Chapter 6

Raj is responsible for ensuring that the processes of the accounting office where he is employed run smoothly and that the business will be able to provide its services efficiently and effectively. Raj is a(n) ___ manager.

operations

If the CEO of Becky's Bicycles states that she wants to have 50 percent of the bicycle rental business in Sonoma County by 2020, she has stated a

goal

The decision-making process requires all of the following steps except

solving the identified problem.

Fry Bread Inc. is planning a large summer party in Window Rock, Arizona, where sudden summer rainstorms are frequent. The individuals planning the party intend to have all activities held outside in a park utilizing the open-to-the sky park tables for the food. What type of planning is apparently lacking?

contingency

Ramon has been hired to keep the books, write correspondences, answer phones, and pay the bills for a small company. Ramon provides a(n) ___ resource for the firm.

human

A fast-food manager for a chain operation is an example of a(n) ___ manager.

first-line

Clarence provides overall guidance and leadership for the company where he is employed. He does not provide any specialized function. What type of manager is he?

general

Derrek Dugan has become the president of DBD Enterprises. He sets up meetings with groups of employees to get their opinions about steps needed to turn around the company's declining sales. This part of the decision-making process is an example of

generating alternatives.

Programmers, engineers, designers, lawyers, and accountants are Google's ______ resources.

human

Benefits of total quality management (TQM) include

lower operating costs and higher return on sales and on investments.

Coordinating finances, materials, people, and other resources of an organization to achieve the organization's goals is a process known as

management

What is the "first" management function?

planning

The chief executive officer of CA, Inc. provides the company with leadership and overall guidance in addition to interpreting the company's mission. Because of the tasks he is required to perform, he would be classified as a(n) ___ manager.

administrative

Kevin is responsible for coordinating the activities of the managers who oversee the specialized managers at the hospital where he works. The hospital is painting the curbs of the parking spaces for its executives. The maintenance manager has asked you what title to put on Kevin's parking space. Which of the following most accurately describes his position at the hospital?

Administrative manager

The primary functions of a manager are:

Controlling, organizing, planning, and leading

Janet has discussed a problem she is having with her AT&T communications services with an AT&T representative via chat. During the last chat, the AT&T rep writes that the company will be sending Janet a brief survey about the services she received so the company can better address customers' needs and concerns. The rep requests that she complete it and return it. Which facet of total quality management (TQM) is being exercised?

Customer satisfaction

Sherry Smith holds focus groups with employees of Smith's Hotels. By doing this she is employing which aspect of total quality management?

Employee participation

Cherise has started a new dry cleaning business that utilizes online services for notifying customers that their orders are ready for pick up. Which of the following would least likely be considered a threat to the company?

Employees

X'Zion manages a fish market. He is responsible for scheduling employees, receiving fish and other products, and having it stocked on the shelves, and in the freezer and refrigerator. He is also responsible for the banking and reconciling the cash register records against the contents of the registers. He likes working with the inventory and employees but does not like doing the banking and dealing with the cash and cash registers. Of the resources X'Zion must oversee, which one does he least enjoy?

Financial resources

Janet has started an electric car rental business in Sonoma, California. She rents out small electric cars from a parking lot equipped with charging stations. Renters swipe their credit card and driver's license through a meter and after the rental fee is deducted and information collected from the driver's license, the meter opens and the keys are dispensed. To check the vehicle in, the renter presses a button that says, "Vehicle Return," swipes their credit card and license again and deposits the keys in the meter. She has an agreement with a wine country tour company to drop off tour members next to her parking lot in order to entice them to rent from her. So far, her primary business is derived from renting the vehicles to the tour group tourists. She is considering expanding her business by offering day-long tours to sites around the county. She is also considering opening a chain of rentals with the first located near the cruise ship terminal in San Francisco and the others spaced at 60-mile intervals throughout the Northwest wine country. Which answer below best describes Janet's decision-making activities?

Generating alternatives

Which of the following is an organization's most important resource?

Human

Dorothy is the manager of a department within her company. During her annual employee review she notices that Tim and Allen are less productive since they began working next to each other. What stage of the managerial decision-making process is Dorothy in?

Identifying the problem or opportunity

Harold has been hired by Big Chief Auto to collect and analyze data on consumer preferences in services provided and the frequency and type of "up-selling" services or items customers purchased. Harold is thus responsible for what general type of resources?

Informational

Which of the four lists below best represent the types of resources management can coordinate to achieve its goals?

Material, informational, human, and financial.

