Test Bank For Fundamentals Of Management 11th Edition By Ricky Griffin (All Chapters 1-15

Chapter 01 - Understanding The Manager’s Job 1. What is defined as a set of activities directed at an organization’s resources with the aim of achieving organizational goals in an efficient and effective manner? a. Economics b. Planning c. Management d. Operations ANSWER: c RATIONALE: Management can be defined as a set of activities (including planning and decision making, organizing, leading, and controlling) directed at an organization’s resources (human, financial, physical, and information) with the aim of achieving organizational goals in an efficient and effective manner.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 2. Which of the following helps make the management process efficient? a. Increasing overhead production costs b. Using resources in a cost-effective manner c. Making management decisions independently of the organization's external environment d. Using the majority of resources for sales promotion activities ANSWER: b RATIONALE: A management process is efficient when resources are used wisely in a cost-effective way.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO1.1 - Describe management and the kinds of managers found VES: in organizations.

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ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:57 AM DATE MODIFIED: 4/7/2025 2:07 AM 3. A management process is considered to be effective when a. overhead production costs decrease. b. the right decisions are made and implemented. c. decisions are made independently of the organization's external environment. d. the same amount of resources are allocated to all the functions of the organization.

ANSWER: b RATIONALE: A management process is considered to be effective when the right decisions are made and successfully implemented.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO1.1 - Describe management and the kinds of managers found in CTIVES: organizations.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:57 AM DATE MODIFIED: 4/7/2025 2:07 AM 4. One of the titles found in the group of middle managers is a. plant manager. b. vice president. c. supervisor. d. office manager.

ANSWER: a RATIONALE: Middle management is probably the largest group of managers in most organizations. Common middle-management titles include plant manager, operations manager, and division head.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

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ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 5. Which of the following defines an organization? a. A collection of individuals working independently toward unrelated personal goals b. A group of people working together in a structured and coordinated fashion to achieve a set of goals c. A network of individuals informally connected to exchange ideas without formal objectives d. A team focused soley on minimizing resource usage regardless of outcomes ANSWER: b RATIONALE: An organization is defined as a group of people working together in a structured and coordinated manner to achieve a set of goals, including profit, knowledge discovery, or social satisfaction.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 6. Which of the following is the role of top managers in an organization? a. Overseeing day-to-day operations b. Performing routine administrative tasks c. Implementing plans of first-line managers d. Creating organizational goals and overall strategy ANSWER: d RATIONALE: Top managers create the organization’s goals, overall strategy, and operating policies. They also officially represent the organization to the external environment by meeting with government officials, executives of other organizations, and so forth.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 7. Who would be responsible for making decisions about activities such as investing in research and development (R&D) and entering or abandoning various markets? a. Top managers b. Limited partners c. First-line managers d. Middle managers ANSWER: a RATIONALE: Top managers make decisions about activities such as acquiring other companies, investing in research and development (R&D), entering or abandoning various markets, and building new plants and office facilities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 8. A common middle-management title is a. chief executive officer (CEO).

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b. division head. c. supervisor. d. line manager.

ANSWER: b RATIONALE: Middle management is probably the largest group of managers in most organizations. Common middle-management titles include plant manager, operations manager, and division head.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 9. Which is likely to be the largest group of managers in most organizations, who are primarily responsible for implementing the policies and plans of an organization? a. Middle managers b. Top managers c. The members of the board of directors d. First-line managers ANSWER: a RATIONALE: Middle management is probably the largest group of managers in most organizations. Middle managers are primarily responsible for implementing the policies and plans developed by top managers and for supervising and coordinating the activities of lower-level managers.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

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TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 10. Why are successful organizations both efficient and effective? a. Efficiency focuses on cost-effectiveness, while effectiveness ensures the right decisions are made. b. Efficiency is about profitability, and effectiveness ensures all goals are met. c. Efficiency involves decision making, while effectiveness focuses on resources. d. Efficiency is solely about meeting deadlines, and effectiveness is about quality.

ANSWER: a RATIONALE: Efficiency refers to using resources wisely and cost-effectively, while effectiveness ensures that decisions are appropriate and successfully implemented, both of which contribute to organizational success.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 11. In which area do first-line managers spend the majority of their time? a. Implementing policies made by top managers b. Creating overall organizational strategies and goals c. Representing their organization to the external environment d. Supervising the work of their subordinates ANSWER: d RATIONALE: In contrast to top and middle managers, first-line managers typically spend a large proportion of their time supervising the work of their subordinates.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING OB LO1.1 - Describe management and the kinds of managers found in JECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 1:57 AM D: DATE MODIFI 4/7/2025 2:07 AM ED: 12. What is the primary responsibility of a manager within an organization? a. To maximize the profitability of the organization b. To get consumers and clients to buy the organization's products and services c. To ensure consistent quality of all output d. To use organizational resources to help the organization achieve its goals ANSWER: d RATIONALE: Managers are responsible for using the organization’s resources to help achieve its goals. A manager is someone whose primary responsibility is to carry out the management process.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 13. Within an organization, who is responsible for new product development, promotion, and distribution? a. Financial managers b. Operations managers c. Marketing managers d. Administrative managers ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Marketing managers work in areas related to the marketing function— getting consumers and clients to buy the organization’s products or services. These areas include new product development, promotion, and distribution. Given the importance of marketing for virtually all organizations, developing good managers in this area is critical.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:57 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 14. A company is facing a significant increase in operating costs and inefficiency in its production processes. Which manager’s role is most critical in addressing this issue? a. Marketing manager b. Financial manager c. Operations manager d. Administrative manager ANSWER: c RATIONALE: Operations managers are tasked with managing systems that create products and services, including production control and quality control.

They are essential in addressing inefficiencies and reducing operating costs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

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ED: DATE MODIFI 4/7/2025 2:07 AM ED: 15. Alex is the regional manager of a retail chain. Their primary responsibilities include implementing company policies, coordinating activities between store managers, and overseeing operations in multiple locations. Which managerial level does Alex most likely belong to? a. Top management b. Middle management c. First-line management d. Operations management ANSWER: b RATIONALE: Alex’s role involves implementing policies developed by higher management and coordinating activities at the operational level, which are characteristic responsibilities of middle management.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.1 - Describe management and the kinds of managers found in BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-1 An Introduction to Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 16. What is the primary purpose of planning in management? a. Monitoring performance b. Setting goals and deciding how to achieve them c. Motivating employees d. Developing an organizational chart ANSWER: b RATIONALE: Planning involves setting an organization’s goals and deciding on the best course of action to achieve them.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO1.2 - Explain the four basic management functions.

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TIVES: ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 17. Determining how a company's activities and resources are to be grouped is called a. leading. b. controlling . c. organizing. d. planning.

ANSWER: c RATIONALE: Once a manager has set goals and developed a workable plan, their next management function is to organize people and the other resources necessary to carry out the plan. Specifically, organizing involves determining how activities and resources are to be grouped.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.2 - Explain the four basic management functions.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 18. Decision making is part of which management function? a. Organizing b. Planning c. Leading d. Controllin g ANSWER: b RATIONALE: Decision making is integral to planning, as it involves selecting the best course of action from alternatives.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO1.2 - Explain the four basic management functions.

TIVES: ACCREDITING STA BUSPROG: Reflective Thinking NDARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 19. A department manager reviews the monthly sales report and finds that the team's performance is 15% below the target.

To address this issue, the manager implements corrective actions by retraining staff and introducing performance incentives. Which function of management is the manager primarily demonstrating? a. Controllin g b. Leading c. Organizing d. Planning ANSWER: a RATIONALE: Controlling involves monitoring performance, comparing it against established goals, and taking corrective actions to address deviations.

The manager's review of the sales report and subsequent implementation of corrective measures exemplifies the controlling function.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.2 - Explain the four basic management functions.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 20. How does planning help managers maintain effectiveness? a. By motivating employees b. By monitoring performance c. By providing a guide for time and resource allocation Copyright Cengage Learning. Powered by Cognero.

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d. By creating organizational charts ANSWER: c RATIONALE: Planning helps managers allocate their time and resources efficiently by setting goals and developing strategies to achieve them.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO1.2 - Explain the four basic management functions.

ECTIVES: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 1:58 AM : DATE MODIFIE 4/7/2025 2:07 AM D: 21. Which of the following would be included in the management function of planning? a. Selecting the course of action most likely to lead to success b. Monitoring progress toward the achievement of goals c. Motivating others to higher levels of achievement d. Communicating company policies to subordinates ANSWER: a RATIONALE: In its simplest form, planning means setting an organization’s goals and deciding how best to achieve them. Decision making, a part of the planning process, involves selecting a course of action from a set of alternatives. Planning and decision making help managers maintain their effectiveness by serving as guides for their future activities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.2 - Explain the four basic management functions.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 2:07 AM ED: 22. Why is organizing more than just creating an organizational chart? a. It involves decision making and monitoring activities. b. It includes grouping activities and resources to execute plans. c. It focuses on motivating employees. d. It replaces planning and controlling processes.

ANSWER: b RATIONALE: Organizing involves grouping activities and resources effectively to carry out plans, and not just creating organizational charts.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO1.2 - Explain the four basic management functions.

ECTIVES: ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED 4/7/2025 2:07 AM : 23. What distinguishes planning from organizing in management? a. Planning sets goals, while organizing groups activities and resources b. Planning monitors progress, while organizing motivates employees c. Planning involves resource allocation, while organizing sets goals d. Planning focuses on group dynamics, while organizing develops alternatives ANSWER: a RATIONALE: Planning focuses on setting goals, and organizing arranges the resources needed to achieve those goals.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO1.2 - Explain the four basic management functions.

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DATE CREATED: DATE MODIFIED:

4/7/2025 1:58 AM 4/7/2025 2:07 AM

24. Jamie, a manager at a tech firm, sets goals for the upcoming quarter and identifies various methods to achieve them.

Which management function is Jamie demonstrating? a. Leading b. Organizing c. Planning d. Controllin g ANSWER: c RATIONALE: Jamie is engaging in planning by setting goals and identifying methods to achieve them.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO1.2 - Explain the four basic management functions.

ES: ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 25. After setting goals for a new marketing campaign, Taylor assigns tasks to different team members and coordinates the use of software tools. Which management function is being performed? a. Planning b. Organizing c. Leading d. Controllin g ANSWER: b RATIONALE: Taylor is grouping activities and resources, which is part of the organizing function.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO1.2 - Explain the four basic management functions.

ES: ACCREDITING STAND BUSPROG: Analytic ARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 1:58 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 2:07 AM

26. Casey, a hospital administrator, decides to add more staff for the upcoming flu season and develops a schedule to ensure coverage. Which management functions are being utilized? a. Leading and controlling b. Planning and organizing c. Controlling and decision making d. Planning and leading ANSWER: b RATIONALE: Casey is setting a goal (planning) and arranging resources (organizing) to achieve effective flu season management.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO1.2 - Explain the four basic management functions.

CTIVES: ACCREDITING STBUSPROG: Analytic ANDARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 27. A manager needs to decide how to allocate resources between two competing projects. Which part of the management process is the manager engaging in? a. Organizing b. Decision making within planning c. Leading d. Controlling ANSWER: b RATIONALE: Allocating resources involves decision making, a critical component of the planning process, which involves selecting a course of action from a set of alternatives.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.2 - Explain the four basic management functions.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 28. A manager notices that a team is falling behind on its project deadlines due to low motivation. To address the issue, the manager organizes a meeting to share a clear vision of the project's importance, sets achievable milestones, and encourages open communication to address team concerns. Which function of management is the manager primarily demonstrating? a. Controllin g b. Organizing c. Planning d. Leading ANSWER: d RATIONALE: Leading involves inspiring and motivating employees, communicating a clear vision, and fostering a supportive environment to achieve goals.

The manager's actions of sharing a vision, setting milestones, and encouraging communication exemplify this function.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.2 - Explain the four basic management functions.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/10/2025 8:14 AM ED: 29. Which management function involves selecting a course of action from a set of alternatives? a. Organizing b. Decision making c. Controlling d. Leading ANSWER: b RATIONALE: Decision making is part of the planning and involves choosing the best course of action among alternatives.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO1.2 - Explain the four basic management functions.

TIVES: ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 30. The management at Loft Corp. has introduced new employment policies. The managers are now tracking and monitoring the implementation of the new policies. Which of the following management functions is illustrated in the scenario? a. Decision making b. Controlling c. Organizing d. Leading ANSWER: b RATIONALE: This scenario illustrates controlling. Controlling is the monitoring of an organization’s progress toward its goals.

POINTS: 1 DIFFICULTY: Challenging QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO1.2 - Explain the four basic management functions.

TIVES: ACCREDITING ST BUSPROG: Reflective Thinking ANDARDS: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 31. The skills necessary to accomplish or understand the specific kind of work done in an organization are called a. diagnostic skills. b. time management skills. c. conceptual skills. d. technical skills.

ANSWER: d RATIONALE: Technical skills are necessary to accomplish or understand the specific kind of work done in an organization. These are especially important for first-line managers. To be effective managers, they must know how to perform the tasks assigned to those they supervise.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 32. The abilities of managers to think in the abstract are referred to as a. time management skills. b. technical skills. c. conceptual skills. d. interpersonal skills.

ANSWER: c RATIONALE: Conceptual skills depend on the manager’s ability to think in the abstract.

Managers need the mental capacity to understand the overall workings of the organization and its environment, to grasp how all the parts of the organization fit together, and to view the organization in a holistic manner.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED:

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33. Technical skills a. are more important than any other skill for top managers. b. are nonspecific and broad. c. depend on a manager's ability to think in the abstract. d. are especially important for first-line managers.

ANSWER: d RATIONALE: Technical skills are necessary to accomplish or understand the specific kind of work done in an organization. Technical skills are especially important for first-line managers. These managers spend much of their time training their subordinates and answering questions about workrelated problems.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 34. Which of the following best describes decision-making skills in management? a. The ability to delegate tasks efficiently b. The ability to prioritize work and meet deadlines c. The ability to recognize problems and select appropriate actions d. The ability to perform technical tasks ANSWER: c RATIONALE: Decision-making skills involve recognizing problems or opportunities and selecting the best course of action. Effective managers can analyze situations, make decisions, and take action to solve problems or capitalize on opportunities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

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ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 35. Which of the following is an example of a manager applying time management skills? a. Prioritizing urgent tasks and delegating lower-priority tasks to others b. Deciding to split a company's services into two separate units c. Creating a new marketing strategy d. Holding a meeting to brainstorm new ideas ANSWER: a RATIONALE: Time management skills involve prioritizing tasks and delegating when necessary to ensure that more pressing tasks are handled first. This action reflects effective time management by focusing on urgent work while delegating less critical tasks.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 36. Which type of skills is necessary for first-line managers to effectively train subordinates and solve work-related problems? a. Technical b. Conceptual c. Interpersonal d. Communication ANSWER: a RATIONALE: First-line managers require technical skills to understand and perform the specific tasks assigned to their teams, enabling them to train subordinates and address work-related challenges.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 37. Which skill incorporates the ability to motivate others? a. Conceptual b. Technical c. Communication d. Interpersonal ANSWER: d RATIONALE: Interpersonal skills are the ability to communicate with, understand, and motivate both individuals and groups.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO1.3 - Describe the fundamental management skills and the CTIVES: concepts of management as both a science and art.

ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 38. An individual works with many levels of management within their organization and also meets with suppliers and customers. To be effective in their job, which type of skills are most important? a. Time management b. Spatial c. Interpersonal d. Conceptual ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Interpersonal skills are the ability to communicate with, understand, and motivate both individuals and groups. As a manager climbs the organizational ladder, they must be able to get along with subordinates, peers, and those at higher levels of the organization. Because of the multitude of roles that managers must fulfill, a manager must also be able to work with suppliers, customers, investors, and others outside the organization.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 39. A manager studies the performances of various business units within their organization. After making an assessment, they conclude that the overall costs of the organization can be reduced by integrating the functions of two of the business units. What type of skills is the manager illustrating? a. Technical b. Time management c. Conceptual d. Interpersonal ANSWER: c RATIONALE: Conceptual skills involve the ability to analyze and understand complex situations, seeing the big picture and identifying ways to improve overall performance. In this case, the manager is assessing the organization as a whole and recognizing an opportunity for cost reduction by integrating business units. This demonstrates a high level of conceptual thinking, as they can understand the interdependencies within the organization and make decisions that affect the broader strategy.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Reflective Thinking Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 40. Which type of skills refers to the abilities of managers to visualize the most appropriate response to a situation? a. Social b. Interpersonal c. Technical d. Diagnostic ANSWER: d RATIONALE: Diagnostic skills are a manager’s ability to visualize the most appropriate response to a situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO1.3 - Describe the fundamental management skills and the CTIVES: concepts of management as both a science and art.

ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 41. Which of the following is an example of a decision-making mistake that managers might recognize and correct quickly? a. Choosing a solution that creates more problems than it solves b. Prioritizing high-priority work and delegating low-priority tasks c. Delegating work to the wrong team member d. Avoiding making any decisions for fear of failure ANSWER: a RATIONALE: Managers often make decisions that do not work as expected. The key is recognizing when the decision has led to additional problems and correcting it as soon as possible to minimize any negative impact on the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Analytic G STANDARD BUSPROG: Communication S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 42. What is a theory described as in the context of management? a. A practical tool for increasing profits b. A framework for motivating employees c. A conceptual framework for organizing knowledge d. A guideline for ethical business practices ANSWER: c RATIONALE: The text defines a theory as a conceptual framework used to organize knowledge and guide actions.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO1.4 - Explain the importance of history and theory to managers.

IVES: ACCREDITING STA BUSPROG: Communication NDARDS: BUSPROG: Reflective Thinking TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 43. A manager has realized they are spending too much time on low-priority administrative tasks and missing important deadlines. What would be an appropriate action for the manager to take? a. Continue focusing on the administrative tasks to ensure they are completed. b. Delegate administrative tasks to others and focus on higher-priority work. c. Ignore the deadlines and focus solely on completing administrative tasks. d. Work overtime to complete both administrative tasks and meet deadlines.

ANSWER: b RATIONALE: Delegating low-priority tasks and focusing on high-priority tasks is an essential time management strategy. This allows the manager to meet deadlines and ensure that the most important work gets done efficiently.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 44. A manager at a tech company faces a decision about launching a new product. The manager must weigh the potential risks and rewards. Which decision-making step should the manager focus on first? a. Implement the decision without consulting anyone. b. Gather relevant information and analyze the potential risks and rewards. c. Delegate the decision-making process to a team member. d. Choose the option that looks the easiest and quickest.

ANSWER: b RATIONALE: Effective decision-making requires gathering the necessary information and analyzing the potential consequences. By assessing risks and rewards, the manager can make an informed decision, increasing the likelihood of success.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 45. What benefit does understanding historical context provide to mangers? a. It guarantees business success. b. It allows managers to replicate past strategies.

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c. It helps managers learn from past mistakes. d. It limits the need for contemporary strategy development.

ANSWER: c RATIONALE: Historical context provides a sense of heritage and helps managers avoid repeating errors.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO1.4 - Explain the importance of history and theory to VES: managers.

ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 46. Why do companies maintain archives of their history? a. To comply with government regulations b. To enhance orientation and training programs c. To increase profitability d. To advertise their financial achievements ANSWER: b RATIONALE: Companies maintain archives to acquaint employees with their history during training and orientation.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO1.4 - Explain the importance of history and theory to managers.

IVES: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 47. A manager at a startup is inspired by Sun Tzu’s The Art of War to develop a competitive strategy. This is an example of a. applying historical understanding to contemporary business problems. b. using a quantitative management approach. c. relying solely on behavioral management principles. d. ignoring the relevance of historical context.

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ANSWER: RATIONALE:

a The manager applies insights from a historical text to address modern challenges, aligning with the importance of history.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO1.4 - Explain the importance of history and theory to managers.

CTIVES: ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM

48. Which term refers to a conceptual framework for organizing knowledge and providing a blueprint for action? a. Strategy b. Mnemoni c c. Prediction d. Theory ANSWER: d RATIONALE: A theory is a conceptual framework for organizing knowledge and providing a blueprint for action.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO1.4 - Explain the importance of history and theory to managers.

VES: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 49. Why is it important for managers to study history? a. History can provide a conceptual framework for organizing knowledge. b. Understanding historical context can provide a blueprint for action. c. The historical context can help managers avoid the mistakes of others. d. History can provide a mechanistic point of view of management.

ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Awareness and understanding of important historical developments are important to contemporary managers. The historical context of management provides a sense of heritage and can help managers avoid the mistakes of others.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.4 - Explain the importance of history and theory to managers.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 50. What is generally true about management theories that are used to build organizations and guide them to their goals? a. They are grounded in reality. b. They are abstract. c. They are simple. d. They are scientific in nature.

ANSWER: a RATIONALE: A theory is simply a conceptual framework for organizing knowledge and providing a blueprint for action. Although some theories seem abstract and irrelevant, others appear very simple and practical. Management theories, which are used to build organizations and guide them toward their goals, are grounded in reality.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.4 - Explain the importance of history and theory to managers.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 51. How can managers use knowledge of theory and history in contemporary organizations? a. As the basis for new, personal theories b. As abstract ideas c. To apply rules of scientific management to current issues being faced d. As a way to set organizational goals ANSWER: a RATIONALE: Most managers develop and refine their own theories of how they should run their organizations and manage the behavior of their employees. For example, James Sinegal, founder and former CEO of Costco Wholesale, always argued that paying his employees above market wages while focusing cost-cutting measures elsewhere were the key ingredients in the early success of his business. This belief was essentially based on his personal theory of competition in the warehouse retailing industry.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.4 - Explain the importance of history and theory to managers.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 52. A manager at a marketing firm is faced with multiple tasks that all need to be completed by the end of the day. To manage time effectively, what should the manager do first? a. Complete the easiest task first to build momentum. b. Focus on the task with the highest priority and importance. c. Work on all tasks simultaneously to save time. d. Delegate all tasks to the team members.

ANSWER: b RATIONALE: Effective time management requires focusing on the highest-priority tasks first. By tackling the most important task, the manager ensures that critical work is completed on time, reducing the risk of neglecting essential responsibilities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO1.3 - Describe the fundamental management skills and the concepts BJECTIVES: of management as both a science and art.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-3 Fundamental Management Skills KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 53. A new manager wants to increase employee motivation and satisfaction in the workplace. Based on management theory, which approach should they focus on? a. Scientific management b. Behavioral perspective c. Classical perspective d. Quantitative management perspective ANSWER: b RATIONALE: The behavioral perspective emphasizes improving employee satisfaction and motivation, as used by organizations like Nucor and Google.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO1.4 - Explain the importance of history and theory to managers.

JECTIVES: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 1:58 AM D: DATE MODIFIE 4/7/2025 2:07 AM D: 54. Your organization is considering using assembly lines for production. Which historical management perspective would be most applicable to guide this decision? a. Quantitative management perspective b. Behavioral perspective c. Scientific management d. Classical organizational perspective Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

c Scientific management, which emphasizes efficiency and systematic organization, is the foundation for assembly line production, as seen in companies like Toyota and Whirlpool.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.4 - Explain the importance of history and theory to managers.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 55. The first person to identify the managerial functions of planning, organizing, leading, and controlling was a. Elton Mayo. b. Lillian Gilbreth. c. Henri Fayol. d. Hugo Münsterberg.

ANSWER: c RATIONALE: Henri Fayol was the first to identify the specific managerial functions of planning, organizing, leading, and controlling. He believed that these functions accurately reflect the core of the management process. Most practicing managers agree that these functions are critical parts of their jobs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 2:07 AM ED: 56. Which of the following focuses on the management of the entire organization as opposed to the jobs of individual workers? a. The contingency perspective b. Scientific management c. Administrative management d. Theory X ANSWER: c RATIONALE: Administrative management is a classical management perspective that focuses on managing the total organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO1.5 - Explain the evolution of management thought through the CTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM 57. Which of the following statements about administrative management is true? a. It deals with the jobs of individual employees. b. It was first introduced by Frank and Lillian Gilbreth. c. It focuses solely on combating soldiering. d. It encompasses the concepts of planning, organizing, leading, and controlling.

ANSWER: d RATIONALE: Henri Fayol was administrative management’s most articulate spokesperson. Fayol was the first to identify the specific managerial functions of planning, organizing, leading, and controlling.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 58. Which of the following scenarios best illustrates the application of scientific management principles as developed by Frederick W. Taylor? a. A company implements a suggestion box for employees to share their innovative ideas to improve workplace productivity. b.A manager introduces a bonus system where employees are paid extra if they exceed specific production targets, using detailed studies to determine efficient task methods. c. A firm hires a new leader who focus on fostering creativity and collaboration among team members rather than focusing on individual productivity. d.A business increases its workforce size to manage higher production demand instead of focusing on improving efficiency with the current employees.

ANSWER: b RATIONALE: The scenario reflects Taylor’s scientific management principles by using task efficiency studies and performance-based incentives to improve individual productivity.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 59. Which of the following statements about the behavioral management perspective is true? a. It was first introduced by Max Weber. b. It viewed jobs and organizations from a mechanistic point of view. c. It was influenced by the industrial psychology movement. d. It essentially dealt with job specialization techniques.

ANSWER: c RATIONALE: The behavioral management perspective placed much more emphasis on individual attitudes, behaviors, and group processes and recognized the importance of behavioral processes in the workplace. The behavioral management perspective was stimulated by many theoretical movements, including industrial psychology, the practice of applying Copyright Cengage Learning. Powered by Cognero.

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psychological concepts to industrial settings.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 60. Max Weber's work, based on a rational set of guidelines for structuring organizations in the most efficient manner, is based on which organizational norm? a. Specialization b. Bureaucracy c. Group processes d. Human fulfillment ANSWER: b RATIONALE: Weber’s work on bureaucracy laid the foundation for contemporary organization theory. The concept of bureaucracy is based on a rational set of guidelines for structuring organizations in the most efficient manner.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: Copyright Cengage Learning. Powered by Cognero.

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61. Which perspective did early advocates of classical management primarily use to view organizations and jobs? a. Mechanisti c b. Behavioral c. Humanistic d. Systematic ANSWER: a RATIONALE: Early advocates of the classical management perspective viewed organizations and jobs from an essentially mechanistic point of view; that is, they essentially sought to conceptualize organizations as machines and workers as cogs within those machines.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 62. Who is recognized as the father of industrial psychology based on his belief that psychologists can make valuable contributions in the areas of training, employee selection, and motivation? a. Douglas McGregor b. Elton Mayo c. Abraham Maslow d. Hugo Münsterberg ANSWER: d RATIONALE: Hugo Münsterberg, a noted German psychologist, is recognized as the father of industrial psychology. Münsterberg suggested that psychologists could make valuable contributions to managers in the areas of employee selection, training, and motivation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

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ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 63. Who was the management pioneer who performed the Hawthorne studies at Western Electric? a. Lillian Gilbreth b. Elton Mayo c. Henry Gantt d. Frank Gilbreth ANSWER: b RATIONALE: The primary catalyst to the development of the behavioral approach to management was a series of studies conducted near Chicago at Western Electric’s Hawthorne plant between 1927 and 1932. The research, originally sponsored by General Electric, was conducted by Elton Mayo and his associates.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 64. In the Hawthorne studies, workers who overproduced were branded as a. operators. b. squealers. c. rate busters. d. chiselers.

ANSWER: c RATIONALE: In the Hawthorne studies, workers who overproduced were branded as rate busters. Those who underproduced where labeled chiselers. To be accepted by the group, workers produced at the accepted level, but they Copyright Cengage Learning. Powered by Cognero.

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slacked off to avoid overproducing.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 65. Which of the following was one of the findings of the Hawthorne studies? a. Workers tend to underperform when they are given special attention or supervision. b. Higher pay and incentives are more important to workers than social acceptance. c. All the workers in a group work toward achieving productivity targets set by supervisors. d. Both individual and social processes play major roles in shaping worker behavior.

ANSWER: d RATIONALE: A finding of the Hawthorne studies was that both individual and social processes played major roles in shaping worker attitudes and behavior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO1.5 - Explain the evolution of management thought through the JECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 1:58 AM D: DATE MODIFIE 4/7/2025 2:07 AM D: 66. Which of the following is a Theory Y assumption? a. Social processes do not influence the performance of workers. b. People are not internally motivated to achieve their goals.

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c. People do not naturally dislike work. d. People prefer to be directed, to avoid responsibility, and to want security.

ANSWER: c RATIONALE: Theory Y takes a positive view of workers and assumes that people do not naturally dislike work; work is a natural part of their lives.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO1.5 - Explain the evolution of management thought through the ECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 1:58 AM : DATE MODIFIE 4/7/2025 2:07 AM D: 67. Which of the following assumptions is represented by Theory Y? a. People prefer to be directed, to avoid responsibility, and to want security. b. People are bright, but under most organizational conditions, their potential is underutilized. c. People do not like work and try to avoid it. d. The productivity of workers is not affected by social processes at the workplace.

ANSWER: b RATIONALE: A Theory Y assumption is that people are bright, but under most organizational conditions, their potential is underutilized.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO1.5 - Explain the evolution of management thought through the CTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED: 4/7/2025 2:07 AM

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68. A Theory Y assumption is that a. incentives rather than social processes influence workers. b.managers have to control, direct, coerce, and threaten employees to get them to work toward organizational goals. c. people prefer to be directed, to avoid responsibility, and to want security; they have little ambition. d.people are committed to goals to the degree that they receive personal rewards when they reach their objectives.

ANSWER: d RATIONALE: Theory Y assumes that people are committed to goals to the degree that they receive personal rewards when they reach their objectives.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO1.5 - Explain the evolution of management thought through the ECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 1:58 AM D: DATE MODIFIE 4/7/2025 2:07 AM D: 69. Which of the following proposed that workers respond primarily to the social context of the workplace, including social conditioning, group norms, and interpersonal dynamics? a. The classical management perspective b. The human relations movement c. The systems perspective d. Management science ANSWER: b RATIONALE: The human relations movement, which grew from the Hawthorne studies and was a popular approach to management for many years, proposed that workers respond primarily to the social context of the workplace, including social conditioning, group norms, and interpersonal dynamics.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

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ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 70. Which of the following is a Theory X assumption? a. People will both seek and accept responsibility. b. Employees work best when managers punish them. c. People have little ambition. d. People are internally motivated.

ANSWER: c RATIONALE: Theory X is a relatively pessimistic and negative view of workers and is consistent with the views of scientific management. A Theory X assumption is that people prefer to be directed, to avoid responsibility, and to want security; they have little ambition.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 71. Which of the following takes a holistic view of behavior and draws from psychology, sociology, anthropology, economics, and medicine? a. Organizational behavior b. Scientific management c. Administrative management d. Systems perspective ANSWER: a RATIONALE: Current behavioral perspectives on management, known as organizational behavior, acknowledge that human behavior in organizations is much more complex than the human relationists Copyright Cengage Learning. Powered by Cognero.

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realized. The field of organizational behavior draws from a broad, interdisciplinary base of psychology, sociology, anthropology, economics, and medicine.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 72. When a manufacturing plant uses mathematical models to plan production and schedule equipment maintenance, it is drawing upon a. scientific management. b. administrative management. c. management science. d. the behavioral management perspective.

ANSWER: c RATIONALE: Management science is a quantitative management perspective that focuses specifically on the development of mathematical models.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO1.5 - Explain the evolution of management thought through the ECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 1:58 AM D: DATE MODIFIE 4/7/2025 2:07 AM D: Copyright Cengage Learning. Powered by Cognero.

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73. In addition to management science, which of the following is one of the two branches of the quantitative management perspective? a. Behavioral management b. Operations management c. Organizational behavior d. The systems perspective ANSWER: b RATIONALE: The quantitative management perspective focuses on decision making, cost-effectiveness, mathematical models, and the use of computers. The two branches of the quantitative approach are management science and operations management.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 74. Which management perspective emphasizes decision making, cost-effectiveness, mathematical models, and the use of computers? a. Systems management b. Behavioral management c. Classical management d. Quantitative management ANSWER: d RATIONALE: The quantitative management perspective focuses on decision making, cost-effectiveness, mathematical models, and the use of computers. The quantitative management perspective includes management science and operations management approaches.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 75. Which of the following statements about management science is true? a. It is part of the classical management perspective. b. It relies on bureaucratic techniques proposed by Max Weber. c. It focuses on mathematical representations of reality. d. It is concerned with improving the performance of individual workers.

ANSWER: c RATIONALE: Management science focuses specifically on the development of mathematical models. At its most basic level, management science focuses on models, equations, and similar representations of reality.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 76. What are the four basic elements of a system in the systems perspective? a. Inputs, outputs, feedback, and synergy b. Inputs, transformation processes, outputs, and feedback c. Transformation processes, feedback, synergy, and entropy d. Inputs, subsystems, entropy, and outputs ANSWER: b RATIONALE: These four elements form the foundation of the systems perspective, which views organizations as open systems interacting with their environments. Inputs refer to resources such as materials, information, Copyright Cengage Learning. Powered by Cognero.

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and human capital that are brought into the system. Transformation processes involve the activities that convert these inputs into meaningful outputs. Outputs are the products, services, or outcomes delivered by the organization. Finally, feedback provides critical information that allows the system to make adjustments and improve its processes to achieve better results. This approach highlights the dynamic and adaptive nature of organizations in response to internal and external changes.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/8/2025 1:50 AM ED: 77. How does the concept of synergy benefit an organization? a. By focusing solely on one product line for cost efficiency b. By encouraging competition among organizational subsystems c. By having subsystems work together to produce more value collectively d. By isolating subsystems to avoid conflicts in the workplace ANSWER: c RATIONALE: Synergy occurs when subsystems collaborate effectively, producing results greater than the sum of individual efforts.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO1.6 - Discuss the key contemporary management perspectives ECTIVES: represented by the systems and contingency perspectives.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:58 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED 4/7/2025 2:07 AM : 78. If a manager overlooks the interdependence of subsystems in their organization, what might be a likely consequence? a. Improved synergy among departments b. Increased entropy leading to system decline c. Enhanced open system interactions d. Better feedback from the environment ANSWER: b RATIONALE: Ignoring subsystems interdependence can disrupt the organization’s ability to adapt and revitalize, leading to entropy.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO1.6 - Discuss the key contemporary management perspectives ECTIVES: represented by the systems and contingency perspectives.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED 4/7/2025 2:07 AM : 79. What is the difference between an open and closed system? a. Open systems do not interact with the environment, while closed systems do. b. Open systems interact with the environment, while closed systems do not. c. Open systems focus on outputs, while closed systems focus on inputs. d. Open systems avoid entropy, while closed systems promote synergy.

ANSWER: b RATIONALE: Open systems rely on external interactions for feedback and resources, while closed systems operate independently of their environment.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO1.6 - Discuss the key contemporary management perspectives JECTIVES: represented by the systems and contingency perspectives.

ACCREDITING BUSPROG: Analytic STANDARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 1:58 AM D: DATE MODIFIE 4/7/2025 2:07 AM D: 80. Why is feedback important in the systems perspective of management? a. It eliminates the need for managerial adjustments. b. It provides information on outputs and helps refine processes. c. It reduces the reliance on inputs from the environment. d. It ensures subsystems operate independently.

ANSWER: b RATIONALE: Feedback allows managers to assess outcomes and make necessary adjustments to maintain system efficiency.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO1.6 - Discuss the key contemporary management perspectives ECTIVES: represented by the systems and contingency perspectives.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED 4/7/2025 2:07 AM : 81. In the context of the systems perspective, which of the following would be considered an output? a. Technological processes b. Labor skills c. Services d. Raw materials ANSWER: c RATIONALE: In the context of the systems perspective, outputs include products, services, or both (tangible and intangible); profits, losses, or both; employee behaviors; and information.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 82. In the context of the systems perspective, an input would be a. human resources. b. losses. c. feedback loops. d. products.

ANSWER: a RATIONALE: In the context of the systems perspective, inputs are the material, human, financial, and information resources that an organization gets from its environment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 83. A company is facing a decline due to outdated processes and failure to adapt to customer feedback. This situation illustrates which concept? a. Synergy b. Open system c. Entropy d. Subsystems ANSWER: c RATIONALE: Entropy refers to the process of system decline caused by a lack of Copyright Cengage Learning. Powered by Cognero.

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adaptation or feedback incorporation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO1.6 - Discuss the key contemporary management perspectives ECTIVES: represented by the systems and contingency perspectives.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED 4/7/2025 2:07 AM : 84. In the systems perspective, outputs include a. raw materials. b. controls. c. employee behaviors. d. human resources.

ANSWER: c RATIONALE: In the systems perspective, outputs include products, services, or both (tangible and intangible); profits, losses, or both; employee behaviors; and information.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 85. Which management perspective suggests that there is no “one best way” to manage an organization? a. Systems perspective b. Contingency Copyright Cengage Learning. Powered by Cognero.

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perspective c. Behavioral perspective d. Classical perspective ANSWER: b RATIONALE: The contingency perspective emphasizes that that appropriate managerial behavior in each situation depends on, or is contingent on, unique elements in a given situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 86. Which is a normal process that leads to system decline, and occurs when an organization does not monitor environmental feedback? a. Economy of scale b. Synergy c. Entropy d. Contingency ANSWER: c RATIONALE: Entropy is a normal process that leads to system decline. When an organization does not monitor feedback from its environment and make appropriate adjustments, it may fail.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

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KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 87. Which of the following suggests that organizational units (or subsystems) may often be more successful working together than working alone? a. Chiseling b. Operations management c. Synergy d. Entropy ANSWER: c RATIONALE: Synergy suggests that two or more subsystems working together can produce more than the total of what they might produce working alone.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO1.6 - Discuss the key contemporary management perspectives JECTIVES: represented by the systems and contingency perspectives.

ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 1:58 AM D: DATE MODIFIE 4/7/2025 2:07 AM D: 88. As a manager, Emilio sometimes changes their response to situations based on the situation, or unique elements in a situation. Which management perspective does Emilio practice? a. The classical management perspective b. Administrative management c. Scientific management d. The contingency perspective ANSWER: d RATIONALE: The contingency perspective suggests that appropriate managerial behavior in a given situation depends on, or is contingent on, unique elements in that situation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 89. Which management perspective emphasizes that effective managerial behavior depends on unique elements of a given situation? a. Behavioral management perspective b. Quantitative management perspective c. Systems perspective d. Contingency perspective ANSWER: d RATIONALE: The contingency perspective suggests that appropriate managerial behavior in a given situation depends on, or is contingent on, unique elements in that situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 90. In the systems perspective, which concept emphasizes the importance of working together in a cooperative and coordinated fashion? a. Synergy b. Entropy c. Contingenc y Copyright Cengage Learning. Powered by Cognero.

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d. Diversity ANSWER: a RATIONALE: In the systems perspective, synergy suggests that organizational units (or subsystems) may often be more successful working together than working alone.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 91. A primary objective of management, from a systems perspective, is to continually reenergize the organization to avoid a. reciprocity. b. collaboration. c. diversity. d. entropy.

ANSWER: d RATIONALE: A primary objective of management, from a systems perspective, is to continually reenergize the organization to avoid entropy.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO1.6 - Discuss the key contemporary management perspectives ECTIVES: represented by the systems and contingency perspectives.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 1:58 AM : DATE MODIFIED 4/7/2025 2:07 AM : Copyright Cengage Learning. Powered by Cognero.

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92. Which perspective states that effective managerial behavior in one situation cannot always be generalized to other situations? a. The behavioral management b. Scientific management c. The contingency perspective d. Administrative management ANSWER: c RATIONALE: The contingency perspective suggests that appropriate managerial behavior in a given situation depends on, or is contingent on, unique elements in that situation. Stated differently, effective managerial behavior in one situation cannot always be generalized to other situations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 93. Which of the following statements about the contingency perspective is true? a. It states that the organizations that are not influenced by their external environments tend to be more successful than others. b.It states that effective managerial behavior in one situation cannot always be generalized to other situations. c. It states that all employees tend to perform better when they are promised higher incentives. d.It states that the behavior of employees at work is not influenced by social processes.

ANSWER: b RATIONALE: The contingency perspective suggests that universal theories cannot be applied to organizations because each organization is unique. Stated differently, effective managerial behavior in one situation cannot always be generalized to other situations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 94. A new CEO of a startup initially focuses on micromanaging daily operations to ensure the company meets its shortterm goals. As the company expands and hires experienced department heads, the CEO shifts to focusing on strategic planning and empowering the management team to handle day-to-day decisions. Which management perspective best explains this change in leadership approach? a. Classical perspective b. Behavioral perspective c. Contingency perspective d. Quantitative perspective ANSWER: c RATIONALE: The contingency perspective suggests that effective managerial behavior depends on unique elements in a given situation. The CEO's shift from hands-on management to strategic leadership reflects adapting their approach to suit the company's evolving needs, aligning with the contingency perspective. This contrasts with universal theories that propose a single best way to manage in all situations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.6 - Discuss the key contemporary management perspectives BJECTIVES: represented by the systems and contingency perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-6 Contemporary Management Perspectives KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED:

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95. A tech company is expanding rapidly and experiencing challenges in retaining top talent due to increased competition and changing employee expectations. To address this, the company introduces a mentorship program, promotes diversity and inclusion initiatives, and invests in employee development through online learning platforms. What contemporary management challenge is the company primarily addressing? a. Managing workforce diversity b. Adapting to technological advancements c. Employee engagement and retention d. Globalization of business operations ANSWER: c RATIONALE: Employee engagement and retention are critical contemporary management challenges. By implementing mentorship programs, promoting diversity, and investing in professional development, the company is creating opportunities to engage employees, foster loyalty, and reduce turnover in a competitive job market.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 96. Which of the following is a significant challenge managers face in today’s organizations? a. Decreasing importance of quality b. Declining workforce diversity c. Globalization d. Increasing emphasis on long-term employee loyalty ANSWER: c RATIONALE: Globalization is highlighted as a significant contemporary challenge, along with ethics, quality, and workforce diversity. The other options either contradict the text or do not reflect current challenges.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 97. Why has diversity become both an opportunity and a challenge for managers in today’s organizations? a. Managers must now ensure that all employees conform to a single organizational culture management. b.Workforce diversity enhances creativity but requires flexibility to address varying employee needs. c. Organizations must focus solely on demographic representation, ignoring other aspects of diversity. d.Younger generations entering the workforce value uniformity over individuality, complicating diversity management.

ANSWER: b RATIONALE: Diversity contributes to innovation and creativity, but managing it effectively involves accommodating a wide range of lifestyles, preferences, and work styles.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 98. A manager at a company has noticed a growing trend of employees requesting flexible work schedules and remote work options. How should the manager apply modern management theories to address this challenge effectively? a. Refuse the requests to maintain company uniformity and traditional working hours. b.Implement a one-size-fits-all approach that limits flexibility across departments. c. Offer flexible work schedules and remote work options while ensuring clear communication and performance expectations.

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d.Ignore employee concerns and continue with the traditional work schedule as it has always been.

ANSWER: c RATIONALE: Modern management theories, such as contingency theory and human relations theory, emphasize adaptability and the importance of considering employee needs to maintain productivity and satisfaction. By offering flexibility, the manager acknowledges changing workplace trends and supports employee well-being. Ensuring clear communication and setting performance expectations helps maintain accountability and align employees' work with organizational goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 99. Which of the following statements best reflects contemporary management trends? a. More and more organizations are using quality as a basis for competition. b.The service sector of the economy has steadily declined. c. Younger people entering the workforce over the past 20 to 30 years are more devoted to work and more willing to adapt. d.The emphasis on business ethics has declined.

ANSWER: a RATIONALE: Quality is an important issue for several reasons. More and more organizations are using quality as a basis for competition.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO1.7 - Identify the major challenges and opportunities faced by CTIVES: managers today.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Understand Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: 4/7/2025 1:58 AM DATE MODIFIED 4/7/2025 2:07 AM : 100. Improving the quality of products and services tends to increase a. inertia. b. entropy. c. latency. d. productivity.

ANSWER: d RATIONALE: Improving quality tends to increase productivity because making higher-quality products generally results in less waste and rework.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO1.7 - Identify the major challenges and opportunities faced by ECTIVES: managers today.

ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 1:58 AM : DATE MODIFIE 4/7/2025 2:07 AM D: 101. What role does globalization play as a challenge for managers in contemporary organizations? a. It simplifies decision-making processes due to uniform business environments. b. It presents unique challenges due to differing cultural, national, and behavioral processes across regions. c. It decreases the importance of ethics and corporate governance. d. It leads to uniform work norms and expectations across the globe.

ANSWER: b RATIONALE: Globalization as a challenge due to the variation in cultural values, work norms, and national business practices. Understanding these differences is crucial for managers to lead effectively in a global economy.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

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ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 102. Ramkumar is the head of human resources at a large firm. For the past few years, the firm has had a difficult time hiring and retaining employees. What can Ramkumar do to better attract and retain today's workers? a. Provide new and different incentives. b. Use groups to keep people motivated and interested in work. c. Build a large corporate campus to foster a sense of community. d. Eliminate their presence on social media.

ANSWER: a RATIONALE: Managers are increasingly faced with the challenge of, first, creating an environment that will be attractive to today’s worker and, second, addressing the challenge of providing new and different incentives to keep people motivated and interested in their work. They must build enough flexibility into the organization to accommodate an ever-changing set of lifestyles and preferences.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 103. Ugar is a manager who likes change. When people become complacent, Ugar tries to shake things up to reenergize them. How does Ugar likely see change management? a. As a cause for alarm b. As a motivational tool c. As an improvement on reputation d. As an opportunity ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

An organization that fails to monitor its environment and to change to keep pace with that environment is doomed to failure. But more and more managers are seeing change as an opportunity, not a cause for alarm. Indeed, some managers think that if things get too calm in an organization and people start to become complacent, they should shake things up to get everyone energized.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 104. Teresita has several open positions at their firm. What could Teresita's firm offer Millennial candidates to attract them to the firm? a. Flexibility in work arrangements b. Structure c. Long-term opportunity d. Strong corporate identity ANSWER: a RATIONALE: Generation X, Generation Y, Generation Z, and Millennials, as these groups are called, tend to be less devoted to long-term career prospects and less willing to adapt to a corporate mindset that stresses conformity and uniformity. Instead, they often seek work in smaller, more entrepreneurial firms that allow flexibility and individuality.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 105. What is the term that describes differences among people? a. Diversity b. Synergy c. Culture d. Ethics ANSWER: a RATIONALE: The term diversity refers to differences among people. Diversity may be reflected along numerous dimensions, but most managers tend to focus on age, gender, ethnicity, and physical abilities and disabilities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/8/2025 1:48 AM ED: 106. What is often at the center of debates on ethics and social responsibility? a. Norms b. Corporate governance c. Quality d. Service ANSWER: b RATIONALE: A management challenge that has taken on renewed importance is ethics and social responsibility and their relationship to corporate governance. Unfortunately, business scandals involving unethical conduct have become almost commonplace today. The proper framework for corporate governance is often at the center of these debates and discussions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 107. Which of the following influences patterns of work-related behavior and attitudes toward work? a. Norms b. Organizational configuration c. Quality d. Social responsibility ANSWER: a RATIONALE: Values, symbols, and beliefs differ sharply among cultures. Different work norms and the role that work plays in a person’s life, for example, influence patterns of both work-related behavior and attitudes toward work.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO1.7 - Identify the major challenges and opportunities faced by BJECTIVES: managers today.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-7 Contemporary Management Issues and Challenges KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 1:58 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 108. Describe the four management functions.

ANSWER: Regardless of level or area, management involves the four basic functions of planning and decision making, organizing, leading, and controlling.

Planning and Decision Making: In its simplest form, planning means setting an organization’s goals and deciding how best to achieve them. Decision making, a Copyright Cengage Learning. Powered by Cognero.

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part of the planning process, involves selecting a course of action from a set of alternatives. Planning and decision making help managers maintain their effectiveness by serving as guides for their future activities. In other words, the organization’s goals and plans clearly help managers know how to allocate their time and resources.

Organizing: Once a manager has set goals and developed a workable plan, their next management function is to organize people and the other resources necessary to carry out the plan. Specifically, organizing involves determining how activities and resources are to be grouped.

Leading: The third basic managerial function is leading. Some people consider leading to be both the most important and the most challenging of all managerial activities. Leading is the set of processes used to get members of the organization to work together to further the interests of the organization.

Controlling: The final phase of the management process is controlling or monitoring the organization’s progress toward its goals. As the organization moves toward its goals, managers must monitor progress to ensure that it is performing in such a way as to arrive at its “destination” at the appointed time.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Subjective Short Answer PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO1.2 - Explain the four basic management functions.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-2 Basic Management Functions KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:00 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 109. Why do managers study management history and theory?

ANSWER: In reality, both theory and history are important to all managers today.

A theory is simply a conceptual framework for organizing knowledge and providing a blueprint for action. Although some theories seem abstract and irrelevant, others appear very simple and practical. Management theories, which are used to build organizations and guide them toward their goals, are grounded in reality. Practically any organization that uses assembly lines is drawing on scientific management. Many organizations use the behavioral perspective to improve employee satisfaction and motivation. And naming a large company that does not use one or more techniques from the quantitative management perspective would be difficult.

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Awareness and understanding of important historical developments are also important to contemporary managers. Understanding the historical context of management provides a sense of heritage and can help managers avoid the mistakes of others. Most courses in U.S. history devote time to business and economic developments in this country, including the Industrial Revolution, the early labor movement, and the Great Depression, and to captains of U.S. industry such as Cornelius Vanderbilt (railroads), John D. Rockefeller (oil), and Andrew Carnegie (steel). The contributions of those and other industrialists left a profound imprint on contemporary culture. Many managers are also realizing that they can benefit from a greater understanding of history in general.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Subjective Short Answer PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO1.4 - Explain the importance of history and theory to managers.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-4 The Importance of Theory and History KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:01 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED: 110. Discuss the Hawthorne studies in terms of how they were conducted and what the important results were to management practices.

ANSWER: Although Hugo Münsterberg and Mary Parker Follett made major contributions to the development of the behavioral approach to management, its primary catalyst was a series of studies conducted near Chicago at Western Electric’s Hawthorne plant between 1927 and 1932. The research, originally sponsored by General Electric, was conducted by Elton Mayo and his associates. Mayo was a faculty member and consultant at Harvard.

The first study involved manipulating illumination for one group of workers and comparing their subsequent productivity with the productivity of another group whose illumination was not changed. Surprisingly, when illumination was increased for the experimental group, productivity went up in both groups.

Productivity continued to increase in both groups, even when the lighting for the experimental group was decreased. Not until the lighting was reduced to the level of moonlight did productivity begin to decline. Another experiment established a piecework incentive pay plan for a group of nine men assembling terminal banks for telephone exchanges. Mayo and his associates found that the group itself informally established an acceptable level of output for its members.

Workers who overproduced were branded rate busters, and who underproduced were labeled chiselers. To be accepted by the group, workers produced at the accepted level. As they approached this acceptable level of output, workers Copyright Cengage Learning. Powered by Cognero.

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slacked off to avoid overproducing.

Other studies, including an interview program involving several thousand workers, led Mayo and his associates to conclude that human behavior was much more important in the workplace than had been previously believed. In the lighting experiment, for example, the results were attributed to the fact that both groups received special attention and sympathetic supervision for perhaps the first time. The incentive pay plans did not work because wage incentives were less important to the individual workers than was social acceptance in determining output. In short, individual and social processes played major roles in shaping worker attitudes and behavior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Subjective Short Answer PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO1.5 - Explain the evolution of management thought through the BJECTIVES: classical, behavioral, and quantitative perspectives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: 1-5 The Evolution of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:01 AM ED: DATE MODIFI 4/7/2025 2:07 AM ED:

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Chapter 02 - The Environments of Organizations and Managers 1. Which is a part of an organization's external environment? a. Board of directors b. Physical work environment c. Inflation d. Organization’s culture ANSWER: c RATIONALE: The external environment is everything outside an organization’s boundaries that might affect it.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.1 - Discuss the nature of an organization’s environments and the ECTIVES: components of its general, task, and internal environments.

STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 2. In the past, consumers in developing countries rarely visited American fast-food restaurants. Recently, the standard of living has improved, and fast-food restaurants are now places for family outings . This demonstrates which dimension of the organization’s general environment? a. Economic b. Technological c. Sociocultural d. Political-legal ANSWER: a RATIONALE: The economic dimension of an organization’s general environment is the overall health and vitality of the economic system in which the organization operates.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

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STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 3. Which dimension of the general environment includes computer-assisted design software that helps a business manufacture top-of-the-line cabinets by converting wood and ideas into functional products? a. Legal b. Sociocultural c. Technological d. Political ANSWER: c RATIONALE: The technological dimension of the general environment is made up of the methods available for converting resources into products or services.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO2.1 - Discuss the nature of an organization’s environments and the JECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 4. You are one of the proprietors of Atlas Corp., and you are concerned about the stock market decline, rising unemployment at 10 percent, increasing inflation, and growing government debt. Which dimension of the general environment do these concerns relate to? a. economic b. sociocultural c. technologica l d. political Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

a The economic dimension of an organization’s general environment is the overall health and vitality of the economic system in which the organization operates.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 5. What is the term for the set of broad dimensions and forces in an organization’s surroundings that determine its overall context? a. Task environment b. general environment c. physical work environment d. regulatory environment ANSWER: b RATIONALE: The general environment is the set of broad dimensions and forces in an organization’s surroundings that determines its overall context.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO2.1 - Discuss the nature of an organization’s environments and the ECTIVES: components of its general, task, and internal environments.

STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 6. Which of the following are used to support the technological dimension of an organization’s general environment? a. Organization’s policies and practices b. Inflation, interest rates, and unemployment c. Tools, methods, and computers d. Government regulations ANSWER: c RATIONALE: The technological dimension of the general environment is made up of the methods available for converting resources into products or services.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO2.1 - Discuss the nature of an organization’s environments and the JECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITING BUSPROG: Analytic | Technology - BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 7. You are considering expanding your business into another country, but you will only proceed if the trade relationships with that country are well defined and stable. In the context of the general environment, which of the following does this perspective reflect? a. Task b. Economic c. Technological d. Political-legal ANSWER: d RATIONALE: The political–legal dimension of the general environment consists of government regulation of business and the relationship between business and government.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Legal Responsibilities ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/8/2025 1:52 AM ED: 8. Which dimension of the general environment consists of government regulation of business and the relationship between business and government? a. technological b. task c. political– legal d. competitive ANSWER: c RATIONALE: The political–legal dimension of the general environment consists of government regulation of business and the relationship between business and government.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 9. Which part of an organization's environment consists of competitors, customers, suppliers, strategic partners, and regulators? a. technologica Copyright Cengage Learning. Powered by Cognero.

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l b. general c. economic d. task ANSWER: d RATIONALE: The task environment consists of specific organizations or groups that affect the organization. It includes competitors, customers, suppliers, strategic partners, and regulators.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 10. Imagine you own Eastlawn Pharmacy, a local drugstore that has served the neighborhood for over 25 years. Recently, a national pharmacy chain opened a store just two blocks away. What part of your business environment is changing? a. task environment. b. internal environment. c. physical work environment. d. government regulations.

ANSWER: a RATIONALE: The task environment consists of specific organizations or groups that affect the organization, which includes competitors, customers, suppliers, strategic partners, and regulators.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 11. Which of the following is an accurate difference between the task environment and the general environment? a. The general environment is quite complex, whereas the task environment is very simple. b. The task environment provides useful information more readily than the general environment. c. The task environment deals with more abstract dimensions than the general environment. d. The general environment’s impact is short term, whereas that of the task environment is long term.

ANSWER: b RATIONALE: Although the task environment is complex, it provides useful information more readily than the general environment because the manager can identify environmental factors of specific interest to the organization, rather than deal with the more abstract dimensions of the general environment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Analyze DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 12. You own a grocery store and notice that customers frequently switch between your store and a nearby store based on convenience, sales, and promotions. How would you describe your relationship with that other grocery store? a. strategic Copyright Cengage Learning. Powered by Cognero.

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allies b. competitors c. associates d. regulators ANSWER: b RATIONALE: An organization’s competitors are other organizations that compete with it for resources. The most obvious resources that competitors vie for are customer dollars.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Apply G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 13. You run an instant messaging service and notice that as a new messaging service is gaining popularity, fewer people are using your platform. How would you describe this new competitor in relation to your business? a. competitor b. supplier c. customer d. strategic partner ANSWER: a RATIONALE: An organization’s competitors are other organizations that compete with it for resources. The most obvious resources that competitors vie for are customer dollars.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 14. Organizations that provide resources to other organizations are known as: a. suppliers b. competitors c. regulators d. interest groups ANSWER: a RATIONALE: Suppliers are organizations that provide resources for other organizations.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.1 - Discuss the nature of an organization’s environments and the ECTIVES: components of its general, task, and internal environments.

STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember NOTES: Digital Story: Engage DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 15. For your private college you run, how would you categorize parents of students in relation to the task environment? a. supplier b. competito r c. regulator d. customer ANSWER: d RATIONALE: Customers include whoever pays money to acquire an organization’s Copyright Cengage Learning. Powered by Cognero.

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products or services.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.1 - Discuss the nature of an organization’s environments and the ECTIVES: components of its general, task, and internal environments.

STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 16. When two or more companies collaborate in joint ventures, what are they called? a. strategic partners b. competitors c. customers d. suppliers ANSWER: a RATIONALE: Another dimension of the task environment is strategic partners (also called strategic allies)—two or more companies that work together in joint ventures or other partnerships.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 17. Who are the elements of the task environment who have the potential to control, legislate, or otherwise influence an organization’s policies and practices? a. Managers b. Suppliers c. Regulators d. Employees ANSWER: c RATIONALE: Regulators are elements of the task environment that have the potential to control, legislate, or otherwise influence an organization’s policies and practices.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 18. You are managing a business relationship between Ralph Corp. and Swan Inc. In this arrangement, your company sells Swan’s merchandise in your stores, and Swan promotes your stores in its advertisements. How would you best describe the relationship between your company and Swan Inc.? a. They are competitors. b. Ralph is Swan's supplier. c. Swan is Ralph's customer. d. They are strategic partners.

ANSWER: d RATIONALE: Strategic partners are two or more companies that work together in joint ventures or other partnerships.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJ LO2.1 - Discuss the nature of an organization’s environments and the ECTIVES: components of its general, task, and internal environments.

STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Apply DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 19. You own a diner that has received multiple warnings from the local board of health about the quality of your food.

They are concerned about the trans-fats you use for frying and the freshness of your bread and meat. In this situation, what role is the board of health playing in your restaurant’s environment? a. competito r b. customer c. supplier d. regulator ANSWER: d RATIONALE: Regulatory agencies are created by the government to protect the public from certain business practices or to protect organizations from one another.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 20. You own Canyon LLC, a television manufacturing company preparing to launch a smart TV. Your television will include a built-in web browser from Wayfarer Inc. to provide internet access. In this situation, what role does your company play in Wayfarer’s business relationship? a. strategic Copyright Cengage Learning. Powered by Cognero.

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partner b. business rival c. franchisee d. supplier ANSWER: a RATIONALE: Strategic partners are two or more companies that work together in joint ventures or other partnerships. Strategic partnerships help companies get the expertise they lack from other companies.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 21. You purchase supplies from a specific company because they allow you 60 days to pay for your orders. How does this supplier support your business? a. By supplying sources of labor b. By managing regulators c. By supplying capital d. By generating new interest groups ANSWER: c RATIONALE: Besides material resources, businesses also rely on suppliers for information (such as economic statistics), labor (in the form of employment agencies), and capital (from lenders such as banks).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 22. A group organized by its members to attempt to influence organizations is known as a(n): a. interest group b. board of directors c. strategic ally d. competitor ANSWER: a RATIONALE: An interest group is a group organized by its members to attempt to influence organizations POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.1 - Discuss the nature of an organization’s environments and the ECTIVES: components of its general, task, and internal environments.

STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 23. Which of the following are used by the government to protect the public from certain business practices or to protect organizations from one another? a. Interest groups b. Strategic suppliers c. Strategic partner d. Regulatory agencies ANSWER: d RATIONALE: Regulatory agencies are created by the government to protect the public Copyright Cengage Learning. Powered by Cognero.

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from certain business practices or to protect organizations from one another.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 24. When you purchase stock in a company, what role do you take on within the company? a. member of the board of directors b. customer c. strategic partner d. owner ANSWER: d RATIONALE: Owners can be a single individual who establishes and runs a small business, partners who jointly own the business, individual investors who buy stock in a corporation, or other organizations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 2:56 AM ED: 25. In a business, who has legal property rights to that business? a. Employees b. Suppliers c. Customers d. Owners ANSWER: d RATIONALE: The owners of a business are those who can claim property rights to an organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.1 - Discuss the nature of an organization’s environments and the ECTIVES: components of its general, task, and internal environments.

STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic | Technology - BUSPROG: Analytic STANDARDS: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 26. In a corporation, what role do you play if you are elected by stockholders, provide general oversight, but do not actively participate in daily operations? a. council of strategic partners b. board of directors c. regulations directorate d. whistle-blowing committee ANSWER: b RATIONALE: Some boards of directors are relatively passive : They perform a general oversight function but seldom get actively involved in how the company is really run.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 27. Which of the following are utilized because they provide greater flexibility, earn lower wages, and often do not participate in benefits programs? a. Temporary workers b. Regulatory agencies c. Interest groups d. Strategic allies ANSWER: a RATIONALE: Temporary workers are individuals hired for short periods of time with no expectation of permanent employment. Employers often prefer to use “temps” because they provide greater flexibility, earn lower wages, and often do not participate in benefits programs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 28. Which of the following is an element of an organization's internal environment? a. Government regulations Copyright Cengage Learning. Powered by Cognero.

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b. Competitors c. Facilities d. Strategic allies ANSWER: c RATIONALE: A part of the internal environment is the organization’s facilities–its actual physical environment. Some firms have their facilities in downtown skyscrapers, usually spread across several floors, while others have open floor plans, or encourage remote work.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 29. As you conduct a situational analysis to develop your five-year strategic plan, you review a summary of domestic GDP, inflation, and unemployment projections and trends. Which type of general enviornement dimension are you analyzing for potential growth patterns? a. Legal b. Political c. Technological d. Economic ANSWER: d RATIONALE: The economic dimension of an organization’s general environment is the overall health and vitality of the economic system in which the organization operates. Particularly important economic factors for business are general economic growth, inflation, interest rates, and unemployment.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

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ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 30. As you plan for the future of your firm's retail gas and oil unit, you expect electric vehicles to impact revenues over the next several years. Which general environment dimension will this expansion of electric vehicles affect? a. Legal b. Political c. Technological d. Economic ANSWER: c RATIONALE: The technological dimension involves innovative methods of converting resources into products and services through new production, communication, digital, computerized, and integrated systems. Although technology is applied within the organization, the forms and availability of that technology come from the general environment.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Analyze DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 31. Car manufacturers must meet certain emissions standards as dictated by the federal and state governments. This requirement is an aspect of which dimension of the general environment? a. Interest groups b. Technological c. Political–legal d. Economic ANSWER: c RATIONALE: The political–legal dimension of the general environment consists of government regulation of business and the relationship between Copyright Cengage Learning. Powered by Cognero.

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business and government. The legal system partially defines what an organization can and cannot do.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 32. Who are the owners of a business? a. Only the individuals who manage the business b. The people or entities that have legal property rights to the business c. Only the employees working for the business d. The customers who purchase products or services from the business ANSWER: b RATIONALE: The owners of a business are, of course, the people who have legal property rights to that business. Owners can be a single individual who establishes and runs a small business, partners who jointly own the business, individual investors who buy stock in a corporation, or other organizations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: Copyright Cengage Learning. Powered by Cognero.

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33. Which of the following accurately describes the responsibility of a corporate board of directors? a. Exerting influence by using the media to call attention to their positions b. Helping the company get the expertise they lack from other companies c. Ensuring the firm is run to best serve the stockholders' interests d. Gaining legal property rights to the business by buying stock ANSWER: c RATIONALE: A corporate board of directors is a governing body that is elected by the stockholders and charged with overseeing a firm’s general management to ensure that it is run to best serve the stockholders’ interests.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 34. The term refers to an individual’s personal beliefs about whether a behavior, action, or decision is right or wrong.

What is this term? a. justice b. culture c. ethics d. aesthetic s ANSWER: c RATIONALE: Ethics is defined as an individual’s personal beliefs about whether a behavior, action, or decision is right or wrong.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO2.2 - Describe managerial ethics and the ethical environment of CTIVES: management.

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STATE STANDAR United States - AK - DISC: Ethical Responsibilities DS: ACCREDITING ST BUSPROG: Ethics ANDARDS: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 35. Which of the following is true of ethical behavior? a. Ethical behavior is the same for all individuals. b. Organizations define ethical behavior in the context of the individual c. Organizations themselves have ethics. d. Ethical behavior conforms to generally accepted social norms.

ANSWER: d RATIONALE: Although ethical behavior is in the eye of the beholder, the term usually refers to behavior that conforms to generally accepted social norms.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO2.2 - Describe managerial ethics and the ethical environment of JECTIVES: management.

STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITING BUSPROG: Ethics STANDARDS: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 36. The management of your company does not allow employees to socialize with those who work for competitors. Which of the following best describes these restrictions imposed by your management? a. Legal b. Unethica l c. Illegal d. Ethical ANSWER: b RATIONALE: Unethical behavior is behavior that does not conform to generally accepted social norms. One important area of managerial ethics is the treatment of employees by the organization.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 37. What occurs when an employee’s decision potentially benefits the individual to the possible detriment of the organization? a. loss of confidence b. security breach c. conflict of interest d. act of incitement ANSWER: c RATIONALE: A conflict of interest occurs when an employee’s decision potentially benefits the individual to the possible detriment of the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO2.2 - Describe managerial ethics and the ethical environment of ECTIVES: management.

STATE STANDA United States - AK - DISC: Ethical Responsibilities RDS: ACCREDITING BUSPROG: Ethics STANDARDS: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: Copyright Cengage Learning. Powered by Cognero.

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38. Which of the following terms represents a formal, written statement of the values and standards that guide a firm’s action? a. Code of ethics b. Business plan c. Standard operating procedures d. Strategic plan ANSWER: a RATIONALE: A code of ethics is a written statement of the values and ethical standards that guide a firm's action.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO2.2 - Describe managerial ethics and the ethical environment of IVES: management.

STATE STANDARDS United States - AK - DISC: Ethical Responsibilities : ACCREDITING STA BUSPROG: Ethics NDARDS: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 39. Your company is a chain of food stands, has prepared guidelines that clearly specify how employees should interact with suppliers, customers, competitors, and other people associated with the business. These guidelines are documented and distributed at all company outlets. What do these guidelines form for the company? a. business plan b. code of ethics c. strategic plan d. fair trade standards ANSWER: b RATIONALE: A code of ethics isa formal, written statement of the values and ethical standards that guide a firm’s action.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO2.2 - Describe managerial ethics and the ethical environment of TIVES: management.

STATE STANDARD United States - AK - DISC: Ethical Responsibilities S: ACCREDITING ST BUSPROG: Ethics ANDARDS: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: DATE MODIFIED:

4/7/2025 2:10 AM 4/7/2025 2:56 AM

40. Ethical issues in corporate governance are primarily the responsibility of: a. interest groups b. employees c. strategic partners d. the board of directors ANSWER: d RATIONALE: The board of directors of a public corporation is expected to ensure that the business is being properly managed and that the decisions made by its senior management are in the best interests of shareholders and other stakeholders.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 41. What law requires CEOs and CFOs to vouch personally for the truthfulness and fairness of their firms’ financial disclosures and imposes tough new measures to deter and punish corporate and accounting fraud and corruption. a. Glass–Steagall Act of 1933 b. Gramm–Leach–Bliley Act of 1999 c. Commodity Futures Modernization Act of 2000 d. Sarbanes–Oxley Act of 2002 ANSWER: a RATIONALE: The basic premise is that CEOs must set their company’s moral tone by being honest and straightforward and by taking responsibility for any shortcomings that are identified. Congress passed the Sarbanes–Oxley Act of 2002, requiring CEOs and CFOs to vouch personally for the truthfulness and fairness of their firms’ financial disclosures. The law also imposes tough new measures to deter and punish corporate and accounting fraud and corruption.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 42. A CFO of a publicly traded company discovers that certain financial statements contain misleading information. Based on the Sarbanes–Oxley Act of 2002, what should the CFO do to comply with the law? a. Ignore the discrepancies since financial statements are reviewed annually b. Personally certify the financial statements without making changes c. Report and correct the misleading information before certifying the statements d. Delegate responsibility to the accounting team and avoid personal accountability ANSWER: b RATIONALE: Congress passed the Sarbanes–Oxley Act of 2002, requiring CEOs and CFOs to vouch personally for the truthfulness and fairness of their firms’ financial disclosures. The Sarbanes–Oxley Act of 2002 imposes tough new measures to deter and punish corporate and accounting fraud and corruption.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: Copyright Cengage Learning. Powered by Cognero.

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43. You purchase the supplies for your office. Your brother is a sales rep at a firm that offers a competitive price on the copier paper you need to buy, so you didn’t look for a less expensive supplier. What might have occurred in this scenario? a. violation of the code of ethics b. violation of the Sarbanes-Oxley Act c. whistleblowing d. conflict of interest ANSWER: b RATIONALE: A conflict of interest occurs when an employee’s decision potentially benefits the individual to the possible detriment of the organization. To guard against such practices, most companies have policies that forbid their buyers from accepting gifts from suppliers.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 44. Considering recent ethical standards in which the boards of major companies have approved loans or bonuses to CEOs or board members, increased attention has been paid to: a. interest groups b. corporate governance c. whistle-blowing d. philanthropic giving ANSWER: b RATIONALE: Corporate governance means that the board of directors of a public corporation is expected to ensure that the business is being properly managed and that the decisions made by its senior management are in the best interests of shareholders and other stakeholders.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

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ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 45. What does managerial ethics refer to? a. The financial performance of a company b. The standards of behavior that guide managers in their work c. The strategies used to increase market share d. The legal requirements for starting a business ANSWER: b RATIONALE: Managerial ethics consists of the standards of behavior that guide individual managers in their work. One important area of managerial ethics is the treatment of employees by the organization. It includes, for example, hiring and firing, wages and working conditions, and employee privacy and respect.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 46. When organizations relate to their environments in ways that involve dilemmas and decisions, these situations are said to fall within the context of the organization's: a. legal responsibility. b. ethical responsibility. c. social responsibility. d. cultural responsibility.

ANSWER: c RATIONALE: Organizations themselves do not have ethics, but they relate to their environments in ways that often involve ethical dilemmas and decisions.

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These situations are generally referred to within the context of the organization’s social responsibility.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 47. Associates of social responsibility for businesses claim that: a. the purpose of business in U.S. society is to generate profit for owners b. involvement in social programs gives businesses too much power c. businesses do not create problems and should not have to solve them d. businesses often have the resources necessary to solve problems ANSWER: d RATIONALE: Advocates of social responsibility point out that, whereas governmental organizations have stretched their budgets to the limit, many large businesses often have surplus revenues that could be used to help solve social problems.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Understand Copyright Cengage Learning. Powered by Cognero.

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NOTES: Digital Story: Connect DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 48. Why do some say that businesses should focus on profit generation rather than social responsibility? a. Businesses are not considered part of society like the government and general population. b. Corporations have the same responsibilities as individual citizens. c. The primary mission of business is to generate profits for owners. d. Businesses do not contribute to societal problems and should not be responsible for solving them.

ANSWER: c RATIONALE: Some people argue that widening the interpretation of social responsibility will undermine the U.S. economy by detracting from the basic mission of business: to earn profits for owners.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 49. What does legal compliance refer to? a. The ability of a business to increase its market share b. The extent to which an organization follows laws at various levels c. The ethical responsibilities of a company beyond legal requirements d. The strategies a company uses to compete with rivals ANSWER: d RATIONALE: Legal compliance is the extent to which the organization conforms to local, state, federal, and international laws.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO2.3 - Discuss the concept of social responsibility.

CTIVES: STATE STANDAR United States - AK - DISC: Ethical Responsibilities DS: ACCREDITING ST BUSPROG: Ethics ANDARDS: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 50. Which of the following actions represents an attempt to manage social responsibility through ethical compliance? a. Requiring whistle-blowers to quit the organization b. Donating money to fund the performing arts c. Creating a committee to review policies concerning selection of new hires and promotion of employees d. Requiring international suppliers to comply to all local ethical standards ANSWER: c RATIONALE: Ethical compliance is the extent to which the organization’s members follow basic ethical (and legal) standards of behavior. Many organizations also establish formal ethics committees, which may be asked to review proposals for new projects or to help evaluate new hiring strategies.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 51. Which of the following about the ethical compliance of an organization is true? a. It is a formal dimension of managing social responsibility. b. It can be strengthended through leadership and corporate culture.

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c. It includes awarding of funds or gifts to charities or other worthy causes. d. It is used to circumvent its legal obligations.

ANSWER: a RATIONALE: The formal organizational dimensions through which businesses can manage social responsibility include legal compliance, ethical compliance, and philanthropic giving.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 52. Development of guidelines and codes of conduct is one of the most common ways through which an organization ensures: a. risk management b. technological specification c. philanthropic giving d. ethical compliance ANSWER: d RATIONALE: Organizations have increased their efforts in ethical compliance by providing training in ethics and developing guidelines and codes of conduct.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO2.3 - Discuss the concept of social responsibility.

JECTIVES: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITING BUSPROG: Ethics STANDARDS: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 53. Which of the following is an informal organizational dimension of managing social responsibility? a. Licensing b. Philanthropic giving c. Legal compliance d. Organizational culture ANSWER: d RATIONALE: In addition to the formal dimensions of managing social responsibility, there are also informal ones. Leadership, organizational culture, and how the organization responds to whistle-blowers all help shape and define people’s perceptions of the organization’s stance on social responsibility.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 54. You are the owner of Soft Bites, a factory that makes bread. You've asked all your retailers to return the loaves that haven't been sold within one week before the expiration date, and then you donate all these loaves to local food banks.

How would you describe this act of your company? a. corporate gifting b. legal compliance c. ethical compliance d. philanthropic giving ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Philanthropic giving is the awarding of funds or gifts to charities or other worthy causes.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO2.3 - Discuss the concept of social responsibility.

ES: STATE STANDARDS: United States - AK - DISC: Ethical Responsibilities ACCREDITING STAN BUSPROG: Ethics DARDS: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 55. What is an employee’s disclosure of illegal or unethical conduct by others within the organization? a. Lobbying b. Ethical norming c. Whistle-blowing d. Corporate governance ANSWER: c RATIONALE: Whistle-blowing is an employee’s disclosure of illegal or unethical conduct by others within the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO2.3 - Discuss the concept of social responsibility.

TIVES: STATE STANDARD United States - AK - DISC: Ethical Responsibilities S: ACCREDITING ST BUSPROG: Ethics ANDARDS: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 56. What is the extent to which an organization follows basic standards of moral behavior? a. Social responsibility b. Philanthropic giving c. Whistle-blowing d. Ethical compliance ANSWER: d RATIONALE: Ethical compliance is the extent to which an organization and its Copyright Cengage Learning. Powered by Cognero.

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members follow basic ethical standards of behavior. Training in ethics and developing guidelines and codes of conduct serve as vehicles for enhancing ethical compliance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 57. You are part of a local university that has set up a task force and committed to increasing recycling efforts and reducing carbon emissions by 50% in the next ten years. What do these efforts demonstrate a commitment to? a. emerging ethical issues b. corporate governance c. social responsibility d. legal compliance ANSWER: c RATIONALE: Sustainability and social responsibility relate to the obligations of organizations to protect or reduce the negative impact of their actions on the broader society which they serve. Specifically, social responsibility is the set of obligations an organization has to protect and enhance the societal context in which it functions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 58. Your company, a major computer technology firm, has committed to building a computer lab at the local university and is awarding scholarships to students who pursue this field. What is this action an example of? a. licensing b. philanthropic giving c. legal compliance d. ethical compliance ANSWER: b RATIONALE: Philanthropic giving is the awarding of funds or gifts to charities or other worthy causes. Many firms that make contributions are increasingly targeting them to programs or areas where the firm will get something in return. The logic is that they get a more direct payoff from the former type of contribution—in this instance, a better-trained workforce from which to hire new employees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 59. You work for a data mining company, and recently you discovered a coworker who knowingly breached the company’s online privacy policy to complete an important project for his manager. If you decide to report this breach, what will your actions be considered? a. corporate governance b. ethically responsible c. whistle-blowing d. a violation of Sarbanes– Oxley ANSWER: c RATIONALE: Correct. Whistle-blowing is an employee’s disclosure of illegal or unethical conduct by others within the organization. Whistle-blowers may have to proceed through several channels to be heard, and they may even get fired for their efforts.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 60. As the top human resource executive, you are responsible for ensuring compliance with regulations concerning hiring, pay, and workplace safety. Which formal dimension of social responsibility are you involved in? a. Leadership practices b. Philanthropic c. Legal d. Ethical ANSWER: c RATIONALE: Legal compliance is the extent to which the organization conforms to local, state, federal, and international laws. The task of managing legal compliance is generally assigned to the appropriate functional managers.

For example, the organization’s top human resource executive is responsible for ensuring compliance with regulations concerning hiring, pay, and workplace safety and health.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.3 - Discuss the concept of social responsibility.

BJECTIVES: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: Social Responsibility in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED:

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61. Which of the following is an advantage of licensing as an approach to internationalization? a. Lack of competition b. Extended profitability c. Lesser uncertainty d. Flexibility ANSWER: b RATIONALE: A company may prefer to arrange for a foreign company to manufacture or market its products under a licensing agreement. Advantages to licensing include increased profitability and extended profitability.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 62. What strategy requires a small cash outlay, is heavily regulated by government, and does not require modification to products for local conditions? a. importing b. licensing c. joint venture d. direct investment ANSWER: a RATIONALE: Importing is bringing a good, service, or capital into the home country from abroad. It requires a small cash outlay, does not require adaptation, and has government restrictions imposed on it.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

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BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 63. Atlantia is a German company that manufactures dishwashers in Germany. Its products are sold in the United States.

Which of the following statements is most accurate? a. Atlantia is exporting its products to the United States. b. Atlantia has a license agreement with the United States. c. Atlantia is importing its products from the United States. d. Atlantia wholly owns subsidiaries of the firm in the United States.

ANSWER: a RATIONALE: Exporting is making a product in the firm’s domestic marketplace and selling it in another country and can involve both merchandise and services.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO2.4 - Discuss the international environment of management.

JECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFI 4/7/2025 2:56 AM ED: 64. A potential disadvantage of licensing agreements is: a. decreased profits b. limited profitability c. inflexibility d. home production Copyright Cengage Learning. Powered by Cognero.

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costs ANSWER: RATIONALE:

c Licensing agreements allow a company to grant another entity the rights to produce and sell its product in exchange for royalties. However, a major disadvantage is inflexibility because the licensing company may have limited control over how the product is manufactured, marketed, and distributed. Once an agreement is in place, making changes can be difficult, and the company may be locked into terms that no longer align with its strategic goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 65. Which of the following is true of a trade quota? a. It is used most commonly to restrict trade. b. It is used to encourage strategic alliance. c. It is used to increase domestic competition. d. It is the tax breaks given by the host government.

ANSWER: a RATIONALE: Quotas are the most common form of trade restriction. A quota is a limit on the number or value of goods that can be traded.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO2.4 - Discuss the international environment of management.

ECTIVES: STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING S BUSPROG: Analytic Copyright Cengage Learning. Powered by Cognero.

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TANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED 4/7/2025 2:56 AM : 66. What is one of the key advantages of importing or exporting as a form of international business? a. High financial investment required for market adaptation b. Limited risk and small cash outlay involved c. Extensive need for market research and local adaptation d. It guarantees immediate large profits ANSWER: b RATIONALE: Importing or exporting (or both) is usually the first type of international business in which a firm gets involved. Its advantages include small cash outlay, little risk, and that it does not require adaptation to the local market.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 67. Making a product in the firm’s domestic marketplace and selling it in another country is known as: a. direct investment b. exporting c. a joint venture d. competing ANSWER: b RATIONALE: Exporting is making a product in the firm’s domestic marketplace and selling it in another country, and it can involve both merchandise and services.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO2.4 - Discuss the international environment of management.

JECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITING BUSPROG: Analytic | Technology - BUSPROG: Analytic STANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFI 4/7/2025 2:56 AM ED: 68. What is licensing in business? a. An agreement that allows a firm to borrow money from another company. b. An arrangement where one company allows another to use its assets for a fee. c. A contract between two companies to share their financial profits. d. A deal where a company rents its physical assets to another company.

ANSWER: b RATIONALE: Licensing is an arrangement whereby a firm allows another company to use its brand name, trademark, technology, patent, copyright, or other assets. In return, the licensee pays a royalty, usually based on sales.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: Copyright Cengage Learning. Powered by Cognero.

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69. Which of the following is an advantage of direct investment? a. New infrastructure b. Simplicity c. Enhanced control d. Greater political support ANSWER: c RATIONALE: Direct investment involves a company establishing operations or acquiring assets in a foreign country, such as opening a subsidiary or manufacturing facility. One key advantage is enhanced control, as the investing company has greater authority over decision-making, production, and management practices. This allows the company to align operations with its strategic objectives, maintain quality standards, and respond quickly to market changes.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/8/2025 1:55 AM ED: 70. Which of the following approaches to internationalization of business has the disadvantage of shared ownership? a. Importing b. Licensing c. Exporting d. Joint ventures ANSWER: d RATIONALE: A joint venture is special type of strategic alliances in which the partners actually share ownership of a new enterprise.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJE LO2.4 - Discuss the international environment of management.

CTIVES: STATE STANDAR United States - AK - DISC: Environmental Influence DS: ACCREDITING S BUSPROG: Analytic | Technology - BUSPROG: Analytic TANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 71. What are maquiladoras? a. Strategic alliances between U.S. and Mexican companies b. Licensing agreements made between U.S. and Mexican companies c. Light assembly plants built in northern Mexico close to the U.S. border d. Convenience stores in northern Mexico to serve the workers in the area ANSWER: c RATIONALE: Maquiladoras are light assembly plants built in Northern Mexico close to the U.S. border. The plants are given special tax breaks by the Mexican government, and the area is populated with workers willing to work for low wages.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 72. Basco Electric Inc., an American company, built two factories in Mexico as wholly owned subsidiaries. The decision was made to take advantage of special concessions from the Mexican government for providing employment to the local population. What is this type of investment called? a. licensing agreements b. franchises Copyright Cengage Learning. Powered by Cognero.

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c. leases d. direct investments ANSWER: d RATIONALE: Direct investment occurs when a firm headquartered in one country builds or purchases operating facilities or subsidiaries in a foreign country.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO2.4 - Discuss the international environment of management.

JECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 73. Sam's Big Bites, an American chain of burger stands, operates on all military bases in the United States. The agreement between Sam's Big Bites and the Department of Defense is an example of which type of arrangement? a. maquiladora b. licensing agreement c. exporting agreement d. strategic alliance ANSWER: d RATIONALE: In a strategic alliance, two or more firms jointly cooperate for mutual gain.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES LO2.4 - Discuss the international environment of : management.

STATE STANDARDS: United States - AK - DISC: Environmental Influence ACCREDITING STANDA BUSPROG: Analytic RDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:10 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 2:56 AM

74. Which of the following is two or more firms jointly cooperate for mutual gain? a. direct investment b. technology transfer c. strategic alliance d. interest group ANSWER: c RATIONALE: In a strategic alliance, two or more firms jointly cooperate for mutual gain.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES LO2.4 - Discuss the international environment of : management.

STATE STANDARDS: United States - AK - DISC: Environmental Influence ACCREDITING STANDA BUSPROG: Analytic RDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 75. Greater economic and political risks are among the disadvantages associated with: a. importing b. exporting c. licensing d. direct investment ANSWER: d RATIONALE: Complexity, greater economic and political risk, and greater uncertainty are the disadvantages associated with direct investment.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.4 - Discuss the international environment of management.

ECTIVES: STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 76. Which environment of an organization includes all the values, symbols, beliefs, and language that guide behavior? a. task b. general c. cultural d. regulator y ANSWER: c RATIONALE: country’s culture includes all the values, symbols, beliefs, and language that guide behavior.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO2.4 - Discuss the international environment of management.

VES: STATE STANDARDS: United States - AK - DISC: Environmental Influence ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 77. Which of the following statements about the cultural environment is true? a. An employee’s cultural environment is personal; therefore, it does not affect their profession. b. In international business, cultural factors always cause problems for managers. c. Cultural differences between countries can have a direct impact on business practice. d. Subtle cultural differences between countries do not have a major impact on business activities.

ANSWER: c RATIONALE: Cultural differences between countries influence communication, management styles, consumer behavior, and workplace expectations. In international business, understanding these cultural variations helps managers navigate negotiations, marketing strategies, and employee relations effectively. Failing to account for cultural differences can lead to misunderstandings, inefficiencies, and lost business opportunities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 78. The French government charges a 25 percent tax on all American fruits and vegetables that are brought into France.

This tax collected by French authorities is a(n): a. direct investment b. license c. export tariff d. import tariff ANSWER: d RATIONALE: Import tariffs, which are the most common, can be levied to protect domestic companies by increasing the cost of foreign goods.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.4 - Discuss the international environment of management.

ECTIVES: STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREATED 4/7/2025 2:10 AM : DATE MODIFIED 4/7/2025 2:56 AM : 79. Accords reached by governments in which countries voluntarily limit the volume or value of goods they export to or import from one another are known as what type of agreements? a. service-level b. licensing c. export restraint Copyright Cengage Learning. Powered by Cognero.

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d. strategic alliance ANSWER: c RATIONALE: Export restraint agreements are designed to convince other governments to limit voluntarily the volume or value of goods exported to or imported from a particular country.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 80. Almonds United Inc., a U.S. company that produces almonds, is based in California. Almonds United ensures that most of its product is sold in the local market and no more than 20 percent is sold in the Indian market each year. This is in accordance with the U.S. government’s voluntary limit on trade with India. Which of the following best describes the action Almonds United is following? a. export restraint agreement b. direct investment c. strategic alliance d. licensing agreement ANSWER: a RATIONALE: Export restraint agreements are designed to convince other governments to limit voluntarily the volume or value of goods exported to or imported from a particular country.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 81. The government of Westeria has made it mandatory that all local publishers must use paper made in Westeria itself.

Which of the following best describes this restriction imposed by Westeria on its publishers? a. "ban maquiladoras" policy b. "buy national" legislation c. export restraint agreement d. "go global" strategy ANSWER: b RATIONALE: “Buy national” legislation gives preference to domestic producers through content or price restrictions.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO2.4 - Discuss the international environment of management.

TIVES: STATE STANDARD United States - AK - DISC: Environmental Influence S: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 82. Which of the following statements about organizational culture is true? a. Organizational culture shapes the behavior of employees, and mpacts organizational effectiveness. b. Organizational culture is frequently and easily changed by most organizations. c. Organizational culture will necessarily be the same throughout an organization's subunits. d. Organizational culture refers to the cultural and artistic charities that an organization supports.

ANSWER: a RATIONALE: Culture is a powerful force in organizations, one that can shape the firm’s overall effectiveness and long-term success.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLES: False LEARNING OBJE LO2.5 - Describe the importance and determinants of an CTIVES: organization’s culture.

STATE STANDAR United States - AK - DISC: Legal Responsibilities - D - DISC: Legal DS: Responsibilities - DISC: Legal Responsibilities ACCREDITING S BUSPROG: Diversity TANDARDS: TOPICS: The Organization’s Culture KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 83. An American company is in a joint venture with a company in the Middle East. The U.S. managers are particular about time management and appointments for conference calls and meetings, while their Middle Eastern counterparts do not necessarily adhere to schedules. This variation in time management is an aspect of which of the following environments? a. legal b. cultural c. technologica l d. political ANSWER: b RATIONALE: One significant contextual challenge for the international managers is the cultural environment and how it affects business. For example, in the United States, most managers clearly agree about the value of time.

Other cultures do not put such a premium on time.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 84. A company is planning to export electronics to a country that has a quota on the number of electronics units allowed for import each year. How might this quota affect the company’s export strategy?

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a. The company can freely increase exports without any restrictions. b. The company may need to reduce the number of electronics they export to comply with the quota. c. The company can sell an unlimited number of electronics without worrying about market limits. d. The company will be able to bypass the quota by selling directly to consumers.

ANSWER: b RATIONALE: Since quotas limit the number or value of goods that can be traded, the company must adjust its export volume to align with the restrictions set by the importing country. This may require reducing the number of electronics exported or finding ways to work within the established limits.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 85. What is a tax collected on goods shipped across national boundaries? a. quota b. tariff c. allowance d. remuneratio n ANSWER: b RATIONALE: A tariff is a tax collected on goods shipped across national boundaries.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO2.4 - Discuss the international environment of management.

STATE STANDARDS: United States - AK - DISC: Environmental Influence ACCREDITING STANDAR BUSPROG: Analytic | Technology - BUSPROG: Analytic Copyright Cengage Learning. Powered by Cognero.

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DS: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

The International Environment of Management Bloom's: Remember 4/7/2025 2:10 AM 4/7/2025 2:56 AM

86. In international trade, which of the following is typically designed to ensure that domestic competitors will be able to maintain a certain market share? a. licensing fee b. royalty c. tariff d. quota ANSWER: d RATIONALE: The quota amount is typically designed to ensure that domestic competitors will be able to maintain a certain market share.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO2.4 - Discuss the international environment of management.

CTIVES: STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED 4/7/2025 2:56 AM : 87. What are used to convince other governments to voluntarily limit their exports, and are, in effect, export quotas? a. Export restraint agreements b. Export licensing agreements c. Service-level agreements d. Export tariffs ANSWER: a RATIONALE: Export restraint agreements are designed to convince other governments to limit voluntarily the volume or value of goods exported to or imported from a particular country. They are, in effect, export quotas.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 88. How can a government give preference to domestic producers through content or price restrictions? a. “Buy national” legislation b. Global regulations c. Federal acquisition regulation d. Trade agreements legislation ANSWER: a RATIONALE: “Buy national” legislation gives preference to domestic producers through content or price restrictions.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO2.4 - Discuss the international environment of management.

TIVES: STATE STANDARD United States - AK - DISC: Environmental Influence S: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:10 AM DATE MODIFIED: 4/7/2025 2:56 AM 89. Which of the following statements about the European Union is true? a. It dictates the internal organizational culture. b. It is an economic community. c. It is the strategic alliance. d. It a form of labor union across Europe.

ANSWER: b RATIONALE: An international economic community is a set of countries that agree to Copyright Cengage Learning. Powered by Cognero.

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markedly reduce or eliminate trade barriers among member nations. The first of these economic communities is the European Union.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 90. Which of the following was an agreement among the United States, Canada, and Mexico to promote trade with one another? a. North American Free Trade Agreement b. North Atlantic Treaty Organization c. General Agreement on Tariffs and Trade d. Transatlantic Free Trade Agreement ANSWER: a RATIONALE: The North American Free Trade Agreement (NAFTA) was an agreement among the United States, Canada, and Mexico designed to promote trade by reducing tariffs and trade barriers. This agreement was later replaced by the United States-Mexico-Canada Agreement (USMCA) in 2020, which updated provisions and included new regulations to further facilitate trade between the three countries. Both NAFTA and USMCA aim to enhance economic cooperation and reduce restrictions on trade in North America.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 91. An international agreement that involves a set of countries agreeing to significantly reduce or eliminate trade barriers among member nations is known as: a. commonwealth b. trade bloc c. economic community d. customs union ANSWER: c RATIONALE: An international economic community is a set of countries that agree to markedly reduce or eliminate trade barriers among member nations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO2.4 - Discuss the international environment of management.

JECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:10 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 92. Which of the following is a determinate of an organization's culture? a. The extended benefits provided by an organization b. Corporate success and shared experiences c. The regulations for work performance set by an organization d. The strategic partners of an organization ANSWER: b RATIONALE: Organizational culture is the set of values, beliefs, behaviors, customs, and attitudes that helps the organization’s members understand what it stands for, how it does things, and what it considers important. Its starting point is often the organization's founder. Corporate success and shared experiences also shape culture.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

STATE STAND United States - AK - DISC: Legal Responsibilities ARDS: ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:10 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 93. Unicorn Designs Inc., a software company, requires its employees to wear a specific color every day of the week. The colors for the weekdays are presently orange, red, green, yellow, and blue, respectively. The colors are changed from time to time and the employees are informed about it. The colors should be visible and could be on anything, such as scarves, bags, ties, or socks. According to the management, the color coding system makes the company a vibrant and fun place to work. This decision of the management affects the: a. company’s economic dimension b. task environment c. technological dimension d. organizational culture ANSWER: d RATIONALE: Organizational culture is the set of values, beliefs, behaviors, customs, and attitudes that helps the organization’s members understand what it stands for, how it does things, and what it considers important.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

STATE STAND United States - AK - DISC: Legal Responsibilities ARDS: ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization’s Culture KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 2:56 AM ED: 94. Which of the following trade agreement intended to promote international trade by reducing trade barriers and making it easier for all nations to compete in international markets? a. Sarbanes–Oxley Act b. Export Restraint Agreement c. North American Free Trade Agreement (NAFTA) d. General Agreement on Tariffs and Trade (GATT) ANSWER: d RATIONALE: The GATT is a trade agreement intended to promote international trade by reducing trade barriers and making it easier for all nations to compete in international markets.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 95. What replaced the General Agreement on Tariffs and Trade (GATT) and absorbed its mission in 1995? a. European Union (EU) b. International Trade Centre (ITC) c. World Trade Organization (WTO) d. United Nations Conference on Trade and Development (UNCTAD) ANSWER: c RATIONALE: The World Trade Organization (WTO) came into existence on January 1, 1995. The WTO replaced the GATT and absorbed its mission.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJ LO2.4 - Discuss the international environment of management.

