Chapter 1

Multiple Choice

1. One of the important ideas in the text's definition of management is:

A. the management functions of planning, organizing, leading, and controlling

2. Domino's Pizza uses phone surveys of customers to gather information about service and quality. This is an example of the management function of:

D. controlling

3. Sarah Jones, President of ABC Manufacturing, recognizes the factory employees for their outstanding performance at the monthly awards banquet on the shop floor by presenting a plaque and a check for $100. She is engaging in the management function of:

D. leading

4. A professor is teaching a class of 150 students this semester, as opposed to 25 students last semester. The professor can best be described as:

B. an efficient professor this semester

5. Larry Lewis is the president of Acme Rent-A-Car. His organization faces issues related to the environment, government regulation, and competition. He will need to rely primarily on his:

A. conceptual skills

6. Cheerleading, coaching, and nurturing are all associated with which of the following managerial skills?

B. human skills

7. Which of the following sets of skills are most important at lower organizational levels?

D. technical skills

8. Which of the following is a functional manager?

C. financial vice-president

9. The president of Florida State University is the keynote speaker at a retirement dinner for a long time faculty member. This is an example of which of the following roles?

B. figurehead role

10.A mind-set that presents a fundamental way of thinking, perceiving, and understanding the world is referred to as:

A. a paradigm

 


Chapter 2

Multiple Choice

1. The nineteenth and early twentieth centuries saw the development of which management perspective?

C. the classical perspective

2. Frederick Taylor's contributions were in the field of:

A. scientific management

3. A bar graph that measures planned and completed work along each stage of production by time elapsed is referred to as a(n):

B. Gantt chart

4. Standardization of work and wage incentives are characteristics of:

B. scientific management

5. Hagar Corporation is characterized by separation of management from ownership and by clearly defined lines of authority and responsibility. These characteristics are consistent with the principles of:

B. bureaucratic organizations

6. A chain of authority extending from top to the bottom of the organization and including every employee is referred to as:

D. scalar chain

7. Mary Parker Follett was a major contributor to the

A. administrative principles approach to management

8. The use of specialization to produce more and better work with the same level of effort is consistent with the administrative management principle of:

D. division of work

9. A major criticism of scientific management is that

A. it ignored the social context of work

10.A social group within an organization is part of the

B. informal organization

11.A significant contribution of Chester Barnard was the concept of:

B. the informal organization

12. According to Douglas McGregor, the classical perspective on management is consistent with which of the following?

A. Theory X manager

13. Joan believes her employees are responsible, creative, and able to work with minimal direction. She is a:

B. Theory Y manager

14. Management thinking and practice that emphasizes satisfaction of employees' basic needs is the key to increased worker productivity is referred to as:

E. Human relations movement

15. Gary Smith, production supervisor at Trustworthy Tools Mfg., Inc. believes that his employees dislike work, avoid responsibility and therefore they need to be controlled and directed. Gary is a

A. Theory X manager

16. Which of the following organizations have successfully practiced Theory Y from the beginning?

B. Saturn Corporation

17. The behavioral sciences approach is based on which of the following disciplines?

E. all of the above

18. The Old National Bank of Washington has many problems with long waiting lines at each of its teller stations. Which of the following applications is likely to be most helpful?

C. queuing theory

19. The teamwork philosophy is based in part on the assumption that five people together can produce more than five people alone. This philosophy is consistent with the philosophy of

C. synergy

20. Dilbert Co. places a strong emphasis on individual decision-making, formalized control, and specialized career paths. This most closely resembles the characteristics of _________ management.

A. Type A

21. A concept that focuses on managing the whole organization to deliver quality to customers is referred to as:

D. TQM

22. Elements of TQM include:

E. all of the above

23. ______ is a process whereby companies find out how others do something better and then they try to imitate or improve on it.

C. Benchmarking

24. A consultant who recommends the effectiveness of sensitivity training to every organization he serves is violating the basics of which of the following perspectives?

C. contingency perspective

25. The implementation of small incremental improvements in all areas of the organization on an ongoing basis is:

E. continuous improvement


Chapter 3

Multiple Choice

1. Which of the following is part of an organization's internal environment?

B. its salespeople

2. An organization's general environment includes all of the following EXCEPT:

C. competitors

3. An organization's task environment includes all of the following EXCEPT

D. employees

4. The dimension of the general environment representing the demographic characteristics, norms, customs, and values of the population with which the organization operates is referred to as a(n)

E. sociocultural dimension

5. Walmart has just hired a comparative shopper to visit other local discount stores to gain product pricing information. What strategy is this describing?

