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MGT 101 Exam 1

Groups of people who work together to achieve a set of goals are called a(n):
A) role set

B) society

C) organization

D) global organization

E) competitive advantage

C) organization
ABC Company sets a target of doubling its sales every year. This sales target is known as:
A) an efficiency target

B) a strategy

C) a role

D) a goal

E) a technical skill

D) a goal
The measure of how well (or how productively) an organization uses its resources to achieve a goal is known as:
A) effectiveness

B) role

C) efficiency

D) strategy

E) organizing

C) efficiency
The measure of the “appropriateness” of the goals selected by management for the organization and the degree to which the organization accomplishes these goals is known as:
A) efficiency

B) strategy

C) effectiveness

D) conceptual skill

E) restructuring

C) effectiveness
The Registrar’s Office at Whassamatta University scheduled the work hours of its staff so that some work 7-4 and others work 9-6, in order to better serve the students. This was an attempt to improve the organization’s:
A) effectiveness

B) planning

C) leading strategy

D) efficiency

E) none of the above

A) effectiveness
Managers who choose the “right” organizational goals and have the skills to use the organization’s resources are:
A) efficient

B) effective

C) strategic

D) conceptual

E) technical

B) effective
The people within an organization who are responsible for supervising the organization’s use of its resources are known as:
A) managers

B) efficiency experts

C) effectiveness experts

D) strategists

E) restructurers

A) managers
In what order do managers typically perform the managerial functions?
A) organizing, planning, controlling, leading

B) organizing, leading, planning, controlling

C) planning, organizing, leading, controlling

D) planning, organizing, controlling, leading

E) leading, organizing, planning, controlling

C) planning, organizing, leading, controlling
The process that managers use to select “appropriate” goals for the organization is called:
A) organizing

B) leading

C) planning

D) controlling

E) demonstrating

C) planning
The process that managers use to design a structure of working relationships that allows managers to work together to achieve organizational goals is called:
A) planning

B) leading

C) demonstrating

D) controlling

E) organizing

E) organizing
A formal system of reporting relationships that coordinates workers so that they work together to attempt to achieve organizational goals is called:
A) a leading strategy

B) a controlling strategy

C) an organizational structure

D) a low-cost strategy

E) an efficiency strategy

C) an organizational structure
Effective leadership depends on the use of:
A) power and influence

B) authority and giving orders

C) physical resources

D) structure

E) policies and procedures

A) power and influence
When managers motivate and assist workers to achieve organizational goals, this is an important aspect of:
A) planning

B) leading

C) demonstrating

D) controlling

E) organizing

B) leading
When managers attempt to determine how well the organization is accomplishing its goals, this is an important aspect of:
A) leading

B) planning

C) organizing

D) demonstrating

E) controlling

E) controlling
A manager who trains and mentors subordinates to assist them to achieve their full potential within the organization is acting primarily within which function?A) organizing

B) leading

C) demonstrating

D) controlling

E) planning

B) leading
Dell found that by putting effective control systems in place, it was able to:
A) reduce costs

B) expand internationally

C) move into new markets

D) insure ethical behavior

E) increase diversity

A) reduce costs
The set of job responsibilities that a manager is expected to perform because of his position within the organization is called:
A) a plan

B) restructuring

C) a role

D) an efficiency strategy

E) none of the above

C) a role
A manager is deciding which program or programs to initiate. He is acting as a(n):
A) entrepreneur

B) negotiator

C) monitor

D) liaison

E) resource allocator

A) entrepreneur
A manager who cuts the ribbon at the opening ceremony of the company’s new plant is performing the _______ role for the organization.
A) liaison

B) monitor

C) resource allocator

D) negotiator

E) figurehead
The CEO of Chrysler Corp. goes on TV to explain what the company is doing to avoid future problems like the ones created by a recent recall of its minivans. This CEO is acting in which type of role?
A) liaison

B) figurehead

C) leader

D) disseminator

E) spokesperson

E) spokesperson
Another name for supervisors is:
A) first-line managers

B) middle managers

C) top managers

D) interim managers

E) all of the above

A) first-line managers
The top management of an organization must devote more time to ________________ than lower level managers do.
A) planning and organizing

B) leading

C) controlling

D) vision

E) motivation

A) planning and organizing
The ability to analyze and diagnose a problem situation and distinguish between cause and effect is a:
A) human skill

B) negotiating skill

C) technical skill

D) conceptual skill

E) none of the above

D) conceptual skill
The ability of a worker in the accounting department to prepare the organization’s balance sheet is an example of a ________ skill.
A) conceptual

B) first-line

C) human

D) technical

E) none of the above

D) technical
The top management team of ABC, Inc., facing financial problems, decides to reduce the number of middle managers by 10 percent in order to cut costs. This is an example of:
A) innovation

B) restructuring

C) strategy

D) empowerment

E) a self-managed team

B) restructuring
TWA allows the agent-in-charge at the gate to decide whether to give out a “free ticket” to some passengers when a flight is overbooked. This is an example of:
A) innovation

