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Chapter 1 – Introduction to Management and Organizations True/False Questions The four contemporary functions of management are planning, organizing, leading, and controlling.Y Effectiveness refers to the relationship between inputs and outputs.N Efficiency is often referred to as "doing things right."Y ·When managers meet organizational goals, they are efficient and effective.N According to Mintzberg’s management roles, the informational role involves receiving, collecting, and disseminating information.Y Technical skills become less important as a manager moves into higher levels of management.Y The systems perspective underscores and emphasizes the fact that organizations are different, face different circumstances, and thus may require different ways of managing.Y Multiple Choice ________A_____ are organizational members who integrate and coordinate the work of others. a. Managers b. Team leaders c. Subordinates d. Operatives e. Agents Typically, in organizations it is the _______C______ who are responsible for making organizational decisions and setting policies and strategies that affect all aspects of the organization. a. team leaders b. middle managers c. first-line managers d. top managers e. subordinates _______C______ distinguishes a managerial position from a nonmanagerial one. a. Manipulating others b. Concern for the law c. Increasing efficiency d. Coordinating and integrating others' work e. Defining market share Which of the following is NOT an example of a decisional role according to Mintzberg?A a. spokesperson b. entrepreneur c. disturbance handler d. resource allocator e. negotiator Which of the following skills are more important at lower levels of management since these managers are dealing directly with employees doing the organization’s work?B a. human skills b. technical skills c. conceptual skills d. empirical skills Understanding building codes would be considered a _______C______ skill for a building contractor. a. human b. technical c. conceptual d. empirical e. functional Which of the following phrases is best associated with managerial conceptual skills?A a. decision-making b. communicating with customers 1 c. motivating subordinates d. product knowledge e. technical skills According to the text, _______B______ are not influenced by and do not interact with their environment. a. open systems b. closed systems c. flextime systems d. reverse systems e. forward systems The _______B______ view of a manager's job implies that decisions and actions taken in one organizational area will impact other areas. a. systems b. contingency c. conceptual d. functional e. environmental Which of the following best describes the concept that management is needed in all types and sizes of organizations, at all organizational levels and in all organizational work areas, and in all organizations, no matter what country they’re located in?C a. the partiality of management b. the segmentation of management c. the universality of management d. the cultures of management Scenarios and Questions The Busy Day (Scenario) Don Eskew, plant manager at Control Systems, Inc., sighed as he sipped his first cup of coffee at 5 a.m. and read his agenda for the day. He is giving two company tours in the morning; the first to a newspaper reporter who is writing a story on the new plant expansion and has several questions, and the second to a group of Control Systems, Inc., managers from the east coast. He then has a meeting with unit manager, Phil Johnson, to discuss Phil's recent drop in performance (a task he always hates). Next, he is spending a couple of hours reviewing the trade journals he receives from his high-tech association and writing up a brief synopsis for his presentation next week to the Division President. Finally, in late afternoon, he will be reviewing the new equipment malfunction and deciding whether to bring in extra people to get the equipment running as soon as possible. Whew! Just another day in the glamorous life of a manager. Together, all of these behaviors performed by Don during his busy day correspond to the management roles discovered in the late 1960s by which of the following management scientists?C a. Herzberg b. Skinner c. Mintzberg d. Fayol e. Maslow When Don was meeting with Phil to discuss his performance concerns, he was operating in which management role?B a. leader b. figurehead c. monitor d. disturbance handler e. spokesperson 114. What role was Don performing when he gave the plant tour to the newspaper reporter?B a. monitor b. figurehead c. disseminator d. spokesperson e. resource allocator 2 115. When Don was reviewing the new equipment malfunction, what management role was he playing when deciding whether to bring in extra people?C a. monitor b. disseminator c. resource allocator d. disturbance handler e. figurehead Essay Questions In a short essay, discuss the difference between efficiency and effectiveness and include a specific example to support each concept. Answer a. Efficiency refers to getting the most output from the least amount of inputs. Because managers deal with scarce inputs—including resources such as people, money, and equipment—they are concerned with the efficient use of resources. For instance, at the Beiersdorf Inc. factory in Cincinnati, where employees make body braces and supports, canes, walkers, crutches, and other medical assistance products, efficient manufacturing techniques were implemented by doing things such as cutting inventory levels, decreasing the amount of time to manufacture products, and lowering product reject rates. From this perspective, efficiency is often referred to as “doing things right”—that is, not wasting resources. b. Effectiveness is often described as “doing the right things”—that is, those work activities that will help the organization reach its goals. For instance, at the Biersdorf factory, goals included open communication between managers and employees, and cutting costs. Through various work programs, these goals were pursued and achieved. Whereas efficiency is concerned with the means of getting things done, effectiveness is concerned with the ends, or attainment of organizational goals. (moderate) In a short essay, list and explain the four basic functions of management. Answer a. Planning – involves the process of defining goals, establishing strategies for achieving those goals, and developing plans to integrate and coordinate activities. b. Organizing – involves the process of determining what tasks are to be done, who is to do them, how the tasks are to be grouped, who reports to whom, and where decisions are to be made. c. Leading – when managers motivate subordinates, influence individuals or teams as they work, select the most effective communication channel, or deal in any way with employee behavior issues, they are leading. d. Controlling – to ensure that work is going as it should, managers must monitor and evaluate performance. The process of monitoring, comparing, and correcting is what is meant by the controlling function. (moderate) In a short essay, list and discuss the three essential skills according to Katz that managers need to perform the duties and activities associated with being a manager. Answer a. Technical skills – include knowledge of an proficiency in a certain specialized field, such as engineering, computers, accounting, or manufacturing. These skills are more important at lower levels of management since these managers are dealing directly with employees doing the organization’s work. b. Human skills – involve the ability to work well with other people both individually and in a group. Managers with good human skills are able to get the best out of their people. They know how to communicate, motivate, lead, and inspire enthusiasm and trust. These skills are equally important at all levels of management. c. Conceptual skills – these are the skill that managers must have to think and to conceptualize about abstract and complex situations. Using these skills, managers must be able to see the organization as a whole, understand the relationships among various subunits, and visualize how the organization fits into its broader environment. These skills are most important at the top management levels. (moderate) 3 Chapter 2 – Management Yesterday and Today True/False According to Adam Smith, division of labor was an important concept. In the Industrial Revolution, machine power began substituting for human power. “Principles of Scientific Management” was written by Frederick Taylor. Frank Gilbreth’s best-known contribution to scientific management concerned selecting the best worker. Frederick Taylor is most associated with the principles of scientific management. One could say that Fayol was interested in studying macro management issues, whereas Taylor was interested in studying micro management issues. Bureaucracy, as described by Weber, emphasizes rationality and interpersonal relationships. Decisions on determining a company’s optimum inventory levels have been significantly influenced by economic order quantity modeling. Barnard, Follet, Musterberg, and Owen are all theorists are associated with the early organizational behavior approach. Multiple Choice Adam Smith's, "The Wealth of Nations," put forth that the primary economic advantage by societies would be gained from which of the following concepts? E a. management planning and control b. on-the-job training c. union representation d. fair employment legislation e. division of labor Which of the following is not one of the four management approaches that grew out of the first half of this century? D a. scientific management b. general administrative c. organizational behavior d. systems approach e. quantitative According to the text, probably the best-known example of Taylor’s scientific management was the ______________ experiment. B a. horse shoe b. pig iron c. blue collar d. fish tank Which of the following is NOT one of Taylor’s four principles of management? D a. Develop a science for each element of an individual’s work, which will replace the old rule-of-thumb method. b. Scientifically select and then train, teach, and develop the worker. c. Heartily cooperate with the workers so as to ensure that all work is done in accordance with the principles developed. d. Provide managers will less work than other employees so the managers can plan accordingly. General administrative theory focuses on A a. the entire organization. b. managers and administrators. c. the measurement of organizational design relationships. d. primarily the accounting function. e. administrative issues affecting non-managerial employees. The fourteen principles of management are associated with whom? E a. Weber b. Drucker 4 c. Taylor d. Gilbreth e. Fayol Which of the following approaches to management has also been labeled operations research or management science? B a. The qualitative approach b. The quantitative approach c. The experimental approach d. The theoretical approach Which of the following would not be associated with the quantitative approach to management? C a. information models b. critical-path scheduling c. systematic motivation of individuals d. linear programming e. statistics Without question, the most important contribution to the developing field of organizational behavior came out of the _________D______. a. Taylor Studies. b. Porter Studies. c. Parker Studies. d. Hawthorne Studies. What scientist is most closely associated with the Hawthorne Studies? B a. Adams b. Mayo c. Lawler d. Barnard e. Follett One outcome of the Hawthorne studies could be described by which of the following statements? B a. Social norms are the key determinants of individual work behavior. b. Money is more important than the group on individual productivity. c. Behavior and employee sentiments are inversely related. d. Security is relatively unimportant. e. While groups are an important determinant of worker productivity, the individual him/herself is most important. Scenarios and Questions A Look Back (Scenario) Cindy Schultz, tired from working with customers all day, decided to take a fifteen-minute nap to help clear her head before the 4:15 managers' meeting. Her company had recently begun a re-engineering process as well as other changes requiring copious management input. As she leaned back in her chair, she wondered if management science had always been this way and how it all began. As she napped, she dreamed that, along with "Mr. Peebodi" as her guide, she was traveling in the "Management Way Back Machine" that took her back through management history. One of the earliest sites Cindy visited was Adam Smith's home, author of The Wealth of Nations, which suggested that organizations and society would gain from B a. time management. b. division of labor. c. group work. d. quality management. e. time and motion studies. Cindy visited a bookstore where there was a book signing occurring. She looked down and saw that the title of the book was Principles of Scientific Management and concluded that the author must be D a. Adam Smith. b. Frank Gilbreth. c. Henry Gantt. d. Frederick Taylor. 5 e. Henri Fayol. Cindy admired the works of Taylor and Gilbreth, two advocates of A a. scientific management. b. organizational behavior. c. human resource management. d. motivation. e. leadership. Cindy spent some time visiting with _____D_____, a researcher she previously knew little about but who also contributed to management science by being among the first to use motion picture films to study hand-andbody motions and by devising a classification scheme known as a "therblig." a. Henry Gantt b. Max Weber c. Chester Barnard d. Frank Gilbreth e. Mary Parker Follet Essay Questions In a short essay, discuss Frederick Taylor’s work in scientific management. Next, list Taylor’s four principles of management. In a short essay, discuss the work in scientific management by Frank and Lillian Gilbreth. In a short essay, discuss the work of Henri Fayol as it relates to the general administrative approach to management. Next list and discuss seven of Fayol’s fourteen principles of management. In a short essay, describe the Hawthorne Studies. Next, discuss the role of Elton Mayo in these studies and some of the findings of his research. Chapter 3 – Organizational Culture In the symbolic view of management, managers are seen as directly responsible for an organization's success or failure. The current dominant assumption in management theory suggests managers are omnipotent. An organizational culture refers to a system of shared meaning. Organizational culture is a perception, not reality. Strong cultures have more influence on employees than weak ones. An organization's founder has little influence on its culture. The link between values and managerial behavior is fairly straightforward. Multiple-Choice Questions What view suggests that managers are directly responsible for an organization's success or failure? a. Symbolic view of management b. Autocratic view of management c. Omnipotent view of management d. Linear view of management e. Quality view of management Organizational culture is similar to an individual's _____________. a. skills b. personality c. motivation d. ability e. knowledge Which of the following phrases is associated with the definition of organizational culture? a. Individual response b. Shared meaning c. Diversity of thought d. Explicit directions 6 e. Internal growth The organizational _____________ is (are) a system of shared meaning held by members that distinguish(es) the organization from other organizations. a. culture b. values c. rituals d. structure e. hierarchy Which of the following is not implied by your text's definition of culture? a. Culture is a perception. b. Individuals tend to describe an organization's culture in dissimilar terms. c. There is a shared aspect of culture. d. Organizational culture is a descriptive term. e. Research suggests seven dimensions to an organization's culture. Most organizations have ____________ cultures. a. very weak b. weak to moderate c. moderate d. moderate to strong e. strong to very strong What is the original source of an organization's culture? a. The organization's industry b. The organization's size c. The organization's age d. The organization's geographic location e. The organization's founder _____________ are repetitive sequences of activities that express and reinforce key values of the organization. a. Rituals b. Stories c. Symbols d. Language e. Habits Organizational _____________ typically contain a narrative of significant events or people. a. stories b. rituals c. organizational chart d. material symbols e. language The link between organizational values and managerial behavior is _____________. a. uncertain b. fairly straightforward c. loose and difficult to see d. unimportant e. hidden Scenarios and Questions Corporate Takeover (Scenario) Todd works for SeaLan Tech, an environmental consulting firm that has just been purchased by Zerex, Inc., a biomedical research organization. Based on his early encounters with the new upper management from Zerex, he feels that SeaLan is a "lower-key, friendlier" organization. He is concerned that the new company will eliminate this company’s old culture, and he does not like the prospects. If you were talking with Todd and asked him what the term culture meant, he would reply that, basically, it is a. the formal rules of an organization. b. the nationality of the workers in the company. 7 c. a system of shared meaning. d. a system that reflects diversity and respect for differences. e. the nonverbal behaviors in an organization. Todd is concerned with the degree to which managers focus on results or outcomes rather than techniques and processes used to achieve those outcomes. He is concerned with _____________. a. stability b. aggressiveness c. team orientation d. outcome orientation e. people orientation Todd notices that management is very concerned with the effects of outcomes on people within the organization. This is referred to as _____________. a. stability b. aggressiveness c. team orientation d. outcome orientation e. people orientation Todd is assessing the organization's _____________, the degree to which organizational activities emphasize maintaining the status quo in contrast to growth. a. stability b. aggressiveness c. team orientation d. outcome orientation e. people orientation Todd has been learning the seven dimensions of organizational culture. Which of the following is not one of those seven dimensions? a. Stability b. Aggressiveness c. Team orientation d. Outcome orientation e. Member orientation Mary has been asked by the company president to change the organizational culture to reflect the company's new organizational goals. As executive vice president, she certainly understands the goals, but is really not sure she understands what to do about the culture. Mary asked employees if they knew what constituted "good employee behavior." She found that very few understood and most had a variety of ideas. This is one indication a. that her company has a strong culture. b. that her company has a weak culture. c. that her company has no culture. d. that her company must have high turnover. e. that her company must not be productive. Mary also found out that in order to build a strong new culture, she should do all but which of the following? a. Utilize their recruitment efforts. b. Develop socialization practices to build culture. c. Encourage a high turnover rate. d. Have management make explicit what is valued in the organization. e. Encourage employee commitment to organizational values. Mary was surprised to find that most organizational culture strengths are a. weak. b. weak to moderate. c. moderate to strong. d. strong. e. very strong. e. varied 8 Essay Questions In a short essay, identify and define the seven dimensions that make up an organization’s culture. In a short essay, list and discuss the four most significant ways in which culture is transmitted to employees. Include specific examples of each to support your answer. Chapter 5 – Social Responsibility and Managerial Ethics True/False Questions 5. 7. 9. 12. 14. 15. 20. 21. 25. 26. 27. 28. 29. The classical view of organizational social responsibility is that management’s only social responsibility is to maximize profits. In the socioeconomic view of organizational social responsibility, maximizing profits is a company's second priority. Socially responsible businesses tend to have less secure long-run profits. The difference between an organization's social obligation and social responsiveness is the legal aspect. Values-based management is an approach to managing in which managers establish, promote, and practice an organization's shared values. Though the outcomes are not perfectly measured, the majority of research studies show a positive relationship between corporate social involvement and economic performance. The market approach to going green is when organizations respond to multiple demands of stakeholders. The activist approach to going green is when an organization looks for ways to respect and preserve the earth and its natural resources. Ethics refers to the rules and principles that define right and wrong conduct. In the rights view of ethics, decision-makers seek to impose and enforce rules fairly and impartially. The integrative social contracts theory proposes that decisions should be made on the basis of empirical and normative factors. Studies have shown that most business people continue to hold utilitarian attitudes toward ethical behavior. In the preconventional stage of moral development, individuals make a clear effort to define moral principles apart from the authority of the groups to which they belong or society in general. Multiple Choice 35. 37. 39. 54. 57. Which of the following is associated with the classical view of social responsibility? a. economist Robert Reich b. concern for social welfare c. stockholder financial return d. voluntary activities e. ethical behaviors The socioeconomic view of corporate responsibility suggests that ______________. a. stockholders are the only responsibility. b. corporations are independent entities. c. maximizing profits is the first priority while social responsibility is the second priority. d. corporations are responsible to the state and its citizens. e. organizations have an ethical but no legal responsibility to anyone except stockholders. ______________ is defined as a business firm’s obligation, beyond that required by law and economics, to pursue long-term goals that are good for society. a. Social obligation b. Social responsibility c. Social screening d. Value-based management e. Social autonomy Which of the following terms refers to when a firm meets its economic and legal responsibilities? a. social responsibility b. social obligation c. social responsiveness d. social duty e. social standard When a firm advertises that it only uses recycled paper products, it is ______________. 9 59. 65. 72. 74. 75. 81. 84. 85. a. meeting its social obligation. b. meeting social responsibilities. c. being socially responsive. d. paying attention to the bottom line. e. attempting to defraud consumers. One should be cautious in the interpretation, but a summary of more than a dozen studies analyzing the relationship between organizational social responsibility and economic performance provides what conclusion? a. Being socially responsible causes good economic performance. b. Good economic performance allows firms to be socially responsible. c. There is a positive relationship between corporate social involvement and economic performance. d. Corporate social involvement tends to devalue stock price in the long run. e. Corporate social involvement tends to result in increased net income but lower stock prices. Which of the following is true regarding shared corporate values? a. Individuals adapt easily to shared corporate values. b. Top management dictates shared corporate values. c. It is not easy to establish shared corporate values. d. Most corporations will be unable to successfully establish shared corporate values. e. Shared corporate values negatively impact team spirit. The ______________ approach to environmental issues is when an organization obeys rules and regulations but exhibits little environmental sensitivity. a. legal b. market c. stakeholder d. responsibility e. activist The ______________ approach to environmental issues is when organizations respond to environmental preferences of their customers. a. legal b. market c. stakeholder d. responsibility e. activist Which of the following approaches toward environmental issues exhibits the highest degree of environmental sensitivity and is a good illustration of social responsibility? a. legal approach b. market approach c. stakeholder approach d. activist approach Which of the following is a basic definition of ethics? a. moral guidelines for behavior b. rules for acknowledging the spirit of the law c. rules or principles that define right and wrong conduct d. principles for legal and moral development e. There is no way to define ethics. Which of the following encourages efficiency and productivity and is consistent with the goal of profit maximization? a. utilitarian view b. principled view c. rights view d. theory of justice view e. integrative social contracts theory The rights view of ethics is based on which of the following? a. decisions based on their outcomes or consequences b. the imposition and enforcement of fair and impartial rules c. respect and protection of individual liberties and freedoms 10 d. the process used to determine the distribution of resources e. the existing ethical norms in industries and corporations 86. The theory of justice view of ethics is based on which of the following? a. the process used to determine the distribution of resources b. the existing ethical norms in industries and corporations c. decisions based on their outcomes or consequences d. the imposition and enforcement of fair and impartial rules e. respect and protection of individual liberties and freedoms 87. The integrative social contracts theory of ethics is based on which of the following? a. the process used to determine the distribution of resources b. decisions based on their outcomes or consequences c. the imposition and enforcement of fair and impartial rules d. the existing ethical norms in industries and corporations e. respect and protection of individual liberties and freedoms 92. A personality measure of a person's convictions is ______________. a. moral development. b. ego strength. c. locus of control. d. social desirability. e. self-image. 