1. Which of the following trends is gaining momentum?
Correct : D. Using more customer departmentalization
2. The unbroken line of authority that extends from the top of the organization to the lowest echelon and
clarifies who reports to whom is termed………
Correct : D. Chain of command
3. What is span of control?
Correct : D. number of subordinates a manager can effectively direct
4. Centralization refers to………..
Correct : A. The degree to which decision-making is concentrated at a single point in the organization
5. In an organization that has high centralization……………
Correct : C. Top managers make all the decisions-lower-level managers merely carry out directions
6. The degree to which jobs within an organization are standardized is referred to as……..
Correct : C. formalization
7. In a highly formalized organization, job behaviours are relatively
Correct : C. Programmed
8. Employee discretion is inversely related to……….
Correct : B. Standardization
9. Which of the following structures is characterized by centralization, high formalization, extensive
departmentalization, and a limited information network?
Correct : B. Mechanistic model
10. If there is low formalization, a comprehensive information network and high participation in decisionmaking, one would expect…………….
Correct : D. An organic structure
11. Which of the following is characterized by wide spans of control, little formalization, a low degree of
departmentalization, and authority centralized in a single person……………
Correct : B. Simple structure
12. Which organization is characterized by very formal rules, centralized authority, and narrow spans of
control?
Correct : D. Bureaucracy
13. The matrix structure combines which two forms of departmentalization?
Correct : B. Functional and product
14. Which of the following problems is most likely to occur in a matrix structure?
Correct : B. Employees receiving conflicting directives
15. Which structure breaks down departmental barriers and decentralizes decision-making to the level of
the work team?
Correct : C. Team
16. Which type of organization outsources major business functions?
Correct : A. Modular
17. The innovation strategy is characterized by………………
Correct : C. Low specialization and low formalization
18. A continually evolving network of independent companies, suppliers, customers, even competitors,
linked together to share skills, costs, and access to one another‟s markets is called a/an………………….
Correct : A. Virtual organization
19. An organization that seeks to eliminate the chain of command, have limitless spans of control, and
replace departments with empowered teams is called a/an………..
Correct : C. Boundaryless organization
20. Which dimension of an organization‟s environment refers to the degree to which it can support growth?
Correct : C. Capacity
21. Neoclassical economics concerns itself with the determination of various prices. In the branch of Microeconomics, economists are concerned with _________, while in Macroeconomics they consider _________
Correct : C. Individual product prices: the aggregate price level
22. The Keynesian productivity deal………
Correct : D. all of the above
23. The field of economics that is now called Macroeconomics grew out of the era of the Great Depression, which saw the economy experience a prolonged downturn and persistent high unemployment. Classical economics could not explain these problems because its models assumed all of the following EXCEPT
Correct : D. the government should intervene in the economy
24. During the downturn portion of a business cycle, the economy is characterized by
Correct : D. falling output and rising unemployment
25. Changes in behavior as a result of observation and manipulation of conditions in an environment are
termed…………….
Correct : A. The Hawthorne effect
26. Members within a group that share similar experiences and feelings are known to have………….
Correct : B. Universal
27. An important factor of the preplanning stage in group dynamics is determining what the group is to
accomplish; this is known as…………………
Correct : C. Clarity of purpose
28. ……………………………..Groups have members who have similar presenting problems or are similar in
gender, ethnicity, or social backgroun(d)
Correct : D. Homogeneous
29. Role _________________ is a conflict between the role an individual has outside the group and the role
he or she is expected to have in the group.
Correct : A. Collision
30. Yalom's curative factors within a group often affect the interactions of members and the group as a
whole in complex ways. As members begin experiencing and expressing feelings, Yalom would assert that __________ is the curative factor.
Correct : A. Catharsis
31. In Glass and Benshoff's (1999) PARS model, which conceptualizes "processing" in group work, PARS is
an acronym in which "S" stands for
Correct : D. Self
32. In setting up a group structure, _______________ has a strong influence on how a group operates.
Correct : C. Physical structure
33. Which role in a group setting contributes to the social-emotional bonding of members and the group's
overall success?
