MIST 2090 Conceptual Final

What does MIS stand for?

Management Information Systems

What is a Management Information System (MIS)?

An organized integration of hardware, software, data, processes, and people used to produce useful information for decision-making.

What is the main purpose of MIS in business?

To help organizations make better decisions using information and technology.

How did traditional flower shops sell to customers in the past?

Customers bought whatever inventory was physically available in-store.

How do modern online florist businesses differ from traditional flower shops?

They use networks, ERP systems, and data analytics to manage inventory, predict demand, and improve customer relationships.

What role do ERP systems play in modern businesses like online florists?

They help manage inventory, forecast sales, and coordinate business operations.

Why is data important in MIS?

Data enables businesses to predict customer behavior, improve operations, and gain competitive advantage.

What is the main idea of Target’s analytics strategy from “How Companies Learn Your Secrets”?

Companies analyze customer data to predict behavior and personalize marketing (e.g., predicting purchases before customers explicitly reveal them).

What is The Triple Revolution in MIS?

A framework explaining how machines, platforms, and the crowd are transforming modern businesses.

What are the three lenses of The Triple Revolution?

Machine, Platform, Crowd

What does the Machine lens represent?

Increasing capabilities of computers and AI to perform tasks previously done by humans.

Example of the Machine lens from class modules

AlphaGo (AI learning strategies instead of being programmed with rules).

What does the Platform lens represent?

Businesses creating value by connecting users rather than owning physical assets.

Example of the Platform lens from class modules

Companies like Uber, Airbnb, Facebook, and Alibaba scale by connecting users rather than owning traditional resources.

What does the Crowd lens represent?

Leveraging large groups of people online for labor, ideas, information, and innovation.

Example of the Crowd lens from class modules

Opal Icemaker customer reviews influencing product perception and improvement.

What are the three rebalancings in The Triple Revolution?

Machine ↔ Human mind
Platform ↔ Product
Crowd ↔ Core organization

Does The Triple Revolution make traditional business elements obsolete?

No — businesses must rebalance between old and new approaches instead.

What is the significance of the highest-paid person’s opinion (HiPPO) problem?

Decisions based on authority instead of data can lead to poorer business outcomes.

Why is the HiPPO problem important in MIS?

MIS encourages data-driven decision-making instead of relying on hierarchy or intuition.

What does the phrase “What happened last time?” refer to in business decision-making?

Organizations often rely too heavily on past experiences instead of adapting to new technological changes.

What is status quo bias?

The tendency to prefer existing processes and resist change even when better options exist.

Why is status quo bias dangerous during technological revolutions?

Companies that fail to adapt risk becoming obsolete, like firms that failed during the shift from steam power to electricity.

What is a business model?

A plan describing how a company creates, delivers, and captures value.

Why do companies use the Business Model Canvas?

To visually organize and analyze how a business operates and creates value.

How many components are in the Business Model Canvas?

Nine building blocks

What are Customer Segments?

The different groups of people or organizations a business serves.

What is a Value Proposition?

The product or service that solves a problem or creates value for customers.

What are Channels in the Business Model Canvas?

How a company delivers its value proposition to customers.

What are Customer Relationships?

How a company interacts with and retains its customers.

What are Revenue Streams?

How a company earns money from customers.

What are Key Resources?

The most important assets required to operate the business.

What are Key Activities?

The most important actions a company must perform to succeed.

What are Key Partnerships?

External organizations or suppliers that help the business operate.

What is the Cost Structure?

All major costs involved in operating the business.

Why is the Business Model Canvas useful in MIS specifically?

It helps analyze how technology, data, and platforms support value creation and business strategy.

What was the First Machine Age?

The industrial revolution, when machines replaced human physical labor.

What is the Second Machine Age?

The era where digital technologies replace or augment human cognitive work.

When did Phase 1 of the Second Machine Age begin?

Mid-90s

What characterized Phase 1 of the Second Machine Age?

Automation of routine tasks (e.g., payroll processing, factory welding, invoice sending).

When did Phase 2 of the Second Machine Age begin?

Around 2010

What characterizes Phase 2 of the Second Machine Age?

Machines performing non-routine tasks (e.g., autonomous cars, ChatGPT)

What is the re-engineering movement?

Redesigning business processes to dramatically improve efficiency, quality, and performance.

Why was business process re-engineering important in MIS history?

It helped organizations rethink workflows using information technology.

