TEST BANK for Understanding Management 12th Edition by Richard L. Daft and Dorothy Marcic. by StudyGuide

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Chap 01_12e_Daft Indicate whether the statement is true or false. 1. Leading is the use of influence to motivate employees to achieve organizational goals. a. True b. False 2. Communication is considered a technical management skill. a. True b. False 3. Artificial intelligence encompasses techniques used to teach computer systems to learn, reason, perceive, infer, communicate, and make decisions similar to or better than human beings can. a. True b. False 4. Recognizing the value of employees involves the organizing role of management. a. True b. False 5. Jordan is a first line supervisor at a manufacturing plant. Due to his role, it's likely that Jordan averages one activity every 48 seconds. a. True b. False 6. The individual performer is a generalist and coordinates a broad range of activities. a. True b. False 7. According to research, the best way to improve organizational effectiveness is by severe cost cutting. a. True b. False 8. Only the top managers in organizations need conceptual skills since planning is involved. a. True b. False 9. Theory Y proposes that organizations can take advantage of the imagination and intellect of all of their employees. a. True b. False 10. Efficiency can be defined as the amount of resources used to produce a product or service. a. True b. False

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Chap 01_12e_Daft 11. According to Douglas McGregor, Theory X and Theory Y provide two opposing views of workers, where Theory X recognizes that workers enjoy achievement and responsibility, and Theory Y recognizes that workers will avoid work whenever possible. a. True b. False 12. Conceptual skills are needed by all managers, but especially by managers at the top. a. True b. False 13. The term "quants" refers to financial managers and others who base their decisions on complex quantitative analysis, under the assumption that using advanced mathematics and technology can accurately predict how the market works. a. True b. False 14. Mary Parker Follett's approach to leadership stressed the importance of engineering techniques rather than people. a. True b. False 15. The Hawthorne studies resulted in the movement toward scientific management. a. True b. False 16. The use of influence to motivate employees to achieve the organization's goals refers to controlling. a. True b. False 17. One of the criticisms of scientific management is that it did not acknowledge variance among individuals. a. True b. False 18. Technology, such as e-mail, text messaging, smartphones, tablets, and laptops has lessened the pace of a manager's work day. a. True b. False 19. The spokesperson role involves performing ceremonial and symbolic duties, such as greeting visitors and signing legal documents. a. True b. False

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Chap 01_12e_Daft 20. With clear definitions of authority and responsibility, division of labor is one of the six characteristics of the ideal bureaucracy. a. True b. False 21. AI is having its greatest effect on the boring, routine, mechanical, and administrative work of organizations. a. True b. False 22. The nature of management is to control and dictate others in an organization. a. True b. False 23. The scientific management perspective refers to the management thinking and practice that emphasizes satisfaction of employees' basic needs as the key to increased worker productivity. a. True b. False 24. Time is a manager's least valuable resource. a. True b. False 25. For middle managers, the liaison role is more important than the leader role. a. True b. False 26. Becoming a successful manager means thinking in terms of building teams and networks and becoming a motivator and organizer within a highly interdependent system of people and work. a. True b. False 27. A criticism of human relations management is that it ignores the social context and workers' needs. a. True b. False 28. Nudge management applies insights from the behavioral sciences to design elements of the organization in a way that nudges people toward behaviors that support organizational goals and values. a. True b. False 29. A manager forwards information to other organization members in the disseminator role. a. True b. False

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Chap 01_12e_Daft 30. An organization is a social entity that is goal-directed and deliberately structured. a. True b. False 31. The early study of management as we know it today began with what is now called the technology-driven workplace. a. True b. False 32. The disturbance handler role involves the initiation of change and thinking about the future and how to get there. a. True b. False 33. Most top executives routinely work at least 12 hours a day; historically, they have spent as much as 50 percent or more of their time traveling. a. True b. False 34. Scientific management evolved with the use of precise procedures in place of tradition and rules of thumb. a. True b. False 35. Organizing means defining goals for future organizational performance and deciding on the tasks and resources needed to attain them. a. True b. False 36. Every manager's job is similar in its diversity and fragmentation. a. True b. False 37. Where the organization wants to be in the future and how to get there defines controlling. a. True b. False 38. The unity of direction principle proposes that similar activities in an organization should be grouped together under one manager. a. True b. False 39. The relative emphasis that a manager puts on the ten manager roles depends on a number of factors, such as a manager's position in the hierarchy, natural skills and abilities, type of organization, and department goals to be achieved. a. True b. False

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Chap 01_12e_Daft 40. The management science approach uses qualitative data in management decision making. a. True b. False 41. One of the biggest mistakes during turbulent times is managers' failure to comprehend and adapt to the rapid pace of change in the world around them. a. True b. False 42. As AI improves in the future to the point of taking over some of the thinking and analytical tasks in organizations, employees will gravitate toward the interpersonal and empathetic tasks that AI cannot do. a. True b. False 43. The humanistic perspective contains four subfields: scientific management, bureaucratic organizations, administrative principles, and management science. a. True b. False 44. A manager's ability to work with and through other people and to work effectively as a group member is called human skills. a. True b. False 45. Technological advances have resulted in employees becoming more empowered. a. True b. False 46. Controlling involves monitoring employees' activities and taking corrective action as necessary. a. True b. False 47. Standardization of work and wage incentives are characteristics of behavioral science. a. True b. False 48. Follett and Barnard were early advocates of a more humanistic perspective on management that emphasized the importance of understanding human behavior, needs, and attitudes in the workplace as well as social interactions and group processes. a. True b. False 49. Efficiency refers to the degree to which the organization achieves a stated objective. a. True b. False

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Chap 01_12e_Daft 50. The human relations movement is also referred to as the dairy farm view of management, meaning that contented cows give more milk, and satisfied workers will produce more work. a. True b. False 51. New managers sometimes find themselves overwhelmed by the various activities, multiple responsibilities, long hours, and the fast pace that comes with management. a. True b. False 52. Today's managers rely on "management by keeping tabs" and play the role of a controller instead of an enabler. a. True b. False 53. Allocating resources across the organization is part of the organizing management function. a. True b. False 54. Administrative acts and decisions recorded in writing is one of the six characteristics of the ideal bureaucracy. a. True b. False 55. A social group within an organization is part of the informal organization. a. True b. False 56. In the spokesperson role, a manager forwards information to other organization members. a. True b. False 57. Managers use conceptual, human, and technical skills to perform the four management functions of planning, organizing, leading, and controlling in all organizations. a. True b. False 58. An assumption of Theory Y is that the average human being has an inherent dislike of work and will avoid it if possible. a. True b. False 59. Organization development is a specific set of management techniques based on the behavioral sciences approach. a. True b. False

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Chap 01_12e_Daft 60. The Hawthorne studies led to the early conclusion that positive human relations can lead to significantly higher performance. a. True b. False 61. How an organization goes about accomplishing a plan is a key part of the management function of controlling. a. True b. False 62. When an organization is deliberately structured, it is designed to achieve some outcome, such as making a profit. a. True b. False 63. To perform effectively, all managers must possess conceptual, human, and technical skills, though the degree of each skill necessary at different levels of an organization may vary. a. True b. False 64. The scalar chain is a hypothetical chain that provides horizontal links between unionized workers in different departments in an organization. a. True b. False 65. The field of management that specializes in the physical production of goods or services refers to operations management. a. True b. False 66. The ultimate responsibility of managers is to achieve high performance by balancing efficiency and effectiveness. a. True b. False 67. Fayol's unity of command principle emphasizes that each subordinate receives orders from one, and only one, superior. a. True b. False 68. The negotiator role falls under the decisional characteristic. a. True b. False 69. In a monitor role, the manager transmits current information to others, both outside and inside the organization. a. True b. False

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Chap 01_12e_Daft 70. Scientific management developed a standard method for performing each job. a. True b. False 71. The informational roles that managers perform include monitor, disseminator, and spokesperson. a. True b. False 72. The classical perspective on management emerged during the 1800s. a. True b. False 73. Scientific management focuses on employee competence, whereas administrative principles focus on workflow through the organization. a. True b. False 74. In the figurehead role, the manager performs ceremonial and symbolic duties. a. True b. False 75. We might expect managers in nonprofit organizations to place more emphasis on the roles of spokesperson, leader, and resource allocator. a. True b. False 76. A historical perspective provides a narrower way of thinking, a way of searching for patterns and determining whether they recur across time periods. a. True b. False 77. Nonprofit organizations, such as The United Nations Children's Fund and Doctors Without Borders, represent a major application of management talent. a. True b. False 78. Information technology is the most recent subfield of management science. a. True b. False

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Chap 01_12e_Daft Indicate the answer choice that best completes the statement or answers the question. 79. Maslow's hierarchy of needs started with which of the following needs? a. Esteem b. Love c. Safety d. Physiological e. Belongingness 80. Which of the following skills includes the understanding of and proficiency in the performance of specific tasks? a. Conceptual b. Human c. Technical d. Controlling e. Planning 81. The principle that similar activities in an organization should be grouped together under one manager is the essence of the classical perspective known as _____. a. unity of command b. division of work c. unity of direction d. scalar chain e. quality management 82. Chester Barnard felt that which of the following could help a poorly managed organization? a. Bureaucracy b. Line managers c. Efficiencies d. Informal relationships e. Top/down flow of information 83. The nature of management is to motivate and coordinate others to cope with challenges that are far-reaching and _____. a. simple b. planned c. diverse d. organized e. controlled

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Chap 01_12e_Daft 84. Which of the following is reflected in management information systems designed to provide relevant information to managers in a timely and cost-efficient manner? a. Operations research b. Operations management c. Information technology d. Systems thinking e. Infrastructure development 85. Genex Dynamics is a ballistics company that uses the unity of command, scalar chain, and division of work principles. These are part of which management philosophy? a. Administrative principles approach b. Bureaucratic approach c. Scientific management approach d. Humanistic approach e. Behavioral sciences approach 86. Assigning tasks, grouping tasks into departments, delegating authority, and allocating resources across the organization is known as _____. a. organizing b. controlling c. leading d. planning e. coordinating 87. Since being promoted into a marketing assistant role, Jada has never been asked by her manager for receipts that document what she lists on her monthly expense report. Which management function is being neglected by Jada's manager? a. Controlling b. Leading c. Organizing d. Planning e. Delegating 88. Despite flawed methodology or inaccurate conclusions, the Hawthorne studies provided the impetus for _____. a. the classical perspective b. the humanistic perspective c. scientific management d. the bureaucratic organizations approach e. the contingency perspective

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Chap 01_12e_Daft 89. Which of the following statements regarding Millennial and Gen Z employees is true? a. They are hesitant to question their superiors. b. They want to work in an individualized work environment. c. They want the power to make substantive decisions in the workplace. d. They want work that is easy. e. They are hesitant to challenge the status quo. 90. Which of the following types of managers would be responsible for performing ceremonial and symbolic duties such as greeting visitors and signing legal documents? a. Disseminator b. Spokesperson c. Monitor d. Entrepreneur e. Figurehead 91. In historical management perspectives, there has long been a struggle to balance _____. a. the humanity of production and the technology of production b. the quality of production and the things of production c. the things of production and the humanity of production d. the things of production and the technology of production e. the quality of production and the humanity of production 92. When Kara's Glass Shop received a rush order before an upcoming holiday weekend, Jennifer persuaded her employees to work overtime by buying them pizza and passing out gift cards throughout the weekend. Jennifer was engaging in which of the following functions of management? a. Controlling b. Planning c. Leading d. Monitoring e. Organizing 93. Frank Gilbreth stressed efficiency and was known for his quest for _____. a. the one best way to do work b. leadership flows from the top down c. procedures and policies d. scientific management e. bureaucracy

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Chap 01_12e_Daft 94. The assembly line is most consistent with which of the following general principles of management? a. Unity of command b. Division of work c. Authority d. Scalar chain e. Quality management 95. What is the role of a liaison? a. The liaison role pertains to decisions about how to allocate people, time, equipment, money, and other resources to attain desired outcomes. b. The liaison role involves the initiation of change. c. The liaison role pertains to the development of information sources both inside and outside the organization. d. The liaison role involves handling ceremonial and symbolic activities for the department or organization. e. The liaison role involves formal negotiations and bargaining to attain outcomes for the manager's unit of responsibility. 96. The bureaucratic organizations approach is a subfield within _____. a. the classical perspective b. management science c. scientific management d. the learning organization e. the humanistic perspective 97. In which of the following roles do managers seek and receive information, scan periodicals and reports, and maintain personal contacts? a. Disseminator b. Spokesperson c. Monitor d. Decisional e. Interpersonal 98. Which of the following was a key finding in the Hawthorne studies? a. Stronger lighting increased productivity. b. More money resulted in increased productivity. c. Productivity declined in all experiments. d. Higher temperatures reduced productivity. e. Human relations increased productivity.

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Chap 01_12e_Daft 99. Which of the following is the use of influence to motivate employees to achieve organizational goals? a. Leading b. Controlling c. Organizing d. Planning e. Staffing 100. Which of the following statements regarding management tools is true? a. In 1993, the top management tool was mission and vision statements, whereas in 2017, the top management tool was strategic planning. b. In 1993, the top management tool was strategic planning, whereas in 2017, the top management tool was mission and vision statements. c. In 1993, the top management tool was customer relationship management, whereas in 2017, the top management tool was customer satisfaction. d. In 1993, the top management tool was customer satisfaction, whereas in 2017, the top management tool was customer relationship management. e. In 1993 and 2017, the top management tool was strategic planning. 101. A "dairy farm" view of management in which contented cows give more milk so satisfied workers will give more work was espoused by the _____. a. human relations movement b. human resources perspective c. behavioral sciences approach d. management science perspective e. administrative principles approach 102. Which of the following means the hierarchical reporting relationship between the manager and the subordinate is almost completely eliminated and employees have full authority to make key decisions about their work? a. Incremental decentralization b. Employee decentralization c. Radical decentralization d. Radical centralization e. Incremental centralization 103. The nineteenth and early twentieth centuries saw the development of which management perspective? a. Human relations movement b. Behavioral sciences approach c. Classical perspective d. Quantitative management approach e. TQM approach

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Chap 01_12e_Daft 104. The behavioral sciences approach is based on which of the following disciplines? a. Anthropology b. Economics c. Sociology d. Psychology e. All of these choices 105. Roxanne, owner and operator of a small restaurant, believes that her most important task as a manager is establishing goals for the restaurant and deciding what must be done to achieve them. This involves which of the following managerial activities? a. Organizing b. Motivating and communicating c. Measuring d. Developing people e. Planning 106. A social entity that is goal-directed and deliberately structured is referred to as a(n) _____. a. organization b. management c. employee d. student e. task 107. According to the text, what are the skills used by managers when performing the four functions of management? a. Conceptual, interpersonal, and organizational b. Functional, problem-solving, and technical c. Analytical, interpersonal, and financial d. Conceptual, human, and technical e. Communication, strategic, and innovative 108. All of the following are characteristics of Weberian bureaucracy except _____. a. labor is divided with clear definitions of authority and responsibility that are legitimized as official duties b. positions are organized in a hierarchy of authority, with each position under the authority of a higher one c. all personnel are selected and promoted based on technical qualifications d. administrative acts and decisions are recorded in writing e. management is the same as the ownership of the organization

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Chap 01_12e_Daft 109. Monitoring activities and making corrections are part of _____. a. organizing b. planning c. leading d. staffing e. controlling 110. Forestville Freeze is regionally known for its employee training programs. Managers at the Freeze conduct research to determine the best candidate interviewing techniques. This involves the use of which management approach? a. Administrative principles approach b. Bureaucratic approach c. Behavioral sciences approach d. Humanistic approach e. Scientific management approach 111. Conceptual skills are especially important for which of the following types of managers? a. First-level b. Middle c. Supervisory d. General e. Top 112. If an employee is engaged, which of the following is most likely to happen? a. They will contribute enthusiastically to meeting team and organizational goals. b. They will be emotionally unattached to their jobs. c. They will struggle to find a sense of belonging to the organization and its mission. d. They will be likely to seek other job opportunities. e. They will be dissatisfied with their work conditions. 113. Which of the following best describes organizing? a. Assigning responsibility for task accomplishment b. Using influence to motivate employees c. Monitoring activities and making corrections d. Selecting goals and ways to attain them e. None of these choices

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Chap 01_12e_Daft 114. Which of the following statements best compares for-profit and nonprofit managers? a. A manager in a for-profit business focuses primarily on the bottom line, while a manager of a nonprofit focuses on employee morale. b. A manager in a for-profit business focuses primarily on the bottom line, while a manager of a nonprofit focuses on social impact. c. A manager in a for-profit business focuses on primarily on profitability, while a manager of a nonprofit focuses on customer satisfaction. d. A manager in a for-profit business focuses primarily on market share, while a manager of a nonprofit focuses on the bottom line. e. A manager in a for-profit focuses primarily on customer satisfaction, while a manager of a nonprofit focuses on organization reputation. 115. Which of the following skills is the manager's ability to work with and through other people and to work effectively as a group member? a. Human b. Conceptual c. Technical d. Intellectual e. Planning 116. Which of the following is a bar graph that measures planned and completed work along each stage of production by time elapsed? a. Time and work chart b. Gantt chart c. Time and motion chart d. Production and delivery chart e. Gilbreth chart 117. Which of the following uses mathematics, statistical techniques, and computer technology to facilitate management decision making, particularly for complex problems? a. Quants b. Management science c. Scientific management d. Administrative principles approach e. Bureaucratic organizations approach 118. One of the important ideas in the text's definition of management is _____. a. the management functions of planning, organizing, leading, and controlling b. the attainment of societal goals c. effectiveness is more important than efficiency d. management is unique to for-profit organizations e. efficiency is more important than effectiveness

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Chap 01_12e_Daft 119. According to Douglas McGregor, the classical perspective on management is consistent with which of the following? a. Theory X manager b. Theory Y manager c. Theory Z manager d. Theory A manager e. All of these choices 120. Which of the following statements is true? a. The individual performer is a specialist, whereas the manager has to be a generalist. b. The individual performer is a "leader," whereas the manager has to be a doer. c. The individual performer is a generalist, whereas the manager has to be a specialist. d. The individual performer is a producer, whereas the manager has to be an expert. e. The individual performer is a communicator, whereas the manager has to be an operator. 121. Causes of manager failure include all of the following except _____. a. poor communication skills b. reactionary behavior c. inability to motivate others d. failure to adapt e. too much listening 122. Which of the following emphasized the importance of understanding human behaviors, needs, and attitudes in the workplace as well as social interactions and group processes? a. Humanistic perspective b. Classical perspective c. Scientific management d. Bureaucratic organizations e. Contingency perspective 123. If Brady Hak is responsible for maintaining information links both inside and outside organizations by using email, phone calls, and meetings as daily activities, he would be considered a _____. a. figurehead b. liaison c. negotiator d. monitor e. spokesperson

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Chap 01_12e_Daft 124. Georgia Griffith, manager of the finance division, distributes relevant information every day to all her employees enabling them to make quality decisions. Georgia is performing which of the following roles? a. Monitor role b. Disseminator role c. Spokesperson role d. Disturbance handler role e. Figurehead role 125. Matrix Dress Designs operates using the concept of empowerment, where employees act independently and with management facilitating rather than controlling workers. These qualities represent which of the following management approaches? a. Administrative principles approach b. Bureaucratic approach c. Scientific management approach d. Humanistic perspective e. Behavioral sciences approach 126. Which of the following is NOT one of the conceptual categories of managerial roles Mintzberg defined? a. Informational b. Interpersonal c. Decisional d. Intrapersonal 127. The human resources perspective of management links motivation theories with _____. a. top management b. design of job tasks c. floor managers d. efficiencies e. profit maximization 128. Theory X and Theory Y were developed by _____. a. Douglas McGregor b. Henry Gantt c. Max Weber d. Mary Parker Follett e. Frank Gilbreth 129. The top cause of manager failure is _____. a. person-job mismatch b. ineffective communication skills and practices c. failure to adapt and break old habits d. inability to lead/motivate others e. poor work relationships/interpersonal skills Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 130. Instead of being a controller, an effective manager who helps people do and be their best is a(n) _____. a. regulator b. enabler c. director d. facilitator e. mobilizer 131. Organization development is one specific set of management techniques based in which of the following approaches? a. Management science approach b. Systems theory approach c. Behavioral sciences approach d. Scientific management approach e. Quantitative approach 132. Most early interpretations of the Hawthorne studies argued that the factor that best explained increased output was _____. a. money b. days off c. human relations d. lighting e. free food 133. One of the roles that a nonprofit organization may emphasize over their counterpart in a large organization is _____. a. entrepreneur b. spokesperson c. liaison d. disturbance handler e. negotiator 134. Which of the following is NOT a function of management according to Henri Fayol? a. Planning b. Controlling c. Organizing d. Leading e. Performing

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Chap 01_12e_Daft 135. Javier Perez is the president of WV Railroad. His organization faces issues related to the environment, government regulation, and competition. He will need to rely primarily on his _____. a. conceptual skills b. technical skills c. human skills d. controlling skills e. interpersonal skills 136. Which of the following stresses the satisfaction of employees' basic needs as the key to increased worker productivity? a. Scientific management perspective b. Classical perspective c. Management science perspective d. Behavioral sciences approach e. Human relations movement 137. Which of the following is included in the manager identity? a. Specialist, performs specific tasks b. Gets things done through own efforts c. An individual actor d. A network builder e. Works relatively independently 138. Having the cognitive ability to see the organization as a whole system and the relationship among its parts are characteristics of _____. a. human skills b. resource allocation skills c. conceptual skills d. negotiation skills e. technical skills 139. What is the role of the negotiator? a. The negotiator role involves representing the team or department's interests during the negotiation of budgets, union contracts, and purchases. b. The negotiator role involves seeking current information from many sources. c. The negotiator role involves the initiation of change. d. The negotiator role involves resolving conflicts among subordinates or between the manager's department and other departments. e. The negotiator role pertains to the development of information sources both inside and outside the organization.

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Chap 01_12e_Daft 140. Standardization of work and wage incentives are characteristics of _____. a. bureaucratic organizations b. scientific management c. quantitative management d. administrative management e. behavioral science 141. How an organization goes about accomplishing a plan is a key part of the management function of _____. a. planning b. organizing c. leading d. controlling e. motivating 142. Positions organized in a hierarchy of authority is an important characteristic of _____. a. scientific management b. bureaucratic organizations c. quantitative management d. the human relations movement e. total quality management 143. When Tao measures his employees' performance and compares their performance against the goals he set for them, he is performing which of the following functions? a. Staffing b. Leading c. Organizing d. Controlling e. Planning 144. Jasmine was recently praised by her supervisor for displaying superior customer service during an encounter with a problem customer. This is an example of organizational _____. a. information processing b. efficiency c. effectiveness d. structure e. goal-setting 145. Managers, in today's work environment, rely less on _____. a. coordination and communication and more on control and command leadership b. autocratic leadership and more on empowering leadership c. empowerment and innovation and more on productivity and efficiency leadership d. effectiveness and efficiency and more on quality and profit leadership e. ethics and social responsibility and more profit and cost-savings leadership Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 146. Which of the following perspectives emphasized a rational, scientific approach to the study of management and sought to make organizations efficient operating machines? a. Humanistic perspective b. Behavioral sciences approach c. Classical perspective d. TQM approach e. Quantitative management approach 147. Rather than engineering techniques, Mary Parker Follett thought of leadership as _____. a. systems b. top managers c. people d. efficiencies e. floor managers 148. Sarinna recently helped her subordinates at work resolve an interpersonal conflict by listening to the problem and serving as a mediator. This is an example of use of which of the following management skills? a. Human b. Strategic c. Technical d. Conceptual e. Analytical 149. Which of the following is contributing to technology (thing of production) possibly adding directly to the humanity of production by doing the work that humans find unsatisfying? a. Artificial intelligence b. Classical perspective c. Information technology d. Nudge management e. Big data analytics 150. The skill demonstrated when a manager relates effectively to other people is _____. a. conceptual b. human c. technical d. leading e. controlling

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Chap 01_12e_Daft 151. Which of the following terms refers to technologies, skills, and processes for searching and examining massive, complex sets of data to uncover hidden patterns and correlations? a. Total quality management b. Quantitative techniques c. Big data analytics d. Supply chain management e. Reengineering 152. Time and motion studies that resulted in a drastic reduction in the time patients spent on the operating table were pioneered by _____. a. Edward Deming b. Henry Gantt c. Max Weber d. Mary Parker Follett e. Frank Gilbreth 153. If a manager finds a severe decline in employee morale and direction, they may need to spend more time in which of the following roles? a. Negotiator b. Resource allocator c. Figurehead d. Monitor e. Leader 154. Which of the following is a subfield of the classical management perspective that emphasized scientifically determined changes in management practices as the solution to improving labor productivity? a. Human relations movement b. Behavioral sciences approach c. TQM approach d. Quantitative management approach e. Scientific management movement 155. Which of the following is an informational role, according to Mintzberg? a. Entrepreneur role b. Leader role c. Monitor role d. Disturbance handler role e. Figurehead role

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Chap 01_12e_Daft 156. If a manager finds several new competitors on the horizon, they may need to spend more time in which of the following roles? a. Negotiator b. Resource allocator c. Figurehead d. Monitor e. Leader 157. Management that applies insights from the behavioral sciences to design elements of the organization in a way that guides people toward behaviors that support organizational goals and values is known as _____. a. radical decentralization b. classical management c. information technology d. nudge management e. big data analytics 158. Being a successful manager means thinking in terms of all of the following except _____. a. building teams b. generating the most profit c. becoming a motivator d. becoming an organizer e. establishing networks 159. Ashley Rowley, president of Autos-R-Us, recognizes factory employees for their outstanding performance at the monthly awards banquet on the shop floor by presenting a plaque and a check for $100. She is engaging in the management function of _____. a. bribery b. organizing c. technical skills d. leading e. controlling 160. Which of the following is having a big impact on routine administrative processes in organizations, including spreadsheets, checking customer records and employee expense accounts, and making payments? a. Radical decentralization b. Humanistic perspective c. Artificial intelligence d. Employee engagement e. Big data analytics

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Chap 01_12e_Daft 161. Mary Parker Follett contributed to which of the following fields? a. Humanistic approach b. Scientific management approach c. Total quality management approach d. Quantitative approach to management e. Systems approach to management 162. According to Mintzberg, when Amanda spends time training a subordinate, she is performing which of the following roles? a. Monitor b. Figurehead c. Spokesperson d. Leader e. Liaison 163. A clique within an organization is part of the _____. a. formal organizational structure b. informal organization c. scalar chain d. reorganization process e. top management level 164. Which of the following is a characteristic of a traditional management approach? a. Managers play the role of an enabler. b. Managers supervise individuals. c. Managers constantly mobilize for change. d. Managers lead and empower teams. e. Managers encourage conversation and collaboration. 165. Selecting goals and ways to attain them refers to _____. a. controlling b. planning c. organizing d. staffing e. leading 166. Which of the following skills is most important for nonmanagers? a. Planning b. Human c. Conceptual d. Technical e. Marketing Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 167. At the top management level, the most important skills are _____. a. conceptual skills b. human skills c. technical skills d. project skills e. marketing skills 168. The degree to which an organization achieves a stated goal refers to _____. a. effectiveness b. synergy c. conceptual skill d. efficiency e. human skill 169. Managers shift gears quickly and therefore, the average time spent on any one activity is less than _____. a. nine minutes b. an hour c. one workday d. a half hour e. a half day 170. The management function that involves the use of influence to motivate employees to achieve the organization's goals is referred to as _____. a. organizing b. controlling c. leading d. planning e. coordinating 171. The subfields of the classical perspective include _____. a. quantitative management, behavioral science, and administrative principles b. bureaucratic organizations, quantitative management, and the human relations movement c. administrative principles, bureaucratic organizations, scientific management, and management science d. scientific management, quantitative management, and administrative principles e. quantitative management, artificial intelligence, scientific management, and management science 172. Instead of autocratic leadership, some organizations are _____. a. moving toward democratic leadership b. increasing the number of middle managers c. switching to transactional leadership d. experimenting with a bossless design

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Chap 01_12e_Daft 173. In which of the following roles do managers initiate improvement projects, identify new ideas, and delegate idea responsibility to others? a. Disseminator b. Spokesperson c. Monitor d. Entrepreneur e. Interpersonal 174. When Terrell Doyle of CommuniCom, Inc. created smaller, more independent maintenance units, he was performing the function of _____. a. controlling b. human relations skills c. leading d. organizing e. resourcing 175. Which of the following roles involves scheduling, budgeting, and setting priorities? a. Disseminator b. Spokesperson c. Resource allocator d. Entrepreneur e. Figurehead 176. The use of specialization to produce more and better work with the same level of effort is consistent with the administrative management principle of _____. a. unity of command b. unity of direction c. scalar chain d. division of work e. quality management 177. Which of the following roles involves taking corrective action during conflicts or crises and resolving disputes among subordinates? a. Resource allocator b. Entrepreneur c. Negotiator d. Liaison e. Disturbance handler

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Chap 01_12e_Daft 178. Benjamin believes his employees are responsible, creative, and able to work with minimal direction. He is a _____. a. Theory X manager b. Theory Y manager c. Theory Z manager d. Theory A manager e. contingency theory manager 179. Roberto, a top-level manager at an advertising agency, spends a significant part of his workday identifying goals for future organizational performance and deciding how to use resources to attain these goals. This involves which of the following management functions? a. Controlling b. Leading c. Organizing d. Planning e. Delegating 180. What type of organization connects and enables users to both create and consume something of value? a. Connection-based organization b. Supply chain organization c. Intermediary-based organization d. Platform-based organization e. Association-based organization 181. Ryan, a supermarket cashier, recently received an award for having the fastest scan rate among all cashiers. This is an example of organizational _____. a. performance b. efficiency c. effectiveness d. structure e. goal-setting 182. Briana Brant, production supervisor at Trustworthy Tools Mfg., Inc., believes that her employees dislike work, avoid responsibility, and therefore need to be controlled and directed. Briana is a _____. a. Theory X manager b. Theory Y manager c. realistic manager d. Theory Z manager e. Theory J manager

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Chap 01_12e_Daft 183. Which of the following refers to the amount of resources used to achieve an organization's goal? a. Effectiveness b. Synergy c. Performance d. Efficiency e. Management 184. UPS is successful in the small package delivery market. One important reason for this success is the concept of _____. a. globalization b. employee flexibility c. loose standards d. bureaucracy e. nonbureaucratic organizational system 185. Which of the following is NOT a decisional role? a. Entrepreneur b. Negotiator c. Resource allocator d. Disturbance handler e. Liaison 186. When Juan and Matthew set a goal to become the number one window-cleaning company in their city, they were engaging in the management function of _____. a. planning b. organizing c. leading d. controlling e. dreaming 187. To meet the needs of the organization, all managers carry out which three major categories of roles? a. Monitor; figurehead; liaison b. Leader; monitor; spokesperson c. Disseminator; entrepreneurial; disturbance handler d. Decisional; spokesperson; leader e. Informational; interpersonal; decisional 188. For a widget manufacturing company, worker-hours per widget is a measure of organizational _____. a. effectiveness b. performance c. efficiency d. structure e. initiative Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 189. Within her role as a small business consultant, Alana analyzes how organizations fit into their industries, the communities, and the broader social environment. This type of analysis involves which of the following management skills? a. Organizing b. Technical c. Human d. Conceptual e. Delegation 190. Who is considered the "first lady of management"? a. Mary Parker Follett b. Lillian Gilbreth c. Carly Fiorna d. Maxine Weber e. Anne Adams 191. Defining goals for future organizational performance is known as _____. a. organizing b. controlling c. leading d. planning e. coordinating 192. Which of the following is one of the four functions of management described by Henri Fayol? a. Human resources b. Raw materials c. Efficiency d. Planning e. Effectiveness 193. Managers may struggle with the question of what constitutes results and effectiveness since nonprofit organizations do not have a conventional _____. a. hierarchy b. bottom line c. information system d. decision-making process e. structure

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Chap 01_12e_Daft 194. Max Weber felt that selection of employees should be based on _____. a. education b. competence c. connections d. political skills e. efficient systems 195. Monitoring employees' activities, keeping the organization on track toward its goals, and making corrections as needed is the management function of _____. a. organizing b. controlling c. leading d. planning e. coordinating 196. In which region are managers adopting new tools faster than managers in other regions? a. North America b. South America c. Asia-Pacific d. Europe e. Middle East 197. The president of Pepsi Company is the keynote speaker at a retirement dinner for a long-time bottler. This is an example of which of the following roles? a. Liaison b. Figurehead c. Negotiator d. Leader e. Monitor 198. The individual identity includes which of the following? a. Generalist, coordinates diverse tasks b. Gets things done through others c. Works relatively independently d. A network builder e. Works in highly interdependent manner 199. According to Mintzberg, which of the following is an interpersonal role? a. Monitor b. Negotiator c. Liaison d. Disturbance handler e. Spokesperson Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 200. Frederick Taylor's contributions were in the field of _____. a. scientific management b. human resource management c. human relations d. quantitative management e. total quality management 201. Whereas scientific management focused on individual productivity, the administrative principles approach focused on _____. a. the total organization b. individual effort c. management by principle d. employee loyalty e. the work flow through the organization 202. According to Weber's ideas on bureaucracy, organizations should be based on _____. a. personal loyalty b. personal references c. rational authority d. family ties e. charismatic authority 203. Who is considered the "father of scientific management"? a. Frank B. Gilbreth b. Elton Mayo c. Henry Gantt d. Douglas McGregor e. Frederick W. Taylor 204. Maintaining information links is part of which of the following roles? a. Leader b. Spokesperson c. Monitor d. Liaison e. Entrepreneur 205. Which of the following is NOT a criticism of scientific management? a. It does not appreciate the social context of work. b. It does not appreciate the higher needs of workers. c. It does not appreciate the careful study of tasks and jobs. d. It does not acknowledge variance among individuals. e. It tends to regard workers as uninformed and ignores their ideas and suggestions. Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 206. By definition, an organization is considered which of the following because it is made up of two or more people? a. Efficient b. A social entity c. Effective d. Goal-directed e. Deliberately structured 207. A significant contribution of Chester Barnard was the concept of _____. a. bureaucracy b. the informal organization c. total quality management d. scientific management e. traditional theory of authority 208. Which of the following refers to a chain of authority extending from the top to the bottom of the organization and including every employee? a. Unity of command b. Division of labor c. Unity of direction d. Scalar chain e. Quality management 209. Which of the following is a major criticism of scientific management? a. It ignored the social context of work. b. It ignored the impact of compensation on performance. c. It overemphasized individual differences. d. It overemphasized the intelligence of workers. e. It emphasized the social context of work. 210. Nylah is a research analyst who gets things done mostly through her own efforts, relying on herself rather than others. Nylah can best be described as a(n) _____. a. first-line manager b. middle manager c. individual performer d. top manager e. functional manager

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Chap 01_12e_Daft 211. Amos' Antiques, Inc., is characterized by separation of management from ownership and by clearly defined lines of authority and responsibility. These characteristics are consistent with the principles of _____. a. scientific management b. bureaucratic organizations c. administrative management theory d. human resource management e. the humanistic perspective 212. Which of the following roles involves representing the team or department's interests? a. Negotiator b. Resource allocator c. Figurehead d. Monitor e. Leader 213. Which of the following uses artificial intelligence to support managers? a. Humanistic perspective b. Classical perspective c. Information technology d. Nudge management e. Big data analytics 214. Aneth has just installed a "smart" home system. One of the features in her home include her keyless door lock sending a text message when it is activated. This is an example of _____. a. big data analytics b. a platform-based organization c. information technology d. the classical perspective e. the Internet of Things

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Chap 01_12e_Daft Scenario - Caleb Miller

The promotion to first-line manager took place just six weeks ago for Caleb Miller. He was well qualified for the promotion, but the new job still required a lot of training. One of the challenges has been to coordinate the production of his team with the needs of the sales department and with the availability of raw materials from his suppliers. Setting priorities and developing schedules to accomplish the work is a part of Caleb's job that he has really enjoyed. The challenges to maintain high rapport and to build a strong team with his employees have already brought him a lot of satisfaction. In reflecting on the last six weeks, Caleb concludes that he is very happy about his new job. 215. In his job, Caleb needs to do all of the following except _____. a. plan b. organize c. lead d. control e. hire

Scenario - Brittney Marr The opportunity to gain a foothold in the snack cracker industry had just been found. Brittney Marr, an account executive manager for Baked Wheat Industries had developed an interest in wheat crackers two months ago when one of her newly hired account execs, Hunter Bender, had told her about the high margins and promising future associated with that market. Marr had always believed that if you do your homework in hiring the best people then it only makes sense to listen to their recommendations and implement their suggestions. Marr had given her approval to Bender to explore opportunities to move into this promising new market. This morning, Bender reported that Jackson Corporation had severed its contract with Feel Good Crackers Incorporated. Apparently, the Feel Good salesman had shared sensitive information about Jackson at a cocktail party. Bender had already established a good relationship with Feel Good buyers and so recognized this as an opportunity to expand his market into wheat crackers. 216. Marr's management style reflects a belief in _____. a. Theory Y b. developing her employees through control c. the classical perspective d. Theory X e. utilizing technical skills

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Chap 01_12e_Daft Scenario - Caleb Miller

The promotion to first-line manager took place just six weeks ago for Caleb Miller. He was well qualified for the promotion, but the new job still required a lot of training. One of the challenges has been to coordinate the production of his team with the needs of the sales department and with the availability of raw materials from his suppliers. Setting priorities and developing schedules to accomplish the work is a part of Caleb's job that he has really enjoyed. The challenges to maintain high rapport and to build a strong team with his employees have already brought him a lot of satisfaction. In reflecting on the last six weeks, Caleb concludes that he is very happy about his new job. 217. By maintaining information links, Caleb Miller was exhibiting the interpersonal role of _____. a. figurehead b. leader c. liaison d. monitor e. spokesperson

218. With setting priorities and setting schedules, Caleb was participating in the decisional role of _____. a. entrepreneur b. disturbance handler c. disseminator d. resource allocator e. monitor

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Chap 01_12e_Daft Scenario - Brittney Marr The opportunity to gain a foothold in the snack cracker industry had just been found. Brittney Marr, an account executive manager for Baked Wheat Industries had developed an interest in wheat crackers two months ago when one of her newly hired account execs, Hunter Bender, had told her about the high margins and promising future associated with that market. Marr had always believed that if you do your homework in hiring the best people then it only makes sense to listen to their recommendations and implement their suggestions. Marr had given her approval to Bender to explore opportunities to move into this promising new market. This morning, Bender reported that Jackson Corporation had severed its contract with Feel Good Crackers Incorporated. Apparently, the Feel Good salesman had shared sensitive information about Jackson at a cocktail party. Bender had already established a good relationship with Feel Good buyers and so recognized this as an opportunity to expand his market into wheat crackers. 219. Marr's behavior provides an example of _____. a. the use of scalar rope b. division of organization c. the principle of inversion d. unity of direction e. All of these choices

Scenario - Caleb Miller

The promotion to first-line manager took place just six weeks ago for Caleb Miller. He was well qualified for the promotion, but the new job still required a lot of training. One of the challenges has been to coordinate the production of his team with the needs of the sales department and with the availability of raw materials from his suppliers. Setting priorities and developing schedules to accomplish the work is a part of Caleb's job that he has really enjoyed. The challenges to maintain high rapport and to build a strong team with his employees have already brought him a lot of satisfaction. In reflecting on the last six weeks, Caleb concludes that he is very happy about his new job. 220. The managerial skill that is least important at Caleb's middle-level management position is _____. a. conceptual b. human c. technical d. marketing

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Chap 01_12e_Daft 221. Describe the skills necessary for performing a manager's job.

222. The classical perspective emphasizes managing with a rational, scientific approach. The humanistic perspective emphasizes understanding the behavior, needs, and attitudes of those involved in the work process. Isolate two main characteristics of each approach and combine them to form your own hybrid management perspective.

223. List three of the basic ideas of scientific management.

224. Describe the four management functions.

225. Briefly discuss the relationship between management skills and management level.

226. Artificial intelligence (AI) has become a state-of-the-art business leadership tool. Identify some tasks that could be done using AI software.

227. List the three assumptions associated with McGregor's Theory X.

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Chap 01_12e_Daft 228. Describe the three categories of managerial roles.

229. Define management and describe two important ideas expressed in the definition.

230. Identify the four functions of management.

231. What are technical skills? At what level are they most important and why?

232. Effective managers must possess technical skills, human skills, and conceptual skills in varying degrees. After defining each term, justify your assessment of which of the three skills you deem to be most important to a successful manager.

233. List five of Mintzberg's managerial roles.

234. Discuss the advantages and disadvantages of Taylor's scientific management.

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Chap 01_12e_Daft 235. Companies often pull new managerial candidates from a pool of outstanding individual performers. Contrast the role of the individual performer with that of the manager. Be sure to include a description of how both roles might use the ABC's of prioritizing tasks or activities, a classic time management technique.

236. The process of management in the workplace is changing. In the past, a manager's task was to achieve organizational goals by maintaining tight control over their employees while standardizing procedures to maintain stability. Today's managers are asked to empower employees while encouraging collaboration and innovation. Contrast today's workforce with the workforce of the past. What developments in present society necessitate a shift in management style? Can you foresee other management style changes on the horizon?

237. The bossless workplace is one modern management technique that strives to meet new management challenges and address the needs of employees, customers, and the environment. There is no hierarchy in a bossless workplace, and all workers are created equal. What additional management technique must be practiced in order to facilitate a bossless workplace? In your judgment, is going "bossless" a realistic approach to today's workplace?

238. Why are conceptual skills most important for top managers?

239. Briefly describe what happened in the Hawthorne studies and explain the results and conclusions of these studies.

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Chap 01_12e_Daft 240. Management science (or the quantitative perspective) uses mathematics, statistics, and computer technology for complex problem solving, decision making, and record keeping. Define the three subsets of management science, and evaluate the usefulness of this management technique in today's workplace, including at least one advantage and one disadvantage.

241. Small businesses and nonprofit organizations require good management to achieve their goals. But the efforts and activities of each are directed toward a different "bottom line." Describe a managerial position at a nonprofit where you would like to work, and discuss how the requirements differ from a managerial position in a large, for-profit organization. Incorporate the concepts you have learned about the manager's role in small businesses and nonprofit organizations.

242. Describe the assumptions behind McGregor's Theory X and Theory Y. How do these theories relate to the classical perspective on management and early human relations ideas?

243. The writings of Fayol, Taylor, and Weber provide the foundation for modern management. Identify the school of thought associated with each writer and compare the focus that each writer takes in relation to the organization.

244. List the three management skills necessary to perform effectively in organizations.

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Chap 01_12e_Daft Answer Key 1. True 2. False 3. True 4. False 5. True 6. False 7. False 8. False 9. True 10. True 11. False 12. True 13. True 14. False 15. False 16. False 17. True 18. False 19. False 20. True 21. True 22. False 23. False 24. False 25. False 26. True

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Chap 01_12e_Daft 27. False 28. True 29. True 30. True 31. False 32. False 33. True 34. True 35. False 36. True 37. False 38. True 39. True 40. False 41. True 42. True 43. False 44. True 45. True 46. True 47. False 48. True 49. False 50. True 51. True 52. False 53. True 54. True Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 55. True 56. False 57. True 58. False 59. True 60. True 61. False 62. False 63. True 64. False 65. True 66. True 67. True 68. True 69. False 70. True 71. True 72. True 73. False 74. True 75. True 76. False 77. True 78. True 79. d 80. c 81. c 82. d Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 83. c 84. c 85. a 86. a 87. a 88. b 89. c 90. e 91. c 92. c 93. a 94. b 95. c 96. a 97. c 98. e 99. a 100. a 101. a 102. c 103. c 104. e 105. e 106. a 107. d 108. e 109. e 110. c Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 111. e 112. a 113. a 114. b 115. a 116. b 117. b 118. a 119. a 120. a 121. e 122. a 123. b 124. b 125. d 126. d 127. b 128. a 129. b 130. b 131. c 132. c 133. b 134. e 135. a 136. e 137. d

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Chap 01_12e_Daft 138. c 139. a 140. b 141. b 142. b 143. d 144. c 145. b 146. c 147. c 148. a 149. a 150. b 151. c 152. e 153. e 154. e 155. c 156. d 157. d 158. b 159. d 160. c 161. a 162. d 163. b 164. b 165. b Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 166. d 167. a 168. a 169. a 170. c 171. c 172. d 173. d 174. d 175. c 176. d 177. e 178. b 179. d 180. d 181. b 182. a 183. d 184. d 185. e 186. a 187. e 188. c 189. d 190. b 191. d 192. d 193. b Copyright Cengage Learning. Powered by Cognero.

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Chap 01_12e_Daft 194. b 195. b 196. c 197. b 198. c 199. c 200. a 201. a 202. c 203. e 204. d 205. c 206. b 207. b 208. d 209. a 210. c 211. b 212. a 213. d 214. c 215. e 216. a 217. c 218. d 219. d 220. c

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Chap 01_12e_Daft 221. The skills are conceptual, human, and technical. Conceptual skills include the cognitive ability to see the organization as a whole system and the relationships among its parts. Human skills refer to a manager's ability to work with and through other people and to work effectively as part of a group. Technical skills include the understanding of and proficiency in the performance of specific tasks. 222. Classical perspective main characteristics: 1. Scientific management that seeks to improve productivity by employing standardized methods for doing each job and selecting and training appropriate workers; gives wage incentives; wellillustrated by assembly-line production. 2. Bureaucratic approach is impersonal with clearly defined roles of authority and responsibility and strict record keeping; often seen as a threat to personal liberty. 3. Administrative principles approach focuses on increasing productivity of entire organization as opposed to productivity of individual worker. 4. Management science uses mathematics, statistical techniques, and computer technology to facilitate management decision making, particularly for complex problems. Humanistic perspective main characteristics: 1. Human relations movement seeks to satisfy employee needs in order to increase production. 2. Human resources approach allows employees to use their full potential. 3. Behavioral sciences approach uses disciplines such as psychology and sociology to assess human interactions in the workplace. 4. Worker empowerment, participation, and cooperation, not control of workers. 223. Any three of the following develop standard methods for doing each job: select workers with appropriate abilities; train workers in standard methods; support workers and eliminate interruptions; and provide wage incentives. 224. Planning means defining goals for future performance and determining how to attain them. Organizing involves assigning tasks, grouping tasks into departments, and allocating resources across the organization. Leading is the use of influence to motivate employees to attain organizational goals. Controlling means monitoring employees' activities, keeping the organization on track toward meeting its goals, and making corrections as necessary. 225. Conceptual and human skills become more important as a manager moves up through the organization, and technical skills become less important as a manager moves up through the organization. 226. AI software is automating mundane office tasks in operations such as accounting, billing, payments, and customer service. AI programs can scan documents, check the accuracy of customer records, enter numbers into spreadsheets, and make payments. 227. (1) Individuals have an innate dislike of work and will try to avoid it; (2) Most people must be coerced to get them to put out a reasonable level of effort; and (3) The typical person prefers to be told what to do. 228. The three categories of managerial roles are informational, interpersonal, and decisional. Informational roles describe the activities used to maintain and develop an information network. Interpersonal roles pertain to relationships with others and are related to human skills. Decisional skills relate to those events about which the manager must make a choice and take action. 229. Management is defined as the attainment of organizational goals in an effective and efficient manner through the planning, organizing, leading, and controlling of organizational resources. The two important ideas expressed include the four functions of management and the attainment of organizational goals in an effective and efficient manner. 230. Planning, organizing, leading, and controlling 231. Technical skill is the understanding of and proficiency in the performance of specific tasks. Technical skills are particularly important at lower organizational levels, but they become less important than human and conceptual skills as managers move up the hierarchy.

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Chap 01_12e_Daft 232. Student answers will vary. Technical – understands and is proficient in the performance of tasks (knowledge and use of tools and techniques, as well as troubleshooting and problem solving). Human – can work with and work through other people, both individually and as a group (motivate, communicate, coordinate, lead, resolve conflict). Conceptual – can think strategically and see one’s team as part of a bigger system (a company, an industry, a community, a society). Failed management is overwhelmingly attributed to lack of human skills, e.g., poor communication with employees and/or customers and lack of relationship building with the team. 233. Mintzberg’s managerial roles include monitor, spokesperson, disseminator, figurehead, leader, liaison, entrepreneur, disturbance handler, resource allocator, and negotiator. 234. The advantages of scientific management include the standardization of work, the systematic study of work, the linking of performance and pay, and improved productivity. The disadvantages include its failure to consider the social context within which work takes place and its failure to appreciate workers' needs, other than their need for money. 235. Student answers will vary. An individual performer is a specialist who thinks in terms of performing specific activities expertly, as well as spending time and energy to perfect his current skill and master new ones. He generally accomplishes tasks through his own efforts, rather than relying on others. A manager must learn to think differently about himself and his personal identity. He must become a generalist who coordinates a range of activities and helps others develop their potential. Rather than accomplishing the task himself, a manager delegates to others, working with and through them. New managers and employees alike often struggle with managing a large workload and can benefit from implementing classic time management techniques. The ABC's of prioritizing tasks or activities include the following: A—highly important, must be done, serious consequences; B—should be done, minor consequences; C —nice to get done, but optional with no consequences; D—delegate this task to someone else. 236. Student answers will vary. People in today's society want to feel like they are making a valuable contribution in the workplace; they are much less likely to relinquish "control" to their manager. They often demand more flexibility and creativity in their work situation because their lives are fast paced, unpredictable, and increasingly mobile. Today's managers have to accomplish more with fewer resources. They recognize the value of being an enabler rather than a controller, using an empowering leadership style, and enlisting the cooperation of willing workers who are part of a team. Improved communication techniques, use of social media, and the increase in off-site workers will surely force even more changes related to management style in the future. 237. The bossless workplace must have employees who are emotionally involved in their jobs and satisfied with working conditions (employee engagement). Companies must train employees to work effectively within a nonhierarchical system. All workplaces do not lend themselves to the bossless concept, but all workplaces benefit from applying employment engagement techniques to some degree. Companies can create an atmosphere where employees feel a commitment to the company goal and mission. They can communicate honestly with employees and provide opportunities for career advancement as well as community service. Today's educated, mobile workers want a flexible, collaborative work environment that uses cutting-edge technologies, and where they can have a part in decision making. As such, many workers will seek out a company that leans toward being bossless. 238. Top managers are often the keys to holding the whole company together. Many of the responsibilities of top managers —such as decision making, resource allocation, and innovation—require a broad view.

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Chap 01_12e_Daft 239. Harvard researchers, working under the direction of Elton Mayo, were studying the effects of various lighting conditions on worker performance at the Western Electric Company plant in Hawthorne, Illinois. Each time an experimental change was made, performance improved, regardless of the change. The early conclusion was that workers perceived that their work was important enough to hire researchers to work with them, and this recognition of importance was sufficient to motivate improved performance. This conclusion led to the development of the human relations movement, which stressed the importance of satisfied, happy workers. Recent analysis suggests that money may have been the single most important motivating factor. 240. Three subsets are operations research (mathematical model building and application), operations management (specifically used to solve manufacturing and production issues), and information technology (information relay throughout the organization). Management science has become critical to the efficient management of large companies and business systems. But managers cannot rely exclusively on numbers and algorithms because they do not take the human factor into consideration. 241. Student answers will vary. Managers in both arenas must adjust various management functions and roles to fit their unique work environment. Managers in small businesses often act as the face of the company, spokesperson, and entrepreneur who must be innovative and help their company thrive and be competitive. Their efforts and activities are directed toward improving products and services, increasing sales, and earning money for the company. Managers in nonprofit organizations also act as the public face of their nonprofit, the spokesperson who solicits government and donor funding, the leader who builds a community of employees and volunteers who are missiondriven, and the resource allocator. Their efforts and activities are directed toward making an impact on society. 242. Douglas McGregor became frustrated with the early, simplistic human relations notions. He challenged both the classical perspective and the early human relations assumptions about human behavior. McGregor believed that the classical perspective was based on Theory X assumptions about workers. He also felt that a slightly modified version of Theory X fit early human relations ideas. He proposed Theory Y as a more realistic view of workers for guiding management thinking. 243. Fayol is associated with the administrative principles approach and focused on the manager level. Taylor is associated with scientific management and focused on the work level. Weber is associated with the bureaucratic organizations approach, and his focus was on the level of the organization. 244. Conceptual, human, and technical skills

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Chap 02_12e_Daft Indicate whether the statement is true or false. 1. The mythical sales representative at Robinson Jewelers who delivered a wedding ring directly to the church because the ring had been ordered late is an example of a hero. a. True b. False 2. Nonprofit organizations must pay close attention to the environment. a. True b. False 3. Physical symbols are associated with the surface level of organizational culture. a. True b. False 4. A narrative based on events within the organization that is frequently repeated is called an organizational story. a. True b. False 5. The general environment and the task environment are the two components of an organization's external environment. a. True b. False 6. The natural dimension of the task environment includes all elements that occur naturally on Earth, including plants, animals, rocks, and natural resources such as air, water, and climate. a. True b. False 7. The outer layer, the general environment, is widely dispersed and affects organizations directly. a. True b. False 8. More organizations are performing boundary spanning because environmental shifts can happen quickly. a. True b. False 9. The international dimension of the external environment represents events originating in foreign countries as well as opportunities for U.S. companies in other countries. a. True b. False 10. McDonald's, Burger King, and Taco Bell are competitors since all three sell fast food to individuals. a. True b. False

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Chap 02_12e_Daft 11. In determining what cultural values are important for the organization, managers should consider the external environment as well as the company's strategy and goals. a. True b. False 12. Organizations must manage environmental uncertainty to be effective. a. True b. False 13. Uncertainty means that managers have sufficient information about environmental factors to understand and predict environmental needs and changes. a. True b. False 14. The technological dimension of the external environment includes scientific and technological advancements in a specific industry as well as in society at large. a. True b. False 15. In adaptive cultures, managers actively create change by encouraging and rewarding creativity, experimentation, and risk taking. a. True b. False 16. The consistency culture has an external focus and a consistency orientation for a dynamic environment. a. True b. False 17. Economic problems in other parts of the world have a tremendous impact on U.S. companies. a. True b. False 18. An achievement culture is found in an environment that is dynamic and requires high-risk decision making. a. True b. False 19. A phrase or sentence that succinctly expresses a key corporate value is called a story. a. True b. False 20. Labor market forces affecting organizations right now include the growing need for computer-literate knowledge workers and the necessity for continuous investment in human resources through recruitment, education, and training. a. True b. False

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Chap 02_12e_Daft 21. If Johnson Lumber provides trees for Westvaco Paper Manufacturing, then Johnson Lumber is considered a supplier for Westvaco. a. True b. False 22. Customers are the people and organizations in the environment who acquire goods or services from the organization. a. True b. False 23. The labor market is made up by people in the environment who can be hired to work for an organization. a. True b. False 24. When an organization pays little attention to cultural values or business results, success will be difficult to sustain in the long run. a. True b. False 25. Organizations within the same industry often reveal similar cultural characteristics because they are operating in similar environments. a. True b. False 26. Companies in Quadrant D put high emphasis on both culture and solid business performance as drivers of organizational success. a. True b. False 27. The economic dimension of the general environment includes consumer purchasing power. a. True b. False 28. A ceremony is a planned activity at a special event that is conducted for the benefit of an audience. a. True b. False 29. Customers and competitors are two important sectors of the economic dimension of a firm's general environment. a. True b. False 30. Culture can be defined as the ability to speak different languages. a. True b. False

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Chap 02_12e_Daft 31. The raw materials that an organization uses to produce its outputs are provided by customers. a. True b. False 32. In today's business environment, most companies operate in a stable and rigid environment. a. True b. False 33. A bill to raise the minimum wage to $15 from the current federal hourly rate of $7.25 has been introduced in the U.S. Congress. a. True b. False 34. The sociocultural dimension of the general environment includes societal norms and values. a. True b. False 35. The cultural leader articulates a vision for the organizational culture that employees can believe in and that generates excitement. a. True b. False 36. A results-oriented culture that values competitiveness, aggressiveness, personal initiative, and willingness to work long and hard to achieve results is called the achievement culture. a. True b. False 37. Current employees, management, and especially corporate culture are part of an organization's internal environment. a. True b. False 38. Quadrant A represents organizations that are focused primarily on bottom-line results and pay little attention to organizational values. a. True b. False 39. Corporate culture plays a key role in creating an organizational climate that enables learning and innovative responses to threats from the external environment, challenging new opportunities, or organizational crises. a. True b. False 40. The set of key values, beliefs, and norms that are shared by members of an organization are combined to create the symbols of an organization. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 02_12e_Daft 41. An example of part of the legal–political dimension of the general environment is a government's report on the decline of the unemployment rate. a. True b. False 42. An example of a supply chain is Toyota's more than 500 global parts suppliers that are organized by a production strategy called just-in-time. a. True b. False 43. In a high-performance culture, organizations put high emphasis on both culture and solid business performance as drivers of organizational success. a. True b. False 44. Cultural values in organizations are rarely observed but are rather deeply embedded to the extent that members are not consciously aware of them. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 45. The level of corporate culture that cannot be seen but can be discerned from how people explain and justify what they do is _____. a. invisible artifacts b. expressed values and beliefs c. slogans and ceremonies d. dress and office layout e. None of these choices 46. Roadtec Tire Company has a corporate culture that emphasizes an internal focus on the involvement and participation of employees, placing high value on meeting the needs of employees. The company is known for its caring, family-like atmosphere. Which type of corporate culture does Roadtec possess? a. Adaptability culture b. Achievement culture c. Consistency culture d. Involvement culture e. Matrix culture

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Chap 02_12e_Daft 47. Jefferson and Squire is an advertising firm that is viewed as having a fast-paced and posh corporate culture. The company uses bold colors with expensive accents in all office décor. This exemplifies which level of corporate culture? a. Visible artifacts b. Underlying assumptions c. Expressed values d. Heroes e. Ceremonies 48. Events and forces that alter an organization's ability to achieve its goals are known as _____. a. strategic issues b. boundary spanning issues c. organizational internal issues d. external issues e. systematic issues 49. People in the environment who can be hired to work for the organization are known as _____. a. competitors b. the labor market c. suppliers d. customers e. government officials 50. For Southwest Airlines, all of the following can be suppliers except _____. a. Exxon (providing jet fuel) b. Citibank (providing finances) c. Delta Air Lines (providing competition) d. Boeing (providing planes) e. All of these choices 51. A network of multiple businesses and individuals that are connected through the flow of products or services is known as a(n) _____. a. association b. organization c. conjunction group d. liaison e. supply chain

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Chap 02_12e_Daft 52. Which of the following plays a key role in creating an organizational climate that enables learning and innovative responses to threats from the external environment, challenging new opportunities, or organizational crises? a. Mission statement b. Vision statement c. Competitive intelligence d. Employee training e. Corporate culture 53. What type of intelligence occurs when managers gather information by talking with colleagues and subordinates within the organization about what is going on in departments and about issues they see with customers, suppliers, or competitors? a. Personal internal b. Personal external c. Organizational internal d. Organizational external e. None of these choices 54. An object, act, or event that conveys meaning to others is referred to as a _____. a. symbol b. slogan c. story d. hero e. culture 55. People in the environment who can be hired to work for the organization are referred to as _____. a. the labor market b. employees c. independent contractors d. personnel e. team members 56. All of the following are types of corporate cultures except _____. a. adaptability culture b. clan culture c. consistency culture d. involvement culture e. achievement culture

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Chap 02_12e_Daft 57. Which of the following is associated with the surface level of organizational culture? a. Values b. Norms c. Manners of dress d. Beliefs e. All of these choices 58. Taylor manages a food distribution company that is highly focused on creating a strong cohesive culture, but the company does not tie organizational values directly to goals and desired business results. Taylor's company most likely falls in which quadrant of organizational performance and culture? a. Quadrant A b. Quadrant B c. Quadrant C d. Quadrant D e. None of these choices 59. Integrated Computers, Inc. wants to compile a profile of the customer it will target in its next promotional mailing. What environment would this be found in? a. Internal environment b. Task environment c. Work environment d. General environment e. None of these choices 60. If a company emphasizes that "no purchase is complete until the customer is satisfied," then it is _____. a. utilizing a symbol b. communicating its values to customers c. using a slogan to present its values to customers and employees d. utilizing a hero for the purpose of conveying values e. using customers to harass employees 61. Morgan Madison received "The Employee of the Month" award at Internal Workings Remodeling Service in April. Morgan would be considered a part of which of the following for Internal Workings? a. General environment b. Task environment c. Economic environment d. Internal environment e. Political activity

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Chap 02_12e_Daft 62. Organizations in the same industry that provide goods or services to the same set of customers are known as _____. a. competitors b. corporations c. multinationals d. enterprises e. None of these choices 63. Which of the following statements regarding the adaptability culture and its ability to emerge is true? a. An adaptability culture emerges in an environment that requires fast response and high-risk decision making. b. An adaptability culture emerges in an environment that requires fast response and low-risk decision making. c. An adaptability culture emerges in an environment that requires slow response and high-risk decision making. d. An adaptability culture emerges in an environment that requires slow response and low-risk decision making. e. An adaptability culture emerges in an environment that requires regulated response and low-risk decision making. 64. Which dimension of the general environment represents the demographic characteristics, norms, customs, and values of the population within which the organization operates? a. Legal–political dimension b. Economic dimension c. Technological dimension d. Corporate culture dimension e. Sociocultural dimension 65. A high-performance culture is based on all of the following except _____. a. a solid organizational mission b. shared adaptive values c. individual employee ownership of bottom-line results d. individual employee ownership of the organization's cultural backbone e. a singular focus on business results 66. SweetTooth Candies is a U.S.-based company that manufactures and distributes candy bars and snack foods globally. The company sources most of its cocoa and sugar from South American companies. This business relationship highlights which dimension of the task environment? a. Customers b. Competitors c. Labor market d. Culture e. Suppliers Copyright Cengage Learning. Powered by Cognero.

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Chap 02_12e_Daft 67. A narrative based on a true event that is repeated frequently and shared by organizational employees is referred to as a _____. a. symbol b. slogan c. story d. hero e. culture 68. The people and organizations in the environment who acquire goods or services from the organization are _____. a. competitors b. suppliers c. customers d. employees e. potential employees 69. Which of the following dimensions of the general environment includes all elements that occur naturally on Earth? a. Sociocultural dimension b. Technological dimension c. Economic dimension d. Natural dimension e. Environmental dimension 70. A figure who exemplifies the deeds, character, and attributes of a corporate culture is referred to as a _____. a. symbol b. story c. slogan d. hero e. culture 71. A government inspection has required your company to upgrade the safety equipment in the manufacturing process of ice cream. What dimension of the external environment has influenced these upgrades? a. Technological b. Legal–political c. Task d. Sociocultural e. Economic

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Chap 02_12e_Daft 72. Grocery stores that encourage the use of reusable bags and provide a location for customers to recycle used plastic grocery bags are impacting the _____. a. natural dimension b. technological dimension c. sociocultural dimension d. economic dimension e. legal–political dimension 73. An object, act, or event that conveys meaning to others is known as a _____. a. symbol b. story c. slogan d. culture e. mission statement 74. Which dimension of the general environment includes federal, state, and local government regulations? a. Technological b. Legal–political c. Economic d. Sociocultural e. International 75. An approach to boundary spanning that results from managers using various sources to gather information and spot patterns or trends that might be important is known as _____. a. merger intelligence b. business intelligence c. competitive intelligence d. partnership intelligence e. environment intelligence 76. Which culture uses an internal focus and a consistency orientation for a stable environment? a. Involvement culture b. Achievement culture c. Consistency culture d. Adaptability culture e. None of these choices 77. Which of the following is a part of Ford's, the U.S. auto manufacturer, task environment? a. Inflation rate b. Chrysler c. Securities and Exchange Commission (SEC), a government regulating agency d. Amazon.com, an online bookseller e. Ford's corporate culture Copyright Cengage Learning. Powered by Cognero.

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Chap 02_12e_Daft 78. Parker is graduating from college in a few months and has begun to search for a job. Parker has always been very competitive and would like to work for a company that values competitiveness and personal initiative. Parker should focus on companies that have a(n) _____. a. adaptability culture b. achievement culture c. consistency culture d. transformational culture e. involvement culture 79. McDonald's "I'm Lovin' It" is an example of a _____. a. ceremony b. symbol c. ritual d. slogan e. story 80. Which of the following is part of an organization's internal environment? a. Customers b. Salespeople c. Consumer price index d. Suppliers e. Competitors 81. The general economic health of the country or region in which the organization operates is represented by which dimension? a. Sociocultural b. International c. Economic d. Legal–political e. Technological 82. All of the following are a part of an organization's task environment except _____. a. customers b. labor markets c. competitors d. employers e. suppliers

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Chap 02_12e_Daft 83. Which of the following is an important characteristic of the sociocultural dimension of the general environment? a. Geographical distribution b. Population density c. Age d. Education level e. All of these choices 84. "Just Do It" is Nike's _____. a. ceremony b. slogan c. symbol d. ritual e. story 85. Managers continuously scan the business horizon for both subtle and dramatic environmental changes known as _____. a. boundary spanning events b. uncertainties c. dimension disruptions d. strategic issues e. mergers 86. Events or forces either inside or outside an organization that are likely to alter its ability to achieve its objectives are known as _____. a. planning issues b. strategic issues c. competition issues d. shareholder issues e. regulatory issues 87. In a study by Kotter and Haskett, evidence is provided to support the claim that _____. a. managing cultural values is important for performance b. leading partnerships within an industry is important for performance c. surveying the external environment is important for performance d. managing client relationships as boundary spanners is important for performance e. empowering employees is important for performance

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Chap 02_12e_Daft 88. Which dimension of the general environment includes scientific and technological advancements in a specific industry and in society? a. Sociocultural b. International c. Economic d. Legal–political e. Technological 89. A culture that is results-oriented and values competitiveness, aggressiveness, personal initiative, and willingness to work long and hard to achieve results is called a(n) _____. a. clan culture b. achievement culture c. consistency culture d. adaptability culture e. high-performance culture 90. Executives at One World Advertising have learned that it is necessary to establish strong personal relationships and emotional bonds with Chinese business partners. This relates most closely to which dimension of the general business environment? a. Natural b. Sociocultural c. Legal–political d. International e. Internal 91. A source of business intelligence for managers is _____. a. personal internal b. personal external c. organizational external d. organizational internal e. All of these choices 92. Which environment is widely dispersed and affects organizations indirectly? a. Organizational b. Boundary spanning c. Task d. General e. Internal

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Chap 02_12e_Daft 93. Organizations with internal focuses and consistency orientations for a stable environment should create a(n) _____. a. clan culture b. achievement culture c. consistency culture d. adaptability culture e. involvement culture 94. Which environment affects organizations indirectly? a. Task environment b. General environment c. Organizational environment d. None of these choices e. All of these choices 95. The internal environment within which managers work includes all of the following except the _____. a. corporate culture b. production technology c. organization structure d. physical facilities e. labor market 96. Which of the following environments consists of demographic factors, such as population density? a. Technological b. Sociocultural c. Legal–political d. Internal e. Economic 97. Which dimension of the external environment represents events originating in foreign countries as well as opportunities for American companies in other countries? a. National dimension b. Global dimension c. International dimension d. Local dimension e. Regional dimension

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Chap 02_12e_Daft 98. Ping is a top-level executive at a banking institution. She spends a significant part of her day meeting with local government officials, every-day consumers, and federal banking officials to address key issues in the banking industry. Ping's role can best be described as _____. a. boundary spanning b. adaptive c. organizational d. external e. internal 99. What is likely to happen to organizations that pay little attention to either cultural values or business results? a. Unlikely to survive for long b. No help for performance during hard times c. Profitable in short run but difficult to sustain over long term d. High performance e. None of these choices 100. Which type of intelligence occurs when managers develop positive relationships with individuals working at competing firms, suppliers, and customer organizations in order to gain information from these sources? a. Personal internal b. Personal external c. Organizational internal d. Organizational external e. None of these choices 101. Which environment includes the elements within the organization's boundaries? a. Organizational b. Boundary spanning c. Task d. General e. Internal 102. Which of the following means that managers do not have sufficient information about environmental factors to understand and predict environmental needs and changes? a. Adaptation b. Risk c. Uncertainty d. Knowledge e. Education

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Chap 02_12e_Daft 103. Which of the following would be considered a visible artifact of a company's corporate culture? a. All department heads have an executive office. b. Each department has an award plaque for employee of the month. c. All employees are dressed in professional business attire. d. Top-level executives drive company-owned sports cars. e. All of these choices could be considered an artifact of a company's corporate culture. 104. Dixon Ticonderoga Co. is in trouble because of increased competition especially from low-cost pencil companies in China. This is an example of which dimension? a. Sociocultural b. International c. Economic d. Legal–political e. Technological 105. The level of corporate culture in which values are so deeply embedded that members are no longer consciously aware of them is _____. a. invisible artifacts b. expressed values and beliefs c. underlying assumptions and deep beliefs d. dress and office layout e. slogans and ceremonies 106. A primary way in which managers shape cultural norms and values to build a high-performance culture is through _____.

a. corporate culture b. organizational planning c. professional development d. top-down management e. cultural leadership 107. Angel's Applesauce is in the process of hiring 60 new workers. The personnel department has a large pool of unskilled labor to draw from due to the high unemployment rate in the local area. Which dimension of the external environment is involved here? a. Sociocultural b. Competitors c. Technological d. Labor market e. Legal–political

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Chap 02_12e_Daft 108. Culture tends to differ between organizations but appears similar within _____. a. industries b. people c. educational institutions d. groups e. geographical regions 109. A phrase or sentence that succinctly expresses a key corporate value is known as a _____. a. symbol b. story c. culture d. hero e. slogan 110. When an organization deals with only a few external factors and these factors are relatively stable, managers experience _____. a. boundary spanning roles b. low uncertainty c. high uncertainty d. shifting customer tastes e. varying levels of uncertainty 111. What type of focus does the involvement culture have on the involvement and participation of employees to rapidly meet changing needs from the environment? a. External b. Internal c. Structural d. Competitive e. Technological 112. The deeds of some people are extraordinary, but not so extraordinary that other employees cannot perform the same deeds. These people are referred to as _____. a. supervisors b. heroes c. managers d. a team e. None of these choices

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Chap 02_12e_Daft 113. What type of culture emerges in an environment that requires fast response and high-risk decision making? a. Clan culture b. Achievement culture c. Consistency culture d. Adaptability culture e. High-performance culture 114. Which of the following cultures is suited to organizations that are concerned with servicing specific customers in the external environment but without the intense need for flexibility and rapid change? a. Adaptability culture b. Clan culture c. Achievement culture d. Consistency culture e. None of these choices 115. Heroes are important to an organization due to the fact that they _____. a. exemplify key values of the organization b. exemplify a strong corporate culture c. serve as examples to other employees d. All of these choices e. None of these choices 116. Which environment includes the sectors that conduct day-to-day transactions within the organization? a. Organizational b. Boundary spanning c. Task d. General e. Internal 117. The system that draws resources from the external environment and releases goods and services back to it is known as a(n) _____. a. production system b. closed system c. open system d. informational system e. management system 118. Which dimension includes government regulations at the local, state, and federal levels? a. Sociocultural b. International c. Economic d. Legal–political e. Technological Copyright Cengage Learning. Powered by Cognero.