93. ______________ is a personality attribute that measures the degree to which people believe they control their own fate. a. Ego strength b. Locus of control c. Social responsibility d. Social obligation e. Social autonomy 97. Which of the following is true concerning the impact of organizational culture on ethical behavior? a. Low conflict tolerance leads to ethical behavior. b. A strong culture will support high ethical standards. c. Conflict tolerance is related to unethical behavior. d. A culture that is high in control tends to encourage unethical behavior. e. None of the above is true. 104. A survey of various codes of ethics found that their content tended to fall into all of the following categories EXCEPT: a. be a dependable and organizational citizen. b. do not do anything unlawful or improper that will harm the organization. c. consider profit maximization to be the primary focus of the company. d. be good to customers. Essay Questions WHAT IS SOCIAL RESPONSIBILITY? 122. In short essay, discuss social responsibility and compare and contrast social obligation and social responsiveness. 125. In a short essay, explain the four approaches that organizations can take with respect to environmental issues. 126. In a short essay, describe the four-stage model of an organization’s expanding social responsibility. 127. In a short essay, discuss the four views of ethics. Include a discussion of the benefits and drawbacks related to each of the four views. Chapter 6 – Decision-Making: The Essence of the Manager’s Job True/False Questions 4. 6. The first step in the decision-making process is identifying a problem.T It is possible at the end of the decision-making process that you may be required to start the decision process over again.T 11 10. 12. 13. 15. 16. 18. 21. 24. 25. Decision-making is synonymous with managing.T One assumption of rationality is that we cannot know all of the alternatives.T Accepting solutions that are "good enough" is termed satisfying.T Managers regularly use their intuition in decision-making.T Rational analysis and intuitive decision-making are complementary.T Programmed decisions tend to be repetitive and routine.T Most managerial decisions in the real world are fully nonprogrammed.F Risk is a situation in which a decision maker has neither certainty nor reasonable probability estimates.T An optimistic manager will follow a maximin approach.T Multiple Choice 34. 36. 38. 39. 44. 47. 48. A series of eight steps that begins with identifying a problem and decision criteria and allocating weights to those criteria; moves to developing, analyzing, and selecting an alternative that can resolve the problem; implements the alternative; and concludes with evaluating the decision's effectiveness is the __________A____. a. decision-making process. (easy) b. managerial process. c. maximin style. d. bounded rationality approach. e. legalistic opportunism process. "A discrepancy between an existing and a desired state of affairs" describes which of the steps in the decision-making process?C a. criteria weight allocation b. analysis of alternatives c. problem identification (difficult) d. decision effectiveness evaluation e. decision criteria identification Which of the following must be present in order to initiate the decision-making process?B a. plenty of time b. pressure to act (moderate) c. a lack of authority d. a lack of resources e. environmental certainty Managers aren't likely to characterize something as a problem if they perceive _____A_______. a. they don't have authority to act. (difficult) b. pressure to act. c. a discrepancy. d. they have sufficient resources. e. they have budgetary authority. Selecting an alternative in the decision-making process is accomplished by _______A_______. a. choosing the alternative with the highest score. (easy) b. choosing the one you like best. c. selecting the alternative that has the lowest price. d. selecting the alternative that is the most reliable. e. choosing the alternative you think your boss would prefer. Which of the following is the final step in the decision-making process?B a. identifying the problem b. evaluating the decision's effectiveness (easy) c. identifying decision criteria d. selecting an alternative that can resolve the problem e. allocating weights to alternatives. Which of the following is important to remember in evaluating the effectiveness of the decision-making process?B a. Ignore criticism concerning the decision-making. b. You may have to start the whole decision process over. (difficult) c. Restart the decision-making process if the decision is less than 50% effective. d. 90% of problems with decision-making occur in the implementation step. 12 49. 51. 52. 53. 54. 57. 58. 59. 62. e. Keep track of problems with the chosen alternative, but only change those issues that upper management demand. Decision-making is synonymous with ____ A_______. a. managing. (easy) b. leading. c. controlling. d. planning. e. organizing. Which of the following is not an "organizing" decision?A a. What are the organization's long-term objectives? (moderate) b. How many employees should I have report directly to me? c. How should jobs be designed? d. How much centralization should there be in the organization? e. When should the organization implement a different structure? Which of the following is not a "leading" decision?E a. How do I handle employees who appear to be low in motivation? b. What is the most effective leadership style in a given situation? c. How will a specific change affect worker productivity? d. When is the right time to stimulate conflict? e. How should jobs be designed? (moderate) Which of the following is not a "controlling" decision? a. What activities in the organization need to be controlled? b. How should those activities be controlled? c. When is a performance deviation significant? d. When is the right time to stimulate conflict? (moderate) e. What type of management information system should the organization have? Managers are assumed to be _______A_______; they make consistent, value-maximizing choices within specified constraints. a. rational (easy) b. leaders c. organized d. satisficers e. programmed Which of the following is not a valid assumption about rationality? a. The problem is clear and unambiguous. b. A single well-defined goal is to be achieved. c. Preferences are clear. d. Preferences are constantly changing. (difficult) e. No time or cost constraints exist. In "bounded rationality," managers construct ______________ models that extract the essential features from problems. a. multiple b. binding c. interactive d. simplified (difficult) e. past According to the text, because managers can’t possibly analyze all information on all alternatives, managers ______________, rather than ______________. a. maximize; satisfice b. maximize; minimize c. satisfice; minimize d. satisfice; maximize (moderate) An increased commitment to a previous decision despite evidence that it may have been wrong is referred to as _____________. a. economies of commitment b. escalation of commitment (moderate) 13 64. 65. 68. 70. 71. 72. 75. 78. c. dimensional commitment d. expansion of commitment According to the text, all of the following are aspects of intuition EXCEPT: a. experienced-based decisions b. affect-initiated decisions c. cognitive-based decisions d. values or ethics-based decisions e. programmed decisions (easy) According to the text, _____________ are straightforward, familiar, and easily defined problems. a. poorly-structured problems b. well-structured problems (moderate) c. unique problems d. non-programmed problems e. programmed problems ______________ decision-making is relatively simple and tends to rely heavily on previous solutions. a. Nonprogrammed b. Linear c. Satisficing d. Integrative e. Programmed (moderate) A ______________ is a series of interrelated sequential steps that a manager can use for responding to a structured problem. a. procedure (easy) b. rule c. policy d. system e. solution A ______________ is an explicit statement that tells a manager what he or she ought or ought not to do. a. procedure b. policy c. rule (moderate) d. solution e. system A ______________ provides guidelines to channel a manager's thinking in a specific direction. a. system b. rule c. solution d. policy (moderate) e. procedure A business school's statement that it "strives for productive relationships with local organizations," is an example of a ______________. a. rule. b. policy. (moderate) c. procedure. d. commitment. e. contract. Which of the following terms is associated with nonprogrammed decisions? a. unique (moderate) b. recurring c. routine d. repetitive e. well-defined 14 79. 83. 84. 85. 86. 87. 89. 91. Lower-level managers typically confront what type of decision-making? a. unique b. nonroutine c. programmed (moderate) d. nonprogrammed e. nonrepetitive If an individual knows the price of three similar cars at different dealerships, he/she is operating under what type of decision-making condition? a. risk b. uncertainty c. certainty (easy) d. factual e. unprogrammed ______________ is those conditions in which the decision maker is able to estimate the likelihood of certain outcomes. a. Certainty b. Risk (easy) c. Uncertainty d. Maximax e. Maximin A retail clothing store manager who estimates how much to order for the current spring season based on last spring's outcomes is operating under what kind of decision-making condition? a. seasonal b. risk (difficult) c. uncertainty d. certainty e. cyclical ______________ is a situation in which a decision maker has neither certainty nor reasonable probability estimates available. a. Certainty b. Risk c. Uncertainty (easy) d. Maximax e. Maximin A person at a horse racetrack who bets all of his/her money on the odds-based longshot to "win" (rather than "place" or "show") is making what kind of choice? a. maximax (moderate) b. maximin c. minimax d. minimin An individual making a "maximin" type of choice has what type of psychological orientation concerning uncertain decision-making? a. optimist b. realist c. pessimist (moderate) d. satisficer e. extremist According to the text, a manager who desires to minimize his or her maximim “regret” will opt for a ______________ choice. a. maximax b. maximin c. minimax (moderate) d. minimin 15 93. Which of the following decision-making styles have low tolerance for ambiguity and are rational in their way of thinking? a. directive (moderate) b. egotistical c. analytic d. conceptual e. behavioral 95. The decision-making style that makes fast decisions and focuses on the short terms is referred to as the ______________ style. a. directive (moderate) b. egotistical c. analytic d. conceptual e. behavioral 98. According to the text, ______________ are best characterized as careful decision makers with the ability to adapt or cope with unique situations. a. conceptual b. behavioral c. empirical d. analytic (moderate) e. spatial 99. Which of the following is the decision-making style that would most likely look at as many alternatives as possible and focus on the long run? a. analytical b. directive c. conceptual (moderate) d. behavioral e. spatial 101. A manager who would decide what computer system to purchase for the department by holding a meeting and receiving feedback from his/her subordinates matches with which type of decision-making style? a. analytical b. behavioral (difficult) c. conceptual d. directive e. empirical Scenarios Decision-Making Conditions (Scenario) Sandy Jo is the manager for TrucksRUs, a medium-sized hauling service located in the Southeast. She is responsible for scheduling trucks, initiating new routes, and staffing both existing and new routes. She is currently struggling with existing information about the profitability of existing and future truck routes. 116. Bubba, Sandy Jo's best driver tells her that he believes that he can estimate that there is a 75% probability that they can get the business of Pork Brothers Inc. if they initiate a truck route through rural North Carolina. Bubba is operating under a condition of ______________. a. certainty. b. risk. (difficult) c. uncertainty. d. maximax. e. maximin. 117. Sandy Jo can make accurate decisions if she is willing to pay $5,000 for research about the profitability of various truck routes. If she pays for the research, she believes that she is operating under a condition of ______________. a. certainty. (difficult) b. risk. c. uncertainty. 16 d. maximax. e. maximin. 118. Sandy Jo knows that she is operating in an uncertain environment. She is basically an optimist, and we would, therefore, expect her to follow a ______________ strategy. a. certainty b. risk c. uncertainty d. maximax (moderate) e. maximin 119. Sandy Jo knows that she is operating in an uncertain environment. She is basically a pessimist, and we would, therefore, expect her to follow a ______________ strategy. a. certainty b. risk c. minimax d. maximax e. maximin (moderate) 120. Sandy Jo wishes to minimize her regret and will probably opt for a ______________ strategy. a. certainty. b. risk. c. minimax (moderate) d. maximax. e. maximin. Essay Questions 121. In a short essay, list and discuss the eight steps in the decision-making process. 123. In a short essay, discuss the assumptions of rationality and the validity of those assumptions. 126. In a short essay, discuss the difference between well-structured and poorly structured problems. Include specific examples of each type of problem to support your answer. Next discuss the type of decisions that would be used to address each of these problems. 130. In a short essay, list and discuss the four decision-making styles as described in the text. Chapter 7 – Foundations of Planning True/False Questions 4. 9. 10. 12. 13. 22. 24. Research indicates that managers who plan always outperform managers who do not plan.T Plans that specify the details of achievement of the overall objectives are called operational plans.T Directional plans have clearly defined objectives.F Standing plans are created in response to programmed decisions that managers make and include policies, rules, and procedures.T The greater the environmental certainty, the more plans need to be directional and emphasis placed on the short term.T An organization's real goals are what they actually plan on accomplishing, rather than what they hope to accomplish.T Real goals are official statements of what an organization says its goals are.F Multiple Choice 36. 38. One purpose of planning is that it minimizes ______c_______ and ________c______. a. cost; time b. time; personnel needs c. waste; redundancy d. time; waste e. mistakes; cost What does the evidence suggest about organizations that plan compared to organizations that do not plan?C a. Planning organizations always outperform nonplanning organizations. b. Nonplanning organizations always outperform planning organizations. c. Planning organizations generally outperform nonplanning organizations d. Nonplanning organizations generally outperform planning organizations. e. They generally perform at about the same level. 17 45. 46. 50. 54. 59. 61. 67. 76. 78. Which of the following is the foundation of planning?B a. employees b. goals c. outcomes d. computers e. the planning department According to the text, _______C______ are documents that outline how goals are going to be met and which typically describe resource allocations, schedules, and other necessary actions to accomplish the goals. a. strategies b. goals c. plans d. policies e. procedures Which of the following is true concerning an organization's stated objectives? a. They issue identical objectives to all constituents. b. Organizations typically have internal and external sets of objectives. c. They may issue different objectives to stockholders, customers, employees, and the public. d. It is illegal to issue conflicting stated objectives. e. Stated objectives are usually in line with short-term actions. What should a person do to understand what are the real objectives of the organization?A a. observe organizational member actions b. attend a stockholders annual meeting c. read their statement of purpose d. read their annual report e. watch television news reports When we categorize plans as being single-use versus standing, we categorize them by ____E__________. a. breadth. b. specificity. c. frequency of use. d. depth. e. time frame. Based on the information presented in the text, ______A________ are short term, specific, and standing. a. operational b. long-term c. strategic d. specific e. directional An organizational plan that has a 6-year time frame would be considered what type of plan?E a. operational b. short-term c. strategic d. intermediate e. long-term Planning accuracy with a high degree of environmental change tends to produce which of the following results?C a. Planning accuracy is likely. b. Planning accuracy becomes much more important. c. Planning accuracy becomes less important. d. Planning accuracy is less likely. e. Planning accuracy occurs in the long-run. A ______A________ plan is a one-time plan designed to meet the needs of a unique situation and created in response to nonprogrammed decisions that managers make. a. single-use b. short-term c. directional 18 d. standing e. strategic 79. A small town's preparation for a visit by the President of the United States would be considered what type of plan?E a. strategic b. directional c. standing d. long-term e. single-use 81. A city's policy concerning skateboarding on downtown sidewalks providing guidance for police action would be considered what type of plan?A a. standing b. contingency c. directional d. single-use e. strategic 84. Where in the organizational hierarchy are traditional goals determined?E a. front-line employees b. team leaders c. lower-level managers d. middle managers e. top managers 89. A management system in which specific performance goals are jointly determined by employees and their managers is known as ______A________. a. management by objectives. b. means-ends chain. c. traditional goal setting. d. management by opinions. 91. Which of the following is not one of the four common elements of Management By Objectives (MBO)?D a. goal specificity b. participative decision-making c. an explicit time period d. a systems loop e. performance feedback 93. Management By Objectives (MBO) can be described by which of the following statements?D a. an autocratic system b. a "bottom up" system c. a "top down" system d. both a "top down" and a "bottom up" system e. a static system 105. According to the boxed feature, “Managing in an E-Business World,” probably the biggest change for planning in e-business is that ________B______. a. the environment is more stable. b. customers are calling the shots. c. employees are making the demands. d. only a few competitors exist. Essay Questions 122. In a short essay, list and discuss the four reasons for planning. 127. In a short essay, list and discuss five characteristics of well-defined goals. 129. In a short essay, list and discuss the three contingency factors that affect planning. Chapter 8 – Strategic Management True/False Questions 19 3. 6. 11. 12. 21. 23. 27. The first step in the strategic management process is analyzing the external environment. Within an industry, an environment can present opportunities to one organization and pose threats to another. The final step in the strategic management process is implementing the objectives. Corporate-level strategies are developed for organizations that run more than one type of business. The business group that is characterized by having low growth but high market share is known as a cash cow. According to the Boston Consulting Group matrix, question marks are businesses that generate large amounts of cash, but their prospects for future growth are limited? According to Porter's competitive strategies framework, the cost leadership strategy would result in the best quality product at a justifiable cost. Multiple Choice 38. 39. 41. 44. 45. 55. The strategic management process is divided into which of the following sections?E a. planning, implementation, and evaluation b. problem identification, planning, and implementation c. implementation, evaluation, and restructuring d. mission statement, environmental evaluation, and specific goals e. mission statement, environmental scoping, and evaluation In the strategic management process, the _______D_______ defines the organizational purpose and answers the question: "What is our reason for being in business?" a. objective b. evaluation c. strategy d. mission e. values statement Which of the following is not an example of an organization's mission? a. We believe our first responsibility is to doctors, nurses and patients, to mothers and all others who use our products and services. (Johnson & Johnson). b. AMAX's principal products are molybdenum, coal, iron ore, copper, lead, zinc, petroleum and natural gas, potash, phosphates, nickel, tungsten, silver, gold, and magnesium. c. We at Xeren want to increase market share by 10% during the next fiscal year. d. We are dedicated to the total success of Corning Glass Works as a worldwide competitor. e. Hoover Universal is a diversified, multi-industry corporation with strong manufacturing capabilities, entrepreneurial policies, and individual business unit autonomy. Which of the following is not part of the organization's external environment?D a. what competition is doing b. pending legislation that might affect the organization c. consumer trends d. employees' education level e. labor supply What step in the strategic management process follows analyzing the external environment?D a. identifying opportunities and threats b. mission statement c. evaluation d. identifying strengths and weaknesses e. formulating strategies 50. What step in the strategic management process follows analyzing the organization's resources?E a. identifying opportunities and threats b. formulating strategy c. mission statement d. implementing strategy e. identifying strengths and weaknesses In the strategic management process, what step comes prior to evaluating results?D a. identifying strengths and weaknesses b. formulating strategies c. identifying opportunities and threats 20 56. 60. 62. 63. 65. 68. 70. 76. 78. d. implementing strategies f. analyzing the organization's resources What is the final step in the strategic management process? a. mission statement b. identifying opportunities and threats c. implementing strategies d. analyzing the organization's resources e. evaluating results E Which of the following is one level of strategic planning in large companies?D a. management level b. financial level c. staff level d. corporate level e. systems level Lower level managers in an organization are typically responsible for which of the following types of strategies?A a. functional-level strategies b. business-level strategies c. corporate-level strategies d. mergers and acquisitions Which of the following is associated with corporate-level strategies? a. They are needed if your organization is in more than one type of business. b. They answer: "How should our business compete?" c. They represent a single business. d. They are a method of support for the business-level strategies. e. They determine the operations of a single business unit. When PepsiCo seeks to integrate the strategies of Pepsi, 7-Up International, and Frito-Lay, it is developing what level of business strategy?E a. functional b. system c. management d. business e. corporate Examples of a corporate-level stability strategy include all of the following EXCEPT: a. continuing to serve the same clients by offering the same product or service. b. maintaining market share. c. sustaining the organization’s return-on-investment results. d. implementing vertical or horizontal integration. When should management pursue a stability strategy? a. Organizational performance is slipping. b. The environment is changing. c. The organization's performance is satisfactory and the environment is stable. d. The firm has valuable strengths. e. There are abundant environmental opportunities. In ______________, the organization attempts to gain control of its inputs by becoming its own supplier. a. forward vertical integration b. backward vertical integration c. horizontal integration d. related diversification e. unrelated diversification Which of the following describes a company growing by combining with other organizations in the same industry? a. forward vertical integration b. backward vertical integration c. horizontal integration d. related diversification 21 e. unrelated diversification Which of the four business groups in the corporate portfolio matrix has high growth and high market share? a. cash cow b. stars c. question marks d. dogs e. elephants 98. Michael Porter's competitive strategies framework identifies three generic competitive strategies: cost leadership, differentiation, and ______________. a. depth. b. breadth. c. revenue growth. d. focus. e. acquisition. 102. Porter's competitive strategies framework describes a ______________ strategy whereby an organization wants to be unique in its industry along dimensions widely valued by buyers. a. differentiation b. focus c. cost leadership d. depth e. defender 105. According to the boxed feature, “Managing in an E-Business World,” all of the following are mentioned as major implications of the increasingly dynamic and uncertain environments on e-business strategies EXCEPT: a. environmental analysis will become an important part of everyone’s job. b. strategy will become increasingly long term in orientation. c. barriers to entry are practically nonexistent. d. a sustainable competitive advantage will be harder to achieve. 86. Scenarios It is now ten years later and, as the original owner of Taco Rocket, you have seen your business holdings grow substantially. You now need to decide how to best manage and utilize the large number of assets represented by the companies you own. You called the Boston Consulting Group (BCG), and they have offered you some advice based on their corporate portfolio matrix. 