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Chapter 5 Review Questions

1. Contrast the following terms:

  • a. Break-even analysis; present value; net present value; return on investment

    b. Economic feasibility; legal and contractual feasibility; operational feasibility; political feasibility; schedule feasibility

    c. Intangible benefit; tangible benefit

    d. Intangible cost; tangible cost

2. List and describe the steps in the project initiation and planning process.

3. What is contained in a BPP? Are the content and format of all baseline plans the same? Why or why not?

4. Describe three commonly used methods for performing economic cost-benefit analysis.

5. List and discuss the different types of project feasibility factors. Is any factor most important? Why or why not?

6. What are the potential consequences of not assessing the technical risks associated with an information systems development project?

7. In what ways could you identify that one IS project is riskier than another?

8. What are the types or categories of benefits of an IS project?

9. What intangible benefits might an organization obtain from the development of an information system?

10. Describe the concept of the time value of money. How does the discount rate affect the value of $1 today versus one year from today?

11. Describe the structured walkthrough process. What roles need to be performed during a walkthrough?


Chapter 4 Review Questions

Contrast the following terms:

  • a. Mission; objective statements; competitive strategy

    b. Corporate strategic planning; ISP

    c. Top-down planning; bottom-up planning

    d. Low-cost producer; product differentiation; product focus or niche

2. Describe the project identification and selection process.

3. Describe several project evaluation criteria.

4. Describe value chain analysis and how organizations use this technique to evaluate and compare projects.

5. Discuss several factors that provide evidence for the need for improved ISP today.

6. Describe the steps involved in corporate strategic planning.

7. What are three generic competitive strategies?

8. Describe what is meant by ISP and the steps involved in the process.

9. List and describe the advantages of top-down planning over other planning approaches.

10. Briefly describe nine planning matrices that are used in ISP and project identification and selection.

11. Discuss some of the factors that must be considered when designing and building Internet applications.


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