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Test answers for Enterprise Resource Planning (ERP) 2016

(80, CL) Last updated: January 23
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80 Answered Test Questions:

1. How many business functionalities can an ERP package handle?

Answers:

• All

• One

• Two

• Three

2. What is considered the “third generation of manufacturing software.”?

Answers:

• ERP

• MRP II

• Y2K

• MRP

3. Which of the following is NOT another name of ERP?

Answers:

• Employee relationship plan

• Enterprise system

• Material requirement planning (MRP)

• Integrated Enterprise system

4. What is an information system that allows data to be shared throughout the organization called?

Answers:

• Unrestricted

• Bounded

• Unintegrated

• Integrated

5. When the source code is made available to general public for use and modification, it is known as:

Answers:

• Flexible Code

• Open Source

• Closed Source

• Support Code

6. What does DBMS represent?

Answers:

• Database Material System

• Database Management System

• Duplicate Billing Management System

• Database Movement System

7. True or False? A business "process" may involve activities from more than one business "functional area"

Answers:

• True

• False

8. Which area is the Financial Module responsible for?

Answers:

• Define Strategy Group

• Create Purchase Order

• Cash Flow Management

• Product Planning

9. What does ERP stand for?

Answers:

• Enterprise Resource Planning

• Extra Resource Planning

• Enterprise Report Planning

• Enterprise Review Planning

10. The technology used to manage organization's customers relationships is known as:

Answers:

• LAN

• SCM

• ERP

• CRM

11. Which is NOT a financial business function that is supported by ERP?

Answers:

• Raising capital

• Accounts Receivable

• General ledger

• Accounts payable

12. Which factor is most important to consider when implementing an ERP application?

Answers:

• Consulting partner to implement

• Find the lowest cost ERP application

• Meets business strategy and requirements

• Training requirements

13. In ERP, what does BI represent?

Answers:

• Budget Information

• Business Installation

• Buyer Information

• Business Intelligence

14. What is a traditional business system also called?

Answers:

• Modern system

• Legacy system

• Advanced system

• Effective system

15. Which module in ERP system is used to manage manufacturing processes?

Answers:

• Human Capital

• Material Requirements Planning

• Sales and Distribution

• Transportation

16. Which area is Manufacturing and Production is a key function?

Answers:

• Finance

• Human Resources

• Marketing and Sales

• Accounting and Finance

• Supply Chain Management

17. What would be a potential reason for an ERP software implementation to fail?

Answers:

• People issues

• All of these

• Software issues

• Hardware Issues

18. Which is the first phase in ERP implementations?

Answers:

• Understanding the problem

• Executing the work

• Defining solutions

• Going live

19. Which of the following is NOT a typical cost associated with ERP implementation?

Answers:

• Integration and Testing

• Process rework

• Consulting fees

• Leadership buy-in

20. How do we measure the numeric figures against performance measures?

Answers:

• Annual Reports

• Key Performance Indicators

• Stakeholders Review

• Statutory Reports

21. What is the terminlogy used for old systems?

Answers:

• Heritage systems

• Preceding systems

• Previous systems

• Legacy systems

22. Which of the following is NOT an advantage of ERP?

Answers:

• Revenue tracking, from invoice through cash receipt

• Decentralized business data

• Order tracking, from acceptance through fulfillment

• Sales forecasting, which allows inventory optimization

23. All of the following describes an ERP system, EXCEPT:

Answers:

• Provides foundation for collaboration between departments

• Widely adopted in large organizations to store critical knowledge used to make decisions that drive organization performance

• Enable people in different business areas to communicate

• Decreases worker productivity and efficiency of processes

24. Which is NOT a critical success factor for successful implementation of ERP system

Answers:

• Competence of ERP staff

• Top management support

• Number of ERP application releases

• User training

25. What are most organizations implementing or planning to implement?

Answers:

• Separate software solutions

• Packaged software solutions

• Complex software

• Simple software

26. Which is correct about ERP?

Answers:

• Does not integrate well with functional areas

• Automates and integrates the majority of business processes

• Existed for over a decade

• Inexpensive to implement

27. Which of the following automates business process execution?

Answers:

