MGMT 309 FINAL EXAM
Manufacturing always relies on feedback, information, sensors, and a control mechanism
False
Many unions support cross-training because they think it preserves job security
False
Michael E. Porter's five competitive forces are competitors, customers, suppliers, strategic partners, and regulators.
False
Packaging for rice should be green because all countries think green is healthy
False
The Hawthorne studies showed that piece-rate pay was an effective way of increasing work output.
False
The education system is not part of the infrastructure of a country
False
The existence of laws and regulations makes it necessary for companies that strive to be responsible to their stakeholders to concentrate first and foremost on government.
False
The proper sequence for evaluating a decision alternative is satisfactoriness, probable consequences, and feasibility
False
The purpose of formal goal setting is generally to give managers a chance to tell employees what their goals are and how they will accomplish the objectives
False
We can identify four distinct levels of international activity that differentiate organizations
False
Paul and Bobby want to start a construction company. After being in business a few months, they guess that the most efficient way to demolish walls is for Paul to break them up and tear them off and for Bobby to haul away the debris. Which of the following management theorists would be most helpful to these entrepreneurs? (A) Henry Gantt (B) Frederick Taylor (C) Frank Gilbreth (D) Harrington Emerson (E) Max Weber
Henry Gantt
A(n) ____ would come under the heading of the economic element of the general environment (A) Significant decrease in the birthrate (B) Increase in the number of single-parent families (C) Large increase in immigration (D) Increase in the mean age of the population (E) Increase in umemployment
Increase in unemployment
eBay is based in San Jose. Buyers and sellers on the site are located around the world. eBay is a(n) ____ business. (A) Global (B) International (C) Multinational (D) Domestic (E) Intercontinental
International
Bernard Madoff defrauded clients out of millions of dollars. The probability that the employees of Madoff's have high ethical behavior is minimal due to (A) A national culture that values ethical behavior (B) Its top management fostering an inappropriate culture (C) A legal environment that prohibits unethical practices (D) An economic environment conducive to ethical practices (E) Its low-pressure competitive environment.
Its top management fostering an inappropriate culture
When we identify strategic, tactical, and operational goals, we are classifying them by (A) Purpose (B) Specificity (C) Level (D) Area (E) Time frame
Level
Hewlett Packard contemplated selling its PC division. This is an example of change in ______ (A) Alignment (B) Synergy (C) Distinctive competence (D) Scope (E) Resource development
Scope
The Windows operating system is used in 90% of the world's PCs. Microsoft has an international (A) Competitive disadvantage (B) Threat (C) Weakness (D) Strength (E) Opportunity
Strength
The mission statement should include all EXCEPT which of the following? (A) Premises (B) Values (C) Directions (D) Purpose (E) Tactics
Tactics
Executives carry smart phones that keep them connected to people and information all day. This is an example of the ____ dimension of the external environment. (A) task (B) economic (C) general (D) technological (E) sociocultural
Technological
Which of the following statements does NOT describe a characteristic of importing/exporting (A) Importing/exporting is an easy way to enter a market (B) The cost of importing/exporting may be high due to transportation costs (C) Due to government restrictions, not all products can be imported or exported (D) The costs of initiating an import/export strategy are high (E) There is very little risk involved with importing and exporting
The cost of initiating an import/export strategy are high
When entrepreneur Gene Reilly's dog couldn't drink water, he developed a canine sports drink, which he marketed and called Rebound. Which of the following is part of the general environment for Reilly's company? (A) The American Kennel Association (B) The company that supplies the plastic bottles in which the drink is sold (C) The lending institution that gave Reilly his start-up capital (D) Dog owners (E) The sociocultural belief that says it is all right for people to give dogs human characteristics
The sociocultural belief that says it is all right for people to give dogs human characteristics
Which of the following statements relative to the theory and practice of management is TRUE? (A) The value of theory is that it provides a systematic framework for management activities (B) Theory is, by definition, very abstract and quite difficult to understand (C) Managers never develop their own theories of how to run an organization (D) Academic theories have little application in business because they are not grounded in reality (E) Management theories tend to be mutually exclusive
The value of theory is that it provides a systematic framework for management activities.
