Business Management Ch. 5
The following are actions that management might take when performance does not meet standards?
- Take steps to improve performance - Change policies and procedures. - Revise the standard
The greatest resistance to change is experienced when
- it occurs suddenly - people are not prepared for change - no reasons for the change are given
According to Maslow, people must satisfy their need for esteem before social needs motivate them.
False
Communication is simply telling employees what to do.
False
Effectiveness of a work team is the responsibility of team members; managers cannot influence its success.
False
If change is effective, it will not have negative effects on employees.
False
It is generally best to keep a larger inventory on hand than will be needed in order to avoid shortages.
False
Most employees like change and respond well when change is introduced.
False
People can be motivated by internal factors but not by external factors.
False
The difference between current performance and the standard is profit.
False
The only type of standard of importance in business today is quality standards.
False
The motivation theory that describes individual needs in five categories that form a hierarchy was developed by
Maslow
The motivation theory that suggests that individuals seek to satisfy needs in order, from lowest to highest, was described by
Maslow
Before a team can be effective, members must clearly understand the activities to be completed.
True
Budgets are controlling devices as well as planning devices.
True
Controlling is determining whether goals are being met and what actions to take if they are not being met.
True
Implementing involves carrying out plans and helping employees to work effectively.
True
Increased costs, without a proportionate increase in sales dollars, decreases profit.
True
Measuring performance is one step in the controlling process.
True
Perfection—having no errors—may be the only acceptable standard for some products and services.
True
Reviewing performance is part of the controlling function.
True
Standards should be revised when it is clear they will not accurately reflect performance and when attempts to improve performance have not been successful.
True
The first step in an effective change process is to carefully plan for the change.
True
To implement successfully, managers must complete activities designed to channel employee efforts in the right direction to achieve the goals.
True
A group of people who cooperate to achieve a common goal is
a work team
Which of the following is NOT a type standard commonly used in business?
accounting
Employees who take personal responsibility for their own work and set personal goals have a high need for
achievement
According to Herzberg, which of the following is likely to increase worker motivation?
challenging work
The management function that provides information needed to improve operations is
controling
Generally, to which standard do most businesses pay the greatest attention?
cost standards
Variance reports identify differences between
current performance and the standard
Which of the following is the correct order of steps in controlling?
establish standards, measure performance, take corrective action
According to Herzberg, pay and fringe benefits, working conditions, and the type of supervision are examples of
hygiene factors
The management function of guiding employee actions toward achievement of a company's goals is
implementing
Low inventories are too lost sales as high inventories are to
increased cost
Just-in-time inventory controls help a business
maintain low inventory levels
Standards are less likely to be accurate when
new procedures are implemented
Management is most concerned when
performance is lower than standards
The number of units to be produced, number of sales prospects to be contacted, and number of lines of information to be entered are examples of
quantity standards
Which of the following is NOT an important implementing activity?
setting standards