• Flowchart

• Workflow

• Swimlane

• Wizard

28. What system involves activities to enable transfer of products and services from supplier to customer?

Answers:

• Customer Relationship

• Transport

• Supply Chain

• Movement

29. What task should companies conduct before implementing ERPs?

Answers:

• Test

• Feasibility study

• Case study

• Survey

30. What is the process of analyzing step by step program code and fixing any encountered problems called?

Answers:

• Reviewing

• Scoping

• Debugging

• Testing

31. Who are the primary users of ERP systems?

Answers:

• Accounting, Finance, Logistics and Production

• Sales, marketing, customer service

• Customers, resellers, partners, suppliers, and distributors

32. What is BPR in an ERP system?

Answers:

• Business Policies Reframing

• Business Process Reengineering

• Budget Proposal Reporting

• Business Procedure Reengineering

33. What options in ERP allow businesses to customize the modules to meet their needs?

Answers:

• Modularity

• Processing

• Configuration

• Optional

34. What does EDI stand for?

Answers:

• External Data Interface

• Electronic Data Interchange

• Environmental Data Interchange

• Enormous Data Interchange

35. Which of the following is true of ERP?

Answers:

• Low maintenance cost

• Low start up cost

• Requires intensive employee training

• Non time consuming

36. What are software, computers, procedures alongwith human resources used to store data in organization called?

Answers:

• Information System

• CPU

• Processing System

• Data Maintenance

37. What does MRP stand for?

Answers:

• Masters Resources Production

• Materials Requirements Planning

• Manufacturing Resource Planning

• Management Reaction Planning

38. Which system in ERP includes risk management and access controls to promote corporate accountability?

Answers:

• Accounting & Auditing

• High Performing Asset

• Governance Risk & Compliance

• Manager Self Service

39. In an ERP environment, what does MDM mean?

Answers:

• Middle Data Measurement

• Master Data Management

• Most Data Management

• Measurable Data Management

40. All the following are major reasons why companies would undertake ERP, EXCEPT:

Answers:

• Integrate financial data

• Standardize manufacturing processes

• Follow competitors IT strategy

• Standardize HR information

41. All of the following are advantages of ERP, EXCEPT:

Answers:

• Requires major changes in company and process to implement

• Increases communications and collaboration worldwide

• Helps integrate multiple sites and business units

• Creates commonality of databases

42. Which technology is key to cloud computing?

Answers:

• Virtualization

• Standardization

• Microsoft

• ERP

43. Which concept is used to validate that processes achieved in ERP are the best in the industry?

Answers:

• Benchmarking

• Success Rate

• Localization

• Standardization

44. In order for an ERP implementation to be successful, all the following must be completed successfully, EXCEPT

Answers:

• Continue using same processes

• Project management in every phase

• Change Management activities

• Test the application

45. Which is TRUE about Enterprise Resource Planning (ERP)?

Answers:

• An advanced MRP II system that ties-in customers and suppliers

• Not related to MRP

• Severely limited by current MRP computer systems

• Not currently practical

46. ERP systems integrate all business management functions but does NOT include:

Answers:

• Accounting and finance

• Human resources

• Process improvement

• Planning

• Inventory/materials management

47. What is the direct computer-to-computer exchange of standard business document known as?

Answers:

• EDI

• MRP

• Workflow

• Email

48. Which is a common mistake that companies resort to when selecting an ERP system?

Answers:

• Complete set of requirements

• Not replying on vendor demos

• Over-emphasis on system cost

• Non biased selection

49. What is the technology that is used to publish content to the web and collaborate under a single server?

Answers:

• Server

• Interface

• ERP

• Sharepoint

50. SaaS (Software as a Service) is also referred to as:

Answers:

• Cloud Software

• IBM Software

• On Demand Software

• In House Software

51. What is the terminology used to understand the present business situation?

Answers:

• Present

• As Is

• Current

• Now

52. What is the main drawback of legacy systems?

Answers:

• More modules

• Less effectiveness

• No integration

• High cost

53. What is at the heart of any ERP system?

Answers:

• Customers

• Information

• Database

• Employees

54. What is the most important step of an ERP implementation?

Answers:

• Testing

• Installing

• Training

• Gap analysis

55. In which of the following are phase roles identified and responsibilities assigned?

Answers:

• Gap analysis

• Project planning

• Reengineering

• Configuration

56. The ability to view detailed source documents from the summary reports is known as:

Answers:

• Boring

• Expansion

• Drilling

• Data Mining

57. What is the term for a broad category of applications and technologies that enable gathering, storing, analyzing and providing access to data to help users make informed decisions?

