K201 Review – Lecture Practical Exam 1Sign up for a chapter and do the questions below. Reading List:Chapter 1 Q2-6 TenbargeChapter 3 Q1-5 BowerChapter 4 Q1, 2, 4 KnoffChapter 5 Q1-10K RayChapter 6 Q1-6 DunbarChapter 7 Q3-6 RappChapter 9 Q1-3 SCurtsChapter 10 Q1-2, 4-7 BRUNS (Piss bottles in Moheban’s bed Chair)Chapter 12 Q1-6- DK Who deleted the reading/chapter assignments? I put that up there for a reason...Chapter 11. System- a group of components that interact to achieve some purposeInformation system- a system that works to produce informationManagement information system- the management and use of IS that help businesses achieve their strategies2. The five-component model of an IS consists of hardware, software, data, procedures and people, all of which are present in every IS. It models the system as increasing degrees of difficult for change and less automation down the line of the components. E.g. writing a paper ona computer: hardware (computer), software (programs), data (words, sentences), procedures (typing, saving, printing), people (you)3. Businesses develop IS to help achieve their strategies. They are not created because an IS department thinks it needs to be, because the company is “falling behind”4. People are the most important components of IS because they design, plan and execute them. The information system can only provide information, not what to do with that information. The IS is only as useful as people make it.5. Hardware is the easiest to change, people are the most difficult and causes the highest degree of disruption for the corporations functionality.6. Information Technology (IT) refers to the products, methods, inventions and standards for information production. IT is the hardware, software and data components of IS.7. Information is the knowledge derived from data. It is also presented as the data presented in ameaningful context, processed data, or data processed by summing, ordering, averaging, grouping, comparing, or other process. If it’s on a screen/piece of paper, its data. If it’s in the mind of a human, its information. 8. Good information must be accurate, timely, relevant (to context, subject), just sufficient to the purpose which it is needed, and worth its cost. Chapter 31. Describe the process by which organizations develop their information systems: -Organizations examine the structure of their industry and determine a competitive strategy. That strategy determines value chains, which in turn, determine a competitive strategy. The structure of business processes determines the design of supporting information systems.2. Porter’s 5 Forces Modela. Customer Power- ability of customer to put firm under pressure and bargainb. Threat of substitutes- customer switch to a substitution (i.e. water instead of coke)c. Supplier Power- bargaining power; may charge high rates for materialsd. Rivalry among competitors- competition via innovation and advertising; all firms wantbest product and most profite. Threat of new competitors-Profitable markets that yield high returns will attract new firms3. Porter’s 4 Competitive Strategies Firms can choose froma. Cost Leadership-a firm sets out to become the low cost producer in its industryb. Differentiation-firm selects one or more attributes that many buyers in an industry perceive as important, and uniquely positions itself to meet those needs.; it is rewarded by its uniqueness at a premium pricec. Focus- The focuser selects a segment or group of segments in the industry and tailors its strategy to serving them to the exclusion of others.d. Competitive Advantage- a competitive advantage, sustainable or not, exists when a company makes economic rents, that is, their earnings exceed their costs (including cost of capital)4. Value-the amount of money that a customer is willing to spend on a resource, product or serviceMargin-the difference between the value that an activity generates and the cost of the activityValue Chain-is a network of value-creating activities5. Primary Activities in a generic value chain:● Inbound logistics: receiving, storing and disseminating inputs to the product● Operations/Manufacturing: transforming inputs into the final product● Outbound logistics: collecting, storing and physically distributing the products to buyers● Sales and Marketing: inducing buyers to purchase the product and providing a means for them to do so. ● Customer Service: assisting customer's use of the product and thus maintaining and enhancing the product's valueChapter 41)Describe the various components of hardware.Input Hardware- Typical devices are keyboard, mouse, document scanners, etc...Central Processing Unit(CPU)- Called “The Brain” of the computer. CPU holds instructions and processes them. Also performs arithmetic and logical comparisons. CPU’s vary in speed, function, and cost.RAM- For main or random access memoryOutput Hardware- Consists of video replays, printers, speakers, projectors and special-purposedevicesStorage Hardware- Saves data and programs. Magnetic disks are the most common storage device, CDs and DVDs are also popular2)Describe how data is represented in computers.Binary digits-AKA Bits- Used for computer data because they are easy to represent electronically and the switch can be either closed or open and can be numbers, characters, currency amounts, photos, or recordings.Bytes- 8 bit chunks of bits that are used to measure sizes of non character data as well.3)Describe the functioning of a computer1 Computer first transfers data from disk to main memory. 2 Then, moves instruction from main memory into CPU via data channel3 Main memory of computer contains program instructions for Excel, Acrobat, and Explorer4 Contains a block of data and instructions for Operating System that control’s computers resources5 CPU loads programs into memory in chunks6 If user needs to open system, operating system will attempt to place new data into vacated space. Called Memory Swapping4)Difference between volatile and nonvolatile memory. Why is it important in a business?Volatile- Cache and memory are lost when power is off.Non-Volatile-Magnetic and Optical disks mean that their contents survive when power is off.Save files often in order to prevent any data loss if cord is tripped!!!5)Explain client and server computers.Users employ client computers for word processing, spreadsheets and data access. Most clientshave software that enables them to