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Chapter 1: Introduction to Business Processes Multiple Choice Questions Which term refers to business processes that are not executed by a single group or function? a b c d e Silo Effect Cross-Functional Functional Structure Enterprise Systems Organizational Structure Answer: b Difficulty: Easy Section: The Functional Organizational Structure Page Reference: Practice: Which term refers to a system in which workers complete their tasks in separate departments without regard to the consequences for the other components of the process? a b c d e ERP Effect Cross-Functional Functional Structure Enterprise Systems Silo Effect Answer: e Difficulty: Easy Section: The Functional Organizational Structure: The Silo Effect Page Reference: Practice: Which system supports business processes end to end? a b c d e Management System Accounting System Enterprise System Functional Structure Document System Answer: c Difficulty: Medium Section: The Functional Organizational Structure: The Silo Effect Page Reference: Practice: Yes Which of the following statements about business processes is true? a b c d e They are executed across multiple functions They are initiated by some type of trigger They involve multiple steps All of the above None of the above Answer: d Difficulty: Medium Section: Business Processes Page Reference: Which term represents a set of tasks or activities that produce desired outcomes? a b c d e Business Process Trigger Outcome Enterprise Resource Planning None of the above Answer: a Section: Business Processes Difficulty: Easy Practice: Page Reference: Which term refers to all of the activities involved in buying or acquiring the materials used by the organization, such as raw materials needed to make products? a b c d e Material Planning Procurement Process Production Process Fulfillment Process Lifecycle Data Management Answer: b Section: Business Processes Difficulty: Medium Practice: Yes Page Reference: Which process involves the actual creation of the products? a b c d e Material Planning Procurement Process Production Process Fulfillment Process Lifecycle Data Management Answer: c Section: Business Processes Difficulty: Medium Practice: Page Reference: Which process uses historical data and sales forecasts to plan which materials will be procured and produced? a b c d e Material Planning Procurement Process Production Process Fulfillment Process Lifecycle Data Management Answer: a Section: Business Processes Difficulty: Medium Practice: Yes Page Reference: Which process supports the design and development of products from the initial product idea stage through the discontinuation of the product? a b c d e Material Planning Procurement Process Production Process Fulfillment Process Lifecycle Data Management Answer: e Section: Business Processes Difficulty: Medium Practice: Page Reference: 10 Which process tracks the financial impact of process steps with the goal of meeting legal reporting requirements? a b c d e Human Capital Management (HCM) Project Management Financial Accounting Management Accounting or Controlling (CO) None of the above Answer: c Section: Business Processes Difficulty: Medium Practice: Page Reference: 11 Which process is used to plan and execute large projects such as the construction of a new factory or the production of complex products such as airplanes? a b c d e Human Capital Management (HCM) Project Management Financial Accounting Management Accounting or Controlling (CO) None of the above Answer: b Section: Business Processes Difficulty: Medium Practice: Page Reference: 12 Which process focuses on people within an organization and includes functions such as recruiting, hiring, training, and benefits management? a b c d e Human Capital Management (HCM) Project Management Financial Accounting Management Accounting or Controlling (CO) None of the above Answer: a Section: Business Processes Difficulty: Difficult Practice: Page Reference: 13 What is the final step of the procurement process? a b c d e Invoice Purchase Requisition Purchase Order Payment None of the above Answer: d Difficulty: Easy Section: Business Processes: Procurement-Buy Page Reference: Practice: 14 What steps are involved in the accounting portion of the procurement process ? a Receiving the materials and the invoice b Creating the purchase requisition and sending payment c Creating and sending the purchase order d Creating the purchase requisition and receiving the materials e Receiving the invoice and sending payment Answer: e Difficulty: Difficult Section: Business Processes: Procurement-Buy Page Reference: Practice: Yes 15 What is the first