B) restructuring

C) TQM

D) empowerment

E) outsourcing

D) empowerment
Wal-Mart built distribution warehouses so that it can supply products to its stores within a 200-mile radius almost daily. We say that Wal-Mart has achieved:
A) empowerment

B) a competitive advantage

C) increased quality

D) increased innovation

E) none of the above

B) a competitive advantage
The process of creating new products that customers want to purchase is called:
A) responsiveness

B) TQM

C) quality

D) innovation

E) restructuring

D) innovation
Who founded the early study of management thought which became known as scientific management?
A) Elton Mayo

B) Frank Gilbreth

C) Max Weber

D) Henri Fayol

E) F.W. Taylor

E) F.W. Taylor
The power to hold workers accountable for their actions and to make decisions about the use of organizational resources is known as:
A) Power

B) Job specialization

C) Authority

D) Behavioral management

E) The Hawthorne effect

C) Authority
Formal, written instructions which specify what workers should do on the job under different conditions are known as:
A) Rules

B) Norms

C) Informal organizational understandings

D) Standard operating procedures

E) Bureaucratic control

A) Rules
Specific written instructions as to how a worker should perform an aspect of his or her work task are known as:
A) Norms

B) Standard operating procedures

C) Job specialization

D) Unity of command

E) Centralization

B) Standard operating procedures
Unwritten, informal codes of conduct which prescribe how workers should act in specific work situations are known as:
A) Rules

B) Standard operating procedures

C) The chain of command

D) Norms

E) Contingency theory

D) Norms
When a factory has a standard practice that each machine operator should leave his or her work station in a clean condition and ready for the next shift of workers, this is an example of:
A) An SOP

B) Bureaucracy

C) Job specialization

D) A rule

E) Equity

D) A rule
Mamma Mia’s Ristorante has an informal practice in which all the servers try to help each other out if they are not busy with customers. This practice is called:
A) Job specialization

B) A rule

C) Unity of direction

D) A norm

E) An open system

D) A norm
“Informal authority” can result from:
A) Technical knowledge

B) Moral character

C) Job expertise

D) The ability to lead

E) All of the above

E) All of the above
The idea that every worker should receive orders from only one superior is called:
A) Line of authority

B) Unity of command

C) Centralization

D) Equity

E) Initiative

B) Unity of command
The “chain of command” which describes the reporting relationships of managers from the top to the bottom of the organization is known as:
A) The line of authority

B) Discipline

C) Unity of direction

D) Unity of command

E) Initiative

A) The line of authority
When authority is concentrated at the top of the organizational chart instead of being distributed throughout the management hierarchy, we say that __________ has occurred.
A) Decentralization

B) A bureaucracy

C) Centralization

D) Scientific management

E) Job specialization

C) Centralization
If the CEO has a long-range strategic plan for the organization and the Marketing department has its own five-year strategic plan, but these plans are not coordinated, this is a violation of Fayol’s principle of:
A) Order

B) Discipline

C) Unity of command

D) Unity of direction

E) Stability of tenure of personnel

D) Unity of direction
“Organizational charts” are a representation of which of Fayol’s principles of management?
A) Equity

B) Discipline

C) Order

D) Initiative

E) Stability of tenure of personnel

C) Order
The ability of workers to act on their own, without supervision by a manager, is known as:
A) Discipline

B) Unity of command

C) Initiative

D) Order

E) The Hawthorne effect

C) Initiative
Obedience to a manager’s request, along with other signs of respect for the manager’s authority, is most consistent with Fayol’s principle of:
A) Order

B) Discipline

C) Esprit de corps

D) The chain of command

E) Unity of comman

B) Discipline
The idea that “managers should encourage employees to be innovative and creative in their work” is an example of Fayol’s principle of:
A) Unity of command

B) Initiative

C) Line of authority

D) Centralization

E) Equity

B) Initiative
If an organization has a profit-sharing plan in which top executives are able to purchase the company’s stock at a discount whenever the organization has a highly profitable year, this organization is acting consistently with Fayol’s principle of:
A) Unity of command

B) Discipline

C) Line of authority

D) Unity of direction

E) Remuneration of personnel

E) Remuneration of personnel
The idea that workers should be aware of how their behavior affects the performance of the organization as a whole is most consistent with Fayol’s principle of:
A) Equity

B) Subordination of individual interests to the common interest

C) Remuneration of personnel

D) Unity of direction

E) Stability of tenure of personnel

B) Subordination of individual interests to the common interest
When a manager and his or her subordinates share feelings of comradeship and devotion to a common cause, they are expressing Fayol’s principle of:
A) Unity of command

B) Order

C) Discipline

D) Esprit de corps

E) Laissez-faire

D) Esprit de corps
The research studies which experimented with different levels of lighting and its impact on worker performance and fatigue are known as:
A) The Fayol studies