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Chap 02_12e_Daft 119. In response to pressure from environmental advocates, organizations have become increasingly sensitive to diminishing _____. a. natural resources b. economic resources c. financial resources d. human resources e. technology resources 120. Which of the following cultures values and rewards a methodical, rational, orderly way of doing things? a. Achievement culture b. Involvement culture c. Accomplishment culture d. Consistency culture e. Adaptability culture 121. A slogan is a phrase or a sentence that concisely communicates a key corporate _____. a. mission statement b. phrase c. product line d. idiom e. value 122. Culture can be defined as _____. a. the set of key values, beliefs, understandings, and norms shared by members of an organization b. the ability to speak different languages c. an object, act, or event that conveys meaning to others d. a narrative based on true events that is repeated frequently and shared by organizational employees e. None of these choices 123. Which of the following statements regarding the consistency culture is true? a. The consistency culture has an external focus and an orientation for a stable environment. b. The consistency culture has an external focus and an orientation for a dynamic environment. c. The consistency culture has an internal focus and an orientation for a stable environment. d. The consistency culture has an internal focus and an orientation for a dynamic environment. e. The consistency culture has a structural focus and an orientation for a dynamic environment.

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Chap 02_12e_Daft 124. Which environment includes all elements existing outside the boundary of the organization that have the potential to affect the organization? a. Organizational environment b. Internal environment c. Task environment d. General environment e. Technological environment 125. Symbols, stories, and heroes are important because they _____. a. entertain executive-level management b. address the concerns of government c. acquaint customers to the organization d. communicate the significant values of an organization e. give employees something to talk about 126. All of the following types of companies are likely to experience high uncertainty except a(n) _____. a. computer and electronics company b. telecommunications organization c. soft-drink bottler d. aerospace organization e. internet organization 127. Not having sufficient information about environmental factors to understand and predict environmental needs and changes is called _____. a. lack of dimension b. uncertainty c. competition culture d. environmental incompatibility e. instability 128. Which environment includes sectors that have a direct working relationship with the organization, among customers, competitors, suppliers, and the labor market? a. Organizational b. Global c. Task d. General e. Internal

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Chap 02_12e_Daft 129. Lee's Jewelry Shop has just hired a comparative shopper to visit other local jewelry stores to gain product pricing information. What strategy is this describing? a. Boundary spanning b. A flexible structure c. Unfair practice d. Increase planning and forecasting e. Joint venture 130. Which culture places high value on meeting the needs of employees and is characterized by a caring, family-like atmosphere? a. Clan culture b. Achievement culture c. Consistency culture d. Adaptability culture e. Involvement culture 131. All elements existing outside the boundaries of the organization that have the potential to affect the organization are included in the external _____. a. organizational environment b. boundary spanning environment c. task environment d. general environment e. customer environment 132. Which culture emphasizes an internal focus on the participation of employees to adapt rapidly to changing needs from the environment? a. Involvement culture b. Achievement culture c. Consistency culture d. Adaptability culture e. None of these choices 133. Managers emphasize both values and business results to create a(n) _____. a. clan culture b. achievement culture c. consistency culture d. adaptability culture e. high-performance culture

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Chap 02_12e_Daft 134. Scientific and technological advancements in a specific industry as well as in society at large are included in which general environment dimension? a. Sociocultural dimension b. Legal–political dimension c. Economic dimension d. Technological dimension e. Corporate culture dimension 135. Which of the following is included in an organization's task environment? a. Suppliers b. Accounting procedures c. Technology d. Government e. Demographic characteristics 136. People and organizations that provide raw materials the organization uses to produce its output are called _____. a. industrialists b. corporations c. producers d. suppliers e. None of these choices 137. Which dimension of the general environment represents the demographic characteristics as well as the norms, customs, and values of the general population? a. Sociocultural b. International c. Economic d. Legal–political e. Technological 138. When environmental factors change rapidly, the organization experiences high _____. a. turnover b. stress c. internal discord d. uncertainty e. None of these choices

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Chap 02_12e_Daft 139. Managers must be ready to react and respond to subtle environmental shifts due to the fact that the environments in which businesses operate are increasingly _____. a. static b. universal c. constant d. dynamic e. traditional 140. The general environment dimension that includes consumer purchasing power, the unemployment rate, and interest rates is called the _____. a. legal–political dimension b. sociocultural dimension c. technological dimension d. economic dimension e. task dimension 141. Which of the following defines and uses signals and symbols to influence corporate culture? a. Mission statement b. Cultural leader c. Slogan d. Artifact e. None of these choices 142. Which of the following is NOT part of an organization's general environment? a. Technological b. Economic c. Competitors d. Legal–political e. Sociocultural 143. List the six dimensions of the general environment.

144. Name one of the two dimensions that the categories of culture are based on.

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Chap 02_12e_Daft Scenario - Neva Williams Neva Williams was working as the sales manager for Industrial Instruments. Some of the sales executives were showing signs of burnout. They were losing interest in their jobs and were no longer motivated to gain new accounts. The reward system focused on old reliable accounts, but Neva was now under pressure to expand the customer base. Neva had recently been to a seminar on corporate value systems. She recognized that the company's CEO wanted to change the way employees thought about the firm and the way they related to one another. She further recognized that a lasting solution to her problem required a fundamental shift in perception. 145. Which of the following could Neva use to affect the corporate culture? a. Structured symbolic logic b. Stories about political heroes c. Stories about company officers, stressing a value d. Stories about economic depression e. All of these choices

146. List two reasons why ceremonies are held in an organization.

Scenario - Neva Williams Neva Williams was working as the sales manager for Industrial Instruments. Some of the sales executives were showing signs of burnout. They were losing interest in their jobs and were no longer motivated to gain new accounts. The reward system focused on old reliable accounts, but Neva was now under pressure to expand the customer base. Neva had recently been to a seminar on corporate value systems. She recognized that the company's CEO wanted to change the way employees thought about the firm and the way they related to one another. She further recognized that a lasting solution to her problem required a fundamental shift in perception. 147. To affect the value system, Neva will be working primarily with the _____. a. legal–political dimension b. sociocultural dimension c. internal cultural dimension d. economic dimension e. external dimension

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Chap 02_12e_Daft Scenario - Kyle Hill Kyle Hill, sales manager for One-Hit-Wonder Record Company, was trying to create a new strategy to turn around the declining record sales the company was facing. Kyle needed to find a way to find out what the customers really wanted, since One-Hit-Wonder didn't have accurate information like the competitors did. It was imperative that he find the correct strategy and information because the company was in financial trouble. The company's president wanted all employees to help find information and work as a team to develop better relationships that might help the company. He also stated that he wanted the company to remain an independent company. Kyle realized that through hard work and team efforts, the company could get back on its feet as soon as it received reliable information. 148. The problem Kyle is facing is _____. a. a culture gap b. structural instability c. environmental uncertainty d. a company transformation e. a legal problem

149. Which of the following best describes One-Hit-Wonder's culture? a. Clan culture b. Achievement culture c. Consistency culture d. Adaptability culture e. None of these choices

150. Kyle will be working primarily with _____. a. the legal–political dimension b. the labor market c. the internal cultural dimension d. pressure groups e. the sociocultural dimension

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Chap 02_12e_Daft 151. Which of the following would be the best way for One-Hit-Wonder to decrease its uncertainty? a. Create boundary spanning roles b. Eliminate interorganizational partnerships c. Merge with another company d. Create a joint venture e. None of these choices

Scenario - Neva Williams Neva Williams was working as the sales manager for Industrial Instruments. Some of the sales executives were showing signs of burnout. They were losing interest in their jobs and were no longer motivated to gain new accounts. The reward system focused on old reliable accounts, but Neva was now under pressure to expand the customer base. Neva had recently been to a seminar on corporate value systems. She recognized that the company's CEO wanted to change the way employees thought about the firm and the way they related to one another. She further recognized that a lasting solution to her problem required a fundamental shift in perception. 152. Neva could hold planned activities at special events to provide examples of company values. These planned activities are known as _____. a. ceremonies b. slogans c. symbols d. stories e. None of these choices

153. Industrial Instruments operates in an environment that requires fast response and high-risk decision making. Which type of culture may be appropriate here? a. Consistency b. Adaptability c. Clan d. Achievement e. Involvement

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Chap 02_12e_Daft 154. List three visible artifacts of an organization's culture.

155. Name the two dimensions that organizations with high-performance cultures emphasize.

156. Define the external organizational environment. List the four things this environment includes that could influence an organization.

157. Discuss the different levels of culture.

158. Briefly describe the task environment and its four primary sectors.

159. Uncertainty in a business environment refers to lacking sufficient information necessary to predict future environmental needs and changes. Turbulence in a business environment refers to the amount of change and complexity that exists in that organizational environment. Choose one of the strategies that managers use to adapt to environmental changes and give your assessment of the ethical issues that might arise from its use.

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Chap 02_12e_Daft 160. List the four categories of culture and describe what kind of environments each fits best in.

161. Based on the model in the text, discuss the relationship between external environmental characteristics and uncertainty.

162. An organizational environment is influenced by both external and internal factors. Summarize the concept of the organizational ecosystem. Include an example (real or fictional) of how changes in the general environment and the task environment may affect a business.

163. Briefly discuss the two key areas in which cultural leaders influence culture.

164. Managers shape cultural norms and values in an organization through cultural leadership. Define cultural leadership and describe some methods a cultural leader may use to ensure high performance in his or her organization. In your opinion, is the role of cultural leader "motivation" or "manipulation"? Explain.

165. Name the six dimensions of the general environment and describe each dimension.

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Chap 02_12e_Daft 166. For an organization to be effective, its internal culture should align with organizational strategy and the needs of the external environment. The manager must determine what kind of culture (or combination of cultures) is necessary in order to succeed in the environment. Describe each of these four types of corporate culture, and defend the type that you think gives a company the most competitive advantage: Adaptability culture Achievement culture Involvement culture Consistency culture

167. What are the four sources of business intelligence?

168. Corporate or organizational culture is the set of values, beliefs, understandings, and norms shared by those who are its members. It guides how people within the organization interact with one another, and how the organization interacts with the external environment. Organizations will often use symbols, stories, slogans, heroes, and ceremonies as expressions of their corporate culture. Select five well-known corporate slogans and symbols. For each, interpret what belief or value you think the company is trying to convey with the slogan and symbol. Then rewrite the slogan to show how you really feel about the company or its product.

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Chap 02_12e_Daft Answer Key 1. True 2. True 3. True 4. True 5. True 6. False 7. False 8. True 9. True 10. True 11. True 12. True 13. False 14. True 15. True 16. False 17. True 18. False 19. False 20. True 21. True 22. True 23. True 24. True 25. True 26. False

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Chap 02_12e_Daft 27. True 28. True 29. False 30. False 31. False 32. False 33. True 34. True 35. True 36. True 37. True 38. True 39. True 40. False 41. False 42. True 43. True 44. False 45. b 46. d 47. a 48. a 49. b 50. c 51. e 52. e 53. a 54. a Copyright Cengage Learning. Powered by Cognero.

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Chap 02_12e_Daft 55. a 56. b 57. c 58. d 59. b 60. c 61. d 62. a 63. a 64. e 65. e 66. e 67. c 68. c 69. d 70. d 71. b 72. a 73. a 74. b 75. b 76. c 77. b 78. b 79. d 80. b 81. c 82. d Copyright Cengage Learning. Powered by Cognero.

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Chap 02_12e_Daft 83. e 84. b 85. d 86. b 87. a 88. e 89. b 90. d 91. e 92. d 93. c 94. b 95. e 96. b 97. c 98. a 99. a 100. b 101. e 102. c 103. e 104. b 105. c 106. e 107. d 108. a 109. e 110. b Copyright Cengage Learning. Powered by Cognero.

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Chap 02_12e_Daft 111. b 112. b 113. d 114. c 115. d 116. c 117. c 118. d 119. a 120. d 121. e 122. a 123. c 124. a 125. d 126. c 127. b 128. c 129. a 130. e 131. a 132. a 133. e 134. d 135. a 136. d 137. a

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Chap 02_12e_Daft 138. d 139. d 140. d 141. b 142. c 143. International, technological, sociocultural, economic, legal–political, and natural 144. The categories of culture are based on the extent to which the external environment requires flexibility or stability or the extent to which a company's strategic focus is internal or external. 145. c 146. Ceremonies are held to reinforce valued accomplishments, to create a bond among people by allowing them to share an important event, and to anoint and celebrate heroes. 147. c 148. c 149. d 150. e 151. a 152. a 153. b 154. Possible responses would include dress, office layout, symbols, slogans, and ceremonies. 155. Cultural values and business performance 156. The external organizational environment includes all elements that exist outside the organization's boundaries that have the potential to affect the organization. The environment includes competitors, resources, technology, and economic conditions. 157. Culture can be analyzed at two levels. At the surface, there are the visible representations of culture, such as ceremonies and patterns of behaviors. These representations are easily observable. The second level of culture is invisible and can be found in expressed ideas and values. These ideas and values can be identified through an analysis of such things as symbols and stories. Some values become so deeply embedded in a culture that members are no longer consciously aware of them. 158. The task environment is the portion of the external environment that directly influences the organization's operations and performance. The task environment is made up of customers, competitors, suppliers, and the labor market. These sectors typically conduct day-to-day transactions with the organization.

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Chap 02_12e_Daft 159. Boundary spanning acquires information so managers are aware of their external organizational environment as well as their internal environment, represents the organization's interests to the external environment, and attempts to influence the external environment. Boundary spanning uses business intelligence, which searches internal and external data to spot trends, correlations, and patterns, often by using big data analytics; competitive intelligence, which gathers information about rivals and competitors. Paragraph will give student assessment of ethical issues arising from use of one of the managerial strategies, such as competitive intelligence. 160. Adaptability culture fits best in fast response and high-risk decision-making environments. Achievement culture fits best in results-oriented cultures that value competitiveness, aggressiveness, personal initiative, and willingness to work long and hard to achieve results. Involvement culture fits best in internal and employee-need focused environments where the organization is seen as having a caring, family-like atmosphere. Consistency culture fits best in an internal-focused organization that has a consistency orientation for a stable environment. 161. The external environment can be evaluated along two dimensions. First, one can evaluate (high to low) a number of factors in the environment. Second, one can evaluate (high to low) the rate of change of those factors. When both variables are low, low uncertainty characterizes the external environment. When both variables are high, the external environment is marked by a high level of uncertainty. A highly uncertain environment requires organizations to adapt and/or attempt to influence the external environment. 162. Organizational ecosystems span industries and are formed by the interactions among a community of organizations in the environment; encompass all sectors of the general and task environments that are necessary for a business to thrive, internally and externally; and take into consideration services and transactions that may be so far removed from the organization that their impact is not readily perceived. General environment indirectly affects business; can be social (changing public sentiment), legal–political (newly passed laws), technological (invention of new electronic devices), economic (recession), and natural (sensitivity to natural resource conservation). General environment may not change daily operations drastically, but eventually affects all business. Task environment includes sectors that directly influence a business or organization, such as customers, the labor market, suppliers, and competitors. Such factors will show how general and task environment factors may affect a business either negatively or positively. 163. The cultural leader articulates a vision for the organizational culture that employees can believe in and that generates excitement. This means the leader defines and communicates central values that employees believe in and will rally around. The cultural leader heeds the day-to-day activities that reinforce the cultural vision. The leader makes sure that work procedures and rewards systems match and reinforce the values. Actions speak louder than words, so cultural leaders "walk their talk." 164. A cultural leader defines and articulates important values that are tied to a clear mission; must over-communicate, by words and example, to make sure employees have a sufficient level of understanding when old values have to change and new values are instituted; establishes a vision and purpose that employees can believe in and support; makes sure that day-to-day work procedures and rewards systems comport with the established values; and must emphasize both solid business results and values to create a high-performance culture. A high-performance culture is based on a solid mission, embodies shared values that guide business decisions and practices, and encourages employee responsibility for results. Student answers will assess the role of cultural leader.

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Chap 02_12e_Daft 165. The six dimensions of the general environment are international, sociocultural, economic, legal–political, natural, and technological. The international dimension refers to events originating in foreign countries as well as opportunities for American companies in other countries. The technological dimension refers to the scientific and technological advancements within a specific industry and society. The sociocultural dimension represents the demographic characteristics of the general population. The economic dimension represents the general economic health of the country or area in which the organization operates. The legal–political dimension refers to the local, state, and federal regulations and the political activities designed to influence company behavior. Finally, the natural dimension includes all elements that occur naturally on Earth, including plants, animals, rocks, and resources such as air, water, and climate. 166. Adaptability culture values ability to rapidly interpret and translate environmental signals into new behaviors, often gives employees much freedom to make decisions on their own, and values responsiveness to customers. Achievement culture values hard work, aggressiveness, competitiveness, initiative, and results; often serves a customer base; or operates in an environment where there is little need for flexibility and rapid change. Involvement culture values cooperation and equality in the workplace and meeting employee needs and often has a family-like atmosphere. Consistency culture values methodical, rational, and orderly operation in a stable environment; few companies can operate solely in a consistency culture, and most companies have values that fall into more than one category. Students will argue for their choice of which culture type gives the most competitive advantage. 167. The four sources of business intelligence are personal internal, personal external, organizational internal, and organizational external. 168. Five product or company slogans and symbols with student interpretations of the message the company is trying to convey, and a rewrite of the slogan that expresses the student's feeling about the company or its product. Example: Allstate Insurance Company uses outstretched, cupped hands to give itself human characteristics and portray the idea of tender care for the welfare of its customers. Slogan: "You're in Good Hands with Allstate" Rewrite: "Allstate. Our Hands, Your Pockets."

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Chap 03_12e_Daft Indicate whether the statement is true or false. 1. Ethnocentrism refers to a natural tendency of people to regard their own culture as superior and to downgrade or dismiss other cultural values. a. True b. False 2. Country managers have the freedom to use different furnishings and develop new products to suit local tastes. a. True b. False 3. Two major alternatives for engaging in the international arena are to seek cheaper resources via outsourcing and to develop markets outside the home country. a. True b. False 4. Differing laws and regulations make doing business a challenge for international firms. a. True b. False 5. An MNC is managed as an integrated worldwide business system. a. True b. False 6. A multinational corporation typically receives more than 25% of its total sales revenues from operations inside the parent's home country. a. True b. False 7. High uncertainty avoidance means that members of a society are likely to feel uncomfortable in unpredictable situations. a. True b. False 8. The Internet and plunging telecommunications costs have enabled companies to outsource more and higherlevel work as well, such as software development, accounting, and medical services. a. True b. False 9. The primary emphasis of polycentric companies is on their home countries. a. True b. False

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Chap 03_12e_Daft 10. Countries that value high power distance normally have cities that are geographically separated and so have the need to transport electrical energy over large distances. a. True b. False 11. A multinational corporation is managed as an integrated worldwide business system in which foreign affiliates act in close alliance and cooperation with one another. a. True b. False 12. Social values greatly influence organizational functioning and management styles. a. True b. False 13. The term "top of the pyramid" refers to the more than 4 billion people who earn the least, as defined by per capita income. a. True b. False 14. The three components to cultural intelligence are cognitive, emotional, and physical. a. True b. False 15. MNC top managers regard the entire world as one market for strategic decisions; resource acquisition; and location of production, advertising, and market efficiency. a. True b. False 16. According to the GLOBE Project, gender differentiation refers to the extent to which a society maximizes gender role differences. a. True b. False 17. According to the GLOBE Project, a society with a high performance orientation places high emphasis on performance and rewards people for performance improvements and excellence. a. True b. False 18. The basic management functions of planning, organizing, leading, and controlling are the same whether a company operates domestically or internationally. a. True b. False

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Chap 03_12e_Daft 19. Collectivism means a preference for a tightly knit social framework in which individuals look after one another and organizations protect their members' interests. a. True b. False 20. Seeking cheaper sources of materials or labor offshore is called offshoring. a. True b. False 21. A high-context interaction requires more time because a relationship has to be developed, and trust and friendship must be established. a. True b. False 22. Market risk is defined as the risk of loss of assets, earning power, or managerial control due to politically based events or actions by host governments. a. True b. False 23. With exporting, a corporation transfers its products for sale and its production facilities to foreign countries. a. True b. False 24. According to the GLOBE value dimensions, Japan and Russia both have very high performance orientation. a. True b. False 25. The countries experiencing political stability face the greatest threat of violence. a. True b. False 26. Licensing means engaging in the international division of labor so that work activities can be done in countries with the cheapest sources of labor and supplies. a. True b. False 27. A high performance orientation means that a society encourages toughness, assertiveness, and competitiveness. a. True b. False 28. A tendency to regard one's own culture as superior and to downgrade other cultures reflects an attitude called geocentric. a. True b. False

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Chap 03_12e_Daft 29. The subdivisions of the international environment are the economic, sociocultural, and legal–political environments. a. True b. False 30. The Federal Bureau of Investigation (FBI) ranks international cybercrime as one of its top priorities because electronic boundaries between countries are virtually nonexistent. a. True b. False 31. Cultural intelligence refers to a person's ability to use reasoning and observation skills to interpret unfamiliar gestures and situations and devise appropriate behavioral responses. a. True b. False 32. An example of global outsourcing is seen when Gap Inc. uses low-cost Caribbean labor to cheaply produce its clothing and then finishes and sells its clothing in the United States. a. True b. False 33. When a country has a humane orientation, its people are likely to care about helping others and being kind. a. True b. False 34. Geocentric companies are truly world-oriented and favor no specific country. a. True b. False 35. In the past 40 years, both the number and the influence of MNCs have declined drastically. a. True b. False 36. Ethnocentrism refers to a natural tendency of people to regard their own culture as inferior to other cultures. a. True b. False 37. Business has become a unified, global field, and events and ideas that influence organizations in one country are likely to influence organizations in other countries as well. a. True b. False 38. Culture shock refers to a person's ability to use reasoning and observation skills to interpret unfamiliar gestures and situations and devise appropriate behavioral responses. a. True b. False

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Chap 03_12e_Daft 39. Large international firms typically are called multinational corporations. a. True b. False 40. Nineteen member states of the EU have adopted the rupee as a single European currency. a. True b. False 41. A low-context culture is a culture in which communication is used to enhance personal relationships. a. True b. False 42. The goal of the European Union is to create a powerful single market system for Europe's millions of consumers. a. True b. False 43. German, Swiss, and North American cultures are among the high-context cultures. a. True b. False 44. Many managers fail to realize that the values and behaviors that typically govern how business is done in their own country don't always translate to the rest of the world. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 45. Digitec Company has recently decided to design and manufacture a laptop that retails for under $50 in an effort to make information technology available to people in places like rural Africa and rural India. This is known as which of the following strategies? a. Bottom of the pyramid b. Skimming the barrel c. Cream of the crop d. Top of the peak e. Base price 46. As a first step into international business, which two countries are most companies locating in today? a. Russia and Japan b. Sweden and Germany c. China and India d. Brazil and Philippines e. Indonesia and Brazil

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Chap 03_12e_Daft 47. Which of the following reflects a cultural preference for cooperation, group decision making, and quality of life? a. Individualism b. Collectivism c. Masculinity d. Femininity e. Power distance 48. Which of the following is a low-context culture? a. German b. Chinese c. Korean d. Arab e. Japanese 49. Which of the following types of companies places an emphasis on their home country? a. Polycentric b. Geocentric c. Ethnocentric d. Global e. Egocentric 50. A person's ability to use reasoning and observation skills to interpret unfamiliar gestures and situations and devise appropriate behavioral responses is known as _____. a. uncertainty avoidance b. power distance c. individualism d. collectivism e. cultural intelligence 51. The risk of loss of assets, earning power, or managerial control due to political changes or instability in a host country is known as _____. a. financial risk b. political risk c. regulatory risk d. environmental risk e. market risk 52. What type of company places an emphasis on a worldwide perspective? a. Polycentric b. Geocentric c. Ethnocentric d. Egocentric e. Domestic Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 53. MNCs that are oriented toward the markets of individual foreign host countries are considered _____. a. polycentric b. geocentric c. ethnocentric d. unicentric e. egocentric 54. Which of the following countries possesses a low degree of gender differentiation? a. China b. Brazil c. Italy d. South Korea e. Denmark 55. Which of the following is a single European currency that replaced 19 national currencies and unified a huge marketplace? a. Deutsche mark b. Franc c. Lira d. Euro e. Pound 56. Which of the following was organized in 1957 to improve economic and social conditions among its members? a. GATT b. WTO c. EU d. NAFTA e. USMCA 57. Many companies first get involved internationally by _____. a. starting joint ventures b. outsourcing c. buying a subsidiary d. exporting e. forming a partnership

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Chap 03_12e_Daft 58. A.R.C. is a large non-profit humanitarian aid organization that has been forced to pull out of several African markets in recent years due to civil wars and large-scale violence. This demonstrates which frequently cited problem for international companies? a. Political instability b. Communist governments c. Economic instability d. Future orientation e. Financial risk 59. Collectivist values are represented in the social framework of which of the following countries? a. United States b. Australia c. Mexico d. Great Britain e. All of these choices 60. A cultural attitude marked by the tendency to regard one's own culture as superior to others is called _____. a. ethnocentrism b. polycentrism c. geocentrism d. technocentrism e. none of these choices 61. Which of the following types of management is defined as the management of business operations conducted in more than one country? a. Multinational b. Geocentric c. Polycentric d. National e. International 62. The concept that proposes that corporations can alleviate poverty and other social ills by selling to the world's poorest people is known as _____. a. cream of the crop b. skimming the barrel c. bottom of the pyramid d. top of the peak e. base hierarchy

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Chap 03_12e_Daft 63. Which of the following is ultimately controlled by a single management authority that makes key strategic decisions relating to the parent and all affiliates? a. Joint venture b. Partnership c. Multinational corporation d. Subsidiary e. None of these choices 64. Which of the following countries does NOT have collectivist values? a. China b. Mexico c. Canada d. Brazil e. Costa Rica 65. Which of the following countries possesses a high degree of assertiveness? a. Spain b. Sweden c. Japan d. Iceland e. Switzerland 66. Go RVing, a U.S. company, shared the costs of building a manufacturing facility in England with its subsidiary there. This is an example of _____. a. franchising b. a multinational venture c. a joint venture d. an export agreement e. a licensing agreement 67. Which of the following countries has feminine values? a. Sweden b. Costa Rica c. Norway d. France e. All of these choices 68. Which of the following countries is seen as a major source of technological and scientific brainpower? a. United States b. Canada c. India d. United Kingdom e. Germany Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 69. Political risk is included in which of the following international environments? a. Legal–political environment b. Economic environment c. Sociocultural environment d. Barter system environment e. Government environment 70. How many nations signed on for negotiation when GATT was created in 1947? a. 15 b. 23 c. 28 d. 40 e. 57 71. Organization managers who encourage employees to be altruistic and caring have a(n) _____. a. ethnocentric attitude b. humanistic attitude c. instrumental attitude d. pluralistic attitude e. performance attitude 72. One of Hofstede's social values that was developed later is _____. a. power distance b. uncertainty avoidance c. masculinity d. collectivism e. long-term orientation 73. A loosely knit social framework in which individuals are expected to take care of themselves is called _____. a. culture b. individualism c. ethnocentrism d. masculinity e. power distance 74. A value characterized by people's intolerance for uncertainty and ambiguity and resulting support for beliefs that promise certainty and conformity is known as _____. a. power distance b. uncertainty avoidance c. certainty avoidance d. conformity seeking e. none of these choices Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 75. Managing business operations in more than one country is known as _____. a. a partnership b. outsourcing c. a sociocultural challenge d. international management e. exporting 76. Due to politically based events or actions by host governments, political risk is defined as an organization's risk of loss of _____. a. assets b. managerial control c. earning power d. all of these choices e. none of these choices 77. All of the following are cultural dimensions as defined by the GLOBE Project except _____. a. assertiveness b. gender differentiation c. future orientation d. humane orientation e. masculinity 78. Joint ventures are a form of _____. a. outsourcing b. partnerships c. exporting d. countertrading e. barter trading 79. Liberia recently endured a destructive civil war, which killed more than 250,000 people. It is currently one of the UN's most expensive peace-keeping operations. This is an example of _____. a. high power distance b. political instability c. high uncertainty avoidance d. political stability e. ethnocentrism 80. The legal–political environment in international operations includes which of the following? a. Shared knowledge, beliefs, and values b. Political risks c. Social organizations d. Infrastructure e. None of these choices Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 81. Which of the following is NOT a legal–political factor in the international environment? a. Laws b. Language c. Regulations d. Political risk e. Political instability 82. The Maquiladora industry along the Texas-Mexico border on the Mexico side uses cheap labor for assembling products. This lowers the price for U.S. consumers and is an example of _____. a. licensing b. a joint venture c. outsourcing d. franchising e. none of these choices 83. Which of the following was signed by 23 nations in 1947 and started as a set of rules to ensure nondiscrimination, clear procedures, the negotiation of disputes, and the participation of lesser developed countries in international trade? a. GATT b. WTO c. EU d. NAFTA e. USMCA 84. Jada has a high tolerance for the unstructured, the unclear, and the unpredictable. She can best be described as having _____. a. high uncertainty avoidance b. low uncertainty avoidance c. a high degree of individualism d. a low degree of individualism e. a low level of power distance 85. The degree to which people accept inequality in power among institutions, organizations, and people is known as _____. a. power distance b. uncertainty avoidance c. individualism d. collectivism e. masculinity

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Chap 03_12e_Daft 86. The goal of the European Union is to _____. a. create a powerful, single-market system for Europe b. increase competition among European companies c. improve working conditions for European employees d. abolish the euro as a British currency e. actively withhold European support from communist countries 87. Hunter's Car Care receives more than 25% of its total sales revenues from operations outside of its home country, the United States. Hunter's would be considered a _____. a. foreign national b. wealth company c. multinational corporation d. globalization corporation e. none of these choices 88. Companies use which of the following tools to engage in the international arena, either to acquire resources or to enter new markets? a. Exporting b. Partnerships c. Outsourcing d. All of these choices e. None of these choices 89. MNCs that are truly world-oriented and favor no specific country are considered _____. a. polycentric b. geocentric c. ethnocentric d. unicentric e. egocentric 90. Recent research by the GLOBE Project has not only extended the research of which of the following, but has also offered new insights for managers? a. Hofstede's b. Walton's c. Weber's d. Fayol's e. Gilbreth's

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Chap 03_12e_Daft 91. When the 2008 financial crisis began in the United States, it resulted in the collapse of the housing market and the failure of several large financial institutions. This crisis spread rapidly to the rest of the world. This example demonstrates which of the following trends in the global economic environment? a. Economic development differs widely among countries of the world. b. Market demands differ for products and services throughout the world. c. Political instability is the primary result of economic failure. d. World markets are economically interconnected. e. Cultural factors have a greater impact on world markets than do economic factors. 92. Which aspect of management does not change when conducting business internationally? a. Planning b. Organizing c. Controlling d. Leading e. All of these choices 93. One of the fastest growing industries in India is _____. a. pharmaceuticals b. steel manufacturing c. automobile manufacturing d. heavy construction equipment e. mining 94. Which of the following countries is a rising power in software design, services, and precision engineering? a. Russia b. Germany c. China d. India e. Brazil 95. A preference for a loosely knit social framework in which individuals are expected to take care of themselves is called _____. a. uncertainty avoidance b. power distance c. individualism d. collectivism e. cultural intelligence

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Chap 03_12e_Daft 96. The management of business operations conducted in more than one country is called _____. a. global management b. international management c. outsourcing management d. planning management e. domestic management 97. Which trade agreement went into effect in 1994 and merged the United States, Canada, and Mexico into a single market? a. GLOBE b. EU c. NAFTA d. ASEAN e. GATT 98. Some companies seek cheaper resources, such as materials or labor, outside of their country. This is known as _____. a. offshoring b. exporting c. cost sharing d. a joint venture e. none of these choices 99. A report from research firm eMarketer indicated that which of the following countries would soon overtake the United States as the world's largest retail market? a. India b. Russia c. European Union d. China e. Brazil 100. Austria's cultural preference is for achievement, heroism, assertiveness, and material success. This would be considered _____. a. power distance b. individualism c. masculinity d. ethnocentrism e. collectivism

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Chap 03_12e_Daft 101. Rooftop International, Inc., buys insurance against host government takeover when investing in foreign countries. This is an example of which sector of the international environment? a. Legal–political b. Sociocultural c. Technological d. Economic e. Infrastructure 102. Which of the following is an entry strategy in which the organization maintains its production facilities within its home country and transfers its products for sale in foreign markets? a. Franchising b. Licensing c. Exporting d. Solo venture e. Joint venture 103. Which of the following characteristics distinguishes a multinational corporation? a. Top management is expected to take a global perspective. b. The corporation is controlled by a single management authority. c. The corporation is managed as an integrated worldwide business system. d. All of these choices are correct. e. None of these choices is correct. 104. Write Pens, Inc. wants to reduce transferring costs by producing closer to the consumer in a foreign country. This will also help in reducing transportation and storage costs. Which of the following strategies would be best, given these circumstances? a. Franchising b. Exporting c. Joint venture d. Barter agreement e. Licensing 105. All of the following are components of cultural intelligence except _____. a. physical b. cognitive c. emotional d. analytical

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Chap 03_12e_Daft 106. Companies that have a competitive edge tend to think _____. a. globally b. regionally c. nationally d. strategically e. "customers first" 107. People use communication primarily to exchange facts and information in a(n) _____. a. power culture b. informational culture c. high-context culture d. mid-context culture e. low-context culture 108. A nation's culture includes _____. a. shared knowledge b. beliefs c. modes of behavior d. values e. all of these choices 109. Engaging in the international division of labor so that manufacturing can be done in countries with the cheapest sources of labor and supplies is known as _____. a. global outsourcing b. exporting c. cost sharing d. joint venture e. none of these choices 110. A foreign terrorist kidnaps your firm's marketing VP while the VP is in the host country. This is a harsh example of _____. a. economic development b. infrastructure c. political risk d. international law e. social risk

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Chap 03_12e_Daft 111. Language, values, religion, and education all describe which of the following dimensions in the international environment? a. Economic b. Legal c. Political d. Sociocultural e. Technological 112. In which type of culture do people use communication primarily to exchange facts and information? a. High-context b. Low-context c. Ethnocentric d. Geocentric e. Polycentric 113. Which of the following refers to engaging in the international division of labor to obtain the cheapest sources of labor and supplies? a. Franchising b. Licensing c. Market entry strategy d. Outsourcing e. Activity 114. Companies that are world-oriented and favor no specific country _____. a. are ethnocentric b. are geocentric c. are likely to have high uncertainty avoidance d. have linguistic pluralism e. are polycentric 115. Which of the following is managed as an integrated worldwide business system in which foreign affiliates act in close alliance and cooperation with one another? a. Joint venture b. Partnership c. Multinational corporation d. Subsidiary e. None of these choices

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Chap 03_12e_Daft 116. Preference for achievement, heroism, assertiveness, work centrality (with resultant high stress), and material success is known as _____. a. femininity b. individualism c. masculinity d. collectivism e. capitalism 117. Exporting is defined as _____. a. a countertrade b. the barter of products for products, often used in developing nations c. making items produced in the home country for sale in foreign markets d. all of these choices e. none of these choices 118. Which of the following is making life hard for foreign companies in all industries? a. New regulations b. Increased taxes c. Higher costs d. Tighter governmental controls e. All of these choices 119. The natural tendency of people to regard their own culture as superior and to downgrade or dismiss other cultural values is known as _____. a. culture b. individualism c. ethnocentrism d. masculinity e. power distance 120. Which of the following factors differs from country to country? a. Laws b. Regulations c. Statutes d. Consumer protections e. All of these choices 121. Today's companies compete in a _____. a. growingly domestic culture b. low-context culture c. high-context culture d. joint economy e. borderless world Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 122. Which of the following reflects the values of relationships, cooperation, group decision making, and quality of life? a. Uncertainty avoidance b. Power distance c. Individualism d. Femininity e. Masculinity 123. Who identified four dimensions of national value systems that influence organizational and employee working relationships? a. Gina Kolata b. Paul Beamish c. Jeffrey Sparshott d. Geert Hofstede e. Barbara Bilodeau 124. Which of the following means that members of a society feel uncomfortable with ambiguity and thus support beliefs that promise certainty and conformity? a. Uncertainty avoidance b. Power distance c. Collectivism d. Individualism e. Masculinity 125. Which of the following leaves the $1.2 trillion in annual trade flows among the United States, Mexico, and Canada largely unchanged, but establishes tougher rules on labor and environmental standards and new provisions for e-commerce and information technology? a. GATT b. WTO c. EU d. NAFTA e. USMCA 126. Which of the following countries possesses a high performance orientation? a. Israel b. Sweden c. Taiwan d. Russia e. Venezuela

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Chap 03_12e_Daft 127. Your company is interested in producing and marketing a line of coffee with another company that will penetrate the Chinese market. Your firm is willing to supply the equipment, products, product ingredients, trademark, and standardized operating system. The other company will supply infrastructure and the distribution network. Which of the following strategies are you going to use? a. Wholly owned foreign affiliate b. A joint venture agreement c. A franchise d. An export agreement e. Barter trade 128. Countries whose social values reflect low power distance _____. a. are highly democratic b. accept inequality in power among institutions, organizations and people c. expect equality in power d. avoid uncertainty e. none of these choices 129. A country that places emphasis on fairness and values kindness would be described by the GLOBE Project as high in _____. a. assertiveness b. uncertainty avoidance c. gender differentiation d. humane orientation e. societal collectivism 130. What type of interaction requires more time because a relationship has to be developed and trust and friendship must be established? a. High-context b. Sales c. Business d. Low-context e. None of these choices 131. The shared knowledge, beliefs, and values, as well as the common modes of behavior and ways of thinking, among members of a society are all included in a nation's _____. a. power distance b. culture c. masculinity d. individualism e. uncertainty avoidance

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Chap 03_12e_Daft 132. The GLOBE Project would describe countries where women are often in positions of high status as low in _____. a. assertiveness b. uncertainty avoidance c. gender differentiation d. societal collectivism e. performance orientation 133. The extent to which trade and investments, information, social and cultural ideas, and political cooperation flow between countries is called _____. a. standardization b. industrialization c. globalization d. internationalism e. linguistic pluralism 134. Todd is known by his colleagues as a great communicator, with an uncanny ability to shift speech patterns, expressions, and body language to be in tune with people from different cultures. Based on this example, Todd is strong in which of the following components of cultural intelligence? a. Cognitive b. Emotional c. Physical d. Tangible e. Intangible 135. For the past several years, foreign companies have invested more in business in what country compared to any other country in the world? a. Brazil b. India c. China d. United States e. Russia 136. Which of the following is defined as a culture in which communication is used to enhance personal relationships? a. Interpersonal b. High-context c. Power d. Low-context e. Family-oriented

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Chap 03_12e_Daft 137. Riots, revolutions, civil disorders, and frequent changes in government that affect the operations of an international company show _____. a. multinational culture b. ethnocentric culture c. legal culture d. political culture e. social value culture 138. With its large English-speaking population, which country has numerous companies offering services such as call-center operations, data-processing, computer programming, and technical support? a. Greenland b. Russia c. China d. Mexico e. India 139. Which of the following statements accurately compares the cultural factors in foreign countries to the political and economic factors? a. Cultural factors in foreign countries are easier to understand than the political and economic factors. b. Cultural factors in foreign countries are similar to the political and economic factors. c. Cultural factors in foreign countries are more perplexing than the political and economic factors. d. Cultural factors in foreign countries are less important than the political and economic factors. e. None of these choices accurately compares the cultural factors in foreign countries to the political and economic factors. 140. Most firms begin with which of the following strategies to enter foreign markets? a. Exporting b. Solo venture c. Joint venture d. Acquisition e. Direct investment 141. Kristi, a Japanese expatriate working in Denmark, tends to use communication primarily to build personal social relationships. She feels that relationships and trust are more important than business. Kristi is surprised that her business associates in Denmark do not share the same views. Based on this information, Kristi most likely grew up in what type of culture? a. Human-oriented b. Passive c. Assertive d. Low-context e. High-context

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Chap 03_12e_Daft 142. Which of the following has a goal to guide the nations of the world toward free trade and open markets? a. GATT b. WTO c. GLOBE d. EU e. NAFTA 143. Which of the following is a sociocultural factor in the international environment? a. Shared knowledge b. Exchange rates c. Tariffs, taxes, and quotas d. Per capita income e. Infrastructure 144. CRL, a European plastics manufacturer, is considering forming an alliance with a U.S. military goods manufacturer to develop a new type of polymer that can be used for international industrial and military applications. Such a partnership represents which of the following types of investment? a. Franchising b. Joint venture c. Wholly owned subsidiary d. Multinational e. Outsourcing 145. A preference for a tightly knit social framework in which individuals look after one another and organizations protect their members' interests refers to _____. a. uncertainty avoidance b. power distance c. individualism d. collectivism e. cultural intelligence

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Chap 03_12e_Daft Scenario - Shadia Cannon Shadia Cannon is an MBA student in Detroit, Michigan, with a managerial position at a Ford Motor Company plant. She has been invited to join a company that has entered into a joint venture with a German firm to manage a Volkswagen plant. Shadia would be under contract for one year, with an option to renew for a total of three years. Her salary would be 350% more than she is currently earning, and she would be given two allexpenses paid vacations each year. The money and the benefits sound very nice, but Shadia isn't sure which position is better. 146. Which of the following enables a company to market its products in other countries at modest resource cost and with limited risk? a. Outsourcing b. Exporting c. Licensing d. A joint venture e. Franchising

147. List the four value dimensions identified by Hofstede.

148. List the three components of cultural intelligence.

149. Describe what implicit communication means.

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Chap 03_12e_Daft Scenario - Shadia Cannon Shadia Cannon is an MBA student in Detroit, Michigan, with a managerial position at a Ford Motor Company plant. She has been invited to join a company that has entered into a joint venture with a German firm to manage a Volkswagen plant. Shadia would be under contract for one year, with an option to renew for a total of three years. Her salary would be 350% more than she is currently earning, and she would be given two allexpenses paid vacations each year. The money and the benefits sound very nice, but Shadia isn't sure which position is better. 150. If Shadia decides to take the new job, she will be most successful if she has _____. a. culture shock b. cultural intelligence c. linguistic pluralism d. ethnocentrism e. geocentrism

151. List five of the countries that make up the European Union (EU).

152. List the three options companies use to engage in the international arena, either to acquire resources or to enter new markets.

153. Explain NAFTA and its revision, USMCA.

154. Market strategies are various tactics that managers use to enter foreign markets. Compare and contrast these three market entry strategies: exporting, outsourcing, and partnerships.

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Chap 03_12e_Daft 155. Countries, businesses, and people are becoming increasingly interdependent. To succeed on an international level, managers in all fields need a global mind-set. Explain what it means to have a global mind-set and why it is necessary in today's business environment. Include your thoughts on two or three steps a manager can take to develop a global mind-set.

156. Describe GATT and the World Trade Organization (WTO).

157. Partnerships represent a higher level of involvement in international trade. One popular type of partnership is a joint venture. Describe how a joint venture can benefit the participants.

158. Briefly explain the difference between high power distance and low power distance.

159. What is global outsourcing? Give an example of a company using global outsourcing.

160. Cultural intelligence is a person's ability to use reason and observation to interpret culturally unfamiliar situations and know how to respond appropriately. Do you think it is important for managers to develop their cultural intelligence? Explain.

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Chap 03_12e_Daft 161. In the business world, large international firms that typically receive at least 25% of sales revenues from outside the parent country are called multinational corporations (MNCs). Describe major characteristics of the multinational corporation and explain the basics of the bottom of the pyramid (BOP) concept. Then give three examples of multinational corporations that are bringing goods and services to the world's poorest citizens. In your opinion, are each of these companies benefiting these citizens or taking advantage of them?

162. Briefly describe the social characteristic of ethnocentrism and explain how this can have an impact on the success of an international manager.

163. Briefly describe two personal challenges for global managers.

164. China and India have been the world's fastest growing economies in recent years. Summarize how these two countries are changing the landscape of international business and describe the arena in which each excels. Then choose some type of business that you would like to be involved in, and describe how and why you, as a manager in that business, would choose to work with other organizations in one of these two countries.

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Chap 03_12e_Daft Answer Key 1. True 2. True 3. True 4. True 5. True 6. False 7. True 8. True 9. False 10. False 11. True 12. True 13. False 14. True 15. True 16. True 17. True 18. True 19. True 20. True 21. True 22. False 23. False 24. False 25. False 26. False

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Chap 03_12e_Daft 27. False 28. False 29. True 30. True 31. True 32. True 33. True 34. True 35. False 36. False 37. True 38. False 39. True 40. False 41. False 42. True 43. False 44. True 45. a 46. c 47. d 48. a 49. c 50. e 51. b 52. b 53. a 54. e Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 55. d 56. c 57. d 58. a 59. c 60. a 61. e 62. c 63. c 64. c 65. a 66. c 67. e 68. c 69. a 70. b 71. b 72. e 73. b 74. b 75. d 76. d 77. e 78. b 79. b 80. b 81. b 82. c Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 83. a 84. b 85. a 86. a 87. c 88. d 89. b 90. a 91. d 92. e 93. a 94. d 95. c 96. b 97. c 98. a 99. d 100. c 101. a 102. c 103. d 104. c 105. d 106. a 107. e 108. e 109. a 110. c Copyright Cengage Learning. Powered by Cognero.

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Chap 03_12e_Daft 111. d 112. b 113. d 114. b 115. c 116. c 117. c 118. e 119. c 120. e 121. e 122. d 123. d 124. a 125. e 126. c 127. b 128. c 129. d 130. a 131. b 132. c 133. c 134. c 135. c 136. b 137. d

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Chap 03_12e_Daft 138. e 139. c 140. a 141. e 142. b 143. a 144. b 145. d 146. b 147. Power distance, uncertainty avoidance, individualism/collectivism, and masculinity/femininity 148. Physical, cognitive, and emotional 149. Implicit communication means that people send and receive unspoken cues, such as tone of voice or body language, in addition to the explicit spoken words when talking with others. 150. b 151. Some of the EU countries are Sweden, Finland, Denmark, Ireland, Luxembourg, Netherlands, Germany, Belgium, France, Portugal, Spain, Austria, Italy, and Greece. 152. Exporting, outsourcing (or offshoring), and partnerships 153. Taking effect in early 1994, the North American Free Trade Agreement (NAFTA) united the United States, Mexico, and Canada into a multitrillion dollar market. Over a 15-year period, this agreement removed tariffs and trade restrictions on most manufactured and agricultural products. In early 2020, the United States, Canada, and Mexico approved a revision to NAFTA, called the U.S.-Mexico-Canada Agreement (USMCA). The new USMCA leaves the $1.2 trillion in annual trade flows among the United States, Mexico, and Canada largely unchanged, but establishes tougher rules on labor and environmental standards and new provisions for e-commerce and information technology. 154. With exporting, a company produces goods or services in its own country and transfers for sale in foreign markets, has modest resource cost and limited risk, but may encounter problems with logistics and government regulations. Outsourcing, also called offshoring, divides labor so that work can be done in countries with the cheapest labor and supplies. Companies using outsourcing can employ both low- and high-level workers through Internet service and telecommunications, and jobs in the home country are lost to low-wage countries. Partnerships represent a higher level of involvement in international trade. One popular type of partnership is a joint venture. In a joint venture, a company shares costs and risks with another firm, typically in the host country, to develop new products, build a manufacturing facility, or set up a sales and distribution network. A partnership is often the fastest, cheapest, and least risky way to get into the global game. In addition to joint ventures, the complexity of today's global business environment is spurring managers at many companies to develop alliance networks, which are collections of partnerships with various other firms, often across international boundaries.

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Chap 03_12e_Daft 155. Global mind-set is the ability to appreciate and interact successfully with individuals, groups, and systems that represent characteristics different from your own. These can be social, cultural, political, institutional, psychological, or intellectual characteristics. Even if your own company has not expanded internationally, you will find yourself working with foreign firms within your own country. Having a global mind-set requires cognitive skills: knowledge and understanding of how cultures differ; psychological skills: ability to value and like diversity and handle the unpredictable and uncertain; and social skills: ability to behave in ways that engender trust from people who are different from you. A manager can expand their leisure travel to include other countries, or even parts of their own country where there is cultural diversity; learn to speak a different language; develop appreciation for different foods; develop an interest in world affairs; and develop cross-cultural relationships through social media. 156. GATT started as a set of rules to ensure nondiscrimination, clear procedures, dispute negotiation, and included lesser developed countries into international trade. GATT and the WTO use tariff concessions as a tool to increase trade. Each of the 23 nations that signed GATT agreed to limit tariff levels on imports from other members and to the most favored nation clause. GATT sponsored eight rounds of international trade negotiations aimed at reducing trade restrictions. The WTO guides and urges nations worldwide toward free trade and open markets. 157. In a joint venture, a company shares costs and risks with another firm, typically in the host country, to develop new products, build a manufacturing facility, or set up a sales and distribution network. A partnership is often the fastest, cheapest, and least risky way to get into the global game. In addition to joint ventures, the complexity of today's global business environment is spurring managers at many companies to develop alliance networks, which are collections of partnerships with various other firms, often across international boundaries. 158. Power distance is the degree to which people accept inequality in power among institutions, organizations, and people. With high power distance, this inequality is accepted. With low power distance, people expect equality with respect to power. 159. Global outsourcing is engaging in the international division of labor so that manufacturing can be done in countries with the cheapest sources of labor and supplies. Netgear, a Santa Clara, California-based company, makes networking equipment that is designed and marketed in the United States, engineered in Taiwan, and manufactured in China, helping the small company take advantage of the efficiencies it can gain in three different countries. 160. Student answers will vary. Values and behaviors among members of a society often govern how business is done in that society. What managers do around the world is the same, but how they do it depends on the culture within which they are operating, so they need cultural intelligence. Societies differ in their acceptance of workplace inequality (power distance), tolerance of the unstructured and unpredictable (uncertainty avoidance), preference for a loosely knit or tightly knit social framework (individualism and collectivism), and preference for achievement and assertiveness or group decision making and quality of life (masculinity vs. femininity). In a high-context culture, social context is very important, time must be spent to establish personal and social relationships, and nonverbal behavior is often more important than explicit words. In a low-context culture, meaning is derived primarily from words, and business transactions take precedence over relationship building. Managers who can discern the subtleties between cultures are more successful in international assignments.

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Chap 03_12e_Daft 161. A multinational corporation is managed as a worldwide business system in which foreign affiliates act in close alliance and cooperation. Capital, technology, and people are transferred among affiliates. An MNC can acquire materials and manufacture parts wherever in the world it is best served and is controlled by a single management authority that makes key decisions that relate to the parent and all affiliates. Top managers have a global perspective and regard the world as one market. There are, however, MNCs that stray from this model and are ethnocentric (oriented to home country), polycentric (oriented toward individual foreign host countries), and geocentric (worldoriented with no specific country favored). The bottom of the pyramid concept proposes that MNCs can help alleviate poverty while making profits, by selling to the world's poorest people, the 4 billion+ who earn less than $1,500 (U.S.) yearly. Students should give reasonable answers to support their opinions on three MNCs. 162. Ethnocentrism is a cultural attitude marked by the tendency to regard one's own culture as superior to others. When an international manager has this characteristic, they are less likely to be successful, because they devalue the culture in which they are trying to do business. When the culture is devalued, relationships can be damaged, trust can be lost, and the willingness to maintain the business relationship can be broken. 163. Managers will be most successful in foreign assignments if they are culturally flexible and if they can easily adapt to new situations. Thus, the two personal challenges that exist for global managers are overcoming ethnocentric tendencies and culture shock. Ethnocentrism is a cultural attitude marked by the tendency to regard one's own culture as superior to others. Culture shock refers to the frustration and stress that result from continually being exposed to new and different situations. Proper training and preparation of incoming global managers is crucial. 164. Many countries are using China and India as a first step into international business, investing more in China than is spent anywhere else in the world. China has the fastest growing middle class in history and is either first or second in purchasing a variety of luxury goods (BMW's largest market). Ford, Walmart, Google, Apple, and Coca-Cola all have relationships (though not always good relationships) with China. It is strong in manufacturing; at computer company, Lenovo—the country's first global corporation—company managers come from 14 different nations and most speak two or more languages. India is rising as a major service provider and source of technological and scientific brainpower (software design, precision engineering, world's largest exporter of generic pharmaceuticals). It has a large number of scientists, doctors, and researchers in addition to a large English-speaking population. Many U.S. companies outsource business to India. Both countries are sources of lower cost technological and scientific brainpower.

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Chap 04_12e_Daft Indicate whether the statement is true or false. 1. Compensatory justice argues that an employee's compensation should be based on individual performance. a. True b. False 2. Using a triple-bottom-line approach to measuring performance ensures that managers take social and environmental factors into account rather than blindly pursuing profit no matter the cost to society and the natural environment. a. True b. False 3. Important stakeholders in corporations include the government and the community. a. True b. False 4. A chief ethics officer is a company executive who oversees all aspects of ethics and legal compliance. a. True b. False 5. Individuals at the preconventional level are concerned with external rewards and punishments and obey authority to avoid detrimental personal consequences. a. True b. False 6. The practice of greenwashing has intensified in recent decades as companies try to capitalize on public interest in the green movement. a. True b. False 7. If something is ethical, it must not be illegal. a. True b. False 8. The moral agent is an individual who must make an ethical choice in an organization. a. True b. False 9. The COVID-19 pandemic may potentially weaken the idea that all stakeholders, not just shareholders, should benefit from corporate profits. a. True b. False

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Chap 04_12e_Daft 10. The ethical concept that acts are moral when they promote the individual's best long-term interests, which ultimately leads to the greater good, is known as the moral-rights approach. a. True b. False 11. The right of free consent, the right to privacy, and the right of freedom of speech are rights that should be considered in the moral-rights approach. a. True b. False 12. The practical approach to ethical decision making bases decisions on prevailing standards of the profession and the larger society, taking the interests of all stakeholders into account. a. True b. False 13. The great majority of managers operate at Level 2, the conventional level. a. True b. False 14. The utilitarian approach emerged as the basis for allocating ICU beds and ventilators during the COVID-19 pandemic. a. True b. False 15. Individuals are concerned with external rewards and punishments at the principled level. a. True b. False 16. Level 3 of the personal moral development model is conventional. a. True b. False 17. The preconventional level of personal moral development lives up to expectations of others, upholds laws, and fulfills duties and obligations of the social system. a. True b. False 18. A stakeholder is any group within or outside the organization that has a stake in the organization's performance. a. True b. False 19. Most ethical dilemmas in business involve a conflict between stakeholders and shareholders. a. True b. False

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Chap 04_12e_Daft 20. The ethical concept that argues that moral behaviors produce the greatest good for the greatest number of people is objective dualism. a. True b. False 21. Items such as customer privacy and community development fall under the social capital category for ESG scores. a. True b. False 22. Items such as water use and fuel management fall under the social capital category for ESG scores. a. True b. False 23. One of the newest positions in organizations is the chief operating officer, a response to widespread financial wrongdoing in recent years. a. True b. False 24. Economic development that generates wealth and meets the needs of the current population while preserving the environment for the needs of future generations refers to sustainability. a. True b. False 25. Monitoring the Internet to maintain the company's ethical climate and workplace productivity could be considered part of an individualistic approach. a. True b. False 26. Utilitarian, individualism, moral-rights, and objective dualism are the four approaches that guide ethical decision making. a. True b. False 27. Managers carry a tremendous responsibility for setting the ethical climate in an organization and can act as role models for others. a. True b. False 28. An individual at the postconventional level lives up to expectations of others, fulfills duties and obligations of social systems, and upholds law. a. True b. False

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Chap 04_12e_Daft 29. According to the text, approximately 20% of American adults reach the postconventional level of moral development. a. True b. False 30. Due to widening economic disparities, a heap of political scandals, and growing distrust of big business, Business Roundtable members are shifting toward a narrower view. a. True b. False 31. The majority of managers operate at the preconventional level of personal moral development. a. True b. False 32. Corporate social responsibility is management's obligation to make choices and take actions that will contribute to the welfare and interests of society as well as the organization. a. True b. False 33. The five primary stakeholders, as identified by the Business Roundtable, are customers, employees, shareholders, communities, and suppliers. a. True b. False 34. In a recent approach to corporate social responsibility, companies can now be assessed and measured on their performance along environmental, social, and governance dimensions. a. True b. False 35. Individualism is popular in the highly organized society of today because it supports immediate self-gain. a. True b. False 36. All stakeholders of an organization are its stockholders but not all stockholders are its stakeholders. a. True b. False 37. The virtue ethics approach to ethical decision making sidesteps debates about what is right, good, or just and bases decisions on prevailing standards of the profession and the larger society, taking the interests of all stakeholders into account. a. True b. False 38. The management reflex may be to protect the company from whistle-blowing. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 04_12e_Daft 39. Free choice lies between the domains of codified law and ethics. a. True b. False 40. Ethics training programs are not an important supplement as long as a well-written code of ethics exists. a. True b. False 41. Ethics, found between the domains of law and free choice, is the code of moral principles that governs any individual or groups. a. True b. False 42. Policy-based statements generally outline the procedure to be used in specific ethical situations. a. True b. False 43. A formal statement of the organization's values regarding ethics and social issues is called a code of ethics. a. True b. False 44. An ethical dilemma arises in a situation concerning right or wrong when values are in conflict. a. True b. False 45. Procedural justice requires that rules be administered fairly, stated clearly, and consistently and impartially enforced. a. True b. False 46. Principle-based statements define fundamental values and contain general language about company responsibilities, quality of products, and treatment of employees. a. True b. False 47. The disclosure by an employee of any corrupt, illegal, unethical, or illegitimate practices by the organization is called whistle-blowing. a. True b. False 48. The principled level of moral development is also referred to as the postconventional level. a. True b. False

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Chap 04_12e_Daft 49. Although public confidence in business managers is at an all-time low, politics, sports, and nonprofit organizations have not been affected. a. True b. False 50. Volunteerism refers to actively giving time and skills to a volunteer or charitable organization. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 51. The decision by Paula Reid, the manager who started the U.S. Secret Service prostitution scandal in Cartagena, was based largely on which approach? a. Justice b. Moral-rights c. Obstructive d. Individualism e. Practical 52. The ethical concept that moral behaviors produce the greatest good for the greatest number is referred to as the _____. a. utilitarian approach b. individualism approach c. moral-rights approach d. justice approach e. practical approach 53. The golden rule "do unto others as they would do unto you" is _____. a. an example of the utilitarian approach to ethical behavior b. representative of the moral-justice approach to moral decision making c. an example of the values that guide the individualism approach to ethical behavior d. silly and outdated e. an example of the justice approach to ethical behavior 54. Personal needs, family influence, and religious background all shape a manager's _____. a. code of ethics b. beliefs c. value system d. status e. employee standing

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Chap 04_12e_Daft 55. Rather than acting on individuals' internal ethical desires, which approach uses structures, incentives, choices, task groupings, and policies to reduce the temptation to act unethically? a. Profit-maximizing b. Values-orientated c. Structure-oriented d. None of these choices e. All of these choices 56. Sexual harassment is unethical because it violates an important part of which approach to ethical behavior? a. Utilitarian approach b. Individualism approach c. Justice approach d. Moral-rights approach e. Defensive approach 57. Which of the following is NOT one of the five primary stakeholders, as identified by BRT? a. Customers b. Employees c. Shareholders d. Competitors e. Communities 58. Behavior that is not always written down and may actually not serve an organization's bottom line is known as _____. a. legal responsibility b. economic responsibility c. ethical responsibility d. discretionary responsibility e. social responsibility 59. Which of the following percentage of people surveyed in a recent poll feel that corporate America's moral compass is pointing in the wrong direction? a. 10% b. 29% c. 52% d. 75% e. 98%

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Chap 04_12e_Daft 60. Which approach directly targets individuals' internal desires to be ethical? a. Profit-maximizing b. Values-orientated c. Structure-oriented d. None of these choices e. All of these choices 61. Which of the following primary stakeholders are concerned with decisions about the quality, safety, and availability of goods? a. Suppliers b. Employees c. Shareholders d. Customers e. Communities 62. Which of the following may whistle-blowers suffer? a. Job loss b. Ostracism by coworkers c. Transfer to lower-level position d. Hostile work environment e. All of these choices 63. Which of the following argues that individuals should be compensated for the cost of their injuries by the party responsible? a. Equal justice b. Procedural justice c. Compensatory justice d. Distributive justice e. Selective justice 64. Which of the following is an individual who must make an ethical choice in an organization? a. Symbolic leader b. Obstructive manager c. Defensive individual d. Moral agent e. Authoritarian manager

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Chap 04_12e_Daft 65. Managers who weave environmental and social concerns into every strategic decision and revise policies and procedures to support these efforts and goals operate under which type of philosophy? a. Sustainability b. Conservation c. Ethics d. Preservation e. Human concerns 66. People learn to conform to the expectations of good behavior that are set by peers and society at which level? a. Nonconventional b. Preconventional c. Postconventional d. Conventional e. None of these choices 67. An example of an ethical structure is _____. a. a chief ethics officer b. a formal statement of company values c. an equal opportunity policy d. whistle-blowing e. a corporate speech 68. Individualism is most closely related to _____. a. social responsibility b. free choice c. economic responsibility d. codified law e. togetherness 69. According to the text's model for judging corporate social performance, social responsibility is divided into what three sections? a. Ethical, legal, and technical b. Mandatory, technical, and discretionary c. Legal, mandatory, and economic d. Environmental, social, and governance e. None of these choices

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Chap 04_12e_Daft 70. Sandi is a manager at Softest Tissue Corporation. She is faced with an interesting problem. One of her employees has been cheating the company out of expense money. Sandi must decide whether to fire this employee. In this role, Sandi is acting as a(n) _____. a. moral agent b. ethical theorist c. symbolic leader d. authoritarian leader e. obstructive manager 71. Management's obligation to make choices that will contribute to the well-being of both the organization and society is known as _____. a. a code of ethics b. a mission statement c. corporate social responsibility d. a value statement e. behavior standards 72. Economic development that generates wealth and meets the needs of the current generation while focusing on future generations is known as _____. a. ethical management b. activist strategy c. sustainability d. market strategy e. future management 73. Which of the following is included in the model of personal moral development described in your text? a. Preconventional level b. Conventional level c. Principled level d. Postconventional level e. All of these choices 74. The relationship between social responsibility and financial performance has been shown to be _____. a. nonexistent b. positive c. negative d. not important e. a reflection of top leadership

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Chap 04_12e_Daft 75. Statements that define fundamental values and reference organizational responsibilities, products, and employees are often called _____. a. principle-based b. policy-based c. ethically-based d. codified e. codes of organizational integrity 76. Which of the following matches with the preconventional level of personal moral development? a. Work-group collaboration b. Task accomplishment c. Empowered employees d. Full participation e. Transforming 77. Which of the following is NOT a concern to managers under the justice approach? a. Compensatory justice b. Distributive justice c. Procedural justice d. Obstructive justice e. All of these choices 78. When the USS Indianapolis sank after being torpedoed, one Navy pilot disobeyed orders and risked his life to save men who were being picked off by sharks. The Navy pilot was operating from which level of moral development? a. Preconventional b. Conventional c. Postconventional d. Lowest e. Conservative 79. Which leadership style matches with the preconventional level of personal moral development? a. Autocratic b. Team-oriented c. Servant leadership d. Guiding/encouraging e. Transforming

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Chap 04_12e_Daft 80. Which approach to ethical decision making sidesteps debates about what is right, good, or just and bases decisions on prevailing standards of the profession and the larger society, taking the interests of all stakeholders into account? a. Utilitarian b. Individualism c. Moral-rights d. Justice e. Practical 81. The community stakeholder sector includes _____. a. local government b. the natural environment c. quality of life provided for residents d. all of these choices e. none of these choices 82. An individual responsible for making an ethical choice is referred to as the _____. a. chief ethics officer b. moral agent c. CEO d. shareholder e. chief operating officer 83. When everyone is pursuing self-direction, the greater good is ultimately served because people learn to accommodate each other in their own long-term interest which is an example of _____. a. the utilitarian approach b. the individualism approach c. the moral-justice approach d. the justice approach e. social responsibility 84. The majority of managers operate at which level of personal moral development? a. Preconventional b. Autocratic c. Postconventional d. Conventional e. Transformative

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Chap 04_12e_Daft 85. Which of the following is NOT one of the moral rights that could be considered during decision making? a. Right to free consent b. Right to invade privacy c. Right to free speech d. Right to privacy e. None of these choices 86. With respect to appropriate corporate behavior, society deems which of the following as important? a. Environmental responsibility b. Social responsibility c. Governance responsibility d. All of these choices e. None of these choices 87. Which of the following generally outlines the procedures to be used in specific ethical situations, such as marketing practice, conflicts of interest, and observance of laws? a. A code of ethics b. A mission statement c. Policy-based statements d. A value statement e. Behavior standards 88. Which of the following types of programs helps employees deal with ethical questions and translates the values stated in a code of ethics into everyday behavior? a. Relationship training b. Values training c. Ethics training d. All of these choices e. None of these choices 89. Which of the following concepts argues that organizations can find innovative ways to create wealth at the same time they are preserving natural resources? a. Preservation b. Conservation c. Environmentalism d. Protectionism e. Sustainability

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Chap 04_12e_Daft 90. The conventional stage of moral development is best described by which of the following statements? a. I won't do that because the boss will be upset with me. b. Everybody else is doing it, so it must be okay. c. I know this is not right, and I will not do it, even if everyone else is. d. What am I going to get from making this decision? e. All of these choices are correct. 91. Which of the following stages is the stage of personal moral development in which an individual develops an internal set of standards and values? a. Preconventional b. Conventional c. Principled d. Discretionary e. Social 92. Which of the following refers to the code of moral principles and values that govern behaviors with respect to what is right and wrong? a. Social responsibility b. Free domain c. Ethics d. Codified law e. Discretionary responsibility 93. People making decisions based on an internal set of beliefs that has more meaning to them than the expectations of others _____. a. are in the preconventional level of moral development b. are in the conventional level of moral development c. are in the principled level of moral development d. do not care what people think of them e. are in the discretionary level of moral development 94. Which of the following requires that different treatment of people not be based on arbitrary characteristics? a. Equal justice b. Procedural justice c. Compensatory justice d. Distributive justice e. Selective justice

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Chap 04_12e_Daft 95. Which of the following best illustrates the preconventional stage of moral development? a. Everybody else is doing it, so it must be okay. b. What would my boss think if I did this? c. I know this is not right, and I will not do it, even if everyone else is. d. What am I going to get from making this decision? e. All of these choices are correct. 96. Disk Replacement Services has just completed a procedure manual to handle employee grievances. One of the main criteria is to make it clear to employees that rules will be administered fairly and consistently. Disk Replacement operates on the _____. a. procedural justice approach b. utilitarian approach c. individual approach d. defensive approach e. free-choice approach 97. In what stage of personal moral development is a person mostly concerned with external rewards and personal consequences of an action? a. Preconventional b. Conventional c. Principled d. Discretionary e. None of these choices 98. Which of these employee behaviors matches with the conventional level of personal moral development? a. Task accomplishment b. Empowered employees c. Work-group collaboration d. Full participation e. Act in own interest 99. A company executive who oversees all aspects of ethics and legal compliance, including establishing and broadly communicating standards, conducting ethics training programs, dealing with exceptions or problems, and advising senior managers, is known as the _____. a. chief ethics officer b. moral agent c. CEO d. shareholder e. chief operating officer

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Chap 04_12e_Daft 100. A formal statement of the company's values concerning ethics and social issues is known as a code of _____. a. integrity b. trust c. citizenship d. ethics e. honesty 101. The assumption that "If it's not illegal, it must be ethical" ignores which of the following domains? a. Codified law b. Ethics c. Free choice d. Social responsibility e. Symbolism 102. Human beings have fundamental rights and liberties that cannot be taken away by another individual's decision. This ethical decision-making approach is known as _____. a. the utilitarian approach b. the individualism approach c. the moral-rights approach d. the dualism approach e. none of these choices 103. Which of the following matches with the postconventional level of personal moral development? a. Team-oriented b. Autocratic c. Guiding/encouraging d. Coercive e. Servant leadership 104. Which of the following statements about the policy a bank adopts toward its investing of depositors' money is true? a. It is an expression of its philosophy of social responsibility. b. It is important only to the community. c. It has no ethical implications. d. It would represent its personal state of moral development. e. All of these choices are true.