Correct : C. Maintenance
34. "To understand communication in a meeting, we need to investigate the roles, personalities and values of every participant, as well as review the minutes taken and actions resulting from previous meetings." Which of Trenholm's perspectives is described here?
Correct : D. Pragmatic
35. What term did Lengl and Daft use for failure when face-to-face talking is used to convey routine
messages?
Correct : D. Data glut
36. What is redundancy in messages?
Correct : B. Extra information to persuade the receiver to accept and act upon the message
37. According to the text, why should more attention be given to training in listening to oral
communication?
Correct : D. All of the above
38. Which of the following was presented as a listening skill?
Correct : A. Use open-ended question
39. Which of the factors listed below is not a reason for decision making in organizations being a complex
process?
Correct : C. Modern information systems enable people to evaluate a range of possible outcomes
40. The overall process of decision making in, for example, staff selection includes which of these stages?
Correct : D. All of the above
41. A manager who is helping a customer return some shoes they purchased last week is dealing with what
type of decision?
Correct : D. Programmed decision
42. A solution to a problem that is arrived at through an unstructured process of decision making is called
a…………..
Correct : C. Programmed decision
43. As a manager moves to higher positions in an organisation the ability to make ______ becomes ______
important.
Correct : A. Non-programmed; more
44. If a manager at Wipro wants to award a contract for printing the company's promotional literature and has obtained quotations from several printers, the manager can select a printer and know with ______ what the printing should cost.
Correct : D. Certainty
45. In Herbert Simon's theory, a manager who accepts the first satisfactory solution to a problem has made a ______ decision, while a manager who continues to search for the best possible solution is seeking to find a ______ decision
Correct : B. Minimising; maximizing
46. The decision making model which emphasises that organisations contain diverse interest groups who will bargain about goals and alternative actions, often with incomplete information is known as the…………
Correct : B. Political model
47. Which of the following is not among the reasons for complexity of decisions?
Correct : C. Decisions have immediate, short-term impact.
48. Max Weber, a German sociologist, showed particular concern for
Correct : C. bureaucratic structures
49. In the context of decision making, which of the following best describes a heuristic?
Correct : B. One of many personal learned rules that a person applies in the process of decision making.
50. The company announcement: SUCCESFUL SALE OF PLANT: 75 PER CENT OF 1,000 JOBS TO BE SAVED! The local newspaper headline: 250 JOBS TO GO AT PROCESSING PLANT What is illustrated here?
Correct : D. Framing error
51. The jackpot on a gaming machine has not 'dropped' for several weeks. Believing that the payout is
imminent, a gambler feeds coins steadily to the machine. What does this behavior illustrate?
Correct : A. Escalation of commitment
52. Select the incorrect statement. Harrison and Pelletier argued that managers should learn to avoid ...
Correct : C. Mixing routine and non-routine decisions.
53. Which of the following is not an assumption of the classical decision model?
Correct : D. Choice is made once sufficient information on alternatives is available
54. Which of the following was not given by Janis as a symptom of groupthink?
Correct : B. An awareness of vulnerability
55. Stoner and others have shown how groups can make decisions that are much less, or much more,
cautious that any member would take alone. What are these changes called?
Correct : A. Diffusion of responsibility
56. On the difficulty of recognising creativity, de Bono said, "Any valuable creative idea is ..." What?
Correct : B. "... always logical in hindsight."
57. Which characteristic was found by Raudsepp among creative managers?
Correct : C. They were irritated by the status quo.
58. Conceptual skills relate to a manager‟s ability to
Correct : A. Take a strategic view of how parts of the organization function
59. Which of the following functions or activities requires recruiting and placing qualified personnel needed for the organization so that it may achieve its objectives and goals?
Correct : B. Staffing
60. A variation of the electronic meeting that links together media from different locations is ___________
Correct : C. Video conference
61. ____ plans have clearly defined objectives.
Correct : C. Specific
62. Who studied the nature of specific jobs, and broke the tasks into basic work units with the end result
providing the one right way to perform the job?
Correct : B. Frederick W. Taylor
63. The recently emerged type of managerial job is ______________
Correct : D. Team Leader
64. The Hawthorne studies:
Correct : B. Found that when workers know they are being watched, their productivity increases.
