Fundamentals of Management
Chapter Exam Questions
Course Introduction
Fundamentals of Management provides an introduction to the essential principles and practices of modern management. This course explores the four core functions of management: planning, organizing, leading, and controlling, while emphasizing their application in real-world organizational settings. Students will learn about the evolution of management thought, decision-making processes, effective communication, motivation, teamwork, and leadership. The course also examines ethical considerations, diversity in the workplace, and strategies for managing change in dynamic environments. By the end of the course, students will have a foundational understanding of how managers contribute to organizational success and be equipped with the skills needed for further study and practical application in management roles.
Recommended Textbook
Management 8th Edition by Richard L. Daft
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Page 2
Chapter 1: Managing in Turbulent Times
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Q1) Manager's Shoptalk in Chapter 1 asks you to consider issues such as the increased workload and the challenge of supervising former peers to help you decide if you really want to become a manager.
A)True
B)False
Answer: True
Q2) ______________________________ are responsible for several departments that perform different functions.
Answer: General managers
Q3) Describe the three categories of managerial roles and explain how do they differ.
Answer: 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. Actual roles that are under each category may be included.
Q4) Conceptual skills are especially important for ____________________ managers.
Answer: Top
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Chapter 2: The Evolution of Management Thinking
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Sample Questions
Q1) Which of these is the most current management perspective?
A) The learning organization
B) Contingency views
C) Systems theory
D) The technology-drive workplace
E) Classical perspective
Answer: D
Q2) Mary Parker Follett thought of leadership as __________, rather than techniques.
A) systems
B) top managers
C) people
D) efficiencies
E) floor managers
Answer: C
Q3) ____________________ refers to contracting out selected functions or activities to other organizations that can do the work more cost-efficiently.
Answer: Outsourcing
Q4) List the five components of the basic systems theory of organizations.
Answer: inputs; a transformation process; outputs; feedback; and the environment.
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Chapter 3: The Environment and Corporate Culture
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Sample Questions
Q1) A sales executive for General Motors fills an essential boundary-spanning role.
A)True
B)False
Answer: True
Q2) A ______________________________ defines and uses signals and symbols to influence corporate culture.
Answer: cultural leader
Q3) A merger involves a strategic alliance or program by two or more organizations.
A)True
B)False
Answer: False
Q4) PC makers are taking control back from Microsoft by selling desktop space to competing software and service providers and giving end users broader choices of software during setup.
A)True
B)False
Answer: True
Q5) A(n) _________________________ involves a strategic alliance or program by two or more organizations.
Answer: joint venture
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Chapter 4: Managing in a Global Environment
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Sample Questions
Q1) Which of these refers to the degree to which people accept inequality in power among institutions, organizations, and people?
A) Power distance
B) Uncertainty avoidance
C) Individualism
D) Collectivism
E) Masculinity
Q2) ______________________________ means engaging in the international division of labor so that manufacturing can be done in countries with the cheapest sources of labor and supplies.
Q3) Zaman Telecom with an international division would be participating in what stage of the international arena?
A) Domestic stage
B) International stage
C) Multinational stage
D) Global stage
E) Binational stage
Q4) What is global outsourcing? Identify a unique variation of global outsourcing.
Q5) Briefly describe two personal challenges for global managers.
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Chapter 5: Ethics and Social Responsibility
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Sample Questions
Q1) Which of these is the disclosure by an employee of an illegal activity?
A) Tattling
B) Whistle-blowing
C) Organizational communication
D) The filing of a disclosure statement
E) Snooping
Q2) The decision to recruit, hire, train and promote both men and women equally is based on the ethical approach of
A) utilitarian approach.
B) individualism approach.
C) moral rights approach.
D) all of these provide the basis.
E) none of these.
Q3) All of these are of concern to managers, under the justice approach, EXCEPT A) compensatory justice.
B) distributive justice.
C) procedural justice.
D) obstructive justice.
E) all of these
Q4) Most managers operate at the ____________________ level.
Page 7
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Chapter 6: Managing Small Business Start-Ups
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Sample Questions
Q1) A(n) ____________________ locus of control is the belief by individuals that their future is within their control.
Q2) All of these are entrepreneurial characteristics EXCEPT
A) self-confidence.
B) tolerance for ambiguity.
C) external locus of control.
D) high energy level.
E) awareness of passing time.
Q3) __________ means that people are motivated to excel and pick situations in which success is likely.
A) External locus of control
B) Tolerance for Ambiguity
C) Awareness of passing time
D) Internal locus of control
E) Need to achieve
Q4) Identify and describe the reasons why small business is such a dynamic part of today's economy.
Q5) List five of the six characteristics of entrepreneurs.
Q6) A(n) ____________________ is an unincorporated business owned by two or more people.