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Chap 04_12e_Daft 105. The concept that the party responsible should compensate individuals for the cost of their injuries is referred to as _____. a. distributive justice b. injury justice c. procedural justice d. organizational justice e. compensatory justice 106. An official given the responsibility of overseeing all aspects of ethics and legal compliance is referred to as _____. a. a whistle-blower b. a chief ethics officer c. the vice-president of human resource management d. a yes-man e. a political play 107. A new drug has not been approved by the FDA to sell in the United States because further testing is needed. The company has a chance to sell its product in another country immediately to start recovering the costs of R&D and production three years ahead of time. This example places the decision in which of the categories from the text? a. Ethical domain b. Domain of free choice c. Legal domain d. Obstructive category e. Protective domain 108. Under which ethical approach is a decision maker expected to consider the effect of each decision alternative on all parties and select the one that optimizes the benefits for the greatest number of people? a. Justice approach b. Utilitarian approach c. Individualism approach d. Moral justice approach e. Discretionary responsibility 109. Which of the following is the disclosure by an employee of an illegal activity? a. Tattling b. Whistle-blowing c. Organizational communication d. Filing a disclosure statement e. Snooping

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Chap 04_12e_Daft 110. Individuals at which of the following levels are guided by an internal set of values and standards and will even disobey rules or laws that violate these principles? a. Nonconventional b. Preconventional c. Postconventional d. Conventional e. None of these choices 111. A group of executives assigned to oversee the organization's ethics by ruling on questionable issues and disciplining violators is referred to as a(n) _____. a. board of directors b. ethics committee c. top-level managers group d. audit committee e. equity committee 112. The ethical decision approach that requires persons to be guided by standards of equity, fairness and impartiality is _____. a. the moral-rights approach b. the individualism approach c. the utilitarian approach d. the justice approach e. discretionary responsibility 113. Which of the following is NOT a normative ethics approach? a. Utilitarian approach b. Individualism approach c. Social responsibility approach d. Moral-rights approach e. All of these choices 114. Which approach to ethical decision making is concerned with avoiding interfering with the fundamental rights of others? a. Moral-rights approach b. Individualism approach c. Utilitarian approach d. Justice approach e. Dual-economic approach

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Chap 04_12e_Daft 115. A formal statement of the company's values concerning ethics and social issues that communicates to employees what the company stands for is known as the _____. a. code of ethics b. mission statement c. social responsibility statement d. value statement e. behavior standard 116. A decision that enables an individual or company to benefit at society's expense is referred to as _____. a. legal behavior b. unethical behavior c. economic responsibility d. discretionary responsibility e. responsible behavior 117. When values and standards are written into the legal system, it is referred to as _____. a. codified laws b. regulations c. values d. ethics e. beliefs 118. Which approach asserts that human beings have fundamental rights and liberties that cannot be taken away by an individual's decision? a. Utilitarian b. Individualism c. Moral-rights d. Justice e. Practical 119. The moral-rights approach that deals with performing experimental treatment on unconscious trauma patients is the _____. a. right of free consent b. right to privacy c. right of free speech d. right of due process e. none of these choices

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Chap 04_12e_Daft 120. Bianka Chinoda, top executive at Florida Blood Centers, is under pressure to resign because she took a $71,000 pay increase just months before she laid off 42 employees. Chinoda's decision lies in the domain of _____. a. codified law b. free choice c. ethics d. social responsibility e. none of these choices 121. Which approach contends that acts are moral when they promote the individual's best long-term interests? a. Utilitarian b. Individualism c. Moral-rights d. Justice e. Practical 122. A situation where right and wrong cannot be clearly identified is considered _____. a. a moral agent b. a social responsibility c. an ethical dilemma d. an ethical standard e. discretionary responsibility 123. Legal responsibilities for corporations include _____. a. safety laws b. environmental protections c. antitrust regulations d. antibribery legislation e. all of these choices 124. Primary stakeholders of an organization include _____. a. employees b. customers c. investors and shareholders d. suppliers e. all of these choices 125. The concept that different treatment of people should not be based on arbitrary characteristics is known as _____. a. procedural justice b. compensatory justice c. distributive justice d. organizational justice e. moral justice Copyright Cengage Learning. Powered by Cognero.

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Chap 04_12e_Daft 126. A hostile work environment and violations of health and safety rules are examples of unethical behavior toward _____. a. customers b. financiers c. society d. suppliers e. employees 127. Which approach holds that moral decisions must be based on standards of equity, fairness, and impartiality? a. Utilitarian b. Individualism c. Moral-rights d. Justice e. Practical 128. Which of the following requires that rules should be clearly stated and consistently and impartially enforced? a. Equal justice b. Procedural justice c. Compensatory justice d. Distributive justice e. Selective justice 129. Most of the laws guiding human resource management are based on the _____. a. utilitarian approach b. moral-rights approach c. individualism approach d. justice approach e. collectivism approach 130. An organization's decision to produce a new product is in the domain of _____. a. codified law b. free choice c. ethics d. compensatory justice e. social responsibility 131. Employee disclosure of illegal organization activities is known as _____. a. tattling b. whistle-blowing c. organizational communication d. the filing of a disclosure statement e. snooping Copyright Cengage Learning. Powered by Cognero.

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Chap 04_12e_Daft 132. Which of these employee behaviors matches with the postconventional level of personal moral development? a. Empowered employees, full participation b. Task accomplishment c. Act in own interest d. Work-group collaboration e. Autocratic 133. At which level of personal moral development are individuals most concerned with external rewards and punishments? a. Nonconventional b. Preconventional c. Postconventional d. Conventional e. None of these choices 134. A decision to monitor employees' nonwork activities violates the right to _____. a. privacy b. free speech c. free thought d. free consent e. none of these choices 135. About what percent of American adults reaches the Level 3 stage of moral development? a. 2% b. 4% c. 11% d. 15% e. 20% 136. Which approach refers to the ethical concept that moral decisions are those that best maintain the rights of those people affected by them? a. Individualism approach b. Justice approach c. Utilitarian approach d. Moral-rights approach e. Discretionary responsibility approach 137. The decision by ABC International to downsize and reduce its labor force is in the domain of _____. a. codified law b. free choice c. ethics d. social responsibility e. none of these choices Copyright Cengage Learning. Powered by Cognero.

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Chap 04_12e_Daft 138. Most people have learned to conform to expectations of good behavior expected by colleagues, family, friends, and society. They are in which stage of moral development? a. Preconventional b. Conventional c. Discretionary d. Principled e. Traditional 139. Any group within or outside the organization that has a stake in the organization's performance is known as a _____. a. shareholder b. stakeholder c. society d. none of these choices e. all of these choices 140. The thinking underlying which of the following domains is closest to the justice approach? a. Social responsibility b. Free choice c. Law d. Discretionary responsibility e. Ethics 141. Any group within or outside the organization that has some type of investment or interest in the organization's performance is called _____. a. a supplier b. an international customer c. a stakeholder d. OPEC e. a trade association 142. List the five criteria for ethical decision-making approaches described in the text.

143. List three examples of primary stakeholders.

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Chap 04_12e_Daft 144. List the three fundamental moral rights of others that should be considered during decision making.

145. What is the formal definition of corporate social responsibility?

146. Many companies routinely use Facebook and other social media outlets as part of their management practice. In a climate where so much information is so readily available, why is it important for managers to be ethical when using social media for business purposes? Discuss whether or not social media can be used ethically to monitor employee behavior and to gather competitive intelligence.

147. List the five approaches that are used to describe values for guiding ethical decision making. Briefly describe each.

148. An increasing number of corporations are implementing "green" or environmentally friendly practices, such as sustainable development. Choose some type of business and explain how the concept of sustainability could be used in that business, how success is measured in the organization, and what you perceive to be the value of sustainable development.

149. Define ethics and explain how the domain of ethics relates to law and free choice.

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Chap 04_12e_Daft 150. Explain the differences between principle-based statements and policy-based statements in an organization's code of ethics.

151. What is corporate social responsibility?

152. The manager of a new research and development firm wants to ensure that all business performed follows ethical practices. Compose a brief company policy statement that explains the concept of "ethical behavior" in a way that all employees understand expectations. Be sure to make clear the relationship between ethics, law, and free choice.

153. Explain the concept of a stakeholder and list the five primary stakeholders identified by the Business Roundtable.

154. List and define the stages of moral development.

155. Briefly explain the justice approach to ethics and then explain the three types of justice.

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Chap 04_12e_Daft 156. Managers and first-line supervisors are important role models for ethical behavior. Describe how managers help to create ethical organizations. Additionally, put yourself in a manager's shoes and compose a company credo that reflects your values.

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Chap 04_12e_Daft Answer Key 1. False 2. True 3. True 4. True 5. True 6. True 7. False 8. True 9. False 10. False 11. True 12. True 13. True 14. True 15. False 16. False 17. False 18. True 19. False 20. False 21. True 22. False 23. False 24. True 25. False 26. False

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Chap 04_12e_Daft 27. True 28. False 29. True 30. False 31. False 32. True 33. True 34. True 35. False 36. False 37. False 38. True 39. False 40. False 41. True 42. True 43. True 44. True 45. True 46. True 47. True 48. True 49. False 50. True 51. e 52. a 53. c 54. c Copyright Cengage Learning. Powered by Cognero.

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Chap 04_12e_Daft 55. c 56. d 57. d 58. c 59. d 60. b 61. d 62. e 63. c 64. d 65. a 66. d 67. a 68. a 69. d 70. a 71. c 72. c 73. e 74. b 75. a 76. b 77. d 78. c 79. a 80. e 81. b 82. b Copyright Cengage Learning. Powered by Cognero.

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Chap 04_12e_Daft 83. b 84. d 85. b 86. d 87. c 88. c 89. e 90. b 91. c 92. c 93. c 94. d 95. d 96. a 97. a 98. c 99. a 100. d 101. b 102. c 103. e 104. a 105. e 106. b 107. a 108. b 109. b 110. c Copyright Cengage Learning. Powered by Cognero.

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Chap 04_12e_Daft 111. b 112. d 113. c 114. a 115. a 116. b 117. a 118. c 119. a 120. c 121. b 122. c 123. e 124. e 125. c 126. e 127. d 128. b 129. d 130. b 131. b 132. a 133. b 134. a 135. e 136. d 137. b

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Chap 04_12e_Daft 138. b 139. b 140. c 141. c 142. Utilitarianism, individualism, moral-rights, justice, and practical 143. Investors, shareholders, employees, customers, and suppliers are all examples of primary stakeholders. 144. The fundamental moral rights include the right to privacy, the right of free consent, and the right to freedom of speech. 145. It is management's obligation to make choices and take actions that will enhance the welfare and interests of society as well as the organization. 146. Student answers will vary. Managers are often called upon to be moral agents. That is, they must make the decision when an ethical dilemma arises in their company, so they must be of good moral character themselves. Most managers will encounter a dilemma where there is no clearly right or wrong solution, or all choices have potentially negative consequences. The manager's choice must engender trust and confidence from employees, customers, and the business environment. 147. The utilitarian approach is the ethical concept that moral behaviors produce the greatest good for the greatest number. The individualism approach is the ethical concept that acts are moral when they promote the individual's best longterm interests. This will eventually lead to the greatest good. The moral-rights approach is the ethical concept that moral decisions are those that best maintain the rights of the people affected by them. The justice approach is the ethical concept that moral decisions must be based on standards of equity, fairness, and impartiality. The practical approach sidesteps debates about what is right, good, or just and bases decisions on prevailing standards of the profession and the larger society, taking the interests of all stakeholders into account. 148. Student answers will vary. Sustainability is economic development that generates wealth and meets present needs while preserving society and the environment for the future. Environmental and social concerns drive decision making. Success is measured in terms of a triple bottom line: social performance, environmental performance, and financial performance. This is sometimes called the three Ps: People, Planet, and Profit. 149. Ethics is the code of moral principles and values that govern the behaviors of a person or a group with respect to what is right or wrong. In codified law, the values and standards are written into the legal system and enforceable in the courts. In free choice, the law has no say and the individual or group has complete freedom. The domain of ethics is found between codified law and free choice. While written laws do not bind ethics, still there are standards of conduct based upon shared principles and values.

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Chap 04_12e_Daft 150. Principle-based statements are designed to affect corporate culture; they define fundamental values and contain general language about company responsibilities, quality of products, and treatment of employees. General statements of principle are often called corporate credos. Policy-based statements generally outline the procedures to be used in specific ethical situations. These situations include marketing practices, conflicts of interest, observance of laws, proprietary information, political gifts, and equal opportunities. 151. Corporate social responsibility is management's obligation to make choices and take actions that will enhance the welfare and interests of society as well as the organization. 152. Student answers will vary. Ethics is a code of moral principles and values that governs behaviors and decision making, determining good and bad, right and wrong; it includes characteristics like honesty, integrity, kindness, and equity. Questionable accounting practices and greed (evidenced, e.g., by disproportionate executive compensation) are not ethical behaviors. Ethical issues are not governed by law; the fact that some behavior is not against the law (illegal) does not make it ethical (right). But one also does not have complete freedom of choice when deciding ethical issues, because the behaviors or decisions made by an individual or organization will impact others. Companies that seek to be ethical and socially responsible usually require their employees to do the same, which results in a good reputation and good financial performance. 153. A stakeholder is any individual or group of people, inside or outside the organization, that has a stake or direct interest in that organization's performance. The five primary stakeholders identified by the Business Roundtable are customers, employees, shareholders, communities, and suppliers. 154. According to the model in the text, there are three stages of moral development. During the preconventional stage (Level 1), individuals are mostly concerned with external rewards and punishments. They obey authority in order to avoid punishment. Individuals conforming to the expectations of others characterize the second level, the conventional stage. Fulfilling social and interpersonal obligations is important. At the postconventional/principled stage (Level 3), an individual's behavior is directed by an internal set of values and beliefs. These values are more important than the expectations of others. 155. The justice approach is the ethical concept that moral decisions must be based on standards of equity, fairness, and impartiality. Distributive justice requires that different treatment of people be based only on substantive differences and not on arbitrary characteristics. Procedural justice requires that all rules be administered fairly. Rules should be clearly stated and consistently enforced. Compensatory justice requires that individuals should be compensated for the cost of their injuries by the party responsible and that individuals not be held responsible for matters over which they have no control. 156. Student answers will vary. Managers help create ethical and socially responsible organizations by being ethical leaders —honest, trustworthy, fair, and moral in their personal and professional lives. They can implement or support a code of ethics (formal statement of organization values, expectations, and behaviors that will not be tolerated), ethical structures (such as ethics office, ethics committee, ethics hotline), and whistle-blower protection. Top management must support and enforce codes, give rewards for compliance, and discipline for violation; many organizations are using global service programs to train managers to be ethical leaders and have a service mind-set.

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Chap 05_12e_Daft Indicate whether the statement is true or false. 1. Stretch goals are typically so far beyond the current levels that people have to be innovative to find ways to reach them. a. True b. False 2. According to the BCG matrix, the cash cow has a large market share in a rapidly growing industry. a. True b. False 3. If Laylah, a manager at Leak Free Roofing, wanted to develop a contingency plan for Leak Free, she would need to look at factors such as new equipment, the economy, and the company workers' compensation cases. a. True b. False 4. The interaction of the production and sales departments working together to produce profit greater than the total of both working separately is an example of synergy. a. True b. False 5. Opportunities are characteristics of the internal environment that have the potential to help the organization achieve or exceed its strategic goals. a. True b. False 6. Goals and plans provide a sense of direction and focus on specific targets and direct employee efforts toward important outcomes. a. True b. False 7. Threats are characteristics of the internal environment that may prevent the organization from achieving its strategic goals. a. True b. False 8. Some firms engage in crisis planning to enable them to cope with unexpected events that are so sudden and devastating that they have the potential to destroy the organization. a. True b. False 9. Tactical goals and plans are the responsibility of front-line managers and supervisors. a. True b. False

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Chap 05_12e_Daft 10. A broad definition of the organization's values, aspirations, and reason for being, along with a recognition of the scope and operations that distinguishes the organization refers to a business plan. a. True b. False 11. Top managers and chief executives have the final responsibility for strategic planning. a. True b. False 12. Goals specify today's means; plans specify future ends. a. True b. False 13. Managers must understand no plan is perfect but should grow and change to meet new conditions. a. True b. False 14. Diversification is a strategy of moving into new lines of business. a. True b. False 15. An SBU stands for "star business unit." a. True b. False 16. Cost leadership is a type of competitive strategy with which the organization seeks to distinguish its products or services from that of competitors. a. True b. False 17. Research has shown that strategic thinking and planning positively affect a firm's performance and financial success. a. True b. False 18. Organizations with a focus strategy concentrate on a specific regional market or buyer group. a. True b. False 19. In Step 1 of management by objectives, overall performance is appraised. a. True b. False 20. Competitive advantage refers to the set of decisions and actions used to formulate and implement strategies. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 21. Managers believe they are better oriented toward goal achievement when MBO is used. a. True b. False 22. Operational plans and goals are those that focus on the outcomes that major divisions and departments must achieve in order for the organization to reach its overall goals. a. True b. False 23. The combination of benefits received and costs paid by the customer refers to value. a. True b. False 24. Plans provide a standard of assessment. a. True b. False 25. An organization's mission describes its reason for existence. a. True b. False 26. A desired future circumstance of condition that the individual or organization attempts to realize is a goal. a. True b. False 27. Defining operational goals and plans occurs in the execution phase of the organizational planning process. a. True b. False 28. Core competence is the plan of action that prescribes resource allocation and other activities for dealing with the environment. a. True b. False 29. Goals must be set for every aspect of employee behavior for organizational performance to be effective. a. True b. False 30. The mission is the basis for the strategic level of goals and plans, which in turn shapes the tactical and operational levels. a. True b. False 31. An action plan defines the course of action needed to achieve the stated goals. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 32. Prevention and preparation are the two stages of crisis management. a. True b. False 33. Goals are typically stated in quantitative terms. a. True b. False 34. Planning cannot tame a turbulent environment. a. True b. False 35. Top managers make the broad strategic plan and identify specific tactical plans. a. True b. False 36. Operational planning specifies plans for department managers, supervisors, and individual employees. a. True b. False 37. Three critical planning methods are contingency planning, building scenarios, and crisis planning. a. True b. False 38. For goals to be effective, they should be challenging but realistic. a. True b. False 39. ABC Corporation should create a crisis management group that is not cross-functional but does work together well under pressure. a. True b. False 40. The mix of business units and product lines that fit together in a logical way to provide synergy and competitive advantage for the corporation pertains to portfolio strategy. a. True b. False 41. Tactical goals are specific, measurable results expected from departments, work groups, and individuals within the organization. a. True b. False

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Chap 05_12e_Daft 42. For the social networking site Facebook, technological know-how and an aggressive and innovative culture are significant strengths to include in its SWOT analysis. a. True b. False 43. The dog, according to the BCG matrix, is a poor performer. a. True b. False 44. Planning is the act of determining the organization goals and the means for achieving them. a. True b. False 45. Goals are most effective when they are specific, measurable, challenging, and linked to rewards. a. True b. False 46. A key benefit of management by objectives is that it aligns individual and departmental goals with company goals. a. True b. False 47. Step 1 in management by objectives is to review progress. a. True b. False 48. Crisis plans define company responses to be taken in the case of emergencies, setbacks, or unexpected conditions. a. True b. False 49. One of the biggest benefits of planning is that, in turbulent environments, plans create greater organizational flexibility. a. True b. False 50. Goals should be easy so that employees feel motivated. a. True b. False 51. The Boston Consulting Group (BCG) matrix evaluates SBUs with respect to their business growth rate and geographical location. a. True b. False

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Chap 05_12e_Daft 52. The bright prospect exists in a rapidly growing industry but has only a small market share, according to the BCG matrix. a. True b. False 53. Differentiation, cost leadership, and focus are three of Porter's competitive strategies. a. True b. False 54. Trend management is looking at trends and discontinuities and imagining possible alternative futures. a. True b. False 55. The three levels of strategy are business, corporate, and global. a. True b. False 56. Standing plans define company responses to specific situations such as natural emergencies or competitive setbacks. a. True b. False 57. Strategic thinking is more important in for-profit businesses than in nonprofit organizations. a. True b. False 58. In a complex and competitive business world, traditional planning done by a select few is the only planning that works. a. True b. False 59. Frontline managers have the final responsibility for strategic planning. a. True b. False 60. Tactical plans are designed to help execute the major strategic plans and to accomplish a specific part of the company's strategy. a. True b. False 61. Strategic plans and goals are those that focus on where the organization wants to be in the future and pertain to the organization as a whole. a. True b. False

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Chap 05_12e_Daft 62. A plan tells "why" to achieve a goal. a. True b. False 63. The CEO of Andre's Autos, Inc. must do all of the planning for the company because that is the way to do things in today's workplace. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 64. Gillette operates numerous strategic business units. Most of its units in the personal care division have low market share but high business growth. These units are classified as _____. a. dogs b. bright prospects c. stars d. cash cows e. none of these choices 65. Which of the following is NOT a step in the organizational planning process? a. Monitor and learn b. Plan operations c. Translate the plan d. Develop the plan e. Plan marketing tactics 66. Managers obtain external information about opportunities and threats from resources, including _____. a. customers b. friends in other organizations c. government reports d. professional journals e. all of these choices 67. The plan of action that prescribes resource allocation and other activities for dealing with the environment and helping the organization attain its goals is known as a(n) _____. a. goal b. objective c. mission d. vision e. strategy

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Chap 05_12e_Daft 68. Dr. Anthony Fauci became the go-to federal government official who delivered information to the American public during the COVID-19 pandemic. This is an example of which step in the crisis preparation stage? a. Designating a crisis management team and spokesperson b. Creating a detailed crisis management plan c. Setting up an effective communication system d. None of these choices e. All of these choices 69. After Sunshine Systems merged with RTD Enterprises, company executives noticed that due to increased employee collaboration between the two units, costs were down and revenues increased within both areas. This is an example of which of the following business phenomena? a. Strategy execution b. Portfolio strategy c. Core competency d. Synergy e. Delivering value 70. When AT&T decided to buy Media One, a cable company, it was pursuing which strategy? a. Functional-level b. Internal growth c. Multidomestic d. Corporate-level e. Business-level 71. Kenny's manager has given him the following goal: "Profits should be increased in the coming year in order for employees to receive a monetary bonus." Which characteristic of effective goals is missing? a. Specific and measurable b. Challenging but realistic c. Covers key result areas d. Defined time period e. Linked to rewards 72. Which of the following are designed to help execute major strategic plans and to accomplish a specific part of the company's strategy? a. Operational plans b. Mission statements c. Strategic plans d. Tactical plans e. None of these choices

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Chap 05_12e_Daft 73. Alabama Airlines has three planning specialists who help to rehearse future frameworks within which future events can be managed. The team of planning specialists is currently looking at plans for the event of a loss of key employees within the organization. These specialists are involved in _____. a. crisis planning b. scenario building c. management by objectives d. single-use planning e. management by means 74. A statement that identifies distinguishing characteristics of an organization is known as a(n) _____. a. goals statement. b. values statement. c. income statement. d. mission statement. e. competitive-edge statement. 75. Plans that define company responses to specific situations, such as emergencies, setbacks, or unexpected conditions are called _____. a. tactical plans b. single-use plans c. contingency plans d. stretch goals e. crisis plans 76. The mission is the basis for the strategic level of goals and plans which in turn shape the _____. a. strategy map and tactical level b. operational goal and operational level c. strategic plan and tactical level d. tactical and operational levels e. strategic plan and operational goal 77. The specific results expected from departments, work groups, and individuals are the _____. a. operational goals b. operational plans c. strategic goals d. tactical plans e. strategic plans

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Chap 05_12e_Daft 78. Looking at trends and discontinuities and visualizing future possibilities is known as _____. a. scenario building b. crisis planning c. contingency planning d. trend management e. caution planning 79. Which of the strategic management functions is considered the most fundamental? a. Executing b. Analyzing c. Controlling d. Planning e. Leading 80. Which of the following is NOT one of the benefits of MBO? a. Performance can be improved at all company levels. b. Employees are motivated. c. Efforts are focused on activities that will lead to goal attainment. d. Operational goals are able to displace strategic goals. e. Individual and department goals are aligned with company goals. 81. Sarah is a middle manager at Style Sneakers Corporation. She is most likely responsible for the achievement of _____. a. operational goals. b. tactical goals. c. strategic goals. d. lower-level goals. e. top-level goals. 82. Middle managers are responsible for which of the following? a. Strategic plans b. Operational plans c. Operational goals d. Tactical goals e. Strategic goals 83. Which of the following is not involved in the stages of crisis planning? a. Setting up effective communication systems b. Creating detailed crisis management plans c. Investigating all stakeholders d. Designating a crisis management team and spokesperson e. Building relationships Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 84. Goals that define the outcomes that major divisions and departments must achieve in order for the organization to reach its overall goals are called _____. a. strategic goals b. tactical goals c. operational goals d. a mission e. a plan 85. What type of organizational unit has a unique business mission, product line, competitors, and markets relative to other units in the same corporation? a. Product unit b. Functional unit c. Strategic business unit d. Operational unit e. Business Consulting Group unit 86. The combination of benefits received and costs paid by the customer is known as _____. a. organizational benefits b. value c. cost-benefit diversity d. synergy e. core competence 87. One major limitation of goals and plans is that they _____. a. guide resource allocation b. may cause rigidity in a turbulent environment c. decrease employee motivation d. decrease employee commitment e. none of these choices 88. To remain competitive, companies should develop strategies that focus on core competencies, providing synergy, and delivering _____. a. value b. product c. differentiation d. focus e. cost leadership

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Chap 05_12e_Daft 89. All of the following are Porter's competitive forces except _____. a. differentiation b. bargaining power of buyers c. bargaining power of suppliers d. threat of substitute products e. potential new entrants 90. Which of the following statements about the cash cow is true? a. It generates tremendous profits in a rapidly growing industry. b. It has a small market share in a rapidly growing industry. c. It has a small market share in a slow-growth industry. d. It has a large market share in a slow-growth industry. e. It is generally a dead business that should be divested. 91. Ford's decision to completely redesign its Taurus can be classified as a _____. a. corporate-level strategy. b. business-level strategy. c. functional-level strategy. d. retrenchment strategy. e. stability strategy. 92. Which of the following strategies can be profitable for an organization when customers are loyal and willing to pay high prices? a. Focus b. Globalization c. Overall cost leadership d. Differentiation e. Liquidation 93. Roxanne is a manager at Geronimo Gaming. She recently attended a seminar on goal setting. She wishes to use goals to provide a sense of direction to her staff. She is using goals as a _____. a. way to legitimize her department b. source of motivation c. standard of performance d. guide to action e. way to impress others

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Chap 05_12e_Daft 94. Managers identify important factors in the environment and then forecast a range of alternative responses to the most likely high-impact contingencies, focusing on the worst case, during _____. a. crisis planning b. scenario building c. contingency planning d. strategy mapping e. management by means 95. Which of the following is NOT one of Porter's competitive forces? a. Potential new entrants b. Bargaining power of suppliers c. Bargaining power of stockholders d. Bargaining power of customers e. Rivalry among competitors 96. When an organization expands into a new line of business, it is implementing a strategy of _____. a. integration b. diversification c. cross-functional diversification d. product line diversification e. industry diversification 97. Manfred has been assigned to conduct a SWOT analysis for his organization, Acme, Inc. As part of this assignment, Manfred will _____. a. conduct an external wage survey b. search for the strengths, weaknesses, opportunities, and threats that impact his firm c. choose a grand strategy for his firm d. do a cost-benefit analysis e. develop a mission 98. Shadia is a first-line supervisor at Rooftop Corporation. She is most concerned with which level of goals? a. Operational goals b. Tactical plans c. Strategic goals d. Mission statement e. Vision 99. Which of the following is primarily responsible for strategic goals/plans? a. Middle management b. Board of directors c. Consultants d. Senior management e. Lower management Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 100. The set of decisions and actions used to formulate and implement strategies that will provide a competitively superior fit between the organization and its environment so as to achieve organizational goals is known as _____. a. strategy formulation b. strategic planning c. strategic management d. strategy implementation e. strategy evaluation 101. Which of the following is primarily concerned with tactical goals/plans? a. Middle management b. Board of directors c. Consultants d. Senior management e. Lower management 102. The condition that exists when the organization's parts interact to produce a joint effort that is greater than the sum of the parts acting alone is known as _____. a. core competence b. synergy c. value creation d. business-level strategy e. multidomestic strategy 103. The act of determining the organization's goals and the means for achieving them is known as _____. a. brainstorming b. organizing c. planning d. developing a mission e. developing a blueprint 104. Frostburg Fireplaces has used MBO for the past year. Top management just finished evaluating overall performance. The next step in the MBO process should be to _____. a. develop new action plans b. develop new objectives based on the review of last year's performance c. begin a new MBO "cycle," using the same objectives as last year d. wait several months to allow information to be digested e. none of these choices

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Chap 05_12e_Daft 105. Mingles, Inc., concentrates its efforts on its target market of 18- to 25-year-olds. It is using a _____. a. focus strategy. b. differentiation strategy. c. cost leadership strategy. d. multidomestic strategy. e. universal strategy. 106. Which of the following enables firms to cope with unexpected events that are so sudden and devastating that they have the potential to destroy the organization if managers aren't prepared with a quick and appropriate response? a. Incident planning b. Contingency planning c. Strategic planning d. Crisis planning e. Emergency planning 107. Operational goals lead to the attainment of tactical goals, which in turn lead to the attainment of _____. a. a mission statement b. a strategy map c. an operational plan d. strategic goals e. none of these choices 108. Goals that are so clear, compelling, and imaginative that they fire up employees and engender excellence are known as _____. a. operational goals. b. preventative goals. c. tactical goals. d. stretch goals. e. organizational goals. 109. When Coca-Cola introduced Surge, a new citrus soft-drink, what type of strategy was it pursuing? a. Functional-level strategy b. Multidomestic strategy c. Corporate-level strategy d. Retrenchment strategy e. Business-level strategy

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Chap 05_12e_Daft 110. Sears' decision to sell of much of its financial services division is an example of a _____. a. corporate-level strategy. b. business-level strategy. c. functional-level strategy. d. growth strategy. e. stability strategy. 111. Semway, a regional bank, recently announced that it would soon begin offering financial planning services. This is an example of which of the following? a. Related diversification b. Diversification c. Cross-functional diversification d. Product line diversification e. Industry diversification 112. Which of the following represents plans developed at the organization's lower levels that specify action steps toward achieving operational goals and that support tactical planning activities? a. Tactical plans b. Strategic plans c. Operational plans d. Supervisory plans e. Organizational plans 113. Jachen, a finance manager at LRV Industries, is asked by her boss to develop a plan in the event that company sales drop by 20% or more. This type of planning is known as _____. a. contingency planning b. financial planning c. crisis planning d. consumer protection e. environmental planning 114. Which of the following is a method of management whereby managers and employees define goals for every department, project, and person and use them to monitor subsequent performance? a. Organizational planning b. Management by objectives c. Goal setting d. Mission development e. Vision development

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Chap 05_12e_Daft 115. Which type of plan helps managers implement the overall strategic plan? a. Operational b. Contingency c. Tactical d. Crisis e. Corporate-level 116. The official goals of the organization are best represented by the _____. a. strategic goals. b. tactical goals. c. operational goals. d. competitive goals. e. none of these choices 117. An organization concentrates on a specific regional market or buyer group in which of the following strategies? a. Cost leadership b. Differentiation c. Focus d. Internal growth e. Liquidation 118. How business units and product lines fit together in a logical way is the essence of _____. a. business-level strategy. b. portfolio strategy. c. competitive strategy. d. financial strategy. e. functional strategy. 119. The two stages of crisis planning include _____. a. prevention and control b. planning and leading c. prevention and preparation d. preparation and control e. leading and organizing 120. Which of the following statements about contingency plans is true? a. They are developed to achieve a set of goals that are unlikely to be repeated in the future. b. They are used to provide guidance for tasks performed repeatedly within the organization. c. They define company responses to specific situations, such as emergencies or setbacks. d. They are the most important in the organization. e. None of these choices are correct.

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Chap 05_12e_Daft 121. Double Click, Inc., has a number of strategic business units. Its hand-held computer unit has a large market share in this rapidly growing industry. Its hand-held computer business would be classified as _____. a. a dog b. a star c. a bright prospect d. a cash cow e. stuck in the middle 122. A desired future state that an organization attempts to realize is known as a(n) _____. a. plan b. vision statement c. goal d. mission statement e. idea 123. The bright prospect has a _____. a. large market share in a rapidly growing industry b. large market share in a slow-growth industry c. small market share in a rapidly growing industry d. small share of a slow-growth market e. moderate market share in a slow-growth industry 124. Which of the following strategies involves an attempt to distinguish the firm's products or services from others in the industry? a. Cost leadership b. Differentiation c. Focus d. Internal growth e. Liquidation 125. A special type of contingency plan that is used when events are sudden and devastating and require immediate response is called _____. a. a stretch goal b. scenario building c. single-use planning d. crisis management planning e. none of these choices

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Chap 05_12e_Daft 126. The BCG matrix organizes along which of the following dimensions? a. Market share and profit b. Sales and market share c. Business growth rate and market share d. Business growth rate and profit e. Sales and profit 127. Focusing manager and employee efforts on activities that will lead to goal attainment is a benefit of which of the following management methods? a. Tactical planning b. Contingency planning c. Single-use planning d. Management by objectives e. Management by walking around 128. Which of the following statements about the dog category of the BCG matrix is true? a. It has a large market share in a rapidly growing industry. b. It has a large market share in a slow-growth industry. c. It has a small market share in a rapidly growing industry. d. It has a small share of a slow-growth market. e. It has a moderate market share in a rapidly growing industry. 129. Which of the following is the final step in the MBO process? a. Appraise overall performance b. Develop an action plan c. Review progress d. Set goals e. Conduct periodic checkups 130. "We seek to become the premier business school in the West" is an example of a statement you are most likely to find in the organization's _____. a. tactical goals b. operational goals c. mission d. tactical plans e. operational plans 131. The action steps by which an organization intends to attain its strategic goals are known as _____. a. tactical goals b. operational goals c. tactical plans d. operational plans e. strategic plans Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 132. When properly managed, which of the following can create additional value with existing resources, providing a big boost to the bottom line? a. Synergy b. Competitors c. Government contacts d. Command structure e. Cooperation among customers 133. Silver Star Automobiles holds monthly planning and operational reviews to ensure that it is on track for meeting organizational goals. This involves which stage of the organizational planning process? a. Developing the plan b. Translating the plan c. Planning operations d. Executing the plan e. Monitoring and learning 134. Which of the following best describes crisis management plans? a. Crisis plans are vague and verbal. b. Crisis plans are detailed and verbal. c. Crisis plans are long and difficult to read. d. Crisis plans are vague and written. e. Crisis plans are detailed and written. 135. You are violating which of the following goal characteristics when you attempt to create goals for every aspect of employee behavior? a. Specific and measurable b. Linked to rewards c. Defined time period d. Covers key result areas e. Challenging but realistic 136. Which of the following is primarily responsible for operational goals/plans? a. Middle management b. Board of directors c. Consultants d. Senior management e. Lower management

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Chap 05_12e_Daft 137. Which of the following strategies refers to moving into a new business that is related to the company's existing business activities? a. Horizontal integration b. Vertical integration c. Unrelated diversification d. Related diversification e. Strategic partnership 138. Which of the following portfolio categories is made up of poor performers who command only a small share of a slow-growth market? a. Star b. Cash cow c. Bright prospect d. Dog e. Cat 139. All of the following are characteristics of effective goal setting except _____. a. being challenging but not unreasonably difficult b. being set for every aspect of employee behavior c. being specific and measurable d. for covering key result areas e. being linked to rewards 140. "We respect our employees and value their diversity" is an example of a statement you are most likely to find in the organization's _____. a. mission b. strategic goals c. tactical goals d. strategic plans e. tactical plans 141. Which of the following is described by mission statements? a. Corporate values b. Product quality c. Location of facilities d. All of these choices e. None of these choices

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Chap 05_12e_Daft 142. The ultimate impact of goals depends on the extent to which goal achievement is linked to _____. a. rewards b. salary increases c. promotions d. salary increases and promotions. e. all of these choices 143. The planning process starts with _____. a. a formal mission that defines the organization's purpose b. tactical planning c. strategic planning d. operational planning e. controlling performance 144. Which of the following is the first step in the MBO process? a. Setting goals b. Developing action plans c. Appraising overall performance d. Reviewing progress e. None of these choices 145. Javaris set goals for each of his employees. Each employee ended up with at least 25 goals. This process violates which of the following criteria for effective goals? a. Specific and measurable b. Challenging but realistic c. Covers key result areas d. Defined time period e. Linked to rewards 146. Which of the following is the department manager's tool for daily and weekly operations? a. Conventional goal b. Strategic goal c. Strategic plan d. Operational plan e. Targeted plan 147. The broad statements of where the organization wants to be in the future are known as _____. a. operational plans b. tactical goals c. strategic goals d. operational goals e. tactical plans Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 148. High Fence Corporation is currently implementing an MBO program. Managers and employees jointly set objectives and develop action plans, and goal achievement is evaluated on an annual basis. High Fence is missing which major activity that must occur in order for MBO to be successful? a. Developing a mission statement b. Developing tactical goals c. Reviewing progress d. Reviewing operational plans e. None of these choices 149. Which of the following statements is true? a. Goals specify future ends and plans specify today's means. b. Plans specify future ends and goals specify today's means. c. Planning specifies future ends and organizing specifies today's means. d. Ideas specify future ends and behaviors specify today's means. e. Missions specify future ends and visions specify today's means. 150. Which of the following is a business activity that an organization does especially well relative to its competition? a. Strategy b. Synergy c. Cash cow d. Core competence e. Multidomestic 151. Jahzara is the CEO of a privately held software company. In defining corporate-level strategies, which of the following questions would she most likely be concerned with? a. How do we compete? b. What business are we in? c. How does marketing support the business? d. How can we maximize profits? e. How can we make manufacturing processes more efficient? 152. Expanding a firm's business operations to produce new kinds of valuable products and services is known as _____. a. retrenchment b. diversification c. liquidation d. a cash cow e. internal growth

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Chap 05_12e_Daft 153. The planning process begins with which of the following? a. Development of operational goals b. Development of a mission statement c. Communication of goals to the rest of the organization d. Company-wide meeting e. Brainstorming 154. A blueprint specifying the resource allocations schedules and other actions necessary for attaining goals is referred to as a(n) _____. a. goal b. plan c. mission d. vision e. objective 155. Gatekeep Utilities is a subsidiary of GW Enterprises. Gatekeep has a mission and product line that is unique from GW. Gatekeep's competitors are also very different from those of its parent, and the subsidiary markets to a very different group of customers. As such, Gatekeep can be described as a(n) _____. a. product unit. b. functional unit. c. operational unit. d. strategic business unit. e. Boston Consulting Group unit. 156. Which of the following strategies involves seeking efficient facilities, cutting costs, and using tight cost controls to be more efficient than competitors? a. Cost leadership b. Differentiation c. Focus d. Internal growth e. Liquidation 157. At the top of the goal hierarchy is _____. a. strategic goals b. tactical goals c. operational goals d. a mission e. employee goals

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Chap 05_12e_Daft 158. When Philip Morris, the tobacco giant, bought Kraft, Inc., it was pursuing a _____. a. corporate-level strategy. b. business-level strategy. c. functional-level strategy. d. multidomestic strategy. e. retrenchment strategy. 159. Which of the following refers to specific results expected from individuals? a. Operational goals b. Tactical goals c. Strategic goals d. Operational plans e. Mission statements 160. Managers believe that they are better oriented toward goal achievement when which of the following are used? a. Management by means b. Single-use plans c. Standing plans d. Key performance indicators e. Management by objectives 161. A long-term time frame is most closely associated with _____. a. operational plans b. tactical plans c. strategic plans d. mission plans e. tactical goals 162. Which of the following is a commonly cited limitation of planning? a. Plans limit employee motivation and commitment. b. Plans make resource allocation more difficult. c. Plans make it more difficult to measure standards of performance. d. Plans boost intuition and creativity. e. Plans can create a false sense of security. 163. The star has a _____. a. large market share in a rapidly growing industry b. large market share in a slow-growth industry c. small market share in a rapidly growing industry d. small share of a slow-growth market e. moderate market share in a slow-growth industry

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Chap 05_12e_Daft 164. In using MBO, objectives should be set by the _____. a. supervisor b. employee c. supervisor and the employee jointly d. accounting department e. top management 165. Kate is a salesperson at a large retail chain. She was assigned a goal of $265,000 in sales for the current quarter. She is unhappy because she knows that the most any salesperson has sold in one quarter in the past is $150,000. Her goal of $265,000 _____. a. is not specific and measurable b. is probably not realistic c. is probably irrelevant d. is lacking a specific time period e. does not cover a key result area 166. According to the BCG matrix, which of the following exists in a mature, slow-growth industry, but is a dominant business in the industry, with a large market share? a. Bright prospect b. Asterisk c. Dog d. Star e. Cash cow 167. Jeff is a top manager at a textile factory. He is developing a crisis plan in the event that the company has a toxic spill or accident. Which of the following should Jeff undertake to prepare for such a crisis? a. Building relationships with neighboring businesses b. Detecting signals from the natural environment c. Polling employees on the likelihood of an environmental disaster d. Designating a crisis management team in the event of an environmental disaster e. Dismantling the company's ties to the external media 168. List the four components of a SWOT analysis.

169. List five reasons why planning generally positively affects a company's performance.

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Chap 05_12e_Daft 170. List the four major activities that must occur in order for MBO to succeed.

Scenario - Katelyn Kareem Managers at WXYZ just announced that the new management program would be focused around MBO concepts. Katelyn Kareem has been a manager at WXYZ for 10 years and she is not certain if this new MBO approach is going to fit her department. She has a strong commitment to achieving the company's objectives, but she also knows her employees well enough to know that some don't share the same commitment. 171. In the MBO process, after the first step of setting objectives is accomplished, the next step that Katelyn should expect is _____. a. reviewing progress toward company goals b. appraising overall performance c. developing action plans d. having a company party to celebrate e. none of these choices

172. What can Katelyn expect to be doing during the final step of the MBO process? a. Setting goals b. Reviewing progress c. Appraising overall performance d. Defining mission e. Developing action plans

173. List the five characteristics of effective goals.

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Chap 05_12e_Daft 174. What are the two stages of crisis management?

Scenario - Katelyn Kareem Managers at WXYZ just announced that the new management program would be focused around MBO concepts. Katelyn Kareem has been a manager at WXYZ for 10 years and she is not certain if this new MBO approach is going to fit her department. She has a strong commitment to achieving the company's objectives, but she also knows her employees well enough to know that some don't share the same commitment. 175. Katelyn can anticipate enjoying the advantages of MBO, which include _____. a. increased orientation toward goal achievement b. improved performance at all company levels c. move motivated employees d. increased orientation toward goal achievement and motivation e. all of these choices

176. Briefly define the characteristics of an effective goal.

177. Briefly discuss Porter's three competitive strategies.

178. In what ways do plans and goals benefit an organization?

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Chap 05_12e_Daft 179. Three frameworks for corporate-level strategy are portfolio, the BCG matrix, and diversification. Explain each approach to corporate-level strategy. Be sure to give your assessment of whether these approaches create synergy in an organization. Finally, identify which of the three approaches you think is most valid, and explain your rationale for your choice.

180. List and define the four major activities that must occur in order for management by objectives (MBO) to succeed.

181. As you have learned, planning, organizing, leading, and controlling are fundamental management functions. Explain what planning is and how important it is to an organization's success. Explain the difference between a plan and a goal. Include a simple example that illustrates the difference between a plan and a goal.

182. Briefly describe the Boston Consulting Group (BCG) matrix, including its dimensions, quadrants, and strategic recommendations.

183. The process of planning evolves over time, just like all aspects of effective management. Think of an organization with which you are fairly familiar, such as your employer or your college or university. Explain how the organization could effectively use stretch goals to improve its performance in a turbulent environment.

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Chap 05_12e_Daft 184. Strategic management is one type of planning, and it largely determines which organizations thrive and which ones struggle. It is the decisions and actions used to formulate and implement strategies that will give an organization a competitive advantage and enable it to reach its goals. Choose some type of business or specific, real-world organization, and start to develop a strategy for its long-term growth. Summarize the components of strategic management that the organization needs to use, and provide examples of strategic plans and/or goals at the three organizational levels that would allow the organization to reach its objectives.

185. In order for companies to remain competitive, their strategies must focus on four things. Describe these four focuses.

186. Strategy formulation begins with understanding the issues that require managers to assess those factors that influence the company's ability to compete. Choose one of the following types of organizations: a fast-food chain, a clothing manufacturer, a communications device manufacturer or service provider, or an automobile manufacturer. Perform a SWOT analysis on a company of your choice and list at least three strengths, three weaknesses, three opportunities, and three threats.

187. The goals that an organization chooses to adopt are defined by an individual or group. Different individuals have different ideas about which goals are important to pursue. In your judgment, what factor(s) should determine the priority of organizational goals? What types of goals should every organization have? Think of what goals would be important to an educational tutoring company, a Starbucks location, and a fitness center. List the goals in the order of importance and explain why each set of goals is important for the respective company.

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Chap 05_12e_Daft 188. Goals need to be specific and measurable since vague goals have little motivating power. Goals also need a time period in which to be achieved. Management by objectives defines goals for each department, project, and person, and uses those goals to monitor performance. Use the four-step MBO process to set three goals for yourself in your life right now and explain how using this process may or may not help you set and achieve these goals.

189. Describe the four levels of goals and plans.

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Chap 05_12e_Daft Answer Key 1. True 2. False 3. True 4. True 5. False 6. True 7. False 8. True 9. False 10. False 11. True 12. False 13. True 14. True 15. False 16. False 17. True 18. True 19. False 20. False 21. True 22. False 23. True 24. True 25. True 26. True

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Chap 05_12e_Daft 27. False 28. False 29. False 30. True 31. True 32. True 33. True 34. True 35. False 36. True 37. True 38. True 39. False 40. True 41. False 42. True 43. True 44. True 45. True 46. True 47. False 48. False 49. False 50. False 51. False 52. True 53. True 54. False Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 55. False 56. False 57. False 58. False 59. False 60. True 61. True 62. False 63. False 64. b 65. e 66. e 67. e 68. a 69. d 70. d 71. a 72. d 73. b 74. d 75. c 76. d 77. a 78. a 79. d 80. d 81. b 82. d Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 83. c 84. b 85. c 86. b 87. b 88. a 89. a 90. d 91. b 92. d 93. d 94. c 95. c 96. b 97. b 98. a 99. d 100. c 101. a 102. b 103. c 104. b 105. a 106. d 107. d 108. d 109. e 110. a Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 111. a 112. c 113. a 114. b 115. c 116. a 117. c 118. b 119. c 120. c 121. b 122. c 123. c 124. b 125. d 126. c 127. d 128. d 129. a 130. c 131. e 132. a 133. e 134. e 135. d 136. e 137. d

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Chap 05_12e_Daft 138. d 139. b 140. a 141. d 142. d 143. a 144. a 145. c 146. d 147. c 148. c 149. a 150. d 151. b 152. b 153. b 154. b 155. d 156. a 157. d 158. a 159. a 160. e 161. c 162. e 163. a 164. c 165. b Copyright Cengage Learning. Powered by Cognero.

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Chap 05_12e_Daft 166. e 167. d 168. A SWOT analysis includes strengths, weaknesses, opportunities, and threats. 169. Explicit goals and plans can serve the following functions: resource allocation, source of motivation and commitment, guide to action, rationale for decisions, and set a standard of performance. 170. (1) Set goals, (2) develop action plans, (3) review progress, and (4) appraise overall performance. 171. c 172. c 173. Goals should be specific and measurable, cover key result areas, be challenging but realistic, have a defined time period, and be linked to rewards. 174. Prevention and preparation 175. e 176. Effective goals are precisely defined and allow for measurable performance. They focus on the key result areas that contribute most to desired performance. They should be challenging but not unreasonably difficult. Finally, they should specify the time period that they cover, and they should be tied to valued rewards. 177. Porter identified three competitive strategies: differentiation, cost leadership, and focus. A differentiation strategy involves the organization attempting to distinguish its product or service from those of its competition. Advertising, product features, and customer service are some of the ways an organization can successfully differentiate. A cost leadership strategy is based on the organization achieving a low-cost position relative to the competition. A company may achieve a cost leadership through the operation of efficient facilities, cutting costs, or maintaining tight cost control. When a company uses a differentiation or a cost leadership strategy in a particular market or buyer group, it is employing a focus strategy. This strategy allows the organization to concentrate on a narrow market niche. 178. Plans and goals benefit the organization in several ways. First, they provide legitimacy and a reason for existence. They also provide a source of motivation and commitment, they provide guides for action and decision making, and they set a standard of performance. 179. Student answers will vary. Portfolio: balanced mix of strategic business units (SBUs) that make up a corporation, preventing dependence on just one business. Boston Consulting Group (BCG) matrix: evaluates SBUs according to business growth rate and market share and classifies them as cash cows, stars, bright prospects, or dogs. Diversification: moving into new lines of business. Students will explain each and assess whether these approaches create synergy and which they think is best. 180. The first step is setting goals. The setting of goals involves employees at all levels and should incorporate the principles of effective goal setting. Goals should be jointly determined by manager and employee, so as to increase the employee's level of commitment. The second step is developing action plans. These action plans will specify how the goals are to be achieved. Next, a progress review is important to make sure that the action plans are working. They may be formal or informal and the action plan should be changed if necessary. The last step is to determine if the goals have been achieved within the specified time period. This appraisal should factor into the setting of the next period's goals, allowing for feedback into the setting of the next set of goals.

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Chap 05_12e_Daft 181. Planning is the most fundamental of management functions, crucial to success. It considers the future of the organization rather than just day-to-day operations. The process of planning determines goals and defines how they will be achieved. A goal is a desired future circumstance; a plan specifies what action, time, and resources will be allocated to the goal. Simple example: A goal is to spend a weekend at the beach; a plan is to leave home in Greensboro, NC, at 4 a.m. Saturday, fill up the gas tank and drive U.S. 421 South to Kure Beach, NC, lodge at the home of a generous relative until 7 p.m. Sunday night departure time, drive U.S. 421 North to Greensboro, NC, and refill gas tank when it hits ¼ tank. (Example does not have to be business related because students should be able to relate a principle to other topics.) 182. The two dimensions of the matrix are business growth rate and market share. When growth is high and share is high, the strategic business unit (SBU) has the best situation and is called a star. When growth is low and share is high, the SBU is known as a cash cow. When growth is high but share is low, the SBU is a bright prospect. In the fourth quadrant, growth and share are both low. This is the worst situation, and the SBU is a dog. The strategic recommendations are: (1) invest in stars; (2) milk the cash cow; (3) invest in bright prospects to create stars or divest the bright prospects; and (4) divest the dogs. 183. Student answers will vary. Stretch goals: imaginative, but reasonable, goals far beyond current levels that compel employees to find innovative ways to reach them. 184. Student answers will vary. Strategic management requires the ability to think strategically, have a long-term view, and see how one's own organization fits in with the competitive environment. Components of strategic management include: must define a plan of action, target those to be served by the organization, determine a core competence not held by competitors, build synergy, and deliver value. The three levels of strategy are the corporate level (organization as a whole), the business level (each business unit or product line within the organization), and the functional level (major departments within each business unit). 185. The four focuses are target customers, core competencies, synergy, and value creation. Target customers are those that the company identifies as having needs that are served by the company's products or services. Targeting customers can be done geographically, demographically, or by a variety of other means. Core competence is something the organization does very well in comparison to its competitors. A core competence represents a competitive advantage because the company acquires expertise that competitors do not have. Synergy occurs when organizational parts interact to produce a joint effect that is greater than the sum of the parts acting alone. The organization may attain a special advantage with respect to cost, market power, technology, or management skill. Value creation should be at the heart of strategy. Value is the combination of benefits received and costs paid by the customer. Managers help their companies create value by devising strategies that exploit core competencies and attain synergy. 186. Student answers will vary. Information about internal strengths and weaknesses comes from sources, such as financial reports, profit and loss statements, employee surveys, and company meetings. Strengths are positive internal characteristics, like a talented, productive staff; weaknesses are internal characteristics that inhibit performance, like an inadequate marketing budget. Information about external opportunities and threats comes from sources, such as customers, consultants, government reports, association meetings, Internet research, and competitive intelligence professionals. Opportunities are characteristics of the external environment that can help the organization achieve its goals, like a competitor's public relations problems; threats are characteristics of the external environment that may inhibit performance, like shifting public opinions on a social or environmental issue.

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Chap 05_12e_Daft 187. Goals are determined by the organization's mission, which is its reason for existence. Organizations should have strategic (or official) goals, broad statements of where the organization wants to be in the future and what it hopes to accomplish; tactical goals, outcomes that major divisions and departments must achieve in order to support the strategic goals; and operational goals with specific, measurable results that are expected from work groups and individuals. Students should include organization goals expressed in a company mission statement or credo that is published on its Web site. 188. Student answers will vary. Set goals: should be derived jointly by mutual agreement between all those on the team in order to create the strongest commitment. Develop action plan: for individuals and departments to define action, resources, and activity needed to achieve the goal. Review progress: periodically, to ensure that action plan is on target and on time, otherwise it can be modified; key performance indicators often provide review data. Appraise performance: evaluate whether annual goals have been achieved; often tied to salary increases, promotions, and other rewards. MBO cycle is repeated annually. Benefits: creates focus so that goals are more likely to be achieved; improves performance when employees are involved in setting goals because they are committed, motivated, and resourceful. Drawbacks: emphasis on meeting goals can cause employees to cut corners, ignore potential problems, and act unethically. 189. The highest level is the mission statement, which defines the organization's basic business scope and operations and specifies its reasons for existence. The second level is the strategic goals and plans. Those pertain to the organization as a whole and specify where the organization wants to be in the future. The third level is the tactical level, with a focus on outcomes that major divisions and departments must achieve in order for the organization to reach its overall goals. The fourth and lowest level is the operational level, involving specific measurable results for departments, work groups, and individuals.

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Chap 06_12e_Daft Indicate whether the statement is true or false. 1. Satisficing behavior occurs when we choose the first solution alternative that satisfies minimal decision criteria regardless of whether better solutions are expected to exist. a. True b. False 2. According to the classical model of decision making, managers' searches for alternatives are limited because of human, information, and resource constraints. a. True b. False 3. The most effective managers are consistent in using their own decision style rather than shifting among styles. a. True b. False 4. Electronic brainstorming is a way of evaluating the ideas of others online. a. True b. False 5. For a nonprogrammed decision, feasible alternatives are easy to identify and in fact are already available within the organization's rules and procedures. a. True b. False 6. Two employees in Simona's department quit, which is normal for her department. She is faced with the decision to fill these positions. This would be considered a nonprogrammed decision. a. True b. False 7. The approach that managers use to make decisions usually falls into one of three types—the classical model, the administrative model, and the political model. a. True b. False 8. Most people underestimate their ability to predict uncertain outcomes. a. True b. False 9. The process of forming alliances among managers is called coalition building. a. True b. False 10. Managers will frequently look for new information that contradicts their instincts or original point of view. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 11. Brainstorming uses a face-to-face interactive group to spontaneously suggest a wide range of alternatives for decision making. a. True b. False 12. Risk propensity refers to the willingness to undertake risk with the opportunity of gaining an increased payoff. a. True b. False 13. Individuals with a conceptual decision-making style are more socially oriented than those with an analytical style. a. True b. False 14. According to both research and managerial experience, intuitive decisions are best and always work out. a. True b. False 15. According to the administrative model of decision making, managers' searches for alternatives are limited because of human, information, and resource constraints. a. True b. False 16. The classical model of decision making assumes that the decision maker is rational and makes the decision that will maximize the attainment of organizational goals. a. True b. False 17. Uncertainty means that a decision has clear-cut goals, and that good information is available, but the future outcomes associated with each alternative are subject to chance. a. True b. False 18. The recognition of decision requirement stage involves the use of managerial, administrative, and persuasive abilities to ensure that the chosen alternative is carried out. a. True b. False 19. Good intuitive decision making is based on an ability to recognize patterns at lightning speed. a. True b. False 20. Groupthink refers to the tendency of people in groups to suppress contrary opinions. a. True b. False

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Chap 06_12e_Daft 21. In the implementation stage, decision makers gather information that tells them how well the decision was implemented and whether it was effective in achieving its goals. a. True b. False 22. Managers confront a decision requirement in the form of either a problem or an opportunity. a. True b. False 23. Fearing failure or loss is a common bias of managers. a. True b. False 24. The best alternative is the one in which the solution best fits the overall goals and values of the organization and achieves the desired results using the fewest resources. a. True b. False 25. Feedback is the part of monitoring that assesses whether a new decision needs to be made. a. True b. False 26. The first step in the managerial decision-making process is recognition of decision requirement. a. True b. False 27. The devil's advocate technique is similar to brainstorming in that both techniques prevent individuals from challenging other group members' assumptions. a. True b. False 28. A decision is a choice made from available alternatives. a. True b. False 29. Gabriel's Groceries and Mitchell's Market decided to merge their operations, something neither company has tried before. This would be considered a nonprogrammed decision. a. True b. False 30. The growth of AI and big data techniques has reduced the use of the classical approach. a. True b. False

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Chap 06_12e_Daft 31. Intuition is a quick apprehension of a decision situation based on past experience but without conscious thought. a. True b. False 32. The administrative model of decision making describes how managers actually make decisions in difficult situations. a. True b. False 33. In the real world, few decisions are certain. a. True b. False 34. The classical model of decision making is most useful when applied to nonprogrammed decisions in conditions of ambiguity. a. True b. False 35. People who prefer simple, clear-cut solutions to problems use the directive style. a. True b. False 36. Programmed decisions are decisions that are made for situations that have occurred often in the past and allow decision rules to be developed to guide future decisions. a. True b. False 37. Performing a premortem involves purposefully imagining that a decision has been implemented and has failed miserably and then identifying reasons for the failure so that problematic issues can be addressed in advance. a. True b. False 38. Administrative and political decision-making procedures and intuition have been associated with high performance in unstable environments in which decisions must be made rapidly and under more difficult conditions. a. True b. False 39. The political model consists of vague problems and goals, limited information about alternatives and their outcomes, and a satisficing choice for resolving problems using intuition. a. True b. False

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Chap 06_12e_Daft 40. Nonprogrammed decisions require six steps; however, programmed decisions are structured and well understood and require only one step. a. True b. False 41. Making a choice is the most significant part of the decision-making process. a. True b. False 42. A situation where the goals to be achieved or the problem to be solved is unclear, alternatives are difficult to define, and information about outcomes is unavailable refers to ambiguity. a. True b. False 43. Normative decision theory recognizes that managers have only limited time and cognitive ability and therefore their decisions are characterized by bounded rationality. a. True b. False 44. The behavioral style is often adopted by managers who like to consider complex solutions based on as much data as they can gather. a. True b. False 45. The main difference between risk and uncertainty is that with risk you know the probabilities of the outcomes. a. True b. False 46. Managers with an analytical decision style like to consider complex solutions based on as much data as they can gather. a. True b. False 47. Most bad decisions are errors in judgment that originate in the human mind's limited capacity and in the natural biases of the manager. a. True b. False

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Chap 06_12e_Daft Indicate the answer choice that best completes the statement or answers the question. 48. At the start of every shift, Camdyn, a delivery truck driver, plans out his delivery route based on a list of addresses that he will be visiting to drop off packages. This can best be described as what kind of decision? a. Programmed b. Nonprogrammed c. Wicked d. Administrative e. Intuitive 49. Which of the following means that decision makers choose the first solution alternative that satisfies minimal decision criteria? a. Satisficing b. Quasirationality c. Coalition d. Bounded rationality e. Intuition 50. Malik, a production manager at Katie's Kookware, recently chose to schedule his workers to work overtime. His alternative was to hire more workers. He is now monitoring the consequences of his choice. This is an example of _____. a. planning b. decision making c. organizing d. motivating e. leading 51. Which of the following is the last step in the decision-making process? a. Evaluation and feedback b. Development of alternatives c. Implementation of chosen alternative d. Selection of desired requirement e. Recognition of decision requirement 52. Which type of decision is associated with decision rules? a. Nonprogrammed b. Unique c. Programmed d. Ill-structured e. Novel

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Chap 06_12e_Daft 53. If your instructor has an attendance policy, she or he is using _____. a. a programmed decision b. a unique approach c. a condition of ambiguity d. a nonprogrammed decision e. none of these choices 54. Which of the following represents a quick apprehension of a decision situation based on past experience but without conscious thought? a. Satisficing b. Quasirationality c. Coalition building d. Bounded rationality e. Intuition 55. Which of the following refers to differences among people with respect to how they perceive problems and make decisions? a. Risk taking b. Personal behavior c. Decision styles d. Strategic decision making e. Statistical analysis 56. Which model of decision making is based on rational assumptions? a. Classical b. Normative c. Administrative d. Political e. Intuitive 57. Which of the following is a new trend in decision making that combines intuitive and analytical thought? a. Satisficing b. Quasirationality c. Coalition building d. Bounded rationality e. Intuition 58. Which of the following occurs when the organizational accomplishment is less than established goals? a. Strength b. Threat c. Diagnosis d. Opportunity e. Problem Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 59. Finance managers at Big Bend Inc. made a financial blunder when they solely looked at the previous year's sales to estimate sales for the coming year. Of which management bias is this an example? a. Being influenced by emotions b. Perpetuating the status quo c. Seeing what you want to see d. Fearing failure or loss e. Being influenced by initial impressions 60. What type of decision is associated with conflicts over goals and decision alternatives, rapidly changing circumstances, fuzzy information, and unclear links among decision elements? a. Nonprogrammed b. Programmed c. Wicked d. Conventional e. Irrational 61. Shyanne works in the Human Resources Department at Turtle Shells, Inc. She believes she is seeing an increase in drinking problems among the workforce. She thinks she needs to investigate further. She is at what stage of the managerial decision-making process? a. Diagnosis and analysis of causes b. Development of alternatives c. Recognition of decision requirement d. Evaluation and feedback e. Selection of desired alternatives 62. Which of the following means that managers know which goals they wish to achieve but information about alternatives and future events is incomplete? a. Certainty b. Risk c. Uncertainty d. Ambiguity e. None of these choices 63. As a top manager, Jamaya works with others within her team every day in making important corporate decisions. Her preferred decision-making approach is to generate as many alternatives to problems as possible in a short amount of time. This approach is referred to as _____. a. groupthink b. devil's advocacy c. a premortem d. escalating commitment e. brainstorming

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Chap 06_12e_Daft 64. The recognition of the decision requirement step in the managerial decision-making process requires managers to _____. a. develop alternative solutions b. survey the internal and external environments for issues that merit their attention c. use the classical model of decision making d. focus on generating ideas e. select undesirable alternatives 65. Which of the following is important because decision making is a continuous, never-ending process? a. Diagnosis b. Feedback c. Development d. Recognition e. Implementation 66. Which of the following is a choice made from available alternatives? a. Decision b. Plan c. Goal d. Tactic e. Strategy 67. What type of decision involves situations that have occurred often enough to enable decision rules to be developed and applied in the future? a. Unprogrammed b. Risky c. Programmed d. Ambiguous e. All of these choices 68. After recognizing and analyzing a problem, the decision maker's next step is to _____. a. evaluate and provide feedback b. choose among alternatives c. generate alternatives d. prioritize the alternatives e. reanalyze the problem

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Chap 06_12e_Daft 69. Which of the following means that a decision has clear-cut goals and that good information is available, but the future outcomes associated with each alternative are subject to chance? a. Certainty b. Risk c. Uncertainty d. Ambiguity e. Brainstorming 70. Which of the following is a vital part of good management because decisions determine how the organization solves its problems, allocates resources, and accomplishes its goals? a. Organizing b. Competitive visioning c. Proper alignment d. Good decision making e. Leadership 71. Feedback is important because _____. a. decision making is a continuous process b. it provides decision makers with new information c. it helps determine if a new decision needs to be made d. it tells decision makers if a decision was effective e. all of these choices 72. Which of the following is by far the most difficult situation for a decision maker? a. Certainty b. Risk c. Uncertainty d. Ambiguity e. Brainstorming 73. During the fallout of the global financial crisis of the late 2000s, finance companies had to make important decisions in a highly ambiguous environment. The decision to buy out failed banks could best be described as what type of decision? a. Bounded b. Programmed c. Conventional d. Wicked decision e. Irrational decision

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Chap 06_12e_Daft 74. Jefferson Inc. is an information technology consulting firm located in Washington, D.C. Decisions at Jefferson are complex and involve many people, with a significant amount of disagreement and conflict. Which decisionmaking model fits best for this organization? a. Political b. Functional c. Classical d. Administrative e. Bureaucratic 75. Which of these assumptions are included in the classical model of decision making? a. Problems are unstructured and ill defined. b. The decision maker strives for conditions of certainty. c. Criteria for evaluating alternatives are unknown. d. The decision maker selects the alternatives that will minimize the economic return to the organization. e. The situation is always uncertain. 76. Most managers settle for a satisficing solution rather than a _____. a. minimizing solution b. maximizing solution c. bottom-line solution d. top-line solution e. simple solution 77. Which of the following refers to the willingness to undertake risk with the opportunity to increase one's return? a. Tunnel vision b. Risk propensity c. Risk averse d. Thrill seeking e. Ineffective investment philosophy 78. Two area banks, Bank A and Bank B, decided to merge their operations. This is an example of a _____. a. programmed decision b. nonprogrammed decision c. decision rule d. structured decision e. bad community decision

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Chap 06_12e_Daft 79. Bierderlack has a policy that states that more than three absences in a six-month period will result in a suspension. Chloe, the manager, has just decided to suspend one of her shift employees for violating this policy. This is an example of _____. a. a programmed decision b. a nonprogrammed decision c. an insignificant decision d. poor management e. a personal grudge 80. Which of the following approaches describes how managers actually make decisions? a. Normative b. Classical c. Intuitive d. Administrative e. None of these choices 81. Which of the following is NOT a characteristic of the administrative decision-making model? a. Vague problem and goals b. Conditions of certainty c. Limited information about alternatives and their outcomes d. Making satisficing choices e. All of these choices 82. The recognition that people have limits on how rational they can be is known as _____. a. satisficing b. quasirationality c. coalition d. bounded rationality e. intuition 83. Which of the following styles is adopted by managers who have a deep concern for others as individuals? a. Behavioral b. Classical c. Analytic d. Logical e. Conceptual

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Chap 06_12e_Daft 84. Which model of decision making describes how managers actually make decisions in situations characterized by nonprogrammed decisions, uncertainty, and ambiguity? a. Normative b. Classical c. Administrative d. Scientific management e. Objective 85. The classical model of decision making is most valuable when applied to _____. a. programmed decisions b. nonprogrammed decisions c. all types of decisions d. ambiguous decisions e. structured decisions 86. The classical model of decision making is based on _____. a. philosophical assumptions b. irrational assumptions c. rational assumptions d. uncertainty assumptions e. technological assumptions 87. What type of decision is least common? a. Uncertain b. Risky c. Ambiguous d. Certain e. All decisions are equally common. 88. The concept that people have the time and cognitive ability to process only a limited amount of information on which to base decisions is known as _____. a. satisficing b. bounded rationality c. the classical model of decision making d. the normative approach e. the scientific approach

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Chap 06_12e_Daft 89. The tendency of organizations to invest time and money in a solution despite strong evidence that it is not appropriate is referred to as _____. a. a technological decision b. collective intuition c. decision learning d. team delay e. escalating commitment 90. Nonprogrammed decisions are made in response to situations that are _____. a. unique b. unstructured c. important to the organization d. poorly defined e. all of these choices 91. Which of the following refers to the process of identifying problems and then resolving them? a. Organizing b. Controlling c. Decision making d. Planning e. Leading 92. Strategic decisions are a good example of _____. a. nonprogrammed decisions b. programmed decisions c. insignificant decisions d. recurring decisions e. structured decisions 93. The four positions on the possibility of failure scale include certainty, risk, ambiguity, and _____. a. uncertainty b. conflict c. necessity d. indecision e. possibility 94. Gina is collecting data on how well the organization has done since its new strategy was implemented. She is in what stage of the managerial decision-making process? a. Generation of alternatives b. Implementation of chosen alternative c. Evaluation and feedback d. Recognition of decision requirement e. Selection of desired alternative Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 95. Which of the following is a decision-making technique that brings people together in an interactive group over a computer network? a. Electronic brainstorming b. Devil's advocate c. Debate d. Groupthink e. Brainwriting 96. Melissa is a manager at InStylez Clothing. Her job is very complex and she feels that she does not have enough time to identify and/or process all the information she needs to make decisions. Melissa's situation is most consistent with which of the following concepts? a. Bounded rationality b. Classical model of decision making c. Satisficing d. Brainstorming e. Scientific management 97. Which of the following approaches provides guidelines for reaching an ideal outcome for the organization? a. Administrative b. Descriptive c. Normative d. Bounded rationality e. None of these choices 98. Which of the following means that all the information the decision maker needs is fully available? a. Ambiguity b. Uncertainty c. Certainty d. Risk e. All of these choices 99. Which style is used by people who prefer simple, clear-cut solutions to problems? a. Behavioral b. Conceptual c. Directive d. Analytical e. Classical

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Chap 06_12e_Daft 100. Ryan is a manager at Dream Catchers. Dream Catchers is currently operating in an environment of high uncertainty. As a result, Ryan will _____. a. most likely be making programmed decisions b. probably have an easy time generating alternatives c. probably have a difficult time generating alternatives d. most likely rely on the classical model of decision making e. wait until the environment becomes certain 101. Which of the following defines a technique that uses a face-to-face group to spontaneously suggest a broad range of alternatives for decision making? a. Brainstorming b. Groupthink c. A premortem d. Brainwriting e. Devil's advocate 102. Managers who prefer to consider complex solutions based on as much data as they can gather have which type of decision style? a. Behavioral b. Conceptual c. Directive d. Analytical e. Classical 103. Intuition is based on experience but lacks in _____. a. practicality b. applicability c. accuracy d. conscious thought e. guts 104. Which of the following has the highest possibility of failure? a. Condition of certainty b. Condition of ambiguity c. Condition of uncertainty d. Condition of risk e. All of these choices

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Chap 06_12e_Daft 105. Which of the following statements regarding a normative decision-making model is true? a. It describes how a decision maker actually make decisions. b. It recognizes the human and environmental limitations. c. It defines how a decision maker should make decisions. d. Managers are often unaware of problems and opportunities that exist in the organization. e. Information is ambiguous and incomplete. 106. Bob, a product manager, wants to increase the market share of his product by 25%. He is unsure how to go about it, not knowing for sure how costs, price, the competition, and the quality of his product will interact to influence market share. Bob is operating under a condition of _____. a. risk b. ambiguity c. certainty d. uncertainty e. brainstorming 107. Nordstrom Inc.'s "No questions asked" return policy is an example of _____. a. a programmed decision b. a nonprogrammed decision c. a novel decision d. poor management e. an unstructured decision 108. Managers are often referred to as _____. a. decision makers b. peace makers c. conflict creators d. an unnecessary layer of employees e. profit suppressors 109. When managers base decisions on what has worked in the past and fail to explore new options, they are _____. a. perpetuating the status quo b. being influenced by emotions c. being overconfident d. fearing failure or loss e. seeing what they want to see

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Chap 06_12e_Daft 110. Statistical analyses are useful under conditions of _____. a. certainty b. ambiguity c. risk d. uncertainty e. conflict 111. When a small community hospital decides to add a radiation therapy unit, it is considered a _____. a. programmed decision b. structured decision c. nonprogrammed decision d. poor management decision e. certainty decision 112. Which of the following is the process of forming alliances among managers during the decision-making process? a. Networking b. Socializing c. Coalition building d. Satisficing e. Passing the buck 113. Riley is a manager at Tinker Tools. She is expected to make rational decisions that are in the organization's best interests. Her decisions should be based on which of the following decision-making models? a. Administrative model b. Garbage can model c. Scientific management model d. Classical model e. Humanistic model 114. All of the following are cognitive biases that can affect a manager's judgment except _____. a. being influenced by initial impressions b. fearing failure or loss c. seeing what you don't want to see d. perpetuating the status quo e. being overconfident

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Chap 06_12e_Daft 115. Managers in big Hollywood studios make relatively good decisions overall, even considering that many films made today don't break even. This is mostly due to the fact that the interests and preferences of movie goers are difficult to predict. These managers are operating under conditions of _____. a. certainty b. risk c. uncertainty d. ambiguity e. advocacy 116. The condition under which ambiguity occurs is when _____. a. alternatives are difficult to define b. objectives are well defined c. information about outcomes is readily available d. all the alternatives are known e. decisions are already made 117. The growth of AI and big data techniques has expanded the use of which decision-making approach? a. Administrative b. Classical c. Intuitive d. Political e. Bureaucratic 118. Which of the following statements accurately describes nonprogrammed decisions? a. Uncertainty is great and decisions are complex. b. Uncertainty is great and decisions are simple. c. Certainty is great and decisions are complex. d. Certainty is great and decisions are simple. e. None of these choices accurately describes nonprogrammed decisions. 119. In which stage of the managerial decision-making process are managers when they ask questions such as "What is the state of disequilibrium affecting us?" a. Selection of a desired alternative b. Development of alternatives c. Diagnosis and analysis of causes d. Recognition of decision requirement e. Evaluation and feedback

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Chap 06_12e_Daft 120. Examples of nonprogrammed decisions would include the decision to _____. a. reorder supplies b. develop a new product or service c. perform routine maintenance on one of the machines in manufacturing d. terminate an employee for violation of company rules e. fill a position 121. Which step in the decision-making process involves using managerial, administrative, and persuasive abilities to translate the chosen alternative into action? a. Recognition b. Analysis c. Evaluation d. Implementation e. Feedback 122. Research has identified four major decision styles. These include all of the following except _____. a. behavioral b. conceptual c. analytical d. authoritative e. directive 123. Once a desired alternative has been selected, the next step in the decision-making process involves _____. a. implementing the alternative b. evaluating the alternate c. selecting the alternative d. recognizing the alternative e. identifying the alternative 124. Which of the following is the step in the decision-making process in which managers analyze underlying causal factors associated with the decision situation? a. Analysis b. Diagnosis c. Recognition d. Judgment e. Identification

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Chap 06_12e_Daft 125. The step in the decision-making process in which managers analyze the underlying causal factors associated with the situation is called _____. a. diagnosis b. development of alternatives c. evaluation d. recognition e. selection of desired alternatives 126. Managers know what goal they wish to achieve, but information about alternatives and future events is incomplete under which of the following conditions? a. Uncertainty b. Risk c. Ambiguity d. Certainty e. None of these choices 127. Which model of decision making is associated with satisficing, bounded rationality, and uncertainty? a. Classical b. Administrative c. Quantitative d. Rational e. Political 128. Choosing the first solution alternative that satisfies minimal decision criteria is known as _____. a. bounded rationality b. creativity c. decision maximization d. satisficing e. the classical model of decision making 129. Which of the following is NOT a characteristic of the classical decision-making model? a. Clear-cut problems and goals b. Conditions of certainty c. Rational choice by individual for maximizing outcomes d. Limited information about alternatives and their outcomes e. All of these choices 130. Which of the following is the first step in the managerial decision-making process? a. Evaluation and feedback b. Development of alternatives c. Recognition of decision requirement d. Diagnosis and analysis of causes e. Selection of desired alternatives Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 131. Which of the following stages involves the use of managerial, administrative, and persuasive abilities to ensure that the chosen alternative is carried out? a. Diagnosis b. Development of alternatives c. Evaluation d. Recognition e. Implementation 132. Russell doesn't always realize that within his role as an air traffic controller, he must continuously perceive and process information based on knowledge and experience that he is not consciously aware of. This describes what type of decision making? a. Administrative b. Right-brained c. Satisficing d. Rational e. Intuitive 133. Which of the following is the individual who is assigned the role of challenging assumptions made by the group? a. Group gadfly b. Multiple advocate c. Devil's advocate d. Brainstormer e. Inferior member 134. A critical skill in today's fast-moving organizations is being able to make _____. a. fast decisions b. widely supported decisions c. high-quality decisions d. frequent decisions e. all of these choices 135. Programmed decisions are made in response to what type of organizational problems? a. Unusual b. Recurring c. Significant d. Major e. Unique

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Chap 06_12e_Daft 136. People with which of the following styles are usually concerned with the personal development of others and may make decisions that help others achieve their goals? a. Classical b. Analytic c. Logical d. Behavioral e. Conceptual 137. For a programmed decision, _____. a. alternatives are usually difficult to identify b. alternatives are usually easy to identify c. there are usually few alternatives d. there are usually few alternatives and they are difficult to identify e. there are no alternatives 138. Which approach describes how managers actually make decisions, not how they should? a. Classical b. Normative c. Administrative d. Political e. Intuitive 139. Which approach defines how a decision maker should make decisions? a. Normative b. Scientific c. Descriptive d. Reflective e. Humanistic 140. The tendency of people in groups to suppress contrary opinions is known as _____. a. a premortem b. groupthink c. devil's advocacy d. escalating commitment e. brainstorming 141. Which model represents "ideal" decision making and can't usually be attained by real people in real organizations? a. Classical b. Normative c. Administrative d. Political e. Intuitive Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 142. Which of the following is NOT a basic assumption of the political model? a. Organizations are made up of groups with diverse interests, goals, and values. b. Information is clear and complete. c. Managers do not have the time, resources, or mental capacity to identify all dimensions of the problem. d. Managers engage in the push and pull of debate to decide goals and discuss alternatives. e. All of these choices are basic assumptions of the political model. 143. Which model shows what happens in decision making when many managers are trying to achieve many different goals? a. Normative b. Administrative c. Descriptive d. Classical e. Political 144. Which of the following means that the goal to be achieved or the problem to be solved is unclear, alternatives are difficult to define, and information about outcomes is unavailable? a. Certainty b. Risk c. Uncertainty d. Ambiguity e. Brainstorming 145. "When did it occur?" and "How did it occur?" are questions associated with which step of the decision-making process? a. Diagnosis and analysis of causes b. Recognition of decision requirement c. Development of alternatives d. Selection of desired alternative e. None of these choices 146. When quality control measures at the local tire plant were found to be inadequate, managers were asking themselves, "How did this occur?" and "What is the result?" The company is in which stage of the managerial decision-making process? a. Selection of a desired alternative b. Development of alternatives c. Diagnosis and analysis of causes d. Recognition of decision requirement e. Evaluation and feedback

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Chap 06_12e_Daft 147. Which of the following exists when managers see the potential of enhancing performance beyond current levels? a. Satisficing b. A diagnosis c. A problem d. Bounded rationality e. An opportunity 148. Which model of decision making is useful for making nonprogrammed decisions when conditions are uncertain, information is limited, and there are managerial conflicts about what goals to pursue or what course of action to take? a. Classical b. Functional c. Bureaucratic d. Political e. Administrative 149. Differences among people with respect to how they perceive problems and make decisions refers to _____. a. decision style b. decision choice c. conceptual style d. analytical style e. decision steps 150. Name the four major personal decision styles.

