Nonprofit Management Exam Bank
Course Introduction
Nonprofit Management explores the fundamental principles and practices essential to leading and operating nonprofit organizations effectively. The course covers topics such as mission-driven leadership, governance, strategic planning, fundraising, financial management, marketing, volunteer management, and program evaluation. Students will gain an understanding of the unique challenges faced by nonprofits, including resource constraints, accountability to stakeholders, and balancing social impact with organizational sustainability. Through case studies, practical assignments, and discussions, students will develop the skills necessary to manage nonprofit organizations and drive positive change in their communities.
Recommended Textbook
Organization Theory and Design 2nd canadian Edition by Richard L. Daft
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13 Chapters
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Page 2
Chapter 1: Organizations and Organizational Theory
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Sample Questions
Q1) Which of the following is a contextual, rather than a structural, dimension of an organization?
A) labour force
B) culture
C) professionalism
D) centralization
Answer: B
Q2) From which of the following sources do nonprofit organizations usually get their resources?
A) government grants
B) selling shares
C) investment income
D) selling goods and services
Answer: A
Q3) The eleven contextual and structural dimensions are NOT dependent on each other.
A)True
B)False
Answer: False
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Page 3
Chapter 2: Strategy, Organizational Design, and Effectiveness
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Sample Questions
Q1) Growth and output volume are examples of overall performance goals.
A)True
B)False
Answer: True
Q2) What is the difference between a goal and a strategy? Give an example that illustrates each.
Answer: A strategy is a plan for an organization to compete in its chosen environment to achieve its goals. Strategies define how an organization will accomplish its goals, i.e., where the organization wants to go. A goal for a nonprofit organization might be to increase its income sources by 15% and the strategy to achieve that goal might include applying to many foundations, creating partnerships with for-profit organizations, starting a social enterprise, and so on.
Q3) Which of the following are models for formulating organizational strategies?
A) Perrow's typology and Porter's model
B) Perrow's typology and Pfeiffer's typology
C) Porter's model and Miles and Snow's typology
D) Pfeiffer's typology and Miles and Snow's model
Answer: C
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Chapter 3: Fundamentals of Organizational Structure
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Sample Questions
Q1) Pressure for innovation is sufficient cause for adopting the matrix structure.
A)True
B)False
Answer: False
Q2) List and describe the conditions of the matrix structure.
Answer: There are three conditions: (1) pressure exists to share scarce resources across product lines, (2) environmental pressure exists for two or more critical outputs, and (3) the organization's environmental domain is very uncertain.
Q3) A horizontal structure is characterized by coordination around geographical areas.
A)True
B)False
Answer: False
Q4) What symptoms of structural deficiency would make a firm consider changing its structure?
Answer: If there is significant conflict and/or the organization is not meeting its goals, then it should consider redesigning its structure.
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Chapter 4: The External Environment
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Sample Questions
Q1) Rather than establish buffer departments, a newer approach in many organizations is to drop the buffers and expose the technical core to its uncertain environment.
A)True
B)False
Q2) Refer to Case 4.0. What is AligatorAde's current structure? Does it fit with the demands of its environment?
Q3) Once an organization relies on other organizations for valued resources, those other organizations can influence managerial decision making in the original organization.
A)True
B)False
Q4) Which of the following is likely in organizations characterized by very simple and stable environments?
A) almost no managers are assigned to integration roles
B) many departments are added
C) there is formal, centralized authority
D) there is extensive planning, forecasting and high-speed responses
Q5) Explain the arguments for and against creating buffering roles.
Q6) How might an economic recession affect the design of organizations?
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Chapter 5: Interorganizational Relationships
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Sample Questions
Q1) A niche is a domain of unique environmental resources and needs.
A)True
B)False
Q2) The population ecology model focuses on organizational diversity and adaptation within a population of organizations.
A)True
B)False
Q3) List the characteristics of the traditional theory of organizational relationships.
Q4) In the positive view of partnerships, dependence on another company is seen to increase risk rather than reduce it.
A)True
B)False
Q5) The prevailing philosophy is that organizations consider themselves to be autonomous and separate, and are trying to outdo other companies in order to grow and prosper.
A)True
B)False
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Page 7
Chapter 6: Designing Organizations for the International Environment
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Sample Questions
Q1) List and discuss the characteristics that distinguish the transnational organization from other global organization forms.
Q2) Lawrence Incorporated used global teams as part of its internationalization, enabling them to be more locally responsive to different regional markets, consumer preferences, and political and legal systems. Which of the following issues did this structure address?
