Leadership and Management Exam Preparation Guide
Course Introduction
This course explores the fundamental principles and practices of leadership and management within organizations. Emphasizing the distinctions and intersections between leading and managing, students will examine various leadership theories, styles, and strategies for motivating teams, driving change, and achieving organizational goals. The course also addresses essential management functions such as planning, organizing, controlling, and decision-making, while fostering the development of effective communication, problem-solving, and conflict resolution skills. Through case studies, practical exercises, and discussions, students will gain insights into ethical leadership and the competencies required to lead diverse teams in dynamic environments.
Recommended Textbook
Modern Management Concepts and Skills 14th Edition by Samuel C. Certo
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21 Chapters
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Page 2
Chapter 1: Principles of Modern Management: Concepts and Skills
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Q1) Define management and explain how the four functions of management are related. Answer: Management is the process of reaching organizational goals by working with and through people and other organizational resources. Planning, organizing, influencing, and controlling, the four functions of management, are integrally related and therefore cannot be separated in practice. Managers use these activities solely for reaching organizational goals. Organizing is based on well-thought out plans developed during the planning process, and influencing systems must be tailored to reflect both these plans and the organizational design used to implement them. The fourth function, controlling, involves possible modifications to existing plans, organizational structure, or the motivation system used to develop a more successful effort.
Q2) Influencing as a managerial function is also commonly referred to as Motivating, Leading, Directing, or ________.
A) Driving
B) Controlling
C) Actuating
D) Monitoring
E) Designing
Answer: C
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Chapter 2: Managers, Society, and Sustainability
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Q1) Which of the following areas does an organization focus on when it maintains the wellbeing and protection of the communities in which it does business?
A) the economy
B) the customer
C) the environment
D) the government
E) the society
Answer: E
Q2) Social responsiveness can be defined as ________.
A) the speed at which an organization adapts to the changing societal culture
B) an organization's effectiveness in abiding by the laws of the society
C) the degree of effectiveness and efficiency with which an organization fulfills its stockholders' needs while benefitting the stakeholders
D) the degree of effectiveness and efficiency an organization displays in pursuing its social responsibilities
E) the degree of effectiveness with which an organization can predict the changes in a society, such as the consumers changing preferences
Answer: D
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Chapter 3: Management and Diversity
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Q1) ________ refers to an environment in which cultural, group, and individual differences are acknowledged, accepted, and viewed as significant contributors to the entirety.
A) Biculturalism
B) Pluralism
C) Xenocentrism
D) Ethnocentrism
E) Tokenism
Answer: B
Q2) Alice is an American student of Chinese origin. Her grades fell significantly during the last semester. Disappointed with her grades, Alice's teacher told her that she should be working harder and be more dedicated to her studies as a result of her Chinese heritage. The teacher's attitude can be described as ________.
A) bicultural conflict
B) tokenism
C) stereotyping
D) ethnocentrism
E) feminism
Answer: C
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Chapter 4: Managing in the Global Arena
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Q1) ________ is the degree to which people in a society operate primarily as individuals or within groups.
A) Uncertainty avoidance
B) Power distance
C) Collectivism
D) Masculinity
E) Femininity
Q2) When a U.S.-based computer manufacturer sells a shipment of 40 computers to a retailer in Germany, the computer manufacturer is engaged in the process of ________.
A) importing
B) exporting
C) developing a license agreement
D) direct investing
E) repatriating
Q3) Transnational organizations have the least international involvement of all types of organizations involved in the international arena.
A)True
B)False
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Page 6
Chapter 5: Plans and Planning Tools
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Q1) A study of failed planning showed that preventing a failure in planning begins with ensuring ________.
A) corporate planning is not integrated into the total management process of the organization
B) management implements and operates according to the plan
C) management at different levels of the firm are not included in plan development
D) management attempts to complete all objectives at the same time
E) financial projections are confused with planning
Q2) Which of the following is NOT a guideline for establishing quality objectives?
A) Let people responsible for attaining objectives have a voice in setting them.
B) State objectives as specifically as possible.
C) Pinpoint expected results.
D) Set objectives that are not related to other organizational objectives.
E) Specify when goals are expected to be achieved.
Q3) Describe the steps in the planning process.