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Chap 06_12e_Daft Scenario - Victor Bately Victor Bately manages a group of eight electrical engineers at Defiance Designs. His team is highly trained and well respected by experts both inside and outside the company. Recently, one of Victor's engineers suggested a new technique for the development and use of an argon laser. There appears to be rich potential for this technology, but Victor isn't certain that developing this technology is the best use of his limited resources. Victor is facing a significant decision. 151. If Victor uses the classical model of decision making, which of the following assumptions should he reject? a. The decision maker is rational and uses logic in assigning values and evaluating alternatives. b. The desired decision will maximize attainment of organizational objectives. c. The decision maker strives for complete certainty, gathering complete information. d. Problems are precisely formulated and defined. e. Managers in Victor's organization are likely to have a variety of goals and objectives.

152. List the guidelines of innovative group decision making in today's businesses.

Scenario - Victor Bately Victor Bately manages a group of eight electrical engineers at Defiance Designs. His team is highly trained and well respected by experts both inside and outside the company. Recently, one of Victor's engineers suggested a new technique for the development and use of an argon laser. There appears to be rich potential for this technology, but Victor isn't certain that developing this technology is the best use of his limited resources. Victor is facing a significant decision. 153. If Victor uses the administrative model of decision making, which of the following assumptions should he reject? a. Decision makers settle for a satisficing rather than a maximizing solution. b. The search for alternatives is limited because of information, human, and resource constraints. c. Rational procedures will normally lead to the best solution in a complex organization. d. Decision objectives are often vague, are conflicting, and lack consensus among managers. e. People have limits on how rational they can be.

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Chap 06_12e_Daft 154. List four of the eight questions Kepner and Tregoe recommend that managers ask when diagnosing and analyzing causes.

Scenario - Victor Bately Victor Bately manages a group of eight electrical engineers at Defiance Designs. His team is highly trained and well respected by experts both inside and outside the company. Recently, one of Victor's engineers suggested a new technique for the development and use of an argon laser. There appears to be rich potential for this technology, but Victor isn't certain that developing this technology is the best use of his limited resources. Victor is facing a significant decision. 155. Which of the following steps should Victor NOT take in making his decision? a. Sense and recognize the decision requirement. b. Implement the chosen alternative. c. Create a set of alternatives. d. Diagnose and analyze problem causes. e. All of these choices

156. Significant differences distinguish how individual managers approach problems and make decisions; each has his or her own dominant personal decision style. Briefly describe four personal decision styles used by managers. Then describe three or four significant decisions you have made in the last 30 days and use them to determine your dominant personal decision style. Explain how you reached your conclusion.

157. What are the five underlying assumptions of the administrative model?

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Chap 06_12e_Daft 158. Briefly describe the assumptions underlying the classical model of decision making.

159. Explain how a manager selects the desired decision in the managerial decision-making process.

160. What are the six steps in the managerial decision-making process?

161. List and describe the four basic assumptions of the political model.

162. Compare decision conditions of certainty, risk, uncertainty, and ambiguity.

163. Even good managers will make mistakes that are caused by bias. Bias is a partial perspective that clouds good judgment. Define the six biases that can cause a manager to make bad decisions. Then, describe a situation that is public knowledge where bias was reflected in the manager's decision-making process.

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Chap 06_12e_Daft 164. We all appreciate doing business with a company that exemplifies good management, and much of good management can be attributed to effective decision making. Write about a personal experience—positive or negative—that shows why decision making is an integral part of good management. Identify factors that are important for good decision making and what factors can inhibit good decision making.

165. When an organization falls short of established performance goals, or when a possibility exists of enhancing future performance, managers must make a decision. Summarize the six steps of decision making by providing a realistic example of a business problem or opportunity that you could encounter as a manager. Make the decision you think is most effective, and identify each step of the decision-making process in your example.

166. Explain the difference between programmed and nonprogrammed decisions and give an example of each.

167. Describe the similarities and differences between programmed and nonprogrammed decisions and their relationship to certainty and uncertainty. Give examples of each type of decision.

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Chap 06_12e_Daft Answer Key 1. True 2. False 3. False 4. False 5. False 6. False 7. True 8. False 9. True 10. False 11. True 12. True 13. True 14. False 15. True 16. True 17. False 18. False 19. True 20. True 21. False 22. True 23. True 24. True 25. True 26. True

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Chap 06_12e_Daft 27. False 28. True 29. True 30. False 31. True 32. True 33. True 34. False 35. True 36. True 37. True 38. True 39. False 40. False 41. False 42. True 43. False 44. False 45. True 46. True 47. True 48. a 49. a 50. b 51. a 52. c 53. a 54. e Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 55. c 56. a 57. b 58. e 59. e 60. c 61. c 62. c 63. e 64. b 65. b 66. a 67. c 68. c 69. b 70. d 71. e 72. d 73. d 74. a 75. b 76. b 77. b 78. b 79. a 80. d 81. b 82. d Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 83. a 84. c 85. a 86. c 87. d 88. b 89. e 90. e 91. c 92. a 93. a 94. c 95. a 96. a 97. c 98. c 99. c 100. c 101. a 102. d 103. d 104. b 105. c 106. d 107. a 108. a 109. a 110. c Copyright Cengage Learning. Powered by Cognero.

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Chap 06_12e_Daft 111. c 112. c 113. d 114. c 115. c 116. a 117. b 118. a 119. c 120. b 121. d 122. d 123. a 124. b 125. a 126. a 127. b 128. d 129. d 130. c 131. e 132. e 133. c 134. e 135. b 136. d 137. b

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Chap 06_12e_Daft 138. c 139. a 140. b 141. a 142. b 143. e 144. d 145. a 146. c 147. e 148. d 149. a 150. (1) directive, (2) analytical, (3) conceptual, and (4) behavioral 151. e 152. Start with brainstorming, use hard evidence, engage in rigorous debate, avoid groupthink, know when to bail, and do a premortem and postmortem. 153. c 154. The questions are (1) What is the state of disequilibrium affecting us? (2) When did it occur? (3) Where did it occur? (4) How did it occur? (5) To whom did it occur? (6) What is the urgency of the problem? (7) What is the interconnectedness of events? (8) What result came from which activity? 155. e 156. The four personal decisions styles used by managers are as follows: 1. Directive: prefers simple, clear-cut solutions using procedures already in existence; makes decisions quickly, often by considering only one or two alternatives; efficient and rational. 2. Analytical: considers complex solutions based on much broad data to arrive at best possible decision; likes objective and rational data from management control systems; carefully considers alternatives. 3. Conceptual: likes to consider broad amount of information, but more socially oriented than the analytical; talks problem out with others to solve creatively. 4. Behavioral: likes to talk to people one on one, understand their feelings, and base decision on effect it will have on them; concerned with helping others achieve personal goals. Though most have a dominant personal style, effective managers use a combination of them all depending on the various decisions they make daily. Students will identify their style and how they determined their dominant style.

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Chap 06_12e_Daft 157. (1) The decision maker operates to accomplish goals that are vague and conflicting. (2) Managers are often unaware of problems or opportunities. (3) All alternatives and the potential results are based on simplistic views of organizational events. (4) Alternatives are limited based on human constraints. (5) Managers settle for satisficing. 158. The classical model of decision making is based on four assumptions. First, the decision maker attempts to accomplish goals that are known and agreed upon. In addition, problems are specified and defined precisely. Second, the decision maker attempts to gather complete information, going for a condition of certainty. Third, the criteria for evaluating the alternatives are known, and the decision maker will select the alternative that maximizes the economic return to the organization. Fourth, the decision maker is rational and relies upon logic to make sense of the information available. 159. The manager tries to select the choice with the least amount of risk and uncertainty. Because some risk is inherent for most nonprogrammed decisions, managers try to gauge prospects for success. Under conditions of uncertainty, they might have to rely on their intuition and experience to estimate whether a given course of action is likely to succeed. Basing choices on overall goals and values can also effectively guide selection of alternatives. Decisions about how to cope should be selected by relying on the company's values and goals of treatment of employees and building long-term relationships. Making choices depends on managers' personality factors and willingness to accept risk and uncertainty. 160. The six steps are (1) recognize the decision requirement, (2) diagnose and analyze the causes, (3) develop alternatives, (4) select the desired alternative, (5) implement the chosen alternative, and (6) evaluate and determine feedback. 161. (1) Organizations are made up of groups with diverse interests, goals, and values. Managers disagree about problem priorities and may not understand or share the goals and interests of other managers. (2) Information is ambiguous and incomplete. The attempt to be rational is limited by the complexity of many problems as well as personal and organizational constraints. (3) Managers do not have the time, resources, or mental capacity to identify all dimensions of the problem and process all relevant information. Managers talk to each other and exchange viewpoints to gather information and reduce ambiguity. (4) Managers engage in the push and pull of debate to decide goals and discuss alternatives. Decisions are the result of bargaining and discussion among coalition members. 162. Decisions made under the condition of certainty have a high possibility of success. All of the information that the decision maker needs is available. The decision maker knows the alternatives, objectives, and outcomes. Risk is a situation where the decision maker knows the alternatives and the objectives. However, the outcomes are not known with certainty, but the probabilities of the outcomes are known. Under conditions of uncertainty, the decision maker does not know the probabilities of the outcomes but does know some of the alternatives and objectives. With ambiguity, the objectives are unclear, alternatives are difficult to define, and information about outcomes is incomplete or unavailable.

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Chap 06_12e_Daft 163. The six biases that cause a manager to make bad decisions are as follows: 1. Being influenced by initial impressions: The mind often gives disproportionate weight to the first information that it receives, which acts as an anchor to our subsequent thoughts and judgments. Past events and trends also act as anchors, which can lead to poor forecasts. 2. Fearing failure or loss: People hate to lose, so they continue to support a flawed decision in an effort to justify or correct the past. 3. Seeing what you want to see: People frequently look for information that supports their existing instinct or point of view and avoid information that contradicts it. 4. Perpetuating the status quo: Managers may base decisions on what has worked in the past and fail to explore new options or investigate new technologies. 5. Being influenced by emotions: Managers make better decisions when they take emotions out of the decisionmaking process. 6. Being overconfident: Managers overestimate their ability to predict uncertain outcomes. Student answers will vary for the last part of the question. They may choose an example of biased judgment, such as U.S. automakers that perpetuated the status quo by continuing to manufacture large, gas-guzzling cars in the face of high gas prices and public demand for small, fuel-efficient vehicles. 164. Student answers will vary. Decision making determines how a company or organization will allocate its resources and accomplish its goals. It is not only the decisions, or choices, that managers make, but it is also the process and circumstances that lead to making those choices. Some decisions are made after a problem has been identified; others are made after an opportunity has been identified. Example of student writing: We all know and appreciate good management when we encounter it. Who of us has not been in a store that had 12 checkout lanes, but only two of them were open? We watched as customer after customer laid down their potential purchases and walked out the door rather than wait interminably in a snaking line. We wondered, "Is there a manager on duty here, and does he see what's going on?" We make a mental note that this store is poorly managed and we won't be shopping here again. The manager's poor decision-making skills resulted in lost revenue for his store. He did not identify the problem of excessive customer wait time; therefore, he did not allocate resources of additional cashiers that would have resolved the problem. 165. Student answers will vary. An example follows: 1. Recognize problem or opportunity and the need to make a decision: A manager at a soft-drink company sees that orders are steadily declining for sodas and other sugary beverages. Should they enhance marketing strategies, or do something different altogether? 2. Diagnose the causes: The marketing team analyzed the types of beverage orders that were increasing and learned that retail outlets were ordering more water and unsweetened beverages than soda and sugary drinks. 3. Evaluate alternatives: They discussed the possibilities of enhancing their marketing strategies or developing a healthy beverage line. 4. Select an alternative: They decided to pitch the idea of developing a healthy beverage line to company executives who agreed and got all other parties on board. 5. Implement alternative: The company began production of a new flavored water and a low-carb, low-sugar drink. 6. Evaluate effectiveness: Preliminary feedback from focus groups was positive. The marketing team is currently in the process of collecting customer satisfaction surveys.

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Chap 06_12e_Daft 166. Programmed decisions involve situations that have occurred enough to enable decision rules to be developed and applied in the future. Examples include job skills required to fill certain positions, the reorder point for manufacturing inventory, and selection of freight routes for product deliveries. Nonprogrammed decisions are made in response to situations that are unique, are poorly defined and largely unstructured, and have important consequences for the organization. Examples are decisions to build a new factory, develop a new product or service, and enter a new geographical market. 167. Programmed decisions are made in response to situations that arise frequently and regularly, such as the freight route that should be taken for delivering orders and the number of towels, hand towels, or washcloths needed to restock a hotel room. Oftentimes, rules are put in place that subordinates can routinely follow. Nonprogrammed decisions are made in response to unique situations often related to strategic planning, such as developing a new product line or relocating headquarters to a new city. Decisions will differ depending on the amount of certainty or uncertainty that is attached. Certainty is when all the information needed to make a decision is available to the decision maker. Conversely, uncertainty is when managers know what goals they want to achieve, but information needed about alternatives is incomplete.

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Chap 07_12e_Daft Indicate whether the statement is true or false. 1. Organizing defines what to do, while strategy defines how to do it. a. True b. False 2. Despite the apparent advantages of specialization, many organizations are moving away from this principle. a. True b. False 3. Certainty in the environment is usually associated with decentralization. a. True b. False 4. In the divisional approach, coordination across divisions is great, whereas coordination within divisions is often poor. a. True b. False 5. Given the challenges to meet customer needs and adapt to shifts in the environment, most organizations today discourage managers from delegating authority to the lower levels. a. True b. False 6. The duty to perform the task or activity an employee has been assigned is called accountability. a. True b. False 7. The focus of reengineering is on function, not workflows. a. True b. False 8. Aspects of both functional and divisional structures simultaneously in the same part of the organization are combined in the virtual network approach. a. True b. False 9. The deployment of organizational resources to achieve strategic goals is known as organizing. a. True b. False 10. The radical redesign of business processes to achieve dramatic improvements in cost, quality, service, and speed is called reengineering. a. True b. False

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Chap 07_12e_Daft 11. Reengineering means preserving the past by establishing the sequence of activities by how work was done. a. True b. False 12. The overseer of both the product and functional chains of command, responsible for the entire matrix, is the matrix boss. a. True b. False 13. Because the chain of command converges at the top, the functional structure provides a way to decentralize decision making and unified direction from all managers. a. True b. False 14. A vertical structure that emphasizes specialization and centralization is appropriate when environmental uncertainty is high. a. True b. False 15. Many hierarchical levels and a correspondingly narrow span of management refers to a flat structure. a. True b. False 16. A functional structure offers a way to decentralize decision making and provide direction from the teams in the field. a. True b. False 17. The matrix approach can be highly effective in a complex, rapidly changing environment in which the organization needs to be flexible and adaptable. a. True b. False 18. The horizontal structure provides traditional control within functional departments, and the vertical structure provides coordination across departments. a. True b. False 19. For companies to operate effectively, the amount of centralization or decentralization should fit the firm's strategy. a. True b. False

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Chap 07_12e_Daft 20. Traditional views of organizational design recommend a span of management of about 7 to 10 subordinates per manager. a. True b. False 21. Authority is the right to make decisions, issue orders, and allocate resources in an organization. a. True b. False 22. The acceptance theory of authority argues that managers have authority because employees do not have a choice in choosing to accept their commands. a. True b. False 23. The framework within which an organization defines how tasks are divided, resources are deployed, and departments are coordinated is called organizational structure. a. True b. False 24. In a geographic-based structure, all functions in a specific country or region report to the same division manager. a. True b. False 25. The basis for grouping positions into departments and departments into the total organization is known as departmentalization. a. True b. False 26. The trend in recent years has been toward narrower spans of control as a way to facilitate delegation. a. True b. False 27. A tall structure is a management structure characterized by an overall narrow span of management and a relatively large number of hierarchical levels. a. True b. False 28. Quick response to external changes is an advantage of the vertical functional structure. a. True b. False 29. A pure functional structure is appropriate for achieving internal efficiency goals in a stable environment. a. True b. False

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Chap 07_12e_Daft 30. The divisional structure encourages decentralization. a. True b. False 31. An organizational chart shows lines of informal communication and who has the most power in an organization. a. True b. False 32. The number of employees reporting to a supervisor is that supervisor's span of management. a. True b. False 33. At Fox End, people are grouped together in departments by common skills and work activities, including a sales department and a production department. This is an example of the vertical functional approach. a. True b. False 34. With a matrix approach, the entire organization is made up of horizontal teams that coordinate their work and work directly with customers to accomplish the organization's goals. a. True b. False 35. Divisions are created, in functional structures, as self-contained units with separate functional departments for each division. a. True b. False 36. One major disadvantage of the virtual network approach is the lack of hands-on control. a. True b. False 37. A mechanistic organization typically has a rigid, vertical, centralized structure with most decisions being made at the top. a. True b. False 38. The confusion and frustration caused by the dual chain of command is a major problem of the matrix structure. a. True b. False 39. The right to advise, recommend, and counsel in the staff specialists' area of expertise is included in staff authority. a. True b. False

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Chap 07_12e_Daft 40. When an organization uses a differentiation strategy, it strives for internal efficiency. a. True b. False 41. Line departments perform tasks that reflect the organization's primary goal and mission. a. True b. False 42. A project manager is a person responsible for coordinating the activities of several departments for the completion of a specific project. a. True b. False 43. The functional structure is appropriate when the primary goal is innovation and flexibility. a. True b. False 44. The distinctive feature of the project manager position is that the person is not a member of one of the departments being coordinated. a. True b. False 45. The divisional structure fosters excellent coordination within divisions, but coordination across divisions is often poor. a. True b. False 46. Small-batch production is distinguished by standardized production runs. a. True b. False 47. The principle of unity of command suggests that managers within an organization should reach an agreement on the goals and objectives of the organization. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 48. In which of the following organization types is the entire workflow mechanized in a sophisticated and complex form of production technology? a. Service production b. Mass production c. Large-batch production d. Small-batch production e. Continuous process production

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Chap 07_12e_Daft 49. Coordination is required when an organization has which type of structure? a. Functional b. Divisional c. Team d. Virtual network e. All of these choices 50. Organization structure is defined as which of the following? a. A visual representation of the organization b. The framework within which the organization defined how tasks are divided, resources are deployed, and departments are coordinated c. Division of labor d. The unbroken line of authority that links all individuals in the organization e. None of these choices 51. A pure functional structure is most appropriate for achieving which of the following? a. Innovation b. Differentiation c. Internal efficiency goals d. Flexibility e. All of these choices 52. When departments are grouped together based on similar organizational outputs, the organization is using a _____. a. functional structure b. matrix structure c. divisional structure d. virtual network structure e. team-based structure 53. Shooting Star, Inc. has a slow response to external changes, centralized decision making, and poor communication across departments. It is likely structured based upon which approach? a. Divisional b. Functional c. Team d. Virtual network e. None of these choices

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Chap 07_12e_Daft 54. Which of the following structures works best in a stable environment? a. Loose b. Vertical c. Organic d. Horizontal e. Decentralized 55. Which of the following structure types has an overall narrow span and more hierarchical levels? a. Flat b. Tall c. Centralized d. Decentralized e. None of these choices 56. Organizations such as Amazon.com, Google, Facebook, and Priceline.com are examples of firms that are based on _____. a. digital technology b. tangible output c. strict hierarchies d. mechanistic technology e. products rather than services 57. Which of the following is responsible for coordinating the activities of several departments? a. Department manager b. Line manager c. Project manager d. Operative manager e. Moderating manager 58. Which of the following are traditional approaches that rely on the chain of command to define departmental groupings and reporting relationships along the hierarchy? a. Functional, divisional, and teams b. Functional, divisional, and matrix c. Unitary, matrix, and teams d. Unitary, matrix, and networks e. Functional, teams, and networks

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Chap 07_12e_Daft 59. Tanisha works in an organization where coordination across organizational units is poor and the units perceive themselves to be in competition with one another for organizational resources. These characteristics are consistent with which of the following structures? a. Matrix b. Functional c. Divisional d. Team-based e. Virtual network 60. The formal and legitimate right of a manager to make decisions is known as which of the following? a. Delegation b. Responsibility c. Authority d. Span of management e. Leadership 61. Division of labor is also known as _____. a. span of management b. line authority c. delegation d. authority e. work specialization 62. Which of the following typically is NOT considered a staff department? a. Strategic planning b. Accounting c. Manufacturing d. Human resources e. Research and development 63. Swift Move Facilities manufacturers two different bicycle models. The company produces a high volume of products using standardized production runs. The company does very little product customization. Swift Move uses which type of technology structure? a. Service production b. Mass production c. Large-batch production d. Small-batch production e. Continuous process production

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Chap 07_12e_Daft 64. All functions in a specific country or region report to the same division manager in _____. a. functional divisions b. matrix divisions c. geographic-based divisions d. team divisions e. network divisions 65. Unity of command and the scalar principle are both closely related to an organization's _____. a. amount of work specialization b. degree of formalization c. chain of command d. extent of bureaucracy e. matrix structure 66. Which of the following leads to strong coordination across functional areas and greater flexibility in responding to changes in the environment? a. Reengineering b. Layoffs c. Downsizing d. A temporary committee e. An ad hoc committee 67. An organization attempts to develop innovative products unique to the market in which of the following strategies? a. Differentiation b. Integration c. Reengineering d. Cost leadership e. Defensive 68. In a bossless upside-down structure, organizational charts move from _____. a. rigid to fluid b. wide to narrow c. organic to mechanistic d. bottom-up to top-down e. circular to linear 69. Which of the following is NOT a major disadvantage of the matrix structure? a. It generates a large amount of conflict. b. Managers spend much time resolving conflict. c. There is confusion caused by its dual lines of authority. d. A power imbalance can result between the sides of the matrix. e. It leads to enlarged tasks for employees. Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 70. The matrix structure violates which of the following principles of management? a. Unity of direction b. Unity of command c. Work specialization d. Division of labor e. Span of management 71. Organizational structure includes which of the following? a. The set of formal tasks assigned to individuals b. The set of formal tasks assigned to departments c. The design of systems to ensure effective coordination of employees across departments d. Formal reporting relationships e. All of these choices 72. Which type of production occurs when firms produce goods in batches of one or a few products designed to customer specification? a. Service b. Customer-induced c. Continuous process d. Small-batch e. Mass 73. Which of the following refers to the deployment of organizational resources to achieve strategic goals? a. Planning b. Controlling c. Organizing d. Leading e. Strategic management 74. Myah was recently assigned to a committee whose task is to research new product opportunities. Once this group generates a list of six or seven viable options, it will be disbanded. This group is also known as which of the following? a. A team b. A standing committee c. A permanent committee d. A task force e. None of these choices

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Chap 07_12e_Daft 75. Which of the following involves combining individual jobs into work groups and combining work groups to make up the total organization? a. Departmentalization b. Centralization c. Decentralization d. Formalization e. Specialization 76. Boars' Nest Distributors is continually hampered by an inability to adapt to an unstable environment. Which of the following is a plausible explanation for this problem? a. Boars' Nest's structure is too loose. b. Boars' Nest's structure is too horizontal. c. Boars' Nest uses a vertical structure. d. Boars' Nest's structure is too loose and too horizontal. e. All of these choices are plausible explanations for this problem. 77. All of the following are advantages of a functional structure except _____. a. economies of scale b. excellent communication between functions c. in-depth skill specialization and development d. high-quality technical problem solving e. career progress within functional departments 78. A person who is responsible for coordinating the activities of several departments for the completion of a specific project is known as a(n) _____. a. operational manager. b. project manager. c. divisional manager. d. CEO. e. COO. 79. Which of the following refers to the number of employees reporting to a supervisor? a. Line of authority b. Span of management c. Chain of command d. Management chain e. Delegation

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Chap 07_12e_Daft 80. Authority must be _____. a. vested in organizational positions not people b. accepted by subordinates c. flowing down the vertical hierarchy d. all of these choices e. none of these choices 81. Which of the following refers to a clearly defined line of authority in the organization that includes all employees? a. Scalar principle b. Unity of command c. Work specialization d. Division of labor e. Span of management 82. An alternative for assigning divisional responsibility is to group company activities by _____. a. customer ratings b. number of employees c. level of education d. geographic region e. none of these choices 83. A formal chain of command for both functional and divisional relationships is provided by which of the following approaches to structure? a. Matrix b. Vertical functional c. Divisional d. Product e. Team-based 84. Lindsey is responsible for coordinating the efforts of several different departments. Which of the following titles best describes her position? a. Department manager b. Middle manager c. First-level supervisor d. Project manager e. Chairman of the board

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Chap 07_12e_Daft 85. Which of the following structures is an incorrect fit in a stable environment? a. Tight b. Rigid c. Functional d. Horizontal e. Vertical 86. Malika’s Marketing Mix (MMM) does not use its resources wisely. The employees at MMM spend too much time in meetings and not enough time focusing on the task at hand. MMM's management should consider changing the organizational structure from _____. a. horizontal to vertical b. team-based to horizontal c. vertical to team-based d. mechanistic to rigid e. team-based to a virtual network 87. The use of teams may lead to which of the following? a. Too much division of labor b. Too much decentralization c. Too much authority and responsibility in top management's hands d. Too much formalization e. Too narrow a span of management 88. Which of the following is the radical redesign of business processes to achieve dramatic improvements in cost, quality, service, and speed? a. Collaboration b. Task force c. Relational coordination d. Reengineering e. Coordination 89. Which of the following is NOT an approach to structural design that reflects different uses of the chain of command? a. Matrix b. Team-based c. Process d. Divisional e. Virtual network

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Chap 07_12e_Daft 90. Which of the following is the process managers use to transfer authority and responsibility to positions below them in the hierarchy? a. Span of management b. Centralization c. Accountability d. Delegation e. Decentralization 91. Juan is a top manager at I.F.L., a matrix organization. He oversees both the product and functional chains of command and is responsible for maintaining a power balance between the two sides of the matrix. Juan is a _____. a. political leader b. functional leader c. divisional leader d. matrix leader e. top leader 92. Which of the following types of teams are brought together as a formal department in an organization? a. Cross-functional b. Permanent c. Formal d. Ad-hoc e. Task 93. Organ Rentals Corporation has been having numerous problems. Communication across departments is poor and decisions are backing up at the top of the organization. Organ Rentals uses which structural approach? a. Geographic b. Product c. Functional d. Matrix e. Team-based 94. Decision authority is pushed downward to lower organization levels with _____. a. line authority b. staff authority c. centralization d. decentralization e. tall structures

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Chap 07_12e_Daft 95. Relative to the functional structure, the divisional structure _____. a. encourages decentralization b. has a higher degree of work specialization c. has a more pronounced division of labor d. has excellent coordination across departments e. results in an efficient use of resources 96. Which of the following structure types is defined as the grouping of positions into departments based on similar skills, expertise, and resource use? a. Functional b. Operational c. Tall d. Flat e. None of these choices 97. Which of the following means that people in management positions have formal authority to direct and control immediate subordinates? a. Span of management b. Centralization c. Line authority d. Staff authority e. Decentralization 98. Salta Communications is a global telecommunications company with operations on four continents. The CEO's direct supervisors include vice presidents for its North America, South America, Europe, and Asia divisions. Salta can best be described as using which organizational structure? a. Network b. Matrix c. Functional d. Divisional e. Geographic 99. Which of the following is an unbroken line of authority that links all persons in an organization and shows who reports to whom? a. Chain of command b. Division of labor c. Organization chart d. Span of management e. Centralization

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Chap 07_12e_Daft 100. A divisional structure is sometimes called _____. a. a product structure b. a program structure c. a self-contained unit structure d. all of these choices e. none of these choices 101. Innovative Creations Corporation is designed along functional lines. New product development at the company is very slow and the process is plagued by many problems. One of the problems is that the people in marketing never communicate with the people in production. This is an example of poor _____. a. coordination b. planning c. motivating d. leading e. controlling 102. The outcome of information and cooperation is _____. a. organization b. planning c. coordination d. differentiation e. controlling 103. Self-contained unit structure is a term used for which of the following? a. A divisional structure b. A functional structure c. A term structure d. A matrix structure e. A virtual network structure 104. A task force can be described as which of the following? a. A standing committee formed to solve a specific problem b. A permanent committee formed to solve a specific problem c. A temporary committee formed to solve a specific problem d. All of these choices e. None of these choices 105. Gina wishes to transfer authority and responsibility to her subordinates. This process is known as _____. a. accountability b. coordination c. delegation d. departmentalization e. passing the buck Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 106. Which of the following structure types has a wide span, is horizontally dispersed, and has fewer hierarchical levels? a. Flat b. Tall c. Centralized d. Decentralized e. None of these choices 107. Stephanie works in one of seven research and development departments at Tara's Terrace, Inc. This would suggest that Tara's Terrace has which of the following? a. A functional structure b. A divisional structure c. A wide span of control d. A high degree of centralization e. A matrix structure 108. Which of the following structures works best in an uncertain environment? a. Tight b. Mechanistic c. Horizontal d. Functional e. Vertical 109. Sushane is manager of a customer service firm where she oversees five subordinates. To help her subordinates learn more about the different roles within the company, Sushane regularly assigns them tasks that are not part of their normal routine. This is an example of _____. a. responsibility b. delegation c. staff authority d. chain of command e. irrational decision making 110. In which of the following structural approaches does a manufacturing company use outside suppliers to provide entire chunks of a product, which are then assembled into a final product by a handful of workers? a. Virtual network b. Modular c. Virtual organization d. Team e. Matrix

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Chap 07_12e_Daft 111. Which department performs tasks that reflect the organization's primary goals and mission? a. Line b. Staff c. Primary d. Functional e. Strategic planning 112. Kara's department is made up of people with similar skills and work activities. Her organization uses which of the following approaches to departmentalization? a. Team-based b. Horizontal matrix c. Divisional d. Vertical functional e. Process 113. Which of the following is an advantage of the team structure? a. Increased barriers among departments b. Unplanned decentralization c. Time and resources spent on meetings d. Less response time and quicker decisions e. All of these choices 114. Which of the following is a temporary team designed to solve a short-term problem involving several departments? a. Task force b. Permanent team c. Cross-functional team d. All of these choices e. None of these choices 115. An organizational structure that divides the major functions of the organization into separate companies is known as the _____. a. diversification approach. b. team approach. c. virtual network approach. d. BCG approach. e. functional approach.

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Chap 07_12e_Daft 116. Which of the following has become a trend in recent years? a. Greater work specialization b. Less delegation c. Wider spans of management d. Narrower spans of management e. Tall organizational structure 117. Flash Card Inc. recently underwent a significant company-wide change that involved revision of its manufacturing and leadership processes. The result of this was a stronger emphasis on horizontal coordination. This level of change is referred to as _____. a. reorganization b. reengineering c. e-engineering d. strategic planning e. corporate structuring 118. Kevin's subordinates are highly trained and all perform similar tasks. Nicole's subordinates are spread over two locations, and she has little available in the way of support systems. Which of the following statements is most correct? a. Nicole's span of management can be larger than Kevin's. b. Nicole will have problems with unity of command. c. Kevin's span of management can be larger than Nicole's. d. Kevin has more problems with work specialization. e. None of these choices are correct. 119. In which approach to structural design are departments independent, with services outsourced and connected to a central hub for a profit? a. Virtual network b. Team c. Functional d. Divisional e. Matrix 120. Binh and Blanca work at Mountain Peak, Inc. Although they both work on the assembly line, they have the authority to make many decisions about their job. Mountain Peak can be said to have which of the following? a. A high degree of decentralization b. A wide span of management c. A high degree of centralization d. A narrow span of management e. No management

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Chap 07_12e_Daft 121. Jacob was recently looking at his company's organization chart in an attempt to discover who reports to whom. Jacob is studying his organization's _____. a. degree of formalization b. amount of differentiation c. degree of centralization d. chain of command e. division of labor 122. Which of the following means that each employee is held accountable to only one supervisor? a. Scalar principle b. Unity of command c. Work specialization d. Division of labor e. Span of management 123. Which of the following is an advantage of the divisional structure? a. Concern for customers' needs is high. b. There is little duplication of services across divisions. c. There is good coordination across divisions. d. Top management retains tight control of the organization. e. There is no competition for corporate resources. 124. Which of the following teams consist of employees from various functional departments who are responsible to meet as a team and resolve mutual problems? a. Task force b. Permanent c. Cross-functional d. All of these choices e. None of these choices 125. Which of the following is the duty to perform the task or activity an employee has been assigned? a. Span of management b. Line authority c. Accountability d. Authority e. Responsibility

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Chap 07_12e_Daft 126. Laila works in the manufacturing department at Ice Sculptures. The work in Laila's department is low in division of labor. As a result, Laila _____. a. usually specializes in a single task b. does a variety of tasks and activities c. is often bored d. is rarely challenged e. generally goofs off 127. Which of the following factors is NOT associated with a large span of control? a. Work performed by subordinates is stable and routine. b. Subordinates perform similar work tasks. c. Subordinates are located at various locations. d. Subordinates are highly trained and need little direction. e. Rules and procedures defining task activities are available. 128. An organization strives for internal efficiency with which type of strategy? a. Integration b. Diversification c. Differentiation d. Defensive e. Cost leadership 129. Which of the following is the formal and legitimate right of a manager to make decisions, issue orders, and allocate resources to achieve organizationally desired outcomes? a. Authority b. Delegation c. Decentralization d. Span of management e. Accountability 130. Which of the following characteristics distinguishes authority? a. It is vested in people, not positions. b. Subordinates accept it. c. It flows across the horizontal hierarchy. d. It emerges from the organizational values. e. Individuals are born with this power. 131. Change and uncertainty in the environment are usually associated with _____. a. work specialization b. decentralization c. centralization d. tight vertical control e. division of labor Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 132. Which of the following structural approaches will result in the leanest of all organization forms because little supervision is required? a. Functional b. Virtual network c. Team d. Matrix e. Divisional 133. Global companies often use which of the following structures to achieve simultaneous coordination of products across countries? a. Functional b. Divisional c. Matrix d. Product-based e. Process-based 134. Which of the following is an advantage of the matrix structure? a. It increases employee participation. b. It makes efficient use of human resources. c. It works well in a changing environment. d. It develops both general and specialist management skills. e. All of these choices are advantages of the matrix structure. 135. People with authority and responsibility are subject to reporting and justifying task outcomes to those above them in the chain of command. This is known as _____. a. delegation b. line authority c. staff authority d. accountability e. hierarchy 136. Which of the following delineates the chain of command, indicates departmental tasks and how they fit together, and provides order and logic for the organization? a. Management chart b. Employee directory c. Structural table d. Administrative chart e. Organizational chart

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Chap 07_12e_Daft 137. In which of the following structures is an organization viewed as a central hub surrounded by a web of outside specialists that are sometimes spread all over the world? a. Virtual network b. Matrix c. Functional d. Divisional e. Geographic 138. Which of the following describes a product or functional boss who is responsible for one side of the matrix? a. Matrix boss b. Production supervisor c. Department boss d. Top leader e. Two-boss employee 139. Which of the following is the degree to which organizational tasks are subdivided into separate jobs? a. Multitasking b. Lines of authority c. Work specialization d. Autonomy e. Team structure 140. Which of the following organizations has the flattest structure? a. Organization A with eleven hierarchical levels b. Organization B with three hierarchical levels c. Organization C with eight hierarchical levels d. Organization D with six hierarchical levels e. Organization E with seven hierarchical levels 141. Carly's Clothes, Inc. manufactures children's clothes. Which of the following departments within Carly's Clothes can be considered a line department? a. Finance department b. Human resources department c. Research and development department d. Manufacturing department e. Marketing department 142. In times of crisis or risk of company failure, authority may be _____. a. decentralized b. centralized at the bottom c. centralized at the top d. spread through a wide span of management e. flat Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 143. When division of labor is extensive, which of the following is true? a. Employees specialize in a single task. b. Employees specialize in many tasks. c. Employees are often highly challenged. d. Employees are often inefficient. e. Jobs tend to be large. 144. How does managerial authority flow through an organization's hierarchy? a. Managerial authority flows vertically. b. Managerial authority flows sporadically. c. Managerial authority flows horizontally. d. Managerial authority flows in a circular fashion. e. Managerial authority is static and does not flow. 145. Wyatt works for a large company. Recently, his organization began to contract out such functions as training, engineering, and computer service. This approach is consistent with which structure? a. Functional b. Team c. Divisional d. Virtual network e. Service 146. Centralization means that decision authority is located near which of the following? a. The bottom of the organization b. The top of the organization c. The middle of the organization d. All of these choices e. None of these choices 147. Strategy defines what to do, while organizing defines which of the following? a. What to do next b. Why to do it c. How to do it d. When to do it e. None of these choices

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Chap 07_12e_Daft 148. Jacob, a customer service representative for AB Retailers, has seven levels of management between himself and the company's CEO. In contrast, his friend Rosa, a customer service representative for YZ Retailers, has only four levels of management between her and the company CEO. Compared to YZ, Jacob’s company has which type of organizational structure? a. Matrix b. Virtual c. Flat d. Tall e. Identical 149. Which of the following refers to a clearly defined line of authority in the organization that includes all employees? a. Chain of command b. Scalar principle c. Decentralization d. Span of management e. Line authority 150. Coordination is defined as which of the following? a. The ability of the organization to produce timely products b. The managerial task of adjusting and synchronizing diverse activities among different individuals and departments c. Differentiation d. The quantity of goods produced by the organization e. All of these choices 151. Kwame works at Tick Tock, Inc. He has two bosses, one a functional manager and the other a divisional manager. Tick Tock, Inc. has which type of structure? a. Functional b. Divisional c. Geographic d. Matrix e. Product 152. Decision authority is located near the top of the organization with _____. a. line authority b. staff authority c. centralization d. decentralization e. tall structures

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Chap 07_12e_Daft 153. The biggest advantages to a virtual network approach are _____. a. flexibility and competitiveness on a global scale b. coordination and organization on a global scale c. communication and organization on a global scale d. communication and no cost on a global scale e. flexibility and coordination on a global scale 154. A pure functional structure does not enable an organization to be which of the following? a. A cost leader b. Efficient c. Flexible d. Stable e. All of these choices 155. Which type of structure occurs when departments are grouped together based on organizational outputs? a. Functional b. Divisional c. Matrix d. Team-based e. Virtual network 156. Which of the following is an advantage of functional structures? a. Resulting economies of scale b. Enlarged tasks for employees c. Easy pinpointing of responsibility for product problems d. Development of general management skills e. Flexibility in an unstable environment 157. Which of the following structures is most consistent with a strategic goal of stability? a. Team-based b. Organic c. Matrix d. Functional e. Learning 158. In which type of structure does a firm subcontract many of its major functions to separate companies and coordinate their activities from a small headquarters? a. Virtual network b. Team c. Functional d. Divisional e. Matrix Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 159. Which of the following statements regarding project managers is true? a. Project managers have authority over people but not over the project assigned to them. b. Project managers have authority over the project but not over the people assigned to it. c. Project managers have authority over resources but not over the project assigned to them. d. Project managers have authority over people but not over the other resources assigned to the project. e. Project managers have authority over finances but not over the product assigned to them. 160. Which of the following statements is true? a. Line departments include all of those that provide specialized skills in support of staff departments. b. Staff departments include all of those that provide specialized skills in support of line departments. c. Primary departments include all of those that provide specialized skills in support of functional departments. d. Functional departments include all of those that provide specialized skills in support of primary departments. e. Line departments include all of those that provide specialized skills in support of functional departments. 161. An organization chart can be described by which of the following? a. It shows the characteristics of the organization's vertical structure. b. It is a visual representation of the organization's structure. c. It details the formal reporting relationships that exist within an organization. d. It shows the number of departments in the organization. e. It includes all of these choices. 162. Mondavi Corporation has a finance department, a marketing department, and a production department, indicative of which type of structure? a. Functional b. Geographic c. Divisional d. Product-based e. Matrix 163. Which of the following happens as organizations grow? a. Positions and departments are deleted. b. Management layers are eliminated to save cost. c. Managers have to find ways to tie different departments together. d. Top management becomes more autocratic. e. None of these choices are correct.

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Chap 07_12e_Daft 164. Relative to a flat organizational structure, a tall structure has which of the following? a. A wide span of management and fewer hierarchical levels b. A narrow span of management and fewer hierarchical levels c. A narrow span of management and wider hierarchical levels d. A narrow span of management and more hierarchical levels e. A wide span of management and more hierarchical levels 165. Rani works for a company that has clearly defined lines of authority. Each employee knows that he or she has authority and responsibility for a distinct set of tasks. Employees are also aware of the company's reporting structure as well as successive management levels all the way to the top. Rani's company follows which principle? a. Specialization principle b. Unity of command principle c. Scalar principle d. Authority principle e. Responsibility principle 166. The team approach to departmentalization is a response to which of the following? a. Lack of participative teams b. Centralized decision making c. The competitive global environment d. The length of time it takes to pass decisions up and down a hierarchy e. All of these choices 167. Which of the following is a contemporary approach to structural design in departmentalization? a. Functional b. Divisional c. Traditional divisions d. Teams e. Geographic-based 168. Which of the following is also referred to as work specialization? a. Division of labor b. Unity of command c. Scalar chain d. Esprit de corps e. Virtual network approach

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Chap 07_12e_Daft 169. Which type of structure is most appropriate when the environment is stable? a. Vertical b. Horizontal c. Cross-functional d. Divisional e. Teams 170. All of the following are advantages of a divisional structure except _____. a. high concern for customers' needs b. fast response and flexibility in an unstable environment c. emphasis on division goals d. development of general management skills e. little duplication of services across divisions 171. Traditionally, what span of management has been recommended? a. 3 b. 5 c. 7 d. 15 e. 20 172. The visual representation of an organization's structure is called the _____. a. cross-functional team b. matrix boss c. organization chart d. tall structure e. chain of command

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Chap 07_12e_Daft Scenario - Javier Gomez Javier is a veteran manager with Pixel International, Inc. (PII). Recently, PII purchased a small business in the printing industry. Javier has been assigned the task of managing this new acquisition and is currently deciding how best to design its structure. Currently, employees are assigned to one of three departments, including sales, production, and legal defense. 173. The analysis of whether the new division should be centralized or decentralized should include all of the following except _____. a. the level of change and uncertainty in the environment b. corporate history and culture c. the threat of crisis or the risk of company failure d. the structure of competitors and customers e. overall firm strategy

174. List three disadvantages of a divisional structure.

Scenario - Javier Gomez Javier is a veteran manager with Pixel International, Inc. (PII). Recently, PII purchased a small business in the printing industry. Javier has been assigned the task of managing this new acquisition and is currently deciding how best to design its structure. Currently, employees are assigned to one of three departments, including sales, production, and legal defense. 175. Current departmentalization of Javier's new division can be characterized primarily as which of the following? a. Vertical functional b. Divisional c. Horizontal matrix d. Team-based e. None of these choices

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Chap 07_12e_Daft 176. List the five approaches to departmentalization.

177. List the advantages of the virtual network structure.

Scenario - Javier Gomez Javier is a veteran manager with Pixel International, Inc. (PII). Recently, PII purchased a small business in the printing industry. Javier has been assigned the task of managing this new acquisition and is currently deciding how best to design its structure. Currently, employees are assigned to one of three departments, including sales, production, and legal defense. 178. If Javier organizes with a matrix structure, some potential advantages that he can anticipate include all of the following except _____. a. a more efficient use of resources b. greater flexibility and adaptability to a changing environment c. development of both general and specialist management skills d. a decreased need for coordination among managers e. conflict leading to new issues being raised

179. In determining his span of management, Javier should NOT consider which of the following? a. Whether the work performed by subordinates is stable and routine b. Whether subordinates perform similar tasks c. Whether rules and procedures defining task activities are available d. Whether his personal preferences and style favor a large or small span e. All of these choices

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Chap 07_12e_Daft 180. List the three basic types of production technology.

181. Briefly explain the concept of line and staff departments and authority.

182. Traditional vertical organization structures are very limited in a fast-shifting environment. Explain why horizontal coordination and collaboration are needed, and discuss the mechanisms used to increase horizontal coordination. Explain why these mechanisms are effective and give examples as an illustration.

183. List the factors associated with less supervisor involvement and thus larger spans of control.

184. Identify the three factors that typically influence centralization versus decentralization.

185. Describe reengineering and what it involves.

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Chap 07_12e_Daft 186. The matrix approach to departmentalization is a hybrid of the functional and divisional approaches, and it seeks to give equal emphasis to both. Identify a global business you would like to run and summarize how the unique features of a matrix approach are particularly well suited for this business. Be sure to include the key players and potential drawbacks of using the matrix approach in your example.

187. What is the matrix approach to departmentalization, and what are its main advantages?

188. Explain the differences between cross-functional and permanent teams.

189. Though new managers may be more familiar with traditional approaches to departmentalization, realistically, they need to understand and learn to work within a variety of organizational structures. Compare and contrast the advantages and disadvantages of two traditional approaches—the functional approach and the divisional approach—to departmentalization. In most instances, which do you think would be the preferred approach? Explain.

190. What is the team approach to departmentalization, and what are its main disadvantages?

191. Define the terms task force and project management.

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Chap 07_12e_Daft 192. Define span of management and discuss whether there is an ideal span of management.

193. Compare and contrast authority, responsibility, accountability, and delegation.

194. Some degree of vertical hierarchy is often needed to provide a framework in which to accomplish tasks. However, an organization's vertical structure needs to be balanced with horizontal mechanisms. Describe how a manager decides whether to design a structure that emphasizes the formal vertical or the adaptive horizontal structure.

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Chap 07_12e_Daft Answer Key 1. False 2. True 3. False 4. False 5. False 6. False 7. False 8. False 9. True 10. True 11. False 12. False 13. False 14. False 15. False 16. False 17. True 18. False 19. True 20. True 21. True 22. False 23. True 24. True 25. True 26. False

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Chap 07_12e_Daft 27. True 28. False 29. True 30. True 31. False 32. True 33. True 34. False 35. False 36. True 37. True 38. True 39. True 40. False 41. True 42. True 43. False 44. True 45. True 46. False 47. False 48. e 49. e 50. b 51. c 52. c 53. b 54. b Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 55. b 56. a 57. c 58. b 59. c 60. c 61. e 62. c 63. b 64. c 65. c 66. a 67. a 68. a 69. e 70. b 71. e 72. d 73. c 74. d 75. a 76. c 77. b 78. b 79. b 80. d 81. a 82. d Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 83. a 84. d 85. d 86. a 87. b 88. d 89. c 90. d 91. e 92. b 93. c 94. d 95. a 96. a 97. c 98. e 99. a 100. d 101. a 102. c 103. a 104. c 105. c 106. a 107. b 108. c 109. b 110. a Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 111. a 112. d 113. d 114. a 115. c 116. c 117. b 118. c 119. a 120. a 121. d 122. b 123. a 124. c 125. e 126. b 127. c 128. e 129. a 130. b 131. b 132. b 133. c 134. e 135. d 136. e 137. a

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Chap 07_12e_Daft 138. a 139. c 140. b 141. d 142. c 143. a 144. a 145. d 146. b 147. c 148. d 149. b 150. b 151. d 152. c 153. a 154. c 155. b 156. a 157. d 158. a 159. b 160. b 161. e 162. a 163. c 164. d 165. c Copyright Cengage Learning. Powered by Cognero.

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Chap 07_12e_Daft 166. e 167. d 168. a 169. a 170. e 171. c 172. c 173. d 174. Disadvantages include duplication of resources across divisions, less technical depth and specialization in divisions, poor coordination across divisions, and loss of efficiencies and economies of scale. 175. a 176. (1) functional, (2) divisional, (3) matrix, (4) teams, and (5) virtual network 177. Advantages include global competitiveness, workforce flexibility, little supervision required, and reduced overhead costs. 178. d 179. e 180. (1) small-batch and unit production, (2) large-batch and mass production, and (3) continuous process production. 181. Line departments perform tasks that reflect the organization's primary task and mission. Staff departments include those that provide specialized skills in support of line departments. In a typical production firm, line departments make and sell the product, while staff departments might include accounting and human resources management. Line authority means that people in management positions have the formal power to direct immediate subordinates. Staff authority is the right to advise, recommend, and counsel in the staff specialist's area of expertise. 182. Student answers will vary. Horizontal coordination synchronizes activities among individuals and departments. Collaboration is a joint effort between departments to produce outcomes that meet a shared purpose and that could not be achieved alone. Growing organizations become more complex and add new positions, departments, and hierarchical levels, which necessitate more coordination; information must be processed among people in different departments. Organizations use task forces, teams, project managers, reengineering, and relational coordination to achieve horizontal coordination. One example is how Microsoft is reengineering its business process, dissolving eight product divisions in favor of four units that it hopes will encourage greater teamwork. 183. (1) Work performed by subordinates is stable and routine. (2) Subordinates perform similar work tasks. (3) Subordinates are concentrated in a single location. (4) Subordinates are highly trained and need little direction in performing tasks. (5) Rules and procedures defining task activities are available. (6) Support systems and personnel are available for the manager. (7) Little time is required in nonsupervisory activities such as coordination with other departments or planning. (8) Managers' personal preferences and styles favor a large span.

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Chap 07_12e_Daft 184. (1) Greater change and uncertainty in the environment are usually associated with decentralization. (2) The amount of centralization or decentralization should fit in the firm's strategy. (3) In times of crisis or company failure, authority may be centralized at the top. 185. Reengineering, sometimes called business process reengineering, is the radical redesign of business processes to achieve dramatic improvements in cost, quality, service, and speed. Reengineering involves a shift to a horizontal structure based on teams. Basically, it means starting over, throwing out all the notions of how work was done, and deciding on how it can best be done now. 186. Student answers will vary. The matrix approach has dual lines of authority (functional and divisional chains of command used simultaneously) that can span a country or a global organization. It is innovative and flexible and has evolved as an effort to improve coordination across departments. Some employees have two supervisors (e.g., the head of operations of their country's subsidiary and the head of operations of the service they produce), a matrix boss is the product or functional boss, and the top leader is responsible for the entire matrix and maintains the power balance between the two sides. This approach makes good use of HR because specialists can be transferred between divisions, but the dual chain of command can cause frustration, conflict, and confusion for two-boss employees. Lots of meetings for resolving conflict and addressing different goals and points of view can take time away from core work activities. 187. A matrix structure utilizes functional and divisional chains of command simultaneously in the same part of the organization. This structure has dual lines of authority and purposely violates the principle of unity of command. Major advantages include (1) more efficient use of human resources because specialists can be transferred from one division to another, (2) increased adaptability, (3) increased management skills, (4) greater interdisciplinary cooperation, and (5) enlarged tasks for employees. 188. Cross-functional teams consist of employees from various functional departments who are responsible to meet as a team and resolve mutual problems. Team members typically still report to their functional departments, but they also report to the team, one member of whom may be the leader. Permanent teams are groups of employees who are organized in a way similar to a formal department. Each team brings together employees from all functional areas focused on a specific task or project. Emphasis is on horizontal communication and information sharing because representatives from all functions are coordinating their work and skills to complete a specific organizational task. 189. Student answers will vary. The functional approach groups employees into departments based on similar skills and use of resources (e.g., all IT workers for an organization working in the same department); enhances development of employee skills; centralizes decision making but may bottleneck decision at the top of the organization; and slows down communication and coordination across functions. The divisional approach groups employees and departments into self-contained units based on similar outputs (e.g., employees with various functions working to produce a single product); is especially effective when the organization produces more than one product or service and uses different technologies for different products for different customers; encourages flexibility and decentralization so that decision making does not converge at the top; and can result in lack of coordination across divisions, lack of technical expertise, and duplication of resources. Students should provide reasonable explanations for their preferred approach.

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Chap 07_12e_Daft 190. There are at least two different types of teams. Cross-functional teams consist of employees from various functional departments who are responsible to meet as a team and resolve mutual problems. While team members still report to their functional manager, they will also report to the team, perhaps to a team leader. Permanent teams consist of groups of employees who are brought together as a formal department. Similar to a divisional structure, although much smaller in the number of employees involved, permanent teams are often the result of reengineering. Disadvantages of the team structure include dual loyalties and conflict, the time and resources spent on meetings, and unintended/ineffective decentralization, which may occur because team members do not have the conceptual skills to be effective. 191. A task force is a temporary team or committee designed to solve a short-term problem involving several departments. A project manager is a person who is responsible for coordinating the activities of several departments for the completion of a specific project. 192. The span of management, or span of control, is the number of employees who report directly to one supervisor. There is not an ideal span of management. The number depends upon several characteristics of the situation including the nature of the work done by the subordinates, the locations where the work is done, the training and education of the workers, the level of definition of the task, the time available to the manager, and the manager's personal preferences and style. 193. Authority is defined as the formal and legitimate rights of a manager to make decisions, issue orders, and allocate resources. Responsibility is the duty to perform the task that has been assigned. Many argue that authority and responsibility go hand in hand (i.e., in order for someone to fulfill their responsibility, they must have an equivalent level of authority). Accountability means that those with authority and responsibility are subject to reporting and justifying task outcomes to those higher in the chain of command. Accountability brings authority and responsibility together. The principle of delegation allows managers to transfer authority and responsibility to those lower in the organizational hierarchy. Delegation should increase an organization's flexibility by allowing people "on the spot" to make decisions. 194. Organizational goals, the environment in which it operates, and the nature of its technology must be considered in order to determine organization structure. A mechanistic structure with centralized, vertical hierarchy and clear rules and procedures is conducive to an organization that operates in a stable environment, with goals of internal efficiency. An organic, horizontal structure is appropriate when the primary goal is innovation and the organization needs flexibility because it operates in a shifting environment.