ECTIVES: STATE STANDA United States - AK - DISC: Environmental Influence RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 96. Where does an organization's culture often originate from? a. Societal norms and expectations b. Pressure applied through mergers c. With the organization's founder d. Resolution of disputes between rival factions ANSWER: c RATIONALE: Organizational culture is the set of values, beliefs, behaviors, customs, and attitudes that helps the organization’s members understand what it stands for, how it does things, and what it considers important. Typically, it develops and blossoms over a long period of time. Its starting point is often the organization’s founder.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization’s Culture KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 97. Which of the following is true of the World Trade Organization (WTO)? a. The WTO establishes impartial procedures for resolving trade disputes among its members. b. The WTO requires members to limit their markets in international trade.

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c. The WTO replaced the GATT and dismissed its mission. d. The WTO focuses too narrowly on human rights and the environment.

ANSWER: a RATIONALE: A basic goal of the WTO is to establish impartial procedures for resolving trade disputes among its members. Members are required to open their markets to international trade and to follow WTO rules.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 98. Which of the following is true of organizational culture? a. Organizational culture is maintained by rewarding behaviors that align with it. b. Corporate success and shared experiences have a limited effect on organizational culture. c. Organizational culture is always consistent throughout each of the divisions of an organization. d. An organization's culture is not necessarily affected by the growth of rival factions within the organization.

ANSWER: a RATIONALE: Culture can be maintained by rewarding and promoting people whose behaviors are consistent with the existing culture and by articulating the culture through slogans, ceremonies, and so forth.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

STATE STAND United States - AK - DISC: Legal Responsibilities ARDS: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization’s Culture KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 99. Which trade agreement practices use the most favored nation principle, under which members of the agreement receive preferential treatment? a. World Trade Organization (WTO) b. European Union c. General Agreement on Tariffs and Trade (GATT) d. Export restraint agreement ANSWER: c RATIONALE: One key component of the GATT was the identification of the so-called most favored national (MFN) principle. This provision stipulates that if a country extends preferential treatment to any other nation that has signed the agreement, then that preferential treatment must be extended to all signatories to the agreement.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 100. Excessive transportation costs, government regulations, and home production costs might lead a firm to choose what approach to internationalization? a. Exporting b. Importing c. Licensing d. Direct investment ANSWER: c RATIONALE: A company may prefer to arrange for a foreign company to manufacture Copyright Cengage Learning. Powered by Cognero.

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or market its products under a licensing agreement. Factors leading to this decision may include excessive transportation costs, government regulations, and home production costs. Licensing is an arrangement whereby a firm allows another company to use its brand name, trademark, technology, patent, copyright, or other assets in return for royalties.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 101. What is a key disadvantage of licensing agreements as an approach to internationalization? a. Cultural dysfunction b. Tariffs c. Political risks d. Inflexibility ANSWER: d RATIONALE: Licensing is an arrangement whereby a firm allows another company to use its brand name, trademark, technology, patent, copyright, or other assets. Inflexibility and competition are the main disadvantages to licensing.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 2:56 AM ED: 102. Dezmon Co., a small parts manufacturer, is looking for quick entry into foreign markets with access to materials available in those markets. Which approach to internationalization would best fit their needs? a. Exporting b. Licensing c. Strategic alliances d. Direct investment ANSWER: c RATIONALE: In a strategic alliance, two or more firms jointly cooperate for mutual gain. A joint venture is a special type of strategic alliance in which the partners actually share ownership of a new enterprise.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.4 - Discuss the international environment of management.

BJECTIVES: ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The International Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 103. An organization’s culture: a. is focused on customer satisfaction b. can become a weakness c. is based on the needs of the customer d. is found throughout the organization ANSWER: b RATIONALE: Managers must walk a fine line between maintaining a culture that still works effectively and changing a culture that has become dysfunctional.

A dysfunctional company culture may become a weakness if left unmanaged.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 104. Determinants of organizational culture include: a. shared experiences b. corporate governance c. whistle-blowing d. ethical compliance ANSWER: a RATIONALE: Corporate success and shared experiences also shape culture.

Organizational culture is the set of values, beliefs, behaviors, customs, and attitudes that helps the organization’s members understand what it stands for, how it does things, and what it considers important.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 105. Which of the following is true of organizational culture? a. It does not vary across organizations. b. Its point of origin is the organization’s chief competitor. c. It is not influenced by corporate success d. It consists of a firm’s set of values and beliefs.

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ANSWER: RATIONALE:

d Organizational culture refers to the shared values, beliefs, norms, and practices that guide behavior within an organization. It is shaped by the company’s leadership, history, and the experiences of its employees, and directly influences how employees interact, make decisions, and align with the organization’s goals. Unlike other factors, such as corporate success or competitors, organizational culture is defined by the internal values and beliefs that the organization upholds.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 106. Culture can be maintained by: a. writing a code of ethics b. growth of rival factions in an organization c. through slogans and ceremonies d. emphasizing competition among divisions ANSWER: c RATIONALE: As an organization grows, its culture is modified, shaped, and refined by symbols, stories, heroes, slogans, and ceremonies.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO2.5 - Describe the importance and determinants of an ECTIVES: organization’s culture.

ACCREDITING S BUSPROG: Diversity TANDARDS: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED 4/7/2025 2:56 AM : 107. After a merger between two companies, employees from both organizations experience challenges in working together due to differing values and norms. What should management do to address the cultural problems arising from the merger? a. Encourage employees to continue following their original company’s values and norms. b. Implement a strict policy that forces employees to adopt one company’s culture. c. Facilitate workshops and discussions to integrate values and promote mutual understanding between employees. d. Ignore the cultural differences and focus solely on operational efficiency.

ANSWER: c RATIONALE: Culture problems sometimes arise from mergers or the growth of rival factions within an organization. Cultural problems are common in merger situations, as it can be difficult to integrate the values and norms that have deep and long roots in two separate organizations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 108. What is an effective way to establish one common vision and direction when organizations with different cultural norms merge? a. Recognize that cultural change can only be achieved by replacing the top leaders of both firms. b. Promote employees whose behaviors are consistent with the desired culture c. Reinforce the slogans and ceremonies that made each group successful. d. Promote internal competition among divisions.

ANSWER: b RATIONALE: Organizational culture can be maintained by rewarding individuals who demonstrate an understanding of the direction the company is going.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLE False S: LEARNING OB LO2.5 - Describe the importance and determinants of an organization’s JECTIVES: culture.

ACCREDITING BUSPROG: Diversity STANDARDS: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 2:56 AM D: 109. In a single organization, members of the sales staff always wear business attire, while the product development staff dresses more casually. What does this illustrate? a. Management does not have control over employee behavior. b. Some employees refuse to follow rules c. The culture is consistent throughout the organization. d. The same culture is not found throughout the organization.

ANSWER: d RATIONALE: The rules can be different for different departments. The same culture is not necessarily found throughout an entire organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO2.5 - Describe the importance and determinants of an organization’s ECTIVES: culture.

ACCREDITING BUSPROG: Diversity STANDARDS: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 2:11 AM : DATE MODIFIE 4/7/2025 2:56 AM D: 110. Which of the following is accurate regarding organizational culture? a. It is intangible in nature. b. It can be quantifiably measured. c. It is best to maintain it even if it appears to become dysfunctional. d. It should be consistent throughout the organization.

ANSWER: a RATIONALE: Culture is important, but it is intangible in nature. The manager must understand the current culture and then decide whether it should be Copyright Cengage Learning. Powered by Cognero.

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maintained or changed. By understanding the organization’s current culture, managers can take appropriate actions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization's Culture KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 111. Define the internal environment of an organization and describe its four major elements.

ANSWER: An organization’s internal environment consists of conditions and forces within the organization. It consists of an organization's owners, board of directors, employees, and physical work environment.

Owners: The owners of a business are, of course, the people who have legal property rights to that business. Owners can be a single individual who establishes and runs a small business, partners who jointly own the business, individual investors who buy stock in a corporation, or other organizations.

Board of Directors: A corporate board of directors is a governing body that is elected by the stockholders and charged with overseeing a firm’s general management to ensure that it is run to best serve the stockholders’ interests.

Some boards are relatively passive: They perform a general oversight function but seldom get actively involved in how the company is really run. But this trend is changing as more and more boards scrutinize the firms they oversee and exert more influence over how they are being managed.

Employees: An organization’s employees are also a major element of its internal environment. Of particular interest to managers today is the changing nature of the workforce, which is becoming increasingly more diverse in terms of gender, ethnicity, age, and other dimensions. Workers are also calling for more job ownership—either partial ownership in the company or at least more say in how they perform their jobs. Another trend in many firms is increased reliance on temporary workers—individuals hired for short periods of time with no expectation of permanent employment.

Physical Work Environment: A final part of the internal environment is the organization’s actual physical environment and the work that people do. Some firms have their facilities in downtown skyscrapers, usually spread across several floors. Others locate in suburban or rural settings and may have facilities more closely resembling a college campus. Some facilities have long halls lined Copyright Cengage Learning. Powered by Cognero.

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with traditional offices. Others have modular cubicles with partial walls and no doors.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO2.1 - Discuss the nature of an organization’s environments and the BJECTIVES: components of its general, task, and internal environments.

STATE STAND United States - AK - DISC: Environmental Influence ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Organization's Environments KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:25 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 112. Discuss the arguments for and against social responsibility on the part of organizations.

ANSWER: People who argue in favor of social responsibility claim that—because organizations create many of the problems that need to be addressed, such as air and water pollution and resource depletion—organizations should play a major role in solving them. They also argue that, because corporations are legally defined entities with most of the same privileges as private citizens, businesses should not try to avoid their obligations as citizens. Advocates of social responsibility point out that, whereas governmental organizations have stretched their budgets to the limit, many large businesses often have surplus revenues that could be used to help solve social problems.

Some people argue that widening the interpretation of social responsibility will undermine the U.S. economy by detracting from the basic mission of business: to earn profits for owners.

Another objection to increasing the social responsibility of businesses reflects the position that corporations already wield enormous power and that involvement in social programs gives them even more power. Still another argument against social responsibility focuses on the potential for conflicts of interest.

Finally, critics argue that organizations lack the expertise to understand how to assess and make decisions about worthy social programs. How can a company truly know which cause or program is most deserving of its support or how money might best be spent?

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: STUDENT EN Basic TRY MODE: LEARNING O LO2.2 - Describe managerial ethics and the ethical environment of BJECTIVES: management.

NATIONAL ST United States - BUS PROG: Ethics ANDARDS: STATE STAND United States - AK - DISC: Ethical Responsibilities ARDS: ACCREDITIN BUSPROG: Ethics G STANDARD S: TOPICS: The Ethical and Social Environment of Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:26 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED: 113. What is organizational culture? Discuss the importance, determinants, and management of organization culture.

Organizational culture is the set of values, beliefs, behaviors, customs, and ANSWER: attitudes that helps the organization’s members understand what it stands for, how it does things, and what it considers important.

The Importance of Organizational Culture: Culture determines the organization’s “feel.” A strong and clear culture can play an important role in the competitiveness of a business. At the same time, though, there is no universal culture that will help all organizations. The same culture is not necessarily found throughout an entire organization. For example, the sales and marketing department may have a culture quite different from that of the operations and manufacturing department. Regardless of its nature, however, culture is a powerful force in organizations, one that can shape the firm’s overall effectiveness and long-term success. Companies that can develop and maintain a strong culture tend to be more effective than companies that have trouble developing and maintaining a strong culture.

Determinants of Organizational Culture: Typically, organizational culture develops and blossoms over a long period of time. Its starting point is often the organization’s founder. As an organization grows, its culture is modified, shaped, and refined by symbols, stories, heroes, slogans, and ceremonies. Corporate success and shared experiences also shape culture.

Management of Organizational Culture: Essentially, the manager must understand the current culture and then decide whether it should be maintained or changed. By understanding the organization’s current culture, managers can take appropriate actions. Culture can also be maintained by rewarding and promoting people whose behaviors are consistent with the existing culture and by articulating the culture through slogans, ceremonies, and so forth. Managers must walk a fine line, however, between maintaining a culture that still works effectively and changing a culture that has become dysfunctional. Culture problems sometimes arise from mergers Copyright Cengage Learning. Powered by Cognero.

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or the growth of rival factions within an organization. To change culture, managers must have a clear idea of what they want to create.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO2.5 - Describe the importance and determinants of an organization’s BJECTIVES: culture.

STATE STAND United States - AK - DISC: Legal Responsibilities ARDS: ACCREDITIN BUSPROG: Diversity G STANDARD S: TOPICS: The Organization’s Culture KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:26 AM ED: DATE MODIFI 4/7/2025 2:56 AM ED:

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Chapter 03 - Planning and Strategic Management 1. What is an organization’s statement of its fundamental, unique purpose that sets a business apart from other firms of its type and identifies the scope of the business’s operations in product and market terms? a. Mission b. Code of ethics c. Vision d. Operational goal ANSWER: a RATIONALE: An organization's mission is a statement of an organization’s fundamental, unique purpose that sets a business apart from other firms of its type and identifies the scope of the business’s operations in product and market terms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 2. Nutrimax Inc. defines its purpose as "to produce the finest cookies in the world while upholding our principles of promoting good health and maintaining environmental sustainability." What is another term for this statement? a. Strategic goal b. Distinctive competence c. Mission statement d. Operational goal ANSWER: c RATIONALE: An organization's mission statement is a statement of an organization’s fundamental, unique purpose that sets a business apart from other firms of its type and identifies the scope of the business’s operations in product and market terms.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 3. Which statement is true about strategic goals? a. They are set by an organization's middle managers. b. They are set by first-line managers. c. Their focus is on short-term issues. d. They focus on broad and general issues.

ANSWER: d RATIONALE: They focus on broad, general issues.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO3.1 - Summarize the planning process and organizational goals.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STANDARD BUSPROG: Analytic S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 4. Who sets a company’s strategic goals? a. First-line managers b. Middle managers c. Top managers d. Stockholders ANSWER: c RATIONALE: Strategic goals are goals set by and for an organization’s top management.

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POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES LO3.1 - Summarize the planning process and organizational : goals.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STANDA BUSPROG: Analytic RDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 5. Which goals are set for and by lower-level managers in your organization? a. Strategic b. Tactical c. Operational d. Organizational ANSWER: c RATIONALE: Operational goals are goals set by and for an organization’s lower-level managers.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO3.1 - Summarize the planning process and organizational ES: goals.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STAND BUSPROG: Analytic ARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 6. You are responsible for building the day-to-day work schedules for your team. You assign specific tasks and design activities based on the objectives given by senior leadership. What type of goals are you working on? a. Operational b. Organizational c. Strategic d. Divestiture ANSWER: a RATIONALE: Operational goals are goals set by and for an organization’s lower-level managers. Their concern is with shorter-term issues associated with the tactical goals.

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DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 7. Which statement is true about tactical goals? a. Their focus is on how to operationalize actions. b. Their focus is on broad and long-term issues. c. They are set by and for top managers. d. They are set by and for the board of directors.

ANSWER: a RATIONALE: Tactical goals are set by and for middle managers. Their focus is on how to operationalize actions necessary to achieve strategic goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO3.1 - Summarize the planning process and organizational goals.

ECTIVES: STATE STANDA United States - AK - DISC: Strategy RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 3:09 AM D: 8. You and your top management team at Redd Inc. are developing a plan to reduce production costs to gain a competitive advantage. What type of plan are you creating?

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a. Strategic b. Tactical c. Operational d. Contingenc y ANSWER: a RATIONALE: A strategic plan is a general plan outlining decisions about the resource allocation, priorities, and action steps necessary to reach strategic goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO3.1 - Summarize the planning process and organizational goals.

JECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFI 4/7/2025 3:09 AM ED: 9. What type of goal would a waste management plant set if it aims to "identify barriers to recycling, find ways to overcome them, determine recycling rates by neighborhood, and analyze correlations between barriers and neighborhoods," building on a strategic goal to increase recycling by 10%? a. Strategic b. Departmenta l c. Functional d. Tactical ANSWER: d RATIONALE: Tactical goals are goals set by and for an organization’s middle managers. Their focus is on how to operationalize actions necessary to achieve the strategic goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 10. What type of goal are the top managers of a company setting if they plan to increase the profitability of all outlets by 15 percent within two years? a. Tactical b. Strategic c. Nonspecifi c d. Divestiture ANSWER: b RATIONALE: Strategic goals are set by and for an organization’s top management. They focus on broad, general issues.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.1 - Summarize the planning process and organizational goals.

TIVES: STATE STANDARD United States - AK - DISC: Strategy S: ACCREDITING ST BUSPROG: Analytic | Technology - BUSPROG: Analytic ANDARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 11. What type of plan outlines decisions about resource allocation, priorities, and action steps necessary to achieve the goals set by top managers? a. Recovery b. Strategic c. Operationa l d. Tactical ANSWER: b RATIONALE: A strategic plan is a general plan outlining decisions about resource allocation, priorities, and action steps necessary to reach strategic goals.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO3.1 - Summarize the planning process and organizational goals.

JECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 3:09 AM D: 12. Strategic plans__________________. a. focus on how to operationalize actions necessary to achieve goals b.are concerned more with actually getting things done than with deciding what to do c. generally have an extended time horizon, and address questions of scope, resource deployment, competitive advantage, and synergy d.typically involve upper and middle management and have a somewhat shorter time horizon and a more specific and concrete focus ANSWER: c RATIONALE: Strategic plans are long-term, high-level frameworks that guide an organization's overall direction, typically spanning several years. They focus on broad objectives such as defining the organization's scope, determining how resources will be allocated, identifying competitive advantages, and ensuring synergy across different business units. Unlike operational or tactical plans, which focus on short-term execution and concrete actions, strategic planning emphasizes big-picture priorities and long-term growth.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 13. What type of plan are the top managers and board of directors at Venus Corp. creating as they discuss resource allocation, priorities, and action steps to achieve the corporation’s goal of increasing profitability by 15 percent over the next five years? a. Strategic b. Tactical c. Operational d. Contingenc y ANSWER: a RATIONALE: Strategic plans are developed to achieve strategic goals. More precisely, a strategic plan is a general plan outlining decisions about resource allocation, priorities, and action steps necessary to reach strategic goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 14. A difference between tactical and strategic plans is that________________. a. tactical plans have a more concrete focus b. tactical plans are set for and by the board of directors c. tactical plans have broader time horizons d. strategic plans are developed by first-line managers ANSWER: a RATIONALE: A tactical plan, aimed at achieving tactical goals, is developed to implement specific parts of a strategic plan. Tactical plans typically involve upper and middle management and compared with strategic plans, have a somewhat shorter time horizon and a more specific and concrete focus.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 15. What type of plans have a short-term focus and are relatively narrow in scope? a. Corporate b. Tactical c. Operational d. Contingenc y ANSWER: c RATIONALE: An operational plan focuses on carrying out tactical plans to achieve operational goals. Developed by middle- and lower-level managers, operational plans have a short-term focus and are relatively narrow in scope.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 3:09 AM ED: 16. Tactical goals are set by________________. a. first-line managers b. middle managers c. assembly-line managers d. stockholders ANSWER: b RATIONALE: Tactical goals are set by and for middle managers. Their focus is on how to operationalize actions necessary to achieve the strategic goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO3.1 - Summarize the planning process and organizational goals.

JECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 3:09 AM D: 17. Operational goals are concerned with ______________. a. shorter-term issues associated with the tactical goals b. longer-term issues associated with the tactical goals c. shorter-term issues associated with the strategic plan d. longer-term issues associated with the strategic plan ANSWER: a RATIONALE: Operational goals are set by and for lower-level managers. Their concern is with shorter-term issues associated with the tactical goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO3.1 - Summarize the planning process and organizational goals.

ECTIVES: STATE STANDA United States - AK - DISC: Strategy Copyright Cengage Learning. Powered by Cognero.

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RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 3:09 AM D: 18. Which of the following is used to provide a source of motivation for an organization's employees? a. Mission b. Goals c. Strategic plans d. Operational plans ANSWER: b RATIONALE: Goals can serve as a source of motivation for an organization's employees. Goals that are specific and moderately difficult can motivate people to work harder, especially if attaining the goal is likely to result in rewards.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 19. Which is considered the first step in the planning process? a. Setting strategic goals b. Understanding the environment c. Establishing a mission d. Developing a strategic plan ANSWER: b RATIONALE: Managers must develop a complete and thorough understanding of the environmental context to determine the organization's mission and to Copyright Cengage Learning. Powered by Cognero.

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develop its strategic, tactical, and operational goals and plans. If managers do not understand this context, they are unable to develop effective plans. Thus, understanding the environment is essentially the first step in planning.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 20. What is one reason an organization would have organizational goals? a. To implement corporate plans b. To establish an organization-wide culture c. To set a unified direction for employees d. To replace other evaluation processes ANSWER: c RATIONALE: Goals serve four important purposes. people in the organization. Goals can help everyone understand where the organization is going and why getting there is important.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: Copyright Cengage Learning. Powered by Cognero.

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21. What does goal setting serve as for you if achieving your manager’s goals increases your chances of receiving a bonus? a. A way to evaluate effectiveness b. Broad, long-term ideals c. A source of motivation d. Identification of tactical plans ANSWER: c RATIONALE: Goal setting serves as a powerful motivator, especially when achieving specific objectives is tied to personal rewards, such as a bonus. In this scenario, aligning with your manager’s goals provides a clear incentive to perform well, as it directly impacts your potential financial gain.

Motivation theories, such as expectancy theory, suggest that individuals are more likely to put in effort when they see a direct link between their actions and desirable outcomes. By setting goals that are meaningful and rewarding, employees are encouraged to stay focused, work harder, and contribute effectively to organizational success.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.1 - Summarize the planning process and organizational goals.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 22. Due to an explosion at a supplier's plant, you will no longer be able to achieve goals set by their division manager.

What should you remember about goals? a. Goals are fixed and cannot be adjusted once set. b. If goals are not met, the mission must be changed. c. Goals focus only on general issues, not specific issues. d. Goals are targets, not absolute objectives.

ANSWER: d RATIONALE: It is important to remember that goals are targets, not necessarily absolute objectives that must be attained.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.1 - Summarize the planning process and organizational goals.

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TIVES: ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: Planning and Organizational Goals KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 23. What is the component of a strategy that specifies the range of markets in which an organization will compete? a. Divestiture b. Competency c. Scope d. Resource deployment ANSWER: c RATIONALE: The scope of a strategy specifies the range of markets in which an organization will compete.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO3.2 - Discuss the components of strategy and the types of VES: strategic alternatives.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STAN BUSPROG: Reflective Thinking DARDS: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 24. In the scenario about Gadgetbug Inc., what is its unique after-purchase service that sets it apart from competitors? a. Distinctive competence b. Divestiture strategy c. Strategic limitation d. Process loss ANSWER: a RATIONALE: A distinctive competence is an organizational strength possessed by only a small number of competing firms.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.2 - Discuss the components of strategy and the types of TIVES: strategic alternatives.

STATE STANDARD United States - AK - DISC: Strategy Copyright Cengage Learning. Powered by Cognero.

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S: ACCREDITING ST BUSPROG: Reflective Thinking ANDARDS: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 25. What is a way to develop strategies to take advantage of business opportunities and challenges? a. Supply-chain management b. Value migration c. Distinctive competence d. Strategic management ANSWER: d RATIONALE: Strategic management is a comprehensive and ongoing management process aimed at formulating and implementing effective, comprehensive plans.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 26. What component of a strategy is illustrated when Zing Inc. decides to use profits from its clothing outlets to invest in its shoe business? a. Resource deployment b. Project scope c. Distinctive competence d. Process charts ANSWER: a RATIONALE: How an organization distributes its resources across the areas in which it competes is known as resource deployment.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO3.2 - Discuss the components of strategy and the types of CTIVES: strategic alternatives.

STATE STANDAR United States - AK - DISC: Strategy DS: ACCREDITING S BUSPROG: Reflective Thinking TANDARDS: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 27. Which strategy promotes a superior alignment between the organization and its environment and the achievement of strategic goals? a. Distinctiv e b. Competen t c. Effective d. Tactical ANSWER: c RATIONALE: Effective strategies are those that promote a superior alignment between the organization and its environment and the achievement of strategic goals.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: Copyright Cengage Learning. Powered by Cognero.

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28. Business-level strategy is the set of_______________. a. decisions an organization makes about how it will distribute its resources b. strategic alternatives from which an organization chooses as it manages simultaneous operations c. processes involved in creating or determining an organization’s strategies d. strategic alternatives an organization chooses to conduct business in a particular industry ANSWER: d RATIONALE: Business-level strategy is the set of strategic alternatives from which an organization chooses as it conducts business in a particular industry or market. Such alternatives help the organization focus its competitive efforts for each industry or market in a targeted and focused manner.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 29. Alba Motorbikes is known for its heavyweight motorcycles. The company places emphasis on the quality of the bikes and after-sale service. The brand also enjoys customer loyalty. What does this scenario describe? a. Distinctive competence b. Operational plan c. Focus strategy d. Organizational threats ANSWER: a RATIONALE: A distinctive competence is an organizational strength possessed by only a small number of competing firms. It is something the organization does exceptionally well.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 30. The choices a firm makes as to where and how much to invest reflect issues of___________. a. goal setting b. distinctive competencies c. resource deployment d. operational planning ANSWER: c RATIONALE: The choices a firm makes as to where and how much to invest reflect issues of resource deployment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO3.2 - Discuss the components of strategy and the types of IVES: strategic alternatives.

STATE STANDARD United States - AK - DISC: Strategy S: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 31. Which question is most closely related to the scope component of a strategy? a. How much money should we invest in each of our divisions? b. What are the markets in which we want to compete? c. What feedback have we received from customers about our product? d. What are the strengths and weaknesses of our competitors?

ANSWER: b RATIONALE: The scope of a strategy specifies the range of markets in which an organization will compete.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO3.2 - Discuss the components of strategy and the types of VES: strategic alternatives.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 32. Which type of strategy is the set of strategic alternatives from which an organization chooses as it manages its operations simultaneously across several industries and several markets? a. Corporate-level b. Business-level c. Operational-level d. Resource deployment ANSWER: a RATIONALE: Corporate-level strategy is the set of strategic alternatives from which an organization chooses as it manages its operations simultaneously across several industries and several markets.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 33. An organizational strength that is possessed by only a small number of competing firms is a firm's________. a. distinctive competence b. mission Copyright Cengage Learning. Powered by Cognero.

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c. scope d. strategy ANSWER: a RATIONALE: A distinctive competence is something the organization does exceptionally well. It is an organizational strength that is possessed by only a small number of competing firms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 34. Strategy formulation is the_______________. a. set of decisions an organization makes about how it will distribute its resources b. method by which strategies are operationalized or executed c. set of processes for determining the strategies that will be used by an organization d. process of evaluating an organizations strengths and weaknesses ANSWER: c RATIONALE: Strategy formulation is the set of processes involved in creating or determining an organization’s strategies. It focuses on the content of strategies.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO3.2 - Discuss the components of strategy and the types of strategic JECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Nature of Strategic Management Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFI 4/7/2025 3:09 AM ED: 35. What do organizations use to operationalize or execute strategies while they focus on the processes through which strategies are achieved? a. Strategy implementation b. Strategy mapping c. Strategy formulation d. Strategy visualization ANSWER: a RATIONALE: Strategy implementation is the method by which strategies are operationalized or executed within the organization; it focuses on the processes through which strategies are achieved.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 36. In which way do organizations determine alternatives for working in a particular industry or market? a. By setting operational goals b. By setting business-level strategies c. By developing corporate-level strategies d. By outlining resource allocation and action steps ANSWER: b RATIONALE: Business-level strategy is the set of strategic alternatives from which an organization chooses as it conducts business in a particular industry or market. Such alternatives help the organization focus its competitive efforts for each industry or market in a targeted and focused manner.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 37. What is the advantage of setting business-level strategies? a. Ability to manage several markets at once b. Ability to adjust to changes in the environment quickly c. Ability to focus efforts in a targeted manner d. Ability to manage shorter-term issues ANSWER: c RATIONALE: Business-level strategy is the set of strategic alternatives from which an organization chooses as it conducts business in a particular industry or market. Such alternatives help the organization focus its competitive efforts for each industry or market in a targeted and focused manner.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 38. What does an organization use to manage its operations across several industries and markets simultaneously? a. Corporate-level strategy Copyright Cengage Learning. Powered by Cognero.

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b. Tactical plans c. SWOT analysis d. Distinctive competence ANSWER: a RATIONALE: Corporate-level strategy is the set of strategic alternatives from which an organization chooses as it manages its operations simultaneously across several industries and several markets.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 39. What specifies the range of markets in which an organization will compete? a. Distinctive competence b. Business-level strategy c. Scope d. Resource deployment ANSWER: c RATIONALE: When applied to strategy, the scope specifies the range of markets in which an organization will compete.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.2 - Discuss the components of strategy and the types of TIVES: strategic alternatives.

ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM

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40. You have found that selling gluten-free products at your bakery has been an effective strategy and allowed you to achieve some strategic sales goals. Which of the following makes this an effective strategy for you? a. SWOT analysis b. Strong resource deployment c. Better identification of the scope of your competition d. Superior alignment with your environment ANSWER: a RATIONALE: A SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) helps businesses evaluate internal and external factors that impact their success. In this case, identifying the demand for gluten-free products and leveraging it as a successful strategy aligns with recognizing an opportunity in the market. By conducting a SWOT analysis, you may have determined that gluten-free offerings align with consumer preferences (opportunity), leverage your bakery’s strengths, and help differentiate your business from competitors.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.2 - Discuss the components of strategy and the types of strategic BJECTIVES: alternatives.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Nature of Strategic Management KEYWORDS: Bloom's: Analyze DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 41. The starting point in formulating strategies is usually_________. a. SWOT analysis b. resource deployment c. divesting d. deskilling ANSWER: a RATIONALE: The starting point in formulating strategy is usually SWOT (strengths, weaknesses, opportunities, and threats) analysis. SWOT analysis is a careful evaluation of an organization’s internal strengths and weaknesses as well as its environmental opportunities and threats.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 42. In the context of SWOT analysis, which would be considered an organization's strength? a. Existing competitors b. High overhead costs c. Favorable government policies d. Motivated employees ANSWER: d RATIONALE: Organizational strengths are skills and capabilities that enable an organization to create and implement its strategies. Strengths may include things like a deep pool of managerial talent, surplus capital, a unique reputation and/or brand name, and well-established distribution channels.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 43. Which would be considered an organizational weakness in the context of SWOT analysis? a. Insufficient cash reserves Copyright Cengage Learning. Powered by Cognero.

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b. Government policies c. A unique reputation d. Motivated employees ANSWER: a RATIONALE: Organizational weaknesses are skills and capabilities that do not enable an organization to choose and implement strategies that support its mission. Poor labor relations, a reputation for indifferent customer service, and insufficient cash reserves are all examples of organizational weaknesses.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 44. What are the unique skills and capabilities that enable an organization to create and implement its strategies? a. Market opportunities b. Organizational opportunities c. Organizational strengths d. Environmental strengths ANSWER: c RATIONALE: Organizational strengths are skills and capabilities that enable an organization to create and implement its strategies. They include things like a deep pool of managerial talent, surplus capital, a unique reputation and/or brand name, and well-established distribution channels.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 45. Which is an organizational strength? a. High employee turnover b. High production costs c. Well-established distribution channels d. High purchasing power of customers ANSWER: c RATIONALE: Strengths may include things like a deep pool of managerial talent, surplus capital, a unique reputation and/or brand name, and wellestablished distribution channels.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 46. Which is an internal factor that hinders a company’s ability to choose and implement strategies that support its mission? a. Organizational weakness b. Organizational threat c. Market threat d. Process gain ANSWER: a RATIONALE: Organizational weaknesses are skills and capabilities that do not enable Copyright Cengage Learning. Powered by Cognero.

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an organization to choose and implement strategies that support its mission. An organization has essentially two ways of addressing weaknesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 47. Which is an area in an organization's environment that, if exploited, may generate higher performance? a. Organizational opportunity b. Economic downswing c. Organizational strength d. Process gain ANSWER: a RATIONALE: Organizational opportunities are areas in an organization that generate higher performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO3.3 - Describe how to use SWOT analysis in formulating VES: strategy.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 48. What are organizational opportunities? a. Areas in the environment that may generate higher performance b. An organization's skills that enable it to implement strategies Copyright Cengage Learning. Powered by Cognero.

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c. A firm's capabilities to formulate goals and plans d. Factors that increase the difficulty of an organization performing at a high level ANSWER: a RATIONALE: Organizational opportunities are areas that may generate higher performance. Organizational strengths are skills and capabilities that enable an organization to create and implement its strategies.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 49. The area that increases the difficulty of an organization performing at a high level is a_____. a. threat b. differentiation strategy c. lack of resource deployment d. weakness ANSWER: a RATIONALE: An organizational threat is an area that increases the difficulty of an organization performing at a high level.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.3 - Describe how to use SWOT analysis in formulating strategy.

TIVES: ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM

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50. Curl Up and Dye is a local hair salon that has a steady clientele from the surrounding community. However, a new salon has just opened in the area, and some clients have mentioned that the new salon offers similar services at lower prices. Curl Up and Dye now needs to pursue a strategy that will________________. a. narrow the target market b. revise internal operating procedures c. pursue new investment opportunities d. neutralize the impending threat ANSWER: d RATIONALE: The new salon introduces a threat in the organization's external environment. Curl Up and Dye's business-level strategy will need to address this challenge to maintain or improve performance. Revising internal operating procedures addresses internal conditions, but it does not address the new external threat.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 51. Which scenario best demonstrates effectively leveraging organizational strengths to support strategic goals? a. A technology company with strong software development capabilities decides to enter the fashion industry to diversify its portfolio. b.A retail chain with a well-established distribution network expands its product offerings by adding a private-label brand. c. A small startup with limited financial resources invests heavily in a nationwide marketing campaign without securing additional funding. d.A restaurant known for its traditional menu shifts to an entirely new cuisine without researching customer preferences.

ANSWER: b RATIONALE: This scenario aligns with the concept that organizational strengths should support strategic goals. A retail chain leveraging its strong distribution network to introduce a private-label brand demonstrates how an organization uses its existing skills and capabilities to enhance its competitive advantage. Unlike the other options, which involve misaligned strategies or uncalculated risks, this choice reflects an effective application of organizational strengths in decision-making.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 52. Why is it important to identify weaknesses in a SWOT analysis? a. To exploit them b. To correct them c. To neutralize threats d. To focus on strengths ANSWER: b RATIONALE: In SWOT analysis, the best strategies accomplish an organization's mission by (1) exploiting an organization's opportunities and strengths while (2) neutralizing its threats and (3) avoiding (or correcting) its weaknesses.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 53. What is one of the main purposes of a SWOT analysis? a. To identify distinctive competencies Copyright Cengage Learning. Powered by Cognero.

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b. To better understand competitors c. To develop a mission d. To identify common strengths ANSWER: a RATIONALE: A main purpose of SWOT analysis is to discover an organization's distinctive competencies so that the organization can choose and implement strategies that exploit its unique organizational strengths.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 54. What is a potential downfall when using a SWOT analysis? a. Weak mission statement b. Subjective assessment c. Lack of distinctive competencies d. Lack of differentiation strategy ANSWER: b RATIONALE: Managers should recognize that SWOT analysis is partially based on perceptions and subjective assessment and may, therefore, not lead to expected options.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 55. Why do organizations have a difficult time focusing on weaknesses? a. They may focus on the wrong context for assessing internal strengths. b. They tend to be subjective in nature. c. They often replace organizational strengths. d. They might indicate poor managerial skills.

ANSWER: d RATIONALE: In practice, organizations have a difficult time focusing on weaknesses, in part because organization members are often reluctant to admit that they do not possess all the skills and capabilities needed. Evaluating weaknesses also calls into question the judgment of managers who chose the organization's mission and strategy in the first place and who failed to invest in the skills and capabilities needed to accomplish it.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 56. When a firm identifies a weakness within its organization, what can it do to address that weakness? a. It can look for organizational opportunities that will eliminate the weakness. b. It can modify its objectives for strengths. c. It can develop a distinctive competence. d. It can modify its mission.

ANSWER: d RATIONALE: An organization has essentially two ways of addressing weaknesses.

First, it may need to make investments to obtain the strengths required to implement strategies that support its mission. Second, it may need to modify its mission so that it can be accomplished with the skills and capabilities that the organization already possesses.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 57. You make custom-made leather handbags and wallets in a small shop. You are known for fine leather products and hand stitching, as well as the lifetime warranty offers on your products. Your items are expensive, and you have no desire to increase the size of the shop. What should you develop within the shop? a. Distinctive competence b. Organizational opportunities c. Cost leadership strategy d. Product life cycle ANSWER: a RATIONALE: A distinctive competence is a strength possessed by only a small number of competing firms. Distinctive competencies are rare among a set of competitors.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.3 - Describe how to use SWOT analysis in formulating strategy.

BJECTIVES: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Using SWOT Analysis to Formulate Strategy KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 58. You and your team at Hydraliscious, a juice brand that offers a wide range of fruit juices made exclusively with organic ingredients, have built a reputation for high quality. Even though your juices are more expensive than those of other brands, customers continue to buy them for their superior quality. What type of strategy are you most likely using? a. Differentiation Copyright Cengage Learning. Powered by Cognero.

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b. Costleadership c. Divesting d. Bundle pricing ANSWER: a RATIONALE: An organization that pursues a differentiation strategy seeks to distinguish itself from competitors through the quality (broadly defined) of its products or services.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 59. When your organization aims to stand out among competitors by emphasizing the quality of its products or services, what type of strategy are you using? a. Differentiation b. Divesting c. Anticompetitive d. Cost-leadership ANSWER: a RATIONALE: An organization that pursues a differentiation strategy seeks to distinguish itself from competitors through the quality (broadly defined) of its products or services. Firms that successfully implement a differentiation strategy are able to charge more than competitors because customers are willing to pay more to obtain the extra value they perceive.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

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STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 60. Which of the following statements is true about a differentiation strategy? a. It enables a firm to sell products at lower prices and still make profits. b. It enables a firm to charge more for its products. c. It is aimed at reducing production costs by using inexpensive raw materials. d. It involves making simple, low-priced products for the mass market.

ANSWER: b RATIONALE: An organization that pursues a differentiation strategy seeks to distinguish itself from competitors through the quality (broadly defined) of its products or services. Firms that successfully implement a differentiation strategy are able to charge more than competitors because customers are willing to pay more to obtain the extra value they perceive.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 61. Which of the following is most closely associated with an overall cost leadership strategy? a. Manufacturing highly-customized products b. Manufacturing products in bulk Copyright Cengage Learning. Powered by Cognero.

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c. Using expensive raw materials d. Selling products at high prices ANSWER: b RATIONALE: An organization implementing an overall cost leadership strategy attempts to gain a competitive advantage by reducing its costs below the costs of competing firms. By keeping costs low, the organization is able to sell its products at low prices and still make a profit.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 62. You manage a large shoe company with a strong online customer base. Your company produces a high volume of shoes and sells simply designed sneakers at low prices. Many customers choose your brand because the shoes are durable and affordable. Which strategy are you using? a. Overall cost leadership b. Market diversification c. Differentiation d. Divesting ANSWER: a RATIONALE: An organization implementing an overall cost leadership strategy attempts to gain a competitive advantage by reducing its costs below the costs of competing firms. By keeping costs low, the organization is able to sell its products at low prices and still make a profit.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 63. You own a bicycle manufacturing company that sells a line of mountain bikes designed for experienced off-road cyclists. To stand out from competitors, you have introduced several innovations. Which strategy are you using? a. Overall cost leadership strategy b. Differentiation strategy c. Focus strategy with differentiation focus d. Focus strategy with cost leadership focus ANSWER: c RATIONALE: A firm pursuing a focus strategy concentrates on a specific regional market, product line, or group of buyers. This strategy may have either a differentiation focus or a cost leadership focus. This scenario depicts a differentiation focus.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 64. Which type of strategy is a firm using when it concentrates on a specific regional market, product line, or group of buyers? a. Overall cost leadership b. Divesting c. Restraint of trade Copyright Cengage Learning. Powered by Cognero.

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d. Focus ANSWER: RATIONALE:

d A firm pursuing a focus strategy concentrates on a specific regional market, product line, or group of buyers. This strategy may have either a differentiation focus, whereby the firm differentiates its products in the focus market, or an overall cost leadership focus, whereby the firm manufactures and sells its products at low cost in the focus market.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 65. You are the owner of Supertech Inc., a large firm that manufactures mobile phone accessories. Your company sells a line of inexpensive accessories exclusively targeted at youth and teenagers who like to personalize their phones. Which strategy are you using in this scenario? a. Differentiation b. Focus c. Restraint of trade d. Anticompetitive ANSWER: b RATIONALE: A firm pursuing a focus strategy concentrates on a specific regional market, product line, or group of buyers. This strategy may have either a differentiation focus, whereby the firm differentiates its products in the focus market, or an overall cost leadership focus, whereby the firm manufactures and sells its products at low cost in the focus market.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

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STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 66. During the introduction phase of the product life cycle____________. a. companies must sacrifice product quality b. most companies tend to downsize c. demand may be very high d. competition is at its peak ANSWER: c RATIONALE: In the introduction stage, demand may be very high and sometimes outpaces the firm’s ability to supply the product. At this stage, managers need to focus their efforts on “getting product out the door” without sacrificing quality.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 67. During the growth stage of the product life cycle____________ a. most companies downsize b. the demand is the lowest c. competitors start exiting the industry d. more firms begin producing the product Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d During the growth stage, more firms begin producing the product, and sales continue to grow. Important management issues include ensuring quality and delivery and beginning to differentiate an organization’s product from competitors’ products.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 68. During the maturity stage of the product life cycle_____________ a. most companies start hiring more employees b. the overall demand growth for a product begins to slow down c. the sales volume is the highest d. more competitors enter the industry ANSWER: b RATIONALE: After a period of growth, products enter a third phase. During this maturity stage, overall demand growth for a product begins to slow down, and the number of new firms producing the product begins to decline.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 69. WexAll Industries has noticed a decline in demand for its RB37 product. At the same time, the number of competitors producing similar products has decreased, and no new companies are entering the market. In which stage of the product life cycle is the RB37? a. Growth b. Post-prime c. Introduction d. Maturity ANSWER: d RATIONALE: During the maturity stage, overall demand growth for a product begins to slow down, and the number of new firms producing the product begins to decline. The number of established firms producing the product may also begin to decline.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 70. During the decline stage of the product life cycle_______. a. demand peaks b. new competitors enter the industry c. sales drop d. managers must increase production costs ANSWER: c RATIONALE: An organization implementing an overall cost leadership strategy attempts to gain a competitive advantage by reducing its costs below the costs of competing firms.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 71. Which strategy can help companies survive during the decline stage of the product life cycle? a. Increasing production costs b. Manufacturing the products frequently and in smaller quantities c. Avoiding differentiation strategies d. Developing new products or services ANSWER: d RATIONALE: Organizations that fail to anticipate the decline stage in earlier stages of the life cycle may go out of business. Those that differentiate their product, keep their costs low, or develop new products or services may do well during this stage.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 3:09 AM ED: 72. Which strategy can help companies during the maturity stage of a product life cycle? a. Manufacturing in smaller quantities b. Drastically increasing product prices c. Focusing on keeping costs low d. Sacrificing the quality of products ANSWER: c RATIONALE: Product differentiation concerns are still important during the maturity stage, but keeping costs low and beginning the search for new products or services are also important strategic considerations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 73. Why are strategies to slow the entry of competitors especially important during the early stages of the product life cycle? a. Growth b. Introduction c. Decline d. Maturity ANSWER: a RATIONALE: Entry into an industry during the growth stage may threaten an organization’s competitive advantage; thus, strategies to slow the entry of competitors are important.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 74. Which of the following strategies will help companies succeed during the growth stage of a product cycle? a. Increasing overhead costs b. Focusing on developing new products or services c. Sacrificing product quality d. Focusing on creating product differentiation ANSWER: d RATIONALE: Important management issues during the growth stage include ensuring quality and delivery and beginning to differentiate an organization’s product from competitors’ products.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 75. You manage product strategy for SuperWheels, a major bicycle manufacturer. Your company sells a line of basic children's bicycles targeted at a specific market segment. Because of economies of scale, your production costs per unit are very low, allowing you to price these bicycles lower than competitors. Which strategy does this scenario best illustrate? a. Focus strategy with cost leadership focus Copyright Cengage Learning. Powered by Cognero.

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b. Cost leadership strategy with differentiation focus c. Focus strategy with differentiation focus d. Differentiation strategy ANSWER: a RATIONALE: A firm pursuing a focus strategy concentrates on a specific regional market, product line, or group of buyers. This strategy may have either a differentiation focus or a cost leadership focus. This scenario depicts a cost leadership focus.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 76. Why is it critical for an organization to understand that eventually a product will go into the decline stage? a. To prepare to find replacement products b. To meet demand while maintaining quality c. To determine how to eliminate competitors d. To stay in business ANSWER: d RATIONALE: Organizations that fail to anticipate the decline stage in earlier stages of the life cycle may go out of business. Those that differentiate their product, keep their costs low, or develop new products or services may do well during this stage.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 77. In which way can managers use information from the product life cycle? a. To determine which products are not logically associated with others b. To determine which strategies for products need to evolve c. To reduce overhead and administrative costs within the organization d. To shift the focus strategy to more specific regional markets ANSWER: b RATIONALE: The product life cycle is a model that outlines the stages a product goes through from its introduction to its decline in the market. These stages— introduction, growth, maturity, and decline—illustrate how sales volume typically changes over time. The cycle helps businesses anticipate changes in demand, allowing them to adjust their marketing, production, and pricing strategies accordingly. By understanding where a product is within its life cycle, companies can plan for growth or prepare for the eventual phase-out of a product.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 78. What is used to show how sales volume of a product can change over time? a. Product life cycle b. Diversification c. Single-product strategy d. Differentiation ANSWER: a RATIONALE: The product life cycle is a model that shows how sales volume changes over the life of products. Understanding the four stages in the product life Copyright Cengage Learning. Powered by Cognero.

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cycle helps managers recognize that strategies need to evolve over time.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 79. Most grocery stores carry a wide variety of national brands in addition to their own private-label brands. The privatelabel brands are often made by the same national brands they are competing with. Which type of strategy is a firm using when it creates a lower-priced private-label brand in addition to its other, higher-priced brands? a. Cost leadership b. Focus c. Differentiation d. Distinctive competence ANSWER: a RATIONALE: An overall cost leadership strategy is a strategy in which an organization attempts to gain a competitive advantage by reducing its costs below the costs of competing firms.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: Copyright Cengage Learning. Powered by Cognero.

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80. What can a company achieve by using simple product design along with efficient high-volume manufacturing capacity? a. Differentiation b. Overall cost leadership c. Profitability d. Focus strategy ANSWER: b RATIONALE: In an overall cost leadership strategy, an organization attempts to gain a competitive advantage by reducing the costs below the costs of competing firms. In a differentiation strategy, an organization seeks to distinguish itself from competitors through the quality of its products or services.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 81. Which term describes the number of different businesses an organization is involved in and the degree of their relatedness? a. Entropy b. Diversification c. Divestiture d. Competency ANSWER: b RATIONALE: The most important strategic issue at the corporate level concerns the extent and nature of organizational diversification. Diversification describes the number of different businesses that an organization is engaged in and the extent to which these businesses are related to one another.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 82. An organization that pursues a single-product strategy____________. a. clusters related products in a single strategic business unit b. manufactures a range of related products c. uses a single marketing strategy for all its products d. operates in a single geographic market ANSWER: d RATIONALE: An organization that pursues a single-product strategy manufactures just one product or service and sells it in a single geographic market.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO3.5 - Describe various alternative approaches to corporate-level JECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Reflective Thinking STANDARDS: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 3:09 AM D: 83. Aries Inc. manufactures both dairy products and detergents, representing an example of what type of diversification? a. Horizontal b. Unrelated c. Single-product d. Related ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Unrelated diversification is a strategy in which an organization operates multiple businesses that are not logically associated with one another.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO3.5 - Describe various alternative approaches to corporate-level JECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Reflective Thinking STANDARDS: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 3:09 AM D: 84. Which technique can be used by diversified organizations to determine the businesses to engage in and how to manage them to maximize corporate performance? a. Divestiture b. Portfolio management c. Process gain d. Optimization ANSWER: b RATIONALE: Portfolio management techniques are methods that diversified organizations use to determine in which businesses to engage and how to manage these businesses to maximize corporate performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 3:09 AM ED: 85. In a Boston Consulting Group (BCG) matrix, which type of business has only a small share of a quickly growing market? a. Star b. Question mark c. Entropy d. Dog ANSWER: b RATIONALE: Question marks are businesses that have only a small share of a quickly growing market. The future performance of these businesses is uncertain.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO3.5 - Describe various alternative approaches to corporate-level JECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFI 4/7/2025 3:09 AM ED: 86. In a BCG matrix, which type of business has a very small share of a market that is not expected to grow? a. Question mark b. Cow c. Star d. Dog ANSWER: d RATIONALE: Dogs are businesses that have a very small share of a market that is not expected to grow.

POINTS: 1 DIFFICULTY: Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO3.5 - Describe various alternative approaches to corporateCopyright Cengage Learning. Powered by Cognero.

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VES: level strategy formulation.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 87. In the context of the BCG matrix, which type of business has the largest share of a rapidly growing market? a. Question mark b. Star c. Cow d. Dog ANSWER: b RATIONALE: Stars are businesses that have the largest share of a rapidly growing market. Cash generated by cash cows should be invested in stars to ensure their preeminent position.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 88. In a BCG matrix, which type of business has a large share of a market that is not expected to grow substantially? a. Star b. Cash cow c. Dog d. Question mark ANSWER: b RATIONALE: Cash cows are businesses that have a large share of a market that is not expected to grow substantially. These businesses characteristically Copyright Cengage Learning. Powered by Cognero.

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generate high profits that the organization should use to support question marks and stars.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 89. Which is a portfolio management technique that considers industry attractiveness and competitive position rather than focusing solely on market growth and market share? a. BCG Matrix b. SWOT analysis c. Product diversification d. The GE Business Screen ANSWER: d RATIONALE: The GE Business Screen is a portfolio management technique that considers industry attractiveness and competitive position rather than focusing solely on market growth and market share.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 90. What label is used by BOTH the BCG matrix and the GE Business Screen to identify a classification of businesses? a. Losers b. Winners c. Profit producers d. Question marks ANSWER: d RATIONALE: The BCG matrix classifies the types of businesses in which a diversified organization can engage as dogs, cash cows, question marks, and stars.

The GE Business Screen classifies business units as winners, losers, question marks, average businesses, or profit producers. The only label in common is question marks.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 91. In the GE Business Screen matrix, which is a determinant of industry attractiveness? a. Market share b. Market size c. Product quality d. Operating costs ANSWER: b RATIONALE: In the GE Business Screen matrix, the characteristics of industry attractiveness are market growth, market size, capital requirements, and competitive intensity. Product quality is a characteristic of the industry's competitive position.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 92. What is an advantage of unrelated diversification over related diversification? a. Reduced overhead costs b. Lower economic risk c. The ability to achieve stable performance over time d. The ability to exploit strengths in multiple businesses ANSWER: c RATIONALE: A business that uses this strategy should be able to achieve stable performance over time. This is not an advantage of related diversification. All of the other options are advantages of related diversification, but unrelated diversification may benefit from them as well.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: Copyright Cengage Learning. Powered by Cognero.

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93. In the context of the GE Business Screen, a determinant of an organization's competitive position is_____________. a. capital requirements b. market growth c. product quality d. market size ANSWER: c RATIONALE: Determinants of an organization’s competitive position in an industry (besides market share) include technological know-how, product quality, service network, price competitiveness, and operating costs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 94. Reducing an organization’s dependence on any one of its business activities and therefore its economic risk is an example of which type of strategy? a. Single-product b. Single-service c. Divestiture d. Related diversification ANSWER: d RATIONALE: Pursuing a strategy of related diversification reduces an organization’s dependence on any one of its business activities and thus reduces economic risk.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 95. Which type of strategy do firms use when managing multiple businesses that are not logically connected to each other? a. A single-business unit b. Unrelated diversification c. Entropy d. Distinctive competencies ANSWER: b RATIONALE: Firms that implement a strategy of unrelated diversification operate multiple businesses that are not logically associated with one another.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO3.5 - Describe various alternative approaches to corporate-level JECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 3:09 AM D: 96. According to the GE Business Screen, a business with a service network and low operating costs is likely to be_____. a. in a favorable competitive position b. more attractive c. a cash cow d. a star Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

a In general, businesses with large market share, technological know-how, high product quality, a quality service network, competitive prices, and low operating costs are in a favorable competitive position.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 97. A friend is managing the diversification of divisions for her organization. They want to monitor how to engage and manage subsidiaries to maximize corporate performance. What should your friend use to track this information? a. Portfolio management techniques b. Internal development capabilities c. Vertical integration mechanisms d. Merger and acquisition competencies ANSWER: a RATIONALE: Portfolio management techniques are methods that diversified organizations use to determine which businesses to engage in and how to manage these businesses to maximize corporate performance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 3:09 AM ED: 98. A manufacturing company sells just one type of product in the local marketplace. The staff works hard to ensure its product is successful, even though there really are no other companies that compete with it. Which type of strategy does the company use? a. Single-product b. Focus c. Differentiation d. Cash cow ANSWER: a RATIONALE: An organization that pursues a single-product strategy manufactures just one product or service and sells it in a single geographic market. By concentrating its efforts so completely on one product and market, a firm is likely to be very successful in manufacturing and marketing that product. Because it has staked its survival on a single product, the organization works very hard to make sure that the product is a success.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 99. You work for a firm that specializes in oil and gas products. During the last recession, one of the business units lost considerable income, but other parts of the business were healthy enough to offset that loss. Which type of corporate strategy was your company using? a. Single-product b. Related diversification c. Unrelated diversification d. Differentiation ANSWER: b RATIONALE: Pursuing a strategy of related diversification has three primary advantages. First, it reduces an organization's dependence on any one of its business activities and thus reduces economic risk. Even if one or two of a firm's businesses lose money, the organization as a whole may Copyright Cengage Learning. Powered by Cognero.

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still survive because the healthy businesses will generate enough cash to support the others.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 100. According to the BCG matrix, what should a company do with the cash that is generated by cash cows? a. Return it to shareholders. b. Invest it in question marks. c. Invest it in stars. d. Use it to incentivize employees.

ANSWER: c RATIONALE: Cash generated by cash cows should be invested in stars to ensure their preeminent position.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO3.5 - Describe various alternative approaches to corporateVES: level strategy formulation.

STATE STANDARDS: United States - AK - DISC: Strategy ACCREDITING STAN BUSPROG: Analytic DARDS: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 101. According to the BCG matrix, what should a company do with a question mark? a. Invest in it aggressively. b. Invest the cash it generates into stars. c. Hold it but stop investing in it.

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d. Invest in it carefully.

ANSWER: d RATIONALE: The BCG matrix suggests that organizations should invest carefully in question marks. If their performance does not live up to expectations, question marks should be reclassified as dogs and divested.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 102. What type of plan focuses primarily on people and action? a. Tactical b. Strategic c. Diversified d. Corporate-level ANSWER: a RATIONALE: Strategy focuses on resources, environment, and mission, whereas tactics focus primarily on people and action.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO3.6 - Discuss how tactical plans are developed and implemented.

CTIVES: ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: Tactical Planning KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 103. In contrast to strategic plans, tactical plans must_________. a. specify resources and time frames.

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b. be developed independently of the internal business environment. c. be developed independently of the external business environment. d. be more general and broadly based.

ANSWER: a RATIONALE: Although strategies are often stated in general terms, tactics must specify resources and time frames.

POINTS: 1 DIFFICULTY: Comprehension QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.6 - Discuss how tactical plans are developed and TIVES: implemented.

STATE STANDARD United States - AK - DISC: Strategy S: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: Tactical Planning KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 104. Which statement is true about a tactical plan? a. It is an organized sequence of steps designed to execute strategic plans. b. It is exclusively developed by the board of directors. c. It is broader and more nonspecific when compared to a strategic plan. d. It is developed independently of the external business environment.

ANSWER: a RATIONALE: A tactical plan is a plan aimed at achieving tactical goals and developed to implement parts of a strategic plan. It is an organized sequence of steps designed to execute strategic plans.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.6 - Discuss how tactical plans are developed and implemented.

BJECTIVES: STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Tactical Planning KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 3:09 AM ED: 105. What does the ultimate success of a tactical plan depend on? a. The way it is carried out b. The use of unrelated diversification c. The number of people involved d. The use of related diversification ANSWER: a RATIONALE: The ultimate success of a tactical plan depends on the way it is carried out POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES LO3.6 - Discuss how tactical plans are developed and : implemented.

ACCREDITING STANDA BUSPROG: Reflective Thinking RDS: TOPICS: Tactical Planning KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 106. What does proper execution of tactical plans depend on? a. Maximizing inconsistent activities b. A SWOT analysis c. Vertical and horizontal communication d. Maximizing conflict ANSWER: c RATIONALE: Proper execution of tactical plans depends on vertical and horizontal communication.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO3.6 - Discuss how tactical plans are developed and ES: implemented.

ACCREDITING STAND BUSPROG: Reflective Thinking ARDS: TOPICS: Tactical Planning KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM Copyright Cengage Learning. Powered by Cognero.

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107. Bonafide Fresh offers an expanding brand of personal care products made with all-natural ingredients. Your company has an organizational goal to increase the number of product lines. Which is the best example of a tactical plan for achieving this objective? a. Increasing efforts over the next year to develop a line of children's skin protection products b. Introducing six new product lines to the marketplace over the next two years c. Eliminating cash cows and question marks from the portfolio d. Increasing production of the company's most popular toothpaste ANSWER: a RATIONALE: Tactical plans, devised to carry out a strategic plan, clearly determine resources that are to be used and a timeline for completion. Supporting new product development efforts with organizational resources over a 12-month period is a valid tactical plan to increase the company's number of product lines.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.6 - Discuss how tactical plans are developed and implemented.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Tactical Planning KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 108. You are responding to a situation that does not happen often. A colleague suggests a tactical plan, but you are doubtful. Why wouldn't you use a tactical plan to resolve this situation? a. Tactical plans generally address several goals. b. The plan was exclusively developed by the board of directors. c. The organization would then have to change the mission. d. Performance could be improved with unrelated diversification.

ANSWER: a RATIONALE: The manager needs to recognize that tactical planning must address a number of tactical goals derived from a broader strategic goal. An occasional situation may call for a stand-alone tactical plan, but most of the time tactical plans flow from and must be consistent with a strategic plan.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO3.6 - Discuss how tactical plans are developed and implemented.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Tactical Planning KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 109. Why is it important that a manager continuously monitor ongoing activities tied to a tactical plan? a. To ensure they support standing plans b. To ensure they achieve desired results c. To ensure contingency plans are ready to be activated d. To describe exactly how activities should be carried out ANSWER: b RATIONALE: The manager must monitor ongoing activities derived from the plan to make sure they are achieving the desired results. This monitoring typically takes place within the context of the organization's ongoing control systems POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.6 - Discuss how tactical plans are developed and implemented.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Tactical Planning KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 110. Which of the following is a single-use plan for a large set of activities? It might consist of identifying procedures for introducing a new product line, opening a new facility, or changing the organization’s mission. a. Policy b. Standing plan c. Regulation d. Program Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d A program is a single-use plan for a large set of activities. It might consist of identifying procedures for introducing a new product line, opening a new facility, or changing the organization’s mission.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 111. Which of the following is an operational plan that is developed to carry out a course of action that is not likely to be repeated in the future? a. Policy b. Standing plan c. SOP d. Single-use plan ANSWER: d RATIONALE: A single-use plan is developed to carry out a course of action that is not likely to be repeated in the future.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.7 - Describe the basic types of operational plans used by TIVES: organizations.

STATE STANDARD United States - AK - DISC: Strategy S: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: Operational Planning KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM Copyright Cengage Learning. Powered by Cognero.

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112. What is the most general form of standing plan that specifies the organization’s general response to a designated problem or situation? a. Project b. Standard operating procedure c. Policy d. Program ANSWER: c RATIONALE: As a general guide for action, a policy is the most general form of standing plan that specifies an organization’s general response to a designated problem or situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 113. Which of the following may be part of a broader program, or it may be a self-contained single-use plan, as it is generally of less scope and complexity? a. Standard operating procedure b. Rule c. Project d. Regulation ANSWER: c RATIONALE: A project is similar to a program but is generally of less scope and complexity. A project may be a part of a broader program, or it may be a self-contained single-use plan.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 114. Venus Corp. prohibits its employees from smoking on its premises. This is an example of a____________. a. standard operating procedure b. rule c. program d. standing plan ANSWER: b RATIONALE: The narrowest of the standing plans, rules and regulations describe exactly how specific activities are to be carried out. Rather than guiding decision making, rules and regulations actually take the place of decision making in various situations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 115. You have a chain of outlets that sells baked products and require all your employees to complete a month's training before they can work in the kitchen. This is an example of what? a. Standard operating procedure Copyright Cengage Learning. Powered by Cognero.

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b. Contingency plan c. Regulation d. Policy ANSWER: a RATIONALE: An SOP is more specific than a policy, in that it outlines the steps to be followed in particular circumstances.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.7 - Describe the basic types of operational plans used by TIVES: organizations.

STATE STANDARD United States - AK - DISC: Strategy S: ACCREDITING ST BUSPROG: Reflective Thinking ANDARDS: TOPICS: Operational Planning KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 116. Libra Travels LLC has a few back-up buses at key locations where the business operates. This is to be prepared in case any of its day-tour buses break down. This is an example of what? a. Project b. Contingency plan c. Regulation d. Single-use plan ANSWER: b RATIONALE: A contingency plan is a plan that determines alternative courses of action to be taken if an intended plan of action is unexpectedly disrupted or rendered inappropriate.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 117. A standing plan that outlines the steps to be followed in a particular circumstance is called a____________. a. standard operating procedure b. single-use plan c. program d. contingency plan ANSWER: a RATIONALE: Another type of standing plan is the standard operating procedure (SOP). An SOP is more specific than a policy, in that it outlines the steps to be followed in particular circumstances.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 118. You are the head of the marketing department. Under your guidance, marketing supervisors have developed an operational plan to support the organization's goals. Stage 1 is a three-month national media blast to pump information into the market for the purpose of increasing brand awareness. This media blast has a narrow focus and involves only a few key activities, and it will not be repeated. Which type of single-use plan is the marketing department using at this stage? a. Policy b. Program c. Project d. Standing plan ANSWER: c RATIONALE: A project is a type of operational plan that is limited in scope and has a comparatively short time horizon.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO3.7 - Describe the basic types of operational plans used by TIVES: organizations.

ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: Operational Planning KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 119. The exact description of how specific activities are to be carried out would be found in which type of plan? a. Policy b. Single-use plan c. Rules and regulations d. Standard operating procedures ANSWER: c RATIONALE: The narrowest of the standing plans, rules and regulations describe exactly how specific activities are to be carried out.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO3.7 - Describe the basic types of operational plans used by CTIVES: organizations.

ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: Operational Planning KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 3:09 AM 120. Why do operational plans tend to be narrowly focused with short time horizons? a. They support tactical goals. b. They support contingencies. c. The environment in which they are used is increasingly complex. d. They take the place of decision making in some situations.

ANSWER: a RATIONALE: Operational plans are derived from tactical plans and are aimed at achieving operational goals. Thus, operational plans tend to be narrowly focused, have relatively short time horizons, and involve lower-level managers.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:09 AM ED: 121. You often use standing plans while managing inventory levels and ordering. Why are standing plans effective for this process? a. They are single-use plans that accommodate variances in orders. b. This is a large set of activities. c. Inventory and ordering occur regularly. d. There is less scope and complexity.

ANSWER: c RATIONALE: Whereas single-use plans are developed for nonrecurring situations, a standing plan is used for activities that recur regularly over a period of time. Standing plans can greatly enhance efficiency by rendering decision making routine.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO3.7 - Describe the basic types of operational plans used by BJECTIVES: organizations.

ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Operational Planning KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 3:10 AM ED: 122. Describe each of Porter’s three generic business-level strategies.

ANSWER: According to Michael Porter, organizations may pursue a differentiation, overall Copyright Cengage Learning. Powered by Cognero.

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cost leadership, or focus strategy at the business level.

An organization that pursues a differentiation strategy seeks to distinguish itself from competitors through the quality (broadly defined) of its products or services. Firms that successfully implement a differentiation strategy are able to charge more than competitors because customers are willing to pay more to obtain the extra value they perceive.

An organization implementing an overall cost leadership strategy attempts to gain a competitive advantage by reducing its costs below the costs of competing firms. By keeping costs low, the organization is able to sell its products at low prices and still make a profit.

A firm pursuing a focus strategy concentrates on a specific regional market, product line, or group of buyers. This strategy may have either a differentiation focus, whereby the firm differentiates its products in the focus market, or an overall cost leadership focus, whereby the firm manufactures and sells its products at low cost in the focus market.

POINTS: 1 QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:27 AM ED: DATE MODIFI 4/7/2025 3:10 AM ED: 123. Describe how the concept of product life cycle could be used as a framework for plotting different strategies over the life of a product.

ANSWER: The product life cycle is a model that shows how sales volume changes over the life of products. Understanding the four stages in the product life cycle helps managers recognize that strategies need to evolve over time.

In the introduction stage, demand may be very high and sometimes outpaces the firm’s ability to supply the product. At this stage, managers need to focus their efforts on “getting product out the door” without sacrificing quality. Managing growth by hiring new employees and managing inventories and cash flow are also concerns during this stage.

During the growth stage, more firms begin producing the product, and sales Copyright Cengage Learning. Powered by Cognero.

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continue to grow. Important management issues include ensuring quality and delivery and beginning to differentiate an organization’s product from competitors’ products. Entry into the industry during the growth stage may threaten an organization’s competitive advantage; thus, strategies to slow the entry of competitors are important.

After a period of growth, products enter a third phase. During this maturity stage, overall demand growth for a product begins to slow down, and the number of new firms producing the product begins to decline. The number of established firms producing the product may also begin to decline. This period of maturity is essential if an organization is going to survive. Product differentiation concerns are still important during this stage, but keeping costs low and beginning the search for new products or services are also important strategic considerations.

In the decline stage, demand for the product or technology decreases, the number of organizations producing the product drops, and total sales drop.

Demand often declines because all those who were interested in purchasing a particular product have already done so. Organizations that fail to anticipate the decline stage in earlier stages of the life cycle may go out of business. Those that differentiate their product, keep their costs low, or develop new products or services may do well during this stage.

POINTS: 1 QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO3.4 - Discuss various alternative approaches to business-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Business-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:28 AM ED: DATE MODIFI 4/7/2025 3:10 AM ED: 124. Discuss the advantages and disadvantages of unrelated diversification strategy.

Advantages of Unrelated Diversification ANSWER: 



Stable Performance Over Time: Unrelated diversification allows a firm to achieve more stable performance as businesses in different industries may be in different stages of their life cycle. While some businesses may be experiencing a decline, others could be in a growth phase, balancing out overall performance.

Resource Allocation Advantages: Firms implementing unrelated

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diversification can allocate capital, people, and resources more effectively across their businesses. With access to information about each business’s potential, the firm can make informed decisions on where to place resources to maximize returns and overall corporate performance.

Disadvantages of Unrelated Diversification 





Lack of Strategic Guidance: Corporate-level managers often lack indepth knowledge of the unrelated businesses, making it difficult to provide valuable strategic guidance or allocate capital effectively.

Managers may only focus on a business’s current performance, neglecting broader strategic planning.

Difficulty in Evaluating Investments: Due to insufficient understanding of the various businesses, managers may struggle to evaluate the economic importance of investments across the different units, leading to misallocation of resources.

Failure to Exploit Synergies: Firms that implement unrelated diversification miss out on potential synergies between businesses. This puts them at a competitive disadvantage compared to firms that use related diversification, where synergies can lead to more effective collaboration and cost savings.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO3.5 - Describe various alternative approaches to corporate-level BJECTIVES: strategy formulation.

STATE STAND United States - AK - DISC: Strategy ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Formulating Corporate-level Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:29 AM ED: DATE MODIFI 4/7/2025 3:10 AM ED:

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Chapter 04 - Managing Decision Making 1. Your company is considering two different marketing strategies: one that involves a high upfront investment with the potential for high returns, and another that requires a moderate investment but offers more predictable and steady returns.

Which of the following decision-making conditions best describes the situation, and what should your company consider when making the decision? a. Certainty: The company should choose the strategy with the more predictable returns since it minimizes risk. b.Risk: The company should use probability estimates to assess the likelihood of the high return strategy's success versus the steady returns’ strategy. c. Uncertainty: The company should rely on intuition and judgment to decide between the two strategies, given that there are too many unknown variables. d.Certainty: The company should choose the strategy with the high return potential to maximize profits without considering risks.

ANSWER: b RATIONALE: This situation involves conditions of risk, where the outcomes of each strategy are uncertain, but the probabilities of success for each alternative can be estimated based on past data or other factors. The company must weigh the potential returns against the likelihood of success for the high-risk strategy and compare it with the more stable, moderate investment strategy. This decision requires evaluating probabilities, making it a decision under risk rather than certainty or pure uncertainty.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 2. Which of the following statements is true about the decision-making process? a. It exclusively applies to problem situations. b. It requires that the nature of a particular situation be defined. c. It seldom applies to situations that are positive. d. It results in the generation of only one alternative.

ANSWER: b RATIONALE: The decision-making process includes recognizing and defining the nature of a decision situation, identifying alternatives, choosing the “best” Copyright Cengage Learning. Powered by Cognero.

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alternative, and putting it into practice.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 3. You are assessing multiple suppliers to determine which one can meet your supply needs at the most reasonable cost.

Which managerial process are you demonstrating? a. decision making b. optimizing c. rationalizing d. brainstorming ANSWER: a RATIONALE: Decision making is the process of identifying a problem or opportunity, evaluating possible alternatives, and selecting the best course of action.

Alex is actively analyzing different suppliers to make an informed choice, which directly reflects the decision-making process. This requires critical thinking, evaluation of trade-offs, and selecting an option that aligns with organizational goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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4. Which of the following statements is true about the process of decision making? a. It ends when the decision situation has been defined. b. It includes putting the chosen alternative to practice. c. The first step in the process is to identify alternatives to a problem. d. The process is said to be complete when a set of alternatives to a problem has been created.

ANSWER: b RATIONALE: The decision-making process includes recognizing and defining the nature of a decision situation, identifying alternatives, choosing the “best” alternative, and putting it into practice.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 5. Which type of decision is relatively structured or recurs with some frequency? a. custommade b. programmed c. unstructured d. intuitive ANSWER: b RATIONALE: A programmed decision is one that is routine, structured, and frequently encountered within an organization. These decisions follow established guidelines or procedures, making them easier to manage and predict.

Unlike unstructured or novel decisions, programmed decisions rely on past experiences and existing policies to streamline the decision-making process.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 6. Decisions regarding standard organizational transactions are most likely to be: a. unstructured. b. infrequent. c. programmed . d. intuitive.

ANSWER: c RATIONALE: Programmed decisions are those that deal with routine and recurring situations, such as standard organizational transactions. These decisions follow established policies, procedures, or rules, allowing managers to handle them efficiently without requiring extensive analysis. Unlike unstructured or intuitive decisions, programmed decisions rely on predefined guidelines to ensure consistency and efficiency.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 7. Each year, your company sponsors a football championship in Oriel. In July, you send a check to the Oriel Football Association (OFA) to support preparations for the event. What type of decision are you making? a. programme d b. unstructured c. intuitive d. contingency Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

a A programmed decision is one that follows a routine or established procedure. Since the regional manager makes the same decision annually based on a predetermined schedule, it qualifies as a programmed decision. These decisions typically involve recurring situations with clear guidelines, reducing the need for extensive evaluation each time the decision is made.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 8. When the low-indicator light turns red on the frozen drink machine, you follow an established set of procedures to refill, reset the machine, and reorder supplies. What type of decision are you making? a. programme d b. unstructured c. intuitive d. irrational ANSWER: a RATIONALE: A programmed decision involves routine, structured responses to recurring situations. Since Kareem follows a predefined procedure each time the machine indicates a low supply, this decision is considered programmed. These types of decisions help ensure consistency and efficiency in operations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 9. Which characteristic best describes a nonprogrammed decision? a. It is relatively more frequent than programmed decisions. b. It typically applies to basic operating systems and procedures. c. It requires more time and resources than programmed decisions. d. It is typically regarding daily organizational transactions.

ANSWER: c RATIONALE: Nonprogrammed decisions are made in unique or complex situations that do not have established procedures or guidelines. Because these decisions require careful analysis, evaluation of alternatives, and sometimes creative problem solving, they typically demand more time and resources than routine programmed decisions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 10. What type of decision do top managers make when involving strategy, such as mergers and acquisitions? a. frequent b. nonprogramme d c. programmed d. operational ANSWER: b RATIONALE: Strategic decisions, such as mergers and acquisitions, are complex and unique, requiring in-depth analysis and judgment. These decisions do not follow a set routine or established procedures, making them nonprogrammed decisions that demand significant time, resources, and expertise.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 11. How do nonprogrammed decisions compare to programmed decisions? a. They tend to be about basic operating systems and procedures. b. They generally deal with standard organizational transactions. c. They are less structured than programmed decisions. d. They occur more frequently than programmed decisions.

ANSWER: c RATIONALE: Nonprogrammed decisions involve unique, complex situations that do not have pre-established procedures. Unlike programmed decisions, which follow routine processes, nonprogrammed decisions require analysis, creativity, and critical thinking to address new or unexpected challenges.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED:

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12. Management at Venus Electronics Inc. needs to decide whether to launch an innovative new device created by R&D. What type of decision is this? a. structured b. nonprogramme d c. standard d. programmed ANSWER: b RATIONALE: Deciding whether to launch a new product is a unique and strategic decision that requires careful evaluation and judgment, making it a nonprogrammed decision. Nonprogrammed decisions typically involve complex, one-time situations that do not have established guidelines or routines.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 13. You have just received a counteroffer from the property management company regarding the lease of a new office.

You must decide whether to make a counteroffer with the potential of losing the deal or accept the offer. In which condition are you making this decision? a. risk b. certainty c. ambiguit y d. pressure ANSWER: a RATIONALE: You are making a decision under conditions of risk because the company faces the possibility of a favorable or unfavorable outcome based on their choice, but the potential outcomes are known. In this situation, the company understands the possible consequences of either accepting the offer or countering, but the exact outcome remains uncertain.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 14. Which of the following statements is true in the context of decision making under a state of risk? a. The decision maker clearly knows the alternatives. b. The decision maker uses probability estimates to assess alternatives. c. The decision maker is least likely to choose a bad alternative. d. The decision maker has an accurate understanding of payoffs of all the alternatives.

ANSWER: b RATIONALE: A state of risk is a condition in which the availability of each alternative and its potential payoffs and costs are all associated with probability estimates.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 15. A condition of certainty in decision making exists when: a. the decision maker has complete knowledge of all alternatives and their associated conditions. b. the decision maker faces unknown variables that may affect the outcome. c. the decision maker relies on probability estimates to determine the best course of action. d. the decision maker must choose between options with unpredictable consequences.

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ANSWER: RATIONALE:

a A condition of certainty in decision making exists when the decision maker has complete knowledge of all alternatives and their associated conditions. This clarity allows for making decisions with predictable outcomes, in contrast to situations involving risk or uncertainty, where some unknowns or variability are present.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 16. You are buying new laptops for your department, with preinstalled software used by the company. In this situation, you are making a decision under a condition of: a. imperfect information. b. ambiguity. c. risk. d. certainty.

ANSWER: d RATIONALE: The manager is making a decision under a condition of certainty because all necessary information is available about the laptops and the preinstalled software. There is little to no uncertainty, and the manager can predict the outcome based on the known details of the laptops and their alignment with the company's needs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 17. When decision makers do not know all the risks associated with each alternative or the likely consequences of each one, they are making decisions in a condition of: a. uncertainty. b. certainty. c. avoidance. d. risk.

ANSWER: a RATIONALE: In a condition of uncertainty, decision makers do not have enough information to fully understand the risks or consequences of each alternative. Unlike decisions made under certainty, where the outcomes are known, or under risk, where the probabilities of outcomes are known, uncertainty involves situations where the likelihood and impact of potential outcomes are unclear.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 18. Which of the following statements is true in the context of decision making under a condition of uncertainty? a. A decision maker greatly relies on intuition, judgment, and experience. b. A decision maker clearly knows all the risks associated with alternatives to a problem. c. A decision maker puts in least effort and uses a pre-determined structure for decision making. d. A decision maker is able to estimate the payoffs and risks associated with alternatives.

ANSWER: a RATIONALE: Most of the major decision making in contemporary organizations is done under a state of uncertainty, where the decision maker does not know all the alternatives, the risks associated with each, or the likely consequences of each alternative. Intuition, judgment, and experience always play major roles in the decision-making process under conditions Copyright Cengage Learning. Powered by Cognero.

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of uncertainty.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 19. Your professor needs to choose a biology textbook for their class. Both textbooks under consideration are known for the clarity and extensiveness of their content. When your professor chooses a textbook, they are making a decision in a state of: a. certainty b. irrationality c. risk d. imperfect information ANSWER: a RATIONALE: Your professor is making a decision in a state of certainty because all the relevant information about the two textbooks is known. Both options are understood to meet the necessary criteria, and there is no significant uncertainty regarding the outcome of choosing either textbook. The decision is straightforward based on the available knowledge.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 20. Managers are most prone to error in a condition of: a. certainty b. uncertainty c. risk d. rationality ANSWER: b RATIONALE: Managers are most prone to error in a condition of uncertainty because they lack complete information about the available alternatives and the potential consequences of each choice. The unknown factors increase the likelihood of making mistakes, as decisions are based on incomplete or unclear data.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 21. You, as a senior marketing manager, have estimated costs and forecasted sales for your company's new product.

However, there are many unknowns in both the new product development and market conditions that cannot be predicted.

You are making new product launch decisions under a condition of: a. risk. b. certainty. c. uncertainty. d. rationality.

ANSWER: c RATIONALE: The manager is making decisions under a condition of uncertainty because there are many unknowns in both the product development and market conditions that cannot be predicted. While estimates and forecasts are available, there are variables that remain outside the manager's control or ability to predict, making it a situation of uncertainty.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 22. What must a decision maker understand to make the most effective decision possible? a. the situation driving the decision b. feasible alternatives c. whether there is a problem d. who is affected by the decision ANSWER: a RATIONALE: Effective decision making requires that the decision maker understand the situation driving the decision. Most people would consider an effective decision to be one that optimizes some set of factors, such as profits, sales, employee welfare, and market share. In some situations, though, an effective decision may be one that minimizes losses, expenses, or employee turnover.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 23. What refers to a condition in which the availability of each alternative and its potential payoffs and costs are all associated with probability estimates? a. state of certainty b. state of risk c. state of uncertainty d. classical decision model Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b A state of risk is a condition in which the availability of each alternative and its potential payoffs and costs are all associated with probability estimates. When making decisions under a state of risk, managers must reasonably estimate the probabilities associated with each alternative.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 24. You are looking for ways to increase foot traffic into your brick-and-mortar locations. You have decided to open a small coffee shop with free Wi-Fi in your store. This is an example of which type of decision? a. nonprogramme d b. standard c. operational d. risk ANSWER: a RATIONALE: This scenario illustrates a nonprogrammed decision. Nonprogrammed decisions are relatively unstructured and occur much less often than programmed decisions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:49 AM ED: 25. Each summer, your local running club hosts a marathon and looks for sponsors to support the event. This year, they contacted your local water bottling plant. As the manager of the plant, you can see the benefits of this event, but the company has never participated in something like this. Which type of decision do you need to make about the potential sponsorship of the local marathon? a. nonprogrammed b. state of risk c. state of uncertainty d. programmed ANSWER: a RATIONALE: The manager of the bottling plant is making a nonprogrammed decision in this scenario. Nonprogrammed decisions are relatively unstructured and occur much less often than programmed decisions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 26. After winning a large contract, you need to decide how to staff the project. You are currently calculating the costs of hiring new employees, using overtime, and adding a second shift. At which stage of the decision-making process are you? a. defining the situation b. determining risk factors c. identifying alternatives d. executing the decision ANSWER: c RATIONALE: The manager is in the stage of identifying alternatives because they are exploring various staffing options—hiring new employees, using overtime, and adding a second shift. This step involves considering different courses of action to address the need for staffing.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 27. The classical decision model is a prescriptive approach, meaning that it: a. provides managers with alternatives. b. tells managers how they should make decisions. c. assumes all decisions are made subjectively. d. allows no room for flexibility.

ANSWER: b RATIONALE: The classical decision model is prescriptive because it outlines a structured process for decision making, providing a clear guide for how managers should approach decisions. It focuses on ideal decisionmaking steps, assuming that decisions can be made in a rational and objective manner.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 28. According to the classical decision model, decision makers: a. have complete information about the decision situation. b. are not able to eliminate uncertainty. c. choose solutions that are in their personal best Copyright Cengage Learning. Powered by Cognero.

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interests. d. never make errors even under uncertain conditions.

ANSWER: a RATIONALE: The classical decision model is a prescriptive approach to decision making that tells managers how they should make decisions; it assumes that managers are logical and rational and that their decisions will be in the organization’s best interests.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 29. The first step in rational decision making is: a. identifying alternatives. b. implementing an alternative. c. selecting the best alternative. d. recognizing and defining the decision situation.

ANSWER: d RATIONALE: Steps in rational decision making are as follows: recognize and define the decision situation; identify appropriate alternatives; evaluate each alternative in terms of its feasibility, satisfactoriness, and consequences; select the best alternative; implement the chosen alternative; and follow up and evaluate the results of the chosen alternative.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 30. One of the four coffee machines at your coffee shop has broken down three times in two weeks. You are trying to decide if the problem is a faulty machine or if people are just using the machine incorrectly. What stage of the decisionmaking process are you in? a. implementing an alternative b. evaluating the results of a chosen alternative c. consulting with other decision makers d. recognizing and defining the decision situation ANSWER: d RATIONALE: You are currently in the first step of the rational decision-making model.

The first step in rational decision making is recognizing that a decision is necessary.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 31. It was recently announced that your company settled a lawsuit for $75 million. In the context of the rational decisionmaking model, when executives announced that the settlement was "typical and fair" compared to similar cases, they were: a. developing a set of rational alternatives. b. evaluating the possible alternatives. c. consulting with other decision makers. d. evaluating the results of a chosen alternative.

ANSWER: d RATIONALE: The final step of the rational decision-making model is illustrated in the scenario. The final step in the decision-making process requires that managers evaluate the effectiveness of their decision—that is, they should make sure that the chosen alternative has served its original Copyright Cengage Learning. Powered by Cognero.

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purpose.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 32. When budget cuts were announced at your organization, you considered layoffs, salary freezes, and cutting benefits to manage the new, lower budget. However, due to a large project deadline, you did not feel you could lay off employees.

Your rationale was that layoffs at this time: a. were was not satisfactory. b. had negative consequences. c. were not feasible. d. were not rational.

ANSWER: c RATIONALE: Your decision not to lay off employees was based on the current need for staff to meet a large project deadline. This made layoffs impractical or unfeasible at that moment, as the team was necessary for meeting critical work requirements.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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33. Why is it important for managers to consider a variety of alternatives when making decisions?. a. It ensures they always make the perfect decision. b. It provides a broader view of possible solutions and reduces the risk of missing critical options. c. It allows them to avoid making any decision at all. d. It guarantees that all alternatives will lead to the same outcome.

ANSWER: b RATIONALE: When making important decisions, managers are expected to carefully consider a variety of alternatives to ensure they make the best choice.

Generating more alternatives helps to provide a broader view of possible solutions and minimizes the likelihood of missing critical options.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 34. You, as a manager, have noticed that the performance of your team on class tests has been declining. While attempting to find a solution to the problem, you think of three choices: rewarding team members who get good grades, holding tests more often, or implementing penalties for poor performance. Which step of the rational decision-making process are you in? a. identifying alternatives b. implementing an alternative c. defining the decision situation d. selecting the best alternative ANSWER: a RATIONALE: The manager is in the second step of the rational decision-making process, which is identifying alternatives. Once the problem is defined, the next step is to come up with different courses of action to address the issue. Both conventional and innovative solutions should be considered to provide a comprehensive view of the available options.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 35. Evidence-based management (EBM) practices suggests treating the organization as an unfinished prototype, which means what? a. Avoid decisions based on untested beliefs. b. Encourage experimentation and learning by doing. c. Build a culture in which people tell the truth. d. Get the best evidence and use it to guide actions.

ANSWER: b RATIONALE: One of the recommendations of EBM is to treat your organization as an unfinished prototype—encourage experimentation and learning by doing.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO4.2 - Discuss rational perspectives on decision making, including the JECTIVES: steps in rational decision making.

ACCREDITING Analytic STANDARDS: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFI 4/7/2025 5:49 AM ED: 36. Delta Corp. introduced a new set of policies, giving its employees more flexibility in work hours. This decision was made in response to complaints from employees about fatigue. Which step of the rational decision-making process is illustrated in the scenario? a. defining the situation b. evaluating the possible alternatives c. selecting the alternative d. implementing an alternative Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d Delta Corp. has implemented an alternative in the scenario. After an alternative has been selected, the next step is to put it into effect.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO4.2 - Discuss rational perspectives on decision making, including the ECTIVES: steps in rational decision making.

ACCREDITING Analytic STANDARDS: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 37. When the prices of oil dropped, the demand for sport utility vehicles (SUVs) increased. Automakers chose to increase production of full-size SUVs to increase profitability. Which step in the rational decision-making model is illustrated in the scenario? a. developing a set of rational alternatives b. evaluating the possible alternatives c. selecting the best alternative and implementing it d. recognizing and defining the decision situation ANSWER: c RATIONALE: Automakers are implementing an alternative in the scenario. After an alternative has been selected, the next step is to put it into effect.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO4.2 - Discuss rational perspectives on decision making, including the ECTIVES: steps in rational decision making.

ACCREDITING Analytic STANDARDS: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: Copyright Cengage Learning. Powered by Cognero.

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38. In which step of the rational decision-making model does the decision maker test the feasibility and satisfactoriness of alternatives before choosing one? a. identifying alternatives b. implementing the chosen alternative c. defining the situation d. evaluating alternatives ANSWER: d RATIONALE: The third step in the decision-making process is evaluating each of the alternatives. Each alternative should be evaluated in terms of its feasibility, satisfactoriness, and consequences. The first question to ask is whether an alternative is feasible (i.e., if it is within the realm of probability and practicality).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 39. You, as a manager, were looking for ways to double your plant's production capacity and considered acquiring the production plant of a rival company. The engineers advised against it because acquiring the new plant would only increase your company’s production by 15 percent. The idea failed the test for which aspect of the rational decision-making process? a. feasibility b. satisfactoriness c. bounded rationality d. satisficing ANSWER: b RATIONALE: The decision failed the test for satisfactoriness because the proposed solution did not meet the manager’s goal of significantly increasing production. A satisfactory solution in rational decision making is one that adequately addresses the problem, and in this case, acquiring the plant would not provide enough of a production boost to be considered satisfactory.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 40. In the rational decision-making model, once the alternatives have been evaluated, the next step is to: a. select the best alternative. b. implement the chosen alternative. c. define the decision situation. d. identify the available alternatives.

ANSWER: a RATIONALE: In the rational decision-making model, once the alternatives have been evaluated, the next step is to select the best alternative.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO4.2 - Discuss rational perspectives on decision making, including ECTIVES: the steps in rational decision making.

ACCREDITING Analytic STANDARDS: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:49 AM : DATE MODIFIED 4/7/2025 5:49 AM : 41. What is a commitment to finding and using the best theory and data available at the time, to make a decision? a. rational decision making b. classical decision making c. rational management d. evidence-based management Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d Evidence-based management is a commitment to finding and using the best theory and data available at the time to make decisions.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO4.2 - Discuss rational perspectives on decision making, including the ECTIVES: steps in rational decision making.

ACCREDITING Analytic STANDARDS: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 42. Which of the following statements is true in the context of selecting the best alternative? a. The decision maker should prioritize satisfactoriness over both feasibility and consequences. b. The decision maker can develop subjective estimates and weights for choosing an alternative. c. The decision maker must choose the alternative that involves the most costs. d. The decision maker must only stick to completely rational, mathematical analysis while selecting an alternative.

ANSWER: b RATIONALE: One approach is to choose the alternative with the optimal combination of feasibility, satisfactoriness, and affordable consequences. Even though most situations do not lend themselves to objective, mathematical analysis, the manager can often develop subjective estimates and weights for choosing an alternative.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:49 AM ED: 43. In the rational decision-making process, optimization means: a. identifying obvious, standard alternatives. b. choosing the alternative with the best overall expected outcomes. c. gathering the most complete information before making the decision. d. developing the maximum number of creative, innovative alternatives.

ANSWER: b RATIONALE: Even though many alternatives fail to pass the triple tests of feasibility, satisfactoriness, and affordable consequences, two or more alternatives may remain. Choosing the best of these is the real crux of decision making. One approach is to choose the alternative with the optimal combination of feasibility, satisfactoriness, and affordable consequences; this is known as optimization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 44. What is one of the five principles of evidence-based management (EBM) when considering recommendations? a. Look for risks and drawbacks. b. Avoid unpleasant truths. c. Discourage learning by doing. d. Make decisions based on strongly held beliefs.

ANSWER: a RATIONALE: One of the principles of EBM is to look for the risks and drawbacks in what people recommend (even the best medicine has side effects).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJ LO4.2 - Discuss rational perspectives on decision making, including the ECTIVES: steps in rational decision making.

ACCREDITING Analytic STANDARDS: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 45. You, as a plant manager, had taken measures to try to reduce worker turnover. For four months, you monitored the implementation of the measures. You now find that the turnover rate has been reduced by 10 percent. Which step of the rational decision-making model is illustrated in your scenario? a. evaluating the results b. identifying alternatives c. recognizing the decision situation d. selecting the best alternative ANSWER: a RATIONALE: The final step in the decision-making process requires that managers evaluate the effectiveness of their decision—that is, they should make sure that the chosen alternative has served its original purpose.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 46. Which of the following is a factor that makes an alternative infeasible? a. decrease in expenditure b. legal barriers c. low costs d. increased satisfactoriness ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

While evaluating alternatives in the rational decision-making process, some alternatives may not be feasible because of legal barriers. And limited human, material, and information resources may make other alternatives impractical.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 47. According to the evidence-based management approach, managers must: a. discourage employees from telling the unpleasant truth. b. be committed to fact-based decision making. c. base decisions on untested but strongly held beliefs. d. completely rely on the recommendations made by others.

ANSWER: b RATIONALE: The evidence-based management approach emphasizes making decisions based on facts, data, and solid evidence, rather than relying on assumptions, untested beliefs, or external recommendations. This approach helps ensure more informed and effective decision making.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 48. You, as a manager at your organization, make decisions using evidence-based management. What can you do to support a culture where facts are encouraged? a. Allow people to tell the truth, even if it is unpleasant. b. Require all alternatives to be feasible and affordable. c. Encourage experience and instinct in the decision-making process. d. Eliminate states of uncertainty before making decisions.

ANSWER: a RATIONALE: Experts define evidence-based management as “a commitment to finding and using the best theory and data available at the time to make decisions,” but this means more than just sifting through data and crunching numbers. One key principle of evidence-based management is facing the hard facts and building a culture in which people are encouraged to tell the truth, even if it is unpleasant.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 49. What is defined as a commitment to finding and using the best theory and data available at the time to make decisions? a. classical decision making b. state of uncertainty c. bounded rationality d. evidence-based management ANSWER: d RATIONALE: According to the theory of evidence-based management, “Management decisions [should] be based on the best evidence, managers [should] systematically learn from experience, and organizational practices [should] reflect sound principles of thought and analysis.”

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 50. Which of the following best explains what occurs at the step of selecting the best alternative when completing the rational decision-making process? a. Each alternative is evaluated to determine its feasibility, its satisfactoriness, and its consequences. b. Consider all situational factors and choose the alternative that best fits the situation. c. Understand the stimulus that indicates that a decision must be made. d. Ascertain the extent to which the alternative chosen and implemented has worked.

