
Audit information systems and operating procedures for compliance with
IS Auditor
Maintain internal and external standards.
Database
Manage database and database management software use.
Administrator
Webmaster Manage the firm’s Web site.
IS Manager Manage existing information system.
IS Security
Manage security measures and disaster recovery.
Manager
Chief Information Highest-ranking IS manager; oversee strategic planning and IS use
Manage Officer (CIO) throughout the firm.
Chief Digital Executive focused on converting traditional "analog" businesses to
Officer digital; oversee operations in rapidly changing digital sectors like mobile
(CDO) apps and social media.
University Teach undergraduate and graduate students; study the use of information
Study Professor systems in organizations and society.
Government Perform research and development of information systems for homeland
Scientist security, intelligence, and other related applications.
LO: 2—Explain what an information system is, contrasting its data, technology, people, and
organizational components.
AACSB: Reflective Thinking Skills
1-9. List and define four of the systems knowledge and/or skills core competencies.
Answer:
Systems Knowledge and Skills
Systems integration Connectivity, compatibility, integrating subsystems and systems
Development methodologies Steps in systems analysis and design, systems development life cycle,
alternative development methodologies
Critical thinking Challenging one’s and others’ assumptions and ideas
Problem solving Information gathering and synthesis, problem identification, solution
formulation, comparison, and choice
LO: 2—Explain what an information system is, contrasting its data, technology, people, and
organizational components.
, AACSB: Use of Information Technology
1-10. List and define five types of information systems used in organizations.
Answer:
There are many types of information systems used in organizations. Likely to be mentioned are
some from the following list.
Type of Systems Purpose Sample Application
Transaction processing system Process day-to-day business Grocery store checkout cash
event data at the operational register with connection to
level of the organization. network; student registration
system
Management information system Produce detailed information to Inventory management and
help manage a firm or a part of a planning system; student
firm. enrollment management
Decision support system Provide analysis tools and Product demand forecasting
access to databases in order to system; loan and investment
support quantitative decision analysis
making.
Intelligent system Emulate or enhance human Automated system for
capabilities. analyzing bank loan
applications; self-driving car
Business intelligence system Analyze Big Data to better Online analytical processing
understand various aspects of a (OLAP) system
business.
Office automation system Support a wide range of Word processor, spreadsheet,
(personal productivity software) predefined day-to-day work presentation software, e-mail
activities of individuals and client
small groups.
Collaboration system Enable people to communicate, Electronic mail system with
collaborate, and coordinate with automated, shared calendar
each another.
Knowledge management system Enable the generation, storage, Knowledge portal for finding
sharing, and management of answers to common questions
knowledge assets.
Social software Facilitates collaboration and Social network, connecting
knowledge sharing. colleagues and friends
Geographical information system Create, store, analyze, and Site selection for new
manage geographically shopping mall
referenced data.
Functional area information Support the activities within a Planning system for personnel
system specific functional area of a training and work assignments
firm.
Customer relationship Support interaction between a Sales force automation, lead
management system firm and its customers. generation
Enterprise resource planning Support and integrate all facets Financial, operations, and
system of the business, including human resource management
planning, manufacturing, sales,
marketing, and so on.
Supply chain management system Support the coordination of Procurement planning
suppliers, product or service
production, and distribution