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Chap 08_12e_Daft Indicate whether the statement is true or false. 1. Skunkworks are a separate small, informal, highly autonomous, and often secretive group that focuses on breakthrough ideas for a business. a. True b. False 2. Culture change refers to a major shift in the norms, values, attitudes, and mind-set of the entire organization. a. True b. False 3. A skunkworks is a large, formal team designed for leading organizations through major change. a. True b. False 4. Organization development involves the application of behavioral science knowledge and techniques to improve an organization's effectiveness and success. a. True b. False 5. The innovation strategy for changing products and technologies that involves creating conditions and systems to facilitate internal and external coordination and knowledge sharing is known as exploration. a. True b. False 6. Two possible tactics for overcoming resistance to change are coercion and negotiation. a. True b. False 7. After the need for change has been perceived, the next part of the change process is implementing change. a. True b. False 8. When a change involves multiple departments, top management support is especially important. a. True b. False 9. Centralization and a short time horizon are primarily used by creative organizations. a. True b. False 10. The idea in the large-group intervention is to get a sample of people who may have an interest in the organization, gather perspectives from selected parts of the system, and allow the sample to create a collective future. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 11. The three distinct steps for achieving behavioral and attitudinal change with organization development are planning, changing, and stabilizing. a. True b. False 12. People change starts with training everyone in the organization. a. True b. False 13. The innovation strategy for changing products and technologies that involves designing the organization to encourage creativity and the initiation of new ideas is known as cooperation. a. True b. False 14. An idea incubator is an in-house program that provides a safe harbor where ideas from employees throughout the organization can be developed without interference from company bureaucracy or politics. a. True b. False 15. Creativity is the generation of novel ideas that may meet perceived needs or respond to opportunities for the organization. a. True b. False 16. In the unfreezing step, participants must be made aware of problems and be willing to change. a. True b. False 17. Productive innovation refers to innovations in products, services, or processes that radically change competition in an industry. a. True b. False 18. The acceptance of mistakes, the freedom to discuss ideas, and the assignment of nonspecialists to problems are characteristics of creative organizations or departments. a. True b. False 19. Organization development is a planned systematic process of change that helps to strengthen the organization's capacity for adaptation and renewal. a. True b. False 20. A new-venture team is responsible for developing and initiating major innovations. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 21. Confrontation, authoritarianism, and disciplined exploration are characteristics of creative individuals. a. True b. False 22. Training is one of the most frequently used approaches to changing people's mind-sets. a. True b. False 23. An ambidextrous approach means incorporating structures and processes that are appropriate for both the creative impulse and the systematic implementation of innovations. a. True b. False 24. A person who sees the need for and champions productive change within the organization is called an idea champion. a. True b. False 25. Three of the most popular and effective organization development (OD) activities are team building, survey feedback, and large-group interventions. a. True b. False 26. The horizontal linkage model is increasingly important in high-pressure business environments that require rapidly developing and commercializing products and services. a. True b. False 27. Lack of understanding and trust is a common reason for resistance to change. a. True b. False 28. Two specific tools that can smooth the change process include training and development programs and organization development. a. True b. False 29. Managers and employees who are most involved in an innovation or potential change are often those who seem to prefer the status quo. a. True b. False 30. The traditional organization development model focuses on the entire system and learning takes place throughout the whole organization. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 31. Research shows that managers in creative companies avoid risk and experimentation. a. True b. False 32. The innovation strategy for changing products and technologies that involves managers putting in place processes and structures to ensure that new ideas are carried forward for acceptance and implementation is known as entrepreneurship. a. True b. False 33. The communication and education approach for overcoming resistance to change should be used when the change is technical and the users need accurate information and analysis to understand change. a. True b. False 34. Exploration is the aspect of product and technology innovation that involves creating mechanisms to make sure new ideas are carried forward, accepted, and implemented. a. True b. False 35. Reasons employees resist change include self-interest, lack of understanding and trust, uncertainty, and different assessments and goals. a. True b. False 36. Refreezing is the reinforcement stage of organization development in which individuals acquire new behaviors or values and are rewarded for adopting them by the organization. a. True b. False 37. If organizations don't successfully change and innovate, they die. a. True b. False 38. Culture change pertains to the organization as a whole. a. True b. False 39. A product innovation is a change in the organization's product or service outputs. a. True b. False 40. Organizational innovation refers to the creation and implementation of a new idea by an organization. a. True b. False

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Chap 08_12e_Daft 41. An approach to innovation that emphasizes shared development of innovations among several departments is referred to as the horizontal linkage model. a. True b. False 42. A unit that is separate from the mainstream of the organization and is responsible for developing and initiating innovations is called a new-venture team. a. True b. False 43. The disparity between existing and desired performance levels is the need for change. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 44. Which of the following refers to a change in the attitudes and behaviors of a few employees in the organization? a. Organization change b. Organization development c. People change d. Culture change e. Artifact change 45. Ashley has average technical skills, but her real strengths lie in visualizing the benefits of others' ideas and in finding financial and political support for these ideas. Ashley is an excellent example of a(n) _____. a. critic b. sponsor c. idea champion d. inventor e. bureaucrat 46. Shared development of innovations among several departments is emphasized by which of the following approaches to innovation? a. Vertical b. Horizontal linkage model c. Top down d. Bottom-up e. None of these choices

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Chap 08_12e_Daft 47. After every quarterly board meeting, Bernice's Bracelets, Inc., announces big changes. However, the company usually does not follow through on these changes. Recently one of the managers at Bernice's Bracelets tried to get her employees to change their assembly process for beaded bracelets. The employees were reluctant to do so. Based only on the information presented in this scenario, what is the most likely reason for the employees' lack of enthusiasm for the change? a. Disagreements about the benefits b. Self-interest c. Lack of trust d. Goals and assessments e. Competitors 48. Which of the following is an approach that brings together participants from all parts of the organization to discuss problems or opportunities and plans for major change? a. Virtual-group intervention b. Traditional organization development c. Multi-unit intervention d. Strategic planning committee e. Large-group intervention 49. The horizontal linkage model is best applied to a(n) _____. a. low pressure environment b. stable environment c. environment that requires speed d. simple environment e. heavily regulated environment 50. Which of the following helps managers to put in place processes and structures to ensure that new ideas are carried forward for acceptance and implementation? a. Innovation roles and structures b. Horizontal collaboration c. Open innovation d. Discovery e. None of these choices 51. Which of the following is an example of an organizational change? a. The switch to a new production method b. The decision to offer a new product line c. The introduction of a new pay for performance system d. The decision to sell completely online and to close retail stores e. All of these choices

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Chap 08_12e_Daft 52. Which of the following tactics for implementing change should be used when users doubt the legitimacy of the change? a. Communication and education b. Participation c. Top management support d. Coercion e. Negotiation 53. Artful Innovations Inc. operates with open channels of communication and an established suggestion system that encourages brainstorming and freewheeling discussions. Artful Innovations can best be described as which type of organization? a. Experimental b. Cooperative c. Entrepreneurial d. Disruptive e. Creative 54. Beth's Barnyard, Inc., has decided to restructure the entire organization. You hold a meeting with your employees to notify them of the change. You do not give them any detailed information. Which of the barriers to change would you expect your employees to exhibit? a. Disagreements about the benefits b. Uncertainty about the future c. Lack of trust d. Fear of organizational loss e. All of these choices 55. You are a middle manager at your organization. The top-level managers are sending you and a few other middle managers to a conference that focuses on strengthening leadership skills. This is an example of _____. a. culture change b. product innovation c. process innovation d. people change e. team building 56. Which approach to change implementation should be used when a crisis exists? a. Communication and education b. Participation c. Coercion d. Top management support e. Negotiation

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Chap 08_12e_Daft 57. Kyle is seeing, on a regular basis, a difference between current and expected performance levels. What should Kyle begin to do? a. Train employees on team building. b. Implement change. c. Perceive a need for change. d. Change the reward system. e. Kyle should do all of these. 58. Which of the following is the stage of implementing change in which individuals experiment with new workplace behavior? a. Refreezing b. Restating c. Unfreezing d. Changing e. Jumping 59. Which of the following refers to a major shift in the norms, values, attitudes, and mindset of the entire organization? a. Organization change b. Organization development c. People change d. Culture change e. Artifact change 60. Which of the following types of innovation is related to an organization's production process? a. Product b. Process c. Structural d. Culture/people e. Competitive 61. Today's most successful innovators are including which of the following groups of people directly in the product and service development process? a. Employees b. Internal buyers c. Senior executives d. Customers e. All of these choices

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Chap 08_12e_Daft 62. A type of OD intervention in which questionnaires on organizational climate and other factors are distributed among employees and the results reported back to them by a change agent is called _____. a. survey feedback b. product innovation c. process innovation d. large-group intervention e. team building 63. Jonathan's company is working on a major new product, which will completely disrupt the way we currently listen to music. Jonathan works in a unit responsible for developing the innovation. Jonathan's unit operates in a separate building and is not constrained by ordinary rules and procedures. Jonathan is most likely working _____. a. in a new-venture team b. for an idea champion c. in an open innovation company d. in a crowdsourced project e. using innovation by acquisition 64. At which stage of implementing change do managers create a vision for change that everyone can believe in? a. Changing b. Unfreezing c. Refreezing d. Exercising e. Jumping 65. Which of the following is the stage of implementing change in which individuals acquire a desired new skill or attitude and are rewarded for it by the organization? a. Refreezing b. Restating c. Unfreezing d. Changing e. Jumping 66. Kurt Lewin identified which three distinct steps for implementing changes? a. Freezing, changing, and intervention b. Unfreezing, restating, and freezing c. Unfreezing, changing, and refreezing d. Intervention, refreezing, and restating e. None of these choices

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Chap 08_12e_Daft 67. Which of the following is an approach to product change that emphasizes shared development of innovations among several departments? a. Open innovation b. Horizontal linkage model c. Idea incubator d. Crowdsourcing e. Innovation by acquisition 68. There are many organizational development activities that are effective in solving many different problems. Which of the following enhances the cohesiveness and success of organizational groups? a. Team building b. Survey feedback c. Intergroup activities d. Process-consultation activities e. Symbolic management 69. Which of the following tactics for implementing change should NOT be used in most cases? a. Communication and education b. Participation c. Top management support d. Coercion e. Negotiation 70. "The Brain" is a permanent secret group within one of the nation’s largest auto manufacturers. Members of this elite group focus intently on developing new and innovative automobile technologies. "The Brain" can best be described as which type of group or team? a. Cross-functional team b. Fast-cycle team c. Brainstorming team d. Skunkworks e. New-venture team 71. High-Low Productions recently appointed 75 employees and external stakeholders to a temporary group that would discuss problems and opportunities and would gather perspectives on changes that need to take place within the company. High-Low Productions is utilizing which organizational change tool? a. Organization development b. Skunkworks c. Telecommuting d. Focus group e. Large-group intervention

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Chap 08_12e_Daft 72. Which of the following is a change in the manner in which an organization does its work? a. Process innovation b. Product innovation c. Entrepreneurship d. Creativity innovation e. Incremental innovation 73. The communication and education tactic to change implementation should be used when _____. a. initiators clearly have power b. a group has power over implementation c. the change is technical d. users need to feel involved e. a group will lose out in change 74. Recently, a high-level manager at Trophy Trinkets noted a rise in customer satisfaction complaints. This rise is inconsistent with Trophy's goals in this area. This manager has identified a(n) _____. a. need for change b. critical incident c. behavioral occurrence d. environmental opportunity e. SWOT analysis 75. Which of the following is an OD intervention technique in which questionnaires on organizational climate and other factors are distributed among employees and the results reported back to them by a change agent? a. Team-building activities b. Survey feedback activities c. Intergroup activities d. Process-consolidation activities e. Symbiotic leadership activities 76. Which approach should a group use to resist change if the group has power over implementation and if the group will lose out in the change? a. Negotiation b. Top management support c. Participation d. Coercion e. Communication and education

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Chap 08_12e_Daft 77. Which of the following is a change in the organization's product or service outputs? a. Process innovation b. Product innovation c. Entrepreneurship d. Creative innovation e. Incremental innovation 78. Which of the following provides a safe harbor where ideas from employees throughout the company can be developed without interference from company bureaucracy or politics? a. Idea champion b. Sponsor c. New-venture team d. Idea incubator e. Inventor 79. Vivian is the vice president of marketing for Flight to Go, a large airplane manufacturer. Vivian realizes that her company may be set in its ways, and she wants to improve innovation by purchasing the small operation of an innovative airline mechanic. Vivian is considering which of the following? a. Crowdsourcing b. A new-venture fund c. A new-venture deal d. Innovation by acquisition e. Open innovation 80. Jackie, a new employee of yours, strikes you as curious, open-minded, and receptive to new ideas. Keep your eye on Jackie, for she may very well be _____. a. a disciplinarian b. an authoritarian manager c. a Type A personality d. a creative individual e. none of these choices 81. Which of the following refers to implementing new ideas with established capabilities and routines? a. Reverse innovation b. Disruptive innovation c. Exploration d. Organizational innovation e. Exploitation

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Chap 08_12e_Daft 82. Which of the following is the second stage in Lewin's change model, which occurs when individuals experiment with new behavior and learn new skills to be used in the workplace? a. Refreezing b. Changing c. Unfreezing d. None of these choices e. All of these choices 83. Carmeria's CozyCakes is a local bakery that has multiple area locations. After reading through customer satisfaction surveys, Carmeria, the owner, notices that the quality of the baked goods is not up to par. Carmeria set up meetings with location managers and shift leads and also invested in training sessions for all employees. After implementing these changes, Carmeria analyzes the customer satisfaction surveys. She decides to give monthly rewards to the location that has the highest customer satisfaction over the quality of the baked goods. This represents which stage of Lewin's model for implementing change? a. Refreezing b. Changing c. Unfreezing d. None of these choices e. All of these choices 84. Before implementing new changes to work schedules, managers at Trudy's Trinkets meet with union representatives and work out the terms of the changes so that both managers and employees will be satisfied with them. Which approach to change is this company using? a. Negotiation b. Top management support c. Participation d. Coercion e. Communication and education 85. For the compact disc industry, the advent of MP3 technology can best be described as which type of innovation? a. Disruptive b. Service c. Productive d. Restructuring e. Reverse

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Chap 08_12e_Daft 86. Which of the following statements accurately compares the traditional organization development model to the large-group intervention model? a. The traditional model has widely shared information, whereas the large-group intervention model limits information sharing. b. The traditional model has rapid transformations, whereas the large-group intervention model has incremental changes. c. The traditional model has a fast time frame, whereas the large-group intervention model has a gradual time frame. d. The traditional model has a focus on a specific problem or group, whereas the large-group intervention model has a focus on the entire system. e. All of these choices accurately compare the traditional organization development model to the largegroup intervention model. 87. TooEasy, Inc., is changing from a manual ordering system to a computer-based ordering system. As part of the implementation procedures, the company invests in detailed, comprehensive training classes. Which approach to change implementation is TooEasy using? a. Communication and education b. Top management support c. Participation d. Coercion e. Negotiation 88. Carmeria's CozyCakes is a local bakery that has multiple area locations. After reading through customer satisfaction surveys, Carmeria, the owner, notices that the quality of the baked goods is not up to par. After setting up a meeting with location managers and shift leads, Carmeria invests in training sessions for all employees. In these sessions, all employees are retrained on the baking process for all the baked goods Carmeria’s CozyCakes offers. This represents which stage of Lewin's model for implementing change? a. Refreezing b. Changing c. Unfreezing d. None of these choices e. All of these choices 89. Which of the following means extending the search for and commercialization of new ideas beyond the boundaries of the organization and even beyond the boundaries of the industry? a. Idea champion b. Open innovation c. New-venture team d. Idea incubator e. Inventor

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Chap 08_12e_Daft 90. A step in the stage of implementing change in which participants are made aware of problems is referred to as _____. a. jumping b. changing c. refreezing d. unfreezing e. exercising 91. Which of the following is a part of a critical innovation strategy that encourages the flow of ideas from lower levels? a. Exploration b. Bottom-up approach c. Crowdsourcing d. Risk propensity e. All of these choices 92. Which of the following symbolizes to all employees that a change is important for the organization? a. Communication and education b. Coercion c. Participation d. Negotiation e. Top management support 93. All of the following are characteristics of creative individuals except _____. a. originality b. playfulness c. curiosity d. rationality e. open-mindedness 94. All of the following are characteristics of creative organizations except _____. a. use of teams b. risk-taking norms c. centralization d. long-term horizon e. loose controls

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Chap 08_12e_Daft 95. A type of OD intervention that enhances the cohesiveness of departments by helping members learn to function as a team is called _____. a. survey feedback b. product innovation c. process innovation d. large-group intervention e. team building 96. Which variation of new-venture teams is described as a small separate, informal, highly autonomous, and often secretive group that focuses on breakthrough ideas for the business? a. Idea champion b. Sponsor c. New-venture team d. Skunkworks e. Inventor 97. Sandbox Sally's, Inc., is making some changes to the work schedules of its employees. Some of the employees are not happy with the changes. As their manager, Harry tells them that they can accept it or leave. Which approach to change implementation is Harry using? a. Negotiation b. Top management support c. Participation d. Coercion e. Communication and education 98. Creative organizations _____. a. are characterized by an unusually high number of routine jobs b. are loosely structured c. have little ambiguity d. have too many layers of management e. use a centralized decision-making approach 99. Which of the following indicates a disparity between existing and desired performance levels? a. Environmental opportunity b. Need for change c. Behavioral occurrence d. Critical incident e. Organizational structural imbalance

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Chap 08_12e_Daft 100. Which of the following is a characteristic of companies that successfully innovate? a. Members from key departments play individual roles in the development of new products and services. b. Technical specialists make effective use of old trusted technologies. c. Each project is guided by a core cross-functional team from beginning to end. d. People in research and marketing work with top managers to understand their needs and develop solutions. e. All of these are characteristics of companies that successfully innovate. 101. You are the production manager for Connor's Construction, Inc. You decide to change the production procedure to increase efficiency. One of your long-time foremen is resisting the change, insisting the idea won't work. Which of the following obstacles is he exhibiting? a. Different assessment and goals b. Uncertainty about the future c. Lack of trust d. Self-interest e. All of these choices 102. Which of the following is defined as a planned, systematic process of change that uses behavioral science knowledge to create a positive corporate culture and improve the way people and departments relate to one another? a. Conflict management b. Organizational revitalization c. Organization development d. Organizational linkage e. Horizontal linkage 103. Which of the following is defined as lack of information about future events? a. Uncertainty b. Risk c. Worry d. Stress e. Change resistance 104. Skunkworks fall under which innovation strategy for products and processes? a. Discovery b. Horizontal collaboration and open innovation c. Innovation roles and structures d. None of these choices e. All of these choices

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Chap 08_12e_Daft 105. Which of the following is a person who sees the need for and fights for productive change in an organization? a. Creative individual b. Catalyst c. Idea champion d. Sponsor e. Critic 106. An approach that brings together participants from all parts of the organization (and may include key outside stakeholders as well) to discuss problems or opportunities and plan for major change is called _____. a. survey feedback b. product innovation c. process innovation d. large-group intervention e. team building 107. When managers give employees autonomy and reward learning and risk-taking, they are assuming _____. a. an innovation role b. a disruptor role c. a cooperation role d. leadership of a new-venture team e. ownership of a new-venture fund 108. When trying to overcome the resistance for change, which approach is best suited when the change is technical in nature? a. Coercion b. Top management support c. Negotiation d. Participation e. Communication and education 109. Successful change requires that organizations be capable of both creating and implementing ideas, which means the organization must learn to be _____. a. cordial b. rightsized c. ambidextrous d. compliant e. intra-focused

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Chap 08_12e_Daft 110. According to Fast Company, in 2021, which company was ranked in the top five of the "World’s 50 Most Innovative Companies"? a. Shopify b. Nintendo c. Netflix d. Google e. Procter & Gamble 111. JD is one of several middle managers sent to a training course on leadership skills. Through this effort, JD's organization is attempting _____. a. organization change b. organization development c. people change d. culture change e. artifact change 112. The generation of novel ideas that may meet perceived needs or respond to opportunities for the organization is called _____. a. a search initiative b. creativity c. an ideal champion d. a great idea e. strategic analysis 113. Which of the following refers to the generation of novel solutions to perceived problems? a. Problem solving b. Organization development c. Creativity d. Brainstorming e. Perceived solution 114. Which of the following is a start-up that a company launches within the company rather than as a separate entity? a. Skunkworks b. New-venture team c. Idea incubator d. In-house venture e. Corporate intrapreneurship

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Chap 08_12e_Daft 115. The innovation strategy that involves creating conditions and systems to facilitate internal and external coordination and knowledge sharing is known as _____. a. exploration b. horizontal collaboration and open innovation c. entrepreneurship d. innovation roles and structures e. discovery 116. Which of the following is NOT a characteristic of a creative individual? a. Conceptual fluency b. Undisciplined exploration c. Persistence and focused approach d. Authoritarian and dependent e. All of these are characteristic of a creative individual. 117. Which of the following factors do numerous studies support the importance of in the success of new products? a. Organization development b. People change c. In-house ventures d. Idea champions e. Large-group interventions 118. The innovation strategy for changing products and technologies that involves designing the organization to encourage creativity and the initiation of new ideas is known as _____. a. discovery b. cooperation c. entrepreneurship d. horizontal collaboration and open innovation e. horizontal linkage 119. Which of the following is NOT a way to specifically facilitate innovation in an organization? a. Skunkworks b. New-venture team c. Crowdsourcing d. New-venture fund e. Internal crowdsourcing

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Chap 08_12e_Daft 120. Cooltown University recently invited members of its social network group to enter a contest on YouTube to design the best video promoting the university. This is an example of which innovative approach? a. Social group innovation b. Network innovation c. Techsourcing d. Crowdsourcing e. Insourcing 121. The final step to be managed in implementing change is known as _____. a. freezing b. refreezing c. changing d. unfreezing e. envisioning 122. Which approach to change implementation should be used when users have power to resist? a. Communication and education b. Participation c. Coercion d. Top management support e. Negotiation 123. A product innovation is a change in the organization's _____. a. product or service outputs b. production process c. hiring strategies d. creative process e. none of these choices 124. Cyrus's Resort has proposed some major structural changes within their organization. Some of the employees fear that they will lose power with the changes, and they begin voicing resistance to the changes. Which barrier to change are they exhibiting? a. Disagreements about the benefits b. Self-interest c. Lack of understanding and trust d. Uncertainty e. Goals and rewards

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Chap 08_12e_Daft 125. Which of the following is a characteristic of the large-group intervention model? a. Results in incremental change b. Learning for the small group c. Addresses the entire system d. Gradual time frame e. Limited distribution 126. Which approach to change implementation uses formal bargaining to win acceptance and approval of a desired change? a. Communication and education b. Participation c. Coercion d. Negotiation e. Top management support 127. Carmeria's CozyCakes is a local bakery that has multiple area locations. After reading through customer satisfaction surveys, Carmeria, the owner, notices that the quality of the baked goods is not up to par. Carmeria sets up a meeting with the location managers and shift leads to make them aware of the situation. This represents which stage of Lewin's model for implementing change? a. Refreezing b. Changing c. Unfreezing d. None of these choices e. All of these choices 128. Innovations are not likely to be successful unless they are backed by which of the following? a. An in-house venture b. An entire organization c. A top-level manager d. An idea champion e. All of these choices 129. Left-Right Industries employs a diverse set of individuals with strong personalities. Unfortunately, this means there is a great deal of interpersonal disagreement among employees. Which organizational tool would work best in this circumstance to manage conflict? a. Organization development b. Skunkworks c. Telecommuting d. Downsizing e. Small-group innovation

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Chap 08_12e_Daft 130. Which of the following refers to innovations in products, services, or processes that radically change competition in an industry? a. Restructuring innovation b. Trickle up innovation c. Productive innovation d. Disruptive innovation e. Reverse innovation 131. Which of the following is a unit separate from the rest of the organization that is responsible for the development of a major innovation? a. New product group b. Matrix group c. New-venture team d. Vertical group e. Change team 132. Which of the following describes a person who is passionately committed to a new product idea, despite rejection by others? a. Idea champion b. Sponsor c. New-venture team d. Skunkworks e. Investor 133. The creation and implementation of a new idea, solution, or behavior by an organization is known as organizational _____. a. innovation b. development c. structure d. intervention e. responsibility

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Chap 08_12e_Daft Scenario - Jada Hall The continuing development and improvement of computer information systems has made a powerful impression on Jada Hall, CEO of See-Saw City (SSC). The current computer system at SSC is seven years old, and while still highly useful and reliable, Jada wonders if a new system would be more efficient and more useful. Jada recognizes that some of her managers prefer to keep the old system, while others want the company to update its information capability. 134. In planning how to implement the new system, Jada can anticipate some resistance. This resistance can come from all of the following except _____. a. self-interest of the resisting employees b. lack of understanding of the new system c. uncertainty, or a lack of information d. different departments pursuing different goals e. too much information from top managers

135. List the three distinct steps for achieving behavioral and attitudinal change.

Scenario - Jada Hall The continuing development and improvement of computer information systems has made a powerful impression on Jada Hall, CEO of See-Saw City (SSC). The current computer system at SSC is seven years old, and while still highly useful and reliable, Jada wonders if a new system would be more efficient and more useful. Jada recognizes that some of her managers prefer to keep the old system, while others want the company to update its information capability. 136. To overcome resistance to the new system, Jada can use which of the following techniques? a. Education and communication b. Participation in designing the system c. Negotiation d. Coercion e. All of these choices

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Chap 08_12e_Daft 137. Jada also recognizes that creative organizations have certain characteristics. Which of the following is a characteristic of a creative organization? a. The organization's communication is strictly controlled. b. The organization is strongly centralized. c. The organization has rules for all processes. d. The organization gives employees the freedom to discuss ideas. e. The organization assigns specialists to solve problems.

138. Jada recognizes that creativity is an essential ingredient in developing solutions to organizational problems. Which of the following is NOT a characteristic of a creative manager? a. Conceptual fluency and open-mindedness b. Originality c. Focused approach d. Commitment e. All of these are characteristics of a creative manager.

139. List the four reasons why employees tend to resist change.

140. List the five specific tactics that can be used to overcome employee resistance to change.

141. Implementing change is often one of the most difficult aspects of organization management. Imagine that you are the human resources director of a corporation and your company's executive team has asked you to develop a new dress code. Using this example, explain why employees might resist the new dress code. Then map out a plan for developing and implementing the code in a way that might overcome some of this resistance.

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Chap 08_12e_Daft 142. List the five main characteristics of a creative individual.

143. An organization that is managed in a traditional and bureaucratic way will find itself stagnant, dysfunctional, and unable to adapt to its environment. Explain people change and culture change and evaluate why they are necessary to achieve the change process. Be sure to include a detailed example of each in your answer.

144. Describe the tactics for overcoming resistance to change.

145. Describe the three innovative strategies for new products and processes.

146. Explain the horizontal linkage model.

147. A closed innovation approach generates ideas in-house and sees them through production, marketing, and distribution. Contrast this approach with "open innovation," and provide two detailed examples that illustrate your answer.

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Chap 08_12e_Daft 148. Implementing change is often one of the most difficult aspects of organization management. Imagine that you are the CEO of a large corporation and your legal advisors have just informed you that the federal government has passed a new law that will affect every employee's health care coverage. Using this example, discuss the forces that most likely spurred the organizational innovation and identify some reasons why employees might resist this change.

149. What is organizational innovation, and what are two major areas of innovative change in organizations?

150. Over time, organizations make changes in what they produce and how they produce it. Managers typically have three types of strategies they can use to implement those changes: discovery, horizontal collaboration and open innovation, and innovation roles and structures. Under what circumstances is a manager most likely to use discovery? Horizontal collaboration and open innovation? Innovation roles and structures? Explain when and why managers would choose each of these strategies.

151. Describe the three distinct stages in Lewin's model for implementing change.

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Chap 08_12e_Daft Answer Key 1. True 2. True 3. False 4. True 5. False 6. True 7. True 8. True 9. False 10. False 11. False 12. False 13. False 14. True 15. True 16. True 17. False 18. True 19. True 20. True 21. False 22. True 23. True 24. True 25. True 26. True

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Chap 08_12e_Daft 27. True 28. True 29. False 30. False 31. False 32. False 33. True 34. False 35. True 36. True 37. True 38. True 39. True 40. True 41. True 42. True 43. True 44. c 45. c 46. b 47. c 48. e 49. c 50. a 51. e 52. c 53. e 54. b Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 55. d 56. c 57. c 58. d 59. d 60. b 61. d 62. a 63. a 64. b 65. a 66. c 67. b 68. a 69. d 70. d 71. e 72. a 73. c 74. a 75. b 76. a 77. b 78. d 79. d 80. d 81. e 82. b Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 83. a 84. a 85. a 86. d 87. a 88. b 89. b 90. d 91. b 92. e 93. d 94. c 95. e 96. d 97. d 98. b 99. b 100. c 101. a 102. c 103. a 104. c 105. c 106. d 107. a 108. e 109. c 110. a Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 111. c 112. b 113. c 114. d 115. b 116. d 117. d 118. a 119. d 120. d 121. b 122. b 123. a 124. b 125. c 126. d 127. c 128. d 129. a 130. d 131. c 132. a 133. a 134. e 135. (1) unfreezing, (2) changing, and (3) refreezing 136. e 137. d 138. e Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 139. (1) self-interest, (2) lack of understanding and trust, (3) uncertainty, and (4) different assessments and goals 140. (1) communication and education, (2) participation, (3) negotiation, (4) coercion, and (5) top management support 141. Student answers will vary. Managers can use top management support, communication and education, user participation, negotiation, or coercion, but most students should indicate that communication and education along with user participation would most likely be the preferred methods in this situation. 142. (1) conceptual fluency and open-mindedness, (2) originality, (3) independence and self-confidence, (4) curiosity and playfulness, and (5) persistence and focused approach to problem solving 143. Student answers will vary. People change refers to change in how a few individual employees think, for instance, with continuing education and training. It results in alteration of attitudes and behaviors for those select individuals. Culture change refers to shifting the norms and values of an entire organization, which is much harder. A company will usually concentrate training efforts on managers, who then influence other employees throughout the organization, leading to true culture change. All successful changes involve changes in both people and culture. Students should explain why people change and culture change are necessary and provide their own examples of each. 144. The five tactics for overcoming resistance to change are: (1) top management support, which is used when change involves multiple departments or reallocation of resources; (2) communication and education, which is used when change is technical; (3) participation, which is used when the users need to feel involved; (4) negotiation, which is used when the group has power over implementation; and finally (5) coercion, which is utilized when a crisis exists. 145. The first strategy is discovery, where ideas for new products and processes are born. Managers design the organization for exploration by establishing conditions that encourage creativity and allow new ideas to spring forth. The second strategy is horizontal collaboration and open innovation. In this strategy, the manager creates conditions and systems to facilitate internal and external coordination and knowledge sharing. The third strategy is innovation roles and structures. In this strategy, managers put in place procedures and structures to make sure new ideas are carried forward, accepted, and implemented. 146. The horizontal linkage model is an approach to product change that emphasizes shared development of innovations among several departments. People from various departments, as well as suppliers and customers, meet frequently in teams and/or task forces to share ideas and solve problems together. 147. Open innovation extends the search for and commercialization of ideas outside its own organization, sometimes beyond the boundaries of an industry, and even worldwide, sharing knowledge and resources with other organizations and individuals outside the firm. One example of open innovation, made possible through the Internet, is an approach known as crowdsourcing, where information, ideas, or opinions are collected from a large group of people, such as PepsiCo's "Do Us a Flavor" crowdsourcing campaign. A second example is when Proctor & Gamble reached out its global networks to identify an edible image printing process it could adapt for use on its Pringles product. Student examples will vary. 148. Student answers will vary. Organizational innovation is the creation and implementation of new ideas or behaviors, often brought on by forces outside the organization. People often resist organizational innovation because it seems to conflict with their self-interests; they distrust the intentions behind a change or do not understand its purpose; they fear the unknown and prefer that things stay the same; or because those affected by a change assess its benefits differently than those who propose it. Copyright Cengage Learning. Powered by Cognero.

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Chap 08_12e_Daft 149. Organizational innovation is the adoption of a new idea or behavior by an organization. Two key aspects of innovative change in organizations are introducing new products and processes and changing organizational people and culture. 150. With a discovery strategy, managers seek to design a work environment that encourages creativity. It is loosely structured, jobs are not routine, and assignments are vague. Much work is done in teams and the environment encourages risk-taking. Horizontal collaboration and open innovation refers to creating conditions and systems so that new ideas can be gathered from inside as well as outside the firm. In this strategy, internal departments work together to develop a new product or service and customers, suppliers, and other outsiders (even crowdsourcing) may be involved in product and service development. Innovation roles and structures refers to managers putting in place processes that will ensure that new ideas are carried forward for implementation, acting as a champion for new ideas. 151. 1. Unfreezing is the stage of organization development in which participants are made aware of problems in order to create an openness and willingness to change behavior. This stage is often associated with diagnosis of the problem or opportunity. It is during this stage that managers show the need for change and create a vision for change that everyone can believe in. 2. Changing is the intervention stage of organization development in which individuals experiment with new workplace behaviors and skills. 3. Refreezing is the reinforcement stage of organization development. During this stage, individuals have incorporated desired new skills, values, attitudes, or behaviors into their everyday work and are rewarded for it by the organization.

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Chap 09_12e_Daft Indicate whether the statement is true or false. 1. A realistic job preview gives applicants both positive and negative information about a job. a. True b. False 2. Most large organizations have no formal policies against racial and gender discrimination. a. True b. False 3. The Family and Medical Leave Act established mandatory safety and health standards in organizations for working families. a. True b. False 4. Research shows that companies with several senior-level women underperform financially and organizationally in comparison to those without senior-level women. a. True b. False 5. An invisible barrier that separates women and minorities from advancement to important lateral movement within the organization defines the glass ceiling. a. True b. False 6. There are more and more people of Hispanic origin in today's workforce, rising from 13.1% of the labor force in 2004 to 19.8% of the labor force in 2024 (projected). a. True b. False 7. Stereotypes are often based on folklore, media portrayals, and other unreliable sources of information. a. True b. False 8. Prohibition of discrimination of qualified individuals by employers on the basis of disability and the requirement that "reasonable accommodations" be provided are enforced by the Americans with Disabilities Act of 1990. a. True b. False 9. Skill-based pay means linking compensation to the specific tasks an employee performs. a. True b. False

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Chap 09_12e_Daft 10. Managing diversity means creating a climate in which the potential advantages of diversity for organizational or group performance are maximized while the potential disadvantages are minimized. a. True b. False 11. A culture that accepts only one way of doing things and one set of values and beliefs, produced by ethnocentrism, is known as a monoculture. a. True b. False 12. The belief that ethics are not absolute but instead need to be evaluated relative to the situation refers to ethnorelativism. a. True b. False 13. Training is typically used to refer to teaching people how to perform tasks related to their present jobs, while development means teaching people broader skills that are not only useful in their present jobs but also prepare them for greater responsibilities in future jobs. a. True b. False 14. Unfortunately, today's organizations offer universal "one-size-fits-all" benefits packages, rather than pay-forperformance. a. True b. False 15. The traditional dimension of diversity can be acquired or changed throughout one's lifetime. a. True b. False 16. In 2010, PepsiCo appointed its first female CEO. a. True b. False 17. In 2011, IBM named Virginia Rometty as the first female CEO in the company's 110-year history. a. True b. False 18. All managers are involved in human resource management. a. True b. False 19. One of the questions that human resource planning should ask is "What are the profit margin and the inventory turnover rate?" a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 20. An exit interview is an interview conducted with departing employees to determine why they are leaving the company. a. True b. False 21. A process that uses multiple raters, including self-rating, to appraise employee performance and guide development refers to 180-degree feedback. a. True b. False 22. Exit interviews are valuable HR tools only if the departing employee leaves voluntarily. a. True b. False 23. Recruiting activities can be divided into (1) internal recruiting including "promote from within" policies and (2) external recruiting including the use of headhunters. a. True b. False 24. Because employees with different backgrounds bring different options and ideas to the table, a diverse workforce may lead to increased conflict, anxiety, and misunderstanding. a. True b. False 25. The first three steps involved in attracting an effective workforce are HR planning, choosing recruiting sources, and selecting the candidate. a. True b. False 26. The Civil Rights Act of 1964 created the Equal Employment Opportunity Commission. a. True b. False 27. Some companies today use brain teasers as part of the selection process, where applicants have to provide answers to questions that require them to solve a problem. a. True b. False 28. A systematic process of gathering and interpreting information about the essential duties refers to job design. a. True b. False 29. Solicitation with the promise of reward is the highest level of sexual harassment. a. True b. False

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Chap 09_12e_Daft 30. The best managers create an atmosphere of inclusion in the workplace. a. True b. False 31. Affirmative action requires that an employer take positive steps to guarantee promotion from within. a. True b. False 32. Recruiters are now viewing the profiles—including post history and comments—of candidates on social networking sites such as Facebook. a. True b. False 33. Competency-based pay systems are also called skill-based pay systems. a. True b. False 34. Research indicates that women and people of color who advance the most in their careers all have a strong sponsor or network of sponsors. a. True b. False 35. Human resource specialists, with the matching model, exploit the newly hired employees. a. True b. False 36. Workforce diversity refers to hiring people from different geographic regions of the country but of the same nationality. a. True b. False 37. Managers today are highly likely to use social media as a recruiting tool. a. True b. False 38. Wage and salary surveys show what other organizations pay incumbents in jobs that match a sample of "key" jobs selected by the organization. a. True b. False 39. People who work for an organization, but not on a permanent or full-time basis, are called "employees of choice." a. True b. False

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Chap 09_12e_Daft 40. Whereas mentors largely offer informal guidance, sponsors actively help a protégé develop relationships with other powerful people and advocate for the individual when big projects or promotions come up. a. True b. False 41. Nationality and work style are included in the inclusive dimension of diversity. a. True b. False 42. The economic value of the knowledge, experience, skills, and capabilities of employees refers to personal capital. a. True b. False 43. An in-house training and education facility that offers broad-based learning opportunities for employees refers to on-the-job training. a. True b. False 44. An organization that accommodates several subcultures, including employees who would otherwise feel isolated and ignored, refers to pluralism. a. True b. False 45. A test designed to assess candidates on a particular attribute such as cognitive ability or personality is called an employment test. a. True b. False 46. In social learning, employees learn informally from each other. a. True b. False 47. The genuine efforts to accept and manage diverse people in North America are a phenomenon that emerged in the 1800s. a. True b. False 48. Age, race, and gender are included in the traditional model of diversity. a. True b. False 49. Employability and personal responsibility are part of the old social contract between employees and employers. a. True b. False

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Chap 09_12e_Daft 50. In a 2019 survey, women held 50.4% of all jobs in the United States. a. True b. False 51. Stereotypes assume that all members of a group have the same characteristics. a. True b. False 52. Discrimination is defined as the tendency to view people who are different as being deficient. a. True b. False 53. Generalized sexual harassment occurs when remarks and actions are intended to lead to sexual activity. a. True b. False 54. The process of determining the value of jobs within an organization through an examination of job content refers to job evaluation. a. True b. False 55. Fortunately, today, part-time and temporary workers are not often used by most companies. a. True b. False 56. Today, organizations recognize that diversity is a business imperative and perhaps the single most important factor of the twenty-first century for organization performance. a. True b. False 57. The role of the chief diversity officer is to create inclusive working environments where everyone can flourish. a. True b. False 58. The steps of observing and assessing employee performance, recording the assessment, and providing feedback to the employee are part of job evaluation. a. True b. False 59. Stereotyping is based on cultural differences verified by scientific research methods. a. True b. False

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Chap 09_12e_Daft 60. Structured interviews allow the applicant a great deal of freedom in determining the course of the conversation, with the interviewer taking care not to influence the person's remarks. a. True b. False 61. The set of activities that are undertaken to attract, develop, and maintain an effective workforce refers to human resource management. a. True b. False 62. A diverse workforce is better able to anticipate and respond to changing consumer needs. a. True b. False 63. The belief that your group and subculture is not as good as other groups and subcultures is ethnocentrism. a. True b. False 64. Sexual harassment is a violation of Title VII of the Civil Rights Act. a. True b. False 65. Hiring the right people to apply new information technology to HRM processes is a current strategic issue of particular concern for HR managers. a. True b. False 66. Research shows that realistic job previews lower employee satisfaction and increase turnover. a. True b. False 67. Challenging assignments and creative development opportunities are part of the new social contract between employees and employers. a. True b. False 68. One of the consequences of diversity in the workplace is a decreased quality of team problem solving. a. True b. False 69. A rigid, exaggerated, irrational belief associated with a particular group of people defines prejudice. a. True b. False

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Chap 09_12e_Daft 70. Unfortunately, companies that foster a diverse workforce experience increased turnover, absenteeism, and the risk of lawsuits. a. True b. False 71. Job security is an employee expectation that existed with the old social contract but is no longer an expectation in the new social contract. a. True b. False 72. The lack of women in upper management positions is a huge problem in the United States and Canada. On other continents, especially in Asia, there are more women in senior-level positions. a. True b. False 73. The three primary goals of HRM are to find the right people, manage talent so people achieve their potential, and maintain the workforce over the long term. a. True b. False 74. Human resource planning refers to the forecasting of human resource needs and the projected matching of individuals with expected job vacancies. a. True b. False 75. Job description refers to the process of determining the skills, abilities, and other attributes a person needs to perform a particular job. a. True b. False 76. Hiring and keeping quality employees is one of the most urgent concerns for today's organizations. a. True b. False 77. A type of training in which an experienced employee takes a new employee "under their wing" to show the newcomer how to perform job duties is known as on-the-job training. a. True b. False 78. Traditional dimensions of diversity that are particularly relevant in the organizational setting include work style, communication style, and educational or skill level. a. True b. False

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Chap 09_12e_Daft 79. Today, minorities account for about two-thirds of the U.S. population. a. True b. False 80. A higher-ranking organizational member who is committed to providing upward mobility and support to a protégé's professional career is known as a sponsor. a. True b. False 81. A key element of the strategic approach to human resource management argues that human resource management is not a matching process and managers should avoid attempts to match or integrate employees to an organization's strategy and goals. a. True b. False 82. Homogeneous top management teams tend to be broadminded in their perspectives. a. True b. False 83. It is okay to ask whether an applicant has the legal right to work in the United States during the selection process. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 84. In the United States today, how many Fortune 500 companies have a woman CEO? a. 14 b. 37 c. 99 d. 112 e. 251 85. Offering child-care and elder-care benefits is an example of which of the following dividends of workplace diversity? a. Better use of employee talent b. Increased understanding of the marketplace c. Enhanced breadth of understanding among managers d. Better team problem solving e. Lower costs related to turnover, absenteeism, and lawsuits

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Chap 09_12e_Daft 86. Pranav just accepted a job offer and is now working as a financial analyst for a large consulting company. On his first day at work, Edward, a senior analyst with many years of experience, says to Pranav, "Just watch what I do for a few days. I'll help you learn as you work." In this scenario, Pranav is receiving _____. a. a realistic job preview b. social learning c. a promotion from within d. development e. on-the-job training 87. Paying a woman less than a man for the same work is an example of _____. a. gender discrimination b. ethnic discrimination c. stereotyping d. sexual harassment e. prejudice 88. Companies such as Uber, DoorDash, Lyft, and GrubHub all contributed to the emergence of _____. a. blind hiring b. the contingent economy c. the gig economy d. the employer brand e. algorithm-based hiring 89. A local university had multiple positions to fill for the upcoming school year. In typical years, it would hold a job fair where potential employees could preview and apply for open positions. When the COVID-19 pandemic hit in 2020, the university decided to hold its job fair through a video chat system. This is an example of _____. a. an internship b. virtual recruiting c. the matching model d. blind hiring e. a realistic job preview 90. At GoodSpeak Telecommunications, when managers have a job opening, they look first at the employees who are already in the company. Managers have found that this practice is less costly than other forms of recruiting, and employees are more committed to their jobs because of it. In this scenario, GoodSpeak Telecommunications is using _____. a. internal recruiting b. external recruiting c. realistic job previews d. job analysis e. contingent hiring

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Chap 09_12e_Daft 91. Research has shown that which of the following is true? a. Homogeneous groups are more creative than diverse groups. b. Homogeneous groups are less satisfied than diverse groups. c. Diverse groups are more creative than homogeneous groups. d. Creativity has nothing to do with group composition. e. None of these choices are true. 92. Vacations, unemployment compensation, and educational reimbursements are all part of which type of organizational rewards package? a. Pay-for-performance b. Incentive pay c. Group performance d. Merit-based pay e. Benefits 93. Greene, Inc., requires that all managers undergo gender sensitivity training with the intent of eliminating gender stereotypes in the organization. This is an example of _____. a. equal employment opportunity b. affirmative action c. cultural bias d. employment-at-will e. sexual harassment 94. Brent, who works in the human resource department, is interested in gathering data on the projected number of resignations and retirements over the next 10 years. To accomplish this, Brent is most likely to perform which activity? a. Choosing a recruiting source b. Selecting an employment candidate c. Human resource planning d. Welcoming new employees e. Downsizing 95. Birmingham Boardwalk, Inc., uses a program to provide minorities and women with direct exposure to senior management for informal guidance. This is an example of which of the following programs? a. Sponsoring b. Mentoring c. Expatriate d. Delegate e. Advisory

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Chap 09_12e_Daft 96. Language, nationality, military experience, work style, and income are part of which model of diversity? a. Inclusive b. Traditional c. Both inclusive and traditional d. None of these choices e. All of these choices 97. Laylah wanted to set up her team so that it would be highly innovative. Which of the following teams is most likely to produce innovative ideas? a. A team with large amounts of experience b. A team with extensive training in how to handle the problem area c. A team that is highly cohesive d. A team with different backgrounds and skill sets e. A team that has similarity of perspective 98. In a family where both parents work, which of the following may be helpful to accommodate the parents' needs? a. Child care b. Flexible work schedules c. Home-based employment d. Maternity or paternity leave e. All of these choices 99. While on a job interview at a university, Alyssa was asked to perform a sample lesson on a topic she would teach. This is an example of a _____. a. work sample b. structured interview c. nondirective interview d. panel interview e. behavioral question 100. Which of the following is an interview conducted with departing employees to determine why they are leaving? a. Exit interview b. Social learning interview c. Employment test d. Performance appraisal e. Wage and salary survey

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Chap 09_12e_Daft 101. Which of the following shows what other organizations pay incumbents in jobs that match a sample of "key" jobs selected by the organization? a. Exit interview b. Pay-for-performance c. Compensation d. Performance appraisal e. Wage and salary survey 102. Artie's Pretzels is a small but well-known company that receives thousands of job applications every year, though it only fills about 50 positions annually. Company managers have learned that Artie's human resource practices are one of the driving factors that attract potential employees. Artie's Pretzels is an example of a(n) _____. a. contingency employer b. employer of options c. employer of choice d. employer of necessity e. telecommuter-friendly employer 103. Which of the following serves as an invisible barrier to vertical movement within the organization for women? a. Barriers to entry b. Affirmative action c. Equal opportunity d. Glass wall e. Glass ceiling 104. Which of the following occurs when hiring and promotion decisions are made based on criteria that are not jobrelevant? a. Algorithm-based hiring b. Blind hiring c. Prejudice d. Discrimination e. All of these choices 105. Which of the following is an important aspect of coaching? a. Personal feedback b. Strenuous observations c. Diversity training d. None of these choices e. All of these choices

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Chap 09_12e_Daft 106. Amanda recently arranged for her company to give away copies of its online game product at a video-gaming conference. Her goal was to help potential recruits know more about her company. In this scenario, Amanda was involved in _____. a. selection b. training and development c. employer branding d. contingent work e. acqui-hiring 107. Which health/safety law requires continued health insurance coverage (paid by employee) following termination? a. Consolidated Omnibus Budget Reconciliation Act b. Health Maintenance Organization Act c. Occupational Safety and Health Act d. Family and Medical Leave Act e. None of these choices 108. Bilal is interviewing for an IT specialist position at a technology firm. His interviewer informs Bilal that he will ask him a series of standardized questions that are being used with every applicant interviewing for the same position. This can best be described as which type of interview? a. Nondirective b. Structured c. Panel d. Biographical e. Situational 109. The biggest projected change in the U.S. labor force from 2004 to 2024 will be in the percentage of _____. a. White employees b. Black employees c. Asian employees d. Hispanic-origin employees e. none of these choices 110. Smileline Inc. has an onsite day-care facility and provides employees with full-time day care at a very low cost. The company implemented this years ago when managers realized that child-care responsibilities were contributing to high turnover and absenteeism. This example highlights which dividend of workplace diversity? a. Better use of employee talent b. Increased understanding of the marketplace c. Increased quality of team problem solving d. Enhanced breadth of understanding in leadership positions e. Reduced costs associated with high turnover, absenteeism, and lawsuits

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Chap 09_12e_Daft 111. Which of the following is defined as an invisible barrier that exists for women that limits their upward mobility in organizations? a. Barrier to entry b. Affirmative action c. Equal opportunity d. Glass ceiling e. Glass wall 112. Giving current employees preference when a position opens in their organization is an example of _____. a. discrimination b. internal recruiting c. nepotism d. external recruiting e. acquisition 113. Which of the following is a policy requiring employers to be proactive in being certain that equal opportunity exists for people within protected groups? a. Equal employment opportunity b. Discrimination c. Reverse discrimination d. Affirmative action e. Employment-at-will 114. Which of the following statements about predictors of future career success is true? a. Job interviews are better predictors of future career success than personality tests. b. Personality tests are better predictors of future career success than job interviews. c. Brain teasers are better predictors of future career success than personality tests. d. Letters of recommendation are better predictors of future career success than education credentials. e. Education credentials are better predictors of future career success than personality tests. 115. TickTock Clock Corporation is attempting to develop a truly diverse workplace. As a first step, it has decided to expand its recruiting efforts. Which of the following is NOT an appropriate way to do this? a. Recruit corporatewide with hiring managers who reflect diversity. b. Offer internships for racial and ethnic minorities. c. Tie executive performance rankings to meeting recruiting goals that promote diversity. d. Offer scholarships for the children of current employees. e. Form affiliations with minority organizations.

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Chap 09_12e_Daft 116. Ami, an Asian woman, was a highly successful manager at Optics International. After 10 years with the company, she applied to be a top manager. The executives interviewing employees for the position decided against hiring Ami due to the stereotypes that she was "not top manager material" because she is too quiet and unassertive. What does this example demonstrate? a. Female advantage b. Bamboo ceiling c. First rung d. Glass wall e. Opaque ceiling 117. Which of the following is NOT a goal of human resource management? a. Finding the right people for the job b. Managing talent so people achieve their potential c. Maintaining an effective workforce d. Turning over an effective workforce e. Attracting an effective workforce 118. An experienced manager shows a new employee how to perform job duties in which of the following? a. On-the-job training b. Classroom training c. Orientation training d. Computer-assisted instruction e. A realistic job preview 119. Which of the following is a part of the new approach to performance management? a. Annual meeting on performance b. Single-element assessment c. Subjective opinions d. Focus on work activity e. Shorter-term goals 120. Which of the following statements regarding most organizations is true? a. Most organizations can never shift from a monocultural perspective to one of pluralism. b. Most organizations naturally shift from a monocultural perspective to one of pluralism. c. Most organizations must make a conscious effort to shift from a monocultural perspective to one of pluralism. d. Most organizations can easily shift from a monocultural perspective to one of pluralism. e. Most organizations are against a shift from a monocultural perspective to one of pluralism.

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Chap 09_12e_Daft 121. One of the newest ways of gauging whether a candidate is right for the company is by _____. a. checking previous places of employment b. checking with references c. using trial employment period d. using aptitude tests e. screening social media posts 122. Which of the following is the first step in attracting an effective workforce? a. Selecting the candidate b. Choosing recruiting sources c. Applying the matching model d. Human resource planning e. Initiating change 123. Which racial or ethnic category currently represents the largest and fastest growing minority group? a. White b. African American c. Asian d. Hispanic e. Native American 124. Which federal law restricts mandatory retirement? a. Americans with Disabilities Act b. Immigration Reform and Control Act c. Vocational Rehabilitation Act d. Age Discrimination in Employment Act e. Vietnam-Era Veterans Readjustment Act 125. Which hiring technique focuses on the applicant's job skills and performance rather than educational credentials or prior experience? a. Standing training programs b. Job analysis c. Algorithm-based hiring d. Building an employer brand e. Blind hiring 126. Which of the following is inappropriate to ask on an employment application? a. If the applicant is over 18 b. Where the applicant went to school c. If the applicant has ever been convicted of a crime d. Whether the applicant has any disabilities that might inhibit job performance e. What the applicant's ancestry/ethnicity is Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 127. Shortly after she landed a corporate-level job at InfoBasis, Tanya was paired with a senior employee who told her she would be an advocate for Tanya's career advancement. This is an example of a(n) _____. a. coaching relationship b. sponsoring relationship c. employee resource group d. support group e. training relationship 128. Hopetech Industries has a corporate diversity plan that limits diversity to areas that do not change throughout a person's lifetime, such as race, gender, age, and disability. Hopetech's diversity plan follows which model of corporate diversity? a. Inclusive b. Exclusive c. Traditional d. Learning e. Static 129. Conolly Company uses internal recruiting whenever possible, a practice that _____. a. costs more than external recruiting b. decreases employee satisfaction c. generates increased employee commitment d. demotivates existing employees given limited socializing opportunities e. gives employees an upper hand in negotiations 130. Which of the following statements is most accurate? a. External recruiting generates higher employee commitment, development, and satisfaction than does internal recruiting. b. External selection generates higher employee commitment, development, and satisfaction than does internal selection. c. Internal recruiting generates higher employee commitment, development, and satisfaction than does external recruiting. d. Internal recruiting generates higher employee commitment, development, and satisfaction than does internal selection. e. Downsizing generates higher employee commitment, development, and satisfaction than does monetary rewards. 131. Seeing a homeless person and immediately thinking Get a job is an example of which of the following? a. Explicit bias b. Conscious bias c. Unconscious bias d. Monoculture e. Pluralism

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Chap 09_12e_Daft 132. Which of the following refers to all monetary payments in addition to all goods or commodities used in lieu of money to reward employees? a. Bonus b. Compensation c. Wages d. Incentive pay e. Point system 133. Which of the following provides more challenging assignments, prescribes new responsibilities, and helps employees grow by expanding and developing their abilities? a. Promotions b. Appraisals c. Evaluations d. Endorsements e. Coaching 134. Many companies today have grievance procedures and complaint review processes that are designed to _____. a. increase ethnocentrism b. restrict diversity c. facilitate and support diversity d. suppress pluralism e. increase affinity groups 135. In which process do employers attempt to determine if the job and the applicant fit each other? a. Matching b. Selection c. Interview d. Internship e. Application 136. Modern organizations use which of the following during recruiting? a. Realistic job previews b. Social media c. Internships d. Virtual recruiting e. All of these choices

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Chap 09_12e_Daft 137. Which of the following is NOT a selection device discussed in the text that is used for assessing applicant qualifications? a. Application form b. Interview c. Employment test d. Personality test e. Drug usage test 138. Language belongs in which model of diversity? a. Ethnorelativism b. Inclusive c. Traditional d. Pluralism e. Monoculture 139. Which federal law prohibits discrimination against qualified individuals by employers for a demand of "reasonable accommodation"? a. Civil Rights Act b. American with Disabilities Act c. Vocational Rehabilitation Act d. Family and Medical Leave Act e. Equal Pay Act 140. Which of the following is part of the new social contract for employees? a. Job security b. A cog in the machine c. Knowing d. Employability and personal responsibility e. Routine jobs 141. Which federal law prohibits discrimination based on physical or mental disability? a. Civil Rights Act b. Immigration Reform and Control Act c. Vocational Rehabilitation Act d. Age Discrimination in Employment Act e. Vietnam-Era Veterans Readjustment Act 142. Which of the following is a reason that women might hold themselves back in the workplace? a. They display too much confidence and credibility. b. Their network is too wide. c. They don't take responsibility for their success. d. Their try to change organizational cultures from within. e. None of these choices offer a reason that women might hold themselves back in the workplace. Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 143. Which of the following asks people to describe their previous life and work experiences? a. Biographical questions b. Situational questions c. Case questions d. Behavioral questions e. None of these choices 144. A real example of work that a person has produced or a live simulation of the job are both examples of a(n) _____. a. employment test b. work sample c. behavioral question d. structured interview e. personality question 145. Pizza Deluxe University is an in-house center and education facility that offers broad-based learning opportunities for employees. Pizza Deluxe University would be considered a(n) _____. a. assessment center b. on-the-job training center c. orientation center d. corporate university e. learning community 146. Which of the following describes an organization that accommodates several subcultures? a. Monocultural b. Pluralist c. Ethnorelative d. Geocentric e. Ethnocentric 147. Which of the following allows organizations to "test-drive" employees before determining whether or not they are suitable for a job? a. Social media b. External recruiting c. Internal recruiting d. Internship e. Realistic job preview

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Chap 09_12e_Daft 148. Trouser's Inc. top management is exclusively made up of older white males. Trouser's promotes from within, and top management is most comfortable with individuals who are similar to them. Women and minorities at this company who wish to be promoted are likely to experience which of the following? a. Pluralism b. The glass ceiling effect c. Rapid promotion and advancement d. Ethnorelativism e. All of these choices 149. Seror, a human resources manager at an advertising firm, is currently in the process of determining the value and worth of advertising executive positions within the agency. This process is referred to as _____. a. compensation b. rightsizing c. wage and salary surveying d. incentive pay e. job evaluation 150. Which of the following refers to different ideas, different viewpoints, different skill sets, and different ways of thinking and reasoning? a. Emotional diversity b. Inclusive diversity c. Behavioral diversity d. Cognitive diversity e. None of these choices 151. Which of the following is NOT a traditional model dimension of diversity? a. Age b. Gender c. Religious beliefs d. Physical ability e. Lifestyle 152. Which of the following is NOT a current strategic issue of particular concern to managers? a. Hiring the right people to become more competitive on a global basis b. Hiring the right people for improving quality, innovation, and customer service c. Hiring the right people to become more competitive on a local basis d. Knowing the right people to retain during mergers and acquisitions e. Hiring the right people to apply new information technology to the HRM process

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Chap 09_12e_Daft 153. Inclusive dimensions of diversity include which of the following? a. Income b. Nationality c. Pay level d. Work style e. All of these choices 154. Which of the following is defined as all the ways in which people differ? a. Multiplicity b. Diversity c. Seniority d. Culture e. Variation 155. Up to how many weeks of unpaid leave for childbirth, adoption, or family emergencies does the Family and Medical Leave Act require employers to provide? a. 8 b. 12 c. 16 d. 24 e. 52 156. Which of the following is the most common form of training? a. On-the-job b. Classroom c. Orientation d. Developmental e. External 157. From the employer's viewpoint, which of the following is part of the new social contract? a. Standard training programs b. Limited information c. Incentive compensation d. Routine jobs e. Skill development

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Chap 09_12e_Daft 158. Which of the following is defined as the process of someone engaging in regular conversations with an employee that facilitate learning and development by supporting strengths and overcoming obstacles to improve behavior and performance? a. Mentoring b. Sponsoring c. Coaching d. Providing feedback e. Training 159. Which of the following best describes inclusive dimensions of diversity? a. They have a greater impact than do primary dimensions. b. They are inborn. c. They can change throughout one's lifetime. d. They include such factors as gender. e. None of these choices describes inclusive dimensions of diversity. 160. Which of the following is another name for cognitive diversity? a. Diversity of thought b. Pluralism c. Behavioral diversity d. Ethnocentrism e. Ethnorelativism 161. A culture that accepts only one way of doing things and one set of values and beliefs is referred to as a _____. a. primary culture b. preferred culture c. dominating culture d. monoculture e. pluralist culture 162. Which of the following is NOT a dividend of workplace diversity? a. Reduced costs associated with high turnover and absenteeism b. Increased understanding of the marketplace c. Better use of employee talent d. Increased risk of lawsuits e. Enhanced quality of team problem solving

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Chap 09_12e_Daft 163. Rock Bottom, Inc. (RBI) has a relatively high turnover rate among its new employees. Recently, the human resource department conducted a series of interviews with employees who were choosing to leave RBI after a short period of time. It was concluded that employees left the job because they didn't realize how long the average workday was going to be when they were hired. RBI can begin to solve this problem by emphasizing _____. a. external recruiting b. affirmative action c. better training and development d. the use of realistic job previews e. employment-at-will 164. Which of the following is a part of the traditional approach to performance management? a. Continuous feedback b. Single-element assessment c. Multidimensional ratings d. Objective data e. Shorter-term goals 165. An ethnocentric perspective leads to _____. a. a monoculture b. diversity in the workplace c. pluralism d. ethnorelativism e. a global perspective 166. Which of the following measures an applicant's thinking abilities? a. Physical ability test b. Cognitive ability test c. Personality test d. Online check e. Social media use 167. Recruiting and selecting employees involves which human resource management goal? a. Implementing strategies b. Managing talent c. Maintaining an effective workforce d. Finding the right people e. Controlling strategies

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Chap 09_12e_Daft 168. Which of the following is a recruiting approach that gives applicants all pertinent and realistic information about the job and the organization? a. Reality check b. Affirmative action c. Realistic job preview d. Employment-at-will e. Chart selection approach 169. Which of the following is a category of sexual harassment? a. Inappropriate/offensive b. Coercion with threat of punishment c. Solicitation with promise of reward d. Generalized e. All of these choices 170. Which of the following is a process that uses multiple raters, including self-rating, to appraise employee performance and guide development? a. 360-degree feedback b. Job evaluation c. Multiple-rater appraisal d. Performance appraisal interview e. Homogeneity appraisal 171. Which of the following is one of two guidelines designed to even the odds that women and other underrepresented employees will get their foot onto the first rung? a. Allow women to lead projects with small teams and budgets. b. Start women in entry-level positions. c. Only hire employees that increase diversity. d. Offer development programs. e. None of these choices is designed to even the odds that women and other underrepresented employees will get their foot onto the first rung. 172. Which of the following outlines the knowledge, skills, education, physical abilities, and other characteristics needed to adequately perform the job? a. Realistic job preview b. Job analysis c. Job description d. Job specification e. Matching model

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Chap 09_12e_Daft 173. Which of the following means creating a climate in which the potential advantages of diversity related to organizational or group performance are maximized while the potential disadvantages are minimized? a. Managing diversity and inclusion b. Maxi-min approach c. Managing differentiation d. Advantageous approach e. Maximum benefit approach 174. Amir is a successful modern U.S. manager. Which of the following statements is he is most likely to believe to be true? a. Discrimination is the biggest diversity problem for his organization. b. Affirmative action is the biggest diversity problem for his organization. c. The differences diverse people bring to his organization are valuable. d. All employees in his organization should have similar values. e. Tokenism is a diversity issue that must be overcome immediately. 175. Which of the following is defined as incentive pay that ties at least part of compensation to employee effort and productivity? a. Pay-for-performance b. Seniority pay c. Universal compensation plan d. Cafeteria-plan e. Group performance pay 176. Pattie's Pancakes recently added a senior manager to help create a working environment that will help all of its employees work together effectively. This manager's position is most likely to be _____. a. chief operating officer b. chief diversity officer c. chief culture officer d. chief executive officer e. chief of Information and Cooperation 177. With most new employees in their late twenties or early thirties, Albertson & Sons Inc. has learned that regular conversations with new employees to facilitate learning and development pay off in the long term. This is an example of which type of diversity initiative or program? a. Expanding recruitment efforts b. Establishing sponsor relationships c. Providing personal coaching and feedback d. Providing diversity skills training e. Increasing awareness of sexual harassment

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Chap 09_12e_Daft 178. In schools, sexual harassment is prohibited by which of the following? a. Title VII of the Education Amendment of 1972 b. Title VII of the Civil Rights Act of 1991 c. Title VII of the Civil Rights Act of 1964 d. The Equal Employment Opportunity Council e. Title IV of the Education Reform Act 179. Phlex Plastic has a very strong set of corporate values. In fact, Phlex has been known to discourage the emergence of alternative values. Phlex is most likely _____. a. a diverse organization b. an organization that encourages pluralism c. a monoculture d. geocentric e. a minority-owned organization 180. Which of the following is the first promotion onto the management career ladder? a. Glass ceiling b. First rung c. Hierarchy step d. Business-line position e. Double jeopardy 181. Which of the following is a device for collecting information about an applicant's education, previous job experience, and other background characteristics? a. Employment test b. Assessment center c. Application form d. Affirmative action form e. Privacy form 182. According to the text, during the interview process, which of the following would improve your chances of getting the job? a. Talking too much b. Turning questions into conversations c. Failing to effectively close d. Stretching the truth e. Making a fashion statement

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Chap 09_12e_Daft 183. The strategic approach to human resource management recognizes key elements. Which of the following is NOT an ingredient in successful human resource management? a. All managers are human resource managers. b. Employees are viewed as assets. c. Human resource management is a matching process. d. Only top-line managers are predominantly human resource managers. e. All of these are examples of key ingredients in human resource management. 184. In utilizing the matching model of employee selection, which of the following is true? a. The organization offers contributions and the employee offers inducements. b. The organization offers inducements and the employee offers contributions. c. The organization offers contributions and the employee offers pay and benefits. d. The organization offers ability and the employee offers training. e. The organization offers skills and the employee offers rewards. 185. Organizations must find ways to eliminate the glass ceiling effect. One effective way to do this has been _____. a. through targeted recruitment b. through affirmative action c. to establish sponsor relationships d. through top management speeches e. to hire only white males 186. The belief that one's own group is superior to other groups is known as _____. a. ethnorelativism b. ethnocentrism c. pluralism d. geocentricism e. regiocentrism 187. Which of the following refers to learning informally through others, using tools like mobile technologies, wikis, and blogs? a. Mentoring b. Shadowing c. Social learning d. Apprenticeship e. Guiding

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Chap 09_12e_Daft 188. Zima does freelance work for a branding company and assists in creative design projects. Zima does not receive benefits and is paid less than regular employees at the company. In this scenario, what is Zima considered? a. A salaried employee b. A contingent worker c. A top manager d. A blind hire e. None of these choices 189. The forecasting of human resource needs and the projected matching of individuals with expected job vacancies is referred to as human resource _____. a. development b. organizing c. planning d. selection e. downsizing 190. Which of the following refers to attitudes or stereotypes that affect our understanding and actions without our conscious knowledge? a. Explicit bias b. Conscious bias c. Unconscious bias d. Discrimination e. Prejudice 191. Which of the following is defined as the activities undertaken to attract, develop, and maintain an effective workforce within an organization? a. Human resource management b. Recruitment c. Talent search d. Strategic management e. Operations management 192. Today, more than ever, strategic decisions are related to human resource considerations. Which of the following refers to the economic value of the knowledge, experience, skills, and capabilities of employees? a. Human capital b. Economic capital c. Contingency assets d. Capital assets e. Economic assets

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Chap 09_12e_Daft 193. Which of the following is defined as the process of observing and evaluating an employee's performance, recording the assessment, and providing feedback to the employee? a. Orientation training b. Classroom training c. A paper-and-pencil test d. A performance appraisal e. None of these choices 194. Which of the following is defined as a systematic process of gathering and interpreting information about the essential duties? a. Job analysis b. Job listing c. Job requirement d. Job description e. Realistic job preview 195. Which of the following is a summary of specific tasks, duties, and responsibilities for a particular job? a. Job analysis b. Job specification c. Job requirement d. Job description e. Realistic job previews 196. Which of the following may include intelligence tests, aptitude and ability tests, and personality inventories? a. Assessment tests b. Probability exams c. Employment tests d. Development tests e. Culture exams 197. Which of the following was the most common diversity initiative in a survey of Fortune 1000 respondents? a. Diversity-focused recruiting b. Training and education c. Community outreach d. Diversity policies e. None of these choices

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Chap 09_12e_Daft 198. Which of the following describes an organization that accommodates several subcultures, including employees who would otherwise feel isolated and ignored? a. Diversity b. A monoculture c. Ethnorelativism d. Ethnocentrism e. Pluralism 199. Which federal law requires employers to provide reasonable accommodations to help people with different mental and physical capabilities do their jobs? a. Vocational Rehabilitation Act b. Accountability Act c. Civil Rights Act d. Americans with Disabilities Act e. Patient Protection and Affordable Care Act 200. Women make up less than 7.4% of all Fortune 500 executives. This could be due to which of the following? a. Barriers to entry b. Affirmative action c. Equal opportunity d. The glass wall e. The glass ceiling 201. Which process do companies use to decide whether or not they want to hire a job applicant? a. Recruiting b. Training c. Selection d. Development e. Orientation 202. Which of the following questions is NOT relevant to human resource planning? a. What is the current turnover rate? b. How is business expected to grow over the next five years? c. Should we recruit externally or promote from within? d. How will new technology affect the organization? e. All of these are relevant questions for human resource planning. 203. The belief that groups are inherently equal is known as _____. a. ethnorelativism b. ethnocentrism c. pluralism d. geocentricism e. monoculturalism Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 204. Which of the following is NOT a method used in external recruiting? a. Online job boards and social media b. Employee referrals c. Advertising d. Employee resource chart e. State employment services 205. Recruiting methods that are used to promote the hiring, development, and retention of "protected groups" are examples of _____. a. equal employment opportunity b. affirmative action c. illegal discrimination d. unfair labor practices e. nepotism 206. Which federal law establishes mandatory safety and health standards in organizations? a. Occupational Safety and Health Act b. Consolidated Omnibus Budget Reconciliation Act c. Family and Medical Leave Act d. Americans with Disabilities Act e. Civil Rights Act 207. Which of the following may cause diverse employees to feel undue pressure to conform, to be victims of stereotyping attitudes, and to be presumed deficient because they are different? a. Diversity b. A monoculture c. Ethnorelativism d. Inclusion e. Pluralism 208. Stephanie is nervous about giving a presentation at the marketing firm where she works. One of her male coworkers told her, "Don’t be such a girl, attack that presentation!" Now Stephanie is so concerned about appearing tough that she can barely concentrate on the content of the presentation. Stephanie's anxiety stems from _____. a. a stereotype b. ethnocentrism c. plurality d. the glass ceiling threat e. the female advantage

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Chap 09_12e_Daft 209. On employee applications and during interviews, it is NOT appropriate to ask which of the following? a. If the applicant is of a particular race or skin color b. If the applicant is over 18 c. If the applicant has ever been convicted of a crime d. If the application has prior work experience e. If the applicant has a legal right to work in the United States 210. Which of the following is the second step in attracting individuals who show signs of becoming valued, productive, and satisfied employees? a. Selecting the candidate b. Choosing recruiting sources c. Applying the matching model d. Human resource planning e. Initiating change 211. Ivy has been given the assignment of determining how many new tellers her bank will need to hire over the next five years. Which of the following questions is irrelevant to her task? a. How many tellers are expected to retire over the next five years? b. What new technologies (e.g., automated teller machines) will be introduced over the next five years? c. How many new branches does the bank expect to open over the next five years? d. All of these questions are relevant. e. All of these questions are irrelevant. 212. All of the following are inclusive dimensions of diversity except _____. a. parents b. lifestyle c. income d. military experience e. age 213. Which hiring technique has a relentless focus on facts? a. Blind hiring b. Job analysis c. Algorithm-based hiring d. Building an employer brand e. All of these choices 214. In 2019, what percent of all U.S. workers were foreign-born? a. 4.3% b. 17.4% c. 25.5% d. 47.6% e. 60.2% Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 215. Matthew is Makena's supervisor. He threatens to fire her if she does not engage in sexual activity with him. This type of sexual harassment would be categorized as _____. a. coercion with threat of punishment b. solicitation with promise of reward c. appropriate d. generalized e. positional authority 216. All of the following are reshaping our workforce except _____. a. aging b. growth in Hispanic and Asian workers c. women outnumbering men d. growth in the foreign-born population e. a younger workforce 217. Compensation is linked to the specific tasks that an employee performs with which type of pay? a. Skill-based b. Incentive c. Job-based d. Salary e. Competency-based 218. Which of the following refers to the fact that women might be better managers because of their more collaborative approach? a. Glass ceiling b. Female advantage c. Bamboo ceiling d. First rung e. Double jeopardy 219. Jerica would like to become part of an elite manager network at her company so she can acquire general and line management experience to help her succeed within the company. However, she learns that the manager network is made up exclusively of men. This demonstrates which factor affecting women's careers? a. Female advantage b. Opt-out trend c. Glass ceiling d. Glass wall e. Opaque ceiling

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Chap 09_12e_Daft 220. Which of the following created the Equal Employment Opportunity Commission? a. Americans with Disabilities Act b. Civil Rights Act c. Equal Pay Act d. Vocational Rehabilitation Act e. Immigration Reform and Control Act 221. Traditional model dimensions of diversity include which of the following? a. Income b. Race c. Parental status d. Education e. Religious beliefs 222. Which of the following represents valuing cultural differences rather than stereotyping? a. Basing beliefs on false assumptions b. Assigning negative traits to members of a group c. Assuming that all members of a group have the same characteristics d. Not assuming that all individuals within a group have the same characteristics e. Basing beliefs on impressions without any direct experience with a group 223. An in-house facility that offers broad-based learning opportunities for employees is known as a _____. a. corporate university b. meta-training facility c. stand-and-deliver classroom d. learning management system e. content development facility 224. Which of the following prohibits discrimination on the basis of race, color, religion, national origin, and sex? a. Age Discrimination in Employment Act b. Title VII of the Civil Rights Act of 1964 c. Equal Pay Act of 1963 d. Americans with Disabilities Act e. Title VIII of the Civil Rights Act Amendment of 1972 225. Hiring and promotion decisions that are made based on criteria that are not job-relevant are called _____. a. affirmative action b. equal employment opportunity c. discrimination d. reverse discrimination e. employment-at-will

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Chap 09_12e_Daft 226. Laila was denied a promotion to partner in her accounting firm because of her gender. Laila is a victim of _____. a. discrimination b. affirmative action c. equal employment opportunity d. employment-at-will e. termination-at-will 227. Which of the following is another name for contingent workers? a. The shadow workforce b. The contingency economy c. The gig economy d. The employer brand e. None of these choices 228. Which of the following is defined as a rigid, exaggerated, irrational belief associated with a particular group of people? a. Label b. Prejudice c. Typecast d. Discrimination e. Stereotype 229. Which of the following is the highest level of sexual harassment? a. Generalized b. Inappropriate/offensive c. Sexual crimes and misdemeanors d. Solicitation with promise of reward e. Coercion with threat of punishment 230. Which of the following statements about sponsoring relationships is true? a. Women are less likely than minorities to develop sponsoring relationships. b. Minorities are more likely than women to develop sponsoring relationships. c. Men are less likely than women to develop sponsoring relationships. d. Women and minorities are less likely than men to develop sponsoring relationships. e. Whites are less likely than minorities to develop sponsoring relationships.

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Chap 09_12e_Daft 231. Which of the following is defined as a higher-ranking, senior organizational member who is committed to providing upward mobility and support to a protégé's professional career? a. Sponsor b. Mentor c. Expatriate d. Delegate e. Advisor 232. Which of the following is defined as activities or practices that define the characteristics of applicants to whom selection procedures are ultimately applied? a. Selection b. Recruiting c. Training d. Developing e. Planning 233. In a recent survey, what percent of women believed their gender played a role in a missed promotion or salary increase? a. 5% b. 16% c. 25% d. 51% e. 77% 234. Providing career opportunities and advancement for women and other employees from underrepresented groups to retain them is an example of which dividend of workplace diversity? a. Better use of employee talent b. Increased understanding of the marketplace c. Enhanced breadth of understanding among managers d. Better team problem solving e. Lower costs related to turnover, absenteeism, and lawsuits 235. Which of the following are used to help employers determine why employees are leaving their jobs? a. Termination interviews b. Focus groups c. Employment tests d. Exit interviews e. Assessment centers

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Chap 09_12e_Daft 236. Which performance appraisal method essentially evaluates employees by pitting them against one another? a. Performance review ranking system b. Semantic differential rating scale c. Behaviorally anchored rating scale d. Unidimensional rating scale e. All of these choices 237. Some sociologists and psychologists have proposed that if left to their own devices, people will automatically _____. a. ignore stereotypes b. value others' differences c. form diverse relationships d. discriminate e. create employee resource groups 238. Which of the following is the process of determining the value of jobs within an organization through an examination of job content? a. Job evaluation b. Pay-for-performance c. Compensation d. Performance appraisal e. 360-degree feedback 239. Which of the following asks people to describe how they have performed a certain task or handled a specific problem? a. Employment tests b. Work samples c. Behavioral questions d. Structured interviews e. Personality questions 240. Which of the following is based on social identity, such as gender or race, and is specifically organized within companies to focus on the concerns of employees from that group? a. Cohort b. Support group c. Employee resource group d. Sponsor relationship e. All of these choices

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Chap 09_12e_Daft 241. Which of the following terms is used to describe the double dose of discrimination that women of color face? a. Glass ceiling b. First rung c. Double jeopardy d. Second rung e. None of these choices 242. A policy requiring employers to take positive steps to guarantee equal employment opportunities for people within protected groups is known as _____. a. affirmative action b. blind hiring c. prejudice d. discrimination e. unequal opportunity Scenario - Greg Trout Greg Trout has just received a memo explaining that because of his department's success with the newly developed TemperTool, his request for three new employees has been approved. Greg now faces the challenge of working with human resource management in recruiting, selecting, training, and maintaining effective employees. 243. When making a performance appraisal, which of the following suggestions would NOT help Greg? a. Be personally knowledgeable about the employee's job and performance levels. b. Be prepared to tell and sell his view to the employee when necessary. c. Strive to provide regular, ongoing feedback on shorter-term goals. d. Focus on improvement of existing skills and development of new skills. e. All of these suggestions would be helpful.

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Chap 09_12e_Daft Scenario - Sarah's Sharks As the marketing director for Sarah's Sharks, Rosa Riviera is particularly aware of diversity within the firm's clients in the marketplace. As a successful woman manager, she is also sensitive to the importance of diversity among employees at Sarah's Sharks. 244. Rosa has recognized that valuing diversity is good for her organization. She would agree that the dividends of diversity include all of the following reasons except _____. a. it increases understanding of the marketplace b. it better uses employee talent c. it increases the quality of team problem solving d. it is mandated by ethical responsibility e. it reduces costs associated with high turnover, absenteeism, and lawsuits

245. In training employees for the new positions, Greg will apply which human resource management goal? a. Implementing strategies b. Developing talent c. Maintaining an effective workforce d. Finding the right people e. Controlling strategies

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Chap 09_12e_Daft Scenario - Greg Trout Greg Trout has just received a memo explaining that because of his department's success with the newly developed TemperTool, his request for three new employees has been approved. Greg now faces the challenge of working with human resource management in recruiting, selecting, training, and maintaining effective employees. 247. To select high-potential individuals for management positions, which of the following is the best selection device that Greg could use? a. Nondirective interview b. Social media review c. Structured interview d. Physical ability test e. Job application form

248. Name five dividends of workplace diversity.

249. Rosa would like to form a women's leadership group to help other women at Sarah's Sharks advance within the company. The group would focus on the various concerns pertaining to women. This group would best be described as a(n) _____. a. focus group b. diversity team c. self-help group d. employee resource group e. multicultural team

250. List the three most common types of employment tests that organizations may use to select employees.

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Chap 09_12e_Daft 251. List the five categories or forms of sexual harassment.

252. List the most frequently used selection devices.

253. Name two factors that negatively affect women's career advancement.

Scenario - Sarah's Sharks As the marketing director for Sarah's Sharks, Rosa Riviera is particularly aware of diversity within the firm's clients in the marketplace. As a successful woman manager, she is also sensitive to the importance of diversity among employees at Sarah's Sharks. 254. Rosa can enjoy higher success through diversity by accommodating employees' special needs. Which of the following is NOT a valid strategy in this scenario? a. Reassess job scheduling and child-care policies for single parent employees. b. Provide training material and information packages in foreign languages for non-Englishspeaking employees. c. Provide paternity and maternity leave and flexible hours for dual-income families. d. Provide long-term care and life benefits for elderly or disabled workers. e. All of these choices are valid strategies.

255. List three key questions that should be asked during the human resource planning process.

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Chap 09_12e_Daft 256. What are the three primary goals of human resource management (HRM)?

