MGMT 490 CH 12

B

1) Cultures that tend to support good strategy execution include a) inwardly focused and ethical cultures. b) high-performance and adaptive cultures. c) diverse and politicized cultures. d) insular and high-performance cultures. e) success-oriented cultures and integrative cultures.

B

10) The strongest signs that management is truly committed to installing a new culture include al the following, EXCEPT a) Replacing key executive who are stonewalling needed organizational and cultural changes b) Appointing only insiders to high-profile positions c) Promoting individuals who have stepped forward to advocate the shift to a different culture and who can serve as role models for the desired culture d) Revising policies and procedures in ways that will help drive cultural change e) Screening all candidates for new positions and carefully hiring only those who appear to fit in with the new culture.

C

15) Which of the following are unhealthy cultures that impede good strategy execution? a) Inwardly focused cultures, change-resistant cultures, and adaptive cultures b) Outwardly focused cultures, politicized cultures, and greed-driven cultures c) Insular cultures, politicized cultures, and unethical cultures d) Change-resistant cultures, high performance culture, and politicized cultures e) Performance-resistant cultures, greed-driven cultures, and ethical cultures

B

8) What makes a politicized internal environment so unhealthy? a) Managers tend to exude such negative traits as arrogance, greed, and an "ends-justify-the-means" mentality in pursuing stretch revenue and profitability targets. b) It consumes a great deal of organizational energy, often with the result that what is best for the company takes a backseat. c) It is composed of incompatible subcultures that embrace conflicting business philosophies. d) Skepticism about the importance of new developments and a fear of change are the norm e) It gives rise to nepotism and a failure to recruit the right people.

E

9) Enron, Countrywide Financial, and JPMorgan Chase are examples of companies whose cultures became a) Insular and inwardly focused b) An incompatible subculture c) Politicized d) Change-resistant e) Unethical and greed-driven

D

11) A company's culture is in part defined and identified by a) Whether it employs a low-cost provider, best-cost provider, differentiation, or focused strategy b) How strongly its strategic vision is linked to its core values. c) Whether it is a well-known industry leader, and up-and-coming company that is gaining market share, a middle-of the-pack company unlikely to move up in the industry ranks, or any industry also-ran that may or may not survive. d) Its internal work climate and personality—as shaped by its shared values, work practices, traditions, and ingrained attitudes and behaviors that define "how we do things around here." e) Whether decision making is centralized or decentralized and whether it is a single-business company or a diversified company.

A

12) Which of the following statements does NOT describe high-performance cultures? a) High-performance cultures are inwardly focused and discount the capabilities and accomplishments of rival companies. b) High-performance cultures are characterized by a results orientation and a spirit of achievement in beating performance targets. c) In a company with high-performance culture, all company personnel, form senior executive to front-line employees, tend to display high-performance behaviors and a passion for making the company successful. d) The standout traits of high-performance cultures include taking pride in doing thing right, adopting no-excuses accountability, and having a pervasive result-oriented work climate. e) A high-performance culture is a valuable contributor to good strategy execution and operating excellence.

A

13) Which of the following is NOT an integral part of transforming core values and ethical standards into cultural norms? a) Immediately dismissing any employees caught violating the company's code of ethics or disregarding core values b) Instituting procedures for enforcing ethical standards c) Screening out job applicants who do not exhibit compatible character traits d) Having senior executives frequently reiterate the importance and role of company values and ethical principles at company events an internal communications to employees. e) Periodically having ceremonial occasions to recognize individuals and groups who display the values and ethical principles.

A

14) Which of the following can help in changing a problem culture? a) It takes concerted management action over a period of time to root out unconstructive behaviors an replace them with new ways of doing things. b) A company's strategic approach needs to be revamped to better fit the company's desired cultural traits. c) It requires writing a new statement of core values, having a series of meetings with employees to explain the new cultural expectations, and having shareholders vote to ratify and adopt the new culture. d) Executives have to know the weaknesses of their subordinates to begin the change process. e) A bottom-up approach is needed to change the culture; having top management out in front leading the effort tend to be counterproductive.

B

16) Technology companies, software companies, and internet-based companies are good illustrations of organizations with a) Inwardly focused cultures b) Adaptive cultures c) Diverse cultures d) Integrative cultures e) Achievement-oriented cultures

E

17) Which of the following is NOT a fundamental part of a company's culture? a) The core values and business principles that management preaches and practices. b) The company's standard of what is ethically acceptable and what is not, along with the "chemistry" and "personality" that permeates its work environment c) The work practices and behaviors that define "how we do things around here" d) The legends and stories that people repeat to illustrate and reinforce the company's core values, traditions, and business practices e) The company's strategic vision, strategic intent, and culture strategy

E

18) In high-performance cultures a) There is a clear and unyielding expectation that all company personnel will strictly follow company policies and procedures. b) Company personnel share a feeling of impeding doom if they don't deal with whatever threats are posed by competitors c) The work climate focuses on not tolerating any mistakes d) There is willingness on the part of organization members to accept discipline and subordination e) There is a strong sense of involvement on the part of company personnel and an emphasis on individual initiative and effort.