Godfrey is the manager of a new business that produces custom ski equipment. His production department would like to minimize costs by focusing production on only ski boots and then expanding their offerings as sales increase and funds can be used to purchase new production equipment for skis, ski goggles, helmets, and apparel. The marketing department would like to maximize sales, which requires the production and sale of a variety of products and options. When Godfrey balances these competing interests, what is he doing?

Optimization

A manager with ___ skills can see the big picture of how the various functions within the organization interact.

conceptual

Dynamite Distribution distributes packages for customers worldwide. It works on short deadlines and must assure that the packages it delivers are received in proper order, intact, billed properly, and received by the specific individual to whom they are addressed. Derek, the CEO of Dynamite Distribution, meets each month with employees to discuss ways to streamline the delivery process. After the meetings, he assembles the input and analyzes it by himself then brings in the heads of finance, materials, logistics, human resources, and operations to answer questions he has that have arisen from the monthly employee meeting. After meeting with the managers, he makes a decision, notifies all managers of the decision, and gives specific instructions of how it will be implemented, how it will be analyzed for effectiveness, and the timeframe for implementation. He instructs them that he expects full and complete cooperation and exact compliance with the instructions. What type of leadership style is this CEO most likely using?

Participative

Satisfying describes solutions that are only adequate and not ideal. At what point in the decision-making process should managers avoid satisfying?

Selecting an alternative

The U.S. Navy uses a technique called "Blast! Then Refine" during which stage of the managerial decision-making process?

Selecting an alternative

Mary Beth works for a department store chain. She has a recurring Friday 9 a.m. meeting with her supervisor to review the company's ability to meet the deadlines and goals of the tactical and operational plans she has made. At 5 p.m. daily, she meets with the managers who coordinate and supervise the activities of operating employees to discuss how well the tactical plans she designed are serving the needs of the company. What kind of manager is Mary Beth?

She is a middle manager.

Xavier and Jesus have been operating an indoor rock-climbing business for three years. When they started the business, they intended to expand to other locations and to offer training leading to outdoor climbs. They developed a guide for the planning policy which incorporated major policy decisions and methods for setting policies. They developed individual plans for carrying out each of the phases of the initial plan and even created a plan to oversee the other plans that included a checklist for locating business sites, flow charts for establishing businesses at new locations, and accountability charts for overseeing the implementation of all of the individual plans. Without names for the types of plans they are using, Xavier is finding it difficult keeping the plans straight. What names should he use to refer to the guide, individual plans, and the plan to oversee the other plans?

Strategic plan, tactical plans, operational plan

If Maurice, CFO, meets with Luminary, CEO, to discuss the company's budget allocations to departments as a part of planning for next year's projects, what kind of planning are they engaged in?

Strategic planning

XYZ Corporation has a long history of total quality management (TQM). The company produces laptop computers which it takes great pride in advertising as undergoing constant testing for improvements. Three years ago, a customer reported that her laptop burst into flames after she had used it for several hours without turning it off. The company's local sales agent apologized and replaced her computer but did not report the incident to the corporate offices. A month later, a customer in another part of the country complained of the same problem. The local company sales agent paid for the damages but did not report the problem. Over the year, several other computers burst into flames and these were reported to the company's headquarters, but the problems were only addressed at the local level so the company did not institute a company-wide resolution to the problem. Which area of TQM was the primary contributor to the computer problem?

The company failed to engage in a program of continuous improvement.

The participative leadership style has many advantages, but disadvantages too. Which of the following is a disadvantage of this type of leadership?

The decision-making process is time-consuming.

Thomas likes to think in abstract terms and look ahead to how all of the pieces of his company fit together and what they can accomplish. Thomas has ___ skills.

conceptual

What is a tactical plan?

a smaller scale plan developed to implement a strategy

Obligations to creditors and investors are met using

financial resources.

Milford is a manager at QRZ Inc. He is tasked with identifying problems correctly, generating reasonable alternatives, and selecting the "best" alternative to solve problems. When Milford carries out these tasks he is using ___ skills.

analytical

Benchmarking is the process of evaluating the products, processes, or management practices of ___ for the purpose of improving quality.

another organization

A top-down leadership style in which the top management makes all of the decisions and instructs subordinates about what to do and how to do it is known as ___ leadership.

autocratic

Terry is CEO of Big Business Affiliates. She makes all final decisions, and anything important must be routed through the hierarchy she has established. Terry is a(n) __ leader.

autocratic

Jeremy notices that sales in his department have declined and brings together his sales staff, marketing staff members, and product development department staff members to participate in a round-table discussion to generate as many new ideas as possible for solutions to the declining sales without criticizing or ridiculing the ideas of others. Jeremy is using

brainstorming.

