PRINCIPLES OF MANAGEMENT

Q1. Hierarchy culture is an organizational culture characterized that reflects values that emphasize stability and control along with an external focus.
a. true
b. false

Q2. ________ culture is an organizational culture characterized by a strong internal focus with a high degree of flexibility and discretion.
a. Hierarchy
b. Market
c. Clan
d. Adhocracy

Q3. Appropriate performance behavior needs to be reinforced and rewarded.
a. true
b. false

Q4. Organizational storytelling is the act of passing organizational myths and sagas to other organization members.
a. true
b. false

Q5. ________ are the beliefs of a person or a social group in which they have an emotional interest.
a. Values
b. Myths
c. Norms
d. Cultures

Q6. Understanding and managing organization culture is less important now than it has traditionally been in the past.
a. true
b. false

Q7. Certain employees tend to be more valuable than others to the organization with respect to talent.
a. true
b. false

Q8. ________ is a mini-culture within an organization that can reflect the values and beliefs of a specific segment of an organization, formed along lines, such as established departments and geographic regions.
a. Dominant organizational culture
b. Organizational culture
c. A code of conduct
d. Organizational sub-culture

Q9. Healthy organization culture is usually process oriented.
a. true
b. false

Q10. Organizational culture is frequently established by the manager in a relatively quick fashion.
a. true
b. false

Q11. ________ culture is an organizational culture characterized by an internal focus along with an emphasis on stability and control.
a. Hierarchy
b. Adhocracy
c. Market
d. Clan

Q12. ________ represents the shared values about organizational functions held by the majority of organizational members.
a. Dominant organizational culture
b. A code of conduct
c. Organizational sub-culture
d. Organizational culture

Q13. Making an idea practical takes place in the ________ step of the innovation process.
a. monitoring
b. diffusing
c. developing
d. inventing
e. integrating

Q14. The practicality of a new idea is developed in the Diffusing step of the innovation process.
a. true
b. false

Q15. Putting a new idea to use by customers takes place in the ________ step of the innovation process.
a. diffusing
b. developing
c. monitoring
d. inventing
e. integrating

Q16. ________ is defined as how well a product does what it is supposed to do.
a. Effectiveness
b. Innovation
c. Efficiency
d. Quality
e. creativity

Q17. According to the research of Jena McGregor, ________ is the world’s most innovative company.
a. Google
b. General Electric
c. Toyota
d. Apple

Q18. Producing high-quality products results in higher costs for the organization.
a. true
b. false

Q19. Identifying job candidates who are creative and hiring them is one of the most easily implemented strategies for increasing organizational creativity.
a. true
b. false

Q20. When people are under low time pressure, they are more likely to think creatively when they collaborate with one person rather than with a group.
a. true
b. false

Q21. External parties such as customers and suppliers should never be included on quality improvement teams.
a. true
b. false

Q22. In the ________ approach, management asks, ‘If we were to start over today, how would we do this?’
a. revolutionary
b. incremental improvement
c. radical
d. reengineering
e. creative

Q23. The most widely known award for quality in the U. S. is the ________ Award.
a. Deming
b. Johnson and Johnson
c. TQM
d. Baldridge
e. Continuous Improvement

Q24. The process of applying a new idea to the improvement of organizational processes, products, or services is called creativity.
a. true
b. false

Q25. TQM was begun in the United States.
a. true
b. false

Q26. Factors within an organization that are barriers to organizational goal attainment are problems.
a. true
b. false

Q27. After you compare measurement to a standard, you need to modify the performance level to be better than the standard.
a. true
b. false

Q28. Personal power is the power derived from a manager’s relationships with others.
a. true
b. false

Q29. Corrective action focuses on correcting organizational mistakes that are hindering organizational performance.
a. true
b. false

Q30. Operating plans and policies would be appropriate information for a ________.
a. First line manager
b. VP
c. President
d. Middle manager

Q31. The only meaningful organizational standards are profitability standards.
a. true
b. false

Q32. For top managers, the most appropriate information is information about the production of goods, supply budgets, estimates of resource requirements, and the movement and storage of materials.
a. true
b. false

Q33. The process of developing information begins with gathering some type of facts or statistics.
a. true
b. false

Q34. Generally, as the appropriateness of information increases, so does the value of that information.
a. true
b. false

Q35. ________ decisions relate to ensuring that specific organizational tasks are carried out effectively and efficiently.
a. Strategic control
b. Operational control
c. Tactical control
d. Strategic planning

Q36. The degree of difficulty in measuring various types of organizational performance is determined primarily by the activity being measured.
a. true
b. false

Q37. A manager can increase his or her personal power by developing a sense of obligation toward the manager.
a. true
b. false

Q38. The higher the ratio of inputs to outputs, the higher the productivity of the organization.
a. true
b. false

Q39. Quality circles are small groups of workers that meet to discuss the quality assurance of a particular project and then develop a plan for changing the system to improve quality.
a. true
b. false

Q40. Cost control is broad control aimed at keeping organizational costs at planned levels.
a. true
b. false

Q41. Which of the following process strategies would be most appropriate for the auto industry?
a. flexible process
b. job-shop process
c. low-volume process
d. continuous process
e. repetitive process

Q42. How a company finances itself would be evaluated in a ________ ratio.
a. activity
b. operations
c. leverage
d. profitability

Q43. Capacity strategy is a plan of action aimed at providing the organization with the right facilities to produce the needed output at the right time.
a. true
b. false

Q44. Operations management is the performance of managerial activities entailed in selecting, designing, operating, controlling and updating production systems.
a. true
b. false

Q45. Deming’s flow diagram for improving product quality has a clear beginning and ending point.
a. true
b. false

Q46. Break-even analysis is a control tool that summarizes the various levels of profit or loss associated with various levels of production.
a. true
b. false

Q47. Measuring actual costs incurred is the first stage of the cost control process.
a. true
b. false

Q48. Zero-base budgeting requires managers to justify their entire budget request in detail, rather than simply refer to budget amounts established in previous years.
a. true
b. false

Q49. If management by exception is appropriately administered, the technique ensures the best use of managers’ time.
a. true
b. false

Q50. Return on investment is an example of a(n) ________ ratio.
a. activity
b. operations
c. profitability
d. liquidity

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