step of the production process? a b c d e Authorize Production Request Production Create Product Receive Finished Goods Issue Raw Materials Answer: b Difficulty: Easy Section: Business Processes: Procurement-Make Page Reference: Practice: Yes 16 What function does the warehouse perform in the fulfillment process? a b c d e Prepares and sends the shipment to the customer Communicates data related to the order to other parts of the organization Tracks the order Notifies the customer None of the above Answer: a Difficulty: Easy Section: Business Processes: Procurement-Make 17 Page Reference: Practice: Yes _ is concerned with matching the demand for materials in the organization with the supply a b c d e Business Planning The Silo Effect Project Management Material Planning None of the above Answer: d Difficulty: Medium Section: Business Processes: Material Planning-Plan Page Reference: Practice: 18 Which of the following is concerned with the storage and movement of materials? a b c d e Business Planning Silo Effect Project Management Material Planning Inventory and warehouse management (IWM) Answer: e Difficulty: Medium Page Reference: Section: Business Processes: Inventory and Warehouse Management-Store Practice: 19 _enables an organization to optimize its product development process, from design to market, while ensuring that it complies with industry, quality, and regulatory standards? a b c d e Business Planning Lifecycle Data Management Project Management Material Planning None of the above Answer: b Difficulty: Medium Section: Business Processes: Lifecycle Data Management-Design Page Reference: 10 Practice: 20 _ provides tools to manage and store documents securely and to keep track of the multiple versions of these documents? a b c d e Document Management Enterprise Management Project Management Material Planning None of the above Answer: a Difficulty: Medium Section: Business Processes: Lifecycle Data Management-Design Page Reference: 10 Practice: 21 How does GBI Global sell its merchandise? a b c d e Directly to customers Via a network of specialized dealers Via the Internet All of the above None of the above Answer: b Difficulty: Medium Section: Global Bicycle Incorporated (GBI) Page Reference: 13 Practice: Yes 22 Which of the following statements about SAP R/3 is true? a b c d It supports a single function or department It is an end-to-end enterprise system Sharing data between departments is problematic None of the above Answer: b Difficulty: Medium Section: How to use this book: SAP Software and Certification Page Reference: 15 Practice: Yes Multiple Answer Questions Within the financial structure, typical functions or departments found in a modern organization include which of the following? f purchasing g operations h internships i j finance marketing Answer: a, b, d, e Difficulty: Medium Section: The Functional Organizational Structure Page Reference: Practice: Yes Which of the following are steps within a generic business process of an organization? a b c d e Payment Trigger Shipment Outcome Confirmation Answer: b, d Section: Business Processes Difficulty: Difficult Page Reference: Practice: Which processes have an impact on an organization’s finances? f g h i j Financial accounting processes Project management processes Management accounting or controlling processes Material planning process Procurement process Answer: a, c Section: Business Processes Difficulty: Medium Page Reference: Practice: Yes Which processes focus primarily on people and projects? a b c d e Financial accounting processes Procurement process Production process Human capital management processes Project management processes Answer: d, e Section: Business Processes Difficulty: Medium Page Reference: Practice: Which of the following are components of the procurement process? a b c d e Warehouse Purchasing Sales Operations Accounting Answer: a, b, e Difficulty: Medium Section: Business Processes: Production-Make Page Reference: Practice: Yes Which of the following are components of the production (make) process? a Sales b Operations c Warehouse d Accounting e Production Answer: c, e Difficulty: Medium Section: Business Processes: Production-Make Page Reference: Practice: Which of the following are components of the fulfillment (sell) process? a b c d e Sales Operations Warehouse Accounting Production Answer: a, c, d Difficulty: Medium Section: Business Processes: Fulfillment-Sell Page Reference: Practice: The term materials encompasses which of the following? a b c d e Products Components Parts Anything used in an organization Accounting Answer: a, b, c, d Difficulty: Medium Section: Business Processes: Fulfillment-Sell