117. Your oldest holding, Taco Rocket, has not grown much in recent years but, due to low debt, generates a huge amount of cash. Taco Rocket would be considered, according to BCG, a ______________. a. cash cow. b. star. c. question mark. d. dog. e. does not fit with their matrix118. Recently, you also purchased a company that manufactures a new satellite dish, allowing you to enter into the cable television market. The business is profitable and growing, but the technological unknowns make it risky. BGC considers it a ______________. a. cash cow. b. star. c. question mark. d. dog. e. does not fit with their matrix119. Another purchase you made was to acquire a local coffee-cart chain with thirty locations around the city. You don't see it growing very much, but then, it doesn't cost much to operate. BGC has labeled this venture a ______________. a. cash cow. b. star. c. question mark. d. dog. 22 e. does not fit with their matrix 120. You also got somewhat lucky with an investment made a few years ago. You were an original investor in a computer chip company that took off quickly and now dominates the market. While growing quickly, it does not tend to generate positive cash flow and is in continuous need of reinvestment of equipment and product development. BGC considers this a ______________. a. cash cow. b. star. c. question mark. d. dog. e. does not fit with their matrix- Essay Questions 121. 123. 126. 128. In a short essay, list and discuss the eight steps in the strategic management process. In a short essay, list and discuss the three levels of strategy that an organization must develop. In a short essay, discuss the Boston Consulting Group (BCG) matrix. In a short essay, list and discuss the five competitive forces, according to Porter, which determine industry attractiveness and profitability. 129. In a short essay, list and discuss the three competitive strategies, according to Porter. Include specific examples of companies that pursue each of the three competitive strategies. Chapter 10 – Organizational Structure and Desig True/False Questions 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. Organizational design is the organization's formal framework by which job tasks are divided, grouped, and coordinated. The concept of work specialization can be traced back a couple of centuries to Adam Smith's discussion of division of labor. The degree to which tasks in an organization are divided into separate jobs is division of labor. Historically, many organizations have grouped work actions by function departmentalization. Grouping jobs on the basis of product or customer flow is termed customer departmentalization. Geographic departmentalization has greatly increased in importance as a result of today’s competitive business environment A group of individuals who are experts in various specialties and who work together is a cross-functional team. Authority is the individual's capacity to influence decisions. Authority is synonymous with responsibility. Responsibility is the rights inherent in a managerial position. A manager's span of control refers to the number of subordinates who can be effectively and efficiently supervised. The classical view of unity of command suggests that subordinates should have only one superior to whom they report. The trend in recent years has been toward smaller spans of control. When decisions tend to be made at lower levels in an organization, the organization is said to be decentralized. Decentralization describes the degree to which decision making is concentrated at a single point in the organization. In the last 35 years, there has been a trend of organizations moving toward increased decentralization. Appropriate organizational structure depends on four variables: the organization's strategy, size, technology, and degree of environmental uncertainty. Standardization refers to the degree to which jobs within the organization are standardized and the extent to which employee behavior is guided by rules and procedures. An organic organization tends to be characterized by high specialization, extensive departmentalization, narrow spans of control, high formalization, a limited information network, and little participation in decision-making by low-level employees. An organic organization would likely be very flexible. Innovators need the efficiency, stability, and tight controls of the mechanistic structure. The relationship between organizational size and structure tends to be linear. 23 25. 26. 27. 28. 29. Joan Woodward attempted to view organizational structure from a technological perspective. Woodward demonstrated that organizational structures adapted to their technology. Woodward's findings support that there is "one best way" to organize a manufacturing firm. The strength of the functional structure is that it focuses on results. According to the text, a functional structure creates strategic business units. Multiple Choice According to the company profile in “A Manager’s Dilemma,” the organizational structure of Nokia is best described as ______________. a. mechanistic b. organic c. centralized d. formalized 32. The factor contributing the most to Nokia’s success in the mobile phone industry according to the company profile in “A Manager’s Dilemma” is ______________. a. new product development b. government subsidies c. national trade barriers d. weak competition 33. ______________ is the process of creating an organization's structure. a. Human resource management b. Leading c. Organizing d. Planning e. Departmentalization DEFINING ORGANIZATIONAL STRUCTURE 34. According to the text, a(n) ______________ is the formal framework by which job tasks are divided, grouped, and coordinated. a. mission statement b. environmental scan c. internal resource analysis d. organizational structure 35. Which of the following is not one of the six key elements in organizational design? a. work specialization b. departmentalization c. chain of command d. bureaucratic design e. span of control 36. Work specialization is also known as ______________. a. departmentalization. b. centralization. c. span of control. d. formalization. e. division of labor. 37. The term ______________ is used to describe the degree to which tasks in an organization are divided into separate jobs. a. work ethics b. managerial capitalism c. social responsibility d. work specialization 38. When did the idea of enlarging, rather than narrowing, job scope begin? a. 1950s b. 1960s c. 1970s d. 1980s e. 1990s 31. 24 39. 40. 41. 42. 43. Which of the following is not an example of the classical view of division of labor? a. assembly-line production b. Burger King c. Taco Bell d. TQM e. Kentucky Fried Chicken ______________ is the basis on which jobs are grouped in order to accomplish organizational goals. a. Departmentalization b. Centralization c. Formalization d. Coordination e. Efficiency A local manufacturing organization has groups of employees who are responsible for sales, marketing, accounting, human resources, etc. These are examples of what concept? a. authority b. chain of command c. empowerment d. departmentalization e. social grouping Grouping sporting equipment in one area, men's clothing in another area, and cosmetics in a third area, is an example of what kind departmentalization? a. customer b. product c. geographic d. process e. outcome Sales responsibilities divided into the southwest, midwest, southern, northern, and western regions would be an example of ______________ departmentalization. a. product b. geographic c. process d. outcome e. customer 25 44. Grouping activities on the basis of customer flow is ______________. a. functional departmentalization. b. product departmentalization. c. geographical departmentalization. d. process departmentalization. e. technological departmentalization. 45. What type of departmentalization expects that each department will specialize in one specific phase of the process or product production? a. product b. geographic c. process d. outcome e. customer 46. What kind of departmentalization would be in place in a government organization where different public service responsibilities are divided into activities for employers, children, and the disabled? a. product b. geographic c. process d. outcome e. customer 47. Which of the following is not a form of departmentalization suggested by your text? a. functional departmentalization b. product departmentalization c. geographical departmentalization d. process departmentalization e. technological departmentalization 48. Today's competitive business environment has greatly increased the importance of what type of departmentalization? a. geographic b. customer c. product d. process e. outcome 49. According to the text, managers are using ______________, which are groups of individuals who are experts in various specialties and who work together. a. specialized teams b. cross-demanded teams c. cross-functional teams d. simple structured teams 50. Which of the following is a contemporary addition to the historical view of departmentalization? a. increased rigidity b. cross-functional teams c. enhanced centralization d. elimination of product departmentalization e. addition of sales departmentalization 26 51. Bringing together the company's legal counsel, research engineer, and marketing specialist for a project is an example of a(n) ______________. a. empowered team. b. process departmentalization. c. product departmentalization. d. cross-functional team. e. continuous improvement team. 52. The ______________ is the continuous line of authority that extends from upper organizational levels to the lowest levels and clarifies who reports to whom. a. chain of demand b. chain of command c. demand hierarchy d. continuous design structure 53. To whom a worker reports concerns which aspect of organizational structure? a. chain of command b. departmentalization c. pay structure d. line of command e. authority framework ______________ entitles a manager to direct the work of a subordinate. a. Responsibility b. Legitimate power c. Rank d. Operating responsibility e. Authority 54. 55. ______________ is the obligation to perform assigned activities. a. Authority b. Responsibility c. Chain of command d. Unity of command e. Formalization 56. The ______________ principle (one of Fayol’s 14 principles of management) helps preserve the concept of a continuous line of authority. a. unity of demand b. unity of command c. demand structure d. continuous demand 57. Span of control refers to which of the following concepts? a. how much power a manager has in the organization b. the geographic dispersion of a manager's subunits of responsibility c. how many subordinates a manager can effectively and efficiently supervise d. the number of subordinates affected by a single managerial order e. the amount of time it takes to pass information down through a manager's line of command 27 58. Other things being equal, the wider or larger the span of control, the more ______________ the organizational design. a. bureaucratic b. democratic c. effective d. efficient e. classical 59. Wider spans of control may be viewed as more efficient, but eventually, wider spans tend to have what effect on organizations? a. reduced effectiveness b. increased turnover c. loss of managerial power d. customer dissatisfaction e. rigid chains of command 60. An organization that spends money on maintaining a well-trained work force can expect which of the following span-of-control outcomes? a. increased contempt for management b. increased voluntary turnover c. centralized authority d. less direct supervision e. increased need for managerial-level employees 61. A high-tech manager who supervises the development of a new computer chip needs ______________ compared to a manager who supervises the mailing of unemployment insurance checks at the local government office. a. about the same span of control b. a narrower span of control c. a wider span of control d. a more informal span of control e. elimination of the span of control 62. In general, span of control is ______________ for managers. a. increasing b. decreasing c. staying the same d. significantly decreasing e. no longer important 63. ______________ describes the degree to which decision making is concentrated at a single point in the organization. a. Decentralization b. Centralization c. Transnationalism d. Cross sectional analysis 64. If lower-level employees provide input or are actually given the discretion to make decisions, the organization is ______________. a. formalized. b. centralized. c. decentralized. d. mechanistic. e. organic. 28 65. Recently, there has been a distinct trend toward ______________. a. smaller spans of control. b. decentralized decision-making. c. decreased flexibility. d. emphasis on chain of command. e. mechanistic organizations. 66. Which of the following factors WOULD NOT influence an organization to have a higher degree of centralization? a. Environment is stable. b. Company is geographically dispersed. c. Company is large. d. Decisions are significant. e. Organization is facing a crisis. 67. ______________ refers to the degree to which jobs within the organization are standardized and the extent to which employee behavior is guided by rules and procedures. a. Standardization b. Centralization c. Chain of command d. Strategy e. Formalization 68. All of the following factors indicate that a decentralized organization would be most effective EXCEPT when ______________. a. the environment is complex. b. decisions are relatively minor. c. the organization is facing a crisis. d. the company is geographically dispersed. e. effective implementation of strategies depends on managers having involvement and flexibility to make decisions. 69. Which of the following factors describes an environment in which a high degree of decentralization is desired? a. Environment is complex, uncertain. b. Lower-level managers do not want to have a say in decisions. c. Decisions are significant. d. Company is large. e. Organization is facing a crisis or the risk of company failure. 70. The ______________ organizational structure is characterized by high specialization, extensive departmentalization, narrow spans of control and high formalization. a. mechanistic b. organic c. contingency d. adhocracy e. functional 71. Which of the following is NOT a characteristic of a mechanistic organization? a. high specialization b. wide spans of control c. high formalization d. limited information network e. extensive departmentalization 29 72. What type of organizational form follows classical principles such as unity of command? a. organic b. linear c. decentralized d. mechanistic e. adhocracy ORGANIZATIONAL DESIGN DECISIONS 73. Which of the following would likely be found in mechanistic organizations? a. wide span of control b. empowered employees c. decentralized responsibility d. few rules and/or regulations e. standardized job specialties 74. All of the following are characteristics of an organic organization EXCEPT: a. narrow spans of control. b. cross-hierarchical teams. c. free flow of information. d. low formalization. e. cross-functional teams. 75. In the early years of Apple Computers, its desire for highly proficient and creative employees who operated with few work rules was an example of what type of organization? a. bureaucratic b. mechanistic c. volatile d. nouvelle e. organic 76. Which of the following is true concerning an organic organization's problem-response time? a. It requires strict adherence to efficiently developed rules. b. Its speed demands clear lines of command. c. Response times are slower than mechanistic organizations, but answers tend to be more accurate. d. Professional standards guide behavior. e. The response time is quick due to the centralized design. 77. Which of the following is not one of the four contingency variables that help determine appropriate organizational structure? a. organizational size b. organizational strategy c. organizational technology d. organizational age e. degree of environmental uncertainty 78. Which of the following is an accurate statement? a. Strategy follows structure. b. Strategy and structure are equal in temporal importance. c. Strategy and structure are not linked. d. Structure follows strategy. e. Mechanistic and organic organizations have distinct differences in the application of the relationship between strategy and structure. 30 79. Most current strategy-structure contingency frameworks tend to focus on three strategy dimensions. These dimensions are ______________. a. revenue maximization, customer satisfaction, and visibility. b. customer satisfaction, employee satisfaction, and ethics. c. innovation, cost minimization, and imitation. d. legal considerations, profit maximization, and innovation. e. long-term survival, profit maximization, and customer satisfaction. 80. What kind of relationship is there between organizational size and degree of mechanistic structure? a. -1.0 b. unclear c. positive d. bimodal e. exponential 81. Joan Woodward's research was the first major attempt to view organizational structure from a ______________ perspective. a. strategic b. contingency c. size d. departmental e. technological 82. The three production categories that Joan Woodward divided organizations into in order to uncover relationships between organizational structure and technology are ______________. a. unit, mass, process b. unit, product, cost c. product, cost, customer d. mass, process, cost e. process, unit, product 83. According to Woodward's studies, what type of production works best with a mechanistic structure? a. unit b. process c. product d. mass e. just-in-time 84. Which of the following is not a characteristic that would suggest unit production would be a best "fit"? a. low horizontal differentiation b. low vertical differentiation c. small-batch, custom products d. low formalization e. mechanistic structure 85. A characteristic that both unit production and process production have is that the most effective organizational structure for both technologies is ______________. a. organic. b. mechanistic. c. adhocracy. d. matrix. e. team. 31 86. Woodward's studies generally demonstrate that organization ______________ should adapt to their ______________. a. processes; environment b. employees; leaders c. technologies; legal constraints d. structures; technology e. outputs; resources 87. Which type of environment is best suited for mechanistic organizations? a. dynamic b. manufacturing c. service d. combination e. stable 88. According to the text, all of the following are examples of the more traditional organizational designs EXCEPT: a. the simple structure. b. the functional structure c. the matrix structure d. the divisional structure 89. Which of the following is not characteristic of a simple organizational structure? a. narrow spans of control b. low degree of departmentalization c. centralized decision-making d. little formalization e. information arrangement of employees COMMON ORGANIZATIONAL DESIGNS 90. Which of the following terms is associated with a simple organizational structure? a. elaborate b. high-complexity c. formal d. decentralized e. flat 91. A wine store that employs six people most likely has what kind of organizational structure? a. bureaucracy b. simple c. functional d. divisional e. team-based 92. All of the following are strengths of a simple organizational structure EXCEPT: a. It's fast. b. It's inexpensive to maintain. c. It's less risky. d. Accountability is clear. e. It's flexible. 32 93. A bureaucratic or mechanistic design may use a ______________ structure which groups similar or related occupational specialties together. a. matrix b. functional c. divisional d. geographic e. team-based 94. A ______________ structure creates strategic business units. a. matrix b. functional c. divisional d. geographic e. team-based 95. What type of organizational structure is made up of autonomous, self-contained units? a. bureaucracy b. simple c. functional d. divisional e. team-based 96. In what type of organizational structure is empowerment most crucial? a. bureaucracy b. simple c. functional d. divisional e. team-based 97. The ______________ is an organizational structure that assigns specialists from different functional departments to work on one or more projects being led by project managers. a. functional structure b. simple structure c. matrix structure d. divisional structure 98. The matrix approach violates what classical principle? a. unity of command b. decentralization c. customer focus d. linear lines of responsibility e. large spans of control 99. What type of organization assigns specialists from different functional departments to work on one or more projects led by a project manager? a. classical b. contemporary c. matrix d. evolutionary e. product-based 33 100. A ______________ organization is not defined by, or limited to, the horizontal, vertical, or external boundaries imposed by a predefined structure. a. team-based b. boundaryless c. mechanistic d. project e. simple 101. A ______________ organization has developed the continuous capacity to adapt and change. a. simple b. mechanistic c. bureaucratic d. team-based e. learning Essay Questions 121. In a short essay, list and explain the six key elements in designing an organization’s structure. 125. In a short essay, discuss the characteristics of mechanistic and organic organizations. 126. In a short essay, list and discuss the four contingency variables that should be considered in determining an appropriate structure in organizational design. Chapter 13 – Managing Change and Innovation True/False Questions TWO VIEWS OF THE CHANGE PROCESS 7. The "calm waters" approach to change would be consistent with Lewin's concept of unfreezing, changing, and refreezing. 8. In the "white-water rapids" metaphor of change, managers should expect change at any time, and it may last for unspecified lengths of time. 9. Change threatens the investment you've already made in the status quo. 10. One reason people resist change is that is substitutes ambiguity for uncertainty. 11. The manager's options for change essentially fall into three categories: structure, technology, and product. 12. Computerization is a technological change that replaces people with machines. 13. Probably the most visible technology changes in recent years have come through managers’ efforts to expand corporate financing. 14. Sensitivity training is a method of changing behavior through unstructured group interaction. 15. Organizational cultures tend to resist change. 16. Techniques to change people and the quality of interpersonal work relationships are termed organizational development. 17. Cultural change is easier when the organizational culture is strong. 18. The first step in accomplishing organizational cultural change is to initiate a reorganization. 34 19. Cooptation refers to covert attempts to influence. 20. Manipulation is using direct threats. 21. A major disadvantage of coercion is that it is frequently illegal. 22. Negotiation refers to covert attempts to influence, twisting and distorting facts or withholding information. 23. In cooptation, an organization seeks to "buy off" the leaders of a resistance group by giving them a key role in the change decision. 24. Never negotiate with employees as a means of overcoming resistance to change. 25. The first step in changing organizational culture is to conduct a cultural analysis. 26. In process reengineering, a company drastically changes its structure, technology, and people by starting from scratch in reexamining the way the organization's work is done. 27. Stress is a dynamic condition a person faces when confronted with an opportunity, constraint, or demand related to what he or she desires and for which the outcome is perceived to be both uncertain and important. 28. 29. In terms of organizational factors, any attempt to lower stress levels has to begin with employee selection. The Paradox of Diversity is described as situations in which limitations are placed upon diverse individuals by strong organizational cultures. Multiple Choice WHAT IS CHANGE? 33. Being a manager, with no environmental uncertainty or threat of competitors' new products, would be simple without any ______________. a. government regulations. b. unions. c. diversity. d. cultural differences. e. change. FORCES FOR CHANGE 34. Which of the following is not an external force of change? a. marketplace b. government laws and regulations c. technology d. economic changes e. work force 35. The Americans With Disabilities Act is an example of which of the following forms of environmental change? a. internal b. technology c. government laws and regulations d. labor markets e. economic 35 36. Changing human resource activities to attract and retain health care specialists due to increased needs for those workers is an example of what kind of environmental change factor? a. marketplace b. technology c. labor markets d. economic e. government laws and regulations 37. Falling interest rates would most stimulate what change factor for a manager? a. marketplace b. government laws and regulations c. labor markets d. economic e. technology 38. Which of the following is not an internal force of change? a. technology b. strategy c. work force d. employee attitudes e. equipment 39. What change factor did Harley-Davidson motorcycles react to in its turnaround of production quality control and modernization? a. technology b. external c. work force d. equipment e. strategy 40. Increasing the numbers of employed women and minorities forces managers to pay attention to what change factor? a. strategy b. work force c. equipment d. technology e. employee attitudes 41. Labor strikes are an example of what change factor that may encourage a change in management thinking and practices? a. work force b. equipment c. employee attitudes d. strategy e. government laws and regulations 42. In organizations, people who act as catalysts and assume responsibility for managing the change process, are called ______________. a. change masters. b. change agents. c. operations managers. d. charismatic leaders. e. transformational leaders. 36 43. In an organization, who is usually the change agent? a. CEO b. executive vice-president c. any manager or nonmanager d. any competitor e. union leaders 44. In spurring organizational change, outside consultants are usually more ______________, while internal managers may be more ______________. a. drastic; thoughtful b. highly paid; risky c. resistant; bold d. cautious; friendly e. interested; scared TWO VIEWS OF THE CHANGE PROCESS 45. Lewin's theory is consistent with which view of organizational change? a. continuous b. contemporary c. Mayo's d. "calm waters" e. change in the 1990s 46. Who theorized the change process involving unfreezing, changing, and refreezing? a. Drucker b. Robbins c. Lewin d. Mayo e. Lawler 47. According to Kurt Lewin, which of the following is not a stage in the change process? a. unfreezing b. changing c. refreezing d. restraining 48. According to Kurt Lewin, increasing the driving forces, which direct behavior away from the status quo, is a means of doing which of the following? a. unfreezing b. changing c. restraining forces d. refreezing e. melting 49. Which of the following terms best describes the two primary views of the change process? a. problematic, encouraged b. occasional, continuous c. costly, conservative d. optimistic, pessimistic e. reactive, proactive 37 50. Which of the following is the objective of refreezing, according to Lewin? a. directs behavior away from the status quo b. hinders movement away from existing equilibrium c. changes to a new environment d. eliminates the need for future change e. stabilize the new situation 51. According to the text, the ______________ is consistent with uncertain and dynamic environments. a. calm-waters metaphor b. white-water rapids metaphor c. contemporary metaphor d. continuous metaphor e. cultural metaphor 52. A manager who comes to work every morning expecting that today will definitely bring new challenges from competitors, the work force, etc., views organizational change in what way? a. pragmatic b. continuous c. pessimistic d. reactive e. occasional 53. According to the text, managers in such businesses as wireless telecommunications, computer software, and women’s high-fashion clothing have long confronted the ______________. a. calm-waters metaphor b. white-water rapids metaphor c. contemporary metaphor d. continuous metaphor e. cultural metaphor MANAGING CHANGE 54. As ______________, managers should be motivated to initiate change because they are committed to improving their organization's effectiveness. a. change agents b. efficiency experts c. manipulators d. process consultants e. reengineering specialists. 55. Managers' options for change essentially fall into what three categories? a. environment, technology, and mission b. structure, technology, and people c. mission, structure, and people d. mission, environment, and process e. environment, attitudes, and processes 56. According to the text, “changing structure” includes alteration in any of the following EXCEPT: a. authority relations. b. coordination mechanisms. c. degree of centralization. d. job redesign. e. technology 38 57. Which of the following is not a part of organizational structure? a. work specialization b. departmentalization c. chain of command d. formalization e. work processes 58. If an organization increases the span of control, what factor is being focused on in an organizational change? a. structure b. people c. technology d. strategy e. human resources 59. A company that decides to decentralize its sales procedures is managing what change category? a. technology b. people c. equipment d. competitors e. structure 60. According to the text, competitive factors or new innovations within an industry often require managers to introduce all of the following EXCEPT: a. new equipment. b. new tools. c. new operating methods. d. new employees 61. ______________ is a technological change that replaces people with machines. a. Operations b. Organizational development c. Automation d. Robotics e. Downsizing 62. Probably the most visible technological changes in recent years have come through managers’ efforts to expand _____________. a. corporate financing. b. organizational culture. c. computerization. d. employee retention. 63. When grocery stores installed scanners to read the product price, this was an example of managing what change category? a. technology b. people c. competitors d. structure e. laws and regulations 39 64. If Kraft Foods hired a consultant to decrease group friction and enhance cooperative work relationships, this would be an example of managing what change category? a. technology b. people c. competitors d. structure e. laws and regulations 65. Techniques to change people and the quality of interpersonal work relationships are termed ______________. a. operations. b. organizational development. c. downsizing. d. robotics. e. automation. 66. ______________ is a method of changing behavior through unstructured group interaction. a. Survey feedback b. Organizational development c. Sensitivity training d. Process consultation e. Team building 67. According to the text, an individual is likely to resist change because of all of the following reasons EXCEPT: a. uncertainty. b. increased productivity. c. concern over personal loss. d. belief that the change is not in the organization’s best interest. 68. Which of the following reactions to change is a threat to the investment you have already made in the status quo? a. uncertainty b. freezing c. change is not good for the organization d. concern over personal loss e. refreezing 69. Which of the reasons for resistance to change may be beneficial to the organization? a. uncertainty b. freezing c. change is not good for the organization d. refreezing e. concern over personal loss 70. All of the following are mentioned in the text as actions that managers can use to deal with resistance to change EXCEPT: a. education and communication. b. diversification c. participation. d. facilitation and support. e. negotiation. 40 71. Which of the following techniques for reducing resistance to change is based on the belief that, if employees receive the full facts and clarifications, they will no longer be resistant? a. education and communication b. participation c. facilitation and support d. negotiation e. manipulation and cooptation 72. If K-mart has employees serving on the committee to decide what color the new uniform colors should be, this is an example of what tactic for reducing change resistance? a. education and communication b. manipulation and cooptation c. participation d. facilitation and support e. coercion 73. If a bank offers personal and financial counseling to employees prior to an upcoming downsizing, this is an example of what kind of tactic for reducing change resistance? a. education and communication b. coercion c. manipulation and cooptation d. negotiation e. facilitation and support 74. If management offers the union guaranteed wage hikes and a no-layoff promise in exchange for help in implementing a new production process, this would be an example of what kind of tactic for reducing change resistance? a. participation b. facilitation and support c. coercion d. negotiation e. manipulation and cooptation 75. If a state legislator purposely misrepresents public employee wages to the citizens in order to apply downward wage pressure in the collective bargaining process, this would be an example of what kind of tactic for reducing change resistance? a. negotiation b. coercion c. cooptation d. education and communication e. manipulation 76. ______________ refers to covert attempts to influence, twisting and distorting facts or withholding information. a. Negotiation b. Coercion c. Cooptation d. Education and communication e. Manipulation 41 77. "Buying off" the leader of a resistance group in order to get his/her endorsement is an example of what kind of tactic for reducing change resistance? a. negotiation b. coercion c. education and commitment d. cooptation e. facilitation and support 78. ______________ is using direct threats or force on those who resist change. a. Negotiation b. Coercion c. Cooptation d. Education and communication e. Manipulation 79. A manager who threatens to ruin an employee's name in the company if he/she does not cooperate with an impending organizational change is using what kind of tactic for reducing change resistance? a. negotiation b. coercion c. manipulation and cooptation d. education and communication e. facilitation and support Scenarios Making Change Happen (Scenario) Colin was getting accustomed to his surroundings in state government. His efforts at getting people to accept change had met with a little resistance due to his and his new director's efforts and the hard work of his subordinates. But now the hard part really started, actually managing the change. What techniques could he and his agency's new director employ to most effectively implement changes that would result in increased productivity in his department? He considered changing three aspects of his agency: the structure, technology, and people. 110. If the new agency director decided to remove layers in the agency and increase the span of managerial control, this would be considered changing the a. structural design. b. selection process. c. degree of centralization. d. structural components. e. technological design. 111. If the agency director decided to shift away from a functional to a product design, this would be considered changing the a. structural design. b. selection process. c. degree of centralization. d. structural components. e. technological design. 112. If Colin decided to replace some employee work time with a telephone menu system, this would be considered changing the a. organizational structure. b. technology. c. people. 42 d. organizational development. e. attitudes. 113. Finally, Colin decided his people could benefit from ___________, a method of changing behavior through unstructured group interaction. a. survey feedback b. sensitivity training c. team building d. intergroup development e. process consultation Essay Questions FORCES FOR CHANGE 121. In a short essay, describe four external and four internal forces of change and provide examples of how each force impacts the manager’s job. 122. In a short essay, describe, compare and contrast the “calm waters” and “white-water rapids” views of organizational change. 124. In a short essay, list and discuss the three reasons that describe why people resist change. Include an example of each reason to support your answer. 128. In a short essay, define stress. Next ,discuss the various causes of stress and explain how managers can recognize stress in their employees. Chapter 14 – Foundations of Behavior True/False Questions ATTTITUDES 3. Attitudes are evaluative statement concerning objects, people, or events. 4. When an employee says, "I make less money at this company than I could earn at another company," he/she is reflecting the cognitive component of an attitude. 5. The behavioral component of an attitude is made up of the beliefs, opinions, knowledge, or information held by a person. 6. The term "attitude" usually refers to the affective component. 7. 8Job involvement is the degree to which an employee identifies with his or her job, actively participates in it, and considers his or her job performance to be important to his or her self-worth. 89. Cognitive dissonance theory seeks to explain the correlated relationship between the affective, cognitive, and behavioral components of attitudes. 9. The satisfaction-performance correlations are strongest for higher-level employees. 10. Being happy at work results in employees being productive workers. PERSONALITY 11. According to the Myers-Briggs Type Indicator, a person who rates strongly as a "perceptive" would likely be spontaneous. 43 12. The Myers-Briggs Type Indicator lacks evidence to support its validity. 13. In the Big Five Model, emotional security was positively related to job performance. 14. The Big Five Model found that calm and secure workers performed better than nervous ones. 15. Employees with high self-esteem tend to be more satisfied with their jobs than low SEs. 16. A person who believes that if he works hard, he will be successful, would be described as having an internal locus of control. 17. A person who rates as being high in Machiavellianism would accomplish her task regardless of what it takes. 18. A low self-monitoring employee would not adjust well to self-sent signals, but responds well to signals in his/her external environment. 19. According to Holland's Typology, enterprising types tend to be self-confident, ambitious, energetic and domineering. 20. According to Holland's Typology, a realistic personality type might be well suited to be an economist. 21. People from Middle Eastern countries believe they can dominate their environment. 22. U.S. workers, more than Iranian workers, would likely have an external locus of control. 23. According to Holland's Vocational Preference Inventory, farming is considered a conventional job type. PERCEPTION 24. Perception is a process by which individuals give meaning to their environment by organizing and interpreting their sensory impressions. 25. Attribution is a process by which individuals organize and interpret their sensory impressions in order to give meaning to their environment. 26. Distinctiveness refers to whether an individual displays a behavior in many situations or whether it's particular to one situation. 27. In stereotyping, the observer’s perception of others is influenced by the observer’s own characteristics than by those of the person observed. 28. Your human resource director believes that married employees are more stable than single persons are. This is an example of the halo assumed similarity. 44 29. If a manager thinks that all attractive employees are also productive employees, the manager is committing an error based on a halo effect. 30. Operant conditioning argues that behavior is a function of its consequences. Multiple Choice A MANAGER’S DILEMMA 31. According to the boxed feature, “A Manager’s Dilemma,” what is the dilemma facing Kelman at Plumtree? a. determining how to expand the business. b. determining how to properly implement the strategic plan. c. determining how to balance personal and business issues with his roommates. d. determining how to source additional capital. WHY LOOK AT INDIVIDUAL BEHAVIOR? 32. Which of the following are the two major areas on which organizational behavior focuses? a. individual behavior, group behavior b. managerial behavior, employee behavior c. traits, environments d. macro personality traits, micro personality traits e. cognitive, behavioral outcomes 33. Which of the following is not associated with the study of individuals? a. attitudes b. motivation c. roles d. perception e. learning 34. Which of the following is associated with the study of individuals? a. norms b. roles c. team building d. perception e. conflict 35. The goals of organizational behavior are to ______________ and ______________ behavior. a. understand; control b. impact; change c. explain; predict d. categorize; simplify e. understand; counsel 36. The four common behaviors typically studied in organizational behavior are employee productivity, absenteeism, turnover, and the attitude of ______________. a. job satisfaction. b. pay satisfaction. c. individualism. d. risk taking. e. creativity. ATTITUDE 45 37. Which of the following reflects an attitude? a. The building is tall. b. The movie was fun. c. I get paid more than my spouse. d. Ice cream is cold. e. I work from 8 to 5. 38. The three components that make up an attitude are ______________. a. cognitive, affective, behavioral. b. traits, behavioral, emotional. c. knowledge, opinion, individual history. d. intention, opinion, environment. e. pre-opinion, experience, evaluation. 39. In the statement, "The highway is very busy at 5 p.m. and is scary to drive on, so I'll wait until 7 p.m. to go home," the phrase, "The highway is very busy," represents which component of an attitude? a. cognitive b. behavioral c. emotive d. affective e. judgmental 40. In the statement, "The highway is very busy at 5 p.m. and is scary to drive on, so I'll wait until 7 p.m. to go home," the word "scary" represents which component of an attitude? a. cognitive b. behavioral c. emotive d. affective e. judgmental 41. In the statement, "The highway is very busy at 5 p.m. and is scary to drive, so I'll wait until 7 p.m. to go home," the phrase, "so I'll wait until 7 p.m. to go home," represents which component of an attitude? a. cognitive b. behavioral c. emotive d. affective e. judgmental 42. Usually, the term attitude refers only to the ______________ component. a. cognitive b. emotive c. judgmental d. behavioral e. affective 43. A management trainee working for a bank who says, "Working in this industry is just not who I am as a person," probably lacks ______________. a. job satisfaction. b. self perceptions. c. organizational commitment. d. job involvement. e. pay satisfaction. 44. Which of the following terms is defined as "an employee's orientation toward the organization in terms of his/her loyalty, identification, and involvement"? a. job satisfaction 46 b. c. d. e. self perception organizational commitment job involvement pay satisfaction 45. ______________ refers to any inconsistency that an individual might perceive between two or more of his/her attitudes or between his/her behavior and attitudes. a. Behavioral inconsistency b. Affective dissonance c. Cognitive dissonance d. Attitude adjustment e. Emotive disfunctioning 46. The cognitive dissonance theory proposed that the desire to reduce dissonance is determined by ______________. a. importance, influence, and rewards. b. economics, politics, and organizational structure. c. stability, position, and power. d. awareness, status, and punishments. e. authority, responsibility, and relevance. 47. Which of the following cases contains an element that may lead a politician to correct cognitive dissonance? a. A politician does not really care if the spotted owl lives or becomes extinct. b. The politician has the power to pass legislation to keep the spotted owl from extinction. c. The politician will get re-elected for ignoring the needs of the spotted owl. d. The politician grew up in the city. e. The politician is a male. 48. What does the research evidence suggest about the statement, "Happy workers are productive workers"? a. It's false; instead, productive workers are least happy. b. There is strong supportive evidence since the Hawthorne studies. c. There is a small positive relationship between the two variables. d. Actually, there is no relationship between the two variables. e. It is true for the manufacturing sector but not the service sector. 49. Where does the "happy worker/productive worker" relationship seem to be most strong? a. higher-level employees b. lower-level employees c. service industry employees d. manufacturing sector employees e. entry-level employees 50. Which of the following is true about organizationally committed and satisfied employees? a. lower rates of turnover and absenteeism b. higher rates of voluntary turnover c. higher rates of cognitive dissonance d. much higher pay levels e. less risk taking 47 PERS0NALITY 51. When we describe someone as "shy," "aggressive," "extroverted," or "loyal," we are talking about his or her ______________. a. attitude. b. behavior. c. personality. d. emotion. e. ability. 52. According to the text, an individual’s ______________ is the unique combination of the psychological traits used to describe that person. a. moral b. attitude c. behavior d. personality e. perception 53. Which of the following is not one of the four dimensions of the Myers-Briggs Type Indicator? a. extrovert or introvert b. sensing or intuitive c. agreeableness or disagreeableness d. feeling or thinking e. perceptive or judgmental 54. The first dimension of the Myers-Briggs Type Indicator concerns your level of ______________. a. preference for gathering data. b. preference for decision making. c. social interaction. d. style of decision making. e. internal or external orientation. 55 The Myers-Briggs Type Indicator categorizes preference for gathering data as ______________. a. extrovert or introvert. b. sensing or intuitive. c. feeling or thinking. d. agreeable or disagreeable. e. perceptive or judgmental. 56. If you are a person who dislikes taking time for precision work, such as completing tax returns, you would probably score high on what aspect of the Myers-Briggs Type Indicator? a. extrovert b. feeling c. intuitive d. judgmental e. sensing 57. The Myers-Briggs Type Indicator assesses preferences for decision making as ______________. a. extrovert or introvert. b. sensing or intuitive. c. feeling or thinking. d. agreeable or disagreeable. e. perceptive or judgmental. 48 58. As a manager, if you prefer to have a harmonious work environment, and dislike reprimanding your subordinates, you would probably score high on which of Myers-Briggs indicators? a. introvert b. sensing c. intuitive d. feeling e. perceptive 59. The MBTI assesses style of making decisions as ______________. a. extrovert or introvert. b. sensing or intuitive. c. feeling or thinking. d. agreeable or disagreeable. e. perceptive or judgmental. 60. If your boss could be described as flexible, adaptable, and tolerant, he/she would probably score high on which Myers-Briggs indicator? a. extrovert b. sensing c. feeling d. perceptive e. intuitive 61. In the Myers-Briggs assessment, if you are a good planner, you would probably score high on which scale? a. extrovert b. intuitive c. thinking d. perceptive e. judgmental 62. The Big-Five Model of personality includes all of the following EXCEPT a. extroversion. b. agreeableness. c. conscientiousness. d. emotional stability. e. social interaction. 63. The degree to which someone is responsible, dependable, persistent, and achievement oriented is described as which of the following big five personality traits? a. extraversion b. agreeableness c. conscientiousness d. emotional stability e. openness to experience 64. Results of a study of the Big-Five Model include ______________. a. emotional security was positively related to job performance. b. calm workers perform better than nervous ones. c. conscientiousness predicted job performance. d. introversion predicted performance in managerial positions. e. openness to experience was unimportant in predicting training competency. 49 65. ______________ is the degree to which people believe they are masters of their own fate. a. Machiavellianism b. Self-esteem c. Self-monitoring d. Locus of control e. Risk taking 66. According to the text, an ______________ locus of control is one in which people believe that they control their own destiny. a. external b. internal c. superficial d. imaginary e. diagonal 67. Employees who have a high internal locus of control exhibit all but which of the following? a. more satisfaction with their jobs b. more alienated from their work setting c. less involved in their jobs d. blame their bosses for poor performance e. blame co-workers for their poor performance 68. ______________ is a measure of the degree to which people are pragmatic, maintain emotional distance, and believe that ends can justify means. a. Machiavellianism b. Self-esteem c. Self-monitoring d. Locus of control e. Risk taking 69. A person who believes that "the ends justify the means" would describe a person who has a high level of what personality trait? a. Self-confidence b. Machiavellianism c. Locus of control d. Self-monitoring e. Self-perception 70. Which of the following is true about people with high self- esteem? a. They have low expectations for success but are happy with themselves. b. They take fewer risks than others. c. They choose more unconventional jobs. d. They are susceptible to external influence. e. They change jobs more often. 71. ______________ is a personality trait that measures an individual's ability to adjust his or her behavior to external situational factors. a. Machiavellianism b. Self-esteem c. Self-monitoring d. Locus of control e. Risk taking 50 72. A person who can adapt and adjust her behavior to external factors would describe which of the following personality traits? a. low self-esteem b. internal locus of control c. high self-monitoring d. high risk-taking e. low authoritarianism 73. A manager who takes very little time to make a decision probably could be described by what personality trait? a. high self-esteem b. external locus of control c. low self-monitoring d. high risk taking e. high authoritarianism 74. Which of the following is true about high risk takers? a. They make slower decisions than low risk takers and have a higher level of accuracy. b. They make quicker decisions than low risk takers but have about the same level of accuracy. c. They make slower decisions than low risk takers but have a lower level of accuracy. d. They make quicker decisions than low risk takers but have a lower level of accuracy. e. There is a different relationship between risk taking and accuracy for men and women. 75. Which of the following is true concerning personality types and national cultures? a. There is no relationship between nationality type and cultures. b. Middle Eastern countries believe they can dominate their environment. c. You would find many people with an internal locus of control in the U.S. and Canada. d. North Americans believe life is essentially predetermined. e. The U.S. rates high in power distance. 76. Which psychologist is associated with a well-documented personality-job fit theory? a. Bandura b. Adams c. Holland d. Skinner e. Volker 77. Which of the following is not one of Holland's personality types? a. realistic b. investigative c. artistic d. extroverted e. social 78. A biologist would be a good occupational match for what personality type? a. realistic b. investigative c. social d. enterprising e. artistic 51 79. A person who rates high on Holland's social scale would probably find a good match with which of the following jobs? a. farmer b. painter c. teacher d. economist e. bank teller 80. A person rating high on the conventional personality type would have a good job match for all but which of the following jobs? a. accountant b. corporate manager c. mathematician d. bank teller e. file clerk 81. According to Holland, becoming a lawyer would be a good job match for someone with what type of personality type? a. realistic b. investigative c. conventional d. enterprising e. social 82. Writing would be a good job match for a(n) ______________ personality type, according to Holland. a. realistic b. investigative c. social d. enterprising e. artistic PERCEPTION 83. ______________ is the process of organizing and interpreting sensory impressions to give meaning to the environment. a. Attribution b. Selection c. Learning d. Conditioning e. Perception 84. ______________ theory explains how we judge people differently depending on what meaning we attribute to a given behavior. a. Perception b. Behavior c. Attribution d. Social contrast e. Intuitive meaning 52 85. If only 6 out of 20 managers completed their subordinate performance appraisals on time, we would probably attribute manager non-completion to which of the following? a. other managers b. an external source c. one manager d. an internal source e. a personality flaw 86. ______________ refers to whether an individual displays a behavior in many situations or whether it's particular to one situation. a. Consistency b. Distinctiveness c. Attribution d. Selection e. Perception 87. If we are attempting to decide whether a particular behavior of an individual is unusual or not, we are making judgment on what factor of attribution theory? a. consensus b. distinctiveness c. repetitiveness d. consistency e. control 88. If a person who is always late for work is late once again and blames it on a train, co-workers would probably attribute that person's lateness to ______________. a. the train. b. an external source. c. the individual. d. the car. e. bad luck. 89. ______________ refers to whether a person responds the same way over time. a. Consistency b. Distinctiveness c. Attribution d. Selection e. Perception 90. The fact that individuals, when observing others, tend to underestimate the influence of external factors and overestimate the influence of internal factors is called ______________. a. blame theory. b. self-serving bias. c. external consistency bias. d. internal favoritism. e. fundamental attribution error. 91. We tend to attribute our own successes to ______________., while putting the blame for our failures on ______________. a. luck; the environment b. ability; luck c. power; other people d. our parents; ourselves e. our bosses; co-workers 53 92. "Speed reading" others is related to what kind of perception shortcut? a. assumed similarity b. selective perception c. stereotyping d. halo effect e. contrast effect 93. In ______________, the observer’s perception of others is influenced more by the observer’s own characteristics than by those of the person observed. a. stereotyping b. self-serving bias c. assumed similarity d. halo effect e. selectivity 94. When people judge someone on the basis of the perception of a group they are a part of, they are using the shortcut called _______________. a. stereotyping b. self-serving bias c. assumed similarity d. halo effect e. selectivity 95. If a manager is hesitant to hire older people because "they are slow," he/she is exhibiting what kind of perception shortcut? a. selective perception b. assumed similarity c. stereotyping d. horn effect e. halo effect 96. When people form a general impression about a person on the basis of a single characteristic, such as intelligence, sociability, or appearance, they are being influenced by ______________. a. selectivity b. assumed similarity c. the halo effect d. stereotyping e. the contrast effect 97. A recruiter who assumes that a candidate with a high GPA also has other great job match qualities (without checking), has engaged in what type of perception shortcut? a. selectivity b. assumed similarity c. halo effect d. stereotyping e. contrast effect LEARNING 98. Any relatively permanent change in behavior that occurs as a result of experience is known as ______________. a. training. b. learning. c. development. d. change. e. effort. 54 99. According to Skinner, if a manager wants employees to show up for work on time, which of the following should that manager do? a. Compliment employees when they show up on time. b. Say nothing when employees show up late. c. Punish employees who arrive late. d. Do not do anything since behaviors are based on innate personality. e. Sometimes compliment employees when they arrive late. 100. Which of the following is true concerning social learning theory? a. It is theoretically in opposition to operant conditioning. b. It was developed by Freud. c. It suggests we can learn by watching. d. It is a strict behaviorist theory. e. It suggests we cannot learn by direct experience. MANAGING YOUR CAREER 101. According to the boxed feature, “Managing Your Career,” all of the following are types of difficult people EXCEPT: a. the hostile, aggressive types. b. the unethical, persuader. c. the complainers. d. the silent or nonresponsive types. e. the know-it-all experts 102. According to the boxed feature, “Managing Your Career,” which of the following types of difficult people should the facts be stated without comment or apology and the conversation be switched to problem solving? a. the hostile, aggressive types. b. the unethical, persuader . c. the complainers. d. the silent or nonresponsive types. e. the know-it-all experts 103. According to the boxed feature, “Managing Your Career,” with which of the following types of difficult people should open-ended questions be asked and a friendly, silent stare be used? a. the hostile, aggressive types. b. the unethical, persuader . c. the complainers. d. the silent or nonresponsive types. e. the know-it-all experts 104. Which of the following is a managerial tool that can help guide employees in their learning in graduated steps? a. retention behavior b. reproduction behavior c. reinforcement behavior d. shaping behavior e. motivational behavior 55 105. A boss who promises to remove a past written reprimand from an employee's personal file, if he/she is on time for work during the next two months, is using ______________. a. positive reinforcement. b. negative reinforcement. c. punishment. d. extinction. e. forcing. Scenarios An Interesting Group (Scenario) Robin had her hands full. She had recently taken over managing the technical support group at her company and immediately noticed that her supervisors represented a collection of personalities like she had never seen before. She was having a problem understanding them and called the human resource department who referred her to a local psychologist. The psychologist suggested that there be some "low-key" testing completed. Robin agreed, as she felt she had to have some understanding of her supervisors soon or she would go nuts! The testing was completed and Robin reviewed the results of the information. 110. though clearly capable, Mary did not seem to like herself. Her results indicated an unwillingness to take risks in job selection and seemed very susceptible to evaluations from other people. Together, these finding indicate that Mary ______________. a. was high in cognitive dissonance. b. was high in Machiavellianism. c. was low in self-monitoring. d. was low in self-esteem. e. was high in risk taking. 111. Peter, her assistant manager, seemed to always maintain an emotional distance from others -- and others from him. He is self-described as "pragmatic," and the tests indicate that he believe that the "ends justify the means," descriptions which are consistent with characteristics of ______________. a. high Machiavellianism. b. low self-esteem. c. high self-monitoring. d. low cognitive dissonance. e. high risk taking. 112. Sarah, the floor supervisor, seems to be a different person depending on whom she is with and what the situation demands. The tests were consistent with this observation, indicating her ability to adjust her behavior. This is consistent with her being described as having ______________. a. high self-esteem. b. low Machiavellianism. c. high risk taking. d. low cognitive dissonance. e. high self-monitoring. 113. Kevin was a whirlwind as research and development supervisor. He made decisions very quickly and always with less information than others. This characteristic was consistent with his test, which described him as having ______________. a. high self-esteem. b. low Machiavellianism. c. high risk taking. d. low cognitive dissonance. 56 e. high self-monitoring. 57 PERCEPTION Which Is It? (Scenario) Chris had been Linda's boss now for about six months. Recently, Linda had been recommending the firing of Charles, one of her own staff for his repeated "inability to get along with others." Chris checked with Charles's co-workers and none of them supported Linda's contention. In addition, several of Linda's peers had met with Chris. Word of Charles's fate was getting out and they wanted to let Chris know that in the past other employees had been singled out by Linda for persecution. When asked for specific problems with Charles, Linda mentioned that in addition to his attitude he had been late several times recently. Chris knew that Charles lived several miles away and that others had been late due to poor weather. Chris did not know whether he should support Linda, his manager, or hold off and not fire Charles. 118. Which factor of attribution theory was Chris concerned about when he asked Charles's coworkers about Linda's observations about his attitude problem? a. consistency b. repeatedness c. consensus d. distinctiveness e. seriousness 119. What factor of attribution theory was Chris concerned about when Linda's peers mentioned about her past history with subordinates? a. consistency b. repeatedness c. consensus d. distinctiveness e. seriousness 120. What factor of attribution theory was Chris concerned about when he found out that others besides Charles had been late to work because of the weather? a. consistency b. repeatedness c. consensus d. distinctiveness e. seriousness Essay Questions 121. In a short essay, define attitudes. Next, list and discuss the three components that attitudes are made of. Include an example of a statement that describes each component to support your answer. 122. In a short essay, define cognitive dissonance and discuss the three factors that affect how people cope with cognitive dissonance. 123. In a short essay, discuss the Myers-Briggs Type Indicator. Be sure to include a discussion of the four dimensions of personality to support your answer. 124. In a short essay, list and discuss the five personality traits that are based on the Big-Five Model of Personality. 125. In a short essay, list and describe five types of personalities based on the personality-job theory as developed by psychologist John Holland. Include a description of the characteristics and sample occupations of each personality to support your answer. 126. In a short essay, list and discuss the five personality traits that have proved to be the most powerful in explaining individual behavior in organizations. 58 130. In a short essay, list the four most common types of difficult people and discuss the strategies for dealing with them. Chapter 15 – Understanding Groups and Teams True/False Questions UNDERSTANDING GROUP BEHAVIOR 2. Command groups, cross-functional teams, self-managed teams, and task forces are all examples of informal groups. 3. To be considered a group, there must be at least five people. 4. Cross-functional teams are composed of people from different work areas. 5. Task forces are permanent teams that take on special projects. 6. The first stage of group development is storming. 7. In the storming stage of group development, intragroup conflict often occurs. 8. When the forming stage is complete, there will be a relatively clear hierarchy of leadership within the group and agreement on the group’s direction. 9. Under some conditions, high levels of conflict are conducive to high levels of group performance. 10. A norm is a set of expected behavior patterns attributed to someone who occupies a given position in a social unit. 11. Roles are acceptable standards shared by a group's members. 12. The impact that group pressures for conformity can have on an individual member's judgment and attitudes was demonstrated in research by Solomon Asch. 13. Small groups tend to complete tasks faster than larger groups. 14. As group size increases, the contribution of individual members tends to decrease. 15. The human relations view of conflict held that conflict must be avoided because it indicates a malfunctioning within the group. 16. The interactionist view of conflict holds that some conflict is absolutely necessary for effective group performance. 17. Resolving conflicts by placing another's needs and concerns above one's own is termed forcing. 18. Compromise offers the ultimate win-win solution to conflict. 19. External conditions tend to have little influence on group performance. 20. An advantage of group decisions is that they increase acceptance of a solution. 21. Groupthink is a form of group conformity in which group members withhold deviant, minority, or unpopular views in order to give the appearance of agreement. 59 22. Work teams are formal groups made up of interdependent individuals who are responsible for the attainment of a goal. 23. A self-managed work team brings together experts in various specialties to work together on various organizational tasks. 24. A formal group of employees who operate without a manager and are responsible for a complete work process or segment is referred to as the self-managed team. 25. Functional teams are teams that use computer technology to link physically dispersed members in order to achieve a common goal. 26. Moving decision making vertically down to teams allows the organization greater flexibility for faster decisions. 27. Mutual trust is important in developing effective teams. 28. Effective team leaders are increasingly taking the role of coach and facilitator. 29. Goal setting is important for teams, just as it is for individual employees. 30. Gainsharing is one type of reward system used with work teams. Multiple Choice UNDERSTANDING GROUP BEHAVIOR 32. Which of the following about groups is true? a. You need five or more people to be considered a work group. b. The definition of groups suggests that a group is two or more people together for any reason. c. Groups can be either formal or informal. d. Formal groups are aimed at specific social agendas. e. Informal groups are indirect benefits of strategic planning. 33. Which of the following would be considered a formal group? a. task force for employee birthday celebrations b. reading group c. bowling team d. bringing people from various functions to solve a business dilemma e. brown bag lunch group 34. In what type of formal group is the traditional work group determined by formal authority relationships? a. command groups b. cross-functional teams c. self-managed teams d. business unit alliances e. task forces 35. Which of the following is not a formal group? a. command groups b. task forces c. cross-functional teams d. self-managed teams e. business unit alliances 60 36. Which of the following formal groups are essentially independent groups, which, in addition to their regular job, take on tasks such as hiring, performance evaluations, etc.? a. business unit alliances b. command groups c. self-managed teams d. cross-functional teams e. task forces 37. Temporary groups created to accomplish a specific task are termed _____________. a. command groups. b. cross-functional teams. c. self-directed teams. d. self-managed teams. e. task forces. 38. Which of the following is not a stage of group development? a. performing b. conforming c. adjourning d. forming e. storming 39. In which of the following stages of group development do people join the group either because of a work assignment, in the case of a formal group, or for some other benefit desired, in the case of an informal group? a. forming b. conforming c. storming d. norming e. performing 40. The stage of group development in which you would most likely see a battle over group leadership is _______________. a. forming b. conforming c. storming d. norming e. performing 41. At the completion of which of the following stages of group development would there be a relatively clear hierarchy of leadership within the group and agreement on the group’s direction? a. forming b. conforming c. storming d. norming e. performing 42. What stage of group development is complete when the group structure solidifies and the group has assimilated a common set of expectations about behavior? a. forming b. storming c. conforming d. norming e. performing 61 43. What stage of group development follows norming? a. forming b. performing c. storming d. conforming e. adjourning 44. Which of the following is an accurate statement about the progression of groups through their development stages? a. Conflict inhibits group effectiveness. b. Groups develop in a linear manner. c. Several stages may be happening simultaneously. d. Groups will always regress to previous stages, if only for a short time. e. Groups in the conforming stage are more effective than in the norming stage. 45. A _____________ refers to a set of expected behavior patterns attributed to someone who occupies a given position in a social unit. a. norm b. conformity behavior c. role d. status system e. group cohesiveness 46. An individual who is confronted by different role expectations experiences _____________. a. role conflict. b. role convergence. c. conformity pressure. d. group cohesiveness. e. task divergence. 47. A middle manager who is expected by his/her boss to keep performance evaluations low to save on merit increase costs, but feels compelled to reward his/her high performing subordinates fairly, is experiencing which of the following? norm decisiveness b. role conflict c. status separation d. conformity pressure e. cohesiveness conflict a. 48. The acceptable standards or expectations that are shared by the group’s members are referred to as _______________. a. roles b. norms c. values d. morals e. policies 49. A new commercial bank employee who notices stares from other officers because he does not wear conservative work attire is experiencing what aspect of groups? a. role conflict b. norms c. status separation d. cohesiveness conflict e. performing pressure 62 50. The findings of Asch's experiment utilizing lines of different lengths would relate to which of the following? a. job status b. workplace conformity c. work group cohesiveness d. role conflict e. performance perceptions 51. _____________ refers to a prestige grading, position, or rank within a group. a. Norm b. Role c. Status d. Role conflict e. Accommodation 52. Which of the following is an accurate statement regarding status systems? a. Education is an informal status characteristic. b. Status is a weak motivator compared to other group issues. c. People generally have difficulty classifying people into status categories. d. Status is a contemporary research topic. e. Status has cognitive but no behavioral consequences. 53. Education, age, skill, or experience are examples of which of the following? a. formal status categories b. informal status categories c. individual status categories d. ingroup status categories e. outgroup status categories 54. _____________ occurs when a supervisor is earning less than his subordinates. a. Conflict b. Role conflict c. Group incohesiveness d. Status incongruence e. Group divergence 55. In comparison to large groups, small groups _____________. a. have shorter group tenure. b. tend to be more homogenous. c. are faster at completing tasks. d. are better at obtaining diverse input. e. have higher status. 56. The "free rider tendency" explains which of the following? a. why the productivity of groups is exponential b. why there is always one person who does not work as hard as other group members c. why, as groups get larger, the individual contribution often decreases d. why group productivity grows in a linear fashion e. why groups will tend to let an unproductive outsider in the group 57. Which of the following is a potential means of limiting the free rider effect? a. be able to identify individual responsibility b. reward groups collectively, not individually c. never allow an outsider into a group once it is formed d. provide merit pay that is proportional to group effectiveness e. allow groups to punish poor team players 63 58. The degree to which members are attracted to a group and share the group’s goals is referred to as ______________. a. group diversity. b. group cohesiveness c. group expansion. d. group norms. e. group continuity. 59. In which of the following situations are groups most effective? a. a cohesive group b. a cohesive group not in alignment with organizational goals c. a noncohesive group in alignment with organizational goals d. a cohesive group in alignment with organizational goals e. a noncohesive group 60. Perceived incompatible differences resulting in some form of interference or opposition is known as _____________. a. conflict. b. trouble shooting. c. political opposition. d. problem creation. e. personality differences. 61. Which view of conflict argues that conflict must be avoided? a. human relations view b. interactionist view c. conservative d. traditional e. contemporary 62. What view of conflict sees it as natural, inevitable, and potentially resulting in positive results for the organization? a. contemporary view b. conservative view c. human relations view d. traditional view e. interactionist view 63. Which view of conflict sees it as absolutely necessary for effective organizational performance? a. contemporary view b. conservative view c. human relations view d. traditional view e. interactionist view 64. The type of conflicts that the interactionist says support the goals of the organization are known as _____________. a. goal-oriented conflicts. b. strategic conflicts. c. natural conflicts. d. functional conflicts. e. realistic conflicts. 65. _____________ prevent a group from achieving its goals. a. Informal groups 64 b. c. d. e. Command groups Cross-functional teams Functional conflicts Dysfunctional conflicts 65 66. According to the text, which of the following is not identified as a type of conflict that differentiates functional from dysfunctional conflict? a. task conflict b. relationship conflict c. ethical conflict d. process conflict 67. Which of the following is not mentioned in the text as a conflict-resolution option? a. avoidance b. contradiction c. accommodation d. compromise e. collaboration 68. Withdrawing from or suppression of conflict is termed _____________. a. collaborating. b. forcing. c. accommodation. d. avoidance. e. compromising. 69. Which of the following is not an advantage of group decision making over individual decision making? a. They provide more information. b. They generate more alternatives. c. There is less acceptance of a solution. d. There is increased legitimacy of the decision. e. There is reluctance to fight a decision they helped develop. 70. Which of the following is true concerning the effectiveness of individual decision making over group decision making? a. Individuals tend to be more accurate. b. Individuals are always outperformed by groups. c. Groups are less creative than individuals. d. Groups are more accepting of the final decision. e. Group effectiveness is influenced by its size. 71. Which of the following is true concerning groups? a. Groups take more time to make a decision. b. Groups tend to have equal participation rates. c. There is little pressure to conform. d. There is definite ownership of responsibility. e. They provide less information. 72. The pressure to conform in groups is known by which of the following terms? a. management by objectives b. TQM c. shirking d. groupthink e. group freeloading effect 66 73. According to the text, all of the following are criteria for which group decision making is most effective compared to individual decision making EXCEPT: a. accuracy. b. creativity. c. speed. d. efficiency. 74. Evidence indicates that the optimum size for a group is _____________. a. 2-4. b. 3-5. c. 5-7. d. 8-10. e. 12-15. 75. All of the following are mentioned in the text as techniques that managers can use to make group decisions more creative EXCEPT: a. electronic meetings. b. brainstorming. c. nominal group technique. d. quantitative analysis. 76. Which of the following is NOT mentioned in the text as an example of an external condition that can determine group performance and satisfaction? a. authority structures b. informal communication c. formal regulations d. employee selection criteria e. organization’s culture 77. Which of the following is an example of group member resources? a. expected behaviors imposed from the central office b. group member personalities c. the group leadership d. the group size e. a complex task 78. Which of the following personality traits tends to have a positive impact on group productivity and morale? a. self-reliance b. authoritarianism c. dominance d. unconventionality e. judgmental 79. All of the following have a negative effect on productivity and morale of groups EXCEPT: a. authoritarianism. b. self-reliance. c. dominance. d. unconventionality. 67 80. Which of the following personality traits tends to have a negative impact on group productivity and morale? a. sociability b. self-reliance c. independence d. dominance e. extrovertism 81. According to the group behavior model presented in your text, group size is an example of what factor of group determination of effectiveness? a. external conditions b. group structure c. group processes d. group tasks e. group resources TURNING GROUPS INTO EFFECTIVE TEAMS 84. A formal group made up of interdependent individuals responsible for attainment of goals is a(n) _____________. a. informal team. b. formal team. c. work team. d. social team. e. interdependent team. 85. Which of the following is not one of the four characteristics used to categorize teams? a. purpose b. membership c. industry d. duration e. structure 86. What team characteristic would be displayed if a team is trying to decide on a new organizational structure? a. purpose b. membership c. industry d. duration e. structure 87. A functional department team that is part of the organization's formal structure fits within which characteristic of team categorization? a. purpose b. industry c. structure d. membership e. duration 88. A team that is self-managed fits within which characteristic of team categorization? a. purpose b. structure c. membership d. industry e. duration 68 89. What type of team has clear issues surrounding authority and is involved in specific problems in a particular functional area? a. self-directed b. functional c. permanent d. temporary e. self-managed 90. What type of team operates without a manager? a. functional b. self-directed c. cross-functional d. temporary e. specific 91. Bringing together organizational members from marketing, accounting, human resources, and finance to work on a task would be an example of what type of team? a. cross-functional b. temporary c. specific d. functional e. self-directed DEVELOPING AND MANAGING EFFECTIVE TEAMS 92. High performance teams tend to have _____________ goals. a. clear b. difficult c. public d. multiple e. easy 93. Which of the following is true concerning effective teams? a. Strong technical skills are more important than interpersonal skills. b. Strong interpersonal skills are more important than technical skills. c. Members must have both strong technical and interpersonal skills. d. Allowing the team to teach technical skills is important. e. It is important for team members to also be close friends. 94. Believing that your co-worker is a person who will not let you down on project completion is an example of what characteristic of effective teams? a. clear goals b. relevant skills c. good communication d. fair compensation system e. mutual trust 95. Which of the following is not a suggestion for managers attempting to build trust? a. communicate with members b. be predictable c. demonstrate competency d. allow members to set their own goals e. be fair 96. What characteristic of effective teams would be evident of a team that has intense team loyalty? 69 a. b. c. d. e. clear goals mutual trust unified commitment good communication relevant skills 97. Effective teams are characterized by _____________ communication. a. lateral b. linear c. good d. team-coded e. organic 98. On a baseball team, a shortstop who "raises his fist" as a signal indicating he will cover second base in the event of an attempted steal is exhibiting what characteristic of effective teams? a. clear goals b. mutual trust c. unified commitment d. good communication e. relevant skills 99. To be effective, team members should _____________ in order to be flexible and continuously make adjustments. a. have clear job descriptions b. have formal documentation c. have negotiating skills d. hold firm in their positions e. maintain clear and static roles 100. Which role of leader is associated with effective teams? a. salesperson b. directive c. controlling d. seller e. facilitator 101. Providing a pay system that appropriately recognizes team activities is an example of what characteristic of effective teams? a. internal and external support b. appropriate leadership c. negotiating skills d. good communication e. unified commitment 102. _____________ is an important part of the planning process in managing a team. a. Goal determination b. Clarification of authority c. Empowering members d. Determining roles e. Setting clear evaluation criteria 103. A team determining, "How much authority do we have?" is an example of what function in managing a team? a. planning b. leading c. organizing 70 d. evaluating e. controlling 104. Determining how to resolve conflict between group members is an important aspect of what function in managing a team? a. planning b. leading c. controlling d. organizing e. evaluating 105. "Gainsharing" is an example of _____________. a. a group incentive pay plan. b. a method of evaluating overall organizational success. c. a means of measuring the percent of new market share attributed to group processes. d. an incentive plan that recognizes individual not group performance. e. a leader impact evaluation method. Essay Questions 121. In a short essay, list and discuss the five stages of group development. 122. In a short essay, define formal groups and list and describe four examples of formal groups. 123. In a short essay, explain the difference between the assumptions of the traditional, human relations view and interactionist views of conflict. 125. In a short essay, list and discuss the three types of conflict that have been found to differentiate functional from dysfunctional conflict. 126. In a short essay, list and discuss five conflict-resolution techniques managers can use to reduce conflict. 128. In a short essay, list and discuss four characteristics in which teams can be categorized. 129. In a short essay, list and describe the four most common types of teams likely to be found in today’s organizations. 130. In a short essay, list and discuss five characteristics that are associated with effective teams. Chapter 16 – Motivating Employees True/False WHAT IS MOTIVATION? 3. Motivation is an internal state that makes certain outcomes appear attractive. 4. The three key elements in the definition of motivation are effort, organizational goals, and needs. EARLY THEORIES OF MOTIVATION 5. Based on McClelland's three-needs theory, high achievers perform best when the odds are against them. CONTEMPORARY THEORIES OF MOTIVATION 6. The best managers are high in the need for power and high in the need for affiliation. 7. People with a high need for affiliation prefer cooperative situations over competitive ones. 8. People will do better when they get feedback on how well they're progressing toward their goals. 71 9. Reinforcement theory is related to an individual's belief that she is capable of performing a task. 10. The key to reinforcement theory is that it ignores factors such as goals, expectations, and needs, and focuses solely on what happens to a person when he takes some action. 11. The lower a person's self-efficacy, the more confidence he has in his ability to succeed in a task. 12. Reinforcement theorists believe that behavior is a function of its consequences. MANAGING YOUR CAREER 13. According to a recent survey, the primary reason employees stay with their jobs is because of flexible work hours. 14. Adding vertical depth to a job is called job enlargement. 15. Job design refers to the way tasks are combined to form complete jobs. 16. When a mail sorter's job is expanded to include mail delivery, the mail sorter has experienced job enlargement. 17. Job enlargement increases job depth. 18. In the job characteristics model, task significance refers to the degree to which a job requires completion of a whole and identifiable piece of work. 19. According to the job characteristics model, task autonomy is not important. 20. Guidance from the job characteristics model suggests that job enlargement should take place rather than task specialization. 21. According to equity theory, a person who earns $50,000 will be less satisfied with their pay than a person who earns $100,000. 22. Equity theory has three referent categories: other, system, and self. 23. The three variables in Vroom's expectancy theory are valence, instrumentality, and expectancy. 24. Vroom would say that if a person values an outcome, their effort to obtain that outcome will always be great. CURRENT ISSUES IN MOTIVATION 25. Flextime is a scheduling system in which employees work four 10-hour days. 26. Performance-based compensation is probably most compatible with expectancy theory. 27. Open-book management is a motivational approach in which an organization's financial statements are opened to and shared with all employees. 28. The loyalty of professionals is to their organization. MANAGING IN AN E-BUSINES WORLD 72 29. The challenge to motivating employees in an e-business is much less compared to motivating employees in a traditional organization. 30. Many employers are installing Web-monitoring software since there is no evidence that such efforts can negatively affect employee morale. Multiple Choice A MANAGER’S DILEMMA 31. According to the company profile in “A Manager’s Dilemma,” Grupo M is the largest employer in ______________. a. the United States. b. Mexico. c. Brazil. d. Dominican Republic. e. Switzerland WHAT IS MOTIVATION? 32. ______________ is the willingness to exert high levels of effort to reach organizational goals, conditions by the effort’s ability to satisfy some individual need. a. Attribution b. Motivation c. Leadership d. Goal setting e. Tenure 33. The three key elements in the definition of organizational motivation are ______________, organizational goals, and needs. a. personality b. ability c. effort d. tenure e. strategy 34. ______________ is an internal state that makes certain outcomes appear attractive. a. A need b. Motivation c. Leadership d. Goal setting e. Attribution EARLY THEORIES OF MOTIVATION 35. Who developed the Hierarchy of Needs motivational theory? a. Herzberg b. Vroom c. McGregor d. Lawler e. Maslow 36. An individual who wants to buy a home in an expensive neighborhood with a low crime rate is satisfying which psychological needs state? a. esteem b.safety 73 c. physiological d. self-actualization e. social 37. The drive to find food, drink, and sexual satisfaction is based on what level of need? a. physiological b. safety c. self-actualization d. social e. esteem 38. The need for such factors as status, recognition, attention, self-respect, autonomy, and achievement are examples of which of the following needs according to Maslow’s hierarchy of needs? a. physiological b. esteem c. social d. self-actualization e. safety 39. Joining a civic club because the members are considered to be very powerful and popular would be satisfying which needs state? a. safety b. social c. esteem d. self-actualization e. physiological 40. Enjoying friendship with coworkers satisfies what need? a. physiological b. esteem c. social d. self-actualization e. safety 41. Growth, achieving one’s potential, and self-fulfillment, and the drive to become what one is capable of becoming are characteristics of which need according to Maslow’s hierarchy? a. physiological b. esteem c. social d. self-actualization e. safety 42. A manager who believes that employees need constant control would be described as ______________ according to McGregor. a. a Theory X manager b. a Theory Y manager c. a Theory Z manager d. a human relations manager e. needs hierarchy 74 43. Which of the following would describe the beliefs of a Theory Y manager? a. People have little ambition. b. Work is acceptable because of financial needs, but play is more natural. c. Employees readily accept responsibility. d. People dislike work. e. Managerial direction of employees is essential. 44. According to Herzberg, in order to provide employees with job satisfaction, managers should concentrate on a. hygiene factors. b. issues such as pay. c. motivator factors. d. extrinsic factors. e. non-motivators. CONTEMPORARY THEORIES OF MOTIVATION 45. An individual who would enjoy taking on the challenge of personally redesigning the workflow of a manufacturing line to improve employee productivity would probably be rated high on which of the following? a. need for affiliation b. need for impact c. need for achievement d. need for power e. need for control 46. According to McClelland, the need to make others behave in a way they wouldn't have behaved otherwise is which of the following work motives? a. need for achievement b.need for power c. need for affiliation d. need for motivation e. need for self-fulfillment 47. Which of the following suggests that there is a need to have good relationships at work? a. need for achievement b. need for power c. need for fulfillment d. need for affective connection e. need for affiliation 48. Which of the following is not true concerning high achievers? a. They perform best when the success probability is fifty-fifty. b. They dislike gambling when the odds are high. c. They like a high probability of success. d. They like goals that cause themselves to stretch a bit. e. They dislike achievement from accidents. 49. Which of the following is true concerning individuals who have a high need for achievement? a. They desire to do many things with medium impact on quality. b. They seek achievement but not personal responsibility. c. They want slow but sure feedback on their performance. d.They dislike succeeding by chance. e. They enjoy very difficult tasks. 75 50. Employees can be trained to stimulate their ______________ needs. a. affiliation b. self-esteem c. achievement d. power e. self actualization 51. The best managers are high in the need for ______________ and low in the need for ______________. a. achievement; power b.power; affiliation c. affiliation; power d. achievement; affiliation e. power; achievement 52. Which of the following is an accurate statement concerning McClelland's three-needs theory? a. High achievers are best motivated in jobs with low personal responsibility but high task difficulty. b. High achievers tend to be good managers. c. The best managers are high in need for power and low in need for affiliation. d. Employee need for achievement is innate and cannot be changed. e. High achievers are poor salespersons. 53. The proposition that specific goals increase performance and that difficult goals, when accepted, result in higher performance than easy goals is termed ______________. a. self-efficacy. b. reinforcement theory. c. path-goal theory. d.goal-setting theory. e. equity theory. 54. Which of the following best summarizes the relationship between goal setting and need for achievement findings? a. Goal setting is superior because it recommends setting difficult goals. b. They are incompatible theories but there is no empirical research to support either claim. c. Difficult goals are still recommended for most people because only 10-20 percent of people are high achievers. d. Goal setting is not needed with high achievers. e. They are very similar theories. 55. People will do better when they get ______________ because it helps identify discrepancies between what they have done and what they want to do. a. input b. goals c. equity d. power e. feedback 56. The higher your ______________ , the more confidence you have in your ability to succeed in a task. a. self-efficacy b. self-esteem c. reinforcers d. job scope e. motivation 76 57. Reinforcement theorists believe that behavior results from which of the following? a. external consequences b. internal personality traits, such as need for achievement c. setting high goals d. intrinsic satisfiers e. hygiene factors 58. A ______________ is any consequence immediately following a response that increases the probability that the behavior will be repeated. a. goal b. reinforcer c. conclusion d. job characteristics model e. valence 59. ______________ is the way tasks are combined to form complete jobs. a. Job scope b. Job enlargement c. Job enrichment d. Job design e. Job criteria MANAGING YOUR CAREER 60. According to a recent survey, which of the following is the main reason employees stay with their jobs? a. pleasant work environment b. easy commute c. challenging work d. like co-workers e. flexible work hours 61. According to reinforcement theory, an individual would behave in a desired manner if which of the following occurred? a. Nothing happened when they acted appropriately. b. They are punished for doing the wrong behavior. c. They set specific, difficult goals to achieve. d. They are immediately rewarded, such as a monthly bonus. e. Their inner drives create the necessary tension level. 62. According to reinforcement theory, if a manager catches an employee exhibiting unproductive behavior, the recommended action for eliminating the behavior would be to ______________. a. punish the behavior. b. reward their good behavior. c. reward other employees' good behavior. d. punish other employees exhibiting similar unproductive behavior. e. ignore the behavior. 63. The number of different tasks required in a job and the frequency with which those tasks are repeated is ______________. a. job scope. b. job enlargement. c. job enrichment. d. job design. e. job criteria. 77 64. Horizontally expanding the tasks of a job is known by which of the following terms? a. job enrichment b. job enlargement c. task improvement d. job expansion e. right sizing tasks 65. ______________ is vertical expansion of a job by adding planning and evaluating responsibilities. a. Job scope b. Job enlargement c. Job enrichment d. Job design e. Job criteria 66. Job enrichment increases job ______________, which is the degree of control employees have over their work. a. breadth b. scope c. variety d. depth e. feedback 67. Which of the following is not associated with job enrichment? a. vertical expansion b. adding planning tasks c. increasing job scope d. adding evaluating responsibility e. increased employee control 68. The research evidence on the use of job enrichment programs could be classified as ______________. a. encouraging. b. strongly supportive. c. moderately supportive. d. inconclusive. e. unsupportive. 69. What theory provides a conceptual framework for analyzing jobs by analyzing five core dimensions? a. reinforcement theory b. job characteristics model c. job design d. equity theory e. expectancy theory 70. Which of the following, according to the job characteristics model, is the degree to which a job requires a variety of activities so that an employee can use a number of different skills and talents? a. task identity b. autonomy c. feedback d. task significance e. skill variety 78 71. Which of the following, according to the job characteristics model, is the degree to which a job requires completion of a whole and identifiable piece of work? a. skill variety b. autonomy c. task significance d. task identity e. feedback 72. The job characteristics model identifies ______________ as the degree to which a job has substantial impact on the lives or work of other people. a. task significance b. task identity c. skill variety d. autonomy e. feedback 73. ______________ is the degree to which a job provides substantial freedom, independence and discretion to the individual in scheduling the work and determining the procedures to be used in carrying it out. a. Task significance b. Task identity c. Skill variety d. Autonomy e. Feedback ______________ is the degree to which carrying out the work activities required by a job results in an individual's obtaining direct and clear information about the effectiveness of her performance. a. Task significance b. Task identity c. Skill variety d. Autonomy e. Feedback 74. 75. In the job characteristics model, which combination of core job dimensions combine to produce experienced meaningfulness of work by the employee? a. skill variety, feedback, and autonomy b. autonomy, task significance, and task identity c. task identity, skill variety, and task significance d. task significance, task identity, and feedback e. task identity, feedback, and autonomy 76. Which of the following personality variables moderates the relationship between job dimensions and outcomes according to the job characteristics model? a. need for achievement b. growth need c. locus of control d. risk taking e. need for power 77. The job characteristics model provides guidance to managers concerning ______________. a. job redesign. b. employee selection. c. pay satisfaction. d. collective bargaining. e. strategic planning. 79 78. According to the job characteristics model, ______________ suggests that managers should design tasks that form an identifiable and meaningful whole. a. combining tasks b. creating natural work units c. opening feedback channels d. expanding jobs vertically e. establishing client relationships 79. Which of the following is an accurate statement about equity theory? a. It explains why a factory worker resents how much professional baseball players make. b. It suggests that people will feel fairly treated if they receive pay increases. c. It is based on perceptions of our own situation to others who are like us. d. It is a theory based on needs. e. It is a motivational theory based on our job characteristics. 80. In ______________ an employee compares his job's inputs-outcomes ratio with that of relevant others and then corrects any inequity. a. reinforcement theory b. the job characteristics model c. job design d. equity theory e. expectancy theory 81. Which of the following is not an input according to equity theory? a. effort b. experience c. pay level d. education e. job tenure 82. If a manager seeks equity by rethinking his situation and deciding that "on second thought my office is nicer because it has better carpet," this manager is seeking equity through which of the following methods? a. increasing his outcomes b. decreasing comparison other outcomes c. distorting others' outcomes d. leaving the situation e. choosing a new comparison other 83. Based on equity theory, asking the boss to give a "comparison other" at work more responsibility is to seek equity through which of the following methods? a. decreasing your inputs b. increasing comparison other outcomes c. decreasing your outcomes d. cognitively distorting the situation e. increasing comparison other inputs 84. Organizational pay policies are what type of referent according to equity theory? a. other b. system c. internal d. external e. self 80 85. In general, the research support for equity theory could be described as ______________. a. strong. b. moderate. c. weak. d. inconclusive. e. there has been very little research on equity theory. 86. In expectancy theory, the probability perceived by the individual that exerting a given amount of effort will lead to a certain level of performance is ______________. a. valence. b. expectancy. c. consistency. d. flexibility. e. instrumentality. 87. Which expectancy theory linkage explains the belief by a student that studying hard results in obtaining high test grades? a. valence of reward b. expectancy c. input to outcome d. goal setting to achievement e. instrumentality to reward 88. In expectancy theory, the degree to which the individual believes that performing at a particular level is instrumental in leading to the attainment of a desired outcome is ______________. a. valence. b. expectancy. c. consistency. d. flexibility. e. instrumentality. 89. Which expectancy theory linkage explains the belief that having a high grade point average is critical in obtaining a good job? a. instrumentality b. expectancy c. goal setting to achievement d. valence e. input to outcome 90. Which expectancy theory linkage explains the degree to which a student desires a good job? a. expectancy b. effort to performance c. input to outcome d. instrumentality e. valence 91. Which of the following is not an important issue surrounding equity theory? a. It emphasizes payoffs. b. It is important to understand why outcomes are important or unimportant. c. Expected behaviors are important. d. Reality is key. e. Individuals are expected to maximize needs and/or wants. 81 CURRENT ISSUES IN MOTIVATION 92. To maximize motivation among today's diverse work force, managers need to think in terms of ______________. a. flexibility. b. consistency. c. needs. d. wants. e. organizational strategy. 93. A ______________ workweek is a workweek where employees work longer hours per day but fewer days per week. a. flexible b. compressed c. congruent d. parallel 94. ______________ is a scheduling system in which employees are free to vary work hours within certain limits. a. Compressed work week b. Job sharing c. Flextime d. Telecommuting e. Job enlargement 95. What type of job scheduling option would allow two different employees to share one forty-hour-a-week system's analyst position? a. compressed work week b. job sharing c. flextime d. telecommuting e. job enlargement MANAGING WORK FORCE DIVERSITY 96. At which of the following companies do new employees become a part of a mentoring group called “Horizons?” a. Microsoft b. Hewlett-Packard c. IBM d. Silicon Graphics e. Lucent Technologies 97. The linking by computer and modem of workers at home with co-workers and management at an office is termed ______________. a. job sharing. b. compressed work week. c. flextime. d. telecommuting. e. job enlargement. 82 98. Piece-rate pay plans, wage incentive plans, profit-sharing and lump-sum bonuses are examples of ______________ programs. a. open-book management b. expectancy theory c. pay-for-performance d. equity theory e. job characteristics model 99. Performance-based compensation is probably most compatible with which motivational theory? a. equity theory b. goal setting theory c. job characteristics model d. expectancy theory e. reinforcement theory 100. ______________ is a motivational approach in which an organization's financial statements are opened to and shared with all employees. a. Open-book management b. Expectancy theory c. Pay-for-performance d. Equity theory e. Job characteristics model 101. Successful motivation of professions requires that managers recognize that the loyalty of professionals is usually toward their ______________. a. employer. b. short-term financial well being. c. long-term financial well being. d. family. e. profession. 102. All of the following are mentioned in the text as suggestions to motivating professionals EXCEPT: a. providing them with ongoing challenging projects. b. using money and promotions. c. allowing them to structure their work in ways they find productive. d. rewarding them with recognition. 103. Which of the following is not a suggestion for motivating employees? a. recognize individual differences b. make goals very difficult to achieve c. match people to jobs d. individualize rewards e. don't ignore money 104. A review of eighty studies found which of the following methods produced the highest increases in productivity? a. goal setting b. job redesign c. employee participation d. monetary increases e. job/person match 83 105. Which of the following is NOT mentioned in the text as a suggestion to motivating employees in general? a. recognize individual differences. b. use goals. c. use collective rewards. d. don’t ignore money. e. link rewards to performance. Scenarios and Questions Changing Jobs (Scenario) Marty sat in his favorite chair at home and pondered his work situation. The funding in his division had been cut by twenty-five percent but the numerical goals did not budge. Something had to change and he knew it was his job to figure out how to make the goals reachable. He had decided to try to make it work by changing the way tasks are combined in each job. First, he needed to know how many tasks there were to each job and how frequently each task is repeated. He also knew that because of the funding cut, people were going to be asked to increase their job tasks horizontally. But, he also felt that to balance this he should add planning and evaluating responsibilities. Together, even though the employees were clearly being asked to contribute more, he felt they would have a greater degree of control over their work. No one looked forward to this coming year ÄÄ managers or staff ÄÄ but it was do or die. 106. Which of the following is the term that describes "the way tasks are combined in each job"? a. job enlargement b. job scope c. job enrichment d. job design e. job depth 107. ______________ describes the degree of control employees have over their work. a. job enlargement b. job scope c. job enrichment d. job design e. job depth 108. Marty was also going to ask people to horizontally increase their jobs, also known as ______________. a. job enlargement. b. job scope. c. job enrichment. d. job design. e. job depth. 109. The vertical expansion of employees, or ______________, was also suggested by Marty. a. job enlargement b. job scope c. job enrichment d. job design e. job depth 84 Essay Questions 122. In a short essay, list and discuss the five needs that are based on Maslow’s Hierarchy of Needs Theory. 123. In a short essay, list and discuss the three-needs theory according to David McClelland. Next, identify which of these needs has been studied most extensively and discuss the findings of this research. 124. In a short essay, discuss job design and describe how a manager could utilize job scope, job enlargement, job enrichment, and job depth to design motivating jobs. 125. In a short essay, list and discuss the five core dimensions that can describe any job according to the job characteristics model. 126. In a short essay, discuss the equity theory and list five probable behavior responses that may occur when employees perceive an inequity. 127. In a short essay, discuss Victor Vroom’s expectancy theory and list and describe the three variables or relationships that support this theory. 130. In a short essay, list and discuss six specific recommendations that should be followed when motivating employees. Chapter 17 - Leadership True/False 2. Managers and leaders are the same. 3. Leaders influence a group toward the achievement of goals. 4. Not all leaders have the capabilities or skills needed to hold managerial positions. 5. Leadership is based on authority granted from organizational position. 6. Fiedler's contingency model of leadership style effectiveness depends on the ability and willingness of the subordinates. 7. The least-preferred co-worker questionnaire measure, whether a person is task or relationship oriented. 8. Fiedler assumed a person's leadership style was adjusted based on the situation. 9. Fiedler identified three contingency dimensions: leader-member relations, task structure, and reward power. 10. According to Fiedler's research, task-oriented leaders tended to perform better in situations that are very favorable to them and in situations that were very unfavorable. 11. According to Fiedler's research, relationship-oriented leaders seemed to perform better in very unfavorable situations. 12. Review of the major studies undertaken to test the overall validity of the Fiedler model led to a generally positive conclusion. 85 13. Robert House's path-goal theory is an expectancy theory of motivation. 14. Robert House's supportive leader consults with subordinates and uses their suggestions before making a decision. 15. Robert House assumed that leadership style changes depending on the situation. 16. Path-goal theory holds that subordinates with an external locus of control will be more satisfied with a directive style. 17. Vroom and Yetton's Path-Goal Model related leadership behavior and participation to decision making. 18. Research testing the original leader participation model was very encouraging. 19. A charismatic leader is likely seen as being assertive. 20. People working for charismatic leaders are motivated to exert extra work effort but express lower satisfaction. 21. Charismatic leadership may not always be needed to achieve high levels of employee performance. 22. Charisma is the ability to create and articulate a realistic, credible, attractive vision of the future for any organization or organizational unit that grows out of and improves upon the present. 23. The key properties of a vision seem to be inspirational possibilities that are value centered, are realizable, have superior imagery, and are well articulated. 24. One specific role of team leadership is that team leaders are troubleshooters. 25. When team leaders assume the role of troubleshooter, they clarify expectations and roles, teach, and offer support. 26. Transactional and transformational leadership are opposing approaches to getting things done. 27. The evidence supports the superiority of transformational leadership over transactional leadership. 28. According to French and Raven, legitimate power and authority are one in the same. 29. Credibility is the degree to which followers perceive someone as honest, competent, and able to inspire. 30. According to “Managing in an E-business World,” leaders in e-businesses see themselves as long-distance runners and their contemporaries in other non e-businesses as sprinters. Multiple Choice 31. According to the company profile in “A Manager’s Dilemma,” the problem facing Bob Ross Buick is determining _______________. a. how to attract more customers. b. how to expand the company. c. how to keep employees loyal. (moderate) d. how to hire more qualified employees. e. how to sell the business. 32. Which of the following is NOT true concerning the difference between managers and leaders? a. Managers are appointed. b. Managers influence through informal means. (easy) c. Leaders may be appointed. 86 d. Leaders can influence beyond formal authority. e. Leaders may emerge from a group. 33. 34. Persons who are able to influence others and who possess managerial authority are termed ______________. a. managers. b. leaders. (easy) c. organizers. d. visionaries. e. team members. Which of the following is NOT mentioned in the text as one of the three leadership styles explored in the University of Iowa studies? a. cultural style (easy) b. autocratic style c. democratic style d. laissez-faire style 35. Which of the following describes the leadership style in which a leader tended to centralize authority, dictate work methods, make unilateral decisions, and limit employee participation? a. cultural style b. autocratic style (moderate) c. democratic style d. laissez-faire style 36. The _______________ style of leadership describes a leader who tends to involve employees in decision making, delegate authority, encourage participation in deciding work methods and goals, and use feedback as an opportunity for coaching employees. a. cultural style b. autocratic style c. democratic style (moderate) d. laissez-faire style 37. Which of the following describes the leadership style in which the leader generally gives the group complete freedom to make decisions and complete the work in whatever way it saw fit? a. cultural style b. autocratic style c. democratic style d. laissez-faire style (moderate) 38. According to the Ohio State studies, which of the following dimensions of leader behavior refers to the extent to which a leader is likely to define and structure his or her role and the roles of group members in the search for goal attainment? a. intelligence structure b. psychological structure c. initiating structure (easy) d. consideration structure 39. According to the Ohio State studies, the dimension of leader behavior that is defined as the extent to which a leader had job relationships characterized by mutual trust and respect for group members’ ideas and feelings is called _______________. a. initiation. b. consideration. (moderate) c. cultural. d. physical. 40. Who developed the first contingency model for leadership? 87 a. Blake and Mouton b. Fiedler (easy) c. Adler d. Lewin e. Schmidt 41. Fielder's model of leadership was the first ______________ model. a. visionary b. path-goal c. team d. empowerment e. contingency (moderate) 42. Fiedler's least-preferred co-worker questionnaire seeks to measure what leadership factor? a. subordinate needs b. leader's style (moderate) c. situation d. subordinate co-worker influence e. leader traits 43. Which of the following is TRUE concerning Fiedler's least-preferred co-worker questionnaire? a. Leaders are either task or relationship oriented. (moderate) b. Fielder assumed that leadership style was contextual. c. Leadership style is dynamic depending on the situation. d. A low LPC would be a task-oriented leader. e. A high LPC would be a relationship-oriented leader. 45. Fiedler assumed a person's leadership style was ______________. a. contingent. b. relative. c. dimensional. d. fixed. (difficult) e. team oriented. 46. Fiedler's dimension termed ______________ is the degree of confidence, trust, and respect subordinates had for their leader. a. leader-member relations (easy) b. power relationship c. task structure d. authority e. position power 47. Which of the following are two of the three key situational factors Fielder felt were important in determining leader effectiveness? a. leader-member relations, maturity of followers b. organizational success, position power c. task structure, leader-member relations (moderate) d. maturity of organization and subordinates e. organizational age and task structure 48. Fiedler's term ______________ refers to the degree to which the job assignments are formalized and procedurized. a. leader-member relations b. power relationship c. task structure (easy) d. authority 88 e. position power 49. The degree to which the job assignments are formalized and procedurized is the ______________ contingency dimension according to Fielder. a. position power b. subordinate maturity c. task structure (moderate) d. centralization e. leader-member relations 50. Fiedler's term ______________ refers to the degree of influence a leader has over power-based activities. a. leader-member relations b. position power (moderate) c. responsibility d. task structure e. respect 51. According to Fielder, in what types of situations do task-oriented leaders perform best? a. very favorable, very unfavorable (moderate) b. moderately favorable, moderately unfavorable c. very favorable, unfavorable d. very unfavorable, unfavorable e. very favorable, favorable 52. According to Fielder, in what type of situations do relationship-oriented leaders perform best? a. very favorable b. favorable c. moderately favorable (moderate) d. unfavorable e. very unfavorable 53. According to Fielder, the two ways to improve leadership effectiveness are to change the situation to fit the leader or ______________. a. train the employees. b. change the leader. (moderate) c. train the leader. d. apply systematic pressure. e. enhance the reward system. 54. According to Fiedler, if a group situation was rated as highly unfavorable and was led by a relationship leader, the group's performance could be improved by ______________. a. restructuring tasks. (difficult) b. changing the leader's style. c. retraining followers. d. empowering employees. e. reducing the leader's authority. 55. Overall, the validity of the Fiedler contingency model could be described as ______________. a. supportive. (moderate) b. moderately supportive. c. inconclusive. d. unsupportive. e. very unsupportive. 56. According to the text, the ______________theory is a contingency theory that focuses on follower’s readiness. 89 a. b. c. d. consideration leadership situational leadership (moderate) passive leadership active leadership 57. Which of the following leadership styles describes a leader who provides both directive and supportive behavior? a. telling b. selling (moderate) c. participating d. delegating e. referring 58. The main role of the leader is to facilitate and communicate in which of the following leadership styles? a. telling b. selling c. participating (moderate) d. delegating e. referring 59. Which of the following leadership styles describes a leader who provides little direction or support? a. telling b. selling c. participating d. delegating (moderate) e. referring 60. What leadership model is associated with Vroom and Yetton? a. contingency leadership theory b. situational leadership theory c. path-goal model d. leader participation model (easy) e. leader characteristics model 61. Who developed path-goal theory? a. Fielder b. Blake and Mouton c. Lewin d. House (moderate) e. Schmidt 62. According to path-goal theory, a leader's behavior is ______________ to subordinates to the degree that they view it as an immediate source of satisfaction. a. motivational b. acceptable (moderate) c. compatible d. transactional e. transformational 63. According to the path-goal theory, a leader's behavior is ______________ to the extent that it makes the satisfaction of subordinates' needs contingent on effective performance and provides coaching and guidance. a. motivational b. acceptable (moderate) c. compatible d. transactional 90 e. transformational 64. According to path-goal theory, a leader who lets subordinates know what's expected of them, schedules work to be done, and gives specific guidance as to how to accomplish tasks is termed ______________. a. directive. (moderate) b. achievement oriented. c. participative. d. supportive. e. authoritative. 65. According to path-goal theory, a leader who is friendly and shows concern for the needs of subordinates is termed ______________. a. directive. b. achievement oriented. c. participative. d. supportive. (moderate) e. authoritative. 66. According to path-goal theory, a manager who consults with subordinates and uses their suggestions would be exhibiting what type of leadership behavior? a. directive b. achievement oriented c. participative (moderate) d. supportive e. authoritative 67. Which of the following is NOT a leadership behavior identified in House's path-goal theory? a. directive leader b. supportive leader c. participative leader d. transactional leader (difficult) e. achievement-oriented leader 68. A leader who sets challenging goals and expects very high performance levels from subordinates would be classified as what type of leader, according to path-goal theory? a. supportive b. participative c. achievement oriented (moderate) d. democratic e. directive 69. In contrast to Fielder's contingency theory, House's path-goal theory assumes leaders are ______________. a. trained. b. flexible. (moderate) c. born. d. visionary. e. managers. 70. The task structure a subordinate works with would be important in understanding the ______________ variable that moderates the leader behavior-outcome relationship. a. subordinate b. leader c. environmental (easy) d. work group e. authority system 91 71. In the path-goal theory, which of the following is included in the class of contingency variables termed "environment"? a. task structure and formal authority system (difficult) b. locus of control and experience c. perceived ability d. employee satisfaction e. performance 72. Path-goal theory identifies two classes of situation variables that moderate the leadership-behavior outcome ______________. a. tact and relationship. b. path and goal. c. people and history. d. participation and structure. e. environment and subordinates. (moderate) 73. Which of the following is included in the class of contingency variables termed "follower"? a. locus of control (difficult) b. performance c. employee satisfaction d. formal authority system e. task structure 74. According to the text, which of the following is NOT a hypothesis from the path-goal theory? a. Supportive leadership results in high employee performance and satisfaction when subordinates are performing structured tasks. b. Directive leadership leads to greater satisfaction when tasks are high structured and well laid out than when tasks are ambiguous or stressful. (difficult) c. Directive leadership is likely to be perceived as redundant among subordinates with high perceived ability or with considerable experience. d. The clearer and more bureaucratic the formal authority relationships, the more leaders should exhibit supportive behavior and deemphasize directive behavior. e. Directive leadership will lead to higher employee satisfaction when there is substantive conflict within a work group. 75. Which of the following is not one of the hypotheses that have evolved from the path-goal theory? a. Supportive leadership results in high employee performance and satisfaction when subordinates are performing structured tasks. b. Directive leadership is likely to be perceived as redundant among subordinates with highly perceived ability or with considerable experience. c. The more clear and bureaucratic the formal authority relationships, the more leaders should exhibit supportive behavior and deemphasize directive behavior. d. Directive leadership will lead to higher employee satisfaction when there is substantive conflict within a work group. e. Subordinates with an external locus of control will be more satisfied with a directive style. (difficult) 76. According to the path-goal theory, directive leadership will lead to higher employee satisfaction when there is ______________ within a work group. a. cohesiveness b. high structure c. substantial conflict (moderate) d. internal locus of control e. a visionary leader 77. Research on path-goal theory could be summarized as ______________. a. negative support. 92 b. inconclusive. c. positive support. (easy) d. very unsupportive. e. varying widely as supportive and nonsupportive. 78. What type of leaders guide or motivate their followers in the direction of established goals by clarifying role and task requirements? a. transactional (moderate) b. charismatic c. trait d. transformational e. informational 79. Which type of leaders provide individualized consideration, intellectual stimulation, and possess charisma? a. transactional b. charismatic c. trait d. transformational (moderate) e. informational 80. A leader, such as Bill Gates of Microsoft, who can inspire followers above their own self-interests and can have a profound effect on their performance, are known as ______________. a. transactional leaders. b. directive leaders. c. informational leaders. d. emotional leaders. e. transformational leaders. (difficult) 81. Which of the following is an accurate statement about transformational leaders? a. They clarify task requirements. b. They focus on tasks and pay little attention to followers. c. They are poor motivators. d. They are opposite style leaders compared to transactional leaders. e. They exhibit more than just charisma. (difficult) 82. The evidence supporting the superiority of transformational leadership over the transactional variety is ______________. a. inconclusive. b. moderately supportive. c. moderately negative. d. overwhelmingly impressive. (moderate) e. difficult to interpret. 83. Which of the following nonverbal behaviors do researchers who are training charismatic leaders NOT include? a. leaning toward the subordinate b. avoiding eye contact c. having relaxed posture (easy) d. having animated facial expressions 84. ______________ leadership is the ability to create and articulate a realistic, credible, attractive vision of the future for an organization or organizational unit that grows out of and improves upon the future. a. Visionary (easy) b. Charismatic c. Trait d. Transactional 93 e. Informational 85. The key properties of a vision include all of the following EXCEPT that they ______________. a. are value centered. b. are realizable. c. have superior imagery. d. are easily achieved. (moderate) e. are well articulated. 86. Which of the following is NOT an important leadership role for team leaders? a. liaison with external constituencies b. liaison with internal constituencies (moderate) c. troubleshooter d. conflict manager e. coach 87. All of the following are sources of power identified by French and Raven EXCEPT: a. legitimate. b. status. (easy) c. expert. d. coercive. e. reward. 88. Which of the following, according to French and Raven, is the type of power a person has as a result of his or her position in the formal organizational hierarchy? a. legitimate power (moderate) b. coercive power c. reward power d. expert power e. referent power 89. Examples of an organization's ______________ power include performance appraisals, promotions, and interesting work assignments. a. legitimate (moderate) b. status c. expert d. coercive e. reward 90. According to the boxed feature, “Managing Your Career,” which of the following is NOT mentioned as a suggestion to improve an individual’s political effectiveness? a. Frame arguments in terms of organizational goals. b. Gain control of organizational resources. c. Mix with everyone regardless of the reputation. (moderate) d. Be visible. e. Develop powerful allies. 91. ______________ is the power that rests on the leader’s ability to punish or control. a. Reward power. b. Coercive power. (moderate) c. Expert power. d. Referent power. e. Legitimate power. 92. The power utilized when a boss threatens to dismiss an employee if he/she does not comply with a demand is ______________. 94 a. reward power. b. coercive power. (moderate) c. expert power. d. referent power. e. legitimate power. 93. ______________ is the power to give positive benefit or rewards. a. Reward power. (moderate) b.Coercive power. c. Expert power. d. Referent power. e. Legitimate power. 94. Your firm's attorney has ______________ power when he gives legal advice. a. legitimate b. status c. expert (moderate) d. coercive e. reward 95. ______________ is influence that’s based on expertise, special skills, or knowledge. a. Reward power. b.Coercive power. c. Expert power. (moderate) d. Referent power. e. Legitimate power. 97. ______________ is the power that arises because of a person’s desirable resources or personal traits. a. Reward power. b.Coercive power. c. Expert power. d. Referent power. (moderate) e. Legitimate power. 98. The most dominant component of credibility is ______________. a. expertise. b. status. c. authority. d. honesty. (moderate) e. charisma. 99. The dimension of trust that is used to describe honesty and truthfulness is ______________. a. integrity. (easy) b. competence. c. consistency. d. loyalty. e. openness. 100. The dimension of trust that is used to describe reliability, predictability and good judgment in handling situations is termed ______________. a. integrity. b. competence. c. consistency. (moderate) d. loyalty. 95 e. openness. 101. Which of the following is an accurate statement about the differences between gender and leadership style? a. Males and females do not use different styles. b. Men are more democratic than women. c. Women encourage more participation. (moderate) d. Men share power more than women. e. Women rely on formal authority more than men. 102. According to the text, women tend to use ______________ leadership, motivating other by transforming their self-interest into organizational goals. a. transactional b. transformational (moderate) c. situational d. initiating 103. According to the text, men tend to use _____________, handing out rewards for good work and punishment for bad. a. transactional (moderate) b. transformational c. situational d. initiating Essay Questions 123. In a short essay, discuss the situational leadership theory as developed by Paul Hersey and Ken Blanchard. Next, list and discuss the four specific leadership styles and the four stages of follower readiness as defined by Hersey and Blanchard. 126. In a short essay, list and discuss the four specific leadership roles that focus on the priorities of the leader’s job. 127. In a short essay, list and discuss five sources in which leader power has been identified. Include specific examples of each source of power to support your answer. Chapter 18 – Foundations of Control True/False WHAT IS CONTROL? 2. Managers should be involved in the control function even if things are going as planned. True (moderate) 3. The three different approaches to designing control systems are cultural, domestic, and international. False (moderate) 4. Price competition is one mechanism for utilizing market control. True (moderate) 5. Market control uses external market mechanisms to establish standards used in the control system. True (moderate) 6. Bureaucratic control emphasizes governmental regulation. 96 False (moderate) 7. Clan control emphasizes organizational authority. False (moderate) WHY IS CONTROL IMPORTANT? 8. In reality, management is an ongoing process, and controlling activities provide the critical link back to planning. True (moderate) 9. Standards are created during the organizing process. False (easy) THE CONTROL PROCESS 10. The control process is a three-step process that includes unfreezing the system, changing the system, and refreezing the system. False (moderate) 11. The first step in the control process is comparing actual performance against a standard. False (moderate) 12. Personal observation is one method for measuring actual performance. True (easy) 13. What we measure is more critical to the control process than how we measure. True (moderate) 14. The range of variation is the acceptable parameters of variance between actual performance and the ideal. False (moderate) 15. Deviations that exceed the range of variation need the manager's attention. True (easy) 16. Doing nothing is not an acceptable managerial action in the control process. False (moderate) 17. Revising unrealistically high standards is one method of managerial action in the control process. True (moderate) 18. Basic corrective action is correcting an activity at once in order to get performance back on track. False (easy) 19. The control process is essentially a continuous flow between measuring, comparing, and managerial action. True (moderate) TYPES OF CONTROL 20. The most desirable type of control is concurrent control. False (moderate) 21. Feedforward control prevents anticipated problems. True (moderate) 22. Concurrent control takes place after an activity has been completed. 