MGMT 300 exam 2 CH 7

Three critical planning methods are contingency planning, building scenarios, and crisis planning.

True

_____ specify future ends and _____ specify today's means. A. Goals; plans B. Plans; goals C. Planning; organizing D. Ideas; behaviors E. Mission; vision

A. Goals; plans

Which of these is(are) primarily concerned with tactical goals/plans? A. Middle management B. Board of directors C. Consultants D. Senior management E. Lower management

A. Middle management

Sherry is a first-line supervisor at Rooftop Corporation. She is most concerned with which level of goals? A. Operational goals B. Tactical plans C. Strategic goals D. Mission statement E. Vision

A. Operational goals

Which of the following refer to specific results expected from individuals? A. Operational goals B. Tactical goals C. Strategic goals D. Operational plans E. Mission statements

A. Operational goals

"We respect our employees and value their diversity" is an example of a statement you are most likely to find in the organization's _____. A. mission B. strategic goals C. tactical goals D. strategic plans E. tactical plans

A. mission

The official goals of the organization are best represented by the _____. A. strategic goals B. tactical goals C. operational goals D. competitive goals E. none of these

A. strategic goals

A visual representation of the key drivers of an organization's success and shows how specific goals and plans in each area are linked is called a strategy map

True

An action plan defines the course of action needed to achieve the stated goals

True

An organization's mission describes its reason for existence

True

Building good relationships with suppliers and partners would be considered internal business process goals.

True

Goals are typically stated in quantitative terms.

True

If Renae, manager at Leak Free Roofing, wanted to develop a contingency plan for Leak Free, she would need to look at factors such as new equipment, the economy, and the company workers' compensation cases

True

Management by objectives, single-use plans, and standing plans are all management planning approaches.

True

Managers believe they are better oriented toward goal achievement when MBO is used

True

Operational planning specifies plans for department managers, supervisors, and individual employees

True

Planning cannot tame a turbulent environment.

True

Planning is the act of determining the organization goals and the means for achieving them.

True

Plans provide a standard of assessment.

True

Some firms engage in crisis planning to enable them to cope with unexpected events that are so sudden and devastating that they have the potential to destroy the organization.

True

Tactical plans are designed to help execute the major strategic plans and to accomplish a specific part of the company's strategy.

True

The mission is the basis for the strategic level of goals and plans, which in turn shapes the tactical and operational level

True

_____ is the act of determining the organization's goals and the means for achieving them. A. Brainstorming B. Organizing C. Planning D. Developing a mission E. A blueprint

C. Planning

_____ involves looking at trends and discontinuities and imagining possible alternative future to build a framework within which unexpected future events can be managed. A. Scenario building B. Crisis planning C. Contingency planning D. Trend management E. Caution planning

A. Scenario building

Which of these is lacking in the goal "profits should be increased in the coming year?" A. Specific and measurable B. Challenging but realistic C. Covers key result areas D. Defined time period E. None of these

A. Specific and measurable

Jerrica, a finance manager at LRV industries, is asked by her boss to develop a plan in the event that company sales drop by 20 percent or more. This type of plan is known as _____. A. contingency planning B. financial planning C. crisis planning D. consumer protection E. environmental planning

A. contingency planning

High Fence Corporation is currently implementing an MBO program. Managers and employees jointly set objectives and develop action plans, and goal achievement is evaluated on an annual basis. High Fence is missing which major activity that must occur in order for MBO to be successful? A. Developing a mission statement B. Developing tactical goals C. Reviewing progress D. Reviewing operational plans E. None of these

C. Reviewing progress

_____ are the broad statements of where the organization wants to be in the future. A. Operational goals B. Tactical goals C. Strategic goals D. Operational goals E. Tactical plans

C. Strategic goals

A broad definition of the organization's values, aspiration and reason for being, along with a recognition of the scope and operations that distinguishes the organization refers to a Business Plan.

False

A major difference between rules and policies is that rules are broad in scope whereas policies are narrow in scope

False

A plan tells "why" to achieve the goal.

False

Crisis plans define company responses to be taken in the case of emergencies, setbacks, or unexpected conditions

False

Defining operational goals and plans occurs in the execution phase of the organizational planning process.

False

Goals must be set for every aspect of employee behavior or organizational performance to be effective

False

Goals specify today's means; plans specify future ends.

False

In centralized planning, managers at all levels work with planning experts to develop their own goals and plans

False

In step 1 of Management By Objectives, overall performance is appraised

False

One of the biggest benefits of planning is that, in turbulent environments, plans create greater organizational flexibility.

