Management Test 2
When setting organizational objectives, a(n) _______ objective is intended to be achieved in five to seven years
long-term
Which term refers to developing action programs for the purpose of accomplishing business objectives
Planning
How a firm undertakes strategic and tactical actions, and competitors' responses to those actions, is referred to as ________
Competitive dynamics
Which tool is designed to identify and analyze forces that determine competitiveness within an industry?
Five Forces Model
When management outlines its commitment to new methods of operation, what type of objective is being set
Innovation
What step in the management by objectives process involves the manager and the worker checking to see whether the objectives are being reached
Monitor progress
The purpose for which an organization exists is its
Organizational mission
Which of the following is an example of a standing plan
A sustainability policy
Which of the following is an example of a single-use plan
A budget
Which of the following is used to evaluate decisions that are complicated or involve a series of steps
A decision tree
Which type of plan supplies broad guidelines for action that support organizational objectives
A policy
Which of the following is unique to the nominal group technique compared to the other discussed group decision processes
Each member writes down ideas on the issue being discussed
The ability to provide resources necessary to strategy implementation is done with
Allocating skills
Why are strategic plans less detailed than tactical plans?
Because strategic plans are based on a prediction of the future
The departure from rational theory that can result in less than optimal decisions is known as
Bias
The group decision-making process in which negative feedback is banned until all members have presented an alternative is known as
Brainstorming
Which of the following is NOT a major limitation on the number of problem-solving alternatives available
Brainstorming factors
Which of the following suggests that managers should provide funds for planning only when they anticipate a reasonable return on investment?
Commitment principle
To best understand what is happening both internally and externally to the organization, and to increase the probability of developing organizational strategies that reflect the organizational environment, a(n) ________ analysis should be undertaken
Environmental
Which of the following represents the first step in the strategic management process?
Environmental analysis
Jackie is looking to make a decision on which new product her company should put to market next from a group of alternatives. She beings by removing the least desirable alternatives from the set. What technique for considering alternatives is Jackie using?
Exclusion
Decision makers who are willing to steal ideas as necessary to make good decisions have a(n) _____ orientation to the decision-making process
Exploitative
Which of the following is a key disadvantage of group decision making
Group decisions can be of lower quality because of groupthink
Which of the following is a key advantage of group decision making?
Group members perceive the decision as their own and are more likely to take responsibility for it
Laws such as the Clean Air Act, the Affordable Care Act, and the Consumer Products Safety Act are considered part of the ________ component of the general environment
Legal
Which guidelines for establishing objectives focuses on helping a worker to be better motivated in carrying out an objective
Let the people responsible for attaining the objectives have a voice in setting them
When setting objectives for where a firm would like to be in comparison to competitors, what key area of objectives is being considered
Market standing
When implementing strategy, the ability to network people who can solve implementation problems is accomplished through _______ skills
Organizing
Audrey tends to believe that her forecasts are better than they really are. This illustrates a decision-making bias known as
Overconfidence
Which of the following terms describes the negative effect of having too many alternatives
Paradox of choice
Wallace is a decision maker at an organization and is unsure of what will be the outcome of an alternative in a simple decision situation. What decision-making tool would be most helpful for Wallace considering his predicament
Probability theory
Which of the following refers to the steps a decision maker takes to arrive at a decision
Rational decision-making process
Which term refers to a strategy intended to strengthen or protect the amount of business a strategic business is currently generating?
Retrenchment
Which type of forecast is focused on how many products will be sold to consumers over a specified time period
Sales forecast
______ involves developing a list of activities and following time tables for the purpose of attaining an objective
Scheduling
Which of the following is an advantage of using an MBO approach?
Securing employee commitment to reaching organizational goals
Demographics, the statistical characteristics of a population, are reflected in the _______ component of the general environment
Social
A significant organizational segment that is analyzed to develop strategies for generating future business or revenue is known as a
Strategic business unit
Under Porter's Five Forces Model, what happens when the threat of substitutes increases?
The attractiveness of an industry decreases
The basic element of decision making that focuses on deciding the best course of action among potential solutions is called
The choice of alternatives
Which type of decision-making orientation attempts to use all the organization's talents and is characterized by reason and sound judgment
The ideal decision-making orientation
_____ has/have been described as being slow, comprehensive, and deliberate, whereas _____ is fast and automatic
The rational decision-making process; intuition
In Porter's Five Forces Model, _____ refers to the ability of new firms to enter the industry
The threat of new entrants
Which of the following is the fundamental purpose of planning
To help the organization reach its objectives
At which step would a manager develop strategic and tactical plans in the planning process
When developing plans to pursue the chosen alternative
Which of the following would be considered a non-programmed type of decision
Whether the organization should expand its market to Africa
The process of predicting future environmental issues is primarily accomplished through
forecasting