Q4) Describe the eight key areas in which Drucker advised managers to set management system objectives.
Q5) What is planning? What are the advantages and potential disadvantages of planning?
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Chapter 6: Making Decisions
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Q1) Decision makers characterized by the desire to preserve the status quo as much as possible are classified as having a hoarding orientation.
A)True
B)False
Q2) Becky is leading her team in an open discussion on the possibilities of implementing flexible work hours for her department. One of the team members keeps interrupting with negative feedback on the suggested ideas. He is breaking the cardinal rule of ________.
A) scapegoating
B) brainstorming
C) crowdsourcing
D) groupthinking
E) the Delphi technique
Q3) Decision making using the Delphi technique ends ________.
A) with a secret ballot which allows members to support their favorite ideas
B) when group members are allowed to finally meet face to face
C) after all the responses of the group members have been consolidated
D) once a consensus problem solution is reached
E) after all questionnaires have been scored and tallied
Q4) Discuss briefly the steps in the decision-making process.
Page 8
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Chapter 7: Strategic Planning: Strategies, Tactics, and Competitive Dynamics
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Q1) When an organization focuses on making itself more competitive by producing products more cheaply than competitors can, it is following a ________.
A) stability strategy
B) differentiation strategy
C) focus strategy
D) cost leadership strategy
E) divestiture strategy
Q2) Which business strategy is generally applied to cash cows?
A) divestiture
B) stability
C) growth
D) retrenchment
E) focus
Q3) ________ is the purpose for which - and the reason why - an organization exists.
A) Organizational objective
B) Organizational strategy
C) Organizational mission
D) Organizational policy
E) Organizational rule
Q4) Compare and contrast strategic and tactical planning.
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Chapter 8: Fundamentals of Organizing
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Q1) Which of the following is a disadvantage of division of labor?
A) It makes the work more difficult.
B) It makes work more time-consuming and inefficient.
C) It can result in workers getting bored of their work.
D) It prevents workers from specializing at a task.
E) It requires workers to know about the entire process and not just one task.
Q2) Fayol indicated that strict adherence to a particular chain of command is ________.
A) a must
B) the first order of business
C) not always advisable
D) always advisable
E) never advisable
Q3) According to the contingency viewpoint to designing span of management, which of the following situations would warrant a relatively wide span of control?
A) supervising a team of scientists engaged in complex research work
B) supervising a team of factory workers sewing buttons onto shirts
C) managing a virtual team of engineers spread across several countries
D) managing a highly interdependent production team
E) managing and coordinating the activities of a marketing team
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Chapter 9: Responsibility, Authority, and Delegation
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Q1) According to Barnard, a manager's commands will be accepted over the long term if
A) informal communication channels are used
B) an indirect line of communication exists between managers and subordinates
C) the command is authenticated as coming from a manager
D) a chain of command does not exist
E) the manager uses formal communication lines for business and personal matters
Q2) A manager who is directly responsible for executing a function has a(n) ________.
A) general responsibility
B) specific responsibility
C) operating responsibility
D) cyclical responsibility
E) consultative responsibility
Q3) Which of the following is a guideline for making delegation effective?
A) Avoid giving employees freedom to pursue tasks in their own way.
B) Refrain from entrusting employees with whole projects or tasks.
C) Allow employees to set their own standards for performance.
D) Delegate tasks on the basis of employee interests at all times.
E) Give employees the authority necessary to accomplish tasks.
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Page 11
Chapter 10: Human Resource Management
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Q1) Which of the following statements best defines measurements gained from the use of aptitude tests?
A) The physical ability an individual possesses to perform a certain task
B) An individual's interest in performing various kinds of jobs
C) The potential of an individual to perform a task
D) An individual's personality dimensions in such areas as emotional maturity, subjectivity, honesty, and objectivity
E) An individual's response to stressful situations in order to assess his/her presence of mind
Q2) Cal appears for a battery of tests as part of a selection process that aims to fill ten positions in a certain company. He fails to clear the tests the first time and appears for them again after three months. This time, however, he manages to pass the tests. Which of the following characteristics is attributed to these tests?
A) unreliable
B) objective
C) invalid
D) discriminatory
E) unfair
Q3) Write a short essay on the process of recruitment.
