chapter 1 part 2
When creativity and critical thinking are applied, what is the expected result?
Taking action to implement new ideas
When AT&T chose to move customer service operations to a vendor in the Philippines it was taking part in nearshoring.
False
Business ethics
refers to the standards of conduct and moral values involving the decisions made in the work environment
What do most people list as a reason for admiring a company?
social responsibility
Howard, age 65, and Sima, age 25, are employees in the same department at Scoop, Inc. An example of a challenge their manager might face is innovation.
False
Good Foods, a local grocery store stocks only organic foods and rejects any foods containing cottonseed oil because it is a GMO product. The store has an opportunity to expand by becoming a franchise under a major national chain. Which qualities is the store likely to look for in the national chain to when making its decision to expand?
Strong social responsibility
Southern Comfort Bank is looking to reduce costs by relocating its customer service division to China. It is taking part in
offshoring.
An example of __________ is when a business hires another company to perform certain tasks, such as customer service.
outsourcing
MNO Technologies uses
outsourcing
A company in the U.S. that is planning to move some of its in-house production to a vendor in India is contemplating
outsourcing.
Amazon makes efforts to reduce their packaging and promotes these efforts as a way to help the environment. This is an example of
social responsibility
Beyond creating an environment that encourages new ideas, managers must give employees opportunities to
take risks and try new solutions.
Which of the following technologies has made it easier for companies to use outsourcing as a way of increasing flexibility in staffing?
the Internet
Insure All, the insurance company where you work frequently downgrades policyholders' claims without cause simply to lower the amount of the entitled payout. You believe this is both unjust and unethical and decide to become an independent agent. Your sales pitch to potential policyholders will likely include a
commitment to honoring the full terms of every policy.
Which of the following descriptions are most appropriate for an organization that values social responsibility?
consistency and stability in growing the local economy, providing jobs for the community, and giving a portion of profits to community programs
Marketing research used
critical thinking
Labor union demands for changes in the organization would be considered an
internal force that the manager must reconcile.
An increasing rate of change in technology and global exposure is a significant factor of.
21st century business concepts.
Until six months ago, Alejandro's department had the highest productivity rate in the company. Their work was almost flawless and it was always completed in a timely manager. Recently, that has changed drastically and the department has started producing poor quality work. What would you suggest Alejandro do to solve this problem?
Alejandro should use critical thinking to determine what has changed over the past six months, and then work to rectify any issues.
What relationship exists between technology, marketplace demands, and global competition?
All are challenges faced by 21st century businesses
What are the oldest and youngest generations, respectively, currently in the workplace?
Baby Boomers and Generation Y
The work-comes-first lifestyle is typically demonstrated by which of the following age demographics?
Generation X
What is a cause of an increasingly diverse workforce?
More young people are moving to the United States for education and work.
A U.S. company moving some of its manufacturing to a vendor in Mexico is an example of nearshoring.
True
A company that blends individuals of different genders, ages, religions, and ethnic backgrounds has a diverse workforce.
True
After working for a company that regularly engaged in misleading accounting to make their numbers look better to shareholders, you decide you can no longer tolerate the company's dishonesty and decide to open your own financial services firm. Which would you include in your mission statement?
We believe in transparency.
Which of the following is an example of outsourcing?
When a business hires another company to perform certain tasks, such as customer service.
An example of an external factor for implementing organizational change is
a decrease in the price of solar power
An organization's growing reliance on part-time workers and contract employees demonstrates
flexibility and mobility
Creative thinking
goes beyond people with artistic talent.
The demand for workers is currently __________ the supply of jobs.
greater than
A company that values diversity
has individuals from different ethnic backgrounds, cultures, religions, ages, physical and mental abilities
Joe has been at his job at the King's Construction Company for 30 years and is approaching retirement. Replacing his knowledge and expertise is a tall order for the owners and illustrates which management challenge?
An aging population
When technology breaks down the physical barriers of communication, what is the expected result?