D

19) Which of the following is NOT one of the chief factors that defines a company's corporate culture? a) The values, business principles, and ethical standards that management preaches and practices b) The atmosphere and spirit that pervades the work climate c) The strength of peer pressure that exists to do things in particular ways and conform to expected norms d) The attractiveness and the competitive strength of the industry the company is operating in e) The manner in which the company deals with external shareholders

A

2) Which of the following is a hallmark of adaptive corporate cultures? a) There is a high willingness on the part of the organization members to accept change and take on the challenge of introducing and executing new strategies b) The culture arises most commonly because of a crisis that requires a team effort to resolve. c) Employees at companies with adaptive cultures display a passion for making the company successful. d) Issues and problems are promptly addressed and there is a razor-sharp focus on what needs to be done. e) Skepticism about the importance of new developments and a fear of change are the norm.

C

20) A work environment where the culture is in sync with the chosen strategy and is conducive to good strategy execution is considered a valuable managerial ally because a) There is much less risk of embarrassing ethical violations b) There is reduced need to incorporate negative motivational practices and punitive-type incentives into the reward structure and in the company's approach to people management c) It provides company personnel with clear guidance regarding "how we do thing around here" and produces significant peer pressure from co-workers to conform to culturally acceptable norms d) The culture can be readily incorporated into the company's strategic vision and facilitate the achievement of stretch objectives e) There is reduced need to employ benchmarking, best practice programs, reengineering, Six Sigma, and TQM to achieve competitive advantage

B

3) Typically, key elements of corporate culture a) Have very special applications and their use is limited to a restricted range of industry and business types b) Originate with a founder or certain strong leader who articulated them as a set of business principles, company policies, operating approaches, and ways of dealing with employees, customers, vendors, shareholders, and local communities. c) Vary whether a company is meeting or beating its performance targets and performing value chain activities in a manner that is conducive to a company-wide operating excellence. d) Evolve over time and primarily derive from the traditional and historical behavior of a company. e) Must be continually refreshed and renewed to remain aligned with changing customer expectations, altered competitive conditions, and new strategic initiatives.

D

4) Unethical and greed-driven cultures a) Are usually founded in companies that have little appetite for being fast followers. b) Typically prevail in companies where internal politics pervades the work climate and empire-building managers jealously guard their decision-making prerogatives. c) Tend to result in average profits in the short-run, but higher profits in the long-run. d) Are predominant in companies that are run by executives driven by arrogance, ego gratification, and an "ends-justify-the-means" mentality in pursuing overambitious revenue and profitability. e) Encourage a number of undesirable or unhealthy behaviors such as viewing circumstances myopically, avoiding risks, and not capitalizing on emerging opportunities.

C

5) All the following are necessary in the creation of high-performance cultures, EXCEPT a) Managers must follow a disciplined, performance-focused approach to managing the organization. b) Managers must energize employees to put forth their very best efforts to do the right things right. c) Managers must restrict collaboration with other organizational units to reduce the power of influential executives and/or coalitions among departments. d) Managers must inspire high loyalty and dedication on the part of employees, such that they are energized to put forth their very best to do thing right and be unusually productive. e) Managers must take pains to reinforce constructive behavior, reward top performers, and purge habits and behaviors that stand in the way of high productivity and good results.

A

6) Change-resistant cultures encourage all the following undesirable and unhealthy behaviors, EXCEPT a) Executives exuding an "ends-justify-the-means" mentality in pursuing overambitious revenue and profitability targets. b) Pursuing bold actions to capture emerging opportunities, and responding more slowly than is warranted to market change c) Taking a lax approach to both product innovation and continuous improvement in performing value chain activities. d) Preferring to follow rather than lead market change, and prompting managers to lean toward safe options intended to maintain the status quo and protect their power base. e) Viewing circumstances myopically, avoiding risks, and having little appetite for being first movers or fast followers.

E

7) A strongly implanted corporate culture has a powerful influence on behavior because of all the following EXCEPT a) Most corporate personnel have acknowledged and accepted the cultural traditions. b) Over time people who do not like the culture tend to leave c) Aver time achieving low-workforce-turnover is catalyst of conformity and acceptance. d) Management expectations and co-worker peer pressure cause employees to conform. e) A strong leader can user coercion and the threat of punishment to enforce norms