UNIVERSITY EXAMINATIONS: 2017/2018
EXAMINATION FOR THE DEGREE OF MASTER OF SCIENCE IN
INFORMATION SYSTEMS MANAGEMENT
MISM5402 STRATEGIC MANAGEMENT INFORMATION
DATE: JULY/AUGUST 2018 TIME: 2 HOURS
INSTRUCTIONS: Answer Question One & ANY OTHER TWO questions.
QUESTION 1: 20 MARKS (COMPULSORY)
a) The management of ABC Company is in the process of developing a new financial
and accounting information system. Discuss the four feasibility test that must be
undertaken before the development process gets underway. 5 Marks
b) One of the responsibilities of Information Systems managers which is often neglected
is to make users perceive Information Technology and Information Systems as
powerful and valuable tools but not the panacea for all problems in an organization.
When applied thoughtfully, these tools can bring important benefits to individuals,
organizations and customers. When these tools are misapplied they can waste
tremendous amount of time, effort and money.
i. Using a well labeled diagram differentiate between Information Technology and
Information Systems. 5 Marks
ii. Discuss five benefits of applying Information technology to both the organization
as well as to the individuals. 5 Marks
iii. Discuss five obstacles which make it difficult to successfully apply Information
Technology and Information Systems in the real world of business indicating how
to overcome each one of them. 5 Marks
QUESTION 2: 20 MARKS
a) Discuss five characteristics that should possess in order to aid
management in the performance of the key functions of planning, control and
decision making. 5 Marks
b) An obsolete information system could be defined as one that has reached the end of
the economic useful life and is due for replacement by another information system.
Discuss four symptoms of a system which is approaching the end of its useful
economic life. 5 Marks
c) Giving examples, discuss how we can break down an organizational system into
subsystems 5 Marks
QUESTION 3: 15 MARKS
a) Every organization exists within an environment that is also known as the society.
Describe any four elements that make up the organizations environment showing how
each element influences the organization. 4 Marks
b) One approach to selection and acquisition of an Information System is by outsourcing
the operations from an external vendor. Required
i. State and explain four types of outsourcing. 2 Marks
ii. Describe three levels of service provision from an external vendor.
iii. Discuss any three elements of an outsourcing contract. 3 Marks
iv. Outline three advantages and three disadvantages of outsourcing.
QUESTION 4: 15 MARKS
a) Using a well labeled diagram illustrate the management hierarchy that exist in an
organization, the type of information systems applied at each level, the nature of
decisions made at each level as well as the information required to make those
a) Discuss six strategic positioning choices which the strategic managers can make in
order to maintain a competitive advantage in their organization. 3 Marks
c) Describe four strategic shifts that may result from the strategic positioning choices
d) One important activity of strategic managers is strategic planning. Describe four
characteristics of this activity. 2 Marks
e) Describe the decision making theory highlighting the value of Information