IT Passport Examination (IP) | Strategy: Management, Law and Systems Questions 05

The answer is "histogram": one of the seven QC tools, showing data as frequencies by class so you can see the shape of the distribution.

The answer is "scatter diagram": a chart plotting two variables as points to examine whether they are correlated.

The answer is "cause-and-effect diagram": a diagram organizing an effect and its candidate causes in the shape of a fish skeleton.

The answer is "control chart": a chart plotting process measurements over time so you can spot anomalies outside the control limits.

The answer is "stratification": analyzing data by dividing it according to attributes such as equipment, staff member or time of day.

The answer is "linear programming": maximizing or minimizing an objective function under a set of constraints.

The answer is "game theory": analyzing decision-making while taking rivals' actions into account.

The answer is "expected value": the value obtained by multiplying each outcome by its probability and summing the results.

The answer is "matrix organization": an organization combining the chains of command of a functional organization and a project organization.

The answer is "divisional organization": an organization giving profit responsibility and authority to units such as products or regions.

The answer is "ROA": profit divided by total assets, showing how profitably assets are being used.

The answer is "current ratio": current assets divided by current liabilities, gauging short-term ability to pay.

The answer is "break-even sales": the level of sales at which sales equal total costs and profit is zero.

The answer is "variable cost": costs whose total changes as production or sales volume rises and falls.

The answer is "depreciation": allocating the acquisition cost of a fixed asset across its useful life.

The answer is "cash flow statement": the financial statement showing changes in cash and cash equivalents by activity.

The answer is "Product Liability Act": the law setting out the liability of manufacturers for damage to life, body or property caused by product defects.

The answer is "Unfair Competition Prevention Act": the law regulating the wrongful acquisition of trade secrets, the confusing use of well-known indications and similar conduct.

The answer is "electronic signature": the measure confirming who created an electronic document and that it has not been altered.

The answer is "contract for work": the contractor undertakes to complete the work and the client pays for the result.

The answer is "quasi-mandate contract": the performance of work is entrusted without, as a rule, completion of the work being the object.

The answer is "Ansoff's growth matrix": a framework organizing growth strategies by splitting markets and products into existing and new.

The answer is "five forces analysis": analyzing the competitive environment in terms of rivalry, buyers, suppliers, new entrants and substitutes.

The answer is "balanced scorecard": evaluating strategy from the financial, customer, business process, and learning and growth perspectives.

The answer is "KGI": the indicator measuring the degree to which an organization or business has achieved its ultimate goal.

The answer is "CSF": the success factors that matter most for achieving a goal.

The answer is "economies of scale": the cost per unit of product falls as the scale of production grows.

The answer is "economies of scope": costs fall by sharing resources across multiple products or businesses rather than running them separately.

The answer is "alliance": companies cooperate in a particular field while remaining independent.

The answer is "crowdsourcing": inviting work or ideas from an unspecified number of people over the internet.

The answer is "SFA": the system supporting and managing sales activities, deal progress and customer contacts.

The answer is "BI": analyzing in-house data to support management decision-making.

The answer is "CAD": the system using computers to support design and drafting.

The answer is "POS system": collecting information such as product, price and quantity at the point of sale.

The answer is "TCO": the total cost of ownership, covering not just introduction but operation, maintenance and disposal.