Which of the following describes what has occurred in international business from 1960-2000? (A) U.S. investment overseas has been on the decline for the past two decades (B) The majority of the world's largest firms are firms with headquarters inside the United States (C) The volume of international trade increased more than 3000 percent (D) Although still increasing, international trade has grown at a slower rate since 1980 (E) All U.S. firms still earn the majority of their sales and profits in the United States
The volume of international trade increased more than 3000 percent
What is the relationship between operations management and organizational strategy? (A) There is essentially little relationship between the two areas (B) Organizational strategy drives operations management decisions (C) Operations management drives organizational strategy decisions (D) To date, research has been unable to show a consistent relationship between the two (E) There is a direct relationship between the two so that each affects the other
There is a direct relationship between the two so that each affects the other
Which of the following represents a major shortcoming associated with the implementation of codes of ethics and ethics training programs (A) Usually, they are too complicated (B) They often fail to give specific guidance about what is ethical (C) Usually, they are not very comprehensive in coverage (D) They often fail to help people deal with the consequences of their actions (E) They are often given only lip service by middle managemen
They often fail to help people deal with the consequences of their actions
The concept of product life cycle can be used to choose which strategy is appropriate for a given product at a particular point in time
True
When managers apply their values to decisions making there is an opportunity for better ethics, which is a good aspect of bounded rationality
True
William Wilson is in an apprenticeship program to learn the skills required to be an electrician. He will be learning technical skills.
True
Greece was on the verge of defaulting on its debt. It decided to dock a month's pay from all elected officials as part of austerity measures. This is an example of decision making (A) Under risk (B) Under uncertainty (C) With a satisficing result (D) With bounded rationality (E) under certainty
Under certainty
Which of the following events would NOT have a significant impact on an organizations general environment (A) The Supreme Court supports rigid interpretation of antitrust laws (B) The mean age of the population shows a gradual increase (C) A German firm develops an improved two-cycle automobile engine (D) The unemployment rate drops below 4 percent (E) An industry's labor union refuses to agree to a new contract
A German firm develops an improved two-cycle automobile engine
China requires foreign companies to form ____ with Chinese companies so that the Chinese get access to the latest technology. (A) A licensing agreement (B) An outsourcing strategy (C) An importing/exporting coalition (D) A direct investment pact (E) A joint venture/strategic alliance
A joint venture/strategic alliance
Which of the following is NOT a way in which the organizational context contributes to the use of unethical practices? (A) An employee is promoted for finding a way around a legal regulation designed to protect the environment (B) Unethical activity is encourages as long as it in in the best interest of the firm (C) Rewards are provided to those who succeed at the cost of others (D) A manager decides to hire a relative to a position for which the relative is qualified (E) A manager becomes aware of an unethical practice, but allows it to continue
A manager decides to hire a relative to a position for which the relative is qualified
You have decided to go into business for yourself. On your loan application, you state that you intend to open a flower shop in the Village Center Mall. What does this statement of your loan application represent? (A) A strategic plan (B) An operational plan (C) A tactical plan (D) A mission statement (E) A strategic goal
A mission statement
Strategy formulation is (A) A form of functional strategy (B) The method by which strategies are operationalized (C) Also called corporate-level strategy (D) A set of processes involving the organizations strategies (E) The same as goal development
A set of processes involving the organizations strategies
________ focuses on the management of the entire firm as opposed to the jobs of individual workers. (A) Management science (B) Scientific management (C) The bureaucratic perspective (D) Administrative mangement (E) The contingency theory
Administrative management
Someone's ethical standards are developed as a child in response to his or her (A) All of these are correct (B) Parents' and other adults' behavior (C) Parents' and other adults' behavior and peers (D) Peers (E) Religious beliefs
All of these are correct
Goals are classified according to their ____ when the terms quality, productivity, and innovation are applied to them. (A) Time frame (B) Level (C) Function (D) Specificity (E) Area
Area
The text notes that what we now call operations management was once called production management and implied that there are several reasons for the change in nomenclature. Which of the following is NOT one of those reasons? (A) Drastic increases in foreign competition and the subsequent effects it has had on U.S. firms (B) The increase in the size and importance of the service sector in the U.S. economy (C) Changes in manufacturing processes such as the increased use of robots and other computer-based technology (D) The decline in manufacturing in the United States in recent years (E) The fact that many of the tools are techniques used in manufacturing can also be used in the service sector
Changes in manufacturing processes such as the increased use of robots and other computer-based technology
GE competes in industries ranging from medical devices, to financial services, to turbine engines. GE's mixed strategy is an example of _________ strategy. (A) Long-term (B) Short-term (C) Functional (D) Corporate-level (E) Business-level
Corporate-level
Which of the following is NOT an example of a situation in which a manager is likely to be called upon to make an ethical decision regarding the relationship of the firm to the employee? (A) Customer relations (B) Drinking or drug problem (C) Hiring and firing (D) Working conditions (E) Garnishment of wages
Customer Relations
When Mildred chooses to focus on a work task instead of listening to a colleague she is engage in (A) Problem solving (B) Bounded rationality (C) Decision making (D) Optimization (E) Satisficing
Decision making
Baldur chose to cut cable service to his home to save money. He knew he could still get local over-the-air service for free and view some entertainment on the Web. He knew each cost and his viewing options. This is an example of (A) Decision making under absolute certainty (B) Decision making under unrealistic conditions (C) Decision making under certainty (D) Decision making under risk (E) Decision making under uncertainty
Decision making under certainty
General Motors sold an auto parts company because profitability was low. The primary environmental dimension considered was (A) Economic (B) Domestic (C) Sociocultural (D) Techonological (E) Political-legal
Economic
In 2011, unemployment was the highest it had been in more than a decade. This is part of the ____ dimension of organizations.