B) The Taylor studies

C) The Hawthorne studies

D) The Katz studies

E) The Weber studies

C) The Hawthorne studies
One of the main implications of the Hawthorne Studies was that:
A) Illumination affects workers’ productivity

B) Illumination effects workers’ satisfaction

C) Workers’ feelings and thoughts can affect performance

D) A group will perform at a level lower than its members working individually

E) Management is unnecessary

C) Workers’ feelings and thoughts can affect performance
The system of rules of behavior that emerge as a group of workers get to know one another by working together is known as:
A) An informal organization

B) A code of conduct

C) Scientific management

D) A formal organization

E) None of the above

A) An informal organization
The study of the factors that have an impact on how workers respond to one another within organizations is known as:
A) The Hawthorne studies

B) Organizational behavior

C) Unity of command

D) Scientific management

E) Organic structure

B) Organizational behavior
If a manager feels that his major job responsibility is “to counteract the natural tendencies of subordinates to avoid working hard,” this manager is acting consistently with the principles of:
A) Contingency theory

B) Theory X

C) Theory Y

D) Theory Z

E) Management science theory

B) Theory X
If a manager feels that her responsibility is to create a work setting in which her subordinates consider their work to be satisfying, she is acting consistently with the principles of:
A) Theory X

B) Theory Y

C) Contingency theory

D) Management science theory

E) Scientific management theory

B) Theory Y
The management theory that focuses on the use of rigorous, quantitative techniques that are intended to assist managers to make the best use of organizational resources is called:
A) Contingency theory

B) Management science theory

C) Administrative management theory

D) Behavioral management theory

E) Human relations theory

B) Management science theory
The aspect of management theory that analyzes production systems to increase efficiency is:
A) Contingency management

B) TQM

C) Operations management

D) Scientific management

E) Human relations management

C) Operations management
The stage of a system during which the organization obtains resources such as raw materials and labor in order to produce goods is known as:
A) The conversion stage

B) The behavioral stage

C) The output stage

D) The open stage

E) The input stage

E) The input stage
The stage of a system during which the organization transforms raw materials into finished goods outputs such as automobiles or French fries is known as:
A) The input stage

B) The behavioral stage

C) The open stage

D) The conversion stage

E) The output stage

D) The conversion stage
The idea that the effectiveness of organizational structure and control systems depends on what outside forces it is facing is called:
A) Behavioral management

B) Contingency management

C) Quantitative management

D) Administrative management

E) Human relations management

B) Contingency management
The concept that: “There is no one best way to manage” is a fundamental premise in:
A) Scientific management theory

B) Administrative management theory

C) Contingency theory

D) Behavioral management theory

E) The human relations movement

C) Contingency theory
ABC Company’s external environment is changing rapidly and it responds by decentralizing decisions to lower-level managers so that the organization can react faster. ABC is said to be organized under:
A) A mechanistic structure

B) A centralization structure

C) A behavioral management structure

D) A human relations structure

E) An organic structure

E) An organic structure
The tendency of a person to feel good about himself and the rest of the world is known as:
A) Conscientiousness

B) Openness to experience

C) The internal locus of control

D) Extroversion

E) The external locus of control

D) Extroversion
People who score low on extroversion are frequently referred to as:
A) Extroverts

B) High in external locus of control

C) Low in self-esteem

D) Introverts

E) None of the above

D) Introverts
The tendency of a person to feel bad emotions and to be critical of herself and others is called:
A) Disagreeableness

B) Conscientiousness

C) Negative affectivity

D) Negative valence

E) An internal locus of control

C) Negative affectivity
The tendency of a person to get along well with other workers is known as:
A) Positive affectivity

B) Agreeableness

C) Conscientiousness

D) Teamwork

E) Inclusion

B) Agreeableness
The tendency of a person to be careful and persevering in work-related tasks is known as:
A) Conscientiousness

B) Internal locus of control

C) Perfectionism

D) Agreeableness

E) Positive valence

A) Conscientiousness
Managers who believe that they are largely responsible for their own fate are said to be high in:
A) External locus of control.

B) Conscientiousness.

C) Negative affectivity.

D) Internal locus of control.

E) Openness to experience.

D) Internal locus of control.
People who believe that forces outside of their control are largely responsible for what happens to them are said to be high in:
A) Openness to experience

B) Negative affectivity

C) Internal locus of control

D) External locus of control

E) Need for power

D) External locus of control
The degree to which a people feel good about themselves and their capabilities is known as:
A) Self-concept

B) Agreeableness

C) Optimism

D) Self-esteem

E) Positive

D) Self-esteem
According to McClelland, the extent to which a person is concerned with being liked and having others get along well with one another is called:
A) The need for power

B) The need for self-esteem

C) The need for conscientiousness

D) The need for achievement

E) The need for affiliation

E) The need for affiliation
According to McClelland, the extent to which a person has a strong desire to control and to influence others is known as:
A) The need for affiliation

B) The need for self-esteem

C) The need for power

D) The need for conscientiousness

E) The need for achievement

C) The need for power

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