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Page 12
Chapter 11: Organizational Change: Stress, Conflict and Virtuality
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Q1) Which of the following terms refers to the process of people change?
A) organizational planning
B) organizational communication
C) institutional design
D) resource mobilization
E) organization development
Q2) Value Innovations Inc. engages in selling computers and other electronic components through telephone and Web orders. The company has decided to change some of its policies. When recruiting employees, it will now focus primarily on the attitudes of individuals. Here, the company is concentrating on a(n) ________ factor.
A) structural
B) technological
C) communication
D) people
E) informative
Q3) What relationship exists between stress and employee productivity and performance?
Q4) Explain the concept of grid organizational development (grid OD).
Page 13
Q5) Briefly explain the dynamics of organizational change and stability.
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Chapter 12: Influencing and Communication
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Q1) Which of the following is most likely to encourage upward formal communication?
A) performance reviews
B) position descriptions
C) closed-door policies
D) suggestion systems
E) grapevines
Q2) WePharma, Inc., a biopharmaceutical company, develops targeted therapies for the treatment of cancer and inflammatory diseases. Mara Alarcon, the CEO of the company, insists that employees communicate only through formal channels. Despite these restrictions, she observes many informal networks within the organization. Which of the following is the most likely reason for establishment of these informal networks?
A) WePharma takes employee suggestions very seriously.
B) WePharma lacks the necessary rules and regulations to control employees.
C) WePharma has a vertical organizational structure.
D) WePharma does not freely share information with its employees.
E) WePharma promotes an open-door policy.
Q3) Formal organizational communication is more important that informal organizational communication. Why?
Q4) What is the importance of nonverbal messages in a communicative process?
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Chapter 13: Leadership
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Q1) A manager displays the highest degree of subordinate-centered leadership when he or she ________.
A) permits subordinates to function within limits defined by superior B) defines the limits and asks the group to make decisions
C) presents a problem and gets suggestions from subordinates before making decisions D) presents a tentative decision subject to change based on follower opinions E) suggests ideas and invites questions from the followers
Q2) A manager makes sure the job gets done whereas a leader cares about and focuses on the people who do the job.
A)True
B)False
Q3) Consideration behavior is any leadership activity that delineates the relationship between the leader and the leader's followers.
A)True
B)False
Q4) Explain the Vroom-Yetton-Jago model of leadership.
Q5) What are the major forces in a situation that influence a manager's determination of how to make decisions? Explain briefly.
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Chapter 14: Motivation
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Q1) The process of moving workers from one job to another rather than requiring them to perform only one simple and specialized job over the long run is ________.
A) team management
B) job enlargement
C) job enrichment
D) job rotation
E) cross training
Q2) A self-actualization need ________.
A) relates to the normal functioning of the body
B) reflects a person's desire to be accepted by others
C) relates to the individual's desire to be free from harm, including both bodily and economic disaster
D) refers to the desire to maximize whatever potential an individual possesses
E) is divided into self-respect and respect from others
Q3) A self-actualization need refers to the desire to maximize whatever potential an individual possesses.
A)True
B)False
Q4) List the categories of needs identified by Alderfer in his ERG theory.
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Chapter 15: Groups and Teams
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Q1) Which of the following is the correct sequence of the stages of groupthink?
A) antecedents, concurrence seeking, symptoms of groupthink, decision-making defects, poor decision outcomes
B) concurrence seeking, antecedents, symptoms of groupthink, decision-making defects, poor decision outcomes
C) antecedents, symptoms of groupthink, decision-making defects, concurrence seeking, poor decision outcomes
D) symptoms of groupthink, antecedents, concurrence seeking, decision-making defects, poor decision outcomes
E) concurrence seeking, symptoms of groupthink, antecedents, decision-making defects, poor decision outcomes
Q2) A formal group is a group that ________.
A) is formed by management to perform organizational tasks
B) is normally defined but unstructured
C) is formed by the common interests of group members
D) is formed by the affiliation of the group members
E) is normally unstructured and undefined
Q3) List the stages of formal group development.
Q4) List the six task-related steps that help managers build effective work teams.
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Chapter 16: Managing Organization Culture
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Q1) Management needs to help employees learn to be high performers. This means managers should ________ appropriate performance.