Collaborating with colleagues can occur anywhere and anytime.
A recent college graduate whose primary goal is to work for a company that has high ethical standards is considering offers from four different companies. Which company would provide an environment best suited for this graduate's primary goal?
Costco, who has a diverse management team and a strong anti-discrimination policy
Which of these describes the capacity to develop novel solutions to perceived organizational problems?
Creativity
What is the difference between critical thinking and creativity?
Critical thinking involves analyzing a situation to determine potential problems, while creativity involves developing solutions for the problems.
Cassandra's team is heavy on critical thinking skills and has identified many problems in the organization. In order to balance the scales, she needs to help her team develop creative thinking skills to discover the solutions. What should Cassandra propose to her team?
Have a brainstorming meeting to share ideas, cultivate curiosity, and view the problems as opportunities.
People of __________ area showing the largest rate of growth in the U.S. population.
Hispanic and Asian descent
Global Pack Manufacturing has implemented an automated system. The line supervisor realizes the employees are accustomed to the old methods of production and they are intimidated by the new system. Which strategy would best help the supervisor to overcome the problems within this organizational change?
Identify employee strengths and leadership qualities and create a group of leaders to help guide and motivate the other employees through the process.
A manager's successful ability to lead an organization is best exemplified by which of the following?
Implementing change initiatives
Which of the following is a typical result when adapting a 21st century business model?
Increased communication among workers
Which is a significant factor leading to the establishment of 21st century business concepts in the US?
Increasing rate of change in technology and global exposure
Lilah has been asked to investigate a department in the company that has had a high level of employee turnover. On paper the department seems to be doing well, and the employees are all receiving good evaluations. How would you suggest Lilah begin investigating this department?
Lilah needs to employ critical thinking in order to discover why the turnover rate is so high, then she needs to come up with an effective solution to solve the problem.
Rimi has been praised by her company for her ability to lead change in difficult situations. Which of the following would be something that Rimi would be most likely to do?
Purchase new technology that will better meet the needs of customers
Fast-Net is merging with Net-Works. Alexandra has been chosen to coordinate the training program to facilitate the employees' transition. What will Alexandra need to do to obtain maximum results during the change?
Recognize individual employee strengths and motivate them to work as a team.
Diversity in the workforce at Johnson & Johnson will most likely result in more team innovation and creativity.
True
Kojak has professional experience as a manager in a grocery store, and wants to open a small grocery store in his neighborhood. He thinks that his community is underserved, with the closest grocery store being more than two miles away and not close to public transportation. What quality does Kojak have as a budding entrepreneur?
Vision
Penelope, an entrepreneur, has an idea to open a flower shop that incorporates her family values and fulfills a need in the community. Penelope is an example of a business owner with
a vision
The ability to see better and different ways of doing business is referred to as
creativity.
Compared to homogenous workplace teams,
diversity in a team helps them perform more effectively and develop better solutions.
We Care Industries hires individuals with limited physical and mental abilities. This is a characteristic of:
diversity in the workplace.
Chetan, age 30, and Vinita, age 58, have been employed for 3 years and share office space at XYZ, Inc. Chetan and Vinita are examples of
diversity.
A company that practices social responsibility is likely to do which of the following?
donate time and services to a women's shelter
Critical thinking creativity
drives
Northern Star Bank is relocating its customer service division to India. This is most likely happening to
lower costs.
When compared to homogenous workplace teams, diverse teams are more likely to perform __________ and develop _________.
more effectively; better solutions
Individuals from different ethnic backgrounds, cultures, religions, ages, and physical and mental abilities are
more likely to work in companies that value diversity.
Many companies have found that using the Internet has made it easier for them to use ________ as a way of increasing flexibility in staffing.
outsourcing
Creative thinking skills can be attributed to those with the ability to
see different ways of achieving results.
When asked, most people would list __________ as a reason why they admire a company.
social responsibility
Garcia Grocers, a family-owned company, has been doing business in its community for 75 years. It has many lifetime employees. Recently there has been a higher-than-average turnover rate among employees. Garcia will most likely discover it is losing
younger employees.
