MGMT 309 Exam 2 Wesner TAMU
Facebook has high market share and high market growth rate, which would make it a ____. a. star b. question mark c. dog d. cash cow e. rising star
A
The manager who has difficulty identifying alternatives and assessing their probabilities is experiencing a. decision making under uncertainty. b. decision making under absolute certainty. c. decision making under risk. d. decision maker's creativity block. e. decision making with fear.
A
tactical goal
A goal set by and for middle managers of the organization
Which of the following directly follows from the organization's mission? a. Operational plans b. Strategic goals c. Tactical goals d. Tactical plans e. Functional plans
B
Which of the following is NOT an example of a basis of relatedness for implementing related diversification? a. Similar technology b. Similar human resources c. Common brand name and reputation d. Common customers e. Common distribution and marketing skills
B
A single-use plan that has a more narrow scope than a program is called a(n) a.policy b.agenda c.project d.rule e.standard operating procedure.
C
Inappropriate goals a. focus almost entirely on qualitative factors. b. are not tied to the organization's reward system. c. are not consistent with the organization's mission. d. focus almost exclusively on qualitative factors. e. are not viewed as impossible for employees to achieve.
C
Operations management can BEST be used to improve speed by a. maximizing the number of approvals needed so that mistakes are caught beforehand, then moving ahead at full speed. b. using individual work assignments because of the clear accountability that results. c. starting from scratch, which usually enhances speed more than modifying current systems. d. rigidly adhering to schedules. e. eliminating elements of the organization culture that have been ineffective.
C
Which of the following is NOT an example of an interacting group? a. Standing committee b. Task force c. Delphi group d. Functional department e. Ad hoc committee
C
Which of the following is the BEST example of a standard operating procedure? a. The "Do Not Litter" sign in the city park b. The high school plan for dealing with a student with a learning disability c. The Dairy Queen restaurant's plan for how to make a banana split d. The way students are selected for college admission e. The plan to build an equestrian site for the 2004 Olympics
C
Which of the following types of plans is least subject to change because of the time frame involved? a. Strategic b. Functional c. Contingency d. Tactical e. Operational
C
time-frame
goals across a time frame (short term and long term)
organizational goals
- provide guidance and unified direction - goal-setting affects aspects of planning (promotes good planning/ facilitates future goal setting) - specific and moderately difficult goals can motivate employees - goals provide a good mechanism for evaluation and control
developing tactical plans
- recgonize the overarching strategic plans and tactical goals - specify relevant resources and time issues - identify human resource commitments
Executing tactical plans
-evaluate each course of action in light of its goal -obtain and distribute information and resources -monitor horizontal and vertical communication and integration of activities -monitor ongoing activities for goal achievement
long-range plans
5 years or more (mission statements)
A single-use plan that has a more narrow scope than a program is called a(n) a. project. b. policy. c. standard operating procedure. d. rule. e. agenda.
A
A(n) ____ strategy is a plan chosen and implemented to support specific goals, such as an increase of market share by 5 percent. a. deliberate b. reliable c. synergistic d. emergent e. valid
A
Goals are classified according to their ____ when the terms quality, productivity, and innovation are applied to them. a. area b. specificity c. time frame d. function e. level
A
In the short-term people may lose their jobs, but in the long-term jobs are generally created by a. automation. b. flexible manufacturing. c. CAD. d. CAM. e. CIM.
A
The first step in the decision-making process is a. recognizing and defining the situation. b. brainstorming. c. the generation of alternatives. d. the expression of a willingness to be innovative. e. implementation.
A
Who has the formal authority and responsibility for an organization's management? a. Line managers b. Chief executive officer c. Board of directors d. Planning staff e. Executive committee members
A
operational goal
A goal set by and for lower-level managers of the organization
A product layout MOST likely would be found in organizations a. using small-batch technology. b. using large-batch (mass production) technology. c. using continuous flow (process) technology. d. producing custom-made products. e. in the service sector.
B
A(n) ____ is an informal group allied together for a common purpose. a. action committee b. coalition c. board of directors d. interacting group e. department
B
A(n) ____ strategy is a plan chosen and implemented to support specific goals, such as an increase of market share by 5 percent. a. valid b. deliberate c. reliable d. emergent e. synergistic
B
Abercrombie & Fitch uses its ability to manage its supply chain more effectively than most of its competitors to create a.resource deployment b.a distinctive competence c.synergy d.scope e.alignment.
