MAN Quiz 5 Multiple Choice

Louis, in setting productivity goals for his employees, uses his knowledge of his employees, past performance and output data, as well as upper management's strategic goals in order to set goals that are: A. challenging but realistic. B. qualitative not quantitative. C. easily achieved. D. highly specific and detailed.

A

Research has shown that strategic thinking and planning: A. positively affect a firm's performance and financial success. B. offer benefits primarily to multimillion-dollar companies. C. involve a static process for most successful companies. D. are important only for senior executives at today's leading companies.

A

Research indicates that planning _____ a company's performance. A. generally has a positive effect on B. always has a positive effect on C. generally does not make either a positive or negative difference on D. provides the required structure for assuring positive outcomes from

A

Who, in an organization, can help the organization succeed by thinking strategically? A. Middle- and lower-level managers, but not executive managers B. CEOs, executive managers, middle managers, and lower-level managers C. CEOs and executive managers, but not middle- and lower-level managers D. Primarily executive managers

B

_____ include the steps for dealing with various types of crises such as natural disasters; normal accidents like economic crises, industrial accidents, or product and service failures; and abnormal events such as product tampering or acts of terrorism. A. Scenario building reports B. Crisis management plans C. Crisis preparation plans D. Contingency plans

B

The mission of an organization describes its: A. competitive advantage. B. values, aspirations, and reason for being. C. formal structure. D. blueprint that defines the organizational activities.

B

Which group within the organization has the responsibility for the implementation of tactical goals? A. Senior management B. Middle management C. Lower management D. All levels of management

B

Which of the following statements explains the purpose of a focus strategy? A. This strategy allows the organization to distinguish its product or service from those of its competition. B. This strategy allows the organization to concentrate on a narrow market niche. C. This strategy allows the organization to achieve a low-cost position relative to the competition. D. This strategy allows the organization to take advantage of easy-to-use manufacturing technologies and highly efficient procurement and distribution systems.

B

Which of the following steps is NOT part of the detailed planning that goes into crisis preparation? A. Set up an effective communications system B. Build open, trusting relationships with key stakeholders C. Designate a crisis management team and spokesperson D. Create a detailed crisis management plan

B

The term _____ is used to describe a target that is so large, inspiring, and outside the prevailing paradigm that it hits people in the gut and shifts their thinking. A. scenario planning B. out-of-the-box thinking C. core competence D. big hairy audacious goal

D

To achieve competitive advantage, companies develop strategies that incorporate which of the following elements? A. Set wage and benefit standards B. Engage in scenario building C. Establish a mission D. Target customers

D

What are the two stages of crisis management? A. Detection and designation B. Contingency and scenario building C. Managing and communicating D. Preparation and prevention

D

What is the first step in strategic management? A. To measure the costs of providing a product/service and maintaining customer loyalty B. To identify the company's core competencies C. To engage in scenario building through strategic thinking and execution D. To establish the plan of action that describes resource allocation and activities for dealing with the environment, achieving a competitive advantage, and attaining the organization's goals

D

What is the overall goal for Marek's team in conducting a SWOT analysis for their organization? A. To provide an assessment of all of the company's competitors B. To develop a mission and articulate the company's values C. To perform a cost-benefit analysis for the executive managers D. To assess the strengths, weaknesses, opportunities, and threats that affect their company

D

Which of the following is the correct order for the steps of the organizational planning process? A. Monitor and learn, develop the plan, translate the plan, execute the plan, plan operations B. Plan operations, develop the plan, translate the plan, monitor and learn, execute the plan C. Translate the plan, execute the plan, monitor and learn, develop the plan, plan operations D. Develop the plan, translate the plan, plan operations, execute the plan, monitor and learn

D

Which of the following would NOT be listed among the characteristics of effective goals? A. Concerned with key result areas B. Linked to rewards C. Specific and measurable D. Covering every detail of employee behavior

D

Which of the following would be considered an outcome of effective management-by-objectives? A. Operational goals are able to displace strategic goals. B. Efforts are focused on activities that will lead to goal setting. C. Performance improvement is focused primarily at the strategic level. D. Individual and department goals are aligned with company goals.

D

According to a McKinsey Quarterly survey, among executives whose companies had no formal strategic planning process, _____ said they were dissatisfied with the company's development strategy. A. 51 percent B. 87 percent C. 39 percent D. 24 percent

A

Carmen's company has undertaken a new venture. This product line has great potential, but it is in the corporate portfolio's _____ category of the BCG matrix because it is considered risky. A. question mark B. cash cow C. star D. dog

A

Experiential Vacations concentrates its marketing efforts on its target market of adults over 60. It is using a _____ strategy. A. focus B. cost leadership C. differentiation D. core competence

A

Henry's executive management team is meeting to accomplish the first step in the organizational planning process. Which of the following activities will his team engage in as part of this first step? A. Defining the mission and vision of the organization B. Holding planning reviews C. Selecting measures and targets D. Developing a strategy map

A

In for-profit firms, strategic planning typically pertains to_____; whereas in nonprofit organizations, strategic planning pertains to _____. A. competitive actions in the marketplace; events in the external environment B. the big picture view; retrenchment options C. tough choices and trade-offs that define strategy; decisions made solely by the CEO D. the short-term view; the long-term view

A

In her position of _____, Salama is responsible for developing and carrying out operational plans that focus on meeting customer service levels such as calls per hour, time per resolution of customer issues, and customer's rating of satisfaction. A. front-line manager B. customer service representative C. middle manager D. executive manager

A

In the BCG matrix, _____ defines whether a business unit has a larger or smaller share than competitors. A. market share B. customer loyalty C. business growth rate D. target market segmentation

A

In the MBO process, step 2 is to develop action plans. What are the two parts of step 3 of the MBO process? A. Review progress on action plans and take corrective action B. Implement action plans and appraise performance C. Set departmental goals and set individual goals D. Appraise performance and set new goals

A

Karl is part of the executive management team at Metro Realtors. Karl's company experienced the effects of the 2008 housing market crisis. Because the executive team had done a good job of planning and developing plans as a guide to action, Metro was: A. able to remain organizationally flexible. B. stuck in inflexible courses of action. C. left playing it safe and unable to take advantage of unexpected opportunities. D. hit hard because of a false sense of certainty.

A

Sophia, who manages the marketing department at her company, put together a team of marketing department employees and employees from the design department to address customer demands for several products. By working together, the design department was able to take input from the marketing team, who then used the design information to craft its marketing campaign for the new versions of the products. Their successful efforts were the result of _____ and delivered value to the customer. A. synergy B. allocating resources C. core competence D. contingency planning

A

Stretch goals are best described by which of the following statements? A. They are reasonable yet highly ambitious goals that are so clear, compelling, and imaginative that they fire up employees and engender excellence. B. They are precise and measurable results expected from departments, work groups, and individuals. C. They are plans that define company responses to be taken in the case of emergencies, setbacks, or unexpected conditions. D. They are statements that reduce uncertainty for employees and clarify what they should accomplish.

A

Taylor has established several departmental goals, including maintaining a 40 percent market share and maintaining cost of production ratios. These goals define the outcomes the department must achieve in order for the organization to reach its overall goals and are known as _____ goals. A. tactical B. strategic C. departmental D. operational

A

Using goals and plans as a guide to action provides which of the following benefits? A. It directs employee efforts toward important outcomes. B. It enables managers to be sure of the future in their industry. C. It prevents the flexibility that steers organizations off course. D. It locks the organization into specific goals, plans, and time frames.

A

Which of the following statements best describes the differences between goals and plans? A. Goals are desired future circumstances or conditions, while plans specify the necessary resource allocations, schedules, tasks, and other actions. B. Goals are the sole purpose of planning, while plans define and state specific purposes. C. Goals are essential in an uncertain environment, while plans are useless within that same context. D. Goals are based on assumptions, whereas plans are based on factual evidence.

A

Which of the following would be considered one of the limitations of planning and setting goals? A. Goals and plans can get in the way of intuition and creativity. B. Goals and plans can reduce the risk of a false sense of certainty. C. Goals and plans set a standard of performance. D. Goals and plans are the only way to navigate a turbulent environment.

A

With the organization's mission statement in hand, Marcus and his management team are set to engage in _____, the next step in the organizational planning process. A. setting strategic goals B. decentralizing responsibility C. contingency planning D. setting operational goals

A

The limitations of planning are even more problematic when: A. action plans have not been routinely predetermined. B. the environment is turbulent. C. goals and plans are used as standards of assessment. D. employees have been provided with clear goals.

B

After taking over for her grandfather, Tara is trying to introduce a more strategic planning process to her traditional but growing florist and nursery company. In her presentation to the rest of the managers, she cites all but which of the following as the benefits of a planning and goal-setting process? A. Goals and plans provide a source of motivation and commitment. B. Goals and plans can create a false sense of certainty. C. Goals and plans guide resource allocation. D. Goals and plans set a standard of performance.

B

As a manager, Perry strives to build an alliance of people who support the company's goals and can influence other people to accept and work toward them. In these efforts, Perry is employing which of the following processes? A. Contingency planning B. Coalitional management C. Planning D. Groupthink

B

As an upper-level manager for Southwestern Airlines, Anna is most likely responsible for the achievement of _____ goals. A. tactical B. strategic C. departmental D. operational

B

As the product development manager at his company, Liam has called the department together to present them with the goals for the coming year. These goals include product improvements and innovations that are quite ambitious and beyond current levels in an exciting and motivating way. Liam has presented the department with: A. contingency plans. B. stretch goals. C. scenario building. D. decentralized planning.

B

At Paul's manufacturing facility, employees' innovative ideas and efforts are rewarded. Paul's company is invested in a _____ strategy. A. cost leadership B. differentiation C. focus D. market share

B

Carolyn's CEO has tasked her with creating a blueprint that specifies the resource allocation schedules and other actions necessary for attaining the company's stated goals. The CEO has asked for a: A. mission statement. B. plan. C. contingency plan. D. list of strategic goals.

B

Coca-Cola sells carbonated sugar water yet it has built one of the most valuable and recognizable brands in the world. This brand recognition is a significant part of its: A. management-by-objectives. B. competitive advantage. C. performance appraisal. D. scenario building.

B

In conducting its SWOT analysis, Marek's team collected its information about the company's strengths and weaknesses from: A. the financial statements and data of the organization's competitors. B. performing an audit of specific organizational functions. C. scanning the external environment. D. stock market data and economic trends.

B

In the BCG matrix, in which of the following categories should profits be milked to invest in other, riskier businesses? A. The question mark B. The cash cow C. The star D. The dog

B

In the case of emergencies, setbacks, or unexpected conditions, a company's responses would be guided by its: A. coalitional plans. B. contingency plans. C. tactical plans. D. strategic plans.

B

Regina is a CEO at a large advertising agency. Because of the fierce competition in the advertising industry, Regina plans strategy carefully, weighing trends, technology, and economics. Her company's success depends on: A. her conservative approach to keeping current clients. B. the strategies she chooses and how effectively she executes them. C. an aggressive pursuit of large client accounts. D. sticking with tried and true approaches to advertising campaigns.

B

The components of a SWOT analysis include which of the following? A. Talent B. Weaknesses C. Organization D. Skills

B

A CEO who is adept at thinking strategically: A. thinks about how the environment fits the organization. B. makes all the strategic decisions for a company. C. takes the long-term view and sees the big picture. D. is reluctant to revamp strategies after committing to a strategic plan.

C

ADM is globally the number one processor of oilseeds, corn, wheat, soybeans, peanut, and other similar products. Found on its website, the statement "To unlock the potential of nature to improve the quality of life" is ADM's articulation of its: A. strategic goals. B. tactical goals. C. mission. D. operational goals.

C

Amanda is on the executive team that manages one of Canada's wind farms. The team is in the process of developing a crisis plan in the event that the company has an accident or natural disaster. Which of the following should Amanda's team include in its preparation for such a crisis? A. Foster relationships with other wind farms B. Monitor signals from the natural environment C. Designate a crisis management team to mobilize should a crisis occur D. Survey employees about their ideas for disaster response

C

At the Supper Inn Restaurants headquarters, executive management has hired a planning consultant to work with division managers in developing their own goals and plans. Which approach is Supper Inn Restaurants using for the planning function? A. Centralized planning committee B. Total quality management C. Decentralized planning D. Management-by-objectives

C

Companies in California often make _____ that outline the actions the company would need to take if an earthquake were to occur. A. standing plans B. strategic plans C. contingency plans D. tactical plans

C

Daniel's pharmaceutical company developed and marketed a new drug to halt the progression of Alzheimer's and other forms of dementia. Orders for it are growing monthly to the point where it now has the largest share of the market. This product falls in the _____ category of the BCG matrix; therefore, the company should increase investment in it for future growth and profits. A. question mark B. cash cow C. star D. dog

C

Following the formulation of strategic goals, an organization's management will proceed to which of the following steps? A. Developing a mission statement B. Listing the organization's values, aspirations, and reason for being C. Defining its tactical goals D. Defining its official goals

C

Franklin is part of a management team that has used the MBO system for a number of years. It is now moving toward _____, a more systematic approach that focuses attention on the methods and processes used to achieve goals rather than just on reaching the goals. A. management by exception B. scenario building C. management by means D. contingency planning

C

In a _____ approach, planning experts work with managers in major divisions or departments to develop their own goals and plans. A. turbulent environment approach B. crisis management C. decentralized planning D. performance management

C

In conducting its SWOT analysis, Marek's team collected its information about the company's opportunities and threats from: A. the organization's financial statements and data. B. performing an audit of the internal environment. C. scanning the external environments. D. departmental performance reviews.

C

In pursuing cost leadership as a type of competitive strategy, the organization seeks: A. to invest in new technology and marketing. B. to distinguish its products or services from that of competitors. C. to cut costs and use tight cost controls to be more efficient than others in the industry. D. to concentrate on a specific regional market or buyer group.