A. boundary-spanning roles

6. An organizational structure that is free flowing, has few rules and regulations, encourages employee teamwork, and decentralizes decision making to employees doing the job is referred to as a(n)

B. organic structure

7. When two or more organizations combine to become one, it is referred to as a

D. merger

8. If the leading cigarette manufacturers decide to lobby Congress in order to reduce the amount of taxes on cigarettes, then this action would be an example of

A. political activity

9. Culture can be defined as

A. the set of key values, beliefs, understandings, and norms shared by members of an organization.

10. The textile industry in the US is currently attempting to retrench and recover from its difficulties with foreign competition. What type of culture do the textile industries have?

A. fortress


Chapter 4

Multiple Choice

1. Which of the following companies rely on international business for a substantial portion of sales and profits?

E. all of the above

2. The process of globalization typically passes through all of the following stages EXCEPT

D. interdomestic stage

3. The management of business operations conducted in more that one country is called

B. international management

4. Which of the following aspects of management does not change when doing business internationally?

E. all of the above

5. Which of the following sectors present the greatest potential for international mistakes?

D. all of the above

6. In international operations, the economic environment represents all of the following factors EXCEPT

C. laws and regulations

7. What are the criteria normally used to classify countries as developed or developing?

D. per capita income

8. If you built a bottling plant in a foreign country and then found out that your product was having difficulty being distributed to customers b/c of the road system, your problem would be related to:

A. an inadequate infrastructure

9. Exchange rates are included in which of the following international environments?

B. the economic environment

10. ________ is the rate at which tone country's currency is exchanged for another's.

D. exchange rate

11. Your restaurant in Thailand is having trouble getting the local farmers to supply you with the proper produce. This is a problem with Thailand's

B. resource market

12. A foreign terrorist kidnaps your firm's CEO while the CEO is in the host country. This is a harsh example of:

C. political risk

13. Assume that until yesterday, one US dollar could be exchanged for 105 Japanese yen. Today, a dollar gets 110 yen. Which of the following statements is true?

A. US goods will be more expensive in Japan

14. A term describing a GATT clause that calls for members countries to grant another member country the most favorable treatment they accord any country concerning imports and exports is referred to as the

C. most favored nation

15. A cultural attitude marked by the tendency to regard one's own culture as superior is called:

A. ethnocentrism

16. Engaging in the international division of labor so as to obtain the cheapest sources of labor and supplies regardless of country is

D. outsourcing

17. The Maquiladora industry along the Texas-Mexico border uses cheap labor for assembling products. This lowers the price for US customers and is an example of:

C. outsourcing

18. Your company is interested in producing and marketing a line of clothing that will penetrate the Russian market. Your firm is willing to supply the equipment, products, product ingredients, trademark, and standardized operating system. What type of strategy are you going to use?

C. a franchise

19. A foreign subsidiary over which an organization has complete control is

D. a wholly owned foreign affiliate

20. Your company wants to reduce transferring costs by producing closer to the consumer in a foreign country. This will also help in reducing transportation and storage costs. Which strategy would be best to use given the circumstances?

C. direct investing

21. Evergreen Lawn , Inc., a US company, built a subsidiary from scratch in India. This is an example of:

B. greenfield venture

22. Your company, Lewis Lug Nut Co., receives more than 25% of its total sales revenue from operations outside of the US. Lewis would be considered a

E. none of the above

23. Which of the following characteristics distinguish a multinational corporation?

D. all of the above

24. Which of the following types of companies place an emphasis on their home countries?

C. ethnocentric companies

25. Which of the following types of companies place an emphasis on a worldwide perspective?

B. geocentric companies


Chapter 5

True/False

T 1. Ethics is the code of moral principles that govern any individual or group found b/t the domains of law and free choice

F 2. Free choice lies b/t the domains of codified law and ethics

F 3. If something is not illegal, it must be ethical.

T 4. An ethical dilemma arises in a situation when each alternative choice is undesirable b/c of potentially harmful ethical consequences.

T 5. The individual who must make an ethical choice in an organization is the moral agent.

F 6. The four approaches that guide ethical decision making are utilitarian, individualism, moral-rights, and objective dualism

F 7. The ethical concept of moral behavior produce the greatest good for the greatest number of people is known as objective dualism.

