Management Final

When an organization has a competitive​ advantage, ________.

it has something that other companies​ don't, does something better than other​ organizations, or does something that others​ can't

The​ ________ of a selection tool refers to how accurately it predicts or forecasts what it is meant to predict.

validity

The rights inherent in a managerial position to tell people what to do and to expect them to do it is known as​ ________.

authority

Which of the following generational cohorts currently comprises the largest share of the​ workforce?

Baby boomers

In an organic​ organization, which of the following would you most likely​ see?

High degree of decentralization

The biggest health care cost for companies is​ ________.

Obesity

Many​ start-ups today​ ________.

are integrating​ revenue-generating and philanthropy

Approximately​ ________ percent of the U.S. workforce is represented by labor unions.

11%

Which performance appraisal method solicits performance feedback from multiple persons with whom the employee interacts on a regular​ basis, such as​ peers, subordinates,​ customers, and​ supervisors?

360-degree appraisal

In which of the following organizations would an organic structure likely be most​ appropriate?

A company pursuing unique innovations in a​ dynamic, rapidly changing industry

Which of the following managers has line​ authority?

A customer service manager establishes the work schedules of customer service representatives and can discipline them in accordance with the rules of the company.

Which of the following is the best example of customer​ departmentalization?

A textbook publisher with separate divisions for clients in higher​ education, professional continuing​ education, elementary​ education, and secondary education

Which term refers to efforts to improve the educational​ and/or employment opportunities of members of groups that have not been treated fairly in the past because of their race or​ gender?

Affirmative action

LaToya has developed a progressive form of hearing loss. To ensure that she is still able to perform the essential functions of her​ job, her employer was required to make a reasonable accommodation and equip her office telephone with a specialized headset. Which law or ruling is most applicable to this​ scenario?

Americans with Disabilities Act

Barbara's Bridals does not want to be​ "all things to all​ people." The company serves a niche market of​ plus-sized brides who want to purchase​ high-end, designer wedding gowns.​ Barbara's Bridals is pursuing a​ ________ strategy.

focus

Because of its sheer size and the volume of products it purchases from its​ vendors, Walmart can dictate the prices it will pay. Which of​ Porter's five competitive forces does this​ represent?

Bargaining power of buyers

An electronics firm develops a control for an appliance​ manufacturer, and its contract states​ that, if the appliance manufacturer terminates the contract​ early, it must reimburse the electronics firm for​ $2 million in development costs. Which of​ Porter's five competitive forces does this​ represent?

Bargaining power of suppliers

Which organizational structure did Jack Welch use at GE to eliminate vertical and horizontal lines within GE and to break down external barriers between the company and its customers and​ suppliers?

Boundaryless organization

Which of the following is the most important thing an entrepreneur develops when planning a​ venture?

Business plan

Laura is a billing clerk in a​ medium-sized manufacturing company. She reports to the Supervisor of Accounts​ Payable, who in turn reports to the Manager of Accounting. The Manager of Accounting is accountable to the Chief Financial​ Officer, who reports to the company president. Which element of organizational design does this​ illustrate?

Chain of command

A manufacturer of luxury handbags and luggage does not hire any permanent employees in its distribution facilities. Workers are hired as temporary​ workers, subject to demand for their services. The company pays no Social​ Security, Medicare, or unemployment insurance taxes on these employees. Which term best describes this work​ arrangement?

Contingent workers

Which of the following is the second step of the strategic management​ process?

Doing an external analysis

Jake is in the process of developing a strategic plan for his organization. He has just completed an analysis of the​ firm's resources and capabilities and has identified its strengths and weaknesses. According to the​ six-step strategic management​ process, which step has Jake​ performed?

Doing an internal analysis

Which of the following is an important motivational tool entrepreneurs can​ use?

Employee empowerment

When the CEO of the ACE Company is developing strategic​ flexibility, she is most likely to do which of the​ following?

Encourage employees to be open about disclosing and sharing negative information

Darma, a​ 56-year-old female, believes she has a cause of action against her employer because she is being paid less than a male worker who performs the same work. Which law or ruling is most applicable to this​ scenario?

Equal Pay Act

What is the first step in the entrepreneurial​ process?

Exploring the entrepreneurial context

Aleena's mother is seriously ill in another​ state, and Aleena has requested leave from her employer to care for her mother. Which law or ruling is most applicable to this​ scenario?

Family and Medical Leave Act

Which of the following products would likely be produced using process​ production?

Gasoline

The ABC retail company groups activities around its East​ Coast, West​ Coast, and Midwest locations. Which type of departmentalization is the company​ using?

Geographical

Justina is completing a performance appraisal for one of her subordinates. She must rank the employee on a scale of 1 to 5 in multiple categories such as quantity of​ work, quality of​ work, knowledge,​ attitude, dependability, and cooperation. What performance appraisal method is being​ used?

Graphic rating scale

The success of eBay as an online intermediary between buyers and sellers to connect people​ (versus selling them​ things) is an example of which of​ Drucker's sources of​ opportunity?

Industry and market structures

Which of the following describes a feasibility​ study?

It can serve as a basis for a business plan.

