Management, Second Canadian Edition Test Bank

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Chapter 1: Introducing ManagementTrue/False1. The best employers in the new workplace of the 21stcentury have high performance expectations, and areextremely good at attracting and retaining talented employees.Ans: TrueDifficulty: EasyRef:Introduction2. “High involvement” organizations create challenging and enriched jobs, allow employee input in decisionmaking, and avoid layoffs and excessive turnover.Ans: TrueDifficulty: EasyRef: Introduction3. In the new economy, organizations are expected to continuously excel on meeting their performance criteria evenif it means placing a lower priority on ethical and social responsibilities.Ans: FalseDifficulty: ModerateRef: Working TodayTalent4. An employee’s talents are what they know, what they learn, and what they do with it.Ans: TrueDifficulty: ModerateRef: Working Today5. The most important factors for operating effectively in a new economy are increased profits, greater return oninvestment, shareholder involvement, self-management, and competitiveness.Ans: FalseDifficulty: HardRef: Working Today

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6. In the new economy, careers require employees to take personal initiative, be self-disciplined, and pursuecontinuous learning.Ans: TrueDifficulty: ModerateRef: Working Today7. Intellectual capital is defined as the collective and shared knowledge of an organization’s workforce.Ans: TrueDifficulty: EasyRef: Working Today8. The intellectual capital equation is simply: intellectual capital = competency x commitment.Ans: TrueDifficulty: ModerateRef: Working TodayDiversity9. Workforce diversity describes demographic differences among members of the workforce focusing primarily onincome, social status, education, and experience.Ans: FalseDifficulty: HardRef: Working Today10. While managing workforce diversity has legal considerations it also has a substantial impact on individual andcompany performance.Ans: TrueDifficulty: ModerateRef: Working Today11. Prejudice is the holding of negative opinions and attitudes about people who lack interpersonal or technicalskills.Ans: FalseDifficulty: ModerateRef: Working Today

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12. Discrimination refers to an invisible barrier that limits the career advancement of women and minorities.Ans: FalseDifficulty: ModerateRef: Working Today13. The “glass-ceiling effect” limits the career advancement and promotion of women and minorities.Ans: TrueDifficulty: EasyRef: Working Today14. National and geographic boundaries of world business are becoming increasingly more well-defined as globalcompetition increases.Ans: FalseDifficulty: ModerateRef: Working TodayGlobalization15. Globalization refers to the worldwide interdependence of resource flows, product markets, and businesscompetition that characterizes the new economy.Ans: TrueDifficulty: ModerateRef: Working Today16. Improvements in technology, the deregulation of markets, and the opening of national borders have had littleimpact on businesses in the United States and Europe.Ans: FalseDifficulty: ModerateRef: Working Today17. The reach of the global economy means that countries and people are increasingly connected through the media,information technology, travel, and lifestyles.Ans: TrueDifficulty: ModerateRef: Working Today

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18. Outsourcing presents itself both as an opportunity and a challenge in today’s global economy.Ans: TrueDifficulty: ModerateRef: Working TodayTechnology19. As a result of advances and the complexity of new technologies there is an increasing demand for knowledgeworkers.Ans: TrueDifficulty: ModerateRef: Working Today20. Virtual space has increased the need for face-to-face meetings, international travel and sharing of information.Ans: FalseDifficulty: HardRef: Working TodayEthics21. Ethics refers to a code of moral principles that sets standards of what is “good” or “right” as opposed to what is“bad” or “wrong.”Ans: FalseDifficulty: ModerateRef: Working Today22. Integrity and ethical leadership must be practiced at all organizational levels.Ans: TrueDifficulty: EasyRef: Working Today23. Society is becoming more lenient in its expectations that social institutions conduct their affairs according tohigh moral standards.

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Ans: FalseDifficulty: ModerateRef: Working TodayCareers24. Charles Handy uses the Irish shamrock to symbolize the different career implications of the three distinctemployment patterns that have emerged in the new economy.Ans: TrueDifficulty: EasyRef: Working Today25. Core workers, contract workers, and part-time workers are the three different employment patterns in the Irishshamrock model used by Charles Handy.Ans: TrueDifficulty: ModerateRef: Working Today26. In Charles Handy’s description of changing careers, a person who performs specific tasks as needed and iscompensated on a fee-for-services basis is a known as a core worker.Ans: FalseDifficulty: ModerateRef: Working Today27. Since employment patterns are changing dramatically, people should maintain a “portfolio of skills” to increasetheir flexibility and job opportunities.Ans: TrueDifficulty: EasyRef: Working Today28. Organizations in the new workplace should focus on more profits and be less concerned with making real andpositive contributions to society.Ans: FalseDifficulty: EasyRef: Organizations in the New Workplace

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29. To survive in the new workplace, people must have links with peers and others inside and outside theorganization in order to get things done and be able to communicate personal and work group successes andprogress.Ans: TrueDifficulty: ModerateRef: Organizations in the New WorkplaceWhat Is an Organization?30. An organization is a group of people working independently while at the same time pursuing their individualgoals.Ans: FalseDifficulty: EasyRef: Organizations in the New Workplace31. Each organization should return value to society and satisfy customers’ needs in order to justify its continuedexistence.Ans: TrueDifficulty: ModerateRef: Organizations in the New WorkplaceOrganizations as Systems32. An open system interacts with its environments to transform resource inputs into product outputs such asfinished products and/or services.Ans: TrueDifficulty: ModerateRef: Organizations in the New Workplace33. An open system is a collection of subsystems that function independently from one another.Ans: FalseDifficulty: EasyRef: Organizations in the New Workplace34. Organizations are complex systems with many interrelated parts functioning together to achieve common goals.

