True or False

Making jobs smaller and more specialized is the most effective way of motivating employees.

FALSE

Upward communication is used to inform, direct, coordinate, and evaluate employees.

FALSE

An organic organization strictly adheres to the chain-of-command principle and has a small span of control.

FALSE

0 Intuitive decision making complements rational decision making but not bounded rational decision making.

FALSE

A manager's job is all about personal achievement.

FALSE

Using corporate hotlines or other mechanisms for reporting and investigating workplace violence is an example of feedback control.

FALSE

Communities of practice refer to groups of people who share a concern, a set of problems, or a passion about a topic, and who deepen their knowledge and expertise in that area by interacting on an ongoing basis.

TRUE

The sunk costs error occurs when decision makers forget that current choices cannot correct the past.

TRUE

Exceptional or unique organizational resources are known as core capabilities.

FALSE

In the management by objectives (MBO process of goal setting, goals are not well-defined, giving managers and employees more flexibility to respond to changing conditions.

FALSE

In the symbolic view of management, managers are seen as directly responsible for an organization's success or failure.

FALSE

Innovators need the efficiency, stability, and tight controls of the mechanistic structure.

FALSE

Intonation refers to gestures, facial expressions, and other body movements that convey meaning.

FALSE

Rules and policies are the same.

FALSE

Within an organization, the single independent businesses that formulate their own competitive strategies are known as strategic business units.

TRUE

The balanced scorecard approach evaluates organizational performance from more than just the financial perspective.

TRUE

The term job design refers to the way tasks are combined to form complete jobs.

TRUE

The view of managers as omnipotent is consistent with the stereotypical picture of the take-charge business executive who can overcome any obstacle in carrying out the organization's objectives.

TRUE

Today's managers are just as likely to be women as they are men.

TRUE

Derek Logan heads a team of ten research analysts in Deutsche Bank. Even though he is least impressed with Cara Lewis among all his subordinates, when asked about her work he chose to focus on her strengths rather than her weaknesses. Derek can be described as a taskoriented leader.

FALSE

Directing and motivating are part of the controlling function of management.

FALSE

Directional plans are clearly defined and leave no room for interpretation.

FALSE

Diversification is an example of a corporate retrenchment strategy.

FALSE

Due to its emphasis on objectivity and specificity, the goal-setting theory holds across cultures.

FALSE

E-mail increases filtering because electronic communication is faster.

FALSE

Effective leaders do not need a high degree of knowledge about the company, industry, and technical matters.

FALSE

Effectiveness refers to getting the most output from the least amount of input.

FALSE

Employers establish specific policies defining theft and fraud and discipline procedures. This is an example of a concurrent control measure to control employee theft.

FALSE

Environmental uncertainty looks at the number of components in an organization's environment and the extent of the knowledge that the organization has about those components.

FALSE

Feedforward control is more popular and effective than the other forms of control.

FALSE

Feedforward control takes place while a work activity is in progress.

FALSE

Fiedler's contingency model of leadership style proposed that effectiveness depends on the ability and willingness of the subordinates.

FALSE

Filtering takes place when information exceeds the receiver's processing capacity.

FALSE

Formal communication can control behavior, but informal communication cannot.

FALSE

Having a control system reduces the scope of employee empowerment and autonomy.

FALSE

Highly reliable organizations (HROs are easily tricked by their success.

FALSE

If Burger King were to buy out Mom and Pop's Burgers, Burger King would be growing by vertical integration.

FALSE

If a manager clearly and articulately verbalizes instructions to a subordinate, communication is said to have taken place.

FALSE

Implementing an alternative refers to the process of choosing the best alternative.

FALSE

In a "ready-aim-fire" culture, managers take action and then analyze what has been done.

FALSE

In highly formalized organizations, employees have more discretion in how they do their work.

FALSE

In order to develop an innovative organizational culture, managers must minimize ambiguity and uncertainty and discourage risk-taking.

FALSE

In order to make communities of practice effective, it is important to remove any sort of managerial supervision.

FALSE

In strong organizational cultures, employees have little knowledge of company history or heroes, what is important is present performance.

FALSE

In the job characteristics model, task significance refers to the degree to which a job requires completion of a whole and identifiable piece of work.