B
If you make a decision that does not turn out as planned Warren Buffet advises, "When you find yourself in a hole, stop digging." What behavioral influence on decision making does this advice attempt to prevent? a. Intuition b. Escalation of commitment c. Empathy d. Risk propensity e. Political forces
B
One of the major tasks for movies like The Chronicles of Narnia is to create costumes for various species that reflect the mythical persona and that can be worn by humans for lengthy periods of time. ____ could be used to speed up the development process. a. Robotics b. Computer-aided design c. Computer-integrated manufacturing d. Computer-aided manufacturing e. Flexible manufacturing systems
B
Which of the following organizations would provide the consumer with time and place utility through its operations management function? a. United Technologies Corporation when it manufactures Otis elevators b. The NYC subway c. Sealed Air, maker of bubble wrap d. Kincaid, furniture maker e. Reed and Reed, building construction
B
Which of the following statements about programmed decisions is FALSE? a. To make a programmed decision, it must be possible to develop some rule for making the decision. b. The use of programmed decisions should be limited to noncritical situations. c. The decision situation in which programmed decisions should be used needs to be fairly structured. d. In many instances, programmed decisions can be computerized. e. Programmed decisions deal with repetitive situations.
B
Will is evaluating a stack of resumes and eliminates any candidate that does not hold a Master's degree. Which criterion for evaluating a decision alternative do these candidates fail to meet? a. Feasibility b. Satisfactoriness c. Affordability d. Consequences e. Rationality
B
Many small companies sell their products through Amazon. Sometimes the product ships from an Amazon warehouse and other times it ships from the small company. Amazon is part of the a. raw materials and component parts. b. in-process inventories. c. finished-goods inventories. d. in-transit inventories. e. maintenance, repair, and office inventories.
D
The expiration of a pharmaceutical drug patent allows generic drug makers to introduce the same chemical compound under a different name and at lower prices. This is an example of ____ for the developer of the original drug. a. organizational weakness b. strategic limitation c. entropy d. organizational threat e. organizational opportunity
D
United Continental Holdings includes Continental Airlines, United Airline, Chelsea Food Services, and United Cruises, because it was thought that they can accomplish more joined together than they can operating as separate units. Which advantage of related diversification does this best represent? a. Reducing overhead b. Creating a distinctive competence c. Innovation d. Synergy e. Reducing business dependence
D
Which of the following statements BEST reflects the proper approach to goal setting? a. Top executives set goals for everyone in the organization. b. Goals should be set starting from the bottom of the organization. c. Individual goals should be set first and then organizational goals. d. Managers should set goals for their own level in the organization. e. Middle managers set goals for all managers lower than them.
D
Which of the following statements about the relationship between productivity and quality is true? a. There is no relationship between productivity and quality. b. Increased productivity means decreased quality. c. Higher quality results in higher productivity. d. Productivity and quality are inversely related. e. All of these choices
D
____ is the totality of features and characteristics of a product or service that determines its ability to satisfy stated or implied needs. a. The needs satisfaction index b. The operations effectiveness ratio c. The productivity/efficiency ratio d. Quality e. Synergistic effectiveness
D
A single-use plan for a large set of activities is called a a. project. b. policy. c. standard operating procedure. d. rule. e. program.
E
Ben is planning a ground-breaking ceremony for the company's new headquarters in Charlotte, North Carolina. He has a limited budget. He could spend money on renting ceremony equipment, renting air-conditioned tents, buying engraved shovels for the CEO and Governor, buying construction helmets with the company logo, and/or catering the reception after the ceremony. Ben is in which step of the rational decision-making process? a. Recognizing and defining the situation b. Evaluating alternatives c. Selecting the best alternatives d. Implementing an alternative e. Identifying Alternatives
E
Business-level strategy focuses primarily on a. which markets to enter and how to use the firm's money, people, and physical facilities. b. which markets to enter and in what areas the firm may have a competitive edge. c. which markets to enter and how the parts of the organization enhance the entry. d. the areas in which the firm may have an advantage and how much various organizational parts enhance each other. e. the firm's competitive advantage(s).