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Ans: TrueDifficulty: EasyRef: Organizations in the New Workplace35. The open systems model focuses on the internal rather than external factors that transform resources intofinished products.Ans: FalseDifficulty: ModerateRef: Organizations in the New WorkplaceOrganizational Performance36. Value creation refers to the operation through which a business or non-profit organization can add value to theoriginal cost of resource inputs while the business organization earns a profit or the non-profit organization addswealth to society.Ans: TrueDifficulty: ModerateRef: Organizations in the New Workplace37. Productivity refers to the quantity or the amount of work that is performed by a group or team.Ans: FalseDifficulty: ModerateRef: Organizations in the New Workplace38. Productivity is a measure of the quantity and quality of work performance taking into account how muchresources are used.Ans: TrueDifficulty: EasyRef: Organizations in the New Workplace39. Performance effectiveness is a measure of resource costs associated with goal accomplishment, whereasperformance efficiency is an output measure of task or goal accomplishment.Ans: FalseDifficulty: EasyRef: Organizations in the New Workplace

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40. Resource utilization determines whether an organization is efficient.Ans: TrueDifficulty: EasyRef: Organizations in the New Workplace41. Low versus high goal attainment determines whether an organization is efficient but not effective.Ans: FalseDifficulty: ModerateRef: Organizations in the New Workplace42. A manager who emphasizes meeting production targets even if there is a cost overrun is more interested inperformance efficiency than in performance effectiveness.Ans: FalseDifficulty: HardRef: Organizations in the New WorkplaceChanging Nature of Organizations43. Greater focus on command and control, concern for efficiency, and emphasis on individual performance aresome recent trends in managing organizations.Ans: FalseDifficulty: ModerateRef: Organizations in the New Workplace44. Because of the pressures to achieve performance excellence, the command-and-control approach to leadership isbeing re-emphasized.Ans: FalseDifficulty: ModerateRef: Organizations in the New Workplace45. Organizations that treat their people better tend to perform better.Ans: TrueDifficulty: EasyRef: Managers in the New Workplace

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What Is a Manager?46. A manager is a person in an organization who supports and is responsible for the work efforts and performanceaccomplishments of other people.Ans: TrueDifficulty: EasyRef: Managers in the New Workplace47. A manager is a person who is primarily responsible for completing his/her own work, not managing the overallperformance of entire organization.Ans: FalseDifficulty: ModerateRef: Managers in the New Workplace48. A manager is a person in an organization who is responsible for the work efforts and performanceaccomplishments of other people.Ans: TrueDifficulty: EasyRef: Managers in the New Workplace49. Managers have the least vital job in society since their primary goal is to help people to achieve their careerobjectives.Ans: FalseDifficulty: ModerateRef: Managers in the New WorkplaceLevels and Types of Managers50. Top managers are responsible for the performance of an organization as a whole or for one of the larger parts.Ans: TrueDifficulty: EasyRef: Managers in the New Workplace51. Top managers are more concerned with the daily operations of the internal business processes than withactivities in the external environment that impact the organization.

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Ans: FalseDifficulty: ModerateRef: Managers in the New Workplace52. Middle managers are in charge of relatively large departments or divisions consisting of smaller work units.Ans: TrueDifficulty: EasyRef: Managers in the New Workplace53. Middle managers are responsible for supervising small groups or work units.Ans: FalseDifficulty: ModerateRef: Managers in the New Workplace54. An example of a middle manager is a clinic director in a hospital who develops and implements action plansconsistent with the objective set by the hospital’s higher-level executives.Ans: TrueDifficulty: ModerateRef: Managers in the New Workplace55. A project manager is responsible for managing a smaller work unit composed of professionals.Ans: FalseDifficulty: EasyRef: Managers in the New Workplace56. A team leader is someone who coordinates complex projects with task deadlines while working with manypersons within and outside the organization.Ans: FalseDifficulty: ModerateRef: Managers in the New Workplace57. The responsibilities of a team leader or supervisor will include planning meetings and work schedules;recruiting, training, and developing team members to meet performance standards; and recommending pay increasesfor subordinates.Ans: TrueDifficulty: Moderate

