Management Midterm

When a hurricane interrupted a business's new product development, the project team had a plan for getting things back on track. This is an example of how project management

Allows employees to adapt to risk

Which of the following is a true statement regarding project managers

Anyone with the right skills can be a project manager

Projects are different from business operations because business operations

Are permanent

Which of the following tasks would a manager complete when organizing:

Arranging an office space

Mitch's boss placed him in charge of shipping at his company. Whenever anyone wants to ship a package, they need his approval and oversight. Mitch has

Authority

An effective control system must

Be based on accurate information

Which management function is described in the following situation: James Crane has created a team atmosphere among the members of his sales department. When the team exceeded their monthly sales goal, James rewarded them with a celebratory dinner out and a 5% bonus.

Directing

Which of the following statements about directing is true:

Directing is considered the "heart" of management

When a marketing manager goes on vacation, the marketing staff does not know what tasks to do and does not feel like it can work ahead on anything. This example illustrates that

Directing is the starting point of action.

When implementing new controls, managers should be careful not to

Disrupt established processes and procedures

A control will only be effective if it is

Easy to understand

Which of the following describes the functional organizational structure:

It includes traditional departments, such as sales and marketing.

Which of the following is a true statement about a management information system (MIS):

It may be one part of a business's overall information management program

Which of the following is a disadvantage of the matrix organizational structure:

It violates the unity of command principle

Managers must create explanations of the responsibilities and tasks associated with each work position. These are known as

Job descriptions

The amount of teamwork included in an organizational design is often referred to as

Lateral relations

Which of the following is a positive effect of government regulation:

Legal protection

The goals of government are to protect the rights of individuals and businesses and to provide a stable environment, but the main goal of business is to

Make a profit.

Carson is a staff accountant, and he needs to look at last year's tax return. However, he can't find it anywhere. Which information management guideline is not being followed in this situation?

Make sure that information is retrievable.

Technological innovations can increase strategic risk for business by

Making some products obsolete

Avery, who manages a silk-screening and embroidery business, has set a goal of increasing sales by 15% in the next six months. To reach his goal, he has increased the business's advertising budget. This is an example of the ______________ function of management.

Planning

Managerial control goes hand in hand with the management function of

Planning

What is the government doing when it buys wheat to keep the price high enough for farmers to make a profit?

Using price supports

Which of the following is a detail that a buyer should know prior to placing an order for raw materials:

Whether the company has storage space for the raw materials.

Jeremiah purchases sterling silver necklaces and bracelets from Native American artisans and sells the items to jewelry stores and gift shops. What kind of buyer is Jeremiah?

Wholesale

Steve manages employees who are highly skilled and need little supervision. Therefore, he can supervise quite a few employees at once. Steve's span of control is

Wide

Staffing is important because human resources are

the organization's most valuable assets.

Which of the following examples best depicts the directing function:

A supervisor tells her team the tasks they need to complete

Businesses are most likely to prepare contingency and fallback plans for risks that they choose to

Accept

Organizing can help companies handle issues with __________ so employees know to whom to report and who is responsible for what.

Authority

Hospitals, fire and rescue services, and police departments, which attempt to avoid risk as much as possible, are usually risk-__________ organizations

Averse.

If a business chooses not to do something that it considers risky, it is __________ the risk.

Avoiding

Appropriate information management helps a business build a good reputation by

Being consistent

Which of the following statements about first-line management is true:

Businesses typically hire their first-line managers from inside the company

Which of the following terms refers to the flow of authority within an organization:

Chain of command

What must managers be able to do if they want employees to understand the business's goals and be productive?

Communicate clearly

Jaron, the district technology coordinator for Abington City Schools, is responsible for purchasing new computers for the district. He recently sent out a request for price quotes to five different computer companies, and he is waiting to hear what the various suppliers' proposed prices will be. Jaron is conducting

Competitive bidding

A small-business manager who considers how a one-person reduction in office staff could impact the rest of his/her company is demonstrating

Conceptual skills.

Information management can be a challenge because the business world is

Constantly changing

The staffing function is different from the organizing function because staffing is

Continuous

An organization's "personality" is also referred to as its

Culture

A banking institution is well-suited for a divisional organizational structure broken down by

Customer type

Nathan is a project manager in charge of four other employees. He's divided up responsibilities and assigned them to specific team members to work on. This is known as

Delegation

The first step in the managerial control process is measuring performance.

Determining standards of excellence

A business is most likely to mitigate a risk that is __________ to eliminate completely.

Difficult and expensive

Which of the following actions is a part of information management:

Disseminating information

A business's human resources needs may change if it begins to require new types of skills and experience. This occurs frequently because the business world is

Dynamic

Which of the following do many businesses believe to be their most important resource

Employees

Why is leadership an important aspect of directing

Employees follow direction when they respect managers as leaders.

A chain of command must have unity of command, which means that

Employees should only report to one supervisor

Yabbie's BBQ just hired several new staff members, so it decides to increase the number of managers working at once. This is an example of how

Employees' competence affects organizing decisions.

Who is responsible for information management?

Everyone in the organization

Which of the following regulatory agencies would be concerned with price fixing and unfair competitive practices:

Federal Trade Commission.

Controls that monitor performance after it has already occurred are called __________ controls

Feedback

Nick is the CEO of a business. The vice presidents of marketing, product development, finance, and operations all report to him, and they each have their own teams made up of several employees. This is a __________ structure.

