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MIS10E_testbank_CH14MIS10E_testbank_CH14
Chapter 14
Project Management: Establishing the Business Value of Systems and Managing Change
True-False Questions
Between 30 and 40 percent of all software projects are “runaway” projects that far exceed original schedule and budget projections.
Answer: False Difficulty: Medium Reference: p. 556
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 Difficulty: Hard Reference: p. 558
An information systems plan contains a statement of corporate goals and specifies how information technology will support the attainment of those goals.
Answer: True Difficulty: Medium Reference: p. 559
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 Difficulty: Medium Reference: p. 559
Scoring models are used most commonly to support decisions rather than as the final arbiters of system selection.
Answer: True Difficulty: Medium Reference: p. 565
Transaction and clerical systems that displace labor and save space typically produce more measurable, tangible benefits than management information systems
Answer: True Difficulty: Hard Reference: p. 565
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 Difficulty: Medium Reference: p. 565
Intangible benefits cannot be immediately quantified but may lead to quantifiable gains in the long run.
Answer: True Difficulty: Easy Reference: p. 565
More timely information is a tangible benefit of information systems.
Answer: False Difficulty: Medium Reference: p. 566
The IRR calculates the rate of return from an investment by adjusting the cash inflows produced by the i
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