Which of the following defines an entrepreneurial​ venture?

It pursues​ opportunities, is characterized by innovative​ practices, and has growth and profitability as its main goal.

Martina has decided to structure her new business venture to provide liability protection while gaining tax benefits over alternative structures. Her attorney has prepared the operating agreement and advised her of the complexities and expense of setting up this structure. Which of the basic types of ownership has Martina​ chosen?

LLC

Joan is a manufacturing engineer who works on a new product development team along with members from​ design, engineering,​ production, purchasing,​ finance, marketing, and quality assurance. Joan still has responsibilities to the Manager of Manufacturing​ Engineering, but simultaneously reports to the new product development team leader. What type of organizational design does this​ describe?

Matrix structure

One of the selection tools for firefighters is to be able to drag a​ 175-pound dummy for a distance of 100 feet. What type of selection tool does this​ represent?

Physical examination

Which of the following is NOT one of the six key elements of organizational​ design?

Regulation

One of GTO​ Industries' key suppliers is in the midst of a labor dispute and workers have gone on strike. In terms of an​ internal/external analysis, this would be an example of​ a(n) ________.

threat

​________ is the extent to which a selection tool produces consistent results over time.

Reliability

Howard is hired by ABC Manufacturing as an assembly technician trainee at minimum wage. After successfully completing two core workshops in safety and​ quality, Howard receives a​ $.50 per hour raise. He then completes a workshop on line restocking and another on burr​ removal, and his pay is increased an additional​ $.65 per hour. Which of the following does this best​ illustrate?

Skill-based pay

Which of the following is NOT true of strategic​ management?

The economic viability of the​ organization's business model is seldom a factor in the strategic management process.

The creation of ATMs in the 1960s paved the way for​ today's online banking. According to Peter​ Drucker, the creation of ATMs is an example of which potential source of​ opportunity?

The process need

Which of the following is NOT true of sexual​ harassment?

The victim must be the person harassed.

How does the boiled frog phenomenon relate to​ entrepreneurs?

They need to be alert to signals that the​ venture's performance may be worsening.

Which of the following defines high​ risk-seekers?

They need to understand when to take risks and when to avoid them.

A major appliance manufacturer that has been purchasing electronic controls from a supplier makes the decision to design and develop the controls​ in-house. From the​ supplier's perspective, which of​ Porter's five competitive forces does this​ represent?

Threat of new entrants

A job​ ________ describes the​ content, environment, and conditions of​ employment, whereas a job​ ________ states the minimum qualifications a person must possess to successfully perform the job.

description; specification

Which decruitment option is unlikely to reduce​ costs, but can reduce​ intra-organizational supply-demand ​imbalances?

Transfers

​________ is the principle that no subordinate in an organization should report to more than one manager.

Unity of command

When would an organic structure be most​ appropriate?

When innovation is critical to the​ organization's competitive advantage

When Jason applied for a job as a heating and air conditioning​ technician, he was given a malfunctioning compressor and was asked to diagnose the problem. What type of selection tool does this​ represent?

Work sampling

At a​ delicatessen, one employee greets patrons and takes their orders. Another employee assembles the sandwiches. A third employee wraps the sandwiches and operates the cash register. Which element of organizational design does this​ illustrate?

Work specialization

When Sarah started at the restaurant as a​ waitress, her boss spent the morning introducing her to​ coworkers, explaining the menu to​ her, and familiarizing her with the​ restaurant's procedures for waiting on customers. What type of training did Sarah​ receive?

Work unit orientation

Emerson Enterprises has made a decision to close its manufacturing facility in​ LaVerna, Alabama, and move operations to Mexico to take advantage of lower labor costs. Which law or ruling is most applicable to this​ scenario?

Worker Adjustment and Retraining Notification Act

In identifying personality characteristics of​ entrepreneurs, it is likely that entrepreneurs​ ________.

are more proactive

An automobile manufacturer has four distinct business units-one for each of its major brands. Each of these units is headed up by a senior manager who has authority over that brand and is responsible for performance. Based on​ this, it can be assumed that the company has a​ ________ structure.

divisional

An​ organization's skills and abilities in doing the work activities needed in its business are referred to as its​ ________.

capabilities

A strategic business unit​ (SBU) of a major corporation has high market share in its​ industry, but the growth rate of the industry is expected to be stagnant over the long run. According to the BCG​ matrix, how would this SBU be​ categorized?

cash cow

The president of​ Adam's company rules with an iron fist. All decisions must first be approved by the​ president, regardless of how small or insignificant they are. This suggests that there is a high degree of​ ________ within the company.

centralization

High-performance work practices include all of the following EXCEPT​ ________.

centralized decision making

What sets an organization apart from its competitors is known as its​ ________.

competitive advantage

An organization that grows using​ ________ expands by focusing on its primary line of business and increasing the number of products offered or markets served in its primary business.

concentration

Pasta Pronto is planning to grow by adding a location and increasing its delivery radius. What type of strategy is Pasta Pronto​ using?

concentration

An entrepreneur has decided to structure her business as a distinct legal entity with its own charter. She wants to be sure the business entity is separate from herself as owner and separate from her managers. Which of the basic types of ownership has she​ chosen?

