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Multiple Choice
3. According to Peter Drucker, what are managers who do things right addressing?
A. Efficiency
B. Effectiveness
C. Both efficiency and effectiveness
D. Customer metrics
4. According to Peter Drucker, what are managers who do the right things addressing?
A. Efficiency
B. Effectiveness
C. Both efficiency and effectiveness
D. Customer Metrics
10. Which term is used to describe the ease with which people perform transactions and/or find
information?
A. Usability
B. Customer satisfaction
C. Financial
D. Conversion rates
11. What is measured by such benchmarks as satisfaction surveys, percentage of existing customers
retained, and increases in revenue dollars per customer?
A. Usability
B. Customer satisfaction
C. Financial
D. Conversion rates
13. What types of security must an organization offer its customers when it provides them with the ability
to purchase products over the Internet?
A. Encryption
B. SSL
C. Secure Sockets Layers
D. All of the above
14. What are the measures called that are tied to business drivers?
A. IT efficiency
B. IT effectiveness
C. Key performance indicators
D. None of the above
15. When considering the graph depicting the interrelationships between efficiency and effectiveness,
where does an organization ideally want to operate?
A. Upper right-hand corner
B. Lower right-hand corner
C. Upper left-hand corner
D. Lower right-hand corner
16. Which of the following do customer effectiveness metrics typically focus on?
A. Market share
B. Customer acquisition
C. Customer profitability
D. All of the above
17. What do most companies measure to determine the success of their Web sites?
A. Throughput
B. Speed
C. Traffic
D. Availability
18. Which of the following metrics help managers measure and manage strategic initiatives?
A. Web site metrics
B. Web site metrics, SCM metrics, SCR metrics, and RBP metrics
C. Web site metrics, SCM metrics, CRM metrics, BPR metrics, and ERP metrics
D. Web site metrics, SCM metrics, balanced scorecard metrics
19. Which metric does the Yankee Group report that 66 percent of companies use to solely determine
Web site success?
A. Abandoned shopping carts
B. Abandoned shipping carts
C. Amount of revenue
D. Amount of traffic
23. What is a management system that enables organizations to clarify their vision and strategy and
translate them into action?
A. The balanced scorecard
B. Kaplan and Nortan report
C. Business process
D. None of the above
25. How many perspectives does the balanced scorecard use to view an organization?
A. Two
B. Three
C. Four
D. As many as required by the organization
True/False
5. Measuring the amount of Web site traffic is the best way to determine a Web sites success.
Structure
4. Describe how an organization should determine the efficiency and effectiveness of its Web site.