Match the funding model to its method by which costs are recovered. \[\begin{array} { | l | l | } \hline \text { Corporate budget } & \begin{array} { l } \text { Costs are recovered using the corporate } \\ \text { coffers } \end{array} \\ \hline \text { Chargeback } & \begin{array} { l } \text { Costs are recovered by charging } \\ \text { individuals, departments or business units } \\ \text { based on actual usage and cost } \end{array} \\ \hline \text { Allocation } & \begin{array} { l } \text { Costs are recovered based on something } \\ \text { other thar usage and more on a fee or } \\ \text { charge based on number of employees, } \\ \text { logins, or reverues for a department } \end{array} \\ \hline \end{array}\]

The funding model and its corresponding

Match each IT organizational activity with its related level of maturity (based on the Business-IT maturity model). Remember that Level 3 is more mature than Level 1. \[\begin{array} { | l | l | } \hline \text { Level 1 } & \text { Develop and maintain systerns } \\ \hline \text { Level 1 } & \text { Operate the data center } \\ \hline \text { Level 2 } & \text { Irrovate curent processes } \\ \hline \text { Level 1 } & \text { Provide general support } \\ \hline \text { Level 3 } & \text { Anticipate new techrologies } \\ \hline \text { Level 3 } & \begin{array} { l } \text { Participate in setting and implementing strategic } \\ \text { goals } \end{array} \\ \hline \text { Level 3 } & \text { Inteprate the use of social IT } \\ \hline \end{array}\]

The Business-IT Maturity Model typically

Exam 9: The Business of Information Technology

Denise works for a company where the IT department charges her department for actual usage of a SharePoint server, determining how often users log in and how much storage space her department consumes. What type of IT funding model is the company deploying?

Free

(Multiple Choice)

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(66)

Question 1

Correct Answer:

Verified

E

All of the following are methods used to value an IT investment EXCEPT:

Free

(Multiple Choice)

4.7/5

(61)

Question 2

Correct Answer:

Verified

D

A company that seeks an IT portfolio that lowers costs as the primary business objective will be more likely to increase spending on ___________ because these applications can help automate processes.

Free

(Multiple Choice)

4.8/5

(91)

Question 3

Correct Answer:

Verified

D

In the early days of IT, the CIO would report to the as IT was seen as a way to control costs. As technology has become more strategic and able to deliver a competitive advantage, CIOs now report directly to the .

(Multiple Choice)

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(94)

Question 4

Managing a global IT organization has challenges that extend beyond managing a global team. What are the specific issues a global IT organization has to consider?

(Essay)

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Question 5

A local marketing firm is considering launching a new and extensive social media marketing campaign. This investment of resources is being looked at for the duration of the project since it is anticipated to last at least 5 years. What financial calculation should be used to compute the investment's value, taking into account the time value of money?

(Multiple Choice)

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(82)

Question 6

A____________ model is helpful in teasing out the differing needs for managing IT at different levels of sophistication of the IT function.

(Short Answer)

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(86)

Question 7

Match the funding model to its method by which costs are recovered. Corporate budget Costs are recovered using the corporate coffers Chargeback Costs are recovered by charging individuals, departments or business units based on actual usage and cost Allocation Costs are recovered based on something other thar usage and more on a fee or charge based on number of employees, logins, or reverues for a department

(Essay)

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(86)

Question 8

Which dimension of the balanced scorecard answers the question "How do we look to shareholders?"

(Multiple Choice)

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Question 9

Labor costs associated with an IT infrastructure far outweigh the actual capital investment cost.

(True/False)

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(77)

Question 10

The scope of responsibilities for an IT organization seems to expand with increased IT maturity.

(True/False)

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Question 11

Traditional valuation methods such as ROI, NPV, and IRR cannot be applied to information technology because they are technical, not business-oriented.

(True/False)

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Question 12

Peter Weill's produced a study that identified the 4 main categories that make up a company's IT portfolio: the IT infrastructure, transactional systems, informational systems, and strategic systems. Weill's research shows that most companies spend a majority of their IT portfolio on the 1. and the least amount of money is spent on the 2. . A company that is seeking to be highly agile should spend more money on the 3. to provide a nimble platform and less money on the 4. ___, which tends to lock in current business processes. 1. Infrastructure 2. Strategic systems 3. Infrastructure 4. Transactional systerns

(Essay)

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Question 13

Corporate budgeting is a wise choice for funding newer technologies and innovation.

(True/False)

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Question 14

Which method of IT funding is the most equitable, as the costs associated with IT are based on use?

(Multiple Choice)

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Question 15

Avon uses a ____________to monitor the status of its IT projects, knowing that a red-coded item indicates a serious problem.