Functional.

Government uses some of the tax money it collects from individuals and businesses to support public welfare programs. What is the benefit of these welfare programs to businesses in a private enterprise economy?

Funds received by recipients are spent in businesses

Rita enjoys routine, so her manager gives her the same tasks every week. Therefore, Rita is satisfied with her job and wants to perform at a high level. Rita's manager is motivating her based on

Her need for stability

Which of the following is a step in the purchasing process:

Identifying needs

A risk involved with information management is leaving customers unprotected from

Identity theft

Which of the following is a benefit of using project management software:

Improved efficiency

Which of the following is a trend in information management:

Increased compliance laws and regulations

When BlueLight, Inc. merged with a competitor, the managers strived to instruct their employees on the best ways to transition. This is an example of how directing

Initiates changes smoothly

Antonio tells his staff to sort through files to locate notes from a meeting.

Instructing

Which of the following is a public good that is provided by government:

Interstate highways

Under what circumstances would a company adopt a matrix organizational structure?

It frequently uses cross-functional teams

Information management can be a challenge because

Many people don't understand what it is

Introducing a product to a limited group of customers to see what its acceptance will be is an example of a(n) __________ control.

Marketing

Employee self-reporting, automatic data collection and analysis, and meetings are all methods that managers can use to

Measure the organization's performance

When government sets safety standards for the workplace, it is attempting to

Minimize risks to employees.

Managerial control is the management function that involves

Monitoring the work effort by comparing actual results to standards

The saying "form follows function" indicates that organizational design must fit with organizational image.

Objectives

Completing an employee's insurance and tax paperwork is part of which staffing task?

Onboarding

Poor product development, unreliable manufacturing equipment, and product shortages are examples of __________ risks

Operational

Which of the following is an indicator that human resources needs may change:

Organizational growth

What management function is being described in the following situation: David Thomas, a top-level manager, identifies jobs to be performed, assigns responsibility for them, establishes departments to handle the jobs, and determines how many and which employees mid-level managers will supervise

Organizing

Which of the following is an element of any project

Outcome

One way in which government protects private property is to provide

Patents or copyrights

One of the reasons that has caused government's role in business to expand is that

People's attitudes have changed.

Staffing is one of the five functions of management, along with

Planning

Which of the following are examples of top-level management job titles:

President, senior vice president, and chief executive officer

The two dimensions of risk are

Probability and impact

A project is officially authorized to begin by the

Project charter

When a project's scope slowly gets bigger and bigger, it creates a challenge for project managers known as

Project creep

After a purchasing specialist has determined that s/he has selected the right supplier for a job, what do s/he and the supplier develop?

Purchase agreement.

A benefit of informed decisions is that they

Reduce a business's risk

Which of the following is an example of negative reinforcement:

Reduced tedious paperwork.

A manager worked to streamline the production process and was able to save the company several thousands of dollars. This is an example of how organizing

Reduces waste and improves efficiency

When managers are building group dynamics, they are also often

Resolving conflict

Suzette purchases sporting goods from several different manufacturers and sells the items in her shop, Suzy's Sports. What kind of buyer is Suzette?

Retail

Which of the following is a way to evaluate supplier performance after the purchased goods or services have been delivered:

Review the invoice

Which principle of organizational design states that authority should flow in a clear, unbroken line from the top of an organization to the bottom?

Scalar principle

The project manager controls what the project will and will not do, known as the project's

Scope.

How can managers coordinate employees' activities?

Share organizational charts with them

Kworks as a public relations consultant for a large corporation. She reviews issues and makes recommendations to managers. Keri has __________ authority.

Staff

Which management function is described in the following situation: Christy Chen determines the type of workers she needs, locates qualified applicants, selects those to be hired, and assigns the new hires to a work area.

Staffing

What category of risk typically has the most impact on a business's ability to reach its goals and objectives?

Strategic

Which of the following is a disadvantage of using the divisional organizational structure:

Support staff may not have a permanent "home."

When managers control their businesses' finances, their primary goal is to ensure that

The company is using its funds wisely, while earning as much as it can

A workforce analysis assesses

The human resources that are available.

What is an acceptable reason to select a supplier offering the best value versus the lowest price?

The lowest priced product is of inferior quality.

Businesses typically accept a risk's consequences if

The potential payoff is higher than the losses.

Annika, the purchasing specialist for Dottie's Donut Shop, just located a new, less expensive sugar supplier. Dottie does not plan to lower donut prices. If Annika buys the shop's sugar from this cheaper supplier, what is likely to happen?

The profit margin for donuts will increase

Motivation can best be thought of as

The reason you do the things you do

Why do top-level managers usually receive high salaries?

Their decisions affect the entire company.

How does organizing provide a sense of security for employees?

They know exactly what is expected of them.

The three common constraints on a project are scope, budget, and

Time.

What is the purpose of government regulation of business activities that might cause air or water pollution?

To conserve the environment

Why should purchasing specialists develop positive relationships with their suppliers?

To help ensure that the suppliers will follow through on their promises.

Walt's World of Winter ski shop manages existing risks as appropriate, but it does not take risks on new products, new markets, or new equipment. Walt's is a risk-__________ organization

Tolerant

Which task in the staffing process ensures that employees are knowledgeable and productive?

Training and developing

When the hybrid vehicle was introduced, it was an example of a project that created a new product using existing technology.

Used entirely new technology