Charlene is a manager of a department store. A large part of her day is spent conversing and e-mailing others, therefore, she uses ___ skills frequently during her day.

communication

All but ___ are included in the different resources available to all managers.

competitors

When a locally owned coffee shop heard that Starbucks may be coming to town, it developed a(n) _______ to establish alternative courses of action they could take if their competitive landscape changed.

contingency plan

All of the following are components of total quality management (TQM) except

continuous monitoring of the bottom-line.

A manager tasked with ensuring that a company reaches set goals by monitoring progress and taking corrective actions to adjust for deficiencies is exercising the ___ function of management.

controlling

Harlan's Used Autos prides itself on its efficiency and value in delivering vehicles that have had full mechanical reviews by trained mechanics before the vehicles are sold and a detailed list of known defects that have not been corrected provided to each customer. These characteristics can best be defined as Harlan's

core competencies.

When a manager develops a set of possible alternative solutions and chooses one alternative from among that set, he or she is involved in the process of

decision-making.

Geraldine manages a branch of a large corporation. When she notices a problem, she outlines it, identifies situations that need corrected, and then sends an e-mail to employees in that department asking for suggestions about how to correct the problem. When all of the suggestions have been received, Geraldine summarizes them, and presents them to the employees to choose one to implement. Geraldine uses a ___ form of leadership.

democratic

Amelia has identified a problem in the department she manages and has generated alternatives to correct the problem. Next she will

determine the best alternative.

To manage an organization effectively, and to stay informed, it is very important that managers understand how to use and maximize the potential of

digital communication devices.

Harry runs several businesses simultaneously. He also participates in marathons for which he has won several international titles. He opened his first software business when he was 15, and was a multi-millionaire by the time he was 19. He is known for conducting business non-stop and his employees even speculate that he never sleeps. He takes conference calls while he works out in his gym, is continually on the phone, and contacts his office before and after each race. He has a half a million followers on Facebook and Instagram due to both his racing and businesses. He is sought out for autographs wherever he goes. He sponsors events to raise funds for the local children's hospital and has retrofitted waiting areas at the children's hospital so they are more like comfortable coffee shops than waiting areas. He finds many ways to encourage his employees and includes their ideas in his business and charity work in order to stimulate creativity and build loyalty. He gives special recognition to employees who excel. He is known to work as an undercover employee in any of his businesses that have problems their managers cannot resolve. He works undercover until he fully understands what the problems are and can formulate a working solution. His employees are under the impression that he never tires and never stops working. He finds it difficult to understand why his employees do not have his level of passion for their work. Which of the following best describes Harry's leadership style?

entrepreneurial

Piccard looks into the future of his company, seeks to inspire his employees with a vision of what they can accomplish to benefit everyone involved with the company, and implements initiatives to accomplish the goals he envisions. Piccard is a(n) ___ leader.

entrepreneurial

Dwight is a(n) ___ manager in charge of both accounting and investments and oversees all of the employees involved with these functions for his company.

financial

The ___ resources of Mondavi Winery include revenues and loans from banks.

financial

____ resources include revenue from the sale of products and loans from financial institutions.

financial

Adele is tasked with managing TUV Corporation's human resource program including hiring new personnel, processing new hires' paperwork, and processing the separation paperwork for those departing the company. Adele is a(n) ___ manager.

human resource

Rocky has a managerial decision to make. The first step he will take is

identifying an opportunity.

Barack has been attending a seminar to be a more effective leader. He has learned that leadership is best defined as the ability to

influence others.

Taylor is not in top management in her company but is well-liked, charismatic, and outgoing. When top management hands down new policies, other employees look to Taylor to determine how they should react. Taylor has ___ leadership in the company.

informal

Managers who are effective in dealing with people both inside and outside of their organization are known to have excellent ____ skills.

interpersonal

One of the key skill sets of successful managers is the ability to deal effectively with other people, both inside and outside of organizations. These ___ skills allow the manager to relate to people and understand their needs and motives.

interpersonal

The four basic functions in the management process include planning, organizing, _______, and controlling.

leading and motivating

Nancy was reviewing LinkedIn contacts and noticed that in Rafal's profile he said he was a manager responsible for facilitating the exchange of products between his organization and its customers through distribution and advertising. From this she could conclude that Rafal is a(n) ___ manager.