(Short Answer)

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Question 16

Match each IT organizational activity with its related level of maturity (based on the Business-IT maturity model). Remember that Level 3 is more mature than Level 1. Level 1 Develop and maintain systerns Level 1 Operate the data center Level 2 Irrovate curent processes Level 1 Provide general support Level 3 Anticipate new techrologies Level 3 Participate in setting and implementing strategic goals Level 3 Inteprate the use of social IT

(Essay)

4.8/5

(90)

Question 17

Match the three levels of Business-IT maturity to the term that best describes the level of maturity. Remember that Level 3 is more mature than Level 1. Level 1 Functional use of IT to gain efficiencies Level 2 Business process view focused on infornation intepration across the orgarization Level 3 Inter-enterprise information intepration

(Essay)

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Question 18

Scorecards provide a summary of information gathered over a period of time. Another common IT monitoring tool is the:

(Multiple Choice)

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Question 19

Why is TCO so difficult to define? What are some of the challenges of determining TCO?

(Essay)

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Question 20

Denise works for a company where the IT department charges her department for actual usage of a SharePoint server, determining how often users log in and how much storage space her department consumes. What type of IT funding model is the company deploying?

All of the following are methods used to value an IT investment EXCEPT:

A company that seeks an IT portfolio that lowers costs as the primary business objective will be more likely to increase spending on ___________ because these applications can help automate processes.

In the early days of IT, the CIO would report to the as IT was seen as a way to control costs. As technology has become more strategic and able to deliver a competitive advantage, CIOs now report directly to the .

Managing a global IT organization has challenges that extend beyond managing a global team. What are the specific issues a global IT organization has to consider?

A____________ model is helpful in teasing out the differing needs for managing IT at different levels of sophistication of the IT function.

Which dimension of the balanced scorecard answers the question "How do we look to shareholders?"

Labor costs associated with an IT infrastructure far outweigh the actual capital investment cost.

The scope of responsibilities for an IT organization seems to expand with increased IT maturity.

Traditional valuation methods such as ROI, NPV, and IRR cannot be applied to information technology because they are technical, not business-oriented.

Corporate budgeting is a wise choice for funding newer technologies and innovation.

Which method of IT funding is the most equitable, as the costs associated with IT are based on use?

Avon uses a ____________to monitor the status of its IT projects, knowing that a red-coded item indicates a serious problem.

Scorecards provide a summary of information gathered over a period of time. Another common IT monitoring tool is the:

Why is TCO so difficult to define? What are some of the challenges of determining TCO?

Introduction

The Information Systems Strategy Triangle

Strategic Use of Information Resources

Organizational Strategy and Information Systems

Digital Systems and the Design of Work

Information Systems and Digital Transformation

Architecture and Infrastructure

Security

Governance of the Information Systems Organization

Information Systems Sourcing

Managing It Projects

Business Intelligence, Knowledge Management, and Analytics

Privacy and Ethical Considerations in Information Management

Filters

Exam 9: The Business of Information Technology

Denise works for a company where the IT department charges her department for actual usage of a SharePoint server, determining how often users log in and how much storage space her department consumes. What type of IT funding model is the company deploying?

All of the following are methods used to value an IT investment EXCEPT:

A company that seeks an IT portfolio that lowers costs as the primary business objective will be more likely to increase spending on ___________ because these applications can help automate processes.

In the early days of IT, the CIO would report to the ____ as IT was seen as a way to control costs. As technology has become more strategic and able to deliver a competitive advantage, CIOs now report directly to the ____.

Managing a global IT organization has challenges that extend beyond managing a global team. What are the specific issues a global IT organization has to consider?

A____________ model is helpful in teasing out the differing needs for managing IT at different levels of sophistication of the IT function.

Which dimension of the balanced scorecard answers the question "How do we look to shareholders?"

Labor costs associated with an IT infrastructure far outweigh the actual capital investment cost.

The scope of responsibilities for an IT organization seems to expand with increased IT maturity.

Traditional valuation methods such as ROI, NPV, and IRR cannot be applied to information technology because they are technical, not business-oriented.

Corporate budgeting is a wise choice for funding newer technologies and innovation.

Which method of IT funding is the most equitable, as the costs associated with IT are based on use?

Avon uses a ____________to monitor the status of its IT projects, knowing that a red-coded item indicates a serious problem.

Scorecards provide a summary of information gathered over a period of time. Another common IT monitoring tool is the:

Why is TCO so difficult to define? What are some of the challenges of determining TCO?

Introduction

The Information Systems Strategy Triangle

Strategic Use of Information Resources

Organizational Strategy and Information Systems

Digital Systems and the Design of Work

Information Systems and Digital Transformation

Architecture and Infrastructure

Security

Governance of the Information Systems Organization

Information Systems Sourcing

Managing It Projects

Business Intelligence, Knowledge Management, and Analytics

Privacy and Ethical Considerations in Information Management

Filters

In the early days of IT, the CIO would report to the as IT was seen as a way to control costs. As technology has become more strategic and able to deliver a competitive advantage, CIOs now report directly to the .