ANSWER: b RATIONALE: To complete the step of selecting the best alternative, the decision maker must consider all situational factors and choose the alternative that best fits the situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 51. You, as the manager of the Pour House coffee shop, want to increase sales and local foot traffic. After considering daily specials, loyalty programs, and expanding the menu selection, you decided to implement a loyalty program to stimulate repeat business and customer loyalty. Which step have you reached in your rational decision-making process? a. Step 1: Identifying the problem b. Step 2: Identifying alternatives c. Step 3: Evaluating alternatives Copyright Cengage Learning. Powered by Cognero.

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d. Step 4: Selecting the best alternative ANSWER: d RATIONALE: At this point, the manager has selected the best alternative to solve the problem. This decision is likely based on feasibility, satisfactoriness, and affordable consequences.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 52. You need to address overcapacity at your plant, but you want to avoid inappropriate assumptions and common pitfalls associated with making decisions. You want your approach to be based on logic and sound reasoning, and you expect that your strongly held belief in benchmarking will enhance the quality of your decision. Which decision-making model should you use in this situation? a. classical b. rational c. evidencebased d. experiential ANSWER: b RATIONALE: The rational decision-making process is best suited for this situation. It focuses on logically analyzing the situation, using facts and sound reasoning to avoid flawed assumptions, uncertainties, and incomplete information. This approach supports making decisions based on a systematic evaluation of alternatives.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 53. Which of the following statements is true about the administrative model of decision making? a. It suggests that most managers make decisions rationally and logically. b. It suggests that decisions that are based on instincts are better than the ones based on logic. c. It suggests that managers tend to satisfice when making decisions. d. It suggests that managers have the most accurate information about decision situations.

ANSWER: c RATIONALE: The administrative decision-making model argues that decision makers (1) use incomplete and imperfect information, (2) are constrained by bounded rationality, and (3) tend to satisfice when making decisions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 54. Which aspect of decision making using the administrative model better reflects subjective considerations? a. rational b. groupthink c. classical d. behavioral ANSWER: d RATIONALE: Sometimes when a decision is made with little regard for logic, it can still turn out to be correct. An important ingredient in how these forces work is the behavioral aspect of decision making. The administrative model better reflects these subjective considerations.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 55. Who was one of the first expert to recognize decisions are not always made rationally, and developed the administrative model to describe how decisions are often made? a. Elton Mayo b. George Bennett c. Martin Johnson d. Hebert Simon ANSWER: d RATIONALE: Herbert A. Simon was one of the first experts to develop the administrative model of decision making.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO4.3 - Describe the behavioral aspects of decision making.

IVES: ACCREDITING STA Analytic Technology NDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:49 AM DATE MODIFIED: 4/7/2025 5:49 AM 56. What does the administrative model of decision making describe? a. how decisions should ideally be made in a perfect scenario b. how decisions are often made in real-world situations c. a step-by-step process for making rational decisions d. a mathematical approach to optimizing all decisions ANSWER: c RATIONALE: Rather than prescribing how decisions should be made, the administrative model describes how decisions often are made.

Copyright Cengage Learning. Powered by Cognero.

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POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO4.3 - Describe the behavioral aspects of decision making.

CTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:49 AM DATE MODIFIED: 4/7/2025 5:49 AM

57. According to the administrative model, decision makers: a. use incomplete and imperfect information. b. are never constrained by bounded rationality. c. tend to avoid satisficing when making decisions. d. always act in the best interests of their organizations.

ANSWER: a RATIONALE: The administrative model is a decision-making model that argues that decision makers (1) use incomplete and imperfect information, (2) are constrained by bounded rationality, and (3) tend to satisfice when making decisions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 58. Which concept suggests that decision makers are limited by their values and unconscious reflexes, skills, and habits? a. satisficing b. bounded rationality Copyright Cengage Learning. Powered by Cognero.

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c. risk propensity d. groupthink ANSWER: b RATIONALE: Bounded rationality is a concept suggesting that decision makers are limited by their values and unconscious reflexes, skills, and habits.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO4.3 - Describe the behavioral aspects of decision making.

ECTIVES: ACCREDITING Analytic Technology STANDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 59. Bounded rationality is assumed in the which model of decision making? a. administrative b. rational c. classical d. groupthink ANSWER: a RATIONALE: The administrative model of decision making assumes that decision makers are constrained by bounded rationality. The model holds that managers (1) use incomplete and imperfect information, (2) are constrained by bounded rationality, and (3) tend to “satisfice” when making decisions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:49 AM ED: 60. Which of the following statements is true about the administrative model of decision making? a. It suggests that political forces do not exist in business scenarios. b. It suggests that managers may not always make decisions that best serve the interests of their organizations. c. It suggests that managers use a blend of subjective knowledge and analysis to choose the best alternative. d. It suggests that decisions should only be made individually and not in groups.

ANSWER: b RATIONALE: The administrative model suggests that managers may not always make decisions that best serve the interests of their organizations. The model holds that decision makers (1) use incomplete and imperfect information, (2) are constrained by bounded rationality, and (3) tend to satisfice when making decisions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 61. The administrative model of decision making: a. tells managers how they should make decisions. b. describes how decisions are actually made. c. predicts what decisions managers will make. d. assumes decision makers use logic and reason.

ANSWER: b RATIONALE: Rather than prescribing how decisions should be made, the administrative model describes how decisions often actually are made.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJ LO4.3 - Describe the behavioral aspects of decision making.

ECTIVES: ACCREDITING Analytic Technology STANDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:49 AM : DATE MODIFIE 4/7/2025 5:49 AM D: 62. What is the tendency to search for alternatives only, until one is found that meets some minimum standard of sufficiency? a. satisficing b. groupthink c. optimization d. bounded rationality ANSWER: a RATIONALE: Satisficing is the tendency to search for alternatives only until one is found that meets some minimum standard of sufficiency.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO4.3 - Describe the behavioral aspects of decision making.

ECTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:49 AM DATE MODIFIED 4/7/2025 5:49 AM : 63. What does the concept of bounded rationality suggest about decision makers?. a. They have unlimited knowledge and always make optimal decisions. b. They are limited by their values, unconscious reflexes, skills, and habits. c. They rely solely on mathematical models to make decisions. d. They make decisions without any constraints or biases.

ANSWER: b RATIONALE: Bounded rationality suggests that decision makers do not have unlimited cognitive resources or perfect information. Instead, they make decisions based on their personal limitations, experience, and available Copyright Cengage Learning. Powered by Cognero.

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information, often leading to satisficing rather than optimizing.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 64. You, as a production manager at a steel factory, need to replace a processing machine. After reading industry magazine reviews, you decide to buy a new machine from a particular company, despite other companies offering discounts on machines with better functionality. This decision is constrained by: a. bounded rationality. b. escalation of commitment. c. risk propensity. d. groupthink.

ANSWER: a RATIONALE: This scenario illustrates bounded rationality. Bounded rationality is a concept suggesting that decision makers are limited by their values and unconscious reflexes, skills, and habits.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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65. You, as a manager, are in a hurry to appoint a personal assistant. You post an advertisement on a job website and select the first person who submits a resume, only checking for qualifications without considering work experience. This is an example of: a. rational decision making. b. classical decision making. c. satisficing. d. optimizing.

ANSWER: c RATIONALE: Satisficing is illustrated in the scenario. Satisficing is the tendency to search for alternatives only until one is found that meets some minimum standard of sufficiency.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 66. You, as the vice president of accounting, need to decide which computer software to purchase for the department.

After reviewing all possible alternatives, you lean toward the system you are most familiar with. This is an example of: a. optimizing. b. bounded rationality. c. satisficing. d. synergy.

ANSWER: b RATIONALE: This scenario illustrates bounded rationality. Bounded rationality is a concept suggesting that decision makers are limited by their values and unconscious reflexes, skills, and habits.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 67. What is one major element of organizational politics that is especially relevant to decision making because of the alliance to achieve a common goal of the group? a. coalitions b. intuition c. escalation of commitment d. satisficing e. risk propensity ANSWER: a RATIONALE: Coalitions is one major element of organizational politics that is especially relevant to decision making.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO4.3 - Describe the behavioral aspects of decision making.

TIVES: ACCREDITING STA Analytic NDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:49 AM DATE MODIFIED: 4/7/2025 5:49 AM 68. Your friend wants to buy a red convertible and notices the local dealership is offering rebates. They decide to purchase the car without comparing the model to others. This decision is an example of: a. optimization. b. escalation of commitment. c. an evidence-based decision. d. satisficing.

ANSWER: d RATIONALE: This scenario illustrates satisficing. Satisficing is the tendency to search for alternatives only until one is found that meets some minimum standard of sufficiency.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 69. What is an innate belief about something without conscious consideration? a. optimizatio n b. intuition c. logic d. ethics ANSWER: b RATIONALE: Intuition is an innate belief about something without conscious consideration. This feeling is usually not arbitrary, rather, it is based on years of experience and practice in making decisions in similar situations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 70. You are using a new process for screening potential employees in your department but are unsure if it is efficient and helps recruiters find the best candidates. However, you continue to require the process because setting up the initial system was expensive. This scenario illustrates: a. evidence-based decision making. b. escalation of commitment.

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c. rational decision making. d. optimization of processes.

ANSWER: b RATIONALE: This scenario illustrates escalation of commitment. An important behavioral process that influences decision making is escalation of commitment to a chosen course of action. Decision makers sometimes make decisions and then become so committed to the courses of action suggested by those decisions that they stay with them, even when the decisions appear to have been wrong.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 71. A tools company recently acquired another company because employees in both the research and development and production departments joined forces to advocate for the purchase. They preferred this acquisition due to the company's state-of-the-art research and production facilities. This is an example of: a. satisficing. b. intuitive decision making. c. a dissection. d. a coalition.

ANSWER: d RATIONALE: This scenario illustrates a coalition. A coalition is an informal alliance of individuals or groups formed to achieve a common goal.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO4.3 - Describe the behavioral aspects of decision making.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Behavioral Elements in Decision Making Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Apply DATE CREATED 4/7/2025 5:49 AM : DATE MODIFIED 4/7/2025 5:49 AM : 72. You, as an investor, purchased shares in an initial public offering but continued to incur losses due to unfavorable market conditions. Despite this, you decided to keep the investment because of the amount already spent. This scenario best exemplifies: a. evidence-based management. b. rational decision making. c. escalation of commitment. d. satisficing decision making.

ANSWER: c RATIONALE: This scenario illustrates escalation of commitment. Escalation of commitment is a behavioral process in which a decision maker stays with a decision even when it appears to be wrong.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 73. Which is a behavioral process in which a decision maker stays with a decision even when it appears to be wrong? a. bounded optimization b. escalation of commitment c. risk propensity d. strategic maximization ANSWER: b RATIONALE: Escalation of commitment is a behavioral process in which a decision maker stays with a decision even when it appears to be wrong.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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E: HAS VARIABLE False S: LEARNING OBJ LO4.3 - Describe the behavioral aspects of decision making.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 74. Which of the following decision-making tactics has managers sometimes deciding to do something because it feels right, or they have a hunch? a. satisficing b. rationality c. intuition d. optimizatio n ANSWER: c RATIONALE: Intuition is an innate belief about something without conscious consideration. This feeling is usually not arbitrary; rather, it is based on years of experience and practice in making decisions in similar situations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 75. What is the extent to which a decision maker is willing to gamble when making a decision? a. risk propensity b. intuition c. optimization Copyright Cengage Learning. Powered by Cognero.

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d. satisficing ANSWER: RATIONALE:

a Risk propensity is the extent to which a decision maker is willing to gamble when making a decision.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO4.3 - Describe the behavioral aspects of decision making.

IVES: ACCREDITING STA Analytic Technology NDARDS: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:49 AM DATE MODIFIED: 4/7/2025 5:49 AM 76. Managers with higher levels of risk propensity are more likely than their conservative counterparts to: a. adhere to the rational model and be extremely cautious about their decisions. b. avoid mistakes and infrequently make decisions that lead to big losses. c. rely heavily on intuition and gamble big investments on their decisions. d. reach decisions slowly after a great amount of analysis.

ANSWER: c RATIONALE: Some managers are extremely aggressive in making decisions and are willing to take risks. They rely heavily on intuition, reach decisions quickly, and often risk big investments on their decisions. As in gambling, these managers are more likely than their conservative counterparts to achieve big successes with their decisions; they are also more likely to incur greater losses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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77. A manager who has a high level of risk propensity is likely to: a. make decisions quickly. b. rely heavily on mathematical analysis. c. spend a lot of time evaluating alternatives. d. be wary of making a wrong choice.

ANSWER: b RATIONALE: Managers with a high level of risk propensity rely heavily on intuition, reach decisions quickly, and often risk big investments on their decisions.

As in gambling, these managers are more likely than their conservative counterparts to achieve big successes with their decisions; they are also more likely to incur greater losses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 78. You own and manage a franchise sandwich shop and pay employees minimum wage. Recently, employees have gathered to discuss the difficulty of living on minimum wage and have asked you to increase wages. Which type of decision-making element must you now respond to? a. intuition b. political forces c. bounded rationality d. risk propensity ANSWER: b RATIONALE: The influence of external interest groups, coalitions, and dynamics that shape political movements are at play in this scenario. A coalition is an informal alliance of individuals or groups formed to achieve a common goal. The impact of coalitions can be either positive or negative. They can help astute managers get the organization on a path toward effectiveness and profitability, or they can strangle well-conceived strategies and decisions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 79. Which concept can be used by managers to develop a better understanding of their inherent biases and limitations? a. bounded rationality b. classical model c. ethics d. intuition ANSWER: a RATIONALE: Bounded rationality suggests that decision makers are limited by their values and unconscious reflexes, skills, and habits. They are also limited by less-than-complete information and knowledge. The administrative model can be used by managers to develop a better understanding of their inherent biases and limitations.

POINTS: 1 DIFFICULTY: Easy QUESTION T Multiple Choice YPE: HAS VARIAB False LES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 80. When using the administrative model of decision making, decision makers: a. usually have fact-based information. b. are limited by unconscious reflexes. c. spend a lot of time evaluating alternatives. d. are bound by alliances formed to achieve common goals.

ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

In the administrative model, decision makers are constrained by bounded rationality, suggesting that they are limited by their values and unconscious reflexes.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 81. What is a coalition? a. A concept suggesting that decision makers are limited by their values and unconscious reflexes, skills, and habits. b.The tendency of decision makers to become committed to a course of action, even when the decisions appear to have been wrong. c. An informal alliance of individuals or groups formed to achieve a common goal. d.The tendency to search for alternatives only until one is found that meets some minimum standard of sufficiency.

ANSWER: c RATIONALE: One major element of politics, coalitions, is especially relevant to decision making. A coalition is an informal alliance of individuals or groups formed to achieve a common goal. This common goal is often a preferred decision alternative.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:49 AM ED: 82. How do managers with a high level of risk propensity compare with their more conservative counterparts? a. They are more likely to achieve big successes with their decisions and to incur lower losses. b. They are more likely to achieve big successes with their decisions and to incur greater losses. c. They make decisions within a quicker time frame, generating the appearance of being correct. d. They are less likely to use values and unconscious reflexes, skills, and habits.

ANSWER: b RATIONALE: Managers who are extremely aggressive in making decisions and are willing to take risks have a high degree of risk propensity. They rely heavily on intuition, reach decisions quickly, and often risk big investments on their decisions. As in gambling, these managers are more likely than their conservative counterparts to achieve big successes with their decisions—but they are also more likely to incur greater losses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.3 - Describe the behavioral aspects of decision making.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Behavioral Elements in Decision Making KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 83. The nominal group decision-making technique: a. involves maximum interaction among group members. b. is used to generate creative and innovative ideas. c. is a technique in which members are not brought together in a face-to-face setting. d. is a technique in which the manager lacks the authority to reject an alternative.

ANSWER: b RATIONALE: Nominal group members are brought together in a face-to-face setting.

The members represent a group in name only, however; they do not talk to one another freely like the members of interacting groups. This is a structured technique used to generate creative and innovative alternatives or ideas.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 84. The Delphi group technique is a group decision-making technique in which: a. the members are involved in extensive discussions with each other. b. the opinions of group member are combined and averaged. c. the daily operational problems of an organization are addressed. d. the members are most likely to indulge in groupthink.

ANSWER: b RATIONALE: A Delphi group is sometimes used to arrive at a consensus of expert opinion. Developed by the Rand Corporation, the Delphi procedure solicits input from a panel of experts who contribute individually. Their opinions are combined and, in effect, averaged.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 85. One advantage of group decision making is: a. groupthink.

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b. saved time. c. more acceptance of the final decision. d. lowered cost of decision making.

ANSWER: c RATIONALE: One advantage of a group decision is that more acceptance of the final decision is likely. People involved in the final decision more likely understand the logic and rational behind it, and they are equipped to communicate the decision to their work groups.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 86. A disadvantage of using interacting groups, instead of Delphi or nominal groups, to make decisions is that: a. it might allow political processes to play too big a role. b. it does not foster understanding between members. c. it generates very few alternatives. d. it involves more costs than all other group decision techniques.

ANSWER: a RATIONALE: A major disadvantage of interacting groups is that political processes can play too big a role.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO4.4 - Discuss group and team decision making, including its JECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITING Analytic Technology STANDARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 87. Which of the following is true of interacting groups? a. They are the least common decision-making groups. b. They effectively eliminate the possibility of groupthink. c. They can be regular work teams. d. They provide little scope for new ideas.

ANSWER: c RATIONALE: Interacting groups or teams are the most common decision-making group. The format is simple—either an existing or a newly designated group or team is asked to make a decision. Existing groups or teams might be functional departments, regular work teams, or standing committees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 88. Which of the following is a form of group decision making in which a group arrives at a consensus of expert opinion? a. interacting group b. Delphi group c. inactive group d. unconventional group ANSWER: b RATIONALE: A Delphi group is a form of group decision making in which a group arrives at a consensus of expert opinion.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABLE False S: LEARNING OB LO4.4 - Discuss group and team decision making, including its JECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITING Analytic STANDARDS: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 89. General Motors has asked industry leaders, research scientists, environmental experts, and design engineers to consider the impact of global warming on the automobile industry, particularly how it will impact fossil fuel, electric, battery, and other types of vehicles. Which type of group is General Motors using in shaping the future of their vehicles? a. interacting group b. Delphi group c. standing committee d. work group ANSWER: b RATIONALE: Their opinions are combined and, in effect, averaged. The first step in using the Delphi procedure is to obtain the cooperation of a panel of experts. For this situation, experts might include various research scientists, university researchers, and executives in a relevant energy industry.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED:

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90. When managers want to generate innovative and creative ideas, they will often create a(n): a. Delphi group. b. coalition group. c. crowdsource group. d. nominal group.

ANSWER: d RATIONALE: A nominal group is a structured technique used to generate creative and innovative alternatives or ideas.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO4.4 - Discuss group and team decision making, including its JECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITING Analytic STANDARDS: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 91. A disadvantage of group decision making is that: a. groupthink may occur. b. too many choices may be generated. c. poor decisions generally emerge. d. there will be less acceptance by the group.

ANSWER: a RATIONALE: Groupthink is a situation that occurs when a group or team’s desire for consensus and cohesiveness overwhelms its desire to reach the best possible decision.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic Technology G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 92. Which of the following is true of nominal groups? a. Innovative ideas are not generated in nominal groups. b. Members of nominal groups are brought together in a face-to-face setting. c. Nominal groups are most often used for forecasting technological breakthroughs. d. Only one individual dominates a nominal group.

ANSWER: b RATIONALE: Unlike the Delphi method, in which group members do not see one another, nominal group members are brought together in a face-to-face setting. The members represent a group in name only, however; they do not talk to one another freely like the members of interacting groups.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 93. Which of the following disadvantages of group decisions typically occurs when the desire for cohesiveness overwhelms the goals of the group? a. disagreement b. groupthink c. lower acceptance of the final decision d. minimal participation of members ANSWER: b RATIONALE: Groupthink is a situation that occurs when a group or team’s desire for consensus and cohesiveness overwhelms its desire to reach the best possible decision.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 94. Which of the following is an advantage of group decision making when compared to individual decision making? a. The group process is less expensive. b. Groupthink is avoided. c. Less time is consumed. d. More alternatives are likely to be generated.

ANSWER: d RATIONALE: One advantage of a group decision is that more alternatives are likely to be generated.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO4.4 - Discuss group and team decision making, including its JECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITING Analytic STANDARDS: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 95. Groupthink: a. results in more conflicts. b. results in polarization.

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c. often leads to choosing a wrong alternative. d. results in extensive brainstorming.

ANSWER: c RATIONALE: Groupthink is a situation that occurs when a group or team’s desire for consensus and cohesiveness overwhelms its desire to reach the best possible decision.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 96. One disadvantage of group decision making is that: a. very little information and knowledge are available. b. one person may dominate the group. c. fewer alternatives are generated. d. it reduces the chances of acceptance of the final decision.

ANSWER: b RATIONALE: One disadvantage of group decision making is that one person may dominate the group.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO4.4 - Discuss group and team decision making, including its JECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITING Analytic STANDARDS: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFIE 4/7/2025 5:49 AM D: 97. Which of the following helps a manager avoid groupthink during group decision making? a. Assign one person to act as devil's advocate. b. Make their preferences known to the group as early as possible. c. Instruct members to avoid expressing divergent viewpoints. d. Give the group as much time as they need to decide, without enforcing a deadline.

ANSWER: a RATIONALE: To avoid groupthink, each member of the group or team should critically evaluate all alternatives. So that members present divergent viewpoints, the leader should not make their position known too early. At least one member of the group or team might be assigned the role of devil’s advocate.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 98. As the most common form of decision-making groups, which of the following includes members who openly discuss, argue about, and agree on the best alternative? a. nominal group b. team c. coalition d. focus group ANSWER: b RATIONALE: Interacting groups and teams are the most common form of decisionmaking group. The format is simple—either an existing or a newly designated group or team is asked to make a decision. The group or team members talk among themselves, argue, agree, argue some more, form internal coalitions, and so forth. Finally, after some period of Copyright Cengage Learning. Powered by Cognero.

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deliberation, the group or team makes its decision.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 99. What can managers use to promote effective group decision making and avoid groupthink? a. Disband the group when the decision has been reached. b. Allow senior employees to dominate discussion. c. Avoid setting deadlines for the group. d. Insist that a group evaluate all alternatives.

ANSWER: d RATIONALE: To avoid groupthink, each member of the group or team should critically evaluate all alternatives. So that members present divergent viewpoints, the leader should not make their own position known too early. At least one member of the group or team might be assigned the role of devil’s advocate.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 100. You have assembled a task force to consider ways to respond to the threat of unionization by some hourly employees.

This task force is an example of a(n): a. control group. b. coalition group. c. nominal group. d. interacting team.

ANSWER: d RATIONALE: Interacting groups or teams are formed in order to make a decision. The members of such a group are expected to openly argue the merits of different alternatives and to ultimately agree upon the best course of action to take in a given situation. The format is simple—either an existing or a newly designated group or team is asked to make a decision. Existing groups or teams might be functional departments, regular work teams, or standing committees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 101. As the head of human resources, You have assembled a team to consider ways to manage the cost of health care and other benefits. You have made sure to include a variety of employees (single, married, single parents, and older workers) on the team. Which of the following advantages will your team provide? a. The team will take as much time as needed to reach a decision. b. There will be no undesirable compromises. c. More alternatives can be identified and evaluated. d. No one person will dominate the group.

ANSWER: c RATIONALE: This team represents a variety of education, experience, and perspectives. Partly as a result of this increased information, groups and teams typically can identify and evaluate more alternatives than can one person. The people involved in a group or team decision understand the Copyright Cengage Learning. Powered by Cognero.

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logic and rationale behind it, are more likely to accept it, and are equipped to communicate the decision to their work group or department.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 102. In which way is crowdsourcing a solution different than using the Delphi technique? a. It has a much smaller base of contributors. b. The process is much quicker. c. Not everyone is an expert. d. They do not meet face to face.

ANSWER: c RATIONALE: A technique called crowdsourcing is similar to Delphi. However, not everyone who contributes to crowdsourcing data is an expert. To offset this, most crowdsourcing methods use very large sets of responses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 103. You are putting together a task force, but you are concerned that one key member may become dominant and not allow others to offer input. Unfortunately, that person is important to the group’s understanding of the background of the problem. What can you do to manage this? a. Promote groupthink. b. Require the group to make the final decision. c. Make the person the group leader. d. Include other strong-willed people on the task force.

ANSWER: d RATIONALE: Dominance can be at least partially avoided if a special group is formed just to make the decision. An astute manager, for example, should know who in the organization may try to dominate and can either avoid putting that person in the group or put several strong-willed people together.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 104. Consider the decision-making process at Morgan Stanley, where managers decided to acquire E*Trade for $13 billion. In contrast, a general manager at a Ford dealership in College Station, Texas, made a decision to sponsor a local youth soccer team for $300. How would you apply the concept of decision-making conditions (certainty, risk, uncertainty) to explain the differences between these two decisions?

ANSWER: The Morgan Stanley decision to acquire E*Trade falls under conditions of uncertainty. The managers had to make a strategic decision with limited information about the future outcomes of the acquisition. There were many variables at play, such as market conditions, integration risks, and potential regulatory challenges, making it impossible to predict the exact results of the merger.

On the other hand, the decision made by the Ford dealership to sponsor a local soccer team is an example of decision making under certainty. The manager had clear expectations about the benefits of sponsoring the team, such as local community recognition, and there were few unknowns or risks associated with the sponsorship. The outcome of such a decision is predictable and relatively low stakes, as it involves a relatively small financial commitment and a clear goal.

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Thus, the primary difference lies in the complexity and the level of information available, with Morgan Stanley's decision involving more uncertainty and risk compared to the clear, more predictable decision made by the Ford dealership manager.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO4.1 - Discuss the meaning of decision making, types of decisions, and BJECTIVES: decision-making conditions.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 105. You are a manager at a growing tech company, and you have identified a drop in employee engagement, which is impacting overall productivity. Using the Classical Model of Decision Making, apply the steps of rational decision making to address this problem. Discuss the importance of each step, including how you would handle potential constraints such as budget limitations and organizational resistance to change.

In a company facing a decline in sales, the classical decision-making model ANSWER: would guide the manager through a systematic approach. First, they would recognize the decision situation (declining sales) and define the problem (e.g., lack of customer engagement). Next, they would identify alternatives, such as increasing marketing efforts, improving product quality, or revising pricing strategies. Each option would be evaluated for feasibility, satisfaction, and consequences, with the manager choosing the one that best aligns with the company's resources and goals. The selected alternative, such as a targeted marketing campaign, would be implemented, and the manager would follow up to assess its effectiveness. This process helps ensure decisions are based on logical, rational analysis, even if real-world situations may introduce uncertainties.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO4.2 - Discuss rational perspectives on decision making, including the BJECTIVES: steps in rational decision making.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Rational Perspectives on Decision Making KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 106. In many organizations, important decisions are increasingly made by groups or teams rather than by individuals.

Discuss the advantages and disadvantages of group and team decision-making methods and explain how a manager can effectively manage these processes to maximize success. Consider the use of interacting groups, Delphi groups, and nominal groups, and how these methods may be applied in different organizational contexts.

Group decision-making provides benefits like more information, diverse ANSWER: perspectives, and greater acceptance of decisions. However, it can be timeconsuming, costly, and subject to groupthink or dominance by one individual.

For instance, a team at Texas Instruments might decide on product design by brainstorming ideas, considering various inputs, and evaluating alternatives.

However, groupthink could lead to consensus-seeking over critical evaluation.

To improve, managers should set deadlines, encourage diverse viewpoints, and assign a devil’s advocate role to ensure decisions are well rounded and avoid biases.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO4.4 - Discuss group and team decision making, including its BJECTIVES: advantages and disadvantages and how it can be more effectively managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Group and Team Decision Making in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED:

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Chapter 05 - Entrepreneurship and New Venture Management 1. In your restaurant, you make all the major operational decisions and are completely liable for the profits and losses the restaurant makes. You are most likely to be a(n): a. entrepreneur. b. first-line manager. c. angel investor. d. venture capitalist.

ANSWER: a RATIONALE: You are most likely to be an entrepreneur. Entrepreneurship is the process of planning, organizing, operating, and assuming the risks of a business venture. An entrepreneur, in turn, is someone who engages in entrepreneurship.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 2. Which of the following statements is true about entrepreneurs? a. They are typically angel investors. b. They assume the risk of a start-up. c. They usually hire professional managers. d. They manage businesses of other individuals.

ANSWER: b RATIONALE: Entrepreneurship is the process of planning, organizing, operating, and assuming the risks of a business venture. Entrepreneurs start new businesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 3. Which of the following statements is true about entrepreneurs? a. Entrepreneurs hire professional managers to take care of all the business operations. b. Professional managers who manage businesses of others are also entrepreneurs. c. Entrepreneurs assume the risks of their business ventures. d. Entrepreneurs do not participate in planning and organizing activities.

ANSWER: c RATIONALE: Entrepreneurship is the process of planning, organizing, operating, and assuming the risks of a business venture. An entrepreneur, in turn, is someone who engages in entrepreneurship.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurship in Society KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 4. Entrepreneurs ____. a. are essentially limited partners in a business venture who assume minimal risks b. do not directly participate in the operation of a business venture c. are individuals who invest in promising start-ups established by others d. are involved in planning and organizing activities of a business venture ANSWER: d RATIONALE: Entrepreneurship is the process of planning, organizing, operating, and assuming the risks of a business venture. Entrepreneurs start new businesses.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 5. Which of the following scenarios best demonstrates the role of an entrepreneur in starting a new business? a. You hire a team of professional managers to run your new coffee shop and focus on expanding your investment portfolio. b.You use your savings to launch a new mobile app, overseeing its development, marketing, and day-to-day operations, taking full personal responsibility for its success or failure. c. You invest in a large retail chain and supervise a team of managers but do not engage in the daily operations of the business. d.You purchase a franchise of a well-established fast-food chain and hire a management team to run the franchise.

ANSWER: b RATIONALE: This scenario demonstrates the characteristics of entrepreneurship because you are directly involved in the planning, organizing, operating, and assuming personal risk for the success or failure of the business.

Entrepreneurs, as defined in the reading, actively engage in the operations and take on full personal responsibility, which differentiates them from business owners or professional managers who are less involved in the daily workings of the business.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Diversity G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:49 AM ED: 6. You own a daycare center and make all decisions about how the center runs, what services it provides, and at what prices. You have funded the venture with your own savings and have complete responsibility for the success or failure of the venture. What best describes your role? a. commercial financer b. entrepreneur c. venture capitalist d. angel investor ANSWER: b RATIONALE: You are directly involved in the day-to-day operations and assumes full responsibility for the success or failure of the business, which aligns with the characteristics of an entrepreneur. Entrepreneurs take on both the financial and operational risks of their ventures, as described in the definition provided.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Diversity G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 7. A business that is privately owned by one individual or a group of individuals and has sales and assets that are not adequate to meaningfully influence its environment is best described as a: a. publicly held corporation. b. small business. c. non-profit organization. d. strategic business unit.

ANSWER: b RATIONALE: A small business is characterized by being privately owned, having limited sales and assets, and lacking the capacity to significantly affect the larger market or environment, as outlined in the provided definition.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 8. Gadgetbug, a gadget repair store, has six employees. The firm is well known in the community in which it operates but not in the rest of the country. Gadgetbug manages to make annual sales of $780,000. Gadgetbug qualifies as a: a. small business. b. corporation. c. regulatory agency. d. not-for-profit organization.

ANSWER: a RATIONALE: Gadgetbug qualifies as a small business. A small business is privately owned by one individual or a small group of individuals and has sales and assets that are not large enough to meaningfully influence its environment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 9. Which of the following statements is true about small businesses in the United States? a. Small businesses hire at a slower rate than big companies. b. Technology is the only sector in which small firms have no presence. c. Most U.S. workers are employed by small firms.

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d. There are very few small firms in the United States.

ANSWER: c RATIONALE: Small business—especially in certain industries—is an important source of new (and often well-paid) jobs in the United States. 85.43 percent of all businesses employ 20 or fewer people. Another 12.13 percent employ between 20 and 99 people, and 2.18 percent employ between 100 and 499 people. On the basis of numbers alone, small business is a strong presence in the economy.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.2 - Describe the role of entrepreneurships, start-ups, and new BJECTIVES: ventures in society.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 10. Small businesses: a. are an important source of new jobs in various industries. b. are not present in the technology sector. c. are least likely to lay off workers during economic downswings. d. employ 0.2% of all workers in the United States.

ANSWER: a RATIONALE: Small business—especially in certain industries—is an important source of new (and often well-paid) jobs in the United States.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO5.2 - Describe the role of entrepreneurships, start-ups, and new ECTIVES: ventures in society.

ACCREDITING S Analytic TANDARDS: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:49 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED 4/7/2025 5:49 AM : 11. What percentage of U.S. businesses employ 500 or more people? a. 1.2% b. 2.10% c. 23.98 % d. 86.23 % ANSWER: a RATIONALE: Only about 1.2% of U.S. businesses employ 500 or more people, highlighting the dominance of smaller businesses in the economy.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO5.2 - Describe the role of entrepreneurships, start-ups, and new ECTIVES: ventures in society.

ACCREDITING Reflective Thinking STANDARDS: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:49 AM : DATE MODIFIE 4/7/2025 5:49 AM D: 12. Which of the following is a primary way in which small businesses contribute to the economy? a. by eliminating job opportunities b. through their innovation and creation of new products c. by focusing exclusively on large-scale manufacturing d. through mergers and acquisitions ANSWER: b RATIONALE: Small businesses and start-ups are responsible for more than half of all innovations introduced into the marketplace each year.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO5.2 - Describe the role of entrepreneurships, start-ups, and new ECTIVES: ventures in society.

ACCREDITING Technology STANDARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 5:49 AM : DATE MODIFIED 4/7/2025 5:49 AM : 13. Why are small businesses important to big businesses? a. Most of the products made by big manufacturers are sold to consumers by small businesses. b. Innovations are least likely to come from small businesses. c. Large businesses are likely to eliminate jobs at a far higher rate than small businesses. d. Large businesses hire at a much faster rate than small businesses.

ANSWER: a RATIONALE: Most of the products made by big manufacturers are sold to consumers by small businesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO5.2 - Describe the role of entrepreneurships, start-ups, and VES: new ventures in society.

ACCREDITING STAN Analytic DARDS: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:49 AM DATE MODIFIED: 4/7/2025 5:49 AM 14. If a new venture like Dell Computer quickly grows from 1 to 100 employees, what impact does this likely have on its classification as a "small business"? a. It will remain classified as a small business despite the growth. b. It will immediately be reclassified as a large business. c. It may cease to be classified as a small business as it expands. d. The classification will change only when it exceeds 500 employees.

ANSWER: c RATIONALE: Small business grows rapidly, it may no longer be classified as small, even if it was initially considered a small business at a smaller employee count.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO5.2 - Describe the role of entrepreneurships, start-ups, and new JECTIVES: ventures in society.

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ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:49 AM D: DATE MODIFI 4/7/2025 5:49 AM ED: 15. What is the role of small businesses in relation to large corporations? a. Small businesses are direct competitors to large businesses. b. Small businesses exclusively provide products to consumers. c. Small businesses supply services and raw materials to large businesses. d. Small businesses do not interact with larger companies.

ANSWER: c RATIONALE: Large businesses rely on small businesses for various services, including code-writing and packaging, emphasizing the interdependence between the two.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.2 - Describe the role of entrepreneurships, start-ups, and new BJECTIVES: ventures in society.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 16. Which of the following is true of job creation? a. Small firms are the last to hire in times of economic recovery. b. Small firms eliminate jobs at a faster rate. c. Large firms hire at a faster rate than smaller firms. d. It is influenced more by business size than business success.

ANSWER: b RATIONALE: Although small firms often hire at a faster rate than large ones, they are likely to eliminate jobs at a far higher rate. Small firms are also usually the first to hire in times of economic recovery, whereas large firms are generally the last.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.2 - Describe the role of entrepreneurships, start-ups, and new BJECTIVES: ventures in society.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 17. How do small businesses contribute to innovation in society? a. by outsourcing most of their tasks to larger companies b. by consistently introducing over half of all innovations into the U.S. marketplace c. by exclusively focusing on developing existing technologies d. by relying solely on government funding for research and development ANSWER: b RATIONALE: Small businesses consistently supply over half of all innovations introduced into the U.S. marketplace each year, making them vital contributors to technological and product innovations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.2 - Describe the role of entrepreneurships, start-ups, and new BJECTIVES: ventures in society.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 18. The choice of creating an entrepreneur-friendly environment is good public policy because small businesses: a. are a source of new jobs. b. pay higher taxes.

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c. rarely eliminate jobs. d. are the last to lay off.

ANSWER: a RATIONALE: Small businesses—especially in certain industries—are an important source of new (and often well-paid) jobs. In recent years, for instance, small businesses have accounted for around 35–45% of all new jobs in high-technology sectors of the economy and many of these jobs pay above-average wages.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.2 - Describe the role of entrepreneurships, start-ups, and new BJECTIVES: ventures in society.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 19. Which of the following is a good strategy for small businesses because of the ease of entry into the market? a. starting service businesses b. choosing industries that require more resources c. starting manufacturing rather than retailing businesses d. avoiding retailing industries ANSWER: a RATIONALE: Primarily because they require few resources, service businesses are the fastest-growing segment of small-business enterprise. In addition, no other industry group offers a higher return on time invested.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 20. Of the basic strategic challenges facing small firms, which one must be addressed first? a. getting financing b. choosing an industry in which to compete c. identifying distinctive competencies d. selecting a location ANSWER: b RATIONALE: The three strategic challenges facing small firms are choosing an industry in which to compete, identifying distinctive competencies, and writing a business plan. They should be addressed in that order.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 21. As you prepare to start your new business, you are grappling with determining the strategies to achieve your goals and objectives, as well as the appropriate structure for your business. Which strategic challenges facing small firms are you currently addressing? a. getting financing b. choosing an industry in which to compete c. identifying distinctive competencies d. writing a business plan ANSWER: d RATIONALE: The three strategic challenges facing small firms are choosing an industry in which to compete, identifying distinctive competencies, and writing a business plan. One of the questions that is addressed by a business plan is what strategies will be used to obtain the entrepreneur's goals and objectives.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 22. As a small business owner, you feel you have identified a market that no one else is currently serving. Which of the strategic challenges facing small firms are you developing? a. getting financing b. choosing an industry in which to compete c. identifying distinctive competencies d. selecting a location ANSWER: c RATIONALE: The three strategic challenges facing small firms are choosing an industry in which to compete, identifying distinctive competencies, and writing a business plan. The distinctive competencies of small business usually fall into three areas: the ability to identify new niches in established markets, the ability to identify new markets, and the ability to move quickly to take advantage of new opportunities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:49 AM ED: 23. The Clippery is a dog grooming salon. Which industry segment is it most likely to operate in? a. wholesale b. service c. retailing d. manufacturin g ANSWER: b RATIONALE: Small-business services range from shoeshine parlors to car rental agencies, from marriage counseling to computer software, from accounting and management consulting to professional dog walking.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 24. You run a same-day delivery service, where your responsibilities include hiring reliable drivers and managing their schedules. You also monitor the drivers' locations to match them with delivery requests as they come in from clients.

Billing is done monthly, following an established rate fee. This business operates within the: a. service industry. b. retail industry. c. wholesaling industry. d. finance industry.

ANSWER: a RATIONALE: The business described is a same-day delivery service, which is a typical example of a service industry. The key characteristic of service industries is that they provide intangible offerings, such as transportation, health care, education, and consulting, rather than physical products. In this case, the business is not selling goods but providing a delivery service, which involves logistics, transportation, and customer support.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 25. Which industry would businesses like pet care salons, skin clinics, and day care centers belong to? a. retail b. service c. manufacturin g d. construction ANSWER: b RATIONALE: Small-business services range from shoeshine parlors to car rental agencies, from marriage counseling to computer software, from accounting and management consulting to professional dog walking.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 26. A business that sells directly to consumers products manufactured by other firms is classified as: a. service. b. finance. c. retail.

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d. wholesale.

ANSWER: c RATIONALE: A retail business sells directly to consumers products manufactured by other firms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 27. Your friend owns a boutique that sells fashionable clothing for women. It operates in which industry? a. wholesale b. service c. retail d. finance ANSWER: c RATIONALE: A retail business sells directly to consumers products manufactured by other firms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 28. You run a store that exclusively sells handmade vegan cosmetics, offering a wide range of products from various companies. The store is relatively small, and you know that only a small segment of customers purchase such products, so you focus exclusively on serving that niche market. Which of the following can be inferred from the scenario? a. The owner runs a wholesale store. b. The owner uses a niche strategy in the retail industry. c. The owner uses a cost leadership strategy in the service industry. d. The owner uses a product differentiation strategy in the manufacturing industry.

ANSWER: b RATIONALE: The owner uses a niche strategy in the retail industry. People who start small businesses in the retail industry favor specialty shops because these shops let them focus limited resources on narrow market segments.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 29. Which of the following is a good strategy for small businesses entering the retail industry, allowing the business to best use limited resources? a. targeting a wide customer base b. selling standard rather than specialty products c. focusing on a narrow market segment d. increasing overhead costs ANSWER: c RATIONALE: People who start small businesses in the retail industry favor specialty shops—for example, big-men’s clothing or gourmet coffees—which let them focus limited resources on narrow market segments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 30. Your friend recently launched a new electronics store that sells smartphones, laptops, and mobile accessories from companies like Apple, Samsung, Sony, and Philips. The store operates in which industry? a. manufacturin g b. wholesale c. finance d. retail ANSWER: d RATIONALE: A retail business sells directly to consumers products manufactured by other firms.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 31. You own a pet shop that sells specialty products like birthday cakes for dogs, canned cat food, and live food for fish.

You source these products from various manufacturers and sell them to local residents. What industry does your shop operate in? a. retail b. wholesale c. service Copyright Cengage Learning. Powered by Cognero.

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d. manufacturin g ANSWER: a RATIONALE: The pet shop operates in the retail industry. A retail business sells directly to consumers products manufactured by other firms.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Creation of Value G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 32. Mortgage companies and pawn shops operate in what type of industry? a. wholesale b. retail c. services d. finance ANSWER: d RATIONALE: Some local savings-and-loan-operations, mortgage companies, and pawn shops fall into the finance and insurance industry.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:49 AM ED: 33. Graver Bros. Inc. is a company that buys packaged organic grains from local farmers and sells them to supermarkets in large cities. Graver Bros. Inc. operates in what type of industry? a. wholesale b. retail c. manufacturin g d. finance ANSWER: a RATIONALE: A wholesale business buys products from manufacturers or other producers and then sells them to retailers. Wholesalers usually buy goods in bulk and store them in quantity at locations that are convenient for retailers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 34. Which of the following statements is true about the finance and insurance industry? a. They buy products from producers and sells them to retailers. b. In most cases, the small businesses are either affiliates of or sell products provided by larger firms. c. Because they serve more consumers than most other types of industries, they generally need more employees. d. Because of the investment normally required, a good deal of money is usually needed to start a business.

ANSWER: b RATIONALE: Finance and insurance businesses comprise about 7% of all firms with fewer than 20 employees. In most cases, these businesses either are affiliates of or sell products provided by larger national firms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 35. Which of the following statements is true about wholesalers? a. They sell products to the general public. b. They need fewer employees than manufacturers or retailers. c. They have more customers than service businesses. d. They buy raw materials and process them into products.

ANSWER: b RATIONALE: Wholesalers usually buy goods in bulk and store them in quantity at locations that are convenient for retailers. For a given volume of business, wholesalers need fewer employees than manufacturers, retailers, or service providers.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 36. Nokia and Samsung make cell phones. They operate in which industry? a. construction b. manufacturin Copyright Cengage Learning. Powered by Cognero.

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g c. finance d. service ANSWER: b RATIONALE: Nokia and Samsung operate in the manufacturing industry.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 37. Starting a business that involves significant investment in equipment, energy, and raw materials typically requires a large amount of capital. Which type of business is most likely to need this level of investment? a. retail b. wholesaling c. manufacturin g d. services ANSWER: c RATIONALE: Because of the investment normally required in equipment, energy, and raw materials, a good deal of money is usually needed to start a manufacturing business.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

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KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 38. Delta LLC. purchases raw materials such as leather and canvas from suppliers and processes them into finished shoes.

Delta LLC. operates in the which type of industry? a. construction b. e-tailing c. service d. manufacturin g ANSWER: d RATIONALE: Manufacturing involves processing raw materials into finished goods.

Because of the investment normally required in equipment, energy, and raw materials, a good deal of money is usually needed to start a manufacturing business.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 39. The idea that the manufacturing costs per unit decrease as the number of units produced increases is known as: a. economy of scale. b. venture capitalism. c. Reed's law. d. the first-mover advantage.

ANSWER: a RATIONALE: Research has shown that manufacturing costs often fall as the number of units produced by an organization increases. This relationship between cost and production is called an economy of scale.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 40. Which industry is most associated with big business due to the significant investment required in equipment, energy, materials, and capital? a. insurance b. wholesale c. manufacturin g d. e-tailing ANSWER: c RATIONALE: More than any other industry, manufacturing lends itself to big business —and for good reason. Because of the investment normally required in equipment, energy, and raw materials, a good deal of money is usually needed to start a manufacturing business.

POINTS: 1 QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 41. Which of the following are the aspects of business that a firm performs better than other companies in the same industry?

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a. niches b. process losses c. distinctive competencies d. feedback loops ANSWER: c RATIONALE: An organization’s distinctive competencies are the aspects of business that the firm performs better than its competitors.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 42. Which type of market is characterized by competition among several large firms following well-defined criteria? a. emerging market b. niche c. merged market d. established market ANSWER: d RATIONALE: An established market is a market in which several large firms compete according to relatively well-defined criteria.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 43. In which industry do skilled craftspeople often begin working for someone else before starting their own small business? a. construction b. service c. retail d. manufacturin g ANSWER: a RATIONALE: Because many construction jobs are relatively small, local projects, local construction firms are often ideally suited as contractors. Many such firms are begun by skilled craftspeople who start out working for someone else and subsequently decide to work for themselves.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 44. What might explain why construction is a good industry for small businesses? a. Because smaller construction firms are not encumbered with a history of doing business in a particular way, they are usually better at innovative approaches to construction. b.Because smaller firms can achieve greater economies of scale, they can complete construction projects at a lower cost. c. Because smaller firms can achieve greater economies of scale, they can complete construction projects in a shorter time frame. d.Because many construction jobs are relatively small local projects, local construction firms are often ideally suited as contractors.

ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

About 9 percent of businesses with fewer than 20 employees are involved in construction. Because many construction jobs are relatively small local projects, local construction firms are often ideally suited as contractors.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 45. Which of the following is an example of a company that has identified a new market? a. Delta Inc. is offering discounts on its vacuum cleaners. b. NutriMax has introduced its low-fat cookies in Asia. c. Omega Corp. has modified the packaging of all its products. d. Beta Inc. has acquired Venus LLC. ANSWER: b RATIONALE: Successful entrepreneurs excel at discovering whole new markets.

Discovery can happen in at least two ways. First, an entrepreneur can transfer a product or service that is well established in one geographic market to a second market. Second, entrepreneurs can sometimes create entire industries.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 46. Identify an accurate comparison between small businesses and large businesses. a. Small businesses are better than large businesses in identifying niches. b. Small businesses can compete better on the basis of economies of scale than large businesses. c. Small businesses perform better than large businesses in manufacturing industries. d. Small businesses dominate high-investment industries more than large businesses.

ANSWER: a RATIONALE: A niche is a segment of a market that is not currently being exploited. In general, small entrepreneurial businesses are better at discovering niches than are larger organizations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 47. Which of the following is an example of identifying a new niche in an established market? a. copying a competitor's popular computer design b. modifying a computer so that it is usable by untrained persons c. reducing the price of a printer so that it is more affordable d. introducing a new computer to another country ANSWER: b RATIONALE: A niche is simply a segment of a market that is not currently being exploited.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 48. You are a business owner in Florida who created a new flavor of homemade ice cream that quickly became popular.

Now, you are planning to expand by supplying the ice cream to retailers in Georgia. What type of business activity are you involved in? a. divesting b. harvesting c. identifying a new market d. identifying an established market ANSWER: c RATIONALE: Successful entrepreneurs excel at discovering whole new markets.

Discovery can happen in at least two ways. First, an entrepreneur can transfer a product or service that is well established in one geographic market to a second market. Second, entrepreneurs can sometimes create entire industries.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 49. What type of advantage is any benefit that comes to a firm because it exploits an opportunity before any other firm does?

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a. comparative advantage b. first-mover advantage c. economic moat advantage d. absolute advantage ANSWER: b RATIONALE: A first-mover advantage is any advantage that comes to a firm because it exploits an opportunity before any other firm does.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 50. A business plan should describe the match between the entrepreneur's abilities and: a. self-dealing strategies. b. trade restraint strategies. c. anti-competitive strategies. d. production strategies.

ANSWER: d RATIONALE: A business plan should describe the match between the entrepreneur’s abilities and the requirements for producing and marketing a particular product or service. It should define strategies for production and marketing, legal aspects and organization, and accounting and finance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Reflective Thinking Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 51. An entrepreneur summarizes the business strategy and details its implementation in which of the following? a. market summary b. mission statement c. business plan d. cost-benefit analysis ANSWER: c RATIONALE: A business plan is a document that summarizes the business strategy and structure.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 52. Which of the following is included in a financial plan along with a cash budget, an income statement, and balance sheets? a. environmental scanning report b. management summary c. break-even chart d. mission statement ANSWER: c RATIONALE: The financial plan is made up of a cash budget, an income statement, balance sheets, and a break-even chart.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 53. Which of the following is the primary purpose of the cash budget in a business plan's financial plan? a. how many units must be sold to recover start-up costs b. the tangible assets owned by the firm c. how much money is needed to start the business and keep it operating d. the salary which the entrepreneur will earn ANSWER: c RATIONALE: The most important of these statements is the cash budget because it tells entrepreneurs how much money they need before they open for business and how much money they need to keep the business operating.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 54. Which of the following is an important question that is answered in a business plan? a. What are the marketing strategies used by the entrepreneur's competitors?

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b. How will the entrepreneur divest strategic business units? c. What are the entrepreneur's goals and objectives? d. What are the overhead costs of the entrepreneur's venture?

ANSWER: c RATIONALE: In particular, a business plan should answer three questions: (1) What are the entrepreneur’s goals and objectives? (2) What strategies will the entrepreneur use to obtain these goals and objectives? (3) How will the entrepreneur implement these strategies?

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 55. If you work for a large company and are considering starting a small manufacturing business, what should you keep in mind about the ability of small business owners to succeed in the manufacturing field? a. Manufacturing start-ups do not require a business plan when seeking funding. b. It is not uncommon for small manufacturers to outperform big business in innovativedriven industries. c. Manufacturers represent the fastest-growing segment of small-business enterprise. d. Manufacturers offer a higher return on time invested than any other industry group.

ANSWER: b RATIONALE: About 3.05% of businesses with fewer than 20 employees are involved in some aspect of manufacturing. Indeed, it is not uncommon for small manufacturers to outperform big business in such innovation-driven industries as chemistry, electronics, toys, and computer software. Some small manufacturers prosper by serving as suppliers to large manufacturers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and Copyright Cengage Learning. Powered by Cognero.

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new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:49 AM ED: DATE MODIFI 4/7/2025 5:49 AM ED: 56. How will pursuing the niche of children's educational software help you outperform competitors? a. It will provide you with a specialized business plan. b. It will give you a distinctive competency. c. It will shift the economies-of-scale curve. d. It will create an entirely new industry.

ANSWER: b RATIONALE: Identifying a new niche is one of the three primary ways that small businesses can establish a distinctive competency. Small manufacturers can prosper by discovering a profitable segment of the market that is not yet being exploited.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 57. Which of the following best summarizes the relationship between necessary resources and the prevalence of small businesses in an industry group? a. The more resources an industry requires, the easier it is to start a business and the less likely it is that the industry is dominated by small firms. b.The more resources an industry requires, the harder it is to start a business and the less likely it is that the industry is dominated by small firms. c. The more resources an industry requires, the easier it is to start a business and the more likely it is that the industry is dominated by small firms.

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d.The fewer resources an industry requires, the harder it is to start a business and the more likely it is that the industry is dominated by small firms.

ANSWER: b RATIONALE: In general, the more resources an industry requires, the harder it is to start a business and the less likely that the industry is dominated by small firms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 58. Which industry are entrepreneurs drawn to because the industry offers the highest return on time invested and appeals to the talent and innovation that many small enterprises typify? a. wholesale b. retail c. services d. financial ANSWER: c RATIONALE: Primarily because they require few resources, service businesses are the fastest-growing segment of small business enterprise. In addition, no other industry group offers a higher return on time invested for start-ups and new ventures.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 59. While many businesses in the area offer lawn mower repair, they require customers to bring their equipment to the store. You recognized that this is inconvenient for many consumers and started a business where service technicians bring the repair shop directly to the customer. You are capitalizing on a: a. niche market. b. business plan. c. wholesale opportunity. d. established market.

ANSWER: a RATIONALE: A niche is a segment of a market that is not currently being exploited.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 60. Which of the following is an advantage of buying an existing business? a. established supplier relationships b. ability to set prices c. freedom to choose locations d. minimal production costs ANSWER: a RATIONALE: If successful, an existing business has already proved its ability to draw customers at a profit. It has also established working relationships with lenders, suppliers, and the community.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 61. Which of the following is a disadvantage of buying an existing business? a. Potential buyers have less clarity on what to expect from the venture. b. The entrepreneur may suffer the ill effects of a prior owner’s errors. c. The task of predicting sales becomes more difficult. d. The task of identifying customers becomes more difficult.

ANSWER: b RATIONALE: A disadvantage of buying an existing business is that the entrepreneur may suffer from the errors made by previous owners.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO5.4 - Discuss the structural challenges unique to start-ups and new ECTIVES: ventures.

ACCREDITING S Analytic TANDARDS: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED 4/7/2025 5:50 AM : 62. Which of the following is an advantage of starting a business from scratch? a. The entrepreneur can easily estimate product sales. b. The entrepreneur is free to choose inventories and locations. c. Potential buyers have a clear idea of what products to expect from the venture. d. The entrepreneur is relieved of the task of identifying markets.

ANSWER: b RATIONALE: A new business does not suffer the ill effects of a prior owner’s errors.

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The start-up owner is also free to choose lenders, equipment, inventories, locations, suppliers, and workers, unbound by a predecessor’s commitments and policies.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 63. Your brother wants to start a business in your hometown, but first wants to research the market and understand how successful their business might be. The best way for your brother to gain knowledge is to: a. take advice about the market from his friends and relatives. b. conduct a consumer survey. c. study the history of successful firms in the field. d. work for an established firm in this business.

ANSWER: d RATIONALE: The best way to gain knowledge about a market is to work in it before going into business in it.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO5.4 - Discuss the structural challenges unique to start-ups and VES: new ventures.

ACCREDITING STAN Reflective Thinking DARDS: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 64. Your company, Delta Inc., an electric car maker, initially received financing from a small group of investors looking to make profits through rapid growth. These investors did not lend money but invested in the company in exchange for stock. Your source of financing was: a. personal resources.

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b. a commercial bank. c. a strategic alliance. d. a venture capital company.

ANSWER: d RATIONALE: Venture capital companies are groups of small investors seeking to make profits on companies with rapid growth potential. Most of these firms do not lend money: They invest it, supplying capital in return for stock.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 65. Why are lending institutions such as banks more likely to help finance the purchase of an existing business than a new business? a. Eligibility guidelines are more flexible. b. The risks are better understood. c. The government backs loans for purchases. d. Loan amounts for purchases tend to be smaller.

ANSWER: b RATIONALE: Lending institutions are more likely to help finance the purchase of an existing business than a new business because the risks are better understood.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

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DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 66. Your friend has started a software development firm. They do not have the resources to package and market the software, so they partnered with Zenith LLC. What is the financial relationship between your friend and Zenith? a. combination of personal resources b. government loans c. strategic alliance d. venture capital company ANSWER: c RATIONALE: Strategic alliances are becoming a popular method for financing business growth. For instance, commercial real estate developers occasionally develop alliances with regional restaurant chains. The restaurant chain may commit to opening new dining establishments in different new developments. The developer benefits from this by having some early tenants and businesses that attract visitors. In return, the developer may give the restaurants priority preferences for locations, assistance with construction costs, and lower rent.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 67. What type of sources can small businesses approach for financing, such as banks, independent investors, and government funds? a. venture capitalists b. strategic allies c. franchisers d. lenders ANSWER: d RATIONALE: Although banks, independent investors, and government loans all provide much smaller portions of start-up funds than the personal Copyright Cengage Learning. Powered by Cognero.

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resources of owners, they are important in many cases.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 68. Venture capital companies: a. exchange money for partial ownership in the new business. b. exclusively fund not-for-profit organizations. c. grant no-interest loans to small business firms. d. provide management consulting services to small businesses.

ANSWER: a RATIONALE: Venture capital companies are groups of small investors seeking to make profits on companies with rapid growth potential. Most of these firms do not lend money: They invest it, supplying capital in return for stock.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 69. According to research by the National Federation of Independent Business, which of the following is the most important source of money for individuals starting up new businesses?

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a. strategic alliances b. government loans c. personal resources d. banks and private investors ANSWER: c RATIONALE: According to a study by the National Federation of Independent Business (NFIB), an owner’s personal resources, not loans, are the most important source of money.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 70. Which of the following are federally licensed to borrow money from the Small Business Administration and to invest it in or lend it to small businesses? a. small business investment companies b. small business angel investors c. venture capitalists d. regulatory agencies ANSWER: a RATIONALE: Created by the Small Business Investment Act of 1958, SBICs are federally licensed to borrow money from the SBA and to invest it in or lend it to small businesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

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S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 71. One disadvantage of hiring management consultants to solve problems in business is that: a. management consultants are expensive and charge high fees for their services. b. most management consultants do not provide objective opinions. c. management consultants can be of little help to businesses in the manufacturing industry. d. management consultants can only provide suggestions for general administrative issues.

ANSWER: a RATIONALE: Opinions vary widely about the value of management consultants— experts who charge fees to help managers solve problems. They can be quite expensive, as some consultants charge $3,000 or more for a day of assistance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 72. What are designed to consolidate information from various disciplines and institutions, including technical and professional schools, and share the information with small businesses? a. small business development centers b. small business angel investors c. service corps of retired executives d. active corps of executives ANSWER: a RATIONALE: Small Business Development Centers (SBDCs) are designed to consolidate information from various disciplines and institutions, including technical and professional schools. Then they make this Copyright Cengage Learning. Powered by Cognero.

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knowledge available to new and existing small businesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 73. You worked as a manager for 30 years in a leading corporation and now collaborate with the Small Business Administration to support small businesses. You provide free consultation and assistance to new entrepreneurs and most likely belong to: a. the Service Corps of Retired Executives. b. small business management consultants. c. venture capitalist companies. d. Small business investment companies.

ANSWER: a RATIONALE: A small-business owner who needs help in starting a new business can get it free through the Service Corps of Retired Executives (SCORE). All SCORE members are retired executives, and all are volunteers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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74. Which of the following organizations boasts a total membership of more than 14,000 small business owners, the largest number in the country. It offers its members networking possibilities and educational programs and services tailored to their needs. a. Small Business Development Center b. Active Corps of Executives c. Council of Smaller Enterprises of Cleveland d. Small Business Administration ANSWER: c RATIONALE: The Council of Smaller Enterprises of Cleveland boasts a total membership of more than 10,000 small business owners, the largest number in the country. This organization offers its members not only networking possibilities, but also educational programs and services tailored to their needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 75. The National Association of Women Business Owners is best known for providing: a. networking forums for entrepreneurs. b. 85 different free educational programs each year for entrepreneurs. c. management consulting for free to small business owners. d. funds not-for-profit organizations run by women.

ANSWER: a RATIONALE: The National Association of Women Business Owners (NAWBO) provides a variety of networking forums. The NAWBO also has chapters in most major cities, where its members can meet regularly.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

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ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 76. When an entrepreneur pays a parent company a monthly percentage of the gross income of their business in return for using the parent company's name and products, it is known as: a. a franchise agreement. b. a merger. c. a partnership. d. a business plan.

ANSWER: a RATIONALE: In a contract between an entrepreneur (the franchisee) and a parent company (the franchiser); the entrepreneur pays the parent company for the use of its trademarks, products, formulas, and business plans.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 77. Which of the following statements is true about a franchise agreement? a. The franchisee is free to modify the franchisor's products. b. The franchisee can consult the franchiser for managerial and financial help. c. The franchisee does not have to pay a start-up cost for the venture. d. The franchisee can keep all the profits made by the venture.

ANSWER: b RATIONALE: A franchise is an arrangement that permits the franchisee (buyer) to sell the product of the franchiser (seller, or parent company). Franchisees can thus benefit from the selling corporation’s experience and expertise.

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They can also consult the franchiser for managerial and financial help.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 78. Which of the following is an advantage of a franchising agreement? a. The franchisee is not required to pay a start-up cost. b. The franchisee can easily establish a business with reduced risks. c. The franchisee enjoys maximum independence in running the venture. d. The franchisee gets to modify the franchiser's products.

ANSWER: b RATIONALE: Unlike the person who starts from scratch, the franchisee does not have to build a business step by step. Instead, the business is established virtually overnight. Moreover, because each franchise outlet is probably a carbon copy of every other outlet, the chances of failure are reduced.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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79. Identify an advantage of a franchising agreement. a. The franchiser gets all the profits made by the franchisee venture. b. The franchisee has scope for innovation and can modify products. c. The franchiser can grow rapidly from franchising agreements. d. The franchisee does not have to pay a start-up cost.

ANSWER: c RATIONALE: Franchises offer many advantages to both sellers and buyers. For example, franchisers benefit from the ability to grow rapidly by using the investment money provided by franchisees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 80. The most significant disadvantage to owning a franchise is that: a. the franchisee is required to create an operations process from scratch. b. the franchisee does not receive any management consultation. c. the franchisee may have to pay a high start-up cost. d. the franchisee will have to set up the business from scratch.

ANSWER: c RATIONALE: The most significant disadvantage of owning a franchise is the high start-up cost.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO5.4 - Discuss the structural challenges unique to start-ups S: and new ventures.

ACCREDITING STAND Analytic ARDS: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 5:50 AM

81. Which of the following is a disadvantage of franchising agreements? a. The franchisee cannot use the trademarks and business plans. b. The franchisee loses some independence in running the venture. c. The franchiser does not get any investment from the franchisee. d. The franchiser has no control over what products the franchisee sells.

ANSWER: b RATIONALE: Buying a franchise also entails fewer tangible costs. For one thing, the small-business owner sacrifices some independence.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO5.4 - Discuss the structural challenges unique to start-ups and new ECTIVES: ventures.

ACCREDITING S Analytic TANDARDS: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED 4/7/2025 5:50 AM : 82. Which is a group of small investors seeking to make profits on companies with rapid growth potential? a. bank lenders b. government lenders c. venture capital companies d. crowdfunding platforms ANSWER: c RATIONALE: Venture capital companies are groups of small investors seeking to make profits on companies with rapid growth potential. Most of these firms do not lend money: They invest it, supplying capital in return for stock. The venture capital company may also demand a representative on the board of directors.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 83. Which is a contract between an entrepreneur and a parent company that requires the entrepreneur to pay the parent company for the use of its trademarks, products, formulas, and business plans? a. business plan b. SBA loan c. franchising agreement d. crowdfunding ANSWER: c RATIONALE: A franchise is an arrangement that permits the franchisee (buyer) to sell the product of the franchiser (seller or parent company). Franchisees can thus benefit from the selling corporation’s experience and expertise.

They can also consult the franchiser for managerial and financial help.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 84. Sources of advice regarding management include all EXCEPT: a. advisory boards. b. networking. c. management consultants. d. information technology professionals.

ANSWER: d RATIONALE: Information technology professionals are not a source of management advice. To survive and grow, start-ups and new ventures may also need Copyright Cengage Learning. Powered by Cognero.

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advice about management. This advice is usually available from four sources: advisory boards, management consultants, the SBA, and the process of networking.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 85. You have been thinking about starting your own firm but are uncertain about the time and other resources required.

What should be their first step in launching a new start-up? a. Assess your commitment to becoming a business owner. b. Choose the goods and services to offer. c. Assess your skills and interests. d. Assess trends in the industry.

ANSWER: a RATIONALE: When starting a new business, the first step is to evaluate how committed individuals are to becoming small business owners. Making this choice also requires would-be entrepreneurs to assess not only industry trends but also their own skills. Like the managers of existing businesses, new business owners must also be sure that they understand the true nature of the enterprise in which they are engaged.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:50 AM ED: 86. You would like some advice about potentially starting a small business. Where could you go for free advice from retired executives who understand their industry? a. an advisory board b. a SCORE counselor c. a venture capital company d. a strategic alliance partner ANSWER: b RATIONALE: The Service Corps of Retired Executives (SCORE) offers free consulting services to help individuals starting new businesses. SCORE counselors are available through the Small Business Administration.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 87. Before starting a new business, what is one of the questions that an entrepreneur must answer when studying the markets? a. What are my goals and objectives? b. What strategies will I use to obtain my goals and objectives? c. How will my product differ from those of my competitors? d. How will I implement my chosen strategies?

ANSWER: c RATIONALE: To find openings, entrepreneurs must study markets and answer the following questions: (1) Who are my customers? (2) Where are they? (3) At what price will they buy my product? (4) In what quantities will they buy? (5) Who are my competitors? and (6) How will my product differ from those of my competitors?

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 88. At what point should an entrepreneur ask the questions, "Who are my customers, and where are they?" a. when studying the market for a startup b. when writing a business plan c. when buying an existing business d. when sales begin to decline ANSWER: a RATIONALE: To find openings, entrepreneurs must study markets and answer the following questions: (1) Who are my customers? (2) Where are they? (3) At what price will they buy my product? (4) In what quantities will they buy? (5) Who are my competitors? and (6) How will my product differ from those of my competitors?

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 89. You would like to open a cafeteria to provide meals to workers at the local hospital. However, you need to find a source of financing. In a conversation, you have asked the hospital to provide resources and build the cafeteria. Which source of financing is the individual pursuing? a. personal Copyright Cengage Learning. Powered by Cognero.

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resources b. crowdfunding c. strategic alliances d. government loans ANSWER: c RATIONALE: A strategic alliance is a partnership with another firm. Strategic alliances are a popular method for financing business growth. For instance, commercial real estate developers occasionally develop alliances with regional restaurant chains. The restaurant chain may commit to opening new dining establishments in different new developments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 90. Your friend has a small business that is doing well, and they are ready to expand. Before doing so, they would like to meet with other business owners and get their feedback. How might your friend seek out information from others to do this? a. seek out a franchise agreement b. hire a management consultant c. join a networking group d. form an advisory board ANSWER: c RATIONALE: In particular, women and minorities have found networking to be an effective problem-solving tool. The National Association of Women Business Owners (NAWBO), for example, provides a variety of networking forums. Increasingly, women are relying more on other women to help locate venture capital, establish relationships with customers, and provide such essential services as accounting and legal advice.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structure of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 91. Which of the following is one of the recent trends in small business start-ups? a. Fewer people leaving big businesses to work for themselves. b. Minorities and women starting more new businesses. c. Significant increase in start-ups in the wholesale industry. d. Declining survival rate among small businesses.

ANSWER: b RATIONALE: In addition to big-business expatriates, minorities and women are also starting more new businesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO5.5 - Summarize the determinants of the performance of TIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITING STA Analytic NDARDS: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 92. You are a small business owner planning to expand your online retail store. After three years in business, your sales have plateaued. Through market research, you identify a gap in the market for eco-friendly products and believe shifting your product focus can grow your customer base. Based on start-up strategies, which action should you prioritize to maximize your chances of success? a. Invest heavily in traditional marketing campaigns and TV advertisements. b.Conduct further market research to understand the demand for eco-friendly products in their target demographic. c. Continue with the same product line and increase advertising spending without changing their product focus. d.Launch the eco-friendly product line without any market research, assuming it will automatically attract customers.

ANSWER: b RATIONALE: Conducting market research is crucial before making significant business decisions, such as shifting product focus. Alex needs to ensure that there Copyright Cengage Learning. Powered by Cognero.

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is sufficient demand for eco-friendly products in their target market.

Expanding into a new product category without research could lead to costly mistakes.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 93. Which of the following is a recent business trend? a. better survival rates of entrepreneurial ventures b. emergence of brick-and-mortar ventures c. decline in the number of small businesses in the retail industry d. decline in opportunities for women ANSWER: a RATIONALE: More people are encouraged to test their skills as entrepreneurs because the failure rate among small businesses has been declining in recent years.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO5.5 - Summarize the determinants of the performance of JECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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94. Which of the following is one of the factors responsible for the failure of a small business? a. managerial inexperience b. strong control systems c. excess capital d. entrepreneurial competence ANSWER: a RATIONALE: Although no set pattern has been established, four general factors contribute to new business failure. They are managerial incompetence, neglect, weak control systems, and insufficient capital.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 95. What is a general factor that contributes to the success of small businesses? a. escalation of commitment b. external locus of control c. satisficing d. analysis of market conditions ANSWER: d RATIONALE: Careful analysis of market conditions can help new business owners assess the probable reception of their products in the marketplace.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO5.5 - Summarize the determinants of the performance of ECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITING Analytic Technology STANDARDS: TOPICS: The Performance of Start-Ups and New Ventures Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 96. Most successful entrepreneurs: a. carefully analyze market conditions. b. launch their ventures in their spare time. c. succeed straight out of college. d. work with venture capitalists.

ANSWER: a RATIONALE: Careful analysis of market conditions can help new business owners assess the probable reception of their products in the marketplace. This will provide insights about market demand for proposed products and services.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 97. Which of the following contribute to reasons for failure? a. analysis of market conditions b. launching the business in spare time c. using the expertise of others d. positive feelings and a good outlook ANSWER: b RATIONALE: Neglect can contribute to failure. Some entrepreneurs try either to launch their ventures in their spare time or to devote only a limited amount of time to a new business. But starting a new business requires an overwhelming time commitment.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 98. You were employed by the regional hospital system and decided to start your own business in the medical support field. You plan to leverage your extensive experience to succeed in this small-business start-up. Which type of entrepreneurial trend does this represent? a. franchising agreement b. emergence of e-commerce c. collaborative networking d. crossover from big business ANSWER: d RATIONALE: Crossover from big business is a significant trend in small business startups. It is becoming more common to see people take the experiences and capabilities gained from a large organizational setting and use them to go to work for themselves.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 99. In what way can a new start-up use e-commerce to do business? a. to identify niche markets Copyright Cengage Learning. Powered by Cognero.

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b. to increase managerial competence c. to strengthen control systems d. to quickly expand a new business easily ANSWER: d RATIONALE: Because online platforms have provided fundamentally new ways of doing business, savvy entrepreneurs have been able to create and expand new businesses faster and more easily than ever before.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 100. Financial difficulties led to the closing of your software testing department, so you decided to start your own business. You plan to leverage your extensive experience to succeed in this small business start-up. Which of the following factors could work against you? a. crossover from big business b. access to capital c. managing failure rates d. advice of SCORE members ANSWER: b RATIONALE: Some entrepreneurs are overly optimistic about how soon they will start earning profits. In most cases, however, it takes months or years before a business is likely to start turning a profit.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 101. Lack of effective control systems leads to what problem that causes businesses to fail? a. Managers are not able to make basic business decisions. b. Managers do not understand the basic concepts of management. c. Managers may be in serious trouble before more visible difficulties alert them. d. Entrepreneurs devote only a limited amount of time to a new business.

ANSWER: c RATIONALE: Effective control systems are needed to keep a business on track and to help alert entrepreneurs to potential trouble. If control systems do not signal impending problems, managers may be in serious trouble before more visible difficulties alert them.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 102. Most experts recommend that a new business should have enough capital on hand to operate for at least how long without earning a profit? a. 3 months b. 6 months c. 18 months d. 24 months ANSWER: b RATIONALE: Most experts say that a new business should have enough capital to operate for at least six months without earning a profit; some recommend enough to last a year.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 103. You started a new financial consulting business on the side, hoping it would eventually become your full-time work.

With extensive experience in the field, you carefully researched the market, determined the right services and pricing, secured several clients, and hired workers to manage the accounts. Despite all this preparation, your business failed. What factors most likely contributed to this failure? a. bad luck b. managerial inexperience c. neglect d. lack of capital ANSWER: c RATIONALE: In this scenario, neglect likely contributed to the failure, as the owner tried to launch this venture in their spare time.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO5.5 - Summarize the determinants of the performance of CTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITING ST Analytic Technology ANDARDS: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 104. What is a franchising agreement? Explain how it works?

A franchise is an arrangement that permits the franchisee (buyer) to sell the ANSWER: product of the franchiser (seller, or parent company). Franchisees can thus benefit from the selling corporation’s experience and expertise. They can also consult the franchiser for managerial and financial help.

For example, the franchiser may supply financing. It may pick the store location, negotiate the lease, design the store, and purchase necessary equipment. It may train the first set of employees and managers and provide standardized policies and procedures. Once the business is open, the franchiser may offer franchisees Copyright Cengage Learning. Powered by Cognero.

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savings by allowing them to purchase from a central location. Marketing strategy (especially advertising) may also be handled by the franchiser. Finally, franchisees may benefit from continued management counseling. In short, franchisees receive—that is, invest in—not only their own ready-made business but also expert help in running it.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO5.4 - Discuss the structural challenges unique to start-ups and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Structures of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 105. Consider the factors involved in selecting an industry for a new business venture. Analyze how the resource requirements of the manufacturing industry may present challenges for start-ups compared to the service industry, which has fewer barriers to entry. Based on your analysis, how should a potential entrepreneur decide which industry to enter, and what strategic considerations should be made in their decision?

ANSWER: Starting a business in manufacturing presents more challenges than in services due to higher resource requirements. Manufacturing demands significant investments in equipment, facilities, and materials, making it harder for small firms to compete with larger ones due to economies of scale. In contrast, the service industry has lower entry barriers, requiring fewer resources and capital, making it easier to start and scale.

When choosing an industry, an entrepreneur should consider initial investment, competition, and potential for growth. Service businesses typically offer quicker profitability with lower financial risk, while manufacturing requires more capital but can offer long-term growth. Entrepreneurs should assess their resources, risk tolerance, and goals to determine the best fit.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO5.3 - Identify the major issues involved in choosing strategies for small BJECTIVES: businesses and the role of international management in start-ups and Copyright Cengage Learning. Powered by Cognero.

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new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategy for Start-Ups and New Ventures KEYWORDS: Bloom's: Analyze DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 106. Discuss the factors contributing to the success and failure of start-ups and new ventures. How do trends in the business landscape, such as e-commerce and increased minority and women entrepreneurship, influence these outcomes?

ANSWER: The success or failure of start-ups and new ventures can be attributed to several factors, including management practices, market conditions, and external trends.

Key factors for success include hard work, market analysis, managerial competence, and a bit of luck. Entrepreneurs who put in the effort, understand their market, and have the skills to lead a business are more likely to succeed.

For example, companies like Netflix succeeded due to careful market analysis and seizing opportunities in evolving technologies.

Conversely, failure often arises from managerial incompetence, neglect, weak control systems, and insufficient capital. Entrepreneurs who lack the necessary skills or resources to manage effectively may find their ventures unsustainable.

This is particularly true for businesses that cannot survive for months without profit or fail to adapt to changes in the market.

Trends such as the rise of e-commerce have created new opportunities for entrepreneurs, allowing them to reach customers globally with minimal startup costs. Moreover, the increasing number of businesses started by minorities and women has contributed to a more diverse entrepreneurial landscape, enhancing the chances for success. These trends, coupled with better survival rates, suggest that the start-up environment is becoming more favorable, with entrepreneurs having more tools and opportunities to succeed than ever before.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO5.5 - Summarize the determinants of the performance of BJECTIVES: entrepreneurs, start-ups, and new ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Performance of Start-Ups and New Ventures KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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107. Discuss the key differences between an entrepreneur and a business owner who hires professional managers to run their business. In your answer, explain the roles and responsibilities of an entrepreneur, the level of personal risk they assume, and how this contrasts with the role of a business owner who may not be directly involved in the day-to-day operations. Additionally, explain how these distinctions affect the success and failure of a business.

An entrepreneur is actively involved in the planning, organizing, and running of ANSWER: their business, taking full personal responsibility and financial risk for its success or failure. For example, Hamdi Ulukaya, founder of Chobani, invested his own resources and made critical decisions in running the company.

Entrepreneurs are hands-on, flexible, and adaptable to challenges.

In contrast, a business owner who hires professional managers is less involved in daily operations and may focus on overseeing the general direction of the business. While they still bear financial risk, they don't directly manage the business.

This difference affects success because entrepreneurs, due to their direct involvement, are often more committed and adaptable, increasing their chances of success. Business owners who delegate may lack responsiveness to challenges, impacting their business's ability to succeed or fail. In essence, entrepreneurs have a more personal stake and hands-on approach compared to business owners who outsource operations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO5.1 - Discuss the meaning of entrepreneurship, start-ups, and new BJECTIVES: ventures.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Meaning of Entrepreneurship KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 108. Explain how small businesses contribute to the U.S. economy in terms of job creation and innovation. Provide specific examples from the text to support your explanation.

Small businesses play a vital role in the U.S. economy by driving both job ANSWER: creation and innovation. They are responsible for a significant portion of new employment, accounting for around 35 to 45% of all new jobs in hightechnology sectors. This job creation helps fuel economic growth, particularly in emerging industries. Additionally, small businesses are responsible for introducing more than half of all innovations in the U.S. marketplace each year, ensuring the continuous development of new products, technologies, and solutions. Their ability to innovate and adapt to market changes allows them to stay competitive and contribute to societal advancements. In this way, small businesses not only support the economy through job creation but also lead the Copyright Cengage Learning. Powered by Cognero.

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charge in technological and product innovation, keeping the marketplace dynamic and forward-thinking.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO5.2 - Describe the role of entrepreneurships, start-ups, and new BJECTIVES: ventures in society.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Role of Entrepreneurs, Start-Ups, and New Ventures in Society KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED:

Copyright Cengage Learning. Powered by Cognero.

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Chapter 06 - Organization Structure and Design 1. What is the process by which the overall task of the organization is broken down and divided into smaller component parts? a. Job specialization b. Job enrichment c. Job rotation d. Job enlargement ANSWER: a RATIONALE: Job specialization is the process by which the overall task of the organization is broken down and divided into smaller component parts.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO6.1 - Identify the basic elements of organizations.

ECTIVES: STATE STANDA United States - AK - DISC: Leadership Principles RDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 2:46 AM D: 2. One of the benefits of job specialization is that it_______. a. makes employees proficient at a task b. significantly increases employee satisfaction c. offers new challenges and stimulation to the workers d. decreases boredom and absenteeism among workers ANSWER: a RATIONALE: Job specialization provides many benefits to organizations. One of the benefits is that workers performing small, simple tasks will become very proficient at each task.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 3. One of the disadvantages of job specialization is that it________. a. increases the transfer time between tasks b. makes it difficult to develop specialized equipment to assist with a job c. does not help a worker become proficient at a task d. does not offer challenges or stimulation to workers ANSWER: d RATIONALE: The foremost criticism for job specialization is that workers who perform highly specialized jobs may become bored and dissatisfied. The job may be so specialized that it offers no challenge or stimulation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 4. What is the practice of systematically moving employees from one job to another as an alternative to job specialization? a. Job rotation b. Job enlargement c. Job enrichment d. Job specialization ANSWER: a Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Job rotation is a method used to reduce monotony and increase employee skills by periodically shifting workers between different tasks or roles. This approach helps employees develop a broader skill set and enhances their understanding of various organizational functions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 5. You are tasked with restructuring the work of your production line employees to prevent monotony. You decide to assign them a new task and a new area of the production line every two hours. Which approach to work are you using? a. Job enrichment b. Job enlargement c. Job rotation d. Job deskilling ANSWER: c RATIONALE: Job rotation is an alternative to job specialization that involves systematically moving employees from one job to another.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO6.1 - Identify the basic elements of organizations.

CTIVES: STATE STANDAR United States - AK - DISC: Leadership Principles DS: ACCREDITING S BUSPROG: Reflective Thinking TANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED: 4/7/2025 2:46 AM

6. What involves systematically moving employees from one job to another? a. Job enlargement b. Job rotation c. Job deskilling d. Job specialization ANSWER: b RATIONALE: Job rotation involves systematically moving employees from one job to another. For example, a worker in a warehouse might unload trucks on Monday, carry incoming inventory to storage on Tuesday, verify invoices on Wednesday, pull outgoing inventory from storage on Thursday, and load trucks on Friday.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 7. What term refers to the degree to which an organization's overall task is broken down into smaller, specialized tasks? a. Job enlargement b. Job enrichment c. Job specialization d. Job rotation ANSWER: c RATIONALE: Job specialization involves dividing a larger task into smaller, specific tasks, allowing employees to focus on one area of expertise. This can improve efficiency and productivity by enabling workers to develop specialized skills, though it may also lead to monotony if tasks become too repetitive.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 8. Which job approach was developed as a limited method to increase the total number of tasks workers perform and decrease job dissatisfaction? a. Enlargement b. Rotation c. Enrichment d. Specializatio n ANSWER: a RATIONALE: Job enlargement was developed to increase the total number of tasks workers perform. As a result, all workers perform a wide variety of tasks, which presumably reduces the level of job dissatisfaction.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: Copyright Cengage Learning. Powered by Cognero.

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9. What requires continually adding new tasks and challenges as part of the job design? a. Job enlargement b. Job specialization c. Job rotation d. Job enrichment ANSWER: d RATIONALE: Job enrichment is an alternative to job specialization that attempts to increase both the number of tasks a worker does and the control the worker has over the job. Another part of job enrichment is to continually assign new and Easy tasks, thereby increasing employees’ opportunity for growth and advancement.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 10. What is the practice of increasing the total number of tasks that workers perform as an alternative to job specialization? a. Job rotation b. Job enlargement c. Job enrichment d. Job specialization ANSWER: b RATIONALE: Job enlargement involves adding more tasks to an employee’s role to reduce monotony and increase variety, as opposed to job specialization, which focuses on narrow, repetitive tasks. This approach aims to make work more engaging by expanding the scope of responsibilities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 11. Job enrichment_____________. a. does not increase the number of tasks that workers perform b. requires the organization to be highly centralized c. requires delegation of authority d. requires workers to perform a single task ANSWER: c RATIONALE: To implement job enrichment, managers remove some controls from the job, delegate more authority to employees, and structure the work in complete, natural units.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 12. According to the job characteristics approach, task identity is the_____________. a. number of things a person does in a job b. extent to which a worker does a complete portion of the total job Copyright Cengage Learning. Powered by Cognero.

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c. extent to which a worker knows how well the job is being performed d. perceived importance of the task ANSWER: b RATIONALE: According to the job characteristics approach, task identity is the extent to which the worker completes an identifiable portion of the total job.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO6.1 - Identify the basic elements of organizations.

JECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 2:46 AM D: 13. In the context of the job characteristics approach, skill variety is the___________. a. extent to which a worker knows how well the job is being performed b. degree of control a worker has over how the work is performed c. perceived importance of a task d. number of things a person does in a job ANSWER: d RATIONALE: In the context of the job characteristics approach, skill variety refers to the number of things a person does in a job.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO6.1 - Identify the basic elements of organizations.

CTIVES: STATE STANDAR United States - AK - DISC: Leadership Principles DS: ACCREDITING ST BUSPROG: Analytic | Technology - BUSPROG: Analytic ANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED: 4/7/2025 2:46 AM 14. You believe that when your employees have more control over how their work is performed, they achieve better results. Which characteristic are you emphasizing? a. Feedback b. Task identity c. Task significance d. Autonomy ANSWER: d RATIONALE: In the context of the job characteristics approach, autonomy refers to the degree of control the worker has over how the work is performed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO6.1 - Identify the basic elements of organizations.

JECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 2:46 AM D: 15. What is the process of grouping jobs according to some logical arrangement? a. Job rotation b. Job enrichment c. Departmentalization d. Centralization ANSWER: c RATIONALE: Departmentalization is the process of grouping jobs according to some logical arrangement.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO6.1 - Identify the basic elements of organizations.

VES: STATE STANDARDS: United States - AK - DISC: Leadership Principles ACCREDITING STAN BUSPROG: Analytic | Technology - BUSPROG: Analytic DARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

The Basic Elements of Organizing Bloom's: Remember 4/7/2025 2:11 AM 4/7/2025 2:46 AM

16. According to the job characteristics approach, increasing the presence of the five identified dimensions will result in higher_________. a. motivation b. turnover c. quality of performance d. satisfaction ANSWER: b RATIONALE: Increasing the presence of these dimensions in a job presumably leads to higher motivation, higher-quality performance, higher satisfaction, and lower absenteeism and turnover.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 17. Creating separate teams for finance, production, and marketing is an example of which type of departmentalization? a. Location b. Product c. Functiona l d. Sequential ANSWER: c RATIONALE: Functional departmentalization groups together those jobs involving the same or similar activities. (The word function is used here to mean organizational functions such as finance and production, rather than the basic managerial functions, such as planning or controlling.)

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 18. A company forms departments of employees who specialize in sales, service maintenance, customer service, and accounting. Which form of departmentalization does the company use? a. Functiona l b. Product c. Location d. Customer ANSWER: a RATIONALE: Functional departmentalization groups together those jobs involving the same or similar activities.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO6.1 - Identify the basic elements of organizations.

VES: STATE STANDARDS United States - AK - DISC: Leadership Principles : ACCREDITING STA BUSPROG: Reflective Thinking NDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 19. What is a disadvantage of functional departmentalization? a. Supervision becomes difficult as managers will need to have skills in several areas. b. Coordinating activities inside each department becomes difficult. c. Decision making may become slower as the organization grows. d. Employees tend to focus on the overall organization rather than their specific jobs.

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ANSWER: RATIONALE:

c One disadvantage of functional departmentalization is that as an organization grows, decision-making may become slower. This occurs because decisions often need to pass through multiple layers of hierarchy within each functional area before reaching final approval.

Additionally, coordination across departments can become more complex, leading to delays in responsiveness and adaptability. While functional departmentalization provides specialization and efficiency, the increased bureaucracy can hinder agility and quick decision-making.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 20. You are managing a large food corporation that produces canned foods, confectionery, and baked goods. You create separate departments for each type of food, with each department handling all activities related to its respective product line. Which type of departmentalization are you using? a. Sequential b. Customer c. Product d. Location ANSWER: c RATIONALE: Product departmentalization, a common approach, involves grouping and arranging activities around products or product groups. Most larger businesses adopt this form of departmentalization for grouping activities at the business or corporate level.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 21. You own a bakery with ten employees, including bakers, waiters, and customer service staff. Which approach to departmentalization would work best for your business? a. Functiona l b. Product c. Customer d. Location ANSWER: a RATIONALE: The most common base for departmentalization, especially among smaller organizations, is by function. Functional departmentalization groups together those jobs involving the same or similar activities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 22. What is an advantage of using the functional departmentalization approach? a. Supervision is facilitated because an individual manager needs to be familiar with only a small set of skills. b. The speed and effectiveness of decision making increase as the organization grows. c. Accountability and performance become easier to monitor. d. Employees get a better view of the total organization.

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ANSWER: RATIONALE:

a The advantage of using the functional departmentalization approach is that supervision is facilitated because an individual manager needs to be familiar with only a relatively narrow set of skills.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 23. What is a disadvantage of using product departmentalization? a. Decision making tends to become slower and more bureaucratic. b. The performance of individual products or product groups becomes difficult to assess. c. Administrative costs rise because each department must have its own functional specialists. d. All activities associated with one product or product group cannot be easily integrated and coordinated.

ANSWER: c RATIONALE: One disadvantage of using product departmentalization is that administrative costs rise because each department must have its own functional specialists such as market research and financial analysis.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 24. What is a clear and distinct line of authority among the positions in an organization? a. Chain of command b. Span of management c. Job deskilling d. Flat structure ANSWER: a RATIONALE: The chain of command refers to a clear and distinct line of authority within an organization, outlining who reports to whom. It establishes a structured hierarchy, ensuring that responsibilities and decision-making authority are well-defined. This system helps maintain order, facilitates communication, and enables effective delegation of tasks, making it a fundamental principle in organizational management.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 25. What is span of management? a. Extent to which authority is delegated at the individual level b. Extent to which authority is systematically delegated to middle and lower levels of management c. Number of people reporting to a particular manager d. Process of grouping jobs according to some logical pattern ANSWER: c RATIONALE: The span of management refers to the number of people directly reporting to a particular manager. It determines how many employees a manager can effectively oversee and influences organizational structure.

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A wider span of management means more employees per manager, often leading to a flatter hierarchy, while a narrower span results in more managerial layers. This concept is crucial in balancing efficiency, communication, and managerial workload within an organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 26. Which suggests that each person within an organization must have a clear reporting relationship to one and only one boss? a. Span of management b. Entropy c. Flat hierarchy d. Unity of command ANSWER: d RATIONALE: Unity of command, a component of chain of command, suggests that each person within an organization must have a clear reporting relationship to one and only one boss.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 27. Which concept suggests that there must be a clear and unbroken line of authority that extends from the lowest to the highest position in the organization? a. The scalar principle b. Unity of command c. Entropy d. Synergy ANSWER: a RATIONALE: The scalar principle suggests that there must be a clear and unbroken line of authority that extends from the lowest to the highest position in the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 28. Why do researchers claim that there are more communication problems in tall organizations than flat organizations? a. The smaller number of managers as compared to line workers b. The fewer number of subordinates reporting to each manager c. The increased number of people through whom information must pass d. The tendency for reductions in morale to prevent employees from communicating effectively ANSWER: c RATIONALE: Researchers have argued that a tall structure fosters more communication problems (because of the increased number of people through whom information must pass).

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 29. A company has given a production line group the responsibility of designing the work system to be used, including assigning tasks and monitoring and controlling its own performance. What approach is the firm using as an alternative to job specialization? a. Job rotation b. Work teams c. Functional departmentalization d. Job enlargement ANSWER: b RATIONALE: One alternative to job specialization is work teams. Under this arrangement, a group is given responsibility for designing the work system to be used in performing an interrelated set of tasks.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 30. Compared to flat organizations, tall organizations________. a. foster fewer communication problems b. foster more employee productivity c. are more expensive d. are less bureaucratic ANSWER: c RATIONALE: Researchers have argued that a tall structure is more expensive (because of the larger number of managers involved) and that it fosters more communication problems (because of the increased number of people through whom information must pass).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 31. A wide span of management in a flat organization may give a manager_________. a. less authority over subordinates b. more administrative responsibility c. less accountability to a higher-up d. less supervisory responsibility ANSWER: b RATIONALE: A wide span of management in a flat organization may result in a manager having more administrative responsibility (because there are fewer managers) and more supervisory responsibility (because there are more subordinates reporting to each manager).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 32. What is one of the core dimensions of the Job Characteristics Approach used to improve job satisfaction and performance? a. Task significance b. Job rotation c. Work specialization d. Job enrichment ANSWER: a RATIONALE: The Job Characteristics Approach identifies five core dimensions that help improve job satisfaction and performance. One of these dimensions is task significance, which refers to the perceived importance of the task.

The approach suggests that increasing the presence of these dimensions in a job can lead to higher motivation, better performance, and higher job satisfaction.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: Copyright Cengage Learning. Powered by Cognero.

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33. A company has separate divisions to focus on the needs of individual consumers, small businesses, and large businesses. This is an example of which type of departmentalization? a. Product b. Functiona l c. Customer d. Location ANSWER: c RATIONALE: Under customer departmentalization, the organization structures its activities to respond to and interact with specific customers or customer groups.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO6.1 - Identify the basic elements of organizations.

JECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITING BUSPROG: Analytic | Technology - BUSPROG: Analytic STANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFI 4/7/2025 2:46 AM ED: 34. Which type of power has been legitimized by the organization? a. Entropy b. Process gain c. Synergy d. Authority ANSWER: d RATIONALE: Authority is power that has been legitimized by the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO6.1 - Identify the basic elements of organizations.

STATE STANDARDS: United States - AK - DISC: Leadership Principles ACCREDITING STANDARD BUSPROG: Reflective Thinking S: TOPICS: The Basic Elements of Organizing Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: DATE CREATED: DATE MODIFIED:

Bloom's: Remember 4/7/2025 2:11 AM 4/7/2025 2:46 AM

35. What is the process by which a manager assigns a portion of their total workload to others? a. Micromanagement b. Delegation c. Entropy d. Synergy ANSWER: b RATIONALE: Delegation is the process by which a manager assigns a portion of their total workload to others.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO6.1 - Identify the basic elements of organizations.