marketing

Sheryl's organization has managers over many departments. Sheryl's department is responsible for facilitating the exchange of products between the organization and its customers or clients; therefore, Sheryl is the ___ manager.

marketing

UPS uses airplanes, trucks, and crates in its operations. These are ___ resources for UPS.

material

Faraday is a plant manager for Glass Doors, Inc. which places him in the ___ management level of the company.

middle

The ____ of Enterprise Celestial Industries is to seek out and explore new planets and new civilizations, and boldly go where no human has gone before.

mission

Understanding the ___ of subordinates is important for a manager in order to encourage effective performance.

motivation

Jefferson is a human relations department employee tasked with speaking to employees to encourage and influence them toward a common goal. Jefferson is a(n) ____ speaker.

motivational

Planning includes all of the following except

objective planning.

If Weber Breads states that it is going to spend $10 million in advertising in the upcoming year to increase its market share by attaining 300 new accounts, it is explaining part of its ___ plan.

operational

A plan developed to implement tactical plans is known as a(n) ___.

operational plan

Felicity is the manager of a department in the company where she is employed that is responsible for converting resources into goods and services. Felicity is a(n) ___ manager.

operations

Reba has been hired by Big Blue Company as an analyst. She is to perform regular SWOT evaluations of the firm's strengths, weaknesses, ___, and threats.

opportunities

Barney's Bookstore has more customers seeking a new title released by a popular author than it can fill. This positive problem can be viewed as a(n)

opportunity

Jay's Hardware received large shipments of flashlights, batteries, and generators just before a massive storm knocked out the power, downed electrical poles, and damaged the power substation in the town where Jay's was located. Power will be off for at least a week. For Jay's this is a(n)

opportunity

Faraday is responsible for the human resource department and the shipping department which continually set conflicting goals. He must utilize ___ to achieve balance between the departments.

optimization

Barry Moore, a division manager of Barry's Burger Barn, a chain of fast food restaurants, is reviewing the goals for the company's different departments. The marketing department has set a goal to increase sales by 15 percent over the next year but the accounting department has set a goal to reduce costs by 25 percent by seeking cost efficiencies. In balancing these goals, Barry is engaged in

optimization.

Renee has observed that her hair salon is suffering long periods without customers. To determine the cause of the problem she assembles all of the cosmetologists to get their input on the matter. Although she will make the ultimate decision regarding how to address the problem, she feels comfortable delegating decision-making authority to any member of her staff. This leadership style suggests that she is a(n) ___ leader.

participative

A(n) ___ is an outline of the actions an organization intends to take to accomplish its goals and objectives.

plan

Magda has progressed through the decision-making process step-by-step and is now in the last stage of the process but still does not feel that the solutions generated are adequate to solve the problems her department experiences. Magda may

start the problem identification process all over again.

A(n) ___ is the broadest set of plans developed as a guide for major policy setting and decision making.

strategic plan

Jeffrey M. Katz started Orbitz. He has two masters degrees in engineering—one from Stanford and one from Harvard. He has been in top management positions with Wize Commerce, Inc., Nextag, Inc., and Leapfrog Enterprises, Inc. Although it is unlikely he uses them often, it is likely that he has good ___ skills.

technical

Jon is a welder at a Chevron storage facility. To accomplish his job, he must use specific skills known as ___ skills.

technical

Mitzie is the chief executive officer of RST Development Company which employs 500 individuals. Mitzie is in the ___ management of the company.

top

For total quality management (TQM) to be effective

top management must make it the top priority and management must coordinate the specific elements of TQM so they work in harmony with each other.

Alyssa is being considered for promotion because she is very good at correctly identifying problems within her branch of the corporation she works for. Without being directed to, she generates reasonable alternatives and recommends what she believes are the best alternatives to resolve problems in the branch. She makes further contributions to the business by prioritizing issues according to the level of their importance because she recognizes the underlying reasons for different situations. Alyssa sets goals for the branch and meets with other managers to help them act on the goals. She also obtains regular reports of their progress. On an organizational chart where would you be most likely to find Alyssa's name.

top manager

After undergoing several recalls due to faulty parts being used in vehicles that were responsible for drivers' deaths, Toyota refocused its business and began a coordination of efforts directed at improving customer satisfaction, increasing employee participation in decision making, improving supplier partnerships, and facilitating an organizational atmosphere of continuous quality improvement known as

total quality management.