False

Operational plans and goals are those that focus on the outcomes that major divisions and departments must achieve in order for the organization to reach its overall goals

False

Providing innovative solutions to customer needs is a goal that would be placed in the internal business process category on a strategy map

False

Sales in relation to targets is an example of a balanced scorecard metric

False

Standing plans define company responses to specific situations such as natural emergencies or competitive setbacks

False

Step 1 in Management by Objectives is to review progress

False

Tactical goals and plans are the responsibility of front-line managers and supervisors.

False

Tactical goals are specific, measurable results expected from departments, work groups, and individuals within the organization.

False

The ABC Corporation should create a crisis management group that is not cross-functional, but does work together well under pressure

False

The goals should be easy, for employees to feel motivated, so that they can achieve them easily which in turn increases their motivation level.

False

Top managers make the broad strategic plan and identify specific tactical plans.

False

Trend management is looking at trends and discontinuities and imagining possible alternative futures.

False

Alabama Airlines has three planning specialists who help division managers develop their own division plans. Serving as consultants to the divisions, the planning specialists give advice about strengths, weaknesses, opportunities, and threats. Alabama Airlines is utilizing what approach to the planning function? A. Centralized planning department B. Decentralized planning staff C. Planning task force D. Centralized planning committee E. TQM

B. Decentralized planning staff

Which of these is a method of management whereby managers and employees define goals for every department, project, and person and use them to monitor subsequent performance? A. Organizational planning B. Management by objectives C. Goal setting D. Mission development E. Vision development

B. Management by objectives

Which of the following is NOT a tool for executing a plan? A. Management by objectives B. Operations map C. Performance dashboards D. Single use plans E. Decentralized responsibility

B. Operations map

_____ define boundaries within which to make a decision. A. Programs B. Policies C. Rules D. Procedures E. Projects

B. Policies

_____ are reasonable yet highly ambitious goals that are so clear, compelling, and imaginative that they fire up employees and engender excellence. A. Operational goals B. Stretch goals C. Strategic goals D. Tactical goals E. Bottom-up goals

B. Stretch goals

Traditionally, if Stephanie, CEO of Butterfly Pillows, needed to conduct corporate planning, it would be performed by all of the following except: A. central planning departments. B. decentralized planning groups. C. top executives. D. consulting groups. E. the president of the company.

B. decentralized planning groups.

One major limitation of goals and plans is: A. goals and plans guide resource allocation. B. goals and plans may cause rigidity in a turbulent environment. C. goals and plans decrease employee motivation. D. goals and plans decrease employee commitment. E. none of the above.

B. goals and plans may cause rigidity in a turbulent environment.

All of the following are characteristics of effective goal setting except: A. goals should be challenging but not unreasonably difficult. B. goals should be set for every aspect of employee behavior. C. specific and measurable. D. cover key results area. E. linked to rewards.

B. goals should be set for every aspect of employee behavior.

The traditional approach to corporate planning was to: A. have a decentralized planning staff. B. have a centralized planning department. C. set up a planning task force. D. set up planning committees. E. use TQM approach.

B. have a centralized planning department.

Managers use _____ to direct employees and resources toward achieving specific outcomes that enable the organization to perform efficiently and effectively. A. strategic goals B. operational goals C. growth goals D. financial results E. internal business process goals

B. operational goals

A blueprint specifying the resource allocations schedules, and other actions necessary for attaining goals is referred to as a(n) _____. A. goal B. plan C. mission D. vision E. objective

B. plan

"No food and/or drinks in the classroom" is an example of a _____. A. procedure B. rule C. policy D. single-use plan E. project

B. rule

Sarah is a middle manager at Stylin' Sneakers Corporation. She is most likely responsible for the achievement of _____ goals. A. operational B. tactical C. strategic D. lower-level E. top-level

B. tactical

Goals that define the outcomes that major divisions and departments must achieve in order for the organization to reach its overall goals is called: A. strategic goals. B. tactical goals. C. operational goals. D. a mission. E. a plan.

B. tactical goals.

Which of these are described by mission statements? A. Corporate values B. Product quality C. Location of facilities D. All of these E. None of these

D. All of these

Darren set goals for each of his employees. Each employee ended up with at least twenty-five goals. This process violates which of the following criteria for effective goals? A. Specific and measurable B. Challenging but realistic C. Covers key result areas D. Defined time period E. Linked to rewards

C. Covers key result areas

_____ refers to a desired future state that an organization attempts to realize. A. Plan B. Vision statement C. Goal D. Mission statement E. Idea

C. Goal

Which of the following is NOT involved in the stages of crisis planning? A. Setting up effective communication systems B. Creating detailed crisis management plans C. Investigating all stakeholders D. Designating a crisis management team and spokesperson E. Building relationships