VES: STATE STANDARDS: United States - AK - DISC: Leadership Principles ACCREDITING STA NDARDS: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

BUSPROG: Analytic | Technology - BUSPROG: Analytic The Basic Elements of Organizing Bloom's: Remember 4/7/2025 2:11 AM 4/7/2025 2:46 AM

36. What is the process of systematically delegating power and authority throughout the organization to middle- and lower-level managers? a. Pooled interdependence b. Decentralization c. Coordination d. Reciprocal interdependence ANSWER: b RATIONALE: Decentralization is the process of systematically delegating power and authority throughout an organization to middle- and lower-level managers.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO6.1 - Identify the basic elements of organizations.

JECTIVES: STATE STAND United States - AK - DISC: Leadership Principles Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITING BUSPROG: Analytic | Technology - BUSPROG: Analytic STANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFI 4/7/2025 2:46 AM ED: 37. The process of systematically retaining power and authority in the hands of higher-level managers is_______. a. specializatio n b. delegation c. centralization d. coordination ANSWER: c RATIONALE: Centralization is the process of systematically retaining power and authority in the hands of higher-level managers.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO6.1 - Identify the basic elements of organizations.

CTIVES: STATE STANDAR United States - AK - DISC: Leadership Principles DS: ACCREDITING ST BUSPROG: Reflective Thinking ANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 38. You manage a company that manufactures home appliances, where all decisions are made by top managers. Middle and lower managers follow instructions rather than making decisions independently. Which concept does this scenario illustrate? a. Coordination b. Synergy c. Centralizatio n d. Specializatio n ANSWER: c RATIONALE: Centralization is the process of systematically retaining power and authority in the hands of higher-level managers.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO6.1 - Identify the basic elements of organizations.

CTIVES: STATE STANDAR United States - AK - DISC: Leadership Principles DS: ACCREDITING ST BUSPROG: Analytic | Technology - BUSPROG: Analytic ANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 39. You work at a company operating in an unpredictable business environment. Middle managers, supervisors, and employees are given autonomy and encouraged to make decisions. Which concept does this scenario illustrate? a. Delegation b. High power distance c. Micromanagement d. Decentralization ANSWER: d RATIONALE: Decentralization is the process of systematically delegating power and authority throughout the organization to middle- and lower-level managers. Usually, the greater the complexity and uncertainty of the environment, the greater is the tendency to decentralize.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 40. What is defined as the process of linking the activities of the various departments of an organization? a. Centralization Copyright Cengage Learning. Powered by Cognero.

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b. Specialization c. Decentralization d. Coordination ANSWER: d RATIONALE: Coordination is defined as the process of linking the activities of the various departments of an organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO6.1 - Identify the basic elements of organizations.

TIVES: STATE STANDARD United States - AK - DISC: Leadership Principles S: ACCREDITING ST BUSPROG: Reflective Thinking ANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 41. A manufacturing and design department frequently consults with the research and development department, and the marketing and sales department regularly interacts with the manufacturing and design department. What does this scenario illustrate at the organization? a. Coordination b. Delegation c. Job rotation d. Job specialization ANSWER: a RATIONALE: Coordination is the process of linking the activities of the various departments of an organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO6.1 - Identify the basic elements of organizations.

VES: STATE STANDARDS United States - AK - DISC: Leadership Principles : ACCREDITING STA BUSPROG: Reflective Thinking NDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM Copyright Cengage Learning. Powered by Cognero.

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42. You manage a firm which has an in-house full-time staff of eight people and outsources basic support services, hiring temporary workers as needed. Some employees work from home, and facilities are leased depending on the project. What type of organization is this an example of? a. Virtual b. Matrix c. Centralized d. Decentralize d ANSWER: a RATIONALE: The virtual organization has little or no formal structure. Such an organization typically has only a handful of permanent employees and a very small staff and administrative headquarters facility. As the needs of the organization change, its managers bring in temporary workers, lease facilities, and outsource basic support services to meet the demands of each unique situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 43. Which type of interdependence involves units working independently, with their outputs combined at the organizational level? a. Pooled b. Total c. Reciprocal d. Sequential ANSWER: a RATIONALE: Pooled interdependence represents the lowest level of interdependence.

Units with pooled interdependence operate with little interaction—the output of the units is pooled at the organizational level.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 44. In which type of interdependence does the output of one unit become the input for another in a serial fashion? a. Pooled b. Sequential c. Structural d. Total ANSWER: b RATIONALE: In sequential interdependence, the output of one unit becomes the input for another in a sequential fashion.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO6.1 - Identify the basic elements of organizations.

TIVES: STATE STANDARD United States - AK - DISC: Leadership Principles S: ACCREDITING ST BUSPROG: Analytic ANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 45. What type of interdependence exists when activities flow both ways between units? a. Sequential b. Pooled c. Structural d. Reciprocal ANSWER: d RATIONALE: Reciprocal interdependence exists when activities flow both ways between units.

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POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO6.1 - Identify the basic elements of organizations.

S: STATE STANDARDS: United States - AK - DISC: Leadership Principles ACCREDITING STAND BUSPROG: Analytic ARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 46. At a chocolate company, raw materials are processed at one plant, sent to the manufacturing plant, and finally, the manufactured chocolates are sent to the packaging plant. What type of interdependence does this scenario illustrate? a. Pooled b. Two-way c. Reciprocal d. Sequential ANSWER: d RATIONALE: In sequential interdependence, the output of one unit becomes the input for another in a sequential fashion.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO6.1 - Identify the basic elements of organizations.

TIVES: STATE STANDARD United States - AK - DISC: Leadership Principles S: ACCREDITING ST BUSPROG: Reflective Thinking ANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 47. At a car company, operations managers give availability information to the dealerships department. When the dealerships department has a specific order, it is sent to the operations department. Which type of interdependence is this? a. Sequential b. Product c. Pooled d. Reciprocal ANSWER: d RATIONALE: Reciprocal interdependence exists when activities flow both ways between units.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO6.1 - Identify the basic elements of organizations.

S: STATE STANDARDS: United States - AK - DISC: Leadership Principles ACCREDITING STAND BUSPROG: Reflective Thinking ARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 48. In a large company with many departments, your job is to facilitate the flow of information between the production and development teams on a project, but you do not have formal authority over either group. Which technique is being used? a. Rules and procedures b. Hierarchy c. Liaison roles d. Task forces ANSWER: c RATIONALE: As a device for coordination, a manager in a liaison role coordinates interdependent units by acting as a common point of contact. This individual may not have any formal authority over the groups but instead simply facilitates the flow of information between units.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED:

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49. A restaurant chain has many outlets, each of which has a separate budget and a set of staff. To determine the success of the entire chain, the profits made by all the outlets are put together. Which type of interdependence is this? a. Pooled b. Reciprocal c. Job d. Sequential ANSWER: a RATIONALE: Pooled interdependence represents the lowest level of interdependence.

Units with pooled interdependence operate with little interaction—the output of the units is pooled at the organizational level.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 50. You have set up an organization based on product departmentalization. What is the advantage of this approach? a. Increased use of pooled interdependence b. Use of skilled specialists to deal with unique issues c. Objective assessment of product groups d. Rapid response to changes in the environment ANSWER: c RATIONALE: Product departmentalization, a common approach, involves grouping and arranging activities around products or product groups. All activities associated with one product or product group can be easily integrated and coordinated, and the speed and effectiveness of decision making are enhanced. The performance of individual products or product groups can be assessed more easily and objectively, thereby improving the accountability of departments for the results of their activities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 51. What is span of management? a. How much of their workload managers assign to others b. Who has legitimate power in the organization c. The number of people who report to a particular manager d. The retention of power by higher-level managers ANSWER: c RATIONALE: One part of establishing reporting relationships is determining how many people will report to each manager. This defines the span of management (sometimes called the span of control).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 52. Which type of interdependence involves the lowest level of coordination, where units operate with little interaction and their output is combined at the organizational level? a. Reciprocal b. Sequential c. Pooled d. Task ANSWER: c RATIONALE: Pooled interdependence represents the lowest level of coordination.

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Units with pooled interdependence operate with minimal interaction, and their outputs are simply combined at the organizational level. Each unit performs its own activities independently, and coordination occurs at a higher level by aggregating the results.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 53. Your company has grown, and you find that you can no longer manage everything on your own. You are now working to group jobs together in a way that makes sense for both workers and managers. What are you trying to establish? a. Decentralization b. Centralization c. Departmentalization d. Work teams ANSWER: c RATIONALE: One element of organization structure is the grouping of jobs according to some logical arrangement. The process of grouping jobs is called departmentalization. New managerial positions are created to supervise or coordinate the work of others, and jobs are grouped according to some plan.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 2:46 AM ED: 54. Which dimension of the job characteristics approach deals with the perceived importance of the task? a. Skill variety b. Task identity c. Task significance d. Autonomy ANSWER: c RATIONALE: The job characteristics approach is an alternative to job specialization that does take into account the work system and employee preferences.

Task significance is the perceived importance of the task.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 55. Which type of interdependence occurs when activities flow among units, requiring complex coordination? a. Sequential b. Pooled c. Reciprocal d. Task ANSWER: c RATIONALE: Reciprocal interdependence is the most complex type of interdependence, where activities flow back and forth among units. This type of interdependence requires a high level of coordination because each unit's output directly affects the others. An example of this is seen in Marriott hotels where the reservations, front-desk check-in, and housekeeping departments are all interdependent.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 56. An organization that places one manager in charge of interdependent departments or units is using which technique to achieve coordination? a. Rules and procedures b. Hierarchy c. Liaison roles d. Task forces ANSWER: b RATIONALE: Organizations that use the hierarchy to achieve coordination place one manager in charge of interdependent departments or units.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO6.1 - Identify the basic elements of organizations.

ECTIVES: STATE STANDA United States - AK - DISC: Leadership Principles RDS: ACCREDITING BUSPROG: Reflective Thinking STANDARDS: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 2:11 AM : DATE MODIFIE 4/7/2025 2:46 AM D: 57. Which management model of organization design is based on a legitimate and formal system of authority? a. Span of management b. Bureaucracy c. Scalar principle d. Decentralized system ANSWER: b RATIONALE: A bureaucracy is a model of organization design based on a Copyright Cengage Learning. Powered by Cognero.

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legitimate and formal system of authority.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO6.2 - Describe the bureaucratic perspective on organizational TIVES: design.

STATE STANDARD United States - AK - DISC: Leadership Principles S: ACCREDITING STA BUSPROG: Analytic NDARDS: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 58. What is one of the characteristics of Weber's bureaucracy? a. Distinct division of labor b. Presence of cross-departmental teams c. Absence of rules and regulations d. Maximum level of decentralization ANSWER: a RATIONALE: According to Weber, one of the five basic characteristics that an ideal bureaucracy exhibits is distinct division of labor.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO6.2 - Describe the bureaucratic perspective on organizational CTIVES: design.

STATE STANDAR United States - AK - DISC: Leadership Principles DS: ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 59. What is one of the strengths of the bureaucratic model? a. Favoritism and bias are minimized. b. Once rules are understood, it is easier to make exceptions. c. It is easier to change rules when circumstances change. d. More attentions is paid to the human and social processes.

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ANSWER: RATIONALE:

a Bureaucracies help minimize favoritism or bias (because everyone must follow the rules) and make procedures and practices very clear to everyone.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO6.2 - Describe the bureaucratic perspective on organizational design.

JECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFI 4/7/2025 2:46 AM ED: 60. According to Weber, in a bureaucracy there should be no______________. a. arbitrary dismissals b. rules and regulations c. promotions given based on technical expertise d. social distance between supervisors and subordinates ANSWER: a RATIONALE: According to Weber, in a bureaucracy, employment and advancement in an organization should be based on technical expertise, and employees should be protected from arbitrary dismissal.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.2 - Describe the bureaucratic perspective on organizational design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 61. What is a characteristic of the ideal bureaucracy? a. Hierarchy of positions b. Decentralization c. Flexible rules d. Informal office relations ANSWER: a RATIONALE: The ideal bureaucracy should establish a hierarchy of positions or offices that creates a chain of command from the top of the organization to the bottom.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.2 - Describe the bureaucratic perspective on organizational design.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 62. What are the best examples of bureaucracies today? a. Small businesses b. Government agencies c. Family-owned retail stores d. Online businesses ANSWER: b RATIONALE: Perhaps the best examples of bureaucracies today are government agencies and universities. Large labor unions are also usually organized as bureaucracies.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO6.2 - Describe the bureaucratic perspective on organizational design.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 63. What is often neglected in a bureaucracy such as a university? a. Admission forms b. Rules and regulations c. Human and social processes d. The scholarship application process ANSWER: c RATIONALE: Once rules are created and put in place, making exceptions (even when warranted) or changing them (when circumstances change) is often difficult. In addition, the bureaucracy often results in the neglect of human and social processes within the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.2 - Describe the bureaucratic perspective on organizational design.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 64. Which is supported in a bureaucracy such as a university? a. Autonomous practices b. Clear rules and procedures c. Chain of command d. Flexible guidelines Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b Weber originally viewed the bureaucratic form of organization as logical, rational, and efficient. He offered the model as a framework to which all organizations should aspire—the “one best way” of doing things. To achieve the advantages of a bureaucratic organizational design, a clear and consistent set of rules based on a single best way of doing things is advised.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.2 - Describe the bureaucratic perspective on organizational design.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 65. According to Weber, how should positions in organizations be filled in an ideal bureaucracy? a. Based on expertise b. Based on teamwork c. Based on seniority d. Based on the flexibility of the task ANSWER: a RATIONALE: According to Weber, in the ideal bureaucracy, the organization should adopt a distinct division of labor, and each position should be filled by an expert.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.2 - Describe the bureaucratic perspective on organizational design.

BJECTIVES: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 2:46 AM ED: 66. Which encompasses the conversion processes used to transform inputs (such as materials or information) into outputs (such as products or services)? a. Deskilling b. Entropy c. Synergy d. Technology ANSWER: d RATIONALE: Technology consists of the conversion processes used to transform inputs (such as materials or information) into outputs (such as products or services).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 67. A local cafe takes one order at a time and customizes the coffee according to the customer's requirements. What type of technology does the cafe use? a. Small-batch b. Mass-production c. Continuous-process d. Standardized process ANSWER: a RATIONALE: In organizations using unit or small-batch technology the product is custom-made to customer specifications or produced in small quantities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABLE False S: LEARNING OB LO6.3 - Explain key situational influences on organization design.

JECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 2:46 AM D: 68. You own a boutique known for hand-making suits for working women. Each suit is customized for customers based on body type, personal style, and appearance goals. Which technology are you using in your boutique? a. Standardizedprocess b. Large-batch c. Continuous-process d. Small-batch ANSWER: d RATIONALE: In organizations using unit or small-batch technology the product is custom-made to customer specifications or produced in small quantities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO6.3 - Explain key situational influences on organization design.

JECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITING BUSPROG: Analytic STANDARDS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFIE 4/7/2025 2:46 AM D: 69. At an electronics firm, different parts are assembled to make standardized laptops along an assembly line. What type of technology is this? a. ProductCopyright Cengage Learning. Powered by Cognero.

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customization b. Mass-production c. Large-batch d. Continuous-process ANSWER: b RATIONALE: In organizations using large-batch or mass-production technology, the product is manufactured in assembly-line fashion by combining component parts into another part or finished product.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 70. In which type of technology are raw materials transformed into a finished product through a series of machine processes, changing the composition of the materials themselves? a. Productcustomization b. Large-batch c. Mass-production d. Continuous-process ANSWER: d RATIONALE: In organizations using continuous-process technology, raw materials are transformed to a finished product by a series of machine transformations.

The composition of the materials themselves is changed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles Copyright Cengage Learning. Powered by Cognero.

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ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 71. Which view of organizational design assumes that the optimal design for an organization depends on factors such as technology, environment, size, and organizational life cycle? a. Optimized b. Situational c. Bureaucratic d. Differentiated ANSWER: b RATIONALE: The situational view of organization design is based on the assumption that the optimal design for any given organization depends on a set of relevant situational factors.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 72. Which of the basic forms of technology identified by Woodward is assumed to be the most complex? a. Complex b. Small-batch c. Continuous-process d. Large-batch ANSWER: c RATIONALE: Unit or small-batch technology is presumed to be the least complex Copyright Cengage Learning. Powered by Cognero.

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and continuous-process technology the most complex.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO6.3 - Explain key situational influences on organization design.

CTIVES: STATE STANDA United States - AK - DISC: Leadership Principles RDS: ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM

73. According to Woodward's findings related to technology and organization design__________. a. successful continuous-process organizations tended to have more bureaucracy b. unit-batch organizations had the highest level of specialization c. mass-production organizations tended to be the least bureaucratic d. mass-production organizations had a higher level of specialization ANSWER: d RATIONALE: In her research, Woodward found that the large-batch and massproduction organizations had a higher level of specialization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO6.3 - Explain key situational influences on organization design.

ECTIVES: STATE STANDA United States - AK - DISC: Leadership Principles RDS: ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED 4/7/2025 2:46 AM : 74. According to Burns and Stalker, what type of organizational environment is subject to uncertainty and rapid change? a. Pooled Copyright Cengage Learning. Powered by Cognero.

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b. Unstable c. Integrated d. Inflexible ANSWER: b RATIONALE: Burns and Stalker worked in England. Their first step was identifying two extreme forms of organizational environment: stable (one that remains relatively constant over time) and unstable (subject to uncertainty and rapid change).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 75. Gemini Motors has an assembly-line structure where workers combine separate parts into standardized finished motorbikes. What type of technology is Gemini Motors most likely using? a. Small-batch b. Mass-production c. Continuous-process d. Job enrichment ANSWER: b RATIONALE: In mass-production technology, the product is manufactured in assembly-line fashion by combining component parts into another part or finished product.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 76. Which type of organization is similar to the bureaucratic model and is most frequently found in stable environments? a. Mechanistic b. Organic c. Continuous process d. Large-batch ANSWER: a RATIONALE: A mechanistic organization (option a) closely resembles the bureaucratic model and is most commonly found in stable environments. Mechanistic structures emphasize formalized procedures, hierarchical authority, and centralized decision-making, making them well-suited for environments with little change or uncertainty. These organizations rely on clear roles, specialization, and efficiency, which help maintain stability and predictability in operations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 77. Mechanistic organizations are_______. a. less specialized b. unlikely to have rules and regulations c. often found in stable environments Copyright Cengage Learning. Powered by Cognero.

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d. less bureaucratic ANSWER: c RATIONALE: A mechanistic organization, quite similar to the bureaucratic model, is most frequently found in stable environments. Free from uncertainty, organizations structured their activities in rather predictable ways by means of rules, specialized jobs, and centralized authority.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 78. According to the Aston studies, which of the following is true of large organizations when compared to small ones? a. They have lower levels of job specialization. b. They have fewer standard operating procedures. c. They have a greater degree of decentralization. d. They have fewer government regulations.

ANSWER: c RATIONALE: The Aston studies yielded a number of basic generalizations: When compared to small organizations, large organizations tend to be characterized by higher levels of job specialization, more standard operating procedures, more rules, more regulations, and a greater degree of decentralization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 79. Lawrence and Lorsch suggested that organizations could be characterized along two primary dimensions. They said that a firm with many subunits has what? a. High instability b. Low differentiation c. High differentiation d. Low integration ANSWER: c RATIONALE: Differentiation is the extent to which the organization is broken down into subunits. A firm with many subunits is highly differentiated; one with few subunits has a low level of differentiation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 80. SignaCorp is in a stage of slow and steady growth, and it appears to be heading toward stability. Which stage would it be in according to the factor of organizational life cycle? a. Birth b. Youth c. Expansion d. Midlife ANSWER: d RATIONALE: Midlife is a period of gradual growth evolving eventually into stability.

Copyright Cengage Learning. Powered by Cognero.

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POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO6.3 - Explain key situational influences on organization design.

STATE STANDARDS: United States - AK - DISC: Leadership Principles ACCREDITING STANDAR BUSPROG: Analytic DS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 81. Which form of organizational design results from a strategy of related diversification? a. M-form b. U-form c. H-form d. Matrix ANSWER: a RATIONALE: The divisional design, or M-form (for multidivisional) approach, is based on multiple businesses in related areas operating within a larger organizational framework. This design results from a strategy of related diversification.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 82. A firm with few subunits is said to have a low level of_________. a. entropy b. differentiation c. integration Copyright Cengage Learning. Powered by Cognero.

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d. bureaucracy ANSWER: b RATIONALE: Differentiation is the extent to which the organization is broken down into subunits. A firm with many subunits is highly differentiated; one with few subunits has a low level of differentiation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 83. What represents the degree to which the various subunits must work together in a coordinated fashion? a. Integration b. Differentiation c. Departmentalization d. Specialization ANSWER: a RATIONALE: Integration is the degree to which the various subunits must work together in a coordinated fashion. For example, if each unit competes in a different market and has its own production facilities, they may need little integration.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 84. Organizational size is defined as the total number of________________. a. investors and stockholders in an organization b. departments in an organization c. full-time or full-time–equivalent employees in an organization d. middle and first-line managers in an organization ANSWER: c RATIONALE: The size and life cycle of an organization may affect its design. Although several definitions of size exist, we define organizational size as the total number of full-time or full-time-equivalent employees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 85. Which stage of an organizational life cycle is characterized by growth and the expansion of organizational resources? a. Youth b. Birth c. Integratio n d. Decline ANSWER: a RATIONALE: The second stage of the organizational life cycle, youth, is characterized by growth and the expansion of organizational resources.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO6.3 - Explain key situational influences on organization design.

ECTIVES: STATE STANDA United States - AK - DISC: Leadership Principles RDS: ACCREDITING BUSPROG: Analytic | Technology - BUSPROG: Analytic STANDARDS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 2:11 AM : DATE MODIFIE 4/7/2025 2:46 AM D: 86. In an organizational life cycle, which stage represents a period of stability that will eventually evolve into decline? a. Maturit y b. Birth c. Youth d. Midlife ANSWER: a RATIONALE: In an organizational life cycle, maturity is a period of stability, perhaps eventually evolving into decline.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO6.3 - Explain key situational influences on organization design.

TIVES: STATE STANDARD United States - AK - DISC: Leadership Principles S: ACCREDITING STA BUSPROG: Analytic | Technology - BUSPROG: Analytic NDARDS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 87. The youth stage of the organizational life cycle is______________. a. a period of stability, eventually evolving into decline b. characterized by the growth of a firm’s resources c. a period of gradual growth evolving into stability d. followed immediately by the stage of maturity ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Many organizations progress through a four-stage organizational life cycle. The first stage is the birth of the organization. The second stage, youth, is characterized by growth and the expansion of organizational resources. Midlife is a period of gradual growth evolving eventually into stability. Finally, maturity is a period of stability, perhaps eventually evolving into decline.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 88. Which of the following is a characteristic of organic organizations? a. High fluidity b. Stable environments c. Centralized authority d. Specialized jobs ANSWER: a RATIONALE: Organic organizations are most often found in unstable and unpredictable environments, in which constant change and uncertainty usually dictate a much higher level of fluidity and flexibility.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 2:46 AM ED: 89. A mechanistic organization operates in which type of environment? a. Uncertain b. Stable c. Unpredictabl e d. Decentralized ANSWER: b RATIONALE: A mechanistic organization, quite similar to the bureaucratic model, is most frequently found in stable environments. Free from uncertainty, organizations structure their activities in rather predictable ways by means of rules, specialized jobs, and centralized authority.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 90. You structure your company's activities in predictable ways, using rules, specialized jobs, and centralized authority.

What type of process are you using in your organization? a. Decentralized b. Continuous-process c. Mechanistic d. Organic ANSWER: c RATIONALE: A mechanistic organization, quite similar to the bureaucratic model, was most frequently found in stable environments. Free from uncertainty, organizations structured their activities in rather predictable ways by means of rules, specialized jobs, and centralized authority. A mechanistic organization is quite similar to a bureaucracy.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 91. Merrill Lynch allows clients to view statements, make payments, and conduct stock trades, all online. Additionally, clients can read about market trends and other activities in the stock market. Which type of process does it use to transform information into a format that clients can use? a. Differentiation b. Technology c. Decentralization d. Integration ANSWER: b RATIONALE: Technology consists of the conversion processes used to transform inputs (such as materials or information) into outputs (such as products or services). Although most people visualize assembly lines and machinery when they think of technology, the term can also be applied to service organizations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 92. Mechanistic and organic designs are both aspects of which basic situational factor? a. Production b. Technology c. Environment d. Organizational size Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

c Environmental elements and organization design are specifically linked in a number of ways. There are two extreme forms of organizational environment: stable (one that remains relatively constant over time) and unstable (subject to uncertainty and rapid change). These designs are called mechanistic and organic organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.3 - Explain key situational influences on organization design.

BJECTIVES: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 93. Organic organizations are_____________. a. similar to bureaucracies b. structured in predictable ways c. very informal d. highly centralized ANSWER: c RATIONALE: Organic organization is a very flexible and informal model of organization design, most often found in unstable and unpredictable environments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO6.3 - Explain key situational influences on organization design.

JECTIVES: ACCREDITING BUSPROG: Analytic | Technology - BUSPROG: Analytic STANDARDS: TOPICS: Situational Influences on Organization Design KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 2:11 AM D: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIE 4/7/2025 2:46 AM D: 94. Which form of organizational design shares the basic advantages and disadvantages of functional departmentalization? a. M-form b. U-form c. H-form d. Matrix ANSWER: b RATIONALE: The functional design is an arrangement based on the functional approach to departmentalization. This design has been termed the Uform (for unitary) approach. In general, this approach shares the basic advantages and disadvantages of functional departmentalization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 95. Which arrangement involves grouping members and units in an organization into functional departments such as marketing and production? a. Divisional b. M-form c. H-form d. U-form ANSWER: d RATIONALE: The functional design (U-form) is an arrangement based on the functional approach to departmentalization. For the organization to operate efficiently in this design, there must be considerable coordination across departments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 96. Which organizational design is based on multiple businesses in related areas operating within a larger organizational framework? a. Conglomerat e b. Divisional c. H-form d. Matrix ANSWER: b RATIONALE: The divisional design is based on multiple businesses in related areas operating within a larger organizational framework.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO6.4 - Describe the basic forms of organization design that CTIVES: characterize many organizations.

STATE STANDAR United States - AK - DISC: Leadership Principles DS: ACCREDITING S BUSPROG: Analytic TANDARDS: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM

97. Which organizational design is based on two overlapping bases of departmentalization? a. H-form b. Matrix c. Functiona Copyright Cengage Learning. Powered by Cognero.

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l d. Divisional ANSWER: b RATIONALE: The matrix design, a common approach to organization design, is based on two overlapping bases of departmentalization. The foundation of a matrix is a set of functional departments. A set of product groups, or temporary departments, is then superimposed across the functional departments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 98. Which organizational design is essentially a holding company that results from unrelated diversification? a. H-form b. U-form c. Divisional d. Departmenta l ANSWER: a RATIONALE: The conglomerate (H-form) design is used by an organization made up of a set of unrelated businesses. Thus, it is essentially a holding company that results from unrelated diversification.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

STATE STAND United States - AK - DISC: Leadership Principles ARDS: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 99. Conglomerate organizational design__________. a. has the advantage of simplicity associated with holding similar businesses b. is also known as a unitary or a U-form approach c. is considered to be the easiest and most effective to manage d. has each business operated by a general manager in charge of its profits or losses ANSWER: d RATIONALE: The conglomerate design is used by an organization made up of a set of unrelated businesses. In the conglomerate approach, each business or set of businesses is operated by a general manager who is responsible for its profits or losses, and each general manager functions independently of the others. This design is also known as the H-form.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 100. In which type of organizational design are team members likely to be highly motivated and committed to the organization, since they assume a major role in decision making? a. H-form b. Functiona l c. Divisional d. Matrix ANSWER: d RATIONALE: In the matrix organizational design, the project groups, or teams, are assigned to designated projects or programs. Team members are likely Copyright Cengage Learning. Powered by Cognero.

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to be highly motivated and committed to the organization since they assume a major role in decision making.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 101. Which is an advantage of the matrix design? a. Each division is responsible for its own profit or loss reporting. b. Groups can be dominated by one individual, saving time. c. Some managers see the matrix design as a form of anarchy. d. It allows for effective processing of large amounts of information.

ANSWER: d RATIONALE: The matrix form of organization design is most often used in one of three situations. First, a matrix may work when there is strong pressure from the environment. Second, a matrix may be appropriate when large amounts of information need to be processed. Third, the matrix design may work when there is pressure for shared resources.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: Copyright Cengage Learning. Powered by Cognero.

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102. You have grouped members of your organization into functional departments, such as marketing and production.

What type of organizational design are you using? a. H-form b. U-form c. Divisional d. Matrix ANSWER: b RATIONALE: The functional design is an arrangement based on the functional approach to departmentalization. This design has been termed the Uform (for unitary) approach. Under the U-form arrangement, the members and units in the organization are grouped into functional departments such as marketing and production.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 103. You are restructuring your company's activities around related diversification to enhance decision-making speed and effectiveness. You plan to decentralize some work while centralizing other aspects. What type of organizational structure are you designing? a. H-form b. U-form c. Functiona l d. M-form ANSWER: d RATIONALE: The divisional design, or M-form (for multidivisional) approach, is based on multiple businesses in related areas operating within a larger organizational framework. This design results from a strategy of related diversification. Some activities are extremely decentralized down to the divisional level; others are centralized at the corporate level.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 104. What is an advantage of using a functional design for organizational structure? a. The multiple-command structure provides many sources of feedback. b. Integration activities across diverse operations is less likely. c. The performance of each division is measured independently. d. Key positions can be staffed with experts.

ANSWER: d RATIONALE: A key advantage of a functional design in organizational structure is that key positions can be staffed with experts. Since employees are grouped based on their specific functions (e.g., marketing, finance, operations), organizations can ensure that each department is led by highly specialized professionals. This expertise enhances decision-making, efficiency, and innovation within each function, leading to better performance and strategic execution.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.4 - Describe the basic forms of organization design that characterize BJECTIVES: many organizations.

ACCREDITIN BUSPROG: Reflective Thinking G STANDARD S: TOPICS: Basic Forms of Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 105. A firm that uses a team organization design has__________. a. a bureaucratic structure b. an inflexible organizational structure c. functional teams that perform specific functional Copyright Cengage Learning. Powered by Cognero.

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tasks d. project-type teams exclusively ANSWER: d RATIONALE: Team organization is an approach to organization design that relies almost exclusively on project-type teams, with little or no underlying functional hierarchy.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 106. A virtual organization_____________. a. typically has only a handful of permanent employees b. typically has a bureaucratic design c. has an inflexible formal structure d. has functional departmentalization ANSWER: a RATIONALE: Closely related to the team organization is the virtual organization that has little or no formal structure. Such an organization typically has only a handful of permanent employees and a very small staff and administrative headquarters facility.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Legal Responsibilities ARDS: ACCREDITIN BUSPROG: Technology Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 107. Which type of organization focuses on facilitating the lifelong personal development of all its employees while continually transforming itself to respond to changing demands and needs? a. Bureaucratic b. Centralized c. Hybrid d. Learning ANSWER: d RATIONALE: A learning organization is one that works to facilitate the lifelong learning and personal development of all its employees while continually transforming itself to respond to changing demands and needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic | Technology - BUSPROG: Analytic G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 108. A software services firm uses routine training programs, seminars by eminent developers, and discussion forums to keep employees updated on recent developments in the software field. What type of organization is this? a. Learning b. Divisional c. Hybrid d. Matrix ANSWER: a RATIONALE: A learning organization is one that works to facilitate the lifelong learning and personal development of all its employees while continually Copyright Cengage Learning. Powered by Cognero.

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transforming itself to respond to changing demands and needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Technology G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 109. Marah's organization consists of an in-house project management staff and an online network of industry professionals. Based on this, Marah is able to conduct business in the United States, Europe, and the entire Asia–Pacific region. What type of organization is this? a. Learning b. Decentralize d c. Matrix d. Virtual ANSWER: d RATIONALE: As the needs of the virtual organization change, its managers bring in temporary workers, lease facilities, and outsource basic support services to meet the demands of each unique situation. As the situation changes, the temporary workforce changes in parallel, with some people leaving the organization and others entering. Facilities and the services subcontracted to others change as well.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: ACCREDITIN BUSPROG: Technology G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 110. You run a software development company that continuously trains employees in the latest hardware and software technologies, allowing them to maximize the company's ability to adapt to its changing environment. What type of organization do you run? a. Virtual b. Learnin g c. Team d. Matrix ANSWER: b RATIONALE: A learning organization is one that works to facilitate the lifelong learning and personal development of all its employees while continually transforming itself to respond to changing demands and needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: ACCREDITIN BUSPROG: Technology G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 111. A learning organization is concerned with________________. a. educating the public b. providing consistent rules and regulations for employees c. the personal development of all its employees d. promoting employee specialization ANSWER: c RATIONALE: A learning organization is one that works to facilitate the lifelong learning and personal development of all its employees while continually transforming itself to respond to changing demands and needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO6.5 - Identify emerging issues in organization design.

BJECTIVES: ACCREDITIN BUSPROG: Technology G STANDARD S: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 2:11 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 112. In which type of organization might there be a lot of employees but little or no underlying functional hierarchy? a. Learnin g b. Team c. H-form d. Virtual ANSWER: b RATIONALE: Team organization is an approach to organization design that relies almost exclusively on project-type teams, with little or no underlying hierarchy.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO6.5 - Identify emerging issues in organization design.

JECTIVES: ACCREDITING BUSPROG: Technology STANDARDS: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 2:11 AM D: DATE MODIFI 4/7/2025 2:46 AM ED: 113. What organization design is characterized by units splitting into smaller units if they become too large? a. U-form b. Team c. H-form d. Matrix ANSWER: b RATIONALE: Team organization keeps units small so that people are able to Copyright Cengage Learning. Powered by Cognero.

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float from project to project.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO6.5 - Identify emerging issues in organization design.

VES: ACCREDITING STAN BUSPROG: Technology DARDS: TOPICS: Emerging Issues in Organization Design KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 2:11 AM DATE MODIFIED: 4/7/2025 2:46 AM 114. Describe the job characteristics approach to job design.

ANSWER: The job characteristics approach is an alternative to job specialization that does take into account the work system and employee preferences. It suggests that jobs should be diagnosed and improved along five core dimensions: 1. Skill variety, the number of things a person does in a job 2. Task identity, the extent to which the worker does a complete or identifiable portion of the total job 3. Task significance, the perceived importance of the task 4. Autonomy, the degree of control the worker has over how the work is performed 5. Feedback, the extent to which the worker knows how well the job is being performed Increasing the presence of these dimensions in a job presumably leads to higher motivation, higher-quality performance, higher satisfaction, and lower absenteeism and turnover.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 2:31 AM ED: DATE MODIFI 4/7/2025 2:46 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 115. Explain the four stages of the organizational life cycle.

ANSWER: Although no clear pattern explains changes in size, many organizations progress through a four-stage organizational life cycle. The first stage is the birth of the organization. The second stage, youth, is characterized by growth and the expansion of organizational resources. Midlife is a period of gradual growth evolving eventually into stability. Finally, maturity is a period of stability, perhaps eventually evolving into decline.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO6.1 - Identify the basic elements of organizations.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Basic Elements of Organizing KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:32 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED: 116. Define a bureaucracy. State the five characteristics that an ideal bureaucracy exhibits.

ANSWER: A bureaucracy is a model of organization design based on a legitimate and formal system of authority.

According to Weber, the ideal bureaucracy exhibits five basic characteristics: 1. The organization should adopt a distinct division of labor, and each position should be filled by an expert.

2. The organization should develop a consistent set of rules to ensure that task performance is uniform.

3. The organization should establish a hierarchy of positions or offices that creates a chain of command from the top of the organization to the bottom.

4. Managers should conduct business in an impersonal way and maintain an appropriate social distance between themselves and their subordinates.

5. Employment and advancement in the organization should be based on technical expertise, and employees should be protected from arbitrary dismissal.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: STUDENT EN Basic TRY MODE: LEARNING O LO6.2 - Describe the bureaucratic perspective on organizational design.

BJECTIVES: STATE STAND United States - AK - DISC: Leadership Principles ARDS: ACCREDITIN BUSPROG: Analytic G STANDARD S: TOPICS: The Bureaucratic Model of Organization Design KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 2:32 AM ED: DATE MODIFI 4/7/2025 2:46 AM ED:

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Chapter 07 - Managing Organization Change and Innovation 1. Substantive modification to some part of an organization is known as organization: a. synergy. b. maturity. c. implementation. d. change.

ANSWER: d RATIONALE: Organization change is any substantive modification to some part of the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO7.1 - Describe the nature of organizations change, including forces CTIVES: for change and planned versus reactive change.

ACCREDITING S Reflective Thinking TANDARDS: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 2. Which dimension of external forces for change includes inflation, the cost of living, and money supplies? a. political b. social c. economi c d. cultural ANSWER: c RATIONALE: Several external factors affect an organization. The economic dimension is affected by inflation, the cost of living, and money supplies.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO7.1 - Describe the nature of organizations change, including forces ECTIVES: for change and planned versus reactive change.

ACCREDITING Analytic Technology STANDARDS: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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D: DATE MODIFIE 4/7/2025 5:50 AM D: 3. An example of a force for change in the task environment of an organization is: a. pricing strategies of competitors. b. employee turnover rates. c. capital availability. d. employee motivation.

ANSWER: a RATIONALE: Because of its proximity to the organization, the task environment is an even more powerful force for change. Competitors influence an organization through their price structures and product lines.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 4. Which of the following forces for change is present in the task environment of an organization? a. prices at which suppliers sell raw materials b. the number of employees in the organization c. political changes in the country in which the organization operates d. overhead production costs of the organization ANSWER: a RATIONALE: External forces for change come from the organization’s general and task environments. Because of its proximity to the organization, the task environment is an even more powerful force for change. Suppliers affect organizations by raising or lowering prices or changing product lines.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 5. Consumer tastes and preferences are considered which type of forces that influence an organization's product line? a. technical b. internal c. manageria l d. external ANSWER: d RATIONALE: External forces for change come from the organization’s general and task environments. Because customers determine what products can be sold at what prices, organizations must be concerned with consumer tastes and preferences.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 6. The recession in 2020 forced Alpha Motors Inc. to make extensive changes to its organizational structure and design.

This scenario illustrates how which type of forces lead management to make changes? a. technical b. external c. regulator y d. legal ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

External forces for change come from the organization’s general and task environments. The economic dimensions affected by inflations, the cost of living, and money supplies.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 7. A dairy company reduced the prices of its products to combat competitors selling dairy products at lower prices. This scenario illustrates a force for change present in which part of the organization? a. task environment b. supply chain c. internal environment d. legal-political environment ANSWER: a RATIONALE: External forces for change come from the organization’s general and task environments. Competitors influence an organization through their price structures and product lines.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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8. The top executives at Delta Inc. have decided to reorganize the corporation from product divisions into geographic sectors. This decision represents which type of force for change? a. internal b. technica l c. political d. external ANSWER: a RATIONALE: A variety of forces inside the organization may cause change. If top management revises the organization’s strategy, organization change is likely to result.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 9. OSHA inspectors determined that the conditions in a production facility were hazardous and mandated the plant's closure until the company made the necessary improvements and passed a reinspection. This is an example of: a. internal. b. technical. c. external. d. managerial .

ANSWER: c RATIONALE: External forces for change come from an organization’s general and task environments. Regulators can have dramatic effects on an organization.

For example, if OSHA rules that a particular production process is dangerous to workers, it can force a firm to close a plant that uses that process until it meets stricter safety standards.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 10. Which type of change is designed and implemented in an orderly and timely fashion in anticipation of future events? a. planned change b. reactive change c. involuntary change d. organic change ANSWER: a RATIONALE: Planned change is designed and implemented in an orderly and timely fashion in anticipation of future events.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO7.1 - Describe the nature of organizations change, including forces CTIVES: for change and planned versus reactive change.

ACCREDITING S Analytic TANDARDS: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 11. What type of change means modifying the benefits system on a yearly basis to maintain employee satisfaction? a. reactive b. planned c. contingenc y d. legal ANSWER: b RATIONALE: Planned change is designed and implemented in an orderly and timely fashion in anticipation of future events.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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: HAS VARIABLES: False LEARNING OBJE LO7.1 - Describe the nature of organizations change, including forces CTIVES: for change and planned versus reactive change.

ACCREDITING S Analytic Technology TANDARDS: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 12. What is a piecemeal response to circumstances as they develop? a. planned change b. programmed change c. premeditated change d. reactive change ANSWER: d RATIONALE: Reactive change is a piecemeal response to circumstances as they develop.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO7.1 - Describe the nature of organizations change, including forces CTIVES: for change and planned versus reactive change.

ACCREDITING S Analytic TANDARDS: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 13. A company was caught off guard when new government regulations forced them to halt one of their assembly lines until certain systems were upgraded. As the company works on updating the line, it must also find a way to retain both customers and employees during the transition. Which is an example of what type of change? a. planned b. sequential c. reactive d. a force-field analysis of ANSWER: c RATIONALE: Reactive change is a piecemeal response to circumstances as they develop. Because reactive change may be hurried, the potential for poorly conceived and executed change is increased. Planned change is Copyright Cengage Learning. Powered by Cognero.

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almost always preferable to reactive change.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 14. Based on the forces for change, what is a primary reason for problems that organizations face? a. lack of understanding of the political environment b. the elimination of sociocultural shifts in the internal environment c. failure to separate the task environment from change d. failure to anticipate or respond to change properly ANSWER: d RATIONALE: Organizations find change necessary because something relevant to the organization either has changed or is likely to change in the foreseeable future. The organization therefore may have little choice but to change as well. Indeed, a primary reason for the problems that organizations often face is failure to anticipate or respond properly to changing circumstances.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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15. Why should organizations avoid reactive changes when possible? a. Managers cannot accurately anticipate future events. b. There is an increased likelihood of poorly conceived and executed change. c. Internal forces and reactions are often a reflection of external forces. d. Decisions will likely become a permanent part of the system.

ANSWER: b RATIONALE: Reactive change is a piecemeal response to circumstances as they develop. Because reactive change may be hurried, the potential for poorly conceived and executed change is increased.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 16. You believe in a functional organization structure and have started implementing changes in the organization to align with this structure. What type of change are you creating? a. reactive b. technologica l c. sociocultural d. internal ANSWER: d RATIONALE: A variety of forces inside the organization may cause change. If top management revises the organization’s strategy, organization change is likely to result.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

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ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 17. You purchase leather goods from an overseas supplier to sell in your shop. Recently, it was discovered that this supplier underpays its workers and has hazardous working conditions, leading many customers to refuse to buy this brand.

In response, you discontinued that line and replaced it with a local one. What type of external force change does this represent? a. technologica l b. political c. economic d. sociocultural ANSWER: d RATIONALE: The sociocultural dimension, reflecting societal values, determines what kinds of products or services will be accepted in the market.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO7.1 - Describe the nature of organizations change, including forces ECTIVES: for change and planned versus reactive change.

ACCREDITING Analytic STANDARDS: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 18. Which type of change is associated with lower risk? a. internal b. planned c. reactive d. externa l ANSWER: b RATIONALE: Planned change is designed and implemented in an orderly and timely fashion in anticipation of future events and therefore would be associated with fewer risks than reactive change.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 19. There has been much discussion about requiring automotive manufacturers to increase the fuel efficiency of cars and expand their electric vehicle fleet. You run an oil drilling equipment firm and are following these guidelines with interest.

How can you use this information, even though you are not in the automotive industry? a. to thwart external forces for change b. to plan external forces for change c. to anticipate external forces for change d. to create external forces for change ANSWER: c RATIONALE: New rules of production and competition forced organizations to dramatically alter the way they do business. New laws, court decisions, and regulations also affect organizations. If fewer cars require oil and gas, fewer oil and gas suppliers will need the types of products being produced. This is an external force for change that must be anticipated by the firm.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.1 - Describe the nature of organizations change, including forces for BJECTIVES: change and planned versus reactive change.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 20. Which stage of the Lewin model of organization change involves managers letting people who will be affected by an impending change know the reasons for the change? a. implementin g b. recognizing c. refreezing d. unfreezing ANSWER: d RATIONALE: According to the Lewin model, the first step in the change process is unfreezing—individuals who will be affected by the impending change must be led to recognize why the change is necessary.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 21. According to the Lewin model of organization change process, refreezing involves: a. recognizing why the change is necessary. b. informing people about the change. c. the implementation of the change. d. reinforcing the change so that it becomes a part of the system.

ANSWER: d RATIONALE: According to the Lewin model of organization change process, the third step is refreezing, which involves reinforcing and supporting the change so that it becomes a part of the system.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 22. A company has set an objective to increase its product sales by 20 percent in the next two years. According to the comprehensive approach to change, which step of the change process is this company in? a. recognition of the need for change b. establishment of goals for the change c. selection of the appropriate change technique d. planning for implementation of the change ANSWER: b RATIONALE: The second step in the change process is to establish goals. Managers must set goals for the change: to increase market share, to enter new markets, to restore employee morale, to settle a strike, and to identify investment opportunities—all might be goals for change.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 23. An organization you work for has decided to change its promotion and pay policies for technical people who do not wish to become managers. This will allow it to better attract and retain these types of employees. According to the comprehensive approach to change, which step of the change process is this company in? a. establishment of goals for the change b. recognition of the need for change c. selection of appropriate change technique d. diagnosis of the relevant variables Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

c In the change process, after the goals are set, the next step is to select a change technique that will accomplish the intended goals. If turnover is caused by low pay, a new reward system may be needed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 24. A company has built a new manufacturing plant to increase production. This scenario illustrates which step in the Lewin model of organization change? a. unfreezing b. entropy c. reengineering d. implementatio n ANSWER: d RATIONALE: This scenario illustrates the second step of the Lewin model of organization change, which is the implementation of the change itself.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO7.2 - Identify the steps in organization change and how to manage ECTIVES: resistance to change.

ACCREDITING Analytic STANDARDS: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: Copyright Cengage Learning. Powered by Cognero.

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25. Based on the comprehensive approach to change, which is the final step of the change process? a. diagnosis of relevant variables b. actual implementation c. evaluation and follow-up d. recognition of the need for change ANSWER: c RATIONALE: Evaluation and follow-up is the last step in the change process.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO7.2 - Identify the steps in organization change and how to VES: manage resistance to change.

ACCREDITING STAN Analytic DARDS: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM 26. According to the comprehensive approach to change, what is the second step in the change process? a. recognizing the need for change b. implementing the change c. selecting a change technique d. establishment of goals ANSWER: d RATIONALE: The order of steps in the change process is: recognition of the need for change, establishment of goals for the change, diagnosis of the relevant variables, selection of the appropriate change technique, planning for implementation of the change, the actual implementation, and evaluation and follow-up.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:50 AM ED: 27. You are a manager at a hardware components manufacturing unit and have recently learned from a subordinate's report that production rates have dropped significantly due to poor employee morale. You have realized that a change is needed in the organization to motivate employees. Which step in the comprehensive approach to change does this scenario illustrate? a. recognizing the need for change b. implementing the change c. setting goals for the change d. selecting a change technique ANSWER: a RATIONALE: The step illustrated in the scenario is recognizing the need for change according to the comprehensive organization change model. You have noticed that the production rates have declined due to decrease in employee morale and recognized the need for a change.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 28. Management has selected what they think is the best technique to make a certain change at a corporation. You are now working out the costs of this change, how it will affect the overall organization, and how best to roll it out to employees.

Which step have you reached in the comprehensive approach to change? a. planning for implementation b. implementing the change c. setting goals for the change d. selecting a change technique ANSWER: a RATIONALE: After the appropriate technique has been chosen, its implementation has to be planned. Issues to consider include the costs of the change, its effects on other areas of the organization, and the degree of employee participation appropriate for the situation.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 29. Sales are down, and you know changes are needed to reverse the trend and not only bring sales back to the previous level but actually increase them by 5 percent over last year. You are now trying to understand whether the downturn was caused by poor customer service, poor product quality, improper pricing, or some other factor. Which step have you reached in the comprehensive approach to change? a. recognizing the need for change b. implementing the change c. setting goals for the change d. diagnosing relevant variables ANSWER: d RATIONALE: After recognizing the need for change and setting goals, managers need to diagnose what brought on the need for change.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO7.2 - Identify the steps in organization change and how to manage CTIVES: resistance to change.

ACCREDITING S Analytic Technology TANDARDS: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED 4/7/2025 5:50 AM : 30. You manage a small boutique in New Orleans with five employees. Recently, you have noticed that the boutique has not been delivering customer orders on time, realizing this is due to the increase in the number of customers and insufficient staff. You have decided to hire another five employees. Which step of the change process does this scenario Copyright Cengage Learning. Powered by Cognero.

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illustrate? a. implementing the change b. diagnosis of relevant variables c. selection of an appropriate change technique d. planning for implementation of the change ANSWER: c RATIONALE: According to the comprehensive approach to change, the first step is recognizing the need for change. It is followed by setting goals for the change, diagnosing the reason for the change, and then selecting a change technique to accomplish the intended goals. Therefore, you are in the stage of selecting the appropriate change technique.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 31. Six months ago, top management at a company initiated a program to improve employee morale and decrease turnover rates. It is now reviewing turnover rates to determine the effect of its initiative on the employees' morale. Which step of the comprehensive approach to change is illustrated in the scenario? a. evaluation and follow-up b. selection of appropriate change technique c. planning for implementation of the change d. diagnosis of relevant variables ANSWER: a RATIONALE: In the context of the comprehensive approach to change, the company is in the evaluation and follow-up stage because the company has already implemented the change technique and is now testing its effect on the employees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 32. What are the three steps in the Lewin model of change? a. recognizing, planning, and implementing b. unfreezing, implementing, and refreezing c. unfreezing, goal setting, and refreezing d. unfreezing, refreezing, and evaluating ANSWER: b RATIONALE: Kurt Lewin, a noted organizational theorist, suggested that every change requires three steps: unfreezing, implementing, and refreezing.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO7.2 - Identify the steps in organization change and how to manage ECTIVES: resistance to change.

ACCREDITING Analytic Technology STANDARDS: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 33. When Beta Inc. acquired Redd Communications, there were rumors of staff reductions and operations closures. What was the cause for employee resistance by the Redd Communications staff? a. synergy b. process gain c. uncertainty d. process loss ANSWER: c RATIONALE: Perhaps the biggest cause of employee resistance to change is uncertainty. In the face of impending change, employees may become anxious and nervous. They may worry about their ability to meet new job Copyright Cengage Learning. Powered by Cognero.

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demands; they may think that their job security is threatened; or they may simply dislike ambiguity.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 34. As part of an announced company reorganization, your department has moved from the third floor to the second floor.

You do not see your coworkers on the third floor as often and miss their camaraderie. As a result, you have developed a negative attitude towards the entire reorganization. What type of resistance to change are you experiencing? a. feelings of loss b. facilitation c. uncertainty d. participation ANSWER: a RATIONALE: Many changes involve altering work arrangements in ways that disrupt existing social networks. Because social relationships are important, most people resist any change that might adversely affect those relationships and lead to feelings of loss.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 35. When the top management at a company sought to change the organization design, form more work teams, and decrease the managers' span of management, you and your fellow managers met with great resistance. This was because you feared that your power within the company would decrease. Your reaction to change was brought about by: a. facilitation. b. participation. c. threatened selfinterests. d. low self-confidence.

ANSWER: c RATIONALE: Many impending changes threaten the self-interests of some managers within the organization. A change might diminish their power or influence within the company, so they fight it.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 36. Which of the following is an effective way of overcoming resistance to change? a. allowing employees to participate in the change process b. fostering an environment of uncertainty in the organization c. announcing the change only after it has been implemented d. minimizing communication among employees ANSWER: a RATIONALE: Participation is often the most effective technique for overcoming resistance to change. Employees who participate in planning and implementing a change are better able to understand the reasons for the change.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 37. Management has announced new procedures for new project launches. You and your colleagues reviewed the new procedures and compared them with current practices. While you see that the current practices could use some modifications, your assessment shows that the new procedures would be less effective and, in the long run, slow down development time and impact long-term growth. As a result, you and your colleagues are resisting this change. What is the basis of your resistance? a. threatened selfinterests b. risk propensity c. participation d. different perceptions ANSWER: d RATIONALE: One of the reasons that people resist change is due to different perceptions. A manager may make a decision and recommend a plan for change on the basis of their own assessment of a situation. Others in the organization may resist the change because they do not agree with the manager’s assessment or perceive the situation differently.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 38. Managers can overcome resistance to change by: a. not letting employees know about the change. b. announcing the change far in advance.

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c. limiting the involvement of employees in the change process. d. minimizing communication during the change process.

ANSWER: b RATIONALE: Making only necessary changes, announcing those changes well in advance, and allowing time for people to adjust to new ways of doing things can help reduce resistance to change.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 39. Which of the following is an effective way of overcoming resistance to change? a. using micromanagement techniques b. using facilitation techniques c. encouraging employees to express feelings of loss d. limiting employee involvement in the change process ANSWER: b RATIONALE: Several facilitation procedures are advisable for overcoming resistance to change. For instance, making only necessary changes, announcing those changes well in advance, and allowing time for people to adjust to new ways of doing things can help reduce resistance to change.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 40. To overcome resistance to change, you and your fellow department managers met with team leaders to share information about new employee policies and procedures you propose to implement, and to involve them in the change process. What type of change technique does this scenario illustrate? a. participation b. synergy c. deskilling d. greenwashing ANSWER: a RATIONALE: Participation is often the most effective technique for overcoming resistance to change. Employees who participate in planning and implementing a change are better able to understand the reasons for the change. Uncertainty is reduced, and self-interests and social relationships are less threatened.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 41. You are a manager trying to adopt more automated equipment in your soda bottling facility, but workers are resisting the change. When you decide to hold a meeting to explain how the change will be beneficial to them, what type of means are you using to overcome resistance to change? a. entropy b. micromanagemen t c. deskilling d. education ANSWER: d RATIONALE: Educating employees about the need for and the expected results of an impending change should reduce their resistance. If open communication is established and maintained during the change Copyright Cengage Learning. Powered by Cognero.

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process, uncertainty can be minimized.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 42. Top management at a corporation planned to shift their corporate office to a facility about eight miles away from the current location. You and the top managers knew that this decision would meet with considerable employee resistance because it would change commute times and be disruptive, at least in the short term. To address this, you held a meeting with all employees well in advance of the scheduled move to share the advantages of the new office and what management would do to help them through the transition. This minimized the employees' resistance. Which of the following techniques of overcoming resistance is illustrated in this scenario? a. risk propensity b. education c. specialization d. micromanagemen t ANSWER: b RATIONALE: Educating employees about the need for and the expected results of an impending change should reduce their resistance. If open communication is established and maintained during the change process, uncertainty can be minimized.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:50 AM ED: 43. According to the results of a classic study, employee participation: a. reduces the need for communication. b. encourages employees to resist change. c. increases productivity and satisfaction. d. increases turnover rates.

ANSWER: c RATIONALE: A classic study of participation monitored the introduction of a change in production methods among four groups in a Virginia pajama factory. The two groups that were allowed to fully participate in planning and implementing the change improved significantly in their productivity and satisfaction, relative to the two groups that did not participate.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 44. In most change situations, there are factors that make the change process more difficult and others that seem to ease the process. The process by which a manager identifies these factors and then tries to tip the balance so that the factors facilitating the change outweigh those hindering the change is called: a. facilitation. b. implementation. c. force-field analysis. d. education.

ANSWER: c RATIONALE: In almost any change situation, forces are acting for and against the change. To facilitate the change, managers start by listing each set of forces and then trying to tip the balance so that the forces facilitating the change outweigh those hindering the change. This is called force-field analysis.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 45. A force-field analysis identifies: a. management potential in existing employees. b. synergy in an organization. c. the need for structural change in an organization. d. factors that facilitate and hinder organization change.

ANSWER: d RATIONALE: In almost any change situation, forces are acting for and against the change. To facilitate the change, managers start by listing each set of forces and then trying to tip the balance so that the forces facilitating the change outweigh those hindering the change. This is called force-field analysis.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 46. The company you work for is planning to implement new internal standards for all the products you manufacture. The new standards will ensure better quality and help the company gain a competitive advantage. However, the factors that stand in the way of the change are an increased workload on employees and the need for skill development. To minimize Copyright Cengage Learning. Powered by Cognero.

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these hindrances, you have decided to motivate employees through a reward system. Which of the following concepts is illustrated in this scenario? a. force-field analysis b. participation c. authority distribution d. specialization ANSWER: a RATIONALE: In almost any change situation, forces are acting for and against the change. To facilitate the change, managers start by listing each set of forces and then trying to tip the balance so that the forces facilitating the change outweigh those hindering the change. This is called force-field analysis.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 47. Which of the following is least likely to cause resistance to change? a. threatened selfinterest b. feelings of certainty c. authority distribution d. feelings of loss ANSWER: b RATIONALE: Uncertainty, not certainty, is a cause for resistance to change. Perhaps the biggest cause of employee resistance to change is uncertainty.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.2 - Identify the steps in organization change and how to manage JECTIVES: resistance to change.

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ACCREDITING Analytic Technology STANDARDS: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 48. Why is the Lewin model of change considered to be less preferred than a comprehensive approach to change? a. It is too simple. b. It lacks operational specificity. c. It approaches changes from a systems view. d. It places too much emphasis on evaluation.

ANSWER: b RATIONALE: While Lewin’s model is appealing in its simplicity, it unfortunately lacks operational specificity. Thus, a more comprehensive perspective is often needed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 49. As a manager, you are working closely with employees to help them become accustomed to the new equipment they are using. You want them to make these new processes part of the system. Which part of the Lewin model are you using? a. force-field analysis b. unfreezing c. implementation d. refreezing ANSWER: d RATIONALE: According to the Lewin model of organization change process, the third step is refreezing, which involves reinforcing and supporting the change so that it becomes a part of the system.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 50. Education and communication are particularly useful methods for overcoming which source of resistance to change? a. threatened selfinterest b. different perceptions c. feelings of loss d. uncertainty ANSWER: d RATIONALE: Educating employees about the need for and the expected results of an impending change should reduce their resistance. If open communication is established and maintained during the change process, uncertainty can be minimized.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 51. For change to have a realistic opportunity to succeed, what must that change be? a. supported by all members of the organization b. systematic and logical Copyright Cengage Learning. Powered by Cognero.

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c. based on the Lewin model d. timely and cost effective ANSWER: b RATIONALE: Organization change is a complex phenomenon. Any change must be systematic and logical to have a realistic opportunity to succeed. To carry this off, the manager needs to understand the steps of effective change and how to counter employee resistance to change.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 52. A change in reporting relationships within an organization is an example of change in: a. organization structure. b. organizational operations. c. work processes. d. information technology.

ANSWER: a RATIONALE: Organization change might be focused on any of the basic components of organization structure or on the organization’s overall design. Thus, the organization might change the way it designs its jobs or its bases of departmentalization. Likewise, it might change reporting relationships or the distribution of authority.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 53. A company has divided its business into several departments. This organization change is an example of change in: a. people. b. operations. c. structure and design. d. social responsibility.

ANSWER: c RATIONALE: A change in structure and design occurs when an organization changes its overall design.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic Technology STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 54. A company has been receiving complaints from its customers about the inefficiency of its customer service professionals. The company has now decided to change the recruitment criteria for this role. The new criteria place more emphasis on technical expertise. Richard Inc. is attempting to make a change in the area of: a. information technology. b. work sequences. c. organization structure and design. d. enterprise resource planning.

ANSWER: c RATIONALE: A change in any part of an organization's human resource management system, such as its selection criteria, its performance appraisal methods, or its compensation package, is a change in the area of organization structure and design.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 55. A company has recently undergone a transformation from using a highly centralized approach to a much more decentralized approach for managing its operations. This change represents a change in: a. technology. b. work sequences. c. work processes. d. organization structure.

ANSWER: d RATIONALE: A change in structure and design occurs when an organization changes its overall design.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic Technology STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 56. An advertising company, has recently received several long-term projects from leading companies. The company has decided to switch from functional departmentalization to cross-functional work teams to be able to perform better. This is an example of change in the area of: a. technology and operations. b. facilities. c. people.

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d. organization structure and design.

ANSWER: d RATIONALE: A change in structure and design occurs when an organization changes its overall design.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic Technology STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 57. A company replaced old equipment with new and advanced production equipment in all its plants. This is an example of a change in: a. job design. b. technology and operations. c. organization culture. d. line-staff structure.

ANSWER: b RATIONALE: A change in work processes or work activities may be necessary if new equipment is introduced or new products are manufactured. This reflects a change in technology and operations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:50 AM ED: 58. When a company changes its work processes, such as changes in the sequence of workstations or assembly line processes, the change is in: a. people. b. technology and operations. c. job design. d. facilitation.

ANSWER: b RATIONALE: A change in work processes or work activities may be necessary if new equipment is introduced or new products are manufactured. When a company changes its work processes, the change is in technology and operations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 59. An online watch store, recently adopted a new enterprise resource planning (ERP) system to help keep track of the company’s inventory and to deliver customers’ orders on time. The company’s adoption of the new ERP system reflects a change in: a. organization culture. b. job design. c. technology and operations. d. people.

ANSWER: c RATIONALE: Many businesses have been working to implement technological and operations change by installing and using complex and integrated software systems. Such systems—called enterprise resource planning (ERP)—link virtually all facets of the business, making it easier for managers to keep abreast of related developments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 60. Which of the following is an example of an organization's change in technology and operations? a. enhanced job design b. introduction of departmentalization c. adoption of new information systems d. introduction of a new compensation program ANSWER: c RATIONALE: Many businesses have been working to implement technological and operations change by installing and using complex and integrated software systems. Such systems—called enterprise resource planning (ERP)—link virtually all facets of the business, making it easier for managers to keep abreast of related developments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Technology G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 61. When organizational change involves planned alteration of work sequence or work activities, the change primarily occurs in: Copyright Cengage Learning. Powered by Cognero.

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a. people. b. technology and operations. c. social responsibility. d. strategy.

ANSWER: b RATIONALE: A change in work processes or work activities involves a change in technology and operations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Technology STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 62. Which of the following is an example of a work sequence change in a service organization? a. changing line and staff relationships b. changing the way claims are processed c. installing new equipment d. training employees in customer service ANSWER: b RATIONALE: Work sequence changes can also be made in service organizations.

The processing of insurance claims, for example, could be changed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Technology STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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D: DATE MODIFIE 4/7/2025 5:50 AM D: 63. Lately, you have noticed that your employees' performance levels have plummeted, and a survey conducted by the firm indicated that this was due to low employee satisfaction levels. This prompted the HR department to introduce a new incentive system in the company. This is an example of change in: a. people. b. the task environment. c. technology and operations. d. the general environment.

ANSWER: a RATIONALE: A new incentive system or performance-based training is undertaken by organizations to bring about changes in people.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic Technology STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 64. Attempting to change the attitudes and values of a company’s workforce indicates a change in: a. people. b. work processes. c. task environment. d. organization structure.

ANSWER: a RATIONALE: Change directed at employee attitudes and values reflects change in people.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization Copyright Cengage Learning. Powered by Cognero.

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development.

ACCREDITING Analytic STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 65. The radical redesign of all aspects of an organization in order to achieve major gains in cost reduction, service delivery, or reduction in order-processing time is known as: a. entropy. b. process change. c. innovation. d. reengineering.

ANSWER: d RATIONALE: Reengineering is the radical redesign of all aspects of a business to achieve major gains in cost, service, or time.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 66. The normal process within an organization that leads to a system decline is known as: a. reengineering . b. synergy. c. entropy. d. innovation.

ANSWER: c RATIONALE: Entropy is a normal process leading to system decline.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 67. Which of the following is true of business process changes? a. Business process change should not be carried out during a phase of entropy. b. Business process change requires a careful blend of top-down and bottom-up involvement. c. Successful business process change is not accompanied by a sense of urgency. d. Employee participation should be minimal during a business process change.

ANSWER: b RATIONALE: Business process change requires a careful blend of top-down and bottom-up involvement. On the one hand, strong leadership is necessary, but too much involvement by top management can make the changes seem autocratic.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 68. In the reengineering process, the first step involves: a. setting goals and developing a strategy. b. emphasizing top management's commitment to reengineering. c. implementing the chosen strategy across the organization.

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d. optimizing top-down and bottom-up perspectives.

ANSWER: a RATIONALE: The first step in the reengineering process involves setting goals and developing a strategy.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 69. Which of the following can help make the reengineering process more effective? a. limiting communication b. creating a sense of urgency in the organization c. adopting a highly centralized organizational structure d. refraining from making extensive changes ANSWER: b RATIONALE: Most experts agree that successful business process change is usually accompanied by a sense of urgency. People in the organization must see the clear and present need for the changes being implemented and appreciate their importance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:50 AM ED: 70. Which of the following can increase the chance of success when implementing the business change process? a. limiting employee involvement in the process b. refraining from changing company strategies c. starting the process with a new, clean slate d. limiting communication channels ANSWER: c RATIONALE: Most successful reengineering efforts start with a new, clean slate. In other words, rather than assuming that the existing organization is a starting point and then trying to modify it, business process change usually starts by asking questions such as how customers are best served and competitors best neutralized.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 71. Which approach by management is best for an effective reengineering process? a. balancing employee participation and leadership involvement b. using micromanagement leadership techniques c. adopting a strong but not autocratic leadership style d. reducing any sense of urgency in the organization ANSWER: a RATIONALE: Business process change requires a careful blend of top-down and bottom-up involvement. On the one hand, strong leadership is necessary, but too much involvement by top management can make the changes seem autocratic. Similarly, employee participation is also important, but too little involvement by leaders can undermine the program’s importance and create a sense that top managers do not care.

Thus, care must be taken to carefully balance these two countervailing forces.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 72. Which of the following is one of the assumptions on which the theory and practice of organization development (OD) are based? a. Employees tend to perform well when micromanagement techniques are used. b. The total organization and the way it is designed influence the way individuals behave within the organization. c. A successful corporate leader is one who adopts an autocratic style of leadership to control his subordinates. d. Employees naturally dislike their work and lack ambition.

ANSWER: b RATIONALE: The theory and practice of OD are based on several very important assumptions. The first is that employees have a desire to grow and develop. Another is that employees have a strong need to be accepted by others within the organization. Still another critical assumption of OD is that the total organization and the way it is designed will influence the way individuals and groups within the organization behave.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:50 AM ED: 73. A company frequently asks its employees to rate organizational practices and supervisor effectiveness. The company sends questionnaires to all its employees to get their insights. Which organization development is illustrated in the scenario? a. third-party peacemaking b. survey feedback c. team building d. process consultation ANSWER: b RATIONALE: In survey feedback, each employee responds to a questionnaire intended to measure perceptions and attitudes (for example, satisfaction and supervisory style). Everyone involved, including the supervisor, receives the results of the survey. The aim of this approach is usually to change the behavior of supervisors by showing them how their subordinates view them.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 74. Which activities are aimed at analyzing the current condition of an organization with questionnaires, opinion surveys, interviews, archival data, and meetings to assess the various characteristics of the organization? a. education b. team building c. process consultation d. diagnostic ANSWER: d RATIONALE: An organization design diagnosis analyzes the current condition of an organization. To carry out this diagnosis, managers use questionnaires, opinion or attitude surveys, interviews, archival data, and meetings to assess various characteristics of the organization.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 75. What might an organization use to generate profiles of its current activities in order to identify areas in need of correction? a. life and career planning b. team building c. third-party peacemaking d. diagnostic activities ANSWER: d RATIONALE: The results of diagnostic activities may generate profiles of the organization’s activities, which can then be used to identify problem areas in need of correction.

POINTS: 1 QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED:

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76. You are a manager at a corproration and have introduced a new activity called “group farming,” where the company’s executive groups participate in farming activities for three hours every month. This activity has been designed to emphasize the importance of interdependence and coordination among employees. Which of the following organizational development techniques are you using? a. third-party peacemaking b. process consultation c. team building d. survey feedback ANSWER: c RATIONALE: Team-building activities are intended to enhance the effectiveness and satisfaction of individuals who work in groups or teams and to promote overall group effectiveness.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 77. A company has internal experts who help executives learn about how others see them and improve their performance in the future. The company is using the organization development technique called: a. technostructural activities. b. process consultation. c. team building. d. coaching and counseling.

ANSWER: d RATIONALE: Coaching and counseling provide nonevaluative feedback to individuals.

The purpose is to help people develop a better sense of how others see them and learn behaviors that will assist others in achieving their workrelated goals. The focus is not on how the individual is performing today; instead, it is on how the person can perform better in the future.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 78. Which organizational development approach would be used to address significant conflict that exists within an organization? a. survey feedback b. third-party peacemaking c. process consultation d. life planning ANSWER: b RATIONALE: One approach to OD is through third-party peacemaking, which is most often used when substantial conflict exists within the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic STANDARDS: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 79. Which of the following is an organization development (OD) technique that helps employees formulate their personal goals and evaluate strategies for integrating their goals with the goals of the organization? a. process consultation b. third-party peacemaking c. team building d. life and career planning ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Life and career planning is an OD technique that helps employees formulate their personal goals and evaluate strategies for integrating their goals with the goals of the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 80. Diagnostic activities, third-party peacemaking, and process consultation are activities associated with which of the following? a. process consultation b. force-field analysis c. business process change d. organization development ANSWER: d RATIONALE: Interventions or activities associated with organization development include diagnostic activities, team building, survey feedback, third-party peacemaking, process consultation, life and career planning, and coaching and counseling.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:50 AM ED: 81. Which of the following refers to a large-scale information system for integrating and synchronizing the many activities in the extended enterprise? a. enterprise resource planning (ERP) b. planned change c. reengineering d. organization development ANSWER: a RATIONALE: ERP refers to a large-scale information system for integrating and synchronizing the many activities in the extended enterprise. Companywide processes—such as materials management, production planning, order management, and financial reporting—can all be managed via ERP. POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 82. When creating organization change that has to do with people, what is a common focus? a. job design b. pay and benefits c. perceptions and expectations d. reporting relationships ANSWER: c RATIONALE: Change directed at employee performance reflects change in people.

Other areas of change directed at people include abilities and skills, perceptions, attitudes, and values.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 83. An organization is behaving most typically when it does not change in sync with its environment, and it: a. seeks reengineering based on goal setting. b. incorporates third-party peacemaking. c. seeks additional resources to survive. d. maintains the status quo.

ANSWER: d RATIONALE: An organization is behaving most typically when it maintains the status quo, does not change in sync with its environment, and starts consuming its own resources to survive.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 84. Why would managers want to implement organizational development practices within their organization? a. to take advantage of the skills and abilities of employees b. to include a blend of top-down and bottom-up involvement c. to eliminate the need for diagnostic activities in problem solving Copyright Cengage Learning. Powered by Cognero.

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d. to eliminate workers who will not respond well to change ANSWER: a RATIONALE: A critical assumption of OD is that the total organization and the way it is designed will influence the way individuals and groups within the organization behave. Thus, some form of collaboration between managers and their employees is necessary to (1) take advantage of the skills and abilities of the employees and (2) eliminate aspects of the organization that slow employee growth, development, and group acceptance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 85. Essentially, reengineering, which involves changes to the broad context of development without necessarily affecting the physical appearance or performance of products or services, is a(n): a. technical innovation. b. radical innovation. c. incremental innovation. d. managerial innovation.

ANSWER: d RATIONALE: Managerial innovations are changes in the management process by which products and services are conceived, built, and delivered to customers. They do not necessarily affect the physical appearance or performance of products or services directly. In effect, reengineering represents a managerial innovation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.4 - Describe the innovation process, forms of innovation, failure to BJECTIVES: innovate, and how organizations can promote innovation.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 86. The key difference between managerial and process innovations is that process innovations: a. affect the broader context of development. b. directly affect manufacturing. c. are changes in physical characteristics. d. complete replace something.

ANSWER: b RATIONALE: Whereas managerial innovations generally affect the broader context of development, process innovations directly affect manufacturing.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO7.4 - Describe the innovation process, forms of innovation, failure to ECTIVES: innovate, and how organizations can promote innovation.

ACCREDITING Analytic STANDARDS: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 87. In which stage of the innovation process does an organization introduce new products or services to the marketplace? a. innovation development b. application launch c. innovation application d. application growth ANSWER: b RATIONALE: Application launch is the stage of the innovation process during which an organization introduces new products or services to the marketplace.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING OB LO7.4 - Describe the innovation process, forms of innovation, failure to JECTIVES: innovate, and how organizations can promote innovation.

ACCREDITING Analytic Technology STANDARDS: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 88. Which stage of innovation involves the demand decreasing and substitution is developed and applied? a. developmen t b. maturity c. launch d. decline ANSWER: d RATIONALE: Innovation decline is the stage at which the demand for the innovation decreases and substitute innovations are developed and applied.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO7.4 - Describe the innovation process, forms of innovation, failure to ECTIVES: innovate, and how organizations can promote innovation.

ACCREDITING Analytic STANDARDS: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 89. What are new products, services, or technologies developed by an organization that completely replace the existing products, services, or technologies in an industry? a. process innovations b. incremental innovations c. radical innovations d. mechanical innovations ANSWER: c RATIONALE: Radical innovations are new products, services, or technologies Copyright Cengage Learning. Powered by Cognero.

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developed by an organization that completely replace the existing products, services, or technologies in an industry.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.4 - Describe the innovation process, forms of innovation, failure to BJECTIVES: innovate, and how organizations can promote innovation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 90. Changes in the performance of an existing service or the creation of a new one are: a. process innovation. b. operational innovation. c. technical innovation. d. product innovation.

ANSWER: d RATIONALE: Product innovations are changes in the physical characteristics or performance of existing products or services or the creation of brandnew products or services.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.4 - Describe the innovation process, forms of innovation, failure to BJECTIVES: innovate, and how organizations can promote innovation.

ACCREDITIN Technology G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 91. Which type of innovation is a change in the appearance or performance of a product or service or of the physical processes through which a product or service is manufactured?

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a. technical b. incrementa l c. radical d. mechanical ANSWER: a RATIONALE: A technical innovation is a change in the appearance or performance of a product or service or of the physical processes through which a product or service is manufactured.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.4 - Describe the innovation process, forms of innovation, failure to BJECTIVES: innovate, and how organizations can promote innovation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 92. An organization that does not have the time, money, or staff to pursue a creative new idea may be unable to innovate for what reason? a. organization culture b. lack of resources c. resistance to change d. deficient technology ANSWER: b RATIONALE: Innovation is expensive in terms of money, time, and energy. If a firm does not have the resources in terms of sufficient money to fund a program of innovation or does not currently employ the kinds of employees it needs to be innovative, it may lag in innovation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.4 - Describe the innovation process, forms of innovation, failure to BJECTIVES: innovate, and how organizations can promote innovation.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 93. Which of the following is a top-level manager who approves of and supports a project? a. product champion b. inventor c. sponsor d. investor ANSWER: c RATIONALE: A sponsor is a top-level manager who approves of and supports a project. This person may fight for the budget needed to develop an idea, overcome arguments against a project, and use organizational politics to ensure the project’s survival.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.4 - Describe the innovation process, forms of innovation, failure to BJECTIVES: innovate, and how organizations can promote innovation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 94. Which of the following is the type of person who conceives of and develops the new idea, product, or service by means of the creative process? a. inventor b. sponsor c. product champion d. angel investor ANSWER: a RATIONALE: An inventor is a person who conceives of and develops the new idea, product, or service by means of the creative process.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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E: HAS VARIABLE False S: LEARNING OBJ LO7.4 - Describe the innovation process, forms of innovation, failure to ECTIVES: innovate, and how organizations can promote innovation.

ACCREDITING Analytic STANDARDS: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:50 AM : DATE MODIFIE 4/7/2025 5:50 AM D: 95. Which of the following will develop a new business in the context of a large organization? a. intrapreneurs b. entrepreneurs c. product champions d. sponsors ANSWER: a RATIONALE: Intrapreneurs are like entrepreneurs except that they develop a new business in the context of a large organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO7.3 - Identify the major areas of organization change and the JECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITING Analytic Technology STANDARDS: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 96. Which of the following is true of an incremental innovation? a. It is most often endorsed by product champions. b. It fundamentally shifts the nature of competition in an industry. c. It creates new products to completely replace existing ones. d. It modifies existing products and processes.

ANSWER: d RATIONALE: Incremental innovations are new products, services, or processes that Copyright Cengage Learning. Powered by Cognero.

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modify existing ones. Firms that implement incremental innovations alter, but do not fundamentally change, competitive interaction in an industry.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 97. Which can be a period of high economic performance for an organization? a. innovation maturity b. innovation application c. application growth d. process reengineering ANSWER: c RATIONALE: Once an innovation has been successfully launched, it then enters the stage of application growth. Application growth is a period of high economic performance for an organization because demand for the product or service is often greater than supply.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 98. Which type of innovation refers to a new product, service, or technology that modifies an existing one? a. radical b. product c. incrementa l d. managerial ANSWER: c RATIONALE: Incremental innovations refer to a new product, service, or technology that modifies an existing one. Firms that implement incremental innovations alter, but do not fundamentally change, competitive interaction in an industry.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 99. Because you believe that each item you produce should be custom fit for each customer, you do not allow the online purchasing of your specialty clothing line. However, you now find that your sales are declining, and once-steady customers who asked for online ordering are no longer shopping with you. Which of the following is affecting your business? a. lack of resources b. lack of a product sponsor c. failure to recognize opportunities d. changes in process innovation ANSWER: c RATIONALE: If organizations are not skilled at recognizing and evaluating opportunities, they may be overly cautious and fail to invest in innovations that later turn out to be successful for other firms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 100. What are the two most important types of technical innovations? a. product and service b. product and managerial c. product and process d. product and distribution ANSWER: c RATIONALE: Perhaps the two most important types of technical innovations are product innovations and process innovations. Product innovations are changes in the physical characteristics or performance of existing products or services or the creation of brand-new products or services.

Process innovations are changes in the way products or services are manufactured, created, or distributed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 101. Which unique skill does a product champion usually possess? a. knowing where to secure resources for successful development Copyright Cengage Learning. Powered by Cognero.

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b. understanding technological aspects of an idea c. managing organizational politics d. the ability to conceive and develop new ideas ANSWER: a RATIONALE: A product champion is usually a middle manager who learns about the project and becomes committed to it. Product champions are skilled at knowing how the organization works, whose support is needed to push the project forward, and where to go to secure the resources necessary for successful development.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 102. You, as a manager, want to establish a culture that rewards innovative ideas. What can you do to encourage innovation in your firm? a. Provide rewards only when innovation is successful. b. Encourage product champions. c. Communicate the feeling that failure is acceptable and expected. d. Require employees to make up the time spent on failed ideas.

ANSWER: c RATIONALE: A well-managed culture can communicate a sense that innovation is valued and will be rewarded and that occasional failure in the pursuit of new ideas is not only acceptable but even expected.

POINTS: 1 QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Analytic Technology G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 103. Describe the four techniques used by organizations to overcome employee resistance to change.

ANSWER: The four techniques used by organizations to overcome employee resistance to change are as follows: Participation: Participation is often the most effective technique for overcoming resistance to change. Employees who participate in planning and implementing a change are better able to understand the reasons for the change. Uncertainty is reduced, and self-interests and social relationships are less threatened.

Education and Communication: Educating employees about the need for and the expected results of an impending change should reduce their resistance. If open communication is established and maintained during the change process, uncertainty can be minimized.

Facilitation: Several facilitation procedures are also advisable. For instance, making only necessary changes, announcing those changes well in advance, and allowing time for people to adjust to new ways of doing things can help reduce resistance to change.

Force-Field Analysis: In almost any change situation, forces are acting for and against the change. To facilitate the change, managers start by listing each set of forces and then trying to tip the balance so that the forces facilitating the change outweigh those hindering the change. It is especially important to try to remove or at least minimize some of the forces acting against the change.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO7.2 - Identify the steps in organization change and how to manage BJECTIVES: resistance to change.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Managing Change in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 104. Define the term "organization development," and briefly describe the basic assumptions on which OD efforts are based.

ANSWER: OD is concerned with changing attitudes, perceptions, behaviors, and Copyright Cengage Learning. Powered by Cognero.

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expectations. More precisely, organization development is a planned effort that is organization-wide, managed from the top, and intended to increase organizational effectiveness and health through planned interventions in the organization’s process, using behavioral science knowledge. The theory and practice of OD are based on several very important assumptions. The first is that employees have a desire to grow and develop. Another is that employees have a strong need to be accepted by others within the organization. Still another critical assumption of OD is that the total organization and the way it is designed will influence the way individuals and groups within the organization behave.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO7.3 - Identify the major areas of organization change and the BJECTIVES: assumptions, techniques, and effectiveness of organization development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Areas of Organization Change KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 105. Name and define the three intrapreneurial roles in large organizations.

ANSWER: There are three intrapreneurial roles in large organizations.

The inventor is the person who actually conceives of and develops the new idea, product, or service by means of the creative process. Because the inventor may lack the expertise or motivation to oversee the transformation of the product or service from an idea into a marketable entity, however, a second role comes into play. A product champion is usually a middle manager who learns about the project and becomes committed to it. The manager helps overcome organizational resistance and convinces others to take the innovation seriously.

A sponsor is a top-level manager who approves of and supports a project. This person may fight for the budget needed to develop an idea, overcome arguments against a project, and use organizational politics to ensure the project’s survival.

With a sponsor in place, the inventor’s idea has a much better chance of being successfully developed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic Copyright Cengage Learning. Powered by Cognero.

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TRY MODE: LEARNING O LO7.4 - Describe the innovation process, forms of innovation, failure to BJECTIVES: innovate, and how organizations can promote innovation.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Organizational Innovation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED:

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Chapter 08 - Managing Human Resources in Organizations 1. Which set of activities, focused on attracting, developing, and maintaining an effective workforce, plays a critical role in ensuring organizational success through talent management and employee engagement? a. operations management b. organization development c. relationship management d. human resource management ANSWER: d RATIONALE: Human resource management is the set of organizational activities directed at attracting, developing, and maintaining an effective workforce.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 2. Which of the following reflects an organization’s investment in attracting, retaining, and motivating an effective workforce? a. financial capital b. human capital c. surplus capital d. enterprise capital ANSWER: b RATIONALE: Human capital reflects an organization’s investment in attracting, retaining, and motivating an effective workforce.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

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ACCREDITIN Analytic G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 3. Which of the following forbids discrimination based on sex, race, color, religion, or national origin in all areas of the employment relationship? a. Age Discrimination in Employment Act b. Affirmative Action c. Title VII of the Civil Rights Act of 1964 d. Fair Labor Standards Act ANSWER: c RATIONALE: Title VII of the Civil Rights Act of 1964 forbids discrimination on the basis of sex, race, color, religion, or national origin in all areas of the employment relationship.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 4. Which of the following is an example of a direct form of discrimination? a. an organization using realistic job previews to recruit employees b. an organization refusing to promote employees belonging to an ethnic minority into management c. an organization hiring professionals based on their experience and skills d. an organization using employment tests that men pass at a higher rate than women ANSWER: b RATIONALE: The intent of Title VII is to ensure that employment decisions are made on the basis of an individual’s qualifications rather than on the basis of personal biases. The law has reduced direct forms of discrimination Copyright Cengage Learning. Powered by Cognero.

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(such as refusing to promote African Americans into management, failing to hire men as flight attendants, or refusing to hire women as construction workers) as well as indirect forms of discrimination (such as using employment tests that whites pass at a higher rate than African Americans).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 5. When an organization uses an employment test that the majority ethnic group is known to pass at a higher rate than minority groups, what is this practice an example of? a. an indirect form of discrimination b. equal employment opportunity c. affirmative action d. a direct form of discrimination ANSWER: a RATIONALE: The intent of Title VII is to ensure that employment decisions are made on the basis of an individual’s qualifications rather than on the basis of personal biases. The law has reduced direct forms of discrimination (such as refusing to promote African Americans into management, failing to hire men as flight attendants, or refusing to hire women as construction workers) as well as indirect forms of discrimination (such as using employment tests that whites pass at a higher rate than African Americans).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

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ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 6. What can be defined as intentionally seeking and hiring qualified or qualifiable employees from racial, sexual, and ethnic groups that are underrepresented in an organization? a. affirmative action b. direct form of discrimination c. indirect form of discrimination d. adverse impact ANSWER: a RATIONALE: Affirmative action is defined as intentionally seeking and hiring qualified or qualifiable employees from racial, sexual, and ethnic groups that are underrepresented in an organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Analytic G STANDARD Ethics S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 7. What can an employer use to intentionally and proactively seek and hire employees from underrepresented groups? a. Labor-Management Relations Act b. employment at will c. affirmative action d. Fair Labor Standards Act ANSWER: c RATIONALE: Affirmative action is defined as intentionally seeking and hiring qualified or qualifiable employees from racial, sexual, and ethnic groups that are underrepresented in an organization.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Analytic G STANDARD Ethics S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 8. The Age Discrimination in Employment Act forbids discrimination against workers above what age? a. 40 b. 45 c. 50 d. 55 ANSWER: a RATIONALE: The Age Discrimination in Employment Act, passed in 1967, amended in 1978, and amended again in 1986, is an attempt to prevent organizations from discriminating against older workers. In its current form, it outlaws discrimination against people older than 40 years.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED:

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9. What is created when employment requirements, such as test scores and qualifications, result in minorities and women meeting or passing the requirement at a rate less than 80 percent of the rate of majority group members? a. affirmative action b. an adverse impact c. confirmatory action d. lack of employment at will ANSWER: b RATIONALE: Employment requirements such as test scores and other qualifications are legally defined as having an adverse impact on minorities and women when such individuals meet or pass the requirement at a rate less than 80 percent of the rate of majority group members.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 10. Which of the following best describes the requirement of the Age Discrimination in Employment Act? a. It protects only older individuals in minority groups from discrimination. b. It requires employers to practice passive nondiscrimination. c. It protects individuals younger than 25 from workplace discrimination. d. It mandates that employers implement affirmative action policies.

ANSWER: b RATIONALE: Both the Age Discrimination in Employment Act and Title VII require passive nondiscrimination, or equal employment opportunity. Employers are not required to seek out and hire minorities, but they must treat all who apply fairly.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES:

management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 11. Which of the following best describes the impact of the Civil Rights Act of 1991? a. It increases the potential for punitive damages in discrimination cases. b. It makes it easier for employees to file discrimination lawsuits. c. It requires employers to offer paid family and medical leave. d. It reduces the influence and authority of labor unions.

ANSWER: b RATIONALE: The Civil Rights Act of 1991 makes it easier for employees to sue an organization for discrimination but limits punitive damage awards if they win.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 12. Legislation was passed specifically to extend affirmative action to veterans of what war? a. World War I b. World War II c. Korean War d. Vietnam War ANSWER: d RATIONALE: Employers are also required to act affirmatively in hiring Vietnam-era Copyright Cengage Learning. Powered by Cognero.

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veterans (as a result of the Vietnam Era Veterans Readjustment Assistance Act).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 13. Which law establishes a process for employees to vote on union representation? a. National Labor Relations Act b. Labor Management Relations Act c. Taft–Hartley Act d. Civil Rights Act of 1991 ANSWER: a RATIONALE: The National Labor Relations Act (also known as the Wagner Act), passed in 1935, sets up a procedure for employees to vote on whether to have a union. If they vote for a union, management is required to bargain collectively with the union.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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14. Which of the following laws limits union power and specifies management rights during a union-organizing campaign? a. National Labor Relations Act b. Employee Retirement Income Security Act of 1974 c. Fair Labor Standards Act d. Labor Management Relations Act ANSWER: d RATIONALE: The Labor Management Relations Act limits union power and specifies management rights during a union-organizing campaign. It is also known as the Taft–Hartley Act. POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 15. What does the Family and Medical Leave Act of 1993 require employers to provide for family and medical emergencies? a. 6 months; paid b. 12 weeks; unpaid c. 15 weeks; paid d. 1 year; unpaid ANSWER: b RATIONALE: The Family and Medical Leave Act of 1993 requires employers to provide up to 12 weeks of unpaid leave for family and medical emergencies.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

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ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 16. What does the Americans with Disabilities Act require from employers? a. allows passive discrimination against individuals with disabilities b. pays higher wages to employees with disabilities c. provides reasonable accommodations for employees with disabilities d. provides 24 weeks of unpaid leave to employees with disabilities ANSWER: c RATIONALE: The Americans with Disabilities Act forbids discrimination on the basis of disabilities and requires employers to provide reasonable accommodations for disabled employees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 17. Which law, passed in 1938 and amended since then, sets a minimum wage and mandates overtime pay for work exceeding 40 hours per week? a. National Labor Relations Act b. Labor Management Relations Act c. Fair Labor Standards Act d. Occupational Safety and Health Act ANSWER: c RATIONALE: The Fair Labor Standards Act sets a minimum wage and requires the payment of overtime rates for work in excess of 40 hours per week.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 18. Based on a Supreme Court ruling, it is illegal to take discriminatory action against the LGBTQ community. Which act did the Supreme Court make this decision based on? a. Title VII of the Civil Rights Act b. Employment-at-will Act c. Americans with Disabilities Act d. National Labor Relations Act ANSWER: a RATIONALE: In June 2020, the U.S. Supreme Court ruled that Title VII protections provided by the Civil Rights Act of 1964 extend to LGBTQ employees, therefore making discriminatory actions against them illegal.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED:

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19. The firefighters in several cities in your area have been working long hours and feel they are underpaid. They have been striking for increased wages, additional staff, and fewer hours. However, they are considered essential to the security of the country. What can you do to force them back to work? a. Enforce Executive Order 11246. b. Enforce the National Labor Relations Act. c. Enforce the National Emergency Strike provision. d. File a claim with the Department of Labor.

ANSWER: c RATIONALE: Following a series of severe strikes in 1946, the Labor-Management Relations Act (also known as the Taft–Hartley Act) was passed in 1947 to limit union power. The Taft–Hartley Act also contains the National Emergency Strike provision, which allows the president of the United States to prevent or end a strike that endangers national security.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 20. You are bidding on a large government contract. As part of the bid, you are required to outline employment goals for your firm, as well as how you will find and hire employees from underrepresented groups. Which of the following must you submit with your bid? a. employment-at-will plan b. affirmative action plan c. talent management plan d. right-to-work plan ANSWER: b RATIONALE: Several executive orders require that employers holding government contracts engage in affirmative action—intentionally and proactively seeking and hiring employees from groups that are underrepresented in the organization. These organizations must have a written affirmative action plan that spells out employment goals for underutilized groups and how those goals will be met.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 21. You are a 42-year-old computer expert who applied at a software firm but was not given the job. You were told that the firm was looking for someone who can design software for the younger generation who use mobile technology. Which act did the firm violate? a. Age Discrimination in Employment Act b. affirmative action c. Title VII of the Civil Rights Act of 1964 d. Employee Retirement Income Security Act of 1974 ANSWER: a RATIONALE: The Age Discrimination in Employment Act—passed in 1967, amended in 1978, and amended again in 1986—is an attempt to prevent organizations from discriminating against older workers. In its current form, it outlaws discrimination against people older than 40 years on the basis of their age.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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22. Who is responsible for the enforcement of Title VII? a. National Labor Relations Board b. Equal Employment Opportunity Commission c. Department of Labor d. Occupational Safety and Health Administration ANSWER: b RATIONALE: The Equal Employment Opportunity Commission is charged with enforcing Title VII as well as several other employment-related laws.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 23. What has changed human resource management (HRM) into an area of growing importance for most firms? a. haphazard compensation systems b. unionization of many industries c. decreased productivity due to human interaction d. increased legal complexities ANSWER: d RATIONALE: HRM was once relegated to second-class status in many organizations, but its importance has grown dramatically in most modern organizations.

Its growing importance stems from increased legal complexities, the recognition that human resources are a valuable means for improving productivity, and the increased awareness of the costs associated with poor human resource management.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

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ACCREDITIN Ethics G STANDARD S: TOPICS: The Environmental Context of Human Resource Management KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 24. What is the systematized procedure for collecting and recording information about jobs within an organization? a. job analysis b. job evaluation c. job specialization d. job enrichment ANSWER: a RATIONALE: Job analysis is a systematized procedure for collecting and recording information about jobs within an organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO8.2 - Discuss how organizations attract human resources, including CTIVES: human resource planning, recruiting, and selection.

ACCREDITING S Analytic TANDARDS: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM

25. Which of the following is the first step in human resource planning? a. assessing external and internal trends b. predicting demand c. forecasting supply d. comparing future demand and internal supply ANSWER: a RATIONALE: After managers fully understand the jobs to be performed within the organization, they can start planning for the organization’s future human resource needs. The manager starts by assessing trends in past human resource usage, future organizational plans, and general economic trends.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 26. The document that lists the duties of a job; the job’s working conditions; and the tools, materials, and equipment used to perform it is called a: a. job specification. b. job description. c. replacement chart. d. statement of qualification.

ANSWER: b RATIONALE: The job description lists the duties of a job; the job’s working conditions; and the tools, materials, and equipment used to perform it.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO8.2 - Discuss how organizations attract human resources, including ECTIVES: human resource planning, recruiting, and selection.