65. The Behavioral approach to management focused on:
Correct : A. The worker
66. The external environment factor that states: The values and culture that affect the way people feel about the organization they are in and about work itself is:
Correct : A. Sociological factors
67. The external environment factor that includes: Factors that have a less immediate effect on a business
such as the nation's rate of inflation or recession, unemployment rate, or standard of living, is
Correct : C. Indirect economic factors
68. The resources within an organization, used to achieve its goal, make up the _________ of a business.
Correct : B. Internal environment
69. Strategic planning:
Correct : A. Addresses the organization's basic mission or business, issuing broad statements of purpose or direction that have a long lead time.
70. GAP analysis:
Correct : D. All of the above.
71. The SWOT approach assesses an organization's
Correct : C. Strengths, Weaknesses, Opportunities, Threats.
72. __________ is the process of using the resources and personnel of an organization in an orderly way to achieve the objectives and long-term goals of the organization.
Correct : B. Organizing
73. A manufacturing company has divided its departments into pattern making, fabric cutting, and fabric
coloring. What type of departmentalization is this?
Correct : B. Process Departmentalization
74. A ______ organizational structure is the simplest form and has clear lines of authority and ease of
decision making.
Correct : B. Line
75. The management of people/labor should be handled by what department in an organization?
Correct : B. Human Resources
76. When a candidate for a position is asked general, open-ended job related questions, they are
experiencing what type of interview?
Correct : A. Unstructured Interview
77. Which of the following is NOT a major influence on the rate of compensation?
Correct : B. Voluntary retirement
78. Which type of separation is most unpleasant for an employee?
Correct : A. Termination
79. Leadership can _______ subordinates to help the organization achieve its goals.
Correct : D. All of the above
80. Which source of power is based on an individual's knowledge, special skills, abilities, or previous
experience?
Correct : B. Expert power
81. Which source of power is based on a manager's ability to punish a subordinate?
Correct : A. Coercive power
82. A budget is what type of control?
Correct : D. Financial
83. The theory that an individual tends to act in a certain way, with the expectation that the act will be
followed by a given outcome and according to the attractiveness of the outcome is _____.
Correct : A. Equity theory
84. Leaders who inspire followers to transcend their own self-interests for the good of the organization, and
are capable of having a profound and extraordinary effect on followers are _____ leaders.
Correct : B. Transformational
85. A group of employees with expertise in a variety of specialty areas who are brought together to work
on a project or specific activity is a:
Correct : A. Cross functional team
86. ____________ is the power to give positive benefits or rewards.
Correct : B. Reward power
87. The final step of the strategic management process is ___________.
Correct : D. Evaluating results
88. A/An ________ is a formal evaluation of an organization's financial statements, performed either by an
outside accounting firm or by an internal department.
Correct : C. Financial audit
89. In a PERT network, slack time is _____.
Correct : C. The amount of time an individual activity can be delayed without delaying the whole Project
90. Which type of decision making is carried out by lower level management and deals with specific dayto-day processes?
Correct : B. Operational decision making
91. ___________ involves allocating resources by detailing what activities haveto be done, the order in
which they are to be completed, who is to do each,and when they are to be complete(d)
Correct : B. Budgeting
92. A problem solver is a style of problem solving reflected by the manager
Correct : A. Who confronts the problem, reacts to it, and makes those changes necessary solve it.
93. The process by which a sender transmits content is known as
Correct : A. Encoding
94. When a subordinate or lower level manager passes information or offers suggestions to higher level
management, they're using which level of communication?
Correct : A. Upward communication
95. If a solution to a particular problem is not vital to the functioning of an organization and management is willing to overlook the causes of the conflict, managers may choose to use which type of conflict resolution?
Correct : B. Avoidance
96. Which of the following statements would a Theory X manager consider to be true?
Correct : B. Employees will shirk responsibility
97. A short letter written to a potential employer with a resume attached is known as a
Correct : B. Cover letter
98. _________ is the process of getting results accomplished through others.
Correct : C. Delegating
99. What is the term used to define the number of subordinates directly controlled by a manager?
Correct : D. Span of management
100. Which management theorist is responsible for the motivation-hygiene theory?