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Chapter 7: Managerial Planning and Goal Setting
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Q1) Which of these is true about single-use plans?
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 plans that define company responses to specific situations, such as emergencies or setbacks.
D) They are most important in the organizations.
E) None of these.
Q2) Which of these 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
Q3) Plans provide a standard of assessment.
A)True
B)False
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Chapter 8: Strategy Formulation and Implementation
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Sample Questions
Q1) When the organization goes through a period of forced decline by either shrinking current business units or selling off or liquidating entire businesses, it is called
A) retrenchment.
B) growth.
C) cash cow.
D) multidomestic.
E) stability.
Q2) ____________________ can be promoted internally by investing in expansion or externally by acquiring additional business divisions.
Q3) The question How do we compete? concerns _________________________ strategy.
Q4) Preferred supplier arrangements occur when a company develops a special relationship with suppliers.
A)True
B)False
Q5) Strategy implementation involves the planning and decision making that lead to the establishment of the firm's goals.
A)True
B)False
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Chapter 9: Managerial Decision Making
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Sample Questions
Q1) Which of these styles is adopted by managers having a deep concern for others as individuals?
A) Behavioral
B) Classical
C) Analytic
D) Logical
E) Conceptual
Q2) 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
Q3) Differences among people with respect to how they perceive problems and make decisions is called _________________________.
Q4) Risk propensity refers to the willingness to undertake risk with the opportunity of gaining an increased payoff.
A)True
B)False
Q5) Compare decision conditions of certainty, risk, uncertainty, and ambiguity.
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Chapter 10: Designing Adaptive Organizations
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Sample Questions
Q1) The flip side of the authority coin is responsibility.
A)True
B)False
Q2) 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.
Q3) Despite the apparent advantages of specialization, many organizations are moving away from this principle.
A)True
B)False
Q4) In determining Xavier's span of management, she should consider all of the following EXCEPT
A) Is the work performed by subordinates stable and routine?
B) Do subordinates perform similar tasks?
C) Are rules and procedures defining task activities available?
D) Do Xavier's personal preferences and style favor a larger or small span?
E) All of these.
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Chapter 11: Managing Change and Innovation
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Sample Questions
Q1) A(n) ____________________ is a separate small, informal, highly autonomous, and often secretive group that focuses on breakthrough ideas for the business.
Q2) Which of these uses formal bargaining to win acceptance and approval of a desired change?
A) Education
B) Participation
C) Coercion
D) Negotiation
E) Top management support
Q3) Skunkworks are a separate small, informal, highly autonomous, and often secretive group that focuses on breakthrough ideas for the business.
A)True
B)False
Q4) List the five specific tactics that can be used to overcome employee resistance to change.
Q5) A strategy based on the ability to deliver products and services faster than competitors is called ______________________________.
Q6) Explain the horizontal linkage model.
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Chapter 12: Human Resource Management
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Sample Questions
Q1) Telecommuting means using computers and telephones at the office.
A)True
B)False
Q2) BARS is a rating technique that relates an employee's performance to specific job-related incidents.
A)True
B)False
Q3) The term ____________________ refers to (1) all monetary payments and (2) all goods or commodities used in lieu of money to reward employees.
Q4) __________ generates higher employee commitment, development, and satisfaction than does __________.
A) External recruiting, internal recruiting
B) External selection, internal selection
C) Internal recruiting, external recruiting
D) Internal recruiting, internal selection
E) Downsizing, monetary rewards
Q5) ____________________ is the hiring or promoting of applicants based on criteria that are not job relevant.
Q6) Describe the steps in attracting an effective workforce.
Page 14
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Chapter 13: Meeting the Challenge of Diversity
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Sample Questions
Q1) Identify and briefly describe the highest and lowest levels of diversity awareness.
Q2) ________________________________________ is designed to make people aware of their own prejudices and stereotypes.
Q3) Which of the following conditions is consistent with the establishment of affirmative action?
A) Economic conditions were unstable
B) The economy was stagnate
C) White males dominated the work force
D) Women were making great strides in climbing the corporate ladder
E) Minorities are taking over the corporate world
Q4) An important role at higher levels of organizations, leading to the glass ceiling and glass walls, is played by compatibility in thought and behavior.
A)True
B)False
Q5) A part of the reason for the failure of affirmative action can be attributed to the glass ceiling.
A)True
B)False
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Chapter 14: Dynamics of Behavior in Organizations
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Q1) The tendency to place the primary responsibility for one's success or failure either within oneself (internally) or on outside forces (externally) is called the
Q2) Drew is a trusting and forgiving individual who gets along with others because of being 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
Q3) An individual's ____________________ is the set of characteristics that underlie a relatively stable pattern of behavior in response to ideas, objects, or people in the environment.