ACCREDITING Analytic STANDARDS: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:50 AM : DATE MODIFIE 4/7/2025 5:50 AM D: 27. The document that lists the skills, abilities, and other credentials needed to do a job is called: a. article of incorporation. b. replacement chart. c. job description.

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d. job specification.

ANSWER: d RATIONALE: The job specification lists the skills, abilities, and other credentials needed to do a job.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO8.2 - Discuss how organizations attract human resources, including CTIVES: human resource planning, recruiting, and selection.

ACCREDITING S Analytic TANDARDS: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM

28. A system that is usually computerized and contains information on each employee’s education, work experience, and career aspirations is called: a. bona fide occupational qualification. b. article of incorporation. c. skills inventory. d. statement of qualification.

ANSWER: c RATIONALE: To facilitate both planning and identifying persons for current transfer or promotion, some organization have an employee information system, or skills inventory, which is usually computerized and contains information on each employee’s education, skills, work experience, and career aspirations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:50 AM ED: 29. When preparing a job description to hire additional staff, what type of information should be included? a. skills of existing employees b. tools, materials, and equipment needed to perform the job c. educational background required of applicants d. personal profile of a supervisor ANSWER: b RATIONALE: The job description lists the duties of a job; the job’s working conditions; and the tools, materials, and equipment used to perform it. The job specification lists the skills, abilities, and other credentials needed to do the job. Job analysis information is used in many human resource activities. For instance, knowing about job content and job requirements is necessary to develop appropriate selection methods and job-relevant performance appraisal systems and to set equitable compensation rates.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 30. Where would you find information about the knowledge, skills, abilities, and other credentials a person needs to do a particular job? a. job specification b. job analysis c. job description d. replacement chart ANSWER: a RATIONALE: The job specification lists the skills, abilities, and other credentials needed to do the job. Job analysis information is used in many human resource activities. For instance, knowing about job content and job requirements is necessary to develop appropriate selection methods and job-relevant performance appraisal systems and to set equitable compensation rates.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 31. Which of the following lists each important managerial position in an organization, who occupies it, how long they will probably remain in the position, and who is or will be a qualified fill-in? a. skills inventory b. employee information system c. Gantt chart d. replacement chart ANSWER: d RATIONALE: A replacement chart lists each important managerial position in the organization, who occupies it, how long they will probably remain in the position, and who is or will be qualified to move into the position.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 32. You are the CEO of a company and need to know the names of the line managers in the company who will soon be ready to take up positions in middle management. As the CEO, you can obtain this information from the: a. demand forecast.

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b. replacement chart. c. supply forecast. d. job evaluation.

ANSWER: b RATIONALE: The replacement chart lists each important managerial position, who occupies it, how long he or she will probably stay in it before moving on, and who (by name) is now qualified or soon will be qualified to move into the position.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 33. You are the CEO of a company and are planning to build an internal design team for the company. You are looking for employees within the company who have the expertise and interest in designing. Where can this information be found? a. replacement chart b. job specification c. skills inventory d. job description ANSWER: c RATIONALE: An employee information system contains information on each employee’s education, skills, work experience, and career aspirations and is usually computerized.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

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KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 34. You, as a manager, are trying to determine if the appropriate staffing level will be reached for the summer rush season.

You are reviewing reports that indicate the number of people expected to be in the labor market and available for hiring when needed. What are you doing? a. analyzing the employee information system b. reviewing the skills inventory c. reviewing the replacement chart d. forecasting the external labor supply ANSWER: d RATIONALE: Forecasting the supply of labor is really two tasks: forecasting the internal supply (the number and type of employees who will be in the firm at some future date) and forecasting the external supply (the number and type of people who will be available for hiring in the labor market at large).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 35. While matching human resource supply and demand, managers can handle predicted shortfalls by: a. avoiding hiring new employees. b. convincing individuals who are approaching retirement to stay on. c. not replacing people who have quit. d. laying off employees.

ANSWER: b RATIONALE: If a shortfall is predicted, new employees can be hired, present employees can be retrained and transferred into the understaffed area, individuals approaching retirement can be convinced to stay on, or laborsaving or productivity-enhancing systems can be installed.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 36. What is the process of attracting qualified persons to apply for jobs that are open? a. mentoring b. recruiting c. job analysis d. job evaluation ANSWER: b RATIONALE: Recruiting is the process of attracting qualified persons to apply for jobs that are open.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO8.2 - Discuss how organizations attract human resources, including CTIVES: human resource planning, recruiting, and selection.

ACCREDITING S Analytic TANDARDS: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM

37. Online postings, executive search firms, referrals by current employees, and walk-in hires are all methods of: a. external recruiting. b. job analysis. c. validation.

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d. job evaluation.

ANSWER: a RATIONALE: External recruiting methods include advertising, campus interviews, employment agencies or executive search firms, union hiring halls, referrals by present employees, and hiring “walk-ins” or “gate-hires.”

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 38. What is defined as determining the extent to which a selection device is predictive of future job performance? a. realistic job preview b. internal recruitment c. job evaluation d. validation ANSWER: d RATIONALE: Validation is defined as determining the extent to which a selection device is really predictive of future job performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO8.2 - Discuss how organizations attract human resources, including CTIVES: human resource planning, recruiting, and selection.

ACCREDITING S Analytic TANDARDS: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM

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39. During your interview, the HR manager showed you a video depicting a typical workday at the organization and provided detailed information about job expectations and promotion criteria. Although some details did not appeal to you, you gained a clear understanding of what to expect from the job and the company. The organization used the _____ method in your interview. a. validation b. realistic job preview c. job enlargement d. job specialization ANSWER: b RATIONALE: A realistic job preview (RJP) provides the applicant with a real picture of what it would be like to perform the job that the organization is trying to fill.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO8.2 - Discuss how organizations attract human resources, including JECTIVES: human resource planning, recruiting, and selection.

ACCREDITING Analytic STANDARDS: Technology TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFI 4/7/2025 5:50 AM ED: 40. Which statement best describes tests of ability, skill, aptitude, or job-related knowledge? a. They are occasionally useful but not essential for hiring decisions. b. They are usually the best predictors of job success. c. They are not as valuable as tests of general intelligence. d. They primarily measure personality traits rather than job performance.

ANSWER: b RATIONALE: Tests that assess job-related abilities, skills, aptitude, or knowledge tend to be the strongest predictors of job success because they directly evaluate the competencies needed for a specific role. While general intelligence and personality tests can provide useful insights, they are not as directly linked to job performance as skill-based assessments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

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ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 41. Your company has all candidates who are qualified for promotion attend a five-day evaluation session during which they take a battery of tests, conduct interviews, and perform in simulated work scenarios. The method used for the selection process in this scenario is: a. assessment center. b. structured orientation process. c. job analysis. d. background check.

ANSWER: a RATIONALE: Assessment centers are a popular method used to select managers and are particularly good for selecting current employees for promotion. The assessment center is a content-valid simulation of major parts of the managerial job.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 42. An advantage of the realistic job preview is that: a. interviewers can familiarize themselves with candidates before interviewing them. b. it is fair to members of minority groups and women. c. the person hired will be more likely to remain in the job for a longer period. d. it introduces consistency into the interview procedure.

ANSWER: c RATIONALE: If a company is more realistic about a job, the person hired will be Copyright Cengage Learning. Powered by Cognero.

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more likely to remain in the job for a longer period.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO8.2 - Discuss how organizations attract human resources, including CTIVES: human resource planning, recruiting, and selection.

ACCREDITING S Analytic TANDARDS: Technology TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM

43. You are the head of human resources and reviewing a five-year strategic plan that projects 15 percent annual sales growth. Based on this projection, your HR department estimates that the company will need an additional 75 employees during the plan period. Which HR planning tool did you use to identify this need? a. job analysis b. forecasting c. recruiting d. realistic job preview ANSWER: b RATIONALE: In this scenario, HR used forecasting to identify this need. When managers fully understand the work and jobs to be performed within the organization, they can more effectively plan for the organization’s future human resource needs. Forecasting human resource demand and supply is an HR function that plans for staffing inequities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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44. Once an organization has an idea of its future human resource needs, what is its next step? a. job analysis b. forecasting c. skills inventory d. recruiting ANSWER: d RATIONALE: Once an organization has an idea of its future human resource needs, the next phase is usually recruiting new employees. Recruiting is the process of attracting qualified persons to apply for jobs that are open.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 45. What is the consideration of current employees as candidates for openings? a. job analysis b. validation c. internal recruiting d. job analysis ANSWER: c RATIONALE: Internal recruiting means considering present employees as candidates for openings.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO8.2 - Discuss how organizations attract human resources, including CTIVES: human resource planning, recruiting, and selection.

ACCREDITING S Analytic TANDARDS: Technology TOPICS: Attracting Human Resources Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:50 AM DATE MODIFIED: 4/7/2025 5:50 AM

46. You have been asked to forecast the supply of labor available for an upcoming project. What should you include in the forecast? a. turnover and promotions b. internal and external supply c. replacement of managerial positions d. skills and abilities of current employees ANSWER: b RATIONALE: Forecasting the supply of labor is really two tasks: forecasting the internal supply (the number and types of employees who will be in the firm at some future date) and forecasting the external supply (the number and types of people who will be available for hiring in the labor market at large).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 47. Which of the following is a disadvantage of internal recruiting? a. having to post the job with the union b. its ripple effect through the organization c. managers needing to make the recommendations d. expensive hiring incentives ANSWER: b RATIONALE: One disadvantage of internal recruiting is its ripple effect. When an employee moves to a different job, someone else must be found to take their old job. For each move, someone else will need to be promoted and/or replaced. They might come from the ranks of current employees, who also must then be replaced.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 48. What is the process of teaching managers and professionals the skills needed for both present and future jobs? a. development b. coaching c. validation d. job evaluation ANSWER: a RATIONALE: Development refers to teaching managers and professionals the skills needed for both present and future jobs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 49. In human resource management, the process that usually refers to teaching operational or technical employees how to do the job for which they were hired is: a. job rotation. b. job specialization.

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c. development. d. training.

ANSWER: d RATIONALE: A deficiency of skills and knowledge among employees can be remedied by training.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 50. The human resource management concept illustrated in the scenario, where an employee is sent to an educational course to gain skills for promotion to a higher management position, is: a. staffing. b. job rotation. c. development . d. training.

ANSWER: c RATIONALE: Development refers to teaching managers and professionals the skills needed for both present and future jobs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 51. You are a director at a company and have recently hired a new group of employees. The HR manager intends to share company rules and procedures with them. Which training method would be most effective in this scenario? a. electronic media-based training b. a presentation c. role-playing d. case discussion groups ANSWER: b RATIONALE: When the training content is factual material (such as company rules or explanations for how to fill out forms), assigned reading, or presentations work well.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 52. Which training method is ideal for training employees in group decision-making processes? a. vestibule training b. programmed learning c. role-playing d. assigned reading ANSWER: c RATIONALE: When the content is interpersonal relations or group decision making, firms must use a method that allows interpersonal contact, such as roleplaying or case discussion groups.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 53. You, a newly hired officer, have been asked to spend a shift with a more experienced officer to learn about paperwork, how to handle accident scenes, how to interact with people, and other duties that will be expected. Which concept is illustrated in this scenario? a. presentation method b. case discussion c. simulation d. vestibule ANSWER: d RATIONALE: When employees must learn a physical skill, methods allowing practice and the actual use of tools and materials are needed, as in on-the-job training or vestibule training.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 54. Which training method would be most effective for training employees about ethical dilemmas and ethical decision making? a. job specialization Copyright Cengage Learning. Powered by Cognero.

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b. case discussion groups c. on-the-job training d. the lecture method ANSWER: b RATIONALE: When the content is interpersonal relations or group decision making, firms must use a method that allows interpersonal contact, such as roleplaying or case discussion groups.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 55. A business that has a corporate university: a. hires students straight out of high school. b. sets up a mentoring program with the local vocational school. c. trains workers for jobs with any company in a specific industry. d. has its own self-contained training facility.

ANSWER: d RATIONALE: Some larger businesses have their own self-contained training facility, often called a corporate university.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 56. Which of the following is an advantage of web-based training methods? a. They can be easily updated and revised. b. They facilitate interpersonal skills better than all other training methods. c. They perfectly simulate real activities. d. They effectively facilitate face-to-face interaction.

ANSWER: a RATIONALE: Web-based and other electronic media-based training are becoming very popular. Such methods allow a mix of training content, are relatively easy to update and revise, let participants use a variable schedule, and lower travel costs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 57. Which of the following is a formal assessment of how well employees are doing their jobs? a. job specialization b. job analysis c. performance appraisal d. employment branding ANSWER: c RATIONALE: Performance appraisal is a formal assessment of how well employees are doing their jobs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 58. Which of the following is an example of an objective measure of performance? a. dollar volume of sales b. interpersonal agreeableness c. customer interaction skills d. decision-making skills ANSWER: a RATIONALE: Objective measures of performance include actual output (that is, number of units produced), scrap rate, dollar volume of sales, and number of claims processed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 59. If some people have a better chance than others to achieve higher output, objective measures of performance are skewed by: a. the halo effect. b. a recency error.

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c. the BARS bias. d. an opportunity bias.

ANSWER: d RATIONALE: Objective measures of performance may be contaminated by “opportunity bias” if some persons have a better chance to perform than others.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 60. An example of judgmental performance measure is: a. ranking. b. total sales. c. scrap rate. d. dollar volume of sales.

ANSWER: a RATIONALE: Judgmental methods, including ranking and rating techniques, are the most common ways to measure performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Understand Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 61. Which type of review method compares each employee with a fixed standard rather than comparison with other employees? a. check-in approach b. rating c. ranking d. coaching ANSWER: b RATIONALE: Rating differs from ranking in that it compares each employee with a fixed standard rather than a comparison with other employees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 62. The behaviorally anchored rating scale (BARS) is: a. a method used for the validation of a selection device. b. an objective method of performance appraisal. c. a judgmental method of performance appraisal. d. a job training technique appraisal.

ANSWER: c RATIONALE: The behaviorally anchored rating scale (BARS) is an example of a judgmental method of performance appraisal. It is a sophisticated and useful rating method in which supervisors construct rating scales associated with behavioral anchors.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 63. You are a salesperson and consistently receive positive feedback from customers and are ranked as above average or superior in all performance appraisal categories, even though your sales volume is lower than your colleagues. Which type of error is influencing this appraisal? a. recency b. average c. validation d. halo ANSWER: d RATIONALE: Halo error is allowing the assessment of an employee on one dimension to “spread” to ratings of that employee on other dimensions.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 64. An error occurs when a supervisor bases their judgment on employee performance that is fresh in their mind. Which of the following describes this error? a. recency b. halo c. 360-degree Copyright Cengage Learning. Powered by Cognero.

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d. check-in approach ANSWER: a RATIONALE: Recency error is the tendency to base judgments on the subordinate’s most recent performance because it is most easily recalled.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 65. A performance appraisal system in which managers are evaluated by everyone around them—their boss, their peers, and their subordinates is known as: a. graphical rating. b. 360-degree feedback. c. source monitoring. d. the special performance test.

ANSWER: b RATIONALE: A performance appraisal system in which managers are evaluated by everyone around them—their boss, their peers, and their subordinates is known as 360-degree feedback.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 66. Which of the following is true of ranking, a common method of employee appraisal? a. It compares employees against a fixed standard. b. It compares employees directly with each other and orders them from best to worst. c. It is the most objective type of performance review method available. d. It uses a standardized condition to assess employees.

ANSWER: b RATIONALE: Ranking compares employees directly with one another and orders them from best to worst. Ranking is difficult for large groups because the individuals in the middle of the distribution may be hard to distinguish from one another accurately.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 67. A client shared with you how much they enjoyed working with the new account manager you assigned to them. How might this feedback lead you to make a halo error on that employee's performance appraisal? a. You might overly generalize positive feedback from one area of performance to all areas. b. You might focus solely on the negative aspects of the employee's performance due to a single complaint. c. You may rate the employee lower in every area due to one minor mistake. d. You may ignore the client's feedback and provide an objective assessment of the employee’s performance.

ANSWER: c RATIONALE: In this scenario, a halo performance appraisal error could occur if the feedback is used to assess performance across multiple dimensions.

The halo error effect can occur when a single assessment factor is applied to other performance dimensions.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 68. How does the BARS overcome some of the limitations of standard rating scales? a. The manager only considers objective information when assigning points. b. The employee's boss, peers, and subordinates all provide ratings. c. It considers information only from the employee's most recent performance. d. Each point on the scale is accompanied by a behavioral anchor.

ANSWER: d RATIONALE: Each point on the scale is accompanied by a behavioral anchor—a summary of an employee behavior that fits that spot on the scale. The BARS can be effective because it requires that management take proper care in constructing the scales, and it provides useful anchors for supervisors to use in evaluating people.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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69. How can an organization test the effectiveness of its training programs? a. comparing performance to those who have not had training b. measuring criteria before and after training c. surveying employees on how much they enjoyed the training d. evaluation measures at the end of training ANSWER: b RATIONALE: Training and development programs should always be evaluated. Typical evaluation approaches include measuring one or more relevant criteria (such as attitudes or performance) before and after the training and determining whether the criteria changed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 70. Your organization uses special performance tests, which are then supplemented by other appraisal methods. Why would your firm use these types of tests? a. to measure motivation b. to measure ability c. to eliminate the need for performance reviews d. to provide validity ANSWER: a RATIONALE: Performance tests measure ability but do not measure the extent to which one is motivated to use that ability on a daily basis. (A high-ability person may be a lazy performer except when being tested.) Special performance tests must therefore be supplemented by other appraisal methods to provide a complete picture of performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Analytic G STANDARD S: TOPICS: Developing Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 71. What is the financial remuneration given by an organization to its employees in exchange for their work? a. incentives b. compensation c. indirect compensation d. benefits ANSWER: b RATIONALE: Compensation is the financial remuneration given by an organization to its employees in exchange for their work.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 72. Which of the following is a special compensation opportunity that is usually tied to performance is: a. wage. b. salary. c. incentive . d. benefit.

ANSWER: c RATIONALE: Incentives represent special compensation opportunities that are usually tied to performance. Sales commissions and bonuses are among the Copyright Cengage Learning. Powered by Cognero.

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most common incentives.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 73. Which of the following are things of value other than compensation that an organization provides to its workers (sometimes referred to as indirect compensation)? a. bonuses b. wages c. salary d. benefits ANSWER: d RATIONALE: Benefits are things of value other than compensation that the organization provides to its workers.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 74. A company uses a fixed amount of money is added to the salaries of employees if their performance exceeds a predetermined level of expectation. A smaller portion of the amount is added if the employees’ performances just meet the expected level. The company is most likely to be motivating their employees with: Copyright Cengage Learning. Powered by Cognero.

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a. incentives. b. intangible benefits. c. rankings. d. salaries.

ANSWER: a RATIONALE: Incentives represent special compensation opportunities that are usually tied to performance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: Technology TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 75. Which of the following scenarios best illustrates how an organization uses benefits to enhance employee satisfaction and retention? a. An organization offers annual performance bonuses to employees based on individual and team achievements. b.An organization provides flexible work hours, health insurance, and paid family leave to improve work–life balance. c. An organization raises the salary of employees who take on additional responsibilities. d.An organization conducts quarterly performance reviews to assess employee productivity and set goals for the next period.

ANSWER: b RATIONALE: Benefits are things of value other than compensation that the organization provides to its workers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: Technology TOPICS: Retaining Human Resources Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 76. A company has a reputation for paying higher than the prevailing wages in its industry. They do this to attract and keep the best talent. The company is a(n): a. wage leader. b. labor leader. c. wage evaluator. d. incentive leader.

ANSWER: a RATIONALE: Large, successful firms may like to cultivate the image of being “wage leaders” by intentionally paying more than average and thus attracting and keeping high-talent employees.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD Technology S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 77. Which of the following is a management policy decision about whether a firm wants to pay above, at, or below the going rate for labor in the industry or the geographic area? a. wage-level decision b. benefit-level decision c. wage-structure decision d. individual wage decision ANSWER: a RATIONALE: The wage-level decision is a management policy decision about whether the firm wants to pay above, at, or below the going rate for labor in the industry or the geographic area.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 78. An attempt to assess the worth of each job relative to other jobs is known as: a. job analysis. b. job evaluation. c. the wage-level decision. d. performance appraisal.

ANSWER: b RATIONALE: An attempt to assess the worth of each job relative to other jobs is known as job evaluation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 79. When human resource managers determine how much each worker in a particular wage grade will be paid, they are making a(n): a. wage-level decision. b. wage-structure decision. c. individual wage decision. d. benefit-level decision.

ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

After wage-level and wage structure decisions are made, the individual wage decision must be addressed. This decision concerns how much to pay each employee in a particular job.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 80. Which of the following are usually set up through a procedure called job evaluation—an attempt to assess the worth of each job relative to other jobs? a. wage-level policies b. wage structures c. individual wage policies d. wage-level decisions ANSWER: b RATIONALE: Wage structures are usually set up through a procedure called job evaluation—an attempt to assess the worth of each job relative to other jobs. Jobs of equal value are often grouped into wage grades for ease of administration.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: Copyright Cengage Learning. Powered by Cognero.

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81. A policy at a corporation you work for states that the middle managers get a pay that is three times the pay of supervisors and the top managers get a pay that is six times the pay of first-line managers. The policy at the corporation is regarding which of the following? a. wage-benefit decision b. wage-level decision c. wage structure d. benefit structure ANSWER: c RATIONALE: Wage structures are usually set up through a procedure called job evaluation—an attempt to assess the worth of each job relative to other jobs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: Technology TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 82. A cafeteria benefits plan: a. allows employees to choose from a set of benefits. b. provides performance-linked incentives to employees. c. reimburses employees for their food and transportation expenses. d. pays extra wages to employees for work they do during their lunch hour.

ANSWER: a RATIONALE: In cafeteria benefit plans, basic coverage is provided for all employees, but employees are then allowed to choose which additional benefits they want (up to a cost limit based on salary).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 83. Which of the following is an example of an employee service benefit? a. disability income b. Social Security c. overtime pay d. recreational opportunities ANSWER: d RATIONALE: Employee service benefits include extras such as tuition reimbursement and recreational opportunities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:50 AM D: DATE MODIFIE 4/7/2025 5:50 AM D: 84. What is the compensation paid for total contributions, instead of hours worked? a. incentives b. pay rate c. salary d. commission s ANSWER: c RATIONALE: Salary refers to compensation paid for total contributions, as opposed to pay based on hours worked. For example, managers earn an annual salary, usually paid monthly. They receive the salary regardless of the number of hours they work.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:50 AM ED: DATE MODIFI 4/7/2025 5:50 AM ED: 85. In what way is the tangible measure of the value of a person to the organization expressed? a. in wages b. with benefits c. with promotions d. with compensation ANSWER: d RATIONALE: Compensation is an important and complex part of the organization– employee relationship. Compensation provides a tangible measure of the value of the individual to the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 86. Which of the following describes furloughing? a. reducing the number of employees at the firm b. reducing pay and hours but keeping benefits c. requiring employees to work from home Copyright Cengage Learning. Powered by Cognero.

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d. paying more than the local prevailing wages ANSWER: b RATIONALE: During the COVID-19 pandemic, many firms reduced their workforces through layoffs; others used targeted salary cuts to avoid layoffs. Other firms adopted a practice called furloughing. Workers in this situation had their hours and pay reduced but retained their full benefits.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 87. Which of the following is a legally required benefit? a. pay for time not worked b. workers' compensation c. overtime for managers d. retirement plans ANSWER: b RATIONALE: Workers’ compensation is a legally required insurance benefit that provides medical care and disability income for employees injured on the job.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:51 AM D: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIE 4/7/2025 5:51 AM D: 88. You fell at work and broke your foot. Which type of benefit can they expect from your employer? a. pay for time not worked b. vacation pay c. health insurance d. workers' compensation ANSWER: d RATIONALE: Workers’ compensation is a legally required insurance benefit that provides medical care and disability income for employees injured on the job.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 89. You and your partner both work for the same employer and are eligible for the same benefits package. Your employer offers a cafeteria plan. What will this type of plan provide you and your partner? a. pay for time not worked b. additional social security benefits c. reduced cost for benefits d. the option to choose benefits that work best for them ANSWER: d RATIONALE: Some organizations provide what are called “cafeteria benefit plans,” whereby basic coverage is provided for all employees, but employees are then allowed to choose which additional benefits they want (up to a cost limit based on salary).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO8.4 - Identify how organizations retain human resources, including the BJECTIVES: determination of compensation and benefits and career planning.

ACCREDITIN Analytic G STANDARD S: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 90. Which of the following is true of a good benefits plan? a. It will stimulate higher performance levels. b. It will encourage people to join an organization. c. It will include redundancies in coverage. d. It is generally inexpensive to buy and administer.

ANSWER: b RATIONALE: A good benefits plan may encourage people to join and stay with an organization, thereby reducing costs of new hires.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO8.4 - Identify how organizations retain human resources, including JECTIVES: the determination of compensation and benefits and career planning.

ACCREDITING Analytic STANDARDS: TOPICS: Retaining Human Resources KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 91. What is the process of dealing with employees who are represented by a union? a. labor relations b. public relations c. human relations d. operational management ANSWER: a RATIONALE: Labor relations is the process of dealing with employees who are represented by a union.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLES: False LEARNING OBJE LO8.5 - Describe labor relations, including how employees form CTIVES: unions and the mechanics of collective bargaining.

ACCREDITING ST Reflective Thinking ANDARDS: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 92. Once employees have expressed interest in forming a union, the next step is to: a. hold an election. b. certify the union. c. collect employees' signatures on authorization cards. d. enter into collective bargaining.

ANSWER: c RATIONALE: Once employees have expressed interest in forming a union, the second step in forming a union is to collect employees' signatures on authorization cards.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 93. Which of the following is a discussion process between a union and management that focuses on agreeing to a written contract that will cover all relevant aspects of their relationship? a. job evaluation b. collective bargaining c. the grievance procedure d. certification ANSWER: b RATIONALE: Collective bargaining is the process of agreeing on a satisfactory Copyright Cengage Learning. Powered by Cognero.

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labor contract between management and a union.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO8.5 - Describe labor relations, including how employees form CTIVES: unions and the mechanics of collective bargaining.

ACCREDITING ST Analytic ANDARDS: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 94. The means by which a labor agreement is enforced is the: a. grievance procedure. b. union rights clause. c. management rights clause. d. union security clause.

ANSWER: a RATIONALE: The grievance procedure is the means by which a labor contract is enforced.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO8.5 - Describe labor relations, including how employees form CTIVES: unions and the mechanics of collective bargaining.

ACCREDITING ST Analytic ANDARDS: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 95. For employees to form a new local union, several things must occur. First, employees must become interested in having a union. The second step is to: a. have the union sign up members and elect officers. b. undertake collective bargaining over the first labor contract. c. collect employees’ signatures on authorization cards. d. establish a grievance procedure for employees.

ANSWER: c RATIONALE: The second step is to collect employees’ signatures on authorization cards.

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POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO8.5 - Describe labor relations, including how employees form CTIVES: unions and the mechanics of collective bargaining.

ACCREDITING ST Analytic ANDARDS: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 96. Issues of wages, work hours, job security, and discipline are handled through the process of: a. collective bargaining. b. petitions to the NLRB. c. signing authorization cards. d. labor relations.

ANSWER: a RATIONALE: Issues of wages, work hours, job security, and discipline are handled through the process of collective bargaining. The intent of collective bargaining is to agree on a labor contract between management and the union that is satisfactory to both parties.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 97. When a wronged employee discusses an alleged contract violation with the immediate supervisor, which process has been initiated? a. a strike b. collective bargaining c. the union-organizing process Copyright Cengage Learning. Powered by Cognero.

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d. a grievance procedure ANSWER: d RATIONALE: The first step in the grievance procedure is for the aggrieved employee to discuss the alleged contract violation with the immediate supervisor.

Often the grievance is resolved at this stage.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 98. Why are union membership rates declining? a. a decline in the standard of living b. decreased number of jobs in the manufacturing sectors c. lack of globalization is manufacturing sectors d. increased levels of job insecurity ANSWER: b RATIONALE: Declines in union labor occurred because of downward trends in manufacturing sectors. Manufacturing sectors were the home of traditional unionized labor. As they saw decline in the United States, so did labor union representation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:51 AM ED: 99. You and some coworkers feel your manager should provide more overtime opportunities, and you are concerned about the costs of health insurance. You are talking about the need for a union. To proceed in this direction, the next step for you and your fellow employees would involve: a. authorization cards. b. a decertification election. c. collective bargaining. d. mediation.

ANSWER: a RATIONALE: To proceed in this direction, the next step for you and your coworkers would involve authorization cards. After employees become interested in union representation, they must collect signed authorization cards from at least 30 percent of bargaining unit members to proceed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 100. What is the purpose of arbitration during a contract dispute? a. to arrange and manage the decertification process b. to resolve contract disputes c. to ensure higher wages d. to supervise the election process ANSWER: b RATIONALE: An arbitrator is a labor law expert who is paid jointly by the union and management. The arbitrator studies the contract, hears both sides of the case, and renders a decision that both parties must obey. The grievance system for resolving disputes about contract enforcement prevents any need to strike during the term of the contract.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 101. When an agreement for a labor contract has been reached, what must occur before it becomes binding? a. The collective bargaining unit must be identified. b. It must be ratified by membership. c. Employees must be given a chance to opt out of unionization. d. The National Labor Relations Board will certify the election.

ANSWER: b RATIONALE: The resulting agreement must be ratified by the union membership. If it is not approved, the union may strike to put pressure on management, or it may choose not to strike and simply continue negotiating until a more acceptable agreement is reached.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 102. What is the purpose of the collective bargaining process? a. to agree on a labor contract b. to secure pay raises for workers c. to acknowledge the union as the collective bargaining unit Copyright Cengage Learning. Powered by Cognero.

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d. to protect managers from wrongful termination lawsuits ANSWER: a RATIONALE: The intent of collective bargaining is to agree on a labor contract between management and the union that is satisfactory to both parties.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO8.5 - Describe labor relations, including how employees form unions ECTIVES: and the mechanics of collective bargaining.

ACCREDITING Analytic STANDARDS: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 103. For the union to become certified, how many votes must it get during the ballot process? a. two-thirds of all eligible voters b. a simple majority of all eligible voters c. two-thirds of all those who voted d. a simple majority of all those who voted ANSWER: d RATIONALE: If a simple majority, which is 50 percent plus one vote of those voting (not of all those eligible to vote) votes for the union, then the union becomes certified as the official representative of the bargaining unit.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: Copyright Cengage Learning. Powered by Cognero.

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104. Who makes up a bargaining unit? a. all employees of the organization b. those employees who sign authorization cards c. those employees who are hourly workers d. all employees eligible to vote in the election ANSWER: d RATIONALE: Before an election can be held, the bargaining unit must be defined. The bargaining unit consists of all employees who will be eligible to vote in the election and to join and be represented by the union if one is formed.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 105. What is the management process of dealing with employees who are represented by a union? a. labor relations b. human resource management c. arbitration d. human capital ANSWER: a RATIONALE: Labor relations is the process of dealing with employees who are represented by a union. At one time, almost a third of the entire U.S. labor force belonged to a labor union.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.5 - Describe labor relations, including how employees form unions BJECTIVES: and the mechanics of collective bargaining.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Managing Labor Relations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 106. What type of workforce do executives who retire and then work as consultants belong to? a. temporary b. emergent c. task-oriented d. job-specific ANSWER: a RATIONALE: A contingent or temporary worker is a person who works for an organization on something other than a permanent or full-time basis.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO8.6 - Describe the key issues associated with managing knowledge ECTIVES: and contingent and temporary workers.

ACCREDITING Analytic STANDARDS: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:51 AM : DATE MODIFIE 4/7/2025 5:51 AM D: 107. You are a top manager at an organization and are highly regarded by other companies. You are frequently approached by executive search firms with information about openings at other companies. You are an example of a(n): a. temporary worker. b. emergent worker. c. contingent employee. d. knowledge worker.

ANSWER: d RATIONALE: Knowledge workers are workers whose contributions to an organization are based on what they know.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJEC LO8.6 - Describe the key issues associated with managing TIVES: knowledge and contingent and temporary workers.

ACCREDITING ST Reflective Thinking ANDARDS: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 108. A category of temporary workers is: a. independent contractors. b. shareholders. c. intrapreneurs. d. angel investors.

ANSWER: a RATIONALE: Categories of contingent workers include independent contractors, oncall workers, temporary employees (usually hired through outside agencies), and contract and leased employees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.6 - Describe the key issues associated with managing knowledge BJECTIVES: and contingent and temporary workers.

ACCREDITIN Analytic G STANDARD S: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 109. What can an organization do to best utilize and integrate contingent workers? a. Recognize what they can and cannot contribute to the organization. b. understand the direct-cost basis for contingent workers. c. Set a strategy and follow it consistently. d. Treat them like full-time employees.

ANSWER: c RATIONALE: Managers must understand that they need to develop a strategy for integrating contingent workers according to some sound logic and then follow that strategy consistently over time.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO8.6 - Describe the key issues associated with managing knowledge BJECTIVES: and contingent and temporary workers.

ACCREDITIN Analytic G STANDARD S: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 110. Which issue has become a legal battleground specifically in the arena of contingent workers who have made the argument that they are contingent in name only? a. following company rules b. wearing company uniforms c. receiving benefits d. setting salaries ANSWER: c RATIONALE: Indeed, this point has become part of a legal battleground in recent years as some workers hired under the rubric of contingent workers have subsequently argued that this has been a title in name only and that their employers use this title to discriminate against them in various ways.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.6 - Describe the key issues associated with managing knowledge BJECTIVES: and contingent and temporary workers.

ACCREDITIN Analytic G STANDARD S: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 111. Why is it important for knowledge workers to engage in retraining and training updates on a regular basis? a. Their skills rapidly become obsolete. b. They need to stay motivated. c. They do so to maintain status in the internal labor supply.

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d. They do so to command the same level of salary as entry-level knowledge workers.

ANSWER: a RATIONALE: These professionals typically require extensive and highly specialized training. Once they are on the job, retraining and training updates are critical to prevent their skills from becoming obsolete. It has been suggested, for example, that the currency of a technical education in engineering is about three years.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.6 - Describe the key issues associated with managing knowledge BJECTIVES: and contingent and temporary workers.

ACCREDITIN Analytic G STANDARD S: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 112. Traditionally, employees added value to an organization because of what they have experienced. However, knowledge workers add value because: a. they are highly unionized. b. they can be hired on a temporary basis. c. they are less expensive to hire. d. they are knowledgeable in a specialized field.

ANSWER: d RATIONALE: Employees traditionally added value to organizations because of what they did or because of their experience. Today, however, many employees add value because of what they know. Knowledge workers, including computer scientists, engineers, and physical scientists, provide special challenges for the HR manager.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.6 - Describe the key issues associated with managing knowledge BJECTIVES: and contingent and temporary workers.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 113. Which of the following is true of contingent workers? a. They attract high starting salaries. b. Their performance is better than permanent employees. c. They always have equal access to employee benefits. d. Their use requires careful planning.

ANSWER: d RATIONALE: Rather than having to call in workers sporadically and with no prior notice, organizations try to bring in specified numbers of workers for welldefined periods of time. The ability to do so comes from careful planning.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.6 - Describe the key issues associated with managing knowledge BJECTIVES: and contingent and temporary workers.

ACCREDITIN Remember G STANDARD S: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 114. Which fields do knowledge workers tend to work in? a. retail b. education c. technology d. health care ANSWER: c RATIONALE: Knowledge workers, including computer scientists, engineers, and physical scientists, provide special challenges for the HR manager.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLE False S: LEARNING OBJ LO8.6 - Describe the key issues associated with managing knowledge ECTIVES: and contingent and temporary workers.

ACCREDITING Analytic STANDARDS: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 115. Your company frequently needs a software specialist to update its highly unique computer systems. You are trying to determine if you should pay the high salary and benefits of a full-time employee or use a contingent worker when needed.

What is one reason you might reject the idea of using a contingent workforce? a. the high cost of training b. the high cost of labor c. the high need for flexibility d. the high need for knowledge ANSWER: a RATIONALE: You would reject the idea of using a contingent workforce because of the high cost of training. The cost of training a contingent workforce on the company’s intricate systems and procedures could dramatically inflate the real cost of employing temporary workers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO8.6 - Describe the key issues associated with managing knowledge BJECTIVES: and contingent and temporary workers.

ACCREDITIN Analytic G STANDARD S: TOPICS: New Challenges in the Changing Workplace KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 116. In light of the growing strategic importance of human resource management (HRM) and its legal context, apply the concepts of "human capital" and the "legal environment" to a scenario where a company, XYZ Corp., is expanding into new markets while also reducing its workforce in certain departments due to technological advancements. How should HRM be strategically aligned with these changes to support the organization’s long-term growth and ensure legal compliance?

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ANSWER:

XYZ Corp.'s expansion into new markets and the reduction of its workforce in certain departments due to technological advancements presents both challenges and opportunities for HRM. First, the HR department should strategically align its practices to focus on attracting and retaining talent that aligns with the company's growth areas, especially in emerging markets or areas where new technology is being introduced. This involves leveraging human capital to ensure that the company invests in the right people with the required skills, enhancing productivity and innovation.

To address the reduction of workforce in certain areas, HRM must ensure legal compliance with various employment laws. The company needs to carefully manage layoffs in accordance with the legal requirements under the Worker Adjustment and Retraining Notification (WARN) Act, and provide adequate severance packages where applicable. HR must also ensure that there is no discrimination during the layoffs process, in accordance with Title VII of the Civil Rights Act, the Age Discrimination in Employment Act, and other antidiscrimination laws. This will ensure that decisions are based on merit and job performance rather than on any protected characteristics.

Additionally, HR should ensure that any newly created roles or departmental changes are consistent with equal opportunity regulations. The recruitment process should be inclusive and free from bias, adhering to the Equal Employment Opportunity (EEO) guidelines. By integrating these practices, HR can help the company maintain a competitive edge in talent acquisition and development, as well as protect the organization from legal pitfalls, enhancing both long-term growth and employee morale.

Finally, HRM can contribute to XYZ Corp.’s strategic HR planning by fostering an organizational culture that values diversity, inclusion, and employee wellbeing, while also supporting the development of a flexible and agile workforce to adapt to the technological advancements driving change. This strategic alignment will ensure that the company can achieve its goals of expanding into new markets while maintaining an efficient and legally compliant workforce.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO8.1 - Describe the environmental context of human resource BJECTIVES: management, including its strategic importance and its relationship with legal and social factors.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: The Environmental Context of HRM KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED:

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117. Define recruiting and discuss the differences between internal and external recruiting. How can a company apply these recruiting strategies to enhance the effectiveness of its hiring process?

ANSWER: Recruiting is the process of attracting qualified individuals to apply for job openings within an organization. This process involves identifying the needs of the organization, sourcing potential candidates, and selecting the most suitable individuals for the roles.

Internal recruiting refers to filling job openings by considering current employees. This approach provides opportunities for career advancement within the organization and can boost employee morale and loyalty. It is often used for higher-level positions, where the company may have a skills inventory system or rely on managerial recommendations to identify suitable candidates. Internal job openings are frequently posted on the organization's intranet, ensuring that employees are aware of new opportunities.

External recruiting, on the other hand, involves sourcing candidates from outside the organization. This can be done through various methods such as job advertisements, campus recruitment, employment agencies, executive search firms, and employee referrals. External recruiting helps bring in fresh perspectives and new talent that may not be available within the current workforce. Increasingly, companies are utilizing online platforms and job boards to attract a larger pool of external applicants.

To enhance the effectiveness of recruiting, companies can apply a combination of both internal and external strategies. Internal recruiting can be used for positions that require knowledge of the organization's culture and operations, while external recruiting can help fill gaps with new skills and experiences. A well-rounded recruiting approach can attract a diverse talent pool and ensure that the organization hires the most qualified candidates.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO8.2 - Discuss how organizations attract human resources, including BJECTIVES: human resource planning, recruiting, and selection.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Attracting Human Resources KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 118. Discuss the types of errors that can occur in performance appraisal systems and how these errors can impact the accuracy of employee evaluations. What steps can organizations take to minimize these errors?

Performance appraisal systems are designed to assess employee performance, ANSWER: but various types of errors can impact the accuracy of evaluations. One such error is the recency error, where an evaluator bases judgments primarily on the most recent performance, neglecting the employee's overall performance Copyright Cengage Learning. Powered by Cognero.

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throughout the evaluation period. This bias can lead to an inaccurate representation of the employee's capabilities. Another common error is the leniency or severity bias, where an evaluator might consistently give higher or lower ratings than deserved. Similarly, the halo effect occurs when a positive or negative evaluation in one area affects the assessment of other unrelated performance aspects.

Errors can also be influenced by personal biases, including those based on race, gender, or age, which can lead to discriminatory evaluations. To reduce these errors, organizations should develop a valid, structured appraisal system and provide training to evaluators to ensure consistency and fairness in assessments.

Implementing objective criteria for evaluations and encouraging regular feedback can also help minimize these errors and ensure more accurate and equitable performance appraisals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO8.3 - Describe how organizations develop human resources, including BJECTIVES: training and development, performance appraisal, and performance feedback.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Developing Human Resources DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED:

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Chapter 09 - Basic Elements of Individual Behavior in Organizations 1. You are excited about your new job. You believe it will be exciting, fulfilling, and rewarding while also providing the standard of living you are looking for. You understand what the organization expects you to contribute, and you have established a psychological contract with your new employer. a. inducement b. psychological contract c. contribution d. person–job fit ANSWER: b RATIONALE: A psychological contract is similar in some ways to a standard legal contract but is less formal and well defined. A psychological contract is the overall set of expectations held by an individual with respect to what they will contribute to the organization and what the organization will provide in return.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 2. What does the organization provide to the individual employee in return for what the employee gives? a. aid b. loyalty c. contribution s d. inducements ANSWER: d RATIONALE: The organization provides inducements to the individual employee or manager. Some inducements, like pay and career opportunities, are tangible rewards. Others, like job security and status, are more intangible.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 3. You work for a caterer. The caterer's policy is to prepare 7 percent more servings than ordered by the client, and the caterer's employees are allowed to box up and take home any unserved portions. Which organizational inducement applies to your situation? a. ability to drive a catering truck b. positive attitude with clients c. efficiency in setting up the hall d. opportunities to take home food ANSWER: d RATIONALE: Organizational inducements are what the organization provides to the employee. In this case, you are able to take home food.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO9.1 - Explain the nature of the individual-organization relationship.

ECTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED 4/7/2025 5:51 AM : 4. Identify the inducement that an organization provides to its employees. a. effort b. ability c. loyalt y d. pay Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d Pay is an example of inducements provided by organizations.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO9.1 - Explain the nature of the individual-organization relationship.

ACCREDITING STANDAR Analytic DS: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 5. One reason for an imprecise person–job fit is that: a. both people and organizations change. b. people tend to change, while organizations do not. c. people and organizations tend to be consistent. d. people prefer stability, while organizations embrace change.

ANSWER: a RATIONALE: One of the reasons for seldom achieving a precise level of person–job fit is that both people and organizations change. A person who finds a new job stimulating and exciting may find the same job boring and monotonous once it has been mastered. And when the organization adopts new technology, it changes the skills it needs from its employees.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 6. Officers in the U.S. military have no control over employee pay. It is all based on time of service and rank. The military uses medals and ribbons to acknowledge excellence. The medals are an example of: a. tangible rewards.

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b. conscientiousness rewards. c. inducements. d. contributions.

ANSWER: c RATIONALE: The medals are an indication of status and are inducements provided to the officers in return for their contributions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.1 - Explain the nature of the individual-organization relationship.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 7. What are the psychological, emotional, and physical attributes that vary from person to person called? a. inducements b. individual differences c. person–job fit d. contributions ANSWER: b RATIONALE: Personal attributes that vary from one person to another are called individual differences.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO9.1 - Explain the nature of the individual-organization ES: relationship.

ACCREDITING STAN Analytic DARDS: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 8. You were hired specifically because of your unique skills and track record of success. Based on the psychological contract, what are the expectations of the employer? a. agreeableness b. strong personal attributes c. promotability Copyright Cengage Learning. Powered by Cognero.

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d. the use of those skills on the new job ANSWER: d RATIONALE: These contributions presumably satisfy various needs, expectations, and requirements of the organization. In other words, because the organization may have hired the person because of their skills, it is reasonable to think she will subsequently utilize those skills in the performance of their job.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 9. You know your project is important to the department and the organization. Since it is due on Monday, you decided to review it once more over the weekend to make sure it is perfect. Which type of contribution are you making toward the organization? a. individual differences b. loyalty to the organization c. agreeableness d. person–job fit reinforcement ANSWER: b RATIONALE: Loyalty is a contribution Ahmed would provide to the organization. Other contributions from the individual include effort, ability, skills, time, and competencies.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 10. You were recently promoted, but you are occasionally overwhelmed by some of your work because you lack experience, and you are now unhappy at your job. You have shared this with your manager. What can your manager do to restore the psychological contract? a. reexamine the person–job fit b. terminate your employment c. provide a pay raise d. provide training ANSWER: d RATIONALE: The organization can initiate change by requesting that a worker improve their skills through training, transfer them to another job, or terminate their employment altogether.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 11. Which of the following is true of contributions? a. They remain consistent over time. b. They are what an individual provides to the organization. c. They include job security and recognition. d. They are what an organization provides to the individual.

ANSWER: b RATIONALE: An individual makes a variety of contributions to an organization—effort, skills, ability, time, loyalty, and so forth. These contributions presumably satisfy various needs and requirements of the organization.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 12. What is the relatively stable set of psychological and behavioral attributes that distinguish one person from another? a. contributio n b. perception c. attribution d. personality ANSWER: d RATIONALE: Personality is the relatively stable set of psychological and behavioral attributes that distinguish one person from another.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO9.1 - Explain the nature of the individual-organization relationship.

CTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM

13. A person's ability to get along with others in an organization is known as: a. locus of control. b. conscientiousness . c. agreeableness. d. authoritarianism.

ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Agreeableness refers to a person’s ability to get along with others.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.2 - Describe how personality and personality attributes affect VES: behavior in organizations.

ACCREDITING STAN Analytic DARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 14. When you are in a room full of strangers, you become energized to interact with them. Which of the following personality traits do you portray? a. locus of control b. extraversion c. Machiavellianis m d. authoritarianism ANSWER: b RATIONALE: Your comfort level in establishing new relationships and sociable nature portrays a personality trait called extraversion.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO9.2 - Describe how personality and personality attributes affect CTIVES: behavior in organizations.

ACCREDITING S Analytic TANDARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 15. You often take up more tasks than you can handle and become disorganized and careless. In this scenario, you portray: a. low levels of conscientiousness, b. openness to listening, c. an internal locus of control, d. an external locus of control, ANSWER: a RATIONALE: Less conscientious people tend to take on more tasks than they can Copyright Cengage Learning. Powered by Cognero.

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manage and, as a result, are more disorganized, careless, and irresponsible, as well as less thorough and self-disciplined.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 16. Which of the following refers to the extent to which people believe that their behavior has a real effect on what happens to them? a. self-efficacy b. locus of control c. self-esteem d. authoritarianis m ANSWER: b RATIONALE: Locus of control is the extent to which people believe that their behavior has a real effect on what happens to them.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.2 - Describe how personality and personality attributes affect CTIVES: behavior in organizations.

ACCREDITING ST Analytic ANDARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 17. You get your energy from other people, like the big picture, and complete work before moving on to the next project.

Your traits illustrate what dimension of the Myers-Briggs framework? a. introversio n Copyright Cengage Learning. Powered by Cognero.

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b. judging c. sensing d. thinking ANSWER: RATIONALE:

b According to the Myers-Briggs framework, you are a judging type as you prefer to completion before moving to the next work.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO9.2 - Describe how personality and personality attributes affect ECTIVES: behavior in organizations.

ACCREDITING S Analytic TANDARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED 4/7/2025 5:51 AM : 18. You get your energy from solitude, prefer detail-oriented concrete projects, and base your decisions on logical reasoning. Based on the Myers-Briggs framework, you can be differentiated as a(n): a. extrovert. b. intuitive. c. thinker. d. judging type ANSWER: c RATIONALE: You base your decisions on logic and reasoning, which categorizes you as a thinking individual in the Myers-Briggs framework.

POINTS: 1 DIFFICULTY: Challenging QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO9.2 - Describe how personality and personality attributes affect ECTIVES: behavior in organizations.

ACCREDITING Analytic STANDARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREATED 4/7/2025 5:51 AM : DATE MODIFIED 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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: 19. In the Myers-Briggs framework, people who prefer concrete things are typically categorized as: a. intuitives. b. sensing types. c. thinking individuals. d. feeling individuals.

ANSWER: b RATIONALE: The sensing type prefers concrete things, whereas intuitives prefer abstract concepts.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.2 - Describe how personality and personality attributes affect VES: behavior in organizations.

ACCREDITING STAN Analytic DARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 20. You use your subordinates to gain personal benefits by promising them false rewards. Your personality trait is an example of: a. self-esteem. b. conformity. c. Machiavellianism . d. authoritarianism.

ANSWER: c RATIONALE: Machiavellianism is used to describe behavior directed at gaining power and controlling the behavior of others. Research suggests that Machiavellianism is a personality trait that varies from person to person.

More Machiavellian individuals tend to be rational and nonemotional, may be willing to lie to attain their personal goals, may put little weight on loyalty and friendship, and may enjoy manipulating others’ behavior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 21. In terms of emotional intelligence, what should people be high in so that they can effectively guide their own lives and behaviors? a. managing emotions b. self-awareness c. Machiavellianism d. motivating oneself ANSWER: b RATIONALE: Self-awareness is the basis for the other components. It refers to a person’s capacity for being aware of how they are feeling. In general, more self-awareness allows people to more effectively guide their own lives and behaviors.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 22. You are considered by many to be a catalyst for innovation in your organization. You are always willing to try new ideas and gamble on new products. Which aspect of your personality describes your feelings about taking chances? a. authoritarianis m b. self-esteem c. risk propensity d. self-awareness ANSWER: c RATIONALE: Risk propensity is the degree to which one is willing to take chances and make risky decisions. A manager with a high risk propensity, for example, might be expected to experiment with new ideas and gamble on new Copyright Cengage Learning. Powered by Cognero.

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products.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 23. You respect your manager, but you will question some of their decisions when you do not agree with them. You do not hesitate to disagree with your boss or a client when you feel they are wrong. Which aspect of your personality addresses your belief about power and status differences? a. high self-esteem b. conformity c. Machiavellianis m d. authoritarianism ANSWER: d RATIONALE: Authoritarianism is the extent to which one believes that power and status differences are appropriate within hierarchical social systems like organizations. A person who is not highly authoritarian may still carry out appropriate and reasonable directives from the boss, they are also more likely to question things, express disagreement with the boss, and even refuse to carry out orders if they are for some reason objectionable.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:51 AM ED: 24. You just received a bonus because of a successful team project. You knew your efforts contributed to the team's success. What can be said about your personality? a. You have a high degree of self-efficacy. b. You have a strong internal locus of control. c. You have a high degree of authoritarianism. d. You have a high degree of Machiavellianism.

ANSWER: b RATIONALE: Some people, for example, believe that if they work hard, they will succeed. They also may believe that people fail to do so because they lack ability or motivation. People who believe that individuals are in control of their lives are said to have an internal locus of control.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 25. You need to hire a new creative director to manage the organization's social media presence. Based on the MyersBriggs framework, what should you look for when interviewing candidates? a. someone with a high degree of intuition b. someone with a low degree of introversion c. someone who is strong in judging d. someone who is strong in conformity ANSWER: a RATIONALE: The sensing type prefers concrete things, whereas intuitives prefer abstract concepts.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.2 - Describe how personality and personality attributes affect VES: behavior in organizations.

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ACCREDITING STAN Analytic DARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 26. According to research, a person with which personality attribute is more likely to produce higher overall job performance? a. more extroverted b. less conscientious c. more openness d. less intuitive ANSWER: a RATIONALE: Extraversion refers to a person’s comfort level with relationships.

Research suggests that extraverts generally tend to be higher overall job performers than introverts and that they are also more likely to be attracted to jobs based on personal relationships, such as sales and marketing positions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 27. Beliefs and feelings that people have about specific ideas, situations, or other people are known as: a. personality attributes. b. attitudes. c. perceptions. d. characteristics ANSWER: b RATIONALE: Complexes of beliefs and feelings that people have about specific ideas, situations, or other people are called attitudes. Attitudes are important because they are the mechanism through which most people express their feelings.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.3 - Explain attitudes and commitment in organizations and how they BJECTIVES: affect behavior.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 28. You believe that recreation management, as a specialization, can be understood only outside the confines of a classroom. However, you are required to fulfill a certain number of classroom hours to graduate as a recreation specialist.

In this scenario, you are likely to experience: a. neuroticism. b. selective perception. c. risk propensity d. cognitive dissonance.

ANSWER: d RATIONALE: You have no choice but to spend time in a classroom contradicting beliefs. This conflict you experience is called cognitive dissonance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO9.3 - Explain attitudes and commitment in organizations and how ECTIVES: they affect behavior.

ACCREDITING Analytic STANDARDS: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 29. Your belief that promotions are awarded to the supervisor's favorites, regardless of merit, indicates that you have: a. high self-esteem.

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b. low emotional intelligence. c. an external locus of control. d. authoritarian personality.

ANSWER: c RATIONALE: You display an external locus of control in believing that it is favoritism on the part of supervisors, and not the efforts of the employees, that leads to promotions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 30. You admire your friend’s extraverted nature. You know you friend is always ready to meet with you and other colleagues to share ideas. Your knowledge about your friend portrays the cognitive component of your attitude. a. affective b. stereotypica l c. affirmative d. cognitive ANSWER: d RATIONALE: Your attitude reflects the cognitive component, as your assumptions about your friend are based on your knowledge that your friend is an extravert and will behave the same way in many situations. The cognitive component of an attitude is derived from the knowledge you have about a situation. It is important to note that cognition is subject to your individual perceptions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.3 - Explain attitudes and commitment in organizations and how they BJECTIVES: affect behavior.

ACCREDITIN Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 31. You are a university student and accept everything your professor has to say solely as they are the professor. It can be inferred that you have: a. high self-esteem. b. an internal locus of control. c. low self-efficacy. d. a highly authoritarian personality.

ANSWER: d RATIONALE: An important personality characteristic is authoritarianism, the extent to which one believes that power and status differences are appropriate within hierarchical social systems like organizations. For example, a person who is highly authoritarian may accept directives or orders from someone with more authority purely because the other person is “the boss.” Your acceptance of the professor’s statements purely because of their status as a professor indicates that you are highly authoritarian.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 32. When you feel stress, anxiety, fear, or anger, you meditate so that your emotions do not interfere with your work.

Afterward, you are more productive. Identify the emotional intelligence (EQ) dimension illustrated by your meditation practice. a. self-esteem b. managing emotions c. risk propensity d. empathy Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b The EQ dimension illustrated by your meditation practice is managing emotions because it involves the ability to recognize and regulate your emotional responses, particularly in stressful situations. When you meditate to calm stress, anxiety, fear, or anger, you are effectively managing these emotions, ensuring they don't interfere with your work.

This ability to control emotional reactions allows you to stay productive and focused, which is a core aspect of emotional intelligence. Managing emotions helps prevent emotional outbursts and promotes healthier decision making and performance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 33. An individual who experiments with new ideas and gambles on new products is said to have a(n): a. external locus of control. b. authoritarian outlook. c. high risk propensity. d. low self-esteem.

ANSWER: c RATIONALE: An individual with a high-risk propensity is expected to experiment with new ideas and gamble on new products.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.2 - Describe how personality and personality attributes affect CTIVES: behavior in organizations.

ACCREDITING ST Analytic ANDARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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34. Someone who is content with a low-level job, is not confident, and focuses on extrinsic rewards has: a. a high level of selfawareness. b. authoritative characteristics. c. high self-efficacy. d. low self-esteem.

ANSWER: d RATIONALE: Self-esteem is the extent to which a person believes that they are worthwhile and a deserving individual. A person with less self-esteem may be more content to remain in a lower-level job, be less confident of their ability, and focus more on extrinsic rewards.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 35. Which of the following is likely to result when an employee is satisfied at work? a. They tend to be absent less often. b. They are less productive. c. They often look for other jobs. d. They tend to be more stressed.

ANSWER: a RATIONALE: A satisfied employee tends to be absent less often, to make positive contributions, and to stay with the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.3 - Explain attitudes and commitment in organizations and how CTIVES: they affect behavior.

ACCREDITING ST Analytic ANDARDS: TOPICS: Attitudes and Individual Behavior Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 36. You have been a bank manager at the same bank for 35 years. You are vital to the bank and have a high level of autonomy and variety in your work. When you speak about the bank, you often say things like "we offer a variety of account options to our customers." You are exhibiting: a. high organizational commitment. b. high self-esteem. c. Machiavellianism. d. authoritarianism.

ANSWER: a RATIONALE: Organizational commitment is an attitude that reflects a person’s identification with and attachment to the organization itself.

Organizational engagement, similarly, refers to the extent to which an employee sees themself as part of the organization, actively looks for ways to contribute to the organization, and is involved with the organization in multiple ways.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.3 - Explain attitudes and commitment in organizations and how they BJECTIVES: affect behavior.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 37. You, a senior manager at a company, are satisfied with your job despite receiving a lower salary than what other companies might offer you. Your attitude reflects your: a. organizational commitment. b. authoritarian behavior. c. negative affectivity. d. selective perceptions.

ANSWER: a RATIONALE: Your attachment to the organization portrays organizational commitment.

Organizational commitment is an attitude that reflects a person’s identification with and attachment to the organization itself.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.3 - Explain attitudes and commitment in organizations and how they BJECTIVES: affect behavior.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 38. Which of the following describes cognitive dissonance? a. It is a person’s beliefs about their capabilities to perform a task. b. It is the extent to which people believe that their behavior has a real effect on what happens to them. c. It is the conflict individuals may experience among their own attitudes. d. It refers to a person’s ability to manage multiple tasks and to consistently meet deadlines.

ANSWER: c RATIONALE: The conflict individuals may experience among their own attitudes is called cognitive dissonance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.3 - Explain attitudes and commitment in organizations and VES: how they affect behavior.

ACCREDITING STA Analytic NDARDS: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 39. Which component of an attitude reflects how an individual expects to behave toward or in the situation? a. affective b. intentiona l c. cognitive d. working ANSWER: b RATIONALE: The intentional component of an attitude reflects how an individual expects to behave toward or in the situation.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.3 - Explain attitudes and commitment in organizations and how CTIVES: they affect behavior.

ACCREDITING ST Analytic ANDARDS: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 40. Which of the following serves to weaken organizational commitment? a. an individual’s age b. a sense of job security c. seeing oneself as an outsider d. participation in decision making ANSWER: c RATIONALE: A person with less organizational commitment and engagement is more likely to see themself as an outsider (e.g., referring to the organization in less personal terms like “They do not pay their employees very well”), to express more dissatisfaction about things, and to not see themself as a long-term member of the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.3 - Explain attitudes and commitment in organizations and how they BJECTIVES: affect behavior.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 41. You seem to invent problems where they do not exist. Even when given an ample budget and a roomy schedule, you warn that you may not be able to finish on time and point out all the areas where things could go wrong or come in over budget. You have a high degree of: a. authoritarianism. b. cognitive Copyright Cengage Learning. Powered by Cognero.

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dissonance. c. negative affectivity. d. selective perceptions.

ANSWER: c RATIONALE: People with more negative affectivity are generally downbeat and pessimistic, and they usually see things in a negative way. They seem to be in a bad mood most of the time.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.3 - Explain attitudes and commitment in organizations and how they BJECTIVES: affect behavior.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 42. What is the relationship between levels of satisfaction and job performance? a. High levels of satisfaction lead to an external locus of control. b. Low levels of satisfaction can lead to higher levels of contribution. c. High levels of satisfaction lead to higher performance. d. High levels of satisfaction might have no relationship to performance.

ANSWER: d RATIONALE: Contrary to what many managers believe, high levels of job satisfaction do not necessarily lead to higher levels of performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO9.3 - Explain attitudes and commitment in organizations and how ECTIVES: they affect behavior.

ACCREDITING Analytic STANDARDS: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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: DATE MODIFIED 4/7/2025 5:51 AM : 43. Individuals become aware of and interpret information about their environment through a set of processes called: a. general adaptation syndrome. b. perception. c. objective reality. d. stereotyping.

ANSWER: b RATIONALE: Perception is the set of processes by which an individual becomes aware of and interprets information about the environment.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO9.4 - Describe basic perceptual processes and the role of ECTIVES: attributions in organizations.

ACCREDITING S Analytic TANDARDS: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED 4/7/2025 5:51 AM : 44. Some smokers block out negative information about the health effects of smoking because they do not want to change their behavior. This is an example of: a. selective perception. b. attribution. c. objective reality. d. stereotyping.

ANSWER: a RATIONALE: The smokers screen out the information that they think would contradict their behavior. Selective perception is the process of screening out information that we are uncomfortable with or that contradicts our beliefs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 45. You have seen all the newest releases of war movies, and all of them were directed by women. As a veteran, you found these movies to be inaccurate. You now believe that female directors are not capable of making war movies. Your assumptions are an example of: a. stereotyping. b. conscientiousness . c. extraversion. d. introversion.

ANSWER: a RATIONALE: Your assumptions that female directors are not capable of making war movies based on the fact that you found these particular movies to be inaccurate is an example of stereotyping. Stereotyping involves making generalized assumptions about a group of people based on limited experiences or biased perceptions. In this case, you are generalizing the abilities of all female directors based on your specific experience with a few war movies, which leads to an unfair and broad conclusion about their capabilities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 46. You have found that every time you make a decision a coworker does not agree with, the employee calls in sick the next day. You attribute the employees’ absences to stress or resentment on their part. You make this attribution based on: a. consensus.

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b. consistency. c. distinctiveness . d. turnover.

ANSWER: b RATIONALE: You attribute the employees’ absences to stress or resentment based on consistency, because you observe a recurring pattern: every time you make a decision employee disagrees with, they call in sick the next day.

Consistency refers to the tendency to look for regular patterns in someone's behavior over time. In this case, the consistent behavior of calling in sick after disagreements leads you to attribute their absences to stress or resentment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 47. The process of screening out information we are uncomfortable with, or that contradicts our beliefs is called: a. consistency. b. selective perception. c. distinctiveness. d. stereotyping.

ANSWER: b RATIONALE: Selective perception is the process of screening out information that we are uncomfortable with or that contradicts our beliefs.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO9.4 - Describe basic perceptual processes and the role of ECTIVES: attributions in organizations.

ACCREDITING S Analytic TANDARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED 4/7/2025 5:51 AM : 48. You observe that one of your employees always refuses to look you in the eye. You wonder if the employee lacks respect for you. Later, you see that other employees also fail to look you in the eye. You decide that the employees are not disrespectful of you, but rather that you must be intimidating them. You make this attribution based on: a. consensus. b. consistency. c. distinctiveness . d. stereotyping.

ANSWER: a RATIONALE: You are making an attribution based on consensus, which refers to the extent to which others behave in a similar way in the same situation.

Since you notice that other employees are also not making eye contact, you conclude that their behavior is not unique to one person and is likely a result of the situation (i.e., your intimidating presence) rather than individual disrespect. This comparison with others’ behavior leads to your attribution.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 49. You observe that relationships are very important to a colleague and that they will go out of their way to help others.

When the colleague is late for a meeting, you think the delay is due to their generous spirit. Your judgment of the cause for the colleagues’ delay is an example of: a. attribution. b. stereotyping. c. selective perception. d. positive affectivity.

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ANSWER: RATIONALE:

a Attribution refers to the process of determining the cause of someone's behavior. In this case, you are attributing the colleague’s tardiness to their generous nature and willingness to help others, rather than considering other potential causes for the delay. This is an example of how we interpret or assign meaning to the actions of others based on our perceptions and understanding of their character.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 50. What is the set of processes by which an individual becomes aware of and interprets information about their environment? a. perception b. cognition c. openness d. extraversio n ANSWER: a RATIONALE: Perception is the set of processes by which an individual becomes aware of and interprets information about their environment.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO9.4 - Describe basic perceptual processes and the role of ECTIVES: attributions in organizations.

ACCREDITING Analytic STANDARDS: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:51 AM : Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED 4/7/2025 5:51 AM : 51. Which of the following is true of attribution? a. It is the process of screening out information that we are uncomfortable with. b. It is the process of categorizing people on the basis of a single trait. c. It is dependent on consensus, consistency, and distinctiveness. d. It is higher in people with more negative affectivity.

ANSWER: c RATIONALE: The basic framework around which we form attributions is consensus (the extent to which other people in the same situation behave the same way), consistency (the extent to which the same person behaves in the same way at different times), and distinctiveness (the extent to which the same person behaves in the same way in other situations).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 52. To the extent that stereotyping affects a manager’s hiring practices, which of the following statements is true? a. The manager is costing the organization valuable talent. b. The manager is not acting illegally but is unethical. c. The manager is reducing conflict. d. In some circumstances, the manager's behavior can be ethical.

ANSWER: a RATIONALE: To the extent that this affects the manager’s hiring practices, the manager is (1) costing the organization valuable talent for both sets of jobs, (2) violating federal law, and (3) behaving unethically.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 53. In addition to stereotyping, what is one of the most basic perceptual processes we use? a. attributions b. low distinctiveness c. selective perception d. creativity ANSWER: c RATIONALE: Two of the most basic perceptual processes are selective perception and stereotyping. Selective perception occurs when we screen out information that causes us discomfort or that contradicts our beliefs.

Stereotyping occurs when we categorize or label people on the basis of a single attribute.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 54. You are interviewing candidates and paying special attention to their communication skills. You believe communication skills are critical for this position. Which of the following are you using as part of your selection process? a. stereotyping b. selective perception c. cognitive dissonance d. consensus Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

a When a manager believes that communication skills are important for a particular job, and whenever they interview candidates for jobs, they pay especially close attention to speech communication majors, the manager is stereotyping. To the extent that communication skills truly predict job performance and that majoring in speech communication does indeed provide those skills, this form of stereotyping can be beneficial.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 55. You need to hire a new office manager. Which of the following is an illegal application of stereotyping? a. You want to promote someone from within the organization because you feel such a person would better understand how the office runs. b.You want to hire a woman because you believe that women are better able to multitask than men. c. You want to hire someone from outside the organization to get fresh ideas on how to run the office. d.You want to hire someone who has a college degree, as you feel that a degree is a better predictor of job performance.

ANSWER: b RATIONALE: This is an illegal application of stereotyping because it involves making a hiring decision based on a generalization about gender rather than evaluating individual qualifications and abilities. Believing that women are inherently better at multitasking than men is an example of gender stereotyping, which is discriminatory and violates equal employment opportunity laws.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 56. Compared to Type A individuals, Type B individuals are: a. more likely to be aggressive and impatient. b. more devoted to work. c. less likely to experience conflict with other people. d. less likely to have a balanced approach to life.

ANSWER: c RATIONALE: Type B individuals are less likely to experience conflict with other people and more likely to have a balanced, relaxed approach to life.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO9.5 - Identify the causes and consequences of stress and how it can ECTIVES: be managed.

ACCREDITING Analytic STANDARDS: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 57. You are trying to develop a communications plan for a new plant opening. You put in many hours of overtime and eventually give up and go home without finishing the project. You are most likely in which stage of the general adaptation syndrome (GAS)? a. resistance b. alarm c. exhaustion d. preparation ANSWER: c RATIONALE: In the general adaptation syndrome (GAS), the exhaustion stage occurs when prolonged stress leads to physical and emotional depletion. After putting in extensive overtime and feeling unable to finish the project, you are likely experiencing burnout or fatigue, which is characteristic of the exhaustion stage. This stage follows the alarm and resistance stages, Copyright Cengage Learning. Powered by Cognero.

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where the body first reacts to stress and then tries to adapt, but if the stress continues, exhaustion sets in.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 58. An employee is a Type A person. He is least likely to be: a. stressed. b. patient. c. aggressive. d. competitive.

ANSWER: b RATIONALE: Type A individuals are extremely competitive, are very devoted to work, and have a strong sense of time urgency. They are likely to be aggressive, impatient, and very work oriented.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED:

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59. You just started a new work assignment. Other members of the team are expecting you to perform certain jobs that you are not familiar with. Your supervisor told you that those duties were not your responsibility and clarified what was expected of you. However, you continue to feel pressure from the team to complete the unfamiliar tasks. You are feeling stress caused by: a. physical demands. b. task demands. c. role demands. d. resistance.

ANSWER: c RATIONALE: Role demands can cause stress. A role is a set of expected behaviors associated with a position in a group or organization. Stress can result from either role conflict or role ambiguity that people can experience in groups.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 60. The temperature at your workplace is too cold for you to concentrate on your work. This is an example of workrelated stressors categorized as: a. task demands. b. physical demands. c. role demands. d. interpersonal demands.

ANSWER: b RATIONALE: Physical demands are stressors associated with the job setting. Working outdoors in extremely hot or cold temperatures, or even in an improperly heated or cooled office, can lead to stress.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 61. During surgery, surgeons make quick decisions knowing the consequences of a wrong one. They are most likely to feel stress due to: a. task demands. b. physical demands. c. role demands. d. interpersonal demands.

ANSWER: a RATIONALE: Task demands are associated with the task itself. Having to make decisions that have relatively serious consequences are some of the things that can make some jobs stressful.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 62. At stage 2 of the general adaptation syndrome (GAS), the person is: a. resisting the effects of the stressor. b. feeling a sense of alarm. c. asking for help. d. exhausted by the stressor.

ANSWER: a RATIONALE: At stage 2 of the GAS, the person is resisting the effects of the Copyright Cengage Learning. Powered by Cognero.

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stressor and trying to deal with it.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.5 - Identify the causes and consequences of stress and how VES: it can be managed.

ACCREDITING STA Analytic NDARDS: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 63. Which of the following is a typical cause of task-demand stress? a. having to work shifts that disrupt normal sleep patterns b. having to work in an isolated cubicle c. having to balance work and family d. having to make fast decisions with incomplete information ANSWER: d RATIONALE: Work-related stressors fall into one of four categories: task, physical, role, and interpersonal demands. Task demands are associated with the task itself.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's; Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 64. Consequences of organizational stress include: a. increased devotion to work. b. strong sense of time urgency. c. high levels of competitiveness. d. feelings of exhaustion.

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ANSWER: RATIONALE:

d A consequence of stress is burnout—a feeling of exhaustion that may develop when someone experiences too much stress for an extended period of time.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 65. You know it is important to manage your stress, and you have started to incorporate time management skills into your daily routine. Which of the following will help you with your time management goals? a. taking short naps each afternoon b. going out for a run during lunch breaks c. using vacation planning to relieve stress d. making a list of things to accomplish each day ANSWER: d RATIONALE: The idea behind time management is that many daily pressures can be reduced or eliminated if people do a better job of managing time. One approach to time management is to make a list every morning of the things to be done that day. The items on the list are then grouped into three categories: critical activities that must be performed, important activities that should be performed, and optional or trivial things that can be delegated or postponed. The individual performs the items on the list in their order of importance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 66. When an employee is feeling stressed, they often will go to the gym at lunch. What effect on stress would exercise offer the employee? a. support from groups b. time management skills c. confidence and optimism d. susceptibility to illness ANSWER: c RATIONALE: One way people manage stress is through exercise. People who exercise regularly feel less tension and stress, are more self-confident, and feel more optimistic. Their better physical condition also makes them less susceptible to many common illnesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 67. You have been very stressed at work. You dread going to work, and even though you are working long hours, you do not seem to get anything done. Which type of stress response are you experiencing? a. psychologica l b. behavior c. burnout d. medical ANSWER: c RATIONALE: Burnout results in constant fatigue, frustration, and helplessness.

Increased rigidity follows, as do a loss of self-confidence and psychological withdrawal. The individual dreads going to work, often puts in longer hours but gets less accomplished than before and exhibits Copyright Cengage Learning. Powered by Cognero.

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mental and physical exhaustion.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 68. You like to start large projects immediately and get them done, while a colleague likes to think about their projects for a while before starting them. When you and your colleague were asked to work together on a project, both of you experienced stress. What was this stress due to? a. physical demands b. task demands c. role demands d. interpersonal demands ANSWER: d RATIONALE: Interpersonal demands are stressors associated with relationships that confront people in organizations. For example, group pressures regarding restriction of output and norm conformity can lead to stress.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: Copyright Cengage Learning. Powered by Cognero.

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69. What is the result when we experience an optimal level of stress? a. stagnation b. motivation c. pressure d. aggressivenes s ANSWER: b RATIONALE: A consequence of stress is burnout—a feeling of exhaustion that may develop when someone experiences too much stress for an extended period of time. An optimal level of stress, on the other hand, can result in motivation and excitement.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 70. Identify the personality trait that a creative individual would most likely possess: a. low agreeableness. b. openness. c. negative affectivity. d. introversion.

ANSWER: b RATIONALE: The traits shared by most creative people are openness, an attraction to complexity, high levels of energy, independence and autonomy, strong self-confidence, and a strong belief that one is, in fact, creative.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 71. You developed a sensor system that swimmers wear to get a computerized analysis of their stroke. You signed an agreement with a swim club to test the product before increasing production. You are in the what stage of the creative process? a. insight b. incubation c. preparation d. verificatio n ANSWER: d RATIONALE: In the verification stage, ideas and prototypes are tested, evaluated, and refined. Since you have already created the sensor system and are now testing it with a swim club to verify its functionality before increasing production, this is the verification stage. The other stages—insight, incubation, and preparation—occur earlier in the creative process, with preparation focusing on gathering information, incubation on letting ideas develop, and insight on having the breakthrough idea.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 72. Which type of thinking is a skill that allows people to see differences among situations, phenomena, or events? a. differentiated b. divergent c. cognitive d. creative ANSWER: b RATIONALE: Divergent thinking is a skill that allows people to see differences Copyright Cengage Learning. Powered by Cognero.

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among situations, phenomena, or events.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO9.6 - Describe creativity and its role in organizations.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 73. Creativity within organizations can be enhanced by: a. encouraging employees to have less risk propensity. b. making it part of the organization's culture. c. training individuals to have an external locus of control. d. employing only those individuals from environments that nurture creativity.

ANSWER: b RATIONALE: One important method for enhancing creativity is to make it a part of the organization’s culture, often through explicit goals.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO9.6 - Describe creativity and its role in organizations.

CTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM

74. An organization provides formal training to newly recruited business developers to guide them in designing new business initiatives. The new recruits are in what stage of the creative process? a. preparation b. incubation c. insight d. verificatio n ANSWER: a RATIONALE: The creative process normally begins with a period of preparation. The Copyright Cengage Learning. Powered by Cognero.

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formal training that the new recruits receive will contribute to the creative process.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 75. You are a scientist developing a prototype for a new vaccine. You are taking a step back from your work to give your ideas some time to mature and develop in your mind. You are in what stage of the creative process? a. preparation b. verificatio n c. insight d. incubation ANSWER: d RATIONALE: The incubation stage occurs when you take a break from actively working on a problem, allowing your subconscious mind to process and develop ideas. By stepping back and allowing your thoughts to mature, you are giving your brain time to generate insights and solutions in the background. This stage typically follows the preparation stage, where initial research and understanding occur, and precedes the insight stage, where a breakthrough or creative solution often emerges.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:51 AM ED: 76. What is the skill that allows people to see differences among situations, phenomena, or events? a. divergent thinking b. insight c. convergent thinking d. creativity ANSWER: a RATIONALE: Divergent thinking is a skill that allows people to see differences among situations, phenomena, or events.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO9.6 - Describe creativity and its role in organizations.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 77. You want to encourage creativity in your department. Which of the following will help you achieve that? a. avoiding conflict b. encouraging cautiousness c. setting explicit goals d. punishing failure ANSWER: c RATIONALE: One important method for enhancing creativity is to make it a part of the organization’s culture, often through explicit goals. Firms that truly want to stress creativity state goals that some percentage of future revenues is to be gained from new products. This clearly communicates that creativity and innovation are valued.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 78. You are very open to new ideas, have a high degree of energy, are independent, and have a lot of self-confidence.

Which attribute of creativity does this describe? a. divergent thinking b. background experiences c. personal traits d. cognitive abilities ANSWER: c RATIONALE: The traits shared by most creative people are openness, an attraction to complexity, high levels of energy, independence and autonomy, strong self-confidence, and a strong belief that one is, in fact, creative. People who possess these traits are more likely to be creative than are those who do not have them.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 79. You have a reputation for being creative. Your colleagues have noticed that you are skilled at seeing similarities between different situations and applying those lessons to come up with new ideas. This skill is known as: a. divergent thinking. b. insight. c. convergent thinking. d. cognition.

ANSWER: c RATIONALE: Convergent thinking is a skill that allows people to see similarities among situations, phenomena, or events.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO9.6 - Describe creativity and its role in organizations.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 80. To find someone with the creativity needed for the job, You will want to look for a candidate who: a. is attracted to simplicity. b. has strong analytical skills. c. has a reticent personality. d. prefers collaborative work.

ANSWER: b RATIONALE: Cognitive abilities are linked with creativity and include the ability to think intelligently and to analyze situations and data effectively. Intelligence may be a precondition for individual creativity, but not all intelligent people are creative.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 81. Your group was struggling to design a key component of a new device. After months of struggling with how to achieve one key requirement of the new device, you had an "aha moment" and were able to resolve the issue. Your product development team is in which stage of the creative process? a. preparation b. incubation c. insight d. verificatio Copyright Cengage Learning. Powered by Cognero.

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n ANSWER: RATIONALE:

c The product development team is in the insight stage of the creative process. Usually occurring after preparation and incubation, insight is a spontaneous breakthrough in which the creative person achieves a new understanding of some problem or situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 82. What is a pattern of action by the members of an organization that directly or indirectly influences organizational effectiveness? a. workplace behavior b. psychological contract c. person–job fit d. cognitive dissonance ANSWER: a RATIONALE: Workplace behavior is a pattern of action by the members of an organization that directly or indirectly influences organizational effectiveness.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO9.7 - Explain how workplace behaviors can directly or indirectly JECTIVES: influence organizational effectiveness.

ACCREDITING Analytic STANDARDS: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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D: DATE MODIFIE 4/7/2025 5:51 AM D: 83. You were hired as a reporter for a popular news organization. You are expected to write, edit, and proofread stories within deadlines. The organization's expectations are referred to as: a. dysfunctional behaviors. b. performance behaviors. c. withdrawal behaviors. d. psychological behaviors.

ANSWER: b RATIONALE: Performance behaviors are directly related to the expected tasks and responsibilities of the role. In your case, writing, editing, and proofreading stories within deadlines are key performance tasks that reflect how well you meet the expectations of the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.7 - Explain how workplace behaviors can directly or indirectly BJECTIVES: influence organizational effectiveness.

ACCREDITIN Analytic G STANDARD S: TOPICS: Types of Workplace Behaviors KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 84. An employee has to miss work because they were called for jury duty. This is an example of: a. turnover, b. role conflict. c. absenteeism. d. organizational citizenship.

ANSWER: c RATIONALE: Absenteeism occurs when an individual does not show up for work.

They are absent from work for a legitimate cause.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO9.7 - Explain how workplace behaviors can directly or indirectly Copyright Cengage Learning. Powered by Cognero.

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CTIVES: influence organizational effectiveness.

ACCREDITING S Analytic TANDARDS: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 85. When a manager leaves their job to accept a job at another organization, the organization left behind is experiencing: a. cognitive dissonance. b. turnover. c. absenteeism. d. stereotyping.

ANSWER: b RATIONALE: Turnover occurs when people quit their jobs.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO9.7 - Explain how workplace behaviors can directly or indirectly TIVES: influence organizational effectiveness.

ACCREDITING STA Analytic NDARDS: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 86. Your work is above average in terms of quality and quantity of production; however, you refuse to do anything beyond the strict performance of your required job tasks. This is an example of: a. cognitive dissonance. b. a Type B personality. c. poor organizational citizenship. d. a person with an external locus of control.

ANSWER: c RATIONALE: Poor organizational citizenship because organizational citizenship behaviors (OCBs) refer to voluntary actions employees take that go beyond the basic requirements of their job, such as helping coworkers or taking on extra responsibilities. Refusing to go beyond the minimum job requirements suggests a lack of engagement in these types of behaviors, which is a characteristic of poor organizational citizenship.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO9.7 - Explain how workplace behaviors can directly or indirectly BJECTIVES: influence organizational effectiveness.

ACCREDITIN Analytic G STANDARD S: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 87. Individual behavior that makes a positive overall contribution to an organization is called: a. performance behavior. b. positive inducement. c. motivational behavior. d. organizational citizenship.

ANSWER: d RATIONALE: Organizational citizenship is the behavior of individuals that makes a positive overall contribution to the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.7 - Explain how workplace behaviors can directly or indirectly CTIVES: influence organizational effectiveness.

ACCREDITING ST Analytic ANDARDS: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 88. What are the total set of work-related behaviors that the organization expects the individual to display? a. performance behaviors b. withdrawal behaviors c. dysfunctional behaviors d. cognitive dissonance ANSWER: a RATIONALE: Performance behaviors are the total set of work-related behaviors that the organization expects the individual to display.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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: HAS VARIABLES: False LEARNING OBJE LO9.7 - Explain how workplace behaviors can directly or indirectly CTIVES: influence organizational effectiveness.

ACCREDITING S Analytic TANDARDS: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM

89. Which of the following is an example of dysfunctional behavior? a. agreeableness b. extraversion c. harassment d. cognitive dissonance ANSWER: c RATIONALE: Dysfunctional behaviors are those that detract from, rather than contribute to, organizational performance. Harassment is an example of dysfunctional behavior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.7 - Explain how workplace behaviors can directly or indirectly BJECTIVES: influence organizational effectiveness.

ACCREDITIN Analytic G STANDARD S: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 90. Which of the following is true of performance behaviors? a. They can always be easily measured. b. They are not influenced by intuition. c. They can always be narrowly defined. d. They derive from the psychological contract.

ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Performance behaviors are the total set of work-related behaviors that the organization expects the individual to display. Thus, they derive from the psychological contract.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.7 - Explain how workplace behaviors can directly or indirectly BJECTIVES: influence organizational effectiveness.

ACCREDITIN Analytic G STANDARD S: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 91. Which of the following best describes organizational citizenship? a. It is the behavior of individuals that indicates the unwillingness to work beyond the basic standards of a job. b. It is the behavior of individuals that leads to increased turnover in an organization. c. It is the behavior of individuals that makes a positive overall contribution to an organization. d. It is the behavior of individuals that detracts from, rather than contributes to, organizational performance.

ANSWER: c RATIONALE: Organizational citizenship is the behavior of individuals that makes a positive overall contribution to the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.7 - Explain how workplace behaviors can directly or indirectly CTIVES: influence organizational effectiveness.

ACCREDITING ST Analytic ANDARDS: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 92. Theft and sabotage are examples of: a. performance behaviors.

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b. dysfunctional behaviors. c. harassment. d. Machiavellianiam.

ANSWER: b RATIONALE: Dysfunctional behaviors are those that detract from, rather than contribute to, organizational performance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO9.7 - Explain how workplace behaviors can directly or indirectly TIVES: influence organizational effectiveness.

ACCREDITING STA Analytic NDARDS: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 93. You have lost four employees this year, and you have now learned that your most creative designer is leaving the company. You need to focus on the cause of which organizational behavior? a. performance b. absenteeism c. turnover d. cognitive dissonance ANSWER: c RATIONALE: Turnover occurs when people quit their jobs. An organization usually incurs costs in replacing individuals who have quit, but if turnover involves especially productive people, it is even more costly.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.7 - Explain how workplace behaviors can directly or indirectly BJECTIVES: influence organizational effectiveness.

ACCREDITIN Analytic G STANDARD S: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: Copyright Cengage Learning. Powered by Cognero.

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94. Which of the following is an indication of positive organizational citizenship behavior? a. acceptable quality work b. high performance levels c. being able to make deadlines d. being helpful and committed to organizational success ANSWER: d RATIONALE: An employee who has high levels of organizational citizenship is one who will always work late or come in early when they need to, will take time to help newcomers learn their way around, and is perceived as being helpful and committed to the organization’s success. Although their level of performance may be seen as equal to that of the other workers, they are also likely to be seen as a better organizational citizen.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.7 - Explain how workplace behaviors can directly or indirectly BJECTIVES: influence organizational effectiveness.

ACCREDITIN Analytic G STANDARD S: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 95. Organizations can benefit from turnovers if: a. the individuals who quit have to be replaced immediately. b. they are trying to cut costs. c. turnovers involve productive people. d. the current unemployment rates are high.

ANSWER: b RATIONALE: If the organization is trying to cut costs by reducing its staff, having people voluntarily choose to leave is preferable to having to terminate their jobs. So, some turnovers are desirable.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.7 - Explain how workplace behaviors can directly or indirectly BJECTIVES: influence organizational effectiveness.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Types of Workplace Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 96. What stage of the creativity process determines the validity or truthfulness of an insight? a. preparation b. incubation c. insight d. verificatio n ANSWER: d RATIONALE: Once an insight has occurred, verification determines the validity or truthfulness of the insight.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.6 - Describe creativity and its role in organizations.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 97. The creative process typically begins with a period of: a. cognitive dissonance. b. verification. c. insight. d. preparation.

ANSWER: d RATIONALE: The creative process normally begins with a period of preparation.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO9.6 - Describe creativity and its role in organizations.

ACCREDITING STANDARD Analytic Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Creativity in Organizations Bloom's: Remember 4/7/2025 5:51 AM 4/7/2025 5:51 AM

98. What is the first stage of the general adaptation syndrome? a. exhaustio n b. resistance c. alarm d. burnout ANSWER: c RATIONALE: When an individual first encounters a stressor, the general adaptation syndrome (GAS) is initiated, and stage 1, alarm, is activated.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO9.5 - Identify the causes and consequences of stress and how it can ECTIVES: be managed.

ACCREDITING Analytic STANDARDS: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:51 AM : DATE MODIFIE 4/7/2025 5:51 AM D: 99. Physical demands are stressors associated with: a. decision making. b. allotted tasks. c. job settings. d. role conflict.

ANSWER: c RATIONALE: Physical demands are stressors associated with the job setting.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO9.5 - Identify the causes and consequences of stress and ES: how it can be managed.

ACCREDITING STAND Analytic Copyright Cengage Learning. Powered by Cognero.

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ARDS: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Stress and Individual Behavior Bloom's: Remember 4/7/2025 5:51 AM 4/7/2025 5:51 AM

100. What is the extent to which a person behaves in the same way in different situations? a. consistency b. distinctiveness c. consensus d. positive affectivity ANSWER: b RATIONALE: Distinctiveness is the extent to which the same person behaves in the same way in other situations.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO9.4 - Describe basic perceptual processes and the role of IVES: attributions in organizations.

ACCREDITING STA Analytic NDARDS: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 101. The conflict individuals may experience among their own attitudes is called: a. risk propensity b. emotional intelligence c. organizational commitment d. cognitive dissonance ANSWER: d RATIONALE: The conflict individuals may experience among their own attitudes is called cognitive dissonance.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.3 - Explain attitudes and commitment in organizations and VES: how they affect behavior.

ACCREDITING STA Analytic NDARDS: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 5:51 AM

102. What component of an attitude reflects how an individual expects to behave toward or in the situation? a. intentional b. affective c. cognitive d. satisfactio n ANSWER: a RATIONALE: Attitudes generally have three components. The intentional component of an attitude reflects how an individual expects to behave toward or in the situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.3 - Explain attitudes and commitment in organizations and how they BJECTIVES: affect behavior.

ACCREDITIN Analytic G STANDARD S: TOPICS: Attitudes and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 103. You are a manager in the R&D department and expected to take chances and seen as a catalyst for innovation. You demonstrate the traits of someone who would rank high on what characteristic? a. Machiavellianis m b. risk propensity c. sensing d. authoritarianism ANSWER: b RATIONALE: Individuals who rank high on risk propensity are more comfortable with uncertainty and are willing to take risks to achieve new outcomes, often driving innovation within an organization. This characteristic aligns with her role in R&D, where experimentation and new ideas are essential.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 104. What is a person’s beliefs about their capabilities to perform a task? a. openness b. self-efficacy c. locus of control d. risk propensity ANSWER: b RATIONALE: Self-efficacy is a person’s beliefs about their capabilities to perform a task.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.2 - Describe how personality and personality attributes affect VES: behavior in organizations.

ACCREDITING STAN Analytic DARDS: TOPICS: Personality and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 105. The extent to which the contributions made by an individual match the inducements offered by an organization is called: a. individual difference, b. organizational inducement, c. employee contribution, d. person-job fit, ANSWER: d RATIONALE: The extent to which the contributions made by an individual match the inducements offered by an organization is called person-job fit.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLE False S: LEARNING OBJ LO9.1 - Explain the nature of the individual-organization relationship.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 106. An organization is said to achieve a perfect person-job fit if it can: a. meet the person's needs irrespective of their ability to contribute to it. b. measure the performance dimensions of an employee. c. create a psychological contract with a prospecting individual. d. take advantage of the person's abilities and exactly fulfill their needs.

ANSWER: d RATIONALE: If an organization can take perfect advantage of those behaviors and abilities and exactly fulfill their needs, it will have achieved a perfect person–job fit POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.1 - Explain the nature of the individual-organization relationship.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 107. A change is initiated in the psychological contract between an employee and an organization if the: a. employee is satisfied with his performance. b. organization achieves a perfect person–job fit. c. organization sees an imbalance. d. employee perceives it to be fair.

ANSWER: c RATIONALE: If either party of the psychological contract sees an imbalance or Copyright Cengage Learning. Powered by Cognero.

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inequity in the contract, it may initiate a change.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO9.1 - Explain the nature of the individual-organization relationship.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Understanding Individuals in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 108. What is the process of categorizing or labeling people based on a single attribute? a. cognitive dissonance b. stereotyping c. Machiavellianism d. inducement ANSWER: b RATIONALE: Stereotyping is the process of categorizing or labeling people on the basis of a single attribute.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO9.4 - Describe basic perceptual processes and the role of VES: attributions in organizations.

ACCREDITING STAN Analytic DARDS: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 109. What is an individual’s power to think intelligently and to analyze situations and data effectively? a. selective perception b. positive affectivity c. cognitive ability d. creativity ANSWER: c RATIONALE: Cognitive abilities are an individual’s power to think intelligently and to analyze situations and data effectively.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO9.6 - Describe creativity and its role in organizations.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 110. What is the spontaneous breakthrough that occurs after the preparation and incubation phases of the creative process? a. burnout b. insight c. verificatio n d. perception ANSWER: b RATIONALE: Usually occurring after preparation and incubation, insight is a spontaneous breakthrough in which the creative person achieves a new understanding of some problem or situation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO9.6 - Describe creativity and its role in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Creativity in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 111. What is emotional intelligence? Describe the various dimensions associated with it.

ANSWER: The concept of emotional intelligence (EQ) has been identified in recent years and provides some interesting insights into personality. EQ refers to the extent to which people are self-aware, manage their emotions, motivate themselves, express empathy for others, and possess social skills. These various dimensions can be described as follows: 

Self-awareness. This is the basis for the other components. It refers to a person’s capacity for being aware of how they are feeling. In general, more self-awareness allows people to more effectively guide their own

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   

lives and behaviors.

Managing emotions. This refers to a person’s capacities to balance anxiety, fear, and anger so those emotions do not overly interfere with getting things accomplished.

Motivating oneself. This refers to a person’s ability to remain optimistic and to continue striving in the face of setbacks, barriers, and failure.

Empathy. This refers to a person’s ability to understand how others are feeling, even without being explicitly told.

Social skill. This refers to a person’s ability to get along with others and to establish positive relationships.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO9.2 - Describe how personality and personality attributes affect BJECTIVES: behavior in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Emotional Intelligence KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 112. Explain the basic framework around which attributions are formed with an example to illustrate the process.

ANSWER: The basic framework around which we form attributions is consensus (the extent to which other people in the same situation behave the same way), consistency (the extent to which the same person behaves in the same way at different times), and distinctiveness (the extent to which the same person behaves in the same way in other situations). For example, suppose a manager observes that an employee is late for a meeting. The manager might further realize that they are the only one who is late (low consensus), recall that they are often late for other meetings (high consistency), and subsequently realize that they are sometimes late for work and returning from lunch (low distinctiveness). This pattern of attributions might cause the manager to decide that the individual’s behavior is something that should be changed. As a result, the manager might meet with the subordinate and establish some punitive consequences for future tardiness.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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STUDENT EN Basic TRY MODE: LEARNING O LO9.4 - Describe basic perceptual processes and the role of attributions BJECTIVES: in organizations.

ACCREDITIN Analytic G STANDARD S: TOPICS: Perception and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 113. Discuss some of the ways in which individuals can manage their stress.

ANSWER: Given the potential consequences of stress, it follows that both people and organizations should be concerned about how to limit its more damaging effects.

Numerous ideas and approaches have been developed to help manage stress.

One way people manage stress is through exercise. People who exercise regularly feel less tension and stress, are more self-confident, and feel more optimistic.