FALSE

Joseph, a line manager at a plant, believes that his workers have little drive and will not work unless pushed by him. Therefore, he closely monitors and controls their work and pulls up those who do not meet his standards. Joseph is a Theory Y manager.

FALSE

Managers of high-performing companies tend to consider the interests of the most profitable stakeholder groups as they make decisions.

FALSE

Managers should not consider the standards when measuring the actual performance of employees.

FALSE

Managers using the strategic management process always achieve positive outcomes.

FALSE

Middle managers are responsible for making organization-wide decisions and establishing the plans and goals that affect the entire organization.

FALSE

Most businesses have only the single goal of making profits.

FALSE

Nonprogrammed decision making relies on procedures, rules, and policies.

FALSE

Of the five dimensions that make up the concept of trust, loyalty seems to be the most critical when someone assesses another's trustworthiness.

FALSE

Once an organization grows past a certain size, the impact of size on organization structure strengthens.

FALSE

Once the alternatives to solving a problem have been identified, the next step in the decision-making process is selecting one of these alternatives.

FALSE

One assumption of rational decision making is that the decision maker is not aware of all possible alternatives and consequences.

FALSE

Organizational structure is the degree to which standardized procedures are in place in an organization.

FALSE

Organizations that subscribe to workplace spirituality emphasize the importance of employees controlling their expressions and emotions.

FALSE

People with a high need for achievement strive for the trappings and rewards of success rather than for personal achievement.

FALSE

People working for charismatic leaders are motivated to exert extra work effort but express lower satisfaction.

FALSE

Planning helps managers eliminate uncertainty and insulates organizations from change.

FALSE

Planning is concerned with how objectives are to be accomplished, not what is to be accomplished.

FALSE

Productivity decreases when an organization raises the prices of its products.

FALSE

Project structures tend to be rigid organizational designs, with the departmentalization and organizational hierarchy slowing down the decision making process.

FALSE

Research clearly indicates that the Theory Y manager is more effective in motivating employees than the Theory X manager.

FALSE

Researchers have concluded that the structures and strategies of organizations worldwide are vastly different from one another.

FALSE

Reward power is the power that arises because of a person's desirable resources or personal traits.

FALSE

Several research studies have conclusively proven that planning organizations always outperform nonplanning organizations.

FALSE

Spiritual organizations tend to be intolerant of employees who commit mistakes.

FALSE

Stars, one of the four business groups in the BCG matrix, are characterized by low growth and low market share.

FALSE

Stated goals are those that an organization actually pursues.

FALSE

Strategic goals focus exclusively on the financial performance of the organization.

FALSE

Telecommuting is a work arrangement in which employees work at home and are linked to the workplace by telephone.

FALSE

The availability bias describes the actions of decision makers who try to create meaning out of random events.

FALSE

The chain of command is a principle that states that a person should report to only one boss.

FALSE

The decision-making process begins by identifying decision criteria.

FALSE

The final step in the strategic management process is implementing the objectives.

FALSE

The first step in goal setting is to evaluate available resources.

FALSE

The first step in the strategic management process is analyzing the external environment.

FALSE

The horizontal boundaries imposed by work specialization and departmentalization are a part of an organization's external boundaries.

FALSE

The number of years used to define short-term and long-term plans has increased considerably because of the greater environmental certainty businesses have today.

FALSE

The shared aspect of culture implies that all employees in an organization approve of the culture.

FALSE

The strength of the functional structure is that it focuses on results because managers are responsible for what happens to their products and services.

FALSE

The symbolic view of management impact is useful in explaining the high turnover among sports coaches, who can be considered the "managers" of their teams.

FALSE

The virtual organization is often called a modular organization by manufacturing firms.

FALSE

Today's organizations mostly rely on strict rules and standardization to guide and regulate employee behavior.

FALSE

Transactional and transformational leadership are opposing approaches to getting things done.

FALSE

When conducting a SWOT analysis, threats are activities the organization doesn't do well or resources it needs but doesn't possess.

FALSE

0 In divisional structures, the parent corporation typically acts as an external overseer to coordinate and control the various divisions of the organization.

TRUE

A SWOT analysis includes an analysis of an organization's environmental opportunities and threats.

TRUE

A business model describes how a company is going to make money.

TRUE

A charismatic leader is likely seen as being selfconfident and influential.

