MGMT 3000 Exam 2

Dante, an operations manager at Therma-Pro Insulation, has been put on a big project with a tight deadline. He distributes half the work to two other supervisors, taking care of the bigger aspects of the project himself. This is an example of

delegation

the ____ dimension of an organization’s structure refers to issues as reporting relationships, authority, responsibility, and related ideas.

vertical

For years, Kathleen served as head of the research and development (R&D) department at Bannerman Pharmaceuticals in Chicago. She enjoyed enormous support from her team, who liked her personally and respected her professionally. Now she has retired, and her place has been taken by Jerome from Bannerman’s Cleveland facility. Yet employees continue to sidestep Jerome and come directly to Kathleen for guidance, calling or emailing her at home with questions. What is her best course of action?

to continually direct her former direct reports to Jerome while emphasizing the fact that, as the new director of R&D, he has authority over, and responsibility for, the team

Lawrence and Lorsch found that highly differentiated firms were successful if they had ________ levels of integration.

high

It is generally accepted that having fewer hierarchical levels creates greater operating efficiency.

True

Andrea delegates an important project to José. Andrea tells José that he must give her regular reports. Andrea also tells José that she will take over the work if José falls behind or does not produce quality results. This is an example of

accountability

Authority typically is associated with a particular

position rather than a particular person.

Ricardo is the owner of Mex Magic, a chain of restaurants serving reasonably priced Mexican food with fresh, healthy ingredients. He has discovered that the rising price of avocados and some of the other fresh produce the restaurants use has been driving down profits. Customers have come to expect high-quality ingredients for a low price, and Mex Magic’s marketing research has shown that the upscale interior of the stores, along with its great customer service, are a big draw. The feedback has also shown that a large percentage of the customers come with children. If Mex Magic is to be truly responsive to its market environment while maximizing profits, Ricardo should

add child-friendly entrees that include fries or chips instead of guacamole.

The mechanistic organization emphasizes flexibility and is less rigid than the organic structure.

false

Franz wants to balance the strategic triangle for his company. To do this, he must consider the company, the customer, and the

competition

With the cost of warehouse space and maintaining inventory increasing, Parker has decided to change the operation of his company to a “just-in-time” (JIT) mode, whereby manufacturing is initiated only upon customer order and only in very small lots, minimizing the company’s warehouse and inventory costs. However, Parker is nervous about the change because he knows that JIT offers costs savings only when the costs of storing product are greater than the costs of

delivering inventory.

Which of the following statements about types of economies is true?

An organization’s large size often creates scale economies and economies of scope.

The top management of EatWell, a snack food manufacturer, sits down for an annual meeting. The chairperson, Janelle, wants to create processes that will help the company interact with customers and gather knowledge of their wants, needs, and buying patterns. She also wants to improve internal quality management by using some ideas from Deming’s “14 points” theory. The president of the company, Lee, wants to use an approach to management that helps to attain customer satisfaction through tools that deliver high-quality goods. The senior managers put forward the idea that the organization should adopt a method to analyze the causes of defects in products that need to be eliminated to improve customer satisfaction.

In order to fulfill senior management’s aim of adopting a method to analyze the causes of defects in products that need to be eliminated to improve customer satisfaction, the company might consider a quality initiative such as

six sigma.

Goal! Sportswear, a maker of clothing for soccer players, buys textiles made in South Asia, which are then sewn into jerseys, shorts, and other items of sportswear at factories in East Asia. Recently, Darius, the company president, has received a large volume of negative emails from customers concerned with allegations of unfair labor practices at these facilities, and therefore the company is reviewing its entire process. Darius has appointed Millie, Avi, and Asher, three company managers, to assess the company’s choices as to textile suppliers and production facilities and to examine what the customers—both amateur and professional soccer players—are looking for in the company’s products.

When Millie reviews the process of producing the actual sportswear, the part of the value chain she is most likely to look at is

operations

Cameron wants to improve her customer service department by using information technologies to create two-way conversations with customers to gain more knowledge of their wants and preferences. Cameron wants to institute ________ management.

customer relationship

A ________organization can often create scale economies and economies of scope, which leads to advantages such as lower operating costs, greater purchasing power, and easier access to capital.

large

The advantages of a small organization include

being able to move fast.

Recruitment activities increase the

pool of candidates who can be hired.

The human resources department of Spark Media makes use of its employee database to analyze its past rates of turnover, terminations, and retirements. The company is looking at its ________ labor supply.

internal

Which of the following is one of the concerns of human resources managers?

managing employee layoffs

Poor supervisory practices can influence workers to vote for a union.

true

Two years ago, Maribel hired 15 new people into her department. Since their hire, they have undergone training, development, performance appraisals, and compensation review/reward. Now it is time to evaluate ________blank, in terms of productivity, quality, innovation, satisfaction, turnover, absenteeism, health, and other factors.

results

Celine is a machinist at Top-Quality Manufacturing. She exclaimed to her coworker, “Graham! Great news! The union won the election! That means that management and the union, representing us, are legally required to

bargain in good faith.”