Page Reference: Practice: Which of the following activities are related to the production process? a b c d e Request materials Store materials Locate Materials Issue Materials Receive Payment Answer: a, b, c, d Difficulty: Medium Page Reference: Section: Business Processes: Inventory and Warehouse Management-Store Practice: 10 Which of the following activities are related to the procurement process? a b c d e Issue Materials Receive Materials Prepare for Storage Store Materials Locate Materials Answer: b, c, d Difficulty: Medium Page Reference: Section: Business Processes: Inventory and Warehouse Management-Store Practice: 11 Which of the following activities are related to the fulfillment process? a b c d e Locate Materials Prepare Shipment Prepare for Storage Store Materials Ship to Customer Answer: a, b, e Difficulty: Medium Page Reference: Section: Business Processes: Inventory and Warehouse Management-Store Practice: Yes 12 Which of the following are components of the lifecycle data management process? a b c d e Engineering Marketing Accounting Production Sales Answer: a, b, d Difficulty: Medium Section: Business Processes: Lifecycle Data Management-Design Page Reference: 10 Practice: 13 Which departments take part in the conception of an idea? a b c d e Accounting Production Engineering Sales Marketing Answer: c, e Difficulty: Medium Section: Business Processes: Lifecycle Data Management-Design Page Reference: 10 Practice: 14 In which elements of the lifecycle data management process does marketing play a role? a b c d e Design Conceive product ideas Make Marketing & service Discontinue product Answer: c, d, e Difficulty: Easy Section: Business Processes: Lifecycle Data Management-Design Page Reference: 10 Practice: 15 In which components of the asset management process is production involved? a b c d e Settlement Perform maintenance Authorize maintenance Request maintenance Perform service Answer: b, c, d Difficulty: Medium Page Reference: 11 Section: Business Processes: Asset Management and Customer Service-Service Practice: 16 Sales is involved in which steps in the customer service process? a b c d e Perform service Create service request Settlement Authorize service Request maintenance Answer: b, d Difficulty: Medium Page Reference: 11 Section: Business Processes: Human Capital Management-People Practice: 17 What part of the project management process is within the various functional areas? a b c d Budgeting Execution Settlement Planning Answer: a, b, c, d Difficulty: Medium Section: Business Processes: Project Management-Projects Page Reference: 12 Practice: Yes 18 Which of the following products fall(s) within GBI’s line of business? a b c d Deluxe and professional touring bikes Men and women’s off-road bikes Motor bikes Bike accessories Answer: a, b, d Difficulty: Medium Page Reference: 14 Section: Global Bicycle Incorporated (GBI) Practice: Yes 19 What is true about SAP R/3? a b c d Supports a single function or department Executes every process from start to finish Consolidates process data in a single database Enables users to view the status of a process in real time Answer: b, c, d Difficulty: Medium Section: How to use this book: SAP Software and Certification Page Reference: 15 Practice: Yes Chapter 2: Introduction to SAP ERP Multiple Choice Questions Which term relates to the technical capabilities that allow systems to connect with one another through standardized interfaces called Web services? a b c d e Enterprise Resource Planning Supply Chain Management Architecture Service-Oriented Architecture None of the above Answer: d Section: Enterprise Systems Difficulty: Medium Page Reference: Practice: Yes Which term refers to the technical structure of the software, how users interact with the software, and how the software is physically managed on computer hardware? a b c d e Architecture Supply Chain Management Enterprise Resource Planning Service Oriented Architecture None of the above Answer: a Section: Enterprise Systems Difficulty: Medium Page Reference: Practice: Which of the following is used to integrate several client-server applications and create enterprise mash-ups, or composite applications? a b c d e Management System Accounting System Enterprise System All of the above Web Services Answer: e Section: Enterprise Systems Difficulty: Medium Page Reference: Practice: Yes Which system connects a company’s ERP system to those of its customers? a b c d e Application Platform Customer Relationship Management (CRM) Enterprise Solution Product Lifecycle Management (PLM) None of the above Answer: b Section: Enterprise Systems Difficulty: Medium Page Reference: Practice: