Chapter 1 Introduction to Management and Organizations

True/False Questions
The four contemporary functions of management are planning, organizing, leading, and controlling
True !easy"
#ffecti$eness refers to the relationship %et&een inputs and outputs
False !moderate"
#fficiency is often referred to as 'doing things right'
True !moderate"
(hen managers meet organizational goals, they are efficient and effecti$e
False !difficult"
)ccording to Mintz%erg*s management roles, the informational role in$ol$es recei$ing, collecting, and disseminating
information
True !moderate"
Technical s+ills %ecome less important as a manager mo$es into higher le$els of management
True !moderate"
The systems perspecti$e underscores and emphasizes the fact that organizations are different, face different
circumstances, and thus may re,uire different &ays of managing
False !moderate"
Multiple Choice
------------- are organizational mem%ers &ho integrate and coordinate the &or+ of others
a Managers !easy"
% Team leaders
c .u%ordinates
d Operati$es
e )gents
Typically, in organizations it is the ------------- &ho are responsi%le for ma+ing organizational decisions and
setting policies and strategies that affect all aspects of the organization
a team leaders
% middle managers
c first/line managers
d top managers !easy"
e su%ordinates
------------- distinguishes a managerial position from a nonmanagerial one
a Manipulating others
% Concern for the la&
c Increasing efficiency
d Coordinating and integrating others0 &or+ !moderate"
e 1efining mar+et share
(hich of the follo&ing is 2OT an e3ample of a decisional role according to Mintz%erg4
a spo+esperson !moderate"
% entrepreneur
c distur%ance handler
d resource allocator
e negotiator
(hich of the follo&ing s+ills are more important at lo&er le$els of management since these managers are dealing
directly &ith employees doing the organization*s &or+4
a human s+ills
% technical s+ills !easy"
c conceptual s+ills
d empirical s+ills
5nderstanding %uilding codes &ould %e considered a ------------- s+ill for a %uilding contractor
a human
% technical !easy"
c conceptual
d empirical
1
e functional
(hich of the follo&ing phrases is %est associated &ith managerial conceptual s+ills4
a decision/ma+ing !easy"
% communicating &ith customers
c moti$ating su%ordinates
d product +no&ledge
e technical s+ills
)ccording to the te3t, ------------- are not influenced %y and do not interact &ith their en$ironment
a open systems
% closed systems !easy"
c fle3time systems
d re$erse systems
e for&ard systems
The ------------- $ie& of a manager0s 6o% implies that decisions and actions ta+en in one organizational area &ill
impact other areas
a systems !moderate"
% contingency
c conceptual
d functional
e en$ironmental
(hich of the follo&ing %est descri%es the concept that management is needed in all types and sizes of organizations,
at all organizational le$els and in all organizational &or+ areas, and in all organizations, no matter &hat country
they*re located in4
a the partiality of management
% the segmentation of management
c the uni$ersality of management !moderate"
d the cultures of management
.cenarios and Questions
The 7usy 1ay !.cenario"
1on #s+e&, plant manager at Control .ystems, Inc, sighed as he sipped his first cup of coffee at 8 am and read his
agenda for the day 9e is gi$ing t&o company tours in the morning: the first to a ne&spaper reporter &ho is &riting a
story on the ne& plant e3pansion and has se$eral ,uestions, and the second to a group of Control .ystems, Inc,
managers from the east coast 9e then has a meeting &ith unit manager, ;hil <ohnson, to discuss ;hil0s recent drop in
performance !a tas+ he al&ays hates" 2e3t, he is spending a couple of hours re$ie&ing the trade 6ournals he recei$es
from his high/tech association and &riting up a %rief synopsis for his presentation ne3t &ee+ to the 1i$ision ;resident
Finally, in late afternoon, he &ill %e re$ie&ing the ne& e,uipment malfunction and deciding &hether to %ring in e3tra
people to get the e,uipment running as soon as possi%le (he&= <ust another day in the glamorous life of a manager
Together, all of these %eha$iors performed %y 1on during his %usy day correspond to the management roles
disco$ered in the late 1>?@s %y &hich of the follo&ing management scientists4
a 9erz%erg
% .+inner
c Mintz%erg !easy"
d Fayol
e Maslo&
(hen 1on &as meeting &ith ;hil to discuss his performance concerns, he &as operating in &hich management role4
a leader !difficult"
% figurehead
c monitor
d distur%ance handler
e spo+esperson
11A (hat role &as 1on performing &hen he ga$e the plant tour to the ne&spaper reporter4
a monitor
% figurehead
c disseminator
d spo+esperson !difficult"
e resource allocator
118 (hen 1on &as re$ie&ing the ne& e,uipment malfunction, &hat management role &as he playing &hen
deciding &hether to %ring in e3tra people4
B
a monitor
% disseminator
c resource allocator !moderate"
d distur%ance handler
e figurehead
#ssay Questions
In a short essay, discuss the difference %et&een efficiency and effecti$eness and include a specific e3ample to support
each concept
)ns&er
a #fficiency refers to getting the most output from the least amount of inputs 7ecause managers deal &ith
scarce inputsCincluding resources such as people, money, and e,uipmentCthey are concerned &ith the
efficient use of resources For instance, at the 7eiersdorf Inc factory in Cincinnati, &here employees ma+e
%ody %races and supports, canes, &al+ers, crutches, and other medical assistance products, efficient
manufacturing techni,ues &ere implemented %y doing things such as cutting in$entory le$els, decreasing
the amount of time to manufacture products, and lo&ering product re6ect rates From this perspecti$e,
efficiency is often referred to as Ddoing things rightECthat is, not &asting resources
% #ffecti$eness is often descri%ed as Ddoing the right thingsECthat is, those &or+ acti$ities that &ill help the
organization reach its goals For instance, at the 7iersdorf factory, goals included open communication
%et&een managers and employees, and cutting costs Through $arious &or+ programs, these goals &ere
pursued and achie$ed (hereas efficiency is concerned &ith the means of getting things done,
effecti$eness is concerned &ith the ends, or attainment of organizational goals
!moderate"
In a short essay, list and e3plain the four %asic functions of management
)ns&er
a ;lanning in$ol$es the process of defining goals, esta%lishing strategies for achie$ing those goals, and
de$eloping plans to integrate and coordinate acti$ities
% Organizing in$ol$es the process of determining &hat tas+s are to %e done, &ho is to do them, ho& the
tas+s are to %e grouped, &ho reports to &hom, and &here decisions are to %e made
c Feading &hen managers moti$ate su%ordinates, influence indi$iduals or teams as they &or+, select the
most effecti$e communication channel, or deal in any &ay &ith employee %eha$ior issues, they are leading
d Controlling to ensure that &or+ is going as it should, managers must monitor and e$aluate performance
The process of monitoring, comparing, and correcting is &hat is meant %y the controlling function
!moderate"
In a short essay, list and discuss the three essential s+ills according to Gatz that managers need to perform the duties
and acti$ities associated &ith %eing a manager
)ns&er
a Technical s+ills include +no&ledge of an proficiency in a certain specialized field, such as engineering,
computers, accounting, or manufacturing These s+ills are more important at lo&er le$els of management
since these managers are dealing directly &ith employees doing the organization*s &or+
% 9uman s+ills in$ol$e the a%ility to &or+ &ell &ith other people %oth indi$idually and in a group
Managers &ith good human s+ills are a%le to get the %est out of their people They +no& ho& to
communicate, moti$ate, lead, and inspire enthusiasm and trust These s+ills are e,ually important at all
le$els of management
c Conceptual s+ills these are the s+ill that managers must ha$e to thin+ and to conceptualize a%out a%stract
and comple3 situations 5sing these s+ills, managers must %e a%le to see the organization as a &hole,
understand the relationships among $arious su%units, and $isualize ho& the organization fits into its %roader
en$ironment These s+ills are most important at the top management le$els
!moderate"
Chapter B Management Hesterday and Today
True/False
)ccording to )dam .mith, di$ision of la%or &as an important concept
I
True !easy"
In the Industrial Je$olution, machine po&er %egan su%stituting for human po&er
True !easy"
D;rinciples of .cientific ManagementE &as &ritten %y Frederic+ Taylor
True !moderate"
Fran+ Kil%reth*s %est/+no&n contri%ution to scientific management concerned selecting the %est &or+er
False !moderate"
Frederic+ Taylor is most associated &ith the principles of scientific management
True !easy"
One could say that Fayol &as interested in studying macro management issues, &hereas Taylor &as interested in
studying micro management issues
True !moderate"
7ureaucracy, as descri%ed %y (e%er, emphasizes rationality and interpersonal relationships
False !moderate"
1ecisions on determining a company*s optimum in$entory le$els ha$e %een significantly influenced %y economic
order ,uantity modeling
True !moderate"
7arnard, Follet, Muster%erg, and O&en are all theorists are associated &ith the early organizational %eha$ior
approach
True !moderate"
Multiple Choice
)dam .mith0s, 'The (ealth of 2ations,' put forth that the primary economic ad$antage %y societies &ould %e gained
from &hich of the follo&ing concepts4
a management planning and control
% on/the/6o% training
c union representation
d fair employment legislation
e di$ision of la%or !difficult"
(hich of the follo&ing is not one of the four management approaches that gre& out of the first half of this century4
a scientific management
% general administrati$e
c organizational %eha$ior
d systems approach !easy"
e ,uantitati$e
)ccording to the te3t, pro%a%ly the %est/+no&n e3ample of Taylor*s scientific management &as the --------------
e3periment
a horse shoe
% pig iron !moderate"
c %lue collar
d fish tan+
(hich of the follo&ing is 2OT one of Taylor*s four principles of management4
a 1e$elop a science for each element of an indi$idual*s &or+, &hich &ill replace the old rule/of/thum%
method
% .cientifically select and then train, teach, and de$elop the &or+er
c 9eartily cooperate &ith the &or+ers so as to ensure that all &or+ is done in accordance &ith the principles
de$eloped
d ;ro$ide managers &ill less &or+ than other employees so the managers can plan accordingly !difficult"
Keneral administrati$e theory focuses on
a the entire organization !easy"
% managers and administrators
c the measurement of organizational design relationships
d primarily the accounting function
e administrati$e issues affecting non/managerial employees
A
The fourteen principles of management are associated &ith &hom4
a (e%er
% 1ruc+er
c Taylor
d Kil%reth
e Fayol !moderate"
(hich of the follo&ing approaches to management has also %een la%eled operations research or management
science4
a The ,ualitati$e approach
% The ,uantitati$e approach !easy"
c The e3perimental approach
d The theoretical approach
(hich of the follo&ing &ould not %e associated &ith the ,uantitati$e approach to management4
a information models
% critical/path scheduling
c systematic moti$ation of indi$iduals !moderate"
d linear programming
e statistics
(ithout ,uestion, the most important contri%ution to the de$eloping field of organizational %eha$ior came out of the
---------------
a Taylor .tudies
% ;orter .tudies
c ;ar+er .tudies
d 9a&thorne .tudies !moderate"
(hat scientist is most closely associated &ith the 9a&thorne .tudies4
a )dams
% Mayo !easy"
c Fa&ler
d 7arnard
e Follett
One outcome of the 9a&thorne studies could %e descri%ed %y &hich of the follo&ing statements4
a .ocial norms are the +ey determinants of indi$idual &or+ %eha$ior !moderate"
% Money is more important than the group on indi$idual producti$ity
c 7eha$ior and employee sentiments are in$ersely related
d .ecurity is relati$ely unimportant
e (hile groups are an important determinant of &or+er producti$ity, the indi$idual him/herself is most
important
.cenarios and Questions
9I.TOJIC)F 7)CGKJO521 OF M)2)K#M#2T
) Foo+ 7ac+ !.cenario"
Cindy .chultz, tired from &or+ing &ith customers all day, decided to ta+e a fifteen/minute nap to help clear her head
%efore the AL18 managers0 meeting 9er company had recently %egun a re/engineering process as &ell as other
changes re,uiring copious management input )s she leaned %ac+ in her chair, she &ondered if management science
had al&ays %een this &ay and ho& it all %egan )s she napped, she dreamed that, along &ith 'Mr ;ee%odi' as her
guide, she &as tra$eling in the 'Management (ay 7ac+ Machine' that too+ her %ac+ through management history
1@? One of the earliest sites Cindy $isited &as )dam .mith0s home, author of The Wealth of Nations, &hich
suggested that organizations and society &ould gain from
8
a time management
% di$ision of la%or !moderate"
c group &or+
d ,uality management
e time and motion studies
1@M Cindy $isited a %oo+store &here there &as a %oo+ signing occurring .he loo+ed do&n and sa& that the title of
the %oo+ &as Principles of Scientific Management and concluded that the author must %e
a )dam .mith
% Fran+ Kil%reth
c 9enry Kantt
d Frederic+ Taylor !easy"
e 9enri Fayol
1@N Cindy admired the &or+s of Taylor and Kil%reth, t&o ad$ocates of
a scientific management !moderate"
% organizational %eha$ior
c human resource management
d moti$ation
e leadership
1@> Cindy spent some time $isiting &ith ----------, a researcher she pre$iously +ne& little a%out %ut &ho also
contri%uted to management science %y %eing among the first to use motion picture films to study hand/and/
%ody motions and %y de$ising a classification scheme +no&n as a 'ther%lig'
a 9enry Kantt
% Ma3 (e%er
c Chester 7arnard
d Fran+ Kil%reth !moderate"
e Mary ;ar+er Follet
#ssay Questions
.CI#2TIFIC M)2)K#M#2T
In a short essay, discuss Frederic+ Taylor*s &or+ in scientific management 2e3t, list Taylor*s four principles of
management
)ns&er
Frederic+ Taylor did most of his &or+ at the Mid$ale and 7ethlehem .teel Companies in ;ennsyl$ania )s a
mechanical engineer &ith a Qua+er and ;uritan %ac+ground, he &as continually appalled %y &or+ers*
inefficiencies #mployees used $astly different techni,ues to do the same 6o% They &ere inclined to Dta+e it
easyE on the 6o%, and Taylor %elie$ed that &or+er output &as only a%out one/third of &hat &as possi%le
Oirtually no &or+ standards e3isted (or+ers &ere placed in 6o%s &ith little or no concern for matching their
a%ilities and aptitudes &ith the tas+s they &ere re,uired to do Managers and &or+ers &ere in continual
conflict Taylor set out to correct the situation %y applying the scientific method to shop floor 6o%s 9e spent
more than t&o decades passionately pursuing the Done %est &ayE for each 6o% to %e done
Taylor*s Four ;rinciples of Management
a 1e$elop a science for each element of an indi$idual*s &or+, &hich &ill replace the old rule/of/thum%
method
% .cientifically select and then train, teach, and de$elop the &or+er
c 9eartily cooperate &ith the &or+ers so as to ensure that al &or+ is done in accordance &ith the principles
of the science that has %een de$eloped
?
d 1i$ide &or+ and responsi%ility almost e,ually %et&een management and &or+ers Management ta+es o$er
all &or+ for &hich it is %etter fitted than the &or+ers
!difficult"
1BB In a short essay, discuss the &or+ in scientific management %y Fran+ and Fillian Kil%reth
)ns&er
Fran+ Kil%reth is pro%a%ly %est +no&n for his e3periments in %ric+laying 7y carefully analyzing the
%ric+layer*s 6o%, he reduced the num%er of motions in laying e3terior %ric+ from 1N to a%out 8, and on laying
interior %ric+ the motions &ere reduced from 1N to B 5sing the Kil%reth*s techni,ues, the %ric+layer could %e
more producti$e and less fatigued at the end of the day The Kil%reths &ere among the first researchers to use
motion pictures to study hand/and/%ody motions and the amount of time spent doing each motion (asted
motions missed %y the na+ed eye could %e identified and eliminated The Kil%reths also de$ised a classification
scheme to la%el 1M %asic hand motions, &hich they called ther%ligs This scheme allo&ed the Kil%reths a more
precise &ay of analyzing a &or+er*s e3act hand mo$ements
!moderate"
K#2#J)F )1MI2I.TJ)TIO# T9#OJI.T.
1BI In a short essay, discuss the &or+ of 9enri Fayol as it relates to the general administrati$e approach to
management 2e3t list and discuss se$en of Fayol*s fourteen principles of management
)ns&er
Fayol descri%ed the practice of management as something distinct from accounting, finance, production,
distri%ution, and other typical %usiness functions 9e argued that management &as an acti$ity common to all
human endea$ors in %usiness, go$ernment, and e$en in the home 9e then proceeded to state 1A principles of
managementCfundamental rules of management that could %e taught in schools and applied in all
organizational situations
Fayol*s Fourteen ;rinciples of Management
a 1i$ision of &or+ specialization increases output %y ma+ing employees more efficient
% )uthority managers must %e a%le to gi$e orders )uthority gi$es them this right )long &ith authority,
ho&e$er, goes responsi%ility
c 1iscipline employees must o%ey and respect the rules that go$ern the organization
d 5nity of command e$ery employee should recei$e orders from only one superior
e 5nity of direction the organization should ha$e a single plan of action to guide managers and &or+ers
f .u%ordination of indi$idual interests to the general interest the interests of any one employee or group of
employees should not ta+e precedence o$er the interests of the organization as a &hole
g Jemuneration &or+ers must %e paid a fair &age for their ser$ices
h Centralization this term refers to the degree to &hich su%ordinates are in$ol$ed in decision ma+ing
i .calar chain the line of authority from top management to the lo&est ran+s in the scalar chain
6 Order people and materials should %e in the right place at the right time
+ #,uity managers should %e +ind and fair to their su%ordinates
l .ta%ility of tenure of personnel management should pro$ide orderly personal planning and ensure that
replacements are a$aila%le to fill $acancies
m Initiati$e employees &ho are allo&ed to originate and carry out plans &ill e3ert high le$els of effort
n #sprit de corps promoting team spirit &ill %uild harmony and unity &ithin the organization
!difficult"
M
1BA In a short essay, discuss Ma3 (e%er*s contri%ution to the general administrati$e approach to management
)ns&er
Ma3 (e%er &as a Kerman sociologist &ho studied organizational acti$ity (riting in the early 1>@@s, he
de$eloped a theory of authority structures and relations (e%er descri%es an ideal type of organization he
called a %ureaucracyCa form or organization characterized %y di$ision of la%or, a clearly defined hierarchy,
detailed rules and regulations, and impersonal relationships (e%er recognized that this Dideal %ureaucracyE
didn*t e3ist in reality Instead he intended it as a %asis for theorizing a%out &or+ and ho& &or+ could %e done
in large groups 9is theory %ecame the model structural design for many or today*s large organizations
!easy"
TO()J1 521#J.T)21I2K OJK)2IP)TIO2)F 7#9)OIOJ
1B8 In a short essay, descri%e the 9a&thorne .tudies 2e3t, discuss the role of #lton Mayo in these studies and
some of the findings of his research
)ns&er
(ithout ,uestion, the most important contri%ution to the de$eloping O7 field came out of the 9a&thorne
.tudies, a series of studies conducted at the (estern #lectric Company (or+s in Cicero, Illinois These studies
&ere initially designed %y (estern #lectric industrial engineers as a scientific management e3periment They
&anted to e3amine the effect of $arious illumination le$els on &or+er producti$ity 7ased on their research, it
&as concluded that illumination intensity &as not directly related to group producti$ity In 1>BM, the (estern
#lectric engineers as+ed 9ar$ard professor #lton Mayo and his associates to 6oin the study as consultants
Through additional research, #lton Mayo concluded that %eha$ior affected indi$idual %eha$ior, that group
standards esta%lish indi$idual &or+er output, and that money is less a factor in determining output than are
group standards, group sentiments, and security These conclusions led to a ne& emphasis on the human
%eha$ior factor in the functioning of organizations and the attainment of their goals
!difficult"
C5JJ#2T TJ#21. )21 I..5#.
1B? In a short essay, define entrepreneurship and discuss the three import themes that stic+ out in this definition of
entrepreneurship
)ns&er
#ntrepreneurship is the process &here%y an indi$idual or a group of indi$iduals uses organized efforts and
means to pursue opportunities to create $alue and gro& %y fulfilling &ants and needs through inno$ation and
uni,ueness, no matter &hat resources are currently controlled It in$ol$es the disco$ery of opportunities and
the resources to e3ploit them Three important themes stic+ out in this definition of entrepreneurship First, is
the pursuit of opportunities #ntrepreneurship is a%out pursuing en$ironmental trends and changes that no one
else has seen or paid attention to The second important theme in entrepreneurship is inno$ation
#ntrepreneurship in$ol$es changing, re$olutionizing, transforming, and introducing ne& approachesCthat is,
ne& products or ser$ices of ne& &ays of doing %usiness The final important theme in entrepreneurship is
gro&th #ntrepreneurs pursue gro&th They are not content to stay small or to stay the same in size
#ntrepreneurs &ant their %usinesses to gro& and &or+ $ery hard to pursue gro&th as they continually loo+ for
trends and continue to inno$ate ne& products and ne& approaches
!moderate"
N
1BM In a short essay, define e/%usiness and e/commerce 2e3t discuss the three categories of e/%usiness
in$ol$ement
)ns&er
#/%usiness !electronic %usiness" is a comprehensi$e term descri%ing the &ay an organization does its &or+ %y
using electronic Internet/%ased" lin+ages &ith its +ey constituencies !employees, managers, customers,
suppliers, and partners" in order to efficiently and effecti$ely achie$e its goals It*s more than e/commerce,
although e/%usiness can include e/commerce #/commerce !electronic commerce" is any form of %usiness
e3change or transaction in &hich the parties interact electronically The first category of e/%usiness
in$ol$ement an e/%usiness enhanced organization, a traditional organization that sets up e/%usiness capa%ilities,
usually e/commerce, &hile maintaining its traditional structure Many Fortune 8@@ type organizations are
e$ol$ing into e/%usinesses using this approach They use the Internet to enhance !not to replace" their
traditional &ays of doing %usiness )nother category of e/%usiness in$ol$ement is an e/%usiness ena%led
organization In this type of e/%usiness, an organization uses the Internet to perform its traditional %usiness
functions %etter, %ut not to sell anything In other &ords, the Internet ena%les organizational mem%ers to do
their &or+ more efficiently and effecti$ely There are numerous organizations using electronic lin+ages to
communicate &ith employees, customers, or suppliers and to support them &ith information The last category
of e/%usiness in$ol$ement is &hen an organization %ecomes a total e/%usiness Their &hole e3istence is made
possi%le %y and re$ol$es around the Internet
!moderate"
1BN In a short essay, discuss the need for inno$ation and fle3i%ility as it relates to the sur$i$al of today*s
organizations
)ns&er
Inno$ation has %een called the most precious capa%ility that any organization in today*s economy must ha$e
and nurture (ithout a constant flo& of ne& ideas, an organization is doomed to o%solescence of e$en &orse,
failure In a sur$ey a%out &hat ma+es an organization $alua%le, inno$ation sho&ed up at the top of the list
There is a%solutely no dou%t that inno$ation is crucial )nother demand facing today*s organizations and
managers is the need for fle3i%ility In a conte3t &here customers* needs may change o$ernight, &here ne&
competitors come and go at %reathta+ing speed, and &here employees and their s+ills are shifted as needed
from pro6ect to pro6ect, one can see ho& fle3i%ility might %e $alua%le
!easy"
1B> In a short essay, discuss the concept of total ,uality management and the si3 characteristics that descri%e this
important concept
)ns&er
) ,uality re$olution s&ept through %oth the %usiness and pu%lic sectors during the 1>N@s and 1>>@s The
generic term used to descri%e this re$olution &as total ,uality management, or TQM for short It &as inspired
%y a small group of ,uality e3perts, the most famous %eing ( #d&ards 1eming and <oseph M <uran TQM is
a philosophy of management dri$en %y continual impro$ement and responding to customer needs and
e3pectations The o%6ecti$e is to create an organization committed to continuous impro$ement in &or+
processes TQM is a departure from earlier management theories that &ere %ased on the %elief that lo& costs
&ere the only road to increased producti$ity
The .i3 Characteristics of Total Quality Management
>
a Intense Focus on the customer the customer includes not only outsiders &ho %uy the organization*s
products or ser$ices %ut also internal customers !such as shipping or accounts paya%le personnel" &ho
interact &ith and ser$e others in the organization
% Concern for continual impro$ement TQM is a commitment to ne$er %eing satisfied DOery goodE is not
good enough Quality can al&ays %e impro$ed
c ;rocess/focused TQM focuses on &or+ processes as the ,uality of goods and ser$ices is continually
impro$ed
d Impro$ement in the ,uality of e$erything the organization does TQM uses a $ery %road definition of
,uality It relates not only to the final product %ut also to ho& the organization handles deli$eries, ho&
rapidly it responds to complaints, and ho& politely the phones are ans&ered
e )ccurate measurement TQM uses statistical techni,ues to measure e$ery critical $aria%le in the
organization*s operations These are compared against standards or %enchmar+s to identify pro%lems, trace
them to their roots, and eliminate their causes
f #mpo&erment of employees TQM in$ol$es the people on the line in the impro$ement process Teams
are &idely used in TQM programs as empo&erment $ehicles for finding and sol$ing pro%lems
!difficult"
1I@ In a short essay, descri%e the learning organization and discuss the concept of +no&ledge management
)ns&er
Today*s managers confront an en$ironment &here change ta+es place at an unprecedented rate Constant
inno$ations in information and computer technologies com%ined &ith the glo%alization of mar+ets ha$e created
a chaotic &orld )s a result, many of the past management guidelines and principles no longer apply
.uccessful organizations of the t&enty/first century must %e a%le to learn and respond ,uic+ly, and &ill %e led
%y managers &ho can effecti$ely challenge con$entional &isdom, manage the organization*s +no&ledge %ase,
and ma+e needed changes In other &ords, these organizations &ill need to %e learning organizations )
learning organization is one that has de$eloped the capacity to continuously learn, adapt, and change ;art of a
manager*s responsi%ility in fostering an en$ironment conducing to learning is to create learning capa%ilities
throughout the organizationCfrom lo&est le$el to highest le$el and in all areas Gno&ledge management
in$ol$es culti$ating a learning culture &here organizational mem%ers systematically gather +no&ledge and
share it &ith others in the organization so as to achie$e %etter performance
!moderate"
Chapter I Organizational Culture
In the sym%olic $ie& of management, managers are seen as directly responsi%le for an organization0s success or
failure
False !easy"
The current dominant assumption in management theory suggests managers are omnipotent
True !moderate"
)n organizational culture refers to a system of shared meaning
True !moderate"
Organizational culture is a perception, not reality
True !moderate"
.trong cultures ha$e more influence on employees than &ea+ ones
True !moderate"
)n organization0s founder has little influence on its culture
False !moderate"
The lin+ %et&een $alues and managerial %eha$ior is fairly straightfor&ard
1@
True !moderate"
Multiple/Choice Questions
(hat $ie& suggests that managers are directly responsi%le for an organization0s success or failure4
a .ym%olic $ie& of management
% )utocratic $ie& of management
c Omnipotent $ie& of management !moderate"
d Finear $ie& of management
e Quality $ie& of management
Organizational culture is similar to an indi$idual0s -------------
a s+ills
% personality !easy"
c moti$ation
d a%ility
e +no&ledge
(hich of the follo&ing phrases is associated &ith the definition of organizational culture4
a Indi$idual response
% .hared meaning !easy"
c 1i$ersity of thought
d #3plicit directions
e Internal gro&th
The organizational ------------- is !are" a system of shared meaning held %y mem%ers that distinguish!es" the
organization from other organizations
a culture !easy"
% $alues
c rituals
d structure
e hierarchy
(hich of the follo&ing is not implied %y your te3t0s definition of culture4
a Culture is a perception
% Indi$iduals tend to descri%e an organization0s culture in dissimilar terms !difficult"
c There is a shared aspect of culture
d Organizational culture is a descripti$e term
e Jesearch suggests se$en dimensions to an organization0s culture
Most organizations ha$e ------------ cultures
a $ery &ea+
% &ea+ to moderate
c moderate
d moderate to strong !moderate"
e strong to $ery strong
(hat is the original source of an organization0s culture4
a The organization0s industry
% The organization0s size
c The organization0s age
d The organization0s geographic location
e The organization0s founder !moderate"
------------- are repetiti$e se,uences of acti$ities that e3press and reinforce +ey $alues of the organization
a Jituals !easy"
% .tories
11
c .ym%ols
d Fanguage
e 9a%its
Organizational ------------- typically contain a narrati$e of significant e$ents or people
a stories !moderate"
% rituals
c organizational chart
d material sym%ols
e language
The lin+ %et&een organizational $alues and managerial %eha$ior is -------------
a uncertain
% fairly straightfor&ard !moderate"
c loose and difficult to see
d unimportant
e hidden
.cenarios and Questions
Corporate Ta+eo$er !.cenario"
Todd &or+s for .eaFan Tech, an en$ironmental consulting firm that has 6ust %een purchased %y Pere3, Inc, a
%iomedical research organization 7ased on his early encounters &ith the ne& upper management from Pere3, he feels
that .eaFan is a 'lo&er/+ey, friendlier' organization 9e is concerned that the ne& company &ill eliminate this
company*s old culture, and he does not li+e the prospects
1@? If you &ere tal+ing &ith Todd and as+ed him &hat the term culture meant, he &ould reply that, %asically, it is
a the formal rules of an organization
% the nationality of the &or+ers in the company
c a system of shared meaning !easy"
d a system that reflects di$ersity and respect for differences
e the non$er%al %eha$iors in an organization
1@M Todd is concerned &ith the degree to &hich managers focus on results or outcomes rather than techni,ues
and processes used to achie$e those outcomes 9e is concerned &ith -------------
a sta%ility
% aggressi$eness
c team orientation
d outcome orientation !moderate"
e people orientation
1@N Todd notices that management is $ery concerned &ith the effects of outcomes on people &ithin the
organization This is referred to as -------------
a sta%ility
% aggressi$eness
c team orientation
d outcome orientation
e people orientation !moderate"
1@> Todd is assessing the organization0s -------------, the degree to &hich organizational acti$ities emphasize
maintaining the status ,uo in contrast to gro&th
a sta%ility !moderate"
% aggressi$eness
c team orientation
d outcome orientation
e people orientation
1B
11@ Todd has %een learning the se$en dimensions of organizational culture (hich of the follo&ing is not one of
those se$en dimensions4
a .ta%ility
% )ggressi$eness
c Team orientation
d Outcome orientation
e Mem%er orientation !moderate"
Changing Organizational Culture !.cenario"
Mary has %een as+ed %y the company president to change the organizational culture to reflect the company0s ne&
organizational goals )s e3ecuti$e $ice president, she certainly understands the goals, %ut is really not sure she
understands &hat to do a%out the culture
111 Mary as+ed employees if they +ne& &hat constituted 'good employee %eha$ior' .he found that $ery fe&
understood and most had a $ariety of ideas This is one indication
a that her company has a strong culture
% that her company has a &ea+ culture !moderate"
c that her company has no culture
d that her company must ha$e high turno$er
e that her company must not %e producti$e
11B Mary also found out that in order to %uild a strong ne& culture, she should do all %ut &hich of the follo&ing4
a 5tilize their recruitment efforts
% 1e$elop socialization practices to %uild culture
c #ncourage a high turno$er rate
d 9a$e management ma+e e3plicit &hat is $alued in the organization !difficult"
e #ncourage employee commitment to organizational $alues
11I Mary &as surprised to find that most organizational culture strengths are
a &ea+
% &ea+ to moderate
c moderate to strong !moderate"
d strong
e $ery strong
e $aried
#ssay Questions
1BI In a short essay, identify and define the se$en dimensions that ma+e up an organization*s culture
)ns&er
a Inno$ation and ris+ ta+ingCdegree to &hich employees are encouraged to %e inno$ati$e and ta+e ris+s
% )ttention to detailCdegree to &hich employees are e3pected to e3hi%it precision analysis and attention to
detail
c Outcome orientationCdegree to &hich managers focus on results or outcomes rather than on ho& these
outcomes are achie$ed
d ;eople orientationCdegree to &hich management decisions ta+e into account the effects on people in the
organization
e Team orientationCdegree to &hich &or+ is organized around teams rather than indi$iduals
f )ggressi$enessCdegree to &hich employees are aggressi$e and competiti$e rather than cooperati$e
g .ta%ilityCdegree to &hich organizational decisions and actions emphasize maintaining the status ,uo
!difficult"
1B8 In a short essay, list and discuss the four most significant &ays in &hich culture is transmitted to employees
Include specific e3amples of each to support your ans&er
1I
)ns&er
a .toriesCorganizational stories typically contain a narrati$e of significant e$ents or people including such
things as the organization*s founders, rule %rea+ing, and reactions to past mista+es For instance, managers
at 2i+e feel that stories told a%out the company*s past help shape the future (hene$er possi%le, corporate
DstorytellersE !senior e3ecuti$es" e3plain the company*s heritage and tell stories that cele%rate people
getting things done These stories pro$ide prime e3amples that people can learn from
% JitualsCcorporate rituals are repetiti$e se,uences of acti$ities that e3press and reinforce the $alues of the
organization, &hat goals are most important, &hich people are important, and &hich are e3penda%le One
of the %est/+no&n corporate rituals is Mary Gay Cosmetics* annual meeting for its sales representati$es
)t the meeting, salespeople are re&arded for their success in achie$ing sales goals &ith an array of flashy
gifts including gold and diamond pins, furs, and pin+ Cadillacs This Dsho&E acts as a moti$ator %y
pu%licly ac+no&ledging outstanding sales performance
c Material sym%olsCthe layout of an organization*s facilities, dress attire, the types of automo%iles top
e3ecuti$es are pro$ided, and the a$aila%ility of corporate aircraft are e3amples of material sym%ols Others
include the size of offices, the elegance of furnishings, e3ecuti$e Dper+s,E the e3istence of employee
lounges or on/site dining facilities, and reser$ed par+ing spaces for certain employees These material
sym%ols con$ey to employees &ho is important, the degree of e,uality desired %y top management, and the
+inds of %eha$ior that are e3pected and appropriate
d FanguageCmany organizations and units &ithin organizations use language as a &ay to identify mem%ers
of a culture 7y learning this language, mem%ers attest to their acceptance of the culture and their
&illingness to help to preser$e it For instance, Microsoft has its o&n uni,ue $oca%ularyL D&or+ 6udoE !the
art of deflecting a &or+ assignment to someone else &ithout ma+ing it appear that you*re a$oiding it" and
Deating your o&n dog foodE !the strategy of using your o&n soft&are programs or products in the early
stages as a &ay of testing it e$en if the process is disagreea%le" O$er time, organizations often de$elop
uni,ue terms to descri%e e,uipment, +ey personnel, suppliers, customers, or products that are related to its
%usiness
!moderate"
Chapter 8 .ocial Jesponsi%ility and Managerial #thics
True/False Questions
8 The classical $ie& of organizational social responsi%ility is that management*s only social responsi%ility is to
ma3imize profits
True !moderate"
M In the socioeconomic $ie& of organizational social responsi%ility, ma3imizing profits is a company0s second
priority
True !moderate"
> .ocially responsi%le %usinesses tend to ha$e less secure long/run profits
False !difficult"
1B The difference %et&een an organization0s social o%ligation and social responsi$eness is the legal aspect
False !moderate"
1A Oalues/%ased management is an approach to managing in &hich managers esta%lish, promote, and practice an
organization0s shared $alues
True !easy"
18 Though the outcomes are not perfectly measured, the ma6ority of research studies sho& a positi$e relationship
%et&een corporate social in$ol$ement and economic performance
True !easy"
B@ The mar+et approach to going green is &hen organizations respond to multiple demands of sta+eholders
False !moderate"
B1 The acti$ist approach to going green is &hen an organization loo+s for &ays to respect and preser$e the earth
and its natural resources
True !moderate"
B8 #thics refers to the rules and principles that define right and &rong conduct
True !moderate"
B? In the rights $ie& of ethics, decision/ma+ers see+ to impose and enforce rules fairly and impartially
False !moderate"
BM The integrati$e social contracts theory proposes that decisions should %e made on the %asis of empirical and
normati$e factors
1A
True !difficult"
BN .tudies ha$e sho&n that most %usiness people continue to hold utilitarian attitudes to&ard ethical %eha$ior
True !moderate"
B> In the precon$entional stage of moral de$elopment, indi$iduals ma+e a clear effort to define moral principles
apart from the authority of the groups to &hich they %elong or society in general
False !moderate"
Multiple Choice
I8 (hich of the follo&ing is associated &ith the classical $ie& of social responsi%ility4
a economist Jo%ert Jeich
% concern for social &elfare
c stoc+holder financial return !moderate"
d $oluntary acti$ities
e ethical %eha$iors
IM The socioeconomic $ie& of corporate responsi%ility suggests that --------------
a stoc+holders are the only responsi%ility
% corporations are independent entities
c ma3imizing profits is the first priority &hile social responsi%ility is the second priority
d corporations are responsi%le to the state and its citizens !moderate"
e organizations ha$e an ethical %ut no legal responsi%ility to anyone e3cept stoc+holders
I> -------------- is defined as a %usiness firm*s o%ligation, %eyond that re,uired %y la& and economics, to
pursue long/term goals that are good for society
a .ocial o%ligation
% .ocial responsi%ility !moderate"
c .ocial screening
d Oalue/%ased management
e .ocial autonomy
8A (hich of the follo&ing terms refers to &hen a firm meets its economic and legal responsi%ilities4
a social responsi%ility
% social o%ligation !moderate"
c social responsi$eness
d social duty
e social standard
8M (hen a firm ad$ertises that it only uses recycled paper products, it is --------------
a meeting its social o%ligation
% meeting social responsi%ilities
c %eing socially responsi$e !difficult"
d paying attention to the %ottom line
e attempting to defraud consumers
8> One should %e cautious in the interpretation, %ut a summary of more than a dozen studies analyzing the
relationship %et&een organizational social responsi%ility and economic performance pro$ides &hat conclusion4
a 7eing socially responsi%le causes good economic performance
% Kood economic performance allo&s firms to %e socially responsi%le
c There is a positi$e relationship %et&een corporate social in$ol$ement and economic performance
!difficult"
d Corporate social in$ol$ement tends to de$alue stoc+ price in the long run
e Corporate social in$ol$ement tends to result in increased net income %ut lo&er stoc+ prices
a .ocial autonomy
?8 (hich of the follo&ing is true regarding shared corporate $alues4
a Indi$iduals adapt easily to shared corporate $alues
18
% Top management dictates shared corporate $alues
c It is not easy to esta%lish shared corporate $alues !moderate"
d Most corporations &ill %e una%le to successfully esta%lish shared corporate $alues
e .hared corporate $alues negati$ely impact team spirit
MB The -------------- approach to en$ironmental issues is &hen an organization o%eys rules and regulations
%ut e3hi%its little en$ironmental sensiti$ity
a legal !moderate"
% mar+et
c sta+eholder
d responsi%ility
e acti$ist
MA The -------------- approach to en$ironmental issues is &hen organizations respond to en$ironmental
preferences of their customers
a legal
% mar+et !moderate"
c sta+eholder
d responsi%ility
e acti$ist
M8 (hich of the follo&ing approaches to&ard en$ironmental issues e3hi%its the highest degree of en$ironmental
sensiti$ity and is a good illustration of social responsi%ility4
a legal approach
% mar+et approach
c sta+eholder approach
d acti$ist approach !moderate"
N1 (hich of the follo&ing is a %asic definition of ethics4
a moral guidelines for %eha$ior
% rules for ac+no&ledging the spirit of the la&
c rules or principles that define right and &rong conduct !moderate"
d principles for legal and moral de$elopment
e There is no &ay to define ethics
NA (hich of the follo&ing encourages efficiency and producti$ity and is consistent &ith the goal of profit
ma3imization4
a utilitarian $ie& !moderate"
% principled $ie&
c rights $ie&
d theory of 6ustice $ie&
e integrati$e social contracts theory
N8 The rights $ie& of ethics is %ased on &hich of the follo&ing4
a decisions %ased on their outcomes or conse,uences
% the imposition and enforcement of fair and impartial rules
c respect and protection of indi$idual li%erties and freedoms !moderate"
d the process used to determine the distri%ution of resources
e the e3isting ethical norms in industries and corporations
N? The theory of 6ustice $ie& of ethics is %ased on &hich of the follo&ing4
a the process used to determine the distri%ution of resources
% the e3isting ethical norms in industries and corporations
c decisions %ased on their outcomes or conse,uences
d the imposition and enforcement of fair and impartial rules !difficult"
e respect and protection of indi$idual li%erties and freedoms
NM The integrati$e social contracts theory of ethics is %ased on &hich of the follo&ing4
1?
a the process used to determine the distri%ution of resources
% decisions %ased on their outcomes or conse,uences
c the imposition and enforcement of fair and impartial rules
d the e3isting ethical norms in industries and corporations !difficult"
e respect and protection of indi$idual li%erties and freedoms
>B ) personality measure of a person0s con$ictions is --------------
a moral de$elopment
% ego strength !moderate"
c locus of control
d social desira%ility
e self/image
>I -------------- is a personality attri%ute that measures the degree to &hich people %elie$e they control their
o&n fate
a #go strength
% Focus of control !easy"
c .ocial responsi%ility
d .ocial o%ligation
e .ocial autonomy
>M (hich of the follo&ing is true concerning the impact of organizational culture on ethical %eha$ior4
a Fo& conflict tolerance leads to ethical %eha$ior
% ) strong culture &ill support high ethical standards !moderate"
c Conflict tolerance is related to unethical %eha$ior
d ) culture that is high in control tends to encourage unethical %eha$ior
e 2one of the a%o$e is true
1@A ) sur$ey of $arious codes of ethics found that their content tended to fall into all of the follo&ing categories
#QC#;TL
a %e a dependa%le and organizational citizen
% do not do anything unla&ful or improper that &ill harm the organization
c consider profit ma3imization to %e the primary focus of the company !moderate"
d %e good to customers
#ssay Questions
(9)T I. .OCI)F J#.;O2.I7IFITH4
1BB In short essay, discuss social responsi%ility and compare and contrast social o%ligation and social
responsi$eness
)ns&er
a .ocial responsi%ility adds an ethical imperati$e to do those things that ma+e society %etter and not to do
those that could ma+e it &orse ) social responsi%le organization goes %eyond &hat it must do %y la& or
chooses to do only %ecause it ma+es economic sense to do &hat it can to help impro$e society %ecause
that*s the right, or ethical, thing to do .ocial responsi%ility re,uires %usiness to determine &hat is right or
&rong and to ma+e ethical decisions and engage in ethical %usiness acti$ities ) social responsi%le
organization does &hat is right %ecause it feels it has a responsi%ility to act that &ay
% .ocial o%ligation is the o%ligation of a %usiness to meet its economic and legal responsi%ilities The
organization does the minimum re,uired %y la& Follo&ing an approach of social o%ligation, a firm
pursues social goals only to the e3tent that they contri%ute to its economic goals This approach is %ased
on the classical $ie& of social responsi%ility: that is, the %usiness feels its only social duty is to its
stoc+holders In contrast to social o%ligation, ho&e$er, %oth social responsi%ility and social responsi$eness
go %eyond merely meeting %asic economic and legal standards
c .ocial responsi$eness refers to the capacity of a firm to adapt to changing societal conditions The idea of
social responsi$eness stresses that managers ma+e practical decisions a%out the societal actions in &hich
1M
they engage ) socially responsi$e organization acts the &ay it does %ecause of its desire to satisfy some
popular social need .ocial responsi$eness is guided %y social norms The $alue of social norms is that
they can pro$ide managers &ith a meaningful guide for decision ma+ing
!moderate"
1B8 In a short essay, e3plain the four approaches that organizations can ta+e &ith respect to en$ironmental issues
)ns&er
The first approach simply is doing &hat is re,uired legallyL the legal approach 5nder this approach,
organizations e3hi%it little en$ironmental sensiti$ity They o%ey la&s, rules, and regulations &illingly and
&ithout legal challenge, and they may e$en try to use the la& to their o&n ad$antage, %ut that*s the e3tent of
their %eing green This approach is a good illustration of social o%ligationL These organizations simply are
follo&ing their legal o%ligations of pollution pre$ention and en$ironmental protection )s an organization
%ecomes more a&are of and sensiti$e to en$ironmental issues, it may adopt the mar+et approach In this
approach, organizations respond to the en$ironmental preferences of their customers (hate$er customers
demand in terms of en$ironmentally friendly products &ill %e &hat the organization pro$ides 5nder the ne3t
approach, the sta+eholder approach, the organization chooses to respond to multiple demands made %y
sta+eholders 5nder the sta+eholder approach, the green organization &ill &or+ to meet the en$ironmental
demands of groups such as employees, suppliers, or the community 7oth the mar+et approach and the
sta+eholder approach are good illustrations of social responsi$eness Finally, if an organization pursues an
acti$ist approach, it loo+s for &ays to respect and preser$e the earth and its natural resources The acti$ist
approach e3hi%its the highest degree of en$ironmental sensiti$ity and is a good illustration of social
responsi%ility
!moderate"
1B? In a short essay, descri%e the four/stage model of an organization*s e3panding social responsi%ility
)ns&er
) .tage 1 manager &ill promote stoc+holders* interests %y see+ing to minimize costs and ma3imize profits
)lthough all la&s and regulations &ill %e follo&ed, .tage managers do not feel o%ligated to satisfy other
societal needs This is consistent &ith Friedman*s classical $ie& of social responsi%ility )t .tage B, managers
&ill accept their responsi%ility to employees and focus on human resource concerns 7ecause they*ll &ant to
recruit, +eep, and moti$ate good employees, .tage B managers &ill impro$e &or+ing conditions, e3pand
employee rights, increase 6o% security, and the li+e )t .tage I, managers e3pand their responsi%ilities to other
sta+eholders in the specific en$ironmentCthat is, customers and suppliers .ocial responsi%ility goals of .tage
I managers include fair prices, high/,uality products and ser$ices, safe products, good supplier relations, and
similar actions Their philosophy is that they can meet their responsi%ilities to stoc+holders only %y meeting the
needs of their other constituents Finally, .tage A characterizes the e3treme socioeconomic definition of social
responsi%ility )t this stage, managers feel a responsi%ility to society as a &hole Their %usiness is seen as a
pu%lic entity, and they feel a responsi%ility for ad$ancing the pu%lic good The acceptance of such
responsi%ility means that managers acti$ely promote social 6ustice, preser$e the en$ironment, and support
social and cultural acti$ities They ta+e these stances e$en if such actions negati$ely affect profits
!moderate"
1BM In a short essay, discuss the four $ie&s of ethics Include a discussion of the %enefits and dra&%ac+s related to
each of the four $ie&s
)ns&er
a The utilitarian $ie& of ethics says that ethical decisions are made solely on the %asic of their outcomes or
conse,uences 5tilitarian theory uses a ,uantitati$e method for ma+ing ethical decisions %y loo+ing at
ho& to pro$ide the greatest good for the greatest num%er 5tilitarianism encourages efficiency and
producti$ity and is consistent &ith the goal of profit ma3imization 9o&e$er, it can result in %iased
allocations of resources, especially &hen some of those affected %y the decision lac+ representation or a
$oice in the decision 5tilitarianism can also result in the rights of some sta+eholders %eing ignored
% The rights $ie& of ethics is concerned &ith respecting and protecting indi$idual li%erties and pri$ileges
such as the rights to pri$acy, freedom of conscience, free speech, life and safety, and due process This
&ould include, for e3ample, protecting the free speech rights of employees &ho report legal $iolations %y
their employers The positi$e side of the rights perspecti$e is that it protects indi$iduals* %asic rights, %ut
1N
it has a negati$e side for organizations It can present o%stacles to high producti$ity and efficiency %y
creating a &or+ climate that is more concerned &ith protecting indi$iduals* rights than &ith getting the 6o%
done
c The ne3t $ie& is the theory of 6ustice $ie& of ethics 5nder this approach, managers are to impose and
enforce rules fairly and impartially and do so %y follo&ing all legal rules and regulations ) manager
&ould %e using the theory of 6ustice perspecti$e %y deciding to pro$ide the same rate of pay to indi$iduals
&ho are similar in their le$els of s+ills, performance, or responsi%ility and not %asing that decision on
ar%itrary differences such as gender, personality, race, or personal fa$orites 5sing standards of 6ustice
also has pluses and minuses It protects the interests of those sta+eholders &ho may %e underrepresented
or lac+ po&er, %ut it can encourage a sense of entitlement that might ma+e employees reduce ris+ ta+ing,
inno$ation, and producti$ity
d The final ethics perspecti$e, the integrati$e social contracts theory, proposes that ethical decisions should
%e %ased on empirical and normati$e factors This $ie& of ethics is %ased on the integration of t&o
DcontractsEL the general social contract that allo&s %usinesses to operate and defines the accepta%le ground
rules, and a more specific contract among mem%ers of a community that addresses accepta%le &ays of
%eha$ing This $ie& of %usiness differs from the other three in that it suggests that managers need to loo+
at e3isting ethical norms in industries and companies in order to determine &hat constitutes right and
&rong decisions and actions
!difficult"
Chapter ? 1ecision/Ma+ingL The #ssence of the Manager*s <o%
True/False Questions
A The first step in the decision/ma+ing process is identifying a pro%lem
True !easy"
? It is possi%le at the end of the decision/ma+ing process that you may %e re,uired to start the decision process
o$er again
True !easy"
1@ 1ecision/ma+ing is synonymous &ith managing
True !easy"
1B One assumption of rationality is that &e cannot +no& all of the alternati$es
False !difficult"
1I )ccepting solutions that are 'good enough' is termed satisfying
False !easy"
18 Managers regularly use their intuition in decision/ma+ing
True !easy"
1? Jational analysis and intuiti$e decision/ma+ing are complementary
True !moderate"
1N ;rogrammed decisions tend to %e repetiti$e and routine
True !easy"
B1 Most managerial decisions in the real &orld are fully nonprogrammed
False !easy"
BA Jis+ is a situation in &hich a decision ma+er has neither certainty nor reasona%le pro%a%ility estimates
False !difficult"
B8 )n optimistic manager &ill follo& a ma3imin approach
False !moderate"
Multiple Choice
T9# 1#CI.IO2/M)GI2K ;JOC#..
IA ) series of eight steps that %egins &ith identifying a pro%lem and decision criteria and allocating &eights to
those criteria: mo$es to de$eloping, analyzing, and selecting an alternati$e that can resol$e the pro%lem: implements
the alternati$e: and concludes &ith e$aluating the decision0s effecti$eness is the --------------
a decision/ma+ing process !easy"
% managerial process
c ma3imin style
d %ounded rationality approach
e legalistic opportunism process
1>
I? ') discrepancy %et&een an e3isting and a desired state of affairs' descri%es &hich of the steps in the
decision/ma+ing process4
a criteria &eight allocation
% analysis of alternati$es
c pro%lem identification !difficult"
d decision effecti$eness e$aluation
e decision criteria identification
IN (hich of the follo&ing must %e present in order to initiate the decision/ma+ing process4
a plenty of time
% pressure to act !moderate"
c a lac+ of authority
d a lac+ of resources
e en$ironmental certainty
I> Managers aren0t li+ely to characterize something as a pro%lem if they percei$e --------------
a they don0t ha$e authority to act !difficult"
% pressure to act
c a discrepancy
d they ha$e sufficient resources
e they ha$e %udgetary authority
AA .electing an alternati$e in the decision/ma+ing process is accomplished %y --------------
a choosing the alternati$e &ith the highest score !easy"
% choosing the one you li+e %est
c selecting the alternati$e that has the lo&est price
d selecting the alternati$e that is the most relia%le
e choosing the alternati$e you thin+ your %oss &ould prefer
AM (hich of the follo&ing is the final step in the decision/ma+ing process4
a identifying the pro%lem
% e$aluating the decision0s effecti$eness !easy"
c identifying decision criteria
d selecting an alternati$e that can resol$e the pro%lem
e allocating &eights to alternati$es
AN (hich of the follo&ing is important to remem%er in e$aluating the effecti$eness of the decision/ma+ing
process4
a Ignore criticism concerning the decision/ma+ing
% Hou may ha$e to start the &hole decision process o$er !difficult"
c Jestart the decision/ma+ing process if the decision is less than 8@R effecti$e
d >@R of pro%lems &ith decision/ma+ing occur in the implementation step
e Geep trac+ of pro%lems &ith the chosen alternati$e, %ut only change those issues that upper management
demand
A> 1ecision/ma+ing is synonymous &ith --------------
a managing !easy"
% leading
c controlling
d planning
e organizing
81 (hich of the follo&ing is not an 'organizing' decision4
a (hat are the organization0s long/term o%6ecti$es4 !moderate"
% 9o& many employees should I ha$e report directly to me4
c 9o& should 6o%s %e designed4
d 9o& much centralization should there %e in the organization4
e (hen should the organization implement a different structure4
8B (hich of the follo&ing is not a 'leading' decision4
B@
a 9o& do I handle employees &ho appear to %e lo& in moti$ation4
% (hat is the most effecti$e leadership style in a gi$en situation4
c 9o& &ill a specific change affect &or+er producti$ity4
d (hen is the right time to stimulate conflict4
e 9o& should 6o%s %e designed4 !moderate"
8I (hich of the follo&ing is not a 'controlling' decision4
a (hat acti$ities in the organization need to %e controlled4
% 9o& should those acti$ities %e controlled4
c (hen is a performance de$iation significant4
d (hen is the right time to stimulate conflict4 !moderate"
e (hat type of management information system should the organization ha$e4
8A Managers are assumed to %e --------------: they ma+e consistent, $alue/ma3imizing choices &ithin
specified constraints
a rational !easy"
% leaders
c organized
d satisficers
e programmed
8M (hich of the follo&ing is not a $alid assumption a%out rationality4
a The pro%lem is clear and unam%iguous
% ) single &ell/defined goal is to %e achie$ed
c ;references are clear
d ;references are constantly changing !difficult"
e 2o time or cost constraints e3ist
8N In '%ounded rationality,' managers construct -------------- models that e3tract the essential features from
pro%lems
a multiple
% %inding
c interacti$e
d simplified !difficult"
e past
8> )ccording to the te3t, %ecause managers can*t possi%ly analyze all information on all alternati$es, managers
--------------, rather than --------------
a ma3imize: satisfice
% ma3imize: minimize
c satisfice: minimize
d satisfice: ma3imize !moderate"
?B )n increased commitment to a pre$ious decision despite e$idence that it may ha$e %een &rong is referred to as
-------------
a economies of commitment
% escalation of commitment !moderate"
c dimensional commitment
d e3pansion of commitment
?A )ccording to the te3t, all of the follo&ing are aspects of intuition #QC#;TL
a e3perienced/%ased decisions
% affect/initiated decisions
c cogniti$e/%ased decisions
d $alues or ethics/%ased decisions
e programmed decisions !easy"
B1
?8 )ccording to the te3t, ------------- are straightfor&ard, familiar, and easily defined pro%lems
a poorly/structured pro%lems
% &ell/structured pro%lems !moderate"
c uni,ue pro%lems
d non/programmed pro%lems
e programmed pro%lems
?N -------------- decision/ma+ing is relati$ely simple and tends to rely hea$ily on pre$ious solutions
a 2onprogrammed
% Finear
c .atisficing
d Integrati$e
e ;rogrammed !moderate"
M@ ) -------------- is a series of interrelated se,uential steps that a manager can use for responding to a
structured pro%lem
a procedure !easy"
% rule
c policy
d system
e solution
M1 ) -------------- is an e3plicit statement that tells a manager &hat he or she ought or ought not to do
a procedure
% policy
c rule !moderate"
d solution
e system
MB ) -------------- pro$ides guidelines to channel a manager0s thin+ing in a specific direction
a system
% rule
c solution
d policy !moderate"
e procedure
M8 ) %usiness school0s statement that it 'stri$es for producti$e relationships &ith local organizations,' is an
e3ample of a --------------
a rule
% policy !moderate"
c procedure
d commitment
e contract
MN (hich of the follo&ing terms is associated &ith nonprogrammed decisions4
a uni,ue !moderate"
% recurring
c routine
d repetiti$e
e &ell/defined
M> Fo&er/le$el managers typically confront &hat type of decision/ma+ing4
a uni,ue
% nonroutine
c programmed !moderate"
d nonprogrammed
e nonrepetiti$e
NI If an indi$idual +no&s the price of three similar cars at different dealerships, he/she is operating under &hat
type of decision/ma+ing condition4
a ris+
% uncertainty
c certainty !easy"
d factual
e unprogrammed
BB
NA -------------- is those conditions in &hich the decision ma+er is a%le to estimate the li+elihood of certain
outcomes
a Certainty
% Jis+ !easy"
c 5ncertainty
d Ma3ima3
e Ma3imin
N8 ) retail clothing store manager &ho estimates ho& much to order for the current spring season %ased on last
spring0s outcomes is operating under &hat +ind of decision/ma+ing condition4
a seasonal
% ris+ !difficult"
c uncertainty
d certainty
e cyclical
N? -------------- is a situation in &hich a decision ma+er has neither certainty nor reasona%le pro%a%ility
estimates a$aila%le
a Certainty
% Jis+
c 5ncertainty !easy"
d Ma3ima3
e Ma3imin
NM ) person at a horse racetrac+ &ho %ets all of his/her money on the odds/%ased longshot to '&in' !rather than
'place' or 'sho&'" is ma+ing &hat +ind of choice4
a ma3ima3 !moderate"
% ma3imin
c minima3
d minimin
N> )n indi$idual ma+ing a 'ma3imin' type of choice has &hat type of psychological orientation concerning
uncertain decision/ma+ing4
a optimist
% realist
c pessimist !moderate"
d satisficer
e e3tremist
>1 )ccording to the te3t, a manager &ho desires to minimize his or her ma3imim DregretE &ill opt for a
-------------- choice
a ma3ima3
% ma3imin
c minima3 !moderate"
d minimin
>I (hich of the follo&ing decision/ma+ing styles ha$e lo& tolerance for am%iguity and are rational in their &ay
of thin+ing4
a directi$e !moderate"
% egotistical
c analytic
d conceptual
e %eha$ioral
>8 The decision/ma+ing style that ma+es fast decisions and focuses on the short terms is referred to as the
-------------- style
a directi$e !moderate"
% egotistical
c analytic
d conceptual
e %eha$ioral
>N )ccording to the te3t, -------------- are %est characterized as careful decision ma+ers &ith the a%ility
to adapt or cope &ith uni,ue situations
a conceptual
BI
% %eha$ioral
c empirical
d analytic !moderate"
e spatial
>> (hich of the follo&ing is the decision/ma+ing style that &ould most li+ely loo+ at as many alternati$es as
possi%le and focus on the long run4
a analytical
% directi$e
c conceptual !moderate"
d %eha$ioral
e spatial
1@1 ) manager &ho &ould decide &hat computer system to purchase for the department %y holding a meeting
and recei$ing feed%ac+ from his/her su%ordinates matches &ith &hich type of decision/ma+ing style4
a analytical
% %eha$ioral !difficult"
c conceptual
d directi$e
e empirical
.cenarios
1ecision/Ma+ing Conditions !.cenario"
.andy <o is the manager for Truc+sJ5s, a medium/sized hauling ser$ice located in the .outheast .he is responsi%le
for scheduling truc+s, initiating ne& routes, and staffing %oth e3isting and ne& routes .he is currently struggling &ith
e3isting information a%out the profita%ility of e3isting and future truc+ routes
11? 7u%%a, .andy <o0s %est dri$er tells her that he %elie$es that he can estimate that there is a M8R pro%a%ility that
they can get the %usiness of ;or+ 7rothers Inc if they initiate a truc+ route through rural 2orth Carolina 7u%%a
is operating under a condition of --------------
a certainty
% ris+ !difficult"
c uncertainty
d ma3ima3
e ma3imin
11M .andy <o can ma+e accurate decisions if she is &illing to pay S8,@@@ for research a%out the profita%ility of
$arious truc+ routes If she pays for the research, she %elie$es that she is operating under a condition of
--------------
a certainty !difficult"
% ris+
c uncertainty
d ma3ima3
e ma3imin
11N .andy <o +no&s that she is operating in an uncertain en$ironment .he is %asically an optimist, and &e &ould,
therefore, e3pect her to follo& a -------------- strategy
a certainty
% ris+
c uncertainty
d ma3ima3 !moderate"
e ma3imin
11> .andy <o +no&s that she is operating in an uncertain en$ironment .he is %asically a pessimist, and &e &ould,
therefore, e3pect her to follo& a -------------- strategy
a certainty
% ris+
c minima3
d ma3ima3
e ma3imin !moderate"
BA
1B@ .andy <o &ishes to minimize her regret and &ill pro%a%ly opt for a -------------- strategy
a certainty
% ris+
c minima3 !moderate"
d ma3ima3
e ma3imin
#ssay Questions
T9# 1#CI.IO2/M)GI2K ;JOC#..
1B1 In a short essay, list and discuss the eight steps in the decision/ma+ing process
)ns&er
a .tep 1L Identifying a pro%lem the decision/ma+ing process %egins &ith the e3istence of a pro%lem or a
discrepancy %et&een an e3isting and a desired state of affairs 9o&e$er, a discrepancy &ithout pressure to
ta+e action %ecomes a pro%lem that can %e postponed
% .tep BL Identify decision criteria once the manager has identified a pro%lem that needs attention, the
decision criteria important to resol$ing the pro%lem must %e identified That is, managers must determine
&hat*s rele$ant in ma+ing a decision
c .tep IL )llocating &eights to the criteriaL at this step, the decision ma+er must &eigh the items in order to
gi$e them the correct priority in the decision ) simple approach is to gi$e the most important criterion a
&eight of 1@ and then assign &eights to the rest against that standard
d .tep AL 1e$eloping alternati$es the fourth step re,uires the decision ma+er to list the $ia%le alternati$es
that could resol$e the pro%lem 2o attempt is made in this step to e$aluate the alternati$e, only to list
them
e .tep 8L )nalyzing alternati$es once the alternati$es ha$e %een identified, the decision ma+er must
critically analyze each one From this comparison, the strengths and &ea+nesses of each alternati$e
%ecome e$ident
f .tep ?L .electing an alternati$e the si3th step is the important act of choosing the %est alternati$e from
among those considered )ll the pertinent criteria in the decision ha$e no& %een determined, &eighted,
and the alternati$es ha$e %een identified and analyzed
g .tep ML Implementing the alternati$e implementation in$ol$es con$eying the decision to those affected
%y it and getting their commitment to it If the people &ho must carry out a decision participate in the
process, they*re more li+ely to enthusiastically support the outcome than if they are 6ust told &hat to do
h .tep NL #$aluating decision effecti$eness the last step in the decision/ma+ing process in$ol$es appraising
the outcome of the decision to see if the pro%lem has %een resol$ed 1id the alternati$e chose and
implemented accomplish the desired result4 If not, the manager may consider returning to a pre$ious step
or may e$en consider starting the &hole decision process o$er
!difficult"
1BI In a short essay, discuss the assumptions of rationality and the $alidity of those assumptions
)ns&er
) decision ma+er &ho &as perfectly rational &ould %e fully o%6ecti$e and logical 9e or she &ould carefully
define a pro%lem and &ould ha$e a clear and specific goal Moreo$er, ma+ing decisions using rationality
&ould consistently lead to&ard selecting the alternati$e that ma3imizes the li+elihood of achie$ing that goal
The assumptions of rationality apply to any decision Jational managerial decision ma+ing assumes that
decisions are made in the %est economic interests of the organization That is, the decision ma+er is assumed to
%e ma3imizing the organization*s interests, not his or her o&n interests Managerial decision ma+ing can
follo& rational assumptions if the follo&ing conditions are metL The manager is faced &ith a simple pro%lem in
&hich the goals are clear and the alternati$es limited, in &hich the time pressures are minimal and the cost of
see+ing out and e$aluating alternati$es is lo&, for &hich the organizational culture supports inno$ation and ris+
ta+ing, and in &hich outcomes are relati$ely concrete and measura%le 9o&e$er, most decisions that managers
face in the real &orld don*t meet all those tests
!moderate"
1B? In a short essay, discuss the difference %et&een &ell/structured and poorly structured pro%lems Include
specific e3amples of each type of pro%lem to support your ans&er 2e3t discuss the type of decisions that &ould %e
used to address each of these pro%lems
B8
)ns&er
a (ell/structured pro%lems / the goal of the decision mar+er is clear, the pro%lem is familiar, and information
a%out the pro%lem is easily defined and complete #3amples of these types of pro%lems might include a
customer*s &anting to return a purchase to a retail store, a supplier*s %eing late &ith an important deli$ery,
a ne&s team*s responding to an une3pected and fast/%rea+ing e$ent, or a college*s handling of a student
&anting to drop a class .uch situations are called &ell/structured pro%lems since they are straightfor&ard,
familiar, and easily defined pro%lems In handling these pro%lem situations, the manager uses a
programmed decision 1ecisions are programmed to the e3tent that they are repetiti$e and routine and to
the e3tent that a definite approach has %een &or+ed out for handling them 7ecause the pro%lem is &ell
structured, the manager doesn*t ha$e to go to the trou%le and e3pense of going through an in$ol$ed
decision progress ;rogrammed decision ma+ing is relati$ely simple and tends to rely hea$ily on pre$ious
solutions
% ;oorly/structured pro%lems these pro%lems are ne& or unusual and for &hich information is am%iguous
or incomplete For e3ample, the selection of an architect to design a ne& corporate manufacturing facility
in 7ang+o+ is an e3ample of a poorly/structured pro%lem (hen pro%lems are poorly/structured,
managers must rely on nonproprammed decision ma+ing in order to de$elop uni,ue solutions
2onprogrammed decisions are uni,ue and nonrecurring (hen a manager confronts a poorly/structured
pro%lem, or one that is uni,ue, there is no cut/and/dried solution It re,uires a custom/made response
through nonprogrammed decision ma+ing
!difficult"
1I@ In a short essay, list and discuss the four decision/ma+ing styles as descri%ed in the te3t
)ns&er
a 1irecti$e style people using the directi$e style ha$e lo& tolerance for am%iguity and are rational in their
&ay of thin+ing They*re efficient and logical 1irecti$e types ma+e fast decisions and focus on the short
run Their efficiency and speed in ma+ing decisions often result in their ma+ing decisions &ith minimal
information and assessing fe& alternati$es
% )nalytic style decision/ma+ers &ith an analytic style ha$e much greater tolerance for am%iguity than do
directi$e types They &ant more information %efore ma+ing a decision and consider more alternati$es than
a directi$e style decision/ma+er does )nalytic decision/ma+ers are %est characterized as careful decision/
ma+ers &ith the a%ility to adapt or cope &ith uni,ue situations
c Conceptual style indi$iduals &ith a conceptual style tend to %e $ery %road in their outloo+ and &ill loo+
at many alternati$es They focus on the long run and are $ery good at finding creati$e solutions to
pro%lems
d 7eha$ioral style these decision mar+ers &or+ &ell &ith others They*re concerned a%out the
achie$ements of su%ordinates and are recepti$e to suggestions from others They often use meetings to
communicate, although they try to a$oid conflict )cceptance %y others is important to this decision/
ma+ing style
!moderate"
Chapter M Foundations of ;lanning
True/False Questions
A Jesearch indicates that managers &ho plan al&ays outperform managers &ho do not plan
False !moderate"
> ;lans that specify the details of achie$ement of the o$erall o%6ecti$es are called operational plans
True !difficult"
1@ 1irectional plans ha$e clearly defined o%6ecti$es
False !moderate"
1B .tanding plans are created in response to programmed decisions that managers ma+e and include policies,
rules, and procedures
True !moderate"
B?
1I The greater the en$ironmental certainty, the more plans need to %e directional and emphasis placed on the short
term
False !moderate"
BB )n organization0s real goals are &hat they actually plan on accomplishing, rather than &hat they hope to
accomplish
False !moderate"
BA Jeal goals are official statements of &hat an organization says its goals are
False !easy"
Multiple Choice
I? One purpose of planning is that it minimizes -------------- and --------------
a cost: time
% time: personnel needs
c &aste: redundancy !difficult"
d time: &aste
e mista+es: cost
IN (hat does the e$idence suggest a%out organizations that plan compared to organizations that do not plan4
a ;lanning organizations al&ays outperform nonplanning organizations
% 2onplanning organizations al&ays outperform planning organizations
c ;lanning organizations generally outperform nonplanning organizations !easy"
d 2onplanning organizations generally outperform planning organizations
e They generally perform at a%out the same le$el
A8 (hich of the follo&ing is the foundation of planning4
a employees
% goals !easy"
c outcomes
d computers
e the planning department
A? )ccording to the te3t, ------------- are documents that outline ho& goals are going to %e met and &hich
typically descri%e resource allocations, schedules, and other necessary actions to accomplish the goals
a strategies
% goals
c plans !moderate"
d policies
e procedures
8@ (hich of the follo&ing is true concerning an organization0s stated o%6ecti$es4
a They issue identical o%6ecti$es to all constituents
% Organizations typically ha$e internal and e3ternal sets of o%6ecti$es
c They may issue different o%6ecti$es to stoc+holders, customers, employees, and the pu%lic
!moderate"
d It is illegal to issue conflicting stated o%6ecti$es
e .tated o%6ecti$es are usually in line &ith short/term actions
8A (hat should a person do to understand &hat are the real o%6ecti$es of the organization4
a o%ser$e organizational mem%er actions !moderate"
% attend a stoc+holders annual meeting
c read their statement of purpose
d read their annual report
e &atch tele$ision ne&s reports
8> (hen &e categorize plans as %eing single/use $ersus standing, &e categorize them %y --------------
BM
a %readth
% specificity
c fre,uency of use !easy"
d depth
e time frame
?1 7ased on the information presented in the te3t, -------------- are short term, specific, and standing
a operational !moderate"
% long/term
c strategic
d specific
e directional
?M )n organizational plan that has a ?/year time frame &ould %e considered &hat type of plan4
a operational
% short/term
c strategic
d intermediate
e long/term !moderate"
?N .trategic plans tend to include a time period of usually --------------
a 1 year
% 1/I years
c I years or more !moderate"
d 8 years or more
e at least 1@ years
M1 Compared to directional plans, &hat type of plan has clearly defined o%6ecti$es4
a strategic
% single/use
c short/term
d specific !moderate"
e standing
M? ;lanning accuracy &ith a high degree of en$ironmental change tends to produce &hich of the follo&ing
results4
a ;lanning accuracy is li+ely
% ;lanning accuracy %ecomes much more important
c ;lanning accuracy %ecomes less important
d ;lanning accuracy is less li+ely !moderate"
e ;lanning accuracy occurs in the long/run
MN ) -------------- plan is a one/time plan designed to meet the needs of a uni,ue situation and created in
response to nonprogrammed decisions that managers ma+e
a single/use !easy"
% short/term
c directional
d standing
e strategic
M> ) small to&n0s preparation for a $isit %y the ;resident of the 5nited .tates &ould %e considered &hat type of
plan4
a strategic
% directional
c standing
d long/term
e single/use !moderate"
BN
N1 ) city0s policy concerning s+ate%oarding on do&nto&n side&al+s pro$iding guidance for police action &ould
%e considered &hat type of plan4
a standing !difficult"
% contingency
c directional
d single/use
e strategic
NA (here in the organizational hierarchy are traditional goals determined4
a front/line employees
% team leaders
c lo&er/le$el managers
d middle managers
e top managers !moderate"
N> ) management system in &hich specific performance goals are 6ointly determined %y employees and their
managers is +no&n as --------------
a management %y o%6ecti$es !moderate"
% means/ends chain
c traditional goal setting
d management %y opinions
>1 (hich of the follo&ing is not one of the four common elements of Management 7y O%6ecti$es !M7O"4
a goal specificity
% participati$e decision/ma+ing
c an e3plicit time period
d a systems loop !difficult"
e performance feed%ac+
>I Management 7y O%6ecti$es !M7O" can %e descri%ed %y &hich of the follo&ing statements4
a an autocratic system
% a '%ottom up' system
c a 'top do&n' system
d %oth a 'top do&n' and a '%ottom up' system !difficult"
e a static system
1@8 )ccording to the %o3ed feature, DManaging in an #/7usiness (orld,E pro%a%ly the %iggest change for planning
in e/%usiness is that --------------
a the en$ironment is more sta%le
% customers are calling the shots !moderate"
c employees are ma+ing the demands
d only a fe& competitors e3ist
#ssay Questions
1BB In a short essay, list and discuss the four reasons for planning
)ns&er
a ;lanning esta%lishes coordinated effort It gi$es direction to managers and nonmanagers ali+e (hen
employees +no& &here the organization or &or+ unit are going and &hat they must contri%ute to reach
goals, they can coordinate their acti$ities, cooperate &ith each other, and do &hat it ta+es to accomplish
those goals (ithout planning, departments and indi$iduals might %e &or+ing at cross/purposes,
pre$enting the organization from mo$ing efficiently to&ard its goals
% ;lanning reduces uncertainty %y forcing managers to loo+ ahead, anticipate change, consider the impact of
change, and de$elop appropriate responses It also clarifies the conse,uences of actions managers might
ta+e in response to change #$en though planning can*t eliminate change, managers plan in order to
anticipate changes and de$elop the most effecti$e response to them
c ;lanning reduces o$erlapping and &asteful acti$ities (hen &or+ acti$ities are coordinated around
esta%lished plans, &asted time and resources and redundancy can %e minimized Furthermore, &hen means
B>
and ends are made clear through planning, inefficiencies %ecome o%$ious and can %e corrected or
eliminated
d ;lanning esta%lishes goals or standards that are used in controlling If managers are unsure of &hat they
are trying to accomplish, they &ill %e una%le to determine &hether or not the goal has actually %een
achie$ed In planning, goals and plans are de$eloped Then, through controlling, actual performance is
compared against the goals, significant de$iations are identified, and necessary correcti$e action is ta+en
(ithout planning, there &ould %e no &ay to control
!moderate"
1BM In a short essay, list and discuss fi$e characteristics of &ell/defined goals
)ns&er
!1" ) &ell/designed goal should %e &ritten in terms of outcomes rather than actions The desired end result is
the most important element of any goal and, therefore, the goal should %e &ritten to reflect this !B" 2e3t, a
goal should %e measura%le and ,uantifia%le It*s much easier to determine if a goal has %een met if it*s
measura%le In line &ith specifying a ,uantifia%le measure of accomplishment, !I" a &ell/designed goal should
also %e clear as to a time frame )lthough open/ended goals may seem prefera%le %ecause of their supposed
fle3i%ility, in fact, goals &ithout a time frame ma+e an organization less fle3i%le %ecause a manager is ne$er
sure &hen the goal has %een met or &hen he or she should call it ,uits %ecause the goal &ill ne$er %e met
regardless of ho& long he or she &or+s at it !A" 2e3t a &ell/designed goal should %e challenging %ut
attaina%le Koals that are too easy to accomplish are not moti$ating and neither are goals that are not attaina%le
e$en &ith e3ceptional effort !8" 2e3t, &ell/designed goals should %e &ritten do&n )lthough actually &riting
do&n goals may seem too time consuming, the process of &riting the goals forces people to thin+ them
through In addition, the &ritten goals %ecome $isi%le and tangi%le e$idence of the importance of &or+ing
to&ard something !?" Finally, &ell/designed goals are communicated to all organizational mem%ers &ho need
to +no& the goals Ma+ing people a&are of the goals ensures that they*re Don the same pageE and &or+ing in
&ays to ensure the accomplishment of the organizational goals
!moderate"
1BN In a short essay, list and discuss the fi$e steps in the goal/setting process
)ns&er
a .tep 1L Je$ie& the organization*s mission, the purpose of the organization These %road statements of
&hat the organization*s purpose is and &hat it hopes to accomplish pro$ide an o$erall guide to &hat
organizational mem%ers thin+ is important It*s important to re$ie& these statements %efore &riting goals
%ecause the goals should reflect &hat the mission statement says
% .tep BL #$aluate a$aila%le resources ) manager doesn*t &ant to set goals that are impossi%le to achie$e
gi$en the a$aila%le resources #$en though goals should %e challenging, they should %e realistic If the
resources a manager has to &or+ &ith doesn*t allo& for the achie$ement of that goal no matter ho& had the
manager tries of ho& much effort is e3erted, that goal shouldn*t %e set
c .tep IL 1etermine indi$idually, or &ith input from others, the goals These goals reflect desired outcomes
and should %e congruent &ith the organizational mission and goals in other organizational areas These
goals should %e measura%le, specific, and include a time frame for accomplishment
d .tep AL (rite do&n the goals and communicate them to all &ho need to +no& (riting goals do&n forces
people to thin+ them through and also ma+es those goals $isi%le and tangi%le e$idence of the importance of
&or+ing to&ard something
e .tep 8L Je$ie& results and &hether goals are %eing met Ma+e changes, as needed Once the goals ha$e
%een esta%lished, &ritten do&n, and communicated, a manager is ready to de$elop plans for pursuing the
goals
!difficult"
1B> In a short essay, list and discuss the three contingency factors that affect planning
)ns&er
a Fe$el in the organization for the most part, operational planning dominates managers* planning efforts at
lo&er le$els )t higher organizational le$els, the planning %ecomes more strategy oriented
% 1egree of en$ironmental uncertainty &hen en$ironmental uncertainty is high, plans should %e specific,
%ut fle3i%le Managers must %e prepared to re&ord and amend plans as they*re implemented )t times,
managers may e$en ha$e to a%andon their plans
c Fength of future commitments the more that current plans affect future commitments, the longer the time
frame for &hich managers should plan This commitment concept means that plans should e3tend far
I@
enough to meet those commitments made &hen the plans &ere de$eloped ;lanning for too long or for too
short a time period is inefficient and ineffecti$e
!moderate"
Chapter N .trategic Management
True/False Questions
I The first step in the strategic management process is analyzing the e3ternal en$ironment
False !difficult"
? (ithin an industry, an en$ironment can present opportunities to one organization and pose threats to another
True !moderate"
11 The final step in the strategic management process is implementing the o%6ecti$es
False !difficult"
TH;#. OF OJK)2IP)TIO2)F .TJ)T#KI#.
1B Corporate/le$el strategies are de$eloped for organizations that run more than one type of %usiness
True !moderate"
B1 The %usiness group that is characterized %y ha$ing lo& gro&th %ut high mar+et share is +no&n as a cash co&
True !moderate"
BI )ccording to the 7oston Consulting Kroup matri3, ,uestion mar+s are %usinesses that generate large amounts
of cash, %ut their prospects for future gro&th are limited4
False !moderate"
BM )ccording to ;orter0s competiti$e strategies frame&or+, the cost leadership strategy &ould result in the %est
,uality product at a 6ustifia%le cost
False !difficult"
Multiple Choice
IN The strategic management process is di$ided into &hich of the follo&ing sections4
a planning, implementation, and e$aluation !easy"
% pro%lem identification, planning, and implementation
c implementation, e$aluation, and restructuring
d mission statement, en$ironmental e$aluation, and specific goals
e mission statement, en$ironmental scoping, and e$aluation
I> In the strategic management process, the -------------- defines the organizational purpose and ans&ers the
,uestionL '(hat is our reason for %eing in %usiness4'
a o%6ecti$e
% e$aluation
c strategy
d mission !easy"
e $alues statement
A1 (hich of the follo&ing is not an e3ample of an organization0s mission4
a (e %elie$e our first responsi%ility is to doctors, nurses and patients, to mothers and all others &ho use our
products and ser$ices !<ohnson T <ohnson"
% )M)Q0s principal products are moly%denum, coal, iron ore, copper, lead, zinc, petroleum and natural gas,
potash, phosphates, nic+el, tungsten, sil$er, gold, and magnesium
c (e at Qeren &ant to increase mar+et share %y 1@R during the ne3t fiscal year !difficult"
d (e are dedicated to the total success of Corning Klass (or+s as a &orld&ide competitor
I1
e 9oo$er 5ni$ersal is a di$ersified, multi/industry corporation &ith strong manufacturing capa%ilities,
entrepreneurial policies, and indi$idual %usiness unit autonomy
AA (hich of the follo&ing is not part of the organization0s e3ternal en$ironment4
a &hat competition is doing
% pending legislation that might affect the organization
c consumer trends
d employees0 education le$el !moderate"
e la%or supply
A8 (hat step in the strategic management process follo&s analyzing the e3ternal en$ironment4
a identifying opportunities and threats !moderate"
% mission statement
c e$aluation
d identifying strengths and &ea+nesses
e formulating strategies
8@ (hat step in the strategic management process follo&s analyzing the organization0s resources4
a identifying opportunities and threats
% formulating strategy
c mission statement
d implementing strategy
e identifying strengths and &ea+nesses !easy"
88 In the strategic management process, &hat step comes prior to e$aluating results4
a identifying strengths and &ea+nesses
% formulating strategies
c identifying opportunities and threats
d implementing strategies !easy"
f analyzing the organization0s resources
8? (hat is the final step in the strategic management process4
a mission statement
% identifying opportunities and threats
c implementing strategies
d analyzing the organization0s resources
e e$aluating results !easy"
?@ (hich of the follo&ing is one le$el of strategic planning in large companies4
a management le$el
% financial le$el
c staff le$el
d corporate le$el !easy"
e systems le$el
?B Fo&er le$el managers in an organization are typically responsi%le for &hich of the follo&ing types of
strategies4
a functional/le$el strategies
% %usiness/le$el strategies
c corporate/le$el strategies
d mergers and ac,uisitions
?I (hich of the follo&ing is associated &ith corporate/le$el strategies4
a They are needed if your organization is in more than one type of %usiness !moderate"
% They ans&erL '9o& should our %usiness compete4'
c They represent a single %usiness
d They are a method of support for the %usiness/le$el strategies
e They determine the operations of a single %usiness unit
IB
?8 (hen ;epsiCo see+s to integrate the strategies of ;epsi, M/5p International, and Frito/Fay, it is de$eloping
&hat le$el of %usiness strategy4
a functional
% system
c management
d %usiness
e corporate !moderate"
?N #3amples of a corporate/le$el sta%ility strategy include all of the follo&ing #QC#;TL
a continuing to ser$e the same clients %y offering the same product or ser$ice
% maintaining mar+et share
c sustaining the organization*s return/on/in$estment results
d implementing $ertical or horizontal integration !moderate"
M@ (hen should management pursue a sta%ility strategy4
a Organizational performance is slipping
% The en$ironment is changing
c The organization0s performance is satisfactory and the en$ironment is sta%le !moderate"
d The firm has $alua%le strengths
e There are a%undant en$ironmental opportunities
M? In --------------, the organization attempts to gain control of its inputs %y %ecoming its o&n supplier
a for&ard $ertical integration
% %ac+&ard $ertical integration !moderate"
c horizontal integration
d related di$ersification
e unrelated di$ersification
MN (hich of the follo&ing descri%es a company gro&ing %y com%ining &ith other organizations in the same
industry4
a for&ard $ertical integration
% %ac+&ard $ertical integration
c horizontal integration !moderate"
d related di$ersification
e unrelated di$ersification
N? (hich of the four %usiness groups in the corporate portfolio matri3 has high gro&th and high mar+et share4
a cash co&
% stars !difficult"
c ,uestion mar+s
d dogs
e elephants
>N Michael ;orter0s competiti$e strategies frame&or+ identifies three generic competiti$e strategiesL cost
leadership, differentiation, and --------------
a depth
% %readth
c re$enue gro&th
d focus !moderate"
e ac,uisition
1@B ;orter0s competiti$e strategies frame&or+ descri%es a -------------- strategy &here%y an organization &ants
to %e uni,ue in its industry along dimensions &idely $alued %y %uyers
a differentiation !moderate"
% focus
c cost leadership
d depth
II
e defender
1@8 )ccording to the %o3ed feature, DManaging in an #/7usiness (orld,E all of the follo&ing are mentioned as
ma6or implications of the increasingly dynamic and uncertain en$ironments on e/%usiness strategies #QC#;TL
a en$ironmental analysis &ill %ecome an important part of e$eryone*s 6o%
% strategy &ill %ecome increasingly long term in orientation !moderate"
c %arriers to entry are practically none3istent
d a sustaina%le competiti$e ad$antage &ill %e harder to achie$e
.cenarios
) Farge Taco !.cenario"
It is no& ten years later and, as the original o&ner of Taco Joc+et, you ha$e seen your %usiness holdings gro&
su%stantially Hou no& need to decide ho& to %est manage and utilize the large num%er of assets represented %y the
companies you o&n Hou called the 7oston Consulting Kroup !7CK", and they ha$e offered you some ad$ice %ased
on their corporate portfolio matri3
11M Hour oldest holding, Taco Joc+et, has not gro&n much in recent years %ut, due to lo& de%t, generates a huge
amount of cash Taco Joc+et &ould %e considered, according to 7CK, a --------------
a cash co& !moderate"
% star
c ,uestion mar+
d dog
e does not fit &ith their matri3/
11N Jecently, you also purchased a company that manufactures a ne& satellite dish, allo&ing you to enter into the
ca%le tele$ision mar+et The %usiness is profita%le and gro&ing, %ut the technological un+no&ns ma+e it ris+y
7KC considers it a --------------
a cash co&
% star
c ,uestion mar+ !moderate"
d dog
e does not fit &ith their matri3/
11> )nother purchase you made &as to ac,uire a local coffee/cart chain &ith thirty locations around the city Hou
don0t see it gro&ing $ery much, %ut then, it doesn0t cost much to operate 7KC has la%eled this $enture a
--------------
a cash co&
% star
c ,uestion mar+
d dog !moderate"
e does not fit &ith their matri3
1B@ Hou also got some&hat luc+y &ith an in$estment made a fe& years ago Hou &ere an original in$estor in a
computer chip company that too+ off ,uic+ly and no& dominates the mar+et (hile gro&ing ,uic+ly, it does not tend
to generate positi$e cash flo& and is in continuous need of rein$estment of e,uipment and product de$elopment 7KC
considers this a --------------
a cash co&
% star !moderate"
c ,uestion mar+
d dog
e does not fit &ith their matri3/
#ssay Questions
T9# .TJ)T#KIC M)2)K#M#2T ;JOC#..
1B1 In a short essay, list and discuss the eight steps in the strategic management process
IA
1BI In a short essay, list and discuss the three le$els of strategy that an organization must de$elop
)ns&er
a Corporate/le$el strategy this strategy see+s to determine &hat %usinesses a company should %e in or
&ants to %e in Corporate/le$el strategy determines the direction that the organization is going and the
roles that each %usiness unit in the organization &ill plan in pursuing that direction
% 7usiness/le$el strategy this strategy see+s to determine ho& an organization should compete in each of
its %usinesses For a small organization in only one line of %usiness or the large organization that has not
di$ersified into different products or mar+ets, the %usiness/le$el strategy typically o$erlaps &ith the
organization*s corporate strategy For organizations &ith multiple %usinesses, ho&e$er, each di$ision &ill
ha$e its o&n strategy that defines the products or ser$ices it &ill offer and the customers it &ants to reach
c Functional/le$el strategy this strategy see+s to determine ho& to support the %usiness/le$el strategy For
organizations that ha$e traditional functional departments such as manufacturing, mar+eting, human
resources, research and de$elopment, and finance, these strategies need to support the %usiness/le$el
strategy
!moderate"
1B? In a short essay, discuss the 7oston Consulting Kroup !7CK" matri3 and e3plain its usefulness in segmenting
%usinesses Include a discussion of the characteristics for each of the four categories %ased on the 7CK matri3
)ns&er
The 7oston Consulting Kroup matri3 introduced the idea that an organization*s %usinesses could %e e$aluated
and plotted using a B 3 B matri3 to identify &hich ones offered high potential and &hich &ere a drain on
organizational resources The horizontal a3is represents mar+et share, &hich &as e$aluated as either lo& or
high: and the $ertical a3is indicates anticipated mar+et gro&th, &hich also &as e$aluated as either lo& or high
7ased on its e$aluation, the %usiness &as placed in one of four categoriesL
a Cash co&s !lo& gro&th, high mar+et share" %usinesses in this category generate large amounts of cash,
%ut they prospects for future gro&th are limited
% .tars !high gro&th, high mar+et share" these %usinesses are in a fast/gro&ing mar+et, and hold a
dominant share of that mar+et Their contri%ution to cash flo& depends on their need for resources
c Question mar+s !high gro&th, lo& mar+et share" these %usinesses are in an attracti$e industry, %ut hold a
small mar+et share percentage
d 1ogs !lo& gro&th, lo& mar+et share" %usinesses in this category do not produce, or consume, much cash
9o&e$er, they hold no promise for impro$ed performance
!easy"
1BN In a short essay, list and discuss the fi$e competiti$e forces, according to ;orter, &hich determine industry
attracti$eness and profita%ility
)ns&er
a Threat of ne& entrants determined %y the height of %arriers to entry &hich includes factors such as
economies of scale, %rand loyalty, and capital re,uirements determine ho& easy or difficult it is for ne&
competitors to enter an industry
% Threat of su%stitutes factors such as s&itching costs and %uyer loyalty determine the degree to &hich
customers are li+ely to %uy a su%stitute product
c 7argaining po&er of %uyers factors such as num%er of customers in the mar+et, customer information,
and the a$aila%ility of su%stitutes determine the amount of influence that %uyers ha$e in an industry
d 7argaining po&er of suppliers factors such as the degree of supplier concentration and a$aila%ility of
su%stitute inputs determine the amount of po&er that supplier ha$e o$er firms in the industry
e #3isting ri$alry factors such as industry gro&th rate, increasing or falling demand, and product
differences determine ho& intense the competiti$e ri$alry &ill %e among firms in the industry
!moderate"
1B> In a short essay, list and discuss the three competiti$e strategies, according to ;orter Include specific
e3amples of companies that pursue each of the three competiti$e strategies
)ns&er
a Cost leadership strategy &hen an organization sets out to %e the lo&est/cost producer in its industry, it*s
follo&ing a cost leadership strategy ) lo&/cost leader aggressi$ely searches out efficiencies in
I8
production, mar+eting, and other areas of operation O$erhead is +ept to a minimum, and the firm does
e$erything it can to cut costs For e3ample, (al/Mart*s head,uarters in 7enton$ille, )r+ansas, office
furnishings are sparse and dra% %ut functional )lthough lo&/cost leaders don*t place a lot of emphasis on
Dfrills,E the product or ser$ice %eing sold must %e percei$ed as compara%le in ,uality to that offered %y
ri$als or at least %e accepta%le to %uyers #3amples of companies that ha$e used the lo&/cost leader
strategy include (al/Mart, 9yundai, and .outh&est )irlines
% 1ifferentiation strategy the company that see+s to offer uni,ue products that are &idely $alued %y
customers is follo&ing a differentiation strategy .ources of differentiation might %e e3ceptionally high
,uality, e3traordinary ser$ice, inno$ati$e design, technological capa%ility, or an unusually positi$e %rand
image The +ey to this competiti$e strategy is that &hate$er product or ser$ice attri%ute is chosen for
differentiating must set the firm apart from its competitors and %e significant enough to 6ustify a price
premium that e3ceed the cost of differentiating ;ractically any successful product or ser$ice can %e
identified as an e3ample of the differentiation strategyL 2ordstrom*s !customer ser$ice": .ony !reputation
for ,uality and inno$ati$e design": Coach hand%ags !design and %rand image": and Gim%erly/Clar+*s
9uggies ;ull/5ps !product design"
c Focus strategy / the aim of the focus strategy is at a cost ad$antage or a differentiation ad$antage in a
narro& segment That is, managers select a mar+et segment or group of segments in an industry and don*t
attempt to ser$e the %road mar+et The goal of a focus strategy is to e3ploit a narro& segment of a mar+et
These segments can %e %ased on product $ariety, type of end %uyer, distri%ution channel, or geographical
location of %uyers Jesearch suggests that the focus strategy may %e the most effecti$e choice for small
%usinesses %ecause they typically do not ha$e the economies of scale or internal resources to successfully
pursue one of the other t&o strategies
!moderate"
Chapter 1@ Organizational .tructure and 1esign
True/False Questions
) M)2)K#J*. 1IF#MM)
1 )ccording to the %o3ed feature, D) Manager*s 1ilemma,E 2o+ia &as once in$ol$ed in industries ranging from
paper to chemicals and ru%%er
True !moderate"
B )ccording to the %o3ed feature, D) Manager*s 1ilemma,E 2o+ia has %een competing in the
telecommunications industry since 1>?8
False !moderate"
1#FI2I2K OJK)2IP)TIO2)F .TJ5CT5J#
I Organizational design is the organization0s formal frame&or+ %y &hich 6o% tas+s are di$ided, grouped, and
coordinated
False !difficult"
A The concept of &or+ specialization can %e traced %ac+ a couple of centuries to )dam .mith0s discussion of
di$ision of la%or
True !moderate"
8 The degree to &hich tas+s in an organization are di$ided into separate 6o%s is di$ision of la%or
True !moderate"
? 9istorically, many organizations ha$e grouped &or+ actions %y function departmentalization
True !moderate"
M Krouping 6o%s on the %asis of product or customer flo& is termed process departmentalization
True !moderate"
I?
N Keographic departmentalization has greatly increased in importance as a result of today*s competiti$e %usiness
en$ironment
False !moderate"
> ) group of indi$iduals &ho are e3perts in $arious specialties and &ho &or+ together is a cross/functional team
True !moderate"
1@ )uthority is the indi$idual0s capacity to influence decisions
False !difficult"
11 )uthority is synonymous &ith responsi%ility
False !easy"
1B )uthority is the rights inherent in a managerial position
True !easy"
1I ) manager0s span of control refers to the num%er of su%ordinates &ho can %e effecti$ely and efficiently
super$ised
True !moderate"
1A The classical $ie& of unity of command suggests that su%ordinates should ha$e only one superior to &hom they
report
True !easy"
18 The trend in recent years has %een to&ard smaller spans of control
False !easy"
1? (hen decisions tend to %e made at lo&er le$els in an organization, the organization is said to %e decentralized
True !moderate"
1M 1ecentralization descri%es the degree to &hich decision ma+ing is concentrated at a single point in the
organization
False !moderate"
1N In the last I8 years, there has %een a trend of organizations mo$ing to&ard increased decentralization
True !easy"
1> )ppropriate organizational structure depends on four $aria%lesL the organization0s strategy, size, technology,
and degree of en$ironmental uncertainty
True !difficult"
B@ .tandardization refers to the degree to &hich 6o%s &ithin the organization are standardized and the e3tent to
&hich employee %eha$ior is guided %y rules and procedures
True !moderate"
OJK)2IP)TIO2)F 1#.IK2 1#CI.IO2.
B1 )n organic organization tends to %e characterized %y high specialization, e3tensi$e departmentalization, narro&
spans of control, high formalization, a limited information net&or+, and little participation in decision/ma+ing
%y lo&/le$el employees
False !moderate"
BB )n organic organization &ould li+ely %e $ery fle3i%le
True !moderate"
BI Inno$ators need the efficiency, sta%ility, and tight controls of the mechanistic structure
False !easy"
BA The relationship %et&een organizational size and structure tends to %e linear
IM
False !difficult"
B8 <oan (ood&ard attempted to $ie& organizational structure from a technological perspecti$e
True !moderate"
B? (ood&ard demonstrated that organizational structures adapted to their technology
True !moderate"
BM (ood&ard0s findings support that there is 'one %est &ay' to organize a manufacturing firm
False !moderate"
BN The strength of the functional structure is that it focuses on results
False !moderate"
B> )ccording to the te3t, a functional structure creates strategic %usiness units
False !moderate"
COMMO2 OJK)2IP)TIO2)F 1#.IK2.
I@ ;ro6ect structures tend to %e rigid and infle3i%le organizational designs
False !easy"
Multiple Choice
) M)2)K#J*. 1IF#MM)
I1 )ccording to the company profile in D) Manager*s 1ilemma,E the organizational structure of 2o+ia is %est
descri%ed as --------------
a mechanistic
% organic !moderate"
c centralized
d formalized
IB The factor contri%uting the most to 2o+ia*s success in the mo%ile phone industry according to the company
profile in D) Manager*s 1ilemmaE is --------------
a ne& product de$elopment !moderate"
% go$ernment su%sidies
c national trade %arriers
d &ea+ competition
II -------------- is the process of creating an organization0s structure
a 9uman resource management
% Feading
c Organizing !moderate"
d ;lanning
e 1epartmentalization
1#FI2I2K OJK)2IP)TIO2)F .TJ5CT5J#
IA )ccording to the te3t, a!n" -------------- is the formal frame&or+ %y &hich 6o% tas+s are di$ided, grouped,
and coordinated
a mission statement
% en$ironmental scan
c internal resource analysis
d organizational structure !moderate"
I8 (hich of the follo&ing is not one of the si3 +ey elements in organizational design4
a &or+ specialization
% departmentalization
IN
c chain of command
d %ureaucratic design !difficult"
e span of control
I? (or+ specialization is also +no&n as --------------
a departmentalization
% centralization
c span of control
d formalization
e di$ision of la%or !easy"
IM The term -------------- is used to descri%e the degree to &hich tas+s in an organization are di$ided into
separate 6o%s
a &or+ ethics
% managerial capitalism
c social responsi%ility
d &or+ specialization !moderate"
IN (hen did the idea of enlarging, rather than narro&ing, 6o% scope %egin4
a 1>8@s
% 1>?@s !moderate"
c 1>M@s
d 1>N@s
e 1>>@s
I> (hich of the follo&ing is not an e3ample of the classical $ie& of di$ision of la%or4
a assem%ly/line production
% 7urger Ging
c Taco 7ell
d TQM !moderate"
e Gentuc+y Fried Chic+en
A@ -------------- is the %asis on &hich 6o%s are grouped in order to accomplish organizational goals
a 1epartmentalization !moderate"
% Centralization
c Formalization
d Coordination
e #fficiency
A1 ) local manufacturing organization has groups of employees &ho are responsi%le for sales, mar+eting,
accounting, human resources, etc These are e3amples of &hat concept4
a authority
% chain of command
c empo&erment
d departmentalization !moderate"
e social grouping
AB Krouping sporting e,uipment in one area, men0s clothing in another area, and cosmetics in a third area, is an
e3ample of &hat +ind departmentalization4
a customer
% product !easy"
c geographic
d process
e outcome
AI .ales responsi%ilities di$ided into the south&est, mid&est, southern, northern, and &estern regions &ould %e an
e3ample of -------------- departmentalization
a product
I>
% geographic !easy"
c process
d outcome
e customer
AA Krouping acti$ities on the %asis of customer flo& is --------------
a functional departmentalization
% product departmentalization
c geographical departmentalization
d process departmentalization !moderate"
e technological departmentalization
A8 (hat type of departmentalization e3pects that each department &ill specialize in one specific phase of the
process or product production4
a product
% geographic
c process !easy"
d outcome
e customer
A? (hat +ind of departmentalization &ould %e in place in a go$ernment organization &here different pu%lic
ser$ice responsi%ilities are di$ided into acti$ities for employers, children, and the disa%led4
a product
% geographic
c process
d outcome
e customer !moderate"
AM (hich of the follo&ing is not a form of departmentalization suggested %y your te3t4
a functional departmentalization
% product departmentalization
c geographical departmentalization
d process departmentalization
e technological departmentalization !difficult"
AN Today0s competiti$e %usiness en$ironment has greatly increased the importance of &hat type of
departmentalization4
a geographic
% customer !difficult"
c product
d process
e outcome
A> )ccording to the te3t, managers are using --------------, &hich are groups of indi$iduals &ho are e3perts in
$arious specialties and &ho &or+ together
a specialized teams
% cross/demanded teams
c cross/functional teams !moderate"
d simple structured teams
8@ (hich of the follo&ing is a contemporary addition to the historical $ie& of departmentalization4
a increased rigidity
% cross/functional teams !moderate"
c enhanced centralization
d elimination of product departmentalization
e addition of sales departmentalization
81 7ringing together the company0s legal counsel, research engineer, and mar+eting specialist for a pro6ect is an
e3ample of a!n" --------------
a empo&ered team
A@
% process departmentalization
c product departmentalization
d cross/functional team !moderate"
e continuous impro$ement team
8B The -------------- is the continuous line of authority that e3tends from upper organizational le$els to the
lo&est le$els and clarifies &ho reports to &hom
a chain of demand
% chain of command !easy"
c demand hierarchy
d continuous design structure
8I To &hom a &or+er reports concerns &hich aspect of organizational structure4
a chain of command !moderate"
% departmentalization
c pay structure
d line of command
e authority frame&or+
8A -------------- entitles a manager to direct the &or+ of a su%ordinate
a Jesponsi%ility
% Fegitimate po&er
c Jan+
d Operating responsi%ility
e )uthority !moderate"
88 -------------- is the o%ligation to perform assigned acti$ities
a )uthority
% Jesponsi%ility !easy"
c Chain of command
d 5nity of command
e Formalization
8? The -------------- principle !one of Fayol*s 1A principles of management" helps preser$e the concept of a
continuous line of authority
a unity of demand
% unity of command !moderate"
c demand structure
d continuous demand
8M .pan of control refers to &hich of the follo&ing concepts4
a ho& much po&er a manager has in the organization
% the geographic dispersion of a manager0s su%units of responsi%ility
c ho& many su%ordinates a manager can effecti$ely and efficiently super$ise !moderate"
d the num%er of su%ordinates affected %y a single managerial order
e the amount of time it ta+es to pass information do&n through a manager0s line of command
8N Other things %eing e,ual, the &ider or larger the span of control, the more -------------- the organizational
design
a %ureaucratic
% democratic
c effecti$e
d efficient !difficult"
e classical
8> (ider spans of control may %e $ie&ed as more efficient, %ut e$entually, &ider spans tend to ha$e &hat effect
on organizations4
a reduced effecti$eness !difficult"
% increased turno$er
c loss of managerial po&er
d customer dissatisfaction
A1
e rigid chains of command
?@ )n organization that spends money on maintaining a &ell/trained &or+ force can e3pect &hich of the follo&ing
span/of/control outcomes4
a increased contempt for management
% increased $oluntary turno$er
c centralized authority
d less direct super$ision !moderate"
e increased need for managerial/le$el employees
?1 ) high/tech manager &ho super$ises the de$elopment of a ne& computer chip needs --------------
compared to a manager &ho super$ises the mailing of unemployment insurance chec+s at the local go$ernment
office
a a%out the same span of control
% a narro&er span of control !difficult"
c a &ider span of control
d a more informal span of control
e elimination of the span of control
?B In general, span of control is -------------- for managers
a increasing !easy"
% decreasing
c staying the same
d significantly decreasing
e no longer important
?I -------------- descri%es the degree to &hich decision ma+ing is concentrated at a single point in the
organization
a 1ecentralization
% Centralization !moderate"
c Transnationalism
d Cross sectional analysis
?A If lo&er/le$el employees pro$ide input or are actually gi$en the discretion to ma+e decisions, the organization
is --------------
a formalized
% centralized
c decentralized !easy"
d mechanistic
e organic
?8 Jecently, there has %een a distinct trend to&ard --------------
a smaller spans of control
% decentralized decision/ma+ing !moderate"
c decreased fle3i%ility
d emphasis on chain of command
e mechanistic organizations
?? (hich of the follo&ing factors (O5F1 2OT influence an organization to ha$e a higher degree of
centralization4
a #n$ironment is sta%le
% Company is geographically dispersed !difficult"
c Company is large
d 1ecisions are significant
e Organization is facing a crisis
?M -------------- refers to the degree to &hich 6o%s &ithin the organization are standardized and the e3tent to
&hich employee %eha$ior is guided %y rules and procedures
AB
a .tandardization
% Centralization
c Chain of command
d .trategy
e Formalization !moderate"
?N )ll of the follo&ing factors indicate that a decentralized organization &ould %e most effecti$e #QC#;T &hen
--------------
a the en$ironment is comple3
% decisions are relati$ely minor
c the organization is facing a crisis !difficult"
d the company is geographically dispersed
e effecti$e implementation of strategies depends on managers ha$ing in$ol$ement and fle3i%ility
to ma+e decisions
?> (hich of the follo&ing factors descri%es an en$ironment in &hich a high degree of decentralization is desired4
a #n$ironment is comple3, uncertain !moderate"
% Fo&er/le$el managers do not &ant to ha$e a say in decisions
c 1ecisions are significant
d Company is large
e Organization is facing a crisis or the ris+ of company failure
M@ The -------------- organizational structure is characterized %y high specialization, e3tensi$e
departmentalization, narro& spans of control and high formalization
a mechanistic !easy"
% organic
c contingency
d adhocracy
e functional
M1 (hich of the follo&ing is 2OT a characteristic of a mechanistic organization4
a high specialization
% &ide spans of control !moderate"
c high formalization
d limited information net&or+
e e3tensi$e departmentalization
MB (hat type of organizational form follo&s classical principles such as unity of command4
a organic
% linear
c decentralized
d mechanistic !moderate"
e adhocracy
OJK)2IP)TIO2)F 1#.IK2 1#CI.IO2.
MI (hich of the follo&ing &ould li+ely %e found in mechanistic organizations4
a &ide span of control
% empo&ered employees
c decentralized responsi%ility
d fe& rules and/or regulations
e standardized 6o% specialties !difficult"
MA )ll of the follo&ing are characteristics of an organic organization #QC#;TL
a narro& spans of control !moderate"
% cross/hierarchical teams
c free flo& of information
d lo& formalization
e cross/functional teams
AI
M8 In the early years of )pple Computers, its desire for highly proficient and creati$e employees &ho operated
&ith fe& &or+ rules &as an e3ample of &hat type of organization4
a %ureaucratic
% mechanistic
c $olatile
d nou$elle
e organic !difficult"
M? (hich of the follo&ing is true concerning an organic organization0s pro%lem/response time4
a It re,uires strict adherence to efficiently de$eloped rules
% Its speed demands clear lines of command
c Jesponse times are slo&er than mechanistic organizations, %ut ans&ers tend to %e more
accurate
d ;rofessional standards guide %eha$ior !difficult"
e The response time is ,uic+ due to the centralized design
MM (hich of the follo&ing is not one of the four contingency $aria%les that help determine appropriate
organizational structure4
a organizational size
% organizational strategy
c organizational technology
d organizational age !moderate"
e degree of en$ironmental uncertainty
MN (hich of the follo&ing is an accurate statement4
a .trategy follo&s structure
% .trategy and structure are e,ual in temporal importance
c .trategy and structure are not lin+ed
d .tructure follo&s strategy !moderate"
e Mechanistic and organic organizations ha$e distinct differences in the application of the relationship
%et&een strategy and structure
M> Most current strategy/structure contingency frame&or+s tend to focus on three strategy dimensions These
dimensions are --------------
a re$enue ma3imization, customer satisfaction, and $isi%ility
% customer satisfaction, employee satisfaction, and ethics
c inno$ation, cost minimization, and imitation !difficult"
d legal considerations, profit ma3imization, and inno$ation
e long/term sur$i$al, profit ma3imization, and customer satisfaction
N@ (hat +ind of relationship is there %et&een organizational size and degree of mechanistic structure4
a /1@
% unclear
c positi$e !moderate"
d %imodal
e e3ponential
N1 <oan (ood&ard0s research &as the first ma6or attempt to $ie& organizational structure from a --------------
perspecti$e
a strategic
% contingency
c size
d departmental
e technological !easy"
NB The three production categories that <oan (ood&ard di$ided organizations into in order to unco$er
relationships %et&een organizational structure and technology are --------------
AA
a unit, mass, process !difficult"
% unit, product, cost
c product, cost, customer
d mass, process, cost
e process, unit, product
NI )ccording to (ood&ard0s studies, &hat type of production &or+s %est &ith a mechanistic structure4
a unit
% process
c product
d mass !moderate"
e 6ust/in/time
NA (hich of the follo&ing is not a characteristic that &ould suggest unit production &ould %e a %est 'fit'4
a lo& horizontal differentiation
% lo& $ertical differentiation
c small/%atch, custom products
d lo& formalization
e mechanistic structure !difficult"
N8 ) characteristic that %oth unit production and process production ha$e is that the most effecti$e organizational
structure for %oth technologies is --------------
a organic !difficult"
% mechanistic
c adhocracy
d matri3
e team
N? (ood&ard0s studies generally demonstrate that organization -------------- should adapt to their
--------------
a processes: en$ironment
% employees: leaders
c technologies: legal constraints
d structures: technology !moderate"
e outputs: resources
NM (hich type of en$ironment is %est suited for mechanistic organizations4
a dynamic
% manufacturing
c ser$ice
d com%ination
e sta%le !moderate"
NN )ccording to the te3t, all of the follo&ing are e3amples of the more traditional organizational designs #QC#;TL
a the simple structure
% the functional structure
c the matri3 structure !moderate"
d the di$isional structure
N> (hich of the follo&ing is not characteristic of a simple organizational structure4
a narro& spans of control !moderate"
% lo& degree of departmentalization
c centralized decision/ma+ing
d little formalization
e information arrangement of employees
COMMO2 OJK)2IP)TIO2)F 1#.IK2.
>@ (hich of the follo&ing terms is associated &ith a simple organizational structure4
A8
a ela%orate
% high/comple3ity
c formal
d decentralized
e flat !moderate"
>1 ) &ine store that employs si3 people most li+ely has &hat +ind of organizational structure4
a %ureaucracy
% simple !difficult"
c functional
d di$isional
e team/%ased
>B )ll of the follo&ing are strengths of a simple organizational structure #QC#;TL
a It0s fast
% It0s ine3pensi$e to maintain
c It0s less ris+y !moderate"
d )ccounta%ility is clear
e It0s fle3i%le
>I ) %ureaucratic or mechanistic design may use a -------------- structure &hich groups similar or related
occupational specialties together
a matri3
% functional !moderate"
c di$isional
d geographic
e team/%ased
>A ) -------------- structure creates strategic %usiness units
a matri3
% functional
c di$isional !difficult"
d geographic
e team/%ased
>8 (hat type of organizational structure is made up of autonomous, self/contained units4
a %ureaucracy
% simple
c functional
d di$isional !moderate"
e team/%ased
>? In &hat type of organizational structure is empo&erment most crucial4
a %ureaucracy
% simple
c functional
d di$isional
e team/%ased !easy"
>M The -------------- is an organizational structure that assigns specialists from different functional
departments to &or+ on one or more pro6ects %eing led %y pro6ect managers
a functional structure
% simple structure
c matri3 structure !moderate"
d di$isional structure
>N The matri3 approach $iolates &hat classical principle4
a unity of command !moderate"
% decentralization
A?
c customer focus
d linear lines of responsi%ility
e large spans of control
>> (hat type of organization assigns specialists from different functional departments to &or+ on one or more
pro6ects led %y a pro6ect manager4
a classical
% contemporary
c matri3 !easy"
d e$olutionary
e product/%ased
1@@ ) -------------- organization is not defined %y, or limited to, the horizontal, $ertical, or e3ternal %oundaries
imposed %y a predefined structure
a team/%ased
% %oundaryless
c mechanistic
d pro6ect !moderate"
e simple
1@1 ) -------------- organization has de$eloped the continuous capacity to adapt and change
a simple
% mechanistic
c %ureaucratic
d team/%ased
e learning !moderate"
M)2)KI2K I2 )2 #/75.I2#.. (OJF1
1@B )ccording to the %o3ed feature, DManaging in an #/7usiness (orld,E all of the follo&ing are needed for #/
%usiness to achie$e the characteristic necessary for success in the digital &orld #QC#;TL
a high $ertical, horizontal, and lateral communication
% cross/hierarchical and cross/functional teams
c e3tensi$e employee empo&erment
d high formalization !moderate"
1@I )ccording to the %o3ed feature, DManaging in an #/7usiness (orld,E )mazoncom*s organizational structure is
%est descri%ed as --------------
a mechanistic
% organic !moderate"
c formal
d diagonal
1@A )ccording to the %o3ed feature, DManaging in an #/7usiness (orld,E the -------------- organization is the
concept that descri%es an #/%usiness organization
a mechanistic
% %oundaryless !moderate"
c functional
d diagonal
1@8 The important characteristics of a learning organization re$ol$e around all of the follo&ing #QC#;TL
a organizational design
% mar+et capitalization !moderate"
c information sharing
d leadership
e culture
.cenarios
AM
1#FI2I2K OJK)2IP)TIO2)F .TJ5CT5J#
Organizational .tructure !.cenario"
Michelle is a registered nurse in charge of a ne& unit in her hospital .he &ould li+e to ha$e a more laid/%ac+
approach to dealing &ith her ne& staff, %ut the hospital demands that there are strict hierarchical le$els and that all
decisions must %e signed off %y Michelle .ometimes this dri$es Michelle nuts: the constant filling out of forms, etc
.he also feels that the numerous le$els of hierarchy are unnecessary and place %arriers %et&een her and her staff .he
isn0t sure &hy things ha$e to %e so 'organized' and is thin+ing a%out spea+ing &ith her %oss to attempt changing her
unit to ha$e more fle3i%ility and fe&er rules
1@? Michelle is concerned a%out her unit0s --------------, the unit0s formal frame&or+ %y &hich 6o% tas+s are
di$ided, grouped and coordinated
a formal organizational chart
% organizational structure !moderate"
c staff
d span of control
e communication lines
1@M Michelle is re,uired to sign off on all decisions, suggesting that they ha$e a -------------- form of decision/
ma+ing authority
a centralized !moderate"
% formal
c autocratic
d policy
e strict
1@N Michelle has noticed that e$eryone is $ery concerned a%out the --------------, the line of authority &ithin
the organization
a responsi%ility
% chain of command !easy"
c span of control
d organizational strategy
e en$ironment
Consultants J 5s !.cenario"
7eth )nn has %een hired as a consultant for QHP Consulting, and her first assignment is to apply the &or+ of <oan
(ood&ard to her client, Custom Feather, Inc Custom Feather ma+es e3pensi$e leather furniture
1@> (ood&ard felt that the effecti$eness of the organization &ould %e related to the -------------- fit
a employee/product
% technology/structure !moderate"
c en$ironment/process
d process/employee
e employee/en$ironment
11@ If Custom Feather produces couches for indi$idual orders, this is termed -------------- production
a mass
% process
c unit !moderate"
d en$ironmental
e procedural
111 If Custom Feather produces in large %atches, this is termed -------------- production
a mass !moderate"
% process
AN
c unit
d en$ironmental
e procedural
11B Custom Feather is una%le to use a continuous process, or -------------- production, %ecause leather is a
uni,ue item
a mass
% process !moderate"
c unit
d en$ironmental
e procedural
OJK)2IP)TIO2)F 1#.IK2 1#CI.IO2.
Hou Can 7an+ on It !.cenario"
.usan0s employer, (estern 7an+, li+e many others, had recently undergone decruitment in order to 'right size' the
organization The 7oard of 1irectors felt that their sagging stoc+ price could %e impro$ed &ith some la%or cost
cutting )long &ith other ne& challenges, a pro%lem no& e3isted &ith span of control and decision/ma+ing authority
In the past, her %an+0s policy &as that no manager should super$ise more than si3 su%ordinates and only managers
should ma+e decisions for their indi$idual units 7ut no&, &ith the cuts in middle management, upper management
had increased the span of control %ut still insisted on managerial/only decision/ma+ing The result &as that managers
spent all of their time putting out fires and su%ordinates felt they &ere getting ans&ers too slo&ly and &anted to start
ha$ing the authority to ma+e decisions on their o&n Clearly, something had to change
11I Of the follo&ing, &hich is not a reason that &ould %e consistent &ith (estern 7an+0s &anting to maintain a
centralized form of decision/ma+ing4
a #n$ironment is uncertain !moderate"
% #n$ironment is sta%le
c Company is large
d 1ecisions are more significant
e Organization is facing a crisis
11A Of the follo&ing &hich is not a reason (estern 7an+ &ould not change to a more decentralized form of
decision/ma+ing4
a lo&er/le$el managers are capa%le of decision/ma+ing
% company is geographically dispersed
c decisions are relati$ely minor
d organization is in ris+ of failure !easy"
e lo&er/le$el managers &ant a $oice in decisions
OJK)2IP)TIO2)F 1#.IK2 1#CI.IO2.
118 .usan %elie$es that (estern 7an+ should %e highly adapti$e and fle3i%le .he &ould li+e for (estern 7an+ to
%e a!n" -------------- structure
a organic !easy"
% mechanistic
c formalized
d technological
e strategic
11? The contingency approach &ould consider all of the follo&ing $aria%les #QC#;T the --------------
a organization0s strategy
% organization0s size
c organization0s age !moderate"
d orga nization0s technology
e degree of en$ironmental uncertainty
Food for Thought !.cenario"
A>
7urgess o&ned a ToutFeMart, a store that sold food and nonfood items in a &arehouse en$ironment 9e employed
I8@ people and had them &or+ in $ery specialized areas .ome people only unloaded the pallets from the truc+s or
dro$e the pallets onto the floor, &hile still others unloaded the pallets in their specific area of responsi%ility 9e had
managers controlling each specific area For e3ample, the automoti$e manager &as in charge of all functions:
accounting, purchasing, sales, etc This arrangement had generally &or+ed &ell, %ut recently, he noticed that
employees seemed %ored and turno$er and a%senteeism had risen In addition, he found that attempting to get special
pro6ects completed, such as creating their ne& 'First/Class Customer' card, had turned into a nightmare due to the
lac+ of cooperation and misunderstanding %et&een the groups
11M ToutFeMart currently operates under the classical $ie& of the di$ision of la%or This is characterized %y &hich
of the follo&ing4
a Hou only report to one manager
% #mployees specialize in doing part of a tas+ !easy"
c #mployees specialize in doing one complete tas+
d ;eople are di$ided according to their &or+ interest
e #mployees are trained to do many tas+s to increase fle3i%ility
11N The type of departmentalization practiced %y ToutFeMart is %est descri%ed as --------------
a product !moderate"
% function
c customer
d geographic
e process
11> If ToutFeMart decided to reorganize their departmentalization so that one manager &as in charge of
accounting, one manager in charge of food stuffs, one manager in charge of nonfood items, etc, this &ould %e
descri%ed as -------------- departmentalization
a product
% function !moderate"
c customer
d geographic
e process
1B@ If 7urgess regularly put together teams made up of specialists from different areas to tac+le ne& pro6ects, li+e
the 'First/Class Customer' card pro6ect, these &ould %e called --------------
a cross/functional teams !easy"
% ,uality circles
c total ,uality management
d special pro6ect teams
e specialty teams
#ssay Questions
1#FI2I2K OJK)2IP)TIO2)F .TJ5CT5J#
1B1 In a short essay, list and e3plain the si3 +ey elements in designing an organization*s structure
)ns&er
a (or+ specialization this concept descri%es the degree to &hich tas+s in an organization are di$ided into
separate 6o%s The essence of &or+ specialization is that an entire 6o% is not done %y one indi$idual %ut
instead is %ro+en do&n into steps, and each step is completed %y a different person
% 1epartmentalization the %asis %y &hich 6o%s are grouped together is called departmentalization The fi$e
common forms of departmentalization include functional, product, geographical, process, and customer
departmentalization
c Chain of command this is the continuous line of authority that e3tends from upper organizational le$els
to the lo&est le$els and clarifies &ho reports to &hom It helps employees ans&er ,uestions such as D(ho
do I go to if I ha$e a pro%lem4E or DTo &hom am I responsi%le4E
8@
d .pan of control this concept is important %ecause, to a large degree, it determines the num%er of le$els
and managers an organization has )ll things %eing e,ual, the &ider or larger the span, the more efficient
the organization
e Centralization and decentralization centralization descri%es the degree to &hich decision ma+ing is
concentrated at a single point in the organization If top managers ma+e the organization*s +ey decisions
&ith little or no input from %elo&, then the organization is centralized In contrast, the more that lo&er/
le$el employees pro$ide input or actually ma+e decisions, the more decentralization there is
f Formalization this refers to the degree to &hich 6o%s &ithin the organization are standardized and the
e3tent to &hich employee %eha$ior is guided %y rules and procedures If a 6o% is highly formalized, then
the person doing that 6o% has a minimum amount of discretion o$er &hat is to %e done, &hen it*s to %e
done, and ho& he or she could do it
!difficult"
1BB In a short essay, list and discuss the fi$e common forms of departmentalization
)ns&er
a Functional departmentalization 6o%s are grouped %y functions !ie mar+eting, finance, human resources"
performed This approach can %e used in all types of organizations, although the functions change to
reflect the organization*s o%6ecti$es and &or+ acti$ities
% ;roduct departmentalization 6o%s are groups %y product line In this approach, each ma6or product area is
placed under the authority of a manager &ho*s a specialist in, and is responsi%le for, e$erything ha$ing to
do &ith that product line
c Keographical departmentalization 6o%s are grouped on the %asis of territory or geography such as
southern, mid/&estern, or north/&estern regions for an organization operating only in the 5nited .tates: or
for a glo%al company, may%e a 5., #uropean, Canadian, and )sian/;acific regions
d ;rocess departmentalization groups 6o%s on the %asis of product or customer flo& In this approach,
&or+ acti$ities follo& a natural processing flo& of product or e$en customers
e Customer departmentalization 6o%s are grouped on the %asis of common customers &ho ha$e common
needs or pro%lems that can %est %e met %y ha$ing specialists for each
!moderate"
1BI In a short essay, e3plain the concepts of authority, responsi%ility, and unity of command
)ns&er
)uthority refers to the rights inherent in a managerial position to tell people &hat to do and to e3pect them to do
it To facilitate decision ma+ing and coordination, an organization*s managers are part of the chain of
command and are granted a certain degree of authority to meet their responsi%ilities )s managers coordinate
and integrate the &or+ of employees, those employees assume an o%ligation to perform any assigned duties
This o%ligation or e3pectation to perform is +no&n as responsi%ility Finally, the unity of command principle
helps preser$e the concepts of a continuous line of authority It states that a person should report to only one
manager (ithout unity of command, conflicting demands and priorities from multiple %osses can create
pro%lems
!easy"
1BA In a short essay, list si3 factors that influence the amount of centralization and si3 factors influence the amount
of decentralization in an organization
)ns&er
More Centralization
a #n$ironment is sta%le
% Fo&er/le$el managers are not as capa%le or e3perienced at ma+ing decisions as upper/le$el managers
c Fo&er/le$el managers do not &ant to ha$e a say in decisions
d 1ecisions are significant
e Organization is facing a crisis or the ris+ of company failure
f Company is large
g #ffecti$e implementation of company strategies depends on managers* retaining say o$er &hat happens
More 1ecentralization
a #n$ironment is comple3, uncertain
81
% Fo&er/le$el managers are capa%le and e3perienced at ma+ing decisions
c Fo&er/le$el managers &ant a $oice in decisions
d 1ecisions are relati$ely minor
e Corporate culture is open to allo&ing managers to ha$e a say in &hat happens
f Company is geographically dispersed
g #ffecti$e implementation of company strategies depends on managers* ha$ing in$ol$ement and fle3i%ility
to ma+e decisions
!moderate"
OJK)2IP)TIO2)F 1#.IK2 1#CI.IO2.
1B8 In a short essay, discuss the characteristics of mechanistic and organic organizations
)ns&er
a The mechanistic organization is a rigid and tightly controlled structure It is characterized %y high
specialization, rigid departmentalization, narro& spans of control, high formalization, a limited information
net&or+ !mostly do&n&ard communication", and little participation Mechanistic types of organizational
structures tend to %e efficiency machines, &ell oiled %y rules, regulations, standardized tas+s, and similar
controls This organizational design tries to minimize the impact of differing personalities, 6udgments, and
am%iguity %ecause these human traits are seen as inefficient and inconsistent
% In direct contrast to the mechanistic form of organization is the organic organization, &hich is as highly
adapti$e and fle3i%le structure a structure as the mechanistic organization is rigid and sta%le Jather than
ha$ing standardized 6o%s and regulations, the organic organization is fle3i%le, &hich allo&s it to change
rapidly as needs re,uire Organic organizations ha$e di$ision of la%or, %ut the 6o%s people do are not
standardized #mployees are highly trained and empo&ered to handle di$erse 6o% acti$ities and pro%lems,
and these organizations fre,uently use employee teams #mployees in organic type organizations re,uire
minimal formal rules and little direct super$ision
!easy"
1B? In a short essay, list and discuss the four contingency $aria%les that should %e considered in determining an
appropriate structure in organizational design
)ns&er
a .trategy and structure an organization*s structure should facilitate the achie$ement of goals 7ecause
goals are influenced %y the organization*s strategies, it*s only logical that strategy and structure should %e
closely lin+ed More specifically, structure should follo& strategy If managers significantly change the
organization*s strategy, they &ill need to modify structure to accommodate and support the change
% .ize and structure there*s considera%le e$idence that an organization*s size significantly affects its
structure For instance, large organizationsCthose &ith B,@@@ or more employeesCtend to ha$e more
specialization, departmentalization, centralization, and rules and regulations than do small organizations
9o&e$er, the relationship isn*t linear Jather, size affects structure at a decreasing rate: that is, size
%ecomes less important as an organization gro&s
c Technology and structure e$ery organization has at least one form of technology to con$ert its inputs into
outputs The processes or methods that transform an organization*s inputs into outputs differ %y their
degree of routineness In general, the more routine the technology, the more standardized and mechanistic
the structure can %e Organizations &ith more nonroutine technology are more li+ely to ha$e organic
structures
d #n$ironmental uncertainty and structure %ecause uncertainty threatens an organization*s effecti$eness,
managers &ill try to minimize it One &ay to reduce en$ironmental uncertainty is through ad6ustments in
the organization*s structure The greater the uncertainty, the greater the need for the fle3i%ility offered %y
an organic design On the other hand, in sta%le, simple en$ironments, mechanistic designs tend to %e most
effecti$e
!difficult"
1BM In a short essay, list and discuss the three types of traditional organizational designs and the strengths and
&ea+nesses of each of these designs
)ns&er
a .imple structure this is an organizational design &ith lo& departmentalization, &ide spans of control,
authority centralized in a single person, and little formalization This structure is most commonly used %y
8B
small %usinesses in &hich the o&ner and manager are one and the same .trengths of this type of
organizational structure are that it is fast, fle3i%le, ine3pensi$e to maintain, and has clear accounta%ility
(ea+nesses are that it %ecomes inappropriate as the organization gro&s and the reliance on one person is
ris+y
% Functional structure this is an organizational design that groups similar or related occupational specialties
together It*s the functional approach to departmentalization applied to the entire organization .trengths
of this types of organizational structure are cost/sa$ing ad$antages from specialization and employees are
grouped &ith other &ho ha$e similar tas+s (ea+nesses are pursuit of functional goals can cause
managers to lose sight of &hat*s %est for the o$erall organization and that functional specialists may
%ecome insulated and ha$e little understanding of &hat other units are doing
c 1i$isional structure this is an organizational structure made up of separate units or di$isions In this
design, each unit or di$ision has relati$ely limited autonomy, &ith a di$ision manager responsi%le for
performance and &ho ha$e strategic operational authority o$er his or her unit ) main strength of this type
of organizational structure is that it focuses on results &here di$ision managers are responsi%le for &hat
happens to their products and ser$ices ) &ea+ness is duplication of acti$ities and resources increases
costs and reduces efficiency
!moderate"
COMMO2 OJK)2IP)TIO2)F 1#.IK2.
1BN In a short essay, discuss the matri3 organizational structure
)ns&er
The matri3 structure is an organizational structure that assigns specialists from different functional departments
to &or+ on one or more pro6ects %eing led %y pro6ect managers One uni,ue aspect of the matri3 design is that
it creates a dual chain of command and e3plicitly $iolates the classical organizing principle of unity of
command #mployees in a matri3 organization ha$e t&o managersL their functional department manager and
their product or pro6ect manager, &ho share authority The pro6ect managers ha$e authority o$er the functional
mem%ers &ho are part of their pro6ect team in areas relati$e to the pro6ect*s goals 9o&e$er, decisions such as
promotions, salary recommendations, and annual re$ie&s remain the functional manager*s responsi%ility To
&or+ effecti$ely, pro6ect and functional managers ha$e to communicate regularly, coordinate &or+ demands on
employees, and resol$e conflicts together
!moderate"
1B> In a short essay, e3plain the concept of a %oundaryless organization
)ns&er
The %oundaryless organization is an organization &hose design is not defined %y, or limited to, the horizontal,
$ertical, or e3ternal %oundaries imposed %y a predefined structure This idea may sound odd, yet many of
today*s most successful organizations are finding that they can most effecti$ely operate in today*s en$ironment
%y remaining fle3i%le and unstructuredL that the ideal structure for them is not ha$ing a rigid, predefined
structure Instead, the %oundaryless organization see+s to eliminate the chain of command, to ha$e limitless
spans of control, and to replace departments &ith empo&ered teams
!easy"
1I@ In a short essay, descri%e a learning organization and list and discuss the four elements &hich the important
characteristics of a learning organization re$ol$es around
)ns&er
) learning organization is an organization that has de$eloped the capacity to continuously adapt and change
%ecause all mem%ers ta+e an acti$e role in identifying and resol$ing &or+/related issues In a learning
organization, employees are practicing +no&ledge management %y continually ac,uiring and sharing ne&
+no&ledge and are &illing to apply that +no&ledge in ma+ing decisions or performing their &or+
a Organizational design / in a learning organization, the organizational structure needs to %e designed to
allo& for mem%ers to share information and colla%orate on &or+ acti$ities throughout the entire
organizationCacross different functional specialties and e$en at different organizational le$els This can
%e done %y minimizing or eliminating the e3isting structural and physical %oundaries In this type of
8I
%oundaryless en$ironment, employees are free to &or+ together and colla%orate in doing the organization*s
&or+ the %est &ay they can and to learn from each other
% Information sharing / for a learning organization to Dlearn,E information must %e shared among mem%ers:
that is, organizational employees must engage in +no&ledge management This means sharing information
openly, in a timely manner, and in as accurate a form as possi%le 7ecause there are fe& structural and
physical %arriers in a learning organization, the en$ironment is conduci$e to open communication and
e3tensi$e information sharing
c Feadership / leadership plays an important role as an organization mo$es to %ecome a learning
organization One of the most important functions of leaders is facilitating the creation of a shared $ision
for the organization*s future and then +eeping organizational mem%ers &or+ing to&ard that $ision In
addition, leaders should support and encourage the colla%orati$e en$ironment that*s critical to learning
(ithout strong and committed leadership throughout the organization, it &ould %e e3tremely difficult to %e
a learning organization
d Culture / the organizational culture is an important aspect of %eing a learning organization ) learning
organization*s culture is one in &hich e$eryone agrees on a shared $ision and e$eryone recognizes the
inherent interrelationships among the organization*s processes, acti$ities, functions, and e3ternal
en$ironment There is a strong sense of community, caring for each other, and trust In a learning
organization, employees feel free to openly communicate, share, e3periment, and learn &ithout fear of
criticism or punishment
!difficult"
Chapter 1I Managing Change and Inno$ation
True/False Questions
(9)T I. C9)2K#4
1 Change is an organizational reality
True !easy"
B Organizational change can %e alteration in people, structure, or technology
True !moderate"
FOJC#. FOJ C9)2K#
I The mar+etplace is an e3ternal force of change
True !moderate"
A The change in demand for health care technicians is an e3ample of an economic change
False !difficult"
8 #conomic changes are an internal force of change
False !moderate"
? )ny manager can %e a change agent
True !moderate"
T(O OI#(. OF T9# C9)2K# ;JOC#..
M The 'calm &aters' approach to change &ould %e consistent &ith Fe&in0s concept of unfreezing, changing, and
refreezing
True !difficult"
N In the '&hite/&ater rapids' metaphor of change, managers should e3pect change at any time, and it may last for
unspecified lengths of time
8A
True !moderate"
M)2)KI2K C9)2K#
> Change threatens the in$estment you0$e already made in the status ,uo
True !easy"
1@ One reason people resist change is that is su%stitutes am%iguity for uncertainty
False !difficult"
11 The manager0s options for change essentially fall into three categoriesL structure, technology, and product
False !difficult"
1B Computerization is a technological change that replaces people &ith machines
False !moderate"
1I ;ro%a%ly the most $isi%le technology changes in recent years ha$e come through managers* efforts to e3pand
corporate financing
False !moderate"
1A .ensiti$ity training is a method of changing %eha$ior through unstructured group interaction
True !easy"
18 Organizational cultures tend to resist change
True !moderate"
1? Techni,ues to change people and the ,uality of interpersonal &or+ relationships are termed organizational
de$elopment
True !moderate"
1M Cultural change is easier &hen the organizational culture is strong
False !easy"
1N The first step in accomplishing organizational cultural change is to initiate a reorganization
False !moderate"
CO2T#M;OJ)JH I..5#. I2 M)2)KI2K C9)2K#
1> Cooptation refers to co$ert attempts to influence
False !moderate"
B@ Manipulation is using direct threats
False !moderate"
B1 ) ma6or disad$antage of coercion is that it is fre,uently illegal
True !moderate"
BB 2egotiation refers to co$ert attempts to influence, t&isting and distorting facts or &ithholding information
False !moderate"
BI In cooptation, an organization see+s to '%uy off' the leaders of a resistance group %y gi$ing them a +ey role in
the change decision
True !moderate"
BA 2e$er negotiate &ith employees as a means of o$ercoming resistance to change
88
False !moderate"
B8 The first step in changing organizational culture is to conduct a cultural analysis
True !easy"
B? In process reengineering, a company drastically changes its structure, technology, and people %y starting from
scratch in ree3amining the &ay the organization0s &or+ is done
True !moderate"
BM .tress is a dynamic condition a person faces &hen confronted &ith an opportunity, constraint, or demand
related to &hat he or she desires and for &hich the outcome is percei$ed to %e %oth uncertain and important
True !moderate"
BN In terms of organizational factors, any attempt to lo&er stress le$els has to %egin &ith employee selection
True !moderate"
M)2)KI2K (OJGFOJC# 1IO#J.ITH
B> The ;arado3 of 1i$ersity is descri%ed as situations in &hich limitations are placed upon di$erse indi$iduals %y
strong organizational cultures
True !moderate"
.TIM5F)TI2K I22OO)TIO2
I@ Creati$ity is the process of ta+ing an idea and turning it into a useful product, ser$ice, or method of operation
False !difficult"
Multiple Choice
) M)2)K#J*. 1IF#MM)
I1 )ccording to the company profile in D) Manager*s 1ilemma,E &hich of the follo&ing %randed products does
;anamerican 7e$erages, Inc sell in Fatin )merica4
a ;epsi
% Coca/Cola !moderate"
c Ocean .pray
d Katorade
e #$ian
IB )ccording to the company profile in D) Manager*s 1ilemma,E Francisco .anchez/Foaeza, ;anamco*s
Chairman and C#O, attri%utes all of the follo&ing organizational factors as important to the company*s success
#QC#;TL
a centralized management philosophy !moderate"
% logistical e3pertise
c inno$ati$e merchandising strategies
d e3cellent financial ste&ardship
e decentralized management philosophy
(9)T I. C9)2K#4
II 7eing a manager, &ith no en$ironmental uncertainty or threat of competitors0 ne& products, &ould %e simple
&ithout any --------------
a go$ernment regulations
% unions
c di$ersity
8?
d cultural differences
e change !moderate"
FOJC#. FOJ C9)2K#
IA (hich of the follo&ing is not an e3ternal force of change4
a mar+etplace
% go$ernment la&s and regulations
c technology
d economic changes
e &or+ force !moderate"
I8 The )mericans (ith 1isa%ilities )ct is an e3ample of &hich of the follo&ing forms of en$ironmental change4
a internal
% technology
c go$ernment la&s and regulations !moderate"
d la%or mar+ets
e economic
I? Changing human resource acti$ities to attract and retain health care specialists due to increased needs for those
&or+ers is an e3ample of &hat +ind of en$ironmental change factor4
a mar+etplace
% technology
c la%or mar+ets !difficult"
d economic
e go$ernment la&s and regulations
IM Falling interest rates &ould most stimulate &hat change factor for a manager4
a mar+etplace
% go$ernment la&s and regulations
c la%or mar+ets
d economic !easy"
e technology
IN (hich of the follo&ing is not an internal force of change4
a technology !moderate"
% strategy
c &or+ force
d employee attitudes
e e,uipment
I> (hat change factor did 9arley/1a$idson motorcycles react to in its turnaround of production ,uality control
and modernization4
a technology
% e3ternal
c &or+ force
d e,uipment
e strategy !difficult"
A@ Increasing the num%ers of employed &omen and minorities forces managers to pay attention to &hat change
factor4
a strategy
% &or+ force !moderate"
c e,uipment
d technology
e employee attitudes
A1 Fa%or stri+es are an e3ample of &hat change factor that may encourage a change in management thin+ing and
practices4
8M
a &or+ force
% e,uipment
c employee attitudes !easy"
d strategy
e go$ernment la&s and regulations
AB In organizations, people &ho act as catalysts and assume responsi%ility for managing the change process, are
called --------------
a change masters
% change agents !moderate"
c operations managers
d charismatic leaders
e transformational leaders
AI In an organization, &ho is usually the change agent4
a C#O
% e3ecuti$e $ice/president
c any manager or nonmanager !difficult"
d any competitor
e union leaders
AA In spurring organizational change, outside consultants are usually more --------------, &hile internal
managers may %e more --------------
a drastic: thoughtful !moderate"
% highly paid: ris+y
c resistant: %old
d cautious: friendly
e interested: scared
T(O OI#(. OF T9# C9)2K# ;JOC#..
A8 Fe&in0s theory is consistent &ith &hich $ie& of organizational change4
a continuous
% contemporary
c Mayo0s
d 'calm &aters' !moderate"
e change in the 1>>@s
A? (ho theorized the change process in$ol$ing unfreezing, changing, and refreezing4
a 1ruc+er
% Jo%%ins
c Fe&in !easy"
d Mayo
e Fa&ler
AM )ccording to Gurt Fe&in, &hich of the follo&ing is not a stage in the change process4
a unfreezing
% changing
c refreezing
d restraining !moderate"
AN )ccording to Gurt Fe&in, increasing the dri$ing forces, &hich direct %eha$ior a&ay from the status ,uo, is a
means of doing &hich of the follo&ing4
a unfreezing !moderate"
% changing
c restraining forces
d refreezing
e melting
8N
A> (hich of the follo&ing terms %est descri%es the t&o primary $ie&s of the change process4
a pro%lematic, encouraged
% occasional, continuous !difficult"
c costly, conser$ati$e
d optimistic, pessimistic
e reacti$e, proacti$e
8@ (hich of the follo&ing is the o%6ecti$e of refreezing, according to Fe&in4
a directs %eha$ior a&ay from the status ,uo
% hinders mo$ement a&ay from e3isting e,uili%rium
c changes to a ne& en$ironment
d eliminates the need for future change
e sta%ilize the ne& situation !moderate"
81 )ccording to the te3t, the -------------- is consistent &ith uncertain and dynamic en$ironments
a calm/&aters metaphor
% &hite/&ater rapids metaphor !moderate"
c contemporary metaphor
d continuous metaphor
e cultural metaphor
8B ) manager &ho comes to &or+ e$ery morning e3pecting that today &ill definitely %ring ne& challenges from
competitors, the &or+ force, etc, $ie&s organizational change in &hat &ay4
a pragmatic
% continuous !moderate"
c pessimistic
d reacti$e
e occasional
8I )ccording to the te3t, managers in such %usinesses as &ireless telecommunications, computer soft&are, and
&omen*s high/fashion clothing ha$e long confronted the --------------
a calm/&aters metaphor
% &hite/&ater rapids metaphor !moderate"
c contemporary metaphor
d continuous metaphor
e cultural metaphor
M)2)KI2K C9)2K#
8A )s --------------, managers should %e moti$ated to initiate change %ecause they are committed to
impro$ing their organization0s effecti$eness
a change agents !difficult"
% efficiency e3perts
c manipulators
d process consultants
e reengineering specialists
88 Managers0 options for change essentially fall into &hat three categories4
a en$ironment, technology, and mission
% structure, technology, and people !difficult"
c mission, structure, and people
d mission, en$ironment, and process
e en$ironment, attitudes, and processes
8? )ccording to the te3t, Dchanging structureE includes alteration in any of the follo&ing #QC#;TL
a authority relations
% coordination mechanisms
c degree of centralization
d 6o% redesign
8>
e technology !moderate"
8M (hich of the follo&ing is not a part of organizational structure4
a &or+ specialization
% departmentalization
c chain of command
d formalization
e &or+ processes !difficult"
8N If an organization increases the span of control, &hat factor is %eing focused on in an organizational change4
a structure !difficult"
% people
c technology
d strategy
e human resources
8> ) company that decides to decentralize its sales procedures is managing &hat change category4
a technology
% people
c e,uipment
d competitors
e structure !moderate"
?@ )ccording to the te3t, competiti$e factors or ne& inno$ations &ithin an industry often re,uire managers to
introduce all of the follo&ing #QC#;TL
a ne& e,uipment
% ne& tools
c ne& operating methods
d ne& employees !moderate"
?1 -------------- is a technological change that replaces people &ith machines
a Operations
% Organizational de$elopment
c )utomation !moderate"
d Jo%otics
e 1o&nsizing
?B ;ro%a%ly the most $isi%le technological changes in recent years ha$e come through managers* efforts to e3pand
-------------
a corporate financing
% organizational culture
c computerization
d employee retention
?I (hen grocery stores installed scanners to read the product price, this &as an e3ample of managing &hat
change category4
a technology !moderate"
% people
c competitors
d structure
e la&s and regulations
?A If Graft Foods hired a consultant to decrease group friction and enhance cooperati$e &or+ relationships, this
&ould %e an e3ample of managing &hat change category4
a technology
% people !difficult"
c competitors
d structure
e la&s and regulations
?@
?8 Techni,ues to change people and the ,uality of interpersonal &or+ relationships are termed --------------
a operations
% organizational de$elopment !moderate"
c do&nsizing
d ro%otics
e automation
?? -------------- is a method of changing %eha$ior through unstructured group interaction
a .ur$ey feed%ac+
% Organizational de$elopment
c .ensiti$ity training !moderate"
d ;rocess consultation
e Team %uilding
?M )ccording to the te3t, an indi$idual is li+ely to resist change %ecause of all of the follo&ing reasons #QC#;TL
a uncertainty
% increased producti$ity !easy"
c concern o$er personal loss
d %elief that the change is not in the organization*s %est interest
?N (hich of the follo&ing reactions to change is a threat to the in$estment you ha$e already made in the status
,uo4
a uncertainty
% freezing
c change is not good for the organization
d concern o$er personal loss !moderate"
e refreezing
?> (hich of the reasons for resistance to change may %e %eneficial to the organization4
a uncertainty
% freezing
c change is not good for the organization !difficult"
d refreezing
e concern o$er personal loss
M@ )ll of the follo&ing are mentioned in the te3t as actions that managers can use to deal &ith resistance to change
#QC#;TL
a education and communication
% di$ersification !moderate"
c participation
d facilitation and support
e negotiation
M1 (hich of the follo&ing techni,ues for reducing resistance to change is %ased on the %elief that, if employees
recei$e the full facts and clarifications, they &ill no longer %e resistant4
a education and communication !easy"
% participation
c facilitation and support
d negotiation
e manipulation and cooptation
MB If G/mart has employees ser$ing on the committee to decide &hat color the ne& uniform colors should %e, this
is an e3ample of &hat tactic for reducing change resistance4
a education and communication
% manipulation and cooptation
c participation !easy"
d facilitation and support
e coercion
?1
MI If a %an+ offers personal and financial counseling to employees prior to an upcoming do&nsizing, this is an
e3ample of &hat +ind of tactic for reducing change resistance4
a education and communication
% coercion
c manipulation and cooptation
d negotiation
e facilitation and support !moderate"
MA If management offers the union guaranteed &age hi+es and a no/layoff promise in e3change for help in
implementing a ne& production process, this &ould %e an e3ample of &hat +ind of tactic for reducing change
resistance4
a participation
% facilitation and support
c coercion
d negotiation !difficult"
e manipulation and cooptation
M8 If a state legislator purposely misrepresents pu%lic employee &ages to the citizens in order to apply do&n&ard
&age pressure in the collecti$e %argaining process, this &ould %e an e3ample of &hat +ind of tactic for
reducing change resistance4
a negotiation
% coercion
c cooptation
d education and communication
e manipulation !difficult"
M? -------------- refers to co$ert attempts to influence, t&isting and distorting facts or &ithholding
information
a 2egotiation
% Coercion
c Cooptation
d #ducation and communication
e Manipulation !moderate"
MM '7uying off' the leader of a resistance group in order to get his/her endorsement is an e3ample of &hat +ind of
tactic for reducing change resistance4
a negotiation
% coercion
c education and commitment
d cooptation !moderate"
e facilitation and support
MN -------------- is using direct threats or force on those &ho resist change
a 2egotiation
% Coercion !moderate"
c Cooptation
d #ducation and communication
e Manipulation
M> ) manager &ho threatens to ruin an employee0s name in the company if he/she does not cooperate &ith an
impending organizational change is using &hat +ind of tactic for reducing change resistance4
a negotiation
% coercion !moderate"
c manipulation and cooptation
d education and communication
e facilitation and support
M)2)KI2K HO5J C)J##J
?B
N@ )ccording to the %o3ed feature, DManaging Hour Career,E all of the follo&ing are e3amples of means in &hich
indi$iduals can rein$ent themsel$es #QC#;TL
a ta+e ad$antage of continuing education or graduate courses at local colleges
% sign up for &or+shops and seminars that can help enhance personal s+ills
c depend on the organization to pro$ide career de$elopment and training opportunities !moderate"
d $oice concerns in a constructi$e manner
N1 (hich of the follo&ing represents the relationship %et&een organizational culture and change4
a Culture and change are naturally compati%le
% Culture tends to %e $ery resistant to change !moderate"
c Culture can change in months %ut not &ee+s
d Culture can ne$er %e purposely changed
e There is no relationship %et&een culture and change
NB (hich of the follo&ing is not a fa$ora%le situational condition that may facilitate change in organizational
culture4
a ) dramatic crisis occurs
% The culture is &ea+
c .toc+ price sharply falls !moderate"
d The organization is young and small
e Feadership changes hands
NI (hich of the follo&ing is the first step in accomplishing organizational cultural change4
a )ppoint ne& leadership &ith a ne& $ision
% Initiate a reorganization
c Conduct a cultural analysis !moderate"
d Change the selection and socialization process
e Introduce ne& stories and rituals to con$ey the ne& mission
NA (hich of the follo&ing is the last step in accomplishing organizational cultural change4
a Ma+e it clear that change is necessary to organizational sur$i$al
% Introduce ne& stories and rituals to con$ey ne& $ision
c )ppoint ne& leadership &ith a ne& $ision
d Change the selection, socialization, and re&ard system to support ne& $alues !difficult"
e Initiate a reorganization
N8 )ll of the follo&ing descri%e Continuous Quality Impro$ement #QC#;TL
a continuous, incremental change
% fi3ing and impro$ing
c redesigning !moderate"
d mostly 'as is'
e &or+s from %ottom up in organization
N? (hich of the follo&ing statements reflects the relationship %et&een Continuous Quality Impro$ement !CQI"
and reengineering4
a They are %asically the same
% CQI %egins &ith reengineering
c They are radically different !difficult"
d Jeengineering %egins &ith TQM
e 7oth re,uire decentralized participati$e decision/ma+ing
NM In -------------, a company drastically changes its structure, technology, and people %y starting from
scratch in ree3amining the &ay the organization0s &or+ is done
a process reengineering
% Continuous Quality Impro$ement !moderate"
c team %uilding
d structural realignment
?I
NN )ll of the follo&ing descri%e process reengineering #QC#;TL
a radical change
% redesigning or starting o$er
c mostly '&hat can %e'
d fi3ing and impro$ing !moderate"
e initiated %y top management
N> -------------- is a dynamic condition a person faces &hen confronted &ith an opportunity, constraint, or
demand related to &hat he or she desires and for &hich the outcome is percei$ed to %e %oth uncertain and
important
a .tereotyping
% .tress !moderate"
c ) halo effect
d Creati$ity
>@ (hich of the follo&ing is true concerning stress4
a It is a static condition
% .tress is a negati$e reaction to an outside force
c .tress is often associated &ith constraints and demands !moderate"
d .tress limits performance
e .tress has nothing to do &ith opportunity
>1 (hich of the follo&ing must %e present for potential stress to %ecome actual stress4
a uncertainty, importance !moderate"
% ris+, $aluation
c age, uncertainty
d certainty, ris+
e pain, desire
>B )ccording to the te3t, stress symptoms can %e grouped under any of the follo&ing three general categories
#QC#;TL
a physiological
% cultural !moderate"
c psychological
d %eha$ioral
>I (hich of the follo&ing general categories of stress symptoms is least rele$ant to managers4
a physiological !moderate"
% cultural
c psychological
d %eha$ioral
>A In terms of organizational factors, any attempt to lo&er stress le$els has to %egin &ith --------------
a employee &or+ loads
% the re&ard system
c the organizational leader
d the organizational culture
e employee selection !difficult"
>8 (hich of the follo&ing is the primary condition to reducing organizational stress4
a good 6o%/person match !moderate"
% merit pay system
c decentralization
d caring and understanding management
e fe&er go$ernment la&s and regulations
>? (hich of the follo&ing is true concerning stress that arises from an employee0s personal life4
a ) manager should offer ad$ice
% ) manager &ho understands his/her su%ordinates can help control employee personal stressors
?A
c Management in$ol$ement may raise ethical concerns !moderate"
d ) caring manager can %e the most effecti$e counselor
e There is nothing the organization should or can do to help relie$e personal stressors
.TIM5F)TI2K I22OO)TIO2
>M -------------- refers to the a%ility to com%ine ideas in a uni,ue &ay or to ma+e unusual associations
%et&een ideas
a Inno$ation
% Imagination
c Creati$ity !moderate"
d Interpreti$e thin+ing
e CQI
>N -------------- is the process of ta+ing a creati$e idea and turning it into a useful product, ser$ice, or method
of operation
a Inno$ation !moderate"
% Imagination
c Creati$ity
d Interpreti$e thin+ing
e CQI
M)2)KI2K I2 )2 #/75.I2#.. (OJF1
>> )ccording to the %o3ed feature, DManaging in an #/7usiness (orld,E &hich of the follo&ing %est descri%es the
metaphor of the #/%usiness &orld4
a calm/&aters
% &hite/&ater rapids !moderate"
c contemporary
d continuous
e cultural
1@@ )ccording to the %o3ed feature, DManaging in an #/7usiness (orld,E Ti$oli .ystems is a di$ision of &hich of
the follo&ing companies4
a Keneral Motors
% Microsoft
c I7M !moderate"
d 9e&lett ;ac+ard
e Kate&ay
1@1 (hich of the follo&ing is an e3ample of a $aria%le that can foster inno$ation4
a mechanistic structure
% organic structure !difficult"
c fe& organizational resources
d lo& am%iguity acceptance
e lo& 6o% security
1@B (hich of the follo&ing is not a cultural $alue that supports inno$ation4
a acceptance of am%iguity
% tolerance for the impractical
c high e3ternal controls !moderate"
d focus on ends, not means
e open/system focus
1@I (hich of the follo&ing human resource $aria%les is supporti$e of organizational inno$ation4
a lo& commitment to training
% selection of Type ) employees
c high 6o% security !moderate"
d unionization
?8
e long 6o% tenure
1@A -------------- acti$ely and enthusiastically support ne& ideas, %uild support, o$ercome resistance, and
ensure that inno$ations are implemented
a Idea champions !moderate"
% (histle %lo&ers
c Idea generators
d Idea screeners
1@8 )ccording to the te3t, all of the follo&ing are common personality characteristics of idea champions #QC#;TL
a e3tremely high/self/confidence
% persistence
c energy
d ris+ a$erse !moderate"
.cenarios
FOJC#. FOJ C9)2K#
Changing The (ay !.cenario"
1ue to his spouse0s accepting a promotion, Colin had recently left his pri$ate sector 6o% in Gansas and accepted a ne&
position in pu%lic ser$ice &ith the state of Ohio The change had %een ,uite a shoc+ at first The organizational
cultures &ere ,uite different and each en$ironment offered a different set of challenges One ne& challenge Colin
accepted &as implementing changes into a state go$ernment system 9istorically, this en$ironment had not seen a lot
of changes, and no&, &ith the changes in (ashington and the mo$e to&ard pri$atization, change &as necessary ;lus,
his agency director &as also ne& and had announced that the agency &ould %e de$eloping a ne& strategic plan
Together, Colin had %een through many changes recently, and &ould %e in$ol$ed in more in the near future
1@? The changes the state go$ernment &as facing due to pressures put on %y (ashington could %e referred to as
a!n" -------------- force of change
a dri$ing
% e3ternal !moderate"
c technological
d internal
e mar+etplace
1@M The changes Colin0s agency &as facing due to the ne& strategic plan anticipated from the ne& director could %e
referred to as a!n" -------------- force of change
a dri$ing
% e3ternal
c technological
d internal !moderate"
e mar+etplace
1@N If Colin accepts the responsi%ility and acts as a catalyst for change, he could %e referred to as a!n"
a change master
% director of change
c change agent !each"
d change manager
e enforcer of change
T(O OI#(. OF T9# C9)2K# ;JOC#..
1@> The past en$ironment of state go$ernment, &ith $ery little change, &here the status ,uo is considered the
e,uili%rium state, &ould %e consistent &ith all %ut &hich of the follo&ing terms4
a calm &aters
% unfreezing
??
c refreezing
d &hite/&ater rapids !easy"
e Fe&in
M)2)KI2K C9)2K#
Ma+ing Change 9appen !.cenario"
Colin &as getting accustomed to his surroundings in state go$ernment 9is efforts at getting people to accept change
had met &ith a little resistance due to his and his ne& director0s efforts and the hard &or+ of his su%ordinates 7ut no&
the hard part really started, actually managing the change (hat techni,ues could he and his agency0s ne& director
employ to most effecti$ely implement changes that &ould result in increased producti$ity in his department4 9e
considered changing three aspects of his agencyL the structure, technology, and people
11@ If the ne& agency director decided to remo$e layers in the agency and increase the span of managerial control,
this &ould %e considered changing the
a structural design
% selection process
c degree of centralization
d structural components !moderate"
e technological design
111 If the agency director decided to shift a&ay from a functional to a product design, this &ould %e considered
changing the
a structural design !challenging"
% selection process
c degree of centralization
d structural components
e technological design
11B If Colin decided to replace some employee &or+ time &ith a telephone menu system, this &ould %e considered
changing the
a organizational structure
% technology !moderate"
c people
d organizational de$elopment
e attitudes
11I Finally, Colin decided his people could %enefit from -----------, a method of changing %eha$ior through
unstructured group interaction
a sur$ey feed%ac+
% sensiti$ity training !difficult"
c team %uilding
d intergroup de$elopment
e process consultation
CO2T#M;OJ)JH I..5#. I2 M)2)KI2K C9)2K#
Changing Culture !.cenario"
Mandy recently returned from her t&o/day managerial seminar, How to Totally Change Your Management and
Leadership Style in Two Days #$en though she felt the seminar &as &orthless !as she had predicted", it did gi$e her a
chance to thin+ a%out ho& to change the culture of her organization .he had %een %rought in %y the ne& C#O as a
change agent, and her position had the authority to ha$e impact .he felt that the recent hostile ta+eo$er %y their
parent company had shoc+ed e$eryone, especially gi$en that the entire organization consisted of only 18@ people and
had %een in %usiness for only fi$e years .he felt this might %e the time to attempt the cultural change &hile e$eryone
&as still thin+ing in terms of change )s she tossed her leadership seminar manual into the &aste%as+et, she
considered &hat might %e her first step and ho& &ell the cultural change &ould &or+
?M
11A Of the follo&ing, &hich is an ad$antage that Mandy has to implement cultural change4
a her ne& leadership s+ills
% the recent purchase of her company !difficult"
c pre$ious sta%le leadership
d her managerial le$el
e her change agent po&er
118 (hich of the follo&ing statements is true concerning the leadership of Mandy0s company and its effect on
cultural change4
a 2e& top leadership can %e an ad$antage !moderate"
% 2e& top leadership is rarely an ad$antage
c It is important for the cultural change to %egin &ith employees first
d Feadership issues ha$e little impact on cultural change
e Jetaining the old leadership &ould ha$e %een prefera%le for cultural change
11? (hich of the follo&ing statements a%out her company is most ad$antageous to Mandy as she attempts to
change the cultural leadership4
a Change &ould %e easiest &ith a company that is older and has a small num%er of employees
% Change &ould %e easiest in an older company &ith many employees
c .mall companies that are ne& are easiest in &hich to implement change !difficult"
d .mall companies that are old are easiest in &hich to implement change
e In terms of cultural change, company size and age rarely matter
11M Of the follo&ing, &hich statement a%out her company0s pre$ious culture &ould %e most ad$antageous to her
accomplishing a change4
a ) pre$iously strong culture is recepti$e to change
% ) pre$iously none3istent culture is recepti$e to change
c ) moderately strong culture is recepti$e to change
d ) &ea+ culture is more recepti$e to change !difficult"
e )n organization &ith multiple cultures is recepti$e to change
Fred0s .tress !.cenario"
Fred &as not handling the change in his department &ell The company had recently changed hands, and e$en though
no one had lost his 6o%, people had %een changing 6o%s and &ere %eing as+ed to mo$e to different locations The ne&
leadership had a completely different outloo+ than those people he had &or+ed under for the past t&enty/one years
Fred found that he &as una%le to concentrate at &or+ and generally felt li+e he did not li+e his 6o% anymore )t home,
he &as getting headaches and ha$ing trou%le sleeping, &hich only enhanced his feeling that things &ere not going to
&or+ out &ell for him (hen he thought a%out it, he had al&ays hated change 9e &or+ed in the 6o% he did partially
%ecause it &as considered sta%le !%oring to some" and predicta%le Fred0s ne& %oss +ept trying to con$ince him that he
&as a $alua%le employee and that ne& opportunities, along &ith salary increases, &ere in his future 5nfortunately,
&hat Fred &anted &as to ha$e things the &ay they used to %e
11N Fred &as o%$iously feeling stress (hich of the follo&ing is not a factor in the definition of stress4
a It is a static condition !moderate"
% It may in$ol$e opportunity or threats
c It is related to &hat a person desires
d It is related to a desire that is uncertain
e It is related to a desire that is important
11> (hich of the follo&ing statements is not true concerning the stress Fred may %e feeling
a .tress may come from any change in Fred0s life
% .tress may come from personal factors
c .tress is not related to personality differences !easy"
d <o%/related factors may %e part of Fred0s stress
e The ne& opportunities Fred may recei$e are positi$e and not part of Fred0s stress
1B@ (hich of the follo&ing &ould %e a %eha$ioral symptom of Fred0s stress4
a headaches
?N
% a rise in Fred0s %lood pressure
c his 6o% dissatisfaction
d his lac+ of concentration at &or+
e pro%lems sleeping !moderate"
#ssay Questions
FOJC#. FOJ C9)2K#
1B1 In a short essay, descri%e four e3ternal and four internal forces of change and pro$ide e3amples of ho& each
force impacts the manager*s 6o%
)ns&er
a The e3ternal forces that create the need for change come from $arious sources In recent years, the
maretplace has affected firms such as 1ell Computer as competition from Kate&ay, )pple, and Toshi%a
intensified in the %attle for consumers* computer purchases These companies constantly adapt to
changing consumer desires as they de$elop ne& ;Cs and impro$e mar+eting strategies !o"ernmental
laws and regulations are a fre,uent impetus for change For e3ample, the passage of the )mericans (ith
1isa%ilities )ct re,uired thousands of organizations to reconfigure restrooms, add ramps, &iden door&ays,
and ta+e other actions to impro$e accommodations for persons &ith disa%ilities Technology also create
the need for change For e3ample, technological impro$ements in e3pensi$e diagnostic e,uipment ha$e
created significant economies of scale for hospitals and medical centers The fluctuation in la#or marets
also forces managers to change For instance, the demand for (e% page designers and (e% site managers
has made it necessary for organizations that need those +inds of employees to change their human resource
management acti$ities to attract and retain s+illed employees in the areas of greatest need $conomic
changes affect almost all organizations For instance, glo%al recessionary pressures force organizations to
%ecome more cost efficient 7ut e$en in a strong economy, uncertainties a%out interest rates, federal
%udget deficits, and currency e3change rates create conditions that may force organizations to change
% In addition to the e3ternal forces, internal forces also can stimulate the need for change These internal
forces tend to originate primarily from the internal operations of the organization or from the impact of
e3ternal changes ) redefinition or modification of an organization*s strategy often introduces a host of
changes For instance, &hen Kordon 7ethune too+ o$er as C#O of %an+rupt Continental )irlines, he
turned it into a &ell/run and profita%le company &ith e3tremely committed employees %y orchestrating a
series of &ell/planned and dramatic strategic changes In addition, an organization*s worforce is rarely
static Its composition changes in terms of age, education, ethnic %ac+ground, and se3 The introduction
of ne& e%uipment represents another internal force for change #mployees may ha$e their 6o%s redesigned,
need to undergo training on ho& to operate the ne& e,uipment, or %e re,uire to esta%lish ne& interaction
patterns &ithin their &or+ group $mployee attitudes such as increased 6o% dissatisfaction may lead to
increased a%senteeism, more $oluntary resignations, and e$en la%or stri+es .uch e$ents &ill, in turn, of
ten lead to changes in management policies and practices
!difficult"
?>
T(O OI#(. OF T9# C9)2K# ;JOC#..
1BB In a short essay, descri%e, compare and contrast the Dcalm &atersE and D&hite/&ater rapidsE $ie&s of
organizational change
)ns&er
a 5p until the late 1>N@*s, the calm &aters metaphor &as fairly description of the situation that managers
faced It*s %est illustrated %y Gurt Fe&in*s three/step description of the change process )ccording to
Fe&in, successful change can %e planned and re,uires unfreezing the status ,uo, changing to a ne& state,
and refreezing to ma+e the change permanent The status ,uo can %e considered an e,uili%rium state To
mo$e from this e,uili%rium, unfreezing is necessary 5nfreezing can %e thought of as preparing for the
needed change It can %e achie$ed %y increasing the dri$ing forces, &hich are forces that dri$e change and
direct %eha$ior a&ay from the status ,uo, decreasing the restraining forces, &hich are forces that resist
change and push %eha$ior to&ards the status ,uo, or com%ining the t&o approaches
% The &hite/&ater rapids metaphor is consistent &ith the discussion of uncertain and dynamic en$ironments
It*s also consistent &ith the dynamics of a &orld that*s increasingly dominated %y information, ideas, and
+no&ledge The sta%ility and predicta%ility of the calm &aters metaphor do not e3ist 1isruptions in the
status ,uo are not occasional and temporary, and they are not follo&ed %y a return to calm &aters
Managers ne$er get out of the rapids They face constant change, %ordering on chaos These managers
must play a game that they*$e ne$er played %efore, and the game is go$erned %y rules that are created as
the game progresses
!easy"
M)2)KI2K C9)2K#
1BI In a short essay, list and discuss the three categories in &hich the options for management to implement change
fall
)ns&er
The manager*s options for change essentially fall into three categoriesL structure, technology, and people
Changing structure includes any alteration in authority relations, coordination mechanisms, degree of
centralization, 6o% redesign, or similar structural $aria%les Changing technology encompasses modification in
the &ay &or+ is performed or the methods and e,uipment that are used Changing people refers to changes in
employee attitudes, e3pectations, perceptions, and %eha$ior
!easy"
1BA In a short essay, list and discuss the three reasons that descri%e &hy people resist change Include an e3ample
of each reason to support your ans&er
)ns&er
)n indi$idual is li+ely to resist change for three reasonsL uncertainty, concern o$er personal loss, and the %elief
that the change is not in the organization*s %est interest Change replaces the +no&n &ith am%iguity and
uncertainty For e3ample, &hen ,uality control methods %ased on sophisticated statistical models are
introduced into manufacturing plants, many ,uality control inspectors ha$e to learn the ne& methods .ome
inspectors may feat that they &ill una%le to do so and may, therefore, de$elop a negati$e attitude to&ard the
change or %eha$e poorly if re,uired to use them The second cause of resistance is the fear of losing something
already possessed The people that people ha$e in$ested in the current system, the more they resist change
This helps e3plain &hy older &or+ers tend to resist change more than younger &or+ers Older employees ha$e
generally in$ested more in the current system and thus ha$e more to lose %y changing ) final cause of
resistance is a person*s %elief that the change is incompati%le &ith the goals and interests of the organization
)n employee &ho %elie$es that a ne& 6o% procedure proposed %y a change agent &ill reduce product ,uality or
producti$ity can %e e3pected to resist the change If the employee e3presses his or her resistance positi$ely,
this type of resistance can %e %eneficial to the organization
!moderate"
1B8 In a short essay, list and descri%e fi$e actions that managers can ta+e to reduce resistance to change
)ns&er
M@
a #ducation and communication communicate &ith employees to help them see the logic of change:
educate employees through one/on/one discussions, memos, groups meetings, or reports: &or+s if source
of resistance is either poor communication or misinformation: must %e mutual trust and credi%ility %et&een
managers and employees
% ;articipation allo&s those &ho oppose a change to participate in the decision: assumes that they ha$e
e3pertise to ma+e meaningful contri%utions: in$ol$ement can reduce resistance, o%tain commitment to
seeing change succeed, and increase ,uality of change decision
c Facilitation and support pro$ide supporti$e efforts such as employee counseling or therapy, ne& s+ills
training, or short paid lea$e of a%sence: can %e time consuming and e3pensi$e
d 2egotiation e3change something of $alue to reduce resistance: potentially high costs and li+elihood of
ha$ing to negotiate &ith other resisters
e Manipulation and cooptation manipulation is co$ert attempts to influence such as t&isting or distorting
facts, &ithholding damaging information, or creating false rumors: cooptation is a form of manipulation
and participation: ine3pensi$e and easy &ays to gain support of resisters: can fail misera%ly if targets feel
they*$e %een tric+ed
f Coercion using direct threats or force: ine3pensi$e and easy &ays to get support: may %e illegal e$en
legal coercion can %e percei$ed as %ullying
!difficult"
CO2T#M;OJ)JH I..5#. I2 M)2)KI2K C9)2K#
1B? In a short essay, list and discuss the four conditions that are most li+ely to facilitate cultural change Include an
e3ample of each condition to support your ans&er
)ns&er
a ) dramatic crisis occurs this can %e the shoc+ that &ea+ens the status ,uo and ma+es people start
thin+ing a%out the rele$ance of the current culture #3amples are a surprising financial set%ac+, the loss of
a ma6or customer, or a dramatic technological inno$ation %y a competitor
% Feadership changes hands ne& top leadership, &ho can pro$ide an alternati$e set of +ey $alues, may %e
percei$ed as more capa%le of responding to the crisis than the old leaders &ere Top leadership includes
the organization*s chief e3ecuti$e %ut might include all senior managers
c The organization is young and small the younger the organization, the less entrenched its culture
.imilarly, it is easier for managers to communicate ne& $alues in a small organization than in a large one
d The culture is &ea+ the more &idely held the $alues and the higher the agreement among mem%ers on
those $alues, the more difficult it &ill %e to change Con$ersely, &ea+ cultures are more recepti$e to
change than are strong ones
!moderate"
1BM In a short essay, discuss the concept of process reengineering Include an e3amples of this concept to support
your ans&er
)ns&er
;rocess reengineering is a%out dramatic and radical shifts in the &ay an organization performs its &or+Cthat is,
its &or+ processes It*s focused on ,uantum changes %y thro&ing out the old &ays of doing things and starting
o$er in redesigning the &ay &or+ is done It in$ol$es defining customer needs and then designing &or+
processes to %est meet those needs For instance, #aton Corporation reengineered its ne&/product/de$elopment
process to help the company reach aggressi$e gro&th goals The managers* and &or+ers* redesign of the
product inno$ation process led to a dou%ling of re$enues and profits during a fi$e/year period 7ecause of the
e3tensi$e nature of process reengineering, it is initiated %y top management 9o&e$er, %ecause the process
itself re,uires significant hands/on input from managers and &or+ers, participati$e decision ma+ing is an
important element
!easy"
1BN In a short essay, define stress 2e3t ,discuss the $arious causes of stress and e3plain ho& managers can
recognize stress in their employees
)ns&er
.tress is a dynamic condition a person faces &hen confronted &ith an opportunity, constraint, or demand
related to &hat he or she desires and for &hich the outcome is percei$ed to %e %oth uncertain and important
M1
.tress is highest for indi$iduals &ho are uncertain &hether they &ill &in or lose and lo&est for indi$iduals &ho
thin+ that &inning or losing is a certainty The importance of the outcome is also a critical factor If &inning or
losing is unimportant, there is no stress The causes of stress can %e found in issues related to the organization
or in personal factors that e$ol$e out of the employee*s pri$ate life Clearly, change of any +ind has the
potential to cause stress .tress symptoms can %e grouped under three general categoriesL physiological,
psychological, and %eha$ioral Of these, the physiological symptoms are least rele$ant to managers Of greater
importance are the psychological and %eha$ioral symptoms since these directly affect an employee*s &or+
!moderate"
.TIM5F)TI2K I22OO)TIO2
1B> In a short essay, define creati$ity and inno$ation 2e3t, discuss the three sets of $aria%les that ha$e %een found
to stimulate inno$ation
)ns&er
a Creati$ity refers to the a%ility to com%ine ideas in a uni,ue &ay or to ma+e unusual associations %et&een
ideas )n organization that stimulates creati$ity de$elops uni,ue &ays to &or+ or no$el solutions to
pro%lems Inno$ation is the process of ta+ing a creati$e idea and turning it into a useful product, ser$ice,
or method of operation Thus, the inno$ati$e organization is characterized %y its a%ility to channel
creati$ity into useful outcomes (hen managers tal+ a%out changing an organization to ma+e it more
creati$e, they usually mean they &ant to stimulate and nurture inno$ation
% The three sets of $aria%les that ha$e %een found to stimulate inno$ation are the organization*s structure,
culture, and human resource practices Jesearch into the effect of structural $aria%les on inno$ation sho&s
three things First, organic structures positi$ely influence inno$ation .econd, the easy a$aila%ility of
plentiful resources pro$ides a +ey %uilding %loc+ for inno$ation Finally, fre,uent inter/unit
communication helps %rea+ do&n %arriers to inno$ation Inno$ati$e organizations tend to ha$e similar
cultures They encourage e3perimentation: re&ard %oth successes and failures: and cele%rate mista+es
(ithin the human resource category, inno$ati$e organizations acti$ely promote the training and
de$elopment of their mem%ers so that their +no&ledge remains current: offer their employees high 6o%
security to reduce the fear of getting fired for ma+ing mista+es: and encourage indi$iduals to %ecome
DchampionsE of change
!difficult"
1I@ In a short essay, list and discuss si3 characteristics of an inno$ati$e culture
)ns&er
a )cceptance of am%iguity too much emphasis on o%6ecti$ity and specificity constrains creati$ity
% Tolerance of the impractical indi$iduals &ho offer impractical, e$en foolish, ans&ers to &hat/if ,uestions
are not stifled (hat at first seems impractical might lead to inno$ati$e solutions
c Fo& e3ternal controls rules, regulations, policies, and similar organizational controls are +ept to a
minimum
d Tolerance of ris+ employees are encouraged to e3periment &ithout fear of conse,uences should they fail
Mista+es are treated as learning opportunities
e Tolerance of conflict di$ersity of opinions is encouraged 9armony and agreement %et&een indi$iduals
or units are not assumed to %e e$idence of high performance
f Focus on ends rather than means goals are made clear, and indi$iduals are encouraged to consider
alternati$e routes to&ard meeting the goals Focusing on ends suggests that there might %e se$eral right
ans&ers to any gi$en pro%lem
g Open/system focus managers closely monitor the en$ironment and respond to changes as they occur
!moderate"
Chapter 1A Foundations of 7eha$ior
True/False Questions
)TTTIT51#.
I )ttitudes are e$aluati$e statement concerning o%6ects, people, or e$ents
True !moderate"
MB
A (hen an employee says, 'I ma+e less money at this company than I could earn at another company,' he/she is
reflecting the cogniti$e component of an attitude
True !difficult"
8 The %eha$ioral component of an attitude is made up of the %eliefs, opinions, +no&ledge, or information held %y
a person
False !moderate"
? The term 'attitude' usually refers to the affecti$e component
True !moderate"
M N<o% in$ol$ement is the degree to &hich an employee identifies &ith his or her 6o%, acti$ely participates in it,
and considers his or her 6o% performance to %e important to his or her self/&orth
True !moderate"
N> Cogniti$e dissonance theory see+s to e3plain the correlated relationship %et&een the affecti$e, cogniti$e, and
%eha$ioral components of attitudes
False !moderate"
> The satisfaction/performance correlations are strongest for higher/le$el employees
True !moderate"
1@ 7eing happy at &or+ results in employees %eing producti$e &or+ers
False !moderate"
;#J.O2)FITH
11 )ccording to the Myers/7riggs Type Indicator, a person &ho rates strongly as a 'percepti$e' &ould li+ely %e
spontaneous
True !moderate"
1B The Myers/7riggs Type Indicator lac+s e$idence to support its $alidity
True !moderate"
1I In the 7ig Fi$e Model, emotional security &as positi$ely related to 6o% performance
False !difficult"
1A The 7ig Fi$e Model found that calm and secure &or+ers performed %etter than ner$ous ones
False !difficult"
18 #mployees &ith high self/esteem tend to %e more satisfied &ith their 6o%s than lo& .#s
True !moderate"
1? ) person &ho %elie$es that if he &or+s hard, he &ill %e successful, &ould %e descri%ed as ha$ing an internal
locus of control
True !easy"
1M ) person &ho rates as %eing high in Machia$ellianism &ould accomplish her tas+ regardless of &hat it ta+es
True !moderate"
1N ) lo& self/monitoring employee &ould not ad6ust &ell to self/sent signals, %ut responds &ell to signals in
his/her e3ternal en$ironment
False !difficult"
1> )ccording to 9olland0s Typology, enterprising types tend to %e self/confident, am%itious, energetic and
domineering
True !moderate"
MI
B@ )ccording to 9olland0s Typology, a realistic personality type might %e &ell suited to %e an economist
False !moderate"
B1 ;eople from Middle #astern countries %elie$e they can dominate their en$ironment
False !difficult"
BB 5. &or+ers, more than Iranian &or+ers, &ould li+ely ha$e an e3ternal locus of control
False !moderate"
BI )ccording to 9olland0s Oocational ;reference In$entory, farming is considered a con$entional 6o% type
False !moderate"
;#JC#;TIO2
BA ;erception is a process %y &hich indi$iduals gi$e meaning to their en$ironment %y organizing and interpreting
their sensory impressions
True !moderate"
B8 )ttri%ution is a process %y &hich indi$iduals organize and interpret their sensory impressions in order to gi$e
meaning to their en$ironment
False !easy"
B? 1istincti$eness refers to &hether an indi$idual displays a %eha$ior in many situations or &hether it0s particular
to one situation
True !moderate"
BM In stereotyping, the o%ser$er*s perception of others is influenced %y the o%ser$er*s o&n characteristics than %y
those of the person o%ser$ed
False !moderate"
BN Hour human resource director %elie$es that married employees are more sta%le than single persons are This is
an e3ample of the halo assumed similarity
False !moderate"
B> If a manager thin+s that all attracti$e employees are also producti$e employees, the manager is committing
an error %ased on a halo effect
True !moderate"
I@ Operant conditioning argues that %eha$ior is a function of its conse,uences
True !easy"
Multiple Choice
) M)2)K#J*. 1IF#MM)
I1 )ccording to the %o3ed feature, D) Manager*s 1ilemma,E &hat is the dilemma facing Gelman at ;lumtree4
a determining ho& to e3pand the %usiness
% determining ho& to properly implement the strategic plan
c determining ho& to %alance personal and %usiness issues &ith his roommates !moderate"
d determining ho& to source additional capital
(9H FOOG )T I21IOI15)F 7#9)OIOJ4
IB (hich of the follo&ing are the t&o ma6or areas on &hich organizational %eha$ior focuses4
a indi$idual %eha$ior, group %eha$ior !moderate"
% managerial %eha$ior, employee %eha$ior
c traits, en$ironments
d macro personality traits, micro personality traits
MA
e cogniti$e, %eha$ioral outcomes
II (hich of the follo&ing is not associated &ith the study of indi$iduals4
a attitudes
% moti$ation
c roles !difficult"
d perception
e learning
IA (hich of the follo&ing is associated &ith the study of indi$iduals4
a norms
% roles
c team %uilding
d perception !moderate"
e conflict
I8 The goals of organizational %eha$ior are to -------------- and -------------- %eha$ior
a understand: control
% impact: change
c e3plain: predict !moderate"
d categorize: simplify
e understand: counsel
I? The four common %eha$iors typically studied in organizational %eha$ior are employee producti$ity,
a%senteeism, turno$er, and the attitude of --------------
a 6o% satisfaction !moderate"
% pay satisfaction
c indi$idualism
d ris+ ta+ing
e creati$ity
)TTIT51#
IM (hich of the follo&ing reflects an attitude4
a The %uilding is tall
% The mo$ie &as fun !difficult"
c I get paid more than my spouse
d Ice cream is cold
e I &or+ from N to 8
IN The three components that ma+e up an attitude are --------------
a cogniti$e, affecti$e, %eha$ioral !easy"
% traits, %eha$ioral, emotional
c +no&ledge, opinion, indi$idual history
d intention, opinion, en$ironment
e pre/opinion, e3perience, e$aluation
I> In the statement, 'The high&ay is $ery %usy at 8 pm and is scary to dri$e on, so I0ll &ait until M pm to go
home,' the phrase, 'The high&ay is $ery %usy,' represents &hich component of an attitude4
a cogniti$e !difficult"
% %eha$ioral
c emoti$e
d affecti$e
e 6udgmental
A@ In the statement, 'The high&ay is $ery %usy at 8 pm and is scary to dri$e on, so I0ll &ait until M pm to go
home,' the &ord 'scary' represents &hich component of an attitude4
a cogniti$e
M8
% %eha$ioral
c emoti$e
d affecti$e !difficult"
e 6udgmental
A1 In the statement, 'The high&ay is $ery %usy at 8 pm and is scary to dri$e, so I0ll &ait until M pm to go home,'
the phrase, 'so I0ll &ait until M pm to go home,' represents &hich component of an attitude4
a cogniti$e
% %eha$ioral !difficult"
c emoti$e
d affecti$e
e 6udgmental
AB 5sually, the term attitude refers only to the -------------- component
a cogniti$e
% emoti$e
c 6udgmental
d %eha$ioral
e affecti$e !easy"
AI ) management trainee &or+ing for a %an+ &ho says, '(or+ing in this industry is 6ust not &ho I am as a
person,' pro%a%ly lac+s --------------
a 6o% satisfaction
% self perceptions
c organizational commitment
d 6o% in$ol$ement !difficult"
e pay satisfaction
AA (hich of the follo&ing terms is defined as 'an employee0s orientation to&ard the organization in terms of
his/her loyalty, identification, and in$ol$ement'4
a 6o% satisfaction
% self perception
c organizational commitment !easy"
d 6o% in$ol$ement
e pay satisfaction
A8 -------------- refers to any inconsistency that an indi$idual might percei$e %et&een t&o or more of his/her
attitudes or %et&een his/her %eha$ior and attitudes
a 7eha$ioral inconsistency
% )ffecti$e dissonance
c Cogniti$e dissonance !moderate"
d )ttitude ad6ustment
e #moti$e disfunctioning
A? The cogniti$e dissonance theory proposed that the desire to reduce dissonance is determined %y
--------------
a importance, influence, and re&ards !difficult"
% economics, politics, and organizational structure
c sta%ility, position, and po&er
d a&areness, status, and punishments
e authority, responsi%ility, and rele$ance
AM (hich of the follo&ing cases contains an element that may lead a politician to correct cogniti$e dissonance4
a ) politician does not really care if the spotted o&l li$es or %ecomes e3tinct
% The politician has the po&er to pass legislation to +eep the spotted o&l from e3tinction !difficult"
c The politician &ill get re/elected for ignoring the needs of the spotted o&l
d The politician gre& up in the city
e The politician is a male
M?
AN (hat does the research e$idence suggest a%out the statement, '9appy &or+ers are producti$e &or+ers'4
a It0s false: instead, producti$e &or+ers are least happy
% There is strong supporti$e e$idence since the 9a&thorne studies
c There is a small positi$e relationship %et&een the t&o $aria%les !moderate"
d )ctually, there is no relationship %et&een the t&o $aria%les
e It is true for the manufacturing sector %ut not the ser$ice sector
A> (here does the 'happy &or+er/producti$e &or+er' relationship seem to %e most strong4
a higher/le$el employees !moderate"
% lo&er/le$el employees
c ser$ice industry employees
d manufacturing sector employees
e entry/le$el employees
8@ (hich of the follo&ing is true a%out organizationally committed and satisfied employees4
a lo&er rates of turno$er and a%senteeism !easy"
% higher rates of $oluntary turno$er
c higher rates of cogniti$e dissonance
d much higher pay le$els
e less ris+ ta+ing
;#J.@2)FITH
81 (hen &e descri%e someone as 'shy,' 'aggressi$e,' 'e3tro$erted,' or 'loyal,' &e are tal+ing a%out his or her
--------------
a attitude
% %eha$ior
c personality !easy"
d emotion
e a%ility
8B )ccording to the te3t, an indi$idual*s -------------- is the uni,ue com%ination of the psychological traits
used to descri%e that person
a moral
% attitude
c %eha$ior
d personality !moderate"
e perception
8I (hich of the follo&ing is not one of the four dimensions of the Myers/7riggs Type Indicator4
a e3tro$ert or intro$ert
% sensing or intuiti$e
c agreea%leness or disagreea%leness !moderate"
d feeling or thin+ing
e percepti$e or 6udgmental
8A The first dimension of the Myers/7riggs Type Indicator concerns your le$el of --------------
a preference for gathering data
% preference for decision ma+ing
c social interaction !difficult"
d style of decision ma+ing
e internal or e3ternal orientation
88 The Myers/7riggs Type Indicator categorizes preference for gathering data as --------------
a e3tro$ert or intro$ert
% sensing or intuiti$e !moderate"
c feeling or thin+ing
d agreea%le or disagreea%le
MM
e percepti$e or 6udgmental
8? If you are a person &ho disli+es ta+ing time for precision &or+, such as completing ta3 returns, you &ould
pro%a%ly score high on &hat aspect of the Myers/7riggs Type Indicator4
a e3tro$ert
% feeling
c intuiti$e !difficult"
d 6udgmental
e sensing
8M The Myers/7riggs Type Indicator assesses preferences for decision ma+ing as --------------
a e3tro$ert or intro$ert
% sensing or intuiti$e
c feeling or thin+ing !moderate"
d agreea%le or disagreea%le
e percepti$e or 6udgmental
8N )s a manager, if you prefer to ha$e a harmonious &or+ en$ironment, and disli+e reprimanding your
su%ordinates, you &ould pro%a%ly score high on &hich of Myers/7riggs indicators4
a intro$ert
% sensing
c intuiti$e
d feeling !moderate"
e percepti$e
8> The M7TI assesses style of ma+ing decisions as --------------
a e3tro$ert or intro$ert
% sensing or intuiti$e
c feeling or thin+ing
d agreea%le or disagreea%le
e percepti$e or 6udgmental !moderate"
?@ If your %oss could %e descri%ed as fle3i%le, adapta%le, and tolerant, he/she &ould pro%a%ly score high on &hich
Myers/7riggs indicator4
a e3tro$ert
% sensing
c feeling
d percepti$e !moderate"
e intuiti$e
?1 In the Myers/7riggs assessment, if you are a good planner, you &ould pro%a%ly score high on &hich scale4
a e3tro$ert
% intuiti$e
c thin+ing
d percepti$e
e 6udgmental !difficult"
?B The 7ig/Fi$e Model of personality includes all of the follo&ing #QC#;T
a e3tro$ersion
% agreea%leness
c conscientiousness
d emotional sta%ility
e social interaction !difficult"
?I The degree to &hich someone is responsi%le, dependa%le, persistent, and achie$ement oriented is descri%ed as
&hich of the follo&ing %ig fi$e personality traits4
a e3tra$ersion
% agreea%leness
MN
c conscientiousness !moderate"
d emotional sta%ility
e openness to e3perience
?A Jesults of a study of the 7ig/Fi$e Model include --------------
a emotional security &as positi$ely related to 6o% performance
% calm &or+ers perform %etter than ner$ous ones
c conscientiousness predicted 6o% performance !difficult"
d intro$ersion predicted performance in managerial positions
e openness to e3perience &as unimportant in predicting training competency
?8 -------------- is the degree to &hich people %elie$e they are masters of their o&n fate
a Machia$ellianism
% .elf/esteem
c .elf/monitoring
d Focus of control !easy"
e Jis+ ta+ing
?? )ccording to the te3t, an -------------- locus of control is one in &hich people %elie$e that they control
their o&n destiny
a e3ternal
% internal !moderate"
c superficial
d imaginary
e diagonal
?M #mployees &ho ha$e a high internal locus of control e3hi%it all %ut &hich of the follo&ing4
a more satisfaction &ith their 6o%s !moderate"
% more alienated from their &or+ setting
c less in$ol$ed in their 6o%s
d %lame their %osses for poor performance
e %lame co/&or+ers for their poor performance
?N -------------- is a measure of the degree to &hich people are pragmatic, maintain emotional distance, and
%elie$e that ends can 6ustify means
a Machia$ellianism !easy"
% .elf/esteem
c .elf/monitoring
d Focus of control
e Jis+ ta+ing
?> ) person &ho %elie$es that 'the ends 6ustify the means' &ould descri%e a person &ho has a high le$el of &hat
personality trait4
a .elf/confidence
% Machia$ellianism !moderate"
c Focus of control
d .elf/monitoring
e .elf/perception
M@ (hich of the follo&ing is true a%out people &ith high self/ esteem4
a They ha$e lo& e3pectations for success %ut are happy &ith themsel$es
% They ta+e fe&er ris+s than others
c They choose more uncon$entional 6o%s !moderate"
d They are suscepti%le to e3ternal influence
e They change 6o%s more often
M1 -------------- is a personality trait that measures an indi$idual0s a%ility to ad6ust his or her %eha$ior to
e3ternal situational factors
a Machia$ellianism
M>
% .elf/esteem
c .elf/monitoring
d Focus of control !easy"
e Jis+ ta+ing
MB ) person &ho can adapt and ad6ust her %eha$ior to e3ternal factors &ould descri%e &hich of the follo&ing
personality traits4
a lo& self/esteem
% internal locus of control
c high self/monitoring !moderate"
d high ris+/ta+ing
e lo& authoritarianism
MI ) manager &ho ta+es $ery little time to ma+e a decision pro%a%ly could %e descri%ed %y &hat personality trait4
a high self/esteem
% e3ternal locus of control
c lo& self/monitoring
d high ris+ ta+ing !moderate"
e high authoritarianism
MA (hich of the follo&ing is true a%out high ris+ ta+ers4
a They ma+e slo&er decisions than lo& ris+ ta+ers and ha$e a higher le$el of accuracy
% They ma+e ,uic+er decisions than lo& ris+ ta+ers %ut ha$e a%out the same le$el of accuracy !difficult"
c They ma+e slo&er decisions than lo& ris+ ta+ers %ut ha$e a lo&er le$el of accuracy
d They ma+e ,uic+er decisions than lo& ris+ ta+ers %ut ha$e a lo&er le$el of accuracy
e There is a different relationship %et&een ris+ ta+ing and accuracy for men and &omen
M8 (hich of the follo&ing is true concerning personality types and national cultures4
a There is no relationship %et&een nationality type and cultures
% Middle #astern countries %elie$e they can dominate their en$ironment
c Hou &ould find many people &ith an internal locus of control in the 5. and Canada !difficult"
d 2orth )mericans %elie$e life is essentially predetermined
e The 5. rates high in po&er distance
M? (hich psychologist is associated &ith a &ell/documented personality/6o% fit theory4
a 7andura
% )dams
c 9olland !moderate"
d .+inner
e Ool+er
MM (hich of the follo&ing is not one of 9olland0s personality types4
a realistic
% in$estigati$e
c artistic
d e3tro$erted !moderate"
e social
MN ) %iologist &ould %e a good occupational match for &hat personality type4
a realistic
% in$estigati$e !moderate"
c social
d enterprising
e artistic
M> ) person &ho rates high on 9olland0s social scale &ould pro%a%ly find a good match &ith &hich of the
follo&ing 6o%s4
a farmer
% painter
c teacher !difficult"
N@
d economist
e %an+ teller
N@ ) person rating high on the con$entional personality type &ould ha$e a good 6o% match for all %ut &hich of the
follo&ing 6o%s4
a accountant
% corporate manager
c mathematician !difficult"
d %an+ teller
e file cler+
N1 )ccording to 9olland, %ecoming a la&yer &ould %e a good 6o% match for someone &ith &hat type of
personality type4
a realistic
% in$estigati$e
c con$entional
d enterprising !moderate"
e social
NB (riting &ould %e a good 6o% match for a!n" -------------- personality type, according to 9olland
a realistic
% in$estigati$e
c social
d enterprising
e artistic !moderate"
;#JC#;TIO2
NI -------------- is the process of organizing and interpreting sensory impressions to gi$e meaning to the
en$ironment
a )ttri%ution
% .election
c Fearning
d Conditioning
e ;erception !easy"
NA -------------- theory e3plains ho& &e 6udge people differently depending on &hat meaning &e attri%ute to a
gi$en %eha$ior
a ;erception
% 7eha$ior
c )ttri%ution !moderate"
d .ocial contrast
e Intuiti$e meaning
N8 If only ? out of B@ managers completed their su%ordinate performance appraisals on time, &e &ould pro%a%ly
attri%ute manager non/completion to &hich of the follo&ing4
a other managers
% an e3ternal source !difficult"
c one manager
d an internal source
e a personality fla&
N? -------------- refers to &hether an indi$idual displays a %eha$ior in many situations or &hether it0s
particular to one situation
a Consistency
% 1istincti$eness !easy"
c )ttri%ution
d .election
e ;erception
N1
NM If &e are attempting to decide &hether a particular %eha$ior of an indi$idual is unusual or not, &e are ma+ing
6udgment on &hat factor of attri%ution theory4
a consensus
% distincti$eness !difficult"
c repetiti$eness
d consistency
e control
NN If a person &ho is al&ays late for &or+ is late once again and %lames it on a train, co/&or+ers &ould pro%a%ly
attri%ute that person0s lateness to --------------
a the train
% an e3ternal source
c the indi$idual !easy"
d the car
e %ad luc+
N> -------------- refers to &hether a person responds the same &ay o$er time
a Consistency !easy"
% 1istincti$eness
c )ttri%ution
d .election
e ;erception
>@ The fact that indi$iduals, &hen o%ser$ing others, tend to underestimate the influence of e3ternal factors and
o$erestimate the influence of internal factors is called --------------
a %lame theory
% self/ser$ing %ias
c e3ternal consistency %ias
d internal fa$oritism
e fundamental attri%ution error !moderate"
>1 (e tend to attri%ute our o&n successes to --------------, &hile putting the %lame for our failures on
--------------
a luc+: the en$ironment
% a%ility: luc+ !moderate"
c po&er: other people
d our parents: oursel$es
e our %osses: co/&or+ers
>B '.peed reading' others is related to &hat +ind of perception shortcut4
a assumed similarity
% selecti$e perception !moderate"
c stereotyping
d halo effect
e contrast effect
>I In --------------, the o%ser$er*s perception of others is influenced more %y the o%ser$er*s o&n
characteristics than %y those of the person o%ser$ed
a stereotyping
% self/ser$ing %ias
c assumed similarity !moderate"
d halo effect
e selecti$ity
>A (hen people 6udge someone on the %asis of the perception of a group they are a part of, they are using the
shortcut called ---------------
a stereotyping !moderate"
NB
% self/ser$ing %ias
c assumed similarity
d halo effect
e selecti$ity
>8 If a manager is hesitant to hire older people %ecause 'they are slo&,' he/she is e3hi%iting &hat +ind of
perception shortcut4
a selecti$e perception
% assumed similarity
c stereotyping !difficult"
d horn effect
e halo effect
>? (hen people form a general impression a%out a person on the %asis of a single characteristic, such as
intelligence, socia%ility, or appearance, they are %eing influenced %y --------------
a selecti$ity
% assumed similarity
c the halo effect !moderate"
d stereotyping
e the contrast effect
>M ) recruiter &ho assumes that a candidate &ith a high K;) also has other great 6o% match ,ualities !&ithout
chec+ing", has engaged in &hat type of perception shortcut4
a selecti$ity
% assumed similarity
c halo effect !moderate"
d stereotyping
e contrast effect
F#)J2I2K
>N )ny relati$ely permanent change in %eha$ior that occurs as a result of e3perience is +no&n as
--------------
a training
% learning !easy"
c de$elopment
d change
e effort
>> )ccording to .+inner, if a manager &ants employees to sho& up for &or+ on time, &hich of the follo&ing
should that manager do4
a Compliment employees &hen they sho& up on time !difficult"
% .ay nothing &hen employees sho& up late
c ;unish employees &ho arri$e late
d 1o not do anything since %eha$iors are %ased on innate personality
e .ometimes compliment employees &hen they arri$e late
1@@ (hich of the follo&ing is true concerning social learning theory4
a It is theoretically in opposition to operant conditioning
% It &as de$eloped %y Freud
c It suggests &e can learn %y &atching !moderate"
d It is a strict %eha$iorist theory
e It suggests &e cannot learn %y direct e3perience
M)2)KI2K HO5J C)J##J
1@1 )ccording to the %o3ed feature, DManaging Hour Career,E all of the follo&ing are types of difficult people
#QC#;TL
NI
a the hostile, aggressi$e types
% the unethical, persuader !moderate"
c the complainers
d the silent or nonresponsi$e types
e the +no&/it/all e3perts
1@B )ccording to the %o3ed feature, DManaging Hour Career,E &hich of the follo&ing types of difficult people
should the facts %e stated &ithout comment or apology and the con$ersation %e s&itched to pro%lem sol$ing4
a the hostile, aggressi$e types
% the unethical, persuader
c the complainers !moderate"
d the silent or nonresponsi$e types
e the +no&/it/all e3perts
1@I )ccording to the %o3ed feature, DManaging Hour Career,E &ith &hich of the follo&ing types of difficult people
should open/ended ,uestions %e as+ed and a friendly, silent stare %e used4
a the hostile, aggressi$e types
% the unethical, persuader
c the complainers
d the silent or nonresponsi$e types !moderate"
e the +no&/it/all e3perts
1@A (hich of the follo&ing is a managerial tool that can help guide employees in their learning in graduated steps4
a retention %eha$ior
% reproduction %eha$ior
c reinforcement %eha$ior
d shaping %eha$ior !moderate"
e moti$ational %eha$ior
1@8 ) %oss &ho promises to remo$e a past &ritten reprimand from an employee0s personal file, if he/she is on time
for &or+ during the ne3t t&o months, is using --------------
a positi$e reinforcement
% negati$e reinforcement !difficult"
c punishment
d e3tinction
e forcing
.cenarios
;#J.O2)FITH
<ust Hour Type #mployees !.cenario"
1oug has recently %een promoted to manager of a group of thirteen scientists )ll of his employees are &ell educated
and ha$e %een &ith the company for a minimum of three years In an attempt to learn more a%out the employees and
to %etter assign them to 6o%s that they &ill en6oy, he has administered the Myers/7riggs Type Indicator
1@? .andy is patient &ith details and good at precise &or+ .he disli+es ne& pro%lems unless there are standard
&ays to sol$e them .andy0s preferred method of gathering data is --------------
a sensing !moderate"
% feeling
c intro$erted
d intuiti$e
e 6udgmental
1@M Keorge disli+es telling people unpleasant things and relates &ell to most people Keorge tends to %e
a sensing
% feeling !moderate"
c intro$erted
NA
d intuiti$e
e 6udgmental
1@N )lan tends to disli+e doing the same thing o$er and o$er again and 6umps to conclusions 9e is impatient &ith
routine details )lan0s data gathering preference is --------------
a sensing
% feeling
c intro$erted
d intuiti$e !moderate"
e 6udgmental
1@> 1oug0s decision/ma+ing style is spontaneous 9e focuses on starting a tas+ and postpones decisions 9is
decision/ma+ing style is --------------
a sensing
% feeling
c intro$erted
d percepti$e !moderate"
e 6udgmental
)n Interesting Kroup !.cenario"
Jo%in had her hands full .he had recently ta+en o$er managing the technical support group at her company and
immediately noticed that her super$isors represented a collection of personalities li+e she had ne$er seen %efore .he
&as ha$ing a pro%lem understanding them and called the human resource department &ho referred her to a local
psychologist The psychologist suggested that there %e some 'lo&/+ey' testing completed Jo%in agreed, as she felt
she had to ha$e some understanding of her super$isors soon or she &ould go nuts=
The testing &as completed and Jo%in re$ie&ed the results of the information
11@ though clearly capa%le, Mary did not seem to li+e herself 9er results indicated an un&illingness to ta+e ris+s in
6o% selection and seemed $ery suscepti%le to e$aluations from other people Together, these finding indicate
that Mary --------------
a &as high in cogniti$e dissonance
% &as high in Machia$ellianism
c &as lo& in self/monitoring
d &as lo& in self/esteem !easy"
e &as high in ris+ ta+ing
111 ;eter, her assistant manager, seemed to al&ays maintain an emotional distance from others // and others from
him 9e is self/descri%ed as 'pragmatic,' and the tests indicate that he %elie$e that the 'ends 6ustify the means,'
descriptions &hich are consistent &ith characteristics of --------------
a high Machia$ellianism !easy"
% lo& self/esteem
c high self/monitoring
d lo& cogniti$e dissonance
e high ris+ ta+ing
11B .arah, the floor super$isor, seems to %e a different person depending on &hom she is &ith and &hat the
situation demands The tests &ere consistent &ith this o%ser$ation, indicating her a%ility to ad6ust her %eha$ior
This is consistent &ith her %eing descri%ed as ha$ing --------------
a high self/esteem
% lo& Machia$ellianism
c high ris+ ta+ing
d lo& cogniti$e dissonance
e high self/monitoring !moderate"
11I Ge$in &as a &hirl&ind as research and de$elopment super$isor 9e made decisions $ery ,uic+ly and al&ays
&ith less information than others This characteristic &as consistent &ith his test, &hich descri%ed him as
ha$ing --------------
a high self/esteem
N8
% lo& Machia$ellianism
c high ris+ ta+ing !moderate"
d lo& cogniti$e dissonance
e high self/monitoring
Mentoring Careers !.cenario"
<eff &as glad to see the high school interns come and &or+ in his office // and glad to see them go It &as not that he
did not en6oy their company or that they did not &or+ hard and attempt to perform at a high le$el Many times he had
seen +ids come into his plant determined to %e in a particular occupation that they &ere not cut out for It &as %oth
frustrating and sad to see them try so hard at something they did not li+e and &ere not good at performing .o, for this
ne3t group of fi$e interns he decided to do something different 9e did a little research and found out a%out 9olland0s
Typology of ;ersonality and Oocational ;reference Then, as the interns arri$ed, he as+ed each to ta+e the test to help
guide them into occupations for &hich they may %etter %e suited
11A The testing indicated that .ally prefers coordinated physical acti$ity and she &as %asically shy, sta%le, and
conforming )ll %ut &hich of the follo&ing occupations is a potentially good match for her4
a mechanic
% drill press operator
c %iologist !difficult"
d assem%ly/line &or+er
e farmer
118 1arrin0s testing indicated that he prefers acti$ities in$ol$ing thin+ing, organizing, and understanding and that he
is %asically analytical and curious )ll %ut &hich of the follo&ing occupations is a potentially good match for
him4
a economist
% mathematician
c ne&s reporter
d accountant !difficult"
e %iologist
11? The testing suggested that 7ridget prefers rule/regulated, orderly, and unam%iguous acti$ities and could %e
descri%ed as conforming, efficient, and practical )ll #QC#;T &hich of the follo&ing occupations is a
potentially good match for her4
a corporate manager
% %an+ teller
c accountant
d file cler+
e teacher !difficult"
11M )ndre& prefers acti$ities that in$ol$e helping and de$eloping others Consistent &ith the testing, he is
descri%ed as %eing social, friendly, and understanding )ll #QC#;T &hich of the follo&ing occupations is a
potentially good match for him4
a social &or+er
% &riter !difficult"
c teacher
d counselor
e clinical psychologist
;#JC#;TIO2
(hich Is It4 !.cenario"
Chris had %een Finda0s %oss no& for a%out si3 months Jecently, Finda had %een recommending the firing of Charles,
one of her o&n staff for his repeated 'ina%ility to get along &ith others' Chris chec+ed &ith Charles0s co/&or+ers and
none of them supported Finda0s contention In addition, se$eral of Finda0s peers had met &ith Chris (ord of
Charles0s fate &as getting out and they &anted to let Chris +no& that in the past other employees had %een singled out
%y Finda for persecution (hen as+ed for specific pro%lems &ith Charles, Finda mentioned that in addition to his
attitude he had %een late se$eral times recently Chris +ne& that Charles li$ed se$eral miles a&ay and that others had
N?
%een late due to poor &eather Chris did not +no& &hether he should support Finda, his manager, or hold off and not
fire Charles
11N (hich factor of attri%ution theory &as Chris concerned a%out &hen he as+ed Charles0s co&or+ers a%out Finda0s
o%ser$ations a%out his attitude pro%lem4
a consistency
% repeatedness
c consensus
d distincti$eness !difficult"
e seriousness
11> (hat factor of attri%ution theory &as Chris concerned a%out &hen Finda0s peers mentioned a%out her past
history &ith su%ordinates4
a consistency !difficult"
% repeatedness
c consensus
d distincti$eness
e seriousness
1B@ (hat factor of attri%ution theory &as Chris concerned a%out &hen he found out that others %esides Charles had
%een late to &or+ %ecause of the &eather4
a consistency
% repeatedness
c consensus
d distincti$eness !difficult"
e seriousness
#ssay Questions
)TTIT51#.
1B1 In a short essay, define attitudes 2e3t, list and discuss the three components that attitudes are made of
Include an e3ample of a statement that descri%es each component to support your ans&er
)ns&er
a )ttitudes are e$aluati$e statementsCeither fa$ora%le or unfa$ora%leCconcerning o%6ects, people, or
e$ents They reflect ho& an indi$idual feels a%out something (hen a person says, DI li+e my 6o%,E he or
she is e3pressing an attitude a%out &or+
% The three components that ma+e up attitudes are cognition, affect, and %eha$ior The cogniti$e component
of an attitude is made up of the %eliefs, opinions, +no&ledge, or information held %y a person The %elief
that Ddiscrimination is &rongE illustrates a cognition The affecti$e component of an attitude is the
emotional or feeling part of an attitude This component &ould %e reflected %y the statement, DI don*t li+e
<on %ecause he discriminates against minoritiesE Finally, affect can lead to %eha$ioral outcomes The
%eha$ioral component of an attitude refers to an intention to %eha$e in a certain &ay to&ard someone or
something For instance, DI might choose to a$oid <on %ecause of my feelings a%out himE is an e3ample of
the %eha$ioral component of an attitude
!moderate"
1BB In a short essay, define cogniti$e dissonance and discuss the three factors that affect ho& people cope &ith
cogniti$e dissonance
)ns&er
Cogniti$e dissonance is any incompati%ility or inconsistency %et&een attitudes or %et&een %eha$ior and
attitudes The theory argued that any form of inconsistency is uncomforta%le and that indi$iduals &ill try to
reduce the dissonance and thus, the discomfort In other &ords, indi$iduals see+ sta%ility &ith a minimum of
dissonance 9o& do people cope &ith cogniti$e dissonance4 The theory proposed that the desire to reduce
dissonance is determined %y the importance of the factors creating the dissonance, the degree of influence the
indi$idual %elie$es he or she has o$er those factors, and the rewards that may %e in$ol$ed in dissonance If the
NM
factors creating the dissonance are relati$e unimportant, the pressure to correct the inconsistency &ill %e lo&
If indi$iduals percei$e the dissonance to %e an uncontrolla%le resultCsomething a%out &hich they ha$e no
choiceCthey are not li+ely to %e recepti$e to attitude change or to feel a need for it Finally, coupling high
dissonance &ith high re&ards tends to reduce the discomfort inherent in the dissonance, %y moti$ating the
indi$idual to %elie$e that there is consistency
!difficult"
;#J.O2)FITH
1BI In a short essay, discuss the Myers/7riggs Type Indicator 7e sure to include a discussion of the four
dimensions of personality to support your ans&er
)ns&er
One of the most popular personality tests is the Myers/7riggs Type Indicator It consists of more than a
hundred ,uestions that as+ people ho& they usually act or feel in different situations The &ay an indi$idual
responds to these ,uestions puts him or her at one end or another of four dimensions
a .ocial interaction !e3tro$ert or intro$ert" an e3tro$ert is someone &ho is outgoing, dominant, and often
aggressi$e and &ho &ants to change the &orld #3tro$erts need a &or+ en$ironment that is $aried and
action oriented, that lets them %e &ith others, and that gi$es them a $ariety of e3periences )n indi$idual
&ho is shy and &ithdra&n and focusing on understanding the &orld is descri%ed as an intro$ert Intro$erts
prefer a &or+ en$ironment that is ,uiet and concentrated, that lets them %e alone, and that gi$es them a
chance to e3plore in depth a limited set of e3periences
% ;reference for gathering data !sensing or intuiti$e" sensing types disli+e ne& pro%lems unless there are
standard &ays to sol$e them: they li+e an esta%lished routine, ha$e a high need for closure, sho& patience
&ith routine details, and tend to %e good at precise &or+ On the other hand, intuiti$e types are indi$iduals
&ho li+e sol$ing ne& pro%lems, disli+e doing the same thing o$er and o$er again, 6ump to conclusions, are
impatient &ith routine details, and disli+e ta+ing time for precision
c ;reference for decision ma+ing !feeling or thin+ing" indi$iduals &ho are feeling types are a&are of other
people and their feelings, li+e harmony, need occasional praise, disli+e telling people unpleasant things,
tend to %e sympathetic, and relate &ell to most people Thin+ing types are unemotional and uninterested in
people*s feelings, li+e analysis and putting things into logical order, are a%le to reprimand people and fire
them &hen necessary, may seem hard/hearted, and tend to relate &ell only to other thin+ing types
d .tyle of ma+ing decisions !percepti$e or 6udgmental" percepti$e types are curious, spontaneous, fle3i%le,
adapta%le, and tolerant They focus on starting a tas+, postpone decisions, and &ant to find out all a%out
the tas+ %efore starting it <udgmental types are decisi$e, good planners, purposeful, and e3acting They
focus on completing a tas+, ma+e decisions ,uic+ly, and &ant only the information necessary to get a tas+
done
!moderate"
1BA In a short essay, list and discuss the fi$e personality traits that are %ased on the 7ig/Fi$e Model of
;ersonality
)ns&er
a #3tro$ersion the degree to &hich someone is socia%le, tal+ati$e, and asserti$e
% )greea%leness the degree to &hich someone is good/natured, cooperati$e, and trusting
c Conscientiousness the degree to &hich someone is responsi%le, dependa%le, persistent, and achie$ement
oriented
d #motional sta%ility the degree to &hich someone is calm, enthusiastic, and secure or tense, ner$ous,
depressed, and insecure
e Openness to e3perience the degree to &hich someone is imaginati$e, artistically sensiti$e, and
intellectual
!easy"
1B8 In a short essay, list and descri%e fi$e types of personalities %ased on the personality/6o% theory as de$eloped %y
psychologist <ohn 9olland Include a description of the characteristics and sample occupations of each
personality to support your ans&er
)ns&er
NN
a Jealistic prefers physical acti$ities that re,uire s+ill, strength, and coordination ;ersonality
characteristics include %eing shy, genuine, persistent, sta%le, conforming, and practical .ample
occupations include mechanic, drill press operator, assem%ly/line &or+er, and farmer
% In$estigati$e prefers acti$ities in$ol$ing thin+ing, organizing, and understanding ;ersonality
characteristics include %eing analytical, original, curious, and independent .ample occupations include
%iologist, economist, mathematician, and ne&s reporter
c .ocial prefers acti$ities that in$ol$e helping and de$eloping others ;ersonality characteristics include
%eing socia%le, friendly, cooperati$e, and understanding .ample occupations include social &or+er,
teacher, counselor, and clinical psychologist
d Con$entional prefers rule/regulated, orderly, and unam%iguous acti$ities ;ersonality characteristics
include %eing conforming, efficient, practical, unimaginati$e, and infle3i%le .ample occupations include
accountant, corporate manager, %an+ teller, and file cler+
e #nterprising prefers $er%al acti$ities in &hich there are opportunities to influence others and attain
po&er ;ersonality characteristics include %eing self/confident, am%itious, energetic, and domineering
.ample occupations include la&yer, real estate agent, and small %usiness manager
f )rtistic prefers am%iguous and unsystematic acti$ities that allo& creati$e e3pression ;ersonality
characteristics include %eing imaginati$e, disorderly, idealistic, emotional, and impractical .ample
occupations include painter, musician, &riter, and interior decorator
!moderate"
1B? In a short essay, list and discuss the fi$e personality traits that ha$e pro$ed to %e the most po&erful in
e3plaining indi$idual %eha$ior in organizations
)ns&er
a Focus of control some people %elie$e that they control their o&n fate Others see themsel$es as pa&ns,
%elie$ing that &hat happens to them in their li$es is due to luc+ or chance The locus of control in the first
case is internal: these people %elie$e that they control their o&n destiny The locus of control in the second
case is e3ternal: these people %elie$e that their li$es are controlled %y outside forces Jesearch e$idence
indicates that employees &ho rate high on e3ternality are less satisfied &ith their 6o%s, more alienated from
the &or+ setting, and less in$ol$ed in their 6o%s than are those &ho rate high on internality
% Machia$ellianism an indi$idual &ho is high in Machia$ellianism is pragmatic, maintains emotional
distance, and %elie$es that ends can 6ustify means In 6o%s that re,uire %argaining s+ills or that ha$e
su%stantial re&ards for &inning, high Machs are producti$e In 6o%s in &hich ends do not 6ustify the means
or that lac+ a%solute measures of performance, it*s difficult to predict the performance of high Machs
c .elf/esteem people differ in the degree to &hich they li+e or disli+e themsel$es This trait is called self/
esteem !.#" The research on self/esteem offers some interesting insight into organizational %eha$ior
For e3ample, self/esteem is directly related to e3pectations for success 9igh .#s %elie$e that they possess
the a%ility they need in order to succeed at &or+ Indi$iduals &ith high .#s &ill ta+e more ris+s in 6o%
selection and are more li+ely to choose uncon$entional 6o%s than are people &ith lo& .# ) num%er of
studies confirm that high .#s are more satisfied &ith their 6o%s than are lo& .#s
d .elf/monitoring this refers to an indi$idual*s a%ility to ad6ust his or her %eha$ior to e3ternal, situation
factors Indi$iduals high in self/monitoring sho& considera%le adapta%ility in ad6usting their %eha$ior
They*re highly sensiti$e to e3ternal cues and can %eha$e differently in different situations 9igh self/
monitors are capa%le of presenting stri+ing contradictions %et&een their pu%lic persona and their pri$ate
sel$es Fo& self/monitors cannot ad6ust their %eha$ior They tend to display their true dispositions and
attitudes in e$ery situation, and there*s high %eha$ioral consistency %et&een &ho they are and &hat they
do
e Jis+/ta+ing people differ in their &illingness to ta+e chances 1ifferences in the propensity to assume or
to a$oid ris+ ha$e %een sho&n to affect ho& long it ta+es managers to ma+e a decision and ho& much
information they re,uire %efore ma+ing their choice To ma3imize organizational effecti$eness, managers
should try to align employee ris+/ta+ing propensity &ith specific 6o% demands For instance, high ris+/
ta+ing propensity may lead to effecti$e performance for a commodity trader in a %ro+erage firm %ecause
this type of 6o% demands rapid decision ma+ing On the other hand, high ris+/ta+ing propensity might
pro$e a ma6or o%stacle to accountants auditing financial statements
!difficult"
;#JC#;TIO2
N>
1BM In a short essay, descri%e the attri%ution theory and discuss the three factors that determine e3ternally caused
%eha$ior %ased on the attri%ution theory
)ns&er
a )ttri%ution theory &as de$eloped to e3plain ho& indi$iduals 6udge people differently depending on &hat
meaning they attri%ute to a gi$en %eha$ior 7asically, the theory suggests that &hen people o%ser$e an
indi$idual*s %eha$ior, &e attempt to determine &hether it &as internally or e3ternally caused Internally
caused %eha$iors are those that are %elie$ed to %e under the personal control of the indi$idual #3ternally
caused %eha$ior results from outside factors: that is, the person is forced into the %eha$ior %y the situation
% That determination, ho&e$er, depends on three factorsL distincti"eness& consensus& and consistency'
1istincti$eness refers to &hether an indi$idual displays a %eha$ior in many situations or &hether it*s
particular to one situation If e$eryone &ho is faced &ith a similar situation responds in the same &ay, the
%eha$ior sho&s consensus Finally, an o%ser$er loo+s for consistency in a person*s actions The more
consistent the %eha$ior, the more the o%ser$er is inclined to attri%ute it to internal causes
!difficult"
1BN In a short essay, define perception 2e3t, list and discuss the factors that shape and sometimes distort
perception
)ns&er
;erception is a process %y &hich indi$iduals gi$e meaning to their en$ironment %y organizing and interpreting
their sensory impressions Jesearch on perception consistently demonstrates that indi$iduals may loo+ at the
same thing yet percei$e it differently ) num%er of factors act to shape and sometimes distort perception
These factors can reside in the percei$er: in the o%6ect, or target, %eing percei$ed: or in the conte3t of the
situation in &hich the perception occurs
a The percei$er &hen an indi$idual loo+s at a target and attempts to interpret &hat he or she sees, the
indi$idual*s personal characteristics &ill hea$ily influence the interpretation These personal
characteristics include attitudes, personality, moti$es, interests, e3periences, and e3pectations
% The target the characteristics of the target %eing o%ser$ed can also affect &hat*s percei$ed 7ecause
targets are not loo+ed at in isolation, the relationship of a target to its %ac+ground also influences
perception, as does the tendency to group close things and similar things together
c The situation the conte3t in &hich an indi$idual see o%6ects or e$ents is also important The time at
&hich an o%6ect or e$en is seen can influence attention, as can location, light, heat, color, and any num%er
of other situational factors
!moderate"
1B> In a short essay, list and discuss three shortcuts fre,uently used in 6udging others 1iscuss the impact these
shortcuts ha$e on the management of employees
)ns&er
a Indi$iduals cannot assimilate all they o%ser$e, so they engage in selecti$ity They ta+e in %its and pieces
of the $ast amounts of stimuli %om%arding their senses These %its and pieces are not chosen randomly:
they are selecti$ely chosen depending on the interests, %ac+ground, e3perience, and attitudes of the
o%ser$er .electi$e perception allo&s us to Dspeed readE others, %ut not &ithout the ris+ of %eing
inaccurate It*s easy to 6udge others if &e assume that they*re similar to us In assumed similarly, the
o%ser$er*s perception of others is influenced more %y the o%ser$er*s o&n characteristics than %y those of
the person o%ser$ed (hen &e 6udge someone on the %asis of our perception of a group he or she is part
of, stereotyping is the shortcut %eing used (hen indi$iduals form a general impression a%out a person on
the %asis of a single characteristic, such as intelligence, socia%ility, or appearance, the halo effect is the
influencing factor
% Managers need to recognize that their employees react to perceptions, not to reality .o &hether a
manager*s appraisal of an employee is actually o%6ecti$e and un%iased or &hether the organization*s &age
le$els are among the highest in the community is less rele$ant than &hat employees percei$e them to %e
If indi$iduals percei$e appraisals to %e %iased or &age le$els as lo&, they &ill %eha$e as if those conditions
actually e3ist #mployees organize and interpret &hat they see, so there is al&ays the potential for
perceptual distortion
!moderate"
>@
M)2)KI2K HO5J C)J##J
1I@ In a short essay, list the four most common types of difficult people and discuss the strategies for dealing &ith
them
)ns&er
a The hostile, aggressi$e types &ith this type, you need toL stand up for yourself: gi$e them time to run
do&n: don*t &orry a%out %eing polite: 6ust 6ump in if you need to: get their attention carefully: get them to
sit do&n: spea+ from your o&n point of $ie&: a$oid a head/on fight: and %e ready to %e friendly
% The complainers &ith the complainers you need toL listen attenti$ely: ac+no&ledge their concerns: %e
prepared to interrupt their litany of complaints: don*t agree, %ut do ac+no&ledge &hat they are saying: state
facts &ithout comment or apology: and s&itch them to pro%lem sol$ing
c The silent or nonresponsi$e types &ith this type, you need toL as+ open/ended ,uestions: use the
friendly, silent start: don*t fill the silent pauses for them in con$ersations: comment on &hat*s happening:
and help %rea+ the tension %y ma+ing them feel more at ease
d The +no&/it/all e3perts the +eys to dealing &ith this type areL %e on top of things: listen and
ac+no&ledge their comments: ,uestion firmly, %ut don*t confront: a$oid %eing a countere3pert: and &or+
&ith them to channel their energy in positi$e directions
!easy"
Chapter 18 5nderstanding Kroups and Teams
True/False Questions
) M)2)K#J*. 1IF#MM)
1 )ccording to the company profile in D) Manager*s 1ilemma,E .tra&%erryFrog is descri%ed as a D%ig
%ureaucratic organizationE
False !moderate"
521#J.T)21I2K KJO5; 7#9)OIOJ
B Command groups, cross/functional teams, self/managed teams, and tas+ forces are all e3amples of informal
groups
False !moderate"
I To %e considered a group, there must %e at least fi$e people
False !moderate"
A Cross/functional teams are composed of people from different &or+ areas
True !easy"
8 Tas+ forces are permanent teams that ta+e on special pro6ects
False !moderate"
? The first stage of group de$elopment is storming
False !moderate"
M In the storming stage of group de$elopment, intragroup conflict often occurs
True !moderate"
N (hen the forming stage is complete, there &ill %e a relati$ely clear hierarchy of leadership &ithin the group and
agreement on the group*s direction
False !difficult"
> 5nder some conditions, high le$els of conflict are conduci$e to high le$els of group performance
True !difficult"
>1
1@ ) norm is a set of e3pected %eha$ior patterns attri%uted to someone &ho occupies a gi$en position in a social
unit
False !difficult"
11 Joles are accepta%le standards shared %y a group0s mem%ers
False !easy"
1B The impact that group pressures for conformity can ha$e on an indi$idual mem%er0s 6udgment and attitudes &as
demonstrated in research %y .olomon )sch
True !moderate"
1I .mall groups tend to complete tas+s faster than larger groups
True !easy"
1A )s group size increases, the contri%ution of indi$idual mem%ers tends to decrease
True !moderate"
18 The human relations $ie& of conflict held that conflict must %e a$oided %ecause it indicates a malfunctioning
&ithin the group
False !moderate"
1? The interactionist $ie& of conflict holds that some conflict is a%solutely necessary for effecti$e group
performance
True !moderate"
1M Jesol$ing conflicts %y placing another0s needs and concerns a%o$e one0s o&n is termed forcing
False !moderate"
1N Compromise offers the ultimate &in/&in solution to conflict
False !moderate"
1> #3ternal conditions tend to ha$e little influence on group performance
False !moderate"
B@ )n ad$antage of group decisions is that they increase acceptance of a solution
True !easy"
B1 Kroupthin+ is a form of group conformity in &hich group mem%ers &ithhold de$iant, minority, or unpopular
$ie&s in order to gi$e the appearance of agreement
True !moderate"
T5J2I2K KJO5;. I2TO #FF#CTIO# T#)M.
BB (or+ teams are formal groups made up of interdependent indi$iduals &ho are responsi%le for the attainment of
a goal
True !moderate"
BI ) self/managed &or+ team %rings together e3perts in $arious specialties to &or+ together on $arious
organizational tas+s
False !moderate"
BA ) formal group of employees &ho operate &ithout a manager and are responsi%le for a complete &or+ process
or segment is referred to as the self/managed team
True !moderate"
B8 Functional teams are teams that use computer technology to lin+ physically dispersed mem%ers in order to
achie$e a common goal
False !moderate"
>B
B? Mo$ing decision ma+ing $ertically do&n to teams allo&s the organization greater fle3i%ility for faster
decisions
True !difficult"
1#O#FO;I2K )21 M)2)KI2K #FF#CTIO# T#)M.
BM Mutual trust is important in de$eloping effecti$e teams
True !easy"
BN #ffecti$e team leaders are increasingly ta+ing the role of coach and facilitator
True !easy"
B> Koal setting is important for teams, 6ust as it is for indi$idual employees
True !moderate"
I@ Kainsharing is one type of re&ard system used &ith &or+ teams
True !easy"
Multiple Choice
) M)2)K#J*. 1IF#MM)
I1 )ccording to the company profile in D) Manager*s 1ilemma,E &hich of the follo&ing descri%es the types of
teams used to de$elop successful ad campaigns for clients of .tra&%erryFrog4
a functional teams
% domestic teams
c regional teams
d $irtual teams !moderate"
521#J.T)21I2K KJO5; 7#9)OIOJ
IB (hich of the follo&ing a%out groups is true4
a Hou need fi$e or more people to %e considered a &or+ group
% The definition of groups suggests that a group is t&o or more people together for any reason
c Kroups can %e either formal or informal !moderate"
d Formal groups are aimed at specific social agendas
e Informal groups are indirect %enefits of strategic planning
II (hich of the follo&ing &ould %e considered a formal group4
a tas+ force for employee %irthday cele%rations
% reading group
c %o&ling team
d %ringing people from $arious functions to sol$e a %usiness dilemma !moderate"
e %ro&n %ag lunch group
IA In &hat type of formal group is the traditional &or+ group determined %y formal authority relationships4
a command groups !moderate"
% cross/functional teams
c self/managed teams
d %usiness unit alliances
e tas+ forces
I8 (hich of the follo&ing is not a formal group4
a command groups
% tas+ forces
c cross/functional teams
d self/managed teams
>I
e %usiness unit alliances !difficult"
I? (hich of the follo&ing formal groups are essentially independent groups, &hich, in addition to their regular
6o%, ta+e on tas+s such as hiring, performance e$aluations, etc4
a %usiness unit alliances
% command groups
c self/managed teams !moderate"
d cross/functional teams
e tas+ forces
IM Temporary groups created to accomplish a specific tas+ are termed -------------
a command groups
% cross/functional teams
c self/directed teams
d self/managed teams
e tas+ forces !easy"
IN (hich of the follo&ing is not a stage of group de$elopment4
a performing
% conforming !easy"
c ad6ourning
d forming
e storming
I> In &hich of the follo&ing stages of group de$elopment do people 6oin the group either %ecause of a &or+
assignment, in the case of a formal group, or for some other %enefit desired, in the case of an informal group4
a forming !moderate"
% conforming
c storming
d norming
e performing
A@ The stage of group de$elopment in &hich you &ould most li+ely see a %attle o$er group leadership is
---------------
a forming
% conforming
c storming !moderate"
d norming
e performing
A1 )t the completion of &hich of the follo&ing stages of group de$elopment &ould there %e a relati$ely clear
hierarchy of leadership &ithin the group and agreement on the group*s direction4
a forming
% conforming
c storming !moderate"
d norming
e performing
AB (hat stage of group de$elopment is complete &hen the group structure solidifies and the group has assimilated
a common set of e3pectations a%out %eha$ior4
a forming
% storming
c conforming
d norming !moderate"
e performing
AI (hat stage of group de$elopment follo&s norming4
a forming
% performing !easy"
>A
c storming
d conforming
e ad6ourning
AA (hich of the follo&ing is an accurate statement a%out the progression of groups through their de$elopment
stages4
a Conflict inhi%its group effecti$eness
% Kroups de$elop in a linear manner
c .e$eral stages may %e happening simultaneously !difficult"
d Kroups &ill al&ays regress to pre$ious stages, if only for a short time
e Kroups in the conforming stage are more effecti$e than in the norming stage
A8 ) ------------- refers to a set of e3pected %eha$ior patterns attri%uted to someone &ho occupies a gi$en
position in a social unit
a norm
% conformity %eha$ior
c role !moderate"
d status system
e group cohesi$eness
A? )n indi$idual &ho is confronted %y different role e3pectations e3periences -------------
a role conflict !moderate"
% role con$ergence
c conformity pressure
d group cohesi$eness
e tas+ di$ergence
AM ) middle manager &ho is e3pected %y his/her %oss to +eep performance e$aluations lo& to sa$e on merit
increase costs, %ut feels compelled to re&ard his/her high performing su%ordinates fairly, is e3periencing &hich
of the follo&ing4
a norm decisi$eness
% role conflict !difficult"
c status separation
d conformity pressure
e cohesi$eness conflict
AN The accepta%le standards or e3pectations that are shared %y the group*s mem%ers are referred to as
---------------
a roles
% norms !moderate"
c $alues
d morals
e policies
A> ) ne& commercial %an+ employee &ho notices stares from other officers %ecause he does not &ear
conser$ati$e &or+ attire is e3periencing &hat aspect of groups4
a role conflict
% norms !difficult"
c status separation
d cohesi$eness conflict
e performing pressure
8@ The findings of )sch0s e3periment utilizing lines of different lengths &ould relate to &hich of the follo&ing4
a 6o% status
% &or+place conformity !moderate"
c &or+ group cohesi$eness
d role conflict
e performance perceptions
>8
81 ------------- refers to a prestige grading, position, or ran+ &ithin a group
a 2orm
% Jole
c .tatus !easy"
d Jole conflict
e )ccommodation
8B (hich of the follo&ing is an accurate statement regarding status systems4
a #ducation is an informal status characteristic !moderate"
% .tatus is a &ea+ moti$ator compared to other group issues
c ;eople generally ha$e difficulty classifying people into status categories
d .tatus is a contemporary research topic
e .tatus has cogniti$e %ut no %eha$ioral conse,uences
8I #ducation, age, s+ill, or e3perience are e3amples of &hich of the follo&ing4
a formal status categories
% informal status categories !moderate"
c indi$idual status categories
d ingroup status categories
e outgroup status categories
8A ------------- occurs &hen a super$isor is earning less than his su%ordinates
a Conflict
% Jole conflict
c Kroup incohesi$eness
d .tatus incongruence !moderate"
e Kroup di$ergence
88 In comparison to large groups, small groups -------------
a ha$e shorter group tenure
% tend to %e more homogenous
c are faster at completing tas+s !moderate"
d are %etter at o%taining di$erse input
e ha$e higher status
8? The 'free rider tendency' e3plains &hich of the follo&ing4
a &hy the producti$ity of groups is e3ponential
% &hy there is al&ays one person &ho does not &or+ as hard as other group mem%ers
c &hy, as groups get larger, the indi$idual contri%ution often decreases !difficult"
d &hy group producti$ity gro&s in a linear fashion
e &hy groups &ill tend to let an unproducti$e outsider in the group
8M (hich of the follo&ing is a potential means of limiting the free rider effect4
a %e a%le to identify indi$idual responsi%ility !moderate"
% re&ard groups collecti$ely, not indi$idually
c ne$er allo& an outsider into a group once it is formed
d pro$ide merit pay that is proportional to group effecti$eness
e allo& groups to punish poor team players
8N The degree to &hich mem%ers are attracted to a group and share the group*s goals is referred to as
--------------
a group di$ersity
% group cohesi$eness !moderate"
c group e3pansion
d group norms
e group continuity
>?
8> In &hich of the follo&ing situations are groups most effecti$e4
a a cohesi$e group
% a cohesi$e group not in alignment &ith organizational goals
c a noncohesi$e group in alignment &ith organizational goals
d a cohesi$e group in alignment &ith organizational goals !moderate"
e a noncohesi$e group
?@ ;ercei$ed incompati%le differences resulting in some form of interference or opposition is +no&n as
-------------
a conflict !easy"
% trou%le shooting
c political opposition
d pro%lem creation
e personality differences
?1 (hich $ie& of conflict argues that conflict must %e a$oided4
a human relations $ie&
% interactionist $ie&
c conser$ati$e
d traditional !moderate"
e contemporary
?B (hat $ie& of conflict sees it as natural, ine$ita%le, and potentially resulting in positi$e results for the
organization4
a contemporary $ie&
% conser$ati$e $ie&
c human relations $ie& !moderate"
d traditional $ie&
e interactionist $ie&
?I (hich $ie& of conflict sees it as a%solutely necessary for effecti$e organizational performance4
a contemporary $ie&
% conser$ati$e $ie&
c human relations $ie&
d traditional $ie&
e interactionist $ie& !moderate"
?A The type of conflicts that the interactionist says support the goals of the organization are +no&n as
-------------
a goal/oriented conflicts
% strategic conflicts
c natural conflicts
d functional conflicts !moderate"
e realistic conflicts
?8 ------------- pre$ent a group from achie$ing its goals
a Informal groups
% Command groups
c Cross/functional teams
d Functional conflicts
e 1ysfunctional conflicts !moderate"
?? )ccording to the te3t, &hich of the follo&ing is not identified as a type of conflict that differentiates functional
from dysfunctional conflict4
a tas+ conflict
% relationship conflict
c ethical conflict !moderate"
d process conflict
>M
?M (hich of the follo&ing is not mentioned in the te3t as a conflict/resolution option4
a a$oidance
% contradiction !moderate"
c accommodation
d compromise
e colla%oration
?N (ithdra&ing from or suppression of conflict is termed -------------
a colla%orating
% forcing
c accommodation
d a$oidance !moderate"
e compromising
?> (hich of the follo&ing is not an ad$antage of group decision ma+ing o$er indi$idual decision ma+ing4
a They pro$ide more information
% They generate more alternati$es
c There is less acceptance of a solution !easy"
d There is increased legitimacy of the decision
e There is reluctance to fight a decision they helped de$elop
M@ (hich of the follo&ing is true concerning the effecti$eness of indi$idual decision ma+ing o$er group decision
ma+ing4
a Indi$iduals tend to %e more accurate
% Indi$iduals are al&ays outperformed %y groups
c Kroups are less creati$e than indi$iduals
d Kroups are more accepting of the final decision !moderate"
e Kroup effecti$eness is influenced %y its size
M1 (hich of the follo&ing is true concerning groups4
a Kroups ta+e more time to ma+e a decision !easy"
% Kroups tend to ha$e e,ual participation rates
c There is little pressure to conform
d There is definite o&nership of responsi%ility
e They pro$ide less information
MB The pressure to conform in groups is +no&n %y &hich of the follo&ing terms4
a management %y o%6ecti$es
% TQM
c shir+ing
d groupthin+ !moderate"
e group freeloading effect
MI )ccording to the te3t, all of the follo&ing are criteria for &hich group decision ma+ing is most effecti$e
compared to indi$idual decision ma+ing #QC#;TL
a accuracy
% creati$ity
c speed !easy"
d efficiency
MA #$idence indicates that the optimum size for a group is -------------
a B/A
% I/8
c 8/M !easy"
d N/1@
e 1B/18
M8 )ll of the follo&ing are mentioned in the te3t as techni,ues that managers can use to ma+e group decisions
more creati$e #QC#;TL
>N
a electronic meetings
% %rainstorming
c nominal group techni,ue
d ,uantitati$e analysis !moderate"
M? (hich of the follo&ing is 2OT mentioned in the te3t as an e3ample of an e3ternal condition that can determine
group performance and satisfaction4
a authority structures
% informal communication !difficult"
c formal regulations
d employee selection criteria
e organization*s culture
MM (hich of the follo&ing is an e3ample of group mem%er resources4
a e3pected %eha$iors imposed from the central office
% group mem%er personalities !easy"
c the group leadership
d the group size
e a comple3 tas+
MN (hich of the follo&ing personality traits tends to ha$e a positi$e impact on group producti$ity and morale4
a self/reliance !moderate"
% authoritarianism
c dominance
d uncon$entionality
e 6udgmental
M> )ll of the follo&ing ha$e a negati$e effect on producti$ity and morale of groups #QC#;TL
a authoritarianism
% self/reliance
c dominance
d uncon$entionality
N@ (hich of the follo&ing personality traits tends to ha$e a negati$e impact on group producti$ity and morale4
a socia%ility
% self/reliance
c independence
d dominance !moderate"
e e3tro$ertism
N1 )ccording to the group %eha$ior model presented in your te3t, group size is an e3ample of &hat factor of group
determination of effecti$eness4
a e3ternal conditions
% group structure !moderate"
c group processes
d group tas+s
e group resources
M)2)KI2K (OJGFOJC# 1IO#J.ITH
NB )ccording to the %o3ed feature, DManaging (or+force 1i$ersity,E &hich of the follo&ing is 2OT mentioned
as a critical interpersonal %eha$ior needed to meet the challenge of coordinating a di$erse &or+ team4
a understanding
% empathy
c tolerance
d communication
e competence !difficult"
NI Kroup decision processes, leader %eha$ior, and po&er dynamics are e3amples of -------------
>>
a group structure
% e3ternal conditions
c group tas+s
d group resources
e group processes !moderate"
T5J2I2K KJO5;. I2TO #FF#CTIO# T#)M.
NA ) formal group made up of interdependent indi$iduals responsi%le for attainment of goals is a!n"
-------------
a informal team
% formal team
c &or+ team !moderate"
d social team
e interdependent team
N8 (hich of the follo&ing is not one of the four characteristics used to categorize teams4
a purpose
% mem%ership
c industry !easy"
d duration
e structure
N? (hat team characteristic &ould %e displayed if a team is trying to decide on a ne& organizational structure4
a purpose !difficult"
% mem%ership
c industry
d duration
e structure
NM ) functional department team that is part of the organization0s formal structure fits &ithin &hich characteristic
of team categorization4
a purpose
% industry
c structure
d mem%ership !moderate"
e duration
NN ) team that is self/managed fits &ithin &hich characteristic of team categorization4
a purpose
% structure !moderate"
c mem%ership
d industry
e duration
N> (hat type of team has clear issues surrounding authority and is in$ol$ed in specific pro%lems in a particular
functional area4
a self/directed
% functional !moderate"
c permanent
d temporary
e self/managed
>@ (hat type of team operates &ithout a manager4
a functional
% self/directed !moderate"
c cross/functional
d temporary
e specific
1@@
>1 7ringing together organizational mem%ers from mar+eting, accounting, human resources, and finance to &or+
on a tas+ &ould %e an e3ample of &hat type of team4
a cross/functional !moderate"
% temporary
c specific
d functional
e self/directed
1#O#FO;I2K )21 M)2)KI2K #FF#CTIO# T#)M.
>B 9igh performance teams tend to ha$e ------------- goals
a clear !easy"
% difficult
c pu%lic
d multiple
e easy
>I (hich of the follo&ing is true concerning effecti$e teams4
a .trong technical s+ills are more important than interpersonal s+ills
% .trong interpersonal s+ills are more important than technical s+ills
c Mem%ers must ha$e %oth strong technical and interpersonal s+ills !difficult"
d )llo&ing the team to teach technical s+ills is important
e It is important for team mem%ers to also %e close friends
>A 7elie$ing that your co/&or+er is a person &ho &ill not let you do&n on pro6ect completion is an e3ample of
&hat characteristic of effecti$e teams4
a clear goals
% rele$ant s+ills
c good communication
d fair compensation system
e mutual trust !easy"
>8 (hich of the follo&ing is not a suggestion for managers attempting to %uild trust4
a communicate &ith mem%ers
% %e predicta%le
c demonstrate competency
d allo& mem%ers to set their o&n goals !moderate"
e %e fair
>? (hat characteristic of effecti$e teams &ould %e e$ident of a team that has intense team loyalty4
a clear goals
% mutual trust
c unified commitment !easy"
d good communication
e rele$ant s+ills
>M #ffecti$e teams are characterized %y ------------- communication
a lateral
% linear
c good !moderate"
d team/coded
e organic
>N On a %ase%all team, a shortstop &ho 'raises his fist' as a signal indicating he &ill co$er second %ase in the
e$ent of an attempted steal is e3hi%iting &hat characteristic of effecti$e teams4
a clear goals
% mutual trust
c unified commitment
1@1
d good communication !moderate"
e rele$ant s+ills
>> To %e effecti$e, team mem%ers should ------------- in order to %e fle3i%le and continuously ma+e
ad6ustments
a ha$e clear 6o% descriptions
% ha$e formal documentation
c ha$e negotiating s+ills !difficult"
d hold firm in their positions
e maintain clear and static roles
1@@ (hich role of leader is associated &ith effecti$e teams4
a salesperson
% directi$e
c controlling
d seller
e facilitator !moderate"
1@1 ;ro$iding a pay system that appropriately recognizes team acti$ities is an e3ample of &hat characteristic of
effecti$e teams4
a internal and e3ternal support !moderate"
% appropriate leadership
c negotiating s+ills
d good communication
e unified commitment
1@B ------------- is an important part of the planning process in managing a team
a Koal determination !difficult"
% Clarification of authority
c #mpo&ering mem%ers
d 1etermining roles
e .etting clear e$aluation criteria
1@I ) team determining, '9o& much authority do &e ha$e4' is an e3ample of &hat function in managing a team4
a planning
% leading
c organizing !moderate"
d e$aluating
e controlling
1@A 1etermining ho& to resol$e conflict %et&een group mem%ers is an important aspect of &hat function in
managing a team4
a planning
% leading !moderate"
c controlling
d organizing
e e$aluating
1@8 'Kainsharing' is an e3ample of -------------
a a group incenti$e pay plan !easy"
% a method of e$aluating o$erall organizational success
c a means of measuring the percent of ne& mar+et share attri%uted to group processes
d an incenti$e plan that recognizes indi$idual not group performance
e a leader impact e$aluation method
.cenarios
521#J.T)21I2K KJO5; 7#9)OIOJ
1@B
) 2e& Kroup !.cenario"
1a$id had %een a&ay from his old company, Control Tech, for a &hile 9e remem%ered that &hen he &or+ed there
ten years ago the company &as $ery traditional and conser$ati$e The lines of authority and responsi%ility &ere
esta%lished and clear 2o&, it felt ironic that he &as managing the consulting team that &as going to help %ring a
group orientation into %eing 2o& in addition to the traditional hierarchy, &ith a manager and su%ordinates, he sa& a
need to introduce teams comprised of indi$iduals from $arious &or+ areas to help sol$e operational pro%lems 9e also
felt that for certain pro6ects there could %e groups that could function essentially independently, e$en ta+ing on
traditional management responsi%ilities such as hiring, planning, scheduling, etc ;lus, he also sa& real potential for
special, temporary pro6ects to %e handled %y groups that &ould dis%and once the tas+ &as completed
1@? 1a$id +no&s that groups consist of ------------- interacting and interdependent indi$iduals &ho come
together to achie$e particular o%6ecti$es
a t&o or more !easy"
% at least three
c fi$e or more
d ten or more
e fifteen or more
1@M 1a$id recognized that ------------- are characterized &ith the traditional hierarchy of a manager and
su%ordinates
a self/managed teams
% tas+ forces
c command groups !moderate"
d cross/functional teams
e %asic groups
The Jetreat !.cenario"
The first/line managers &ere sent on a retreat to .il$er Falls for their inaugural strategic planning retreat Fe& people
+ne& each other %ut their tas+ &as clearL design a ne& performance appraisal system for su%ordinates that &ill %e
effecti$e and usa%le Their years of complaining a%out the old system had landed them &ith this ne& responsi%ility
dumped right in their lap They had four days to %ecome %rilliant and e$eryone &as a little on edge The first day,
little &as accomplished e3cept for the 6oc+eying to see &ho &ould %e the official leader Finally, <im seemed to
&rangle control and helped pro$ide the first real direction for the group 7y the second day the group seemed to %egin
&or+ing &ell They spent the morning deciding ho& they &ould ma+e decisions &ithin the group and ho& to manage
the idea/generation process The third and fourth days sa& the ne& managers mo$e amazingly ,uic+ly, &ith ideas
flo&ing freely 7y the end of the fourth day, they had a &or+a%le system de$eloped and they felt satisfied That night
they all signed the ne& document to %e presented to the regional manager the ne3t day They all felt a t&inge of regret
at ha$ing to %rea+ up the group and return to normal &or+ life
1@N The stage of group de$elopment characterized %y their %eing at the retreat for a %usiness reason is +no&n as
-------------
a performing
% storming
c forming !easy"
d ad6ourning
e norming
1@I
1@> The group &as in the ------------- stage &hen they &ere competing to see &ho &ould lead the group
a performing
% storming !moderate"
c forming
d ad6ourning
e norming
11@ (hen the management group &as deciding on their decision rules they &ere in the ------------- stage of
group de$elopment
a performing
% storming
c forming
d ad6ourning
e norming !moderate"
111 In the third and fourth days of the retreat, the managers &ere in the ------------- stage of group
de$elopment
a performing !moderate"
% storming
c forming
d ad6ourning
e norming
11B (hen the management team left .il$er Falls to return to their &or+ place, they had 6ust completed the
------------- stage of group de$elopment
a performing
% storming
c forming
d ad6ourning !easy"
e norming
Conflicting Opinions !.cenario"
The t&o $ice presidents &ere in heated de%ate Celine feels that the old traditional form of mar+eting their company
isn0t &or+ing any more and that loyal customers &ould stay regardless .he feels the company needs to 'spice it up a
%it' and go after ne& mar+et share Merle disagrees $ehemently 9e feels the company is doing fine: they ha$e a good
%ase of loyal customers and ne& aggressi$e approaches may lose them &ithout any guarantee of gaining ne&
customers Jegardless of &ho is right, their %attle &as causing a stir in the organization .ome felt that conflict li+e
this hurt the company and made it appear &ea+ to employees and stoc+holders Others felt that this conflict o$er
mar+eting strategies &as %ound to occur e$entually and may e$en help the company .till others e$en encourage such
conflict They thin+ it +eeps the company from getting stuc+
11I Conflict that supports the organization0s goals is considered -------------
a accepted conflict
% functional conflict !moderate"
c ine$ita%le conflict
d standard conflict
e strategic conflict
11A Conflict that pre$ents the organization from achie$ing its goals is considered -------------
a destructi$e conflict
% negati$e conflict
c dysfunctional conflict !moderate"
d nonstrategic conflict
e random conflict
1@A
118 Those in the company &ho $ie& the conflict o$er the mar+eting strategy as %ad and harmful, ha$e a
------------- $ie& of conflict
a human relations
% conser$ati$e
c strategic
d interactionist
e traditional !difficult"
11? Those in the company &ho $ie& the conflict o$er the mar+eting strategy as natural and ine$ita%le, ha$e a
------------- $ie& of conflict
a human relations !difficult"
% conser$ati$e
c strategic
d interactionist
e traditional
11M Those in the company &ho encourage the conflict o$er the mar+eting strategy, ha$e a ------------- $ie& of
conflict
a human relations
% conser$ati$e
c strategic
d interactionist !difficult"
e traditional
T5J2I2K KJO5;. I2TO #FF#CTIO# T#)M.
11N The groups that comprise indi$iduals from $arious areas &or+ing on operational pro%lems are %est descri%ed as
-------------
a self/managed teams
% tas+ forces
c command groups
d cross/functional teams !moderate"
e %asic groups
11> 1a$id also sa& a need for ------------- &hich are essentially independent groups ta+ing on traditional
management responsi%ilities
a self/managed teams !moderate"
% tas+ forces
c command groups
d cross/functional teams
e %asic groups
1B@ Finally, the temporary groups 1a$id tal+ed a%out, created to achie$e a special tas+, then dis%and, are +no&n as
-------------
a self/managed teams
% tas+ forces !moderate"
c command groups
d cross/functional teams
e %asic groups
#ssay Questions
521#J.T)21I2K KJO5; 7#9)OIOJ
1B1 In a short essay, list and discuss the fi$e stages of group de$elopment
)ns&er
Jesearch sho&s that groups pass through a standard se,uence of fi$e stages These fi$e stages are forming,
storming, norming, performing, and ad6ourning
1@8
a The first stage, forming, has t&o aspects First people 6oin the group either %ecause of a &or+ assignment,
in the case of a formal group, or for some other %enefit desired !such as status, self/esteem, affiliation,
po&er, or security", in the case of an informal group Once the group*s mem%ership is in place, the second
part of the forming stage %eginsL the tas+ of defining the groups purpose, structure, and leadership This
phase is characterized %y a great deal of uncertainty Mem%ers are Dtesting the &atersE to determine &hat
types of %eha$ior are accepta%le This stage is complete &hen mem%ers %egin to thin+ of themsel$es as
part of a group
% The storming stage is one of intragroup conflict Mem%ers accept the e3istence of the group %ut resist the
control that the group imposes on indi$iduality Further, there is conflict o$er &ho &ill control the group
(hen this stage is complete, there &ill %e a relati$ely clear hierarchy of leadership &ithin the group and
agreement on the group*s direction
c The third stage is one in &hich close relationships de$elop and the group demonstrates cohesi$eness
There*s no& a strong sense of group identity and camaraderie This norming stage is complete &hen the
group structure solidifies and the group has assimilated a common set of e3pectations of &hat defines
correct mem%er %eha$ior
d The fourth stage is performing The group structure at this point is fully functional and accepted Kroup
energy has mo$ed from getting to +no& and understand each other to performing the tas+ at hand
;erforming is the last stage in the de$elopment of permanent &or+ groups Temporary groupsCsuch as
committees, tas+ forces, and similar groupsCthat ha$e a limited tas+ to perform ha$e a fifth stage,
ad6ourning
e In the ad6ourning stage, the group prepares to dis%and 9igh le$els of tas+ performance are no longer the
group*s top priority Instead, attention is directed at &rapping/up acti$ities Jesponses of group mem%ers
$ary at this stage .ome are up%eat, %as+ing in the group*s accomplishments Other may %e saddened %y
the loss of camaraderie and friendships gained during the &or+ group*s life
!moderate"
1BB In a short essay, define formal groups and list and descri%e four e3amples of formal groups
)ns&er
Formal groups are &or+ groups esta%lished %y the organization that ha$e designated &or+ assignments and
specific tas+s In formal groups, appropriate %eha$iors are esta%lished %y and directed to&ard organizational
goals
#3amples of formal groups
a Command groups these are the %asic, traditional &or+ groups determined %y formal authority
relationships and depicted on the organizational chart They typically include a manager and those
su%ordinates &ho report directly to him or her
% Cross/functional teams these %ring together the +no&ledge and s+ills of indi$iduals from $arious &or+
areas in order to come up &ith solutions to operational pro%lems Cross/functional teams also include
groups &hose mem%ers ha$e %een trained to do each other*s 6o%s
c .elf/managed teams these are essentially independent groups that, in addition to doing their operating
6o%s, ta+e on traditional management responsi%ilities such as hiring, planning and scheduling, and
performance e$aluations
d Tas+ forces these are temporary groups created to accomplish a specific tas+ Once the tas+ is complete,
the group is dis%anded
!moderate"
1BI In a short essay, e3plain the difference %et&een the assumptions of the traditional, human relations $ie& and
interactionist $ie&s of conflict
)ns&er
O$er the years, three different $ie&s ha$e e$ol$ed regarding conflict One $ie& argues that conflict must %e
a$oided, that it indicates a pro%lem &ithin the group This is called the traditional $ie& of conflict ) second
$ie&, the human relations $ie& of conflict, argues that conflict is a natural and ine$ita%le outcome in any group
and need not %e negati$e %ut, rather, has potential to %e a positi$e force in contri%uting to a group*s
performance The third and most recent perspecti$e proposes that not only can conflict %e a positi$e force in a
group %ut that some conflict is a%solutely necessary for a group to perform effecti$ely This third approach is
1@?
called the interactionist $ie& of conflict The interactionist $ie& is not suggesting that all conflicts are good
.ome conflicts are seen as supporting the goals of the &or+ groups and impro$ing its performance: these are
functional conflicts of a constructi$e nature Other conflicts are destructi$e and pre$ent a group from achie$ing
its goals These are dysfunctional conflicts
!easy"
1BA In short essay, list and discuss four ad$antages and four disad$antages that group decisions ha$e o$er indi$idual
decisions
)ns&er
)d$antages of group decisions
a ;ro$ide more complete information a group %rings a di$ersity of e3perience and perspecti$es to the
decision process that an indi$idual cannot
% Kenerate more alternati$es %ecause groups ha$e a greater amount and di$ersity of information, they can
identify more alternati$es than an indi$idual This ad$antage is particularly e$ident &hen group mem%ers
represent different areas of e3pertise
c Increase acceptance of a solution many decisions fail after the final choice has %een made %ecause people
to not accept the solution Kroup mem%ers are reluctant to fight or undermine a decision they ha$e helped
de$elop
d Increase legitimacy the group decision/ma+ing process is consistent &ith democratic ideals, and
decisions made %y groups may %e percei$ed as more legitimate than decisions made unilaterally %y one
person
1isad$antages of group decisions
a Time consuming putting a group together ta+es time as does any decision ma+ing &ithin the group The
result is that groups almost al&ays ta+e more time to reach a solution than it &ould ta+e an indi$idual
% Minority domination mem%ers of a group are ne$er perfectly e,ual They may differ in organizational
ran+, e3perience, +no&ledge a%out the pro%lem, influence &ith other mem%ers, $er%al s+ills, and
asserti$eness This ine,uality creates the opportunity for one or more mem%ers to dominate others
c ;ressures to conform pressures to conform in a group can lead to groupthin+ &hich is a form of
conformity in &hich group mem%ers &ithhold different or unpopular $ie&s in order to gi$e the appearance
of agreement Kroupthin+ undermines critical thin+ing in the group and e$entually harms the ,uality of
the final decision
d )m%iguous responsi%ility group mem%er share responsi%ility, %ut the person actually responsi%le for the
final outcome in a group decision is unclear In an indi$idual decision, it*s clear &ho is responsi%le
!difficult"
1B8 In a short essay, list and discuss the three types of conflict that ha$e %een found to differentiate functional
from dysfunctional conflict
)ns&er
The three types of conflicts are tas+, relationship and process Tas+ conflict relates to the content and goals of
the &or+ Jelationship conflict focuses on interpersonal relationships ;rocess conflict refers to ho& the &or+
gets done .tudies demonstrate that relationship conflicts are almost al&ays dysfunctional It appears that the
friction and interpersonal hostilities inherent in relationship conflicts increase personality clashes and decrease
mutual understanding, there%y hindering the completion of organizational tas+s On the other hand, lo& le$els
of process conflict and lo&/to/moderate le$els of tas+ conflict are functional For process conflict to %e
producti$e, it must %e +ept minimal ) lo&/to/moderate le$el of tas+ conflict consistently demonstrates a
positi$e effect on group performance %ecause it stimulates discussion of ideas that help groups perform %etter
!moderate"
1B? In a short essay, list and discuss fi$e conflict/resolution techni,ues managers can use to reduce conflict
)ns&er
a Forcing resol$ing conflicts %y satisfying one*s o&n needs at the e3pense of another*s
% Colla%orating resol$ing conflict %y see+ing and ad$antageous solution for all parties
c compromising resol$ing conflict %y each party gi$ing up something of $alue
1@M
d a$oiding resol$ing conflicts %y &ithdra&ing from or suppressing them
e accommodating resol$ing conflicts %y placing another*s needs and concerns a%o$e your o&n
!easy"
M)2)KI2K (OJGFOJC# 1IO#J.ITH
1BM In a short essay, list and discuss the four critical interpersonal %eha$iors that are important in meeting the
challenge of coordinating a di$erse &or+ team
)ns&er
a 5nderstanding differences such as cultural, physical, or other can cause people to %eha$e in different
&ays Team leaders need to understand and accept these differences #ach and e$ery team mem%er should
%e encouraged to do the same
% #mpathy this is closely related to understanding )s a team leader, your should try to understand others*
perspecti$es ;ut yourself in their place and encourage team mem%ers to empathize as &ell 7y putting
themsel$es in another*s position, the e3isting team mem%ers can enhance their a%ility to &or+ together as
an effecti$e group
c Tolerance 6ust %ecause you understand that people are different and you empathize &ith them, doesn*t
mean that it*s any easier to accept different perspecti$es or %eha$iors 7ut it*s important in dealing &ith
di$erse ages, gender, and cultural %ac+grounds to %e tolerantCto allo& team mem%ers the freedom to %e
themsel$es
d Communication di$ersity pro%lems may intensify if people are afraid or un&illing to openly discuss
issues that concern them )nd communication &ithin a di$erse team needs to %e t&o/&ay )s long as
communication e3changes in conflicting situations are handled in a nonthreatening, lo&/+ey, and friendly
manner, they generally &ill ha$e a positi$e outcome
!difficult"
T5J2I2K KJO5;. I2TO #FF#CTIO# T#)M.
1BN In a short essay, list and discuss four characteristics in &hich teams can %e categorized
)ns&er
a ;urpose teams can $ary in their purpose or goal ) team might %e in$ol$ed in product de$elopment,
pro%lem sol$ing, as part of a process reengineering effort, or for any other num%er of &or+/related
acti$ities
% 1uration a team is either permanent or temporary 1epartmental teams and others that are part of the
organization*s formal structure are types of permanent teams Temporary teams include tas+ forces,
pro6ect teams, pro%lem/sol$ing teams, and any other type of short/term team formed to de$elop, analyze,
or study a &or+/related issue
c Mem%ership team mem%ership can either %e functional or cross/functional ) departmental team is
functional %ecause its mem%ers come from a specific functional area 9o&e$er, many organizations are
using cross/functional teams as a &ay to foster inno$ation, cooperation, and commitment
d .tructure teams can %e either super$ised or self/managed ) super$ised team &ill %e under the direction
of a manager &ho is responsi%le for guiding the team in setting goals, performing the &or+ acti$ities, and
e$aluating performance On the other hand, a self/managed team assumes the responsi%ilities of managing
itself
!moderate"
1B> In a short essay, list and descri%e the four most common types of teams li+ely to %e found in today*s
organizations
)ns&er
1@N
a Functional teams these teams are composed of a manager and his or her employees from a particular
functional area (ithin this functional area, issues such as authority, decision ma+ing, leadership, and
interactions are relati$ely simple and clear Functional teams are often in$ol$ed in efforts to impro$e &or+
acti$ities or to sol$e specific pro%lems &ithin their particular functional area
% .elf/managed teams these teams are formal groups of employees &ho operate &ithout a manager and are
responsi%le for a complete &or+ process or segment The self/managed team is responsi%le for getting the
&or+ done and for managing themsel$es This usually includes planning and scheduling of &or+,
assigning tas+s to mem%ers, collecti$e control o$er the pace of &or+, ma+ing operating decisions, and
ta+ing action on pro%lems
c Oirtual teams these are teams that use computer technology to lin+ physically dispersed mem%ers in
order to achie$e a common goal I2 a $irtual team, mem%ers colla%orate using communication lin+s such
as &ide area net&or+s, $ideo/conferencing, fa3, e/mail, or e$en (e% sites &here the team can hold online
conferences Oirtual teams can do all the things that other teams canCshare information, ma+e decisions,
and complete tas+s: ho&e$er, they miss the normal gi$e/and/ta+e of face/to/face discussions 7ecause of
this omission, $irtual teams tend to %e more tas+/oriented especially if the team mem%ers ha$e ne$er
personally met
d Cross/functional teams these teams are a hy%rid grouping of indi$iduals &ho are e3perts in $arious
specialties and &ho &or+ together on $arious tas+s Many organization are using cross/functional teams
For e3ample, at 9allmar+ Cards in Gansas City, editors, &riters, artists, and production specialists 6oin
&ith employees from manufacturing, graphic arts, sales, and distri%ution to &or+ on e$erything from
de$eloping ne& product ideas to impro$ing customer deli$eries
!easy"
1I@ In a short essay, list and discuss fi$e characteristics that are associated &ith effecti$e teams
)ns&er
a Clear goals high/performance teams ha$e %oth a clear understanding of the goals to %e achie$ed and a
%elief that the goal em%odies a &orth&hile or important result Moreo$er, the importance of these goals
encourages indi$iduals to redirect personal concerns to these team goals In effecti$e teams, mem%ers are
committed to the team*s goals, +no& &hat they are e3pected to accomplish, and understand ho& they &ill
&or+ together to achie$e these goals
% Jele$ant s+ills effecti$e teams are composed of competent indi$iduals They ha$e the necessary
technical and interpersonal s+ills to achie$e the desired goals &hile &or+ing &ell together 9o&e$er, not
e$eryone &ho is technically competent has the s+ills to &or+ &ell as a team mem%er 9igh/performing
teams ha$e mem%ers &ho possess %oth technical and interpersonal s+ills
c Mutual trust effecti$e teams are characterized %y high mutual trust among mem%ers That is, mem%ers
%elie$e in the a%ility, character, and integrity of each other The climate of trust &ithin a group tends to %e
strongly influenced %y the organization*s culture and the actions of management Organizations that $alue
openness, honesty, and colla%orati$e processes and that encourage employee in$ol$ement and autonomy
are more li+ely to create trusting cultures
d 5nified commitment mem%ers of an effecti$e team e3hi%it intense loyalty and dedication to the team
They are &illing to do &hate$er it ta+es to help their team succeed This loyalty and dedication is called
unified commitment 5nified commitment is characterized %y dedication to the team*s goals and a
&illingness to e3pend e3traordinary amount of energy to achie$e them
e Kood communication effecti$e teams are characterized %y good communication Mem%ers con$ey
messages %et&een each other in &ays that are readily and easily understood This includes non$er%al as
&ell as spo+en messages Kood communication is also characterized %y a healthy dose of feed%ac+ from
team mem%ers and managers Feed%ac+ helps to guide team mem%ers and to correct misunderstandings
f 2egotiating s+ills effecti$e teams tend to %e fle3i%le and are continually ma+ing ad6ustments in the
responsi%ilities assigned to each mem%er This fle3i%ility re,uires team mem%ers to possess negotiating
s+ills ;ro%lems and relationships are regularly changing in teams and mem%ers need to %e a%le to
confront and reconcile differences
g )ppropriate leadership effecti$e leaders can moti$ate a team to follo& them through the most difficult
situation 9o&4 They help clarify goals They demonstrate that change is possi%le %y o$ercoming inertia
)nd they increase the self/confidence of team mem%ers, helping mem%ers to more fully realize their
potential Increasingly, effecti$e team leaders act in the roles of coach and facilitator They help guide and
support the team, %ut don*t control it
1@>
h Internal and e3ternal support the final condition necessary for an effecti$e team is a supporti$e climate
Internally, the team should ha$e a sound infrastructure This includes proper training, a clear and
reasona%le measurement system that team mem%ers can use to e$aluate their o$erall performance, an
incenti$e program that recognizes and re&ards team acti$ities, and a supporti$e human resource system
#3ternally, managers should pro$ide the team &ith the resources needed to get the 6o% done
!difficult"
Chapter 1? Moti$ating #mployees
True/False
) M)2)K#J*. 1IF#MM)
1 )ccording to the company profile in D) Manager*s 1ilemma,E the ma6ority of employees at Krupo M consist
of highly educated professionals &ho &or+ from their homes4
False !easy"
B 7ased on the company profile in D) Manager*s 1ilemma,E Krupo M has %een profiled as a s&eatshop &here
employees &or+ long hours in dirty, dimly lit factories
False !easy"
(9)T I. MOTIO)TIO24
I Moti$ation is an internal state that ma+es certain outcomes appear attracti$e
True !easy"
A The three +ey elements in the definition of moti$ation are effort, organizational goals, and needs
True !difficult"
#)JFH T9#OJI#. OF MOTIO)TIO2
8 7ased on McClelland0s three/needs theory, high achie$ers perform %est &hen the odds are against them
False !moderate"
CO2T#M;OJ)JH T9#OJI#. OF MOTIO)TIO2
? The %est managers are high in the need for po&er and high in the need for affiliation
False !difficult"
M ;eople &ith a high need for affiliation prefer cooperati$e situations o$er competiti$e ones
True !moderate"
N ;eople &ill do %etter &hen they get feed%ac+ on ho& &ell they0re progressing to&ard their goals
True !easy"
> Jeinforcement theory is related to an indi$idual0s %elief that she is capa%le of performing a tas+
False !moderate"
1@ The +ey to reinforcement theory is that it ignores factors such as goals, e3pectations, and needs, and focuses
solely on &hat happens to a person &hen he ta+es some action
True !difficult"
11 The lo&er a person0s self/efficacy, the more confidence he has in his a%ility to succeed in a tas+
False !moderate"
1B Jeinforcement theorists %elie$e that %eha$ior is a function of its conse,uences
True !easy"
11@
M)2)KI2K HO5J C)J##J
1I )ccording to a recent sur$ey, the primary reason employees stay &ith their 6o%s is %ecause of fle3i%le &or+
hours
False !moderate"
1A )dding $ertical depth to a 6o% is called 6o% enlargement
False !moderate"
18 <o% design refers to the &ay tas+s are com%ined to form complete 6o%s
True !easy"
1? (hen a mail sorter0s 6o% is e3panded to include mail deli$ery, the mail sorter has e3perienced 6o% enlargement
True !easy"
1M <o% enlargement increases 6o% depth
False !easy"
1N In the 6o% characteristics model, tas+ significance refers to the degree to &hich a 6o% re,uires completion of a
&hole and identifia%le piece of &or+
False !moderate"
1> )ccording to the 6o% characteristics model, tas+ autonomy is not important
False !moderate"
B@ Kuidance from the 6o% characteristics model suggests that 6o% enlargement should ta+e place rather than tas+
specialization
True !moderate"
B1 )ccording to e,uity theory, a person &ho earns S8@,@@@ &ill %e less satisfied &ith their pay than a person &ho
earns S1@@,@@@
False !moderate"
BB #,uity theory has three referent categoriesL other, system, and self
True !moderate"
BI The three $aria%les in Oroom0s e3pectancy theory are $alence, instrumentality, and e3pectancy
True !moderate"
BA Oroom &ould say that if a person $alues an outcome, their effort to o%tain that outcome &ill al&ays %e great
False !moderate"
C5JJ#2T I..5#. I2 MOTIO)TIO2
B8 Fle3time is a scheduling system in &hich employees &or+ four 1@/hour days
False !easy"
B? ;erformance/%ased compensation is pro%a%ly most compati%le &ith e3pectancy theory
True !difficult"
BM Open/%oo+ management is a moti$ational approach in &hich an organization0s financial statements are opened
to and shared &ith all employees
True !moderate"
BN The loyalty of professionals is to their organization
False !easy"
M)2)KI2K I2 )2 #/75.I2#. (OJF1
111
B> The challenge to moti$ating employees in an e/%usiness is much less compared to moti$ating
employees in a traditional organization
False !easy"
I@ Many employers are installing (e%/monitoring soft&are since there is no e$idence that such efforts
can negati$ely affect employee morale
False !moderate"
Multiple Choice
) M)2)K#J*. 1IF#MM)
I1 )ccording to the company profile in D) Manager*s 1ilemma,E Krupo M is the largest employer in
--------------
a the 5nited .tates
% Me3ico
c 7razil
d 1ominican Jepu%lic !moderate"
e .&itzerland
(9)T I. MOTIO)TIO24
IB -------------- is the &illingness to e3ert high le$els of effort to reach organizational goals, conditions %y the
effort*s a%ility to satisfy some indi$idual need
a )ttri%ution
% Moti$ation !easy"
c Feadership
d Koal setting
e Tenure
II The three +ey elements in the definition of organizational moti$ation are --------------, organizational
goals, and needs
a personality
% a%ility
c effort !easy"
d tenure
e strategy
IA -------------- is an internal state that ma+es certain outcomes appear attracti$e
a ) need !easy"
% Moti$ation
c Feadership
d Koal setting
e )ttri%ution
#)JFH T9#OJI#. OF MOTIO)TIO2
I8 (ho de$eloped the 9ierarchy of 2eeds moti$ational theory4
a 9erz%erg
% Oroom
c McKregor
d Fa&ler
e Maslo& !easy"
I? )n indi$idual &ho &ants to %uy a home in an e3pensi$e neigh%orhood &ith a lo& crime rate is satisfying
&hich psychological needs state4
a esteem
% safety !moderate"
11B
c physiological
d self/actualization
e social
IM The dri$e to find food, drin+, and se3ual satisfaction is %ased on &hat le$el of need4
a physiological !easy"
% safety
c self/actualization
d social
e esteem
IN The need for such factors as status, recognition, attention, self/respect, autonomy, and achie$ement are
e3amples of &hich of the follo&ing needs according to Maslo&*s hierarchy of needs4
a physiological
% esteem !moderate"
c social
d self/actualization
e safety
I> <oining a ci$ic clu% %ecause the mem%ers are considered to %e $ery po&erful and popular &ould %e satisfying
&hich needs state4
a safety
% social
c esteem !moderate"
d self/actualization
e physiological
A@ #n6oying friendship &ith co&or+ers satisfies &hat need4
a physiological
% esteem
c social !moderate"
d self/actualization
e safety
A1 Kro&th, achie$ing one*s potential, and self/fulfillment, and the dri$e to %ecome &hat one is capa%le of
%ecoming are characteristics of &hich need according to Maslo&*s hierarchy4
a physiological
% esteem
c social
d self/actualization !moderate"
e safety
AB ) manager &ho %elie$es that employees need constant control &ould %e descri%ed as --------------
according to McKregor
a a Theory Q manager !easy"
% a Theory H manager
c a Theory P manager
d a human relations manager
e needs hierarchy
AI (hich of the follo&ing &ould descri%e the %eliefs of a Theory H manager4
a ;eople ha$e little am%ition
% (or+ is accepta%le %ecause of financial needs, %ut play is more natural
c #mployees readily accept responsi%ility !easy"
d ;eople disli+e &or+
e Managerial direction of employees is essential
AA )ccording to 9erz%erg, in order to pro$ide employees &ith 6o% satisfaction, managers should concentrate on
a hygiene factors
11I
% issues such as pay
c moti$ator factors !moderate"
d e3trinsic factors
e non/moti$ators
CO2T#M;OJ)JH T9#OJI#. OF MOTIO)TIO2
A8 )n indi$idual &ho &ould en6oy ta+ing on the challenge of personally redesigning the &or+flo& of a
manufacturing line to impro$e employee producti$ity &ould pro%a%ly %e rated high on &hich of the follo&ing4
a need for affiliation
% need for impact
c need for achie$ement !difficult"
d need for po&er
e need for control
A? )ccording to McClelland, the need to ma+e others %eha$e in a &ay they &ouldn0t ha$e %eha$ed other&ise is
&hich of the follo&ing &or+ moti$es4
a need for achie$ement
% need for po&er !easy"
c need for affiliation
d need for moti$ation
e need for self/fulfillment
AM (hich of the follo&ing suggests that there is a need to ha$e good relationships at &or+4
a need for achie$ement
% need for po&er
c need for fulfillment
d need for affecti$e connection
e need for affiliation !moderate"
AN (hich of the follo&ing is not true concerning high achie$ers4
a They perform %est &hen the success pro%a%ility is fifty/fifty
% They disli+e gam%ling &hen the odds are high
c They li+e a high pro%a%ility of success !moderate"
d They li+e goals that cause themsel$es to stretch a %it
e They disli+e achie$ement from accidents
A> (hich of the follo&ing is true concerning indi$iduals &ho ha$e a high need for achie$ement4
a They desire to do many things &ith medium impact on ,uality
% They see+ achie$ement %ut not personal responsi%ility
c They &ant slo& %ut sure feed%ac+ on their performance
d They disli+e succeeding %y chance !difficult"
e They en6oy $ery difficult tas+s
8@ #mployees can %e trained to stimulate their -------------- needs
a affiliation
% self/esteem
c achie$ement !difficult"
d po&er
e self actualization
81 The %est managers are high in the need for -------------- and lo& in the need for --------------
a achie$ement: po&er
% po&er: affiliation !difficult"
c affiliation: po&er
d achie$ement: affiliation
e po&er: achie$ement
11A
8B (hich of the follo&ing is an accurate statement concerning McClelland0s three/needs theory4
a 9igh achie$ers are %est moti$ated in 6o%s &ith lo& personal responsi%ility %ut high tas+ difficulty
% 9igh achie$ers tend to %e good managers
c The %est managers are high in need for po&er and lo& in need for affiliation !difficult"
d #mployee need for achie$ement is innate and cannot %e changed
e 9igh achie$ers are poor salespersons
8I The proposition that specific goals increase performance and that difficult goals, &hen accepted, result in
higher performance than easy goals is termed --------------
a self/efficacy
% reinforcement theory
c path/goal theory
d goal/setting theory !moderate"
e e,uity theory
8A (hich of the follo&ing %est summarizes the relationship %et&een goal setting and need for achie$ement
findings4
a Koal setting is superior %ecause it recommends setting difficult goals
% They are incompati%le theories %ut there is no empirical research to support either claim
c 1ifficult goals are still recommended for most people %ecause only 1@/B@ percent of people are high
achie$ers !difficult"
d Koal setting is not needed &ith high achie$ers
e They are $ery similar theories
88 ;eople &ill do %etter &hen they get -------------- %ecause it helps identify discrepancies %et&een &hat they
ha$e done and &hat they &ant to do
a input
% goals
c e,uity
d po&er
e feed%ac+ !easy"
8? The higher your -------------- , the more confidence you ha$e in your a%ility to succeed in a tas+
a self/efficacy !easy"
% self/esteem
c reinforcers
d 6o% scope
e moti$ation
8M Jeinforcement theorists %elie$e that %eha$ior results from &hich of the follo&ing4
a e3ternal conse,uences !moderate"
% internal personality traits, such as need for achie$ement
c setting high goals
d intrinsic satisfiers
e hygiene factors
8N ) -------------- is any conse,uence immediately follo&ing a response that increases the pro%a%ility that
the %eha$ior &ill %e repeated
a goal
% reinforcer !moderate"
c conclusion
d 6o% characteristics model
e $alence
8> -------------- is the &ay tas+s are com%ined to form complete 6o%s
a <o% scope
% <o% enlargement
c <o% enrichment
d <o% design !moderate"
118
e <o% criteria
M)2)KI2K HO5J C)J##J
?@ )ccording to a recent sur$ey, &hich of the follo&ing is the main reason employees stay &ith their 6o%s4
a pleasant &or+ en$ironment
% easy commute
c challenging &or+
d li+e co/&or+ers !moderate"
e fle3i%le &or+ hours
?1 )ccording to reinforcement theory, an indi$idual &ould %eha$e in a desired manner if &hich of the follo&ing
occurred4
a 2othing happened &hen they acted appropriately
% They are punished for doing the &rong %eha$ior
c They set specific, difficult goals to achie$e
d They are immediately re&arded, such as a monthly %onus !moderate"
e Their inner dri$es create the necessary tension le$el
?B )ccording to reinforcement theory, if a manager catches an employee e3hi%iting unproducti$e %eha$ior, the
recommended action for eliminating the %eha$ior &ould %e to --------------
a punish the %eha$ior
% re&ard their good %eha$ior
c re&ard other employees0 good %eha$ior
d punish other employees e3hi%iting similar unproducti$e %eha$ior
e ignore the %eha$ior !difficult"
?I The num%er of different tas+s re,uired in a 6o% and the fre,uency &ith &hich those tas+s are repeated is
--------------
a 6o% scope !moderate"
% 6o% enlargement
c 6o% enrichment
d 6o% design
e 6o% criteria
?A 9orizontally e3panding the tas+s of a 6o% is +no&n %y &hich of the follo&ing terms4
a 6o% enrichment
% 6o% enlargement !moderate"
c tas+ impro$ement
d 6o% e3pansion
e right sizing tas+s
?8 -------------- is $ertical e3pansion of a 6o% %y adding planning and e$aluating responsi%ilities
a <o% scope
% <o% enlargement
c <o% enrichment !moderate"
d <o% design
e <o% criteria
?? <o% enrichment increases 6o% --------------, &hich is the degree of control employees ha$e o$er their &or+
a %readth
% scope
c $ariety
d depth !moderate"
e feed%ac+
?M (hich of the follo&ing is not associated &ith 6o% enrichment4
a $ertical e3pansion
% adding planning tas+s
c increasing 6o% scope !moderate"
11?
d adding e$aluating responsi%ility
e increased employee control
?N The research e$idence on the use of 6o% enrichment programs could %e classified as --------------
a encouraging
% strongly supporti$e
c moderately supporti$e
d inconclusi$e !moderate"
e unsupporti$e
?> (hat theory pro$ides a conceptual frame&or+ for analyzing 6o%s %y analyzing fi$e core dimensions4
a reinforcement theory
% 6o% characteristics model !moderate"
c 6o% design
d e,uity theory
e e3pectancy theory
M@ (hich of the follo&ing, according to the 6o% characteristics model, is the degree to &hich a 6o% re,uires a
$ariety of acti$ities so that an employee can use a num%er of different s+ills and talents4
a tas+ identity
% autonomy
c feed%ac+
d tas+ significance
e s+ill $ariety !easy"
M1 (hich of the follo&ing, according to the 6o% characteristics model, is the degree to &hich a 6o% re,uires
completion of a &hole and identifia%le piece of &or+4
a s+ill $ariety
% autonomy
c tas+ significance
d tas+ identity !easy"
e feed%ac+
MB The 6o% characteristics model identifies -------------- as the degree to &hich a 6o% has su%stantial impact
on the li$es or &or+ of other people
a tas+ significance !moderate"
% tas+ identity
c s+ill $ariety
d autonomy
e feed%ac+
MI -------------- is the degree to &hich a 6o% pro$ides su%stantial freedom, independence and discretion to the
indi$idual in scheduling the &or+ and determining the procedures to %e used in carrying it out
a Tas+ significance
% Tas+ identity
c .+ill $ariety
d )utonomy !easy"
e Feed%ac+
MA -------------- is the degree to &hich carrying out the &or+ acti$ities re,uired %y a 6o% results in an
indi$idual0s o%taining direct and clear information a%out the effecti$eness of her performance
a Tas+ significance
% Tas+ identity
c .+ill $ariety
d )utonomy
e Feed%ac+ !moderate"
M8 In the 6o% characteristics model, &hich com%ination of core 6o% dimensions com%ine to produce e3perienced
meaningfulness of &or+ %y the employee4
a s+ill $ariety, feed%ac+, and autonomy
% autonomy, tas+ significance, and tas+ identity
c tas+ identity, s+ill $ariety, and tas+ significance !moderate"
d tas+ significance, tas+ identity, and feed%ac+
11M
e tas+ identity, feed%ac+, and autonomy
M? (hich of the follo&ing personality $aria%les moderates the relationship %et&een 6o% dimensions and outcomes
according to the 6o% characteristics model4
a need for achie$ement
% gro&th need !difficult"
c locus of control
d ris+ ta+ing
e need for po&er
MM The 6o% characteristics model pro$ides guidance to managers concerning --------------
a 6o% redesign !easy"
% employee selection
c pay satisfaction
d collecti$e %argaining
e strategic planning
MN )ccording to the 6o% characteristics model, -------------- suggests that managers should design tas+s that
form an identifia%le and meaningful &hole
a com%ining tas+s
% creating natural &or+ units !moderate"
c opening feed%ac+ channels
d e3panding 6o%s $ertically
e esta%lishing client relationships
M> (hich of the follo&ing is an accurate statement a%out e,uity theory4
a It e3plains &hy a factory &or+er resents ho& much professional %ase%all players ma+e
% It suggests that people &ill feel fairly treated if they recei$e pay increases
c It is %ased on perceptions of our o&n situation to others &ho are li+e us !moderate"
d It is a theory %ased on needs
e It is a moti$ational theory %ased on our 6o% characteristics
N@ In -------------- an employee compares his 6o%0s inputs/outcomes ratio &ith that of rele$ant others and then
corrects any ine,uity
a reinforcement theory
% the 6o% characteristics model
c 6o% design
d e,uity theory !moderate"
e e3pectancy theory
N1 (hich of the follo&ing is not an input according to e,uity theory4
a effort
% e3perience
c pay le$el !easy"
d education
e 6o% tenure
NB If a manager see+s e,uity %y rethin+ing his situation and deciding that 'on second thought my office is nicer
%ecause it has %etter carpet,' this manager is see+ing e,uity through &hich of the follo&ing methods4
a increasing his outcomes
% decreasing comparison other outcomes
c distorting others0 outcomes !difficult"
d lea$ing the situation
e choosing a ne& comparison other
NI 7ased on e,uity theory, as+ing the %oss to gi$e a 'comparison other' at &or+ more responsi%ility is to see+
e,uity through &hich of the follo&ing methods4
a decreasing your inputs
11N
% increasing comparison other outcomes
c decreasing your outcomes
d cogniti$ely distorting the situation
e increasing comparison other inputs !moderate"
NA Organizational pay policies are &hat type of referent according to e,uity theory4
a other
% system !difficult"
c internal
d e3ternal
e self
N8 In general, the research support for e,uity theory could %e descri%ed as --------------
a strong !moderate"
% moderate
c &ea+
d inconclusi$e
e there has %een $ery little research on e,uity theory
N? In e3pectancy theory, the pro%a%ility percei$ed %y the indi$idual that e3erting a gi$en amount of effort &ill
lead to a certain le$el of performance is --------------
a $alence
% e3pectancy !moderate"
c consistency
d fle3i%ility
e instrumentality
NM (hich e3pectancy theory lin+age e3plains the %elief %y a student that studying hard results in o%taining high
test grades4
a $alence of re&ard
% e3pectancy !difficult"
c input to outcome
d goal setting to achie$ement
e instrumentality to re&ard
NN In e3pectancy theory, the degree to &hich the indi$idual %elie$es that performing at a particular le$el is
instrumental in leading to the attainment of a desired outcome is --------------
a $alence
% e3pectancy
c consistency
d fle3i%ility
e instrumentality !moderate"
N> (hich e3pectancy theory lin+age e3plains the %elief that ha$ing a high grade point a$erage is critical in
o%taining a good 6o%4
a instrumentality !difficult"
% e3pectancy
c goal setting to achie$ement
d $alence
e input to outcome
>@ (hich e3pectancy theory lin+age e3plains the degree to &hich a student desires a good 6o%4
a e3pectancy
% effort to performance
c input to outcome
d instrumentality
e $alence !moderate"
>1 (hich of the follo&ing is not an important issue surrounding e,uity theory4
11>
a It emphasizes payoffs
% It is important to understand &hy outcomes are important or unimportant
c #3pected %eha$iors are important
d Jeality is +ey !difficult"
e Indi$iduals are e3pected to ma3imize needs and/or &ants
C5JJ#2T I..5#. I2 MOTIO)TIO2
>B To ma3imize moti$ation among today0s di$erse &or+ force, managers need to thin+ in terms of
--------------
a fle3i%ility !easy"
% consistency
c needs
d &ants
e organizational strategy
>I ) -------------- &or+&ee+ is a &or+&ee+ &here employees &or+ longer hours per day %ut fe&er days per
&ee+
a fle3i%le
% compressed !easy"
c congruent
d parallel
>A -------------- is a scheduling system in &hich employees are free to $ary &or+ hours &ithin certain limits
a Compressed &or+ &ee+
% <o% sharing
c Fle3time !moderate"
d Telecommuting
e <o% enlargement
>8 (hat type of 6o% scheduling option &ould allo& t&o different employees to share one forty/hour/a/&ee+
system0s analyst position4
a compressed &or+ &ee+
% 6o% sharing !easy"
c fle3time
d telecommuting
e 6o% enlargement
M)2)KI2K (OJG FOJC# 1IO#J.ITH
>? )t &hich of the follo&ing companies do ne& employees %ecome a part of a mentoring group called
D9orizons4E
a Microsoft
% 9e&lett/;ac+ard
c I7M
d .ilicon Kraphics !moderate"
e Fucent Technologies
>M The lin+ing %y computer and modem of &or+ers at home &ith co/&or+ers and management at an office is
termed --------------
a 6o% sharing
% compressed &or+ &ee+
c fle3time
d telecommuting !easy"
e 6o% enlargement
>N ;iece/rate pay plans, &age incenti$e plans, profit/sharing and lump/sum %onuses are e3amples of
-------------- programs
a open/%oo+ management
% e3pectancy theory
1B@
c pay/for/performance !easy"
d e,uity theory
e 6o% characteristics model
>> ;erformance/%ased compensation is pro%a%ly most compati%le &ith &hich moti$ational theory4
a e,uity theory
% goal setting theory
c 6o% characteristics model
d e3pectancy theory !difficult"
e reinforcement theory
1@@ -------------- is a moti$ational approach in &hich an organization0s financial statements are opened to and
shared &ith all employees
a Open/%oo+ management !easy"
% #3pectancy theory
c ;ay/for/performance
d #,uity theory
e <o% characteristics model
1@1 .uccessful moti$ation of professions re,uires that managers recognize that the loyalty of professionals is
usually to&ard their --------------
a employer
% short/term financial &ell %eing
c long/term financial &ell %eing
d family
e profession !moderate"
1@B )ll of the follo&ing are mentioned in the te3t as suggestions to moti$ating professionals #QC#;TL
a pro$iding them &ith ongoing challenging pro6ects
% using money and promotions !moderate"
c allo&ing them to structure their &or+ in &ays they find producti$e
d re&arding them &ith recognition
1@I (hich of the follo&ing is not a suggestion for moti$ating employees4
a recognize indi$idual differences
% ma+e goals $ery difficult to achie$e !easy"
c match people to 6o%s
d indi$idualize re&ards
e don0t ignore money
1@A ) re$ie& of eighty studies found &hich of the follo&ing methods produced the highest increases in
producti$ity4
a goal setting
% 6o% redesign
c employee participation
d monetary increases !moderate"
e 6o%/person match
1@8 (hich of the follo&ing is 2OT mentioned in the te3t as a suggestion to moti$ating employees in general4
a recognize indi$idual differences
% use goals
c use collecti$e re&ards !moderate"
d don*t ignore money
e lin+ re&ards to performance
.cenarios and Questions
CO2T#M;OJ)JH T9#OJI#. OF MOTIO)TIO2
1B1
Changing <o%s !.cenario"
Marty sat in his fa$orite chair at home and pondered his &or+ situation The funding in his di$ision had %een cut %y
t&enty/fi$e percent %ut the numerical goals did not %udge .omething had to change and he +ne& it &as his 6o% to
figure out ho& to ma+e the goals reacha%le 9e had decided to try to ma+e it &or+ %y changing the &ay tas+s are
com%ined in each 6o% First, he needed to +no& ho& many tas+s there &ere to each 6o% and ho& fre,uently each tas+
is repeated 9e also +ne& that %ecause of the funding cut, people &ere going to %e as+ed to increase their 6o% tas+s
horizontally 7ut, he also felt that to %alance this he should add planning and e$aluating responsi%ilities Together,
e$en though the employees &ere clearly %eing as+ed to contri%ute more, he felt they &ould ha$e a greater degree of
control o$er their &or+ 2o one loo+ed for&ard to this coming year UU managers or staff UU %ut it &as do or die
1@? (hich of the follo&ing is the term that descri%es 'the &ay tas+s are com%ined in each 6o%'4
a 6o% enlargement
% 6o% scope
c 6o% enrichment
d 6o% design !difficult"
e 6o% depth
1@M -------------- descri%es the degree of control employees ha$e o$er their &or+
a 6o% enlargement
% 6o% scope
c 6o% enrichment
d 6o% design
e 6o% depth !difficult"
1@N Marty &as also going to as+ people to horizontally increase their 6o%s, also +no&n as --------------
a 6o% enlargement !moderate"
% 6o% scope
c 6o% enrichment
d 6o% design
e 6o% depth
1@> The $ertical e3pansion of employees, or --------------, &as also suggested %y Marty
a 6o% enlargement
% 6o% scope
c 6o% enrichment !moderate"
d 6o% design
e 6o% depth
) Management Tool !.cenario"
The managers &anted and needed something they could actually use as a tool for redesigning the 6o%s in their
departments They had no& sat through four days of management training %ut so far, &ith all of the fancy theories,
they had not recei$ed any specific guidance in this area Finally, on the last day of the training, they learned a%out the
6o% characteristics model .ure, it still had all of the theory and other academic 6argon, %ut it also pro$ided some
specific steps to help impro$e the core 6o% dimensions
11@ One suggestion, --------------, encourages putting e3isting fragmented tas+s %ac+ together to increase s+ill
$ariety and tas+ identity
a com%ining tas+s !easy"
% creating natural &or+ units
c esta%lishing client relationships
d e3panding 6o%s $ertically
e opening feed%ac+ channels
111 )nother suggestion, --------------, allo&s employees to 6udge the le$el of their performance
a com%ining tas+s
% creating natural &or+ units
c esta%lishing client relationships
1BB
d e3panding 6o%s $ertically
e opening feed%ac+ channels !moderate"
11B -------------- can help partially close the gap %et&een the 'doing' and the 'controlling' aspects of the 6o%
and increases employee autonomy
a com%ining tas+s
% creating natural &or+ units
c esta%lishing client relationships
d e3panding 6o%s $ertically !difficult"
e opening feed%ac+ channels
11I The model also suggests that -------------- &ill increase employee 'o&nership' of the &or+ and help them
$ie& their &or+ as meaningful
a com%ining tas+s
% creating natural &or+ units !difficult"
c esta%lishing client relationships
d e3panding 6o%s $ertically
e opening feed%ac+ channels
(hat 1o Hou #3pect4 !.cenario"
The employees at )cme Toilets Inc are not &or+ing as hard as <ill, their super$isor, &ould li+e The salesmen aren0t
meeting their sales ,uotas, and <ill can0t seem to moti$ate them to try harder <ill has %een studying e3pectancy theory
and has decided to try to put it into practice
11A #mployees are ne$er a%le to meet their sales ,uotas and %elie$e that no matter ho& hard they &or+, they0ll
ne$er meet them They percei$e the -------------- of their success to %e lo&
a instrumentality
% e3pectancy !difficult"
c $alence
d performance/re&ard lin+age
e attracti$eness of re&ard
118 #mployees %elie$e that they can ma+e their sales ,uotas, %ut aren0t sure that management &ill really re&ard
them &hen they do They percei$e the -------------- to %e lo&
a instrumentality !difficult"
% e3pectancy
c $alence
d effort/performance lin+age
e attracti$eness of re&ard
11? Management has set the re&ard for meeting sales ,uotas at a lo&er le$el than last year #mployees percei$e
that the -------------- is lo&
a instrumentality
% e3pectancy
c $alence !difficult"
d performance/re&ard lin+age
e effort/performance lin+age
11M <ill has arranged for the %onus system to %e changed so that the %onus for meeting sales ,uotas is much higher
than it has e$er %een %efore <ill has altered the --------------
a instrumentality
% e3pectancy
c $alence !moderate"
d performance/re&ard lin+age
e effort/performance lin+age
C5JJ#2T I..5#. I2 MOTIO)TIO2
1BI
1esign Hour O&n <o% !.cenario"
Terrence has %een %rought in to a high/tech company to institute family/friendly programs 9e has decided that
%ecause of the di$erse &or+ force, alternati$e &or+ing hours &ill %e $ery attracti$e to the employees
11N Terrence is allo&ing t&o people to split a A@/hour/a/&ee+ 6o% They are splitting the &or+ and the %enefits in
an arrangement termed --------------
a fle3i%le &or+ hours
% a compressed &or+&ee+
c fle3time
d 6o% sharing !easy"
e telecommuting
11> Terrence allo&s employees to &or+ four 1@/hour days instead of the traditional fi$e day &or+&ee+ This &or+
arrangement is termed --------------
a home/%ased &or+
% a compressed &or+&ee+ !easy"
c fle3time
d 6o% sharing
e telecommuting
1B@ .ome employees are &or+ing from home $ia computers This &or+ arrangement is termed --------------
a fle3i%le &or+ hours
% a compressed &or+&ee+
c fle3time
d 6o% sharing
e telecommuting !easy"
#ssay Questions
(9)T I. MOTIO)TIO24
1B1 In a short essay, define moti$ation and discuss the three +ey elements that can %e seen in this definition
)ns&er
Moti$ation is the &illingness to e3ert high le$els of effort to reach organizational goals, conditioned %y the
effort*s a%ility to satisfy some indi$idual need The three +ey elements that can %e seen in this definition are
effort, organizational goals, and needs The effort element is a measure of intensity or dri$e ) moti$ated
person tries hard 7ut high le$els of effort are unli+ely to lead to fa$ora%le 6o% performance unless the effort is
channeled in a direction that %enefits the organization ) person should %e see+ing effort that is directed
to&ard, and consistent &ith, organizational goals ) need refers to some internal state that ma+es certain
outcomes appear attracti$e )n unsatisfied need creates tension that stimulates dri$es &ithin an indi$idual
These dri$es lead to a search %eha$ior to find particular goals that, if attained, &ill satisfy the need and reduce
the tension
!moderate"
#)JFH T9#OJI#. OF MOTIO)TIO2
1BB In a short essay, list and discuss the fi$e needs that are %ased on Maslo&*s 9ierarchy of 2eeds Theory
)ns&er
a ;hysiological needs food, drin+, shelter, and other physical re,uirements
% .afety needs security and protection from physical and emotional harm, as &ell as assurance that
physical needs &ill continue to %e met
c .ocial needs affection, %elongingness, acceptance, and friendship
1BA
d #steem needs internal esteem factors such as self/respect, autonomy, and achie$ement and e3ternal
esteem factors such as status, recognition, and attention
e .elf/actualization needs gro&th, achie$ing one*s potential, and self/fulfillment: the dri$e to %ecome &hat
one is capa%le of %ecoming
!easy"
1BI In a short essay, list and discuss the three/needs theory according to 1a$id McClelland 2e3t, identify &hich of
these needs has %een studied most e3tensi$ely and discuss the findings of this research
)ns&er
The three/needs theory says there are three needs that are ma6or moti$es in &or+ These three needs include the
need for achie"ement &hich is the dri$e to e3cel, to achie$e in relation to a set of standards, and to stri$e to
succeed: the need for power &hich is the need to ma+e others %eha$e in a &ay that they &ould not ha$e
%eha$ed other&ise: and the need for affiliation &hich is the desire for friendly and close interpersonal
relationships Of these three needs, the need for achie$ement has %een researched most e3tensi$ely The
findings sho& people &ith a high need for achie$ement are stri$ing for personal achie$ement rather than for the
trappings and re&ards of success They ha$e a desire to do something %etter or more efficiently than it*s %een
done %efore They prefer 6o%s that offer personal responsi%ility for finding solutions to pro%lems, in &hich they
can recei$e rapid and unam%iguous feed%ac+ on their performance in order to tell &hether they*re impro$ing,
and in &hich they can set moderately challenging goals 9igh achie$ers aren*t gam%lers: they disli+e
succeeding %y chance They are moti$ated %y and prefer the challenge of &or+ing at a pro%lem and accepting
the personal responsi%ility for success or failure )n important point is that high achie$ers a$oid &hat they
percei$e to %e $ery easy or $ery difficult tas+s
!difficult"
1BA In a short essay, discuss 6o% design and descri%e ho& a manager could utilize 6o% scope, 6o% enlargement, 6o%
enrichment, and 6o% depth to design moti$ating 6o%s
)ns&er
<o% design refers to the &ay tas+s are com%ined to form complete 6o%s <o% design historically has concentrated
on ma+ing 6o%s smaller and more specialized Het, &hen 6o%s are narro& in focus and highly specialized,
moti$ating employees is a real challenge Thus, many organizations ha$e loo+ed at other 6o% design options
One of the earliest efforts at o$ercoming the dra&%ac+s of 6o% specialization in$ol$ed the horizontal e3pansion
of a 6o% through increasing 6o% scopeCthe num%er of different tas+s re,uired in a 6o% and the fre,uency &ith
&hich these tas+s are repeated For instance, a dental hygienist*s 6o% could %e enlarged so that in addition to
dental cleaning, he or she is pulling patients* files, re/filing them &hen finished, and cleaning and storing
instruments This type of 6o% design option is called 6o% enlargement )nother approach to designing
moti$ating 6o%s is through the $ertical e3pansion of a 6o% %y adding planning and e$aluating responsi%ilitiesC
6o% enrichment <o% enrichment increases 6o% depth, &hich is the degree of control employees ha$e o$er their
&or+ In other &ords, employees are empo&ered to assume some of the tas+s typically done %y the managers
Thus, the tas+s in an enriched 6o% should allo& &or+ers to do a complete acti$ity &ith increased freedom,
independence, and responsi%ility These tas+s should also pro$ide feed%ac+ so that indi$iduals can assess and
correct their o&n performance For instance, in an enriched 6o%, the dental hygienist, in addition to dental
cleaning, could schedule appointments and follo& up &ith clients
!difficult"
1B8 In a short essay, list and discuss the fi$e core dimensions that can descri%e any 6o% according to the 6o%
characteristics model
)ns&er
a .+ill $ariety the degree to &hich a 6o% re,uires a $ariety of acti$ities so that an employee can use a
num%er of different s+ills and talents
% Tas+ identity the degree to &hich a 6o% re,uires completion of a &hole and identifia%le piece of &or+
c Tas+ significance the degree to &hich a 6o% has a su%stantial impact on the li$es or &or+ of other people
1B8
d )utonomy the degree to &hich a 6o% pro$ides su%stantial freedom, independence, and discretion to the
indi$idual in scheduling the &or+ and determining the procedures to %e used in carrying it out
e Feed%ac+ the degree to &hich carrying out &or+ acti$ities re,uired %y a 6o% results in the indi$idual*s
o%taining direct and clear information a%out the effecti$eness of his or her performance
!moderate"
1B? In a short essay, discuss the e,uity theory and list fi$e pro%a%le %eha$ior responses that may occur &hen
employees percei$e an ine,uity
)ns&er
The e,uity theory proposes that employees percei$e &hat they get from a 6o% situation !outcomes" in relation to
&hat they put into it !inputs" and then compare their inputs/outcomes ratios of rele$ant others If an employee
percei$es his or her ratio to %e e,ual to those of rele$ant others a state of e,uity e3its In other &ords, he or she
percei$es that the situation is fair 9o&e$er, if the ratio is une,ual, ine,uity e3ists and he or she $ie&s
themsel$es as underre&arded or o$erre&arded (hen ine,uities occur, employees attempt to do something
a%out it The e,uity theory proposes that employees might !1" distort either their o&n or others* inputs or
outcomes, !B" %eha$e in some &ay to induce others to change their inputs or outcomes, !I" %eha$e in some &ay
to change their o&n inputs or outcomes, !A" choose a different comparison person, or !8" ,uit their 6o%
!moderate"
1BM In a short essay, discuss Oictor Oroom*s e3pectancy theory and list and descri%e the three $aria%les or
relationships that support this theory
)ns&er
#3pectancy theory states that an indi$idual tends to act in a certain &ay %ased on the e3pectation that the act
&ill %e follo&ed %y a gi$en outcome and on the attracti$eness of that outcome to the indi$idual It includes the
follo&ing three $aria%les or relationships
a #3pectancy or effort/performance lin+age pro%a%ility percei$ed %y the indi$idual that e3erting a gi$en
amount of effort &ill lead to a certain le$el of performance
% Instrumentality or performance/re&ard lin+age the degree to &hich the indi$idual %elie$es that
performing at a particular le$el is instrumental in attaining the desired outcome
c Oalence or attracti$eness of re&ard the importance that the indi$idual places on the potential outcome or
re&ard that can %e achie$ed on the 6o% Oalence considers %oth the goals and needs of the indi$idual
!moderate"
C5JJ#2T I..5#. I2 MOTIO)TIO2
1BN In a short essay, list and discuss four types of fle3i%le &or+ing schedules that ha$e %een implemented %y
organizations as a response to the $aried needs of a di$erse &or+force
)ns&er
a Compressed &or+&ee+ a &or+&ee+ &here employees &or+ longer hours per day %ut fe&er days per
&ee+ The most common form is four 1@/hour days !a A/A@ program" 9o&e$er, organizations could
design &hate$er schedules they &anted to fit employees* needs This compressed &or+&ee+ pro$ides
employees &ith time off for running errands, pursuing ho%%ies, or ta+ing care of family pro%lems
% Fle3i%le &or+ hours !also +no&n as fle3time" a scheduling system in &hich employees are re,uired to
&or+ a specific num%er of hours a &ee+ %ut are free to $ary those hours &ithin certain limits In a fle3time
schedule, there are certain common core hours &hen all employees are re,uired to %e on the 6o%, %ut
starting, ending, and lunch/hour times are fle3i%le Fle3time is one of the most desired %enefits employees
&ant from their employers
c <o% sharing the practice of ha$ing t&o or more people split a full/time 6o% This types of 6o% schedule
might %e attracti$e, for e3ample, to indi$iduals &ith school/age children or retirees, &ho &ant to &or+ %ut
do not &ant the demands and hassles of a full/time position
d Telecommuting here, employees &or+ at home and are lin+ed to the &or+place %y computer and modem
Many 6o%s can %e done at home, and this approach might %e close to the ideal 6o% for some people as there
1B?
is no commuting, fle3i%le hours, freedom to dress as you please, and little or no interruptions from
colleagues
!easy"
1B> In a short essay, discuss the uni,ue pro%lems faced in trying to moti$ate professional employees, contingent
&or+ers, and lo&/s+illed, minimum/&age employees Include a discussion of $arious methods that can %e
implemented to moti$ate these types of employees
)ns&er
a Moti$ating professionals professionals are typically different from nonprofessionals They ha$e a strong
and long/term commitment to their field of e3pertise They loyalty is more often to their profession than to
their employer To +eep current in their field, they need to regularly update their +no&ledge, and %ecause
of their commitment to their profession they rarely define their &or+&ee+ as Nam to 8pm fi$e days a &ee+
(hat moti$ates professionals4 Money and promotions typically are lo& on their priority list Therefore,
pro$ide them &ith ongoing challenging pro6ects Ki$e them autonomy to follo& their interests, and allo&
them to structure their &or+ in &ays they find producti$e Je&ard them &ith educational opportunitiesC
additional training, &or+shops, attending conferencesCthat allo& them to +eep current in their field )lso,
re&ard them &ith recognition, and as+ ,uestions and use other actions that demonstrate to them that you*re
sincerely interested in &hat they*re doing and $alue it
% Moti$ating contingent &or+ers contingent &or+ers don*t ha$e the security or sta%ility that permanent
employees ha$e, and they don*t identify &ith the organization or display the commitment that other
employees do Temporary &or+ers also typically get little or no %enefits such as health care or pensions
There*s no simple solution for moti$ating contingent employees (hat &ill moti$ate in$oluntarily
temporary employees4 )n o%$ious ans&er is the opportunity to %ecome a permanent employee In cases
in &hich permanent employees are selected from a pool of temps, the temps &ill often &or+ hard in hopes
of %ecoming permanent ) less o%$ious ans&er is the opportunity for training The a%ility of a temporary
employee to find a ne& 6o% is largely dependent on his or her s+ills If the employee sees that the 6o% he or
she is doing can help de$elop mar+eta%le s+ills, then moti$ation is increased
c Moti$ating lo&/s+illed, minimum/&age employees one of the toughest moti$ational challenges a
manager faces is ho& to achie$e and +eep high performance le$els among these types of &or+ers
)lthough money is important as a moti$ator, it*s not the only re&ard that people see+ and that managers
can use In moti$ating minimum/&age employees, managers should loo+ at other types of re&ards that
help moti$ate employee performance One that many companies use is employee recognition programs
such as employee of the month, ,uarterly employee performance a&ards ceremonies, or cele%rations of
employees* accomplishments These types of programs ser$e the purpose of highlighting employees
&hose &or+ performance has %een of the type and le$el the organization &ants to encourage in all its
employees
!easy"
1I@ In a short essay, list and discuss si3 specific recommendations that should %e follo&ed &hen moti$ating
employees
)ns&er
a Jecognize indi$idual differences almost e$ery contemporary moti$ation theory recognizes that
employees aren*t identical They ha$e different needs, attitudes, personality, and other important
indi$idual $aria%les
% Match people to 6o%s there*s a great deal of e$idence sho&ing the moti$ational %enefits of carefully
matching people to 6o%s For e3ample, high achie$ers should ha$e 6o%s that allo& them to participate in
setting moderately challenging goals and that in$ol$e autonomy and feed%ac+ 9o&e$er, +eep in mind
that not e$ery%ody is moti$ated %y 6o%s that are high in autonomy, $ariety, and responsi%ility
c 5se goals managers should ensure that employees ha$e hard, specific goals and feed%ac+ on ho& &ell
they*re doing in achie$ing those goals The determination of &hether goals should %e assigned %y the
manager or set &ith the employee*s participation depends on the perception of goal acceptance and the
organization*s culture If resistance to goals is e3pected, participation should increase acceptance If
participation is inconsistent &ith the culture, assigned goals should %e used
1BM
d #nsure that goals are percei$ed as attaina%le regardless of &hether goals are actually attaina%le,
employees &ho see goals as unattaina%le &ill reduce their effort Managers must %e sure, therefore, that
employees feel confident that increased efforts can lead to achie$ing performance goals
e Indi$idualize re&ards %ecause employees ha$e different needs, &hat acts as a reinforcer for one may not
for another Managers should use their +no&ledge of employee differences to indi$idualize the re&ards
they control, such as pay, promotions, recognition, desira%le &or+ assignments, autonomy, and
participation
f Fin+ re&ards to performance managers need to ma+e re&ard contingent on performance Je&arding
factors other then performance &ill only reinforce those other factors Important re&ards such as pay
increases and promotions should %e gi$en for the attainment of specific goals Managers should also loo+
for &ays to increase the $isi%ility of re&ards, ma+ing them potentially more moti$ating
g Chec+ the system for e,uity employees should percei$e that re&ards or outcomes are e,ual to the inputs
On a simple le$el, e3perience, a%ility, effort, and other o%$ious inputs should e3plain difference in pay,
responsi%ility, and other o%$ious outcomes Jemem%er that one person*s e,uity is another*s ine,uity, so
an ideal re&ard system should &eigh inputs differently in arri$ing at the proper re&ards for each 6o%
h 1on*t ignore money it*s easy to get so caught up in setting goals, creating interesting 6o%s, and pro$iding
opportunities for participation that you forget that money is a ma6or reason &hy most people &or+ Thus,
the allocation of performance/%ased &age increases, piece&or+ %onuses, and other pay incenti$es is
important in determining employee moti$ation
!difficult"
Chapter 1M / Feadership
True/False
) M)2)K#J*. 1IF#MM)
1 The Joss family decided to hire an e3perienced C#O to run 7o% Joss 7uic+ upon the death of 7o% Joss .r,
the founder of the company
False !moderate"
M)2)K#J. O#J.5. F#)1#J.
B Managers and leaders are the same
False !easy"
I Feaders influence a group to&ard the achie$ement of goals
True !easy"
A 2ot all leaders ha$e the capa%ilities or s+ills needed to hold managerial positions
True !easy"
8 Feadership is %ased on authority granted from organizational position
False !moderate"
CO2TI2K#2CH T9#OJI#. OF F#)1#J.9I;
? Fiedler0s contingency model of leadership style effecti$eness depends on the a%ility and &illingness of the
su%ordinates
False !moderate"
M The least/preferred co/&or+er ,uestionnaire measure, &hether a person is tas+ or relationship oriented
True !easy"
N Fiedler assumed a person0s leadership style &as ad6usted %ased on the situation
False !moderate"
1BN
> Fiedler identified three contingency dimensionsL leader/mem%er relations, tas+ structure, and re&ard po&er
False !difficult"
1@ )ccording to Fiedler0s research, tas+/oriented leaders tended to perform %etter in situations that are $ery
fa$ora%le to them and in situations that &ere $ery unfa$ora%le
False !difficult"
11 )ccording to Fiedler0s research, relationship/oriented leaders seemed to perform %etter in $ery unfa$ora%le
situations
False !moderate"
1B Je$ie& of the ma6or studies underta+en to test the o$erall $alidity of the Fiedler model led to a generally
positi$e conclusion
True !moderate"
1I Jo%ert 9ouse0s path/goal theory is an e3pectancy theory of moti$ation
False !moderate"
1B>
1A Jo%ert 9ouse0s supporti$e leader consults &ith su%ordinates and uses their suggestions %efore ma+ing a
decision
False !difficult"
18 Jo%ert 9ouse assumed that leadership style changes depending on the situation
True !moderate"
1? ;ath/goal theory holds that su%ordinates &ith an e3ternal locus of control &ill %e more satisfied &ith a directi$e
style
True !moderate"
1M Oroom and Hetton0s ;ath/Koal Model related leadership %eha$ior and participation to decision ma+ing
False !moderate"
1N Jesearch testing the original leader participation model &as $ery encouraging
True !moderate"
C5TTI2K/#1K# );;JO)C9#. TO F#)1#J.9I;
1> ) charismatic leader is li+ely seen as %eing asserti$e
True !easy"
B@ ;eople &or+ing for charismatic leaders are moti$ated to e3ert e3tra &or+ effort %ut e3press lo&er satisfaction
False !moderate"
B1 Charismatic leadership may not al&ays %e needed to achie$e high le$els of employee performance
True !easy"
BB Charisma is the a%ility to create and articulate a realistic, credi%le, attracti$e $ision of the future for any
organization or organizational unit that gro&s out of and impro$es upon the present
False !moderate"
BI The +ey properties of a $ision seem to %e inspirational possi%ilities that are $alue centered, are realiza%le, ha$e
superior imagery, and are &ell articulated
True !difficult"
BA One specific role of team leadership is that team leaders are trou%leshooters
True !easy"
B8 (hen team leaders assume the role of trou%leshooter, they clarify e3pectations and roles, teach, and offer
support
False !moderate"
B? Transactional and transformational leadership are opposing approaches to getting things done
False !moderate"
BM The e$idence supports the superiority of transformational leadership o$er transactional leadership
True !moderate"
CO2T#M;OJ)JH I..5#. I2 F#)1#J.9I;
BN )ccording to French and Ja$en, legitimate po&er and authority are one in the same
True !moderate"
B> Credi%ility is the degree to &hich follo&ers percei$e someone as honest, competent, and a%le to inspire
True !moderate"
1I@
M)2)KI2K I2 )2 #/75.I2#.. (OJF1
I@ )ccording to DManaging in an #/%usiness (orld,E leaders in e/%usinesses see themsel$es as long/distance
runners and their contemporaries in other non e/%usinesses as sprinters
False !moderate"
Multiple Choice
) M)2)K#J*. 1IF#MM)
I1 )ccording to the company profile in D) Manager*s 1ilemma,E the pro%lem facing 7o% Joss 7uic+ is
determining ---------------
a ho& to attract more customers
% ho& to e3pand the company
c ho& to +eep employees loyal !moderate"
d ho& to hire more ,ualified employees
e ho& to sell the %usiness
M)2)K#J. O#J.5. F#)1#J.
IB (hich of the follo&ing is 2OT true concerning the difference %et&een managers and leaders4
a Managers are appointed
% Managers influence through informal means !easy"
c Feaders may %e appointed
d Feaders can influence %eyond formal authority
e Feaders may emerge from a group
II ;ersons &ho are a%le to influence others and &ho possess managerial authority are termed --------------
a managers
% leaders !easy"
c organizers
d $isionaries
e team mem%ers
#)JFH F#)1#J.9I; T9#OJI#.
IA (hich of the follo&ing is 2OT mentioned in the te3t as one of the three leadership styles e3plored in the
5ni$ersity of Io&a studies4
a cultural style !easy"
% autocratic style
c democratic style
d laissez/faire style
I8 (hich of the follo&ing descri%es the leadership style in &hich a leader tended to centralize authority,
dictate &or+ methods, ma+e unilateral decisions, and limit employee participation4
a cultural style
% autocratic style !moderate"
c democratic style
d laissez/faire style
I? The --------------- style of leadership descri%es a leader &ho tends to in$ol$e employees in decision
ma+ing, delegate authority, encourage participation in deciding &or+ methods and goals, and use feed%ac+ as an
opportunity for coaching employees
a cultural style
% autocratic style
c democratic style !moderate"
d laissez/faire style
1I1
IM (hich of the follo&ing descri%es the leadership style in &hich the leader generally gi$es the group complete
freedom to ma+e decisions and complete the &or+ in &hate$er &ay it sa& fit4
a cultural style
% autocratic style
c democratic style
d laissez/faire style !moderate"
IN )ccording to the Ohio .tate studies, &hich of the follo&ing dimensions of leader %eha$ior refers to the e3tent
to &hich a leader is li+ely to define and structure his or her role and the roles of group mem%ers in the search
for goal attainment4
a intelligence structure
% psychological structure
c initiating structure !easy"
d consideration structure
I> )ccording to the Ohio .tate studies, the dimension of leader %eha$ior that is defined as the e3tent to &hich a
leader had 6o% relationships characterized %y mutual trust and respect for group mem%ers* ideas and feelings is
called ---------------
a initiation
% consideration !moderate"
c cultural
d physical
CO2TI2K#2CH T9#OJI#. OF F#)1#J.9I;
A@ (ho de$eloped the first contingency model for leadership4
a 7la+e and Mouton
% Fiedler !easy"
c )dler
d Fe&in
e .chmidt
A1 Fielder0s model of leadership &as the first -------------- model
a $isionary
% path/goal
c team
d empo&erment
e contingency !moderate"
AB Fiedler0s least/preferred co/&or+er ,uestionnaire see+s to measure &hat leadership factor4
a su%ordinate needs
% leader0s style !moderate"
c situation
d su%ordinate co/&or+er influence
e leader traits
AI (hich of the follo&ing is TJ5# concerning Fiedler0s least/preferred co/&or+er ,uestionnaire4
a Feaders are either tas+ or relationship oriented !moderate"
% Fielder assumed that leadership style &as conte3tual
c Feadership style is dynamic depending on the situation
d ) lo& F;C &ould %e a tas+/oriented leader
e ) high F;C &ould %e a relationship/oriented leader
AA The least preferred co/&or+er ,uestionnaire &as de$eloped %y --------------
a Oictor Oroom
% Jo%ert 9ouse
c Fred Fiedler !difficult"
d French and Ja$en
e 1a$id McClelland
1IB
A8 Fiedler assumed a person0s leadership style &as --------------
a contingent
% relati$e
c dimensional
d fi3ed !difficult"
e team oriented
A? Fiedler0s dimension termed -------------- is the degree of confidence, trust, and respect su%ordinates had
for their leader
a leader/mem%er relations !easy"
% po&er relationship
c tas+ structure
d authority
e position po&er
AM (hich of the follo&ing are t&o of the three +ey situational factors Fielder felt &ere important in determining
leader effecti$eness4
a leader/mem%er relations, maturity of follo&ers
% organizational success, position po&er
c tas+ structure, leader/mem%er relations !moderate"
d maturity of organization and su%ordinates
e organizational age and tas+ structure
AN Fiedler0s term -------------- refers to the degree to &hich the 6o% assignments are formalized and
procedurized
a leader/mem%er relations
% po&er relationship
c tas+ structure !easy"
d authority
e position po&er
A> The degree to &hich the 6o% assignments are formalized and procedurized is the -------------- contingency
dimension according to Fielder
a position po&er
% su%ordinate maturity
c tas+ structure !moderate"
d centralization
e leader/mem%er relations
8@ Fiedler0s term -------------- refers to the degree of influence a leader has o$er po&er/%ased acti$ities
a leader/mem%er relations
% position po&er !moderate"
c responsi%ility
d tas+ structure
e respect
81 )ccording to Fielder, in &hat types of situations do tas+/oriented leaders perform %est4
a $ery fa$ora%le, $ery unfa$ora%le !moderate"
% moderately fa$ora%le, moderately unfa$ora%le
c $ery fa$ora%le, unfa$ora%le
d $ery unfa$ora%le, unfa$ora%le
e $ery fa$ora%le, fa$ora%le
8B )ccording to Fielder, in &hat type of situations do relationship/oriented leaders perform %est4
a $ery fa$ora%le
% fa$ora%le
c moderately fa$ora%le !moderate"
d unfa$ora%le
1II
e $ery unfa$ora%le
8I )ccording to Fielder, the t&o &ays to impro$e leadership effecti$eness are to change the situation to fit the
leader or --------------
a train the employees
% change the leader !moderate"
c train the leader
d apply systematic pressure
e enhance the re&ard system
8A )ccording to Fiedler, if a group situation &as rated as highly unfa$ora%le and &as led %y a relationship leader,
the group0s performance could %e impro$ed %y --------------
a restructuring tas+s !difficult"
% changing the leader0s style
c retraining follo&ers
d empo&ering employees
e reducing the leader0s authority
88 O$erall, the $alidity of the Fiedler contingency model could %e descri%ed as --------------
a supporti$e !moderate"
% moderately supporti$e
c inconclusi$e
d unsupporti$e
e $ery unsupporti$e
8? )ccording to the te3t, the --------------theory is a contingency theory that focuses on follo&er*s readiness
a consideration leadership
% situational leadership !moderate"
c passi$e leadership
d acti$e leadership
8M (hich of the follo&ing leadership styles descri%es a leader &ho pro$ides %oth directi$e and supporti$e
%eha$ior4
a telling
% selling !moderate"
c participating
d delegating
e referring
8N The main role of the leader is to facilitate and communicate in &hich of the follo&ing leadership styles4
a telling
% selling
c participating !moderate"
d delegating
e referring
8> (hich of the follo&ing leadership styles descri%es a leader &ho pro$ides little direction or support4
a telling
% selling
c participating
d delegating !moderate"
e referring
?@ (hat leadership model is associated &ith Oroom and Hetton4
a contingency leadership theory
% situational leadership theory
c path/goal model
d leader participation model !easy"
e leader characteristics model
1IA
?1 (ho de$eloped path/goal theory4
a Fielder
% 7la+e and Mouton
c Fe&in
d 9ouse !moderate"
e .chmidt
?B )ccording to path/goal theory, a leader0s %eha$ior is -------------- to su%ordinates to the degree that they
$ie& it as an immediate source of satisfaction
a moti$ational
% accepta%le !moderate"
c compati%le
d transactional
e transformational
?I )ccording to the path/goal theory, a leader0s %eha$ior is -------------- to the e3tent that it ma+es the
satisfaction of su%ordinates0 needs contingent on effecti$e performance and pro$ides coaching and guidance
a moti$ational
% accepta%le !moderate"
c compati%le
d transactional
e transformational
?A )ccording to path/goal theory, a leader &ho lets su%ordinates +no& &hat0s e3pected of them, schedules &or+ to
%e done, and gi$es specific guidance as to ho& to accomplish tas+s is termed --------------
a directi$e !moderate"
% achie$ement oriented
c participati$e
d supporti$e
e authoritati$e
?8 )ccording to path/goal theory, a leader &ho is friendly and sho&s concern for the needs of su%ordinates is
termed --------------
a directi$e
% achie$ement oriented
c participati$e
d supporti$e !moderate"
e authoritati$e
?? )ccording to path/goal theory, a manager &ho consults &ith su%ordinates and uses their suggestions &ould %e
e3hi%iting &hat type of leadership %eha$ior4
a directi$e
% achie$ement oriented
c participati$e !moderate"
d supporti$e
e authoritati$e
?M (hich of the follo&ing is 2OT a leadership %eha$ior identified in 9ouse0s path/goal theory4
a directi$e leader
% supporti$e leader
c participati$e leader
d transactional leader !difficult"
e achie$ement/oriented leader
?N ) leader &ho sets challenging goals and e3pects $ery high performance le$els from su%ordinates &ould %e
classified as &hat type of leader, according to path/goal theory4
a supporti$e
% participati$e
1I8
c achie$ement oriented !moderate"
d democratic
e directi$e
?> In contrast to Fielder0s contingency theory, 9ouse0s path/goal theory assumes leaders are --------------
a trained
% fle3i%le !moderate"
c %orn
d $isionary
e managers
M@ The tas+ structure a su%ordinate &or+s &ith &ould %e important in understanding the -------------- $aria%le
that moderates the leader %eha$ior/outcome relationship
a su%ordinate
% leader
c en$ironmental !easy"
d &or+ group
e authority system
M1 In the path/goal theory, &hich of the follo&ing is included in the class of contingency $aria%les termed
'en$ironment'4
a tas+ structure and formal authority system !difficult"
% locus of control and e3perience
c percei$ed a%ility
d employee satisfaction
e performance
MB ;ath/goal theory identifies t&o classes of situation $aria%les that moderate the leadership/%eha$ior outcome
--------------
a tact and relationship
% path and goal
c people and history
d participation and structure
e en$ironment and su%ordinates !moderate"
MI (hich of the follo&ing is included in the class of contingency $aria%les termed 'follo&er'4
a locus of control !difficult"
% performance
c employee satisfaction
d formal authority system
e tas+ structure
MA )ccording to the te3t, &hich of the follo&ing is 2OT a hypothesis from the path/goal theory4
a .upporti$e leadership results in high employee performance and satisfaction &hen su%ordinates are
performing structured tas+s
% 1irecti$e leadership leads to greater satisfaction &hen tas+s are high structured and &ell laid out than &hen
tas+s are am%iguous or stressful !difficult"
c 1irecti$e leadership is li+ely to %e percei$ed as redundant among su%ordinates &ith high percei$ed a%ility
or &ith considera%le e3perience
d The clearer and more %ureaucratic the formal authority relationships, the more leaders should e3hi%it
supporti$e %eha$ior and deemphasize directi$e %eha$ior
e 1irecti$e leadership &ill lead to higher employee satisfaction &hen there is su%stanti$e conflict &ithin a
&or+ group
M8 (hich of the follo&ing is not one of the hypotheses that ha$e e$ol$ed from the path/goal theory4
a .upporti$e leadership results in high employee performance and satisfaction &hen su%ordinates are
performing structured tas+s
1I?
% 1irecti$e leadership is li+ely to %e percei$ed as redundant among su%ordinates &ith highly percei$ed
a%ility or &ith considera%le e3perience
c The more clear and %ureaucratic the formal authority relationships, the more leaders should e3hi%it
supporti$e %eha$ior and deemphasize directi$e %eha$ior
d 1irecti$e leadership &ill lead to higher employee satisfaction &hen there is su%stanti$e conflict &ithin a
&or+ group
e .u%ordinates &ith an e3ternal locus of control &ill %e more satisfied &ith a directi$e style !difficult"
M? )ccording to the path/goal theory, directi$e leadership &ill lead to higher employee satisfaction &hen there is
-------------- &ithin a &or+ group
a cohesi$eness
% high structure
c su%stantial conflict !moderate"
d internal locus of control
e a $isionary leader
MM Jesearch on path/goal theory could %e summarized as --------------
a negati$e support
% inconclusi$e
c positi$e support !easy"
d $ery unsupporti$e
e $arying &idely as supporti$e and nonsupporti$e
C5TTI2K/#1K# );;JO)C9#. TO F#)1#J.9I;
MN (hat type of leaders guide or moti$ate their follo&ers in the direction of esta%lished goals %y clarifying role
and tas+ re,uirements4
a transactional !moderate"
% charismatic
c trait
d transformational
e informational
M> (hich type of leaders pro$ide indi$idualized consideration, intellectual stimulation, and possess charisma4
a transactional
% charismatic
c trait
d transformational !moderate"
e informational
N@ ) leader, such as 7ill Kates of Microsoft, &ho can inspire follo&ers a%o$e their o&n self/interests and can
ha$e a profound effect on their performance, are +no&n as --------------
a transactional leaders
% directi$e leaders
c informational leaders
d emotional leaders
e transformational leaders !difficult"
N1 (hich of the follo&ing is an accurate statement a%out transformational leaders4
a They clarify tas+ re,uirements
% They focus on tas+s and pay little attention to follo&ers
c They are poor moti$ators
d They are opposite style leaders compared to transactional leaders
e They e3hi%it more than 6ust charisma !difficult"
NB The e$idence supporting the superiority of transformational leadership o$er the transactional $ariety is
--------------
a inconclusi$e
% moderately supporti$e
1IM
c moderately negati$e
d o$er&helmingly impressi$e !moderate"
e difficult to interpret
NI (hich of the follo&ing non$er%al %eha$iors do researchers &ho are training charismatic leaders 2OT include4
a leaning to&ard the su%ordinate
% a$oiding eye contact
c ha$ing rela3ed posture !easy"
d ha$ing animated facial e3pressions
NA -------------- leadership is the a%ility to create and articulate a realistic, credi%le, attracti$e $ision of the
future for an organization or organizational unit that gro&s out of and impro$es upon the future
a Oisionary !easy"
% Charismatic
c Trait
d Transactional
e Informational
N8 The +ey properties of a $ision include all of the follo&ing #QC#;T that they --------------
a are $alue centered
% are realiza%le
c ha$e superior imagery
d are easily achie$ed !moderate"
e are &ell articulated
N? (hich of the follo&ing is 2OT an important leadership role for team leaders4
a liaison &ith e3ternal constituencies
% liaison &ith internal constituencies !moderate"
c trou%leshooter
d conflict manager
e coach
CO2T#M;OJ)JH I..5#. I2 F#)1#J.9I;
NM )ll of the follo&ing are sources of po&er identified %y French and Ja$en #QC#;TL
a legitimate
% status !easy"
c e3pert
d coerci$e
e re&ard
NN (hich of the follo&ing, according to French and Ja$en, is the type of po&er a person has as a result of his or
her position in the formal organizational hierarchy4
a legitimate po&er !moderate"
% coerci$e po&er
c re&ard po&er
d e3pert po&er
e referent po&er
N> #3amples of an organization0s -------------- po&er include performance appraisals, promotions, and
interesting &or+ assignments
a legitimate !moderate"
% status
c e3pert
d coerci$e
e re&ard
M)2)KI2K HO5J C)J##J
1IN
>@ )ccording to the %o3ed feature, DManaging Hour Career,E &hich of the follo&ing is 2OT mentioned
as a suggestion to impro$e an indi$idual*s political effecti$eness4
a Frame arguments in terms of organizational goals
% Kain control of organizational resources
c Mi3 &ith e$eryone regardless of the reputation !moderate"
d 7e $isi%le
e 1e$elop po&erful allies
>1 -------------- is the po&er that rests on the leader*s a%ility to punish or control
a Je&ard po&er
% Coerci$e po&er !moderate"
c #3pert po&er
d Jeferent po&er
e Fegitimate po&er
>B The po&er utilized &hen a %oss threatens to dismiss an employee if he/she does not comply &ith a demand is
--------------
a re&ard po&er
% coerci$e po&er !moderate"
c e3pert po&er
d referent po&er
e legitimate po&er
>I -------------- is the po&er to gi$e positi$e %enefit or re&ards
a Je&ard po&er !moderate"
% Coerci$e po&er
c #3pert po&er
d Jeferent po&er
e Fegitimate po&er
>A Hour firm0s attorney has -------------- po&er &hen he gi$es legal ad$ice
a legitimate
% status
c e3pert !moderate"
d coerci$e
e re&ard
>8 -------------- is influence that*s %ased on e3pertise, special s+ills, or +no&ledge
a Je&ard po&er
% Coerci$e po&er
c #3pert po&er !moderate"
d Jeferent po&er
e Fegitimate po&er
>? (hen a young child emulates a professional sports star0s %eha$ior, the star has &hat +ind of po&er o$er the
child4
a legitimate
% e3pert
c coerci$e
d referent !difficult"
e re&ard
>M -------------- is the po&er that arises %ecause of a person*s desira%le resources or personal traits
a Je&ard po&er
% Coerci$e po&er
c #3pert po&er
d Jeferent po&er !moderate"
e Fegitimate po&er
1I>
>N The most dominant component of credi%ility is --------------
a e3pertise
% status
c authority
d honesty !moderate"
e charisma
>> The dimension of trust that is used to descri%e honesty and truthfulness is --------------
a integrity !easy"
% competence
c consistency
d loyalty
e openness
1@@ The dimension of trust that is used to descri%e relia%ility, predicta%ility and good 6udgment in handling
situations is termed --------------
a integrity
% competence
c consistency !moderate"
d loyalty
e openness
1@1 (hich of the follo&ing is an accurate statement a%out the differences %et&een gender and leadership style4
a Males and females do not use different styles
% Men are more democratic than &omen
c (omen encourage more participation !moderate"
d Men share po&er more than &omen
e (omen rely on formal authority more than men
1@B )ccording to the te3t, &omen tend to use -------------- leadership, moti$ating other %y transforming their
self/interest into organizational goals
a transactional
% transformational !moderate"
c situational
d initiating
1@I )ccording to the te3t, men tend to use -------------, handing out re&ards for good &or+ and punishment for
%ad
a transactional !moderate"
% transformational
c situational
d initiating
M)2)KI2K I2 )2 #/75.I2#.. (OJF1
1@A (hich of the follo&ing is 2OT mentioned as one of the three differences that seem to %e most
e$ident &hen comparing leadership in e/%usinesses $ersus traditional organizations4
a The importance of %eing a specialist !moderate"
% The speed at &hich decisions must %e made
c The importance of %eing fle3i%le
d The need to create a $ision of the future
1@8 Feaders in e/%usinesses fre,uently use the term --------------, &hich is a reference to a rapidly speeded up
&or+ing en$ironment
a tur%o time
% Internet time !easy"
c speed of light
d rapid time
1A@
.cenarios and Questions
CO2TI2K#2CH T9#OJI#. OF F#)1#J.9I;
<ac+ and <ill !.cenario"
<ac+ <ones and <ill .mith are %oth managers at a medium/sized medical supply firm <ac+ emphasizes to his people
that the &or+ must %e done, regardless of circumstances, and encourages his employees to meet their sales ,uotas 9e
is generally li+ed, %ut %ecause sales are unstructured, sometimes his employees resent his rather hea$y/handed
approach <ill has tried hard to %uild a good rapport &ith her employees and +no&s each of their families .he
encourages her employees to &or+ hard %ut to %e certain to ta+e time for themsel$es and their families
1@? Fiedler0s contingency model &ould classify <ac+ as -------------- oriented
a employee
% organization
c tas+ !easy"
d relationship
e achie$ement
1@M Fiedler0s contingency model &ould classify <ill as -------------- oriented
a employee
% organization
c tas+
d relationship !easy"
e achie$ement
1@N (hich of the follo&ing &ould %e assumed %y Fiedler0s contingency model a%out the leadership styles of <ac+
and <ill
a The leadership styles can %e ad6usted to fit the situation
% The leadership styles are fi3ed, regardless of the situation !moderate"
c The leadership styles can %e changed &ith appropriate training
d <ac+0s style is &ell suited for unstructured tas+s
e <ac+ and <ill can %e e3pected to %e e,ually successful
1@> Fiedler &ould e3pect that the %est leadership style &as a function of --------------
a leader/mem%er relations, tas+ structure, and position po&er !moderate"
% formal authority, production process, and personality of employees
c chain of command, relationships, and po&er
d type of organization, personality of leader, and education of employees
e type of process, personality of employees, and po&er of leader
11@ The o$erall $alidity of the Fiedler model seems to %e --------------
a generally negati$e
% generally positi$e !moderate"
c o$er&helmingly negati$e
d o$er&helmingly positi$e
e inconclusi$e
The ;ath to Feadership !.cenario"
7roo+e is a manager of the night shift in a nursing home .he has %een reading information a%out 9ouse0s path/goal
theory and &ould li+e to apply that information to %ecoming a %etter leader
111 7roo+e should understand that the path/goal theory is a!n" -------------- model of leadership that e3tracts
+ey elements from the e3pectancy theory of moti$ation
a fi3ed
% alternati$e
c contingency !moderate"
d untested
1A1
e charismatic
11B 7roo+e generally lets su%ordinates +no& &hat0s e3pected of them, schedules &or+ to %e done, and gi$es
specific guidance as to ho& to accomplish tas+s 7roo+e &ould %e termed a!n" -------------- leader
a achie$ement/oriented
% participati$e
c supporti$e
d directi$e !moderate"
e charismatic
11I 7roo+e &ould li+e to %ecome a participati$e leader .he should --------------
a let su%ordinates +no& &hat0s e3pected of them, schedule &or+ to %e done, and gi$e specific guidance as to
ho& to accomplish tas+s
% %e friendly and sho& concern for the needs of su%ordinates
c consult &ith su%ordinates and use their suggestions %efore ma+ing a decision !moderate"
d set challenging goals and e3pect su%ordinates to perform at their highest le$el
e %e more concerned &ith tas+s
11A Fately 7roo+e has %een setting challenging goals and e3pecting su%ordinates to perform at their highest le$el
.he is acting as a!n" -------------- leader
a achie$ement/oriented !moderate"
% participati$e
c supporti$e
d directi$e
e charismatic
118 7roo+e has decided that the appropriate leadership style &ould %e to sho& friendliness and concern for the
needs of her su%ordinates .he &ishes to %e a!n" -------------- leader
a achie$ement/oriented
% participati$e
c supporti$e !moderate"
d directi$e
e charismatic
C5TTI2K/#1K# );;JO)C9#. TO F#)1#J.9I;
) Feadership <un+ie !.cenario"
Carrie is a leadership '6un+ie' .he has read all of the latest popular management te3t on leadership and strongly feels
that it has impro$ed her a%ility to manage and perform her 6o% .he is al&ays eager to share her +no&ledge &ith her
peers, especially emerging issues in leadership and the differences %et&een the &ays men and &omen lead
11? Carrie stopped 9arry in the hall and 6ust had to tell him a%out a --------------, that is, an enthusiastic, self/
confident leader &hose personality and actions influence people to %eha$e in certain &ays
a charismatic leadership !moderate"
% transactional leadership
c transformational leadership
d attri%utional leadership
e situational leadership
11M Carrie stopped .ondra in the lunchroom and 6ust had to tell her a%out --------------, &here%y follo&ers
ma+e claims a%out heroic or e3traordinary leadership a%ilities &hen they o%ser$e certain %eha$iors
a charismatic leadership !moderate"
% transactional leadership
c transformational leadership
d attri%utional leadership
e situational leadership
1AB
11N Carrie stopped ;erry in the par+ing lot and 6ust had to tell him a%out --------------, &here leaders guide or
moti$ate their follo&ers in the direction of esta%lished goals %y clarifying role and tas+ re,uirements
a charismatic leadership
% transactional leadership !difficult"
c transformational leadership
d attri%utional leadership
e situational leadership
11> Carrie stopped .te$e in the par+ing lot and 6ust had to tell him a%out --------------, &here leaders pro$ide
indi$idualized consideration, intellectual stimulation, and possess charisma
a charismatic leadership
% transactional leadership
c transformational leadership !difficult"
d attri%utional leadership
e situational leadership
1B@ Carrie had to tell .haron a%out the findings concerning &omen and leadership .haron &as interested in the
fact that all %ut &hich of the follo&ing is true concerning &omen and leadership4
a There are differences %et&een ho& men and &omen lead
% (omen utilize a democratic style more than men
c (omen tend to share po&er less than men !moderate"
d (omen are less li+ely than men to use a directi$e style
e (omen tend to utilize an autocratic style &hen they are in male/dominated 6o%s
#ssay Questions
#)JFH F#)1#J.9I; T9#OJI#.