Tidewater, Incorporated, requires its job applicants to take a test that measures their vocabulary and numerical skills. For specific jobs, the company also requires its applicants to perform a sample of the job. Before implementing the tests, the management analyzes how well the test actually correlates and predicts job performance. When Tidewater needed to downsize, the company helped employees who were laid off to get placed in other organizations, and immediate supervisors talked to the employees about the reasons for their dismissal.

One of the jobs associated with Tidewater, Incorporated, is welding. For applicants wishing to be hired as a welder, Tidewater, Incorporated, requires the applicant to demonstrate their welding abilities in a(n) ________blank test.

• performance

Incentive plans are devised to

motivate employees to be more productive.

Which of the following statements is true about a 360-degree appraisal?

Often, the person being rated can select the appraisers.

Liana and Rosario are entrepreneurs who started Deliverables, an online company that curates, assembles and delivers “unique, customized gift baskets for busy people.” The company has been so successful that Liana and Rosario recently opened a brick-and-mortar shop in their large city, which they need to fully staff within the next month. Along with Yiannis, their HR Manager, they have determined how many people they need and what skills those people need to have. They have also looked at workforce trends and the information they have regarding available workers already with the company, and have determined that they need to hire additional employees from outside the company to meet their needs. Liana and Rosario are ready to start accepting applications and interviewing candidates, but Yiannis tells them there is one last step to complete before they are ready to start the recruitment process. Which of the following remains to be done?

Rosario and Liana need to conduct job analyses and write descriptions for each position.

Happy Home Consultants is a growing company that helps city homeowners tackle a variety of home improvements. It plans to expand its business to work with homeowners in several nearby suburbs and to add personnel to help negotiate favorable pricing with local hardware stores for equipment and building supplies. The human resources (HR) department compared the company’s current staffing with the number and type of employees the company would need to carry out its business plans. The department also looked into how to obtain new employees. It concluded that the company would need to hire eight new handypersons and a contractor while retaining all its current employees. The department gained approval to begin recruiting workers and to revise the pay system. Now the HR department is beginning a formal process to evaluate how well its plans for recruitment and staff retention are going.

Which of the following stages of the HR planning process was the HR department involved in when it implemented recruitment and pay-system revisions?

programming

Companies have to choose between diversity and financial success.

false

Sexual harassment falls into two categories: quid pro quo harassment and hostile environment.

true

Managing diversity means

not just tolerating or accommodating all sorts of differences, but supporting, nurturing, and utilizing these differences to the organization’s advantage.

Firms need policies for ________blank inclusivity, which can include allowing employees to maintain certain appearances or wear certain attire for faith-based reasons.

religious

Camelia works in a department where there are only a few women. Pictures of scantily clad women are posted in the employee breakroom. She is uncomfortable being in the breakroom, so she avoids the breakroom. She considers it a hostile environment. Camelia is experiencing

sexual harassment.

A top-level manager at Jones & Ewing Financial, Sandra works with Bernice, an underrepresented group employee who has been identified as having high potential. As Bernice’s mentor, one of Sandra’s most important jobs is teaching Bernice about

the corporate culture and politics of Jones & Ewing Financial.

Alcoholism and drug addiction are disabilities.

true

Managing diversity well can give a company a competitive advantage by

encouraging greater flexibility and therefore a quicker response to environmental changes.

Antonia and Monique, colleagues who are both having problems at work, relate their experiences to each other. Antonia speaks of a conversation with her immediate supervisor in which he tells her that if she spends a night with him the next time that they take a business trip together, he will recommend her for a promotion. Monique has a different situation. She works in an area of the office where there are few women. Her colleagues consistently make lewd remarks about her body and have shown her pornographic pictures.

Monique is a victim of

a hostile environment.

Avoiding discrimination and harassment are concerns for many underrepresented groups, but ________blank employees are also particularly concerned about obtaining benefits for spouses or domestic partners, as well as feeling free not to be secretive about who they are.

lesbian, gay, bisexual, transgender, queer or questioning

Leaders who use transactional leadership often

exchange rewards for services rendered by followers.

Fiona is very charismatic and persuasive. People follow her because they want her approval. This is an example of ________blank power.

referent

The most effective leadership development experiences have three components: evaluation, accomplishment, and control.

false

A personal skill that is very important in the situational approaches to leadership is the ability to

perceive the needs and goals of others and adjust your leadership approach accordingly.

In leadership, charisma can be used positively or negatively.

true

Abdul, a sales manager, gives his salespeople some tips on how to close a deal. The salespeople then alter their sales techniques because they respect Abdul’s proficiency. This is an example of ________blank power.

Multiple Choice

expert

A set of leader characteristics that reflect a high level of effort, ambition, and tenacity refer to the leader’s

drive

In the present organizational setup, having a vision for the future and communicating that vision to others are known to be essential components of great leadership.

true