TRUE

A company that competes by offering unique products that are widely valued by customers is following a differentiation strategy.

TRUE

A compressed workweek is a workweek where employees work longer hours per day but fewer days per week.

TRUE

A decision criterion defines what is important or relevant to resolving a problem.

TRUE

A great manager makes a job more enjoyable and productive.

TRUE

A major structural design challenge for managers today, is to find a way to offer flexibility and at the same time keep widely dispersed and mobile employees connected to the organization.

TRUE

A manager must coordinate and oversee the work of other people so that organizational goals can be accomplished.

TRUE

A programmed decision is a repetitive decision that can be handled by a routine approach.

TRUE

A retrenchment strategy is a short-run renewal strategy that helps an organization stabilize operations, revitalize organizational resources and capabilities, and prepare to compete once again.

TRUE

A sender initiates a message by encoding a thought.

TRUE

A service profit chain is the service sequence from employees to customers to profit.

TRUE

A stability strategy is an organizational strategy in which an organization maintains the status quo.

TRUE

A turnaround strategy is a type of renewal strategy used when an organization is in serious trouble.

TRUE

A valid criticism of workplace spirituality is that secular institutions, especially businesses, have no right to impose spiritual values on employees, if spirituality means bringing religion into the workplace.

TRUE

A virtual organization typically consists of a small core of full-time employees and outside specialists temporarily hired as needed to work on projects.

TRUE

A vision should offer clear and compelling imagery that taps into people's emotions and inspires enthusiasm to pursue the organization's goals.

TRUE

According to Fiedler's research, taskoriented leaders tended to perform better in situations that are very favorable to them and in situations that were very unfavorable.

TRUE

According to Maslow's hierarchy of needs theory, once a need is substantially satisfied, an individual is no longer motivated to satisfy that need.

TRUE

According to Robert L. Katz, managers need to have technical, human, and conceptual skills.

TRUE

According to the concept of bounded rationality, managers make decisions rationally, but are limited by their ability to process information.

TRUE

According to the job characteristics model, combining fragmented tasks will help increase skill variety and task identity.

TRUE

An enriched job allows workers to do an entire activity with increased freedom, independence, and responsibility.

TRUE

An important aspect of leadership is influencing a group to achieve its goals.

TRUE

An organic organization is low in centralization.

TRUE

An organization's competitors and employees are considered to be stakeholders who are affected by the organization's decisions and actions.

TRUE

As managers plan, they develop both goals and plans.

TRUE

Collaborative work increases communication and coordination among participants.

TRUE

Communication does not only serve to inform; it can also act to control behavior.

TRUE

Communication that takes place among employees on the same organizational level is called lateral communication.

TRUE

Controlling is the process of monitoring, comparing, and correcting work performance.

TRUE

Corporate rituals are repetitive sequences of activities that express and reinforce the key values of an organization.

TRUE

Corporate strategies determine what business a company is in or wants to be in, and what it wants to do with those businesses.

TRUE

Credibility is the degree to which followers perceive someone as honest, competent, and able to inspire.

TRUE

Customer departmentalization works well because it emphasizes monitoring and responding to changes in customers' need.

TRUE

Decision making is a part of the planning, organizing, leading, and controlling functions and thus, the essence of management.

TRUE

Despite the best efforts of researchers, it proved impossible to identify one set of traits that would always differentiate leaders from nonleaders. (невозможно отличить лидер от нет)

TRUE

Deviations that exceed the acceptable range of variation become significant and need a manager's attention.

TRUE

Downward communication is communication that flows from a manager to employees.

TRUE

Dynamic environments require a flatter organizational hierarchy in order to plan effectively.

TRUE

Efficiency is described as "doing things right."

TRUE

Embezzlement and fraudulent filing of expenses are examples of employee theft.

TRUE

Employee empowerment gives employees more authority to make decisions.

TRUE

Employee empowerment is crucial in organizations with team structures because no line of managerial authority flows from top to bottom in such organizations.

TRUE

Evaluating an organization's intangible assets is part of conducting an internal analysis in the strategic management process.

TRUE

Figurehead, leader, and liaison are all interpersonal managerial roles according to Mintzberg.

TRUE

Frederick Herzberg found that when employees were dissatisfied, they tended to cite extrinsic factors arising from the job context such as company policy and administration, supervision, interpersonal relationships, and working conditions.