C

In the BCG matrix, _____ pertains to how rapidly the entire industry is increasing. A. market share B. cash cow status C. business growth rate D. market segmentation

C

Operational plans and goals focus on: A. outcomes that major divisions and departments must achieve in order for the organization to reach its overall goals. B. precise and measurable results expected from departments, work groups, and individuals. C. defining the action steps by which the company intends to attain strategic goals. D. describing where the organization wants to be in the future.

C

Pilot Mount Sales Group's managers believe strongly in empowering employees who have actual contact with clients and therefore pursue a _____ strategy. A. market share B. focused cost leadership C. focused differentiation D. stretch goal

C

Plans and goals benefit organizations in a number of ways. Which of the following would NOT be considered among those benefits? A. Plans and goals offer legitimacy and a reason for existence. B. Plans and goals provide a source of motivation and commitment. C. Plans and goals create rigidity in a turbulent environment. D. Plans and goals set a standard of performance.

C

To ensure effectiveness, the most important characteristic of goals is that they must be: A. concerned with key result areas. B. linked to rewards. C. specific and measurable. D. qualitative.

C

Top management has decided on a large expansion project that would take place over the next five years. In order to ensure its progress toward completion, managers would want to make sure goals for the project: A. have no relationship to employee rewards. B. are highly detailed in every aspect. C. include defined time periods for goal attainment. D. are easy to attain.

C

Which of the following situations would present a potential drawback for managers who are setting stretch goals? A. Commitment levels are elevated when employees are involved in setting goals and determining the means to reach them. B. A company that focuses on innovation and excellence rather than gradual, incremental improvements in products, processes, or systems is less likely to be left behind. C. Some employees might resort to extreme or unethical measures to meet seemingly unachievable targets. D. Employees are compelled to think in new ways that can lead to bold, innovative breakthroughs.

C

Which of the following statements about organizational planning is true? A. The highest level is the mission statement, with a focus on outcomes that major divisions and departments must achieve in order for the organization to reach its overall goals. B. Operational plans are the basis for the strategic level of goals and plans, which in turn shape the tactical level objectives. C. Front-line managers and supervisors develop operational plans that focus on specific tasks and processes and that help meet tactical and strategic goals. D. A division manager will formulate strategic plans that focus on the major actions that the individual employees must take to fulfill their part in the strategic plan set by top management.

C

Which of the following statements best describes the purpose of an organizational mission? A. A mission provides data about the world used to come to a unique conclusion about the best course of organizational action. B. A mission specifies the actions necessary for accomplishing an organizational goal. C. A well-defined mission is the basis for development of all subsequent goals and plans. D. A mission is the result of an organization's goals.

C

Which statement about planning as a part of management is true? A. Planning is not useful in an uncertain future. B. Planning is the least important of the management functions. C. All management activities stem from the function of planning. D. Planning can stabilize an unstable environment.

C

_____ provides the starting point of planning and defines the purpose of the organization. A. Brainstorming B. A planning review C. Goal setting D. A blueprint

C

In contingency planning, the activity of _____ is meant to expand the range of future possibilities managers should consider and prepare for by looking at current trends and discontinuities and visualizing where they might lead. A. synergizing B. benchmarking C. retrenchment D. scenario building

D

In the planning process, _____ are typically the ones with the shortest time frame. A. strategic plans B. mission plans C. tactical plans D. operational plans

D

Management at Lisa's company has decided to implement a system in which its managers and employees define goals for their department, along with setting project and individual goals. With this _____ system, the established goals will be used to evaluate subsequent performance. A. management by exception B. management by observation C. management by means D. management-by-objectives

D

Rapport Investing Company has a contingency plan in place to deal with clients and to respond to market changes in case of a sudden dramatic drop in the Dow Jones Index. As part of the contingency planning, management also engages in _____ as it looks at leading economic indicators, political issues, and global markets and tailors its plans to various situations based on these variables. A. satisficing B. benchmarking C. point-counterpoint D. scenario building

D

Strategic management can best be described by which of the following statements? A. It is an activity in which managers and employees define goals for every department, project, and person and use them to monitor subsequent performance. B. It refers to the process of reading an uncertain future and taming a turbulent environment. C. It is defining a desired future circumstance or condition and the blueprint that specifies the necessary resource allocations, schedules, tasks, and other actions. D. It refers to the set of decisions and actions used to formulate and execute strategies that will provide a competitively superior fit between an organization and its environment so as to achieve organizational goals.

D

Strategic management is: A. creating alternative vivid pictures of what the future might be like. B. the formulation of operational goals. C. highly ambitious and involves compelling goals that energize people and inspire excellence. D. one specific type of planning.

D

The _____ is/are broad statement(s) describing where the organization wants to be in the future. A. mission B. competitive advantages C. formal structure D. strategic goals

D