Q4) The four stages of the learning process include all of the following EXCEPT:
A) concrete experience
B) reflective observation
C) abstract observation
D) abstract conceptualization
E) active experimentation
Page 16
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Chapter 15: Leadership
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Sample Questions
Q1) According to Fiedler, in situations of __________, relationship-oriented leaders are more effective.
A) high favorability
B) moderate favorability
C) high unfavorability
D) no favorability
E) none of these
Q2) Consideration is the extent to which the leader is task oriented and directs subordinate work activities toward goal attainment.
A)True
B)False
Q3) Which of the following are important work environment contingencies in path-goal theory?
A) The degree of task structure
B) The nature of the formal authority system
C) The work group
D) All of these
E) The degree of task structure and the nature of the formal authority system
Q4) ____________________ is the potential ability to influence the behavior of others.
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Chapter 16: Motivation
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Sample Questions
Q1) Schedule of reinforcement is the frequency with which reinforcement occurs.
A)True
B)False
Q2) 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.
Q3) The delegation of power and authority to subordinates is called ____________________.
Q4) In goal-setting theory, which term refers the need to make goals highly ambitious but achievable?
A) goal specificity
B) goal difficulty
C) goal acceptance
D) feedback
E) goal motivation
Q5) ____________________ theories emphasize the needs that motivate people.
Page 18
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Chapter 17: Communication
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Sample Questions
Q1) Which of these 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
Q2) ____________________ pertains to the meaning of words and the way they are used.
Q3) For complex problems, a __________ network is most effective for swift, accurate problem resolution.
A) linear
B) centralized
C) decentralized
D) all of these
E) linear and centralized
Q4) Presenting hard facts and figures has the same power as telling vivid stories.
A)True
B)False
Q5) List the four individual level barriers to communication.
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Q6) Describe the difference between centralized networks and decentralized networks.
Chapter 18: Teamwork
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Q1) List the five stages of team development.
Q2) One of Marcus's co-workers, Jason Danner, is great at reducing tension by telling jokes and in other ways drawing off emotions when the group atmosphere is tense. Additionally, Jason can be counted on to energize by stimulating the team into action when the interest drops. Jason is demonstrating which of these?
A) The task specialist role
B) The dual role
C) The socioemotional role
D) The participator role
E) None of these
Q3) A manger can put together a(n) ____________________ of people, but never build a(n) ____________________.
Q4) Discuss the determinants of team cohesiveness and its consequences.
Q5) As one of the four common says in which norms develop in teams, ________________________ come from a team's history and establish important precedents.
Q6) A long-lasting, sometimes permanent team in the organization structure created to deal with tasks that recur regularly is called a(n) ____________________.
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Chapter 19: Managerial and Quality Control
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Sample Questions
Q1) __________ is the key to successful benchmarking.
A) Application
B) Implementation
C) Analysis
D) Strategy
E) Planning
Q2) _________ refers to the system of governing an organization so that the interests of corporate owners are protected.
A) Quality circle
B) Corporate governance
C) ISO certification
D) Open-book management
E) Balance scorecard
Q3) The three types of control are
A) feedforward, concurrent, and feedback.
B) performance, quality, and quantity.
C) quality, performance, and feedback.
D) feedforward, quality, and feedback.
E) feedward, concurrent, and quality.
Q4) List the four steps in the feedback control model.
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Chapter 20: Information Technology and E-Business
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Sample Questions
Q1) The greatest value of intranets for knowledge management is increasing the transfer of tacit knowledge.
A)True
B)False
Q2) The biggest boom in e-commerce is in C2C transactions.
A)True
B)False
Q3) Software that uses sophisticated decision-making processes to search raw data for patterns and relationships that may be significant is called
A) data warehousing.
B) networking.
C) knowledge management.
D) data mining.
E) none of these.
Q4) Wiki is a Web site that allows anyone with access, inside or outside the organization, to create, share, and edit content through a simple, browser-based user interface.
A)True
B)False
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Chapter 21: Operations and Value Chain Management
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Q1) The four major outcomes on which managers focus to build a highly effective operations systems include all of the following EXCEPT:
A) achieving superior customer responsiveness
B) achieving superior innovation with speed and flexibility
C) achieving superior quality
D) achieving superior efficiency
E) all of these are outcomes on which managers focus
Q2) Flour, sugar, and baking soda are __________ for a bakery.
A) finished-goods
B) raw materials
C) work in process
D) outputs
E) distribution goods
Q3) Managing the movement of materials within a facility, the shipment of incoming materials from suppliers, and the shipment of outgoing products to customers is known as distribution.
A)True
B)False
Q4) Name and briefly describe the four most common types of facilities layouts.
Q5) ____________________ organizations are those that produce physical goods.
Page 23
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