Based on the reasoning provided, which of the following is an example of an ethical company?
Berkshire Hathaway, because the leaders of the company are honest and transparent in all their financial choices, disclosures, and hiring practices.
How are the practices of social responsibility and business ethics similar?
Both emphasize responsibility; socially responsible businesses give back to their communities, and business ethics refers to making responsible choices in the work environment.
Brady is the lead supervisor at an up and coming company. Over the last year, profits at the company have started dropping. The last two products released did not do well on the market, and the company is worried about how they will recover. What would be the best way for Brady to work to resolve this problem?
Brady should encourage employees to be more collaborative in place of independent. This will foster more creativity and innovation, which will in turn result in more original product ideas.
Which would be an example of a company behaving unethically?
Brander University's advertises an ethnically diverse student body, but statistics show less than one percent of incoming freshman are minority students.
For a business leader with the ability to lead in a changing environment, which of the following scenario is typical?
CIO invests capital funds to install newer technology
Bianca just finished law school and has offers from four different companies. Bianca wants to work for a company that has high ethical standards. Which company do you think Bianca will choose to work for?
Costco, who has a diverse management team and a strong anti-discrimination policy
is the ability to analyze and assess information to pinpoint problems or opportunities.
Critical thinking
How are critical thinking and creativity linked?
Critical thinking involves analyzing a situation to determine potential problems, while creativity involves developing solutions for the problems.
Daniel has owned his company for the past fifty years. In that time he has seen a lot of success and worked with a number of great employees. Recently, Daniel has noticed that his new workers only stay with the company for a few years and then leave in place of staying with the company until retirement. What would you suggest Daniel do about these changes?
Daniel should embrace this change and encourage these employees to take risks and be creative, this type of a partnership will benefit both employees and the company.
What is the reality when a manager initiates major changes in today's business environment?
Demonstrates ability to lead
Critical thinking involves which of the following activities?
Determining the authenticity and accuracy of information.
Offshoring is locating production or services near a firm's home base.
False
A.K. Mauro, a publishing company, allows its employees to work from home one day each week. This is an example of which human resource challenge facing managers?
Flexibility and mobility
Silvio and Norah have graduated from college and are gaining business experience while building their careers. With which workforce population could Silvio and Norah be identified? Select all that apply.
Generation Y,Generation X
Which of these uses of drones is an example of social responsibility?
Google giving money to the World Wildlife Fund to use drones to stop poaching
Corporate philosophy statement that best embodies both business ethics and social responsibility is best represented by which of these?
Google, "Don't Do Evil."
Which is an example of an internal source for implementing organizational change?
Labor union demands
Which of these refers to outsourcing production or services to locations near a company's home base, or closer to customers?
Nearshoring
What is the difference between outsourcing and crowdsourcing?
Outsourcing involves contracting work to outside vendors; crowdsourcing enlists the collective talent of individuals.
What is the difference between outsourcing and offshoring?
Outsourcing uses outside firms to handle functions the company used to provide, and offshoring is moving a segment of the company overseas to lower costs.
Ramone owns a clothing factory that has operations in the U.S., and China. In each country, Ramone follows the local law and customs. For example, in China it is common and legal to dump dangerous chemicals in the lake and Ramone does so. It is also common to hire children in China as factory workers, and Ramone does so. What can be said about how Ramone runs his company?
Ramone runs his company without regard to ethics or social responsibility.
Riley's team is having a lot of problems developing new ideas for their current project. Each team member has been assigned a specific task for the project, but they all seem to be having difficulties. The ideas the team is suggesting are good, but they are not very creative. What would be the best approach for Riley to take?
Riley should encourage more collaboration within the team, which will result in more creativity and innovation.
Which company exemplifies social responsibility?
Sally's Dress Shop donates clothing to the local women's shelter.