What is System 1 thinking?

Fast, automatic, intuitive thinking.

What is System 2 thinking?

Slow, logical, analytical thinking.

Strength of System 1 thinking?

Speed and pattern recognition.

Weakness of System 1 thinking?

Bias and errors in judgment.

Strength of System 2 thinking?

Careful reasoning and accuracy.

Weakness of System 2 thinking?

Slower and requires effort.

What is the best strategy for decision-making using System 1 and System 2?

A standard partnership between intuition and analysis.

What is Polanyi’s Paradox?

Humans know more than they can explicitly explain.

Why is Polanyi’s Paradox important for AI development?

It explains why teaching machines rule-based knowledge is difficult.

Strength of human intelligence compared to machines?

Creativity, intuition, and tacit knowledge.

Strength of machine intelligence compared to humans?

Speed, scale, consistency, and data processing.

What is a rule-based system?

A system that follows explicitly programmed instructions.

What is a pattern recognition system?

A system that learns patterns from data instead of being explicitly programmed.

Which system is easier to develop?

Rule-based systems

Which system is more effective for complex real-world problems?

Pattern recognition systems (e.g., AlphaGo)

What is a bit?

A unit of digital information (0 or 1).

Key property of bits?

They can travel instantly and be copied at near-zero cost.

What are molecules in business terms?

Physical goods with weight, storage needs, and transportation costs.

Why are bits economically powerful?

They scale globally with very low marginal cost.

Which types of jobs are least likely to be automated?

Jobs requiring creativity, social intelligence, and complex human interaction.

Example of jobs resistant to automation

Teachers, therapists, managers, entrepreneurs, designers

Which jobs are most vulnerable to automation?

Routine, predictable, rule-based tasks

What are the key characteristics of a project?

Temporary, produces a unique deliverable, creates value, and is constrained by scope, time, and cost.

How is a project different from operations?

Projects are temporary and unique; operations are ongoing and repetitive.

What does a project manager do?

Applies knowledge, skills, tools, and techniques to meet project requirements.

What percentage of IT projects successfully deliver intended benefits?

Only about one-third succeed.

What are the two types of IT project failure?

Execution failure and business failure.

What is an execution failure?

When a project is late, over budget, or low quality.

What is a business failure?

When a project does not deliver expected business value.

What is ambiguity of purpose in IT projects?

Poor communication between IT and business units leading to building the wrong system.

What are latent needs?

Needs that exist but are not yet visible or clearly expressed by users.

Why are latent needs important in project success?

They must be discovered collaboratively to ensure the right system is built.

What is another major hazard in IT projects besides ambiguity of purpose?

Unnecessary complexity.

Why does project complexity increase failure risk?

Larger projects tend to have more defects and coordination challenges.

What are the triple constraints in project management?

Scope, time, cost.

What is scope creep?

Gradual addition of features beyond the original project scope.

What is scope leap?

Major expansion of project scope beyond the original goal.

What is scope grope?

When the project team cannot clearly define the scope.

What is the primary responsibility of an IT project manager?

Estimating cost, timeline, and managing execution risks.

What is SDLC?

A structured sequence of phases used to develop information systems.

What happens during the planning & analysis phase?

Identify problems, opportunities, and goals.

What happens during the requirements & design phase?

Define system specifications and solution design.

What happens during the development & implementation phase?

Build the system and deploy it.

What happens during the testing & maintenance phase?

Evaluate performance and improve the system over time.

What is the Waterfall approach?

A sequential development process where each phase feeds into the next.

When is Waterfall most appropriate?

When requirements are clear and stable.

What is Agile development?

An incremental approach focused on rapid delivery and flexibility.

When is Agile most appropriate?

When user requirements are uncertain or changing.

What is a project charter?

A document defining project value, scope, resources, timeline, and responsibilities.

What does MOV stand for in a project charter?

Measurable Organizational Value.

What is the purpose of the project charter?

To translate the business case into a formal project plan.

What is a Work Breakdown Structure (WBS)?

A hierarchical outline that organizes project tasks into measurable deliverables.

Why is a WBS useful?

It helps plan, organize, and track project activities clearly.

What is revenue in a business model?

Income generated from normal business activities with customers.

Why might startups rely less on revenue early on?

They often raise capital through financing before having customers

What are the two main ways companies raise capital besides revenue?

Debt financing and equity financing.