corporation

RGH Enterprises is able to produce a wide line of garden tools and sells a high​ volume, and thus can capitalize on economies of scale and charge lower prices than its competitors. RGH Enterprises is using the​ ________ strategy.

cost leadership

The process of starting new​ businesses, generally in response to​ opportunities, is​ ________.

entrepreneurship

A​ small, private college groups employees together by the work​ specialty, such as academic​ affairs, financial​ aid, food​ service, and campus security. This college appears to have a​ ________ structure.

functional

In comparison to large​ firms, small firms​ ________.

generate nearly three times the number of patents per research and development dollar spent

An​ entrepreneur's decision to exit the venture may be based on the fact that he or she hopes to capitalize financially on the investment in the venture. This is known as​ ________.

harvesting

A​ ________ is an assessment that defines jobs and the behaviors necessary to perform them.

job analysis

The​ ________ for a human resources manager indicates that the individual must have a minimum of 5 years of experience in human​ resources, experience supervising and managing a professional​ staff, a​ bachelor's degree in human resources or​ management, proficiency in organizational​ development, and familiarity with HRIS and Microsoft Office.

job specification

According to the Boston Consulting Group​ (BCG) matrix, a question mark has​ ________ market share and​ ________ anticipated growth rate.

low; high

In recruiting​ employees, entrepreneurs tent to focus on​ ________.

matching the person to the organization

At​ Mark's company, the policy and procedures manual is two inches thick and seemingly covers every single aspect of work in great detail. He has even jokingly​ said, "If the company wanted you to have a​ family, it would probably be in the procedures​ manual." Based on​ this, it would appear that Mark works for​ a(n) ________ organization.

mechanistic

In​ a(n) ________​ organization, authority is centralized and rules are clearly specified.

mechanistic

A textile mill has separate departments for​ spinning, weaving,​ dying, and printing. The outputs of one department become the inputs for the next department. This describes departmentalization based upon​ ________.

process

The first step for an entrepreneur in successfully managing a downturn is​ ________.

recognizing that a crisis is brewing

Locating, identifying, and attracting qualified applicants is the HR process referred to as​ ________.

recruitment

Which of the following corporate strategies would be used by an organization to address declining​ performance?

renewal strategy

As a source of opportunity for​ entrepreneurs, new knowledge​ ________.

requires that entrepreneurs be able to do something with that knowledge

JMY Technologies has experienced declining performance for the past six months.​ Top-level managers have determined that the problems are minor in nature and that a​ short-run renewal strategy is most appropriate. In order to stabilize​ operations, JMY will most likely implement a​ ________ strategy.

retrenchment

Jolene owns her own marketing design consulting business. There are only five​ employees, so the organization has a flat​ hierarchy, and Jolene retains full authority.​ Jolene's company would best be described as a​ ________ structure.

simple

The legal organization in which the owner maintains complete control over the business and is personally liable for business debts is the​ ________.

sole proprietorship

Which of the following corporate strategies would be described as a status quo​ strategy?

stability strategy

A strategic business unit​ (SBU) of a major corporation has entered a​ new, high volume industry and has quickly captured a significant share of the market. According to the BCG​ (Boston Consulting​ Group) matrix, how would this SBU be​ categorized?

star

The ability to​ anticipate, envision, maintain​ flexibility, think​ strategically, and work with others in the organization to initiate changes that will create a viable and valuable future for the organization is known as​ ________.

strategic leadership

When managers develop the strategies for the organization for how it will compete​ successfully, they are engaged in​ ________.

strategic management

In terms of an​ internal/external analysis, loyal​ employees, low​ turnover, and a​ well-trained workforce would be examples of a​ ________.

strength

More than one third of entrepreneurs said their idea for a business came from​ ________.

sudden​ insight/chance

The organizational structure that is built around​ self-directed work groups that are responsible for all work performance results in their respective areas is a​ ________.

team structure

Max DePree suggested that a successful entrepreneur could be compared to​ ________.

the leader of a jazz ensemble

The formal arrangement of jobs within an organization is known as​ ________.

the organizational structure

A major appliance manufacturer that has been purchasing electronic controls from a supplier makes the decision to design and develop the controls​ in-house. What type of corporate strategy does this​ represent?

vertical integration

In terms of an​ internal/external analysis, the use of obsolete technology in an outdated facility would be considered​ a(n) ________.

weakness

In terms of how many employees a manager can effectively and efficiently​ manage, the trend in recent years has been toward​ ________.

wider spans of control

A group of nominated or elected employees who must be consulted when management makes decisions involving personnel is known as a​ ________.

work council

Which training method do experts believe that organizations will increasingly rely on to deliver important information and to develop​ employees' skills?

​E-learning and mobile learning

Alec works on a new product development team at GTO Industries. His team is composed of members from​ engineering, quality,​ manufacturing, marketing,​ purchasing, and accounting. This describes a​ ________.

​cross-functional team

The two primary factors affecting an​ entrepreneur's choice of legal ownership for a venture are​ ________ and​ ________.

​taxes; legal liability