Scenario - Greg Trout Greg Trout has just received a memo explaining that because of his department's success with the newly developed TemperTool, his request for three new employees has been approved. Greg now faces the challenge of working with human resource management in recruiting, selecting, training, and maintaining effective employees. 257. In recruiting and selecting employees for the new positions, Greg will apply which human resource management goal? a. Implementing strategies b. Developing talent c. Maintaining an effective workforce d. Finding the right people e. Controlling strategies

258. What is the difference between ethnocentrism and ethnorelativism?

259. Explain the Americans with Disabilities Act.

260. Explain the purpose of the selection process and identify four of the most frequently used selection devices.

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Chap 09_12e_Daft 261. Name and briefly define four approaches to training and development.

262. Briefly explain the concept of a glass ceiling.

263. Define workforce diversity. Describe the traditional and inclusive dimensions of diversity.

264. Though companies with senior-level women generally outperform those without, women-led companies still represented only 7.4% of the total Fortune 500 companies, and, as a group, women make lower wages and get promoted at a slower rate than men. Summarize the factors that seem to inhibit women's career advancement opportunities. Then state your opinion regarding why these factors are still so powerful and what will need to happen in order for women to experience greater success in the corporate world.

265. Today many companies recognize that supporting diversity in the workforce is not only the right thing to do, but it also creates the best results. Explain how diversity is being defined today and note the benefits to both the employer and employee when diversity is properly managed.

266. The legal, social, and regulatory environment is constantly changing, and an organization's HR needs must be managed within that context. Based on the relevant laws you studied in the text, describe some changes in social trends and values in the United States and the resultant federal legislation that affects the workplace.

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Chap 09_12e_Daft 267. List and describe the five forms of sexual harassment.

268. Effective managers must learn to react to staffing problems in their organization as they arise. If you were the manager of a manufacturing plant, what factors would you consider in determining your staffing needs over the next year, five years, and ten years? When is the right time to address staffing needs?

269. After a qualified pool of job candidates has been recruited, a hiring manager must go through the selection process—choosing the best candidate for the job. Some managers feel that they should look at an applicant's social media profile(s) to get a better sense of the applicant. Explain why you think this is or is not an appropriate part of the selection process. Be sure to consider both sides of the issue—the hiring manager's needs and the applicant's rights. Your answer should include alternate methods of screening.

270. The demographic makeup of the workforce—meaning the pool of capable people who can and want to be employed—is constantly changing, and employers need to respond appropriately. Give some examples of changes in the workforce and how companies have or have not kept pace with these changes. What do you think progressive companies should do to capitalize on these changes?

271. In response to a global, multicultural environment, many organizations are implementing initiatives to manage diversity. Describe the value of changing organizational structure, policy, and programs to facilitate and support diversity.

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Chap 09_12e_Daft 272. Human resource management (HRM) involves those systems in an organization that are designed to make sure human talent is used effectively and efficiently to further organizational goals. Describe the three key elements that characterize a strategic approach to HRM, and address how these elements relate to the strategic issues that managers are faced with today.

273. Describe the concept of changing social contract by differentiating between the new and the old contract.

274. What are four strategic HR issues of particular concern to managers today?

275. Explain the appraisal process known as 360-degree feedback.

276. After a workforce has been recruited, selected, and developed, it must be maintained. Defend the concept that an organization's compensation structure is as important as rightsizing in maintaining an effective workforce.

277. Describe how to maintain an effective workforce.

278. Define discrimination and affirmative action.

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Chap 09_12e_Daft 279. Employee resource groups focus on concerns of employees who share a social identity. Explain how resource groups benefit employees, as well as the companies that sponsor them. Include some practical suggestions on how to start an affinity group.

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Chap 09_12e_Daft Answer Key 1. True 2. False 3. False 4. False 5. False 6. True 7. True 8. True 9. False 10. True 11. True 12. False 13. True 14. False 15. False 16. False 17. True 18. True 19. False 20. True 21. False 22. False 23. True 24. True 25. True 26. True

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Chap 09_12e_Daft 27. True 28. False 29. False 30. True 31. False 32. True 33. True 34. True 35. False 36. False 37. True 38. True 39. False 40. True 41. True 42. False 43. False 44. True 45. True 46. True 47. False 48. True 49. False 50. True 51. True 52. False 53. False 54. True Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 55. False 56. True 57. True 58. False 59. False 60. False 61. True 62. True 63. False 64. True 65. True 66. False 67. True 68. False 69. False 70. False 71. True 72. False 73. True 74. True 75. False 76. True 77. True 78. False 79. False 80. True 81. False 82. False Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 83. True 84. b 85. e 86. e 87. a 88. c 89. b 90. a 91. c 92. e 93. b 94. c 95. b 96. a 97. d 98. e 99. a 100. a 101. e 102. c 103. e 104. d 105. a 106. c 107. a 108. b 109. d 110. e Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 111. d 112. b 113. d 114. b 115. d 116. b 117. d 118. a 119. e 120. c 121. e 122. d 123. d 124. d 125. e 126. e 127. b 128. c 129. c 130. c 131. c 132. b 133. a 134. c 135. b 136. e 137. e

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Chap 09_12e_Daft 138. b 139. b 140. d 141. c 142. c 143. a 144. b 145. d 146. b 147. d 148. b 149. e 150. d 151. c 152. c 153. e 154. b 155. b 156. a 157. c 158. c 159. c 160. a 161. d 162. d 163. d 164. b 165. a Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 166. b 167. d 168. c 169. e 170. a 171. d 172. d 173. a 174. c 175. a 176. b 177. c 178. a 179. c 180. b 181. c 182. b 183. d 184. b 185. c 186. b 187. c 188. b 189. c 190. c 191. a 192. a 193. d Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 194. a 195. d 196. c 197. d 198. e 199. d 200. e 201. c 202. c 203. a 204. d 205. b 206. a 207. b 208. a 209. a 210. b 211. d 212. e 213. c 214. b 215. a 216. e 217. c 218. b 219. c 220. b 221. b Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 222. d 223. a 224. b 225. c 226. a 227. a 228. e 229. c 230. d 231. a 232. b 233. c 234. a 235. d 236. a 237. d 238. a 239. c 240. c 241. c 242. a 243. b 244. d 245. b 246. c 247. c 248. (1) Better use of employee talent; (2) Increased understanding of the marketplace; (3) Enhanced breadth of understanding in leadership positions; (4) Increased quality of team problem solving; and (5) Reduced costs associated with high turnover, absenteeism, and lawsuits Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 249. d 250. (1) cognitive ability tests, (2) personality tests, and (3) brain teasers 251. (1) generalized, (2) inappropriate/offensive, (3) solicitation with promise of reward, (4) coercion with threat of punishment, and (5) sexual crimes and misdemeanors 252. The most frequently used selection devices are the application form, the interview, and employment tests. 253. (1) glass ceiling and (2) first rung 254. e 255. (1) What new technologies are emerging, and how will these affect the work system? (2) How much is the volume of the business likely to change in the next five to ten years? (3) What is the turnover rate, and how much, if any, is avoidable? 256. (1) Find the right people. (2) Develop the workforce to reach its potential. (3) Maintain the effectiveness of the workforce over the long run. 257. d 258. Ethnocentrism is the belief that your own group or subculture is inherently superior to other groups or subcultures. In contrast, the belief that different groups and subcultures are inherently equal and that none are inherently better or worse is known as ethnorelativism. 259. The Americans with Disabilities Act (ADA) was passed in 1990. It prohibits discrimination against qualified individuals by employers on the basis of disability. It may require that the organization provide reasonable accommodations for the disabled to allow performance of essential job duties. 260. The purpose of the selection process is to select desired employees from the pool of recruited applicants. Employers attempt to determine the best fit between the job requirements and applicant capabilities. Four of the most frequently used selection devices are application forms, interviews, employment tests, and social media checks. 261. Four approaches to training and development include (1) on-the-job training, (2) corporate universities, (3) social learning, and (4) promotion from within. On-the-job training occurs when an experienced employee "adopts" a new employee to teach them how to perform job duties. Corporate universities are in-house training and educational facilities that offer broad-based learning opportunities for employees. Social learning involves letting employees learn informally from each other. Promotion from within provides people with more challenging assignments, prescribes new responsibilities, and helps employees grow by expanding and developing their abilities. 262. The glass ceiling is an invisible barrier that exists for women that limits their upward mobility in organizations. Prevailing attitudes and subtle biases are obstacles that combine to prevent significant vertical movement to women, and in particular, women of color. 263. Workforce diversity means the hiring and inclusion of people with different human qualities or who belong to various cultural groups. The dimensions of diversity shown in the traditional model include inborn differences that are immediately observable, such as race, gender, age, and physical ability. However, the inclusive model of diversity includes all the ways in which employees differ, including aspects of diversity that can be acquired or changed throughout one's lifetime.

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Chap 09_12e_Daft 264. Student responses will vary. Factors that inhibit women careers include the glass ceiling (prevailing attitudes and stereotypes that create an invisible barrier that limits upward mobility; also applies to minorities), body language, and patterns of behavior and communication that differ from white men (they generally do not toot their own horn, they seek a mentor, they do not speak up assertively, they smile and wait their turn). Students should mention building on the factors that advance careers such as the female advantage (they are naturally more collaborative, relationshiporiented, motivational, and verbally competent—things necessary and expected in a multicultural environment). 265. Diversity includes all the ways that employees differ, not just in the traditional elements of race, gender, religion, and nationality but also personality and communication differences and cultural experiences. Managing diversity means creating a work environment where advantages of diversity are maximized and disadvantages are minimized, such as making sure that all members of a team feel appreciated for their unique perspective. Employees who feel valued respond with loyalty, cooperation, and trustworthiness. Companies with workplace diversity gain the dividends of better use of employee talent; increased understanding of the marketplace; enhanced breadth of understanding in leadership positions; increased quality of team problem solving; and reduced costs associated with turnover, absenteeism, and lawsuits. 266. Changes in how discrimination, employee health and safety, and sexual harassment are viewed have led to equal employment opportunity (EEO) legislation, compensation and benefits laws, and health and safety laws. Federal legislation and what it applies to is as follows: Civil Rights Act of 1964—racial, gender, religious, national origin, color discrimination in the workplace Health Insurance Portability Accountability Act (HIPPA) of 1996—employee health plans when they switch jobs and have preexisting conditions Family and Medical Leave Act of 1993—unpaid leave for childbirth or family issues Americans with Disabilities Act of 1990—discrimination against a qualified disabled person and reasonable accommodations for same Occupational Safety and Health Act (OSHA) of 1970—mandatory safety and health standards in the workplace Patient Protection and Affordable Care Act (PPACA) of 2010—mandatory health insurance for employees HR managers must be cognizant of these laws and the remedies in place when they are broken (e.g., affirmative action when discrimination is found). 267. The five forms of sexual harassment are: (1) generalized, (2) inappropriate/offensive, (3) solicitation with promise of reward, (4) coercion with threat of punishment, and (5) sexual crimes and misdemeanors. 1. Generalized: This form involves sexual remarks and actions that are not intended to lead to sexual activity but that are directed toward a coworker based solely on gender and reflect on the entire gender group. 2. Inappropriate/offensive: Although not sexually threatening, the behavior causes discomfort in a coworker, whose reaction in avoiding the harasser may limit his or her freedom and ability to function in the workplace. 3. Solicitation with promise of reward: This action treads a fine line as an attempt to "purchase" sex, with the potential for criminal prosecution. 4. Coercion with threat of punishment: The harasser coerces a coworker into sexual activity by using the threat of power (through recommendations, grades, promotions, and so on) to jeopardize the victim's career. 5. Sexual crimes and misdemeanors: The highest level of sexual harassment, these acts would, if reported to the police, be considered felony crimes or misdemeanors.

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Chap 09_12e_Daft 268. Effective managers must learn to look at the big picture, forecast the organization's staffing needs for the immediate and long-term future, and plan ahead. Human resource planning means considering things like new emerging technologies and how they will affect the work system; anticipated growth of an organization in five to ten years; anticipated job vacancies; what type and number of personnel will be needed then; and how many workers can be temporary, part-time, or virtual. 269. Student responses will vary. Selection requires an assessment of applicant skills and abilities to determine the best fit for the open position. Regardless of whether a student agrees or disagrees with using social media profiles as part of the screening process, the student's answer should demonstrate consideration of both the hiring manager's need for information and the applicant's right to privacy. Application forms, interviews of various kinds, employment tests (cognitive, personality, physical ability), and online checks are all alternate screening methods that could be used. 270. Today's workforce is predominantly female, is multigenerational, holds vastly different values across eras, is aging, and is increasing in terms of the number of foreign-born workers. Some corporations have kept pace, while others have not, as evidenced by various EEOC lawsuits brought against employers who repeatedly violate employment opportunity laws (in the United States). While women outnumber men in the workplace, they still face significant challenges. For instance, in Japan, women make up only 1.2% of senior executives. Progressive companies should establish programs that actively recruit women and minorities for responsible positions and should also recognize the need to understand local cultures and deal with them appropriately. 271. Initiatives and programs that support diversity improve employee morale, decrease conflict, tap into new client markets, and create a broader base of creative talent; policies and penalties put in place increase awareness of and protect against discrimination and sexual harassment; institutionalized mentoring programs can nurture career development by facilitating cross-race mentoring and comply with the Civil Rights Act of 1991. 272. All managers are involved in managing HR; employees are assets since no strategy can be implemented without them; and HRM seeks to match organizational goals with the human capital that can best help to accomplish them. Employees have economic value. Human capital is built when HRM develops strategies for finding the best people, enhancing their skills and knowledge (with opportunities for training and personal and professional development), and providing desirable compensation and benefits. Some strategic issues today include, but are not limited to: hiring the people who can help the company compete globally; hiring the right people for improving quality, innovation, and customer service; hiring the right people to apply new information technology (IT) to HRM processes; and knowing which employees should be retained and which should be downsized. 273. In the old social contract between organization and employee, the employee could contribute ability, education, loyalty, and commitment and expect in return that the company would provide wages and benefits, work, advancement, and training throughout the employee's working life. The new social contract is based on the concept of employability rather than lifetime employment. Individuals are responsible for developing their own skills and abilities and demonstrating their value to the organization. The employer, in turn, invests in creative training and development opportunities so that people will be more employable when the company no longer needs their services. This means offering challenging work assignments, opportunities to participate in decision making, and access to information and resources. In addition, an important challenge for HRM is revising performance evaluation, compensation, and other practices to be compatible with the new social contract. 274. Four strategic HR issues of particular concern to managers today include: 1. Hiring the right people to become more competitive on a global basis 2. Hiring the right people for improving quality, innovation, and customer service 3. Knowing the right people to retain after mergers, acquisitions, or downsizing 4. Hiring the right people to apply new information technology (IT) to the HRM processes Copyright Cengage Learning. Powered by Cognero.

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Chap 09_12e_Daft 275. 360-degree feedback is a process that uses multiple raters, including self-rating, as a way to increase awareness of strengths and weaknesses and guide employee development. Members of the appraisal group may include supervisors, coworkers, and customers, as well as the individual, thus providing a holistic view of the employee's performance. 276. Compensation includes wages (bonuses and incentives), salaries, and benefits (paid vacation, company health club, health insurance) and serves to attract and retain talented workers and keep up morale if compensation is seen as fair and equitable. While changing environments sometimes calls for a workforce to be reduced intentionally according to existing situations (rightsizing) so that the company is ultimately made stronger and more competitive, it can only do so when backed by a team of talented workers, who tend to be attracted to organizations with effective reward systems. Because of this, a company's reward system also has an impact on strategic performance. 277. An effective workforce is maintained as follows: 1. Compensation helps attract and retain talented workers. 2. The wage and salary system stimulates employee performance. 3. Benefits required by law and those not required are considered part of compensation and are often used to attract and maintain an effective workforce. 4. Termination maintains an effective workforce through dismissing low-performing workers and gathering information through exit interviews in order to reduce future turnover. 278. Discrimination is the hiring or promoting of applicants based on criteria that are not job-relevant. Affirmative action is a policy requiring employers to take positive steps to guarantee equal employment opportunities for people within protected groups. 279. Employee resource groups provide opportunities for networking, mentoring, training, and community volunteering, particularly for those groups traditionally disenfranchised in the workplace; reduce social isolation and enable members to achieve at a higher level; increase engagement, pride, and optimism in those who are part of a supportive group; aid organization efforts to recruit diverse talent; and help retain managerial-level minority employees. Ways to start an employee resource group include reaching out to others with similar needs and experiences, organizing meetings and events that allow group members to get to know each other, and setting goals and objectives for the group.

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Chap 10_12e_Daft Indicate whether the statement is true or false. 1. Machiavellianism is characterized by the acquisition of power and the manipulation of other people for purely personal gain. a. True b. False 2. Self-serving bias occurs when people give themselves too much credit for what they do well and give external forces too much blame when they fail. a. True b. False 3. A change in behavior or performance that occurs as the result of experience is known as perception. a. True b. False 4. Organizing the selected data into patterns for interpretation and response is the last step in the perception process. a. True b. False 5. The degree to which a person is able to get along with others by being good-natured, likable, cooperative, forgiving, understanding, and trusting is known as agreeableness. a. True b. False 6. Self-management means being aware of what you are feeling. a. True b. False 7. The degree to which a person is outgoing, sociable, assertive, and comfortable with interpersonal relationships is known as extroversion. a. True b. False 8. An emotion can be thought of as a mental state that arises spontaneously within a person based on interaction with the environment rather than through conscious effort and is often accompanied by physiological changes or sensations. a. True b. False 9. The degree to which a person is calm, enthusiastic, and self-confident, rather than tense, depressed, moody, or insecure is known as emotional stability. a. True b. False

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Chap 10_12e_Daft 10. Job satisfaction is work behavior that goes beyond job requirements and contributes as needed to the organization's success. a. True b. False 11. From an attributions viewpoint, if you judge a person to be careless and lazy, you are making an internal attribution about them. a. True b. False 12. Self-management is not a component of emotional intelligence. a. True b. False 13. The cognitive process people use to make sense out of the environment by selecting, organizing, and interpreting information is known as attribution. a. True b. False 14. The Myers-Briggs Type Indicator is a personality test that measures a person's preference for introversion versus extroversion, sensation versus intuition, thinking versus feeling, and judging versus perceiving. a. True b. False 15. Organizations don't want to lose talented, highly skilled workers, so they try to create an atmosphere of job satisfaction. a. True b. False 16. Perceptual distortions appear when two people select and organize sensory data in the same way. a. True b. False 17. Loyalty to and heavy involvement in one's organization is referred to as organizational commitment. a. True b. False 18. The last step in getting organized is to empty your head. a. True b. False 19. Low Machs are particularly good in jobs that require bargaining skills or that involve substantial rewards for winning. a. True b. False

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Chap 10_12e_Daft 20. Senior managers are always more effective when they are introverts. a. True b. False 21. The ability to connect to others, build positive relationships, respond to the emotions of others, and influence others is referred to as relationship management. a. True b. False 22. A halo blinds the perceiver to other attributes that should be used in generating a more complete assessment. a. True b. False 23. According to research, an individual's personality has no effect on how they respond to stressors. a. True b. False 24. During lunch Luis's friend Benjamin tells Luis that he got an A on his midterm. Luis believes Benjamin received such a high grade because his teacher likes him and gave him extra points for no reason. This is an example of an internal attribution. a. True b. False 25. Tulah is highly imaginative and an artistically sensitive individual who displays a high degree of creativity. According to the Big Five personality factors, these qualities describe her openness to experience. a. True b. False 26. The degree to which a person is focused on a few goals, thus behaving in ways that are responsible, dependable, persistent, and achievement oriented is known as conscientiousness. a. True b. False 27. Self-confidence refers to a general assurance in one's own ideas, judgment, and capabilities. a. True b. False 28. The three options in getting things done are: do it, delegate it, or defer it. a. True b. False 29. Social awareness is the ability to connect to others, build positive relationships, respond to the emotions of others, and influence others. a. True b. False

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Chap 10_12e_Daft 30. Jorge thinks that his brother Javis got a C on his midterm because he is not very smart. This is an example of an internal attribution. a. True b. False 31. The sensation-thinking style prefers dealing with theoretical or technical problems. a. True b. False 32. Challenge stressors tend to burn people out, while threat stressors fire them up. a. True b. False 33. Role ambiguity is defined as a lack of clarity about what task behaviors are expected of a person in a particular role. a. True b. False 34. The tendency to see one's own personal traits in other people is known as attribution. a. True b. False 35. An internal attribution claims that something about a situation has caused a person's behavior. a. True b. False 36. Self-efficacy is an individual's strong belief that they can accomplish a specific task or outcome successfully. a. True b. False 37. You, as an individual, are primarily responsible for finding your work–life balance. a. True b. False 38. Recent surveys indicate that the majority of working individuals strongly trust their top management. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 39. Being clear about exactly what you need to do is a part of which principle to manage commitments effectively? a. Clarity of mind b. Clarity of objectives c. An organized system d. None of these choices e. All of these choices Copyright Cengage Learning. Powered by Cognero.

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Chap 10_12e_Daft 40. The ability to understand others, practice empathy, and recognize what others are feeling without them needing to tell you is known as _____. a. social awareness b. self-management c. self-awareness d. relationship management e. self-efficacy 41. Ethan can accurately assess his own strengths and limitations and has a healthy sense of self-confidence. Ethan therefore has a high degree of _____. a. social awareness b. self-management c. self-awareness d. relationship management e. self-efficacy 42. Creating a list of "next actions" is an example of which step to managing your time? a. Empty your mind. b. Decide the next action. c. Get organized. d. Perform a weekly review. e. Do it. 43. Surveys indicate that top contributors to job satisfaction include which of the following? a. Job security b. Fast career advancement c. Competitive pay d. Organized management e. None of these choices 44. At Jaylen's company, employees are required to complete an annual review. During this annual review, every employee completes a survey that analyzes key aspects about themselves. The reports give them and the company valuable information. This year, Jaylen learned from his survey results that he has great strength in communication but can often be impatient with his colleagues. This provides Jaylen a focus point for improvement throughout the next year. This situation is an example of _____. a. self-efficacy b. self-confidence c. self-assessment d. job satisfaction e. introspection

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Chap 10_12e_Daft 45. In what stage of the perception process are individuals likely to put things into patterns? a. Selecting b. Projecting c. Organizing d. Sensing e. Reasoning 46. The second step in the perception process is to _____. a. observe information via the senses b. organize the selected data into patterns for interpretation and response c. screen the information and select what to process d. identify mistakes in information e. assign meaning to the data we perceive 47. A 2019 survey found that which percent of U.S. employees said they were satisfied at work? a. 15% b. 26% c. 37% d. 54% e. 77% 48. People generally experience which of the following when their work matches their needs and interests, when working conditions and rewards (such as pay) are satisfactory, and when the employees like their coworkers? a. Job involvement b. Extroversion c. Cognitive dissonance d. Machiavellianism e. Job satisfaction 49. A widely used personality test that measures how people differ on all four of Jung's sets of paired opposites is known as the _____. a. Keirsey Personality Test b. Myers-Briggs Type Indicator c. Eysenck Personality Test d. Enneagram Personality Type Detector e. Oxford Capacity Analysis

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Chap 10_12e_Daft 50. Which of the following is defined as the set of characteristics that underlie a relatively stable pattern of behavior in response to ideas, objects, or people in the environment? a. Dissonance b. Personality c. Halo effect d. Attitude e. Perception 51. People who focus on general views, broad themes, and feelings most likely have which of the following problem-solving styles? a. All of these choices b. Sensation-feeling c. Sensation-thinking d. Intuitive-thinking e. Intuitive-feeling 52. Which of the following styles would likely be most appropriate for a counseling job? a. Intuitive-feeling b. Sensation-thinking c. Intuitive-thinking d. Sensation-feeling e. None of these choices 53. The tendency to underestimate the influence of external factors on another's behavior and to overestimate the influence of internal factors is called the _____. a. halo effect b. fundamental attribution error c. self-serving bias d. perceptual distortion effect e. stereotyping effect 54. Which of the following is a way for managers to promote organizational commitment? a. Making work difficult b. Punishing poor performance c. Creating more rules d. Giving more rewards e. Being honest

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Chap 10_12e_Daft 55. Which of the following refers to an individual's passion and persistence for achieving a long-term goal? a. Machiavellianism b. Emotional stability c. Grit d. Authoritarianism e. Extroversion 56. The tendency to overestimate the influence of internal factors to the success of another is part of which perceptual bias? a. Projection b. Fundamental attribution error c. The halo effect d. Figure ground e. Selective perception 57. Which type of people, according to Jung, would rather work with known facts and hard data and prefer routine and order in gathering information? a. Feeling b. Gut-feel c. Intuitive d. Sensation e. Affective 58. Which of the following terms is used to describe how the human mind reacts more quickly and strongly to perceived bad things than it does to good things? a. Positivity bias b. Self-serving bias c. Halo effect d. Negativity bias e. Fundamental attribution error 59. People with which of the following characteristics are able to maintain their commitment to a long-term goal and push through setbacks and disappointments? a. Problem-solving skills b. Machiavellianism c. Authoritarianism d. Grit e. None of these choices

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Chap 10_12e_Daft 60. Which of the following is a stressor associated with relationships in the organization? a. An interpersonal demand b. Role conflict c. Role ambiguity d. Resilience e. A task demand 61. When you can accurately assess your own strengths and limitations and have a healthy sense of selfconfidence, you have a high degree of _____. a. self-management b. social cohesiveness c. social awareness d. relationship management e. self-awareness 62. A survey of employees worldwide done by The New York Times and the Harvard Business Review found that people with a manager who created a clear and inspiring vision were _____. a. 10% more satisfied with their jobs and 30% more likely to stay with the company b. 20% more satisfied with their jobs and 50% more likely to stay with the company c. 50% more satisfied with their jobs and 50% more likely to stay with the company d. 70% more satisfied with their jobs and 100% more likely to stay with the company e. 95% more satisfied with their jobs and 150% more likely to stay with the company 63. Which of the following is defined as attributes of ourselves that we aren't aware of or don't recognize as problems? a. Self-awareness b. Blind spots c. Hidden characteristics d. Self-efficacy e. None of these choices 64. Jason has a successful career in negotiating. Which of the following problem-solving styles does Jason most likely have? a. Sensation-feeling b. Sensation-thinking c. Intuitive-thinking d. Intuitive-feeling e. None of these choices

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Chap 10_12e_Daft 65. The Big Five personality factors includes all of the following except _____. a. extroversion b. conscientiousness c. emotional stability d. locus of control e. agreeableness 66. An individual's strong belief that he or she can successfully accomplish a specific task or outcome is referred to as _____. a. locus of control b. self-confidence c. self-efficacy d. perceptual selectivity e. cognitive dissonance 67. Cara believes that all managers are concerned only about profits—they don't care about their employees, as long as those employees make money for the company. She has made a generalization about a group of people and assigned that generalization to everyone in the group. Cara's perception is known as a(n) _____. a. stereotype b. halo effect c. attribution d. fundamental attribution error e. self-serving bias 68. Which of the following components of emotional intelligence is crucial for pursuing long-term goals? a. Social awareness b. Self-management c. Self-awareness d. Relationship management e. Self-efficacy 69. Which of the following is a mental state that arises spontaneously within a person based on interaction with the environment rather than through conscious effort? a. A characteristic b. An emotion c. A perception d. A perceptual distortion e. An emotional contagion

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Chap 10_12e_Daft 70. All of the following are tactics for promoting stronger organizational commitment except _____. a. maintaining a secretive culture b. being honest and trustworthy in business dealings c. giving employees a say in business decisions d. treating employees fairly e. offering employees rewards that they value 71. A physiological and emotional response to stimuli that place physical or psychological demands on an individual is called _____.

a. an emotion b. stress c. an interpersonal demand d. resilience e. a task demand 72. Metta bases her judgments on impersonal analysis. To resolve problems at work, she uses reason and logic rather than personal values or emotional aspects of the situation. In gathering information, Metta prefers routine and order. Based on this information, Metta ranks highly in which Myers-Briggs category? a. Judging-perceiving b. Intuitive-thinking c. Sensation-thinking d. Sensation-feeling e. Intuitive-feeling 73. Which of the following is the first step in the perception process? a. Contrast b. Attribute c. Reason d. Observe e. Stereotype 74. The cognitive process people use to make sense out of an environment by selecting, organizing, and interpreting information is called _____. a. selective retention b. dissonance c. attitude d. perception e. personality

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Chap 10_12e_Daft 75. Ebony is described by her managers as being responsible, dependable, persistent, and achievement oriented. In this scenario, Ebony is portrayed as having a high degree of _____. a. extroversion b. agreeableness c. conscientiousness d. emotional stability e. openness to experience 76. Reflecting on our own experiences, examining the effects of our actions and behavior, and looking at the consequences for ourselves and others are all examples of _____. a. self-efficacy b. self-confidence c. introspection d. job satisfaction e. self-awareness 77. An overall impression of a person or situation based on one attribute, either favorable or unfavorable, is known as _____. a. projection b. the halo effect c. perceptual defense d. stereotyping e. attribution 78. If Ben is tense, nervous, depressed, and insecure, he would tend to be rated as low on which of the following factors? a. Agreeableness b. Conscientiousness c. Emotional stability d. Openness to experience e. Extroversion 79. Canyon River, Inc., is looking for an individual who has a broad range of interests and is imaginative, creative, artistically sensitive, and willing to consider new ideas. Which of the following factors is it emphasizing in its search? a. Agreeableness b. Conscientiousness c. Emotional stability d. Openness to experience e. Extroversion

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Chap 10_12e_Daft 80. Which of the following is a stressor arising from the tasks required of a person holding a particular job? a. An interpersonal demand b. Role conflict c. Role ambiguity d. Resilience e. A task demand 81. Which type of conflict occurs when an individual perceives incompatible demands from others? a. Attitude b. Role c. Personality d. Perception e. Ability 82. Brittney is a talkative, assertive, and sociable individual who is very comfortable with interpersonal relationships. Which of the following applies to Brittney in this scenario? a. Machiavellianism b. Conscientiousness c. Agreeableness d. Emotional stability e. Extroversion 83. Seeking positions of power and responsibility, Cathlene has rapidly moved up the ranks within her organization. She believes that power and status differences should exist within her organization, and she tends to be concerned with power and toughness. Based on this description, Cathlene has which of the following personality traits? a. High authoritarianism b. Low Mach c. Grit d. Low authoritarianism e. High Mach 84. A recent trend allows employees to "work out" while they work. Companies are installing treadmill desks so that employees can perform daily tasks while walking. This initiative is an example of companies helping employees to _____. a. decrease resilience b. increase stress c. decrease role ambiguity d. increase resilience e. decrease role conflict

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Chap 10_12e_Daft 85. Errors in perceptual judgment that arise from inaccuracies in any part of the perception process are called _____. a. blind spots b. attributions c. fundamental attribution errors d. percentual distortions e. self-serving biases 86. Organizing selected data into meaningful patterns for interpretation and response takes place during which step in the perception process? a. First b. Second c. Third d. Fourth e. None of these choices 87. Which of the following is considered a positive emotion? a. Pride b. Shame c. Anger d. Envy e. Fright 88. Which of the following terms is defined as the belief that power and status differences should exist within the organization? a. Extroversion b. Machiavellianism c. Authoritarianism d. Perceptual distortion e. Grit 89. Aniyah knows how to listen and communicate clearly and treats others with compassion and respect. Aniyah therefore demonstrates _____. a. social awareness b. self-management c. self-awareness d. relationship management e. self-efficacy

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Chap 10_12e_Daft 90. Which of the following is NOT one of the five steps to managing your time? a. Empty your head. b. Decide the next action. c. Get organized. d. Perform a monthly review. e. Do it. 91. An employee who is more likely to want to stay with a company is said to have a high degree of _____. a. work happiness b. cognitive dissonance c. organizational fit d. organizational commitment e. cognitive evaluations 92. The tendency to overestimate the contribution of internal factors to one's success is part of which of the following? a. Projection b. Self-serving bias c. Halo effect d. Figure ground e. Selective perception 93. The tendency to overestimate the contribution of internal factors to one's successes and the contribution of external factors to one's failures is a result of which of the following? a. The self-serving bias b. Openness to experience c. Over stability d. An emotional plateau e. Machiavellianism 94. Which of the following occurs when the perceiver develops an overall impression of a person or situation based on one attribute, either favorable or unfavorable? a. Halo effect b. Fundamental attribution error c. Self-serving bias d. Stereotyping e. None of these choices

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Chap 10_12e_Daft 95. Joshua evaluates Kaliah's performance and gives her an "outstanding" rating based on his knowledge that she came to work every day earlier than anyone else and therefore she is extremely hardworking. Joshua is making which of the following errors in perceptual judgment? a. Perceptual defense b. Projection c. Stereotyping d. Halo effect e. Figure ground 96. Which of the following is considered a negative emotion? a. Relief b. Joy c. Guilt d. Pride e. Affection 97. Jovan is a trusting and forgiving individual who gets along with others because he is good-natured and cooperative. This describes which of the Big Five personality factors? a. Agreeableness b. Conscientiousness c. Emotional stability d. Openness to experience e. Extroversion 98. Which of the following traits seems to be particularly important in today's collaborative organizations? a. Likability b. Agreeableness c. Friendliness d. Openness e. Sociability 99. Which of the following is defined as the tendency to direct much of one's behavior toward the acquisition of power and the manipulation of others for personal gain? a. Authoritarianism b. Grit c. Introversion characteristic d. Machiavellianism e. Organizational citizenship

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Chap 10_12e_Daft 100. When managers who express positive emotions such as happiness, enthusiasm, and appreciation trigger these same positive emotions in employees, which of the following is happening? a. Perceptual selectivity b. Cognitive dissonance c. Contagious feeling d. Self-efficacy e. Emotional contagion 101. Individuals high on authoritarianism have problems with which of the following? a. Power and toughness b. The use of subjective feelings c. Sticking to conventional values d. Obeying recognized authority above them e. Critically judging others 102. A general assurance in one's own ideas, judgment, and capabilities is referred to as _____. a. locus of control b. self-confidence c. self-efficacy d. perceptual selectivity e. cognitive dissonance 103. Which of the following are defined as judgments about what caused a person's behavior—either characteristics of the person or characteristics of the situation? a. Perceptual distortions b. Perceptions c. Bias d. Personality e. Attributions 104. Self-efficacy is a dimension of which of the following? a. Self-confidence b. Self-awareness c. Self-enlightenment d. Emotional intelligence e. The Myers-Briggs scale

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Chap 10_12e_Daft 105. Lacinda was just promoted to be the CEO of a large international shipping plant. According to the fundamental attribution theory, which of the following statements about Lacinda are people most likely to believe? a. Lacinda has a good mentor. b. Lacinda was in the right place at the right time. c. Lacinda is smart and capable. d. Lacinda is lucky. e. Lacinda had good training from her managers. 106. Which of the following describes an employee's loyalty to and engagement with the organization? a. Organization citizenship b. Job satisfaction c. Dissonance d. Organizational commitment e. Job involvement 107. Which of the following styles, according to Jung, avoids specifics, decentralizes decision making, and develops few rules and regulations? a. Intuitive-feeling b. Sensation-thinking c. Intuitive-thinking d. Sensation-feeling e. None of these choices 108. Positive attitude toward one's job is a factor in which of the following? a. Occupation approval b. Career fulfillment c. Job satisfaction d. Organizational happiness e. Organizational commitment 109. Rachel is described by her colleagues as pragmatic, super-competitive, and more likely to persuade than be persuaded. She fits which personality category most closely? a. High Mach b. Low Mach c. High Feeling d. Low Feeling e. Moderate Thinking

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Chap 10_12e_Daft 110. Which of the following is defined as the uncertainty about what behaviors are expected of a person in a particular role? a. Role conflict b. Task overload c. Nonprogrammed decisions d. Role ambiguity e. Task underload 111. Which of the following is the degree to which a person is able to get along with others by being good-natured, cooperative, forgiving, understanding, and trusting? a. Extroversion b. Agreeableness c. Conscientiousness d. Emotional stability e. Openness to experience 112. All of the following are things bad bosses do to create stress for their subordinates except _____. a. bully and harass people to keep them on their toes b. create perpetual doubt about how well employees are performing c. fail to give people credit for their contributions and achievements d. impose unreasonable demands and overwhelming workloads e. tell people exactly what is expected of them 113. Which of the following is the degree to which a person has a broad range of interests and is imaginative, creative, artistically sensitive, and willing to consider new ideas? a. Extroversion b. Agreeableness c. Conscientiousness d. Emotional stability e. Openness to experience 114. Which of the following is the tendency to assign an individual to a group or broad category and then to attribute widely held generalizations about the group to the individual? a. Stereotyping b. Projection c. Figure ground d. Halo effect e. Perceptual defense

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Chap 10_12e_Daft 115. Which of the following refers to the degree to which a person is focused on a few goals, thus behaving in ways that are responsible, dependable, persistent, and achievement oriented? a. Agreeableness b. Conscientiousness c. Emotional stability d. Openness to experience e. Extroversion 116. Which of the following describes the last step in the perception process? a. Observing information b. Screening the information c. Selecting what to process d. Organizing the selected data into patterns e. Transmitting the observed information 117. Faisal regretfully missed an important deadline at work. His boss, Gabriel, thinks to himself, "Faisal missed that deadline because he is lazy; I really need to crack down on him more." This is an example of which type of attribution? a. External b. Internal c. Horizontal d. Vertical e. Skewed 118. Stress can be caused by which type of demands? a. Task b. Role c. Interpersonal d. Physical e. All of these choices 119. Research shows that which type of people are predisposed to being pragmatic, capable of lying to achieve personal goals, more likely to win in win-lose situations, and more likely to persuade than be persuaded? a. High introverted individuals b. High authoritarians c. High Machs d. Low extroverted individuals e. Low Machs

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Chap 10_12e_Daft 120. Having a moderate to high degree of each of the Big Five personality factors is considered to be which of the following? a. Undesirable for a wide range of employees and isn't always a key to success b. Desirable for a wide range of employees and is always a key to success c. Undesirable for a wide range of employees but is always a key to success d. Desirable for a wide range of employees but isn't always a key to success e. None of these choices 121. Managing emotion is a basic component of emotional intelligence. Which of the following best describes managing emotions? a. It is the basis for all the other components; being aware of what you are feeling. b. It is the ability to balance one's moods so that worry, anxiety, fear, or anger do not cloud thinking. c. It is the ability to be hopeful and to persist in the face of obstacles. d. It is the ability to be able to put yourself in someone else's shoes. e. It is the ability to connect to others and build positive relationships. 122. Which of the following is the ability to engage in self-regulating thoughts and behavior to accomplish all your tasks and handle difficult or challenging situations? a. Relationship management b. Social awareness c. Self-awareness d. Social management e. Self-management Scenario - Laylah Fox Laylah Fox is a creative, imaginative, artistically sensitive individual who loves to take on new opportunities. She is a successful manager who believes that she makes her own destiny through hard work and listening to people. Her personal problem-solving style is intuitive-thinking. 123. Given Laylah's intuitive-thinking problem-solving style, which of the following statements about Laylah is most likely true? a. She emphasizes detail, facts, and certainty. b. She focuses on structuring organizations for the benefit of people. c. She avoids specifics. d. She is able to consider a number of options and problems simultaneously. e. She is a decisive, applied thinker.

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Chap 10_12e_Daft 124. Laylah can best be described using which of the Big Five personality factors? a. Agreeableness b. Openness to experience c. Conscientiousness d. Extroversion e. Emotional stability

125. Which of the following occupations would Laylah most likely succeed in based on her problem-solving style? a. Counseling b. Advertising c. Teaching business d. Engineering e. Politics

126. Perception is a process by which we assess and make sense of our environment, and attributions are a particular kind of perception—the judgments we make about what caused our own or someone else's behavior. Use a situation that managers deal with on a regular basis (such as missed deadlines or employee conflict) to illustrate the three steps involved in the perception process and the attributions that could be made about those involved.

127. Most people are happier and healthier when they have positive feelings about their jobs and the organization for which they work. Evaluate the relationship between job satisfaction and employee trust in management. Include your assessment of which factor has a greater influence on employee performance.

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Chap 10_12e_Daft 128. Describe two common perceptual distortions that managers make. Give an example of each.

129. Describe two biases that people commonly apply when making attributions.

130. Every manager needs to understand how to self-manage in order to gain control over hectic schedules—they need clarity of mind, clarity of objectives, and an organized system. Devise a personal plan for getting through final exam week that utilizes systematic steps for reaching the goal of self-regulation and effective time management.

131. More than likely, you will experience stress in your career as a manager. Stress is a physiological and emotional response to stimuli, but there is a point beyond which good stress goes bad. Contrast two types of stress— challenge stress and threat stress—and give examples from your own life that illustrate each type of stress.

132. What are some of the ways enlightened companies are helping employees cope with stress?

133. Describe Carl Jung's four functions related to gathering and evaluating information for problem solving and decision making. Which problem-solving style would be appropriate for someone in the accounting profession? Why?

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Chap 10_12e_Daft 134. What are the four components of emotional intelligence?

135. Explain the Big Five personality factors.

136. Managers can play a large role in establishing ways that the organization can help employees cope with stress. Describe some ways that individuals and managers can help alleviate stress in the workplace and what initiatives some companies are taking that contribute to a healthy, productive work environment. Include which healthy workplace initiatives you would prefer to use, and why you think they're most effective.

137. Briefly describe the perception process.

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Chap 10_12e_Daft Answer Key 1. True 2. True 3. False 4. True 5. True 6. False 7. True 8. True 9. True 10. False 11. True 12. False 13. False 14. True 15. True 16. False 17. True 18. False 19. False 20. False 21. True 22. True 23. False 24. False 25. True 26. True

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Chap 10_12e_Daft 27. True 28. True 29. False 30. True 31. False 32. False 33. True 34. False 35. False 36. True 37. True 38. False 39. b 40. a 41. c 42. c 43. a 44. c 45. c 46. c 47. d 48. e 49. b 50. b 51. e 52. d 53. b 54. e Copyright Cengage Learning. Powered by Cognero.

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Chap 10_12e_Daft 55. c 56. b 57. d 58. d 59. d 60. a 61. e 62. d 63. b 64. a 65. d 66. c 67. a 68. b 69. b 70. a 71. b 72. c 73. d 74. d 75. c 76. c 77. b 78. c 79. d 80. e 81. b 82. e Copyright Cengage Learning. Powered by Cognero.

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Chap 10_12e_Daft 83. a 84. d 85. d 86. c 87. a 88. c 89. d 90. d 91. d 92. b 93. a 94. a 95. d 96. c 97. a 98. b 99. d 100. e 101. b 102. b 103. e 104. a 105. c 106. d 107. a 108. c 109. a 110. d Copyright Cengage Learning. Powered by Cognero.

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Chap 10_12e_Daft 111. b 112. e 113. e 114. a 115. b 116. d 117. b 118. e 119. c 120. d 121. b 122. e 123. d 124. b 125. c 126. Student answers will vary but should contain the three steps in the perception process, as well as internal and external attributions. An example follows: Step 1. Observe information: My team must meet a production deadline with a 48-hour turnaround, and we are short staffed due to two employee illnesses. Step 2. Screen and select data: The short staff situation will require using temporary employees or, alternatively, presenting opportunities for overtime to some regular employees. Step 3. Organize data for interpretation and response: If three regular employees (who are already familiar with the task) each work three hours overtime at time and a half pay for two consecutive days, it will cost considerably less than hiring two temporary workers for two consecutive days, particularly when I factor in agency fees and down time for training. Three employees agree to the overtime schedule, and the deadline is met successfully. Internal attribution: The deadline was met because I am an expert at scheduling and I know how to overcome obstacles. External attribution: The deadline was met because it was a reasonable one and my team is conscientious and cooperative. 127. Job satisfaction depends on factors such as fulfillment, satisfactory working conditions, equitable compensation, work that is interesting and meets employee needs, and positive relationship with coworkers. Employees do not have to be satisfied to be productive, particularly in economic downturns. Employees feel loyalty and commitment to an organization they trust, which affects their desire to stay with a company and feel like a part of the organization's success. Employees cannot be satisfied with a job where there is no trust in management. Copyright Cengage Learning. Powered by Cognero.

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Chap 10_12e_Daft 128. The two most common perceptual distortions are stereotyping and the halo effect. Stereotyping is the tendency to assign an individual to a group or broad category (e.g., female, Black, elderly; or male, White, disabled) and then to attribute widely held generalizations about the group to the individual. As an example, someone meets a new colleague, sees that they are in a wheelchair, assigns them to the category "physically disabled," and attributes to this colleague generalizations that they themselves believe about people with disabilities, which may include a belief that the new colleague is less able than other coworkers. The halo effect occurs when the perceiver develops an overall impression of a person or situation based on one characteristic, either favorable or unfavorable. For example, a person with an outstanding attendance record may be assessed as responsible, industrious, and highly productive; another person with less-than-average attendance may be assessed as a poor performer. 129. The fundamental attribution error is a bias toward attributing the behavior of another person to an internal cause and underestimating the influence of external factors on that behavior. The self-serving bias happens when people attribute their own successful behaviors to internal causes, while attributing their unsuccessful behavior to external causes. 130. Student answers will vary. An example follows: 1. Empty head by listing projects and commitments on paper or some other type of recording device. 2. Decide the physical action that needs to be taken regarding each item. If it can be done immediately and quickly, do it now; otherwise, delegate it to someone else or defer it (that is, schedule a specific time to do it). 3. Organize all deferred items on a calendar and keep a list of Next Actions on ongoing projects; keep your list with you at all times so you can complete Next Actions whenever you can, and check your calendar daily. 4. Review your progress weekly by revising your lists, reviewing what is left to be completed, and collecting, processing, and organizing new items. 5. Do those actions that need to be done and tweak your process where needed. 131. Student answers will vary. Challenge stress is positive and can be a motivator, increase focus and alertness, and improve productivity. Threat stress is negative; is associated with frustration, anxiety, depression, and irritability; inhibits job performance; and has physical symptoms like headaches, insomnia, and stomach distress. Example: It is challenging and stressful to present your ideas for improving new-hire training to mid-level management, but the prospect motivates you to focus on presenting important points clearly and accurately. It is another kind of stress, threat stress, when your idea is approved for implementation, but without adequate funding, and you are given an unreasonably short trial period to produce results. 132. Student answers may vary based on what they have personally experienced or heard. Examples from the book include encouraging people to take regular breaks and vacations, designated quiet rooms or meditation centers, and providing wellness programs and daily flextime.

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Chap 10_12e_Daft 133. The four functions are sensation, intuitive, thinking, and feeling. According to Jung, only one of the four functions is dominant in an individual. However, the dominant function usually is backed up by one of the functions from the other set of paired opposites. 1. Sensation–thinking: An individual with the sensation–thinking style emphasizes details, facts, certainty; is a decisive, applied thinker; focuses on short-term, realistic goals; and develops rules and regulations for judging performance. 2. Intuitive–thinking: An individual with the intuitive–thinking style prefers dealing with theoretical or technical problems; is a creative, progressive, perceptive thinker; focuses on possibilities using impersonal analysis; and is able to consider a number of options and problems simultaneously. 3. Sensation–feeling: An individual with the sensation–feeling style shows concern for current, real-life human problems; is pragmatic, analytical, methodical, and conscientious; emphasizes detailed facts about people rather than tasks; and focuses on structuring organizations for the benefit of people. 4. Sensation–feeling: An individual with the intuitive–feeling style avoids specifics; is charismatic, participative, people oriented, and helpful; focuses on general views, broad themes, and feelings; and decentralizes decision making, develops few rules and regulations For an accountant, the sensation-thinking style would probably be a good match because of its emphasis on details, facts, rules, and regulations, all of which are key skill areas for success in that profession. 134. (1) self-awareness, (2) self-management, (3) social awareness, and (4) relationship awareness 135. The Big Five personality factors describe an individual's extroversion, agreeableness, conscientiousness, emotional stability, and openness to experience. 1. Extroversion is the degree to which a person is outgoing, sociable, assertive, and comfortable with interpersonal relationships. 2. Agreeableness is the degree to which a person is able to get along with others by being good-natured, likable, cooperative, forgiving, understanding, and trusting. 3. Conscientiousness is the degree to which a person is focused on a few goals, thus behaving in ways that are responsible, dependable, persistent, and achievement oriented. 4. Emotional stability is the degree to which a person is calm, enthusiastic, and self-confident, rather than tense, depressed, moody, or insecure. 5. Openness to experience is the degree to which a person has a broad range of interests and is imaginative, creative, artistically sensitive, and willing to consider new ideas. 136. Student answers will vary. Managers can be alert to their own management behavior type; can make sure employees are clear about what behaviors are expected of them; can be aware of incompatible demands, both for themselves and for their workers; can help to resolve conflict among coworkers; look for opportunities where employees can have some fun at work; and don't impose unreasonable workloads. Many companies have workout facilities onsite; others give gym memberships to workers so they can relieve stress or provide treadmill desks where employees can work out while they work. Employees should be encouraged to get relief from stress by having a good balance between work, family, and social supports; pursue a healthy lifestyle; take a walk at break time or just enjoy some alone time; meditate; and take vacation time.

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Chap 10_12e_Daft 137. First, we observe information (sensory data) from the environment through our senses of taste, smell, hearing, sight, and touch. Next, our mind screens the data and will select only the items we will process further. Third, we organize the selected data into meaningful patterns for interpretation and response.

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Chap 11_12e_Daft Indicate whether the statement is true or false. 1. The type of power that is desired from a formal management position in an organization and the authority granted to it is called coercive power. a. True b. False 2. A leader who works to fulfill subordinates' goals and needs as well as to realize the larger mission of their organization is called a servant leader. a. True b. False 3. People who are enmeshed in a network of relationships have less power. a. True b. False 4. Hersey and Blanchard's situational theory focuses a great deal of attention on the characteristics of followers in determining appropriate leadership behavior. a. True b. False 5. An inspirational leader who has the ability to motivate subordinates, through personal transactions, to transcend their normal performance refers to a transactional leader. a. True b. False 6. The alienated follower is a person who is an independent, critical thinker but is passive in the organization. a. True b. False 7. Matching the leader's style with the situation by changing factors in the situation to achieve the best match is the basic idea with Fiedler's contingency theory. a. True b. False 8. A situation would be considered highly favorable to the leader when tasks are highly unstructured and the leader has little formal authority. a. True b. False 9. An effective follower is characterized by a need for constant supervision. a. True b. False

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Chap 11_12e_Daft 10. Two types of personal powers are expert and reward powers. a. True b. False 11. In a recent study, it was found that men were more capable of motivating others than women. a. True b. False 12. The highest level in a hierarchy of manager capabilities is Level 5 leadership. a. True b. False 13. The telling style, according to Hersey and Blanchard, is appropriate for followers with moderate readiness. a. True b. False 14. Personal power, innovation, and empowerment are consistently viewed as manager qualities rather than leader qualities. a. True b. False 15. Interactive leadership means that the leader favors a consensual and collaborative process, and their influence derives from relationships rather than from position power and formal authority. a. True b. False 16. Legitimate, reward, and expert powers are all forms of position power. a. True b. False 17. The Ohio State University researchers identified two major behaviors called consideration and initiating structure. a. True b. False 18. A situational variable that counteracts a leadership style and prevents the leader from displaying certain behaviors is called a neutralizer. a. True b. False 19. The extent to which a leader is mindful of subordinates, respects their ideas and feelings, and establishes mutual trust is known as initiating structure. a. True b. False

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Chap 11_12e_Daft 20. A person who has referent power may not have a formal leadership role. a. True b. False 21. Effective leaders develop networks of allies—people who can help the leader accomplish his or her goals. a. True b. False 22. The relationship-oriented leader performs better in situations of moderate favorability because human relations skills are important in achieving high group performance. a. True b. False 23. The pragmatic survivor is a follower who participates actively in the organization but does not use critical thinking skills. a. True b. False 24. When Leo shouts at Kristi in public for not finishing her work and suspends her for two days, he is using his coercive power. a. True b. False 25. Power is the potential ability to influence the behavior of others. a. True b. False 26. Good leadership is needed to help the organization meet current commitments, while good management is needed to move the organization in the future. a. True b. False 27. The situational theory model focuses a great deal on the characteristics of followers, not those of the situation. a. True b. False 28. The charismatic leader has the ability to motivate subordinates to transcend their expected performance. a. True b. False 29. Consideration is the extent to which the leader is task-oriented and directs subordinate work activities toward goal attainment. a. True b. False

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Chap 11_12e_Daft 30. Task structure refers to the extent to which the leader has formal authority over subordinates. a. True b. False 31. Qualities associated with interactive leadership include personal confidence, exclusion, and independence. a. True b. False 32. Influence is the effect a person's actions have on the attitudes, values, beliefs, or behavior of others. a. True b. False 33. The effective follower exhibits neither critical, independent thinking nor active participation. a. True b. False 34. Job-centered leaders are those leaders who establish high performance goals and display supportive behavior toward subordinates. a. True b. False 35. Authentic leadership refers to individuals who know and understand themselves, act consistently with positive values, and empower and inspire others. a. True b. False 36. Transformational leaders are hardworking, tolerant, and fair-minded, but are not as capable of leading change as are transactional leaders. a. True b. False 37. Within a single individual, management and leadership reflect the same sets of qualities and skills that frequently overlap. a. True b. False 38. Three distinguishing personal characteristics associated with successful leaders are intelligence, honesty, and self-confidence. a. True b. False 39. A transformational leader is a leader distinguished by a special ability to bring about innovation and change. a. True b. False

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Chap 11_12e_Daft 40. Use of rational persuasion and appealing to higher authority are two commonly used influence tactics. a. True b. False 41. Rational persuasion is one interpersonal influence tactic available for leaders. a. True b. False 42. Influence means that the relationship among people is passive. a. True b. False 43. Charismatic leaders typically have a strong vision for the future, and they can motivate others to help realize it. a. True b. False 44. A substitute counteracts the leadership style and prevents the leader from displaying certain behaviors. a. True b. False 45. The task-oriented leader, according to Fiedler, excels in highly favorable or highly unfavorable situations, whereas relationship-oriented leaders are most effective in situations of moderate favorability. a. True b. False 46. Research indicates people rate leaders as "more effective" when they are perceived to use just one influence tactic. a. True b. False 47. Leadership occurs among people, involves the use of influence, and is used to attain desired goals and outcomes. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 48. Researchers at The Ohio State University identified two major behaviors called _____. a. commitment and consideration b. commitment and initiation c. consideration and initiating structure d. initiating structure and commitment e. consideration and concern for people

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Chap 11_12e_Daft 49. Which of the following is NOT a manager quality? a. Maintains stability b. Organizes c. Analyzes d. Rational e. Personal power 50. Which of the following refers to the highest level in a hierarchy of manager capabilities? a. Interactive leadership b. Creative leadership c. Level 5 leadership d. Postheroic leadership e. People-oriented leadership 51. The leader who builds an enduring great organization through a combination of personal humility and professional resolve is known as a _____. a. Level 1 leader b. Level 2 leader c. Level 3 leader d. Level 4 leader e. Level 5 leader 52. Which type of leader often stresses the impersonal aspects of performance, such as plans, schedules, and budgets? a. Transactional b. Transformational c. Authentic d. Charismatic e. Level 5 53. At work, Sabrina favors a consensual and collaborative process, where influence derives from relationships rather than positions of power and formal authority. As such, Sabrina can best be viewed as which type of leader? a. Level 5 b. Servant c. Authentic d. Transformational e. Interactive

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Chap 11_12e_Daft 54. Which of the following is defined as the potential ability to influence the behavior of others? a. Leadership b. Management c. Power d. Control e. Motivation 55. According to Fiedler, relationship-oriented leaders are more effective in which of the following types of situations? a. High favorability b. Moderate favorability c. High unfavorability d. No favorability e. None of these choices 56. Which of the following is the most frequently used and a highly effective influence strategy? a. Using rational persuasion b. Rewarding desired behaviors c. Relying on the rule of reciprocity d. Helping people to like you e. Developing allies 57. Which of the following characteristics of leaders have been studied? a. Personality traits b. Physical traits c. Social traits d. Work-related traits e. All of these choices 58. According to Hersey and Blanchard, which of the following works best for employees with high readiness? a. Delegating b. Participating c. Selling d. Telling e. All of these choices 59. One of Parker's few flaws is that she does not consider possibilities beyond what she is told, accepting her supervisor's ideas without thinking. In this scenario, Parker can best be described as which type of thinker? a. Transformational b. Servant c. Uncritical d. Transactional e. Critical Copyright Cengage Learning. Powered by Cognero.

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Chap 11_12e_Daft 60. Which of the following leadership styles works best for employees with moderate readiness, according to Hersey and Blanchard? a. Selling and telling b. Telling c. Selling d. Delegating e. Selling and delegating 61. There are six interpersonal influence tactics for leaders. Which of the following is NOT one of them? a. Use rational persuasion. b. Rely on the rule of reciprocity. c. Develop allies. d. Do not worry about people liking you. e. Ask for what you want. 62. Andrew's subordinates say that they love working for Andrew because he inspires them to not only believe in the organization but to believe in their own potential as well. Based on this example, Andrew can best be described as which type of leader? a. Transformational b. Servant c. Authentic d. Transactional e. Interactive 63. Which of the following statements about leadership is true? a. Leadership is dynamic. b. Leadership is a problem-solving activity. c. Leadership occurs among people. d. Leadership is redundant. e. Leadership always creates conflict. 64. Putting a negative letter in someone's file, denying someone a raise, or hurting someone's chances for a promotion are all examples of which type of power? a. Reward b. Legitimate c. Coercive d. Expert e. Referent

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Chap 11_12e_Daft 65. Shuyi views herself as a tough but fair supervisor. She gives explicit directions to her subordinates about how tasks should be accomplished but is not always approachable when they come to her with questions. Her employees sometimes feel that she is too gruff and impersonal. According to this description, which style in the situational leadership grid does Shuyi fit into? a. Following b. Delegating c. Participating d. Telling e. Selling 66. In general, research has found the relationship between general personal traits and the prediction of specific leader success to be which of the following? a. Strong b. Weak c. Positive d. Negative e. Inverse 67. Chelsea at TeleTech shows behaviors that are associated with initiating structure. Which of the following behaviors would she most likely exhibit? a. Supporting b. Developing c. Planning d. Recognizing e. Empowering 68. When leaders influence others through the exchange of benefits or favors, which influence tactic is being used? a. Develop allies. b. Use rational persuasion. c. Help people to like you. d. Rely on the rule of reciprocity. e. Reward desirable behaviors. 69. Which of the following behaviors is associated with consideration? a. Planning b. Clarifying c. Empowering d. Monitoring operations e. Problem solving

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Chap 11_12e_Daft 70. Which of the following can be described as a situational variable that makes a leadership style unnecessary or redundant? a. Neutralizer b. Substitute c. Contingency d. Transaction e. Transformation 71. Which type of leader clarifies the role and task requirements of subordinates, initiates structure, provides appropriate rewards, and tries to be considerate and meet the social needs of subordinates? a. Transactional b. Transformational c. Authentic d. Charismatic e. Level 5 72. In the University of Michigan studies, the less effective leaders were referred to as _____. a. job-centered leaders b. employee-centered leaders c. initiating structure d. consideration e. impoverished managers 73. All of the following are leadership qualities except _____. a. visionary b. innovative c. promotes change d. position power e. personal power 74. Referent power depends on the leader's _____. a. formal title b. position in the hierarchy c. personal characteristics d. salary e. reward power 75. Which type of power is vested in the manager's ability to punish employees? a. Coercive b. Reward c. Expert d. Referent e. Personal Copyright Cengage Learning. Powered by Cognero.

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Chap 11_12e_Daft 76. Which of the following is consistent with initiating structure? a. Task-oriented behavior b. Open communication c. Teamwork oriented d. People-oriented behavior e. Country-club management style 77. The key assumption of Hersey and Blanchard's situational theory is that subordinates vary in their level of which of the following? a. Readiness b. Satisfaction c. Commitment d. Security e. All of these choices 78. Using praise, recognition, and attention is an important aspect of which type of power? a. Reward b. Legitimate c. Coercive d. Expert e. Referent 79. When employees admire a supervisor because of the way they deal with them, the influence is based on which type of power? a. Reward b. Legitimate c. Coercive d. Expert e. Referent 80. Which two leadership styles were used by Fiedler in his contingency theory? a. Employee-centered and job-centered b. Consideration and initiating structure c. Concern for people and concern for production d. Relationship-oriented and task-oriented e. Employee-oriented and relations-oriented

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Chap 11_12e_Daft 81. Which type of leader clarifies the role and task requirements of subordinates? a. Transactional b. Charismatic c. Transformational d. Supportive e. Team 82. Amari is a great manager, and he has a number of special skills. In particular, Amari has the ability to get his subordinates to do more than would be normally expected. Which of the following leadership styles best describes Amari in this scenario? a. Transactional b. Supportive c. Charismatic d. People-oriented e. Production-oriented 83. Which type of leader has the ability to inspire and motivate people to do more than they normally would, despite obstacles and personal sacrifice? a. Transactional b. Transformational c. Authentic d. Charismatic e. Level 5 84. According to a study on leaders, who typically scores higher on social and emotional skills? a. Level 5 leaders b. Women c. Authentic leaders d. Men e. Minorities 85. The impact of charismatic leaders normally comes from which of the following? a. Stating a lofty vision of an imagined future that employees identify with b. Displaying an ability to understand and empathize with followers c. Empowering and trusting subordinates to accomplish results d. All of these choices e. None of these choices

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Chap 11_12e_Daft 86. Ahmet is a new manager at AJ Homes Company. He has no experience as a manager nor does he know the technology used by his department well. These two factors prevent Ahmet from effectively directing his workforce. This is an example of which of the following impacting leadership styles and behaviors? a. Substitute b. Neutralizer c. Contingency d. Citizenship e. Transformation 87. Which type of power comes from the organization and gives managers the ability to reward or punish subordinates to influence their behavior? a. Motivation b. Position c. Leadership d. Control e. Referent 88. The distinguishing personal characteristics of a leader are known as _____. a. traits b. sources of power c. leadership styles d. leadership behaviors e. personal preferences 89. The early research on leadership traits was referred to as the _____. a. contingency theory of leadership b. path-goal theory of leadership c. Great Man approach d. situational theory of leadership e. behavioral approach 90. Highly structured tasks _____. a. substitute for a people-oriented style b. neutralize a task-oriented style c. substitute for a task-oriented style d. neutralize a people-oriented style e. neutralize for both task-oriented and people-oriented styles

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Chap 11_12e_Daft 91. Which type of power is defined as being derived from a formal management position in an organization? a. Referent b. Coercive c. Reward d. Legitimate e. Expert 92. The University of Michigan researchers used which of the following terms for leaders who established high performance goals and displayed supportive behavior toward subordinates? a. Job-centered leaders b. Employee-centered leaders c. Initiating structure d. Consideration e. Impoverished management 93. Which of the following is the extent to which the leader is mindful of subordinates, respects their ideas and feelings, and establishes mutual trust? a. Leadership b. Likability c. Consideration d. Humility e. Initiating structure 94. Peter is a social justice activist whose personal qualities have directly influenced others toward the attainment of goals related to systemic equity in his community. The ability Peter exhibits in this scenario is known as _____. a. motivation b. leadership c. commitment d. a conceptual skill e. a personal agenda 95. Elizabeth, a middle manager at Heather's Handbags, uses threats and punishments to influence the behavior of her subordinates. Which of the following sources of power is Elizabeth relying on in this scenario? a. Reward b. Coercive c. Expert d. Referent e. Personal

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Chap 11_12e_Daft 96. Which of the following types of leadership is based on articulating a clear, appealing vision, exerting idealized influence, and providing inspirational motivation to stimulate people to do more than they would normally do? a. Transactional b. Charismatic c. Traditional d. Supportive e. Team 97. Which of the following is a contingency approach to leadership that links the leader's behavioral style with the task readiness of subordinates? a. Situational substitutes for leadership b. Fiedler's contingency theory c. Authentic leadership d. Situational model of leadership e. None of these choices 98. "A fire that ignites followers" has been used to describe which leadership characteristic? a. Vision b. Charisma c. Service d. Tenacity e. Authority 99. Which of the following is defined as the distinguishing personal characteristics of a leader, such as intelligence, values, and appearance? a. Characteristics b. Personality c. Leadership d. Traits e. Charisma 100. A model of leadership that describes the relationship between leadership styles and specific organizational situations is called a _____. a. behavioral approach b. contingency approach c. structural approach d. situational approach e. charismatic approach

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Chap 11_12e_Daft 101. Which type of power stems from a leader's special knowledge? a. Reward b. Referent c. Legitimate d. Coercive e. None of these choices 102. Recently, Beagle Boutique was attempting to hire a middle manager. It was looking for an intelligent, active, and creative individual. Which approach to leadership was Beagle using in this scenario? a. Contingency b. Situational c. Trait d. Behavioral e. Substitute 103. Going along with recommendations because of someone's superior knowledge is known as which type of power? a. Reward b. Legitimate c. Coercive d. Expert e. Referent 104. Which of the following did Fiedler use to describe how leaders fit a situation? a. Leader-member relations b. Task structure c. Degree of favorability d. Leader position power e. All of these choices 105. All of the following are major approaches to leadership except _____. a. Level 5 leadership b. servant leadership c. authentic leadership d. progressive leadership e. interactive leadership

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Chap 11_12e_Daft 106. Megan is a manager at Botell International. She is very friendly and extremely respectful of her subordinates' welfare. Megan can best be described in this scenario as a. high in initiating structure b. low in initiating structure c. high in consideration d. a team leader e. a task-oriented manager 107. According to the situational theory of Hersey and Blanchard, which of the following leader styles matches up best with low-readiness subordinates? a. Delegating b. Selling c. Telling d. Participating e. None of these choices 108. Candice uses praise, letters of support, and pats on the back as ways of influencing her subordinates' behaviors. All of these actions are highly valued by the work group. This is an example of _____. a. coercive power b. legitimate power c. reward power d. expert power e. referent power 109. Which type of leadership transcends self-interest to serve others and the organization? a. Servant b. Authentic c. Interactive d. Level 5 e. Charismatic 110. Which of the following is the ability to influence people toward the attainment of goals? a. Motivation b. Leadership c. Persuasion d. Commitment e. Organizational citizenship

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Chap 11_12e_Daft 111. Jeremiah, a manager at Welford Nonprofit Group, is known for his selflessness and willingness to give to others. He likes working in the nonprofit sector because he wants to apply his skills and abilities to serve others who are less fortunate. Based on this information, which of the following best describes Jeremiah? a. Level 5 leader b. Servant leader c. Authentic leader d. Transformational leader e. Interactive leader 112. Which of the following is known as a passive, yet independent, critical thinker? a. Conformist b. Passive follower c. Pragmatic survivor d. Effective follower e. Alienated follower 113. Which type of leader is distinguished by a special ability to bring about innovation and change? a. Transactional b. Transformational c. Authentic d. Charismatic e. Level 5 114. Ivan does not have much of a relationship with his subordinates. They feel obligated to do as he says because he's the boss. This is an example of which type of power? a. Referent b. Legitimate c. Coercive d. Reward e. Expert 115. Which type of leader works to fulfill subordinated needs and goals as well as to achieve the organization's larger mission? a. Servant b. Transactional c. Transformational d. Charismatic e. Interactive

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Chap 11_12e_Daft 116. Which of the following is NOT an interpersonal influence tactic? a. Help people to like you. b. Develop allies. c. Rely on the rule of demand. d. Appeal to higher authority. e. Ask for what you want. 117. Richard is well loved by his coworkers at Axel Cable Inc., where he is viewed as being dedicated and having a great deal of humility, often giving credit for successes to other members of his team. As such, Richard would be placed in which category of the Level 5 leadership spectrum? a. Level 1: Capable individual b. Level 2: Contributing team member c. Level 3: Competent manager d. Level 4: Effective leader e. Level 5: Level 5 executive 118. Which of the following is NOT a valid component of authentic leadership? a. Pursues purpose with passion b. Isolates self from others c. Leads with the heart as well as the head d. Demonstrates self-discipline e. Practices solid values 119. Which type of power is based on the ability of the leader to do such things as recommend promotions? a. Coercive b. Expert c. Reward d. Referent e. Personal 120. Which type of leader is distinguished by an ability to bring about organizational change? a. Transformational b. Participative c. Charismatic d. Achievement-oriented e. People-oriented

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Chap 11_12e_Daft 121. In which leadership style does the leader favor a consensual and collaborative process, with influence derived from relationships rather than from position power and formal authority? a. Servant b. Authentic c. Interactive d. Level 5 e. Charismatic 122. Ryan is a manager at Steve's Stoneworks, Inc. Hersey and Blanchard would consider most of his subordinates highly ready based on their ability to perform their jobs. In this scenario, which of the following leadership styles is best for Ryan? a. Participating b. Delegating c. Selling d. Telling e. Forcing 123. Being unpretentious and modest rather than arrogant and prideful is known as _____. a. humility b. egotism c. altruism d. reservation e. assurance 124. Linda is viewed by her colleagues as someone who makes productive contributions through talent, knowledge, and a capable skillset, but she is sometimes hard to work with because of her communication style. Based on the Level 5 leadership spectrum, Linda would be placed in which category? a. Level 1: Capable individual b. Level 2: Contributing team member c. Level 3: Competent manager d. Level 4: Effective leader e. Level 5: Level 5 executive 125. Which of the following are defined as natural talents and abilities that have been supported and reinforced with learned knowledge and skills and provide people with their best tools for accomplishment and satisfaction? a. Strengths b. Traits c. Characteristics d. Abilities e. Leadership tendencies

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Chap 11_12e_Daft 126. Which type of power comes from internal sources such as personal knowledge, goals, and values? a. Motivation b. Management c. Personal d. Control e. Positional 127. Which of the following types of leaders knows and understands themselves, acts consistently with positive values, and empowers and inspires others? a. Level 5 b. Servant c. Authentic d. Transformational e. Interactive 128. Hersey and Blanchard are responsible for which theory? a. Theory of leadership b. ERG theory c. Situational model of leadership d. Contingency model of leadership e. None of these choices 129. Which of the following is a follower who participates actively in the organization but does not use critical thinking skills? a. Passive follower b. Effective follower c. Alienated follower d. Conformist e. Pragmatic survivor 130. Which of the following is a model of leadership that describes the relationship between leadership styles and specific organizational situations? a. Contingency approach b. Behavioral approach c. Trait approach d. Organizational approach e. None of these choices

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Chap 11_12e_Daft 131. Which of the following is defined as the extent to which the leader is task oriented and directs subordinate work activities toward goal attainment? a. Leadership b. Likability c. Consideration d. Humility e. Initiating structure 132. A situational variable that counteracts a leadership style is known as _____. a. a neutralizer b. a substitute for leadership c. a highly structured task d. position power e. personal power 133. Once a person has been selected as a supervisor, most employees understand that they are obligated to follow that individual's direction. This is known as which type of power? a. Reward b. Legitimate c. Coercive d. Expert e. Referent 134. Which of the following statements accurately compares charismatic leaders to transactional leaders? a. Charismatic leaders are often less emotional than transactional leaders. b. Charismatic leaders are often more predictable than transactional leaders. c. Charismatic leaders are often less predictable than transactional leaders. d. Charismatic leaders are often more directive than transactional leaders. e. None of these choices accurately compares charismatic leaders to transactional leaders. 135. Relationship-oriented leaders perform better in situations of intermediate favorability because _____. a. these leaders ensure that everyone gets along b. these leaders focus on making the task clear c. the leader has the power in this position d. human relations skills are important in achieving high group performance e. a great deal of structure and task direction is needed under these conditions 136. List the five types of power typically found in organizations.