F 8. The ethical concept that acts are moral when they promote the individual's best long term interests, which ultimately leads to the greater good, is known as the moral rights approach.

F 9. The right of free speech must be considered in the individualism approach.

F 10. Because individualism supports immediate self-gain, it is popular in the highly organized society of today.

T 11. The right of free consent, the right to privacy, and the right of freedom of conscience are rights that should be considered in the moral rights approach.

T 12. At the preconventional level, individuals are concerned w/ external rewards and punishments and obey authority to avoid detrimental personal approach.

T 13. The postconventional level of moral development is also referred to as the principled level.

T 14. Social responsibility is management's obligation to make choices and take actions that will contribute to the welfare and interests of society as well as the organization

T 15. A stakeholder is any group within or outside the organization that has a stake in the organization's performance.

T 16. Corporate social performance can be evaluated by four areas of social responsibility: economic, legal, ethical, and discretionary responsibilities.

T 17. The four corporate responses to social demands are obstructive, defensive, accommodative, and proactive behaviors.

Multiple Choice

18. Sexual harassment is unethical b/c it violates an important part of which approach to ethical behavior?

D. the moral-rights approach

19. Which of the following statements best illustrates the preconventional stage of moral development.

D. What am I going to get from making this decision?

20. Which of the following statements best illustrates the conventional stage of moral development?

B. Everybody else is doing it, so it must be okay.

21. A company with a sense of social responsibility:

C. would install safety control devices before the government required them.

22. All of the following are examples of special interest groups EXCEPT

D. courts

23. What type of stakeholder would a nature conversation group for a paper manufacturing company?

D. special interest group

24. During the Watergate years, the term stonewalling was associated with which of the following corporate to social demands?

D. obstructive

25. Speeches, company publications, and personal actions of senior management regarding their commitment to ethical values for a company is an example of:

B. leadership by example


Chapter 9

Multiple Choice

1. The process of identifying problems and then resolving them is known as

C. decision making

2. Programmed decisions are made in response to ____________ organizational problems.

B. recurring

3. Examples of nonprogrammed decisions would include

B. the decision to develop a new product or service

4. _______ means that a decision has clear-cut goals and that good information is available, but the future outcomes associated w/ each alternative are subject to chance.

B. risk

5. _______ means that all the information the decision maker needs is fully available.

A. certainty

6. The concept that people have the time and cognitive ability to process only a limited amount of information on which to base decisions is known as

B. bounded rationality

7. To choose the first solution available is the essence of

D. satisficing

8. The first step in the managerial decision making process is

C. recognition of decision requirement

9. A phenomenon in which group members are so committed to the group that they are reluctant to express contrary opinions is referred to as

B. groupthink

10. The Blues Brothers recently called together their work group. They wanted them to help solve a prolbme with the new machines. They asked for their ideas, then said no critical comments were to be allowed until everyone had run out of ideas. The Blues Brothers were using a technique known as

A. brainstorming

 


Chapter 10

True/False (for false answers the correct answer is in parentheses)

T 1. The framework in which the organization defines how tasks are divided, resources are deployed, and departments are coordinated is called organizational structure.

F 2. A visual representation of an organization's structure, showing communication and lines of power, is called a structure graph (organizational chart)

T 3. The scalar principle suggests that organizations develop a well defined line of authority in the organization that includes all employees.

F 4. The principle of unity of command suggests that managers within an organization should reach agreement on the goals and objectives. (shouldn't)

T 5. The right to use resources, make decisions, and issue orders in an organization is called authority.

F 6. Accountability is the duty to perform the task or activity an employee has been assigned. (responsibility)

T 7. Staff authority includes the right to advise, recommend, and counsel in the staff specialist's area of expertise

T 8. The number of employees reporting to a supervisor is his or her span of management.

T 9. At Gateway, Inc., people are grouped together in departments by common skills and work activities, including a sales department and a production department. This is an example of functional structure.

T 10. The biggest advantage to the network approach to structure is competitiveness on a global scale.


 

Chapter 13

Multiple Choice

1. The goals of human resource management include

D. all of the above

2. The human resources strategy that results in greater cost efficiencies though a work force reduction is called

B. downsizing

3. The Equal Employment Opportunity Commission was created by the

B. Civil Rights Act

4. The hiring of applicants based on criteria that are not job related is called

C. discrimination

5. A policy requiring employers to be proactive in being certain that equal opportunity exists for all within their organization is known as

D. affirmative action

6. _______ prohibits employment on the basis of national origin or citizenship.