Another method people use to manage stress is relaxation. Relaxation allows individuals to adapt to, and therefore better deal with, their stress. Relaxation comes in many forms, such as taking regular vacations.

People can also use time management to control stress. The idea behind time management is that many daily pressures can be reduced or eliminated if individuals do a better job of managing time.

Finally, people can manage stress through support groups. A support group can be as simple as a group of family members or friends to enjoy leisure time with.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO9.5 - Identify the causes and consequences of stress and how it can BJECTIVES: be managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Stress and Individual Behavior KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED:

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Chapter 10 - Managing Employee Motivation and Performance 1. What can be defined as the set of forces that cause people to behave in certain ways? a. motivation b. managemen t c. attribution d. personality ANSWER: a RATIONALE: Motivation is the set of forces that cause people to behave in certain ways. Individual performance is generally determined by three things: motivation (the desire to do the job), ability (the capability to do the job), and work environment (the resources needed to do the job).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 2. You run a lawn cutting service and want to earn more money. You have decided to take on additional clients and work more hours. Your motivation is due to: a. a need or deficiency. b. negative reinforcement. c. a low performance-to-outcome expectancy. d. dissatisfaction of physiological needs.

ANSWER: a RATIONALE: Your motivational process begins with a need deficiency, which is the need for better pay.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO10.1 - Discuss the nature of motivation, including its importance TIVES: and historical perspectives.

TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 3. According to the motivation framework, after a worker notices an unfilled need, the next step is: a. choosing a behavior that satisfies the need. b. determining future needs. c. searching for ways to satisfy the need. d. evaluating need satisfaction.

ANSWER: c RATIONALE: According to the motivation framework, a worker who is faced with an unfulfilled need will look for ways to satisfy that need. The motivation process begins with a need deficiency. The worker searches for ways to satisfy the need. The third step is to choose an option to pursue.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 4. You sign up clients and schedule services for your lawn care business, taking a percentage from each lawn cut. After hiring three new employees to boost revenue, you are now reviewing your finances to determine if this has increased your income sufficiently. According to the motivation framework, what are you doing now? a. feeling a need or deficiency b. searching for ways to satisfy the need c. evaluating need satisfaction d. choosing a behavior to satisfy the need ANSWER: c RATIONALE: At this point, you are evaluating your choice to see if it satisfied the need to increase revenue.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO10.1 - Discuss the nature of motivation, including its VES: importance and historical perspectives.

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ACCREDITING STAN Analytic DARDS: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 5. Which of the following encompasses the resources needed to do the job? a. work environment b. ability c. motivation d. technology ANSWER: a RATIONALE: Individual performance is generally determined by three things: motivation (the desire to do the job), ability (the capability to do the job), and work environment (the resources needed to do the job).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 6. In terms of employee motivation, what is the manager's goal? a. to encourage employees to consider options when needs are not met b. to encourage employees to work as hard as possible c. to provide an economic reward to keep motivation high d. to advocate for more social time to create a sense of belonging ANSWER: b RATIONALE: On any given day, an employee may choose to work as hard as possible at a job, work at a moderate pace to meet performance expectations, do just enough to avoid a reprimand, or do as little as possible. The goal for the manager is to maximize the likelihood of the first behavior and minimize the likelihood of the last.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 7. According to Frederick Taylor and his traditional approach to motivation, what is the primary thing that motivated everyone? a. feeling useful b. the need for social opportunities c. the nature of the work d. economic gain ANSWER: d RATIONALE: Taylor believed that managers knew more about the jobs being performed than did workers, and he assumed that economic gain was the primary thing that motivated everyone.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 8. According to Taylor, why are people willing to perform difficult and unpleasant work? a. to fill the need of belongingness b. to allow them to progress to more rewarding challenges Copyright Cengage Learning. Powered by Cognero.

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c. to earn money which is more important than the unpleasant work d. to achieve self-actualization ANSWER: c RATIONALE: An assumption of the traditional approach was that work is inherently unpleasant for most people and that the money they earn is more important to employees than the nature of the job they are performing.

Hence, people could be expected to perform any kind of job if they were paid enough.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 9. Which approach to motivation is based on the premise that managers know more about the job than workers and therefore should be paid more? a. content perspective b. human resources approach c. traditional approach d. human relations approach ANSWER: c RATIONALE: Taylor advocated an incentive pay system. He believed that managers knew more about the jobs being performed than did workers, and he assumed that economic gain was the primary thing that motivated everyone.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 10. As a manager, you provide your team with broad goals and allow them to be self-directed in carrying out routine activities that support those goals. Which of the following do you use to motivate your employees? a. ERG theory of motivation b. human relations approach c. needs hierarchy approach d. human resource approach ANSWER: b RATIONALE: Advocates of the human relations approach advised managers to make workers feel important and allow them a minor degree of self-direction and self-control in carrying out routine activities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.1 - Discuss the nature of motivation, including its importance and BJECTIVES: historical perspectives.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 11. Which perspective on motivation addresses the specific factors in the workplace that motivate people, rather than how people are motivated? a. reinforcemen t b. process c. content d. equity ANSWER: c RATIONALE: Content perspectives on motivation deal with the first part of the motivation process—needs and need deficiencies. More specifically, content perspectives address this question: What factor or factors in the workplace motivate people? Two widely known content perspectives on motivation are the needs hierarchy and the two-factor theory.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 12. Housing, clothing, and job security would all be included in which of Maslow's need categories? a. physiological b. security c. belongingness d. esteem ANSWER: b RATIONALE: Security needs are for a secure physical and emotional environment.

Examples include the desire for housing and clothing and the need to be free from worry about money and job security.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 13. According to Maslow's hierarchy of needs, what type of needs does an individual focus on after satisfying their physiological needs? a. survival Copyright Cengage Learning. Powered by Cognero.

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b. esteem c. belongingness d. security ANSWER: d RATIONALE: According to Maslow's hierarchy of needs, after physiological needs people tend to focus on security needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO10.2 - Describe the major content perspectives on motivation.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 14. In organizations, how are physiological needs generally satisfied? a. providing career growth, promotions, and public recognition b. offering fair wages, restrooms, lighting, and ventilation c. encouraging teamwork, collaboration, and social belonging d. allowing independence, goal-setting, and self-direction ANSWER: b RATIONALE: In organizations, physiological needs are generally satisfied by adequate wages and the work environment itself, which provides restrooms, adequate lighting, comfortable temperatures, and ventilation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 15. In the two-factor theory, what are the factors called that influence satisfaction and are specifically related to work content?

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a. esteem b. security c. environmental d. motivation ANSWER: d RATIONALE: The factors influencing the satisfaction continuum—called motivation factors—are related specifically to the work content. The factors presumed to cause dissatisfaction—called hygiene factors—are related to the work environment.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 16. When a manager tries to encourage social interaction among subordinates, they are trying to address the need for: a. belongingness. b. esteem. c. security. d. physiological.

ANSWER: a RATIONALE: A manager can help satisfy these needs by allowing social interaction and by making employees feel like part of a team or work group.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO10.2 - Describe the major content perspectives on motivation.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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D: DATE MODIFIE 4/7/2025 5:51 AM D: 17. Family and community relationships outside of work as well as friendships on the job all satisfy the need for: a. selfactualization. b. recognition. c. physiology. d. belongingness.

ANSWER: d RATIONALE: Belongingness needs relate to social processes. They include the need for love and companionship and the need to be accepted by one’s peers.

These needs are satisfied for most people by family and community relationships outside of work and by friendships on the job.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 18. You receive a new office and a new job title as recognition for your accomplishments over the years. You feel satisfied with the recognition and respect from your colleagues. What type of needs is your organization addressing? a. esteem b. psychologica l c. security d. physiology ANSWER: a RATIONALE: The new job title and recognition address your esteem needs, such as the need for recognition and respect from others.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJE LO10.2 - Describe the major content perspectives on motivation.

CTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM

19. According to Maslow's hierarchy, what needs include the need that people have for recognition, positive self-image, and self-respect? a. achievement b. security c. selfactualization d. esteem ANSWER: d RATIONALE: Esteem needs actually comprise two different sets of needs: the need for a positive self-image and self-respect and the need for recognition and respect from others.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives of Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 20. Which type of needs identified in Maslow's hierarchy involve realizing one’s potential for continued growth and individual development? a. esteem b. social c. selfactualization d. security ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Self-actualization needs involve realizing one’s potential for continued growth and individual development.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO10.2 - Describe the major content perspectives on motivation.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 21. As a senior engineer at your company, you set difficult goals for yourself and take personal responsibility for your team's performance. What type of need do you most likely have? a. achievement b. affiliation c. esteem d. security ANSWER: a RATIONALE: Your desire to set difficult goals and assume personal responsibility shows that you have a high need for achievement.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO10.2 - Describe the major content perspectives on motivation.

CTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 22. You thrive on setting goals for yourself and have a strong need for specific and immediate feedback. Which need does this fulfill for you? a. esteem b. power c. affiliation d. achievement ANSWER: d RATIONALE: The need for achievement is the desire to accomplish a goal or task Copyright Cengage Learning. Powered by Cognero.

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more effectively than in the past. People with a high need for achievement have a desire to assume personal responsibility, a tendency to set moderately difficult goals, a desire for specific and immediate feedback, and a preoccupation with their task.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 23. You have a strong desire to be influential in your group and to control what happens in your environment. What type of needs would you be considered high in? a. affiliation b. power c. achievement d. selfactualization ANSWER: b RATIONALE: The need for power is the desire to be influential in a group and to control one’s environment. Research has shown that people with a strong need for power are likely to be superior performers, have good attendance records, and occupy supervisory positions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:51 AM ED: 24. According to Herzberg, what do managers try to achieve by providing hygiene factors at appropriate levels? a. employees who are highly motivated b. employees who are “not dissatisfied” c. opportunity for recognition d. employees who no longer need motivation ANSWER: b RATIONALE: By providing hygiene factors at an appropriate level, managers do not necessarily stimulate motivation but merely ensure that employees are “not dissatisfied.” Employees whom managers try to “satisfy” through hygiene factors alone will usually do just enough to get by.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 25. According to Herzberg's two-factor theory of motivation, which of the following is a hygiene factor on the job? a. interpersonal relations b. recognition c. the work itself d. responsibility ANSWER: a RATIONALE: Hygiene factors include supervisors, working conditions, interpersonal relations, pay and security, and company policies and administration.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO10.2 - Describe the major content perspectives on motivation.

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JECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 26. You enjoy your job and meeting new people. You are also very good with new clients because you make them feel at ease. According to the ERG theory of motivation, what do you rate highly in? a. growth b. relatedness c. achievement d. existence ANSWER: b RATIONALE: Relatedness needs focus on how people relate to their social environment. In Maslow’s hierarchy, these would encompass both the need to belong and the need to earn the esteem of others.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.2 - Describe the major content perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 27. You are a high school student with a high need for achievement. Which of the following is most likely true about you? a. You have a desire to assume personal responsibility. b. You have a desire for companionship. c. You have a desire to be influential in a group. d. You have a need to control your environment.

ANSWER: a RATIONALE: People with a high need for achievement have a desire to assume personal responsibility.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO10.2 - Describe the major content perspectives on motivation.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 28. In expectancy theory, what are raises, promotions, stress, and resentment considered to be in relation to an individual's behaviors in the organizational setting? a. factors b. motivations c. reinforcement s d. outcomes ANSWER: d RATIONALE: Expectancy theory recognizes that an individual’s behavior results in a variety of outcomes. A high performer, for example, may get bigger pay raises, faster promotions, and more praise from the boss. On the other hand, they may also be subject to more stress and incur resentment from coworkers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 29. You believe that if you try hard to eliminate distractions and concentrate on your work, you will be able to learn more and do your job more efficiently. What do you have? a. a low effort-to-performance expectancy b. a moderate performance-to-outcome expectancy c. a low performance-to-outcome expectancy Copyright Cengage Learning. Powered by Cognero.

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d. a high effort-to-performance expectancy ANSWER: d RATIONALE: You believe that effort will directly lead to high performance, so you have a high effort-to-performance expectancy. The effort-to-performance expectancy is the individual’s perception of the probability that effort will lead to high performance. When the person believes that effort will lead directly to high performance, this expectancy will be quite strong (close to 1.00).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 30. You believe your union will protect you from getting fired, and you think the only way to get a promotion is if the person above you retires or dies. What do you have? a. low effort-to-performance expectancy and low performance-to-outcome expectancy b. low effort-to-performance expectancy and high performance-to-outcome expectancy c. high effort-to-performance expectancy and low performance-to-outcome expectancy d. high effort-to-performance expectancy and high performance-to-outcome expectancy ANSWER: a RATIONALE: You have a low effort-to-performance expectancy, and a perceptions to portray beliefs thsy are based on neither effort nor performance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO10.3 - Describe the major process perspectives on motivation.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Process Perceptions on Motivation KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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D: DATE MODIFIE 4/7/2025 5:51 AM D: 31. You believe that if you and your team complete your project under budget and within time constraints, you will all receive a bonus. You also believe this might lead to a promotion for you. Which of the following does this scenario illustrate? a. equity theory b. Maslow's esteem needs c. two-factor theory d. performance-to-outcome expectancy ANSWER: d RATIONALE: The performance-to-outcome expectancy is the individual’s perception that performance will lead to a specific outcome. The manager's perception that the team's performance will lead to a specific outcome, in this case a bonus, portrays the expectancy theory of motivation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 32. Which of the following motivational theories is based on the idea that employees compare the treatment they receive relative to others' treatment to determine if they are being treated fairly? a. expectancy theory b. reinforcement theory c. equity theory d. hierarchy of needs theory ANSWER: c RATIONALE: Equity theory contends that people are motivated to seek social equity in the rewards they receive for performance. Equity is an individual’s belief that the treatment they are receiving is fair relative to the treatment received by others.

POINTS: 1 DIFFICULTY: Comprehension QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 33. Which of the following best describes goal difficulty? a. It is the level of simplicity in achieving a goal, requiring minimal effort. b. It is the extent to which a goal is moderate and requires effort. c. It is the ease with which a goal can be achieved without any effort. d. It is the degree to which a goal can be achieved without working harder.

ANSWER: b RATIONALE: Goal difficulty is the extent to which a goal is Moderate and requires effort. If people work to achieve goals, it is reasonable to assume that they will work harder to achieve more difficult goals.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 34. The Porter-Lawler extension of expectancy theory suggests that: a. high effort leads to high outcome, regardless of actual performance. b. performance is more valuable than outcome in understanding effort. c. high performance may lead to high satisfaction. d. high satisfaction leads to high performance.

ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Porter and Lawler suggested that there may be a relationship between satisfaction and performance but that it goes in the opposite direction— that is, high performance may lead to high satisfaction.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 35. According to equity theory, you feel the rewards you receive for your performance are unfair. In response, you try to reduce the inequity by decreasing your inputs. Which of the following actions best reflects your approach to achieving equity? a. You increase your work hours to improve your performance and demonstrate commitment. b. You maintain your performance level, even though you feel the rewards are unfair. c. You reduce the extra tasks you take on, like typing up your colleagues' reports. d. You seek a promotion to earn higher rewards for your efforts and contributions.

ANSWER: c RATIONALE: According to equity theory, you seek social equity in the rewards you receive for your performance. You try to reduce the inequity between your inputs and the rewards you earn by decreasing your inputs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 36. Your employer has announced a goal of helping workers achieve a healthier lifestyle. In response, you choose healthier snacks and join an exercise group at work. Which attribute of the expanded goal-setting theory best portrays this example? a. goal specificity b. goal acceptance c. goal satisfaction d. goal congruity ANSWER: b RATIONALE: Your effort toward a healthier life portrays the extent to which you have accepted the goal. The expanded theory argues that goal-directed effort is a function of four goal attributes: difficulty, specificity, acceptance, and commitment. Goal acceptance is the extent to which a person accepts a goal as their own. Goal commitment is the extent to which they are personally interested in reaching the goal.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 37. You are a social media specialist and were told to "improve public opinion" about the organization. What is lacking in the goal you were given? a. specificity b. acceptance c. conformity d. congruity ANSWER: a RATIONALE: "Improve public opinion" is not very specific. The goal requires more specific details such as how and when it is to be accomplished.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJ LO10.3 - Describe the major process perspectives on motivation.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED 4/7/2025 5:51 AM : DATE MODIFIE 4/7/2025 5:51 AM D: 38. Workers at a company were instructed by their supervisor to bring quality defects down to 1 per 1 million pieces, a 350 percent improvement, in the next three months. The workers are most likely to be challenged by goal: a. difficulty. b. acceptance. c. conformity. d. congruity.

ANSWER: a RATIONALE: Improving the quality percentage to this level is an unreasonable goal, so the workers are most likely to be challenged by goal difficulty.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO10.3 - Describe the major process perspectives on motivation.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 39. According to the basic expectancy model, what should effort be combined with to result in performance? a. social equity in rewards b. behavior and consequences c. pay and promotion d. ability and environmental factors ANSWER: d RATIONALE: The basic expectancy model suggests that motivation leads to effort and that effort, combined with employee ability and environmental factors, results in performance. Performance, in turn, leads to various outcomes, each of which has an associated value, called its valence.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 40. According to expectancy theory, for motivated behavior to occur, which condition must be met? a. Performance must be based on areas of personal satisfaction. b. The sum of the valence must be below zero. c. A person must believe that if effort is expended, high performance will result. d. All effort will result in a certain, desired outcome.

ANSWER: c RATIONALE: For motivated behavior to occur, three conditions must be met. First, the effort-to performance expectancy must be greater than zero (the person must believe that if effort is expended, high performance will result). The performance-to-outcome expectancy must also be greater than zero (the person must believe that if high performance is achieved, certain outcomes will follow). And the sum of the valences for the outcomes must be greater than zero.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED:

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41. According to the Porter-Lawler extension, when would a person most likely be satisfied with rewards? a. when they are perceived as equitable b. when they result in social equity c. when they are greater than the perceived input d. when goals are particularly challenging and effort is required ANSWER: a RATIONALE: The person evaluates the equity, or fairness, of the rewards relative to the effort expended and the level of performance attained. If the rewards are perceived to be equitable, the person is satisfied.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 42. You are trying to determine the best way to motivate your staff. Some of the options include pay raises, bonuses, promotions, nicer offices, and more responsibility. To determine the desirability of each of these outcomes, what should you measure? a. effort-to-performance expectancy b. performance-to-outcome expectancy c. valence d. equity ANSWER: c RATIONALE: Each of these outcomes has an associated value, or valence—an index of how much an individual values a particular outcome. If the individual wants the outcome, its valence is positive; if the individual does not want the outcome, its valence is negative; and if the individual is indifferent to the outcome, its valence is zero.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 43. Your friend told an inappropriate joke at the staff meeting, and your coworker ignored it by not laughing or acknowledging it. What were they using to change your behavior? a. avoidance b. extinction c. distortion d. punishment ANSWER: b RATIONALE: Your friend’s coworker is most likely using a reinforcement method called extinction, which is used to weaken undesired behaviors by simply ignoring them.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 44. You have a slight cold and would like to stay home, but you are out of sick days and do not want to lose any vacation days, so you go into work anyway. What is strengthening your behavior? a. avoidance b. extinction c. distortion d. incentive s ANSWER: a RATIONALE: Jaime's behavior is strengthened by avoiding unpleasant consequences, such as a loss of vacation days. This method of reinforcement is referred to as avoidance.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 45. You put in extra hours to complete an important project on time after unanticipated complications threw it off schedule. In recognition of your efforts, you received a bonus. This motivates you to put in more hard work and better performances. What has the organization used to strengthen your behavior? a. avoidance b. extinction c. distortion d. punishment ANSWER: c RATIONALE: Positive reinforcement is used to strengthen behavior with rewards after a desired behavior is performed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO10.4 - Describe reinforcement perspectives on motivation.

TIVES: ACCREDITING STA Analytic NDARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 46. Employees a comapny complete their schedules on time as every hour they take in excess may lead to a corresponding loss of pay. Their behaviors are strengthened through: a. avoidance. b. extinction. c. positive reinforcement. d. punishment.

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ANSWER: RATIONALE:

a The method used to strengthen behavior is avoidance, as employees complete work on time to avoid a loss of pay.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO10.4 - Describe reinforcement perspectives on motivation.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 47. Why does the fixed-ratio schedule lead to high level of effort? a. Each demonstration of performance increases the probability of receiving a reward. b. Each behavior gets the person closer to the next reward. c. Employees expect that the boss can check on them at any time. d. Employees don’t know when to expect their next reward.

ANSWER: b RATIONALE: A fixed-ratio schedule gives reinforcement after a fixed number of behaviors, regardless of the time that elapses between behaviors. This results in an even higher level of effort. Motivation will be relatively high because each behavior gets the person closer to the next reward.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 48. Which of the following reinforcement schedules offers a worker the least incentive to do good work? a. fixed-interval Copyright Cengage Learning. Powered by Cognero.

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b. fixed-ratio c. variableinterval d. variable-ratio ANSWER: a RATIONALE: The fixed-interval schedule offers a worker the least incentive to do good work. The fixed-interval schedule provides reinforcement at fixed intervals of time, regardless of behavior. A good example of this schedule is the weekly or monthly paycheck. This method provides the least incentive for good work because employees know they will be paid regularly regardless of their efforts.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 49. You play offensive pranks at your workplace, and your colleagues have been encouraging them. To make sure you do not repeat such behaviors, the managers at the organization instruct your colleagues to ignore your actions. What reinforcement method is the organization using? a. recognition b. punishment c. avoidance d. extinction ANSWER: d RATIONALE: Extinction is a reinforcement method used to weaken undesired behavior by simply ignoring or not reinforcing them.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO10.4 - Describe reinforcement perspectives on motivation.

CTIVES: ACCREDITING ST Analytic ANDARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 50. You compliment an employee on their project updates two weeks in a row, then wait a month to compliment them again. Not knowing when you will drop by for inspection, the employee keeps their projects updated regularly. What reinforcement schedule are you using? a. fixed-interval b. fixed-ratio c. variableinterval d. variable-ratio ANSWER: c RATIONALE: You use time as the basis for reinforcement; however, the time interval varies from one reinforcement to another. You must be using a variableinterval schedule.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 51. A company gives its workers a small bonus every time they achieve 100 injury-free days in a row. The type of reinforcement used here is: a. fixed-ratio. b. fixed-interval. c. variableinterval. d. variable-ratio.

ANSWER: a RATIONALE: The retail store uses a fixed number of behaviors, 100 injury-free days. The store uses a fixed-ratio schedule.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLES: False LEARNING OBJEC LO10.4 - Describe reinforcement perspectives on motivation.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 52. When a subordinate has outstanding performance and their supervisor publicly praises it, the supervisor is using: a. positive reinforcement. b. punishment. c. avoidance. d. extinction.

ANSWER: a RATIONALE: Positive reinforcement is a method of strengthening behavior with rewards or positive outcomes after a desired behavior is performed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO10.4 - Describe reinforcement perspectives on motivation.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:51 AM D: DATE MODIFIE 4/7/2025 5:51 AM D: 53. Each week control inspectors at a company randomly select items from an assembly line for inspection and compliment the workers for every product that meets their expectations on quality. However, they vary the number of items they inspect each time. This motivates the employees to put in more effort to ensure that all the items are of the required quality. Which reinforcement schedule are the quality control inspectors using? a. variableinterval b. variable-fixed c. variable-ratio d. fixed-interval ANSWER: c RATIONALE: Since the number of items that workers get complimented for may vary at a fixed interval of time between schedules, the number of behaviors Copyright Cengage Learning. Powered by Cognero.

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needed for each reinforcement varies. The workers are complimented based on a variable-ratio schedule.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perceptions on Motivation KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 54. As a manager, you provide reinforcement on a weekly basis, regardless of behavior. What type of schedule are you using? a. variableinterval b. variable-fixed c. fixed-ratio d. fixed-interval ANSWER: d RATIONALE: The fixed-interval schedule provides reinforcement at fixed intervals of time, regardless of behavior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO10.4 - Describe reinforcement perspectives on motivation.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:51 AM DATE MODIFIED: 4/7/2025 5:51 AM 55. As a manager, you provide reinforcement based on a specific number of behaviors rather than on time. What type of schedule are you using? a. fixed-ratio b. fixed-interval c. variableCopyright Cengage Learning. Powered by Cognero.

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interval d. variable-ratio ANSWER: a RATIONALE: A fixed-ratio schedule gives reinforcement after a fixed number of behaviors, regardless of the time that elapses between behaviors.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO10.4 - Describe reinforcement perspectives on motivation.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 5:51 AM : DATE MODIFIE 4/7/2025 5:51 AM D: 56. Which of the following programs applies the concepts of reinforcement theory by tying target behaviors to a specific form of reinforcement? a. modified workweek b. work redesign c. organizational behavior modification d. attribution theory ANSWER: c RATIONALE: Organizational behavior modification (OB Mod) is a technique of motivating employees based on reinforcement theory. An OB Mod program starts by specifying behaviors that are to be increased (such as producing more units) or decreased (such as coming to work late).

These target behaviors are then tied to specific forms or kinds of reinforcement.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 57. Which type of reinforcement would a speeding ticket be? a. extinction b. punishment c. avoidance d. variableinterval ANSWER: b RATIONALE: Fines are an example of punishment as a means of reinforcement.

Punishment is used to weaken the incidence of undesired behaviors.

When a person receives a speeding ticket, it is hoped this provides incentive not to speed again.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 58. In which way does avoidance act as a reinforcement? a. by allowing escape from undesirable consequences b. by providing undesirable consequences c. by eliminating consequences d. by providing a desirable consequence ANSWER: a RATIONALE: Avoidance strengthens behavior by allowing escape from an undesirable consequence.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO10.4 - Describe reinforcement perspectives on motivation.

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ES: ACCREDITING STAN DARDS: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Analytic Reinforcement Perspectives on Motivation Bloom's: Remember 4/7/2025 5:51 AM 4/7/2025 5:51 AM

59. If employees at a a company are "caught in the act" of doing good work, they receive a $100 pre-paid debit card. The managers all have a number of these cards, and they can hand them out whenever they want to. Employees never know when one of the managers may drop by and "catch" them. Which type of reinforcement schedule is being used in this company? a. fixed-interval b. variableinterval c. extinction d. variable-ratio ANSWER: b RATIONALE: A variable-interval schedule uses time as the basis for reinforcement, but the time interval varies from one reinforcement to the next.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO10.4 - Describe reinforcement perspectives on motivation.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:51 AM : DATE MODIFIE 4/7/2025 5:51 AM D: 60. You want to reward positive behaviors in the most effective way. How should you reward your employees to encourage those behaviors? a. You should provide reinforcements at fixed intervals. b. You should provide reinforcements at variable intervals. c. You should provide reinforcements after a fixed number of observed behaviors. d. You should provide reinforcements using a variable-ratio number of observed behaviors.

ANSWER: d RATIONALE: You should provide reinforcements after a variable number of observed behaviors. A variable-ratio schedule is the most effective schedule for shaping desired behavior.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:51 AM ED: DATE MODIFI 4/7/2025 5:51 AM ED: 61. When your organization uses flextime, when must all employees be at their workstations? a. compressed b. meeting c. power d. core ANSWER: d RATIONALE: The workday is broken down into two categories: flexible time and core time. All employees must be at their workstation during core time, but they can choose their own schedules during flexible time.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.5 - Identify popular motivational strategies.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 62. Your organization allows administrative employees to arrive between 7:00 a.m. and 9:00 a.m. and leave between 4:00 p.m. and 6:00 p.m., if they work an eight-hour day. What is this arrangement called? a. empowerment Copyright Cengage Learning. Powered by Cognero.

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b. a compressed work schedule c. a nine-eighty schedule d. flextime ANSWER: d RATIONALE: The freedom given to employees to arrive and leave the office within flexible timings portrays an arrangement called flextime. Flextime gives employees more personal control over the times they work. The workday is typically broken down into two categories: flexible time and core time.

All employees must be at their workstations during core time, but they can choose their own schedules during flexible time.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.5 - Identify popular motivational strategies.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 63. You and your colleague both wanted to work part time, and you found a lawyer willing to split one full-time paralegal job between the two of you, with one working mornings and the other working afternoons. What is this arrangement called? a. flextime b. participation c. behavior modification d. job sharing ANSWER: d RATIONALE: Job sharing is an alternative work arrangement in which two parttime employees share one full-time job.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO10.5 - Identify popular motivational strategies.

TIVES: ACCREDITING STA Analytic NDARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Popular Motivational Strategies Bloom's: Apply 4/7/2025 5:52 AM 4/7/2025 5:52 AM

64. You are required to follow a 40-hour work schedule but can work up to 10 hours per day and leave by lunchtime on Friday. What does this work arrangement reflect? a. compressed work schedule b. flexible work schedule c. telecommuting arrangement d. job sharing arrangement e. traditional work schedule ANSWER: a RATIONALE: Working a full 40-hour week in a fewer than the traditional five days reflects a compressed work schedule.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO10.5 - Identify popular motivational strategies.

TIVES: ACCREDITING STA Analytic NDARDS: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 65. Which of the following enables workers to set their own work goals, make decisions, and solve problems within their sphere of responsibility and authority? a. equity b. reinforcement c. behavior modification d. empowerment ANSWER: d RATIONALE: Empowerment enables workers to set their own work goals, make decisions, and solve problems within their sphere of responsibility and authority.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO10.5 - Identify popular motivational strategies.

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JECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFI 4/7/2025 5:52 AM ED: 66. Which of the following allows employees to spend part of their time working offsite, usually at home? a. telecommuting b. job sharing c. flextime d. compressed work schedule ANSWER: a RATIONALE: Telecommuting allows employees to spend part of their time working offsite, usually at home.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO10.5 - Identify popular motivational strategies.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 67. Which of the following is true of job sharing? a. It allows the organization to benefit from the talents of more people. b. It allows flexibility in the start and ending times of the shift. c. It involves working ten hours a day for four days, leaving an extra day off. d. It breaks the workday into flexible time and core time.

ANSWER: a RATIONALE: Job sharing allows the organization to benefit from the talents of more people. It provides access to a labor pool that might otherwise not be available.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO10.5 - Identify popular motivational strategies.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 68. You review daily reports to identify errors and meet with representatives from the purchasing and inventory departments to discuss ways to eliminate or prevent recurring problems. Which type of motivational strategy is your organization using by allowing you to make decisions about your work? a. participatio n b. compressio n c. job-sharing d. extinction ANSWER: a RATIONALE: Participation is the process of giving employees a voice in making decisions about their own work.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO10.5 - Identify popular motivational strategies.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 69. You give your employees a lot of freedom in how they complete their work and set their goals. You also allow them to make decisions to resolve issues that arise. What do you use to motivate your employees? a. empowerment b. participation c. behavior modification d. positive reinforcement ANSWER: a RATIONALE: Empowerment is the process of enabling workers to set their own work goals, make decisions, and solve problems within their sphere of responsibility and authority.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.5 - Identify popular motivational strategies.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 70. As a nurse, you work four 10-hour days per week, allowing you to have better control over patient care. What type of scheduling does your hospital use? a. compressed b. flextime c. job sharing d. telecommuting ANSWER: a RATIONALE: A compressed work schedule is when an individual works a full 40hour week in fewer than the traditional five days.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO10.5 - Identify popular motivational strategies.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 71. In which type of group-level reward system are employees gradually given a major stake in the ownership of a corporation? a. gainsharing b. employee stock ownership plans c. profit sharing d. Scanlon plan Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b Employee stock ownership plans (ESOPs) represent a group-level reward system that some companies use. Under the ESOP, employees are gradually given a major stake in ownership of a corporation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 72. Aside from motivational strategies such as the content perspectives, process perspectives, and reinforcement perspectives, what is an organization’s most basic tool for managing employee motivation? a. strategic plan b. vision statement c. pay system d. reward system ANSWER: d RATIONALE: Aside from motivational strategies such as the content perspectives, process perspectives, and reinforcement perspectives, an organization’s reward system is its most basic tool for managing employee motivation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 73. You are a sales representative and get paid a base salary plus a percentage of sales attained as a commission for a period of time. What is your pay an example of? a. a merit pay plan b. the Scanlon plan c. gainsharing program d. an incentive pay plan ANSWER: d RATIONALE: Sales commission is a form of individual incentive. The compensation that you receive is based on an incentive pay plan. Individual incentive systems are most likely to be used in cases in which performance can be objectively assessed in terms of number of units of outputor similar measures, rather than on a subjective assessment of performance by a superior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 74. A criticism against executive compensation in recent years is that: a. organizations are getting increasingly innovative in their incentive programs. b. executive compensation is based on the performance of each and every employee in an organization. c. there seems to be no relationship between organization's performance and executives' compensations. d. executives are earning a meager amount compared to the typical worker in an organization.

ANSWER: c RATIONALE: Compounding the problem created by perceptions of executive compensation is the fact that there often seems to be little or no relationship between the performance of the organization and the compensation paid to its senior executives.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 75. You give all your employees the same base salary and do not provide annual raises. However, throughout the year, you give employees financial rewards tied to specific performances. What type of reward system are you using? a. individual incentive plans b. profit sharing c. gainsharing d. the Scanlon plan ANSWER: a RATIONALE: You use an individual incentive plan. Rather than increasing a person’s base salary at the end of the year, an individual instead receives some level of financial reward in conjunction with demonstrated outstanding performance near when that performance occurred.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 76. Several employees developed a plan to improve the efficiency of the production floor, potentially saving the organization significant amounts of money. As a result, the employees will be given a bonus of 25 percent of the economic gain that results from this plan. This type of incentive pay is known as: Copyright Cengage Learning. Powered by Cognero.

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a. fixed-rate pay. b. profit sharing. c. gainsharing. d. a lump-sum bonus.

ANSWER: c RATIONALE: Gainsharing programs are designed to share the cost savings from productivity improvements with employees. The underlying assumption of gainsharing is that employees and the employer have the same goals and thus should appropriately share in incremental economic gains.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 77. In what common form of executive compensation are senior managers able to buy shares in the company at a predetermined fixed price? a. gainsharing plan b. stock option plan c. Scanlon plan d. profit sharing plan ANSWER: b RATIONALE: A stock option plan is established to give senior managers the option to buy company stock in the future at a predetermined fixed price.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO10.6 - Describe the role of organizational reward systems in ECTIVES: motivation.

ACCREDITING Analytic STANDARDS: TOPICS: Using Reward Systems to Motivate Performance Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: 78. Which refers to pay awarded to employees on the basis of the relative value of their contributions to the organization, which is a performance-based reward arrangement for individuals? a. Scanlon plan b. piece-rate incentives c. incentive pay d. merit pay ANSWER: d RATIONALE: Merit pay refers to pay awarded to employees on the basis of the relative value of their contributions to the organization, which is a performancebased reward arrangement for individuals.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 79. Which is a type of reward system wherein an organization pays an employee a certain amount of money for every unit they produce? a. Scanlon plan b. piece-rate incentive plan c. incentive pay d. merit pay plan ANSWER: b RATIONALE: A piece-rate incentive plan is a reward system wherein an organization pays an employee a certain amount of money for every unit he or she produces.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 80. Which of the following is true about individual incentive plans? a. They are used to reward individual performance on a real-time basis. b. They are used to provide individual performances with nonmonetary rewards. c. They are most likely to be used when performance can be subjectively assessed. d. They are focused at increasing a person's base salary at the end of every year.

ANSWER: a RATIONALE: Individual incentive plans reward individual performance on a real-time basis.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO10.6 - Describe the role of organizational reward systems in S: motivation.

ACCREDITING STANDA Analytic RDS: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 81. A portion of a company’s revenue is placed into a pool which is distributed to all employees. What type of incentive is this? a. profit sharing b. gainsharing c. stock options d. merit pay ANSWER: a RATIONALE: In a profit-sharing approach, at the end of the year, some portion of the company’s profits is paid into a profit-sharing pool that is then distributed Copyright Cengage Learning. Powered by Cognero.

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to all employees.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 82. New approaches to performance-based rewards include: a. offering stock options only to top executives. b. increasing gainsharing opportunities. c. individualizing the reward system. d. allocating salary increases to individuals in work groups.

ANSWER: c RATIONALE: A new approach is to have employees and groups have a say in how rewards are distributed, not top managers. Organizations are getting increasingly innovative in their incentive programs. For example, some firms are looking into ways to purely individualize reward systems. For instance, a firm might offer one employee a paid three-month sabbatical every two years in exchange for a 20 percent reduction in salary. Another employee in the same firm might be offered a 10 percent salary increase in exchange for a 5 percent reduction in company contributions to the person’s retirement account.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:52 AM ED: 83. Which of the following is not part of a typical compensation plan for senior executives? a. base pay b. overtime c. stock option plan d. bonus ANSWER: b RATIONALE: Most senior executives receive compensation through base pay, stock option plans, and bonuses, not through hourly wages.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO10.6 - Describe the role of organizational reward systems in ECTIVES: motivation.

ACCREDITING S Analytic TANDARDS: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED 4/7/2025 5:52 AM : 84. A specialty clothing manufacturer is producing in bulk quantities and then customized with monograms and other unique embellishments before final shipment. Employees on the custom stitching line are compensated for each individual item completed. What type of reward system is used in the custom stitching department? a. merit pay plan b. piece-rate incentive plan c. gainsharing program d. Scanlon plan ANSWER: b RATIONALE: Piece-rate incentives are used in the custom stitching department.

Piece-rate incentive plans pay individuals a certain rate for each unit produced.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OB LO10.6 - Describe the role of organizational reward systems in JECTIVES: motivation.

ACCREDITING Analytic STANDARDS: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFI 4/7/2025 5:52 AM ED: 85. When are individual incentive pay plans most effective? a. when sophisticated methodologies are required b. when performance can be subjectively assessed c. when rewards occur on a real-time basis d. when quality is more important than quantity ANSWER: c RATIONALE: This reward system is most effective when rewards occur on a real-time basis. A piece-rate incentive plan issues rewards relatively close to when the performance occurred.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 86. Why are piece-rate incentive plans prone to fail? a. Workers prefer commission-based plans. b. They are considered to be one-time rewards. c. Performance is not always under the worker's control. d. There is a lack of objective measurements of performance.

ANSWER: c RATIONALE: Such simplistic systems fail to account for such facts as minimum-wage levels and rely very heavily on the assumptions that performance is Copyright Cengage Learning. Powered by Cognero.

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totally under a worker’s control and that the employee does a single task continuously throughout their work time. Thus, most organizations today that try to use incentive compensation systems use more sophisticated methodologies.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 87. What is the underlying assumption of a gainsharing program? a. The employer and the employees all have the same goal. b. They are designed to be one-time rewards. c. The focus of the plan can be easily changed. d. Employees will receive the majority of the cost savings.

ANSWER: a RATIONALE: Gainsharing programs are designed to share the cost savings from productivity improvements with employees. The underlying assumption of gainsharing is that employees and the employer have the same goals and thus should appropriately share in incremental economic gains.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: Copyright Cengage Learning. Powered by Cognero.

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88. In what way is a Scanlon plan different from other gainsharing plans? a. It provides non-monetary rewards based on cost savings. b. It begins with the measurement of team or group productivity. c. Employees receive the majority of the cost savings that the plan achieves. d. The reward is given to a specific group instead of the entire organization.

ANSWER: c RATIONALE: The Scanlon plan has the same basic strategy as gainsharing plans, in that teams or groups of employees are encouraged to suggest strategies for reducing costs. However, the distribution of these gains is usually tilted much more heavily toward employees, with employees usually receiving between two-thirds and three-fourths of the total cost savings that the plan achieves.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 89. For many executives, which type of incentive makes up the largest share of their salary mix? a. bonuses b. low- or no-interest loans c. stock options d. base salary ANSWER: c RATIONALE: A recent study by KPMG Peat Marwick indicates that for senior management whose salary exceeds $250,000, stock options represent the largest share of the salary mix (relative to salary and other incentives). Furthermore, when we consider all of top management (annual salary over $750,000), stock options comprise a full 60 percent of their total compensation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO10.6 - Describe the role of organizational reward systems in BJECTIVES: motivation.

ACCREDITIN Analytic G STANDARD S: TOPICS: Using Reward Systems to Motivate Performance KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 90. Which of the following is an intangible determinant of individual performance? a. motivation b. managemen t c. attribution d. personality ANSWER: a RATIONALE: Motivation is important because of its significance as a determinant of performance and because of its intangible character.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO10.1 - Discuss the nature of motivation, including its importance CTIVES: and historical perspectives.

ACCREDITING S Analytic TANDARDS: TOPICS: The Nature of Motivation KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED 4/7/2025 5:52 AM : 91. Assurance on which of the following can satisfy the security needs of an employee in the workplace? a. a comfortable work environment b. a positive self-image c. adequate wages d. job continuity ANSWER: d RATIONALE: Security needs can be satisfied in the workplace by assured job Copyright Cengage Learning. Powered by Cognero.

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continuity (no layoffs).

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO10.2 - Describe the major content perspectives on motivation.

ES: ACCREDITING STAND Analytic ARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 92. The needs for achievement, affiliation, and power are referred to as a specific category of motivational needs. What is this category called? a. security b. individual c. physiologica l d. esteem ANSWER: b RATIONALE: The three most important individual needs are achievement, affiliation, and power.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO10.2 - Describe the major content perspectives on ES: motivation.

ACCREDITING STAND Analytic ARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 93. According to Maslow, which needs does an individual prioritize first when seeking motivation? a. security b. selfactualization c. physiological d. esteem ANSWER: c RATIONALE: An individual is motivated first and foremost to satisfy physiological needs.

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DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES LO10.2 - Describe the major content perspectives on : motivation.

ACCREDITING STANDA Analytic RDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 94. According to the two-factor theory, which of the following is a hygiene factor that influences an employee's satisfaction or dissatisfaction? a. achievement b. recognition c. working conditions d. advancement and growth ANSWER: c RATIONALE: Work conditions are hygiene factors that influence an employee's satisfaction or dissatisfaction.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO10.2 - Describe the major content perspectives on motivation.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 95. You are a senior engineer who prefers a job that allows you to interact with people and build new friendships. What type of need are you demonstrating? a. achievement b. affiliation c. power d. esteem ANSWER: b RATIONALE: Your desire for interaction and friendly relationships shows your desire for affiliation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLES: False LEARNING OBJECTIV LO10.2 - Describe the major content perspectives on ES: motivation.

ACCREDITING STAND Analytic ARDS: TOPICS: Content Perspectives on Motivation KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 96. Which of the following focuses on how much people want something and how likely they think they are to get it? a. Maslow's hierarchy b. two-factor theory c. expectancy theory d. reinforcement theory ANSWER: c RATIONALE: Expectancy theory suggests that motivation depends on two things— how much we want something and how likely we think we are to get it.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO10.3 - Describe the major process perspectives on motivation.

JECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: 97. A basic assumption on which the expectancy theory is based is that: a. behavior is determined by a combination of forces in the individual and in the environment. b. people do not make decisions about their own behaviors in organizations. c. different people have the same type of needs, desires, and goals. d. people make choices based on the extent to which a given behavior will lead to undesired outcomes.

ANSWER: a RATIONALE: A basic assumption on which the expectancy theory is based is that it assumes that behavior is determined by a combination of forces in the individual and in the environment.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 98. A value associated with the outcomes of a performance is called its: a. behavior. b. valence. c. need. d. commitment .

ANSWER: b RATIONALE: Performance leads to various outcomes, each of which has an associated value, called its valence.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO10.3 - Describe the major process perspectives on motivation.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's; Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 99. What are the consequences of behaviors in an organizational setting, usually indicated through rewards? a. performance b. valences c. outcomes d. need deficiencies ANSWER: c RATIONALE: Outcomes are consequences of behaviors in an organizational setting, usually rewards.

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POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO10.3 - Describe the major process perspectives on motivation.

ES: ACCREDITING STAN Analytic DARDS: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's; Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 100. According to the expectancy theory, which of the following conditions must be met for motivated behavior to occur? a. Effort-to-performance expectancy must be greater than zero. b. Performance-to-outcome expectancy must be less than zero. c. The sum of the valences for an outcome must be less than zero. d. The individual must believe that effort and performance are unrelated.

ANSWER: a RATIONALE: For motivated behavior to occur, the effort-to-performance expectancy must be greater than zero.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO10.3 - Describe the major process perspectives on motivation.

VES: ACCREDITING STA Analytic NDARDS: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 101. What is the process of enabling workers to set their own work goals, make decisions, and solve problems within their sphere of responsibility and authority? a. participation b. empowermen t c. commitment d. reinforcement ANSWER: b RATIONALE: Empowerment is the process of enabling workers to set their own work goals, make decisions, and solve problems within their sphere of responsibility and authority.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.5 - Identify popular motivational strategies.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 102. What is the process of giving employees a voice in making decisions about their own work? a. participation b. flexibility c. commitment d. reinforcemen t ANSWER: a RATIONALE: Participation is the process of giving employees a voice in making decisions about their own work.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO10.5 - Identify popular motivational strategies.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 103. Working a full 40-hour week in fewer than the traditional five days is called: a. job sharing. b. flextime. c. a nine-eighty schedule. d. a compressed work schedule.

ANSWER: d RATIONALE: Working a full 40-hour week in fewer than the traditional five days is called a compressed work schedule.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO10.5 - Identify popular motivational strategies.

TIVES: ACCREDITING STA Analytic NDARDS: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 104. A disadvantage of using compressed work schedules is that: a. some individuals develop resentment as they feel constrained by their job schedules. b. it makes it difficult for employees to attend routine personal businesses. c. employees put too much effort in a single day, and they tend to perform at lower levels. d. employees have to work additional hours all five days of a week.

ANSWER: c RATIONALE: One problem with the compressed work schedule is that when employees put in too much time in a single day, they tend to get tired and perform at a lower level later in the day.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.5 - Identify popular motivational strategies.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Popular Motivational Strategies KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 105. Which of the following argues that behavior that results in rewarding consequences is likely to be repeated, whereas behavior that results in punishing consequences is less likely to be repeated? a. equity theory b. reinforcement theory c. two-factor theory d. Maslow’s hierarchy ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Reinforcement theory argues that behavior that results in rewarding consequences is likely to be repeated, whereas behavior that results in punishing consequences is less likely to be repeated.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's; Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 106. What is a counterproductive side effect of using punishment as a reinforcement method? a. commitmen t b. motivation c. resentment d. participatio n ANSWER: c RATIONALE: Resentment is a counterproductive side effect of using punishment as a reinforcement method.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO10.4 - Describe reinforcement perspectives on motivation.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 107. The OB Mod program starts by: a. specifying behaviors that are to be increased or decreased. b. identifying available rewards.

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c. tying target behaviors to specific kinds of reinforcement. d. establishing an interval schedule for reinforcement.

ANSWER: a RATIONALE: An OB Mod program starts by specifying behaviors that are to be increased (such as producing more units) or decreased (such as coming to work late). These target behaviors are then tied to specific forms or kinds of reinforcement.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 108. Discuss the basic assumptions of expectancy theory.

Expectancy theory rests on four basic assumptions. First, it assumes that ANSWER: behavior is determined by a combination of forces in the individual and in the environment. Second, it assumes that people make decisions about their own behavior in organizations. Third, it assumes that different people have different types of needs, desires, and goals. Fourth, it assumes that people make choices from among alternative plans of behavior, based on their perceptions of the extent to which a given behavior will lead to desired outcomes.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Process Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:52 AM ED: 109. Briefly describe the fundamental premise of reinforcement theory and the four methods for influencing behavior using reinforcement theory.

Reinforcement perspectives explain the role of rewards as they cause behavior ANSWER: to change or remain the same over time. Specifically, reinforcement theory argues that behavior that results in rewarding consequences is likely to be repeated, whereas behavior that results in punishing consequences is less likely to be repeated. Four basic kinds of reinforcement can result from behavior: positive reinforcement, avoidance, punishment, and extinction.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO10.4 - Describe reinforcement perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 110. Compare and contrast fixed-interval schedule and variable-interval schedule.

The fixed-interval schedule provides reinforcement at fixed intervals of time, ANSWER: regardless of behavior. A good example of this schedule is the weekly or monthly paycheck. This method provides the least incentive for good work because employees know they will be paid regularly regardless of their efforts.

A variable-interval schedule also uses time as the basis for reinforcement, but the time interval varies from one reinforcement to the next. This schedule is appropriate for praise or other rewards based on visits or inspections. When employees do not know when the boss is going to drop by, they tend to maintain a reasonably high level of effort all the time.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO10.3 - Describe the major process perspectives on motivation.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Reinforcement Perspectives on Motivation KEYWORDS: Bloom's: Ananlyze DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED:

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Chapter 11 - Managing Leadership and Influence Processes 1. Which of the following best defines leadership as a process? a. using authority and control to enforce rules and ensure compliance b. applying noncoercive influence to shape goals, motivate behavior, and define culture c. delegating tasks and responsibilities to improve efficiency and decision making d. establishing strict policies and procedures to maintain structure and order ANSWER: b RATIONALE: As a process, leadership can be defined as the use of noncoercive influence to shape the group’s or organization’s goals, motivate behavior toward the achievement of those goals, and help define group or organizational culture.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 2. Which statement best describes leadership as a property? a. Leadership is solely determined by a person’s formal position within an organization. b. Leadership is the ability to influence others’ behaviors without relying on force. c. Leadership requires the use of authority and power to control group actions. d. Leadership is only effective when individuals have extensive managerial experience.

ANSWER: b RATIONALE: As a property, leadership can be defined as the set of characteristics attributed to individuals who can influence the behaviors of others without having to rely on force.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: An Introduction to Management KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 3. Which of the following is an example of a good leader in the context of business? a. a person who relies on force to lead people b. a person who produces orderly change c. a person who keeps the organization aligned with its environment d. a person who can influence others ANSWER: d RATIONALE: Leaders are (1) people who can influence the behaviors of others without having to rely on coercion or (2) people whom others accept as leaders.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO11.1 - Describe the nature of leadership and how it relates to JECTIVES: management.

ACCREDITING Analytic STANDARDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFI 4/7/2025 5:52 AM ED: 4. You oversee managing a marketing team at your office. To be an effective leader, how should you approach influencing your team? a. conduct planning and budgeting b. motivate and inspire her staff c. establish structure for organizing and staffing d. produce a degree of predictability and order ANSWER: b RATIONALE: Effective leadership is about inspiring and guiding your team through influence rather than force. Leaders who motivate and engage their teams foster a more productive and positive work environment, leading to better overall outcomes.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 5. When leaders decide to either give salary increases to their employees or withhold any salary increases, which of the following types of power do they exercise? a. coercive b. reward c. informal d. expert ANSWER: b RATIONALE: Reward power is the power to give or withhold rewards. Rewards that a manager may control include salary increases, bonuses, promotion recommendations, praise, recognition, and interesting job assignments.

In general, the greater the number of rewards a manager controls and the more important the rewards are to subordinates, the greater is the manager’s reward power.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic Technology G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 6. Which type of power is involved in the use of punishment? a. legitimate b. reward Copyright Cengage Learning. Powered by Cognero.

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c. referent d. coercive ANSWER: RATIONALE:

d Coercive power is the power to force compliance by means of psychological, emotional, or physical threat.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO11.1 - Describe the nature of leadership and how it relates to TIVES: management.

ACCREDITING ST Analytic ANDARDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 7. You oversee maintaining all the computers in your organization. Additionally, whenever an employee has a problem with their computer, they call you. What type of power do you have in this organization? a. expert b. legitimate c. referent d. reward ANSWER: a RATIONALE: Expert power is derived from information or expertise. It is the personal power that accrues to someone based on the information or expertise they possess.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 8. Bullies in the workplace use sarcasm, humiliation, and fear to influence others. What type of power is this? a. expert Copyright Cengage Learning. Powered by Cognero.

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b. legitimate c. referent d. coercive ANSWER: RATIONALE:

d Coercive power is the power to force compliance by means of psychological, emotional, or physical threat.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO11.1 - Describe the nature of leadership and how it relates to TIVES: management.

ACCREDITING ST Analytic ANDARDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 9. What might a leader be responsible for when creating an agenda for the organization that a manager would not? a. planning and budgeting b. organizing and staffing c. establishing direction d. motivating ANSWER: c RATIONALE: The leadership role in creating an agenda is establishing direction by developing a vision of the future and strategies for producing the changes needed to achieve that vision.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED:

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10. The more a manager uses coercive power, the more likely he is to encourage: a. sympathy. b. goodwill. c. resentment . d. cordiality.

ANSWER: c RATIONALE: Coercive power is the power to force compliance by means of psychological, emotional, or physical threat. The more a manager uses coercive power, the more likely they are to provoke resentment and hostility and the less likely they are to be seen as a leader.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 11. When it comes to executing plans, what is the role of a manager? a. organizing and staffing b. controlling and problem solving c. motivating and inspiring d. establishing direction ANSWER: b RATIONALE: The leadership role in executing plans is motivating and inspiring, while the management role is controlling and problem solving.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO11.1 - Describe the nature of leadership and how it relates to ECTIVES: management.

ACCREDITING Analytic STANDARDS: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREATED 4/7/2025 5:52 AM : DATE MODIFIED 4/7/2025 5:52 AM : 12. When a leader has a high degree of charisma and loyalty, what type of power do they also possess? a. referent b. reward c. reward d. coerciv e ANSWER: a RATIONALE: Referent power is the personal power that accrues to someone based on identification, imitation, loyalty, or charisma.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO11.1 - Describe the nature of leadership and how it relates to CTIVES: management.

ACCREDITING S Reflective Thinking TANDARDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 13. When an organization promotes someone, it sends a signal to everyone that the person is competent. What type of power does this give the person? a. legitimate b. technologica l c. reward d. referent ANSWER: a RATIONALE: Legitimate power is power granted through the organizational hierarchy; it is the power defined by the organization to be accorded to people occupying a particular position.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 14. You are a news producer with the authority to choose which reporter will cover important news items and which will cover trivial ones. You use this authority to recognize the hard work of reporters. Which type of power are you using in this case? a. referent b. expert c. reward d. coerciv e ANSWER: c RATIONALE: In the given scenario, the producer is using reward power. Reward power is the power to give or withhold rewards. Rewards that a manager may control include salary increases, bonuses, promotion recommendations, praise, recognition, and interesting job assignments.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 15. You demonstrate high moral standards with every decision you make and inspire others to follow suit. Based on this, what type of power do you have? a. legitimate b. technologica l c. expert d. referent Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d You have referent power. Referent power is the personal power that accrues to someone based on identification, imitation, loyalty, or charisma.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO11.1 - Describe the nature of leadership and how it relates to JECTIVES: management.

ACCREDITING Analytic STANDARDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: 16. As a manager, you hold a lot of referent power. You need to tell your staff that you need as many of them as possible to work this coming weekend because a project is behind schedule, knowing some employees will be upset. What type of power can you use to encourage loyalty and teamwork from your staff? a. instrumental compliance b. coercion c. inspirational appeal d. rational persuasion ANSWER: c RATIONALE: Sometimes a manager can induce a subordinate to do something consistent with a set of higher ideals or values through inspirational appeal. Referent power plays a role in determining the extent to which an inspirational appeal is successful because its effectiveness depends at least in part on the persuasive abilities of the leader.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:52 AM ED: 17. During your performance appraisal, your manager suggested you consider a transfer to another department. You told your manager you enjoy your current job and the people you work with. Your manager explained that if you were to transfer, you would likely be considered for project management positions within a year, which would be a great benefit to your career. What did your manager use to help you see the benefits of this new position? a. inspirational appeal b. rational persuasion c. information distortion d. personal identification ANSWER: b RATIONALE: Rational persuasion occurs when the manager can convince the subordinate that compliance is in the subordinate’s best interests. In some ways, rational persuasion is like reward power, except that the manager does not directly control the reward.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 18. Although you could have refused the project, you agreed to work on it because you know that if you do well, your manager will consider you for a promotion. What type of power is your manager using? a. legitimate request b. instrumental compliance c. expert appeal d. inspirational appeal ANSWER: b RATIONALE: One use of power is instrumental compliance, which is based on the reinforcement theory of motivation. In this form of exchange, a subordinate complies to get a reward the manager controls.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 19. When developing a human network for achieving an agenda, which of the following would be done by a manager, regardless of leadership skills? a. build a coalition b. influence teams c. communicate the direction d. delegate responsibility ANSWER: d RATIONALE: Developing a human network is a management function of organizing and staffing. This requires establishing some structure for accomplishing plan requirements, staffing that structure with individuals, delegating responsibility and authority for carrying out the plan, providing policies and procedures to help guide people, and creating methods or systems to monitor implementation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED:

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20. What can leadership, in conjunction with management skills, do for an organization? a. Establish structure for accomplishing plans. b. Eliminate coercive behavior in the organization. c. Keep it aligned with its environment. d. Produce a degree of predictability with stakeholders.

ANSWER: c RATIONALE: Management in conjunction with leadership can produce orderly change, and leadership in conjunction with management can keep the organization properly aligned with its environment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 21. Why is management needed in organizations? a. to create change b. to keep aligned with the environment c. to achieve orderly results d. to develop a vision ANSWER: c RATIONALE: Organizations need both management and leadership if they are to be effective. Leadership is necessary to create change, and management is necessary to achieve orderly results. Management in conjunction with leadership can produce orderly change.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 22. The first organized approach to studying leadership focused on: a. leadership behavior. b. leadership traits. c. rewards expected. d. situational favorableness.

ANSWER: b RATIONALE: The first organized approach to studying leadership analyzed the personal, psychological, and physical traits of strong leaders.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO11.2 - Identify and describe the two generic approaches to ECTIVES: leadership.

ACCREDITING S Analytic TANDARDS: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:52 AM : DATE MODIFIED 4/7/2025 5:52 AM : 23. Which of the following approaches to identifying a leader is a person using if they vote for a politician based on communication skills, intelligence, appearance, and assertiveness? a. LPC theory b. Vroom's decision tree approach c. path–goal theory d. trait approach ANSWER: d RATIONALE: The first organized approach to studying leadership analyzed the personal, psychological, and physical traits of strong leaders. The trait approach assumed that some basic trait or set of traits existed that differentiated leaders from nonleaders.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 24. The behavior known as "job-centered leader behavior" in the Michigan studies is similar to the behavior referred to as what in the Ohio State studies? a. initiating-structure b. consideration c. concern for production d. concern for people ANSWER: a RATIONALE: The behavior that is called job-centered leader behavior in the Michigan studies is similar to the behavior called initiating-structure behavior in the Ohio State studies. Managers using job-centered leader behavior pay close attention to subordinates’ work, explain work procedures, and are keenly interested in performance. When using initiating-structure behavior, the leader clearly defines the leader–subordinate role so that everyone knows what is expected, establishes formal lines of communication, and determines how tasks will be performed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED:

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25. At Abbott, a shoe manufacturing company, you strive to keep your workers satisfied by allowing flexible time shifts and offering family-centered benefits. According to the Michigan studies, what type of behavior is your management demonstrating? a. initiating-structure b. consideration c. authoritative d. employee-centered leader ANSWER: d RATIONALE: According to the Michigan studies, managers using employee-centered leader behavior are interested in developing a cohesive work group and ensuring that employees are satisfied with their jobs. Their primary concern is the welfare of subordinates.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 26. In the Ohio State studies, employees of supervisors who ranked high on initiating structure: a. reflected low absence rates. b. were high performers. c. expressed high levels of satisfaction. d. had low productivity.

ANSWER: b RATIONALE: In the Ohio State studies, employees of supervisors who ranked high on initiating structure were high performers but expressed low levels of satisfaction and had a higher absence rate.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 27. At the opposite ends of the single continuum used by the Michigan studies are the leader's: a. initiating-structure behavior and consideration behavior. b. job-centered leader behavior and employee-centered leader behavior. c. concern for production and concern for people. d. task-oriented behavior and relationship-oriented behavior.

ANSWER: b RATIONALE: Researchers at the University of Michigan, led by Rensis Likert, began studying leadership in the late 1940s. Based on extensive interviews with both leaders (managers) and followers (subordinates), this research identified two basic forms of leader behavior: job centered and employee centered. These two styles of leader behavior were presumed to be at the ends of a single continuum.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 28. As the CEO at Green Inc., you have established that employees should adhere to a vertical communication process and a fixed workflow system, and you strictly monitor these processes. What type of leader behavior, suggested by the Ohio State studies, do your actions reflect? a. consideration b. initiating structure c. employeecentered d. job-centered ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

The extensive questionnaire surveys conducted during the Ohio State studies suggested that there are two basic leader behaviors or styles: initiating-structure behavior and consideration behavior. When using initiating-structure behavior, the leader clearly defines the leader– subordinate role so that everyone knows what is expected, establishes formal lines of communication, and determines how tasks will be performed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 29. In the context of the Ohio State studies of leadership, a leader showing consideration behavior: a. attempts to establish a warm, friendly, and supportive climate in the workplace. b. clearly defines the leader–subordinate role so that everyone knows what is expected of them. c. establishes formal lines of communication, and determines how tasks will be performed. d. is primarily interested in the performance of the employees.

ANSWER: a RATIONALE: The extensive questionnaire surveys conducted during the Ohio State studies of leadership behavior were focused on relationships with people and on work performance at the same time. Leaders using consideration behavior attempt to establish a warm, friendly, and supportive climate in the workplace.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 30. You are a manager who is extremely focused on getting the job done. You do not show much consideration for your staff and expect them to work late as needed to meet deadlines and achieve goals. According to the Leadership Grid, what type of management style does your approach reflect? a. authority– compliance b. country club c. impoverished d. middle-of-the-road ANSWER: a RATIONALE: In the Leadership Grid, a manager with a (authority–compliance) is highly concerned about production but exhibits little concern for people.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OB LO11.2 - Identify and describe the two generic approaches to JECTIVES: leadership.

ACCREDITING Analytic STANDARDS: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: 31. According to the Leadership Grid, a manager who exhibits impoverished management: a. has little concern for people or for work performance. b. is an effective leader with much concern for people. c. has a lot of concern for people and for work performance. d. has little concern for people, but a lot of concern for work performance.

ANSWER: a RATIONALE: In the Leadership Grid, the 1,1 manager is an impoverished manager who exhibits minimal concern for both production and people.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLE False S: LEARNING OBJ LO11.2 - Identify and describe the two generic approaches to ECTIVES: leadership.

ACCREDITING Reflective Thinking STANDARDS: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:52 AM : DATE MODIFIE 4/7/2025 5:52 AM D: 32. Which of the following is a generic approach to leadership that suggests there are two basic leader behaviors, the initiating-structure behavior and consideration behavior? a. the least-preferred coworker model b. the path–goal model c. Vroom's decision tree approach d. the Ohio State studies ANSWER: d RATIONALE: The Ohio State studies of leadership are a generic approach to leadership. The Ohio State studies also suggested that there are two basic leader behaviors or styles: initiating-structure behavior and consideration behavior.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 33. Why have traditional approaches to leadership theories generally failed? a. They assume relationships are unpredictable. b. Social systems and individuals are complex. c. They are based on a dependable prescription for leadership. d. Only task-oriented jobs are considered.

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ANSWER: RATIONALE:

b When we are dealing with complex social systems composed of complex individuals, few, if any, relationships are consistently predictable, and certainly no formulas for success are infallible.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 34. How can organizational leadership use the Leadership Grid when evaluating new managers? a. to understand what they do b. to identify predictable relationships for success c. to determine training needs d. to focus on what they do ANSWER: c RATIONALE: The Leadership Grid provides a means for evaluating leadership styles and then training managers to move toward an ideal style of behavior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO11.2 - Identify and describe the two generic approaches to JECTIVES: leadership.

ACCREDITING Analytic STANDARDS: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: Copyright Cengage Learning. Powered by Cognero.

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35. According to the Leadership Grid, which approach to leadership is thought to be the best idea because of the interdependence on a common stake in the organization? a. impoverished management b. team management c. authority-compliance d. middle-of-the -road management ANSWER: b RATIONALE: According to this approach, the ideal style of leadership behavior is 9,9 team management. Work accomplishment is from committed people; interdependence through a “common stake” in organization purpose leads to relationships of trust and respect.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 36. According to the Michigan studies, which trait does Likert find most consistent with employee-centered leader behavior? a. rigid b. flexible c. bureaucratic d. processdriven ANSWER: b RATIONALE: Job-centered leader behavior is consistent with the organizational design that is rigid and bureaucratic, whereas employee-centered leader behavior is consistent with the organizational design that is organic and flexible.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

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BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 37. As a manager, you have consistently demonstrated an appropriate amount of concern for both people and production.

On the Leadership Grid, how would your management style be classified? a. impoverished management b. country club management c. middle-of-the-road management d. team management ANSWER: c RATIONALE: Middle-of-the-road management maintains adequate concern for both people and production. Adequate organization performance is possible through balancing the necessity to get out work with maintaining morale of people at a satisfactory level.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 38. What is the basic assumption of situational approaches to leadership? a. Increasing worker job satisfaction through considerate leadership will get the best results. b. Initiating structure for employees so they know exactly what needs to be done will be most effective. c. The appropriate leader style will vary from one set of circumstances to another. d. All managers exhibits minimal concern for both production and people.

ANSWER: c Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Situational models assume that appropriate leader behavior varies from one situation to another. The goal of a situational theory, then, is to identify key situational factors and to specify how they interact to determine appropriate leader behavior.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 39. Which of the following is a situational leadership model that suggests that the primary function of a leader is to make desired rewards available, and to clarify how to earn those rewards? a. trait approach b. Michigan studies c. Ohio State studies d. path–goal theory ANSWER: d RATIONALE: The path–goal theory of leadership suggests that the primary functions of a leader are to make valued or desired rewards available in the workplace and to clarify for the subordinate the kinds of behavior that will lead to goal accomplishment and valued rewards—that is, the leader should clarify the paths to goal attainment. The path–goal theory of leadership suggests that the primary functions of a leader are to make valued or desired rewards available in the workplace and to clarify for the subordinate the kinds of behavior that will lead to goal accomplishment and valued rewards—that is, the leader should clarify the paths to goal attainment.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic Technology Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 40. Which leadership style identified by Fiedler is analogous to the employee-centered and initiating-structure behaviors of the Michigan and Ohio State studies? a. task oriented b. relationship oriented c. initiated-structures d. achievement oriented ANSWER: b RATIONALE: Fiedler identified two styles of leadership: task oriented (analogous to job-centered and initiating-structure behaviors) and relationship oriented (similar to employee-centered and consideration behaviors).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 41. According to Fiedler, a task is structured when it is: a. routine, difficult to understand, and unambiguous. b. routine, easy to understand, and ambiguous. c. irregular, difficult to understand, and ambiguous. d. routine, easy to understand, and unambiguous.

ANSWER: d RATIONALE: According to Fiedler, a task is structured when it is routine, easy to understand, and unambiguous.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO11.3 - Describe the major situational approaches to leadership.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 42. In Fiedler's model, the most favorable situations are those that have: a. poor leader–member relations, highly structured tasks, and strong leader position power. b. good leader–member relations, highly structured tasks, and strong leader position power. c. good leader–member relations, unstructured tasks, and weak leader position power. d. poor leader–member relations, unstructured tasks, and weak leader position power.

ANSWER: b RATIONALE: According to Fiedler, favorable situations are those that have good leader–member relations, highly structured tasks, and good leader position power.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO11.3 - Describe the major situational approaches to leadership.

JECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 43. You have been appointed leader of a project task force and have legitimate power in this position. The task is unstructured, and you have weak leader–member relations. According to Fiedler's LPC theory, what type of leadership style would be appropriate in this situation? a. task-oriented b. relationship-oriented c. participative d. transformational leadership Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

a Fiedler’s LPC theory of leadership suggests that appropriate leader behavior varies as a function of the favorableness of the situation.

Favorableness, in turn, is defined by task structure, leader–member relations, and the leader’s position power. According to the LPC theory, the most and least favorable situations call for task-oriented leadership.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 44. You are the chief nurse in a hospital and set challenging goals for your subordinates because you have confidence in your nurses. Based on the path–goal theory, what kind of leader behavior are you exhibiting? a. task-oriented b. employee-centered c. achievementoriented d. relationship-oriented ANSWER: c RATIONALE: In the given scenario, You exhibit achievement-oriented leader behavior.

Achievement-oriented leader behavior means setting challenging goals, expecting subordinates to perform at high levels, encouraging subordinates, and showing confidence in subordinates’ abilities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 45. You are a manager who consults with your subordinates and encourages their involvement in the decision-making process. Based on the path–goal theory, what kind of leader behavior are you exhibiting? a. job-oriented b. employee-centered c. achievementoriented d. participative ANSWER: d RATIONALE: Based on the path–goal theory, participative leader behavior includes consulting with subordinates, soliciting suggestions, and allowing participation in decision making.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 46. Which of the following leadership models is a direct extension of the expectancy theory of motivation? a. Vroom's decision tree approach b. Fiedler's contingency c. vertical-dyad linkage d. path–goal ANSWER: d RATIONALE: The path–goal theory of leadership—associated most closely with Martin Evans and Robert House—is a direct extension of the expectancy theory of motivation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 47. According to Vroom's decision tree approach to leadership, for a given problem statement, if the decision significance, importance of commitment, and leader expertise are all high, but the likelihood of commitment and group support are both low, the recommended decision-making process is: a. decide. b. consult (group). c. facilitate. d. delegate.

ANSWER: b RATIONALE: According to Vroom's decision tree, for a given problem statement, if the decision significance, importance of commitment, and leader expertise are all high, but the likelihood of commitment and group support are both low, the recommended decision-making process is consult (group).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 48. You are responsible for reviewing the benefits offered to all employees. You met with several employees individually to get their suggestions and, based on their ideas, developed a package you thought would be most appropriate. Which aspect of Vroom's decision tree decision-making style did you use? a. consult individually Copyright Cengage Learning. Powered by Cognero.

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b. facilitate c. delegate d. participate ANSWER: a RATIONALE: In the consult style involving individuals, a manager presents a program to group members individually, obtains their suggestions, and then makes a decision.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 49. The LPC theory classifies leaders into two types based on: a. whether they use reward power or legitimate power. b. whether they are task oriented or relationship oriented. c. whether they display ethical conduct or not. d. whether the manager has charismatic or coercive power.

ANSWER: b RATIONALE: Fiedler identified two styles of leadership: task oriented (analogous to job-centered and initiating-structure behavior) and relationship oriented (similar to employee-centered and consideration behavior).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:52 AM ED: 50. The leader–member exchange (LMX) model of leadership: a. stresses the importance of variable relationships between supervisors and each of their subordinates. b. suggests that managers can use four types of leader behavior to clarify subordinates’ paths to goal attainment. c. is recommended for situations when time is of the highest importance in making a decision. d. involves being approachable, showing concern for subordinate welfare, and treating members as equals.

ANSWER: a RATIONALE: The LMX model of leadership stresses the importance of variable relationships between supervisors and each of their subordinates. The model differs from earlier approaches in that it focuses on the differential relationship leaders often establish with different subordinates.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 51. What is the premise of Vroom's decision tree approach to leadership? a. The situation should be assessed in terms of how important it is. b. The approach should change depending on the situation. c. Managers should delegate whenever possible. d. Decisions should be made based on the relationship between the leader and the subordinate.

ANSWER: b RATIONALE: Vroom’s decision tree approach assumes that the degree to which subordinates should be encouraged to participate in decision making depends on the characteristics of the situation. In other words, no one decision-making process is best for all situations.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 52. When a person has an internal locus of control, which leadership style will likely be best for them? a. achievementoriented b. supportive c. directive d. participative ANSWER: d RATIONALE: A person with an internal locus of control may prefer participative leadership, whereas a person with an external locus of control may prefer directive leadership. Managers can do little or nothing to influence the personal characteristics of subordinates, but they can shape the environment to take advantage of these personal characteristics by, for example, providing rewards and structuring tasks.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 53. According to the path–goal theory of leadership, what is the primary function of a leader? a. to inspire workers by avoiding delegation Copyright Cengage Learning. Powered by Cognero.

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b. to avoid the use of directive leadership c. to avoid achievement-oriented leader behavior d. to clarify behaviors that lead to rewards ANSWER: d RATIONALE: The path–goal theory of leadership suggests that the primary functions of a leader are to make valued or desired rewards available in the workplace and to clarify for the subordinate the kinds of behavior that will lead to goal accomplishment and valued rewards—that is, the leader should clarify the paths to goal attainment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 54. You know what is expected of you at work, and you have procedures and precedents to rely on when you are uncertain. What do you experience a high degree of? a. favorableness b. mutual trust c. task structure d. position power ANSWER: c RATIONALE: Task structure is the degree to which the group’s task is well defined. The task is structured when it is routine, easily understood, and unambiguous and when the group has standard procedures and precedents to rely on.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 55. According to Tannenbaum and Schmidt's leadership continuum, what is a manager who uses the strongest level of boss-centered leadership likely to do? a. Seek suggestions and incorporate them in the decision. b. Present an idea and invite questions. c. Make a decision and announce it. d. Present a problem and make decisions.

ANSWER: c RATIONALE: The upper-end of the boss-centered leadership, which crosses into area of freedom for subordinates, includes the presentation of a problem, asking for suggestions, then making decisions. Managers who use the highest level of boss-centered leadership make a decision and announce it.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 56. Which of the following is a task characteristic that may neutralize or substitute for leadership? a. creation of an obligation b. conformity c. intrinsic satisfaction d. political behavior ANSWER: c RATIONALE: Task characteristics that may substitute for leadership include routineness, the availability of feedback, and intrinsic satisfaction.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO11.4 - Describe three related approaches to leadership.

ECTIVES: ACCREDITING Analytic Technology STANDARDS: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:52 AM : DATE MODIFIED 4/7/2025 5:52 AM : 57. Demonstrating personal excitement and enthusiasm about something is part of what type of leadership? a. charismatic b. entrepreneuria l c. symbolic d. integrative ANSWER: a RATIONALE: Charismatic leaders must be able to energize others through a demonstration of personal excitement, among other qualities.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO11.4 - Describe three related approaches to leadership.

ECTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED 4/7/2025 5:52 AM : 58. Recently identified keys to successful leadership, such as trusting one’s subordinates, developing a vision, and simplifying things, are consistent with the premises underlying what type of leadership? a. contingency b. transformationa l c. charismatic d. directed Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b A widely circulated article in the popular press identified seven keys to successful leadership: trusting one’s subordinates, developing a vision, keeping cool, encouraging risk, being an expert, inviting dissent, and simplifying things. Although this list was the result of a simplistic survey of the leadership literature, it is nevertheless consistent with the premises underlying transformational leadership.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.4 - Describe three related approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 59. You are the manager at a publishing house, heading the editorial team. Pallavi, one of your subordinates, belongs to your in-group. Why is this information significant for the proceedings of your leadership? a. Vroom's decision tree approach b. path–goal theory c. the leader–member exchange model d. the least-preferred coworker theory ANSWER: c RATIONALE: The LMX model of leadership, conceived by George Graen and Fred Dansereau, stresses the importance of variable relationships between supervisors and each of their subordinates. Thus, the information given in the scenario will be most significant for the proceedings of the LMX model of leadership.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 60. Which style of leadership goes beyond ordinary expectations by transmitting a sense of mission, stimulating learning experiences, and inspiring new ways of thinking? a. directive b. participative c. transformationa l d. supportive ANSWER: c RATIONALE: Transformational leadership is the style of leadership that goes beyond ordinary expectations by transmitting a sense of mission, stimulating learning experiences, and inspiring new ways of thinking.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.4 - Describe three related approaches to leadership.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 61. How can transformational leadership be defined? a. as understanding the complexities of the organization and environment b. going beyond ordinary expectations c. as one that models consistent behavior d. as having a great deal of interpersonal attraction ANSWER: b RATIONALE: We use the term transformational leadership and define it as leadership that goes beyond ordinary expectations by transmitting a sense of mission, stimulating learning experiences, and inspiring new ways of thinking.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.4 - Describe three related approaches to leadership.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 62. Why is transformational leadership becoming more vital to the success of a business? a. increased need for charisma in the workplace b. higher levels of cohesion and inflexibility of expectations c. rapid change and turbulent environments d. increased independence of remote workers ANSWER: c RATIONALE: Because of rapid change and turbulent environments, transformational leaders are increasingly being seen as vital to the success of business.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO11.4 - Describe three related approaches to leadership.

JECTIVES: ACCREDITING Reflective Thinking STANDARDS: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: 63. You have found that organizational rewards do not inspire you, and you would rather do freelance work because of the independence it offers. For you, what does independence act as? a. leadership substitute b. charisma c. leadership neutralizer d. organizational characteristics Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

c Characteristics of the subordinate that may serve to neutralize leader behavior include ability, experience, need for independence, professional orientation, and indifference toward organizational rewards.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.4 - Describe three related approaches to leadership.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 64. When considering the three elements of charismatic leaders, how would a leader energize others? a. by providing meaningful rewards b. by envisioning the future c. by empathizing with them d. by demonstrating personal confidence ANSWER: d RATIONALE: The charismatic leader energizes others through a demonstration of personal excitement, personal confidence, and patterns of success.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO11.4 - Describe three related approaches to leadership.

ECTIVES: ACCREDITING Reflective Thinking STANDARDS: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: Copyright Cengage Learning. Powered by Cognero.

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65. The concept of substitutes for leadership suggests that a need for independence is which type of characteristic that might neutralize leader behavior? a. task b. subordinat e c. leader d. team ANSWER: b RATIONALE: Characteristics of the subordinate that may serve to neutralize leader behavior include ability, experience, need for independence, professional orientation, and indifference toward organizational rewards.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.4 - Describe three related approaches to leadership.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 66. Which of the following is a defining characteristic of strategic leaders? a. They possess interpersonal attraction that inspires support and acceptance. b. They understand the organization and recognize the importance of the environment. c. They transmit a sense of mission, stimulate learning experiences, and inspire new ways of thinking. d. They understand international differences and diversity-based differences within one culture.

ANSWER: b RATIONALE: Strategic leaders understand the complexities of both the organization and its environment. They lead change in the organization to achieve and maintain a superior alignment between the organization and its environment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 67. Why has the importance of cross-cultural leadership increased in today's times? a. because of improving profit margins b. because of the increasing diversity in workplaces c. because of increasing unethical practices d. because of increasing environmental concerns ANSWER: b RATIONALE: Cross-cultural factors play a growing role in organizations as their workforces become more and more diverse. As more companies become multinational corporations, the need for cross-cultural leadership has increased.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 68. Which of the following is a prerequisite for effective leadership? a. low tolerance toward diversity b. belief in the dictatorship style of leadership c. high levels of coercive powers d. high standards of ethical conduct ANSWER: d RATIONALE: Most people have long assumed that top managers are ethical people.

But in the wake of recent corporate scandals, faith in top managers has been shaken. Perhaps now more than ever, high standards of ethical Copyright Cengage Learning. Powered by Cognero.

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conduct are being held up as a prerequisite for effective leadership.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 69. The emerging pressures for stronger corporate governance models are likely to mean that leaders will: a. be expected to have cross-cultural experience. b. need to have charisma. c. be held more accountable for the consequences of their actions. d. have to consider environmental trends and issues.

ANSWER: c RATIONALE: The emerging pressures for stronger corporate governance models are likely to mean that leaders will be held more accountable for the consequences of their actions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED:

Copyright Cengage Learning. Powered by Cognero.

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70. People in Japan generally hold the view that the group is more important that any individual in it. This is known as: a. groupthink. b. diversity. c. individualism . d. collectivism.

ANSWER: d RATIONALE: Collectivism is the view that the group is more important than any individual within the group. Individualism is the belief that individuals are more important than the group.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 71. In addition to a thorough understanding of the organization itself, what organizational knowledge do strategic managers need to be effective? a. significant trends b. issues on the horizon c. its future d. its culture ANSWER: d RATIONALE: A strategic manager needs to have a thorough and complete understanding of the organization—its history, its culture, its strengths, and its weaknesses.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 72. You were recently hired as the president and CEO of a solar battery technology company, following a scandal that toppled the former management team. An external audit revealed that the previous leaders had misappropriated grant money from the U.S. government. You have been hired to restore the government's faith in the company and to establish a culture of moral integrity within the firm. What leadership skills will be important for you in this position? a. charismatic b. crosscultural c. ethical d. strategic ANSWER: c RATIONALE: You were hired for ethical leadership skills. The rising need for leaders who can demonstrate accountability and ethical standards is a sign of the elevated social scrutiny and the importance of these skills in today's society.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 73. Which of the following is true of strategic leadership? a. It explicitly relates leadership to the role of lower-level management. b. It leads change to achieve a superior alignment between a firm and the environment. c. It is limited to understanding complexities within the organization. d. It is defined as the ability to inspire support and acceptance through charisma.

ANSWER: b RATIONALE: Strategic leadership is defined as the capability to understand the Copyright Cengage Learning. Powered by Cognero.

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complexities of both an organization and its environment and to lead change in the organization to achieve and maintain a superior alignment between the organization and its environment.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 74. The emerging pressures for stronger corporate governance models are likely to increase commitment to select individuals with: a. high tolerance toward ethnocentrism. b. high ethical standards. c. visionary leadership. d. impression management skills.

ANSWER: b RATIONALE: The emerging pressures for stronger corporate governance models are likely to increase commitment to select individuals with high ethical standards.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: Copyright Cengage Learning. Powered by Cognero.

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75. You tell a coworker that you will not recommend them for a promotion unless they support your proposal in an upcoming sales meeting. What type of political behavior is reflected in this scenario? a. creation of an obligation b. coercion c. initiating structure d. persuasion ANSWER: b RATIONALE: Coercion is the use of force to get one’s way. Some managers occasionally go so far as to use verbal abuse, humiliation, and psychological coercion in an attempt to manipulate subordinates.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 76. You are a manager who discusses and reasons with the board of directors of your company until they agree to let you try your new strategic plan for a trial period. What are you using in this situation? a. an obligation b. persuasion c. coercion d. inducement ANSWER: b RATIONALE: Persuasion is a political behavior which relies on both emotion and logic.

It influences a person's beliefs, attitudes, intentions, motivations, or behaviors.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 77. After oil prices hit record highs and the oil companies made record profits, some of the oil company's CEOs appeared on television to explain their business to consumers. This is an example of: a. creation of an obligation. b. impression management. c. initiating structure. d. persuasion.

ANSWER: b RATIONALE: Impression management is a direct and intentional effort by someone to enhance their image in the eyes of others.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO11.6 - Describe political behavior in organizations and how it can CTIVES: be managed.

ACCREDITING ST Analytic ANDARDS: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 78. You are an employee at Y Inc. and attempt to bring all your contributions to successful projects to the attention of your manager. Your intention is to build a good image in the eyes of the management. What is best exemplified by your behavior? a. creation of an obligation b. impression management c. coercion d. persuasion ANSWER: b RATIONALE: Impression management is a direct and intentional effort by someone to enhance their image in the eyes of others.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJE LO11.6 - Describe political behavior in organizations and how it can CTIVES: be managed.

ACCREDITING ST Reflective Thinking ANDARDS: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 79. Which of the following is the most probable motive for a manager to engage in political behavior? a. to avoid covert activities b. to acquire power c. to promote clear communication d. to promote transparency ANSWER: b RATIONALE: Political behavior describes activities carried out for the specific purpose of acquiring, developing, and using power and other resources to obtain one’s preferred outcomes.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 80. How can political behavior play a useful role? a. It keeps disagreements from surfacing. b. It can be used to increase social responsibility. c. It can speed up decision making. d. It can be used to encourage covert activities.

ANSWER: b RATIONALE: Political behavior may play a useful role in some situations. For example, a manager may be able to use their political influence to stimulate a greater sense of social responsibility or to heighten awareness of the ethical implications of a decision. By providing subordinates with autonomy, responsibility, challenge, and feedback, managers reduce the Copyright Cengage Learning. Powered by Cognero.

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likelihood of political behavior by subordinates.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 81. Which of the following statements is true of political behavior? a. Political behavior is always a manifestation of good intent. b. Managers should use power if they want to avoid charges of political motivation. c. Even if a manager's actions are not politically motivated, others may assume that they are. d. By providing subordinates with autonomy, managers are likely to promote political behavior.

ANSWER: c RATIONALE: By its very nature, political behavior is tricky to approach in a rational and systematic way. But managers can handle political behavior so that it does not do excessive damage. First, managers should be aware that, even if their actions are not politically motivated, others may assume that they are.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: Copyright Cengage Learning. Powered by Cognero.

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82. How can managers reduce the likelihood of political behavior by subordinates? a. by providing subordinates with responsibility b. by using inducements c. by decreasing diversity d. by enhancing their own images ANSWER: a RATIONALE: By providing subordinates with autonomy, responsibility, challenge, and feedback, managers reduce the likelihood of political behavior by subordinates.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 83. For which reason might employees engage in political behaviors? a. to protect themselves from others b. to dimmish the power of others c. to advance the goals of others d. to influence salary and hiring decisions ANSWER: a RATIONALE: In any situation, individuals may engage in political behavior to further their own ends, to protect themselves from others, to further goals they sincerely believe to be in the organization’s best interests, or simply to acquire and exercise power. And power may be sought by individuals, by groups of individuals, or by groups of groups.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 84. According to a survey, who is most likely to engage in political behaviors? a. women b. upper levels of management c. minorities d. entry-level professionals ANSWER: b RATIONALE: Many believed that the incidence of political behavior was greater at the upper levels of their organization and lesser at the lower levels. More than half of the respondents felt that organizational politics was bad, unfair, unhealthy, and irrational, but most suggested that successful executives have to be good politicians and be political to get ahead.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 85. During the interview process, you told a highly qualified candidate that if they accepted the position, the company would cover the cost of relocation and provide an additional bonus. What did you use to encourage the candidate to accept the position? a. inducemen t b. persuasion c. obligation d. coercion ANSWER: a RATIONALE: Your promise demonstrates inducement. Inducement involves Copyright Cengage Learning. Powered by Cognero.

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providing something of value in exchange for support.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO11.6 - Describe political behavior in organizations and how it can CTIVES: be managed.

ACCREDITING ST Analytic ANDARDS: KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 86. You wear business clothes to work every day, even though it is not required. You also asked to be placed on highprofile projects so that you can be linked to successful work. What are you using in this situation? a. strategic leadership b. impression management c. political behavior d. ethnocentrism ANSWER: b RATIONALE: A person motivated by impression management will pay close attention to the choice of attire, selection of language, and use of manners and body posture. People interested in impression management are also likely to try to associate themselves only with successful projects. By being assigned to high-profile projects led by highly successful managers, a person can begin to link their own name with such projects in the minds of others.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 87. According to the Leadership Grid, the manager who maintains adequate concern for both people and production reflects what type of management? a. authority– Copyright Cengage Learning. Powered by Cognero.

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compliance b. country club c. impoverished d. middle-of-the-road ANSWER: d RATIONALE: On the Leadership Grid, a manager (middle-of-the-road management) maintains adequate concern for both people and production.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO11.2 - Identify and describe the two generic approaches to ECTIVES: leadership.

ACCREDITING Analytic STANDARDS: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:52 AM : DATE MODIFIE 4/7/2025 5:52 AM D: 88. Which of the following is the part of the Leadership Grid that deals with the job and task aspects of leader behavior? a. employee-centered leader behavior b. concern for production c. task-oriented leadership behavior d. concern for people ANSWER: b RATIONALE: Concern for production is the part of the Leadership Grid that deals with the job and task aspects of leader behavior.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO11.2 - Identify and describe the two generic approaches to CTIVES: leadership.

ACCREDITING ST Analytic ANDARDS: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM Copyright Cengage Learning. Powered by Cognero.

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89. Based on the Michigan studies, Rensis Likert argued that which type of behavior generally tends to be more effective? a. initiating structure b. job-centered leader c. employee-centered leader d. considerate ANSWER: c RATIONALE: Based on the Michigan studies, Rensis Likert argued that employeecentered leader behavior generally tends to be more effective.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO11.2 - Identify and describe the two generic approaches to ECTIVES: leadership.

ACCREDITING Analytic STANDARDS: TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:52 AM : DATE MODIFIE 4/7/2025 5:52 AM D: 90. According to the Michigan studies, what type of behavior do managers use when they are interested in developing a cohesive work group and ensuring that employees are satisfied with their jobs? a. consideration b. initiating structure c. job-centered leader d. employee-centered leader ANSWER: d RATIONALE: According to the Michigan studies, managers using employee-centered leader behavior are interested in developing a cohesive work group and ensuring that employees are satisfied with their jobs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.2 - Identify and describe the two generic approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Generic Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 91. When followers react favorably because they identify in some way with a leader, what type of power is the leader said to possess? a. reward b. expert c. referent d. coerciv e ANSWER: c RATIONALE: Referent power is the personal power that accrues to someone based on identification, imitation, loyalty, or charisma.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO11.1 - Describe the nature of leadership and how it relates to CTIVES: management.

ACCREDITING S Analytic TANDARDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 92. Verbal reprimands, written reprimands, disciplinary layoffs, fines, demotion, and termination are examples of what type of power possessed by managers? a. coercive b. reward c. legitimate d. expert ANSWER: a RATIONALE: Coercive power is the power to force compliance by means of psychological, emotional, or physical threat.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO11.1 - Describe the nature of leadership and how it relates to TIVES: management.

ACCREDITING ST Analytic Technology Copyright Cengage Learning. Powered by Cognero.

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ANDARDS: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

The Nature of Leadership Bloom's: Understand 4/7/2025 5:52 AM 4/7/2025 5:52 AM

93. An individual who is motivating and inspiring people to energize them to overcome barriers by satisfying basic human needs is fulfilling what role and activity? a. management role in developing a human network b. leadership role in developing a human network c. management role in executing plans d. leadership role in executing plans ANSWER: d RATIONALE: The leadership role in executing plans involves motivating and inspiring; that is, energizing people to overcome major political, bureaucratic, and resource barriers by satisfying very basic, but often unfulfilled, human needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 94. Which type of power is primarily based on identification, imitation, loyalty, or charisma? a. referent b. legitimate c. coercive d. reward ANSWER: a RATIONALE: Referent power is based on identification, imitation, loyalty, or charisma.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJECTIVE LO11.1 - Describe the nature of leadership and how it relates S: to management.

ACCREDITING STANDA Analytic RDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 95. Which of the following is a form of informal reward that a manager may give when exercising leadership? a. raise b. praise c. promotion d. bonus ANSWER: b RATIONALE: If the subordinate also wants and appreciates the manager’s informal rewards, such as praise, gratitude, and recognition, then the manager may also be exercising leadership.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 96. A manager can assign tasks to a subordinate, and a subordinate who refuses to do them can be reprimanded or even fired. What type of power is this an example of? a. legitimate b. informal c. referent d. expert ANSWER: a RATIONALE: Legitimate power is power granted through the organizational hierarchy; it is the power defined by the organization to be accorded to people occupying a particular position.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.1 - Describe the nature of leadership and how it relates to BJECTIVES: management.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 97. Which type of power is power granted through the organizational hierarchy? a. legitimate b. referent c. coercive d. reward ANSWER: a RATIONALE: Legitimate power is power granted through the organizational hierarchy.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO11.1 - Describe the nature of leadership and how it relates S: to management.

ACCREDITING STANDA Analytic RDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 98. Which of the following is the ability to affect the behavior of others? a. power b. disciplin e c. function d. potential ANSWER: a RATIONALE: Power is the ability to affect the behavior of others.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO11.1 - Describe the nature of leadership and how it relates S: to management.

ACCREDITING STANDA Analytic RDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 99. Management is necessary to achieve orderly results, while what is necessary to create change? a. dominion b. leadership c. legitimacy d. administratio n ANSWER: b RATIONALE: Leadership is necessary to create change, while management is necessary to achieve orderly results.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO11.1 - Describe the nature of leadership and how it relates to TIVES: management.

ACCREDITING STA Analytic Technology NDARDS: TOPICS: The Nature of Leadership KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 100. What describes the activities carried out for the specific purpose of acquiring, developing, and using power and other resources to obtain one’s preferred outcomes? a. group cognition b. workplace diversity c. organizational culture d. political behavior ANSWER: d RATIONALE: Political behavior describes activities carried out for the specific purpose of acquiring, developing, and using power and other resources to obtain one’s preferred outcomes.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 101. In the context of the charismatic leadership theory proposed by Robert House, charismatic leaders are likely to: a. rate low on self-confidence b. avoid influencing people c. have a firm conviction in their beliefs d. have an external locus of control ANSWER: c RATIONALE: Robert House first proposed a theory of charismatic leadership, based on research findings from a variety of social science disciplines. His theory suggests that charismatic leaders are likely to have a lot of selfconfidence, a firm conviction in their beliefs and ideals, and a strong need to influence people.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.4 - Describe three related approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 102. In the context of Vroom's decision tree approach, when managers present a problem to their group at a meeting, get their suggestions, and then make the decision, what decision-making style are they following? a. delegate b. consult group c. facilitate Copyright Cengage Learning. Powered by Cognero.