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Chap 11_12e_Daft 137. To become a Level 5 leader, Blanca would need to hone which personal characteristic? a. Humility b. Tenacity c. Ruthlessness d. Drive e. Ego

138. What three factors combine to create the situation in Fiedler's leadership contingency theory?

139. List the two types of personal power.

140. Blanca learned of a recent study on gender differences in leadership behaviors. In which area of leadership do women score more highly than men? a. Motivating others b. Fostering communication c. Driving for results d. Listening to others e. All of these choices

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Chap 11_12e_Daft Scenario - Barry Bailey A mandatory leadership training seminar has just concluded. All of the newly promoted managers at Marc's Music, Inc. were asked to attend and participate in the two-day seminar, and one manager, Blanca Bailey, is fascinated with what she has learned. She is now reviewing the material covered during the event. 141. Blanca recognizes that her power can come from five sources. Which of the following is NOT one of these types of power? a. Referent b. Reward c. Coercive d. Mechanistic e. Legitimate

142. A leader's suitability to an organization may depend on whether the leader's leadership style is compatible with the organizational situation. Describe different leadership styles and explain how organizational situations may neutralize or substitute for those leadership characteristics.

143. Though most emphasis is placed on organizational leadership, leaders cannot achieve goals without followers. Summarize the five follower styles and explain how they contribute to effective leadership. Then determine which type of follower you are, and explain why.

144. Differentiate between a substitute and a neutralizer.

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Chap 11_12e_Daft 145. Strong, visionary leaders are often termed "charismatic," but it is even more desirable to be a leader who is "transformational." Contrast a transformational leader with a charismatic leader and give an example of a transformational leader (from business, politics, sports, etc.) who brought more than just vision to their organization.

146. An effective leader must do more than possess desirable traits; they must also exhibit appropriate behaviors. Explain what is meant by task- and people-oriented behaviors, and identify other terms used to describe the same concept. Why do effective leaders exhibit both task- and people-oriented behaviors?

147. What is the basic difference between consideration behavior and initiating structure behavior?

148. Distinguish between charismatic and transformational leadership.

149. Describe the six interpersonal influence tactics for leaders.

150. Some leadership characteristics are typically specific to female leaders. Contrast interactive leadership with that generally exercised by most males. Explain which approach you think is more effective, and describe the advantages and disadvantages of working for each type of leader.

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Chap 11_12e_Daft Answer Key 1. False 2. True 3. False 4. True 5. False 6. True 7. True 8. False 9. False 10. False 11. False 12. True 13. False 14. False 15. True 16. False 17. True 18. True 19. False 20. True 21. True 22. True 23. False 24. True 25. True 26. False

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Chap 11_12e_Daft 27. True 28. True 29. False 30. False 31. False 32. True 33. False 34. False 35. True 36. False 37. False 38. True 39. True 40. True 41. True 42. False 43. True 44. False 45. True 46. False 47. True 48. c 49. e 50. c 51. e 52. a 53. e 54. c Copyright Cengage Learning. Powered by Cognero.

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Chap 11_12e_Daft 55. b 56. a 57. e 58. a 59. c 60. c 61. d 62. a 63. c 64. c 65. d 66. b 67. c 68. d 69. c 70. b 71. a 72. a 73. d 74. c 75. a 76. a 77. a 78. a 79. e 80. d 81. a 82. c Copyright Cengage Learning. Powered by Cognero.

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Chap 11_12e_Daft 83. d 84. b 85. d 86. b 87. b 88. a 89. c 90. c 91. d 92. b 93. c 94. b 95. b 96. b 97. d 98. b 99. d 100. b 101. e 102. c 103. d 104. c 105. d 106. c 107. c 108. c 109. a 110. b Copyright Cengage Learning. Powered by Cognero.

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Chap 11_12e_Daft 111. b 112. e 113. b 114. b 115. a 116. c 117. e 118. b 119. c 120. a 121. c 122. b 123. a 124. a 125. a 126. c 127. c 128. c 129. d 130. a 131. e 132. a 133. b 134. c 135. d 136. (1) legitimate, (2) reward, (3) coercive, (4) expert, and (5) referent 137. a 138. (1) leader-member relations, (2) task structure, and (3) leader position power Copyright Cengage Learning. Powered by Cognero.

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Chap 11_12e_Daft 139. (1) expert power and (2) referent power 140. e 141. d 142. Task-oriented leaders are generally effective in extreme situations that are highly favorable or highly unfavorable, either when everyone is getting along well and the task is clear, or when structure and direction are needed. Relationship-oriented leaders are more effective in situations of moderate favorability, when human relations skills are important in achieving high group performance. Substitute for leadership makes leadership of a particular style unnecessary; a neutralizer counteracts a certain leadership style. Organizations with strong group cohesiveness and subordinates who excel in performing satisfying tasks can substitute for task- and relationship-oriented leaders who are not needed to initiate structure for them or motivate them and build relationships. An organizational structure where the leader is physically separated from the subordinates can neutralize both leadership styles. 143. The five follower styles are (1) alienated follower, (2) conformist, (3) pragmatic survivor, (4) passive follower, and (5) effective follower. 1. Alienated followers are passive, independent, critical thinkers who are capable and effective; able to isolate problems but do not actively participate in developing solutions; and often complain about leaders but do not offer constructive feedback. 2. Conformists are active, willing participants who go along with company actions, even if they think the actions are wrong, without critical thinking and want to avoid conflict. 3. Pragmatic survivors use whatever qualities and styles are needed to benefit their position and minimize risk. 4. Passive followers are neither active participants nor critical thinkers, do not take initiative or responsibility, and need much supervision. 5. Effective followers are critical, independent thinkers who are active participants, have equitable relationships with leaders, are capable of self-management, and work toward solutions. Student answers regarding what type of follower they are will vary. 144. A substitute is a situational variable that makes a leadership style unnecessary or redundant. A neutralizer is a situational variable that counteracts a leadership style and prevents the leader from displaying certain behaviors. 145. A transformational leader has vision, similarly to that of a charismatic leader, but even more; brings innovative change for the betterment of their organization; often changes organization mission and values and enlists followers in the process; acts as role model for new values and behaviors; is concerned with follower needs; is not interested in having followers who believe in them personally; and seeks to empower those on their team to believe in their own potential for improvement and ability to meet challenges. Examples of transformational leaders include Elon Musk, Richard Branson, and Nelson Mandela, all of whom created significant changes in both their followers and their organizations.

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Chap 11_12e_Daft 146. Task-oriented behavior means paying attention to achieving tasks at hand, such as meeting schedules, keeping costs low, and achieving production efficiency; initiating structure is the degree to which a manager directs subordinate work activities. Another term for this would be job-centered. People-oriented behavior means concern for people; consideration refers to the extent to which leaders are mindful of subordinates, are goal-oriented, are supportive of employees, and establish mutual trust. Another way to describe this would be as employee-centered. While schedules and production efficiency are important for the health of a business, the most effective supervisors are those who establish high performance goals and display supportive behavior toward subordinates. Therefore, it is important for leaders to learn to exhibit those behaviors in a balanced way, depending on the situation. 147. The difference between these two major leadership behaviors is their focus. The focus of consideration behavior is people, with the leader being mindful of subordinates, respecting their ideas and feelings, and building trust. Initiating structure has a task orientation, with the leader directing subordinate work activities toward goal attainment, giving instructions, planning, and scheduling. 148. A charismatic leader has the ability to motivate subordinates to transcend their expected performance. Vision, value, and trust mark their impact. They tend to have an emotional impact on followers. Transformational leaders are distinguished from charismatic leaders by their special ability to bring about innovation and change. They usually emerge to take an organization through a major strategic change, focusing on the intangible qualities that facilitate the change process. 149. The six interpersonal influence tactics for leaders are as follows: 1. Use rational persuasion. This is used to apply facts, data, and logical arguments to persuade others. 2. Help people to like you. People would rather say yes to someone that they like than to someone that they don't. 3. Rely on the rule of reciprocity. Leaders can influence others through the exchange of benefits and favors. 4. Develop allies. Effective leaders develop networks of allies—people who can help the leader accomplish goals. 5. Ask for what you want. Make direct and personal requests. 6. Appeal to higher authority. Sometimes, to get things done, leaders must use their formal authority as well as gain the support of people at higher levels. 150. Interactive leadership is generally practiced by women leaders; it is characterized by influences by inclusion, collaboration, caring, and relationship building rather than control and formal authority. Women consistently are rated higher by peers and subordinates when it comes to motivating others, communication, and listening; men rate higher on developing competitive strategies. Personal contact and communication with employees makes them feel appreciated. Some traits thought of as "feminine" that are valued in effective leaders are empathy, flexibility, patience, generosity, and humility.

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Chap 12_12e_Daft Indicate whether the statement is true or false. 1. In Maslow's hierarchy of needs theory, freedom from violence is an example of a physiological need. a. True b. False 2. Goal specificity, in goal-setting theory, refers to the difficulty level of goals. a. True b. False 3. The expectancy theory attempts to define specific types of needs or rewards to establish that they exist and may be similar to other individuals. a. True b. False 4. Hygiene factors involve the presence or absence of job dissatisfiers and include company policies and interpersonal relationships. a. True b. False 5. An extrinsic reward refers to the satisfaction a person receives in the process of performing a particular action. a. True b. False 6. Punishment is the imposition of an unpleasant outcome following undesirable behavior. a. True b. False 7. Esteem needs are those needs that relate to the desire for a positive self-image and the desire to receive attention, recognition, and appreciation from others. a. True b. False 8. Job enlargement combines a series of small tasks into one new, broader job. a. True b. False 9. The implication of the two-factor theory for managers is clear—providing hygiene factors will eliminate employee dissatisfaction but will not motivate workers to high achievement levels. a. True b. False 10. According to expectancy theory, for an employee to be highly motivated, E→P expectancy and valence must be maximized. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 11. Managers can influence intrinsic rewards by providing appropriate extrinsic rewards. a. True b. False 12. Goal-setting theory proposes that managers can increase motivation by setting specific, challenging goals that are accepted as valid by subordinates and then helping people track their progress toward goal achievement by providing timely feedback. a. True b. False 13. Forces that arouse enthusiasm and persistence to pursue a certain course of action refer to motivation. a. True b. False 14. Expectancy theory is based on the relationship among the individual's effort and performance and not on the desirability of outcomes. a. True b. False 15. Organizations that empower employees often reward them based on the results shown in the company's bottom line. a. True b. False 16. The equity theory focuses on individuals' perceptions of how fairly they are treated relative to others. a. True b. False 17. The imposition of unpleasant outcomes on an employee is avoidance learning. a. True b. False 18. Physiological needs are the most basic human physical needs, which are reflected in the workplace as needs for adequate heat, air, and base salary to ensure survival. a. True b. False 19. Goal acceptance, in goal-setting theory, means that employees have to "buy into" the goals and be committed to them. a. True b. False 20. Employee motivation affects productivity, and part of a manager's job is to channel motivation toward the accomplishment of organizational goals. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 21. The equity theory, by J. Stacy Adams, states that equity exists when the ratio of outcomes to inputs for one person is equal to the same ratio for another person. a. True b. False 22. Two ways to classify rewards are extrinsic and monetary. a. True b. False 23. Valence is the perceived value of, or attraction to, outcomes. a. True b. False 24. Job enlargement is a job design that incorporates achievement, recognition, and other high-level motivators into the work. a. True b. False 25. Empowering employees means giving them four elements that enable them to act more freely to accomplish their jobs: information, knowledge, power, and rewards. a. True b. False 26. Motivation increases, according to the expectancy theory, when the worker believes that successful performance will result by putting effort into a given task. This is called E→P expectancy. a. True b. False 27. The job characteristic of autonomy influences the worker's experiencing meaningfulness of work. a. True b. False 28. Rewards given by another person are intrinsic rewards. a. True b. False 29. Employee engagement means that people enjoy their jobs and are satisfied with their work conditions, contribute enthusiastically to meeting team and organizational goals, and feel a sense of belonging and commitment to the organization. a. True b. False 30. Behavior that is positively reinforced tends to be repeated, and behavior that is not reinforced tends not to be repeated, as stated in the law of effect. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 31. Skill variety, task identity, and task significance tend to influence the employee's psychological state of experienced meaningfulness of work. a. True b. False 32. Process theories emphasize the needs that motivate people. a. True b. False 33. A need for power, a need for accomplishment, and a need for superior power are proposed by David McClelland's acquired needs theory. a. True b. False 34. The degree to which the job is perceived as important and having an impact on the company or consumers refers to task significance. a. True b. False 35. Factors that influence job satisfaction based on fulfillment of high-level needs such as achievement, recognition, and opportunity for growth are called motivators. a. True b. False 36. A high need for power often is associated with successful attainment of top levels in the organizational hierarchy. a. True b. False 37. Extinction is defined as the withholding of a positive reward. a. True b. False 38. Herzberg's two-factor theory divides work-related needs into two categories: hygiene factors and reward factors. a. True b. False 39. The implementation of a pleasant and rewarding consequence following a desired behavior is positive reinforcement. a. True b. False 40. Punishment increases the likelihood that behavior will be repeated. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 41. An employee stock ownership plan (ESOP) gives employees part ownership of the organization, enabling them to share in improved profit performance. a. True b. False 42. Gain sharing rewards employees with part ownership of the organization based on achieving performance goals. a. True b. False 43. A process theory explains how employees meet their needs and determines their success. a. True b. False 44. External and relatedness are the first two groups of needs in Alderfer's ERG theory. a. True b. False 45. Hygiene factors are the same as satisfiers and are based on fulfillment of higher-level needs including responsibility. a. True b. False 46. Expectancy theory is a process theory that focuses on individuals' perception of how fairly they are treated in comparison with other people. a. True b. False 47. Job rotation systematically moves employees from one job to another, thereby increasing the number of different tasks an employee performs. a. True b. False 48. One weakness of the use of punishment in organizations is that it fails to indicate the correct behavior. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 49. Which of the following refers to the degree to which an employee performs a total job with a recognizable beginning and ending? a. Task complexity b. Task identity c. Task significance d. Task structure e. None of these choices

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Chap 12_12e_Daft 50. Which of the following is the value of outcomes, or attraction for outcomes, for the individual? a. Valence b. P → O expectancy c. Efficacy d. E → P expectancy e. Performance 51. Which of the following incorporates high-level motivators into the work, including job responsibility, recognition, and opportunities for growth, learning, and achievement? a. Job design b. Work redesign c. Skill variety d. Feedback e. Job enrichment 52. Delaine tried to apply the job characteristics model to her workforce, but it only worked for some of her employees. Which of the following may be a reason why it did not work for everyone? a. Some of her employees are lazy. b. Some of her employees are low in growth-need strength. c. Some of her employees have a low need for power. d. All of her employees have high growth needs. e. Some of her employees have low affiliation needs. 53. The core dimension of Hackman and Oldham's model of job characteristics that is based on the number of diverse activities that make up a job is known as _____. a. autonomy b. job enlargement c. skill variety d. task identity e. feedback 54. A job design that incorporates achievement, recognition, and other high-level motivators into the work is referred to as which of the following? a. Job simplification b. Job rotation c. Job enlargement d. Job enrichment e. None of these choices

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Chap 12_12e_Daft 55. At Rightway Industries, new hires spend a significant portion of their first week of training just walking around the factory, observing other workers, and watching them be rewarded for doing their jobs well. This is an example of _____. a. vicarious learning b. self-efficacy c. self-reinforcement d. delegation e. experiential learning 56. Chloe's subordinates view her as a great manager. Not only does she get the job done, but she also organizes the workplace in such a way that employees experience a sense of meaningfulness, connection, and growth. This is an example of employee _____. a. pay-for-performance b. delegation c. empathy d. apathy e. engagement 57. Which of the following exists whenever the ratio of one person's outcomes to inputs equals the ratio of another's outcomes to inputs? a. Equality b. Equity c. Efficacy d. Goal setting e. Motivation 58. Karina is a first line supervisor at Wolfs, Inc. She wishes to increase her employees' opportunities for growth and learning. Which of the following techniques should Karina use? a. Job enlargement b. Job enrichment c. Job rotation d. Positive reinforcement e. Continuous 59. Empowering employees means giving employees which of the following? a. Information b. Knowledge c. Power d. Rewards e. All of these choices

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Chap 12_12e_Daft 60. Which of the following proposes that people are motivated by physiological, safety, belongingness, esteem, and self-actualization needs? a. Reinforcement theory b. Process theory c. Situational theory d. Hierarchy of needs theory e. Contingency theory 61. Which category of need describes the desire to be accepted by one’s peers, have friendships, be part of a group, and be loved? a. Self-actualization b. Physiological c. Esteem d. Belongingness e. Safety 62. Which term, in goal-setting theory, refers to the need to make goals highly ambitious but achievable? a. Goal specificity b. Goal difficulty c. Goal acceptance d. Feedback e. Motivation 63. The frustration-regression principle is most closely related with _____. a. Maslow b. Herzberg c. McClelland d. Alderfer e. Adam 64. Which of the following is an important part of the job characteristics model? a. Critical psychological states b. A hierarchy of needs c. Schedules of reinforcement d. All of these choices e. None of these choices

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Chap 12_12e_Daft 65. The idea that failure to meet a high-order need may trigger a regression to an already fulfilled lower-order need is referred to as the _____. a. ERG theory b. goal-setting theory c. frustration-regression principle d. two-factor approach to motivation e. expectancy theory 66. Jeff and Roberto have a difficult time getting along at work. Most days, Jeff spends a lot of time cracking jokes and goofing off, while Roberto constantly nags him and tells him to act like a grownup. On days when Jeff is more reserved, Roberto does not nag him, hoping that this will result in improved behavior down the road. This is an example of which form of behavior modification? a. Empowerment b. Extinction c. Punishment d. Avoidance learning e. Positive reinforcement 67. Lukas is looking for ways to increase the number of different tasks that an employee performs without increasing task complexity. He should try job _____. a. simplification b. enlargement c. rotation d. enrichment e. layoff 68. Which of the following describes whether putting effort into a task will lead to high performance? a. P → O expectancy b. E → P expectancy c. O → V expectancy d. A → Z expectancy e. V → P expectancy 69. Highroller Casinos provides good salaries and benefits, including bonuses of up to 25% of annual salaries. However, the company has been criticized for not establishing an achievement or recognition program for its employees. Which of the following best describes the company in terms of the two-factor theory? a. Good motivators and inadequate hygiene factors b. Good hygiene factors and inadequate motivators c. Good hygiene factors and motivators d. Inadequate hygiene factors and motivators e. None of these choices

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Chap 12_12e_Daft 70. Alderfer referred to needs for physical well-being as _____. a. physiological needs b. existence needs c. belongingness needs d. relatedness needs e. growth needs 71. Which of the following refers to the withdrawal of a positive reward, meaning that behavior is no longer reinforced and hence is less likely to occur in the future? a. Avoidance learning b. Punishment c. Positive reinforcement d. Extinction e. None of these choices 72. Which theory proposes that managers can increase motivation by setting specific, challenging goals that are accepted as valid by subordinates and then helping people track their progress toward goal achievement by providing timely feedback? a. ERG b. Hierarchy of needs c. Goal-setting d. Expectancy e. Equity 73. Which of the following is defined as power sharing, or the delegation of power or authority to subordinates in an organization? a. Engagement b. Synergy c. Motivation d. Empowerment e. Leadership 74. Yifei recently learned that Shuyi, who works in the same position as her and has been with the company for the same amount of time, earns about 10% more than she does. As a result, Yifei feels that she should not work as hard, so she starts coming in late and taking more days off. This is an example of which method for reducing perceived equity? a. Working harder, not smarter b. Changing outcomes c. Changing work effort d. Changing perceptions e. Leaving the job

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Chap 12_12e_Daft 75. Which theory places an emphasis on behavior and its consequences? a. Two-factor b. Need hierarchy c. Reinforcement d. ERG e. Equity 76. Which theory deals with employees' perception of fairness? a. Expectancy b. Reinforcement c. Need hierarchy d. Equity e. ERG 77. Which of the following is the administration of a pleasant and rewarding consequence following a desired behavior? a. Avoidance learning b. Punishment c. Positive reinforcement d. Extinction e. Suspension 78. Which of the following is an example of a process theory of motivation? a. Need hierarchy theory b. Equity theory c. Two-factor theory d. ERG theory e. Acquired needs theory 79. Shifting power down from the top of the organization and sharing it with employees to enable them to achieve goals is known as _____. a. engagement b. connectedness c. empowerment d. motivation e. distributive management 80. Which of the following combines a series of small tasks into one new, broader job? a. Job simplification b. Job enlargement c. Job rotation d. Job characteristics e. Job layoff Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 81. The assumption that positively reinforced behavior tends to be repeated is the basis for _____. a. the law of effect b. reinforcement c. job design d. avoidance learning e. vicarious learning 82. The majority of hourly workers at Formatting Unlimited are neither satisfied nor dissatisfied. What would Herzberg recommend if your goal were to increase their level of satisfaction? a. Increase the level of hygiene factors b. Increase the level of motivators c. Decrease the level of motivators d. Decrease the level of hygiene factors e. None of these choices 83. Daphne has a desire to influence others, be responsible for them, and have authority over them. In this scenario, Daphne can be described as having which of the following? a. A need for power b. A need for achievement c. A need for affiliation d. A need for relatedness e. None of these choices 84. One of your fellow students is continually late to class. The professor has issued numerous verbal warnings and recently took points away from the student's grade. Based on the above, the professor's actions are consistent with which of the following reinforcement techniques? a. Negative reinforcement b. Punishment c. Positive reinforcement d. Avoidance learning e. Rewards enhancement 85. The desire to form close personal relationships, avoid conflict, and establish warm friendships describes which of the following? a. A need for affiliation b. A need for power c. A need for achievement d. A need for authority e. All of these choices

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Chap 12_12e_Daft 86. Which of the following refers to the forces either within or external to a person that arouse enthusiasm and persistence to pursue a certain course of action? a. Motivation b. Empowerment c. Efficacy d. Equity e. Satisfaction 87. Factors that involve the presence or absence of job dissatisfiers, such as working conditions or pay, are known as _____. a. motivators b. hygiene factors c. satisfiers d. needs for power e. existence needs 88. The satisfaction received in the process of performing an action is also known as a(n) _____. a. dissatisfier b. intrinsic reward c. hygiene factor d. extrinsic reward e. punishment 89. A content theory that proposes that people are motivated by five categories of needs—physiological, safety, belongingness, esteem, and self-actualization—that exist in a hierarchical order is called the _____. a. ERG theory b. goal-setting theory c. equity theory d. hierarchy of needs theory e. expectancy theory 90. Which of the following is defined as anything that causes a certain behavior to be repeated or inhibited? a. The law of effect b. Reinforcement c. Job design d. Avoidance learning e. Vicarious learning

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Chap 12_12e_Daft 91. Fedel is primarily driven by a need to establish close social relationships with other people. Alderfer would say he is motivated by which category of needs? a. Growth b. Existence c. Relatedness d. Self-actualization e. Physiological 92. Which motivation theory is based on the relationship between a given behavior and its consequences? a. Process b. Content c. Expectancy d. Reinforcement e. ERG 93. Which of the following have the greatest impact, according to Herzberg, on job satisfaction? a. Hygiene factors b. Reinforcers c. Motivators d. Dissatisfiers e. All of these choices 94. Abran is a recent college graduate. He is unsure about his future. A counselor in his university's career resources office recently told Abran that he had a high need for achievement. Based on this, what type of career should Abran pursue? a. He should look for work as a project manager. b. He should think about starting his own business. c. He should look for work in "corporate America" because he is sure to climb to the top. d. He should play the lottery. e. Abran should not pursue any of these careers. 95. Which technique reduces the likelihood that behavior will be repeated? a. Positive reinforcement b. Negative reinforcement c. Extinction d. Reward enhancement e. All of these choices

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Chap 12_12e_Daft 96. Which of the following is NOT a category of need proposed by Maslow in his hierarchy of needs theory? a. Safety b. Compensation c. Physiological d. Esteem e. Self-actualization 97. In goal-setting theory, which term refers to the need to get information to people about how well they are doing in progressing toward goal achievement? a. Goal specificity b. Goal difficulty c. Goal acceptance d. Feedback e. Motivation 98. The degree to which a job is perceived as important and having impact on the company or consumers is referred to as task _____. a. complexity b. identity c. significance d. structure e. simplification 99. Abbey works at Railroad Ties. Her bosses continually indicate that her motivational level is low. Abbey agrees but is unwilling to work harder until the company changes the types of reward it offers its employees. Which of the following is low for Abbey? a. E → P expectancy b. O → P expectancy c. Valence d. Motivators e. O → E indicators 100. Which of the following describes the value or attraction an individual has for an outcome? a. Motivators b. Valence c. O → V expectancy d. P → O expectancy e. E → V expectancy

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Chap 12_12e_Daft 101. Which of the following focuses on employee learning of desired work behaviors? a. Reinforcement theory b. ERG theory c. Hierarchy of needs theory d. Experiential learning theory e. Content theory 102. Theories that explain how employees select the behaviors that allow them to meet their needs are known as _____. a. content theories b. contingency theories c. process theories d. need hierarchy theories e. reinforcement theories 103. Recent research shows that the majority of people who leave their jobs point to which of the following as a major reason for leaving? a. They feel that their employer participates in poor pay practices. b. They feel a lack of appreciation. c. They don't believe in what the organization stands for. d. They don't like their colleagues. e. They don't like their boss. 104. Nely is motivated by a strong need for recognition and is continually seeking credit for his contributions to the organization. According to Maslow, Nely is motivated by which category of needs? a. Physiological b. Safety c. Belongingness d. Esteem e. Self-actualization 105. In goal-setting theory, which of the following refers to the idea that employees have to "buy into" goals? a. Goal specificity b. Goal difficulty c. Goal acceptance d. Feedback e. Motivation

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Chap 12_12e_Daft 106. Susannah enjoys her job as a teacher, not because of the pay or benefits, but because she feels good about shaping the minds of tomorrow’s leaders. Susannah is motivated by _____. a. power factors b. leadership factors c. hygiene factors d. extrinsic rewards e. intrinsic rewards 107. Katie dislikes almost everything about her job. The only reason she continues to work at Mace Autobody is the excellent benefits package she receives. Katie is motivated by _____. a. extrinsic rewards b. intrinsic rewards c. variable rewards d. all of these choices e. none of these choices 108. Which category of theories concerns the thought processes that influence behavior? a. Process b. Reinforcement c. Content d. Needs e. Maslow's 109. Which of the following is defined as the altering of jobs to improve both the quality of employees' work experience and their productivity? a. Job design b. Work redesign c. Skill variety d. Feedback e. Job enrichment 110. Ryzard, a sales associate at an electronics store, learns that his base pay is higher than any other sales associate in the store. He justifies his higher salary with the idea that he must be a top sales associate, generating more revenue than anyone else. This example demonstrates which method for reducing perceived inequity? a. Working harder, not smarter b. Changing outcomes c. Changing work effort d. Changing perceptions e. Leaving the job

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Chap 12_12e_Daft 111. The delegation of power and authority to subordinates is referred to as _____. a. need for power b. need for achievement c. empowerment d. passing the buck e. need of affiliation 112. Which of the following is defined as the application of motivational theories to the structure of work for improving productivity and satisfaction? a. Job design b. Job enlargement c. Job simplification d. Job characteristics e. Job enrichment 113. Which of the following systematically moves employees from one job to another, thereby providing variety and stimulation? a. Job simplification b. Job rotation c. Job enlargement d. Job enrichment e. None of these choices 114. Which of the following theories emphasizes the needs that motivate people? a. Process b. Reinforcement c. Content d. Contingency e. Situational 115. Which of the following is NOT a common method for reducing a perceived inequity? a. Change work effort. b. Change outcomes. c. Change perceptions. d. Leave the job. e. Change equity. 116. Which theory focuses on an individual's perceptions of how fairly they are treated compared with others? a. ERG b. Hierarchy of needs c. Goal-setting d. Expectancy e. Equity Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 117. Which of the following needs describes the most basic human physical needs, including food, water, and oxygen? a. Self-actualization b. Physiological c. Esteem d. Belongingness e. Safety 118. Which motivation theory proposes that needs must be satisfied in sequence? a. Reinforcement b. ERG c. Hierarchy of needs d. Experiential learning e. Social learning 119. Which of the following involves whether successful performance will lead to the desired outcome? a. E → P expectancy b. P → O expectancy c. O → P expectancy d. P → E expectancy e. None of these choices 120. Which of the following theories focuses on employee learning of desired work behaviors? a. Contingency b. Situational c. Content d. Process e. Reinforcement 121. Which theory is based on the relationships between effort, performance, and outcomes? a. Equity b. Expectancy c. Reinforcement d. Two-factor e. ERG

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Chap 12_12e_Daft 122. A modification of the needs hierarchy theory that proposes three categories of needs—existence, relatedness, and growth—is called the _____. a. ERG theory b. goal-setting theory c. equity theory d. hierarchy of needs theory e. expectancy theory 123. Which theory suggests that motivation depends on individuals' expectations about their ability to perform tasks and receive desired rewards? a. ERG b. Hierarchy of needs c. Goal-setting d. Expectancy e. Equity 124. Which of the following combines a number of tasks horizontally into one, new broader job? a. Job simplification b. Job rotation c. Job enrichment d. All of these choices e. None of these choices 125. Which of the following is the name given to the set of techniques by which reinforcement theory is used to modify human behavior? a. Reinforcement b. Behavior modification c. Punishment d. Avoidance learning e. Vicarious learning 126. The removal of an unpleasant consequence following a desired behavior is referred to as _____. a. avoidance learning b. punishment c. positive reinforcement d. extinction e. inefficient management

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Chap 12_12e_Daft 127. Which of the following is an example of an intrinsic reward? a. Employee's feelings of self-worth b. Pat on the back from a boss c. Pay raise d. Promotion e. Bonus 128. Which of the following is sometimes called negative reinforcement? a. Avoidance learning b. Punishment c. Positive reinforcement d. Extinction e. Neutral learning 129. Allowing employees to choose how they complete a task is an example of providing employees with which element of empowerment? a. Employees have the power to make substantive decisions. b. Employees have the knowledge and skills to contribute to company goals. c. Employees receive information about company performance. d. Employees are rewarded based on company performance. e. None of these choices provides an example of employee empowerment. 130. Which theory explains how workers select behavioral actions to meet their needs and determine whether their choices were successful? a. Coalition b. Content c. Goal-setting d. Process e. None of these choices 131. Which of the following refers to a reward given by another person? a. Intrinsic reward b. Internal reward c. Extrinsic reward d. Valued reward e. Charity

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Chap 12_12e_Daft 132. Which of the following is the extent to which doing the job provides information back to the employee about their performance? a. Feedback b. Assessment c. Evaluation d. Satisfaction e. Fulfillment 133. Which of the following is the imposition of unpleasant outcomes on an employee? a. Avoidance learning b. Punishment c. Positive reinforcement d. Extinction e. Avoiding punishment 134. A situation in which employees enjoy their work, contribute enthusiastically to meeting goals, and feel a sense of belonging and commitment to the organization is known as _____. a. commitment b. engagement c. employee loyalty d. employee assurance e. employee guarantee 135. Tanek is a manager at Chuck's Construction. He sees little opportunity for advancement at Chuck's Construction, regardless of how well he performs. Which of the following expectancies is low for Tanek? a. E → P expectancy b. O → V expectancy c. P → O expectancy d. E → V expectancy e. None of these choices 136. Braden publicly praises his employees when they have achieved their goals. Braden hopes this will increase the likelihood of goal achievement in the future. This scenario is an example of which of the following? a. Extinction b. Negative reinforcement c. Avoidance learning d. Positive reinforcement e. None of these choices

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Chap 12_12e_Daft 137. In goal-setting theory, which of the following refers to the degree to which goals are concrete and unambiguous? a. Goal specificity b. Goal difficulty c. Goal acceptance d. Feedback e. Motivation 138. Which theory proposes that an individual's motivation can result not just from direct experience of rewards and punishments but also from the person’s thoughts and beliefs and his or her observations of other people’s behavior? a. Reinforcement theory b. Hierarchy of needs theory c. ERG theory d. Experiential learning theory e. Social learning theory 139. The job characteristic of feedback provides the worker with _____. a. employee growth-need strength b. experienced meaningfulness of work c. experienced responsibility d. knowledge of actual results e. demotivation 140. According to Maslow, to which category do the highest order of needs belong? a. Self-actualization b. Physiological c. Esteem d. Belongingness e. Safety 141. Kara and Sheldon are both middle managers at Gotcha International. Kara is dissatisfied because she knows that Sheldon makes more in salary even though, in Kara's opinion, she works longer hours than he does. If Kara wishes to reduce this perceived inequity, what could she do? a. She could reduce the number of hours she works. b. She could increase her level of absenteeism. c. She could ask for a raise. d. She could do all of these choices. e. She should do none of these.

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Chap 12_12e_Daft 142. Which of the following are high-level needs, according to Herzberg, and include achievement, recognition, responsibility, and opportunity for growth? a. Hygiene factors b. Extrinsic factors c. Motivators d. Dissatisfiers e. All of these choices 143. Which of the following influences the critical psychological state of experienced meaningfulness of work? a. Skill variety b. Task significance c. Task identity d. All of these choices e. None of these choices 144. According to McClelland, successful attainment of top levels in the organizational hierarchy is associated with a high need for _____. a. power b. achievement c. affiliation d. success e. expertise 145. Which of the following is the degree to which the worker has freedom, discretion, and self-determination in planning and carrying out tasks? a. Job design b. Autonomy c. Skill variety d. Feedback e. Task significance 146. Which of the following occurs when an individual sees others perform certain behaviors and get rewarded for them? a. Vicarious learning b. Self-efficacy c. Self-reinforcement d. Delegation e. Experiential learning

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Chap 12_12e_Daft 147. According to Herzberg, which of the following is an example of a hygiene factor? a. Achievement b. Recognition c. Pay d. Responsibility e. Opportunity for growth 148. One of your fellow team members at work is continually disrupting the work environment with jokes and general horseplay. You hope that by ignoring him he will stop this senseless behavior. You are attempting to use which reinforcement tool? a. Extinction b. Positive reinforcement c. Negative reinforcement d. Avoidance learning e. Desired behavior is reinforced annually 149. Which of the following is defined as the arousal of enthusiasm and persistence to pursue a certain course of action? a. Commitment b. Motivation c. Satisfaction d. Rewarding behavior e. Behavior modification 150. List the four types of reinforcement.

151. List the four content theories discussed in the text.

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Chap 12_12e_Daft Scenario - Daniel Zorn Daniel Zorn is a successful manager for one of the subsidiaries at Eagles Unlimited. He is responsible for 232 workers and has a span of control of eight lower-level managers. Daniel has decided to try to improve performance and productivity by the careful use of motivational theories. 152. One of Daniel's best employees has a driving need to be able to attain a high standard of success, to master complex tasks, and to surpass others. Daniel recognizes these acquired needs as which of the following? a. The need for accomplishment b. The need for power c. The need for affiliation d. The need for adaptation e. None of these choices

153. List the three needs proposed by Clayton Alderfer.

Scenario - Daniel Zorn Daniel Zorn is a successful manager for one of the subsidiaries at Eagles Unlimited. He is responsible for 232 workers and has a span of control of eight lower-level managers. Daniel has decided to try to improve performance and productivity by the careful use of motivational theories. 154. Which of the following hygiene factors—or dissatisfiers—can Daniel influence? a. Salary and wages b. Supervision relationships c. Working conditions d. Company policies e. All of these choices

155. List the five core job dimensions found in the job characteristics model.

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Chap 12_12e_Daft Scenario - Daniel Zorn Daniel Zorn is a successful manager for one of the subsidiaries at Eagles Unlimited. He is responsible for 232 workers and has a span of control of eight lower-level managers. Daniel has decided to try to improve performance and productivity by the careful use of motivational theories. 156. Motivator factors that Daniel can change and influence include all of the following except _____. a. recognition b. growth opportunities c. achievement d. salary e. personal growth

157. Daniel understands that perceived inequity creates tensions within individuals that motivate them to bring equity back into balance, and one of his production supervisors feels that he is underpaid. Which of the following is a common method for reducing perceived inequity? a. Change one's inputs to the organization. b. Change one's outcomes from the organization. c. Distort one's perception. d. Leave the job for a new one. e. All of these choices are common methods for reducing perceived inequity.

158. In David McClelland's acquired needs theory, what are the three acquired needs most commonly discussed and which are not dependent on relationships with other people?

159. When employees enjoy their work and actively contribute to their organization's goals, they are said to be engaged. Describe the three elements that create employee engagement and name several practical ways managers can implement these elements in today's workplace.

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Chap 12_12e_Daft 160. How do managers motivate a diverse workforce toward common organizational goals? Summarize the concept of motivation and compare the types of rewards that help drive workers to an outcome of high performance. If you know of one, include an example of a company that you believe offers exceptional employee rewards.

161. Explain employee growth-need strength and its relationship to the job characteristics model.

162. A job is the unit of work for which a single employee is responsible. Describe how and why today's managers seek to design jobs that are not only efficient, but also provide employee stimulation and satisfaction. Give an example to illustrate your answer.

163. Briefly explain expectancy theory.

164. Differentiate between intrinsic and extrinsic rewards.

165. Several accepted theories explain how people decide which behavioral actions meet their needs and assess whether their choices are successful. Three process theories are goal-setting, equity, and expectancy. Choose one process theory and argue why it is most effective in energizing and motivating workers.

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Chap 12_12e_Daft 166. Imagine you are the manager of a pizza restaurant. You cannot afford to give your employees raises, but you do want to motivate them. Would you consider using empowerment? Why, or why not? If so, how would you go about empowering your employees?

167. Compare the five groups of needs in Maslow's theory with the three groups of needs in Alderfer's ERG theory.

168. Briefly describe social learning theory and its three elements.

169. Briefly describe Maslow's hierarchy of needs theory.

170. Describe the four elements that enable employees to become empowered.

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Chap 12_12e_Daft Answer Key 1. False 2. False 3. False 4. True 5. False 6. True 7. True 8. True 9. True 10. True 11. True 12. True 13. True 14. False 15. True 16. True 17. False 18. True 19. True 20. True 21. True 22. False 23. True 24. False 25. True 26. True

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Chap 12_12e_Daft 27. False 28. False 29. True 30. True 31. True 32. False 33. False 34. True 35. True 36. True 37. True 38. False 39. True 40. False 41. True 42. False 43. True 44. False 45. False 46. False 47. True 48. True 49. b 50. a 51. e 52. b 53. c 54. d Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 55. a 56. e 57. b 58. b 59. e 60. d 61. d 62. b 63. d 64. a 65. c 66. d 67. c 68. b 69. b 70. b 71. d 72. c 73. d 74. c 75. c 76. d 77. c 78. b 79. c 80. b 81. a 82. b Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 83. a 84. b 85. a 86. a 87. b 88. b 89. d 90. b 91. c 92. d 93. c 94. b 95. c 96. b 97. d 98. c 99. c 100. b 101. a 102. c 103. b 104. d 105. c 106. e 107. a 108. a 109. b 110. d Copyright Cengage Learning. Powered by Cognero.

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Chap 12_12e_Daft 111. c 112. a 113. b 114. c 115. e 116. e 117. b 118. c 119. b 120. e 121. b 122. a 123. d 124. e 125. b 126. a 127. a 128. a 129. a 130. d 131. c 132. a 133. b 134. b 135. c 136. d 137. a

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Chap 12_12e_Daft 138. e 139. d 140. a 141. d 142. c 143. d 144. a 145. b 146. a 147. c 148. a 149. b 150. (1) Positive reinforcement, (2) Avoidance learning, (3) Punishment, and (4) Extinction 151. (1) Hierarchy of needs theory, (2) ERG theory, (3) Two-factor theory, and (4) Acquired needs theory 152. e 153. (1) Existence needs, (2) Relatedness needs, and (3) Growth needs 154. e 155. (1) Skill variety, (2) Task identity, (3) Task significance, (4) Autonomy, and (5) Feedback 156. d 157. e 158. The three needs are the need for achievement, the need for power, and the need for affiliation. The need for affiliation is the need for friendships with other people. The need for power is the need to influence people. The need for achievement is the desire to accomplish something. While relationships with other people are implicit in the needs for affiliation and power, relationships with other people are not central to the need for achievement. 159. Three elements that create employee engagement are sense of meaningfulness (employees feel they are accomplishing important work), a sense of connection (employees feel connected to the company, to coworkers, and to their managers), and a sense of competency and growth (employees are provided with opportunities to learn and advance). Student examples will vary. One good example of practical implementation includes a departmental newsletter that provides feedback on unit progress and boosts morale among coworkers.

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Chap 12_12e_Daft 160. Motivation refers to internal or external forces that make a person pursue a course of action. Workers can be motivated by need for money, sense of belonging, recognition, sense of accomplishment, and rewards for their efforts. Intrinsic rewards are the internal satisfactions that accompany performing a certain action; extrinsic rewards come from others, such as managers who provide promotions, high pay, and praise. Employees can also be motivated by fear, but fear almost always has negative consequences for employee development and long-term performance. Student examples will vary. 161. Growth-need strength means that people have different needs for growth and development. Growth-need strength would influence the effectiveness of the job characteristics model in terms of personal and work outcomes. If a person has low-level needs, such as needs for security or belongingness, the impact of the job characteristics model would be minimized. On the other hand, people with a high need to grow and expand their abilities should respond very favorably to the model, and there should be significant improvement in the outcomes of interest. 162. Simple, repetitive jobs can be boring. Managers can use job rotation, where employees systematically move from one job to another, to provide variety and stimulation; and they can also combine simple tasks into a broader one, known as job enlargement. Job enrichment can give employees more control over resources and uses recognition and opportunities for growth as motivation. The more employees are motivated, the higher their performance, quality of work, and satisfaction. Employees may be motivated by skill variety in a job, task identity (where a job has a recognizable beginning and end), task significance (perceived importance of a job), autonomy (amount of discretion and self-determination a job allows), and feedback (where employees can see the results of their work). People and cultures are different, however, and what motivates in one individual or culture may not apply to another. Student examples will vary. 163. Expectancy theory is concerned not with identifying types of needs, but rather with the thinking process that individuals use to achieve rewards. It is based on the relationship between the individual's effort, the individual's performance, and the desirability of outcomes associated with high performance. The key to expectancy theory lies in understanding three key variables. The first variable is the relationship between effort and high performance (E → P expectancy). What is the expectancy that putting effort into a task will lead to high performance? The second variable is the relationship between successful performance and desired outcomes (P → O expectancy). What is the expectancy that successful performance will lead to the desired outcome? The final variable is valence (i.e., the value or attraction of the outcome to individuals). Thus, motivation is a function of the individual's expectations about his or her ability to perform tasks and receive desired rewards. 164. Intrinsic rewards are the satisfaction that a person receives in the process of performing a particular action. Extrinsic rewards originate externally and are rewards given by another person. 165. Goal setting: Specific, challenging goals increase motivation and performance, especially when feedback indicates progress toward achievement. Equity: Worker perception of fairness motivates because it reduces tensions that result from perceived potential inequity. Expectancy: Relates individual effort to performance and desired outcome. Student responses will vary on which theory they feel is the most effective motivator.

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Chap 12_12e_Daft 166. Empowerment comes from the top down; it involves power sharing, the delegation of power and authority to subordinates. Empowerment involves giving employees information (financial and operational), knowledge (through training and development programs), power (authority to influence work procedures), and rewards. Research shows that empowerment typically increases employee satisfaction, motivation, and productivity. Student responses will vary. 167. Physiological and safety needs in Maslow's theory correspond to the existence need in Alderfer's theory. Belongingness and the need for esteem from other people in Maslow's theory correspond to the relatedness need in Alderfer's theory. Finally, the need for self-esteem and self-actualization in Maslow's theory correspond to Alderfer's need for growth. 168. Social learning theory proposes that an individual's motivation can result not just from direct experience of rewards and punishments but also from the person's thoughts and beliefs and their observations of other people's behavior. Vicarious learning occurs when an individual sees others perform certain behaviors and get rewarded for them. Selfreinforcement refers to an individual motivating themselves by setting goals and ways of reaching them and then providing positive reinforcement to themselves when goals are achieved. Self-efficacy is an individual's belief about their own abilities to successfully accomplish a specific task or outcome. 169. Maslow's theory is a content theory that proposes that people are motivated by five categories of needs that exist in a hierarchical order. These needs include physiological, safety, belongingness, esteem, and self-actualization. According to Maslow's theory, lower-order needs take priority; they must be at least partially satisfied before higherorder needs are even recognized or experienced. Any unsatisfied need is a motivating need. 170. Empowering employees involves giving them four elements that enable them to act more freely to accomplish their jobs: information, knowledge, power, and rewards. 1. Employees receive information about company performance. In companies where employees are fully empowered, all employees have access to all financial and operational information. 2. Employees have knowledge and skills to contribute to company goals. Companies use training programs to help employees acquire the knowledge and skills they need to contribute to organizational performance. 3. Employees have the power to make substantive decisions. Empowered employees have the authority to directly influence work procedures and organizational performance, such as through quality circles or self-directed work teams. 4. Employees are rewarded based on company performance. Organizations that empower workers often reward them based on the results shown in the company's bottom line. Organizations may also use other motivational compensation programs that tie employee efforts to company performance.

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Chap 13_12e_Daft Indicate whether the statement is true or false. 1. Channel richness is the number of cues and the level of potential noise in a channel that is selected for communication. a. True b. False 2. The process by which information is exchanged and understood by two or more people is the definition of communication. a. True b. False 3. Managers facilitate effective conversations by using open communication, actively listening to others, asking questions, and using feedback for learning and change. a. True b. False 4. The receiver is likely to give more weight to behavioral actions than to verbal messages when verbal and nonverbal messages are contradictory. a. True b. False 5. Horizontal communication is the lateral or diagonal exchange of messages among peers or coworkers. a. True b. False 6. A formal communication channel is a communication channel that flows within the chain of command. a. True b. False 7. Acquiring and cultivating personal relationships that cross departmental, hierarchical, and even organizational boundaries is known as personal networking. a. True b. False 8. An example of upward communication is performance feedback. a. True b. False 9. Formulating in your mind what you are going to say next is an important part of effective listening. a. True b. False 10. Social media does not include blogs and wikis. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 11. About 80% of communication occurs nonverbally. a. True b. False 12. Types of information generally communicated upward include performance reports, suggestions for improvement, and performance feedback. a. True b. False 13. By selecting rich channels, managers can communicate nonroutine messages effectively. a. True b. False 14. For most women, talk is primarily a means to preserve independence and negotiate and maintain status in a hierarchy. a. True b. False 15. A decentralized network is a team communication structure in which team members freely communicate with one another and arrive at decisions together. a. True b. False 16. An informal, person-to-person communication network of employees that is not officially sanctioned by the organization is known as the grapevine. a. True b. False 17. Communication can break down if sender and receiver do not encode or decode language in the same way. a. True b. False 18. Creating a climate of trust and openness is important to enhance organization communication. a. True b. False 19. E-mail is the best channel for communication when a manager is angry. a. True b. False 20. Many companies are using social media to connect with and listen to customers. a. True b. False

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Chap 13_12e_Daft 21. The grapevine is a type of personal channel used in many organizations. a. True b. False 22. A poor listener listens to central themes. a. True b. False 23. Routine messages typically are ambiguous, concern novel events, and impose great potential for misunderstanding. a. True b. False 24. The sender must encode the message and select a communication channel after developing the message. a. True b. False 25. The choice of a communication channel can convey a symbolic meaning to the receiver. a. True b. False 26. Interdepartmental coordination refers to messages that take place among members of the same department and concern task accomplishment. a. True b. False 27. Managers persuade and influence others by issuing directives. a. True b. False 28. Messages that are designed to share information among teams and departments that can help the organization change, grow, or improve are classified as horizontal communication. a. True b. False 29. Face-to-face discussion is the richest channel, in terms of channel richness. a. True b. False 30. To inspire employees to achieve goals in today's difficult economic environment, some male managers are shifting to a more female-oriented communication style. a. True b. False

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Chap 13_12e_Daft 31. In order to add weight to a message and keep an issue at the top of employees' minds, managers should communicate by using multiple channels. a. True b. False 32. Without feedback, communication is only a two-way process, sender to receiver and receiver to sender. a. True b. False 33. Routine messages tend to be simple and straightforward, such as conveying data or statistics. a. True b. False 34. Procedures and practices are downward communication topics. a. True b. False 35. A good listener is passive and laid back. a. True b. False 36. The topics covered in upward communication are indoctrination and implementation of goals and strategies. a. True b. False 37. Communication is the process by which information is transmitted from the speaker to the listener. a. True b. False 38. Managers spend 80% of every working day doing desk work. a. True b. False 39. Communication permeates every management function. a. True b. False 40. Impersonal written media, including flyers and bulletins, are the lowest in channel richness. a. True b. False 41. Performance reports and suggestions for improvement are two types of upward communication. a. True b. False

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Chap 13_12e_Daft 42. Research has found that communication channels differ in their capacity to convey data. a. True b. False 43. Team members, in decentralized networks, must communicate through one individual to solve problems or make decisions. a. True b. False 44. An individual's level of fear or anxiety associated with interpersonal communication experiences is called communication apprehension. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 45. Which of the following is the lateral or diagonal exchange of messages among peers or coworkers? a. Open communication b. Downward communication c. Upward communication d. Horizontal communication e. Centralized network 46. To be effective communicators, managers should _____. a. focus primarily on enhancing downward communication in the organization b. enhance lateral communication opportunities by encouraging teams c. limit their use of communication technology d. strictly push for face-to-face communication e. encourage the use of multiple channels of communication 47. Which of the following is defined as messages sent through human actions and behaviors rather than through words? a. Open communication b. Nonverbal communication c. Listening d. Channel richness e. Centralized network 48. Which of the following is a NOT a key to effective listening? a. Resist distractions. b. Listen for ideas. c. Keep an open mind. d. Have preconceptions. e. Capitalize on the fact that thought is faster than speech. Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 49. What percentage of a manager's time is spent in direct communication? a. 20% b. 40% c. 50% d. 80% e. 100% 50. Setareh is a part of a software engineering team. Her task is to develop a diagnostic program for the medical profession. This is a very complex task. Which type of communication structure would work best for her group? a. Linear b. Centralized c. Decentralized d. Focused e. All of these choices 51. Because knowledge, attitudes, and background act as filters, potential sources for communication errors include which of the following? a. Encoding and channel b. Encoding and noise c. Decoding and channel d. Decoding and encoding e. Decoding and noise 52. Jennifer composes an e-mail from home to her boss to inform him that she will be late getting to work that day. The act of composing an e-mail involves which stage of the communication process? a. Selecting a channel b. Sifting through noise c. Providing feedback d. Encoding the message e. Decoding the message 53. Jayden, a divisional vice president of a consumer goods manufacturer, gives a presentation to all divisional employees to outline the company's goals for the coming year. This is an example of which type of organizational communication? a. Virtual b. Grapevine c. Lateral d. Downward e. Upward

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Chap 13_12e_Daft 54. A manager might use which of the following as a type of communication? a. Meetings b. Telephone conversations c. Talking informally d. E-mail e. All of these choices 55. Which of the following is NOT a way that managers persuade and influence? a. Establish credibility and trust. b. Build goals on common ground. c. Keep distance from employees. d. Connect emotionally. e. Use multiple media. 56. Communication is one-way without which of the following? a. Feedback b. Decoding c. A message d. Encoding e. None of these choices 57. Which of the following has the lowest channel richness? a. Electronic mail b. Bulletins c. Face-to-face talk d. Telephone e. Memos 58. For complex problems, which communication network is most effective for swift, accurate problem resolution? a. Linear b. Centralized c. Decentralized d. Circular e. All of these choices 59. Which kinds of skills are fundamental necessities in every part of a manager's job? a. Organizational b. Communication c. MBWA d. Analysis e. Punishment

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Chap 13_12e_Daft 60. For most women, conversation is primarily _____. a. a means to preserve independence b. a way to tell stories c. used to exhibit their knowledge d. used to pass information e. a language of rapport 61. Which of the following is one of the 10 keys to effective listening? a. Listen for facts. b. Listen for ideas. c. Be passive and laid back. d. Have preconceptions. e. All of these choices are keys to effective listening. 62. Listening is what percent of effective communication? a. 10% b. 25% c. 40% d. 50% e. 75% 63. A good listener is someone who _____. a. asks questions, listens for facts, and avoids distractions b. asks questions, summarizes, and listens to central themes c. shows interest, judges content, and has preconceptions d. listens between lines, starts to argue, and works hard e. shows interest, works hard, and starts to argue 64. Which of the following links employees in all directions, ranging from the president through middle management, support staff, and line employees? a. Management by wandering around b. Vertical communication c. Diagonal communication d. The grapevine e. Upward communication 65. Channel richness refers to the _____. a. number of messages a channel can carry at one time b. speed in which messages can be carried c. amount of information that can be transmitted during a communication episode d. number of channels available at any one time e. profitability potential of a proposed channel Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 66. Compared to men, women tend to _____. a. use verbal language to exhibit knowledge and skill b. stare and point more c. enjoy demonstrating their knowledge d. use their unique conversational style to show involvement e. value their position at center stage 67. Which of the following is defined as the amount of information that can be transmitted during a communication episode? a. Channel richness b. Electronic mail c. Encoding d. Upward communication e. Feedback 68. Selecting the symbols used to compose a message is involved in which part of the communication process? a. Feedback b. Decode c. Message d. Encode e. None of these choices 69. Which of the following is NOT an example of nonverbal communication? a. Posture b. Facial expression c. Voice d. Written memo e. Body language 70. Sandi is meeting with her subordinate Mike for his annual performance review. At the end of the review, Mike tells Sandi that he is confused about some things she said. By asking Sandi to explain certain things in more detail, Mike is engaging in which component of the communication process? a. Selecting a channel b. Sifting through noise c. Providing feedback d. Encoding the message e. Decoding the message

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Chap 13_12e_Daft 71. When an electronic mail system is inserted as part of the communication system, which element of the communication process is changed? a. Channel b. Message c. Sender d. Filter e. Receiver 72. Communication is defined by the text as the process by which information is _____. a. shared b. exchanged and understood by two or more people c. received d. transmitted to others e. stored 73. Which of the following is necessary for communication to be considered two-way? a. Message b. Channel c. Feedback d. Noise e. Circuit 74. Downward communication is usually used to communicate information about all of the following except _____. a. indoctrination b. procedures c. performance feedback d. suggestions for improvement e. implementation of goals 75. The grapevine is an important means of communication that exists in companies. Most of the information passed through the grapevine is best described as which of the following? a. Personal information b. Vicious gossip c. Business-related d. Destructive because it is not accurate e. None of these choices

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Chap 13_12e_Daft 76. During breaks at work, Albert and Daphne talk occasionally about the problems that they are working on at work, in hopes that they can help each other out. This is an example of which type of organizational communication? a. Virtual b. Formal c. Horizontal d. Downward e. Upward 77. Lacinda, a top-level manager at INF Inc., has the difficult task of informing 12 employees that they are about to be laid off. Which communication channel should Lacinda use to break the news? a. Face-to-face b. E-mail c. Instant messaging d. Telephone e. Handwritten letter 78. Which communication channel would be most successful to inform managers of an impending companywide layoff? a. Telephone conversations b. Face-to-face contact c. Electronic media d. Written media e. None of these choices 79. Which of the following is NOT an element of workplace communication for managers to master? a. Using social media to improve internal and external communication b. Using external, personal communication networks c. Using informal, personal communication networks d. Using formal communication channels e. All of these are elements of workplace communication for managers to master. 80. Managers' communication directs everyone's attention toward the vision, values, and desired goals of the team or organization and influences people to act in a way to achieve the goals. In other words, managers' communication is _____. a. image-directed b. idea-directed c. purpose-directed d. communication-directed e. need-directed

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Chap 13_12e_Daft 81. Simona, a front-line manager at an automobile manufacturer, wants to demonstrate to Allison, a new trainee, how her job relates to other organizational activities. This encompasses which downward communication topic? a. Goals b. Practices c. Performance feedback d. Indoctrination e. Job instructions 82. Which of the following refers to a group of Internet-based applications that allows the creation and exchange of user-generated content? a. Personal communication networks b. Personal networking c. Social media d. Informal communication channels e. Formal communication channels 83. Which of the following is the best advice for written communication that is highly important? a. Use technology channels to distribute the message. b. Use pretentious language. c. Keep it long. d. Use jargon. e. Get a second opinion. 84. Many organizations use suggestion boxes, open door policies, and surveys to facilitate which type of communication? a. Upward b. Downward c. Formal d. Informal e. Diagonal 85. Nonverbal communication has the biggest impact when using _____. a. a video conference b. the telephone c. a formal letter d. face-to-face communication e. a newspaper article

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Chap 13_12e_Daft 86. Which of the following is defined as translating the symbols used in a message for the purpose of interpreting its meaning? a. Providing feedback b. Decoding c. Forming the message d. Encoding e. None of these choices 87. Which of the following involves the skill of grasping both facts and feelings to interpret a message's genuine meaning? a. Communication b. Listening c. Managing d. Reception e. Telling 88. Managers' communication directs everyone's attention toward the vision, values, and desired goals of the team or organization and influences people to act in a way that will help to achieve those goals. Thus, managers' communication is said to be _____. a. strategic b. purpose-directed c. intentionally driven d. internal e. external 89. Which of the following refers to a team communication structure in which team members freely communicate with one another and arrive at decisions? a. Decentralized network b. Centralized network c. Linear network d. Circular network e. Gossip structure 90. Which of the following is defined as the messages and information sent from top management to subordinates? a. Manager feedback b. Downward communication c. Upward communication d. Horizontal communication e. Centralized network

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Chap 13_12e_Daft 91. According to the text, all of the following are ways managers can improve their writing skills except _____. a. writing lengthy explanations b. respecting the reader c. getting a second opinion d. knowing your point and getting to it e. writing clearly rather than impressively 92. Which of the following is defined as the acquisition and cultivation of personal relationships that cross departmental, hierarchical, and even organizational boundaries? a. Personal networking b. The grapevine c. Dynamic relationship d. Network nurturing e. Fundraising 93. Sometimes managers can build credibility and trust by doing which of the following? a. Engaging in redundant communication b. Avoiding interpersonal communication c. Showing their vulnerability d. Requiring a centralized network e. All of these choices 94. What are the key elements of communication? a. Encoding, message, and feedback b. Encoding, noise, and symbols c. Message, circuit, and decoding d. Feedback, message, and perception e. Feedback, circuit, and perception 95. Which of the following is the most familiar and obvious flow of formal communication? a. Downward b. Gossip c. Horizontal d. Upward e. Vertical 96. Messages flow from the lower to the higher levels in an organization's hierarchy through which formal channel? a. Open communication b. Downward communication c. Upward communication d. Horizontal communication e. Centralized network Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 97. When interviewing prospective employees, Sam, a seasoned manager, often observes hand gestures, facial expressions, and use of space to gauge individuals' personalities. These are all examples of _____. a. listening b. nonverbal communication c. empathizing d. direct communication e. nuance communication 98. To inform staff of the date for a company picnic, which communication channel would be most practical and successful? a. Memo b. Telephone conversation c. Video conference d. Face-to-face conversation e. Newspaper notice 99. Which of the following communication channels does NOT focus on a single receiver, uses limited information cues, and does NOT permit feedback? a. Bulletins b. Telephone conversations c. Video conference d. Face-to-face contact e. A personal memo 100. When a group of workers have routine tasks to perform, which of the following communication structures allows more time for the task to be completed? a. Linear b. Centralized c. Decentralized d. Gossip e. Team 101. Good listeners exhibit all of the following characteristics except _____. a. asking questions b. having preconceptions c. tolerating bad habits d. judging content, not delivery errors e. using thought speed to anticipate what the speaker says

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Chap 13_12e_Daft 102. Which of the following is an informal, person-to-person communication network of employees that is not officially sanctioned by the organization? a. Centralized network b. Downward communication c. Upward communication d. Decentralized network e. The grapevine 103. Which of the following are examples of channels that managers might choose to use when communicating with employees? a. Newsletter, telephone, and feedback b. Telephone, electronic mail, and memo c. Television, encoding, and letter d. National newspapers and television e. All of these choices 104. The most successful organizations are the ones whose managers do which of the following? a. Keep a distance from employees b. Keep the lines of communication open c. Listen to their employees d. Ensure that production remains high e. None of these choices 105. Which of the following is defined as sending the same message using different channels? a. Redundant communication b. Communication apprehension c. Centralized communication d. Nonverbal communication e. Open communication 106. Will explains to his boss that his computer has a virus and that it needs to be scanned and cleaned. This is an example of which topic of upward communication? a. Problems and exceptions b. Suggestions for improvement c. Performance reports d. Grievances and disputes e. Financial and accounting information

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Chap 13_12e_Daft 107. Which of the following occurs when a manager uses evaluation and communication to help individuals learn about themselves and improve? a. Open communication b. Channel richness c. Nonverbal cues d. Manager feedback e. Listening 108. Which of the following is typically ambiguous, concerns novel events, and imposes great potential for misunderstanding? a. Nonroutine message b. Channel richness c. Routine message d. Feedback e. Nonverbal communication 109. Ronald, a new associate at Barkley and Sons, is working to cultivate personal relationships with individuals outside of his department in hopes that someday these relationships will help him succeed professionally. Ronald is developing which of the following? a. Informal channel of communication b. Personal communication networks c. An organizational grapevine d. Focus groups e. A career pathway team 110. In a centralized network, how do team members communicate? a. Team members are free to interact with any of the team members. b. Team members communicate through one individual to make decisions. c. Team members communicate with an assigned partner. d. Team members work independently and there is no need for communication. e. None of these choices describe how team members communicate in a centralized network. 111. An individual's level of fear or anxiety associated with either real or anticipated communication is referred to as _____. a. leadership trepidation b. public consternation c. anticipation nervousness d. communication medium e. communication apprehension

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Chap 13_12e_Daft 112. Which of the following is a team communication structure in which members communicate through a single individual to solve problems or make decisions? a. Open communication b. Decentralized network c. Manager feedback d. Channel richness e. Centralized network 113. Which of the following types of communication is defined as a channel that flows within the chain of command or task responsibility defined by the organization? a. Formal b. Horizontal c. Downward d. Upward e. Diagonal 114. Upward communication is usually used to relay information about all of the following except _____. a. suggestions for improvement b. performance reports c. indoctrination d. financial and accounting information e. grievance and disputes 115. What does the receiver do during the communication process? a. Encodes the symbols to interpret the meaning of the message b. Transmits the symbols to interpret the meaning of the message c. Decodes the symbols to interpret the meaning of the message d. Responds to the symbols to interpret the meaning of the message e. Ignores the symbols to interpret the meaning of the message 116. Which of the following is defined as the tangible formulation of the idea that is sent to the receiver? a. Feedback b. Decode c. Message d. Encode e. None of these choices

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Chap 13_12e_Daft 117. In the communication process, which of the following has the responsibility to decode the symbols and interpret the meaning of the message? a. Sender b. Receiver c. Channel d. Filter e. Middleman 118. Highly successful salespeople spend what percent of a sales call letting the customer talk? a. 5–10% b. 15–20% c. 40–50% d. 60–70% e. 90–100% 119. Which type of communication is used for solving intradepartmental problems, interdepartmental coordination, and change initiatives and improvements? a. Downward b. Horizontal c. Upward d. Vertical e. Informal 120. Which type of messages convey data or statistics or simply put into words what managers already agree on and understand? a. Nonroutine b. Routine c. Instant d. Grapevine e. Qualitative 121. Which of the following networks coexist with formal channels without regard for an organization's hierarchy of authority? a. Management by wandering around b. Upward communication c. Personal communication d. Horizontal communication e. Downward communication

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Chap 13_12e_Daft 122. Which of the following is defined as messages sent through human actions and behaviors rather than through words? a. Verbal communication b. Oral communication c. Written communication d. Nonverbal communication e. Horizontal communication 123. Which of the following is the richest medium for communication? a. Telephone conversations b. Face-to-face contact c. Electronic media d. Written media e. Voice mail Scenario - Ami Holmes One of the most talented managers to ever work at ABC Inc. is Ami Holmes. Combining graciousness with high intelligence and creativity, Ami has been successful in attracting and building a highly committed and competent division of employees. When interviewed by the national news media for insight into her success, one of the topics that became a primary focus was the challenge of communicating effectively. 124. Ami believes that successful managers solicit and respond to upward communication. Information that can be expected with upward communication includes all of the following except _____. a. procedures and practices b. suggestions for improvement c. financial and accounting information d. performance reports e. grievances and disputes

125. List the three formal communication channels found in organizations.

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Chap 13_12e_Daft Scenario - Ami Holmes One of the most talented managers to ever work at ABC Inc. is Ami Holmes. Combining graciousness with high intelligence and creativity, Ami has been successful in attracting and building a highly committed and competent division of employees. When interviewed by the national news media for insight into her success, one of the topics that became a primary focus was the challenge of communicating effectively. 126. Ami agrees with the research that suggests that "nonverbal messages convey thoughts and feelings with greater force than do our most carefully selected words." Which of the following is included in nonverbal messages? a. Facial expressions b. Posture and dress c. Voice and mannerisms d. Blushing and perspiring e. All of these choices

127. List the five types of upward communication.

Scenario - Ami Holmes One of the most talented managers to ever work at ABC Inc. is Ami Holmes. Combining graciousness with high intelligence and creativity, Ami has been successful in attracting and building a highly committed and competent division of employees. When interviewed by the national news media for insight into her success, one of the topics that became a primary focus was the challenge of communicating effectively. 128. In choosing the best channel for complex communication, Ami suggests selecting the richest channel possible. Characteristics that Ami suggests a manager should recognize include all of the following except _____. a. the channel's ability to handle multiple cues simultaneously b. the ability to facilitate rapid two-way feedback c. the ability to establish a personal focus for the communication d. the ability to clarify and rapidly reduce communication stereotyping e. All of these choices are valid characteristics of channel richness.

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Chap 13_12e_Daft 129. What is downward communication and what are five topics generally included with downward communication?

130. List and describe the three categories of horizontal communication.

131. Describe the concept of channel richness, specify the richest channel, and explain why it is so rich.

132. Many companies are embracing social media in workplace communication. If you were the manager of a department that encompassed about 35 people, what type of social media tool would you choose to use to improve workplace communication? How would you want employees to use it? What benefits would the employees and the organization derive from this new approach?

133. Though we may think of communication as a simple process, it is really quite complex. Describe the key elements of the communication process in order. Then provide examples that highlight the various points in the process at which communication is most likely to get distorted or interrupted entirely and explain why these issues arise.

134. Describe the difference between centralized networks and decentralized networks.

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Chap 13_12e_Daft 135. The most successful organizations are the ones whose managers keep the lines of communication open. Describe some aspects and methods of communication that are crucial for organizational success and how a manager can use them effectively. Devise an example that illustrates your answer.

136. Briefly describe the communication process.

137. Managers gather information in the workplace through many different forums, some formal and some informal. Assess the effectiveness of various personal communication channels compared with the primary forms of communication used in most traditional, vertically organized companies.

138. Define nonverbal communication and briefly discuss its importance in organizations.

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Chap 13_12e_Daft Answer Key 1. False 2. True 3. True 4. True 5. True 6. True 7. True 8. False 9. False 10. False 11. False 12. False 13. True 14. False 15. True 16. True 17. True 18. True 19. False 20. True 21. True 22. False 23. False 24. True 25. True 26. False

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Chap 13_12e_Daft 27. False 28. True 29. True 30. True 31. True 32. False 33. True 34. True 35. False 36. False 37. False 38. False 39. True 40. True 41. True 42. True 43. False 44. True 45. d 46. e 47. b 48. d 49. d 50. c 51. d 52. d 53. d 54. e Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 55. c 56. a 57. b 58. c 59. b 60. e 61. b 62. e 63. b 64. d 65. c 66. d 67. a 68. d 69. d 70. c 71. a 72. b 73. c 74. d 75. c 76. c 77. a 78. b 79. b 80. c 81. e 82. c Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 83. e 84. a 85. d 86. b 87. b 88. b 89. a 90. b 91. a 92. a 93. c 94. a 95. a 96. c 97. b 98. a 99. a 100. b 101. b 102. e 103. b 104. b 105. a 106. a 107. d 108. a 109. b 110. b Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 111. e 112. e 113. a 114. c 115. c 116. c 117. b 118. d 119. b 120. b 121. c 122. d 123. b 124. a 125. (1) upward communication, (2) downward communication, and (3) horizontal communication 126. e 127. (1) problems and expectations, (2) suggestions for improvement, (3) performance reports, (4) grievances and disputes, and (5) financial and accounting information 128. d 129. Downward communication is those messages sent from top management to subordinates. It normally includes the following topics: (1) implementation of goals, strategies, and objectives; (2) job instructions and rationale; (3) procedures and practices; (4) performance feedback; and (5) indoctrination. 130. The three categories of horizontal communication are (1) intradepartmental problem solving, (2) interdepartmental coordination, and (3) change initiatives and improvements. Intradepartmental problem solving involves messages that take place among members of the same department and concern task accomplishment. Interdepartmental coordination involves messages that facilitate the accomplishment of joint projects or tasks. Change initiatives and improvements are messages designed to share information among teams and departments that can help the organization change, grow, and improve. 131. Channel richness is the amount of information that can be transmitted during a communication episode. This richness is influenced by the ability to handle multiple cues simultaneously; the ability to facilitate rapid, two-way communication; and the ability to establish a personal focus for the communication. Face-to-face communication is the richest channel because it permits direct experience, multiple information cues, immediate feedback, and personal focus. Copyright Cengage Learning. Powered by Cognero.