B. Immigration Reform and Control Act

7. The forecasting of human resource needs and the projected matching of individuals with expected job vacancies is referred to as

C. human resource planning

8. _____ is defined as activities or practices that define the characteristics of applicants to whom selection procedures are ultimately applied.

A. Selection

9. ______ generates higher employee commitment, development, and satisfaction than does _______.

C. Internal recruiting, external recruiting

10. A listing of job duties for a particular job is known as

D. a job description


Chapter 14

True/False

F 1. Workforce diversity means hiring people from different geographic regions of the country but of the same nationality

F 2. Primary dimension of diversity can be acquired or changed throughout one's lifetime.

T 3. Geographic location and religious beliefs are part of secondary dimension of diversity

F 4. The belief that your group and subculture is not as good as other groups and subcultures is known as ethnocentrism.

T 5. A culture that accepts only one way of doing things and one set of values and beliefs, produced by ethnocentrism, is known as monoculture.

? 6. Ethnorelativism is the belief that ethics are not absolute but instead need to be evaluated relative to the situation.

T 7. The glass ceiling is a possible sign of failure of affirmative action.

T 8. The mentoring relationship provides an excellent way to overcome the problem of a glass ceiling.

T 9. Individuals who share a social stigma that is not readily recognizable, like those with eating disorders or unwed parents, are members of invisible minorities.

F 10. Employees who live and work in their own country are called expatriates.


Chapter 15

True/False

T 1. The potential ability to influences the behavior and decisions of others is known as power.

T 2. Coercive power is the type of power that results from the leader's legitimate authority, based on his or her position within the organization.

F 3. Leadership research has validated Leadership Trait Theory, recognizing that successful leaders share specific personal characteristics. (don't share)

T 4. A leader who tends to centralize authority and rely on legitimate, reward, and coercive powers to manage subordinates is known as an autocratic leader.

T 5. Researchers at Ohio State University identified two major behaviors called consideration and initiating structure.

F 6. The managerial grid suggests a two-dimensional leadership theory that measures a leader's concern for people and concern for the organization. (concern for people & production)

T 7. The basic idea with Fiedler's contingency theory is to match the leader's style with the situation by changing factors in the situation to achieve the best match

T 8. Hersey and Blanchard's situational theory focuses a great deal of attention on the characteristics of employees in determining appropriate leadership behavior.

T 9. Path-goal theory suggests that the leader can increase employee motivation by either (1) clarifying the employee's path to accomplish goals, or (2) maximizing the value of the rewards available to successful employees.

F 10. A transactional leader is an inspirational leader who has the ability to motivate subordinates, through personal transactions, to transcend their normal performance. (transformational or charismatic)


Chapter 16

True/False

F 1.Extrinsic rewards are the satisfaction a person receives in the process of performing a particular action. (intrinsic

T 2. Three categories of motivation theories are content theories, process theories, and reinforcement theories.

F 3. Food, water, and freedom from violence are examples of physiological needs in Maslow's hierarchy of needs theory. (shelter, sex)

T 4. Existence and relatedness are the first two groups of needs in Aldefer's ERG theory.

F 5. Herzberg's two-factor theory divides work-related needs into two categories: hygiene factors and reward factors. (motivator factors)

T 6. Motivator factors are the same as satisfiers and are based on fulfillment of higher level needs including responsibility.

F 7. David McClelland's acquired needs theory proposes a need for power, a need got accomplishment, and a need for superior power. (A need for affiliation)

T 8. Adam's equity theory states that equity exists when the ratio of outcomes to inputs for one person is equal to the same ratio for another person.

F 9. Avoidance learning is the imposition of unpleasant outcomes on an employee.

T 10. The variable-ratio schedule is based on a random number of desired behaviors.


Chapter 18

Multiple Choice

1. A unit of two or more people who interact and coordinate their work to accomplish a specific objective is called:

B. a team

2. A formal team is composed of manager and his or her subordinates is called

A. a vertical team

3. Don is a manager at ABC Corporation. Recently, he was assigned a work team. He is in charge of the team and it consists of the subordinates under his authority. This is an example of

B. a vertical team

4. A formal team composed of employees from about the same hiercarchial level but from different areas of expertise is called:

B. a horizontal team

5. A group of employees from different departments formed to deal with a specific activity and existing only until the task is completed is known as

D. a task force

6. A task force is sometimes called a

B. cross-functional team

7. _______ teams are created outside the formal organization structure to undertake a project of special importance.

