Chapter 10 Quiz
According to the force-field theory
A wide variety of forces arise from the way an organization operates that make organizations resistant to change
Management by objectives (MOB) is a mechanism of
Behavior control
___ is control by means of a comprehensive system of rules and standard operating procedures (SOPS)
Bureaucratic control
Which of the following describes stretch goals?
Goals that are specific and difficult but not out of reach
Why is return on investment (ROI) the most commonly used financial performance measure
It allows managers of one organization to compare performance with that of other organizations
Which of the following is true about direct supervision?
It can make subordinates less eager to work
Which of the following is true about direct supervision?
It is an expensive form of behavior control
Which of the following is true about revolutionary change
It is dramatic
Which of the following is true about evolutionary change?
It is narrowly focused
Which of the following is true about clan control?
It serves a dual function of keeping organization members goal-directed while open to new opportunities
Which of the following is an important reason for subordinates to participate in goal setting?
It strengthens subordinates commitment to achieving goals and meeting budgets
Which of the following is true about the control process?
Managers can easily take corrective action when reasons for poor performance are identified
___ guide behavior and specify what employees are to do when they confront a problem that needs a solution
Rules and SOPs
After measuring and evaluating the manufacturing performance of a new product, a manager raised the performance standard for the next period of challenge. Which of the following would justify the manager's reason for raising the standard?
The manager wants to challenge the subordinates
Which of the following is true about bureaucratic control and standardization?
Too many rules can stop employees from thinking for themselves
What is an operating budget?
a blueprint that states how managers intend to use organizational resources to achieve organizational goals efficiently
Which type of financial ratio measures how well the managers of L&B rentals, Inc. are converting the organization's assets into cash or sales?
activity ratios
When a company's operating profit is divided by its sales revenues, the financial measure is referred to as
an operating margin
The first step managers must take to manage change effectively is to
assess the need for change
The managers at Mt. Slide Ski Resort are comparing the number of annual passes they sold last year with the number of annual passes sold by other high-performing ski resorts. This is called
benchmarking
Which of the following controls leads to standardized behavior and standardized work outputs?
bureaucratic control
___ control is the control exerted on individuals and groups in an organization by shared values, norms, standards of behavior, and expectations
clan
The manager of a pizza restaurant monitors the employee's behavior by counting the number of customers each employee serves and how much each customer spends. This is an example of
clan control
Once managers have measured actual performance, they should
compare actual performance to the standards
One of Carlos's work responsibilities is to check the inspection stations periodically to monitor the quality of the products during the production process. This is an example of
concurrent control
Which of the following types of controls helps monitor the quality of goods and services provided during the production process?
concurrent control
Which of the following types of controls helps monitor the quality of goods or services provided during the production process?
concurrent control
___ is the process by which managers monitor and regulate the efficiency and effectiveness of the workers in an organization
controlling
Which of the following steps of the organizational change process includes obstacles to change?
deciding on the change to make
Which of the following is a mechanism of behavior control
direct supervision
___ is the most likely to cause organizational costs to increase
direct supervision
MBO starts when top managers
establish overall organizational objectives
Which of the following is the first step of the control process?
establishing the standards of performance
Which of the following steps of the control process involves goal setting?
establishing the standards of performance
Which of the following steps of the organizational change process includes benchmarking?
evaluating the change
Which of the following types of change is gradual, incremental and narrowly focused?
evolutionary change
As fx manager of KIM Corp., Dwight is given an operating budget of $1 million for that financial year and is evaluated on the basis of the amount of goods produced based on that budget. Dwight's performance is evaluated on a(n)
expense budget approach
As regional manager of KIM Corp., Dwight, is given an operating budget of $1 million for that financial year and is evaluated on the basis of the amount of goods produced based on that budget. Dwight's performance is evaluated on a(n):
expense budget approach
An organization monitors the number of customer returns for each product model as a part of an attempt to recognize defective products. This is an example of
feedback control
Which of the following types of controls do managers use during the output stage of transforming raw materials into finished goods
feedback control
Which of the following types of controls do managers use during the output stage of transforming raw materials into finished goods?
feedback control
Starling Manufacturing Inc. has carefully set up strict specifications for raw materials that are sourced from suppliers. It follows a three-step approval process to select new suppliers and ensures that they are aware of raw material specifications. This is an example of:
feedforward
RST Consulting screens job applicants by viewing their résumés electronically and using several interviews to select highly skilled people. By doing so, the managers at RST Consulting ensure that the wrong candidates are not picked for a particular job. This is an example of:
feedforward control
Which of the following can hurt the performance of an organization?
focusing on only one standard instead of a hundred different standards
According to Lewin's force-field theory, what must an organization do to change?
increase the forces for change and reduce resistance to change
The final step in the control process is to
initiate corrective action
Which of the following is true about evolutionary change?
it is narrowly focused
The times-covered ratio, which measures the degree to which managers use debt or equity to finance ongoing operations, is a type of
leverage ratio
Current ratio is a type of ___ financial measure
liquidity ratio
Which of the following financial ratios measures the ability of the organization to pay its short-term debts?
liquidity ratios
Managers for an e-commerce business use a formal system for evaluating subordinates' behavior by their ability to achieve specific goals. This is an example of
management by objectives
Which of the following provides a framework to monitor progress toward achieving goals
management by objectives
Which of the following provides a framework to monitor progress towards achieving goals?
management by objectives
Once managers have chosen the standards to evaluate performance, the next step in the control process is to:
measure actual performance
___ is the movement of an organization away from its present state toward some preferred future state to increase its efficiency and effectiveness
organizational change
___ is (are) the set of values, norms, and expectations of behavior which control the ways in which workers interact with one another within the organization
organizational culture
___ tends to be the first type of control that managers at all levels use to evaluate perfomance
output control
___ tends to be the first type of control that managers at all levels use to evaluate performance
output control
As the regional manager, Ted's performance is evaluated on the difference between the sales revenues generated by his region and the cost of making those goods and services. Ted is being evaluated using a(n) ________ approach
profit budget
The _____ shows whether an organization can pay claims of short-term creditors without selling inventory
quick ratio
The CEO of a large corporation mandates that new goals be implemented immediately. This is an example of
revolutionary change
The CEO of large corporation mandates that new goals be implemented immediately. This is an example of
revolutionary change
Which of the following types of change is rapid, dramatic, and broadly focused?
revolutionary change