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Chap 13_12e_Daft 132. Social media refers to Internet applications that allow creation and sharing of user-generated content, such as blogs, networking sites, and content communities, usually with the intent of sharing information, not selling products. Student responses as to which social media they would choose will vary. Some examples include: A Facebook page to invite customer comments, posting product how-to videos on YouTube, having customers post photos of themselves using the company brand on Instagram, and using a portion of a Web site to address employee questions and build engagement. 133. The communication process works as follows: The manager encodes a thought or idea and selects symbols (such as words) to compose a message (which is tangible) to send to the employee; channel is the medium by which the message is sent (such as a telephone call, e-mail, face-to-face conversation). The employee decodes the symbols to interpret the meaning of the message. The employee responds to the manager's communication with a return message, known as feedback. The sender and receiver may exchange messages several times to achieve a mutual understanding. Distortion and interruption can occur at every phase in the process because people may not be clear about their message, do not listen well, combine messages with their own thoughts, do not confirm that a message has been received, and so on. 134. A centralized network is a team communication structure in which team members communicate through a single individual to solve problems or make decisions. In a decentralized network, the communication structure allows team members to communicate freely with one another and arrive at decisions together. 135. Communication is the exchange of information so that it is understood and acted on. The manager's job is to communicate, and that is how most of their time is spent, including listening, asking questions, paying attention to nonverbal clues, and providing feedback. Communication also involves the manager gathering information from inside and outside the organization and distributing it where needed. Directing employee attention to shared vision, values, and goals is one of the uses for communication. Online communication, social media, personal contact, formal presentations, and the telephone are some methods of communicating. The manager's role is to serve as a communication champion, and everything they do is observed and will communicate something. 136. The communication process begins with the development of a message. The message is then encoded into symbols that are sent through a selected channel. The symbols are received and then decoded into a received message. Finally, the response is sent as feedback and the communication process is completed. 137. Personal, informal communication channels include personal networking (who you know, professional and trade associations, chamber of commerce, professional Internet sites), the grapevine (informal, person-to-person communication of workplace gossip, moves through the organization more quickly than formal communication channels, helps managers know about internal situations that need attention, and is the primary way information spreads in most companies), and written communication. Formal, chain of command communication channels include downward (most familiar form, messages from top management to subordinates), upward (messages from lower to higher levels of management), and horizontal (between peers, coworkers, and teams). In most organizations, it is through the informal channels that information primarily spreads and work gets accomplished. 138. Nonverbal communication refers to messages sent through human actions and behaviors rather than words. Sources of nonverbal communication can include facial expressions, voice, mannerisms, posture, dress, and even office arrangements. These nonverbal sources can be more important than the actual words that are spoken. When verbal and nonverbal messages are contradictory, a receiver will likely give more weight to the nonverbal communication. Managers must be sensitive to nonverbal sources when communicating and learn to coordinate their verbal and nonverbal messages.

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Chap 14_12e_Daft Indicate whether the statement is true or false. 1. A special-purpose team is basically the same as a problem-solving team. a. True b. False 2. The compromising style of conflict management reflects a high degree of cooperativeness and a low degree of assertiveness. a. True b. False 3. One of the primary advantages of virtual teams is the ability to assemble the most appropriate group of people to complete a complex project, solve a particular problem, or exploit a specific strategic opportunity. a. True b. False 4. Putting together a team and building teamwork are the same thing. a. True b. False 5. The storming stage of team development is marked by conflict and disagreement. a. True b. False 6. A common dysfunction of teams is to be results oriented. a. True b. False 7. A dominating style of handling conflict involves a high degree of assertiveness and a high degree of cooperation. a. True b. False 8. A team is defined as a unit of two or more people who interact and coordinate their work to accomplish a common goal to which they are committed and hold themselves mutually accountable. a. True b. False 9. When tasks are highly interdependent, a team can be the best approach to ensuring the level of coordination, information sharing, and exchange of materials necessary for successful task accomplishment. a. True b. False 10. Satisficing is a team's ability to meet personal needs of its members and hence maintain their membership and commitment. a. True b. False Copyright Cengage Learning. Powered by Cognero.

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Chap 14_12e_Daft 11. A collaborative approach to negotiation that is based on a win-win assumption, whereby the parties want to come up with a creative solution that benefits both sides of the conflict, is called integrative negotiation. a. True b. False 12. A task force is a type of cross-functional team comprised of a group of employees from different departments formed to deal with a specific activity and existing only until the task is completed. a. True b. False 13. An accommodating style of handling conflict involves a high degree of assertiveness and a low degree of cooperation. a. True b. False 14. The stage of team development in which conflicts are resolved and members focus on problem solving is called reforming. a. True b. False 15. Negotiation is the process of using a third party to settle a dispute. a. True b. False 16. Research studies have confirmed that both functional diversity and gender diversity can have a positive impact on work team performance. a. True b. False 17. Making explicit statements about desired team behaviors is a powerful way leaders influence team norms. a. True b. False 18. A common cause of conflict is scarce resources. a. True b. False 19. Self-managed teams are related to the trend toward bosslessness because team members take responsibility for their work, make decisions, monitor their own performance, and alter their work behavior as needed to solve problems and meet goals. a. True b. False

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Chap 14_12e_Daft 20. A competitive and adversarial negotiation approach in which each party strives to get as much as it can, usually at the expense of the other party, is called distributive negotiation. a. True b. False 21. Groupthink occurs when people are so committed to a cohesive team that they are reluctant to express contrary opinions. a. True b. False 22. Diet Soda Company has teams with high cohesiveness. Additionally, the teams are normally focused on their commitment to quality performance. This combination can be expected to result in high productivity. a. True b. False 23. A free rider is a person who benefits from team membership but does not actively participate in and contribute to the team's work. a. True b. False 24. Self-managed teams consist of 5 to 20 multiskilled workers who rotate jobs to produce an entire product or service. a. True b. False 25. Individual personalities emerge during the performing stage. a. True b. False 26. Global teams can pose a problem for team leaders with regard to language, technology, and belief differences. a. True b. False 27. An avoiding style of handling conflict involves a low degree of assertiveness and a low degree of cooperation. a. True b. False 28. Teams can be composed of members who do not have interaction with each other. a. True b. False 29. Task conflict refers to interpersonal incompatibility that creates tension and personal animosity among people. a. True b. False

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Chap 14_12e_Daft 30. Team cohesiveness does not necessarily lead to higher team productivity. a. True b. False 31. In the adjourning stage of team development, task performance is not an emphasis. a. True b. False 32. Team norms begin to develop in the first interactions among members of a new team. a. True b. False 33. When a team is in moderate competition with other teams, its cohesiveness decreases as it strives to win. a. True b. False 34. Distributive negotiation is a collaborative approach to negotiation that is based on a win-win assumption, whereby the parties want to come up with a creative solution that benefits both sides of the conflict. a. True b. False 35. The four common ways in which norms develop for controlling and directing behavior are critical events, primacy, carryover behaviors, and implicit statements. a. True b. False 36. Virtual and global teams are particularly prone to communication breakdowns. a. True b. False 37. During the norming stage of team development, individual personalities emerge causing conflict and disagreements. a. True b. False 38. Productive output pertains to the team's ability to meet the personal needs of its members. a. True b. False 39. A multidomestic team is a work team made up of members of different nationalities whose activities span multiple countries. a. True b. False

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Chap 14_12e_Daft 40. Diversity contributes to higher levels of agreement in a team setting, but it also results in reduced creativity. a. True b. False 41. Social facilitation is the tendency for the presence of others to enhance one's own performance. a. True b. False 42. Negotiation is used when a conflict is formalized, such as between a union and management. a. True b. False 43. The five stages of team development are forming, storming, reforming, performing, and adjourning. a. True b. False 44. Work team effectiveness is based on two outcomes: productive output and marketplace acceptance. a. True b. False 45. Two common behaviors of the socioemotional role are to energize and to encourage. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 46. Which of the following is a group of employees from different departments formed to deal with a specific activity and existing only until the task is completed? a. Vertical team b. Command team c. Special-purpose team d. Task force e. Functional group 47. Which of the following is consistent with the socioemotional role? a. Encourage b. Follow c. Compromise d. All of these choices e. None of these choices

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Chap 14_12e_Daft 48. Which of the following increases team cohesiveness? a. External competition b. Shared goals c. Team success d. All of these choices e. None of these choices 49. Once a month, the top managers at George's Greenhouse make a point of meeting with the work teams in their respective divisions in order to communicate the organization's priorities, goals, and needs. This is an example of top management attempting to influence team norms through which of the following? a. Explicit statements b. Primacy c. Carryover behaviors d. Critical events e. All of these choices 50. Jennifer has just been appointed leader of a new work team in her organization. She is wondering what to do at her first meeting with the group. Which of the following would you suggest? a. She should waste little time; get the team focused on the task. b. She should help the team clarify roles and responsibilities. c. She should allow time for team members to become acquainted with one another and for informal social interaction. d. She should let someone else worry about this since she is the leader. e. She should propose to disband the team. 51. Cody and his team have just finished Project A and are preparing to disband. Cody and his team are in which stage of team development? a. Forming b. Storming c. Norming d. Performing e. Adjourning 52. Which type of team is created outside the formal organization structure to undertake a project of special importance or creativity? a. Vertical b. Command c. Special-purpose d. Cross-functional e. Functional

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Chap 14_12e_Daft 53. Which of the following is NOT a specific component of a team? a. A designated strong leader b. Individual and mutual accountability c. Shared team goal or purpose d. Collective work products e. All of these are specific components of teams. 54. Which of the following is more common in large teams? a. Member satisfaction b. Development of subgroups c. Agreement d. Commitment e. All of these choices 55. During which stage of team development do individual personalities emerge and people become more assertive in clarifying their roles and what is expected of them? a. Forming b. Storming c. Norming d. Performing e. Adjourning 56. Which of the following refers to a serious disagreement or argument in which one party attempts to block the intentions or goals of another? a. Faultline b. Conflict c. Team norm d. Cohesiveness e. Prejudice 57. Which of the following behaviors is NOT consistent with the socioemotional role? a. Encourage b. Energize c. Harmonize d. Compromise e. Follow

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Chap 14_12e_Daft 58. Courtney is a member of a work team at Brainy Toys. She and her teammates possess several different skills and are able to perform a major organizational task with little or no oversight from management. Which of the following best describes the team in this scenario? a. Union b. Self-managed team c. Project team d. Special-purpose team e. Bureaucratic team 59. Which of the following is a role in which the individual provides support for team members' emotional needs? a. Task specialist role b. Dual role c. Nonparticipator role d. Socioemotional role e. None of these choices 60. The collaborating style of conflict resolution is based on which of the following? a. A high degree of assertiveness and a high degree of cooperativeness b. A high degree of assertiveness and a low degree of cooperativeness c. A low degree of assertiveness and a high degree of cooperativeness d. A low degree of assertiveness and a low degree of cooperativeness e. A low degree of assertiveness and a medium degree of cooperativeness 61. Which of the following is NOT a requirement of effective teamwork? a. Focus on a shared mission b. Communication of members' objectives and needs c. An appropriate level of conflict d. Willingness to sacrifice for the team e. Trust for one another 62. Stephanie is a member of a work team at Beauty-R-Us Corporation. She often proposes new solutions to team problems. This is an example of which task specialist role? a. Harmonize b. Seek information c. Initiate ideas d. Reduce tension e. Compromise

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Chap 14_12e_Daft 63. Which of the following is NOT a common dysfunction of teams? a. Lack of trust b. Avoidance of accountability c. Fear of conflict d. Lack of commitment e. Results orientation 64. Managing which of the following is the most important skill required for effective team management? a. Norms b. Cohesiveness c. Conflict d. Membership e. None of these choices 65. Which of the following is a collaborative approach to negotiation that is based on a win-win assumption, whereby the parties want to come up with a creative solution that benefits both sides of the conflict? a. Relationship conflict b. A bargaining zone c. Mediation d. Integrative negotiation e. Distributive negotiation 66. Which of the following means that the first behaviors that occur in a team often set a precedent for later team expectations? a. Critical events b. Primacy c. Carryover behaviors d. Explicit statements e. Recency 67. During which stage of team development does team unity emerge? a. Forming b. Storming c. Performing d. Norming e. Adjourning

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Chap 14_12e_Daft 68. Which of the following generally leads to people not feeling safe to reveal mistakes, share concerns, or express ideas? a. Lack of trust b. Fear of conflict c. Lack of commitment d. Avoidance of accountability e. Inattention to results 69. Which of the following is defined as a team composed of a manager and their subordinates? a. Functional team b. Horizontal team c. Self-managed team d. Special-purpose team e. Social team 70. Which of the following is NOT one of the four key strategies for achieving a win-win solution through negotiation? a. Separate the people from the problem b. Focus on underlying interests c. Listen and ask questions d. Insist that results be based on objective standards e. Keep the demands at the center 71. During which stage of team development is conflict resolved and team harmony and unity emerge? a. Forming b. Storming c. Norming d. Performing e. Adjourning 72. Which type of team typically consists of 5 to 20 multiskilled workers who rotate jobs to produce an entire product or service or at least one complete aspect or portion of a product or service? a. Self-managed b. Virtual c. Agile d. Cross-functional e. Functional

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Chap 14_12e_Daft 73. Which of the following is defined as a person who benefits from team membership but does not actively participate in and contribute to the team's work? a. "Yes" man b. Social worker c. Work surfer d. Free rider e. Groupthink 74. Which of the following dysfunction of teams occurs when people are afraid to express their true opinions and it is therefore difficult to gain their true dedication to decisions? a. Fear of conflict b. Lack of trust c. Lack of commitment d. Avoidance of accountability e. Inattention to results 75. Which of the five stages of team development is marked by conflict and disagreement? a. Performing b. Norming c. Storming d. Forming e. Reforming 76. Which of the following is NOT a characteristic of team structure and context that influences cohesiveness? a. Personal attraction to the team b. Productivity expectations c. Shared goals d. Team interaction e. None of these choices influence cohesiveness. 77. Which conflict resolution style is best when maintaining harmony is especially important? a. Dominating b. Collaborating c. Accommodating d. Avoiding e. Compromising 78. Which of the following brings norms into a team from outside? a. Critical events b. Primacy c. Carryover behaviors d. Explicit statements e. Recency Copyright Cengage Learning. Powered by Cognero.

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Chap 14_12e_Daft 79. Which of the following is defined as a small team that is focused on one piece of a larger project, and has complete responsibility along with all needed member expertise to produce its product or service? a. Functional team b. Agile team c. Self-managed team d. Cross-functional team e. Virtual team 80. A competitive and adversarial negotiation approach in which each party strives to get as much as it can, usually at the expense of the other party, is called _____. a. a win-win situation b. a bargaining zone c. mediation d. integrative negotiation e. distributive negotiation 81. Which type of team is described as a group made up of geographically or organizationally dispersed members who are linked primarily through advanced information or telecommunications technologies? a. Functional b. Command c. Virtual d. Long distance e. Task force 82. Wyatt has recently been appointed by his boss to a group that includes members from multiple departments. The purpose of this group is to solve customer support issues. Wyatt's group can best be defined as a _____. a. task force b. global team c. focus group d. virtual team e. self-managed team 83. Kendall, in her role as team leader, has recently switched her style from one of clarifying team roles to one of emphasizing task accomplishment. Her change was driven by a desire to keep pace with her team, which has evolved from _____. a. the forming stage to the storming stage of team development b. the storming stage to the performing stage of team development c. the performing stage to the adjourning stage of team development d. the norming stage to the performing stage of team development e. the storming stage to the reforming stage of team development

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Chap 14_12e_Daft 84. Rashad is a team leader at Welldrilling.net. His team is made up of 15 coworkers. Recently, Rashad has noticed a tendency for some team members to participate much less than others. They seem uninterested and content to let others do the work. This is called _____. a. free riding b. reduced commitment c. power realignment d. the costs of coordination e. self-direction 85. What are the two types of roles that emerge in teams? a. Task specialist and socioeconomic b. Generalist and socioeconomic c. Task specialist and socioemotional d. Generalist and socioemotional e. Socioemotional and socioeconomic 86. Which of the following statements about cohesive teams is true? a. Morale is higher in cohesive teams. b. Productivity is lower in cohesive teams. c. Satisfaction is lower in cohesive teams. d. Morale always suffers in cohesive teams. e. Absenteeism rates are substantially higher in cohesive teams. 87. A task force is a type of _____. a. vertical team b. cross-functional team c. command team d. special-purpose team e. executive team 88. Hideo is a team leader at CyberChasers. His team often has arguments over trivial items. Which style of conflict resolution is most appropriate in this situation? a. Dominating b. Avoiding c. Collaborating d. Accommodating e. Compromising

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Chap 14_12e_Daft 89. The accommodating style of conflict resolution is based on which of the following? a. A high degree of assertiveness and a high degree of cooperativeness b. A high degree of assertiveness and a low degree of cooperativeness c. A low degree of assertiveness and a high degree of cooperativeness d. A low degree of assertiveness and a low degree of cooperativeness e. A low degree of assertiveness and a medium degree of cooperativeness 90. Which of the following generally leads to people going along with others for the sake of harmony? a. Healthy conflict b. Lack of commitment c. Fear of conflict d. Lack of trust e. Increase in trust 91. Self-managed teams can be described as which of the following? a. Temporary b. Permanent c. Ad-hoc d. Task forces e. None of these choices 92. The dominating style of conflict resolution is based on which of the following? a. A high degree of assertiveness and a high degree of cooperativeness b. A high degree of assertiveness and a low degree of cooperativeness c. A low degree of assertiveness and a high degree of cooperativeness d. A low degree of assertiveness and a low degree of cooperativeness e. A low degree of assertiveness and a medium degree of cooperativeness 93. Which of the following refers to the tendency for the presence of others to enhance one's own performance? a. Public praise b. Social facilitation c. Community motivation d. Social performance e. Societal inspiration 94. The quality and quantity of task outputs as defined by team goals is known as _____. a. cohesiveness b. productive output c. satisfaction d. the capacity to adapt and learn e. conflict resolution

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Chap 14_12e_Daft 95. Which of the following is described as the ability of teams to bring greater knowledge and skills to job tasks and enhance the potential of the organization to respond to new threats or opportunities in the environment? a. Cohesiveness b. Productive output c. Satisfaction d. Capacity to adapt and learn e. None of these choices 96. Which of the following is a component of a team? a. People in a team do not require regular interaction. b. Four or more people are required to form a team. c. A performance goal is shared between team members. d. Teams are small groups with fewer than 10 people. e. Each member tends to set his or her own goals for the team. 97. InfoTech's new product team has a norm of backing up each computer hard drive at the end of each working day. This norm developed because a computer virus once infected the team's computer network and destroyed many important files. Which of the following describes the cause of this norm? a. An explicit statement b. Carryover behaviors c. Primacy d. A critical event e. None of these choices 98. During which stage should the team leader encourage participation by each team member? a. Forming b. Storming c. Norming d. Adjourning e. Performing 99. Effective virtual team leaders use technology to build relationships. Which of the following is NOT an effective way to build relationships with virtual teams? a. Share and appreciate diverse backgrounds, skills, and opinions. b. Scrutinize electronic communication patterns. c. Bring people together physically at least once, if possible. d. Ensure equal participation, with no one dominating virtual conversations. e. All of these are effective ways to build relationships with virtual teams.

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Chap 14_12e_Daft 100. Which of the following refers to a formal team composed of employees from about the same hierarchical level but from different areas of expertise? a. Special-purpose team b. Cross-functional team c. Self-managed team d. Vertical team e. Diagonal team 101. Which of the following is defined as the extent to which team members are attracted to the team and motivated to remain in it? a. Norming b. Team commitment c. Caring d. Team cohesiveness e. Leadership 102. Stages of development, cohesiveness, norms, and conflict resolution are all part of which component of the work team effectiveness model? a. Work team effectiveness b. Team processes c. Organizational conflict d. Team composition e. Team characteristics 103. Shifting one's own opinions to maintain team harmony refers to which socioemotional role behavior? a. Energize b. Initiate ideas c. Encourage d. Follow e. Compromise 104. Which of the following behaviors is NOT consistent with the role of a task specialist? a. Seek information b. Initiate ideas c. Summarize d. Compromise e. Energize

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Chap 14_12e_Daft 105. Sushane is a member of a team that uses e-mail, instant messaging, and blogging to communicate. Although she sees members of her team on breaks and at lunch, Sushane does not interact with them face to face in a professional setting. Sushane's team can best be described as a _____. a. project team b. global team c. focus group d. virtual team e. self-managed team 106. During which stage of team development is the major emphasis on task accomplishment? a. Forming b. Performing c. Achieving d. Norming e. Storming 107. During which stage of team development do members prepare for the team's disbandment? a. Forming b. Storming c. Norming d. Performing e. Adjourning 108. Alivia is team leader of the focus group at her organization. In the past, the group was plagued by lack of cooperation and disrespect. Today, she told team members that if anyone tried to undermine another member, that person would be kicked off the team. This is an example of a(n) _____. a. critical event b. explicit statement c. experiential carryover d. implied norm e. accommodation 109. The tendency for people to be so committed to a cohesive team that they are reluctant to express contrary opinions refers to _____. a. brainstorm b. brain dump c. group innovation d. groupthink e. group anxiety

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Chap 14_12e_Daft 110. Alyssa is a member of a work team at Buchanon Dance, Inc. She often attempts to help disagreeing parties reach agreement. This is an example of which socioemotional role behavior? a. Compromise b. Follow c. Reduce tension d. Harmonize e. Summarize 111. Which of the following is NOT a conflict handling style discussed in the text? a. Dominating b. Asserting c. Avoiding d. Accommodating e. Compromising 112. Which of the following are defined as informal operating guidelines that establish agreed-upon behaviors about how the team's work will get done and what members can expect from each other? a. Leadership skills b. Cohesiveness c. Team norms d. Attitudes e. None of these choices 113. A functional team is also referred to as a(n) _____. a. command team b. task force c. special-purpose team d. horizontal team e. interorganizational team 114. The avoiding style of conflict resolution is based on which of the following? a. A high degree of assertiveness and a high degree of cooperativeness b. A high degree of assertiveness and a low degree of cooperativeness c. A low degree of assertiveness and a high degree of cooperativeness d. A low degree of assertiveness and a low degree of cooperativeness e. A low degree of assertiveness and a medium degree of cooperativeness

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Chap 14_12e_Daft 115. Terrionna is a manager at Sleeveless Clothes, Inc. Recently, she was assigned a work team. Terrionna is in charge of the team, and it consists of the subordinates under her authority. This is an example of which type of team? a. Horizontal b. Functional c. Self-managed d. Special-purpose e. Social 116. Which role involves the individual devoting personal time and energy to help the team accomplish its task? a. Socioemotional b. Socioeconomical c. Production specialist d. Task specialist e. None of these choices 117. Michael's team has evolved to the storming stage of team development. As team leader, what should Michael be emphasizing? a. Lots of informal interaction b. Participation by each team member c. Task accomplishment d. Goal achievement e. Disbanding the team 118. At FEI Industries, teams of product developers coordinate their work electronically at North American, European, and Asian sites to coincide with peak operating hours at each location. Such a team is referred to as a _____. a. project team b. committee c. focus group d. global team e. self-managed team 119. During which stage of team development should the team leader help clarify team roles, norms, and values? a. Adjourning b. Storming c. Forming d. Performing e. Norming

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Chap 14_12e_Daft 120. Fedel, a software engineer, is in charge of scrutinizing electronic communication patterns as part of his role within a virtual team at work. Fedel's role fulfills which virtual team practice? a. Find ways to build trust and relationships b. Shape team culture c. Monitor progress d. All of these choices e. None of these choices 121. During which stage of team development is the major emphasis on problem solving and accomplishing the assigned task? a. Forming b. Storming c. Norming d. Performing e. Adjourning 122. The forming stage of team development is characterized by which of the following? a. Establishing order and cohesion b. Cooperation c. Problem solving d. Orientation e. Conflict 123. Nora is a project manager for a book publisher. She works with members of the marketing, printing, shipping, and accounting departments. Which type of team does this scenario describe? a. Self-managed b. Task force c. Cross-functional d. Functional e. Ad hoc committee 124. Which of the following pertains to the team's ability to meet the personal needs of its members? a. Cohesiveness b. Productive output c. Satisfaction d. Capacity to adapt and learn e. None of these choices

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Chap 14_12e_Daft 125. Which stage of development involves a period of orientation and getting acquainted? a. Forming b. Storming c. Norming d. Performing e. Adjourning 126. Which type of team can present enormous challenges for team leaders, who have to bridge gaps of time, distance, and culture? a. Self-managed b. Global c. Agile d. Cross-functional e. Functional 127. In the context of work team effectiveness, which of the following pertains to the team's ability to meet the personal needs of its members? a. Cohesiveness b. Satisfaction c. Commitment d. Leadership e. Norms 128. Which of the following statements about team cohesiveness is true? a. The less a team interacts, the more cohesive the team. b. The more a team interacts, the more cohesive the team. c. The more a team interacts, the less cohesive the team. d. All of these choices are true. e. None of these choices are true. 129. Which of the following are defined as hypothetical dividing lines that are based on one or more demographic characteristics of members, such as age, race, or ethnicity, or on more demographic characteristics, such as personal values or attributes? a. Prejudice b. Surface-level lines c. Faultlines d. Subgroups e. None of these choices

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Chap 14_12e_Daft 130. Work team effectiveness is based on three outcomes: productive output, capacity to adapt and learn, and _____. a. cohesiveness b. satisfaction c. commitment d. leadership e. norms 131. Josiah is a manager at On-The-Go Cars. He recently has read quite a bit of literature on the benefits of work teams. He is particularly interested in forming a team within his department. There are 28 employees in his department. What should Josiah do? a. Josiah should recruit more employees for his department; 28 is too small for a work team. b. Josiah should form one team of 28 employees. c. Josiah should divide the group into four teams of seven employees each. d. Josiah should forget the team idea; he has too many employees and he shouldn't divide his work group. e. Josiah should do his job and not worry about teams. 132. Which of the following can be beneficial to teams? a. Relationship conflict b. Groupthink c. Task conflict d. Conflict goals e. Distributive conflict 133. Cross-border work teams made up of members of different nationalities whose activities span multiple countries are called _____. a. self-managed teams b. project teams c. agile teams d. long-distance teams e. global teams 134. Self-managed teams generally consist of 5 to 20 of which of the following types of workers? a. Union b. Non-union c. Multiskilled d. Low-wage e. All of these choices

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Chap 14_12e_Daft 135. Today, many virtual teams use which of the following to facilitate regular collaboration? a. Groupware b. E-mail c. Instant messaging d. Videoconferencing e. All of these choices 136. Which of the following behaviors is consistent with the socioemotional role? a. Reduce tension b. Give opinions c. Seek information d. Summarize e. Energize 137. Edgar's work team is beginning to resolve its conflicts, and consensus is developing on such things as members' roles. Edgar's team is in which stage of team development? a. Norming b. Forming c. Storming d. Performing e. Reforming 138. Which of the following is defined as a unit of two or more people who interact and coordinate their work to accomplish a common goal to which they are committed and hold themselves mutually accountable? a. Organization b. Team c. Committee d. Council e. Leadership 139. Which of the following is the first stage of team development? a. Forming b. Storming c. Norming d. Performing e. Reforming 140. Which of the following statements about self-managed teams is true? a. Self-managed teams monitor their own performance. b. Self-managed teams still rely heavily on their manager. c. Self-managed teams have little access to resources. d. Self-managed teams will eventually develop into problem-solving teams. e. None of these choices is true about self-managed teams. Copyright Cengage Learning. Powered by Cognero.

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Chap 14_12e_Daft 141. What is the ideal size of work teams? a. 3 b. 5 c. 12 d. 15 e. 23 142. Task performance is no longer the top priority once some teams have evolved to which stage of team development? a. Performing b. Storming c. Adjourning d. Norming e. Achieving 143. Which of the following occurs when individuals and departments rely on other individuals and departments for information or resources to accomplish their work? a. Accountability b. Cohesiveness c. Control d. Interdependence e. Independence 144. Members of which type of team are geographically or organizationally dispersed and use telecommunications technologies to accomplish their work? a. Intercultural b. International c. Agile d. Virtual e. Distance

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Chap 14_12e_Daft Scenario - Malav Bagget Malav Bagget has been working as a production employee for the last three years. His firm is currently undergoing a change in structure with a new management group, and the production department is being restructured. Each production employee will be assigned to a small six-member production team. Malav is looking forward to the extensive cross training that has been promised and to enjoying more power and discretion than he has had in the past. In addition to skill training, Malav is receiving management training in team building. 145. Malav has developed strong task skills and has normally taken on the role of task specialist. His task specialist behaviors will include all of the following except _____. a. initiating ideas b. summarizing c. compromising d. energizing e. seeking information

146. When Malav's team encounters the establishment of order and cohesion with the leader helping to clarify team roles and values, then his team is in which stage of team development? a. Forming b. Storming c. Norming d. Performing e. Adjourning

147. List the five behaviors associated with the task specialist role.

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Chap 14_12e_Daft Scenario - Malav Bagget Malav Bagget has been working as a production employee for the last three years. His firm is currently undergoing a change in structure with a new management group, and the production department is being restructured. Each production employee will be assigned to a small six-member production team. Malav is looking forward to the extensive cross training that has been promised and to enjoying more power and discretion than he has had in the past. In addition to skill training, Malav is receiving management training in team building. 148. One of Malav's coworkers, Daniel Newcomber, is great at reducing tension by telling jokes and diffusing emotions in various other ways when the group atmosphere is tense. Daniel is demonstrating which of the following roles? a. Task specialist b. Group leader c. Socioemotional d. Participator e. None of these choices

149. According to the text, what are three factors that can cause people to engage in conflict?

150. List the four ways team norms develop.

151. List the five stages of team development.

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Chap 14_12e_Daft 152. A team is a unit of people who interact and coordinate their work toward a common goal. Relate one of your own personal experiences of working as part of a team (perhaps in school, in sports, or at work), and use that example to illustrate the value of teams in the modern workplace and how managers can build teams for a competitive advantage.

153. What are the three key components of the text's definition of a team?

154. What are self-managed teams? Include three characteristics or elements of self-managed teams in your description.

155. In order for a team to be successful, it must be structured so that members are fulfilling necessary roles. Describe key roles within a team, and choose which role best fits your own managerial style.

156. Describe the stages of team development.

157. In order to achieve competitive advantage, organizations use many types of teams. Identify different types of teams and evaluate the organizational situations where each may be most effective.

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Chap 14_12e_Daft 158. Briefly discuss the various styles that can be used to handle conflict.

159. Describe functional teams and cross-functional teams.

160. Discuss the differences between distributive and integrative negotiation and list the steps for achieving a winwin solution with integrative negotiation.

161. Conflict is bound to arise when people work together in teams. Describe how a team leader can recognize if their team is affected by either task conflict or relationship conflict. If you were a manager facing team conflict, what would you do to resolve it?

162. Managers should recognize that teamwork presents a dilemma for many people, and for good reason. Play the role of devil's advocate and use the dysfunctions common in teams to defend the concept of individual accomplishment and achievement.

163. Discuss the three primary reasons why teams present a dilemma for many people.

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Chap 14_12e_Daft 164. Discuss the determinants of team cohesiveness and its consequences.

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Chap 14_12e_Daft Answer Key 1. False 2. False 3. True 4. False 5. True 6. False 7. False 8. True 9. True 10. False 11. True 12. True 13. False 14. False 15. False 16. True 17. True 18. True 19. True 20. True 21. True 22. True 23. True 24. True 25. False 26. True

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Chap 14_12e_Daft 27. True 28. False 29. False 30. True 31. True 32. True 33. False 34. False 35. False 36. True 37. False 38. False 39. False 40. False 41. True 42. True 43. False 44. False 45. False 46. d 47. d 48. d 49. a 50. c 51. e 52. c 53. a 54. b Copyright Cengage Learning. Powered by Cognero.

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Chap 14_12e_Daft 55. b 56. b 57. b 58. b 59. d 60. a 61. c 62. c 63. e 64. c 65. d 66. b 67. d 68. a 69. a 70. e 71. c 72. a 73. d 74. c 75. c 76. b 77. c 78. c 79. b 80. e 81. c 82. a Copyright Cengage Learning. Powered by Cognero.

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Chap 14_12e_Daft 83. d 84. a 85. c 86. a 87. b 88. b 89. c 90. c 91. b 92. b 93. b 94. b 95. d 96. c 97. d 98. b 99. b 100. b 101. d 102. b 103. e 104. d 105. d 106. b 107. e 108. b 109. d 110. d Copyright Cengage Learning. Powered by Cognero.

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Chap 14_12e_Daft 111. b 112. c 113. a 114. d 115. b 116. d 117. b 118. d 119. e 120. c 121. d 122. d 123. c 124. c 125. a 126. b 127. b 128. b 129. c 130. b 131. c 132. c 133. e 134. c 135. e 136. a 137. a

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Chap 14_12e_Daft 138. b 139. a 140. a 141. b 142. c 143. d 144. d 145. c 146. c 147. (1) initiate ideas, (2) give opinions, (3) seek information, (4) summarize, and (5) energize 148. c 149. (1) scarce resources, (2) communication breakdown, and (3) goal differences 150. (1) critical events, (2) primacy, (3) carryover behaviors, and (4) explicit statements 151. (1) forming, (2) storming, (3) norming, (4) performing, and (5) adjourning 152. Student personal examples will vary. Teams contribute to creativity and innovation, improve quality of service, speed product development, respond quicker to customer needs, enhance performance through social facilitation, and reduce boredom. Managers can build trust among team members, facilitate focus, encourage effective communication, bring together the right set of personalities and skills for the task, and are responsible for defining the roles of team members. 153. The three key components of the definition of a team are as follows: 1. Two or more people are required. 2. The people in the team must interact regularly. 3. People in the team share a performance goal. 154. Self-managed teams, normally evolving from problem-solving teams in mature companies, are teams of 5 to 20 multiskilled workers who can rotate jobs and produce an entire product or service. There is a high level of cross training so the members can perform one another's jobs. The team eliminates barriers between departments, enabling excellent coordination. The team is given access to resources including information, equipment, machinery, and supplies needed to complete the entire task. Finally, the team is empowered with the decision-making authority to select new members, solve problems, spend money, monitor results, and plan for the future. 155. Students' choice of roles will vary. A task specialist spends time and energy helping the team reach its goal, often initiates ideas, gives opinions and offers judgments on solutions, seeks information, summarizes by relating ideas to the problem at hand, and is able to give overview and stimulate the team. People who adopt a socioemotional role supports members' emotional needs and strengthen the unit, encourage others, harmonize by helping resolve conflict, reduce tension when the atmosphere is tense, follow and go along with the team, are agreeable to the ideas of others, and compromise to maintain harmony. Copyright Cengage Learning. Powered by Cognero.

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Chap 14_12e_Daft 156. The first stage, forming, is a period of orientation and getting acquainted. Uncertainty is high in this stage. The second stage, storming, is when individual personalities emerge and conflict and disagreements occur. During the third stage, norming, conflict is resolved, and team harmony and unity emerge. This is when leader and member roles are developed. The fourth stage, performing, has a major emphasis on problem solving and accomplishing the assigned task. The last stage, adjourning, occurs in committees, task forces, and teams that have a limited task to perform and are disbanded afterward. Emphasis is placed on wrapping up and gearing down, instead of the task performance that is the focus of other stages. 157. A functional team is composed of a manager and subordinates in a formal chain of command; typically includes a single department, such as members of a quality control team; and is created by an organization to attain specific goals through joint interactions. A cross-functional team is composed of employees from different areas of expertise; has the same hierarchical level, such as members of a task force formed temporarily to deal with a specific issue; and includes members of specialpurpose teams often formed for a particular important project, such as new product development. A self-managed team is composed of multiskilled workers who rotate jobs to produce an entire product or service, is designed to increase worker involvement in decision making, has access to resources needed to complete tasks, monitors its own performance and alters behaviors accordingly, and is prevalent in bossless environments. 158. There are five styles for dealing with conflict. These styles are based on two dimensions: the individual's desire to satisfy their own concern (assertiveness) versus the other party's concern (cooperativeness). A competing style is based on a high degree of assertiveness and a low degree of cooperativeness. It should be used when quick, decisive action is needed. An avoiding style reflects a low concern with both assertiveness and cooperativeness. It is appropriate in a number of situations, including when the issue in conflict is minor. A compromising style is based on a moderate amount of both dimensions and is appropriate when both sides have equal power and want to split the difference. An accommodating style reflects a high degree of cooperativeness and a low degree of assertiveness; it is appropriate, for example, when people think they are wrong. The collaborating style is based on a high degree of both dimensions and enables both parties to win, although it may require hard work to reach an agreement. 159. Functional teams, sometimes called command teams, are composed of a manager and their subordinates in the organization's formal chain of command. Cross-functional teams are composed of employees from about the same hierarchical level but from different areas of expertise. 160. Distributive negotiation is a competitive and adversarial negotiation approach in which each party strives to get as much as it can, usually at the expense of the other party. Integrative negotiation is a collaborative approach to negotiation that is based on a win-win assumption, whereby the parties want to come up with a creative solution that benefits both sides of the conflict. The steps for achieving a win-win solution with integrative negotiation are as follows: 1. Separate the people from the problem. 2. Focus on underlying interests, not current demands. 3. Listen and ask questions. 4. Insist that results be based on objective standards.

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Chap 14_12e_Daft 161. Task conflict results from disagreements about the goals to be achieved or the content of the task, can be beneficial by bringing issues into the open, and may lead to better decision making and problem solving. Relationship conflict refers to personality incompatibility, which creates tension and animosity among the team members. Sometimes differences in work style and ethics create relationship conflict and generally have negative consequences with less commitment and decision acceptance. Task conflict can probably be resolved with clarification of the team's goals and purpose, while relationship conflict may need to be resolved by facilitating dialogue among the conflicting members or perhaps changing members of the team. 162. Many workers who willingly sacrifice for individual initiatives are uncomfortable with sacrificing for group success, especially if they are from a culture that values individualism. Free riders put little effort into group projects but benefit from team membership. Teams can also be dysfunctional because of lack of effective management, evidenced by lack of trust, fear of conflict, lack of commitment, avoidance of accountability, and inattention to results when members put personal ambition first. 163. The first reason that teams present a dilemma for many people is that people have to give up their independence. When people become part of a team, their success depends on the team's success; therefore, they must depend on how well other people perform, not just on their own individual initiative and actions. Most people are comfortable with the idea of making sacrifices to achieve their own individual success, but teamwork demands that they make sacrifices for group success. Next, people have to put up with free riders. Teams are sometimes made up of people who have different work ethics. The term "free rider" refers to a team member who attains benefits from team membership but does not actively participate in and contribute to the team's work. Finally, teams can sometimes be dysfunctional. Some companies have had great success with teams, but there are also numerous examples of how teams in organizations failed spectacularly. A great deal of research and team experience over the past few decades has produced significant insights into what causes teams to succeed or fail. The evidence shows that the way teams are managed plays the most critical role in determining how well they function. 164. Determinants of team cohesiveness fall into two categories: 1. Team structure: Includes team interaction, shared goals, and personal attraction to the team. 2. Team context: Includes the presence of competition, team success, and the favorable evaluation of the team by outsiders. Consequences of team cohesiveness also fall into two categories: 1. Morale: In general, morale is higher in cohesive teams because of increased communication among members, a friendly team climate, maintenance of membership because of commitment to the team, loyalty, and member participation in team decisions and activities. High cohesiveness has almost uniformly good effects on the satisfaction and morale of team members. 2. Team productivity: Research findings are mixed. First, in a cohesive team, members' productivity tends to be more uniform. Cohesive teams have the potential to be productive, but the degree of productivity depends on the relationship between management and the working team.

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Chap 15_12e_Daft Indicate whether the statement is true or false. 1. Customer service, external business processes, financial performance, and the organization's potential for learning and growth are the four major perspectives of the balanced scorecard. a. True b. False 2. The use of cultural values, traditions, shared beliefs, and trust to foster compliance with organizational goals refers to decentralized control. a. True b. False 3. Effective management control involves subjective judgment and employee discussions, as well as objective analysis of performance data. a. True b. False 4. Six Sigma is most beneficial when employees have challenging jobs. a. True b. False 5. Within the balanced scorecard, customer service indicators measure things such as employee retention and satisfaction. a. True b. False 6. The liquidity ratio shows the company's ability to meet its current debt obligations. a. True b. False 7. Bottom-up budgeting is a process in which lower-level managers anticipate their department's resource needs and pass them up to top management for approval. a. True b. False 8. A Six Sigma process will typically result in one defective package of product for every three truckloads shipped. a. True b. False 9. An activity ratio that measures how many times the inventory is turned over to meet the total sales figure is called the inventory turnover. a. True b. False

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Chap 15_12e_Daft 10. A responsibility center involves the coordination of multiple managers from various departments to carry out an activity. a. True b. False 11. The balance sheet shows the firm's financial position with respect to expenses and credits at a specific point in time. a. True b. False 12. The fourth step in the control process is to compare actual activities to performance standards. a. True b. False 13. TQM tends to be most successful when it enriches jobs and improves employee motivation. a. True b. False 14. A balance sheet budget is a budget that plans and reports investments in major assets to be depreciated over several years. a. True b. False 15. An organization-wide commitment to infusing quality into every activity through continuous improvement defines Six Sigma. a. True b. False 16. An expense budget lists forecasted and actual revenues of the organization. a. True b. False 17. Benchmarking is the age-old practice of allowing the artisan to sign his name to the finished product. a. True b. False 18. In most companies, managers rely exclusively on qualitative measures to measure actual performance. a. True b. False 19. The feedback control model is a comprehensive management control system that balances traditional financial measures with measures of customer service, internal business processes, and the organization's capacity for learning and growth. a. True b. False

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Chap 15_12e_Daft 20. Benchmarking focuses on the quantity of an end product or service. a. True b. False 21. A standard for performance is included in an organization's overall strategic plan to compare organizational activities against. a. True b. False 22. Frequently calculated ratios typically pertain to activity, passivity, and profitability. a. True b. False 23. The level of funds flowing through the organization and the nature of cash disbursements is shown through the capital budget. a. True b. False 24. A group of 6 to 12 volunteer employees who meet regularly to discuss and solve problems affecting their common work activities refers to a quality circle. a. True b. False 25. An expense budget lists forecasted and actual revenues of the organization. a. True b. False 26. A process in which lower-level managers anticipate their department's resource needs and pass them to top management for approval is called top-down budgeting. a. True b. False 27. The income statement shows revenues coming into the organization from all sources and subtracts all expenses. a. True b. False 28. Continuous improvement is the implementation of a large number of small, incremental improvements in all areas of the organization on an ongoing basis. a. True b. False 29. The Six Sigma approach is a comprehensive management control system that balances traditional financial measures with operational measures relating to a company's critical success factors. a. True b. False

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Chap 15_12e_Daft 30. Managers focus on the various elements of a scorecard to establish performance standards, measure performance, and guide discussion about what further actions need to be taken. a. True b. False 31. Very high expectations from senior management and a desire to share authority by middle managers are two of the positive factors leading to success of TQM. a. True b. False 32. Under hierarchical control, employees tend to be actively engaged and committed to their work. a. True b. False 33. Although work processes can be controlled and regulated, it is impossible to control and regulate employee behavior. a. True b. False 34. Zero-based budgeting requires a complete justification for every line item in a budget. a. True b. False 35. Effectively controlling an organization requires information about performance standards and actual performance, as well as actions to correct any deviations from the standards. a. True b. False 36. The capital budget lists planned investments in major assets such as buildings, heavy machinery, or complex information technology systems. a. True b. False 37. Liabilities are the firm's debts, both current and long-term. a. True b. False 38. The return on total assets is an activity ratio that is the percentage returned to investors on total assets. a. True b. False 39. Outsourcing is the continuous process of measuring products, services, and practices against the toughest competitors or the industry leaders. a. True b. False

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Chap 15_12e_Daft 40. The implementation of total quality management involves the use of many techniques such as quality circles, benchmarking, Six Sigma principles, and continuous improvement. a. True b. False 41. A cash budget estimates receipts and expenditures of money on a daily or weekly basis. a. True b. False 42. The final step of the feedback control model is to do nothing if performance is adequate or to take corrective action if performance is inadequate. a. True b. False 43. The systematic process of regulating organizational activities to make them consistent with the expectations in plans, targets, and standards of performance refers to organizational control. a. True b. False Indicate the answer choice that best completes the statement or answers the question. 44. To determine whether performance meets established standards, all well-designed control systems involve the use of which of the following? a. Opinions b. Advice c. Consultants d. Benchmarks e. Feedback 45. The conversion ratio is considered to be of which type? a. Activity b. Liquidity c. Profitability d. Leverage e. Cash 46. Which type of budget lists forecasted and actual revenues of the organization? a. Zero-based b. Capital c. Cash d. Revenue e. Expense

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Chap 15_12e_Daft 47. Which of the following is a quality control approach that emphasizes a relentless pursuit of quality and efficiency gains? a. Continuous improvement b. Cycle time c. Quality circle d. Six Sigma e. Benchmarking 48. Which of the following involves assigning dedicated personnel within a particular functional area of the business to identify opportunities for improvement throughout the work process? a. Quality circle b. Benchmarking c. Quality partnering d. Continuous improvement e. TQM 49. Which quality control technique uses a five-step methodology to define, measure, analyze, improve, and control processes, otherwise referred to as DMAIC? a. Quality circle b. Six Sigma c. Benchmarking d. Balanced scorecard e. Continuous improvement 50. Priya is an area manager at Ironman Gym. She anticipates her area's needs and formulates a proposed budget every quarter. She then sends this proposal to her manager. This is an example of which type of budgeting? a. Top-down b. Strategic c. Revenue d. Bottom-up e. None of these choices 51. Which type of budget includes anticipated and actual expenses for each responsibility center and for the total organization? a. Zero-based b. Capital c. Cash d. Revenue e. Expense

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Chap 15_12e_Daft 52. Kyle's work group consistently exceeds the goals that members set for themselves some months ago. In an attempt to better motivate the group, Kyle thought it would be a good idea to set new goals. This is an example of Kyle exercising control by doing which of the following? a. Comparing performance to standards b. Developing adequate measures of performance c. Taking corrective action d. Providing reinforcement e. All of these choices 53. Six Sigma is based on a five-step methodology referred to as _____. a. continuous improvement b. DMAIC c. kaizen d. quality partnering e. benchmarking 54. Which of the following is a comprehensive management control system that balances traditional financial measures with operational measures relating to a company's critical success factors? a. Economic value-added system b. Activity-based costing system c. Market value-added system d. Balanced scorecard e. Open-book management system 55. A budgeting process in which lower-level managers budget their departments' resource needs and pass them up to top management for approval is called _____. a. zero-based budgeting b. top-down budgeting c. cash budgeting d. bottom-up budgeting e. expense budgeting 56. Which of the following focuses on production and operating statistics? a. Financial performance indicators b. Business process indicators c. Critical success indicators d. Potential for learning and growth indicators e. Performance measurement indicators

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Chap 15_12e_Daft 57. The firm's financial performance for a given time period is shown _____. a. on the balance sheet b. on the income statement c. in the liquidity ratios d. in the activity ratios e. in the leverage ratios 58. Focusing on how well resources and human capital are being managed for the company's future refers to which component of the balanced scorecard? a. Customers b. Learning and growth c. Financials d. Internal business processes e. External business processes 59. Which of the following refers to the percentage representing what a company earned from its assets? a. Profit margin on sales b. Gross margin c. Return on assets d. Inventory turnover e. None of these choices 60. Which of the following includes anticipated and actual expenses for a responsibility center? a. Revenue budget b. Cash budget c. Capital budget d. Expense budget e. Operating budget 61. The control "system" at FreshFood Corporation is based on the culture of the organization and norms that develop in the individual work teams. This is an example of which type of control? a. Bureaucratic b. Decentralized c. Organizational d. Feedback e. None of these choices

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Chap 15_12e_Daft 62. At LBK Industries, responsibility for quality control rests with a team of quality control inspectors and supervisors rather than with employees. LBK uses which type of organizational control? a. Matrix b. Hierarchical c. Decentralized d. Bottom-up e. Balanced 63. Which of the following involves monitoring and influencing employee behavior through extensive use of rules, policies, hierarchy of authority, written documentation, reward systems, and other formal mechanisms? a. Decentralized control b. Centralized control c. Organizational control d. Hierarchical control e. None of these choices 64. Which of the following provides three types of information: assets, liabilities, and owners' equity? a. Balance sheet b. Income statement c. Liquidity ratios d. Activity ratios e. Leverage ratios 65. Which ratio represents purchase orders divided by customer inquiries? a. Current ratio b. Inventory turnover ratio c. Conversion ratio d. Profit margin on sales e. None of these choices 66. Which of the following indicates an organization's ability to meet its current debt obligations? a. Liquidity ratio b. Activity ratio c. Profitability ratio d. Leverage ratio e. Debt ratio 67. Which of the following refers to funding activities with borrowed money? a. ROA b. Leverage c. Liquidity d. Profitability e. Activity Copyright Cengage Learning. Powered by Cognero.

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Chap 15_12e_Daft 68. In the process of implementing the balanced scorecard approach at his company, operations manager Stone wonders whether internal activities and processes add value for customers and shareholders. This involves which dimension of the balanced scorecard? a. Customers b. Learning and growth c. Financials d. External business processes e. Internal business processes 69. At RWI Distilleries, rules and procedures are used only when necessary. Instead, shared goals and values guide employee behavior. RWI uses which type of organizational control? a. Centralized b. Hierarchical c. Decentralized d. Top-down e. Balanced 70. According to the control model, after establishing standards of performance, the manager should _____. a. compare performance to standards b. get the standards approved by the supervisors and subordinates c. measure actual performance d. take corrective action e. provide feedback 71. All of the following are key steps of setting up feedback control systems except _____. a. comparing performance to standards b. establishing standards c. gathering employee opinions d. measuring performance e. taking corrective action 72. Which of the following is a ratio that measures the firm's internal performance with respect to key activities defined by management? a. Liquidity ratio b. Activity ratio c. Return on total assets d. Current ratio e. Profit margin on sales

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Chap 15_12e_Daft 73. Tiffany recently discovered that the reject rate for her department has exceeded the standard for performance in this area. What should Tiffany do to exercise effective control? a. She should order more training for her workforce. b. She should contact the maintenance department and have them come fix her machinery. c. She should suspend the low-performing workers in her department. d. She should investigate and discover the cause of the problem. e. She should do none of these choices. 74. Which of the following statements is true? a. When a standard deviates from performance, managers must interpret the deviation. b. When performance deviates from a standard, managers must interpret the deviation. c. When performance deviates from a standard, managers have the option to interpret the deviation. d. When a standard deviates from performance, managers have the option to interpret the deviation. e. None of these statements are true. 75. Which of the following is most beneficial when employees have challenging jobs? a. Six Sigma b. Total quality management c. Kaizen d. Quality circles e. Continuous improvement 76. Heather belongs to an informal group at work that meets twice a month to discuss common issues and problems in the workplace. Recently, this group has been focusing on ways to improve safety in the workplace. This group is likely an example of which of the following? a. A safety group b. A quality circle c. An ad hoc committee d. A problem team e. None of these choices 77. Which of the following is an advantage of the bottom-up budgeting process? a. There is an emphasis on bureaucratic control. b. Lower managers are more involved. c. Top managers control the information flow. d. Top managers are often not committed to achieving budget targets. e. All of these choices are advantages.

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Chap 15_12e_Daft 78. In organizations that use decentralized control, self-discipline and self-control keep workers performing their jobs up to standard. Which of the following does NOT contribute to internal standards that provide self-control? a. Empowerment of employees b. Training c. Effective socialization d. Results-based job descriptions e. Detailed rules and procedures 79. Madison has been assigned to work on the development of a budget that plans future investments in major assets such as buildings and heavy machinery. Madison is working on which type of budget? a. Cash b. Capital c. Revenue d. Operating e. Expense 80. Mistletoe Corporation has a detailed set of organizational goals and a management information system that delivers timely and accurate information. Mistletoe still has control problems, however, because its managers refuse to act on the information they receive. Mistletoe's control process is flawed in which of the following areas? a. Performance standards b. Management information systems c. Ability to take corrective action when necessary d. Measurement systems e. None of these choices 81. Which of the following is a financial budget that estimates cash flows on a daily or weekly basis to ensure that the company can meet its obligations? a. Capital expenditures budget b. Balance sheet budget c. Cash budget d. Revenue budget e. Profit budget 82. Brent is a department manager at Home Theater, Inc. His sole role in the budget process is to implement the budget that is developed for him. This is an example of _____. a. strategic budgeting b. operational budgeting c. top-down budgeting d. management by objectives e. bottom-up budgeting

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Chap 15_12e_Daft 83. Olivia, the new CEO at Odyssey Inc., plans to implement a highly effective systematic process of regulating organizational activities to make them consistent with the expectations that are established by managers within the company. This is referred to as _____. a. organizational control b. feedback control c. budgetary control d. systems control e. quality control 84. Which of the following uses cultural values, traditions, shared beliefs, and trust to generate compliance with organizational goals? a. Decentralized control b. Centralized control c. Organizational control d. Hierarchical control e. None of these choices 85. Use of the balanced scorecard can hinder or decrease organizational performance if it is implemented using which type of orientation? a. Performance management b. Performance measurement c. Customer d. Learning and growth e. Internal business process 86. Which of the following is the first step in the feedback control system? a. Establish strategic goals. b. Establish standards of performance. c. Take corrective action. d. Compare performance to standards. e. Measure previous performance. 87. Continuous improvement is also known as _____. a. decentralized control b. algorithmic control c. kaizen d. benchmarking e. quality partnering

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Chap 15_12e_Daft 88. A budgeting process in which middle- and lower-level managers set departmental budget targets in accordance with overall company revenues and expenditures specified by top management is called _____. a. zero-based budgeting b. top-down budgeting c. cash budgeting d. bottom-up budgeting e. expense budgeting 89. Which of the following is NOT a contingency factor that can influence the success of a TQM program in a positive way? a. Tasks make high skill demands on employees. b. TQM serves to enrich jobs and motivate employees. c. Problem-solving skills are improved for all employees. d. Participation and teamwork are used to tackle significant problems. e. Managers wait for big, dramatic innovations. 90. The systematic process through which managers regulate organizational activities is known as _____. a. organizational control b. continuous improvement c. feedback control d. the balanced scorecard e. decentralized control 91. Which of the following is considered a leverage ratio? a. Debt ratio b. Return on total assets c. Profit margin on sales d. Conversion ratio e. Inventory turnover 92. Quality circles are based on which of the following assumptions? a. The people who do a job know it better than anyone else. b. Quality can be increased by increasing the size of the organization. c. Quality can be increased by talking more about it. d. The more employees talk, the more satisfied they will be. e. All of these choices are correct.

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Chap 15_12e_Daft 93. The basic philosophy of control at Nutrients-For-You, Inc. is based on the policies found in its employee handbook, as well as a strict hierarchy of authority. This philosophy is consistent with which type of control? a. Clan b. Bottom-up c. Hierarchical d. Culture e. Decentralized 94. It seems that once a year the managers of Stone Construction, Inc., attempt a major organization intervention, such as management by objectives. They never seem to be satisfied with the performance of Stone Construction and, sure enough, 12 months later, along comes another major intervention. By implementing organizational change in this way, Stone Construction's management is likely violating the principle of which of the following? a. Benchmarking b. Continuous improvement c. Hierarchical control d. Top-down control e. None of these choices 95. Which of the following refers to the ability of the organization to meet its current debt obligation? a. Activity ratio b. Liquidity ratio c. Profitability ratio d. Conversion ratio e. Growth ratio 96. Which of the following refers to the process of setting targets for an organization's expenditures? a. Quality control b. Income control c. Budgetary control d. Systems control e. Supply chain control 97. Which of the following is defined as the process of measuring an organization's products, services, and practices against recognized industry leaders? a. Outsourcing b. Continuous improvement c. Environmental analysis d. Benchmarking e. Competitive measurement

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Chap 15_12e_Daft 98. Net income divided by sales is the correct formula for calculating _____. a. return on total assets b. a current ratio c. a liquidity ratio d. profit margin on sales e. a corporate evaluation 99. Zachery, a manager at ExecuComp, receives quarterly reports that track his department's production statistics. However, these reports lack key information regarding reject rates. Which of the following components of the control model need improvement? a. Measuring actual performance b. Planning and setting performance standards c. Performing SWOT analysis d. Taking corrective action when necessary e. All of these choices 100. The firm's financial position with respect to assets and liabilities at a specific point in time is shown by its _____. a. activity ratio b. profitability ratio c. income statement d. liquidity ratio e. balance sheet 101. A group of 6 to 12 volunteer employees who meet regularly to discuss and solve problems affecting their common work activities is known as a _____. a. feedforward control group b. work team c. quality circle d. committee e. problem team 102. Your department has absenteeism standards, a way to measure absenteeism, and, based on your investigation, you have concluded that your department has an excessive absenteeism rate. What should your next step be? a. Clarify or adjust absenteeism standards. b. Clearly communicate measures of absenteeism. c. Terminate three employees for excessive absenteeism. d. All of these are next steps to be followed. e. None of these are next steps to be followed.

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Chap 15_12e_Daft 103. Which of the following is a philosophy of organization-wide commitment to continuous improvement? a. Engineering b. Total quality management c. Outsourcing d. Culture e. Diversity 104. Which of the following focuses on whether performance meets established standards? a. Organizational control b. Continuous improvement c. Feedback control d. Balanced scorecard e. Decentralized control 105. Which of the following refers to the difference between assets and liabilities and is the company's net worth in stock and retained earnings? a. Assets b. Current debt c. Net profit d. Owners' equity e. Liabilities 106. Which of the following is the systematic process through which managers regulate organizational activities? a. Strategic planning b. Organizational control c. Organizational goal setting d. Strategic regulation e. Organizational leading 107. Clinton, a manager at a textile company, is bothered by a lack in quality of products manufactured by his company. Clinton hopes to infuse quality into the company through continuous improvement by involving everyone who works there. This describes which control philosophy? a. Balanced scorecard b. Six Sigma c. Continuous improvement d. Total quality management e. Open-book management

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Chap 15_12e_Daft 108. Which of the following provides a summary of information used for financial control of an organization? a. Owners' equity b. Income statement c. Financial position d. Mission statement e. 100-Ks 109. Which of the following is defined as any organizational department or unit under the supervision of a single person who is responsible for its activity? a. Independent center b. Responsibility center c. Analysis center d. Control center e. Budgeting center 110. Which type of budget shows the level of funds flowing through the organization and the nature of cash disbursements? a. Zero-based b. Capital c. Cash d. Revenue e. Expense 111. How many volunteer employees are included in a quality circle? a. 2 to 4 b. 6 to 12 c. 10 to 20 d. 15 to 25 e. 30 to 50 112. Not all standards that companies set are quantitative. In order to set effective qualitative standards, managers must ensure that they set standards that _____. a. allow the organization to learn and grow b. provide monetary compensation to employees that effectively meet them c. lead to overall cost reduction in an effort to increase organizational profits d. measure individual productivity so weak performers can be phased out e. reflect activities that contribute to the organization's overall strategy in a significant way

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Chap 15_12e_Daft 113. Goals of quality partnering include all of the following except _____. a. including people from the quality control department b. addressing defects early in the product life cycle c. measuring quality against the best in the industry d. viewing quality control as part of everyday work e. considering people with strong knowledge to be part of the quality control process 114. Kelsie is a manager at George's Goodies. On a regular basis, Kelsie and her subordinates set individual and organizational goals. This process is similar to which component of the control model? a. Take corrective action when necessary. b. Maintain an information system. c. Establish performance standards. d. Engage in strategic analysis. e. None of these choices are correct. 115. Which of the following is a contingency factor that can influence the success of a TQM program in a negative way? a. Continuous improvement is a way of life. b. TQM serves to enrich jobs and motivate employees. c. Problem-solving skills are improved for all employees. d. Participation and teamwork are used to tackle significant problems. e. Union leaders are left out of quality control discussions. 116. Which type of budget is used to plan future investments in major assets to be depreciated over several years? a. Capital b. Balance sheet c. Cash d. Revenue e. Profit 117. Net income divided by sales is the formula for _____. a. profit margin on sales b. current ratio c. gross margin d. debt ratio e. return on assets

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Chap 15_12e_Daft 118. Contingency factors that can influence the success of a TQM program in a negative way include all of the following except _____. a. tasks make great skill demands on employees b. management expectations are unrealistically high c. middle managers are dissatisfied about loss of authority d. workers are dissatisfied with other aspects of organizational life e. managers wait for big, dramatic innovations 119. Tanya is a production manager at Eagle's Nest, Inc. She is concerned that too much money is being wasted on inventory that is sitting in the warehouse too long. She should calculate a(n) _____. a. current ratio b. inventory turnover ratio c. conversion ratio d. profitability ratio e. leverage ratio 120. All of the following are major perspectives of the balanced scorecard except _____. a. competitors b. customers c. learning and growth d. financial e. internal business processes 121. Shadia, a systems manager for a large technology company, would like to get an understanding of her company's financial position with respect to assets and liabilities at the end of the fiscal year. Which of the following should she consider? a. Income statement b. Activity ratio c. TQM report d. Balance sheet e. Balanced scorecard 122. CyberChasers Corporation sends a post-purchase questionnaire to all consumers who buy its products. It is interested in gathering data on product quality, customer service orientation, and customer satisfaction. This is an example of which type of control? a. Concurrent b. Feedback c. Feedforward d. Preliminary e. Preventive

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Chap 15_12e_Daft 123. Which type of budget is necessary to plan the impact of major expenditures on cash flow and profitability? a. Zero-based b. Capital c. Cash d. Revenue e. Expense 124. Which of the following statements about total quality management is true? a. It is based on the ideas of Frederick Taylor. b. It gives managers total responsibility for achieving quality goals. c. It infuses quality into every activity in a company through continuous improvement. d. It was first successfully implemented in the United States. e. All of these statements are true. 125. Budgeted amounts for the coming year are imposed on middle- and lower-level managers in which budgeting process? a. Zero-based b. Top-down c. Cash d. Bottom-up e. Expense 126. Rashad meets with his company's accountant to discuss the budget of anticipated and actual expenses for each segment of the organization. This involves review of which type of budget? a. Expense b. Revenue c. Cash d. Capital e. Nonfinancial 127. The implementation of a large number of small, incremental improvements in all areas of the organization on an ongoing basis is referred to as _____. a. Six Sigma b. continuous improvement c. quality partnering d. benchmarking e. budgetary control

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Chap 15_12e_Daft Scenario - Karmen Aldridge The yearly auditing review of Pilgrim Industries is scheduled for next month. Karmen Aldridge is preparing for that audit and is also preparing her budget for the coming year. 128. In planning and budgeting for the next 12 months, Karmen is participating in a budgeting process in which lower-level managers budget their department's resource needs and pass them up to top management for approval. The process described in this scenario is an example of which type of budgeting? a. Zero-based b. Bottom-up c. Top-down d. Balance sheet e. None of these choices

129. List the four major perspectives of a balanced scorecard.

130. List the four steps in the feedback control model.

Scenario - Karmen Aldridge The yearly auditing review of Pilgrim Industries is scheduled for next month. Karmen Aldridge is preparing for that audit and is also preparing her budget for the coming year. 131. Karmen has also requested that the financial ratios be calculated and analyzed for her. Which of the following ratios will give her the best information for evaluating liquidity? a. Profit margin on sales b. Current ratio c. Conversion ratio d. Return on assets e. None of these choices

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Chap 15_12e_Daft 132. Which type of budget will provide Karmen with information about planned investments in major assets such as buildings and heavy machinery? a. Cash b. Revenue c. Capital d. Expense e. Balance sheet

133. A feedback control model helps managers determine whether performance meets established standards. Describe how you would utilize the four-step process of feedback control when setting up a control system in a retail environment.

134. Compare hierarchical control with decentralized control.

135. Describe the difference between a balance sheet and an income statement.

136. Discuss the evolution of the balanced scorecard from a system that places equal emphasis on performance management categories to one that emphasizes balanced measurement systems.

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Chap 15_12e_Daft 137. Organizations need quality and behavioral control, which are a manager's responsibility. If you were the manager of a frozen yogurt shop, what types of controls would you use to monitor quality and behavior? How would you use the information you collect?

138. Identify and briefly describe each of the common financial ratios addressed in the text.

139. Discuss the positive and negative factors that can influence the success of a TQM program.

140. Identify and briefly describe the four steps of the feedback control model.

141. In a TQM program, what is benchmarking?

142. A manager can use a variety of approaches when seeking to measure and control performance. Compare and contrast the hierarchical and decentralized control processes and explain the factors that help determine which method is used.

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Chap 15_12e_Daft Answer Key 1. False 2. True 3. True 4. False 5. False 6. True 7. True 8. False 9. True 10. False 11. False 12. False 13. True 14. False 15. False 16. False 17. False 18. False 19. False 20. False 21. True 22. False 23. False 24. True 25. False 26. False

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Chap 15_12e_Daft 27. True 28. True 29. False 30. True 31. False 32. False 33. False 34. True 35. True 36. True 37. True 38. False 39. False 40. True 41. True 42. True 43. True 44. e 45. a 46. d 47. d 48. c 49. b 50. d 51. e 52. d 53. b 54. d Copyright Cengage Learning. Powered by Cognero.

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Chap 15_12e_Daft 55. d 56. b 57. b 58. b 59. c 60. d 61. b 62. b 63. d 64. a 65. c 66. a 67. b 68. e 69. c 70. c 71. c 72. b 73. d 74. b 75. d 76. b 77. b 78. e 79. b 80. c 81. c 82. c Copyright Cengage Learning. Powered by Cognero.

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Chap 15_12e_Daft 83. a 84. a 85. b 86. b 87. c 88. b 89. e 90. a 91. a 92. a 93. c 94. b 95. b 96. c 97. d 98. d 99. a 100. e 101. c 102. d 103. b 104. c 105. d 106. b 107. d 108. b 109. b 110. c Copyright Cengage Learning. Powered by Cognero.

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Chap 15_12e_Daft 111. b 112. e 113. c 114. c 115. e 116. a 117. a 118. a 119. b 120. a 121. d 122. b 123. b 124. c 125. b 126. a 127. b 128. b 129. (1) financial performance, (2) customer service, (3) internal business processes, and (4) potential for learning and growth 130. (1) Establish standards of performance. (2) Measure actual performance. (3) Compare performance to standards. (4) Take corrective action. 131. b 132. c 133. Student responses will vary. A feedback control model establishes standards against which to compare organizational activities; measures actual performance daily, weekly, or monthly; compares performance to standards to see if it meets, exceeds, or falls short; and makes corrections. 134. Hierarchical control uses rules, policies, hierarchy of authority, reward systems, and other formal devices to influence employee behavior and assess performance. In contrast, decentralized control uses cultural values, traditions, shared beliefs, and trust to generate compliance with organizational goals. Hierarchical control generates employee compliance with rule, while decentralized control generates employee commitment to quality. Copyright Cengage Learning. Powered by Cognero.

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Chap 15_12e_Daft 135. A balance sheet shows the firm's financial position with respect to assets and liabilities at a specific point in time. It provides three types of information: assets, liabilities, and owners' equity. An income statement is different from a balance sheet in the sense that it shows revenues coming into the organization from all sources and subtracts all expenses, indicating the firm's net income. 136. This adapted approach to the scorecard recognizes that relying exclusively on financial measures can result in shortterm, dysfunctional behavior, and that nonfinancial measures can provide a healthy supplement to the traditional measures. It balances traditional financial measures with operational measures relating to a company's critical success factors in the areas of financial performance, customer service, internal business processes, and the potential for learning and growth. When all of these performance metrics are linked to a well-defined organizational strategy and goals, the balanced scorecard can be an effective tool for managing and improving performance. 137. Student responses will vary. Organizational control is the systematic process through which managers regulate activities to meet goals and standards. It is essentially a managerial responsibility. Managers use organizational control measures to regulate and monitor employee behavior, control work processes, set up systems to allocate resources, and keep track of performance and profit. It can also be used to gather information about standards, perform standards, and take action to correct deviations from standards.

138. The major categories addressed in the text are liquidity ratios, activity ratios, profitability ratios, and leverage ratios. The liquidity ratio indicates an organization's ability to meet its current debt obligations. For example, the current ratio (current assets divided by current liabilities) tells whether the company has sufficient assets to convert into cash to pay off its debts, if needed. Another liquidity ratio is the quick ratio, which is typically expressed as cash plus accounts receivable divided by current liabilities. The activity ratio measures internal performance with respect to key activities defined by management. For example, inventory turnover is calculated by dividing total sales by average inventory. Another type of activity ratio, the conversion ratio, is expressed as purchase orders divided by customer inquiries. Managers analyze a company's profits by studying profitability ratios, which state profits relative to a source of profits, such as sales or assets. One important profitability ratio is the profit margin on sales, which is calculated as net income divided by sales. Similarly, gross margin is the gross (before-tax) profit divided by total sales. Another profitability measure is return on assets (ROA), which is a percentage representing what a company earned from its assets, computed as net income divided by total assets. Leverage refers to funding activities with borrowed money. Managers therefore track their debt ratio, or total debt divided by total assets, to make sure it does not exceed a level that they consider acceptable.

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Chap 15_12e_Daft 139. Positive factors include the following: Tasks make great skill demands on employees. TQM serves to enrich jobs and motivate employees. Problem-solving skills are improved for all employees. Participation and teamwork are used to tackle significant problems. Continuous improvement is a way of life. Negative factors include the following: Management expectations are unrealistically high. Middle managers are dissatisfied about loss of authority. Workers are dissatisfied with other aspects of organizational life. Union leaders are left out of quality control discussions. Managers wait for big, dramatic innovations. 140. The four steps are as follows: establish standards of performance, measure actual performance, compare performance to standards, and take corrective action. Within the organization's overall strategic plan, managers first define goals for organizational departments in specific, operational terms that include a standard of performance against which to compare organizational activities. Next, most organizations prepare formal reports of quantitative performance measurements that managers review daily, weekly, or monthly. The third step compares actual activities to performance standards. When managers read computer reports or walk through the plant, they can identify whether actual performance meets, exceeds, or falls short of standards. During the final step, feedback control helps managers make needed adjustments in work activities, standards of performance, or goals to help the organization be successful. 141. Benchmarking is the continuous process of measuring products, services, and practices against the toughest competitors or the industry leaders. The key to benchmarking lies in analysis and in the selection of the comparison company. 142. Under hierarchical control, employee behavior is monitored using extensive rules, policies, written documentation of authority, and rewards, and it involves close personal supervision. Decentralized control uses traditions, cultural values, trust, self-discipline, and shared beliefs to foster compliance; and it assumes that employees are willing and able to perform without extensive supervision. Most organizations use some aspect of both control approaches, but the shift is toward employee empowerment and participation. Managers will emphasize one or the other depending on organizational culture and personal belief system.

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