TRUE

Given other things unchanged, managers with well-trained and experienced employees can function well with a wider span of control than those with a less talented workforce.

TRUE

Giving service-contact employees the discretion to make day-to-day decisions on job-related activities is instrumental in creating in a customer-responsive culture.

TRUE

IT has significantly improved a manager's ability to monitor individual and team performance.

TRUE

Illegible print is an example of noise.

TRUE

In a cross-functional team there are no artificial boundaries and thus, the team focuses on working together to achieve organizational goals.

TRUE

In a learning organization, employees continually acquire and share new knowledge and apply that knowledge in making decisions or doing their work.

TRUE

In an uncertain environment, managers should develop plans that are specific, but flexible.

TRUE

In communication, the process of decoding is performed by the receiver.

TRUE

In order for organizations to survive successfully, managers must create a customer-responsive organization.

TRUE

In the decision-making process, after allocating weights to the decision criteria, the decision maker lists viable alternatives that could resolve the problem.

TRUE

In the wheel network, the leader serves as the hub through which all communication passes.

TRUE

In traditional goal setting, goals set by top managers flow down through the organization and become subgoals for each organizational area.

TRUE

In traditionally structured organizations managers can be classified as first-line managers, middle managers, or top managers.

TRUE

Informal communication is organizational communication not defined by the organization's structural hierarchy.

TRUE

Job enlargement refers to the horizontal expansion of a job by increasing job scope.

TRUE

Job uncertainties and employee stress are factors that contribute to workplace violence.

TRUE

Legitimate power and authority are one and the same.

TRUE

Legitimate power is inherent in management positions.

TRUE

Long-term plans are those with a time frame beyond three years.

TRUE

Management is universally needed in all organizations.

TRUE

Managers need to understand cultural differences to make effective decisions in today's fast-moving world.

TRUE

Managers play an important role in dealing with various challenges being faced by organizations today.

TRUE

Managers should do nothing if the variance observed from the standard is acceptable.

TRUE

Managers tend to use more direct supervision and highly centralized decision making for control in less technologically advanced countries.

TRUE

Managers today continue to see work specialization as important because it helps employees be more efficient.

TRUE

Managers using reinforcement theory to motivate employees should ignore, not punish, undesirable behavior.

TRUE

One specific role of team leadership is that team leaders are troubleshooters.

TRUE

One unique aspect of the matrix structure is that it creates a dual chain of command.

TRUE

Open innovation refers to opening up the search for new ideas beyond the organization's boundaries and allowing innovations to easily transfer inward and outward.

TRUE

Organizational effectiveness is a measure of how appropriate organizational goals are and how well those goals are being met.

TRUE

Organizational structure is defined as the formal arrangement of jobs within an organization.

TRUE

Organizations help employees adapt to the culture through socialization.

TRUE

Organizations that emphasize workplace spirituality focus on individual development.

TRUE

Pathgoal theory holds that subordinates with an external locus of control will be more satisfied with a directive style.

TRUE

Pathgoal theory states that employee performance and satisfaction are likely to be positively influenced when the leader compensates for shortcomings in either the employee or the work setting.

TRUE

Planning provides direction to managers and nonmanagers alike.

TRUE

Recent research shows that distributive justice has a greater influence on employee satisfaction than procedural justice.

TRUE

Research indicates that the desire for interesting work is important to almost all workers, regardless of national culture.

TRUE

Research indicates that, for the most part, pay-for-performance programs show positive results.

TRUE

Risk is the condition in which a decision maker is able to estimate the likelihood of certain outcomes.

TRUE

Robert House assumed that leaders can change leadership styles depending on the situation.

TRUE

Robert House's achievementoriented leader sets challenging goals and expects followers to perform at their highest level.

TRUE

Short-term plans are those covering one year or less.

TRUE

Some control criteria, such as employee satisfaction, can be used for any management situation.

TRUE

Strategic partnerships are collaborative relationships between two or more organizations in which they combine their resources and capabilities for some business purpose.

TRUE

Strong cultures have more influence on employees than do weak cultures.

TRUE

Studies indicate that doing a good job planning and implementing those plans play a bigger part in high performance than does how much planning is done.