C. Special-purpose

8. Problem-solving teams are one of an organization's first steps toward greater employee participation. As the organization matures, problem-solving teams may evolve into

D. self-directed teams

9. The most widely known application of problem-solving teams is

A. quality circles

10. The McDonald's McNugget team is an example of

A. a special purpose team

11. Diane is a member of a work team a 123 Corporation. She and her teammates possess a variety of skills and are able to perform a major organizational task with little or no oversight from management. Diane is a member of

B. a self directed team

12. Which of the following statements is true?

A. Self-managed teams are empowered with decision-making authority.

13. A team that uses computer technology and groupware so that geographically distant members can collaborate on projects and reach common goals is referred to as a

C. virtual team

14. The ideal size of work teams is

B. 7

15. Small teams experience _________ than large teams.

D. a greater exchange of ideas

16. A role in which the individual provides support for team members' emotional needs is known as a

D. socioemotional role

17. During which stage should the team leader encourage participation by each team member?

B. storming

18. There are two types of roles that emerge in teams. They are the ______ role and the ______ role.

C. task specialist, socioemotional

19. Which of the following behaviors is consistent w/ the role of task specialist?

D. all of the above.

20. Which of the following behaviors is consistent w/ the socioemotional role?

A. reduce tension

21. Some team members are asked to play a dual role. These members

B perform both roles: task specialist and socioemotional

22. Which of the following roles is least valued by the team?

D. nonparticipator

23. The first stage of team development is

A. forming

24. During the ____ stage, the major emphasis is on task accomplishment.

B. performing

25. The extent to which team members are attracted to the team and motivated to remain in it is called

D. team cohesiveness


Chapter 19

Multiple Choice

1. According to the control process, after establishing standards of performance, the manger should

C. measure actual performance

2. The first step on the control process is

B. to establish standards of performance

3. Jan recently discovered that the reject rate for her department has exceeded the standard for performance in this area. What should Jan do to exercise effective control?

D. She should investigate and discover the cause of the problem.

4. You department has absenteeism standards, a way to measure absenteeism, and, based on your investigation, you have concluded that your department has an excessive absenteeism rate. What should your next step be?

D. all of the above would be good examples of taking corrective action

5. Which of the following is an example of a feedforward control?

D. criteria used in the hiring process

6.Which of the following types of control monitors ongoing employee activities?

A. concurrent

7. Frito Lay's use of hand-held computers to monitor daily sales activity is an example of

C. a concurrent control

8. John likes to roam through his department to make sure everyone is staying on task. This is an example of

B. a concurrent control

9. Donald Duck's Corporation sends a post-purchase questionnaire to all consumers who buy Donald Duck products. They are interested in gathering data on product quality, customer service orientation, and customer satisfaction. This is an example of

B. a feedback control

10. Direct supervision is most effective for which type of control?

B. concurrent

11. The basic philosophy of control at Friends Corporation is based on the policies found in the employee handbook, as well as a strict hierarchy of authority. This philosophy is consistent with

C. bureaucratic control

12. Total quality management

C. gives workers the responsibility for achieving quality goals.

13. _______ is a philosophy of organization-wide commitment to continuous improvement, focusing on teamwork, customer satisfaction, and lowering costs.

B. Total quality management

14. In order for TQM to be successful, which of the following must occur?

D. all of the above.

15. _______ is a group of six to twelve volunteer employees who meet regularly to discuss and solve problems affecting their common work activities.

C. a quality circle

16. Quality circles are based on the assumption(s) that
A. the people who do the job know it better than anyone else.

17. The process of measuring your organizational process against the best in the industry is known as

D. benchmarking

18. The top management at the Mickey Mouse Corporation recently decided to close its data processing department. Now, all of Mickey Mouse's computer tasks are handled by a local computer company. This is an example of

B. outsourcing

19. The farming out of a company's in-house operation to a preferred vendor is known as

C. outsourcing

Scenario

Ann Allen recently reached the conclusion that the best approach to management is through TQM. While she recognizes that significant changes will be required, she anticipates tremendous advantages.

20. In developing a TQM orientation, Ann will likely use the common TQM techniques, which include all of the following except

D. continuous resourcing