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d. consult individually ANSWER: b RATIONALE: In the context of the Vroom's decision tree approach, when managers present a problem to their group at a meeting, get their suggestions, and then make the decision, they follow the consult group decision-making style.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 103. In the context of Vroom's decision tree approach, when a manager allows their group to define for itself the exact nature and parameters of a problem and then to develop a solution, what decision-making style are they following? a. facilitate b. consult individually c. decide d. delegate ANSWER: d RATIONALE: In the context of Vroom's decision tree approach, when a manager allows a group to define for itself the exact nature and parameters of a problem and then to develop a solution, they follow the delegate decision-making style.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 104. According to the path–goal theory, a person with an internal locus of control is most likely to prefer what type of leadership? a. task-oriented b. participative c. directive d. supportive ANSWER: b RATIONALE: According to the path–goal theory, a person with an internal locus of control prefers participative leadership.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO11.3 - Describe the major situational approaches to leadership.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 105. According to the path–goal theory, if people perceive that they are lacking in abilities, what type of leadership are they most likely to prefer to help them understand path–goal relationships better? a. supportive leadership b. directive leadership c. participative leadership d. achievement-oriented leadership ANSWER: b RATIONALE: According to the path–goal theory, if people perceive that they are lacking in abilities, they prefer directive leadership to help them understand path–goal relationships better.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic Technology Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 106. Which type of leader behavior, identified by the path–goal theory, primarily involves being friendly and approachable, showing concern for subordinate welfare, and treating members as equals? a. directive b. task-oriented c. supportive d. participative ANSWER: c RATIONALE: Supportive leader behavior, identified by the path–goal theory, primarily involves being friendly and approachable, showing concern for subordinate welfare, and treating members as equals.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 107. A supervisor exhibiting what type of leader behavior, identified by the path–goal theory, is most likely to let subordinates know what is expected of them, give guidance and direction, and schedule work? a. participative b. supportive c. directive d. achievementoriented ANSWER: c RATIONALE: Directive leader behavior, identified by the path–goal theory, lets subordinates know what is expected of them, gives guidance and direction, and schedules work.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 108. Which type of leader behavior, identified by the path–goal theory, primarily involves setting challenging goals, expecting subordinates to perform at high levels, encouraging subordinates, and showing confidence in subordinates’ abilities? a. relationship-oriented b. achievementoriented c. directive d. participative ANSWER: b RATIONALE: Achievement-oriented leader behavior, identified by the path–goal theory, primarily involves setting challenging goals, expecting subordinates to perform at high levels, encouraging subordinates, and showing confidence in subordinates’ abilities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic Technology G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: Copyright Cengage Learning. Powered by Cognero.

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109. A theory of leadership which suggests that the appropriate style of leadership varies with situational favorableness is: a. the leader–member exchange theory. b. the least-preferred coworker theory. c. the trait approach. d. the Managerial Grid approach.

ANSWER: b RATIONALE: A theory of leadership that suggests that the appropriate style of leadership varies with situational favorableness is the LPC theory.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO11.3 - Describe the major situational approaches to leadership.

ECTIVES: ACCREDITING Analytic Technology STANDARDS: TOPICS: Related Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:52 AM : DATE MODIFIE 4/7/2025 5:52 AM D: 110. If subordinates perceive themselves to have a lot of abilities, they are most likely to: a. resent managers who delegate work. b. support a controlling leader. c. resent directive leadership. d. resent participative leadership.

ANSWER: c RATIONALE: Important personal characteristics include the subordinates’ perception of their own abilities and their locus of control. If people perceive that they are lacking in abilities, they may prefer directive leadership to help them understand path–goal relationships better. If they perceive themselves to have a lot of abilities, employees may resent directive leadership.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 111. Briefly describe the leader–member exchange approach.

Leadership being such an important area, managers and researchers continue to ANSWER: study it. As a result, new ideas, theories, and perspectives are continuously being developed. The leader–member exchange (LMX) approach, conceived by George Graen and Fred Dansereau, stresses the importance of variable relationships between supervisors and each of their subordinates. Each superior– subordinate pair is referred to as a vertical dyad. The model differs from earlier approaches in that it focuses on the differential relationship that leaders often establish with different subordinates.

The model suggests that supervisors establish a special relationship with a small number of trusted subordinates, referred to as the in-group. The in-group usually receives special duties requiring responsibility and autonomy; they may also receive special privileges. Subordinates who are not a part of this group are called the out-group, and they receive less of the supervisor’s time and attention.

Early in their interaction with a given subordinate, the supervisor initiates either an in-group or an out-group relationship. It is not clear how a leader selects members of the in-group, but the decision may be based on personal compatibility and subordinates’ competence. Research has confirmed the existence of in-groups and out-groups. In addition, studies generally have found that in-group members have a higher level of performance and satisfaction than do out-group members.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO11.3 - Describe the major situational approaches to leadership.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Situational Approaches to Leadership KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 112. What is the significance of strategic, cross-cultural, and ethical leadership in contemporary business?

Strategic leadership: ANSWER: Strategic leadership is a new concept that explicitly relates leadership to the role Copyright Cengage Learning. Powered by Cognero.

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of top management. It is the capability to understand the complexities of both the organization and its environment and to lead change in the organization to achieve and maintain a superior alignment between the organization and its environment.

Cross-cultural leadership: Another new approach to leadership is based on cross-cultural issues. In this context, culture is used as a broad concept to encompass both international differences and diversity-based differences within one culture. Cross-cultural factors play a growing role in organizations as their workforces become more and more diverse.

Ethical leadership: Top managers are being called on to maintain high ethical standards for their own conduct, to exhibit ethical behavior unfailingly, and to hold others in their organization to the same standards. The behaviors of top leaders are being scrutinized more than ever, and those responsible for hiring new leaders for a business are looking more and more closely at the background of those being considered. And the emerging pressures for stronger corporate governance models are likely to further increase commitment to selecting only those individuals with high ethical standards and to holding them more accountable than in the past for both their actions and the consequences of those actions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO11.5 - Identify and describe three emerging approaches to leadership.

BJECTIVES: ACCREDITIN Ethics G STANDARD S: TOPICS: Emerging Approaches to Leadership KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 113. Since it is impossible to eliminate political behavior in organizations, people must manage it as best they can.

Describe four methods for managing political behavior.

By its very nature, political behavior is tricky to approach in a rational and ANSWER: systematic way. But managers can handle political behavior so that it does not do excessive damage. First, managers should be aware that, even if their actions are not politically motivated, others may assume that they are. Second, by providing subordinates with autonomy, responsibility, challenge, and feedback, managers reduce the likelihood of political behavior by subordinates. Third, managers should avoid using power if they want to avoid charges of political motivation. Fourth, managers should get disagreements out in the open so that Copyright Cengage Learning. Powered by Cognero.

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subordinates will have less opportunity for political behavior through using conflict for their own purposes. Finally, managers should avoid covert activities.

Behind-the-scenes activities give the impression of political intent, even if none really exists. Other guidelines include clearly communicating the bases and processes for performance evaluation, tying rewards directly to performance, and minimizing competition among managers for resources.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO11.6 - Describe political behavior in organizations and how it can be BJECTIVES: managed.

ACCREDITIN Analytic G STANDARD S: TOPICS: Political Behavior in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED:

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Chapter 12 - Managing Interpersonal Relations and Communication 1. Your friend spends most of the day responding to email, in conferences, and meeting with clients. Which managerial skills does your friend spend most of their time on? a. interpersonal relations b. social support c. teamwork d. nonverbal communications ANSWER: a RATIONALE: Interpersonal relations, communication, and group processes are a pervasive part of all organizations and a vital part of all managerial activities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO12.1 - Describe the interpersonal nature of organizations.

JECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: The Interpersonal Nature of Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:52 AM D: DATE MODIFIE 4/7/2025 5:52 AM D: 2. You and a colleague have worked together on several projects and have enjoyed the collaboration. Occasionally, you both get together with your spouses to socialize on weekends. What does this relationship describe? a. positive interpersonal dynamics b. goal accomplishment c. task-directed behavior d. common ground ANSWER: a RATIONALE: The nature of interpersonal relations in an organization is as varied as the individual members themselves. At one extreme, interpersonal relation can be personal and positive. This occurs when the parties know each other, have mutual respect and affection, and enjoy interacting.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.1 - Describe the interpersonal nature of organizations.

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BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: The Interpersonal Nature of Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 3. You and a colleague work well together and have a great deal of respect for each other's work, but you find that you have little to talk about beyond the tasks at hand. How can you help your work relationship evolve into a more positive interaction? a. They can accept that they have negative interpersonal dynamics. b. They should look for common ground. c. They should only work together on issues where they agree. d. They can each do the work where their strengths lie.

ANSWER: b RATIONALE: Two managers may respect each other’s work and recognize the professional competence that each brings to the job. However, they may also have few common interests and little to talk about besides the job they are doing. These interactions can change over time. They could find more common ground than they anticipated and evolve to a personal and positive interaction.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.1 - Describe the interpersonal nature of organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: The Interpersonal Nature of Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 4. Why are positive interpersonal relations in an organization important? a. They are a source of satisfaction for many people. b. They eliminate the need for social support within the organization. c. They eliminate poor-quality working relationships in others. d. They allow more accurate information to flow through the organization.

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ANSWER: RATIONALE:

a Interpersonal relations in organizations can be a primary source of need satisfaction for many people. For a person with a strong need for affiliation, high-quality interpersonal relations can be an important positive element in the workplace. However, when this same person is confronted with poor-quality working relationships, the effect can be just as strong but in the other direction.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.1 - Describe the interpersonal nature of organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: The Interpersonal Nature of Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 5. Interpersonal relations in an organization can act as a primary source of: a. ethical norms. b. group strengths. c. individual need fulfillment. d. need satisfaction.

ANSWER: d RATIONALE: Many perspectives on motivation suggest that people have social needs.

Interpersonal relations in organizations can be a primary source of need satisfaction for many people.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.1 - Describe the interpersonal nature of organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: The Interpersonal Nature of Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:52 AM ED: 6. People who support one another and who work well together can accomplish much more than people who do not support one another and who do not work well together. What is this an example of? a. communication b. social support c. synergy d. motivation ANSWER: c RATIONALE: Good interpersonal relations throughout an organization can be a source of synergy. People who support one another and who work well together can accomplish much more than people who do not support one another and who do not work well together.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.1 - Describe the interpersonal nature of organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: The Interpersonal Nature of Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 7. Which of the following have managers around the world agreed on as one of their most important tasks? a. long-term planning b. understanding the environment c. organizational effectiveness d. communication ANSWER: d RATIONALE: Managers around the world agree that communication is one of their most important tasks. It is important for them to communicate with others in order to convey their vision and goals for the organization and to clearly direct those that report to them on the day-to-day challenges that they face.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO12.1 - Describe the interpersonal nature of organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: The Interpersonal Nature of Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 8. Which of the following is an integral characteristic of effective communication? a. the oral mode of transmission used by the speaker b. the overload of information provided to the listener by the speaker c. the message received by the listener is close to the meaning intended by the speaker d. the advanced information technology used by the speaker to communicate ANSWER: c RATIONALE: Communication is the process of transmitting information from one person to another. Effective communication, then, is the process of sending a message in such a way that the message received is as close in meaning as possible to the message intended.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 9. The communication process begins when a sender wants to transmit a fact, idea, opinion, or other information to a receiver. What occurs next? a. The message is decoded into a form that has meaning for the receiver. b. The sender ensures the message is received. c. The message is transmitted through an appropriate channel or medium. d. The sender encodes the meaning into a form appropriate to the Copyright Cengage Learning. Powered by Cognero.

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situation.

ANSWER: d RATIONALE: The process of communication begins when one person wants to transmit a fact, idea, opinion, or other information to someone else. The next step is to encode the meaning into a form appropriate to the situation.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 10. You have an important announcement to share with your team of 12 sales representatives. To ensure everyone receives the same message simultaneously, you type up the announcement with all the key details and email it to your team.

However, one team member does not receive the email due to a computer crash. What aspect of the communication process is occurring in this situation? a. encoding b. transmissio n c. noise d. decoding ANSWER: c RATIONALE: The disruption of communication between Maja and Raj is noise. Noise is any phenomenon that may disrupt communication anywhere along the way. Noise comes in two varieties: internal and external.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

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KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 11. Which statement best describes effective communication? a. It happens when the sender speaks clearly, even if the receiver misunderstands. b. It ensures that the receiver’s understanding matches the sender’s intended meaning. c. It only works when the receiver fully agrees with the sender’s message. d. It is successful only when the message is delivered in written form.

ANSWER: b RATIONALE: Effective communication is the process of sending a message in such a way that the message received is as close in meaning as possible to the message intended.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 12. You have sent your team a message on the new customer specifications. When your staff reads and interprets your message, which part of the communication process is occurring? a. encoding b. transmissio n c. responding d. decoding ANSWER: d RATIONALE: After the message is received, it is decoded by the receiver, who then interprets the meaning to the best of their ability. Decoding is the process of converting a message into a form that has meaning for the receiver.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 13. While you and a colleague were reviewing the layout of the new ad campaign, your colleague diverted their attention to read and respond to a text message. How does this behavior impact your communication? a. decoding b. noise c. transmission error d. feedback ANSWER: b RATIONALE: Noise is something that disrupts communication of the message at any point in the communication process.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO12.2 - Explain the role and importance of communication in the TIVES: manager's job.

ACCREDITING ST Analytic ANDARDS: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:52 AM DATE MODIFIED: 4/7/2025 5:52 AM 14. You and your colleague received the news that your proposal was accepted with minor modifications. You got together to review the modifications the client outlined. Which step in the communication process do you need to use to interpret the meaning of the message? a. decoding b. noise c. transmissio n d. encoding ANSWER: a RATIONALE: After the message is received, it is decoded by the receiver, who then interprets the meaning to the best of their ability. Decoding is the process Copyright Cengage Learning. Powered by Cognero.

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of converting a message into a form that has meaning for the receiver.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 15. You need to share new and sensitive information with your team. You decide that the most effective way to communicate this information is by holding a meeting. In the context of the communication process, what will the meeting be considered as? a. the message b. noise c. the channel d. the transmission ANSWER: c RATIONALE: A message is transmitted through a channel. Common channels in organizations include meetings, email or text messages, memos, letters, reports, telephone calls, and face-to-face interactions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: Copyright Cengage Learning. Powered by Cognero.

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16. You are writing a proposal to a customer to explain how you and your team will perform work for the customer. In the communication process, which role will the customer play? a. encoder b. receive r c. channel d. sender ANSWER: b RATIONALE: The receiver is the person to whom the message is transmitted. After the message is received, it is decoded by the receiver, who then interprets the meaning to the best of their ability.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 17. At its most basic level, how can we define communication? a. transmission of information from one person to another b. ideas and effectiveness of meaning c. understanding information that shared by others d. the proper encoding of a message ANSWER: a RATIONALE: Communication is the process of transmitting information from one person to another.

POINTS: 1 DIFFICULTY: Challenging QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO12.2 - Explain the role and importance of communication in ES: the manager's job.

ACCREDITING STAND Analytic ARDS: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: DATE MODIFIED:

4/7/2025 5:52 AM 4/7/2025 5:52 AM

18. What is the basis of effective communication? a. transmitting a message from sender to receiver b. consistency of meaning c. support of basic management functions d. the interpretation of meaning ANSWER: b RATIONALE: Our definition of effective communication is based on the ideas of meaning and consistency of meaning. Meaning is the idea that the individual who initiates the communication exchange wishes to convey.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 19. What is the first step in the communication process? a. forming words or expressions to encode an idea b. interpreting a message to the best of our ability c. having a fact, idea, or opinion to share d. sending a message through an appropriate channel ANSWER: c RATIONALE: The process of communication begins when one person (the sender) wants to transmit a fact, idea, opinion, or other information to someone else (the receiver). This fact, idea, or opinion has meaning to the sender.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 20. When determining the best way to encode a message, what should the sender base their choice on? a. the potential for noise b. speed of transmission c. the channel the message will be sent through d. knowledge of the situation and receiver ANSWER: d RATIONALE: The encoding might take the form of words, facial expressions, gestures, or even artistic expressions and physical actions. The choice of how to encode the message is a very conscious decision based on the sender’s knowledge of the situation and the receiver.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 21. You and a colleague need to review details of a new project so you can outline the customer needs, due dates, and format for the project. You also want to share examples of format and reporting processes. In this scenario, which channel should you use for your message? a. new project outline b. format examples c. due dates d. meeting ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

The channel is most simply defined as the method for transmission that we choose to use when communicating. Common channels in organizations include meetings, email or text messages, memos, letters, reports, telephone calls, and face-to-face interactions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 22. In the communication process, what is the process of interpreting the meaning to the best of our ability? a. decoding b. transmission c. encoding d. sharing an idea or opinion ANSWER: a RATIONALE: After the message is received, it is decoded by the receiver, who then interprets the meaning to the best of their ability. The consistency of meaning transmission can vary dramatically.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: Copyright Cengage Learning. Powered by Cognero.

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23. During class today, your professor is talking about the upcoming exam, but you are having a hard time paying attention because you have a bad cold. What is causing the failure of communication between you and your professor? a. noise b. decoding c. channel d. transmissio n ANSWER: a RATIONALE: Noise is any phenomenon that may disrupt communication anywhere along the way. Internal noise is noise that is “inside” of one of the individuals in the interaction that causes them to be distracted and makes sending and decoding messages difficult.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 24. Using a smile, a thumbs up, or words all examples of: a. encoding. b. channels. c. noise. d. information.

ANSWER: a RATIONALE: The sender has to encode the meaning into a form appropriate to the situation. The encoding might take the form of words, facial expressions, gestures, or even artistic expressions and physical actions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 25. Which of the following is a medium for transmitting an oral message within an organization? a. a memo b. a report c. meetings d. email messages ANSWER: c RATIONALE: Oral communication includes face-to-face conversation, group discussions, telephone calls, and other circumstances in which the spoken word is used to transmit meaning.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Communication G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:52 AM ED: 26. Your friend is reading about a new policy pertaining to absences. In terms of the communication process, this is an example of: a. noise evaluation. b. decoding. c. information overload. d. channel selection.

ANSWER: b RATIONALE: In the given instance, your friend is engaged in decoding a message. In the communication process, a received message is decoded back into a form that has meaning for the receiver.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Communication G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:52 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 27. You sent an urgent text to your supervisor, requiring immediate action. Your supervisor was in a meeting and had their cell phone turned off. This situation highlights what communication barrier due to the unavailability of the recipient? a. relevance b. semantics c. decoding d. noise ANSWER: d RATIONALE: This is an example of noise. Noise is any phenomenon that may disrupt communication anywhere along the way. Noise comes in two varieties: internal and external. Noise can be the sound of someone coughing, a loud truck driving by, or two people talking. It can also include disruptions such as a letter lost in the mail, a dropped cell phone call, an email misrouted or infected with a virus, or one of the participants in a conversation being called away before the communication process is completed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.2 - Explain the role and importance of communication in the BJECTIVES: manager's job.

ACCREDITIN Analytic G STANDARD S: TOPICS: Communication and the Manager's Job KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 28. Which of the following is a disadvantage of oral communication? a. It may be inaccurate. b. It is hard to use. c. It creates obstacles in giving feedback. d. It is not comfortable for managers.

ANSWER: a RATIONALE: Oral communication may suffer from problems of inaccuracy if the speaker chooses the wrong words to convey meaning or leaves out pertinent details, if noise disrupts the process, or if the receiver forgets part of the message.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 29. Which type of pattern of communication networks is a slightly less centralized communication network than the wheel pattern, as two people are close to the center? a. all channel b. Y c. grapevine d. chain ANSWER: b RATIONALE: The wheel is the most centralized network because one person receives and disseminates all information. The Y pattern is slightly less centralized —two people are close to the center.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 30. Which communication network pattern offers an even flow of information, but two people interact with only one other person? a. grapevin e b. Y c. wheel d. chain ANSWER: d RATIONALE: The chain offers a more even flow of information among members, although two people (the ones at each end) interact with only one other person.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO12.3 - Identify the basic forms of communication in organizations.

JECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 31. When is oral communication most likely to be inaccurate? a. when pertinent details are not included b. when noise is excluded c. when a message travels through the grapevine d. when a message includes personal information ANSWER: a RATIONALE: Oral communication may suffer from problems of inaccuracy if the Copyright Cengage Learning. Powered by Cognero.

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speaker chooses the wrong words to convey meaning or leaves out pertinent details, if noise disrupts the process, or if the receiver forgets part of the message.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Communication G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 32. Oral communication is usually better than written communication when the message: a. is impersonal. b. is long and detailed. c. requires a thoughtful response. d. encourages prompt feedback.

ANSWER: d RATIONALE: The primary advantage of oral communication is that it promotes prompt feedback and interchange in the form of verbal questions or agreement, facial expressions, and gestures. Due to the numerous kinds of immediate feedback, oral communication is often referred to as being “rich” in that there are numerous communication channels occurring simultaneously.

POINTS: 1 QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 33. Which of the following is an advantage that written communication has over oral communication? a. A more immediate response can be developed. b. Nonverbal cues are more easily understood. c. It provides a permanent record of an exchange. d. It is more suitable when a message is personal.

ANSWER: c RATIONALE: Written communication is often quite accurate and provides a permanent record of an exchange unlike oral communication.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJE LO12.3 - Identify the basic forms of communication in organizations.

CTIVES: ACCREDITING S Communication TANDARDS: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED 4/7/2025 5:53 AM : 34. You are catering a party with a complete plan for the event that has been approved by the client. You are coordinating with all caterers, staff, florists, and other vendors. Which type of network would be most effective for communicating with all vendors and suppliers? a. chain b. wheel c. circle d. all channel ANSWER: b RATIONALE: In the given scenario, the wheel pattern of communication would be most effective, as Manish has all the details about the party. In the wheel pattern communication network, all communication flows through one central person, who is probably the group’s leader. In a sense, the wheel is the most centralized network because one person receives and disseminates all information.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 35. A company blog gathers information from a group of people on various product lines. For example, everyone who has purchased or had experience with a product can post a review. What is this an example of? a. allchannel b. chain c. wheel d. Y ANSWER: a RATIONALE: The all-channel communication network, the most decentralized, allows a free flow of information among all group members.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO12.3 - Identify the basic forms of communication in organizations.

ECTIVES: ACCREDITING S Communication TANDARDS: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED 4/7/2025 5:53 AM : 36. Centralized networks perform with greater efficiency and accuracy when a task is: a. simple and routine. b. simple and unconventional. c. complex and routine. d. complex and conventional.

ANSWER: a RATIONALE: When a group’s task is relatively simple and routine, centralized networks tend to perform with greatest efficiency and accuracy. The dominant leader facilitates performance by coordinating the flow of Copyright Cengage Learning. Powered by Cognero.

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information.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 37. Decentralized networks tend to perform better when a group's task is: a. simple and nonroutine. b. complex and nonroutine. c. simple and conventional. d. complex and routine.

ANSWER: b RATIONALE: When a task is complex and nonroutine, decentralized networks tend to be most effective because open channels of communication permit more interaction and a more efficient sharing of relevant information.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 38. Which of the following is a characteristic of vertical communication? a. It consists exclusively of messages from subordinates to superiors.

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b. It is limited to communication between two subsequent levels in an organization. c. It typically covers informal reporting lines. d. It includes communication that flows up and down an organization.

ANSWER: d RATIONALE: Vertical communication refers to communication that flows up and down an organization, usually along formal reporting lines; takes place between managers and their superiors and subordinates; and may involve several different levels of the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 39. Which of the following is an example of upward communication in organizations? a. an email sent by a manager expressing appreciation for a subordinate’s efforts b. a leave request sent by a team member to the team manager c. a suggestion given by a manager in a team meeting d. a newsletter containing information about the annual profits of an organization ANSWER: b RATIONALE: A leave application sent by a team member to the team manager is an example of upward communication. Upward communication consists of messages from subordinates to superiors.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 40. Which of the following is an example of downward communication? a. An employee sends a resignation letter to a manager. b. A manager sends project details to a subordinate. c. An employee lodges an official complaint against a colleague. d. A team member gives a suggestion to a team leader in an official meeting.

ANSWER: b RATIONALE: Downward communication occurs when information flows down the hierarchy from superiors to subordinates. The typical content of these messages is directives on how something is to be done, the assignment of new responsibilities, performance feedback, and general information that the higher-level manager thinks will be of value to the lower-level manager.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 41. You, along with the other production managers at a company get together every month to discuss the productivity of your respective teams and ways of improving it. Which of the following is best exemplified in this scenario? a. downward communication b. vertical communication c. horizontal communication d. upward communication ANSWER: c RATIONALE: The given scenario best exemplifies horizontal communication.

Horizontal communication involves colleagues and peers at the same level of an organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 42. You are the HR manager at a company and compile the company’s’ newsletter and coordinate with the managers of other departments. The communication in this scenario best exemplifies which type of communication? a. vertical b. upward c. diagonal d. horizonta l ANSWER: d RATIONALE: The communication seen in the scenario best exemplifies horizontal communication. Horizontal communication is communication that flows laterally within the organization; it involves colleagues and peers at the same level of the organization and may involve individuals from several different organizational units.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 43. KFC used Facebook, Twitter, and the KFC website to introduce 18- to 25-year-olds to Colonel Sanders, the founder of KFC. In this scenario, KFC used a(n): a. social media system.

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b. management information system. c. decision support system. d. expert system.

ANSWER: a RATIONALE: KFC has used social media. Forms of social media such as Twitter and Facebook often mimic the traditional grapevine.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO12.3 - Identify the basic forms of communication in organizations.

CTIVES: ACCREDITING S Technology TANDARDS: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM

44. Why does written communication inhibit feedback and exchange? a. lag time b. poor quality writing c. degree of accuracy d. content is easy to alter ANSWER: a RATIONALE: The lag time between the sending of a message and receiving feedback from it can, and in many cases does, result in inaccurate interpretation of the original sender’s meaning. Thus, written communication often inhibits feedback and interchange and is usually more difficult and timeconsuming than oral communication.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Technology G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 45. As a new manager, you wear a dress skirt, blouse, and jacket to work every day. You want to convey authority and leadership to your staff, customers, and other leaders in the organization. Which element of nonverbal communication are you using to indicate your professionalism? a. images b. setting c. body language d. volume and tone ANSWER: c RATIONALE: One form of nonverbal communication is body language. For example, prolonged eye contact might suggest either hostility or romantic interest, whereas a lack of eye contact can be associated with dishonesty or disinterest. Other kinds of body language include body and hand movement, pauses in speech, and mode of dress.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Technology G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 46. According to studies, how much meaning do we derive from nonverbal cues? a. 55 percent b. 45 percent c. 35 percent d. 25 percent ANSWER: a RATIONALE: Nonverbal communication is a communication exchange that does not use words or uses words to carry more meaning than the strict definition Copyright Cengage Learning. Powered by Cognero.

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of the words themselves. One study found that as much as 55 percent of the content of a message is transmitted by facial expressions and body posture and that another 38 percent derives from inflection and tone.

Words themselves may account for only 7 percent of the content of the message.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Technology G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 47. Why is oral communication considered to be a "rich" communication tool? a. There are more opportunities for error. b. Fewer words are needed to carry meaning. c. It is easy to accomplish. d. There is a variety of immediate feedback.

ANSWER: d RATIONALE: Due to the numerous kinds of immediate feedback, oral communication is often referred to as being “rich” in that there are numerous communication channels occurring simultaneously. This richness allows participants to immediately determine if their message has been received and interpreted correctly or if further clarification is necessary.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Technology G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM Copyright Cengage Learning. Powered by Cognero.

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ED: DATE MODIFI 4/7/2025 5:53 AM ED: 48. You have managers located in seven countries, and you feel it is important to maintain weekly communication with each of them. What can you use to maintain this regular communication? a. an extranet b. an intranet c. artificial intelligence d. a teleconference ANSWER: d RATIONALE: It is becoming common to have teleconferences in which managers stay at their own locations (such as home offices or offices in different cities) but meet via Skype, Microsoft Team, Zoom, and similar methods.

Teleconferences are used to link offices in different locations in ways that used to require high transportation costs to get all of the participants into the same room.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Technology G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 49. Which of the following statements about the grapevine is true? a. It should be avoided when information needs to be transmitted quickly. b. It can permeate an entire organization. c. It is a useful way to transmit confidential information. d. It is limited to the boundaries of an organization.

ANSWER: b RATIONALE: The grapevine is an informal communication network that can permeate an entire organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJECTI LO12.4 - Describe informal communication, including its various VES: forms and types.

ACCREDITING STAN Analytic DARDS: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 50. You manage a department store. On a regular basis, you walk through the various sales floors, stop in at the loading docks, and visit the stock rooms. What type of informal communication are you using to keep in touch with what is going on throughout the store? a. grapevine b. management by wandering around c. social media d. cluster chains ANSWER: b RATIONALE: A popular form of informal communication is called, interestingly enough, management by wandering around. The basic idea is that some managers keep in touch with what is going on by wandering around and talking with people.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 51. How can managers have some control over the grapevine in organizations? a. by making false denials b. by promoting the use of social media c. by eliminating the grapevine d. by maintaining open channels of communication ANSWER: d RATIONALE: Attempts to eliminate the grapevine are fruitless, but fortunately the Copyright Cengage Learning. Powered by Cognero.

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manager does have some control over it. By maintaining open channels of communication and responding vigorously to inaccurate information, the manager can minimize the damage the grapevine can do.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 52. How can managers use the grapevine as an asset? a. to sound out employee reactions to new ideas b. to promote vertical communication c. to start a cluster chain d. to maintain a hierarchical system ANSWER: a RATIONALE: By learning who the key people in the grapevine are, a manager can partially control the information they receive and use the grapevine to sound out employee reactions to new ideas.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: Copyright Cengage Learning. Powered by Cognero.

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53. When is the grapevine most likely to cause problems? a. when a message does not include any noise b. when the vertical network is used c. when many people tell the same message to a few people d. when the original message is negative or destructive ANSWER: d RATIONALE: Messages that flow through the grapevine can be positive and constructive, or negative and destructive.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO12.4 - Describe informal communication, including its various TIVES: forms and types.

ACCREDITING STA Analytic NDARDS: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 54. When United Airlines CEO Scott Kirby travels, he makes a point of talking to flight attendants and other passengers to gain continuous insights into running the business more effectively. What is this an example of? a. management by wandering around b. the grapevine c. a communication network d. vertical communication ANSWER: a RATIONALE: Management by wandering around is an approach to communication that involves the manager's literally wandering around and having spontaneous conversations with others.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:53 AM ED: 55. You heard rumors about an upcoming merger that you knew, as a person on the team looking into the potential merger, were incorrect. You decided to write a memo to your employees dispelling the rumors. Which of the following types of communication are you responding to? a. a grapevine b. digital c. Y pattern d. circular network ANSWER: a RATIONALE: You are trying to inhibit the type of informal communication known as a grapevine. Informal grapevine communication networks transfer and often distort messages throughout an organization in a seemingly haphazard manner.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 56. You learned some interesting news about a colleague in another department. You shared the information with your work team at their morning break and with other work friends at lunch. Some of these people shared the information with others, while some did not. This is an example of which type of grapevine? a. vertical chain b. horizontal chain c. gossip chain d. cluster chain ANSWER: c RATIONALE: The gossip chain occurs when one person spreads the message to many other people. Each one, in turn, may either keep the information confidential or pass it on to others. The gossip chain is likely to carry personal information.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 57. According to researchers, why is informal communication in the form of the grapevine increasing in organizations? a. the recent increase in merger, acquisition, and takeover activity b. the move of facilities from suburbs back to the cities c. reaction to managers' attempts to stop it d. the growth of telecommuting opportunities ANSWER: a RATIONALE: One reason for the increase in informal communication is the recent increase in merger, acquisition, and takeover activity. Because such activity can greatly affect the people within an organization, it follows that they may spend more time talking about it.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 58. You learned that the upcoming company reorganization is likely to impact your department, meaning changes of duties for some of your team members. You quickly shared this information with the team, and by the end of the day, word was spreading that many of them were going to be let go. Word got back to your manager. While it is true that a reorganization is in the works, there are no plans to eliminate any positions. How can your manager minimize the damage that the grapevine does? a. by reprimanding anyone who participates in it Copyright Cengage Learning. Powered by Cognero.

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b. by clearly and openly explaining that no one will lose their jobs c. by denying that the reorganization will affect the department d. by letting the team leave early to stop the rumors ANSWER: b RATIONALE: By maintaining open channels of communication and responding vigorously to inaccurate information, the manager can minimize the damage the grapevine can do.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 59. Which type of communication network can permeate an entire organization and follow a variety of communication patterns? a. horizonta l b. crisis c. crisis d. grapevine ANSWER: d RATIONALE: The grapevine is an informal communication network that can permeate an entire organization. Grapevines are found in all organizations except the very smallest, but they do not always follow the same patterns as, nor do they necessarily coincide with, formal channels of authority and communication.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 60. When information transmitted through the grapevine is based on fact rather than speculation, how accurate is it likely to be? a. 7 percent b. 38 percent c. 55 percent d. 75 percent ANSWER: d RATIONALE: There is some disagreement about how accurate the information carried by the grapevine is, but research is increasingly finding it to be fairly accurate, especially when the information is based on fact rather than speculation. One study found that the grapevine may be between 75 and 95 percent accurate.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 61. You have been asked to determine how to best manage the cost of benefits for your organization. You ask three of your employees to offer suggestions on this issue because you know they are key people in the grapevine. How are you using the grapevine to your advantage? a. You are supplementing the grapevine by keeping in touch with a variety of employees. b. You are preparing for negative and destructive comments. c. You are replacing management by wandering around with the grapevine. d. You are sounding out potential reactions before making decisions.

ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

In some situations, the grapevine can actually be an asset. By learning who the key people in the grapevine are, for example, the manager can use it to sound out employee reactions to new ideas, such as a change in human resource policies or benefit packages. The manager can also get valuable information from the grapevine and use it to improve decision making.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.4 - Describe informal communication, including its various forms BJECTIVES: and types.

ACCREDITIN Analytic G STANDARD S: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 62. You know that employees talk about work even when they are not working. Every quarter, you arrange an off-site event for your employees where they can relax, socialize, talk about what is happening around town, and even work on occasion. What are you hoping to promote by including employees in social gatherings? a. making the grapevine an asset b. eliminating the grapevine c. promoting a strong sense of culture d. eliminating inconsistent signals ANSWER: c RATIONALE: Social gatherings serve an important role. They promote a strong culture and enhance understanding of how the organization works.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO12.4 - Describe informal communication, including its various forms ECTIVES: and types.

ACCREDITING Analytic STANDARDS: TOPICS: Informal Communication in Organizations KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM D: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIE 4/7/2025 5:53 AM D: 63. You are an advocate for healthcare reform. Despite statistics showing that the cost of health care increased after reform, you refuse to believe that the reform led to higher costs. This reflects the individual barrier of: a. inconsistent signals. b. credibility. c. predispositions. d. poor listening skills.

ANSWER: c RATIONALE: In the scenario, a case of predisposition is exemplified. Receivers bring certain predispositions to the communication process. They may already have their minds made up, firmly set in a certain way.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 64. The EPA is considering two different sticker designs for auto fuel economy. One design included a letter grade A+ to D, but a few members argued that the letter grade fell short because it is imbued with memories people have of school.

Some others argued that it was simple and easy to understand. The result was that neither of the parties tried to understand what the other was saying. This scenario best exemplifies the organizational barrier of: a. semantics. b. information overload. c. status difference. d. different perceptions.

ANSWER: d RATIONALE: The scenario best exemplifies the case of different perceptions. If people perceive a situation differently, they may have difficulty communicating with one another because one has a positive impression and the other a negative impression.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 65. Which barrier to communication exists when a sender is considered an unreliable source of information? a. information overload b. language differences c. prejudice d. lack of credibility ANSWER: d RATIONALE: Credibility problems arise when the sender is not considered a reliable source of information.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO12.5 - Describe how the communication process can be TIVES: managed to recognize and overcome barriers.

ACCREDITING STA Analytic NDARDS: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 66. Which of the following is an example of organizational barriers to effective communication? a. conflicting or inconsistent signals b. credibility about the subject c. reluctance to communicate d. status differences ANSWER: d RATIONALE: Status difference is an example of an organizational barrier to communication. Other barriers to effective communication involve the organizational context in which the communication occurs and include semantics, different perceptions, noise, overload, and language Copyright Cengage Learning. Powered by Cognero.

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differences.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 67. What should managers do to improve communication effectiveness in the organization? a. Eliminate the grapevine. b. Have firm opinions about the topic being discussed. c. Limit questions about a topic. d. Encourage a two-way communication process.

ANSWER: d RATIONALE: Two-way communication allows the receiver to ask questions, request clarification, and express opinions, signaling understanding. In general, the more complicated the message, the more useful two-way communication is.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: Copyright Cengage Learning. Powered by Cognero.

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68. Which of the following is an organizational barrier to communication? a. language differences b. inconsistent signals c. poor listening skills d. conflicting signals ANSWER: a RATIONALE: As businesses become more and more global, different languages can create problems. To counter this, many international firms have adopted an "official language" for doing business.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 69. Individual barriers to communication include: a. poor listening skills. b. status differences. c. power differences. d. different perceptions.

ANSWER: a RATIONALE: Individual barriers to communication include poor listening skills. Poor listening habits can be a major barrier to effective communication. Some people are simply poor listeners. When someone is talking to them, they may be daydreaming, looking around, reading, or listening to another conversation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 70. You are working on improving your listening skills to become a more effective listener. Which of the following factors will inhibit your ability to listen effectively? a. asking questions during the conversation b. staying active in the conversation c. assimilating information as quickly as possible d. having preconceptions about topics ANSWER: d RATIONALE: Having preconceptions is not a skill for effective listening. Listening includes asking questions, taking notes, clarification, and staying active in the listening process.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 71. You have had difficulty establishing credibility in your investigative role at a tech company. Your background is in finance, and some engineers at the firm do not perceive you to have enough knowledge about the technological systems needed to investigate malware protection issues. Which type of barrier to communication is your lack of credibility? a. individual b. semantic c. noise d. organizational ANSWER: a RATIONALE: A lack of credibility is an individual barrier to effective communication.

Subject credibility is an individual characteristic or process that can interfere with effective communication.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 72. You were asked to conduct a cost analysis for a new product line. As a junior employee with limited experience, you want to ensure that you (and your work) are viewed as a credible source of information. How can you help to ensure credibility? a. by following up to be sure recipients understand the message b. by managing the outgoing flow of information c. by recognizing the level of richness associated with different media tools d. by ensuring accurate and honest representation of facts ANSWER: d RATIONALE: Maintaining credibility by checking facts and remaining as accurate and honest as possible is the individual skill that can overcome a communication issue of subject credibility.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED:

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73. Investigators at a company frequently miss deadlines. They complain about information processing delays caused by the intranet system, but their managers think the investigators spend too much time on unnecessary tasks. Communication between the investigator and management is weak because of which type of barrier? a. personal b. interpersonal c. media richness d. organizational ANSWER: d RATIONALE: Communication between the investigator and management is weak because of organizational barriers. Status or power differences are a common source of ineffective communication in organizations. If people perceive a situation differently, they may have difficulty communicating with one another.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 74. A colleague heard that the new manager joining their department is difficult to deal with. As a result, when the colleague met the manger, the colleague immediately disliked the new manager and dismissed all that the new manager had to say. Which of the following created this barrier to communication? a. status b. noise c. predisposition s d. overload ANSWER: c RATIONALE: In the scenario, a case of predisposition is exemplified. Receivers bring certain predispositions to the communication process. They may already have their minds made up, firmly set in a certain way.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 75. You are facing a crucial deadline. The work is more than you can handle in the time available, but you have not told your manager. You do not think your manager will assign more resources to the project but will just ask you to work longer hours to get it done. What individual communication barrier are you exhibiting? a. noise b. predisposition s c. overload d. reluctance ANSWER: d RATIONALE: Some people are simply reluctant to initiate a communication exchange.

A subordinate may be reluctant to transmit information upward for fear of reprisal or because it is felt that such an effort would be futile.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 76. You are spearheading an important project for your firm. Every day you receive countless emails from your direct supervisor, the managers of three other departments, and numerous colleagues with suggestions and guidelines regarding features the project must include, budget requirements, and scheduling needs. You are not certain which information is critical to the project and what is just opinions or advice that does not need to be followed. What organizational communication barrier are you experiencing? a. inconsistent Copyright Cengage Learning. Powered by Cognero.

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signals b. noise c. predispositions d. overload ANSWER: d RATIONALE: Overload may be a problem when the receiver is being sent more information than they can effectively handle. Many managers report getting so many email and text messages each day that they sometimes feel overwhelmed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 77. You are spearheading an important project for your firm. You were waiting on an email with critical information from a coworker, but you never received it. The firm's intranet went down, and there has been no email transmission today.

What organizational communication barrier are you experiencing? a. inconsistent signals b. noise c. reluctance d. overload ANSWER: b RATIONALE: Environmental factors may disrupt effective communication. Noise may affect communication in many ways. If a manager’s phone loses power or connectivity, communication may be disrupted.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

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G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 78. What is the single most important individual skill for improving communication effectiveness? a. building credibility b. increasing nonverbal skills c. being a good listener d. eliminating noise ANSWER: c RATIONALE: Being a good listener is the single most important individual skill for improving communication effectiveness. Being a good listener requires that the person be prepared to listen, not interrupt the speaker, concentrate on both the words and the meaning being conveyed, be patient, and ask questions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 79. How can the sender or receiver ensure that overload does not occur? a. Manage the number of messages sent. b. Maintain credibility. c. Encourage two-way communication. d. Eliminate noise.

ANSWER: a RATIONALE: Regulating information flow means that the sender or receiver takes steps to ensure that overload does not occur. For the sender, this could mean not passing too much information through the system at one time.

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For the receiver, it might mean calling attention to the fact that they are being asked to do too many things at once.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 80. You sent a memo to your staff regarding the new procedures for ordering new equipment. Later in the week, you checked in with individual staff members to ensure that they received the memo and to find out if they had any questions or concerns. Which organizational skill are you demonstrating? a. regulating information flow b. following up c. understanding the richness of media d. maintaining credibility ANSWER: b RATIONALE: Following up simply involves checking at a later time to be sure that a message has been received and understood.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO12.5 - Describe how the communication process can be managed CTIVES: to recognize and overcome barriers.

ACCREDITING ST Analytic ANDARDS: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 81. When a manager chooses to deliver particularly complicated or disappointing information in a personal meeting to be able to explain the situation and answer any questions, the manager is exhibiting which organizational communication skill?

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a. regulating information flow b. following up c. understanding the richness of media d. maintaining credibility ANSWER: c RATIONALE: Three useful organizational skills can enhance communication effectiveness for both the sender and the receiver—following up, regulating information flow, and understanding the richness of different media. This scenario demonstrates understanding the richness of the media. A face-to-face channel of communication gives the manager an opportunity to explain the situation and answer questions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 82. Which of the following is the hallmark of an effective listener? a. easily distracted b. focused c. avoids questions d. passive ANSWER: b RATIONALE: One who is more effective at listening stays active and focused, pays attention, asks questions, keeps an open mind, and assimilates information. Less effective listening skills include being passive and laid back, being easily distracted, not asking questions, having preconceptions, and disregarding information.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 83. You often ask questions of your staff in meetings and work to engage them in dialogue instead of just sharing information. You believe that when your staff is engaged, they will understand and retain more information. What are you working to encourage during your meetings? a. overload b. media richness c. active listening d. power and status ANSWER: c RATIONALE: The concept known as “active listening” suggests that the listener must be an active participant in the conversation to be effective. The higher the level of the listener’s engagement in the conversation, the more likely the listener is to understand, retain, and productively respond to the information received. Active listening requires conscious effort on the part of the listener.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 84. Compare and contrast oral and written communication.

Oral communication takes place in conversations, group discussions, phone ANSWER: calls, and other situations in which the spoken word is used to express meaning.

The primary advantage of oral communication is that it promotes prompt feedback and interchange in the form of verbal questions or agreement, facial expressions, and gestures. Oral communication is also easy (all the sender needs to do is talk), and it can be done with little preparation (though careful preparation is advisable in certain situations). The sender does not need pencil Copyright Cengage Learning. Powered by Cognero.

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and paper, a computer, or other equipment.

However, oral communication also has drawbacks. It may suffer from problems of inaccuracy if the speaker chooses the wrong words to convey meaning or leaves out pertinent details, if noise disrupts the process, or if the receiver forgets part of the message. In a two-way discussion, there is seldom time for a thoughtful, considered response or for introducing many new facts, and there is no permanent record of what has been said. In addition, although most managers are comfortable talking to people individually or in small groups, fewer enjoy speaking to larger audiences.

Written communication—"putting it in writing” in a letter, report, memorandum, handwritten note, or email—can solve many of the problems inherent in oral communication.

Written communication offers some advantages. It is often quite accurate and provides a permanent record of the exchange. The sender can take the time to collect and assimilate the information and can draft and revise it before it is transmitted. The receiver can take the time to read it carefully and can refer to it repeatedly, as needed. For these reasons, written communication is generally preferable when important details are involved. At times, it is important to one or both parties to have a written record available as evidence of exactly what took place.

The biggest single drawback of traditional forms of written communication is that they inhibit feedback and interchange. When one manager sends another manager a letter, it must be written or dictated, typed, mailed, received, routed, opened, and read. If there is a misunderstanding, it may take several days for it to be recognized, let alone rectified. Although the use of email, texts, or instant messaging is, of course, much faster, both sender and receiver must still have access to a computer or smartphone, and the receiver must open and read the message for it to actually be received. A phone call could settle the whole matter in just a few minutes. Thus, written communication often inhibits feedback and interchange and is usually more difficult and time consuming than oral communication.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Analyze DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 85. Compare vertical and horizontal communication.

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ANSWER:

Vertical communication is communication that flows up and down the organization, usually along formal reporting lines—that is, it is the communication that takes place between managers and their superiors and subordinates. Vertical communication may involve only two people, or it may flow through several different organizational levels.

Upward communication consists of messages from subordinates to superiors.

This flow is usually from subordinates to their direct superior, then to that person’s direct superior, and so on up the hierarchy. The typical content of upward communication is requests, information that the lower-level manager thinks is of importance to the higher-level manager, responses to requests from the higher-level manager, suggestions, complaints, and financial information.

Downward communication occurs when information flows down the hierarchy from superiors to subordinates. The typical content of these messages is directives on how something is to be done, the assignment of new responsibilities, performance feedback, and general information that the higherlevel manager thinks will be of value to the lower-level manager.

Horizontal communication is communication that flows laterally within the organization; involves colleagues and peers at the same level of the organization and may involve individuals from several different organizational units. This type of communication serves a number of purposes. It facilitates coordination among interdependent units. It can also be used for joint problem solving.

Finally, it plays a major role in work teams with members drawn from several departments.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO12.3 - Identify the basic forms of communication in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Forms of Communication in Organizations KEYWORDS: Bloom's: Analyze DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 86. Discuss the organizational barriers to communication.

There are six organizational barriers to communication.

ANSWER: Semantics: Semantics problems arise when words have different meanings for different people. Words and phrases such as profit, increased output, and return on investment may have positive meanings for managers but less positive meanings for labor.

Status or power differences: Communication problems may also arise when people of different power or status try to communicate with each other.

Different perceptions: If people perceive a situation differently, they may have Copyright Cengage Learning. Powered by Cognero.

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difficulty communicating with one another.

Noise: Environmental factors may also disrupt effective communication. Noise may disrupt communication anywhere along the way. Noise can be the sound of someone coughing, a loud truck driving by, or two people talking close at hand.

It can also include disruptions such as a letter lost in the mail, a dropped cell phone call, an email misrouted or infected with a virus, or one of the participants in a conversation being called away before the communication process is completed.

Overload: Overload may be a problem when the receiver is being sent more information than they can effectively handle.

Language differences: As businesses become more and more global, different languages can create problems. To counter this problem, some firms are adopting an “official language.”

POINTS: 1 DIFFICULTY: Easy QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO12.5 - Describe how the communication process can be managed to BJECTIVES: recognize and overcome barriers.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Organizational Communication KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED:

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Chapter 13 - Managing Work Groups Teams and Conflict 1. The nursing staff in the operating room at the local hospital are an example of a(n): a. interest group. b. problem-solving team. c. virtual team. d. functional group.

ANSWER: d RATIONALE: A functional group is a permanent group created by the organization to accomplish a number of organizational purposes with an unspecified time horizon. It is assumed that the functional group will remain in existence after it attains its current objectives; those objectives will then be replaced by new ones.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 2. What do functional groups and interest groups have in common? a. Both have an unspecified time horizon. b. Both represent a major form of organizational change. c. Both exist for a limited period of time. d. Both are formed by their own members.

ANSWER: a RATIONALE: Both functional groups and interest groups have an unspecified time horizon.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team Copyright Cengage Learning. Powered by Cognero.

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development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 3. A group is defined as two or more people who: a. work with little to no supervision to carry out work related tasks. b. select and follow a leader. c. form an organization for nonprofit or profit-making purposes. d. interact regularly to accomplish a common purpose or goal.

ANSWER: d RATIONALE: A group consists of two or more people who interact regularly to accomplish a common purpose or goal. The purpose of a group or team may range from preparing a new marketing plan, to informally sharing information, to making important decisions, to fulfilling social needs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 4. Which of the following type of group is created by its own members for purposes that may or may not be relevant to organizational goals? a. functional b. task c. interest d. work team ANSWER: c RATIONALE: An informal or interest group is created by its own members for purposes Copyright Cengage Learning. Powered by Cognero.

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that may or may not be relevant to organizational goals.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 5. You and several colleagues usually meet during your lunch break to discuss the latest research in biomedicine. This is an example of a(n): a. interest group. b. problem-solving team. c. virtual team. d. task group.

ANSWER: a RATIONALE: An informal or interest group is created by its own members for purposes that may or may not be relevant to organizational goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Reflective Thinking STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 6. Which type of group is a permanent group created by the organization to accomplish several organizational purposes with an unspecified time horizon?

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a. problemsolving b. virtual c. functional d. interest ANSWER: c RATIONALE: A functional group is a permanent group created by the organization to accomplish several organizational purposes with an unspecified time horizon.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 7. A task group has been formed within your organization to address a specific project that requires completion within the next three months. The group consists of employees from various departments, and its focus is to streamline the company’s onboarding process for new hires. Based on the definition of a task group, which of the following actions would best align with the group’s purpose? a. organizing regular team-building activities for long-term employee development b. conducting a thorough review of the company's overall organizational structure c. creating a detailed project plan with clear deadlines to improve the onboarding process d. establishing a mentorship program to support employee career growth over the next five years ANSWER: c RATIONALE: A task group is a group created by the organization to accomplish a relatively narrow range of purposes within a stated or implied time horizon.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why Copyright Cengage Learning. Powered by Cognero.

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JECTIVES:

people join groups and teams, and the stages of group and team development.

ACCREDITING Reflective Thinking STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 8. A task group that is made up of one member each from marketing, development, production, and manufacturing would be a(n): a. informal group. b. interest group. c. cross-functional team. d. virtual team.

ANSWER: c RATIONALE: A cross-functional team is a form of task group made up of members from different functional areas.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 9. Which of the following best describes a group created by an organization to accomplish a relatively narrow range of purposes within a stated or implied time horizon? a. task group b. quality circle c. interest group d. functional group ANSWER: a RATIONALE: A task group is a group created by the organization to accomplish a relatively narrow range of purposes within a stated or implied time Copyright Cengage Learning. Powered by Cognero.

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horizon.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 10. SunBird Communications Corp. is an organization with offices in a number of cities. The human resources (HR) department interviews the candidates remotely. Each member of the HR department then posts their comments on an internal review file. This is an example of a(n): a. virtual team. b. interest group. c. informal group. d. task group.

ANSWER: a RATIONALE: A virtual team is a new type of work team that interacts digitally. Its members enter and leave the network as needed and may take turns serving as leader.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: Copyright Cengage Learning. Powered by Cognero.

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11. An advantage of teams in an organization is that they enable the organization to shed its: a. functionality. b. bureaucracy. c. flexibility. d. technocracy.

ANSWER: b RATIONALE: An advantage of organizational teams is that they enable the organization to shed its bureaucracy and to promote flexibility and responsiveness.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 12. A large technology firm has research centers in a number of countries. In order to reduce the cycle time of projects, team members in one city leave a list of “to-do” items on a shared web portal. These items are then picked up a few hours later by another team in a city separated by several time zones. This organization is making use of: a. value chains. b. quality circles. c. virtual teams. d. grapevines.

ANSWER: c RATIONALE: Virtual teams are teams composed of people from remote work sites who work together online.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

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ACCREDITING Reflective Thinking STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 13. A law firm is considering giving workers who perform tasks more responsibility for their performance. This includes giving those workers greater authority and the freedom to make more decisions. The firm is considering reorganizing into: a. functional groups. b. quality circles. c. teams. d. interest groups.

ANSWER: c RATIONALE: When an organization decides to use teams, it is essentially implementing a major form of organization change. Organizations create teams for a variety of reasons. For one thing, they give more responsibility for task performance to the workers who are actually performing the tasks. They also empower workers by giving them greater authority and decision-making freedom.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 14. When an organization decides to use teams, resistance will most likely come from which type of managers because they are giving up some of their authority to the team? a. top managers b. middle managers c. first-line managers d. nonmanagement employees Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

c It is important to recognize that resistance may be encountered. This resistance is most likely from first-line managers, who will be giving up some of their authority to the team.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 15. One reason organizations create teams is to: a. assert control over employees' actions. b. limit flexibility. c. capitalize on the knowledge of workers. d. strengthen the role of managers as supervisors.

ANSWER: c RATIONALE: Organizations create teams for a variety of reasons. One reason is that they allow the organization to capitalize on the knowledge and motivation of their workers.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:53 AM ED: 16. Newly single people often join support groups for: a. instrumental benefits. b. need satisfaction. c. interpersonal attraction. d. group activities.

ANSWER: b RATIONALE: One reason for joining a group is to satisfy the need for affiliation. For instance, newly single people often join support groups as a way to have companionship.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 17. You are considering joining a labor union at your workplace. After learning more about the union’s goals, you feel aligned with their objectives to improve working conditions and ensure fair wages. Based on the concept that the goals of a group motivate people to join, which of the following best describes your motivation for joining the union? a. You are motivated by the opportunity to gain financial benefits through union membership. b. You are motivated by the alignment of your values with the union’s goals. c. You are motivated by the desire to have more social connections with colleagues. d. You are motivated by the need to follow the workplace policy on union membership.

ANSWER: b RATIONALE: The goals of a group motivate people to join. Workers join unions because they support their goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Reflective Thinking STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 18. You joined a group supporting literacy in elementary schools because the teachers in the group all shared your outlook on primary education. You joined for intrinsic motivation. a. instrumental benefits b. group activities c. interpersonal attraction d. need satisfaction ANSWER: c RATIONALE: One reason why people choose to form informal or interest groups is that they are attracted to one another. Attraction is increased when people have similar attitudes, personalities, or economic standings.

POINTS: 1 DIFFICULTY: Challenging QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 19. You have just moved to a new city and joined a local book club. Why did you join a local book club? a. You joined to gain knowledge about literature. b. You joined for social connections and to meet new people. c. You joined to advance your career. d. You joined because of the club's financial incentives.

ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

Your motivation for joining the book club was to meet new people and build social connections in a new city.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Reflective Thinking STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 20. During which stage of group development, do you and the other members begin to try out various behaviors in an attempt to determine the interpersonal behaviors that are acceptable in the group? a. norming b. storming c. forming d. performing ANSWER: c RATIONALE: As groups mature, they tend to evolve through four distinct stages of development. The first stage of development is called forming. The members of the group or team get acquainted and begin to test which interpersonal behaviors are acceptable and which are unacceptable to the other members.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 21. During the which stage of group development, do group members begin to recognize and accept their roles, and understand the roles of other members? a. conformin g b. forming c. performing d. norming ANSWER: d RATIONALE: As groups mature, they tend to evolve through four distinct stages of development. During the norming stage, each person begins to recognize and accept their role and to understand the roles of others.

Members also begin to accept one another and to develop a sense of unity.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 22. Which of the following stages of group development is often characterized by a general lack of unity and uneven interaction patterns? a. storming b. norming c. performing d. forming ANSWER: a RATIONALE: Storming is the second stage of group development. During this stage, there may be a general lack of unity and uneven interaction patterns.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 23. The top management of a beverage manufacturing company has put together a team to handle the marketing of its new health drink. However, the team members are unable to agree on the best way to equitably divide the group tasks. In addition, two group members are trying to take over the leadership role, and this has led to more conflict. At which stage of group development is this group? a. reforming b. performing c. storming d. norming ANSWER: c RATIONALE: As groups mature, they tend to evolve through four distinct stages of development. During the storming stage, there may be a general lack of unity and uneven interaction patterns. At the same time, some members of the group or team may begin to exert themselves to become recognized as the group leader or at least to play a major role in shaping the group’s agenda.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 24. During which stage of group development do members begin to accept one another and develop a sense of unity? a. forming b. storming Copyright Cengage Learning. Powered by Cognero.

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c. norming d. performing ANSWER: c RATIONALE: During the norming stage of group development, each person begins to recognize and accept their role and to understand the roles of others.

Members also begin to accept one another and to develop a sense of unity.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 25. You like your coworkers and would like to socialize with them outside of the office. When they invite you to join a book club, you readily agree. Why did you join the club? a. You joined to advance your career. b. You joined to improve your knowledge of literature. c. You joined to build social connections with your coworkers. d. You joined for the financial rewards.

ANSWER: c RATIONALE: Your motivation for joining the book club was to strengthen your social connections with your coworkers outside of work.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Reflective Thinking STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply Copyright Cengage Learning. Powered by Cognero.

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DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 26. You are a member of a group in which team members are intent on solving the problem at hand, and the group leader has the group focused on attaining goals and functioning well. At which stage of group development is your group? a. performing b. forming c. norming d. transformin g ANSWER: a RATIONALE: As groups mature, they tend to evolve through four distinct stages of development. Performing is the final stage of group or team development. At this stage, the team really begins to focus on the problem at hand. The members enact the roles they have accepted, interaction occurs, and the efforts of the group are directed toward goal attainment.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 27. In what stage of group development does the group really begin to settle down to work and focus on goal attainment? a. storming b. performing c. norming d. forming ANSWER: b RATIONALE: Performing is the final stage of group development. At this stage, the members enact the roles they have accepted, interaction occurs, and the efforts of the group are directed toward goal attainment.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 28. You are getting to know the other members of your project team. A group structure is beginning to emerge as the members establish some basic ground rules and figure out acceptable behaviors and roles. At which stage of development is your group? a. forming b. performing c. conformin g d. norming ANSWER: a RATIONALE: The group is in the forming stage, where members are getting to know each other, and a basic structure and ground rules begin to emerge.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 29. The sales department at a textile company has been together for years, and when they meet their identified objectives, they move on to new ones. Which type of group is the sales department considered to be? a. informal group Copyright Cengage Learning. Powered by Cognero.

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b. interest group c. task force d. functional group ANSWER: d RATIONALE: A functional group is a relatively permanent group created by the organization to accomplish several organizational purposes with an unspecified time horizon.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 30. You enjoy reading and joined a lunchtime book club at work. Why did you decide to join this group? a. You joined for professional development. b. You joined to expand your social network. c. You joined because of your personal interest in reading. d. You joined for financial benefits.

ANSWER: c RATIONALE: Your decision to join the group was motivated by your personal enjoyment of reading, reflecting intrinsic motivation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.1 - Describe types of groups and teams in organizations, why JECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITING Analytic STANDARDS: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand Copyright Cengage Learning. Powered by Cognero.

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DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 31. You are the director of human resources, and you are meeting with several division-level managers to plan staffing for the new product launch. Which type of team are you a part of? a. problem-solving team b. quality circle c. interest group d. virtual team ANSWER: a RATIONALE: Problem-solving teams are a popular type of team. They are comprised of knowledge workers who gather to solve a specific problem and then disband.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 32. What is the advantage to an organization that uses teams regularly? a. less responsibility for task performance on those who perform specific tasks b. less resistance from first-line managers c. quicker response to problems d. increased flexibility and responsiveness ANSWER: d RATIONALE: Organizations create teams for a variety of reasons. For one thing, they give more responsibility for task performance to the workers who are actually performing the tasks. They also empower workers by giving them greater authority and decision-making freedom. In addition, they allow the organization to capitalize on the knowledge and motivation of their workers. Finally, they enable the organization to shed its bureaucracy and to promote flexibility and responsiveness.

Copyright Cengage Learning. Powered by Cognero.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 33. When an organization decides to use teams, what is it essentially implementing a form of? a. interpersonal attraction b. higher levels of bureaucracy c. organization change d. quality control ANSWER: c RATIONALE: When an organization decides to use teams, it is essentially implementing a major form of organization change. Thus, it is important to follow a logical and systematic approach to planning and implementing teams in an existing organization design.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: Copyright Cengage Learning. Powered by Cognero.

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34. In what group role structure is the sent role comprising the messages and cues that group members use to communicate their expectations to another member? a. enacted b. intrasende r c. ambiguous d. sent ANSWER: d RATIONALE: The sent role is the role episode as messages and cues are used by team members to communicate the expected role to the individual.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO13.2 - Discuss four essential characteristics of groups and teams.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFIE 4/7/2025 5:53 AM D: 35. What role refers to what the individual actually does in their role in the group? a. enacted b. perceive d c. conflict d. expected ANSWER: a RATIONALE: The enacted role is what the individual does in the role. The enacted role, in turn, influences future expectations of the team.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO13.2 - Discuss four essential characteristics of groups and teams.

ECTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED 4/7/2025 5:53 AM : 36. Which type of conflict occurs when a single source sends clear but contradictory messages? a. overload b. intrasender c. intrarole d. person–role ANSWER: b RATIONALE: Intrasender conflict controls when a single source sends clear but contradictory messages. This might arise if the boss says one morning that there can be no more overtime for the next month but after lunch tells someone to work late that same evening.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 37. A manager should set clear and reasonable expectations and send clear and straightforward cues in order to avoid: a. intrarole conflict. b. role overload. c. role ambiguity. d. storming.

ANSWER: c RATIONALE: Having clear and reasonable expectations and sending clear and straightforward cues go a long way toward eliminating role ambiguity.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJ LO13.2 - Discuss four essential characteristics of groups and teams.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFIE 4/7/2025 5:53 AM D: 38. When employees in an organization do not know what is expected of them, it results in: a. role ambiguity. b. role variation. c. role overload. d. role conflict.

ANSWER: a RATIONALE: Role ambiguity arises when the sent role is unclear and the individual does not know what is expected of them.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO13.2 - Discuss four essential characteristics of groups and teams.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 39. What role has a person understand the sent role to mean? a. perceived b. enacted c. expected d. influence d ANSWER: a RATIONALE: The perceived role is what a person understands the sent role to mean.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO13.2 - Discuss four essential characteristics of groups and teams.

Copyright Cengage Learning. Powered by Cognero.

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ACCREDITING STANDAR Analytic DS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 40. What type of role begins with the process of establishing a role structure? a. sent b. expected c. perceived d. controlle d ANSWER: b RATIONALE: Role structures emerge because of role episodes. The process begins with the expected role—what other members of the team expect the individual to do.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 41. At your company, the staff working in R&D, who are expected to be creative and innovative, often come to work wearing shorts and T-shirts or other extremely casual attire. The production staff tends to wear business casual clothing, while the marketing staff and sales reps almost always wear suits. This illustrates a lack of what between groups? a. cohesiveness b. norm variation c. norm generalization d. norm conformity ANSWER: c RATIONALE: The norms of one group cannot always be generalized to another group.

Even within the same work area, similar groups or teams can develop different norms. One team may strive always to produce above its assigned quota; another may maintain productivity just below its quota.

The norm of one team may be to be friendly and cordial to its supervisor; Copyright Cengage Learning. Powered by Cognero.

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that of another team may be to remain aloof and distant. Some differences are due primarily to the composition of the teams.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 42. Physicians in training perform examinations, diagnose illnesses, analyze test results, and develop management plans.

This can lead to stress as the trainees are yet to get used to the demands of the work environment. This is an example of: a. role conflict. b. role ambiguity. c. role overload. d. role dynamism.

ANSWER: c RATIONALE: Role overload occurs when expectations for the role exceed the individual’s capabilities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO13.2 - Discuss four essential characteristics of groups and ES: teams.

ACCREDITING STAN Reflective Thinking DARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 43. Which type of conflict occurs when there is a conflict between the roles one plays in different teams and one's permanent role in a functional group? a. intrarole b. intersende r c. intrasende Copyright Cengage Learning. Powered by Cognero.

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r d. interrole ANSWER: d RATIONALE: Interrole conflict is the conflict between roles. In a matrix organization, interrole conflict often arises between the roles one plays in different teams as well as between team roles and one’s permanent role in a functional group.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 44. You work at a large technology firm that is opening a new office in a different country. When management finds out that the work has been stalled, a project manager, with high personal values, is asked to bribe a local official to fix the delay. What type of conflict is the project manager likely to experience? a. person–role b. interrole c. intrasender d. intersender ANSWER: a RATIONALE: Person–role conflict results from a discrepancy between the role requirements and the individual’s personal values, attitudes, and needs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO13.2 - Discuss four essential characteristics of groups and teams.

ECTIVES: ACCREDITING Reflective Thinking STANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM Copyright Cengage Learning. Powered by Cognero.

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D: DATE MODIFIE 4/7/2025 5:53 AM D: 45. You are working with a coworker who says they care about their employees, but interrupts them every time they need to talk to them and brings the conversation back to themselves. What type of conflict is this an example of? a. person–role b. interrole c. intrasender d. intersender ANSWER: c RATIONALE: Intrasender conflict occurs when a single source sends clear but contradictory messages. This might arise if the boss says one morning that there can be no more overtime for the next month but after lunch tells someone to work late that same evening.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 46. Which type of conflict results from a discrepancy between the role requirements and the individual’s personal values, attitudes, and needs? a. interrole b. intrarole c. group–role d. person–role ANSWER: d RATIONALE: Person–role conflict results from a discrepancy between the role requirements and the individual’s personal values, attitudes, and needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJ LO13.2 - Discuss four essential characteristics of groups and teams.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFIE 4/7/2025 5:53 AM D: 47. When you receive conflicting information about a project from your boss and the team, you will most likely experience what type of conflict? a. intrasender b. person–role c. intrarole d. group–role ANSWER: c RATIONALE: Intrarole conflict occurs when the person gets conflicting demands from different sources within the context of the same role.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO13.2 - Discuss four essential characteristics of groups and teams.

ECTIVES: ACCREDITING S Reflective Thinking TANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED 4/7/2025 5:53 AM : 48. You always keep the interim deadlines in mind as well as your team's final project due date. You make sure the team meets those interim dates, whether by encouraging more work hours, finding additional resources, or some other solution.

What role are you filling? a. intragroup b. tension relief c. monitor d. task specialist ANSWER: d RATIONALE: A person may take on a task specialist role (concentrating on getting the group’s task accomplished) or a socioemotional role (providing social and emotional support to others on the team).

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 49. When a manager gives an employee several major assignments at once, thereby increasing the person’s regular workload, the employee is most likely to experience: a. role ambiguity. b. role conformity. c. role overload. d. role conflict.

ANSWER: c RATIONALE: Role overload occurs when expectations for the role exceed the individual’s abilities.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO13.2 - Discuss four essential characteristics of groups and ES: teams.

ACCREDITING STAND Analytic ARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 50. If you are told to do something unethical or illegal, or if the work is distasteful, what type of conflict is likely? a. person–role b. intersender c. interrole d. intergroup ANSWER: a RATIONALE: Person–role conflict results from a discrepancy between the role Copyright Cengage Learning. Powered by Cognero.

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requirements and the individual’s personal values, attitudes, and needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO13.2 - Discuss four essential characteristics of groups and teams.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFIE 4/7/2025 5:53 AM D: 51. The standards of behavior that a group accepts for and expects of its members are called: a. norms b. roles c. rules d. custom s ANSWER: a RATIONALE: Norms are standards of behavior that the group or team accepts for and expects of its members.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO13.2 - Discuss four essential characteristics of groups and VES: teams.

ACCREDITING STA Analytic NDARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 52. State University has eight professors who work in the same department, and all actively support the same political party. A newly hired professor in the same department feels a need to support the political beliefs of the other professors, likely due to: a. norm conformity. b. group cohesiveness. c. norm generalization. d. norm variation.

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ANSWER: RATIONALE:

a Four sets of factors contribute to norm conformity. First, factors associated with the group are important. Second, the initial stimulus that prompts behavior can affect conformity. Third, individual traits determine the individual’s propensity to conform. Finally, situational factors, such as team size and unanimity, influence conformity.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 53. You always start your staff meetings at exactly 8:00 a.m., and all employees are expected to be there on time. If someone is late, they are chastised for holding everyone else up. However, you have been late for the last two meetings, and no one made any comments about it. What is this situation due to? a. norm assimilation b. norm generalization c. norm conformity d. norm variation ANSWER: d RATIONALE: Norms are standards of behavior that the group or team accepts for and expects of its members. In some cases, norm variation can also occur within a group or team. If the team is going to meet at 8:00 a.m., anyone arriving late will be chastised for holding things up. Occasionally, however, the informal leader may arrive a few minutes late. As long as this does not happen too often, the group will probably not do anything about it.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Reflective Thinking Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 54. Your team has put in long hours on a project, and you sometimes go out after work together. You support each other and get along well, an indication of your: a. diversity. b. role structure. c. norm generalization. d. cohesiveness.

ANSWER: d RATIONALE: In a highly cohesive team, the members work well together, support and trust one another, and are generally effective at achieving their chosen goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 55. Your team is working on a complex project with a very tight schedule and a strict budget. When team members feel stressed out by the demands, they often come to you to vent or let off steam. What role are you filling on your team? a. socioemotional b. norm generalization c. monitor d. task specialist ANSWER: a RATIONALE: A person may take on a task specialist role (concentrating on getting the group’s task accomplished) or a socioemotional role (providing social and emotional support to others on the team).

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 56. A newcomer in an organization gradually begins to learn the company norms such as dress codes, working hours, and interpersonal relations. This process is known as: a. overload. b. socialization. c. norm generalization. d. communization.

ANSWER: b RATIONALE: Socialization is the generalized norm conformity that occurs as a person makes the transition from being an outsider to being an insider in the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 57. At the Olympics, "dream teams" have frequently failed to win the gold medal. These teams usually have several great players who are, nevertheless, uncomfortable with the prospect of sharing their victory. This is an example of decreasing cohesiveness due to ____.

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a. large group size b. disagreement on goals c. intragroup competition d. domination by one member ANSWER: c RATIONALE: Cohesiveness tends to decline due to intragroup competition. When members are competing among themselves, they focus more on their own actions and behaviors than on those of the group.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 58. Which of the following is a situational factor that contributes to norm conformity? a. team size b. group pressure to conform c. lack of self-confidence d. intelligence ANSWER: a RATIONALE: Situational factors, such as team size and unanimity, influence conformity. As a person learns the group’s norms, they can do several different things. The most obvious is to adopt the norms.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 59. Which of the following factors reduces group cohesiveness? a. intergroup competition b. unpleasant experiences c. opportunities for success d. personal attraction ANSWER: b RATIONALE: Unpleasant experiences that result from group membership may reduce cohesiveness.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO13.2 - Discuss four essential characteristics of groups and ES: teams.

ACCREDITING STAND Analytic ARDS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 60. In general, as teams become more cohesive, their members tend to: a. become less attracted to the group. b. conform more to norms. c. become less satisfied with the team. d. interact less frequently.

ANSWER: b RATIONALE: In general, as teams become more cohesive, their members tend to interact more frequently, conform more to norms, and become more satisfied with the team.

POINTS: 1 QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 61. What type of leader is likely to be a person capable of carrying out both task specialist and socioemotional roles effectively? a. situational b. coercive c. informal d. autocratic ANSWER: c RATIONALE: An informal leader is a person who engages in leadership activities but whose right to do so has not been formally recognized. An informal leader is likely to be a person capable of carrying out both task specialist and socioemotional roles effectively.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 62. Which of the following stems from poor job descriptions or unclear cues from coworkers? a. intrarole conflict b. role ambiguity c. intrasender conflict d. role overload ANSWER: b RATIONALE: Role ambiguity arises when the sent role is unclear. Role ambiguity can stem from poor job descriptions, vague instructions from a supervisor, or unclear cues from coworkers.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 63. Which of the following is a factor that increases cohesiveness? a. intragroup competition b. large group size c. domination d. interaction ANSWER: d RATIONALE: Ample opportunities for interaction increase the cohesiveness of a team.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO13.2 - Discuss four essential characteristics of groups and teams.

ACCREDITING STANDAR Analytic DS: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 64. You work as part of a team that is engaging, and you enjoy being a part of it. Even though your team members enjoy working with each other, you are all committed to performing at a high level. When cohesiveness and performance are high, what is the likely outcome? a. restricted performance b. role ambiguity c. high performance d. autocratic leadership ANSWER: c RATIONALE: When both cohesiveness and performance norms are high, high performance should result because the team wants to perform at a high Copyright Cengage Learning. Powered by Cognero.

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level (norms) and its members are engaged and working together toward that end (cohesiveness).

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 65. Which of the following can make an informal leader a desirable asset in a group? a. ability to counter goals and norms of the organization b. the appointment to the role by the organization c. referent or expert power d. cohesiveness and performance norms are low ANSWER: c RATIONALE: In many cases, informal leaders are quite powerful because they draw from referent or expert power. When they are working in the best interests of the organization, they can be a tremendous asset.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED:

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66. Which of the following is based on disagreements between two or more individuals in an organization? a. intergroup conflict b. intersender conflict c. interpersonal conflict d. interrole conflict ANSWER: c RATIONALE: Interpersonal conflict is the conflict between two or more individuals that is almost certain to occur in any organization, given the great variety in perceptions, goals, attitudes, and so forth among its members.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 67. You think a coworker is a narcissist who only wants to talk about themselves, and therefore, you try to avoid them.

What type of conflict do you have with this coworker? a. intergroup conflict b. pooled interdependencies c. interpersonal conflict d. person-role conflict ANSWER: c RATIONALE: Interpersonal conflict is the conflict between two or more individuals that is almost certain to occur in any organization, given the great variety in perceptions, goals, attitudes, and so forth among its members.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Reflective Thinking Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 68. Which of the following is a frequent source of interpersonal conflict in organizations? a. personality clashes b. interdependencies c. incompatible goals d. stimulated conflict ANSWER: a RATIONALE: A personality clash occurs when two people distrust each other’s motives, dislike each other, or cannot get along, which is a common source of interpersonal conflict in organizations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 69. At a large e-commerce company, the logistics team receives the products that are ready to be shipped from the operations team. These two teams are most likely to experience conflict with one another due to: a. personality clashes. b. different beliefs. c. norm variation. d. Interdependencies.

ANSWER: d RATIONALE: In sequential interdependence, work is passed from one unit to another.

Increased interdependence makes coordination more difficult and increases the potential for conflict.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 70. Which of the following is true of intergroup conflict? a. It occurs among members of the same group. b. It often arises from increased group interdependence. c. It occurs between organizations and consumer groups. d. It is typically reduced by increasing group interdependence.

ANSWER: b RATIONALE: Just as increased interdependence makes coordination more difficult; it increases the potential for conflict.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO13.3 - Describe interpersonal and intergroup conflict in TIVES: organizations.

ACCREDITING ST Analytic ANDARDS: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 71. You are the receiving manager at Kennil and rejected the last two shipments of raw materials from Pexway, claiming the material was inferior. Pexway insists that the shipments met the standards outlined in the agreement between the two companies. Kennil wants Pexway to reimburse for time lost, while Pexway is demanding compensation for the material, which they cannot resell. What type of conflict is this an example of? a. intergroup b. intragroup c. interorganizational d. intrarole Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

c Conflict that arises between one organization and another is called interorganizational conflict.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO13.3 - Describe interpersonal and intergroup conflict in VES: organizations.

ACCREDITING STAN Reflective Thinking DARDS: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 72. Which of the following is true of conflict among groups? a. A high degree of conflict among team members always results in high performance levels. b. A moderate level of conflict among group members can spark creativity and initiative. c. Conflict is always short lived and does not last for more than a couple of days. d. Conflict occurs between two or more individuals and not among groups or organizations.

ANSWER: b RATIONALE: A moderate level of conflict among group or organizational members can spark motivation, creativity, innovation, and initiative and raise performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.3 - Describe interpersonal and intergroup conflict in organizations.

JECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 73. Your group gets along well and never experiences any conflict. All group members agree when someone has a new suggestion or idea. If no conflict is ever experienced, what might be the outcome for your group? a. complacency Copyright Cengage Learning. Powered by Cognero.

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b. interdependenc e c. creativity d. hostility ANSWER: a RATIONALE: If there is absolutely no conflict in the group or organization, its members may become complacent and apathetic. As a result, group or organizational performance and innovation may begin to suffer.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 74. You manage a large furniture store just outside of Dallas. This week, the city closed the street to repave it, which has cut off all traffic to the store. Which type of conflict are you experiencing? a. intergroup b. interpersonal c. interorganizational d. environmental ANSWER: d RATIONALE: Conflict can arise between an organization and other elements of its environment. An organization may conflict with a city about access to your store.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.3 - Describe interpersonal and intergroup conflict in organizations.

JECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Interpersonal and Intergroup Conflict Copyright Cengage Learning. Powered by Cognero.

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KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFI 4/7/2025 5:53 AM ED: 75. Competition for scarce resources, especially funding, can often lead to which type of conflict within an organization? a. intrapersonal b. socialization c. intergroup d. cohesion ANSWER: c RATIONALE: Competition for scarce resources, especially funding, can often lead to intergroup conflict within an organization POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO13.3 - Describe interpersonal and intergroup conflict in CTIVES: organizations.

ACCREDITING ST Reflective Thinking ANDARDS: TOPICS: Interpersonal and Intergroup Conflict KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 76. Which of the following is a recommended method for controlling conflict? a. changing established standards b. making more resources available c. hiring outsiders d. initiating confrontation and compromise ANSWER: b RATIONALE: One method of controlling conflict is to expand the resource base.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO13.3 - Describe interpersonal and intergroup conflict in organizations.

ACCREDITING STANDAR Reflective Thinking DS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 5:53 AM

77. Sales have been somewhat flat this month, so you, as the sales manager, have established a contest among the salespeople. If overall sales reach a certain level, the salesperson with the highest net sales will receive a reward. In this situation, what type of conflict are you addressing? a. controlling b. stimulating c. resolving d. eliminatin g ANSWER: b RATIONALE: In some situations, an organization may stimulate conflict by placing individual employees or groups in competitive situations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO13.3 - Describe interpersonal and intergroup conflict in ECTIVES: organizations.

ACCREDITING S Reflective Thinking TANDARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED 4/7/2025 5:53 AM : 78. You own a delivery business. When your delivery drivers are experiencing a great deal of interpersonal conflict, you remind them that cooperation with one another is necessary for the continued profitability of the firm and their job security. How are you controlling the conflict? a. expanding the resource base b. using appropriate coordination techniques c. focusing workers’ attention on superordinate goals d. matching personalities and work habits of workers ANSWER: c RATIONALE: By focusing the drivers' attention on shared goals like the firm's profitability and their job security, you are encouraging cooperation and aligning their efforts towards a common purpose, which is a strategy for controlling conflict.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 79. Which of the following is a suggested way for managers to stimulate conflict? a. expanding the resource base b. enhancing coordination of interdependence c. setting superordinate goals d. changing established procedures ANSWER: d RATIONALE: Changing established procedures, especially procedures that have outlived their usefulness, can stimulate conflict.

POINTS: 1 DIFFICULTY: Eady QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO13.3 - Describe interpersonal and intergroup conflict in CTIVES: organizations.

ACCREDITING ST Analytic ANDARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 80. Even though you and a colleague clash repeatedly, you work together well enough for your team to have a new product ready for release sooner than predicted. How did you and your colleague control your conflict? a. Avoidance b. Dispute resolution c. Confrontation d. Superordinate goals ANSWER: d RATIONALE: By focusing on the shared goal of releasing the product on time, you and your colleague set aside personal differences and worked together toward a common objective, which helped control the conflict.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 81. Managers can stimulate conflict by: a. focusing employee attention on superordinate goals. b. matching personalities and work habits of employees. c. placing employee groups in competitive situations. d. expanding the resource base of the organization.

ANSWER: c RATIONALE: In some situations, an organization may stimulate conflict by placing individual employees or groups in competitive situations.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO13.3 - Describe interpersonal and intergroup conflict in ECTIVES: organizations.

ACCREDITING S Analytic TANDARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED 4/7/2025 5:53 AM : 82. You know that two of your team members do not work well together. You assign them separate work areas to minimize their interaction. How are you controlling the conflict? a. expanding the resource base b. using appropriate coordination techniques c. focusing employees’ attention on higher-level goals d. matching personalities and work habits of employees Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d By assigning separate work areas, you are attempting to match each employee's work style and minimize conflict by reducing direct interaction, which is a way of managing personality clashes in the workplace.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 83. Acknowledging the existence of conflict but downplaying its importance is known as: a. confrontation . b. compromise. c. smoothing. d. soldiering.

ANSWER: c RATIONALE: Smoothing is an inadvisable conflict-management technique where the manager minimizes conflict and tells everyone that things will get better.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO13.3 - Describe interpersonal and intergroup conflict in organizations.

JECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:53 AM D: DATE MODIFIE 4/7/2025 5:53 AM D: Copyright Cengage Learning. Powered by Cognero.

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84. Which of the following is a conflict resolution technique that requires a reasonable degree of maturity and uses a direct approach of addressing the conflict and working together to resolve it? a. confrontatio n b. compromise c. smoothing d. soldiering ANSWER: a RATIONALE: The confrontational approach to conflict resolution—also called interpersonal problem solving—consists of bringing the parties together to confront the conflict. Confrontation requires a reasonable degree of maturity on the part of the participants, and the manager must structure the situation carefully.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 85. A team of employees is used to arbitrate conflict in a technique called: a. alternative dispute resolution. b. interpersonal problem solving. c. compromise. d. smoothing.

ANSWER: a RATIONALE: In recent years, many organizations have experimented with a technique called alternative dispute resolution, using a team of employees to arbitrate conflict.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.3 - Describe interpersonal and intergroup conflict in organizations.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 86. When groups or an individual agree to a middle-range position between two extremes during conflict resolution efforts, what are they working toward? a. confrontatio n b. compromise c. smoothing d. avoidance ANSWER: b RATIONALE: Compromise is striking a middle-range position between two extremes when resolving conflict.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO13.3 - Describe interpersonal and intergroup conflict in VES: organizations.

ACCREDITING STAN Analytic DARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 87. Interpersonal problem solving refers to the resolution of conflict using: a. avoidance. b. smoothing. c. compromise. d. confrontation .

ANSWER: d RATIONALE: The confrontational approach to conflict resolution is also called interpersonal problem solving.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO13.3 - Describe interpersonal and intergroup conflict in Copyright Cengage Learning. Powered by Cognero.

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VES: organizations.

ACCREDITING STAN Analytic DARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 88. Which of the following approaches to negotiation focuses on the context within which negotiation takes place? a. cognitive approach b. situational characteristics c. demographic characteristics d. individual differences ANSWER: b RATIONALE: Situational characteristics are the context within which negotiation takes place.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO13.4 - Discuss how organizations manage conflict.

S: ACCREDITING STANDA Analytic RDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM 89. Which of the following is true of game theory? a. It focuses on the personality traits of the negotiators. b. It focuses on the context within which negotiation takes place. c. It uses mathematical models to predict the outcome of negotiation situations. d. It tries to predict how and when negotiators make departures from perfect rationality.

ANSWER: c RATIONALE: Game theory was developed by economists using mathematical models to predict the outcome of negotiation situations.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO13.4 - Discuss how organizations manage conflict.

CTIVES: ACCREDITING S Reflective Thinking Copyright Cengage Learning. Powered by Cognero.

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TANDARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM

90. Which of the following is a technique used to predict negotiation outcome, and requires every alternative and outcome to be analyzed with probabilities and numerical outcomes? a. situational characterization b. fixed-sum negotiation c. game theory d. the cognitive approach ANSWER: c RATIONALE: Game theory requires that every alternative and outcome in a negotiation process be analyzed with probabilities and numerical outcomes reflecting the preferences of negotiating parties for each outcome.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 91. Demographic characteristics investigated in the early psychological approach to understanding negotiation included: a. risk taking. b. self-esteem. c. gender. d. locus of control.

ANSWER: c RATIONALE: Game theory was developed by economists using mathematical models to predict the outcome of negotiation situations.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE Multiple Choice : Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLES: False LEARNING OBJE LO13.4 - Discuss how organizations manage conflict.

CTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:53 AM DATE MODIFIED: 4/7/2025 5:53 AM

92. Which of the following approaches to negotiation tries to predict how and when negotiators will make departures from perfect rationality? a. situational characterization b. the demographic approach c. game theory d. the cognitive approach ANSWER: d RATIONALE: The cognitive approach to negotiation recognizes that negotiators often depart from perfect rationality during negotiations and tries to predict how and when negotiators will make these departures.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 93. Which of the following can generate conflict within an organization? a. compromising b. setting superordinate goals c. practicing game theory d. hiring outsiders ANSWER: d Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

A useful method for stimulating conflict is to bring in one or more outsiders who will shake things up and present a new perspective on organizational practices. Outsiders may be new employees, current employees assigned to an existing work group, or consultants or advisors hired on a temporary basis.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 94. How can confrontation be used within an organization when seeking a solution to a problem? a. to control the conflict b. to stimulate the conflict c. to resolve the conflict d. to maintain the conflict ANSWER: c RATIONALE: The confrontational approach to conflict resolution—also called interpersonal problem solving—consists of bringing the parties together to confront the conflict. The parties discuss the nature of their conflict and try to reach an agreement or a solution.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:53 AM ED: 95. You and a colleague cannot agree on the best way to handle a customer complaint. This customer has been a loyal client for you in the past, and while you are training the colleague to take over the account, you disagree with how they manage the relationship. Your manager has decided to sit down with both of you together to figure out how to best address the issue. Which type of conflict resolution is your manager using? a. alternative dispute resolution b. interpersonal problem solving c. game theory d. smoothing ANSWER: b RATIONALE: The manager is using interpersonal problem solving, which involves facilitating a conversation between the conflicting parties to find a mutually agreeable solution, aiming to resolve the issue directly through dialogue.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 96. What is one common method used to stimulate conflict in an organization? a. Expand the resource base. b. Increase competition among individuals. c. Avoid confrontation. d. Match personalities of employees.

ANSWER: b RATIONALE: One method to stimulate conflict is by increasing competition, such as through sales contests or incentive plans. This is a strategy to spark competitive behavior that enhances organizational performance.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 97. One of the primary approaches to negotiation is to study individual characteristics. Which of the following is an example of an individual characteristic? a. the locus of control of each party b. relative power of each party c. the time frame available for negotiation d. the type of communication used ANSWER: a RATIONALE: Personality variables include risk taking, locus of control, tolerance for ambiguity, self-esteem, authoritarianism, and Machiavellianism. The assumption of research conducted on personality variables was that the key to successful negotiation was selecting the right person to do the negotiating, one who had the appropriate demographic characteristics or personality.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 98. Why is game theory often unworkable in real negotiations? a. Negotiators cannot change the setting within which the negotiation occurs.

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b. Negotiators cannot change their relative power positions. c. Negotiators do not always act rationally. d. Negotiators over-rely on readily available information.

ANSWER: c RATIONALE: A problem with game theory is that it assumes that negotiators are rational at all times. However, it is unlikely that negotiators will in fact always act rationally.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 99. Which approach to negotiation tries to predict how negotiators will depart from rationality and focuses on providing advice to negotiators actively involved in negotiations? a. decision analytic b. game theory c. situational characteristics d. smoothing ANSWER: a RATIONALE: Howard Raiffa’s decision analytic approach, which is a cognitive approach, focuses on providing advice to negotiators actively involved in negotiation. The cognitive approach, which recognizes that negotiators often depart from perfect rationality during negotiation, tries to predict how and when negotiators will make these departures.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 100. Which of the following actions is likely to stimulate conflict in an organization? a. changing established procedures b. encouraging collaboration between teams c. reducing competition among employees d. matching work habits of employees ANSWER: a RATIONALE: Changing established procedures, especially those that have outlived their usefulness, can stimulate conflict as employees reassess their work methods.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 101. A manager notices that two departments frequently clash over resource allocation. To control this conflict, the manager decides to increase the resource base. What outcome is most likely? a. increased resentment between departments b. resolution of conflict through mutual compromise c. reduced competition between departments d. a decrease in conflict as both departments get what they need ANSWER: d RATIONALE: Expanding the resource base can alleviate competition for limited resources and reduce the conflict that arises from budgetary constraints, as the manager can meet both departments' needs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 102. Often negotiators cannot change their relative power positions. This is a drawback to which negotiation approach? a. individual differences b. situational characteristics c. game theory d. cognitive approaches ANSWER: b RATIONALE: Many situational characteristics are external to the negotiators and beyond their control. Often the negotiators cannot change their relative power positions or the setting within which the negotiation occurs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 103. Identify and define the types of groups in organizations.

ANSWER: In general, three basic kinds of groups are found in organizations—functional groups, informal or interest groups, and task groups and teams.

A functional group is a permanent group created by the organization to accomplish a number of organizational purposes with an unspecified time horizon.

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An informal or interest group is created by its own members for purposes that may or may not be relevant to organizational goals.

A task group is a group created by the organization to accomplish a relatively narrow range of purposes within a stated or implied time horizon.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO13.1 - Describe types of groups and teams in organizations, why BJECTIVES: people join groups and teams, and the stages of group and team development.

ACCREDITIN Analytic G STANDARD S: TOPICS: Groups and Teams in Organizations KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 104. Differentiate between formal and informal leaders.

Most functional groups and teams have a formal leader—that is, one appointed ANSWER: by the organization or chosen or elected by the members of the group. Because friendship and interest groups are formed by the members themselves, however, any formal leader must be elected or designated by the members. Moreover, even when a formal leader is designated, the group or team may also look to others for leadership.

An informal leader is a person who engages in leadership activities but whose right to do so has not been formally recognized. An informal leader is likely to be a person capable of carrying out both task specialization and socioemotional roles effectively. If the formal leader can fulfill one role but not the other, an informal leader often emerges to supplement the formal leader’s functions. If the formal leader can fill neither role, one or more informal leaders may emerge to carry out both sets of functions.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO13.2 - Discuss four essential characteristics of groups and teams.

BJECTIVES: ACCREDITIN Analytic Copyright Cengage Learning. Powered by Cognero.

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G STANDARD S: TOPICS: Characteristics of Groups and Teams KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED: 105. Discuss the cognitive approach to negotiation.

The cognitive approach recognizes that negotiators often depart from perfect ANSWER: rationality during negotiation; it tries to predict how and when negotiators will make these departures. The types of deviations that negotiators make from perfect rationality include escalating commitment to a previously selected course of action, over relying on readily available information, assuming that the negotiations can produce fixed-sum outcomes, and anchoring negotiation in irrelevant information. These cognitive approaches have advanced the study of negotiation a long way beyond the early individual and situational approaches.

Negotiators can use them to predict in advance how the negotiation might take place.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO13.4 - Discuss how organizations manage conflict.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Conflict in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:53 AM ED: DATE MODIFI 4/7/2025 5:53 AM ED:

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Chapter 14 - Basic Elements of Control 1. Which of the following scenarios best illustrates how control can help an organization limit the accumulation of small errors over time? a. A company implements regular training for employees to prevent repetitive minor mistakes in the customer service process, which improves customer satisfaction. b.A team leader identifies an employee’s minor mistake in a report and corrects it immediately, ensuring no negative impact on the project’s timeline. c. A software company tracks small bugs in their system, addressing them with periodic updates, preventing larger system failures in the future. d.A manufacturing plant continues to meet production quotas despite minor inconsistencies in product quality, without making adjustments to the production process.

ANSWER: c RATIONALE: This scenario demonstrates how the company uses control to adapt to minor errors (bugs) and prevent them from accumulating into a larger issue (system failure), aligning with the concept of control limiting error accumulation over time.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 2. Which of the following is true of organizational control? a. Control always results in higher costs for an organization. b. Sales and marketing forecasting is a part of financial control. c. Control can help an organization adapt to environmental change. d. Control systems increase organizational complexity.

ANSWER: c RATIONALE: A properly designed control system can help managers anticipate, monitor, and respond to changing circumstances.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJE LO14.1 - Explain the purpose of control, including different types of CTIVES: control and the steps in the control process.

ACCREDITING ST Analytic ANDARDS: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 3. When large firms merge, the results are often initially disappointing due to control systems trying to cope with a(n): a. elimination of consistent standards. b. increase in organizational complexity. c. lack of environmental change. d. increase in costs.