C. Investigating all stakeholders

Which of the following represent plans developed at the organization's lower levels that specify action steps toward achieving operational goals and that support tactical planning activities? A. Tactical plans B. Strategic plans C. Operational plans D. Supervisory plans E. Organizational plans

C. Operational plans

Which of the following is a visual representation of the key drivers of an organization's success, showing the cause-and-effect relationships among goals and plans? A. Operational plan B. Gantt chart C. Strategy map D. SWOT analysis E. Strategic plan

C. Strategy map

Which type of plan helps managers implement the overall strategic plan? A. Operational B. Contingency C. Tactical D. Crisis E. Corporate-level

C. Tactical

Which of these are true about contingency plans? A. They are developed to achieve a set of goals that are unlikely to be repeated in the future. B. They are used to provide guidance for tasks performed repeatedly within the organization. C. They define company responses to specific situations, such as emergencies or setbacks. D. They are most important in the organizations. E. None of these

C. They define company responses to specific situations, such as emergencies or setbacks.

"We seek to become the premier business school in the west" is an example of a statement you are most likely to find in the organization's _____. A. tactical goals B. operational goals C. mission D. tactical plans E. operational plans

C. mission

A long-term time frame is most closely associated with: A. operational plans. B. tactical plans. C. strategic plans. D. mission plans. E. tactical goals.

C. strategic plans.

In using MBO, objectives should be set by the: A. supervisor. B. employee. C. supervisor and the employee jointly. D. accounting department. E. top management.

C. supervisor and the employee jointly

You are violating which of these goal characteristics when you attempt to create goals for every aspect of employee behavior? A. Specific and measurable B. Linked to rewards C. Defined time period D. Cover key result areas E. Challenging but realistic

D. Cover key result areas

_____ enables firms to cope with unexpected events that are so sudden and devastating that they have the potential to destroy the organization if managers aren't prepared with a quick and appropriate response. A. Incident planning B. Contingency planning C. Strategic planning D. Crisis planning E. Emergency planning

D. Crisis planning

Focusing manager and employee efforts on activities that will lead to goal attainment is a benefit of what management method? A. Tactical planning B. Contingency planning C. Single-use planning D. Management by objectives E. Management by walking around

D. Management by objectives

_____ goals lead to the attainment of _____ goals, which in turn lead to the attainment of _____ goals. A. Operational; strategic; tactical B. Tactical; operational; strategic C. Strategic; tactical; operational D. Operational; tactical; strategic E. None of these.

D. Operational; tactical; strategic

Of the strategic management functions, which is considered the most fundamental? A. Executing B. Analyzing C. Controlling D. Planning E. Leading

D. Planning

_____ is primarily responsible for strategic goals/plans. A. Middle management B. Board of directors C. Consultants D. Top management E. Lower management

D. Top management

Roxanne is a manager at Geronimo Gaming. She recently attended a seminar on goal setting. She wishes to use goals to provide a sense of direction to her staff. She is using goals as: A. a way to legitimize her department. B. a source of motivation. C. a standard of performance. D. a guide to action. E. a way to impress others.

D. a guide to action.

The _____ is the basis for the strategic level of goals and plans which in turn shapes the _____, and _____ level. A. goal; mission, tactical B. objective; operational, mission C. operational goal; mission and tactical D. mission; tactical, operational E. tactical plan; operational, mission

D. mission; tactical, operational

The _____ is the department manager's tool for daily and weekly operations. A. conventional goal B. strategic goal C. strategic plan D. operational plan E. targeted plan

D. operational plan

According to the strategy map described in chapter 7, which of the following is NOT a type of goal? A. Financial performance goals B. Customer service goals C. Internal business process goals D. Learning and growth goals E. External business process goals

E. External business process goals

_____ is primarily responsible for operational goals/plans. A. Middle management B. Board of directors C. Consultants D. Top management E. Lower management

E. Lower management

Which of the following is not a step in the organizational planning process? A. Monitor and learn B. Plan operations C. Translate the plan D. Develop the plan E. Plan marketing tactics

E. Plan marketing tactics

Which of the following is a commonly-cited limitation of planning? A. Plans limit employee motivation and commitment. B. Plans make resource allocation more difficult. C. Plans make it more difficult to measure standards of performance. D. Plans boost intuition and creativity. E. Plans can create a false sense of security.

E. Plans can create a false sense of security.

_____ are called the action steps by which an organization intends to attain its strategic goals. A. Tactical goals B. Operational goals C. Tactical plans D. Operational plans E. Strategic plans

E. Strategic plans

A desired future state that the individual or organization attempts to realize is a goal.

True