Technology Process Management - CPA Business Environment and Concepts (BEC)

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Question

A research-based firm in the medical field could use each of the following Internet-based tools for collaboration except:

Answer

EDI is a computer to computer exchange of business transaction documents. It is not used for collaboration between humans.

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Question

Engaging in traditional electronic data interchange (EDI) provides which of the following benefits?

Answer

EDI is the exchange of business transaction documents from one computer to another. This is much more efficient than paper exchanges and reduces the likelihood of stockout costs.

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Question

All of the following statements regarding project risk are correct except:

Answer

Anticipating everything that could go wrong throughout the project plans is a part of risk assessment, not risk control.

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Question

A manufacturer that wants to improve its staging process compares its procedures against the check-in process for a major airline. Which of the following tools is the manufacturer using?

Answer

Benchmarking is a process where a company compares itself to peers to measure performance and to understand where improvements can be made in its processes.

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Question

Which of the following statements is correct regarding IT governance?

Answer

Risk management is one of the primary goals of IT governance, as the inevitable risks inherent in IT must always be balanced against the potential returns associated with an IT infrastructure.

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Question

An IT governance framework should answer all of the following questions except:

Answer

IT governance is more focused on the operations and implementation of IT, rather than cosmetic approaches to systems.

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Question

Which of the following methods would be most effective for a company that wants to reduce its rate of defective products?

Answer

Six Sigma is a quality improvement program that uses metrics to evaluate the achievement of goals. Improving current processes for reducing defective products is a big component.

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Question

Unlike business process reengineering, business process management:

Answer

Business process management seeks incremental change by tweaking the existing process and design.

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Question

Which of the following is not a disadvantage of outsourcing?

Answer

Non core functions to one business become critical for companies providing outsourcing services thereby reducing risk exposure in the event an issue arises.

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Question

Performance of quality assurance occurs in which of the following processes?

Answer

Quality assurance takes place in the implementation process after the standard of quality has been defined.

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Question

Organizations with one-piece flow manufacturing environments that are experiencing bottlenecks in production are most likely to develop strategies associated with:

Answer

The theory of constraints says that organizations are impeded from achieving objectives by the existence of one or more constraints.

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Question

Of the following, which is not a key component of IT used in modern business?

Answer

Among other systems, the following are critical for modern IT infrastructure.

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Question

Which of the following is not a characteristic of Total Quality Management?

Answer

TQM focuses on customer needs, continuous improvements, and quality circles. Waste reduction is a quality of lean manufacturing, not TQM.

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Question

Which of the following management philosophies does not focus on quality?

Answer

The main objective in lean manufacturing is waste reduction. Although customer requirements and demand pull serve as the basis for the approach, quality is not the most prominent concept.

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Question

Which of the following uses analysis of production processes to ensure that resource uses stay within target costs?

Answer

Kaizen, or continuous improvement, occurs at the manufacturing stage where the ongoing search for cost reductions takes the form of analysis of production processes to ensure that resource uses stay within target costs.

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Question

Which of the following is not a requirement of just in time systems?

Answer

Just in time means that employees with multiple skills are used more efficiently and will not specialize in merely one job or task.

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Question

Which of the following is not a typical characteristic of a just in time production environment?

Answer

Just in time has the goal to minimize the level of inventory carried. It has a pull approach rather than a push approach.

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Question

There are 7 factors critical to total quality management. Which is not one of them?

Answer

Total quality management focuses on a customer-focused experience and compensation of the executives has no bearing on a customer.

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