Economic
A manager who wants to use the principles of scientific management will (A) Not have to carefully select and train his or her employees (B) Not be required to closely supervise his or her subordinates (C) Emphasize time and motion studies (D) Need a deep understanding of worker needs and feelings (E) Never actually increase worker productivity
Emphasize time and motion studies
A program is similar to a project, but smaller
False
A strategic alliance and a joint venture are the same thing
False
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
False
Ann Honeycutt has specialized training for coordinating the various recreational activities at a retirement village and nursing home. Because she is involved with all such activities, she likely is an administrative manager.
False
At some airports customers check in for their flights at kiosks. The kiosk is a robot
False
Each business or set of businesses within an organization is frequently referred to as a star business unrelated, or SBU.
False
Efficient managers make the right decisions and successfully implement them.
False
If American Airlines wanted to eliminate drink service on its flights, outlining and following such a strategy would be the responsibility of the organizing function of management.
False
In more and more organizations today, important decisions are made by individuals rather than by groups and teams
False
International licensing agreements involve regulations for truckers transporting between countries
False
It would be appropriate to make operations accountable for profitability in an organization that stresses sales and market share over quality and productivity
False
Japanese firms give managers of their foreign operations relatively great responsibility. As a result, top executives frequently travel to the foreign operations
False
Operations managers must specifically address both _____ when setting up an operations system (A) Flexibility and product cost (B) Layout and flexibility (C) Technology and layout (D) Location and layout (E) Quality and technology
Location and layout
The _____ of Choice Waste Management Ltd. is "to be the best international, integrated, leading waste management company- working in the best competitive environment to deliver the best value and sustainable waste solutions to meet the world's needs." (A) Operational plan (B) Mission statement (C) Strategic plan (D) Operational goal (E) Tactical plan
Mission Statement
The _____ of the National Park Service is "to conserve the scenery and the national and historic objects and the wildlife therein and to provide for the enjoyment of the same in such a manner and by such means as will leave them unimpaired for the enjoyment of future generations." (A) Strategic plan (B) Strategic goal (C) Mission statement (D) Operational goal (E) Tactical plan
Mission Statement
The ____ for Catholic Charities is "to provide service to people in need, to advocate for justice in social structures, and to call the entire church and other people good will to do the same." (A) Operational plan (B) Strategic goal (C) Tactical plan (D) Mission statement (E) Operational goal
Mission statement
The Detroit Three auto makers and United Auto Workers negotiated a labor deal with pay raises for entry level workers. This is an example of a(n) ______ decision (A) Satisficing (B) Rational (C) Programmed (D) Nonprogrammed (E) Ethical
Nonprogrammed
Yum Brands is expanding its Chinese presence into smaller cities like Yiyang and Zhengzhou because larger cities are saturated. This is an example of (A) Nonprogrammed (B) Ethical (C) Satisficing (D) Rational (E) Programmed
Nonprogrammed
Charles Babbage emphasized the application of mathematics to production problems; thus, his work was a forerunner of (A) The behavioral school of management thought (B) Operations management (C) The systems theory (D) Administrative management (E) The contingency theory
Operations management
____ is the total set of managerial activities that an organization uses to create its products or services (A) Managerial effectiveness (B) A transformation system (C) Scientific management (D) Management (E) Operations management
Operations management
In environmental SWOT analysis, the external organizational position is analyzed according to its (A) Strengths and threats (B) Opportunities and weaknesses (C) Return on investment (D) Opportunities and threats (E) Strengths and weaknesses
Opportunities and threats
Goals serve four very important purposes. Each purpose is related closely to one of the four functions of management. According to the text, which of the four functions of management is NOT specifically addressed by one of the purposes served by goals? a) Planning b) Organizing c) Leading d) Motivating e) Controlling
Organizing
Which of the following is NOT a technique Frederick Taylor used to enhance worker productivity? (A) Allow managers to plan the work to be done (B) Design the most efficient way of doing each part of a job (C) Place both workers and managers on salary to reduce friction (D) Supervise workers and managers to make they follow procedures and rest only when told (E) Study and time each element of the job
Place both workers and managers on salary to reduce friction
United Technologies offered to buy Goodrich. This is an example of what kind of operations decision? (A) Product-service mix (B) Facilities (C) Capacity utilization (D) Human resources (E) Technology
Product-service mix
Which of the following pairs of factors that are important to designing operations systems are MOST closely related to demand (A) Product-service mix and facilities (B) Products-service mix and capacity utilization (C) Technology and capacity utilization (D) Capacity utilization and facilities (E) Product-service mix and technology