What is the difference between social responsibility and business ethics?
Social responsibility refers to businesses who give back to their communities, while business ethics refers to making responsible choices in the work environment.
responsible companies engage in activities such as preserving the environment as a way of giving back to their communities.
Socially
___________ companies are those that give back to their community, such as by preserving the environment for example.
Socially responsible
Which qualities are typically used to identify admirable companies?
Solid profits,Stable growth,High quality goods
Zoya is an organic farmer, because she believes it is the best method for the environment. When it's time for Zoya to invest money in the stock market, she is given a list of top performers. In addition to financial performance, what other qualities consistent with her beliefs might Zoya look for in a company to invest in?
Strong social responsibility
Which are the challenges faced by today's businesses due to a changing environment?
Technology enhancements,Global competition,Marketplace demands
If the CEO of ABC Finance Co. has illegally transferred client funds to his account, what could be one expected result?
The CEO's business ethics will diminish the reputation of the firm
In the business world, what is creativity?
The ability to see better and different ways of doing business.
A textile manufacturer claims they only use natural fibers in all of their products, but they use synthetic materials in their lower priced products to save money. Last year the company refused to offshore their manufacturing because the host countries could not guarantee worker safety. Which statement about this company and its leaders would be true?
The leaders of the company are not ethical, but they are socially responsible.
Imagine that the CEO of ABC Manufacturing lies about the strength of the company's finances to employees and investors in an effort to artificially inflate the stock price. At the same time, the company produces its products in a way that helps preserve the natural environment. In this case, what conclusion can you make about the company and its leaders?
The leaders of the company are not ethical, but they are socially responsible.
Phinneas Fogg Travel is a tour operator on five continents with 150 employees and thousands of independent contractors. The company has implemented a brand-new computer system that intimidates the employees and contractors, who avoid using it. Which of the following scenarios would best help the 24 supervisors overcome the problems associated with this organizational change?
The supervisors need to identify employee strengths and their leadership qualities and create a group of leaders to help guide and motivate the other employees through the new system.
What is the relationship between training, flexibility, diversity, and inclusion?
These are the advantages of jobs that are appealing to Millennials.
How do Baby Boomers present a challenge to organizations today?
They are getting ready to retire.
A shoe company has operations in several different countries. The company's policies on using child labor vary with the regulations and customs in each country. If the country has no regulations pertaining to child labor, the company's executives do not prohibit plant managers from hiring underage workers. What can be said about this company and its leadership?
They have no regard for ethics or social responsibility.
How do managers maximize results during a period of change at an organization?
They recognize individual employee strengths and motivate them to work as a team.
The XYZ Company has had a high employee turnover in the past few years. It has come to the attention of management that most employees stay between three and five years before they move on to another company. How would you suggest the XYZ Company handle this situation?
They should work to develop a partnership with employees, which will result in more creative ideas and a higher level of innovation.
Why would a manager want to balance the scales between critical thinking and creative thinking skills?
To develop the staff's ability to solve the problems that they identify
Apple manufacturing the iPhone in China is an example of offshoring.
True
Baby Boomers are the demographic that typically demonstrate the work-comes-first lifestyle.
True
Every week, the managers at Toddler Toys Company hold a brainstorming meeting to discuss their ideas to improve work-flow processes, efficiency, and employee training. What are the managers doing in these meetings?
Using creativity to develop solutions
At World Trade, Inc. the female executives and the female employees enter into a mentoring relationship that last for two years upon the employees' hire. What is the expected result?
World Trade Inc. is aligning its diversity program with its organizational goals to increase retention.
Yashmi is rolling out the proposal for the new product's marketing plan. While the product is still being manufactured, she meets with her team from around the globe to hear their ideas. How has Yashmi prepared this meeting?
Yashmi's team is crowdsourcing to collaborate on the project.
A & B, Inc. is one of two main employers in a small town in western Pennsylvania. Generations of families have worked at A & B, but recently, employees are leaving the company faster than A & B can hire replacements. Why is A & B experiencing such high turnover despite no change in management style?
