ITM 100 Class 2 (2.1) Midterm Review Key Terms 2025/2026

analytical data/information

Encompasses all organizational data, and its primary purpose is to support the performing of managerial analysis tasks.

bar chart

A chart or graph that presents grouped data with rectangular bars with lengths proportional to the values that they represent.

benchmarks

Baseline values the system seeks to attain.

benchmarking

The process of continuously measuring system results, comparing those results to optimal system performance (benchmark values), and identifying steps and procedures to improve system performance.

best practices

The most successful solutions or problem-solving methods that have been developed by a specific organization or industry.

critical success factors (CSFs)

Crucial steps companies perform to achieve their goals and objectives and implement their strategies.

decision support system (DSS)

Model information using OLAP, which provides assistance in evaluating and choosing among different courses of action.

digital dashboard

Tracks key performance indicators (KPIs) and critical success factors (CSFs) by compiling information from multiple sources and tailoring it to meet user needs.

effectiveness MIS metrics

Measure the impact MIS has on business processes and activities, including customer satisfaction and customer conversion rates.

efficiency MIS metrics

Measure the performance of MIS itself, such as throughput, transaction speed, and system availability.

executive information system (EIS)

A specialized DSS that supports senior-level executives within the organization.

granularity

Refers to the level of detail in the model or the decision-making process.

histogram

A graphical display of data using bars of different heights.

infographic (information graphic)

A representation of information in a graphical format designed to make the data easily understandable at a glance.

key performance indicators (KPIs)

Quantifiable metrics a company uses to evaluate progress toward critical success factors.

managerial decisions

Concern how the organization should achieve the goals and objectives set by its strategy. They are usually the responsibility of mid-level management.

managerial level

Employees are continuously evaluating company operations to hone the firm’s abilities to identify, adapt to, and leverage change.

market share

The proportion of the market that a firm captures.

metrics

Measurements that evaluate results to determine whether a project is meeting its goals.

model

A simplified representation or abstraction of reality.

online analytical processing (OLAP)

The manipulation of information to create business intelligence in support of strategic decision making.

online transaction processing (OLTP)

The capturing of transaction and event information using technology to (1) process the information according to defined business rules, (2) store the information, and (3) update existing information to reflect the new information.

operational decisions

Affect how the firm is run from day to day; they are the domain of operations managers, who are the closest to the customer.

operational level

Employees develop, control, and maintain core business activities required to run the day-to-day operations.

pie chart

A type of graph in which a circle is divided into sectors that each represents a proportion of the whole.

project

A temporary endeavor undertaken to create a unique product or service.

return on investment (ROI)

Indicates the earning power of a project.

semistructured decision

Occurs in situations in which a few established processes help to evaluate potential solutions, but not enough to lead to a definite recommended decision.

source document

Describes the original transaction records. It includes the details such as date, purpose, and amount spent and includes cash receipts, canceled checks, invoices, customer refunds, employee time sheet, etc.

sparkline

A small embedded line graph that illustrates a single trend.

strategic decisions

Involve higher-level issues concerned with the overall direction of the organization; these decisions define the organization’s overall goals and aspirations for the future.

strategic level

Managers develop overall business strategies, goals, and objectives as part of the company’s strategic plan.

structured decision

Involves situations in which established processes offer potential solutions.

time-series chart

A graphical representation showing change of a variable over time.

transaction processing system (TPS)

The basic business system that serves the operational level (analysts) in an organization.

transactional data

Encompasses all of the data contained within a single business process or unit of work, and its primary purpose is to support the performing of daily operational tasks.

unstructured decision

Occurs when no procedures or rules exist to guide decision makers toward the correct choice.

visualization

Produces graphical displays of patterns and complex relationships in large amounts of dat