Test 2

Manoj has asked managers of each division to review the impact of expanding into overseas markets. Manoj will then have a group of experts review their proposals and combine their opinions to reach a consensus decision. Which type of decision-making group is Manoj using?

Delphi

What is considered to be the cornerstone of planning?

Decision making

Which of the following can be used to achieve a consensus from ideas that have already been generated, through the process of averaging the opinions of all task force members?

Delphi group

Drew is planning a new manufacturing facility for his line of remote-controlled superheroes. He is afraid that if he builds a plant that is too small, he may miss opportunities, but if he builds a plant that is too large, he will incur expenses that cannot be covered. What should Drew use when deciding how much capacity to plan for?

Demand

When is a multidomestic strategy particularly effective for international firms?

When there are clear differences among markets

Where is power and authority held in a multidomestic corporation?

With the managers of subsidiaries in host countries

Aisha is managing a small production facility with many customer orders currently on the shop floor, all in need of further processing. Which type of inventory is Aisha holding?

Work-in-process

Because the process of group or team decision making takes longer, _____.

it is costlier

Product differentiation, low costs, and the development of new products or services are key to a company's success at which stage of the product life cycle?

Decline

Broadside Farms is a 40-acre peach orchard that uses robotic harvesters to pick fruit when it is ripe. What is this application of robotics called?

Agrimation

Teresita has a successful business that produces sauces, salsas, and salad dressings. Recently, she stopped buying labels from her supplier because she found she can make them less expensively in-house. This also allows her to change labels for seasonal and small batch items. Which type of diversification did Teresita engage in?

Backward vertical integration

Which concept can be used by managers to develop a better understanding of their inherent biases and limitations?

Bounded rationality

In which way do organizations determine alternatives for working in a particular industry or market?

By setting business-level strategies

Bhavik's manufacturing facility often gets repeat orders. What can Bhavik use to quickly prepare labels and copies of previous orders to efficiently ship products to the customer?

CAM systems

Which of the following best explains what occurs during the step of selecting the best alternative when completing the rational decision-making process?

Consider all situational factors, and choose the alternative that best fits the situation.

What is the first step in developing contingency plans?

Considering contingency events when developing strategic, tactical, and operational plans

In the event of a disaster or other unexpected calamity, where can a plan with procedures for handling the disaster be found?

Crisis management

Avec is working to achieve an ISO 14000 certification for her organization. Which area of quality does ISO 14000 focus on?

Environment

What is the first step that a manager should take in executing a tactical plan?

Evaluate every possible course of action in light of the goal it is intended to reach.

Lupita's company is experiencing high turnover and she needs to develop a solution. Using the rational decision-making process, Lupita thinks that adding benefits might not help with turnover, but increasing wages or changing hiring standards might. Which step in the decision-making process is Lupita in?

Evaluating alternatives

After winning a large contract, Aisha needs to decide how to staff the project. She is currently calculating the costs of hiring new employees, using overtime, and adding a second shift. At which stage of the decision-making process is Aisha in?

Identifying alternatives

When a firm identifies a weakness within its organization, what can it do to address that weakness?

It can modify its mission.

Payal runs a small plant that uses just-in-time (JIT) inventory systems so that she has necessary materials when she needs them. What is the advantage of using JIT for Payal's small shop?

Less investment in raw materials

Before instituting budget cuts, Apoorva wants to get feedback from her managers and work on developing creative and innovative alternatives. She asked each of her managers to brainstorm a list of ways they can cut their budgets without affecting workers. Ideas were placed on a flip chart, and each was then discussed. Which type of team is Apoorva using?

Nominal

Zereth is looking for ways to increase foot traffic into her brick-and-mortar locations. She has decided to open a small coffee shop with free Wi-Fi in her store. This is an example of which type of decision?

Nonprogrammed

Which of the following describes the managerial activities used by an organization to transform resources into products or services?

Operations management

Which of the following can be a major disadvantage to a task force or committee?

Politics

In which way can a service organization take advantage of the lessons learned by manufacturing firms?

Procedures for purchasing raw materials

Arayla owns a small printing firm, and she needs a better way to determine which projects to work on and when. Which of the following can Arayla use to improve the control of finished goods inventory?

Production scheduling systems

Yingquo has implemented a program in her plant where any worker can make quality decisions that will reduce defects. Because of this, the number of defects have decreased, there is less rework, and there is less need for quality inspectors. Which area of the organization has Yingquo focused her quality efforts on?

Productivity

Decisions about when to reorder standard supplies based on quantity-on-hand information are most likely to be which type of decisions?

Programmed

Jones International uses a mix of strategic business units (SBUs), which allows the company to exploit its strengths and capabilities in more than one line of business and to exploit synergies across business lines. Jones International employs which type of corporate-level strategy?

Related diversification

Scott works for a firm that specializes in oil and gas products. During the last recession, one of the business units lost considerable income, but other parts of the business were healthy enough to offset that loss. Which type of corporate strategy was Scott's company using?

Related diversification

Jolanta is determining how to distribute various resources in order to improve her organization's ability to compete in the market. What is Jolanta determining?

Resource deployment

The exact description of how specific activities are to be carried out would be found in which type of plan?

Rules and regulations

Which of the following directly led to the big move to automate factories after World War II.

Shortage of skilled workers

Maya would like to increase sales for the upcoming holiday season. She plans to increase advertising in the local paper, cut prices on selected items, or implement a loyalty program. Which step has Maya reached in the rational decision-making process?

Step 2: Identifying alternatives

What are the primary inputs for developing tactical goals?

Strategic goals

Ahmed is responding to a situation that does not happen often. He talked with a colleague about how to resolve the issue. When a colleague suggested Ahmed change his tactical plan, he did not. Why wouldn't Ahmed change his tactical plan to resolve this situation?

Tactical plans address several goals.

What makes computer-aided manufacturing (CAM) an especially powerful and complex management control tool?

The ability to prepare orders and send products out to where they are wanted

What must a decision maker understand in order to make the most effective decision possible?

The situation driving the decision

How do managers with a high level of risk propensity compare with their more conservative counterparts?

They are more likely to achieve big successes with their decisions and to incur greater losses.

Why should an organization carefully consider the use of a CAD system before buying one?

They can raise the breakeven point for firms.

Which of the following is true of decision makers in the classical decision model?

They have complete information about the decision situation and alternatives.

Why is it important that organizations do not place too much emphasis on short-term performance?

To avoid long-term goals from being ignored

What is one of the main purposes of a SWOT analysis?

To identify distinctive competencies

Why is it critical for an organization to understand that eventually a product will go into the decline stage?

To meet demand while maintaining quality

The number of different businesses that an organization runs, and the extent to which these businesses relate to one another, is represented by _____.

diversification

RadTrek makes bicycles. Its plant includes robotic work units and robotic carts to move materials throughout the plant. This is an example of _____.

flexible manufacturing systems

RadTrek makes bicycles. Operations at RadTrek provide _____ utility as the company assembles the parts to make bicycles that it can sell for a profit.

form