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Ref: Managers in the New Workplace58. Staff managers are responsible for the work activities that make a direct contribution to the organization’soutputs.Ans: FalseDifficulty: ModerateRef: Managers in the New Workplace59. Line managers use special expertise to advise and support the efforts of staff workers.Ans: FalseDifficulty: EasyRef: Managers in the New Workplace60. General managers have responsibility for managing a single area of activity, such as finance, marketing,production, human resources, accounting, or sales.Ans: FalseDifficulty: ModerateRef: Managers in the New Workplace61. Administrators are managers who are directly responsible for managing budgets and operations in largecorporations.Ans: FalseDifficulty: EasyRef: Managers in the New WorkplaceManagerial Performance62. Managers help people, working individually or in groups, to achieve productivity and accomplish organizationalgoals.Ans: TrueDifficulty: EasyRef: Managers in the New Workplace63. Accountability is the requirement of an employee to show performance results to some person of higherauthority within his or her area of responsibility.

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Ans: TrueDifficulty: ModerateRef: Managers in the New Workplace64. Efficient managers help others to both (a) achieve high levels of performance and (b) experience satisfaction intheir work.Ans: FalseDifficulty: HardRef: Managers in the New Workplace65. Quality of work life is an indicator of the overall quality of human experiences in the workplace.Ans: TrueDifficulty: EasyRef: Managers in the New WorkplaceChanging Nature of Managerial Work66. In organizations that are operating with an upside-down pyramid, operating workers are near the top of theorganization, just below the customers and clients they serve, and are supported by the managers located at thebottom.Ans: TrueDifficulty: ModerateRef: Managers in the New Workplace67. In an upside-down pyramid, managers symbolically remain at the top of the organizational pyramid.Ans: FalseDifficulty: ModerateRef: Managers in the New Workplace68. In an upside-down pyramid, the best managers are often known for “helping” and “supporting” rather than“directing” and “order-giving.”Ans: TrueDifficulty: ModerateRef: Managers in the New WorkplaceFunctions of Management

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69. Management is the process of planning, organizing, leading, and controlling the use of resources to accomplishperformance goals.Ans: TrueDifficulty: ModerateRef: The Management Process70. Planning is the process of measuring work performance, comparing results to objectives, and taking correctiveaction as needed.Ans: FalseDifficulty: ModerateRef: The Management Process71. Organizing is the process of assigning tasks, allocating resources, and coordinating the activities of individualsand groups to implement plans.Ans: TrueDifficulty: EasyRef: The Management Process72. Leading is the process of arousing people’s enthusiasm to work hard and inspiring their efforts to fulfill plansand accomplish objectives.Ans: TrueDifficulty: EasyRef: The Management Process73. Controlling is the process of assigning tasks, allocating resources, and coordinating activities.Ans: FalseDifficulty: EasyRef: The Management ProcessManagerial Roles and Activities74. According to Henry Mintzberg, the manager’s interpersonal roles include being an entrepreneur, disturbancehandler, resource allocator, and negotiator.Ans: False

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Difficulty: ModerateRef: The Management ProcessManagerial Agendas and Networks75. Agenda setting and networking are activities that contribute to a general manager’s success.Ans: TrueDifficulty: EasyRef: The Management Process76. Good managers focus on setting and implementing goals with the help of relatively few people who work insideof the organization.Ans: FalseDifficulty: ModerateRef: The Management Process77. Networking is the process of building and maintaining positive relationships with people whose help may beneeded to implement one’s work agendas.Ans: TrueDifficulty: ModerateRef: The Management ProcessEssential Managerial Skills78. The demands of today’s organizations create problems, opportunities, and performance expectations that makepeople’s career success dependent on a commitment to continuous lifelong learning.Ans: TrueDifficulty: HardRef: Learning How to Manage79. Lifelong learning is the ability to translate knowledge into action that results in desired performance.Ans: FalseDifficulty: ModerateRef: Learning How to Manage

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80. A technical skill is the ability to work well in cooperation with other persons, whereas a human skill is the abilityto view a situation broadly and solve problems to the benefit of all concerned.Ans: FalseDifficulty: ModerateRef: Learning How to Manage81. Emotional intelligence relates to one’s ability to develop social and interpersonal skills.Ans: TrueDifficulty: ModerateRef: Learning How to Manage82. A conceptual skill is the ability to use special skills or expertise to do one’s work.Ans: FalseDifficulty: ModerateRef: Learning How to ManageDeveloping Managerial Competencies83. A managerial competency is a skill-based capability that contributes to high performance in a managerial job.Ans: TrueDifficulty: EasyRef: Learning How to Manage84. Self-management is the ability to work effectively with others as a member of a team.Ans: FalseDifficulty: ModerateRef: Learning How to ManageMultiple Choice85. The “themes of the day” for great organizations in the New Economy are:a)Participation, Respect, Tradition, Involvement, Self-managementb)Self-management, Involvement, Respect, Participation, Teamworkc)Involvement, Respect, Self-management, Teamwork, Shareholder valued)Respect, Involvement, Participation, Self-management, Controle)Self-management, Participation, Teamwork, Respect, Action

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