UNIVERSITY EXAMINATIONS: 2013/2014
ORDINARY EXAMINATION FOR THE BACHELOR OF SCIENCE
IN INFORMATION TECHNOLOGY
BIT 2203 STRATEGIC MANAGEMENT INFORMATION SYSTEM
DATE: AUGUST, 2014 TIME: 2 HOURS
INSTRUCTIONS: Answer Question ONE and any other TWO
QUESTION ONE
a) Which features of organizations do managers need to know about in order to build
and use information systems successfully? (4 Mark)
b) What is the impact of information systems on organizations? (4 Mark)
c) Define an organization and compare the technical definition of organizations with
the behavioral definition. (8 Marks)
d) Identify and describe the features of organizations that help explain differences in
organizations’ use of information systems. (10 Marks)
e) Describe the major economic theories that help explain how information systems
affect organizations. (4 Marks)
QUESTION TWO
a) Describe the major behavioral theories that help explain how information systems
affect organizations. (8 Marks)
b) Explain why there is considerable organizational resistance to the introduction of
information systems. (6 Marks)
c) Describe the impact of the Internet and disruptive technologies on organizations.
(6 Marks)
QUESTION THREE
a) How does Porter’s competitive forces model help companies develop competitive
strategies using information systems? (5 Marks)
b) Describe what the competitive forces model explains about competitive advantage.
(3 Marks)
c) List and describe four competitive strategies enabled by information systems that
firms canpursue 8 Marks)
d) Explain why aligning IT with business objectives is essential for strategic use of
systems. (2 Marks)
QUESTION FOUR
a) How does the value chain model help businesses identify opportunities for strategic
information system applications? (6 Marks)
b) Describe how the Internet has changed competitive forces and competitive advantage.
(4 Marks)
d) Explain how businesses benefit by using network economics. (5 Marks)
e) Describe how promoting synergies and core competencies enhances competitive
advantages. (5 Marks)
QUESTION FIVE
a) Define and describe a virtual company and the benefits of pursuing a virtual company
strategy. (8 Marks)
b) What are the challenges posed by strategic information systems and how should they
be addressed? (12 Marks)