A) punish
B) reward
C) discipline
D) champion
E) observe
Q2) Organization culture is established by a manager or the founder of the organization at the time of its creation.
A)True
B)False
Q3) Briefly explain the concept of organizational commitment.
Q4) The ________ dimension of organization culture is a component that encourages the existence of basic human differences among organization members.
A) spirituality
B) customer
C) diversity
D) innovation
E) ethics
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Chapter 17: Controlling, Information, and Technology
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Q1) Describe the information that is appropriate for making strategic planning decisions and for making operational control decisions.
Q2) Which of the following best identifies the part of an objective/goal statement that will be measured and monitored by management?
A) Problems
B) Plans
C) Lessons
D) Standards
E) Dollars
Q3) In management terms, information refers to ________.
A) a collection of charts containing organizational statistics
B) the skill set of the employees carrying out a particular organizational function
C) the set of conclusions derived from the analysis of data that relate to the operation of an organization
D) a collection of numbers, characters, images or other outputs from devices that gather physical quantities and symbols
E) raw, unorganized representations of individual facts and/or figures
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Chapter 18: Production and Control
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Q1) The assets available to managers for production are called ________.
A) managerial structures
B) organizational layouts
C) process structures
D) organizational resources
E) functional layouts
Q2) ________ is/are a plan of action.
A) Systems
B) Strategy
C) Processes
D) Appraisals
E) Policies
Q3) A flow of interrelated events toward a goal, purpose, or end is specifically referred to as a ________.
A) process
B) system
C) strategy
D) scheme
E) structure
Q4) Explain and discuss the concept of operations strategies.
Page 20
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Chapter 19: Appendix 1: Managing History and Current Thinking
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Q1) The management science approach suggests that managers can best improve their organizations by ________.
A) using the scientific method and mathematical techniques to solve operational problems
B) understanding the physiological, safety, social, esteem, and self-actualization needs of organization members
C) providing wage incentives to workers exceed their target production
D) reducing the number of steps involved in performing a particular task
E) making sure that all employees are treated as equally as possible
Q2) List any seven general principles of management and their defining themes as described by Fayol.
Q3) Lynn is a manager in a company that manufactures optical fibre cables. She follows the Fayol principle of "esprit de corps" in her interactions with her team. Which of the following does this imply?
A) Lynn's team members are independent.
B) Lynn's team members are fiercely competitive.
C) Lynn's team members enjoy working in a centralized hierarchical system.
D) Lynn's team members receive orders only from her.
E) Lynn's team members are harmonious and upbeat.
Page 21
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Chapter 20: Management and Entrepreneurship: Handling
Start-Ups and New Ventures
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Q1) When entrepreneurs identify how they will market, produce, and position their new products, they are involved in which of the following entrepreneurial processes?
A) opportunity placement
B) opportunity planning
C) opportunity management
D) opportunity exploitation
E) opportunity analysis
Q2) Beth heads the team of designers at La Belle, Inc., a well-known brand of designer bags. She is an extraordinary designer and manages her team excellently. In the past, La Belle has successfully implemented many of Beth's innovative ideas to their benefit. The company has now decided that Beth should be given the responsibility of managing their new business unit that specializes in clothes, shoes, and other accessories. What type of entrepreneurship is displayed in this scenario?
A) intrapreneurship
B) creative destruction
C) corporate social entrepreneurship
D) social entrepreneurship
E) corporate entrepreneurship
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Chapter 21: Encouraging Creativity and Innovation
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Q1) According to W. Edwards Deming, top management must be dedicated to having customers receive products as promised.
A)True
B)False
Q2) Which of the following statements is true of the link between innovation and creativity?
A) Creativity involves turning a new idea into new or improved processes, products, or services that promote the attainment of organizational goals.
B) Organizations can be either innovative or creative, but can never be both at the same time.
C) An organization that is innovative but not creative is characterized by a fertile source of good ideas, but lacking in the ability to make the ideas tangible.
D) An organization that is creative but not innovative is characterized by the ability to turn ideas into tangible benefit, but lacking good ideas to make tangible.
E) The ideas on which innovation is based come from creativity in the organization, whereby those ideas are turned into something tangible that benefits the organization.
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