Information Systems & IT Strategy – 100+ True or False Questions
Q1. Information Technology (IT) includes hardware, software, and communication systems.
✅ True
Q2. Information Systems (IS) consist only of technology components.
❌ False
Q3. IS must always be understood in the context of an organization.
✅ True
Q4. Organizational culture and politics have no impact on IS performance.
❌ False
Q5. Managers do not need to understand IT roles if there is a strong IT department.
❌ False
Q6. IT is considered a General Purpose Technology (GPT).
✅ True
Q7. A GPT creates value automatically without organizational changes.
❌ False
Q8. Complements are required to extract value from IT investments.
✅ True
Q9. Skilled employees are one of the key complements to IT.
✅ True
Q10. Business process redesign is optional for IT success.
❌ False
Q11. High teamwork enhances the value generated from IT systems.
✅ True
Q12. Decision rights play a role in determining IT value.
✅ True
Q13. FIT systems primarily support enterprise-wide standardization.
❌ False
Q14. Adoption is generally easier in FIT systems than in EIT systems.
✅ True
Q15. ERP systems fall under Enterprise IT (EIT).
✅ True
Q16. EIT systems usually require minimal organizational change.
❌ False
Q17. Complements are less important for EIT than for FIT.
❌ False
Q18. Wrong IT fit can include both over-investment and under-investment.
✅ True
Q19. Buying IT based only on software features guarantees capability alignment.
❌ False
Q20. Sometimes the best IT decision may be to invest in no IT at all.
✅ True
Q21. CCR stands for Capability, Complements, and Responsibility.
✅ True
Q22. IT investments automatically improve organizational performance.
❌ False
Q23. Complementary benefits may help users even if company performance declines.
✅ True
Q24. Decision-making structure is irrelevant in IT success.
❌ False
Q25. Adoption is often the most difficult stage of the IT lifecycle.
✅ True
Q26. Exploitation refers to making the best possible use of IT systems.
✅ True
Q27. Exploitation is generally easier for ERP than for FIT systems.
✅ True
Q28. Selection should be driven by business requirements, not features.
✅ True
Q29. Acceptance refers to users’ attitudes toward technology.
✅ True
Q30. Adoption requires training, rewards, monitoring, and process change.
✅ True
Q31. Monitoring is one of the three critical success factors for EIT.
✅ True
Q32. Redesign and standardization are optional for enterprise IT success.
❌ False
Q33. EIT implementations usually affect the entire enterprise.
✅ True
Q34. Tech businesses use technology mainly as a support tool.
❌ False
Q35. Tech-enabled businesses use technology to enhance traditional models.
✅ True
Q36. High scalability leads to high gross margins in tech businesses.
✅ True
Q37. Tech-enabled businesses focus more on operational efficiency than scalability.
✅ True
Q38. IT today is scarce and difficult to access.
❌ False
Q39. Scarcity, not ubiquity, makes a resource strategic.
✅ True
Q40. IT has become similar to electricity in strategic importance.
✅ True
Q41. Even short IT disruptions can severely impact business operations.
✅ True
Q42. Overspending on IT is considered a major organizational risk.
✅ True
Q43. Following rather than leading in IT investments can reduce risk.
✅ True
Q44. Moore’s Law suggests that IT becomes more expensive over time.
❌ False
Q45. Waiting to invest in IT can improve cost-performance ratios.
✅ True
Q46. The primary focus of IT management should be opportunities, not risks.
❌ False
Q47. IT risks increase when systems are outsourced to third parties.
✅ True
Q48. Proprietary technologies can create sustained competitive advantage.
✅ True
Q49. Infrastructural technologies deliver more value when shared.
✅ True
Q50. IT is highly replicable and easy to copy.
✅ True
Q51. The internet has slowed down IT commoditization.
❌ False
Q52. Rapid price deflation is a key characteristic of IT.
✅ True
Q53. IT-based advantages are usually long-lasting.
❌ False
Q54. IT disruptions can damage a company’s reputation.
✅ True
Q55. Higher IT spending usually leads to better financial performance.
❌ False
Q56. IT value depends heavily on innovations in business practices.
✅ True
Q57. Big-bang IT initiatives often fail due to high complexity and risk.
✅ True
Q58. Incremental IT initiatives tend to create more sustainable value.
✅ True
Q59. Strategic differentiation from IT emerges over time.
✅ True
Q60. IT vendors often portray technology as a cure-all solution.
✅ True
Q61. Executives can safely distance themselves from IT decisions.
❌ False
Q62. Boards should understand IT’s impact across the value chain.
✅ True
Q63. Cyber risk assessment is a board-level responsibility.
✅ True
Q64. Boards should focus only on technology costs, not leadership.
❌ False
Q65. Digital transformation requires active board oversight.
✅ True
Q66. Data, information, knowledge, and wisdom represent increasing levels of insight.
✅ True
Q67. Feedback mechanisms help control system performance.
✅ True
Q68. Closed systems interact continuously with the environment.
❌ False
Q69. Most IT failures are purely technical in nature.
❌ False
Q70. Resistance to IT adoption is mainly a human issue.
✅ True
Q71. Standardization enables faster replication across enterprises.
✅ True
Q72. Monitoring allows near real-time visibility in EIT systems.
✅ True
Q73. Centralized decision-making often supports EIT effectiveness.
✅ True
Q74. Adoption does not require managerial enforcement.
❌ False
Q75. Governance helps align IT with business objectives.
✅ True
Q76. IT selection should precede IT exploitation.
✅ True
Q77. Poor exploitation results in underutilized IT capabilities.
✅ True
Q78. Tactical actions are broader and long-term than strategy.
❌ False
Q79. IT strategy should define short-term organizational goals.
✅ True
Q80. Digitizing back-office processes improves operational efficiency.
✅ True
Q81. Experimental IT investments are always essential.
❌ False
Q82. Common IT infrastructure reduces competitive opportunities.
❌ False
Q83. Tight coupling of hardware and software can increase deployment risk.
✅ True
Q84. Many executives report low or unknown returns from IT investments.
✅ True
Q85. Most large IT projects finish on time and within budget.
❌ False
Q86. IT projects should be treated as organizational change programs.
✅ True
Q87. Enterprise IT enforces correct process execution.
✅ True
Q88. Adoption is less about behavior change and more about technology.
❌ False
Q89. CCR alignment improves organizational performance metrics.
✅ True
Q90. IT risks are less important once IT becomes commoditized.
❌ False
Q91. Governance ensures accountability in IT investments.
✅ True
Q92. Sustainable advantage depends on continuous innovation capability.
✅ True
Q93. IT no longer matters for competition.
❌ False
Q94. IT matters more as an operational necessity than a strategic differentiator.
✅ True
Q95. Managers should focus on vulnerabilities rather than IT hype.
✅ True
Q96. Best-practice software often leads to uniform business processes.
✅ True
Q97. IT is primarily a transport technology for digital information.
✅ True
Q98. Vendor control increases IT-related risks.
✅ True
Q99. IT’s strategic value increases as it becomes more affordable.
❌ False
Q100. Effective IT management depends more on leadership than technology.
✅ True
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