E
Hewlett Packard contemplated selling its PC division. This is an example of change in ____. a. alignment b. synergy c. distinctive competence d. resource deployment e. scope
E
Porter's generic strategies classify firms by which of the following? a. Stagnant b. Growth c. Declining d. Analyzing e. Focus
E
Statistical quality control is a. a computerized quality control monitoring service. b. a team approach to quality control. c. useful only in determining completed items to reject. d. most useful in service organizations. e. a set of specific statistical techniques used to monitor quality control.
E
Tactical plans a. require a planning staff for development. b. are used to react to unforeseen circumstances. c. are normally developed by the board of directors. d. cover many years. e. are an organized sequence of steps designed to execute strategic plans.
E
Which of the following is NOT a behavioral force that influences decision making? a. Intuition b. Coalitions c. Risk propensity d. Ethics e. Optimization
E
Which of the following is a basic component of a total quality management strategy? a. Employee involvement b. Technology c. Materials d. Strategic commitment e. All of these choices
E
A program is similar to a project, but smaller. True False
F
An international strategy in which the company attempts to combine the benefits of global scale efficiencies with the benefits and advantages of local responsiveness is called global strategy T/F
F
Using Goals to Implement Plans
Management by objective MBO
Line Management
Provide valuable inside information and execute the plans developed by top management.
A contingency plan is usually done as an action plan. (T/F)
T
A reaction plan is usually short range and done after something changed. (T/F)
T
An impulsive CEO can turn a deliberate strategy into an emergent strategy. (T/F)
T
Executive Committee
Top management provide input to the CEO and reviews strategic plans.
A manager who has a low-risk propensity would
Use rational decision making model
A year before the census, the federal government hired tens of thousands of temporary workers to prepare for the count. This is an example of a(n) ____ plan. a.action b.standing c.contingency d.reaction e.functional
a
strategy
a comprehensive plan for accomplishing organizational goals
MBO
a formal goal setting process involving collaboration between managers and subordinates - the extent to which goals are accomplished is a major factor in evaluating and rewarding subbordinates perfomance
SOP (Standard Operating Procedure)
a set of fixed instructions or steps for carrying out usually routine operations - more specific than a policy, in that it outlines the steps to be followed in particular circumstances
action plan
a specific Nissan plant was ready to have its technology overhauled, its managers focused their attention on replacing the existing equipment with new equipment as quickly and as efficiently as possible, to minimize lost production time.
mission statement
a statement of the organization's purpose - what it wants to accomplish in the larger environment (specific, measureable, attainable)
operational plan
a type of plan designed to implement tactical plans
who is responsible for setting goals?
all managers set goals
A ____ was developed when Chicago made a bid for the 2016 Summer Olympics. a.standard operating procedure b.program c.ruled policy e.project
b
A furniture manufacturer in Durham, North Carolina, has a pay-for-knowledge compensation system in which an employee's hourly wage depends on how many different jobs she or he can do. Which of the following statements describing research results about such programs is FALSE? a.The key to the success of such programs is rewards b.Unions support such programs because they give the worker more voice in operations c.They are an effective means of increasing productivity d.They reduce the number of employees required e.They increase workforce flexibility.
b
According to the Miles and Snow model of business strategy, which of these strategies is the most appropriate for use in an unstable environment? a. Defender b. Prospector c. Analyzer d. Reactor e. Rescuer
b
Joyce wants to decrease turnover. She can change hiring practices, improve benefits, improve wages, or provide an annual bonus. She chooses a year-end bonus because it keeps payroll lower and should quickly affect turnover. This example suggests that Joyce is at which step in the decision-making process? a. Developing a set of rational alternatives b. Evaluating decision effectiveness c. Selecting which alternative to implement d. Recognizing and defining the decision situation e. Evaluating the possible alternatives
c
A disadvantage of the ____ decision-making model is that it does not use ethics.
classical
Activist investors often try to influence a board to sell off a business unit if it does not have a lot of synergy with other business units. To gain enough influence with the board, these investors usually require
coallition
decision making
cornerstone of planning catalyst that drives the formulation and implementation process underlies the formulation and implementation of all plans
A(n) ____ for Choice Waste Management could be "to develop a recycling campaign for rural communities of less than 1000 customers." It would develop naturally out of a strategic goal seeking "to increase recycling by 10% everywhere." a.operational goal b.operational plan c.mission statement d.tactical goal e.vision
d
AOL eliminated fees to some subscribers to try to attract more users. AOL was using a(n) ____ strategy.