ANSWER: b RATIONALE: When large firms merge, the short-term results are often disappointing due to control systems trying to cope with organizational complexity. The typical reason for this is that the new enterprise is so large and complex that the existing control systems are simply inadequate.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 4. In organizations, sales forecasting, economic forecasting, and environmental analysis are examples of controlling which type of resources? a. physical b. human c. information d. financial ANSWER: c RATIONALE: Control of information resources includes sales and marketing forecasting, environmental analysis, public relations, production scheduling, and economic forecasting.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 5. Performance appraisals are part of which type of control? a. physical b. human resources c. information d. financial ANSWER: b RATIONALE: Control of human resources includes selection and placement, training and development, performance appraisal, and compensation.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO14.1 - Explain the purpose of control, including different types of ECTIVES: control and the steps in the control process.

ACCREDITING Hard - Reflective Thinking STANDARDS: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFIE 4/7/2025 5:54 AM D: 6. A company surveyed users to see if its latest products lived up to expectations and if users encountered any problems.

At the same time, the company racked how many products were rejected by inspectors and how many were returned due to defects. This scenario illustrates an aspect of which type of controls? a. operations b. developmen t Copyright Cengage Learning. Powered by Cognero.

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c. strategic d. financial ANSWER: a RATIONALE: Operations control focuses on the processes the organization uses to transform resources into products or services. Quality control is one type of operations control.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 7. Quality control is an example of which type of control? a. physical b. human c. operation s d. financial ANSWER: c RATIONALE: Operations control focuses on the processes the organization uses to transform resources into products or services.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO14.1 - Explain the purpose of control, including different types of CTIVES: control and the steps in the control process.

ACCREDITING ST Analytic ANDARDS: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM

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8. The control of which resources affects all the other resources in an organization? a. physical b. human c. financial d. information ANSWER: c RATIONALE: The control of financial resources is the most important area, because financial resources are related to the control of all the other resources in an organization. Too much inventory leads to storage costs; poor selection of personnel leads to termination and rehiring expenses; inaccurate sales forecasts lead to disruptions in cash flows and other financial effects. Financial issues tend to pervade most control-related activities.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 9. Many large organizations use which of the following to assist line managers with activities and coordinate overall systems by gathering and assimilating relevant information? a. supervisors b. inspectors c. controllers d. vice presidents ANSWER: c RATIONALE: A controller is responsible for helping line managers with their control activities, for coordinating the organization’s overall control system, and for gathering and assimilating relevant information. Many businesses that use an H-form or M-form organization design have several controllers: one for the corporation and one for each division. The job of controller is especially important in organizations where control systems are complex.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 10. An organization that monitors its administrative ratio to manage staff expenses is using which type of control? a. physical b. information c. structural d. financial ANSWER: c RATIONALE: Structural control is concerned with how the elements of the organization’s structure are serving their intended purpose. Monitoring the administrative ratio to make sure staff expenses do not become excessive is an example of structural control.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 11. Monitoring receivables to ensure customers are paying their bills on time is an example of which type of control? a. operation s b. strategic c. structural d. financial Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d Monitoring receivables to make sure customers are paying their bills on time is an example of financial control.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO14.1 - Explain the purpose of control, including different types of CTIVES: control and the steps in the control process.

ACCREDITING ST Analytic ANDARDS: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 12. Monitoring the administrative ratio to ensure staff expenses do not become excessive is an example of which type of control? a. postaction b. strategic c. structural d. operation s ANSWER: c RATIONALE: Structural control is concerned with how the elements of the organization’s structure are serving their intended purpose. Monitoring the administrative ratio to make sure staff expenses do not become excessive is an example of structural control.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 13. Which type of control focuses on how effectively the organization’s corporate, business, and functional plans are succeeding in helping the organization meet its goals?

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a. physical b. strategic c. information d. financial ANSWER: b RATIONALE: Strategic control focuses on how effectively the organization’s corporate, business, and functional strategies are succeeding in helping the organization meet its goals.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 14. The first step in the control process is: a. modifying control standards. b. comparing performance against standards. c. measuring performance. d. establishing control standards.

ANSWER: d RATIONALE: The first step in the control process is establishing standards. A control standard is a target against which subsequent performance will be compared.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO14.1 - Explain the purpose of control, including different types of JECTIVES: control and the steps in the control process.

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KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFI 4/7/2025 5:54 AM ED: 15. In the control process, which of the following steps follows the measurement of performance? a. considering corrective action b. comparing performance against standards c. establishing standards d. developing effective performance measures ANSWER: b RATIONALE: After performance is measured, it is compared against established standards.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO14.1 - Explain the purpose of control, including different types of CTIVES: control and the steps in the control process.

ACCREDITING ST Analytic ANDARDS: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 16. The final step in the control process is: a. establishing standards. b. expressing standards in measurable terms. c. considering corrective action. d. comparing performance against standards.

ANSWER: c RATIONALE: The final step in the control process is determining the need for corrective action After comparing performance against control standards, one of three actions is appropriate: maintain the status quo (do nothing), correct the deviation, or change the standards.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD Copyright Cengage Learning. Powered by Cognero.

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S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 17. The last several batches of cell phones have failed quality inspections. Upon analysis, the quality team found one of the parts from a supplier was causing the failure. Which step in the control process does the company need to take next? a. consider corrective action b. measure performance over time c. comparison of performance to standards d. set new performance standards ANSWER: a RATIONALE: The final step in the control process is determining the need for corrective action. After comparing performance against control standards, one of three actions is appropriate: maintain the status quo (do nothing), correct the deviation, or change the standards.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 18. Which of the following is a purpose of control? a. eliminating environmental change b. measuring performance over time c. coping with organizational complexity d. making a profit over time ANSWER: c RATIONALE: Control provides an organization with ways to adapt to environmental change, to limit the accumulation of error, to cope with organizational complexity, and to minimize costs. Coping with organizational complexity is a purpose of control.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 19. On the production line, all employees must have a quality level of 99 percent or higher. Which of the following elements of control is this? a. control standard b. measure of control c. strategic control d. comparison rates ANSWER: a RATIONALE: Establishing standards is the first step in the control process. A control standard is a target against which subsequent performance will be compared.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO14.1 - Explain the purpose of control, including different types of JECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFI 4/7/2025 5:54 AM ED: 20. When managing the construction of a new building, you have a specific schedule that must be followed, and any error or delay in one aspect could impact the entire project. What tool can you use to ensure the project stays on track?

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a. corrective action b. deviations c. cost analysis d. performance indicators ANSWER: d RATIONALE: A final aspect of establishing standards is to identify performance indicators. Performance indicators are measures of performance that provide information that is directly relevant to what is being controlled.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 21. You are responsible for helping managers control activities, gather, and assimilate relevant information for decision making. What type of position do you hold in the organization? a. line manager b. operating employee c. controller d. strategic ANSWER: c RATIONALE: A controller is responsible for helping line managers with their control activities, for coordinating the organization’s overall control system, and for gathering and assimilating relevant information.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

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S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 22. You have established a timetable for comparing performance to standards. What should you keep in mind when setting the timetable? a. how to change the performance standard b. complexity of the work c. how to compare performance to the standard d. how to measure performance ANSWER: b RATIONALE: The timetable for comparing performance to standards depends on a variety of factors, including the importance and complexity of what is being controlled.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.1 - Explain the purpose of control, including different types of BJECTIVES: control and the steps in the control process.

ACCREDITIN Analytic G STANDARD S: TOPICS: The Nature of Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 23. A company that carefully evaluates job applicants is using which type of control? a. structural b. strategic c. postaction d. preliminar y ANSWER: d RATIONALE: Preliminary control concentrates on the resources—financial, material, human, and information—the organization brings in from the environment. It attempts to monitor the quality or quantity of these resources before they enter the organization.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 24. A kosher restaurant ensures that all of the ingredients that enter its establishment are kosher. What type of control is this an example of? a. preliminar y b. postaction c. feedback d. screening ANSWER: a RATIONALE: Preliminary control concentrates on the resources—financial, material, human, and information—the organization brings in from the environment. It attempts to monitor the quality or quantity of these resources before they enter the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED:

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25. Everyone working or volunteering at the local day care goes through a background check before they can work with the children. This is an example of: a. screening control. b. preliminary control. c. postaction control. d. information control.

ANSWER: b RATIONALE: Preliminary control concentrates on the resources—financial, material, human, and information—the organization brings in from the environment. It attempts to monitor the quality or quantity of these resources before they enter the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 26. Which type control attempts to monitor the quality or quantity of resources before they enter an organization? a. structural b. postaction c. preliminar y d. screening ANSWER: c RATIONALE: Preliminary control concentrates on the resources—financial, material, human, and information—the organization brings in from the environment. Preliminary control attempts to monitor the quality or quantity of resources before they enter the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.2 - Identify the three forms of operations control.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 27. Inspection reports are used to monitor the quality of raw materials delivered to manufacturers. What type of control is this an example of? a. financial b. structural c. preliminar y d. screening ANSWER: c RATIONALE: Preliminary control attempts to monitor the quality or quantity of resources before they enter the organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.2 - Identify the three forms of operations control.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 28. Which of the following types of operations control relies heavily on feedback processes? a. strategic control b. financial control c. postaction control d. screening control ANSWER: d RATIONALE: Screening control focuses on meeting standards for product or service quality or quantity during the actual transformation process itself.

Screening control relies heavily on feedback processes.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 29. Which type of controls are used to monitor and catch problems early in the transformation process? a. postactio n b. structural c. screening d. strategic ANSWER: c RATIONALE: Screening control focuses on meeting standards for product or service quality or quantity during the actual transformation process itself.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO14.2 - Identify the three forms of operations control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFIE 4/7/2025 5:54 AM D: 30. Which of the following is true of screening control? a. It takes place during the transformation process. b. It involves interviewing potential employees. c. It is the same as preliminary control d. It is a part of structural control.

ANSWER: a RATIONALE: Screening control focuses on meeting standards for product or service quality or quantity during the actual transformation process itself.

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POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO14.2 - Identify the three forms of operations control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFIE 4/7/2025 5:54 AM D: 31. Before submitting a final policy memo, analysts may modify certain recommendations based on feedback from experts and the general public. What type of control is this an example of? a. preliminar y b. postaction c. screening d. financial ANSWER: c RATIONALE: Screening control focuses on meeting standards for product or service quality or quantity during the actual transformation process itself.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO14.2 - Identify the three forms of operations control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFIE 4/7/2025 5:54 AM D: 32. Because they are useful in identifying the cause of problems, which type of controls tend to be used more often than other forms of control? a. human resources b. financial Copyright Cengage Learning. Powered by Cognero.

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c. screening d. postaction ANSWER: c RATIONALE: Because they are useful in identifying the cause of problems, screening controls tend to be used more often than other forms of control.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO14.2 - Identify the three forms of operations control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Understand DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFIE 4/7/2025 5:54 AM D: 33. Postaction control is applied to: a. resources. b. outputs. c. subsystems . d. controllers.

ANSWER: b RATIONALE: Postaction control focuses on the outputs of the organization after the transformation process is complete.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.2 - Identify the three forms of operations control.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 34. Which type of control provides a basis for rewarding employees, by recognizing the achievement of a goal or standard? a. preliminar y Copyright Cengage Learning. Powered by Cognero.

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b. strategic c. postaction d. structural ANSWER: c RATIONALE: Postaction control provides a basis for rewarding employees.

Recognizing that an employee has exceeded personal sales goals by a wide margin, for example, may alert the manager that a bonus or promotion is in order.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 35. A company’s product quality inspections on finished goods indicate the defect rate. If the rate exceeds a certain level, the production manager is alerted, and a process is implemented to identify and eliminate the causes. What type of control does this illustrate? a. preliminar y b. postaction c. screening d. financial ANSWER: b RATIONALE: Postaction control focuses on the outputs of the organization after the transformation process is complete.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.2 - Identify the three forms of operations control.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 5:54 AM

36. What is the purpose of screening control? a. to monitor the quality of financial, physical, human, and information resources b. to gather financial, physical, human, and information resources from the environment c. to focus on meeting standards for product or service quality during the actual transformation process d. to focus on the outputs of an organization after the transformation process is complete ANSWER: c RATIONALE: Screening control focuses on meeting standards for product or service quality or quantity during the actual transformation process itself.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABLE False S: LEARNING OBJ LO14.2 - Identify the three forms of operations control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFIE 4/7/2025 5:54 AM D: 37. Which of the following is true of screening control? a. It focuses on outputs after the transformation process is complete. b. It monitors the quality of resources before they enter the organization. c. It does not make use of feedback processes. d. It is useful in identifying the cause of problems.

ANSWER: d RATIONALE: Screening control is useful in identifying the cause of problems.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO14.2 - Identify the three forms of operations control.

ACCREDITING STANDARD Analytic S: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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38. Which of the following is a disadvantage of postaction control? a. It does not provide management with information for future planning. b. Most organizations must use more than one form of operations control. c. It is not as effective as preliminary or screening control. d. It cannot provide a basis for rewarding employees.

ANSWER: c RATIONALE: A disadvantage of postaction control is that it is not as effective as preliminary or screening control.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO14.2 - Identify the three forms of operations control.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 39. What does a screening control process rely heavily on? a. the feedback process b. financial controls c. external environmental factors d. final inspections ANSWER: a RATIONALE: Screening control relies heavily on feedback processes. For example, periodic quality checks provide feedback to workers so that they know what, if any, corrective actions to take.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 40. Why are more and more companies adopting screening controls in the transformation process? a. to increase employee participation b. to eliminate the need for preliminary controls c. to better control financial and information resources d. to eliminate the need for final inspection ANSWER: a RATIONALE: More and more companies are adopting screening controls because they are an effective way to promote employee participation and catch problems early in the overall transformation process.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 41. Which of the following is a financial resource that flows out of an organization? a. shareholder investments b. working capital c. retained earnings d. operating expenses ANSWER: d RATIONALE: Financial control is the control of financial resources as they flow into the organization (such as revenues and shareholder investments), are held by the organization (for example, working capital and retained earnings), and flow out of the organization (like employee salaries and operating expenses).

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 42. After completing a ride, a taxi service asks customers to fill out an online feedback form. What type of operations control is the taxi service using? a. preliminar y b. screening c. structural d. postaction ANSWER: d RATIONALE: Postaction control focuses on the outputs of the organization after the transformation process is complete.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.2 - Identify the three forms of operations control.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Operations Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 43. A publishing firm will use a budget to outline and plan the demand for young adult books in Southeast Asia in the coming year and determine what resources will be used to create them. What type of budget is the firm using? a. labor b. capital expenditures c. operating d. balance sheet ANSWER: c RATIONALE: An operating budget is concerned with planned operations within the organization. It outlines what quantities of products or services the organization intends to create and what resources will be used to create them.

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DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 44. A state university develops a budget that shows its projected income from sources such as government funding, tuition fees, alumni contributions, and research grants. What type of budget is the university creating? a. operations b. revenue c. nonmonetary d. output ANSWER: b RATIONALE: The sales or revenue budget shows the income that the organization expects to receive from normal operations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO14.3 - Describe budgets and other tools for financial control.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 45. During the scheduling of a project, a plant manager is informed that they have 30 workers for 6 hours a day, 5 days a week. What type of budget does this information represent? a. capital expenditure b. master c. space d. labor ANSWER: d RATIONALE: The labor budget is the number of hours of direct labor Copyright Cengage Learning. Powered by Cognero.

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available for use.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO14.3 - Describe budgets and other tools for financial control.

ACCREDITING STANDAR Analytic DS: TOPICS: Financial Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 46. The budget that shows the anticipated differences between sales or revenue and expenses is called a(n): a. expense. b. profit. c. labor. d. capital expenditure.

ANSWER: b RATIONALE: The profit budget shows the anticipated differences between sales or revenue and expenses.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO14.3 - Describe budgets and other tools for financial control.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 47. A budget that forecasts the organization’s assets and liabilities if all other budgets are met is called a(n): a. balance sheet. b. revenue. c. fixed asset. d. expense.

ANSWER: a RATIONALE: The balance sheet budget shows a forecast of the organization’s assets and liabilities in the event that all other budgets are met.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO14.3 - Describe budgets and other tools for financial control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:54 AM : DATE MODIFIE 4/7/2025 5:54 AM D: 48. A budget that deals with costs of major assets such as a new plant, machinery, or land is known as a(n): a. capital expenditures. b. balance sheet. c. cash flow. d. expense.

ANSWER: a RATIONALE: A capital expenditures budget shows costs of major assets such as a new plant, machinery, or land.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO14.3 - Describe budgets and other tools for financial control.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 49. A company that specializes in farming equipment has recently acquired an additional building, where all production assembly will take place. In the new building, 40 percent of the plant floor will be devoted to assembly, 10 percent to quality inspection, 30 percent to offices and meeting rooms, and 20 percent to shipping and receiving. Which of the following budgets did the company use to determine and plan the area available for various functions? a. operating b. space c. labor d. revenue ANSWER: b RATIONALE: A space budget shows the square feet or meters of space available for various functions.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO14.3 - Describe budgets and other tools for financial control.

ES: ACCREDITING STAN Analytic DARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 50. Which of the following budgets shows income that the organization expects to receive from normal operations? a. profit b. balance sheet c. cash flow d. revenue ANSWER: d RATIONALE: A sales or revenue budget shows income that the organization expects to receive from normal operations.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.3 - Describe budgets and other tools for financial control.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 51. Which of the following is a financial resource that flows into an organization? a. shareholder investments b. working capital c. retained earnings d. employee salaries ANSWER: a RATIONALE: Financial control is the control of financial resources as they flow into the organization (such as revenues and shareholder investments), are held by the organization (for example, working capital and retained earnings), and flow out of the organization (like employee salaries and operating expenses).

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 52. A manager who applies budgets too rigidly may fail to realize that: a. budgets do not allow managers to identify problem areas. b. budgets do not facilitate effective control. c. budgets fail to link planning and controlling. d. budget adjustments may be needed when circumstances change.

ANSWER: d RATIONALE: Some managers apply budgets too rigidly. Budgets are intended to serve as frameworks, but managers sometimes fail to recognize that changing circumstances may warrant budget adjustments.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 53. Which of the following financial documents shows a listing of all the organization's assets and liabilities at a given point in time? a. balance sheet b. expense budget c. income statement Copyright Cengage Learning. Powered by Cognero.

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d. revenue budget ANSWER: a RATIONALE: A balance sheet lists the assets and liabilities of an organization at a specific point in time, usually the last day of an organization’s fiscal year.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO14.3 - Describe budgets and other tools for financial control.

JECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATE 4/7/2025 5:54 AM D: DATE MODIFIE 4/7/2025 5:54 AM D: 54. If an energy company wants to discover the effectiveness of its wind-turbine division in a particular state, it will use a(n): a. liquidity ratio. b. balance sheet ratio. c. return on investment. d. operating ratio.

ANSWER: d RATIONALE: Operating ratios indicate the effectiveness of specific functional areas rather than that of the total organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.3 - Describe budgets and other tools for financial control.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 55. Which of the following compares different elements of a balance sheet or an income statement to one another? a. expense budget b. profit budget Copyright Cengage Learning. Powered by Cognero.

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c. internal audit d. financial ratio ANSWER: RATIONALE:

d Financial ratios compare different elements of a balance sheet or income statement to one another.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECT LO14.3 - Describe budgets and other tools for financial control.

IVES: ACCREDITING STA Analytic NDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 56. Which of the following summarizes the financial performance of an organization over a period of time? a. balance sheet b. liquidity ratio c. cash flow statement d. income statement ANSWER: d RATIONALE: The income statement summarizes financial performance over a period of time, usually one year.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO14.3 - Describe budgets and other tools for financial control.

VES: ACCREDITING STA Analytic NDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 57. What is the calculation of one or more financial ratios used to assess some aspect of the financial health of an organization? a. ratio statements b. ratio analysis c. ratio budgeting d. ratio auditing Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b Ratio analysis is the calculation of one or more financial ratios to assess some aspect of the financial health of an organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO14.3 - Describe budgets and other tools for financial control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:54 AM : DATE MODIFIED 4/7/2025 5:54 AM : 58. You make herb vinegars, and due to increasing demand, you need to purchase a large commercial kitchen. Which of the following ratios would help a banker assess your ability to meet long-term financial obligations and repay the loan? a. liquidity ratio b. balance sheet c. debt ratio d. operating ratio ANSWER: c RATIONALE: Ratio analysis is the calculation of one or more financial ratios to assess some aspect of the financial health of an organization. Debt ratios reflect ability to meet long-term financial obligations.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: Copyright Cengage Learning. Powered by Cognero.

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59. Which of the following is a profile of some aspect of an organization's financial circumstances? a. external audit b. financial statement c. internal audit d. operating budget ANSWER: b RATIONALE: A financial statement is a profile of some aspect of an organization's financial circumstances. The two most basic financial statements prepared and used by virtually all organizations are a balance sheet and an income statement.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 60. Which of the following ratios assesses the ease with which an organization’s assets can be converted into cash? a. liquidity b. profitabilit y c. debt d. operating ANSWER: a RATIONALE: Liquidity ratios indicate how liquid—or easily converted into cash —an organization’s assets are.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO14.3 - Describe budgets and other tools for financial control.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: DATE MODIFIED:

4/7/2025 5:54 AM 4/7/2025 5:54 AM

61. Which ratio do financial analysts examine to determine if a company can make interest payments on its borrowed capital? a. coverage b. operating c. debt d. return ANSWER: a RATIONALE: Coverage ratios help estimate the organization’s ability to cover interest expenses on borrowed capital.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.3 - Describe budgets and other tools for financial control.

TIVES: ACCREDITING STA Analytic NDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 62. Which of the following statements about financial audits is true? a. Audits can only be conducted by experts who are not employees of the organization. b. Financial audits are always internal to an organization. c. Audits are used to monitor accounting and financial systems within an organization. d. Publicly held corporations are required by law to have internal audits regularly.

ANSWER: c RATIONALE: Financial audits are independent appraisals of an organization’s accounting, financial, and operational systems.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO14.3 - Describe budgets and other tools for financial control.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM

Copyright Cengage Learning. Powered by Cognero.

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63. Which type of budget outlines where an organization expects to obtain cash for the upcoming period and how it plans to allocate those funds? a. debt ratio b. operating c. liquidity d. financial ANSWER: d RATIONALE: A financial budget indicates where the organization expects to get its cash for the coming time period and how it plans to use it.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLE False S: LEARNING OBJ LO14.3 - Describe budgets and other tools for financial control.

ECTIVES: ACCREDITING Analytic STANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED 4/7/2025 5:54 AM : DATE MODIFIED 4/7/2025 5:54 AM : 64. Which of the following is true of the return ratio? a. It indicates how easily an organization’s assets are converted into cash. b. It reflects an organization’s ability to meet long-term financial obligations. c. It shows managers and investors the earnings an organization is generating relative to its assets. d. It helps estimate an organization’s ability to cover interest expenses on borrowed capital.

ANSWER: c RATIONALE: Return ratios show managers and investors how much return an organization is generating relative to its assets.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJE LO14.3 - Describe budgets and other tools for financial control.

CTIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED: 4/7/2025 5:54 AM 65. Which of the following statements is true of auditing? a. External audits tend to be more expensive than internal audits. b. External audits are handled by employees of the organization. c. Organizations contract with certified public accountants for external audits. d. All organizations are required to have a permanent internal auditing staff.

ANSWER: c RATIONALE: External audits are typically concerned with determining whether the organization’s accounting procedures and financial statements are compiled in an objective and verifiable fashion. The organization contracts with a certified public accountant for this service.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 66. Which type of budget is expressed in terms of units of output, hours of direct labor, machine-hours, or square-foot allocations? a. nonmonetary b. financial c. operating d. liquidity ANSWER: a RATIONALE: A nonmonetary budget is simply a budget expressed in terms such as units of output, hours of direct labor, machine-hours, or square-foot allocations.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO14.3 - Describe budgets and other tools for financial control.

JECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Reflective Thinking G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 67. Which of the following is true of the operating ratio? a. It reflects ability to meet long-term financial obligations. b. It shows managers and investors how much return the organization is generating relative to its assets. c. It helps estimate the organization’s ability to cover interest expenses on borrowed capital. d. It indicates the effectiveness of specific functional areas rather than that of the total organization.

ANSWER: d RATIONALE: Operating ratios indicate the effectiveness of specific functional areas rather than that of the total organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJEC LO14.3 - Describe budgets and other tools for financial control.

TIVES: ACCREDITING ST Analytic ANDARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 68. A manager at a supermarket needs to know how easily the store’s assets can be converted into cash. Which of the following ratios will he use? a. debt ratio b. return ratio c. liquidity ratio d. coverage ratio ANSWER: c RATIONALE: Liquidity ratios indicate how liquid, or easily converted into cash, an organization’s assets are.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJECTI LO14.3 - Describe budgets and other tools for financial control.

VES: ACCREDITING STAN Reflective Thinking DARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 69. What is an appraisal of an organization’s accounting and financial procedures conducted by its own employees called? a. internal b. debt c. ratio d. externa l ANSWER: a RATIONALE: An internal audit is a financial audit handled by employees of the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVE LO14.3 - Describe budgets and other tools for financial control.

S: ACCREDITING STANDA Analytic RDS: TOPICS: Financial Control KEYWORDS: Financial Control DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 70. Which of the following is a potential disadvantage of using a budget? a. Organizational performance is measured against the budget. b. Budgets are time consuming to create and monitor. c. They do not work well with the planning process. d. The budget can be applied too rigidly.

ANSWER: d RATIONALE: Some managers apply budgets too rigidly. Budgets are intended to serve as frameworks, but managers sometimes fail to recognize that changing circumstances may warrant budget adjustments.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 71. Which type of organizational member is most likely to use a nonmonetary budget? a. controllers b. CEOs c. plant managers d. division heads ANSWER: c RATIONALE: Nonmonetary budgets are most commonly used by managers at the lower levels of an organization. For example, a plant manager can schedule work more effectively knowing that they have 8,000 labor hours to allocate in a week, rather than trying to determine how to best spend $86,451 in wages in a week.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 72. You are determining how many units of production must be completed each shift to make your goal this month. Which type of budget are you developing? a. space b. productio n c. labor d. sales ANSWER: b Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

A production budget shows the number of units to be produced during the coming time period.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO14.3 - Describe budgets and other tools for financial control.

VES: ACCREDITING STAN Analytic DARDS: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 73. Why are financial budgets considered to be critically important to an organization? a. They indicate where resources will be coming from and how they will be used. b. They help managers coordinate projects. c. They help define the established standards for control all managers must use. d. They indicate the true cost of goods sold.

ANSWER: a RATIONALE: A financial budget indicates where the organization expects to get its cash for the coming time period and how it plans to use it. Because financial resources are critically important, the organization needs to know where those resources will be coming from and how they are to be used.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 74. You are reviewing how well your employee is managing their budget this year. Why would you review how well the employee is managing the budget? a. to determine where the employee’s department will get its cash for the coming year Copyright Cengage Learning. Powered by Cognero.

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b. to create a balance sheet budget c. to comply with legally mandated auditing processes d. to evaluate the performance of the employee and their organizational unit ANSWER: d RATIONALE: Budgets serve four primary purposes. They help managers coordinate resources and projects (because they use a common denominator, usually dollars). They help define the established standards for control.

They provide guidelines about the organization’s resources and expectations. Finally, budgets enable the organization to evaluate the performance of managers and organizational units.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 75. Even though internal audits are more expensive than external audits, many employers do them. What is the advantage to an internal audit? a. ability to assure investors that financial reports are reliable b. to better understand how external documents are prepared c. to create specialization in types of review, such as legal, staffing, or manufacturing d. to identify significant aspects of accounting systems, other than technical correctness ANSWER: d RATIONALE: Because the staff members who conduct them are a permanent part of the organization, internal audits tend to be more expensive than external audits. But employees, who are more familiar with the organization’s practices, may also point out significant aspects of the accounting system besides its technical correctness.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Remember DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 76. The goal of bureaucratic control is to: a. support employee participation in the control function. b. produce performance above minimum acceptable standards. c. get employee compliance. d. increase group performance.

ANSWER: c RATIONALE: The goal of bureaucratic control is employee compliance.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO14.4 - Distinguish between two opposing forms of structural control.

ACCREDITING STANDAR Analytic DS: TOPICS: Structural Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 77. Which of the following is characteristic of the bureaucratic approach to organizational control? a. Rewards are directed at group performance. b. Organizational structure is flat. c. Employee participation is extended and informal. d. Reliance is on strict rules and a rigid hierarchy.

ANSWER: d RATIONALE: Organizations that use bureaucratic control rely on strict rules and a rigid hierarchy.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO14.4 - Distinguish between two opposing forms of structural ES: control.

ACCREDITING STAND Analytic Copyright Cengage Learning. Powered by Cognero.

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ARDS: TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Structural Control Bloom's: Understand 4/7/2025 5:54 AM 4/7/2025 5:54 AM

78. Organizations that use the bureaucratic control are characterized by: a. organic structural arrangements. b. rewards focused on group performance. c. limited employee participation. d. heavy reliance on group norms.

ANSWER: c RATIONALE: Organizations that use bureaucratic control allow only limited and formal employee participation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO14.4 - Distinguish between two opposing forms of structural VES: control.

ACCREDITING STA Analytic NDARDS: TOPICS: Structural Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 79. A company a detailed performance appraisal system. Employees must meet minimally acceptable levels of performance and are rewarded based upon their individual performance. The company most likely uses what type of control? a. strategic b. decentralized c. bureaucratic d. organic ANSWER: c RATIONALE: Organizations that use bureaucratic control rely on strict rules and a rigid hierarchy, insist that employees met minimally acceptable levels of performance, and often have a tall structure.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.4 - Distinguish between two opposing forms of structural control.

BJECTIVES: Copyright Cengage Learning. Powered by Cognero.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Structural Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 80. Which type of control is an approach to organization design characterized by formal and mechanistic structural arrangements? a. decentralized b. screening c. bureaucratic d. financial ANSWER: c RATIONALE: Bureaucratic control is an approach to organization design characterized by formal and mechanistic structural arrangements.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: HAS VARIABLES False : LEARNING OBJ LO14.4 - Distinguish between two opposing forms of structural control.

ECTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Structural Control KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED 4/7/2025 5:54 AM : 81. Decentralized control is characterized by: a. formal rules. b. an organic structural arrangement. c. focus on employee compliance. d. a tall structure.

ANSWER: b RATIONALE: Decentralized control is an approach to organizational control characterized by informal and organic structural arrangements.

POINTS: 1 DIFFICULTY: Easy QUESTION TYP Multiple Choice E: Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLES False : LEARNING OBJ LO14.4 - Distinguish between two opposing forms of structural control.

ECTIVES: ACCREDITING S Analytic TANDARDS: TOPICS: Structural Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED 4/7/2025 5:54 AM : 82. Which of the following is an important element of decentralized control? a. group norms b. rigid hierarchy c. tall organization structure d. individual performance ANSWER: a RATIONALE: Decentralized control relies heavily on group norms and a strong corporate culture, and gives employees the responsibility for controlling themselves.

POINTS: 1 DIFFICULTY: Easy QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING OB LO14.4 - Distinguish between two opposing forms of structural control.

JECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Structural Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 83. A company has a fairly flat organizational structure. Employees have responsibility for controlling themselves, and rewards are given for group performance. The company most likely uses what type of control? a. bureaucratic b. decentralized c. financial d. mechanistic ANSWER: b RATIONALE: The goal of decentralized structural control is employee Copyright Cengage Learning. Powered by Cognero.

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commitment to the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIV LO14.4 - Distinguish between two opposing forms of structural ES: control.

ACCREDITING STAN Analytic DARDS: TOPICS: Structural Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 84. At a mid-size technology firm, employees are encouraged to participate in various organizational roles and decisionmaking functions. Top management relies on a strong corporate culture to foster employee commitment to the organization. The firm uses what type of structural control? a. bureaucratic b. strategic c. decentralized d. mechanistic ANSWER: c RATIONALE: The goal of decentralized control is employee commitment to the organization. Accordingly, it relies heavily on group norms and a strong corporate culture. Organizations using this approach direct rewards at group performance and favor widespread employee participation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.4 - Distinguish between two opposing forms of structural control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Structural Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 85. Which organizational design uses a tall structure with top-down influence? a. decentralized b. postactional c. bureaucratic Copyright Cengage Learning. Powered by Cognero.

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d. organic ANSWER: RATIONALE:

c The organizational design of bureaucratic control is a tall structure with top-down influence.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTI LO14.4 - Distinguish between two opposing forms of structural VES: control.

ACCREDITING STAN Analytic DARDS: TOPICS: Structural Control KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 86. You are a manager in a decentralized company where you have significant control over what is considered acceptable employee behavior. Last week, one of your employees wore shorts to work. While there is no formal dress code, you found this attire too casual and unacceptable. Now, you are concerned that other employees may start wearing shorts as well. What steps can you take to prevent this behavior from continuing? a. Ignore the behavior and hope it does not happen again. b. Establish a committee to determine what is acceptable and what is not. c. Develop a set of specific written guidelines. d. Deal with inappropriate attire on a case-by-case basis.

ANSWER: d RATIONALE: When making the decision to “go casual,” some firms resist the temptation to develop dress guidelines. Instead, managers decided to allow employees to exercise discretion over their attire and to deal with clearly inappropriate situations on a case-by-case basis.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.4 - Distinguish between two opposing forms of structural control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Structural Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: Copyright Cengage Learning. Powered by Cognero.

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87. In a decentralized organization, where are rewards generally directed? a. following of rules b. role in the hierarchy c. meeting minimally accepted standards d. group performance ANSWER: d RATIONALE: Decentralized control is an approach to organizational control characterized by informal and organic structural arrangements. They direct rewards at group performance and favor widespread employee participation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.4 - Distinguish between two opposing forms of structural control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Structural Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 88. Which of the following types of control focuses on leadership and technology control systems? a. bureaucrati c b. structural c. operations d. strategic ANSWER: d RATIONALE: Structural control generally focuses on five aspects of organization— structure, leadership, technology, human resources, and information and operational control systems.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

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ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 89. International organizations that use what type of strategic control believe it is effective because it allows the home office to be better informed of the performance of foreign units? a. organic b. centralized c. mechanistic d. bureaucrati c ANSWER: b RATIONALE: Organizations that use centralized control believe it is effective because it allows the home office to keep better informed of the performance of foreign units and to maintain more control over how decisions are made.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 90. Organizations make the decision on whether to have a centralized or decentralized international control system when they are addressing issues of what type of control? a. screening b. strategic c. financial d. bureaucrati c ANSWER: b RATIONALE: Organizations addressing strategic control have to decide whether to manage control from a centralized or a decentralized perspective.

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Strategic control generally focuses on five aspects of organizations— structure, leadership, technology, human resources, and information and operational control systems.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 91. A multinational construction firm does not require its various divisions to report frequently to the head office. The organization believes in letting each manager have the authority to respond quickly to environmental changes. These managerial actions do not have to be approved by the head office before they are implemented. This firm uses what type of strategic control? a. bureaucratic b. mechanistic c. decentralized d. formalized ANSWER: c RATIONALE: Organizations that use a decentralized control system require foreign branches to report less frequently and in less detail. Similarly, visits from the home office are less frequent and less concerned with monitoring and assessing performance.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:54 AM ED: 92. International firms which use what type of strategic control require each organization unit around the world to frequently report the results of its performance to headquarters? a. decentralized b. organic c. screening d. centralized ANSWER: d RATIONALE: Under a centralized system of strategic control, each organization unit around the world is responsible for frequently reporting the results of its performance to headquarters.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 93. Which type of control is aimed at ensuring that an organization is maintaining an effective alignment with its environment and moving toward achieving its strategic goals? a. decentralized b. structural c. strategic d. operations ANSWER: c RATIONALE: Strategic control is aimed at ensuring that an organization is maintaining an effective alignment with its environment and moving toward achieving its strategic goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 94. Under which system of strategic control will managers from the home office visit foreign branches to observe firsthand how the units are functioning? a. decentralized b. organic c. bureaucratic d. centralized ANSWER: d RATIONALE: Under a centralized system of strategic control, managers from the home office often visit foreign branches to observe firsthand how the units are functioning.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 95. Why should a firm periodically examine its structure? a. to evaluate its capital expenditures b. to determine whether it is facilitating the attainment of its strategic goals c. to increase shareholder value d. to evaluate the competition ANSWER: b RATIONALE: A firm should periodically examine its structure to determine whether it is facilitating the attainment of its strategic goals.

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POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE Multiple Choice : HAS VARIABLES: False LEARNING OBJE LO14.5 - Explain the relationship between strategy and control, CTIVES: including international strategic control.

ACCREDITING S Analytic TANDARDS: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM

96. You developed a line of gluten- and dairy-free power bars that is gaining the attention of health-minded consumers.

Brand awareness is growing rapidly. Future sales growth will depend on rapid expansion into new locations and through new types of sales channels. The extent to which you are able to meet these expansion goals should be regulated through which control measures? a. operation s b. financial c. structural d. strategic ANSWER: d RATIONALE: The extent to which you are able to meet these expansion goals should be regulated through strategic control measures. Sales growth into new locations and through new types of sales channels is a strategic goal.

Strategic controls serve to ensure that the organization is meeting its business goals.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: Copyright Cengage Learning. Powered by Cognero.

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97. An organization has experienced rapid growth and has expanded into the South American market. Since completing the new facility three years ago, the company's South American division has struggled to meet strategic goals of growth and full-scale production. How should top management handle the strategic control variance? a. Determine why the facility is not attaining its goals. b. Adopt a new core technology. c. Close the South American operations. d. Allocate additional research money to improve operational processes.

ANSWER: a RATIONALE: When strategic control variables indicate a failure to attain organizational goals, a correction to one of the variables—structure, leadership, technology, human resources, or information/operational control systems —is necessary. Strategic control focuses on the extent to which implemented strategy achieves the organization’s strategic goals. If one or more avenues of implementation are inhibiting the attainment of goals, that avenue should be changed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.5 - Explain the relationship between strategy and control, including BJECTIVES: international strategic control.

ACCREDITIN Analytic G STANDARD S: TOPICS: Strategic Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 98. Managers can improve the effectiveness of the control system by: a. preventing the development of verification procedures. b. controlling as many things in the organization as possible. c. focusing only on quantifiable variables. d. integrating control with planning.

ANSWER: d RATIONALE: Control should be linked with planning. The more explicit and precise this linkage, the more effective the control system is. The best way to integrate planning and control is to account for control as plans develop.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: Copyright Cengage Learning. Powered by Cognero.

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LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 99. Which of the following is a characteristic of effective control? a. It provides timely information. b. It is separate from planning. c. It is rigid. d. It is subjective.

ANSWER: a RATIONALE: Control systems tend to be most effective when they are integrated with planning and when they are flexible, accurate, timely, and objective. An effective control system is timely, which means that it provides information as often as is necessary.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 100. Which of the following control systems is most likely to be highly effective? a. a control system that provides information as often as is necessary b. a control system that focuses only on quantifiable variables c. a control system that is loosely linked with planning d. a control system that provides subjective information ANSWER: a Copyright Cengage Learning. Powered by Cognero.

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RATIONALE:

A timely control system provides information as often as is necessary.

Control systems tend to be most effective when they are integrated with planning and when they are flexible, accurate, timely, and objective.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 101. An organizational control system that enforces unique employee dress codes for different days of the week is guilty of: a. overcontrol. b. inappropriate focus. c. rewarding inefficiency. d. too much accountability.

ANSWER: a RATIONALE: Overcontrol becomes especially problematic when it directly affects employee behavior. An organization that instructs its employees when to come to work, where to park, when to have morning coffee, and when to leave for the day is exerting considerable control over people’s daily activities.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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ED: 102. You are a professor at a state university and want to introduce a new examination format. To reduce resistance to change, you decide to poll your students for their input. What strategy are you using? a. participation b. planning c. appropriate focus d. high standards ANSWER: a RATIONALE: Participation can help overcome resistance to change. Two ways to overcome resistance are encouraging participation and developing verification procedures.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 103. An employee at a mid-size organization claims that they have made more sales in a particular quarter than another employee. Which of the following features will the organization’s control system possess to confirm this claim? a. participation b. verification procedures c. appropriate focus d. high standards ANSWER: b RATIONALE: Multiple standards and information systems provide checks and balances in control and allow the organization to verify the accuracy of performance indicators.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people Copyright Cengage Learning. Powered by Cognero.

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BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 104. When is a control system considered to be flexible? a. when there is little linkage between control and planning b. when it can accommodate change c. when less frequent measurement is needed d. when information is as subjective ANSWER: b RATIONALE: The control system must be flexible enough to accommodate change.

When a change in product line changes the number of raw materials needed, or when the required quantities of the existing materials change, the control system should be flexible enough to handle the revised requirements.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 105. Managers at an auto parts company decided to broaden their product line beyond spark plugs. They decided what level of sales they wanted for each product for each of the next five years. How has the company linked their control system? a. by integrating it with planning b. by incorporating flexibility c. by using accurate measures d. by using subjective goals Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

a Control should be linked with planning. The more explicit and precise this linkage, the more effective the control system is. The best way to integrate planning and control is to account for control as plans develop.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 106. You want to ensure your employees are putting in enough effort to handle their responsibilities on time. To achieve this, you set up performance standards and require employees to complete weekly control sheets reporting their activities.

Which element of control are you implementing? a. participation b. overcontrol c. accountability d. rewards for inefficiency ANSWER: c RATIONALE: Effective controls allow managers to determine whether employees successfully discharge their responsibilities. If standards are properly set and performance accurately measured, managers know when problems arise and which departments and individuals are responsible.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFI 4/7/2025 5:54 AM ED: 107. You finished your current project four days ahead of schedule, just like you did earlier this year. However, instead of submitting it early and securing your next assignment, you decide to hold on to it until the due date. You are concerned that if you consistently meet deadlines early, your manager might start giving you shorter schedules for future projects.

Your resistance to control is based on what? a. overcontrol b. inappropriate focus c. rewards for inefficiency d. too much accountability ANSWER: c RATIONALE: Your resistance to control is based on rewards for inefficiency. If you demonstrate efficiency, you may get less time on future projects, and there is no indication that you are rewarded in any way for beating the deadline.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 108. What is the goal of effective controls in organizations? a. to successfully regulate and monitor activities b. to integrate planning with control systems c. to encourage flexibility d. to be accurate and timely ANSWER: a RATIONALE: Effective control, whether at the operations, financial, structural, or strategic level, successfully regulates and monitors organizational activities. To use the control process, managers must recognize the characteristics of effective control and understand how to identify and overcome occasional resistance to control.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 109. What is the best way to integrate planning and control? a. by accounting for control as plans develop b. by developing controls that support plans c. by preparing to accommodate change d. by preparing plans and controls and quickly as possible ANSWER: a RATIONALE: Control should be linked with planning. The more explicit and precise this linkage, the more effective the control system is. The best way to integrate planning and control is to account for control as plans develop.

In other words, as goals are set during the planning process, attention should be paid to developing standards that will reflect how well the plan is realized.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 110. Timeliness means providing information when necessary. When would the need for timely information be high? a. when verification procedures are effective Copyright Cengage Learning. Powered by Cognero.

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b. when there is inappropriate focus c. when circumstances are unstable d. when there are high levels of objectivity ANSWER: c RATIONALE: Timeliness does not necessarily mean quickness. Rather, it describes a control system that provides information as often as is necessary. In general, the more uncertain and unstable the circumstances, the more often measurement is needed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 111. When are attempts to control procedures in the workplace most likely to become problematic, and employees more likely to resist control? a. when there is little objectivity b. when employees feel they are unreasonable c. when circumstances are unstable d. when there is little accountability ANSWER: b RATIONALE: Occasionally, organizations try to control too many things. This becomes especially problematic when the control directly affects employee behavior. Troubles arise when employees perceive these attempts to limit their behavior as being unreasonable.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: Copyright Cengage Learning. Powered by Cognero.

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TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 112. When is it important to provide checks and balances in control systems? a. when control is highly integrated with planning functions b. when control measurements are objective c. when there is little resistance to control d. to verify the accuracy of performance indicators ANSWER: d RATIONALE: Multiple standards and information systems provide checks and balances in control and allow the organization to verify the accuracy of performance indicators.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 113. When you began the redesign of the plant floor layout, you knew some employees would resist the changes you were likely to propose. What should you do to overcome this resistance? a. encourage employee participation b. provide information as quickly as possible c. decentralize the process d. develop verification procedures ANSWER: a RATIONALE: Participation can help overcome resistance to change. By the same token, when employees are involved with planning and implementing the control system, they are less likely to resist it.

POINTS: 1 DIFFICULTY: Moderate Copyright Cengage Learning. Powered by Cognero.

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QUESTION TY Multiple Choice PE: HAS VARIABL False ES: LEARNING O LO14.6 - Identify characteristics of effective control including why people BJECTIVES: resist control and how managers can overcome this resistance.

ACCREDITIN Analytic G STANDARD S: TOPICS: Managing Control in Organizations KEYWORDS: Bloom's: Apply DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 114. What is screening control? Provide an example.

ANSWER: Screening control focuses on meeting standards for product or service quality or quantity during the actual transformation process itself. Screening control relies heavily on feedback processes. For example, in a Dell assembly factory, computer system components are checked periodically as each unit is being assembled. This is done to ensure that all the components that have been assembled up to that point are working properly. The periodic quality checks provide feedback to workers so that they know what, if any, corrective actions to take. Because they are useful in identifying the cause of problems, screening controls tend to be used more often than other forms of control.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO14.2 - Identify the three forms of operations control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Structural Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 115. Describe the three broad classes of budgets.

A financial budget indicates where the organization expects to get its cash for ANSWER: the coming time period and how it plans to use it. Because financial resources are critically important, the organization needs to know where those resources Copyright Cengage Learning. Powered by Cognero.

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will be coming from and how they are to be used. The financial budget provides answers to both these questions. Usual sources of cash include sales revenue, short- and long-term loans, the sale of assets, and the issuance of new stock.

An operating budget is concerned with planned operations within the organization. It outlines what quantities of products or services the organization intends to create and what resources will be used to create them.

A nonmonetary budget is simply a budget expressed in nonfinancial terms, such as units of output, hours of direct labor, machine hours, or square-foot allocations. Nonmonetary budgets are most commonly used by managers at the lower levels of an organization.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False ES: STUDENT EN Basic TRY MODE: LEARNING O LO14.3 - Describe budgets and other tools for financial control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Financial Control KEYWORDS: Bloom's: Understand DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED: 116. Compare the bureaucratic and decentralized models of organizational control.

ANSWER: Bureaucratic control is an approach to organization design characterized by formal and mechanistic structural arrangements. As the term suggests, it follows the bureaucratic model. The goal of bureaucratic control is employee compliance. Organizations that use it rely on strict rules and a rigid hierarchy, insist that employees meet minimally acceptable levels of performance, and often have a tall structure. They focus their rewards on individual performance and allow only limited and formal employee participation.

Decentralized control, in contrast, is an approach to organizational control characterized by informal and organic structural arrangements. Accordingly, it relies heavily on group norms and a strong corporate culture, and gives employees the responsibility for controlling themselves. Employees are encouraged to perform beyond minimally acceptable levels. Organizations using this approach are usually relatively flat. They direct rewards at group performance and favor widespread employee participation.

POINTS: 1 DIFFICULTY: Moderate QUESTION TY Essay PE: HAS VARIABL False Copyright Cengage Learning. Powered by Cognero.

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ES: STUDENT EN Basic TRY MODE: LEARNING O LO14.4 - Distinguish between two opposing forms of structural control.

BJECTIVES: ACCREDITIN Analytic G STANDARD S: TOPICS: Structural Control KEYWORDS: Bloom's: Analyze DATE CREAT 4/7/2025 5:54 AM ED: DATE MODIFI 4/7/2025 5:54 AM ED:

Copyright Cengage Learning. Powered by Cognero.

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Chapter 15 - Managing Operations, Supply Chains, Quality and Productivity 1. A company purchases electronic components, assembles them into PCs, and then ships them to customers. In this process, what do the electronic components represent for the company? a. outputs b. products c. processes d. inputs ANSWER: d RATIONALE: Operations management is the set of managerial activities used by an organization to transform resource inputs into products and services.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 2. Which of the following best describes a service organization? a. an organization that transforms raw materials into physical products b. an organization that creates time or place utility for its customers by providing intangible outputs c. an organization that focuses on the production of tangible goods d. an organization that only deals with the sale of products ANSWER: b RATIONALE: A service organization is one that transforms resources into an intangible output and creates time or place utility for its customers.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 3. Which of the following best describes how operations create value for a physical product? a. by improving the accessibility of the product b. by combining many dissimilar inputs to make something more valuable c. by making the product available at the right time d. by transporting the product to various locations Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b If a product is a physical good, operations create value and provide form utility by combining many dissimilar inputs to make something that is more valuable than the actual cost of the inputs used to create it.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 4. You run an office furniture company. The wood, metal, fabrics, and plastics that it uses to manufacture chairs, desks, tables, and cabinets are all: a. outcomes. b. products. c. services. d. resources.

ANSWER: d RATIONALE: Manufacturing is a form of business that combines and transforms resources into tangible outcomes that are then sold to others. The materials you use to make the furniture are all resources.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 5. Fast-food restaurants that assemble breads, spreads, and fillings as per the customers’ preferences work in: a. service. b. manufacturing. c. operations management. d. importing.

ANSWER: c RATIONALE: Operations management is the set of managerial activities used by an organization to transform resource inputs into products and services.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 6. An organization that transforms resources into an intangible output in order to create time or place utility for its customers is known as what type of company? a. an outsourcing b. a service c. a manufacturing d. product-service mix ANSWER: b RATIONALE: A service organization is one that transforms resources into an intangible output and creates time or place utility for its customers.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 7. During the 1970s in the United States, manufacturing entered a long period of decline. Which of the following is the primary reason for this decline? a. modernization of plants b. rise in unemployment c. growth in the service sector d. foreign competition ANSWER: d RATIONALE: During the 1970s, manufacturing entered a long period of decline in the United States, primarily because of foreign competition.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Understand Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: DATE MODIFIED:

4/7/2025 5:54 AM 4/7/2025 5:54 AM

8. A convenience store at the gas station provides utility for customers because it makes it easy for them to purchase a few essentials when they stop for gasoline. The convenience store belongs to what type of industry? a. service b. manufacturin g c. automotive d. importing ANSWER: a RATIONALE: A service organization transforms resources into an intangible output in order to create time utility for its customers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 9. Which sector helped prevent the U.S. economy from declining at the same rate during the decline of the manufacturing sector? a. technology sector b. agricultural sector c. service sector d. construction sector ANSWER: c RATIONALE: During the decline of the manufacturing sector, a tremendous growth in the service sector kept the U.S. economy from declining at the same rate.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 10. A dry cleaning company is what type of organization because it creates time utility for its customers? a. manufacturin Copyright Cengage Learning. Powered by Cognero.

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g b. production c. service d. optimal ANSWER: RATIONALE:

c A service organization is one that transforms resources into an intangible output and creates time or place utility for its customers.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 11. What is a form of business that combines and transforms resources into tangible outcomes that are then sold to others? a. service b. manufacturin g c. outsourcing d. licensing ANSWER: b RATIONALE: Manufacturing is a form of business that combines and transforms resources into tangible outcomes that are then sold to others.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 12. In which way can a service organization take advantage of the lessons learned by manufacturing firms? a. computer-assisted production b. automation technologies c. cellular layouts d. procedures for purchasing raw materials ANSWER: d RATIONALE: There are many procedures that are similar for manufacturing and service Copyright Cengage Learning. Powered by Cognero.

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industries. For example, managers of automobile plants and hair salons both have to decide how to design their facilities, identify the best locations for them, determine optimal capacities, make decisions about inventory storage, set procedures for purchasing raw materials, and set standards for productivity and quality.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 13. Which of the following describes the managerial activities used by an organization to transform resources into products or services? a. capacity b. product-service mix c. operations management d. manufacturing ANSWER: c RATIONALE: Operations management is the set of managerial activities used by an organization to transform resource inputs into products and services.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 14. As a financial planner for a large organization, you meet with clients and advise them on investments and retirement planning. What type of organization do you work for? a. service b. manufacturin g c. utility d. technology ANSWER: a RATIONALE: A service organization is one that transforms resources into an intangible output and creates time or place utility for its customers.

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POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 15. What is the outcome when an organization uses its operations function effectively? a. improved manufacturing processes b. less reliance on value and utility functions c. improved quality but at the cost of productivity d. increased competitiveness ANSWER: d RATIONALE: Operations is an important functional concern for organizations because efficient and effective management of operations goes a long way toward ensuring competitiveness and overall organizational performance, as well as enhancing quality and productivity.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 16. In what way does operations management affect the economic stability of a firm? a. by more effective use of purchasing management b. by determining process layouts c. by bringing customers and products made by others together d. by combining resources into something more valuable than the cost of the individual resources ANSWER: d RATIONALE: In an economic sense, operations management creates value and utility of one type or another, depending on the nature of the firm’s products or services.

Operations creates value and provides form utility by combining many dissimilar inputs to make something that is more valuable than the actual cost of the inputs used to create it.

POINTS:

1

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DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 17. As a growing sector of the U.S. economy, what did the service sector contribute to the private-sector gross domestic product (GDP) in 2018? a. 15 percent of GDP b. 35 percent of GDP c. 50 percent of GDP d. 65 percent of GDP ANSWER: d RATIONALE: In 1947, the service sector was responsible for less than half of the U.S. gross national product (GNP). By 1975, however, this figure had reached 65 percent.

And in 2018 the service sector accounted for nearly 80 percent of the privatesector gross domestic product (GDP) and provided 100 million jobs.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.1 - Describe the nature of operations management.

ACCREDITING STANDARDS: Analytic TOPICS: The Nature of Operations Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 18. Decisions regarding quality, cost, and design of products and services are all part of what mix? a. product-capacity b. product-service c. facilities-service d. service-location ANSWER: b RATIONALE: The product-service mix decision addresses how many and what kinds of products or services (or both) to offer. Decisions also have to be made regarding the level of quality desired, the optimal cost of each product or service, and exactly how each is to be designed.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJECTIVES:

LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 19. An insurance company insures athletes who have multimillion-dollar contracts and pays them a sum of money when they are injured or unable to play. Athletes buy the insurance policies as a way to protect themselves. The insurance company’s decision to specialize in this type of insurance addresses their decision regarding: a. product-service mix. b. capacity. c. layout. d. location.

ANSWER: a RATIONALE: The product-service mix decision addresses how many and what kinds of products or services (or both) to offer.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 20. Which of the following is addressed when considering making a capacity decision? a. amount of products to be manufactured b. location for storage of product c. type of products manufactured d. quality of products to be manufactured ANSWER: a RATIONALE: The capacity decision addresses the amount of products, services, or both that can be produced by an organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Copyright Cengage Learning. Powered by Cognero.

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TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Designing Operations Systems Bloom's: Remember 4/7/2025 5:54 AM 4/7/2025 5:54 AM

21. A manufacturer of leather handbags, accessories, shoes, and clothing represents what type of Upsilon decision? a. layout b. promotion-distribution c. capacity d. product-service mix ANSWER: d RATIONALE: The product-service mix decision addresses how many and what kinds of products or services (or both) to offer.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 22. A large chain of department stores strategically places distribution centers throughout the United States. In this context, the chain of stores has made what type of decision? a. product layout b. facilities location c. process layout d. product-service mix ANSWER: b RATIONALE: The facilities location decision addresses the physical locations where products or services are created, stored, and distributed.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 5:54 AM

23. When you went to the emergency room, the doctor thought you broke your wrist, and sent you to another part of the hospital for an X-ray. When the break was confirmed, you were sent to a separate area to have a cast put on. In this example, which type of layout does the hospital have? a. product layout b. cellular layout c. random layout d. process layout ANSWER: d RATIONALE: Process layouts are used in operations settings that create or process a variety of products. In a process layout, each type of conversion task is centralized in a single workstation or department.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 24. The physical positioning or geographic site of an office or factory is what type of decision? a. facilities b. layout c. capacity d. location ANSWER: d RATIONALE: Location is the physical positioning or geographic site of facilities and must be determined by the needs and requirements of the organization.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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25. Which type of layouts are used in operations settings that create a variety of products, and each step of the conversion task has a different workstation or department? a. product b. cellular c. random d. process ANSWER: d RATIONALE: Process layouts are used in operations settings that create or process a variety of products.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 26. In a toy manufacturing factory, the employees are stationed along the assembly line. As a toy moves along the assembly line, each employee stationed in their position adds a particular part to the toy. The toy factory has what type of layout? a. process b. cellular c. fixed-point d. product ANSWER: d RATIONALE: A product layout is appropriate when large quantities of a single product are needed. A straight-line flow of work is best for a product when a specific task is performed at each workstation as each unit flows past.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM

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27. A company that makes golf clubs has a layout where each set has up to 12 clubs and each club in the set is slightly different from the other. Which of the following types of layout does the manufacturing plant have? a. product b. cellular c. fixed-position d. random ANSWER: b RATIONALE: Cellular layouts are used when families of products can follow similar flow paths.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 28. You work in a residential construction company and travel to the job site to build a house. The residential construction uses what type of layout? a. product b. cellular c. random d. fixed-position ANSWER: d RATIONALE: The fixed-position layout is used when the organization is creating a few very large and complex products.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 29. What type of layout is used when the organization is creating a few very large and complex products? a. product b. cellular Copyright Cengage Learning. Powered by Cognero.

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c. fixed-position d. process ANSWER: RATIONALE:

c The fixed-position layout is used when the organization is creating a few very large and complex products.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 30. Most traditional assembly lines use what type of layout? a. product b. cellular c. random d. fixed-position ANSWER: a RATIONALE: A product layout is appropriate when large quantities of a single product are needed. Most traditional assembly lines use this format.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 31. Which of the following is a key aspect of process layout? a. It does not work in service industries. b. It centralizes each type of conversion task in a single workstation or department. c. It is used for creating a few very large and complex products. d. Its setup of conversion tasks is identical to product layouts.

ANSWER: b RATIONALE: Process layouts are used in operations settings that create or process a variety of products or activities. In a process layout, each type of conversion Copyright Cengage Learning. Powered by Cognero.

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task is centralized in a single workstation or department.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 32. When designing operations systems, one should start by determining the: a. capacity. b. location. c. product-service mix. d. layout.

ANSWER: c RATIONALE: A natural starting point in designing operations systems is determining the product-service mix. This decision flows from corporate, business, and marketing strategies. Managers have to make a number of decisions about their products and services, starting with how many and what kinds to offer.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 33. You are planning a new manufacturing facility for a line of remote-controlled superheroes. You are afraid that if you build a plant that is too small, you may miss opportunities, but if you build a plant that is too large, you will incur expenses that cannot be covered. What should you use when deciding how much capacity to plan for? a. demand b. layout options c. process layout d. quality standards ANSWER: a RATIONALE: A major consideration in determining capacity is demand. A company operating with fairly constant monthly demand might build a plant capable of producing an amount each month roughly equivalent to its demand. But if its market is Copyright Cengage Learning. Powered by Cognero.

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characterized by seasonal fluctuations, building a smaller plant to meet normal demand and then adding extra shifts during peak periods might be the most effective choice.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 34. After a firm decides its product-service mix, what is the logical next step? a. Design an efficient operations system. b. Determine the location of production facilities. c. Decide on effective product layouts. d. Determine capacity.

ANSWER: a RATIONALE: A firm’s product-service mix is determined in large part by corporate or business strategies. A logical next step is to design operations systems to efficiently produce products to be sold with the desired packaging and sizes.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 35. When a firm has built a facility based on demand, how can they respond to times of higher than normal capacity, such as seasonal fluctuations? a. add a production shift b. add new facilities c. add automation d. replace people with robots ANSWER: a RATIONALE: If a market is characterized by seasonal fluctuations, building a smaller plant to meet normal demand and then adding extra shifts staffed with temporary workers or paying permanent workers extra to work more hours during peak Copyright Cengage Learning. Powered by Cognero.

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periods might be the most effective choice.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic TOPICS: Designing Operations Systems KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 36. In automation, what is the flow of information from the machine back to the sensor? a. feedback b. agrimation c. input instruction d. design ANSWER: a RATIONALE: Feedback is the flow of information from the machine back to the sensor.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technology KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 37. Which of the following is true of automation? a. The development of automation has created jobs across all industries. b. Automated machines make more errors. c. Automation discourages innovation. d. Automation helps to improve products and services.

ANSWER: d RATIONALE: Because automated machines operate quickly and make few errors, they increase the amount of work that can be done. Thus, automation helps to improve products and services and fosters innovation.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations Copyright Cengage Learning. Powered by Cognero.

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management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technology KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 38. In automation, what are the parts of the system that gather information and compare it to preset standards? a. feedback systems b. sensors c. robots d. mechanical arms ANSWER: b RATIONALE: In automation, sensors are the parts of the system that gather information and compare it to preset standards.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 39. In automation, which of the following sends instructions to the automatic machine? a. feedback b. sensors c. control mechanism d. steering system ANSWER: c RATIONALE: The control mechanism is the device that sends instructions to the automatic machine.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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40. Which of the following uses computers to design parts and complete products and to simulate performance so that prototypes need not be constructed? a. computer-aided automation b. computerized robotics c. agrimation d. computer-aided design ANSWER: d RATIONALE: Computer-aided design (CAD) is the use of computers to design parts and complete products and to simulate performance so that prototypes need not be constructed.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technology KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 41. Which of the following best explains how CIM, CAD, and CAM work together to enhance scheduling flexibility and complexity? a. CAD and CAM are separate systems that do not interact with CIM. b. CIM automatically adjusts machine settings but does not link with CAD or CAM. c. CIM links CAD and CAM, allowing automatic adjustments to machine placements and settings. d. CIM only improves scheduling by adjusting human resources and not machine settings.

ANSWER: d RATIONALE: In CIM, CAD and CAM are linked together, and computer networks automatically adjust machine placements and settings to enhance both the complexity and the flexibility of scheduling.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technologies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM

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42. The Cuttery is a hair salon. It allows people to make appointments, check wait times, and schedule a stylist online so that there will be no wait time once customers arrive at the salon. The Cuttery uses: a. advancements in service technology. b. advancements in manufacturing technology. c. computer-aided manufacturing. d. computer aided design.

ANSWER: a RATIONALE: Service technology is changing rapidly and it is moving more and more toward automated systems and procedures. A service organization is one that transforms resources into an intangible output and creates time or place utility for its customers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technology KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 43. Which of the following is any artificial device that is able to perform functions ordinarily thought to be appropriate for human beings? a. transformer b. expert system c. resistor d. robot ANSWER: d RATIONALE: A robot is any artificial device that is able to perform functions ordinarily thought to be appropriate for human beings.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technology KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 44. Which of the following includes robotic work units or workstations, assembly lines, and robotic carts or some other form of computer-controlled transport system to move material as needed from one part of the system to another?

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a. agrimations b. flexible manufacturing systems c. call-center systems d. computer-aided design technologies ANSWER: b RATIONALE: Flexible manufacturing systems (FMSs) usually have robotic work units or workstations, assembly lines, and robotic carts or some other form of computer-controlled transport system to move material as needed from one part of the system to another.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 45. Which of the following statements about manufacturing technology is true? a. Computer-assisted manufacturing generates resistance. b. Computer-aided design systems are always reliable. c. Computer-integrated manufacturing systems are inexpensive. d. Computer-aided design systems are very simple.

ANSWER: a RATIONALE: Computer-assisted manufacturing is not without disadvantages. Because they represent fundamental change, they also generate resistance.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technologies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 46. Which of the following uses robot harvesters to pick fruit from a variety of trees? a. agrimation b. flexible manufacturing systems c. computer-aided management d. computer-assisted manufacturing Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

a Automated farming, called agrimation, uses robot harvesters to pick fruit from a variety of trees. A robot is any artificial device that can perform functions ordinarily thought to be appropriate for human beings.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 47. GE wants to change the interior of their dishwashers to create better more efficient water flow and hold more dishes.

What can GE use to determine what the new machine should look like in the preliminary stages? a. computer-aided design b. automation c. computer-assisted manufacturing d. robotics ANSWER: a RATIONALE: Computer-aided design is the use of computers to design parts and complete products and to simulate performance, reducing the need for prototypes.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 48. What is the process of designing work so that it can be completely or almost completely performed by machines? a. agrimation b. automation c. cellular layout d. process layout ANSWER: b RATIONALE: Automation is the process of designing work so that it can be completely or almost completely performed by machines.

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DIFFICULTY: QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

Easy Multiple Choice False LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 49. Even though automation replaces the use of human labor, in the long run, more jobs are added than lost. What is this attributed to? a. more accurate feedback in automated systems b. flexible manufacturing systems c. shortage of skilled workers d. overall economic growth ANSWER: d RATIONALE: In the long term, more jobs tend to be added than are lost. This is attributable to the idea that automation improves overall economic growth, spurring business growth and expansion and thus creating more jobs.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 50. Which of the following directly led to the big move to automate factories after World War II? a. collapse of the coal industry b. the need to control accounting functions c. shortage of skilled workers d. increases in manufacturing efficiencies ANSWER: c RATIONALE: The big move to automate factories began during World War II. The shortage of skilled workers and the development of high-speed computers combined to bring about a tremendous interest in automation.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJECTIVES:

LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 51. What are CAD systems usually combined with to ensure that the design moves smoothly to production? a. supply chain management b. flexible manufacturing systems c. computer-aided manufacturing d. computer-integrated manufacturing ANSWER: c RATIONALE: CAD is usually combined with computer-aided manufacturing (CAM) to ensure that the design moves smoothly to production. The production computer shares the design computer’s information and can have machines with the proper settings ready when production is needed.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 52. What makes CAM an especially powerful and complex management control tool? a. the smooth transition from design to production b. the smooth transition from design to production c. the ability to access all information systems in the company d. the ability to prepare orders and send products out to where it is wanted ANSWER: d RATIONALE: A CAM system is especially useful when reorders come in because the computer can quickly produce the desired product, prepare labels and copies of orders, and send the product out to where it is wanted.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic Copyright Cengage Learning. Powered by Cognero.

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TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Organizational Technologies Bloom's: Remember 4/7/2025 5:54 AM 4/7/2025 5:54 AM

53. Why should an organization carefully consider the use of a CIM system before buying one? a. They must be linked with computer-integrated manufacturing systems. b. They must create new prototypes before use. c. They can increase the breakeven point for firms. d. They only work well at low levels of production.

ANSWER: c RATIONALE: CIM systems are so expensive that they raise the breakeven point for firms using them. This means that the firm must operate at high levels of production and sales to be able to afford the systems.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 54. As a surgeon, you must use precise techniques when in surgery. What can you use that will increase the precision with which you operate? a. computer- assisted manufacturing b. computer-aided design c. agrimation d. robots ANSWER: d RATIONALE: Brain surgeons are assisted by a robot arm that drills into the patient’s skull with extreme precision. A robot is any artificial device that can perform functions ordinarily thought to be appropriate for human beings.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Organizational Technologies KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 5:54 AM

55. What is the process of managing operations control, resource acquisition and purchasing, and inventory to improve overall efficiency and effectiveness? a. supply-chain management b. technology management c. design management d. quality control ANSWER: a RATIONALE: Supply chain management can be defined as the process of managing operations control, resource acquisition and purchasing, and inventory so as to improve overall efficiency and effectiveness.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 56. Which of the following, also called procurement, is at the heart of effective supply chain management? a. automation b. purchasing management c. inventory management d. materials control ANSWER: b RATIONALE: Purchasing management, also called procurement, is concerned with buying the materials and resources needed to create products and services. In many ways, purchasing is at the very heart of effective supply chain management.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 57. Which of the following is concerned with buying the materials and resources needed to produce products and services?

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a. automation b. purchasing management c. inventory management d. materials control ANSWER: RATIONALE:

b Purchasing management is concerned with buying the materials and resources needed to produce products and services.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 58. Within operations, managerial control ensures: a. the goal of low product reliability. b. the goal of high unit production cost. c. lowest possible cost regardless of quality. d. that resources and activities achieve primary goals.

ANSWER: d RATIONALE: Within operations, managerial control ensures that resources and activities achieve primary goals such as a high percentage of on-time deliveries, low unit production cost, or high product reliability.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 59. Which of the following involves managing the organization’s raw materials, work in process, finished goods, and products in transit? a. technology control b. purchasing management c. inventory control Copyright Cengage Learning. Powered by Cognero.

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d. procurement ANSWER: RATIONALE:

c Inventory control involves managing the organization’s raw materials, work in process, finished goods, and products in transit.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 60. Which of the following inventory types provides the components needed to make the product? a. raw materials b. work-in-process c. merchandise d. finished goods ANSWER: a RATIONALE: Raw materials provide the materials needed to make the product.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 61. Rather than relying on hundreds of suppliers, a corporation has recently reduced its number of suppliers and negotiated several special production delivery arrangements. This reflects changes in the corporation is: a. inventory management. b. purchasing management. c. finished goods control. d. facilities management.

ANSWER: b RATIONALE: Purchasing management, also called procurement, is concerned with buying the materials and resources needed to produce products and services. Many firms have recently changed their approaches to purchasing to lower costs and improve quality and productivity.

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POINTS: DIFFICULTY: QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

1 Easy Multiple Choice False LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 62. Which of the following is a source of control for raw materials? a. shop floor control systems b. high-level production scheduling systems c. purchasing models and systems d. distribution control systems ANSWER: c RATIONALE: Purchasing models and systems is a source of control for raw materials.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 63. Which of the following inventory types provides a ready supply of products on customer demand and enables long, efficient production runs? a. raw materials inventory b. work-in-process inventory c. procurements inventory d. finished goods inventory ANSWER: d RATIONALE: The inventory type finished goods provides a ready supply of products on customer demand and enable long, efficient production runs.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False Copyright Cengage Learning. Powered by Cognero.

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LEARNING OBJECTIVES:

LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 64. Which of the following is a source of control for in-transit inventory? a. shop floor control systems b. high-level production scheduling systems c. purchasing models and systems d. distribution control systems ANSWER: d RATIONALE: Distribution control systems is a source of control for in-transit inventory.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 65. The purpose of in-transit inventory is to: a. provide the materials needed to make the product. b. distribute products to customers. c. reduce the organization’s investment on storage space. d. provide ready supply of products on customer demand.

ANSWER: b RATIONALE: The purpose of in-transit inventory is to distribute products to customers.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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66. What is the source of control for finished goods inventory? a. shop floor control systems b. high-level production scheduling systems c. transportation d. distribution control systems ANSWER: b RATIONALE: High-level production scheduling systems in conjunction with marketing is a source of control for finished goods inventory.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 67. All of the following are basic kinds of inventories EXCEPT: a. raw materials. b. human resources. c. finished goods. d. in-transit.

ANSWER: b RATIONALE: The four basic kinds of inventories are raw materials, work in process, finished goods, and in-transit inventories.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 68. Just-in-time method helps an organization control its: a. raw materials inventory. b. work-in-process inventory. c. in-transit inventory.

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d. finished goods inventory.

ANSWER: RATIONALE:

a With the just-in-time (JIT) method, materials arrive just as they are needed. JIT therefore helps an organization control its raw materials inventory by reducing the amount of space it must devote to storage.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 69. Which of the following refers to buying materials and resources needed to produce products and services? a. inventory control b. purchasing management c. just-in-time method d. manufacturing ANSWER: b RATIONALE: Purchasing management refers to buying materials and resources needed to produce products and services.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 70. Within operations, what does managerial control ensure? a. the primary goals are based on available resources b. the goal of a high percentage of on-time deliveries c. the goal of low product reliability d. the goal of stable unit production cost ANSWER: b RATIONALE: Within operations, managerial control ensures that resources and activities achieve primary goals such as a high percentage of on-time deliveries, low unit-production cost, or high product reliability.

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POINTS: DIFFICULTY: QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

1 Easy Multiple Choice False LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 71. Which of the following is a source of control for a work-in-process? a. purchasing models and systems b. shop floor control systems c. transportation and distribution control systems d. just-in-time inventory production management ANSWER: b RATIONALE: Work-in-process inventories, for example, are made up of partially completed products that need further processing; they are controlled by the shop-floor system.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 72. You run a manufacturing facility that produces seat belts for the automotive industry. You find that you occasionally have too much of some parts, and not enough of others, and is considering implementing a just-in-time inventory management system. What would be an advantage of you adopting a JIT inventory management method? a. Costs tied up in raw material inventory would be transferred backwards in the supply chain. b. Shortages of work-in-process inventories would be eliminated. c. Work-in-progress inventory would be low, while finished goods inventory would be high. d. Product distribution processes would be streamlined.

ANSWER: a RATIONALE: In a just-in-time (JIT) inventory management system, raw materials arrive at production facilities exactly when they are needed—often daily. This eliminates the need and cost of onsite raw material inventories of any significance.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

Moderate Multiple Choice False LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 73. Supply chain management is the process of: a. ensuring that necessary materials arrive as soon as they are needed so that the production process is not interrupted. b. managing operations control, resource acquisition and purchasing, and inventory so as to improve overall efficiency and effectiveness. c. managing the organization’s raw materials, work-in-process, finished goods, and products in transit. d. creating a balance between the quality of goods produced and the quantity needed. e. buying the materials and resources needed to produce products and services.

ANSWER: b RATIONALE: Supply chain management is the process of managing operations control, resource acquisition and purchasing, and inventory so as to improve overall efficiency and effectiveness.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 74. Enabling overall production to be divided into stages of manageable size is the purpose of what type of inventory? a. raw materials b. work-in-process c. distribution d. finished goods ANSWER: b RATIONALE: The purpose of a work-in-process inventory is to enable overall production to be divided into stages of manageable size.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice Copyright Cengage Learning. Powered by Cognero.

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HAS VARIABLES: LEARNING OBJECTIVES:

False LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 75. You work for a large organization and each division is set up as its own profit center. Within operations, what should the control systems you uses focus on? a. elements most crucial to goal attainment b. elements that are most affected by the supply chain c. elements most effected by quality failure d. screening control systems to monitor products ANSWER: a RATIONALE: Within operations, managerial control ensures that resources and activities achieve primary goals such as a high percentage of on-time deliveries, low unit-production cost, or high product reliability. Any control system should focus on the elements that are most crucial to goal attainment.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.4 - Identify the components involved in implementing operations systems through supply chain management.

ACCREDITING STANDARDS: Analytic TOPICS: Implementing Operations Systems through Supply Chain Management KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 76. What is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs? a. inventory b. process c. quality d. quantity ANSWER: c RATIONALE: Quality is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

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ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 77. Which of the following dimensions of quality refers to a measure of product life? a. reliability b. durability c. serviceability d. features ANSWER: b RATIONALE: Durability is the dimension of quality that refers to a measure of product life.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 78. You bought a pizza from a new pizza shop in town. You and your family all agreed the pizza tasted terrible, and the crust was like carboard. Which dimension of quality were they describing? a. aesthetics b. conformance c. reliability d. serviceability ANSWER: a RATIONALE: Aesthetics is the dimension of quality that refers to how a product looks, feels, tastes, and smells.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Managing Total Quality KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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79. Serviceability is the dimension of quality that refers to: a. how a product looks, feels, tastes, and smells. b. the speed and ease of repair. c. a probability of not malfunctioning during a specified period. d. a measure of product life.

ANSWER: b RATIONALE: Serviceability is the dimension of quality that refers to the speed and ease of repair.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 80. An airline operates international flights and offers all business-class services. The customers feel that the prices of the airline’s flights are similar to other airlines, but the seats are more comfortable and service is better. This quality of airlines is an example of: a. features. b. aesthetics. c. reliability. d. perceived quality.

ANSWER: d RATIONALE: Perceived quality is the dimension that refers to a quality as seen by a customer.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Managing Total Quality KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 81. The dimension of quality that refers to the degree to which a product’s design and operating characteristics meet established standards is: Copyright Cengage Learning. Powered by Cognero.

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a. features. b. conformance. c. reliability. d. durability.

ANSWER: RATIONALE:

b The dimension of quality that refers to the degree to which a product’s design and operating characteristics meet established standards is conformance.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 82. Performance is the dimension of quality that refers to: a. a product’s primary operating characteristic. b. the speed and ease of repair. c. a probability of not malfunctioning during a specified period. d. a measure of product life.

ANSWER: a RATIONALE: Performance is the dimension of quality that refers to a product’s primary operating characteristic.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 83. A firm that does an analysis of competitor's products in order to incorporate those features into its own offerings is using what approach? a. outsourcing b. benchmarking c. collusion d. Six Sigma Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

b Benchmarking is the process of learning how other firms do things in an exceptionally high-quality manner.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 84. To increase efficiency, RDC subcontracts its payroll operations to PayCorp. This is an example of: a. outsourcing. b. benchmarking. c. collusion. d. Six Sigma.

ANSWER: a RATIONALE: Outsourcing is the process of subcontracting services and operations to other firms that can perform them cheaper or better.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 85. Which of the following is true of ISO 9000:2000? a. Firms get to choose the organization they want to be audited by for the certification. b. It includes 2000 standards that should be met. c. These standards do not cover employee training and supplier relations. d. Firms that want to meet these standards need to apply for certification.

ANSWER: d RATIONALE: ISO 9000:2000 refers to a set of quality standards created by the International Organization for Standardization. Firms that want to meet these standards apply for certification and are audited by a firm chosen by the organization’s domestic affiliate.

POINTS: 1 Copyright Cengage Learning. Powered by Cognero.

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DIFFICULTY: QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

Easy Multiple Choice False LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 86. Carrington is one of the best restaurants in Chicago. Carrington’s chefs have made arrangements with local farmers to provide fresh and high-quality vegetables and fruits. In the context of total quality management, the chefs are focusing on: a. employee involvement. b. strategic commitment. c. technology. d. materials.

ANSWER: d RATIONALE: An important part of total quality management is improving the quality of the materials that organizations use. Many firms have increased the quality requirements they impose on their suppliers as a way of improving the quality of their own products.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic Technology TOPICS: Managing Total Quality KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 87. What is the comprehensive evaluation of all work activities, materials flows, and paperwork to determine the worth and appeal that they add for customers? a. acceptance sampling b. benchmarking c. in-process sampling d. value-added analysis ANSWER: d RATIONALE: Value-added analysis is the comprehensive evaluation of all work activities, materials flows, and paperwork to determine the value that they add for customers.

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POINTS: DIFFICULTY: QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

1 Easy Multiple Choice False LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 88. What is the first step in total quality management? a. employee involvement b. strategic commitment c. proper technology d. raw materials ANSWER: b RATIONALE: The most pervasive approach to managing quality has been called total quality management (TQM; sometimes called quality assurance)—a real and meaningful effort by an organization to change its whole approach to business in order to make quality a guiding factor in everything the organization does.

The starting point for TQM is a strategic commitment by top management.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 89. Which of the following is the process of learning how other firms do things in an exceptionally high-quality manner? a. value-added analysis b. benchmarking c. outsourcing d. reducing cycle times ANSWER: b RATIONALE: Benchmarking is the process of learning how other firms do things in an exceptionally high-quality manner.

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

Multiple Choice False LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 90. Which of the following is a process of subcontracting services and operations to other firms that can perform them cheaper or better? a. benchmarking b. value-added analysis c. outsourcing d. reducing cycle times ANSWER: c RATIONALE: Outsourcing is the process of subcontracting services and operations to other firms that can perform them cheaper or better.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 91. Which of the following is the time needed by the organization to develop, make, and distribute products or services? a. in-process time b. Six Sigma c. process layout time d. cycle time ANSWER: d RATIONALE: Cycle time is the time needed by the organization to develop, make, and distribute products or services.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

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ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 92. Acceptance sampling involves sampling finished goods to ensure that quality standards have been met. It is what type of method? a. benchmarking b. ISO 14000 c. Six Sigma d. statistical quality control ANSWER: d RATIONALE: Acceptance sampling is a statistical quality control method. Acceptance sampling is effective only when the correct percentage of products that should be tested is determined.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 93. Which of the following is an example of statistical quality control? a. benchmarking b. Six Sigma c. in-process sampling d. ISO 9000:2000 ANSWER: c RATIONALE: A statistical quality control method is in-process sampling, which involves evaluating products during production so that needed changes can be made.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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DATE MODIFIED:

4/7/2025 5:54 AM

94. Implementing which of the following requires making corrections until errors virtually disappear? a. ISO 14000 b. ISO 9000:2000 c. Six Sigma d. value-added analysis ANSWER: c RATIONALE: Implementing Six Sigma requires making corrections until errors virtually disappear. The Six Sigma method tries to eliminate mistakes. A Six Sigma defect rate is six standard deviations above the mean rate.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 95. Which of the following requires firms document how they are using raw materials more efficiently, managing pollution, and reducing their impact on the environment? a. ISO 14000 b. ISO 9000:2000 c. Six Sigma d. value-added analysis ANSWER: a RATIONALE: ISO 14000 requires that firms document how they are using raw materials more efficiently, managing pollution, and reducing their impact on the environment.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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96. In an effort to combat the high costs and losses associated with turnover, managers at an analytics firm are studying the recruitment and training policies at a similar firm that has very low turnover. This is an example of: a. benchmarking. b. outsourcing. c. automation. d. value-added analysis.

ANSWER: a RATIONALE: Benchmarking is the process of learning how other firms do things in an exceptionally high-quality manner.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 97. Your friend manages a claims processing center for an established healthcare insurer. Insured patients' most frequent complaint is that it takes too long for claims to be repaid. Industry shifts are increasing pressure for insurance companies to be more competitive. What dimension of quality has the greatest bearing on customer satisfaction in this case? a. features b. reliability c. serviceability d. conformance ANSWER: c RATIONALE: In this case, serviceability has the greatest bearing on customer satisfaction.

Serviceability refers to the speed and ease of service. Claim turn-around time is an issue of serviceability.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 98. Which of the following has become one of the most competitive points in business today? a. quality Copyright Cengage Learning. Powered by Cognero.

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b. methods c. costs d. productivity ANSWER: RATIONALE:

a Quality has become one of the most competitive points in business today. In the wake of the recent economic recession resulting from the COVID-19 pandemic, many businesses have focused even more attention on service quality as a competitive advantage during lean times.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 99. Quality is the totality of features and characteristics of a product or service that: a. determine how a product looks, feels, tastes, or smells. b. bear on its ability to satisfy stated or implied needs. c. determine the measure of product life. d. balances price with performance and satisfaction.

ANSWER: b RATIONALE: Quality is the totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 100. What is the first step in managing quality effectively? a. winning the Malcolm Baldrige Award b. balancing cost with quality c. achieving Six Sigma d. understanding the meaning of quality Copyright Cengage Learning. Powered by Cognero.

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ANSWER: RATIONALE:

d The eight dimensions of quality generally capture the meaning of quality, which is a critically important contributor to organizational success today.

Understanding the basic meaning of quality is a good first step toward managing it more effectively.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 101. You are evaluating products during the production process so that needed changes can be made. Which aspect of statistical quality control are you using? a. acceptance sampling b. in-process sampling c. Six Sigma d. benchmarking ANSWER: b RATIONALE: A SQC method is in-process sampling. In-process sampling involves evaluating products during production so that needed changes can be made.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.5 - Explain the meaning and importance of managing quality and total quality management.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Total Quality KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 102. A consulting firm calculates an efficiency index for each of its consultants by dividing each consultant's total hours of work by the number of billable hours. This is a measure of what type of productivity? a. company b. partial c. industry d. individual ANSWER: d RATIONALE: Unit and individual productivity refer to the productivity achieved by a unit or department within an organization and the level of productivity attained by a Copyright Cengage Learning. Powered by Cognero.

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single person.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 103. What is an economic measure of efficiency that summarizes the value of outputs relative to the value of the inputs used to create them? a. output-input ratio b. performance c. reliability d. productivity ANSWER: d RATIONALE: Productivity is an economic measure of efficiency that summarizes the value of outputs relative to the value of the inputs used to create them.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 104. Which of the following is an accurate problem associated with total factor productivity? a. The data is too hard to obtain. b. All ingredients must be expressed in the same terms. c. It is the same as value-added analysis. d. It is not compatible with standard accounting procedures.

ANSWER: b RATIONALE: The biggest problem with total factor productivity is that all the ingredients must be expressed in the same terms—dollars (it is difficult to add hours of labor to number of units of a raw material in a meaningful way).

POINTS: 1 DIFFICULTY: Easy Copyright Cengage Learning. Powered by Cognero.

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QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

Multiple Choice False LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 105. What type of productivity is achieved by an individual firm? a. aggregat e b. industry c. company d. total ANSWER: c RATIONALE: Company productivity, just as the term suggests, is the level of productivity achieved by an individual company.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 106. A factory produces 100,000 units of its product with 10 hours of direct labor. Which of the following accurately represents the factory’s labor productivity index? a. 10 b. 100 c. 1,000 d. 10,000 ANSWER: d RATIONALE: The factory’s labor productivity index is 100,000/10 or 10,000 (10,000 units per labor hour).

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

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ACCREDITING STANDARDS: Analytic Technology TOPICS: Managing Productivity KEYWORDS: Bloom's: Apply DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 107. Which of the following levels of productivity represents the total level of productivity achieved by a country? a. company b. team c. partial d. aggregat e ANSWER: d RATIONALE: Aggregate productivity is the total level of productivity achieved by a country.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 108. At a stereo factory, the employees stationed along the assembly line are required to wear ring scanners, small electronic devices worn on their index fingers and wired to a small computer on their wrists. As a product moves along the assembly line and is handled by the stationed employee, its location or progress is updated on the company’s database system. This way the management knows if there are any bottlenecks. This allows the company to: a. improve its productivity. b. decrease fixed cost. c. decrease its dependence on its website. d. increase customer affective responses.

ANSWER: a RATIONALE: One way that firms can boost productivity through operations is by reassessing and revamping their transformation facilities. Each of these moves is an attempt to increase the speed with which customers can be served, and thus to increase productivity.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic Copyright Cengage Learning. Powered by Cognero.

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TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Technology Managing Productivity Bloom's: Apply 4/7/2025 5:54 AM 4/7/2025 5:54 AM

109. Which of the following is indicated by total factor productivity? a. how well an organization uses all of its resources b. the level of productivity achieved by an individual company c. the total productivity achieved by all the firms in a particular industry d. the total level of productivity achieved by a country ANSWER: a RATIONALE: Total factor productivity is an overall indicator of how well an organization uses all of its resources.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 110. Spending more money on research and development involves an outlay of additional capital. In the short term, it may seem to reduce productivity, since inputs may increase relative to outputs. However, in the long run, it should improve productivity by: a. increasing employee involvement. b. identifying new products. c. increasing labor. d. improving customer service.

ANSWER: b RATIONALE: Research and development (R&D) spending helps identify new products, new uses for existing products, and new methods for making products.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember Copyright Cengage Learning. Powered by Cognero.

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DATE CREATED: DATE MODIFIED:

4/7/2025 5:54 AM 4/7/2025 5:54 AM

111. What is the advantage to using a partial productivity ratio instead of a total factor productivity ratio? a. It indicates how change one resource affects productivity. b. Units of inputs can be converted into common units. c. It measures aggregate productivity levels. d. Individual productivity is easily measured.

ANSWER: a RATIONALE: This method has two advantages. First, it is not necessary to transform the units of input into some other unit. Second, this method provides managers with specific insights into how changing different resource inputs affects productivity.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 112. Which of the following can be said about the growth of productivity in the service sector in the United States? a. Productivity is consistent, but lower than other industries. b. Productivity cannot be measured in the service sector c. It is easy to measure productivity gains in the service industry. d. Productivity is higher than other segments.

ANSWER: a RATIONALE: One important factor that also affects U.S. productivity indices has been the tremendous growth of the service sector in the United States. Although this sector has grown, its productivity growth has been somewhat lower but still consistent.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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113. Your organization has some products that no longer sell well, but the company is not ready to abandon them as part of the product line. How can investing in research and development help improve operations related to these existing products that no longer do well? a. by identifying new uses for them b. by identifying new products to replace them with c. by identifying were facilities can be streamlined d. by identifying ways to save money on them ANSWER: a RATIONALE: One way that firms can improve operations is by spending more on research and development. Research and development (R&D) spending helps identify new products, new uses for existing products, and new methods for making products. Each of these contributes to productivity.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 114. In what way can training employees in several jobs help to increase productivity, and thereby, profitability? a. fewer employees will be needed b. turnover will decrease c. rewards can be smaller d. facilities can be revamped to be more efficient ANSWER: a RATIONALE: A method popular in the United States is increasing the flexibility of an organization’s workforce by training employees to perform a number of different jobs. Such cross-training allows the firm to function with fewer workers because workers can be transferred easily to areas where they are most needed.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM Copyright Cengage Learning. Powered by Cognero.

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115. Which of the following is essential in making employee involvement work? a. supervision b. rewards c. expertise in one job d. job rotation ANSWER: b RATIONALE: Rewards are essential to making employee involvement work. Firms must reward people for learning new skills and using them proficiently.

POINTS: DIFFICULTY: QUESTION TYPE: HAS VARIABLES: LEARNING OBJECTIVES:

1 Easy Multiple Choice False LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 116. Why do unions resist employee involvement programs where workers are trained in a variety of jobs? a. threats to job security b. increased identification with one skill set c. limited ability to learn a new craft d. streamlined production methods ANSWER: a RATIONALE: Many unions resist such programs because they threaten job security and reduce a person’s identification with one skill or craft.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 117. How does productivity affect the standard of living for a country when goods are exported? a. Money from the exports is brought back to the country. b. Citizens will have fewer goods and services. c. Prices will be higher in the home country than the country where the exports are Copyright Cengage Learning. Powered by Cognero.

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sent. d. Citizens will have fewer goods, but improved services.

ANSWER: a RATIONALE: Even goods that are exported result in financial resources then flowing back into the home country. Thus, the citizens of a highly productive country are likely to have a notably higher standard of living than are the citizens of a country with low productivity.

POINTS: 1 DIFFICULTY: Easy QUESTION TYPE: Multiple Choice HAS VARIABLES: False LEARNING OBJECTIVES: LO15.6 - Explain the meaning and importance of managing productivity, productivity trends, and ways to improve productivity.

ACCREDITING STANDARDS: Analytic TOPICS: Managing Productivity KEYWORDS: Bloom's: Remember DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM 118. Differentiate between product, process, and fixed-position layouts. Give an example of each layout.

Layout is the choice of physical configuration of facilities that is closely related to ANSWER: other operations decisions. There are three entirely different layout alternatives.

A product layout is appropriate when large quantities of a single product are needed. A straight-line flow of work for a product is required when a specific task is performed at each workstation as each unit flows past. Most assembly lines use this format. For example, Hewlett-Packard’s personal computer factories use a product layout.

Process layouts are used in operations settings that create or process a variety of products. Auto repair shops and healthcare clinics are good examples. Each car and each person is a separate “product.” The needs of each incoming job are diagnosed as it enters the operations system, and the job is routed through the unique sequence of workstations needed to create the desired finished product. In a process layout, each type of conversion task is centralized in a single workstation or department. All welding is done in one designated shop location, and any car that requires welding is moved to that area. This setup is in contrast to the product layout, in which several different workstations may perform welding operations if the conversion task sequence so dictates.

The fixed-position layout is used when the organization is creating a few very large and complex products. Aircraft manufacturers like Airbus and shipbuilders like Newport News use this method. An assembly line capable of moving one of Airbus’s new A380 aircraft would require an enormous plant, so instead the airplane shell itself remains stationary, and people and machines move around it as it is assembled.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Essay HAS VARIABLES: False STUDENT ENTRY MODE: Basic LEARNING OBJECTIVES: LO15.2 - Explain the components involved in designing effective operations systems.

ACCREDITING STANDARDS: Analytic Copyright Cengage Learning. Powered by Cognero.

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TOPICS: KEYWORDS: DATE CREATED: DATE MODIFIED:

Designing Operations Systems Bloom's: Analyze 4/7/2025 5:54 AM 4/7/2025 5:54 AM

119. Discuss the use of computer-aided design, computer-aided manufacturing, and computer-integrated manufacturing technologies.

ANSWER: Automation is the process of designing work so that it can be completely or almost completely performed by machines. Current extensions of automation generally revolve around computer-assisted manufacturing—a technology that relies on computers to design or manufacture products.

One type of computer-assisted manufacturing is computer-aided design (CAD)—the use of computers to design parts and complete products and to simulate performance so that prototypes need not be constructed.

CAD is usually combined with computer-aided manufacturing (CAM) to ensure that the design moves smoothly to production. The production computer shares the design computer’s information and is able to have machines with the proper settings ready when production is needed. A CAM system is especially useful when reorders come in because the computer can quickly produce the desired product, prepare labels and copies of orders, and send the product out to where it is wanted.

Closely aligned with this approach is computer-integrated manufacturing (CIM). In CIM, CAD and CAM are linked together, and computer networks automatically adjust machine placements and settings to enhance both the complexity and the flexibility of scheduling. In settings that use these technologies, all manufacturing activities are controlled by the computer network. Because the network can access the company’s other information systems, CIM is both a powerful and a complex management control tool.

POINTS: 1 DIFFICULTY: Moderate QUESTION TYPE: Essay HAS VARIABLES: False STUDENT ENTRY MODE: Basic LEARNING OBJECTIVES: LO15.3 - Describe organizational technologies and their role in operations management.

ACCREDITING STANDARDS: Technology TOPICS: Organizational Technologies KEYWORDS: Bloom's: Understand DATE CREATED: 4/7/2025 5:54 AM DATE MODIFIED: 4/7/2025 5:54 AM

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