Products-service mix and capacity utilization
Airlines increased prices for last minute tickets usually purchases by corporate travelers. This was the tenth increase in one year. This is an example of an ____ decision (A) Rational (B) Nonprogrammed (C) Satisficing (D) Programmed (E) Ethical
Programmed
When Canine Companions for Independence trainers teach a dog to be a service dog they start from a basic training approach. Dogs communicate through body language that the trainer knows. The trainer routinely makes _____ decisions (A) Satisficing (B) Nonprogrammed (C) Ethical (D) Rational (E) Programmed
Programmed
According to the concept of managerial ethics, which of the following is NOT considered an economic agent? (A) Regulatory agencies (B) Owner/stockholders (C) Suppliers (D) Competitors (E) Unions
Regulatory agencies
At Toyota, each task that operating employees and machines perform is carefully studied to promote maximum productivity. In some cases, tasks are studied using time and motion studies to standardize work methods. What management approach is Toyota using? (A) Scientific management (B) Human relations management (C) Contingency theory (D) Administrative management (E) Management science
Scientific management
Which of the following areas does a well-conceived strategy address (A) Suppliers and distributors (B) Tactical goals (C) Scope (D) The organizational chart (E) Pricing strategy
Scope
A _____ organization is one that transforms resources into an intangible output and creates time or place utility for its customers (A) Manufacturing (B) Retailing (C) Service (D) Not-for-profit (E) Distribution
Service
Some consumers are willing to pay thousands of dollars for plastic surgery in an attempt to gain an advantage over others. This is an example of the _____ dimension (A) Task (B) Internal (C) Sociocultural (D) Economic (E) Political-legal
Sociocultural
The death of Farrah Fawcett to anal cancer opened discussions that previously were taboo in the U.S. This is an example of change in the (A) Partner element of the task environment (B) Political-legal element of the general environment (C) Competitor element of the task environment (D) Sociocultural element of the general environment (E) Customer element of the task environment
Sociocultural element of the general environment
Goals set for broad general issues are called (A) Operational (B) Autonomous (C) Strategic (D) Tactical (E) Functional
Strategic
Hewlett Packard made PCs. Projected industry sales of smartphones were expected to almost be doubled expected sales of PCs. HP went through the strategy change process looking first at the content of its strategy. That was (A) Strategic formulation (B) Tactical implementation (C) Strategy implementation (D) Corporate strategy (E) Strategic marketing
Strategic formulation
Which of the following directly follows from the organization's mission? (A) Strategic goals (B) Tactical goals (C) Tactical plans (D) Functional plans (E) Operational plans
Strategic goals
In a small community in Michigan, there are two funeral homes. One of them clips all pictures from the local paper, laminates them, and mails them to the person photographed with a brief note. This is an attempt to build positive relations with potential customers during happy times. If the other funeral home chose to make similar customer contact, the competitors would have (A) Distinctive competence (B) Differential advantage (C) Strategic imitation (D) Competitive advantage (E) Emergent strategy
Strategic imitation
Spanx founder Sara Blakely started an apparel company. She wrote a business plan to get financing for expansion. The business plan is Spanx's ____. (A) Strategic goal (B) Tactical goal (C) Operational goal (D) Operational plan (E) Strategic plan
Strategic plan
A corporate social audit is a formal and thorough analysis of the effectiveness of a firm's social performance
True
An example of a physical resource is the drilling platform used by an oil company.
True
Chris Cadott sees an opportunity to increase sales of his company's new machinery by sending a salesperson to talk to a representative of the Iowa Agricultural Department. In this case Chris is engaging in the role of an entrepreneur.
True
Decisions are often made with little consideration and logic and rationality
True
Each component of managerial ethics involved a wide variety of decisions, all of which are likely to have an ethical component
True
Features supplement the services basic functioning characteristics
True
Few large businesses have grasped how to use social media to compete more effectively, but most would agree that social media can have a major impact on business.
True
Jeanne's department has the lowest production cost because her people keep the scarp rate and direct labor costs low. From this information, we know her department is an efficient operation.
True
Managers can be classified according to their level in the organization and the area in which they specialize.
True
Managers who select a course of action from a set of rational alternatives are involved in decision making
True
Operations managers are concerned with creating and managing the systems that create an organizations products and services
True
Organizations influence their regulators through lobbying and bargaining
True
Stars, question marks, and dogs could all be net cash users
True
The Food and Drug Administration's focus on consumer-related concerns is a form of direct regulation
True
The Internet is also seen as having the potential to play an important role in natural resource conservation, as many e-commerce businesses and transactions are reducing both energy costs and pollution.
True
The North Korean government is attempting to isolate citizens from outside influence. It is trying to create a closed system.
True