Younger employees are rejecting the "work before life" ethos, so they leave to find more flexible opportunities.
Dushan & Sons LLC requires its employees to sign a Code of Conduct agreement. This agreement governs employee behavior at work and in their free time. The topics of the agreement include social networking activity, obeying the law, and practicing good judgment. This policy is an example of
a company establishing business ethics.
Part of Ford Motor Company's strategy is to develop and maintain a diverse workforce, most likely resulting in (select all that apply)
a more creative workforce.a higher level of innovation.
Which is the best reason for a company to enable an increased level of communication among employees?
adapting a 21st century business model
Evidence of solid profits, stable growth, and high quality goods are among the reasons why a company may be described as
admirable.
After 40 years with the same company, James Smith retired. He spent six months as a retiree before he realized he still wanted to work, so he began a job search. This is an example of
an aging population of workers.
Google's corporate philosophy statement, "Don't Do Evil." captures the concept of
both business ethics and social responsibility.
Many business failures of the past 10 years have focused on the questionable
business ethics
Many companies monitor their employees' online leisure activities. These companies want to know when employees say negative things about the company or divulge confidential information online. The practice of monitoring employees' behavior is an example of
business ethics
Which best describes the relationship between critical thinking and creativity?
critical thinking drives creativity
Determining the authenticity and accuracy of information are activities associated with
critical thinking.
Which is an application of vision?
implementing internal policies to promote sustainability
Companies must demonstrate __________ in order to be included in the Hay Group's list of most admired companies
innovation
In order to be included in the Hay Group's list of most admired companies, companies must, among other things, demonstrate
innovation.
Javier has started a fair-trade coffee collective that imports coffee directly from farmers in developing countries for fair wages. Javier sells the coffee through his company and makes a profit, which he uses to pay the wages and the rest is reinvested in the company. What is Javier demonstrating through his actions?
social responsibility
Anki's World Crafts is located in Los Angeles, California. Anki contracts with craftswomen from developing nations to sell their goods in her store. Anki makes a profit on these craft items and she shares the profits with the craftswomen. This situation is an example of
social responsibility.
Gills Onions engineered an onion processing plant that generates its electricity. They share the facility design with other food processing companies, so others can conserve energy. Gills Onions is admired for its
social responsibility.
Open software is free of charge, so that all people have access. Many people who use such software make donations to support the programmers' effort. Such a practice is an example of
social responsibility.
The National Coalition Against Domestic Violence offers free cell phones to victims of abuse to make it easier for them to call for help when they need it. All calls are free thanks to a donation of basic calling plans provided by a national phone service provider. The phone provider is demonstrating
social responsibility.
The Springfield Chamber of Commerce is holding its annual awards banquet Saturday night. They are giving their Most Admired Award to The Springfield Night Light Co. The competition was fierce this year and Commerce members were judged on three different categories. Which three categories were proposed for the award nominations?
stability in growing the local economy, providing jobs for the community, giving a portion of their profits to community programs
Carl worked for Acme for 42 years before retiring. His pension and savings took a hit in the recession, so he is looking to reenter the workforce to supplement his income while he continues to enjoy good health. What does Carl exemplify?
the aging population of workers
An employee recently hired by a company hears a rumor of widespread layoffs. Which of the following responses would indicate the employee is applying critical thinking?
the employee asks the department manager if the rumor is true
Which defines business ethics?
the standards of conduct and moral values of a firm
Creativity and critical thinking are
triggers for the activity of implementing new ideas.
Vivian is the manager of the call center. Every week, she participates in a brainstorming meeting with other managers. Together, they share their ideas to improve work flow and efficiency. Vivian and the other managers are
using creativity to develop solutions.
A business manager who perceives marketplace needs and implements policies to promote sustainability demonstrates the concept of.
vision.
A company is demonstrating social responsibility
when management's decisions align with local social and economic issues.