Answers:

• Middle Data Measurement

• ERP

• Multiple Data Management

• Business Intelligence

58. Which of the folowing extensions is used by Oracle Reports Files?

Answers:

• CSV

• SQL

• RDF

• PDF

59. What module is not typical in ERP applications

Answers:

• Project Management

• Marketing

• Customer Relationship Management

• Finance

60. What is the type of backup which is taken while the Oracle database is still up and running and in archive log mode?

Answers:

• Hot Backup

• Cold Backup

• Restore

• Archiving

61. Which of the following are tasks involved during 'Execution' phase of ERP implementation?

Answers:

• Document the new procedures

• Analyze the system

• Identify roles

• Analyze existing system

62. ERP systems have been traditionally been an on premise installation. In what other technology form are they also available as?

Answers:

• Business process as a Service

• Everything as a service

• Service-oriented architecture

• Cloud computing

63. All of the following are disadvantages of an ERP system, EXCEPT:

Answers:

• Data security is compromised

• Extensive training is required

• Customizations can be problematic

• Overcoming resistance to sharing sensitive business information

64. What does SAP represent?

Answers:

• Systems Applications and Products in Data Processing

• Software Assisted Products

• Software and Application Products in Data Warehousing

• Systematic Application Products

65. What is the strategy of package evaluation?

Answers:

• Trial and error

• Do it right the first time

• Accept with error

• Take it as a trial

66. Which technology is used in building SAP R/3?

Answers:

• Client Server Technology

• Mainframe Technology

• Cloud Computing Technology

• Wide Area Network

67. What does ETL mean in data warehousing?

Answers:

• Expected Total Load

• Extract Transform Load

• Extract True Load

• Expected Total Lines

68. True or False? The benefit of an MRP system depends on the ability to have large amounts of unorganized information readily accessible

Answers:

• True

• False

69. What phase is data conversion done?

Answers:

• Training

• Go-live

• Configuration

• Testing

70. What does the R in SAP R3 represent?

Answers:

• Real Time

• Report

• Release

• Robust

71. True or False? The "Big bang" approach in ERP implementations is essentially rolling out the project in phases, vs.. do it all at once

Answers:

• True

• False

72. When Table in source system records changes to a replication table, it is known as a:

Answers:

• Archiving Table

• Logging Table

• Recording Table

• Table to Table

73. When all modules are implemented at all locations at the same time, it is called:

Answers:

• Phased Approach

• Wave Approach

• Big Bang

• Parallel Approach

74. What is the first activity in ERP projects?

Answers:

• Analysis

• Testing

• Business modeling

• Implementation

75. What is ERP system nervousness?

Answers:

• How a system reacts to changes

• Defects associated in testing

• Inability to meet business requirements

• Reaction of user population to use new ERP system

76. What is a common criticism on organizations looking to implement ERPs?

Answers:

• It can have a disruptive effect on the organizations operations

• Doesn’t allow for decisions and databases from all parts of the organization to be integrated

• Implementation is expensive

• Effect on business is disappointing

77. Which phase is the most difficult during an ERP implementation?

Answers:

• Executing work

• Configuration

• Post implementation support

• Going live

78. Which one of the following is the most critical step to create first in an ERP implementation?

Answers:

• Data model

• Organizational model

• Integrated data model

• Business model

79. Technology that involves a large number of computers connected through a communication network such as the Internet is called as:

Answers:

• Cloud Computing

• Wide Area Network

• Distributed Network

• Distributed Systems

80. Which of the following is an advantage of using open source ERP software?

Answers:

• Agility

• Cost

• Scalability

• Security