Honors Business Management Unit 4 Test

What are the benefits hat managers receive from planning?

Provides guidance for making decisions, helps determine if progress is being made, and helps managers communicate and coordinate activities

What is strategic planning?

Determines how work will be done and who will do it

How staff advice is usually illustrated on an organizational chart?

Broken lines

What are examples of operational planning?

Setting monthly production levels, planning inventory levels, developing department budget

To be effective goals must be what?

Achievable

What is a widely used financial tool?

Budget

To ensure that the quality of work is acceptable, what do businesses develop?

Standards

What are the benefits of having procedures to guide decisions?

Decisions will be constant, no variation/discussion

What is a list of steps to be followed for performing certain work called?

Procedure

What is the management function responsible for arranging resources to complete work?

Organizing

What are the benefits for an organizational chart?

Shows to whom each employee reports, indicates lines or promotion, show departments that make up a business

When a business first begins to organize activities into units, it should do what?

Group activities into a few natural divisions

When an employee has an obligation to do an assigned task, they have been given what?

Respnsibility

How is authority delegated in an organization?

From top to bottom

What is a line organization?

All authority and responsibility can be traced in one direct line from top to bottom

When an employee is responsible to another person in the organization for completing a task, he or she is said to be what?

Accountable

If an employee regularly receive instructions from more than one manager, there is aprblem with what?

Communication/chain of command

The organization structure that is efficient but with many layers of management is which?

Line organization

What is the organization that allows managers to have access to specialists for advice and assistance?

Line and staff

What is the most flexible business organization?

Matrix organization

What is a vision?

A broad, lasting, and often inspirational view of a company’s reason for existing

What is a decentralized organization?

A business which is divided into smaller operating units, and managers who head the units have almost total responsibility and authority for operations

What are self-directed work teams?

A team in which members together are responsible for the work assigned to the teams

What is a business plan?

A written document that describes the nature of the business, its goals and objectives, and how they will be achieved

What is a flattened organization?

An organization with fewer levels of management than traditional structures

What is empowerment?

Authority given to individual employees to make decisions and solve problems they encounter on their jobs with the resources available to them

What is team organization?

Business structure that divides employees into permanent work teams

What is the business definition of organizing?

Determining how plans can be accomplished most effectively and arranging resources to complete work

What is the definition of a line and staff organization?

The addition of staff specialists to a line organization