97 False (easy) 23. The key to feedback control is taking managerial action before a problem occurs. False (moderate) 24. The best form of concurrent control is direct supervision. True (easy) 25. The most popular type of control relies on feedback. True (easy) 26. Financial statements are an example of concurrent controls. False (moderate) THINKING CRITICALLY ABOUT ETHICS 27. According to the boxed feature, “Thinking Critically About Ethics,” Eric Mckenzie devised a workplace policy for his political consulting company in which employees only had to tell their supervisor about their actions if they took home more than $3 of office supplies in a week. True (moderate) 28. Technologically advanced countries, such as the U.S., Japan, and Canada, tend to use direct control devices. False (moderate) MANAGING IN AN E-BUSINESS WORLD 29. According to the boxed feature, “Managing in an E-business World,” duplication of effort is mentioned as a major type of controlling issue that managers in e-businesses have to deal with. False (moderate) 30. It is estimated that 17 percent of Fortune 1000 companies use monitoring software of some type. True (moderate) Multiple Choice A MANAGER’S DILEMMA 31. According to the company profile in “A Manager’s Dilemma,” what is the problem facing Mustafa’s Company? a. How to motivate employees. b. How to reduce theft in the stores. c. How to reduce theft on the company’s website. (moderate) d. How to hire more qualified employees. e. How to evaluate the competition. WHAT IS CONTROL? 32. What managers should be involved in the control process? a. upper management b. middle managers c. systems managers d. first-line managers e. all managers (moderate) 33. Which of the following terms is associated with the definition of control? 98 a. monitoring (moderate) b. motivation c. communication d. high tech e. personality 34. In the control process, to what factor is actual performance compared in order to properly assess the situation? a. last year's performance b. competitors' outcomes c. desired standards (moderate) d. last month's efforts e. management opinion 35. The ultimate criterion to determine the control system effectiveness is how well it facilitates ______________. a. management desires. b. organizational goals. (moderate) c. employee satisfaction. d. increased market share. e. lowering production defects. 36. Would different organizations, such as IBM, Chevrolet, and Pizza Hut, have different control systems? a. All organizations utilize a traditional control system design. b. All organizations must have their own unique control system. c. All organizations probably would not have the same control system. (difficult) d. Organizations function with one of five different control systems, according to William Ouchi. e. Organizations in similar industries all use the same type of control system. 99 37. According to the text, which of the following is NOT mentioned as one of the three different approaches to designing control systems? a. market b. domestic (easy) c. bureaucratic d. clan 38. ______________ control is an approach that emphasizes the use of external mechanisms, such as price competition and market share to establish standards. a. Market (moderate) b. Traditional c. Bureaucratic d. Strategic e. Clan 39. What type of control system is typically used when a firm's services or products are clearly specific and distinct? a. bureaucratic b. strategic c. market (moderate) d. clan e. traditional 40. In the ______________ control system, company divisions are turned into corporate profit centers for evaluation. a. market (moderate) b. clan c. traditional d. bureaucratic e. strategic 41. Which of Ouchi's control systems is used in an organization by emphasizing organizational authority? a. clan b. strategic c. market d. bureaucratic (easy) e. traditional 42. What type of organizational control system relies on regulations, procedures, and policies? a. strategic b. bureaucratic (easy) c. traditional d. market e. clan 43. Standardization of activities, well-defined job descriptions, and budgets would be sources depended on by what type of organizational control system? a. bureaucratic (moderate) b. strategic c. clan d. traditional e. market 100 44. According to your text, which of the following organizations provides a good example of a bureaucratic control system? a. McDonald's b. Pizza Hut c. British Petroleum Amoco (easy) d. Hewlett Packard e. Ford Motor Company 45. What type of organizational control system is regulated by norms? a. clan (moderate) b. traditional c. market d. strategic e. bureaucratic 46. You would likely find an "employee of the month" bonus plan under what type of organizational control system? a. market b. traditional c. clan (difficult) d. strategic e. bureaucratic 47. Which of the organizational control systems is heavily dependent on the individual, group, and the use of teams? a. strategic b. clan (moderate) c. bureaucratic d. traditional e. market WHY IS CONTROL IMPORTANT? 48. Of the following, which is NOT a reason why control systems are important? a. creation of organizational structure b. facilitation and achievement of goals c. employees can be directed d. goals can be guaranteed (moderate) e. employees can be motivated 49. Controls provide a critical link back to what organizational function? a. employee selection b. planning (difficult) c. organizational culture d. manufacturing design e. directing THE CONTROL PROCESS 50. In the control process, which step follows "measuring actual performance"? a. establishing standards b. obtaining employee input to performance gaps c. comparing actual performance against a standard (moderate) d. logging actual performance e. checking performance measurement for reliability 101 51. What is the final step in the control process? a. adjusting measurement standards b. rewarding/punishing employee performance c. benchmarking standards with a competitor d. taking managerial action (moderate) e. reengineering the process 52. Standards are created during the ______________ process. a. controlling b. leading c. organizing d. measuring e. planning (moderate) 53. According to the text, which of the following is the first step in control? a. measuring actual performance (moderate) b. changing the standard c. taking managerial action d. comparing actual against the standard 54. Of the following, which is NOT a common source of information used by managers to measure performance? a. personal observation b. oral reports c. standardized tests (moderate) d. statistical reports e. written reports 55. To get firsthand, intimate knowledge of actual work activities, managers might use ______________. a. personal observation (easy) b. statistical reports c. oral reports d. written reports 56. What source of information used to measure performance provides information that is not filtered through others? a. statistical reports b. personal observation (moderate) c. standardized tests d. written reports e. oral reports 57. ______________ is a control technique in which the manager is out in the work area, interacting directly with employees and exchanging information. a. Management by walking around (moderate) b. Management by objectives c. Leadership by example d. Feedforward control e. Feedback control 102 58. Facial expression, tone of voice, and the ability to "read between the lines" are best provided by what source of information? a. oral reports b. standardized tests c. written reports d. statistical reports e. personal observation (easy) 59. According to the text, in a time when quantitative information suggests objectivity, ______________ is often considered an inferior information source. a. oral reports b. standardized tests c. written reports d. statistical reports e. personal observation (easy) 60. What informational source used to measure performance has the disadvantages of being subject to personal bias and consuming a lot of time? a. standardized tests b. statistical reports c. personal observation (moderate) d. written reports e. oral reports 61. What type of information source used to measure performance may be construed by employees as obtrusive and may lead to feelings of mistrust? a. personal observation (easy) b. written reports c. oral reports d. statistical reports e. standardized tests 62. The widespread use of computers has led managers to rely increasingly on ______________ for measuring actual performance. a. oral reports b. standardized tests c. written reports d. statistical reports (moderate) e. personal observation 63. ______________ is (are) an effective information source for showing relationships but may ignore subjective factors. a. Oral reports b. Personal observation c. Standardized tests (moderate) d. Written reports e. Statistical reports 64. Which of the following is the best way to keep tabs on work performance in organizations where employees work in a virtual environment? a. Oral reports (moderate) b. Personal observation c. Standardized tests d. Written reports 103 e. Statistical reports 65. What type of information source allows for feedback, is fast, but historically has a problem of being unable to document information for later reference? a. oral reports (moderate) b. written reports c. statistical reports d. personal observation e. standardized tests 66. ______________ is (are) considered slow, easy to file and reference, and provide greater comprehensiveness and conciseness than oral reports. a. Personal observation b. Standardized tests c. Statistical reports d. Written reports (easy) e. Word-of-mouth reports 67. Which of the following is an accurate statement concerning utilization of different sources of information for performance measurement? a. In combination, personal observation and written reports are considered superior to other methods. b. Statistical reports are the single most effective method. c. Managers should use as many as three different methods when possible. d. Managers should use all four methods, if possible. (moderate) e. It is not advised to utilize oral reports and personal observation as dual methods. 68. Regarding the control process, what is measured is ______________ than how we measure it. a. less important b. equally important c. much less important d. more important (easy) e. five times more important 69. Which of the following is NOT an example of what can be measured in the control process? a. turnover b. personal observation (moderate) c. absenteeism d. defects e. employee satisfaction 70. In the control process, when a manager cannot find an objective and measurable performance indicator he/she should ______________. a. not measure the factor. b. use the most appropriate objective indicator. c. use a subjective indicator. (difficult) d. use an objective indicator, but measure it several times to ensure reliability. e. ignore the control function all together. 71. The ______________ step determines the degree of variation between actual performance and the standard. a. directing b. comparing (moderate) c. reliability d. validity e. objective 104 72. Range of variation is a concept that is important in what management function? a. controlling (difficult) b. leading c. planning d. organizing e. structuring 73. The third and final step in the control process is ______________. a. measuring actual performance b. changing the standard c. taking managerial action (moderate) d. comparing actual against the standard 74. In the control process, changing strategy is an example of what course of action? a. do nothing b. following competitors c. correcting actual performance (moderate) d. changing standards e. determining standards 75. In the control process, what type of corrective action asks questions of "why" and "how" performance has deviated? a. immediate corrective action b. cognitive corrective action c. strategic corrective action d. planned corrective action e. basic corrective action (moderate) 76. In the control process, constantly "putting out fires" relates to what type of corrective action? a. planned corrective action b. strategic corrective action c. cognitive corrective action d. immediate corrective action e. basic corrective action (moderate) 77. In the control process, if "Cool Ranch" flavored Doritos chips are consistently selling more than was predicted, what type of managerial action would be warranted? a. immediate corrective action b. revise the standard (difficult) c. basic corrective action d. increase the range of variation e. decrease the range of variation 78. In the control process, if employees are constantly not meeting their sales quotas, what managerial action may be warranted? a. fire the employees b. retrain the employees, but never lower the standard c. lower the standard (moderate) d. take immediate corrective action e. increase the range of variation 105 79. Which of the following is NOT true concerning the control process? a. Standards evolve out of objectives. b. Doing nothing is an acceptable management course of action. c. Revising the standard may be necessary when product demand changes. d. When standards are not met, attacking the standard is typically the first employee reaction. e. The control process is a linear flow. (moderate) TYPES OF CONTROL 80. Which of the following is NOT mentioned in the text as a type of control? a. cross sectional control (moderate) b. feedforward control c. concurrent control d. feedback control 81. What type of control prevents anticipated problems? a. feedback control b. projected control c. feedforward control (moderate) d. definitional control e. concurrent control 82. Changing the oil and filter on your car every 3,000 miles is an example of what kind of control? a. concurrent control b. feedforward control (moderate) c. definitional control d. feedback control e. projected control 83. Which of the following types of control prevents anticipated problems since it takes place in advance of the actual activity? a. definitional control b. projected control c. concurrent control d. feedback control e. feedforward control (moderate) 84. What type of control is most desirable? a. definitional control b. projected control c. concurrent control d. feedback control e. feedforward control (moderate) 85. What type of control is concerned with input? a. feedback control b. projected control c. definitional control d. feedforward control (moderate) e. concurrent control 106 86. What type of control takes place while the activity is in progress, such as direct supervision? a. feedforward control b. concurrent control (moderate) c. definitional control d. feedback control e. projected control 87. What type of control can prevent ongoing problem situations from becoming too costly? a. concurrent control (moderate) b. definitional control c. feedforward control d. feedback control e. projected control 88. According to the text, the best-known form of ______________ is direct supervision. a. definitional control b. projected control c. concurrent control (moderate) d. feedback control e. feedforward control 89. What type of control is most popular? a. feedforward control b. feedback control (moderate) c. projected control d. concurrent control e. definitional control 90. The major drawback of ______________ is that by the time the manager has the information, the problems have already occurred leading to waste or damage? a. definitional control b. projected control c. concurrent control (moderate) d. feedback control e. feedforward control 91. Financial statements are an example of what type of control? a. concurrent control b. definitional control c. feedback control (moderate) d. projected control e. feedforward control THINKING CRITICALLY ABOUT ETHICS 92. According to the boxed feature, “Thinking Critically About Ethics,” Eric McKenzie devised a workplace policy that employees only have to tell their supervisors about their actions if they take home more than ______________ of office supplies in a week. a. $3 (moderate) b. $23 c. $53 d. $73 e. $103 107 93. What type of control provides information on planning effort effectiveness and can enhance employee motivation? a. concurrent control b. definitional control c. feedforward control d. feedback control (moderate) e. projected control 94. What control system quality reflects whether the system is reliable and produces valid data? a. timeliness b. accuracy (easy) c. understandability d. flexibility e. multiple criteria 95. If a control system can change as the times and conditions of the organization change, it would be considered a(n) ______________ control system. a. accurate b. understandable c. flexible (moderate) d. strategic e. corrective 96. If an organization placed a control on maintenance costs that is .01 percent of operating costs but did not place a control on cost of raw goods that is 30 percent of costs, they would be failing on what quality of an effective control system? a. flexibility b. economy c. accuracy d. reasonable criteria e. strategic placement (difficult) 97. ______________ must be used as a characteristic in a control system because managers cannot control all activities. a. Responsible criteria b. Multiple criteria c. Emphasis on the exception (moderate) d. Accuracy e. Understandability 98. "If-then guidelines" are part of what quality of an effective control system? a. corrective action (moderate) b. strategic placement c. accuracy d. economy e. flexibility 99. According to the text, which of the following is NOT mentioned as a contingency factor that will affect the design of an organization’s control system? a. The location of the organization. (moderate) b. The size of the organization c. One’s position and level in the organizational hierarchy. d. Level in hierarchy. e. Importance of an activity. 108 100. Which of the following is true about adjusting controls for national differences? a. The control process should be identical across all organizational geographic areas. b. All cultures tend to respond similarly to control systems. c. Managers of foreign operations tend to be less closely controlled by the home office. d. Technologically advanced nations tend to use indirect control devices. (difficult) e. Less technologically advanced nations tend to be highly decentralized. MANAGING IN AN E-BUSINESS WORLD 101. According to the boxed feature, “Managing in an E-business World,” which of the following is NOT mentioned as important controlling issue that managers in e-businesses have to deal with? a. duplication of effort b. distractions at work (moderate) c. employee motivation d. employee absenteeism 102. According to the text, it is estimated that ___________ of all companies use monitoring software of some type. a. 25 percent b. 37 percent c. 45 percent (moderate) d. 57 percent e. 75 percent 103. Which of the following forms of electronic monitoring is the most commonly used among employers? a. store and review employee e-mail messages b. store and review computer files c. track telephone calls (moderate) d. log computer time and keystrokes entered e. record and review telephone conversations 104. All of the following are considered examples of concurrent control measures used for deterring or reducing employee theft or fraud EXCEPT: a. involving employees in writing policies (moderate) b. use video surveillance equipment if conditions warrant c. install “lock-out” options on computers, telephones, and e-mail d. use corporate hotlines for reporting incidences e. set a good example 105. Which of the following control measures for deterring or reducing workplace violence is considered a feedback control measure? a. careful pre-hiring screening b. never ignore threats c. clearly communicate policies to employees d. review company policies and change, if necessary e. be a good role model in how you treat others 109 Scenarios and Questions Types of Control (Scenario) Sliders Ice Cream, in order to be successful, had to have polite, effective customer relations. While they knew their product was good, the relationships their employees built with the customers would result in repeat customers. In order to do this, they tried several options. First, they implemented a customer suggestion box and provided customers with cards asking them for their opinions of the service they had received. They also tried having managers closely observe their employees' behavior and provide suggestion to employees on how to best handle difficult situations. Finally, they decided to implement a training program during new employee orientation. And, they had considered installing hidden cameras to observe employee behavior while management was not around but, in the end, decided against it. 115. The customer suggestion and comment cards are considered a form of ______________ control. a. concurrent b. feedback (moderate) c. anticipatory d. covert e. feedforward 116. The training program Sliders implemented is considered a form of ______________ control. a. concurrent b. feedback c. anticipatory d. covert e. feedforward (moderate) 117. Having management observe and correct employee behavior when it happens is a form of ______________ control. a. concurrent (moderate) b. feedback c. anticipatory d. covert e. feedforward Essay Questions 121. In a short essay, define control and list and discuss the three different approaches to designing control systems. Answer Control is the process of monitoring activities to ensure that they are being accomplished as planned and or correcting any significant deviations. An effective control system ensures that activities are completed in ways that lead to the attainment of the organization’s goals. The criterion that determines the effectiveness of a control system is how well it facilitates goal achievement. The more it helps managers achieve their organization’s goals, the better the control system. The three different approaches to designing control systems are: a. Market control - an approach to control that emphasizes the use of external mechanisms, such as price competition and relative market share, to establish the standards used in the control system. This approach is typically used by organizations in which the firm’s products or services are clearly specified and distinct and where there’s considerable marketplace competition. b. Bureaucratic control - emphasizes organizational authority and relies on administrative rules, regulations, procedures, and policies. This type of control depends on standardization of activities, 110 well-defined job descriptions, and other administrative mechanisms, such as budgets, to ensure that employees exhibit appropriate behaviors and meet performance standards. c. Clan control - employee behaviors are regulated by the shared values, norms, traditions, rituals, beliefs, and other aspects of the organization’s culture. Whereas bureaucratic control is based on strict hierarchical mechanisms, clan control is dependent on the individual and the group (or clan) to identify appropriate and expected behaviors and performance measures. (difficult) 123. In a short essay, list and discuss the three separate and distinct steps in the control process. Answer a. Measuring – to determine what actual performance is, a manager must acquire information about it. The first step in control, then, is measuring. Most jobs and activities can be expressed in tangible and measurable terms. When a performance indicator can’t be stated in quantifiable terms, managers should look for and use subjective measures. Of course, any analysis or decisions based on subjective criteria should recognize the limitations of such information. b. Comparing – this step determines the degree of variation between actual performance and the standard. Some variation in performance can be expected in all activities. It is critical, therefore, to determine the acceptable range of variation. Deviations that exceed this range become significant and need the manager’s attention. In the comparison stage, managers are particularly concerned with the size and direction of the variation. c. Taking managerial action – the third and final step in the control process is taking managerial action. Managers can choose among three possible courses of action: they can do nothing; they can correct the actual performance; or they can revise the standards. If the source of the performance variation is unsatisfactory work, the manager will want to take corrective action. It’s also possible that the variance was a result of an unrealistic standard. In such cases, it’s the standard that needs corrective attention, not the performance. (moderate) 126. In a short essay, define and discuss feedforward, concurrent, and feedback controls. Include a specific example of each to support your answer. Answer a. Feedforward control – the most desirable type of control that prevents anticipated problems since it takes place in advance of the actual activity. It is future directed. For example, when McDonald’s opened its first restaurant in Moscow, it sent company quality control experts to help Russian farmers learn techniques for growing high-quality potatoes and baker to learn processes for baking high-quality breads. McDonald’s implemented these steps because the company strongly emphasizes product quality no matter the geographical location. The key to feedforward controls is taking managerial action before a problem occurs. b. Concurrent control – takes place while an activity is in progress. When control is enacted while the work is being performed, management can correct problems before they become too costly. The bestknown form of concurrent control is direct supervision. When a manager directly oversees the actions of employees, the manager can concurrently monitor their actions and correct problems as they occur. Problems can usually be addressed before much resource waste or damage has been done. Many organizational quality programs rely on concurrent controls to inform workers if their work output is of sufficient quality to meet standards. c. Feedback control – the most popular type of control relies on feedback. The control takes place after the activity is done. Feedback that indicates little variance between standard and actual performance is evidence that the planning was generally on target. If the deviation is significant, a manager can use that information when formulating new plans to make them more effective. Feedback control can also enhance employee motivation. People want information on how well they have performed. Feedback control provides that information. (difficult) 111