IDIS 344 EXAM #1 FINAL TEST
QUESTIONS AND ALL CORRECT
ANSWERS 2026 UPDATED.
Traditional Order Processing - Answer - Customer sends order to sales force
- Orders are collated by sales force
- Collective orders are placed into system
- Account section audits data and approves order
Issues to Traditional Order Processing - Answer - Difficult to track orders from acceptance to
fulfillment, match purchase orders, inventory receipts, and costing
- Subject to human error/mistakes
- Increased paperwork implies increased non value added activities
- Each step causes an unavoidable delay which increases lead time
- Customer service impacts
- Lacks integration
What is an ERP? - Answer Enterprise Resource Planning
Enterprise Resource Planning - Answer - 1960's, computing resources are applied to
manufacturing
- Realized for effective inventory control it needs to be integrated to production schedules
- Integration of financial, manufacturing, and human resources on a single computer system
- Many versions on the market
- Look for cost and functionality
Enterprise Systems - Answer - Also called "enterprise resource planning (ERP) systems"
- Suite of integrated software modules and a common central database
- Collects data from many divisions of firm for use in nearly all of firm's internal business
activities
- Information entered in one process is immediately available for other processes
Why have an ERP system? - Answer - Improves operational efficiency
- Reduces costs and increases profits
- Helps with customer and inventory stratification
,- Integrates all aspects of your operations
- Improve customer service
- Provides analytics
- It still takes people to make this work
- Focused on wholesale distribution
Standard Components of an ERP System - Answer - Finance and Accounting
- Human Resources
- Manufacturing and Production
- Sales and Marketing
Finance and Accounting - Answer - Cash on hand
- Accounts receivable
- Customer credit
- Revenue
Human Resources - Answer - Hours worked
- Labor cost
- Job skills
Manufacturing and Production - Answer - Materials
- Production schedules and capacity
- Shipment dates
- Purchases
Sales and Marketing - Answer - Orders
- Sales forecasts
- Return requests
- Price changes
ERP allows you to track - - Answer - Products
- Salesforce
- Customers
- Vendors
- Financials
, - Provides analytics for informed decision making by leaders
ERP is not an - - Answer - "Autopilot" for companies
- A substitute for knowledge and experience
- Infallible "garbage in-garbage out"
- A decision maker, but it helps to enable decision makers
Cybersecurity - Answer - Better to prevent than treat
"Goldilocks" Theory of Inventory Management - Answer - Don't stock too little inventory
- Don't stock too much inventory
- Stock just the right amount of inventory
Inventory Management in the Real World - Answer - The Market
- The Economy
- Competition
- Vendors
- Customers
- Mother Nature
- Man-made Events
Inventory Management in a Perfect World - Answer - The last item on the shelf is shipped
out to a customer as the replacement is received from the vendor
Why do we receive the item? - Answer - Initial stock of a new item
- Re-stock of an existing inventory item
- Special order of an item
Building the Product Catalog Step #1 - Answer - Purchasing book
- User-created online
- 3-tier catalog (section/group/category)
- Used for pricing, purchasing, inventory management, sales analysis
Building the Product Catalog Step #2 - Answer - Counter book
- Online
QUESTIONS AND ALL CORRECT
ANSWERS 2026 UPDATED.
Traditional Order Processing - Answer - Customer sends order to sales force
- Orders are collated by sales force
- Collective orders are placed into system
- Account section audits data and approves order
Issues to Traditional Order Processing - Answer - Difficult to track orders from acceptance to
fulfillment, match purchase orders, inventory receipts, and costing
- Subject to human error/mistakes
- Increased paperwork implies increased non value added activities
- Each step causes an unavoidable delay which increases lead time
- Customer service impacts
- Lacks integration
What is an ERP? - Answer Enterprise Resource Planning
Enterprise Resource Planning - Answer - 1960's, computing resources are applied to
manufacturing
- Realized for effective inventory control it needs to be integrated to production schedules
- Integration of financial, manufacturing, and human resources on a single computer system
- Many versions on the market
- Look for cost and functionality
Enterprise Systems - Answer - Also called "enterprise resource planning (ERP) systems"
- Suite of integrated software modules and a common central database
- Collects data from many divisions of firm for use in nearly all of firm's internal business
activities
- Information entered in one process is immediately available for other processes
Why have an ERP system? - Answer - Improves operational efficiency
- Reduces costs and increases profits
- Helps with customer and inventory stratification
,- Integrates all aspects of your operations
- Improve customer service
- Provides analytics
- It still takes people to make this work
- Focused on wholesale distribution
Standard Components of an ERP System - Answer - Finance and Accounting
- Human Resources
- Manufacturing and Production
- Sales and Marketing
Finance and Accounting - Answer - Cash on hand
- Accounts receivable
- Customer credit
- Revenue
Human Resources - Answer - Hours worked
- Labor cost
- Job skills
Manufacturing and Production - Answer - Materials
- Production schedules and capacity
- Shipment dates
- Purchases
Sales and Marketing - Answer - Orders
- Sales forecasts
- Return requests
- Price changes
ERP allows you to track - - Answer - Products
- Salesforce
- Customers
- Vendors
- Financials
, - Provides analytics for informed decision making by leaders
ERP is not an - - Answer - "Autopilot" for companies
- A substitute for knowledge and experience
- Infallible "garbage in-garbage out"
- A decision maker, but it helps to enable decision makers
Cybersecurity - Answer - Better to prevent than treat
"Goldilocks" Theory of Inventory Management - Answer - Don't stock too little inventory
- Don't stock too much inventory
- Stock just the right amount of inventory
Inventory Management in the Real World - Answer - The Market
- The Economy
- Competition
- Vendors
- Customers
- Mother Nature
- Man-made Events
Inventory Management in a Perfect World - Answer - The last item on the shelf is shipped
out to a customer as the replacement is received from the vendor
Why do we receive the item? - Answer - Initial stock of a new item
- Re-stock of an existing inventory item
- Special order of an item
Building the Product Catalog Step #1 - Answer - Purchasing book
- User-created online
- 3-tier catalog (section/group/category)
- Used for pricing, purchasing, inventory management, sales analysis
Building the Product Catalog Step #2 - Answer - Counter book
- Online