defender
action points
determine which plan managers should use
strategy components
distinctive competence, scope, resource deployment
A New York Times journalist was taken hostage by the Taliban. Special Forces created a(n) ____ plan and rescued the journalist. a.action b.organizational c.standing d.functional e.reaction
e
A single-use plan for a large set of activities is called a a.project b.policy c.standard operating procedure d.rule e.program.
e
A(n) ____ strategy is a pattern of action that develops over time in an organization in the absence of missions and goals, or despite missions and goals.
emergent
optimizing
finding potential conflicts and trying to balance them
Purpose of formal goal setting
gives subbordinates a voice in the goal-setting and planning process - clarifies what they are to accomplish in a given time period
A disadvantage of using interacting groups to make decisions is
group polititcs
tactical plan
helps to implement all or parts of a strategic plan
major barriers
inappropriate goals, improper reward system, dynamic and complex environment, reluctance to establish goals, resistance to change, constraints
program
is a single-use plan for a large set of activities. It might consist of identifying procedures for introducing a new product line, opening a new facility, or changing the organization's mission
single use plan
is developed to carry out a course of action that is not likely to be repeated in the future
CEO
major roles in planning and implementation
Action 1
management develops the basic plans of the organization. These may include strategic, tactical, and operational plans - consider contingeny events
action 4
marks the successful completion of either the original or a contingency plan
project
may be a part of a broader program, or it may be a self-contained single-use plan. Consider the airline merger just mentioned. Airlines generally offer their passengers an inflight magazine. The company has decided to scrap both of the two existing magazines and create a new one from scratch
planning
occurs within an environmental context where are we taking an org long term?
AirTran Airlines (formerly ValuJet) has an airplane fleet that is older than those owned by other airlines. This is a potential ____ because it can give the company an image of poor quality or unsafe planes.
organizational weakness
strategic plan
plan reflecting decisions about resource allocations, company priorities, and steps needed to meet strategic goals
3M is a highly innovative firm that is constantly seeking new markets and is oriented toward growth and taking risks. It uses a(n) ____ strategy.
prospector
organization mission
purpose, premise, values, overall goals, (strategical, tactical, operational, and plans)
Adolph Coors Company heavily developed Zima brand beer that was targeted to Generation Xers, but Zima gained only a small share of a rapidly growing market. According to the BCG matrix, Zima is an example of a
question mark
strategic goal
set by and for top management and focus on objectives for the organization as a whole
area
setting goals for different areas within an org
policy
specifies the organization's general response to a designated problem or situation. For example, McDonald's has a policy that it will not grant a franchise to an individual who already owns a competing fast-food restaurant
action 3
the company specifies certain indicators or signs that suggest that a contingency event is about to take place create a plan for the possible contingency events
contingency planning
the determination of alternative courses of action to be taken if an intended plan is unexpectedly disrupted or rendered inappropriate
action 2
the plan managers choose to implement formally identify contingencies (only events that are likely to occur and will have a substancial impact)
crisis management
the set of procedures the organization uses in the event of a disaster or other unexpected calamity
managing multiple goals
they can be in conflict
overcoming barriers
understanding the purposes of goals and planning, communication and participation, consistency, revision, and updating, effective reward system
standing plan
used for activities that recur regularly over a period of time
short range plans
usually cover a year or less
intermediate plans
usually cover from 1-5 years and parallel tactical plans
strengths of effective goal setting
- improved motivation - enhanced communication - allows for objective performance behvaior
reaction plan
At one Nissan factory, the new equipment arrived earlier than expected, and plant managers had to shut down production more quickly than expected. These managers thus had to react to events beyond their control in ways that still allowed their goals to be achieved.
8. When one disposable shaver maker introduced a three-blade shaver, the other introduced three blades within months. They repeated the process with four blades. This is an example of a. product aping. b. tactical imitation. c. product emulation. d. product integration. e. strategic imitation.
B
A contingency plan... a.makes an organization less flexible b.is developed after considering possible events c.is used in conjunction with the organization's originally developed plan d.can be used only at a strategic level e.is unnecessary for organizations that face a dynamic environment.
B
A(n) ____ strategy is a pattern of action that develops over time in an organization in the absence of missions and goals, or despite missions and goals. a. valid b. deliberate c. reliable d. emergent e. synergistic
D