TRUE

The BCG matrix evaluates an organization's various businesses to identify which ones offer high potential and which ones drain organizational resources.

TRUE

The Sarbanes-Oxley Act also called for more disclosure and transparency of corporate financial information.

TRUE

The anchoring effect describes when decision makers fixate on initial information as a starting point and then, once set, fail to adequately adjust for subsequent information.

TRUE

The commitment concept says that plans should extend far enough to meet those commitments made when the plans were developed.

TRUE

The communication process is susceptible to noise.

TRUE

The definition of motivation has three key elements: energy, direction, and persistence.

TRUE

The four contemporary functions of management are planning, organizing, leading, and controlling.

TRUE

The informal organizational communication network is known as the grapevine.

TRUE

The leastpreferred coworker questionnaire measures whether a leader is task or relationship oriented.

TRUE

The managerial grid only provides a framework for conceptualizing leadership style.

TRUE

The more the decision-making power of lower-level employees, the more decentralized the organization is.

TRUE

The phenomenon of escalation of commitment refers to an increased commitment to a previous decision despite evidence that it may have been wrong.

TRUE

The standard procedure to be followed by the human resources department of a company when initiating disciplinary action against an employee is an example of a standing plan.

TRUE

Trust is the belief in the integrity, character, and ability of a leader

TRUE

Verbal intonation refers to the emphasis someone gives to words or phrases that conveys meaning.

TRUE

When considering how to motivate employees, it must be kept in mind that professionals tend to be focused on their work as their central life interest, whereas nonprofessionals typically have other interests outside of work that can compensate for needs not met on the job.

TRUE

When uncertainty is high and managers must be flexible in order to respond to unexpected changes, directional plans are preferable.

TRUE

Work specialization is also known as division of labor.

TRUE

Absence of planning does not inhibit the ability of departments and individuals to work together or organizations to move.

FALSE

According to Maslow's hierarchy of needs theory, lower-order needs are predominantly satisfied internally while higher-order needs are satisfied externally.

FALSE

According to Robert House's pathgoal theory, a supportive leader lets subordinates know what's expected of them, schedules the work to be done, and gives specific guidance on how to accomplish tasks.

FALSE

According to the University of Michigan studies, leaders who are production oriented are described as emphasizing interpersonal relationships and as taking a personal interest in the needs of their followers.

FALSE

According to the goal-setting theory, a generalized goal of "do your best" will produce a higher output than specific, challenging goals.

FALSE

Activity ratios measure an organization's ability to meet its current debt obligations.

FALSE

All other things unchanged, the narrower the span of control, the more efficient the organization is.

FALSE

An organization finds it very easy to differentiate between independent and non-independent contractors.

FALSE

At one end of the spectrum, organizations can be absolutely centralized, while at the other end, they can be completely decentralized.

FALSE

Basic corrective action corrects problems at once to get performance back on track.

FALSE

Benchmarks for a company must be created based on the previous performance of the company.

FALSE

Charisma is an essential quality that leaders must possess to achieve high levels of employee performance.

FALSE

Charisma is the ability to create and articulate a realistic, credible, attractive vision of the future for any organization or organizational unit that grows out of and improves on the present.

FALSE

Cognitive theories are leadership theories that identified behaviors that differentiated effective leaders from ineffective leaders.

FALSE

Companies have to pay Social Security, Medicare, and unemployment insurance taxes for workers classified as independent contractors.

FALSE

Conceptual skills are less important to top managers.

FALSE

Active listeners avoid asking questions and making eye contact so that they don't distract the speaker.

FALSE

Activities that an organization does well or resources that it has available are called capabilities.

FALSE

All electronic information is inadmissible in court.

FALSE

A dynamic and simple environment is characterized by the greatest level of environmental uncertainty.

FALSE

A task force is a permanent committee or team formed to tackle a long-term problem affecting several departments of an organization.

FALSE

A dynamic environment is characterized by the absence of new competitors, few technological breakthroughs by current competitors, and little activity by pressure groups to influence the organization.

FALSE

A policy is an explicit statement that tells a manager what can or cannot be done.

FALSE

A simple structure is characterized by low spans of controls and high formalization.

FALSE

A trucking company that grows by purchasing a chain of gasoline stations is engaged in horizontal integration.

FALSE