Business Intelligence and Casino Management Quiz

1. Quiz 1

2. 1. Lisa Jacobson of Fabrikam had a problem. What was it? • The automotive parts supplier was late with its shipments thus shut down the manufacturing line • B. The boxed dolls were not selling as well as forecast • C. The casino owner had not taken enough customer surveys • D. The bank denied her small business line of credit • E. None of these Answer: The boxed dolls were not selling as well as forecasted

3. 2. Which of the following is not a KPI? A. Inventory carrying cost B. Sales volume C. Grade point average D. A football team’s win-loss record E. None of these, they are all KPIs Answer: None of these, they are all KPIs

4. 3. What are the four steps of the BI cycle? A. Analysis, insight, action, measurement B. Management, accounting, finance, marketing C. Balance sheet, income statement, cash flow, tax impacts D. Hardware, software, personnel, data E. None of these Answer: Analysis, insight, action, measurement

5. 4. What are the three enablers of the BI cycle? A. Consulting, IT technicians, executive management B. Products, services, solutions C. Hardware, software, data D. Technology, people, culture E. None of these Answer: Technology, people, culture

6. 5. What is the primary goal of business intelligence? A. Managing massive quantities of data B. Decreasing product costs C. Increasing profit margins D. Making better decisions faster E. Meeting Sarbanes-Oxley requirements Answer: Making better decisions faster

7. 6. Who would be responsible for the day-to-day operations of a typical casino? A. V.P. Marketing B. V.P. Finance C. President D. V.P. Human Resources E. None of these Answer: None of these. The V.P. of Casino Operations

8. 7. (T/F) The Shift Manager reports directly to the Pit Manager. Answer: False, The Pit Manager reports to the Shift Manager

9. 8. Which of the following systems would not normally be part of a casino/hotel information management operation? A. Slot System B. Food and Beverage System C. Manufacturing System D. Inventory Purchasing System E. Ticketing System Answer: Manufacturing System

10. 9. In a casino management pyramid, The V.P. of Security reports directly to the President. Why? A. It flattens the pyramid, reducing labor costs B. State government regulators require this structure C. The V.P. of Security must be able to monitor all casino personnel D. The V.P. of Security is usually a family relative of the President Answer: The V.P. of Security must be able to monitor all casino personnel

11. 10. What was different about the MGM and Mirage from Harrah’s casinos? A. The MGM and Mirage were foreign owned B. Harrah’s casinos had significantly lower betting limits C. The MGM and Mirage were “theme” casinos D. Harrah’s casinos didn’t implement “rewards” programs Answer: The MGM and Mirage were “theme” casinos

12. Aligning Information Systems and Corporate Strategy

13. For Next Week Read Pages 29-63 of Business Intelligence: Making Better Decisions Pages 107 – 120, 124-125 of Casino Operations Management Using Decision Analytics to Win Big in the Gaming Business – Located on CULearn in the Additional Readings Folder Quiz 2 on Wednesday will cover these readings

14. System • Interrelated parts that exist for a purpose • Input, Processing, Output • All around us • Human body • Weather • A bike • Can have many subsystems

15. System Diagram Example • Emergency Room

16. Information Systems (IS) • Information System • Group of components that produce information for a certain purpose • Broader than Information Technology (IT) • iPod vs. iTunes Music Distribution

17. Operations Management • Multiple definitions • Transformation definition • Organizational definition • Economic definition • Added-value definition

18. Linking Business to IS • Business Objectives • Measured through revenues and costs • Business Tactics • Tasks peformed • Systems Objectives • IS Results • Systems Tactics • Technologic Activity

19. What’s Needed? • Business-Savvy IT Personnel + • IT-Savvy Business Persons

20. Putting it All Together - Alignment How might you achieve that? Determine Business Objectives What results do you want to achieve? INCREASED REVENUES? DECREASED COSTS? How much? For what period? Determine Business Tactics What would be your actions? What would be your tasks? What can’t you do now? Will someone’s job change? Why would you do that? What would you do if you got the system result? What can the system do to help? Determine System Objectives What results must the system provide? How often? Under what constraints? How could a system do it? Determine System Tactics How will the system behave? In general, what will the system consist of? Why do you want such a system?

21. Business Objectives • Focus on cost or revenues • Based on vision and mission • Unconstrained thinking

22. Classic Costs to Reduce • Labor • Absenteeism, overtime • Materials • Waste, space charges, rework • Financial • Uncollected debts, interest charges

23. Classic Revenues to Increase • New markets • New domestic socioeconomic segments • New international segments • Cross selling • Upselling

24. Clues to Business Objectives • What’s Changed? • Lower sales • Poorer quality • Competition • Executive leadership • Company ownership • Mission

25. Business Tactics • Means of accomplishing objectives • Performable by organizational members • Tactics specify how IS is used • Changed tactics could mean • Business process reengineering • Changed job descriptions/job entry/compensation/training/etc.

26. System Objectives • Stated in terms of increased capabilities • Reports, screens, web sites, processing, accessibility, communication could change • Must be clear on times, content, order, time period, format, circulation, response time, usability

27. System Tactics • Links IS to the Organization • Common language • Measureable targets – are we done? • Cost/benefit analysis possible • Ensures IS is useful and used • Ensures IS and users know their role