1B1 In a short essay, list and discuss the si3 traits associated &ith leadership
)ns&er
a 1ri$e leaders e3hi%it a high effort le$el They ha$e a relati$ely high desire for achie$ement, they are
am%itious, they ha$e a lot of energy, they are tirelessly persistent in their acti$ities, and they sho&
initiati$e
% 1esire to lead leaders ha$e a strong desire to influence and lead others They demonstrate the
&illingness to ta+e responsi%ility
c 9onesty and integrity leaders %uild trusting relationships %et&een themsel$es and follo&ers %y %eing
truthful or nondeceitful and %y sho&ing high consistency %et&een &ord and deed
d .elf/confidence follo&ers loo+ to leaders for an a%sence of self/dou%t Feaders, therefore, need to sho&
self/confidence in order to con$ince follo&ers of the rightness of goals and decisions
e Intelligence leaders need to %e intelligent enough to gather, synthesize, and interpret large amounts of
information, and they need to %e a%le to create $isions, sol$e pro%lems, and ma+e correct decisions
f <o%/rele$ant +no&ledge effecti$e leaders ha$e a high degree of +no&ledge a%out the company, industry,
and technical matters In/depth +no&ledge allo&s leaders to ma+e &ell/informed decisions and to
understand the implications of those decisions
!moderate"
CO2TI2K#2CH T9#OJI#. OF F#)1#J.9I;
1BB In a short essay, e3plain Fiedler*s contingency model for leadership 2e3t discuss the least/preferred co/&or+er
!F;C" ,uestionnaire and the three +ey situational factors for determining leader effecti$eness
)ns&er
1AI
The Fiedler contingency model proposed that effecti$e group performance depended upon the proper match
%et&een the leader*s style of interacting &ith his or her follo&ers and the degree to &hich the situation allo&ed
the leader to control and influence The model &as %ased on the premise that a certain leadership style &ould
%e most effecti$e in different types of situations Fielder proposed that a +ey factor in leadership success &as
an indi$idual*s %asic leadership style To measure a leader*s style, Fiedler de$eloped the least/preferred co/
&or+er !F;C" ,uestionnaire The ,uestionnaire contained 1? pairs of contrasting ad6ecti$esCfor e3ample,
pleasant/unpleasant, cold/&arm, %oring/interesting, and friendly/unfriendly Jespondents &ere as+ed to thin+
of all the co/&or+ers they had e$er had and to descri%e that one person they least en6oyed &or+ing &ith %y
rating him or her on a scale of 1 to N !the N al&ays descri%ed the positi$e ad6ecti$e out of the pair" for each of
the 1? sets of ad6ecti$es Fiedler %elie$ed that you could determine a person*s %asic leadership style on the
%asis of the responses to the F;C ,uestionnaire )fter an indi$idual*s %asic leadership style had %een assessed
through the F;C, it &as necessary to e$aluate the situation in order to match the leader &ith the situation
Fiedler*s research unco$ered three contingency dimensions that defined the +ey situational factors for
determining leader effecti$eness These &ereL
a Feader/mem%er relations the degree of confidence, trust, and respect employees had for their leader:
rated as either good or poor
% Tas+ structure the degree to &hich 6o% assignments &ere formalized and procedurized: rated as either
high or lo&
c ;osition po&er the degree of influence a leader had o$er po&er/%ased acti$ities such as hiring, firing,
discipline, promotions, and salary increases: rated as either strong or &ea+
!difficult"
1AA
1BI In a short essay, discuss the situational leadership theory as de$eloped %y ;aul 9ersey and Gen 7lanchard
2e3t, list and discuss the four specific leadership styles and the four stages of follo&er readiness as defined %y
9ersey and 7lanchard
)ns&er
The situational leadership theory is a contingency theory that focuses on follo&ers* readiness 9ersey and
7lanchard argue that successful leadership is achie$ed %y selecting the right leadership style, &hich is
contingent on the le$el of the follo&ers* readiness The emphasis of the follo&ers in leadership effecti$eness
reflects the reality that it is the follo&ers &ho accept or re6ect the leader Jegardless of &hat the leader does,
the effecti$eness depends on the actions of his or her follo&ers )nd, readiness refers to the e3tent to &hich
people ha$e the a%ility and &illingness to accomplish a specific tas+
a The four specific leadership styles are as follo&sL
% Telling !high tas+/lo& relationship" the leader defines roles and tells people &hat, ho&, &hen, and &here
to do $arious tas+s
c .elling !high tas+/high relationship" the leader pro$ides %oth directi$e and supporti$e %eha$ior
d ;articipating !lo& tas+/high relationship" the leader and follo&er share in decision ma+ing: the main role
of the leader is facilitating and communicating
e 1elegating !lo& tas+/lo& relationship" the leader pro$ides little direction or support
The final component in the model is the four stages of follo&er readinessL
a J1 people are %oth una%le and un&illing to ta+e responsi%ility for doing something They*re neither
competent nor confident
% JB people are una%le %ut &illing to do the necessary 6o% tas+s They*re moti$ated %ut currently lac+ the
appropriate s+ills
c JI people are a%le %ut un&illing to do &hat the leader &ants
d JA people are %oth a%le and &illing to do &hat is as+ed of them
!difficult"
1BA In a short essay, discuss the path/goal leadership theory de$eloped %y Jo%ert 9ouse 2e3t, list and e3plain the
four leadership %eha$iors %ased on the path/goal leadership theory
)ns&er
1e$eloped %y Jo%ert 9ouse, path/goal theory is a contingency model of leadership that ta+es +ey elements
from the e3pectancy theory of moti$ation )ccording to this theory, a leader*s %eha$ior is accepta%le to group
mem%ers to the degree that they $ie& it as an immediate source of satisfaction or as a means of future
satisfaction ) leader*s %eha$ior is moti$ational to the e3tent that it ma+es the satisfaction of su%ordinates*
needs contingent on effecti$e performance and pro$ides the coaching, guidance, support, and re&ards that are
necessary for effecti$e performance To test these statements, 9ouse identified four leadership %eha$iors
a 1irecti$e leader lets su%ordinates +no& &hat*s e3pected of them, schedules &or+ to %e done, and gi$es
specific guidance on ho& to accomplish tas+s
% .upporti$e leader is friendly and sho&s concern for the needs of follo&ers
c ;articipati$e leader consults &ith group mem%ers and uses their suggestions %efore ma+ing a decision
d )chie$ement oriented leader sets challenging goals and e3pects follo&ers to perform at their highest
le$el
!moderate"
C5TTI2K/#1K# );;JO)C9#. TO F#)1#J.9I;
1A8
1B8 In a short essay, discuss ho& $isionary leadership differs from charismatic leadership Include a discussion of
the fi$e characteristics of charismatic leaders and three ,ualities that are related to effecti$eness in the $isionary
leader*s role
)ns&er
) charismatic leader is an enthusiastic, self/confident leader &hose personality and actions influence people to
%eha$e in certain &ays The most comprehensi$e analysis of personal characteristics of the charismatic leaders
are charismatic leaders ha$e a $ision, are a%le to articulate that $ision, are &illing to ta+e ris+s to achie$e that
$ision, are sensiti$e to %oth en$ironmental constraints and follo&er needs, and e3hi%it %eha$iors that are out of
the ordinary There*s an increasing %ody of e$idence that sho&s impressi$e correlation %et&een charismatic
leadership and high performance and satisfaction among follo&ers )lthough the term $ision is often lin+ed
&ith charismatic leadership, $isionary leadership goes %eyond charisma since it*s the a%ility to create and
articulate a realistic, credi%le, and attracti$e $ision of the future that impro$es upon the present situation This
$ision, if properly selected and implemented, is so energizing that it Din effect 6ump/starts the future %y calling
forth the s+ills, talents, and resources to ma+e it happen Once the $ision is identified, these $isionary leaders
appear to ha$e three ,ualities that are related to effecti$eness in their $isionary roles First is the a%ility to
e3plain the $ision to others The $isionary leader needs to ma+e the $ision clear in terms of re,uired goals and
actions through clear oral and &ritten communication The second s+ill needed is the a%ility to e3press the
$ision not 6ust $er%ally %ut through %eha$ior This s+ill re,uires %eha$ing in &ays that continually con$ey and
reinforce the $ision The third s+ill $isionary leaders need is the a%ility to e3tend or apply the $ision to
different leadership conte3ts For instance, the $ision ha$e to %e as meaningful to the people in accounting as to
those in production
!difficult"
1B? In a short essay, list and discuss the four specific leadership roles that focus on the priorities of the leader*s 6o%
)ns&er
a First, team leaders are liaisons with e(ternal constituencies' These may include upper management, other
organizational &or+ teams, customers, or suppliers The leader represents the team to other constituencies,
secures needed resources, clarifies others* e3pectations of the team, gathers information from the outside,
and shares that information &ith team mem%ers
% 2e3t, team leaders are trou#leshooters' (hen the team has pro%lems and as+s for assistance, team leaders
sit in on meetings and try to help resol$e the pro%lems Trou%leshooting rarely in$ol$es technical or
operational issues %ecause the team mem%ers typically +no& more a%out the tas+s %eing done than does
the team leader The leader is most li+ely to contri%ute %y as+ing penetrating ,uestions, helping the team
tal+ through pro%lems, and getting needed resources to tac+le pro%lems
c Third, team leaders are conflict managers' (hen disagreements arise, they help process the conflict They
help identify issues such as the source of the conflict, &ho*s in$ol$ed, the issues, the resolution options
a$aila%le and the ad$antages and disad$antages of each 7y getting team mem%ers to address ,uestions
such as these, the leader minimizes the disrupti$e aspects of intrateam conflicts
d Finally, team leaders are coaches' They clarify e3pectations and roles, teach, offer support, cheerlead, and
do &hate$er else is necessary to help team mem%ers +eep their &or+ performance le$els high
!easy"
CO2T#M;OJ)JH I..5#. I2 F#)1#J.9I;
1BM In a short essay, list and discuss fi$e sources in &hich leader po&er has %een identified Include specific
e3amples of each source of po&er to support your ans&er
)ns&er
a Fegitimate po&er represents the po&er a leader has as a result of his or her position in the organization
;eople in positions of authority are also li+ely to ha$e re&ard or coerci$e po&er, %ut legitimate po&er is
%roader than the po&er to coerce and re&ard 7ecause of their legitimate po&er, &hen school principals,
1A?
%an+ presidents, or army captains as+ for something to %e done, teachers, tellers, and lieutenants listen and
usually comply
% Coerci$e po&er the po&er that rests on the leader*s a%ility to punish or control Follo&ers react to this
po&er out of fear of the negati$e results that might occur if they did not comply )s a manager, you
typically ha$e some coerci$e po&er, such as %eing a%le to suspend or demote employees or to assign them
&or+ they find unpleasant or undesira%le
c Je&ard po&er the po&er to gi$e positi$e %enefits or re&ards These re&ards can %e anything that
another person $alues In an organizational conte3t, that might include money, fa$ora%le performance
appraisals, promotions, interesting &or+ assignments, friendly colleagues, and preferred &or+ shifts
d #3pert po&er influence that*s %ased on e3pertise, special s+ills, or +no&ledge )s 6o%s ha$e %ecome
more specialized, managers ha$e %ecome increasingly dependent on staff De3pertsE to achie$e the
organization*s goals If an employee has s+ills, +no&ledge, or e3pertise that*s critical to the operation of a
&or+ group, that person*s e3pert po&er is enhanced For instance, in many organizations, indi$iduals &ho
ha$e good computer s+ills and are seen as De3pertsE &hen computer pro%lems arise ha$e the a%ility
influence %ecause of their +no&ledge and s+illsCthat is, they ha$e e3pert po&er
e Jeferent po&er the po&er that arises %ecause of a person*s desira%le personal traits Jeferent po&er
de$elops out of admiration of another and a desire to %e li+e that person If you admire someone to the
point of modeling your %eha$ior and attitudes after him or her, that person has referent po&er o$er you
!moderate"
1BN In a short essay, list and discuss si3 suggestions of ho& leaders can see+ to %uild trust
)ns&er
a ;ractice openness mistrust comes as much from &hat people do not +no& as from &hat they do +no&
Openness leads to confidence and trust Geep people informed, ma+e the criteria on ho& decisions are
made o$ertly clear, e3plain the rationale for your decisions, %e candid a%out pro%lems, and fully disclose
rele$ant information
% 7e fair %efore ma+ing decisions or ta+ing actions, consider ho& others &ill percei$e them in terms of
o%6ecti$ity and fairness Ki$e credit &here credit is due, %e o%6ecti$e and impartial in performance
appraisals, and pay attention to e,uity perceptions in re&ard distri%utions
c .pea+ your feelings leaders &ho con$ey only hard facts come across as cold, distant, and uncaring If
your share your feelings, others &ill see you as real and human They &ill +no& &ho you are, and their
respect for you &ill increase
d Tell the truth if honesty is critical to credi%ility, you must %e percei$ed as someone &ho tells the truth
;eople are generally more tolerant of learning something negati$e than of finding out that their leader lied
to them
e .ho& consistency Mistrust comes from not +no&ing &hat to e3pect Ta+e the time to thin+ a%out your
$alues and %eliefs Then let them consistently guide your decisions and actions
f Fulfill your promises Trust re,uires that people %elie$e you are dependa%le Geep your &ord ;romises
made must %e promises +ept
g Maintain confidences you trust people &hoa re discreet and upon &hom you can rely If people ma+e
themsel$es $ulnera%le %y telling you something in confidence, they need to feel assured that you &on*t
discuss it &ith others or %etray that confidence
h 1emonstrate competence de$elop the admiration and respect of others %y demonstrating technical and
professional a%ility ;ay particular attention to de$eloping and practicing effecti$e communication,
negotiation, and other interpersonal s+ills
!moderate"
1B> In a short essay, define trust and list and discuss the fi$e dimensions that ma+e up the concept of trust
)ns&er
Trust is identified as the %elief in the integrity, character, and a%ility of a leader Follo&ers &ho trust a leader
are &illing to %e $ulnera%le to the leader*s actions %ecause they are confident that their rights and interests &ill
not %e a%used The fi$e dimensions that ma+e up the concept of trust are as follo&s
1AM
a Integrity honesty and truthfulness
% Competence technical and interpersonal +no&ledge and s+ills
c Consistency relia%ility, predicta%ility, and good 6udgment in handling situations
d Foyalty &illingness to protect a person, physically and emotionally
e Openness &illingness to share ideas and information freely
!easy"
M)2)KI2K HO5J C)J##J
1I@ In a short essay, list and discuss fi$e suggestions that can %e used to impro$e an indi$idual*s political
effecti$eness
)ns&er
a Frame arguments in terms of organizational goals effecti$e politic+ing re,uires camouflaging your self/
interests ;eople &hose actions appear to %latantly further their o&n interests at the e3pense of the
organization are almost uni$ersally denounced, are li+ely to lose influence, and may e$en %e e3pelled from
the organization
% 1e$elop the right image +no& your organization*s culture: understand &hat the organization &ants and
$alues from its employees 7ecause the assessment of your performance is not a fully o%6ecti$e process,
your must pay attention to style as &ell as su%stance
c Kain control of organizational resources the control of scarce and important organizational resources is a
source of po&er Gno&ledge and e3pertise are particularly effecti$e resources to control
d Ma+e yourself appear indispensa%le if the organization*s +ey decision ma+ers %elie$e that there is no
ready su%stitute for &hat you %ring to the organization, they are li+ely to go to great lengths to ensure that
your desires are satisfied
e 7e $isi%le ma+e your %oss and those in po&er a&are of your contri%utions Joutinely highlight your
successes in reports, ha$e satisfied customers e3press their satisfaction to your managers, %e seen at
company social functions, %e acti$e in your professional associations, and de$elop po&erful allies &ho
spea+ positi$ely a%out your accomplishments
f 1e$elop po&erful allies it helps to ha$e po&erful people on your side Culti$ate contacts &ith
potentially influential people a%o$e you, at your o&n le$el, and at lo&er organizational le$els These allies
can pro$ide you &ith important information that might not other&ise %e a$aila%le
g )$oid DtaintedE mem%ers in e$ery organization, there are indi$iduals &hose status is ,uestiona%le Their
performance and/or loyalty is suspect Geep your distance from such indi$iduals so that your o&n
effecti$eness isn*t compromised
h .upport your %oss your immediate future is in your %oss*s hands .ince he or she e$aluates your
performance, try to do &hate$er is necessary to ha$e your %oss on your side Ma+e e$ery effort to help
your %oss loo+ good and succeed, support your %oss, and find out &hat criteria &ill %e used to assess your
effecti$eness 1on*t spea+ negati$ely of your %oss to others and definitely don*t undermine your %oss
!moderate"
Chapter 1N Foundations of Control
True/False
(9)T I. CO2TJOF4
B Managers should %e in$ol$ed in the control function e$en if things are going as planned
True !moderate"
I The three different approaches to designing control systems are cultural, domestic, and international
False !moderate"
1AN
A ;rice competition is one mechanism for utilizing mar+et control
True !moderate"
8 Mar+et control uses e3ternal mar+et mechanisms to esta%lish standards used in the control system
True !moderate"
? 7ureaucratic control emphasizes go$ernmental regulation
False !moderate"
M Clan control emphasizes organizational authority
False !moderate"
(9H I. CO2TJOF IM;OJT)2T4
N In reality, management is an ongoing process, and controlling acti$ities pro$ide the critical lin+ %ac+ to
planning
True !moderate"
> .tandards are created during the organizing process
False !easy"
T9# CO2TJOF ;JOC#..
1@ 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"
1B ;ersonal o%ser$ation is one method for measuring actual performance
True !easy"
1I (hat &e measure is more critical to the control process than ho& &e measure
True !moderate"
1A The range of $ariation is the accepta%le parameters of $ariance %et&een actual performance and the ideal
False !moderate"
18 1e$iations that e3ceed the range of $ariation need the manager0s attention
True !easy"
1? 1oing nothing is not an accepta%le managerial action in the control process
False !moderate"
1M Je$ising unrealistically high standards is one method of managerial action in the control process
True !moderate"
1N 7asic correcti$e action is correcting an acti$ity at once in order to get performance %ac+ on trac+
False !easy"
1> The control process is essentially a continuous flo& %et&een measuring, comparing, and managerial action
True !moderate"
TH;#. OF CO2TJOF
B@ The most desira%le type of control is concurrent control
False !moderate"
1A>
B1 Feedfor&ard control pre$ents anticipated pro%lems
True !moderate"
BB Concurrent control ta+es place after an acti$ity has %een completed
False !easy"
BI The +ey to feed%ac+ control is ta+ing managerial action %efore a pro%lem occurs
False !moderate"
BA The %est form of concurrent control is direct super$ision
True !easy"
B8 The most popular type of control relies on feed%ac+
True !easy"
B? Financial statements are an e3ample of concurrent controls
False !moderate"
T9I2GI2K CJITIC)FFH )7O5T #T9IC.
BM )ccording to the %o3ed feature, DThin+ing Critically )%out #thics,E #ric Mc+enzie de$ised a
&or+place policy for his political consulting company in &hich employees only had to tell their super$isor
a%out their actions if they too+ home more than SI of office supplies in a &ee+
True !moderate"
BN Technologically ad$anced countries, such as the 5., <apan, and Canada, tend to use direct control de$ices
False !moderate"
M)2)KI2K I2 )2 #/75.I2#.. (OJF1
B> )ccording to the %o3ed feature, DManaging in an #/%usiness (orld,E duplication of effort is
mentioned as a ma6or type of controlling issue that managers in e/%usinesses ha$e to deal &ith
False !moderate"
I@ It is estimated that 1M percent of )ortune *+++ companies use monitoring soft&are of some type
True !moderate"
Multiple Choice
) M)2)K#J*. 1IF#MM)
I1 )ccording to the company profile in D) Manager*s 1ilemma,E &hat is the pro%lem facing Mustafa*s
Company4
a 9o& to moti$ate employees
% 9o& to reduce theft in the stores
c 9o& to reduce theft on the company*s &e%site !moderate"
d 9o& to hire more ,ualified employees
e 9o& to e$aluate the competition
(9)T I. CO2TJOF4
IB (hat managers should %e in$ol$ed in the control process4
a upper management
% middle managers
c systems managers
d first/line managers
e all managers !moderate"
18@
II (hich of the follo&ing terms is associated &ith the definition of control4
a monitoring !moderate"
% moti$ation
c communication
d high tech
e personality
IA In the control process, to &hat factor is actual performance compared in order to properly assess the situation4
a last year0s performance
% competitors0 outcomes
c desired standards !moderate"
d last month0s efforts
e management opinion
I8 The ultimate criterion to determine the control system effecti$eness is ho& &ell it facilitates --------------
a management desires
% organizational goals !moderate"
c employee satisfaction
d increased mar+et share
e lo&ering production defects
I? (ould different organizations, such as I7M, Che$rolet, and ;izza 9ut, ha$e different control systems4
a )ll organizations utilize a traditional control system design
% )ll organizations must ha$e their o&n uni,ue control system
c )ll organizations pro%a%ly &ould not ha$e the same control system !difficult"
d Organizations function &ith one of fi$e different control systems, according to (illiam Ouchi
e Organizations in similar industries all use the same type of control system
IM )ccording to the te3t, &hich of the follo&ing is 2OT mentioned as one of the three different approaches to
designing control systems4
a mar+et
% domestic !easy"
c %ureaucratic
d clan
IN -------------- control is an approach that emphasizes the use of e3ternal mechanisms, such as price
competition and mar+et share to esta%lish standards
a Mar+et !moderate"
% Traditional
c 7ureaucratic
d .trategic
e Clan
I> (hat type of control system is typically used &hen a firm0s ser$ices or products are clearly specific and
distinct4
a %ureaucratic
% strategic
c mar+et !moderate"
d clan
e traditional
A@ In the -------------- control system, company di$isions are turned into corporate profit centers for
e$aluation
a mar+et !moderate"
% clan
c traditional
d %ureaucratic
e strategic
181
A1 (hich of Ouchi0s control systems is used in an organization %y emphasizing organizational authority4
a clan
% strategic
c mar+et
d %ureaucratic !easy"
e traditional
AB (hat type of organizational control system relies on regulations, procedures, and policies4
a strategic
% %ureaucratic !easy"
c traditional
d mar+et
e clan
AI .tandardization of acti$ities, &ell/defined 6o% descriptions, and %udgets &ould %e sources depended on %y &hat
type of organizational control system4
a %ureaucratic !moderate"
% strategic
c clan
d traditional
e mar+et
AA )ccording to your te3t, &hich of the follo&ing organizations pro$ides a good e3ample of a %ureaucratic control
system4
a Mc1onald0s
% ;izza 9ut
c 7ritish ;etroleum )moco !easy"
d 9e&lett ;ac+ard
e Ford Motor Company
A8 (hat type of organizational control system is regulated %y norms4
a clan !moderate"
% traditional
c mar+et
d strategic
e %ureaucratic
A? Hou &ould li+ely find an 'employee of the month' %onus plan under &hat type of organizational control
system4
a mar+et
% traditional
c clan !difficult"
d strategic
e %ureaucratic
AM (hich of the organizational control systems is hea$ily dependent on the indi$idual, group, and the use of
teams4
a strategic
% clan !moderate"
c %ureaucratic
d traditional
e mar+et
(9H I. CO2TJOF IM;OJT)2T4
AN Of the follo&ing, &hich is 2OT a reason &hy control systems are important4
a creation of organizational structure
% facilitation and achie$ement of goals
18B
c employees can %e directed
d goals can %e guaranteed !moderate"
e employees can %e moti$ated
A> Controls pro$ide a critical lin+ %ac+ to &hat organizational function4
a employee selection
% planning !difficult"
c organizational culture
d manufacturing design
e directing
T9# CO2TJOF ;JOC#..
8@ In the control process, &hich step follo&s 'measuring actual performance'4
a esta%lishing standards
% o%taining employee input to performance gaps
c comparing actual performance against a standard !moderate"
d logging actual performance
e chec+ing performance measurement for relia%ility
81 (hat is the final step in the control process4
a ad6usting measurement standards
% re&arding/punishing employee performance
c %enchmar+ing standards &ith a competitor
d ta+ing managerial action !moderate"
e reengineering the process
8B .tandards are created during the -------------- process
a controlling
% leading
c organizing
d measuring
e planning !moderate"
8I )ccording to the te3t, &hich of the follo&ing is the first step in control4
a measuring actual performance !moderate"
% changing the standard
c ta+ing managerial action
d comparing actual against the standard
8A Of the follo&ing, &hich is 2OT a common source of information used %y managers to measure performance4
a personal o%ser$ation
% oral reports
c standardized tests !moderate"
d statistical reports
e &ritten reports
88 To get firsthand, intimate +no&ledge of actual &or+ acti$ities, managers might use --------------
a personal o%ser$ation !easy"
% statistical reports
c oral reports
d &ritten reports
8? (hat source of information used to measure performance pro$ides information that is not filtered through
others4
a statistical reports
% personal o%ser$ation !moderate"
c standardized tests
18I
d &ritten reports
e oral reports
8M -------------- is a control techni,ue in &hich the manager is out in the &or+ area, interacting directly &ith
employees and e3changing information
a Management %y &al+ing around !moderate"
% Management %y o%6ecti$es
c Feadership %y e3ample
d Feedfor&ard control
e Feed%ac+ control
8N Facial e3pression, tone of $oice, and the a%ility to 'read %et&een the lines' are %est pro$ided %y &hat source of
information4
a oral reports
% standardized tests
c &ritten reports
d statistical reports
e personal o%ser$ation !easy"
8> )ccording to the te3t, in a time &hen ,uantitati$e information suggests o%6ecti$ity, -------------- is often
considered an inferior information source
a oral reports
% standardized tests
c &ritten reports
d statistical reports
e personal o%ser$ation !easy"
?@ (hat informational source used to measure performance has the disad$antages of %eing su%6ect to personal
%ias and consuming a lot of time4
a standardized tests
% statistical reports
c personal o%ser$ation !moderate"
d &ritten reports
e oral reports
?1 (hat type of information source used to measure performance may %e construed %y employees as o%trusi$e
and may lead to feelings of mistrust4
a personal o%ser$ation !easy"
% &ritten reports
c oral reports
d statistical reports
e standardized tests
?B The &idespread use of computers has led managers to rely increasingly on -------------- for measuring
actual performance
a oral reports
% standardized tests
c &ritten reports
d statistical reports !moderate"
e personal o%ser$ation
?I -------------- is !are" an effecti$e information source for sho&ing relationships %ut may ignore su%6ecti$e
factors
a Oral reports
% ;ersonal o%ser$ation
c .tandardized tests !moderate"
d (ritten reports
e .tatistical reports
18A
?A (hich of the follo&ing is the %est &ay to +eep ta%s on &or+ performance in organizations &here employees
&or+ in a $irtual en$ironment4
a Oral reports !moderate"
% ;ersonal o%ser$ation
c .tandardized tests
d (ritten reports
e .tatistical reports
?8 (hat type of information source allo&s for feed%ac+, is fast, %ut historically has a pro%lem of %eing una%le to
document information for later reference4
a oral reports !moderate"
% &ritten reports
c statistical reports
d personal o%ser$ation
e standardized tests
?? -------------- is !are" considered slo&, easy to file and reference, and pro$ide greater comprehensi$eness
and conciseness than oral reports
a ;ersonal o%ser$ation
% .tandardized tests
c .tatistical reports
d (ritten reports !easy"
e (ord/of/mouth reports
?M (hich of the follo&ing is an accurate statement concerning utilization of different sources of information for
performance measurement4
a In com%ination, personal o%ser$ation and &ritten reports are considered superior to other methods
% .tatistical reports are the single most effecti$e method
c Managers should use as many as three different methods &hen possi%le
d Managers should use all four methods, if possi%le !moderate"
e It is not ad$ised to utilize oral reports and personal o%ser$ation as dual methods
?N Jegarding the control process, &hat is measured is -------------- than ho& &e measure it
a less important
% e,ually important
c much less important
d more important !easy"
e fi$e times more important
?> (hich of the follo&ing is 2OT an e3ample of &hat can %e measured in the control process4
a turno$er
% personal o%ser$ation !moderate"
c a%senteeism
d defects
e employee satisfaction
M@ In the control process, &hen a manager cannot find an o%6ecti$e and measura%le performance indicator he/she
should --------------
a not measure the factor
% use the most appropriate o%6ecti$e indicator
c use a su%6ecti$e indicator !difficult"
d use an o%6ecti$e indicator, %ut measure it se$eral times to ensure relia%ility
e ignore the control function all together
M1 The -------------- step determines the degree of $ariation %et&een actual performance and the standard
a directing
% comparing !moderate"
c relia%ility
188
d $alidity
e o%6ecti$e
MB Jange of $ariation is a concept that is important in &hat management function4
a controlling !difficult"
% leading
c planning
d organizing
e structuring
MI The third and final step in the control process is --------------
a measuring actual performance
% changing the standard
c ta+ing managerial action !moderate"
d comparing actual against the standard
MA In the control process, changing strategy is an e3ample of &hat course of action4
a do nothing
% follo&ing competitors
c correcting actual performance !moderate"
d changing standards
e determining standards
M8 In the control process, &hat type of correcti$e action as+s ,uestions of '&hy' and 'ho&' performance has
de$iated4
a immediate correcti$e action
% cogniti$e correcti$e action
c strategic correcti$e action
d planned correcti$e action
e %asic correcti$e action !moderate"
M? In the control process, constantly 'putting out fires' relates to &hat type of correcti$e action4
a planned correcti$e action
% strategic correcti$e action
c cogniti$e correcti$e action
d immediate correcti$e action
e %asic correcti$e action !moderate"
MM In the control process, if 'Cool Janch' fla$ored 1oritos chips are consistently selling more than &as predicted,
&hat type of managerial action &ould %e &arranted4
a immediate correcti$e action
% re$ise the standard !difficult"
c %asic correcti$e action
d increase the range of $ariation
e decrease the range of $ariation
MN In the control process, if employees are constantly not meeting their sales ,uotas, &hat managerial action may
%e &arranted4
a fire the employees
% retrain the employees, %ut ne$er lo&er the standard
c lo&er the standard !moderate"
d ta+e immediate correcti$e action
e increase the range of $ariation
M> (hich of the follo&ing is 2OT true concerning the control process4
a .tandards e$ol$e out of o%6ecti$es
% 1oing nothing is an accepta%le management course of action
c Je$ising the standard may %e necessary &hen product demand changes
d (hen standards are not met, attac+ing the standard is typically the first employee reaction
e The control process is a linear flo& !moderate"
18?
TH;#. OF CO2TJOF
N@ (hich of the follo&ing is 2OT mentioned in the te3t as a type of control4
a cross sectional control !moderate"
% feedfor&ard control
c concurrent control
d feed%ac+ control
N1 (hat type of control pre$ents anticipated pro%lems4
a feed%ac+ control
% pro6ected control
c feedfor&ard control !moderate"
d definitional control
e concurrent control
NB Changing the oil and filter on your car e$ery I,@@@ miles is an e3ample of &hat +ind of control4
a concurrent control
% feedfor&ard control !moderate"
c definitional control
d feed%ac+ control
e pro6ected control
NI (hich of the follo&ing types of control pre$ents anticipated pro%lems since it ta+es place in ad$ance of the
actual acti$ity4
a definitional control
% pro6ected control
c concurrent control
d feed%ac+ control
e feedfor&ard control !moderate"
NA (hat type of control is most desira%le4
a definitional control
% pro6ected control
c concurrent control
d feed%ac+ control
e feedfor&ard control !moderate"
N8 (hat type of control is concerned &ith input4
a feed%ac+ control
% pro6ected control
c definitional control
d feedfor&ard control !moderate"
e concurrent control
N? (hat type of control ta+es place &hile the acti$ity is in progress, such as direct super$ision4
a feedfor&ard control
% concurrent control !moderate"
c definitional control
d feed%ac+ control
e pro6ected control
NM (hat type of control can pre$ent ongoing pro%lem situations from %ecoming too costly4
a concurrent control !moderate"
% definitional control
c feedfor&ard control
d feed%ac+ control
e pro6ected control
18M
NN )ccording to the te3t, the %est/+no&n form of -------------- is direct super$ision
a definitional control
% pro6ected control
c concurrent control !moderate"
d feed%ac+ control
e feedfor&ard control
N> (hat type of control is most popular4
a feedfor&ard control
% feed%ac+ control !moderate"
c pro6ected control
d concurrent control
e definitional control
>@ The ma6or dra&%ac+ of -------------- is that %y the time the manager has the information, the pro%lems
ha$e already occurred leading to &aste or damage4
a definitional control
% pro6ected control
c concurrent control !moderate"
d feed%ac+ control
e feedfor&ard control
>1 Financial statements are an e3ample of &hat type of control4
a concurrent control
% definitional control
c feed%ac+ control !moderate"
d pro6ected control
e feedfor&ard control
T9I2GI2K CJITIC)FFH )7O5T #T9IC.
>B )ccording to the %o3ed feature, DThin+ing Critically )%out #thics,E #ric McGenzie de$ised a
&or+place policy that employees only ha$e to tell their super$isors a%out their actions if they ta+e home more
than -------------- of office supplies in a &ee+
a SI !moderate"
% SBI
c S8I
d SMI
e S1@I
>I (hat type of control pro$ides information on planning effort effecti$eness and can enhance employee
moti$ation4
a concurrent control
% definitional control
c feedfor&ard control
d feed%ac+ control !moderate"
e pro6ected control
>A (hat control system ,uality reflects &hether the system is relia%le and produces $alid data4
a timeliness
% accuracy !easy"
c understanda%ility
d fle3i%ility
e multiple criteria
>8 If a control system can change as the times and conditions of the organization change, it &ould %e considered
a!n" -------------- control system
a accurate
18N
% understanda%le
c fle3i%le !moderate"
d strategic
e correcti$e
>? If an organization placed a control on maintenance costs that is @1 percent of operating costs %ut did not place
a control on cost of ra& goods that is I@ percent of costs, they &ould %e failing on &hat ,uality of an effecti$e
control system4
a fle3i%ility
% economy
c accuracy
d reasona%le criteria
e strategic placement !difficult"
>M -------------- must %e used as a characteristic in a control system %ecause managers cannot control all
acti$ities
a Jesponsi%le criteria
% Multiple criteria
c #mphasis on the e3ception !moderate"
d )ccuracy
e 5nderstanda%ility
>N 'If/then guidelines' are part of &hat ,uality of an effecti$e control system4
a correcti$e action !moderate"
% strategic placement
c accuracy
d economy
e fle3i%ility
>> )ccording to the te3t, &hich of the follo&ing is 2OT mentioned as a contingency factor that &ill affect the
design of an organization*s control system4
a The location of the organization !moderate"
% The size of the organization
c One*s position and le$el in the organizational hierarchy
d Fe$el in hierarchy
e Importance of an acti$ity
1@@ (hich of the follo&ing is true a%out ad6usting controls for national differences4
a The control process should %e identical across all organizational geographic areas
% )ll cultures tend to respond similarly to control systems
c Managers of foreign operations tend to %e less closely controlled %y the home office
d Technologically ad$anced nations tend to use indirect control de$ices !difficult"
e Fess technologically ad$anced nations tend to %e highly decentralized
M)2)KI2K I2 )2 #/75.I2#.. (OJF1
1@1 )ccording to the %o3ed feature, DManaging in an #/%usiness (orld,E &hich of the follo&ing is 2OT
mentioned as important controlling issue that managers in e/%usinesses ha$e to deal &ith4
a duplication of effort
% distractions at &or+ !moderate"
c employee moti$ation
d employee a%senteeism
1@B )ccording to the te3t, it is estimated that ----------- of all companies use monitoring soft&are of
some type
a B8 percent
% IM percent
18>
c A8 percent !moderate"
d 8M percent
e M8 percent
1@I (hich of the follo&ing forms of electronic monitoring is the most commonly used among
employers4
a store and re$ie& employee e/mail messages
% store and re$ie& computer files
c trac+ telephone calls !moderate"
d log computer time and +eystro+es entered
e record and re$ie& telephone con$ersations
1@A )ll of the follo&ing are considered e3amples of concurrent control measures used for deterring or
reducing employee theft or fraud #QC#;TL
a in$ol$ing employees in &riting policies !moderate"
% use $ideo sur$eillance e,uipment if conditions &arrant
c install Dloc+/outE options on computers, telephones, and e/mail
d use corporate hotlines for reporting incidences
e set a good e3ample
1@8 (hich of the follo&ing control measures for deterring or reducing &or+place $iolence is considered
a feed%ac+ control measure4
a careful pre/hiring screening
% ne$er ignore threats
c clearly communicate policies to employees
d re$ie& company policies and change, if necessary
e %e a good role model in ho& you treat others
.cenarios and Questions
Types of Control !.cenario"
.liders Ice Cream, in order to %e successful, had to ha$e polite, effecti$e customer relations (hile they +ne& their
product &as good, the relationships their employees %uilt &ith the customers &ould result in repeat customers In
order to do this, they tried se$eral options First, they implemented a customer suggestion %o3 and pro$ided customers
&ith cards as+ing them for their opinions of the ser$ice they had recei$ed They also tried ha$ing managers closely
o%ser$e their employees0 %eha$ior and pro$ide suggestion to employees on ho& to %est handle difficult situations
Finally, they decided to implement a training program during ne& employee orientation )nd, they had considered
installing hidden cameras to o%ser$e employee %eha$ior &hile management &as not around %ut, in the end, decided
against it
118 The customer suggestion and comment cards are considered a form of -------------- control
a concurrent
% feed%ac+ !moderate"
c anticipatory
d co$ert
e feedfor&ard
11? The training program .liders implemented is considered a form of -------------- control
a concurrent
% feed%ac+
c anticipatory
d co$ert
e feedfor&ard !moderate"
11M 9a$ing management o%ser$e and correct employee %eha$ior &hen it happens is a form of --------------
control
a concurrent !moderate"
% feed%ac+
c anticipatory
d co$ert
1?@
e feedfor&ard
#ssay Questions
1B1 In a short essay, define control and list and discuss the three different approaches to designing control systems
)ns&er
Control is the process of monitoring acti$ities to ensure that they are %eing accomplished as planned and or
correcting any significant de$iations )n effecti$e control system ensures that acti$ities are completed in &ays
that lead to the attainment of the organization*s goals The criterion that determines the effecti$eness of a
control system is ho& &ell it facilitates goal achie$ement The more it helps managers achie$e their
organization*s goals, the %etter the control system
The three different approaches to designing control systems areL
a Mar+et control / an approach to control that emphasizes the use of e3ternal mechanisms, such as price
competition and relati$e mar+et share, to esta%lish the standards used in the control system This approach
is typically used %y organizations in &hich the firm*s products or ser$ices are clearly specified and distinct
and &here there*s considera%le mar+etplace competition
% 7ureaucratic control / emphasizes organizational authority and relies on administrati$e rules, regulations,
procedures, and policies This type of control depends on standardization of acti$ities, &ell/defined 6o%
descriptions, and other administrati$e mechanisms, such as %udgets, to ensure that employees e3hi%it
appropriate %eha$iors and meet performance standards
c Clan control / employee %eha$iors are regulated %y the shared $alues, norms, traditions, rituals, %eliefs,
and other aspects of the organization*s culture (hereas %ureaucratic control is %ased on strict hierarchical
mechanisms, clan control is dependent on the indi$idual and the group !or clan" to identify appropriate and
e3pected %eha$iors and performance measures
!difficult"
1BI In a short essay, list and discuss the three separate and distinct steps in the control process
)ns&er
a Measuring to determine &hat actual performance is, a manager must ac,uire information a%out it The
first step in control, then, is measuring Most 6o%s and acti$ities can %e e3pressed in tangi%le and
measura%le terms (hen a performance indicator can*t %e stated in ,uantifia%le terms, managers should
loo+ for and use su%6ecti$e measures Of course, any analysis or decisions %ased on su%6ecti$e criteria
should recognize the limitations of such information
% Comparing this step determines the degree of $ariation %et&een actual performance and the standard
.ome $ariation in performance can %e e3pected in all acti$ities It is critical, therefore, to determine the
accepta%le range of $ariation 1e$iations that e3ceed this range %ecome significant and need the
manager*s attention In the comparison stage, managers are particularly concerned &ith the size and
direction of the $ariation
c Ta+ing managerial action the third and final step in the control process is ta+ing managerial action
Managers can choose among three possi%le courses of actionL they can do nothing: they can correct the
actual performance: or they can re$ise the standards If the source of the performance $ariation is
unsatisfactory &or+, the manager &ill &ant to ta+e correcti$e action It*s also possi%le that the $ariance
&as a result of an unrealistic standard In such cases, it*s the standard that needs correcti$e attention, not
the performance
!moderate"
1B? In a short essay, define and discuss feedfor&ard, concurrent, and feed%ac+ controls Include a specific e3ample
of each to support your ans&er
)ns&er
a Feedfor&ard control the most desira%le type of control that pre$ents anticipated pro%lems since it ta+es
place in ad$ance of the actual acti$ity It is future directed For e3ample, &hen Mc1onald*s opened its
1?1
first restaurant in Mosco&, it sent company ,uality control e3perts to help Jussian farmers learn
techni,ues for gro&ing high/,uality potatoes and %a+er to learn processes for %a+ing high/,uality %reads
Mc1onald*s implemented these steps %ecause the company strongly emphasizes product ,uality no matter
the geographical location The +ey to feedfor&ard controls is ta+ing managerial action %efore a pro%lem
occurs
% Concurrent control ta+es place &hile an acti$ity is in progress (hen control is enacted &hile the &or+
is %eing performed, management can correct pro%lems %efore they %ecome too costly The %est/+no&n
form of concurrent control is direct super$ision (hen a manager directly o$ersees the actions of
employees, the manager can concurrently monitor their actions and correct pro%lems as they occur
;ro%lems can usually %e addressed %efore much resource &aste or damage has %een done Many
organizational ,uality programs rely on concurrent controls to inform &or+ers if their &or+ output is of
sufficient ,uality to meet standards
c Feed%ac+ control the most popular type of control relies on feed%ac+ The control ta+es place after the
acti$ity is done Feed%ac+ that indicates little $ariance %et&een standard and actual performance is
e$idence that the planning &as generally on target If the de$iation is significant, a manager can use that
information &hen formulating ne& plans to ma+e them more effecti$e Feed%ac+ control can also enhance
employee moti$ation ;eople &ant information on ho& &ell they ha$e performed Feed%ac+ control
pro$ides that information
!difficult"
1?B