A) the differentiation challenge
B) units gaining influence within the global firm
C) codification of organizational knowledge throughout the global firm
D) lack of ability to gain economies of scope
Q3) What are the international strategic alliances that companies can choose from to expand globally? Discuss and give an example of each.
Q4) What does building a global presence enable an organization's operations to achieve?
A) economies of scale
B) economies of scope
C) factors of production
D) its international development stage
Q5) Why are global companies sometimes described as stateless corporations?
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Chapter 7: Manufacturing and Service Technologies
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Sample Questions
Q1) What are the three subcomponents of computer-integrated manufacturing?
A) CAD, CAM, and integration information network
B) people, hardware, and software
C) information, computers, and procedures
D) CIM, ADC, and software
Q2) Suppose that VW is considering changing its production operations from an assembly line in which each employee adds one piece as a car chassis goes by to an operation in which several employees work as a team to build the complete car, with the team deciding who does what tasks. If VW implements the change, how would interrelationships change?
A) from pooled interdependence on the line to reciprocal interdependence between the teams
B) from reciprocal interdependence on the line to sequential interdependence between the teams
C) from sequential interdependence on the line to pooled interdependence between the teams
D) from routine tasks to mediating technology
Q3) If several of a bank's departments are considered to be sequentially interdependent, how should their interrelationship be managed?
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Page 9
Chapter 8: Information Technology and Control
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Sample Questions
Q1) What is intellectual capital?
A) intellectual property
B) the sum of an organization's knowledge, experience, etc.
C) innovations made by in-house professionals
D) intangible assets
Q2) In what area did organizations initially apply information technology?
A) decision support systems
B) transaction processing systems
C) management information systems
D) enterprise resource planning systems
Q3) Which of the following is an example of explicit knowledge?
A) investing time at meetings in the sharing of stories and learning of histories
B) a strong "feel" for the corporate culture
C) an electronic document system that codifies, stores, disseminates, and allows reuse of knowledge
D) channelling individual expertise to provide creative advice on problem solving
Q4) Describe each subsystem of management control systems.
Q5) How can information technology be used as a strategic weapon in business today?
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Chapter 9: Organization Size, Life Cycle, and Decline
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Q1) When downsizing, which of the following helps eases the downsizing process and reduces tension of both employees who leave and those who remain?
A) helping the remaining employees focus on their daily tasks by providing more guidance or assistance
B) communicating less, not more
C) providing assistance to workers who were let go
D) letting workers deal with the situation on their own and in their own way
Q2) Describe the differences between large and small organizations.
Q3) Increased training can substitute for bureaucratic rules and procedures.
A)True
B)False
Q4) At which stage in the life cycle of a newly established hierarchy do departments emerge and get established, along with the beginnings of division of labour?
A) entrepreneurial
B) formalization
C) collectivity
D) elaboration
Q5) How should personnel ratios be managed in a small firm?
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Chapter 10: Organizational Culture and Ethical Values
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Sample Questions
Q1) What is values-based leadership? Give an example.
Q2) Why are most organizations trying to move away from bureaucratic cultures?
A) the need for greater flexibility
B) the need for better decision-making techniques
C) the need for easier communication channels
D) the need for reducing employee participation
Q3) What are the important functions of organizational culture in an organization?
Q4) Various representatives of which of the following influence managerial ethics and social responsibility?
A) external stakeholders
B) employees
C) competitors
D) whistle-blowers
Q5) Which of the following is an attribute of a culture of discipline?
A) level 5 leadership
B) organizational values of collective autonomy
C) focus on greater flexibility
D) laissez-faire management
Q6) Discuss culture strength and organizational subcultures.
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Q7) What is Bakan's main argument about corporations? What is your view and why?
Chapter 11: Innovation and Change
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Q1) Why is corporate entrepreneurship important for organizations looking to encourage innovation?
A) It attempts to release the creative energy of all employees.
B) It usually results in fewer, though higher-quality, innovations.
C) It replaces creative departments and new venture teams.
D) It results in idea champions who are the supervisors of production.
Q2) Idea champions are usually one of two types-either a technical/product champion who is devoted to ideas for technological innovation, or a management champion who sponsors ideas to shield and promote them.
A)True
B)False
Q3) The four types of change are independent of each other, or in other words, a change in one has no effect on another.
A)True
B)False
Q4) At one point in the research of new product development, a question to be answered is "Why are some products more successful than others?" What answers have been found to this question?
Q5) What is a venture team?
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Chapter 12: Decision-Making Processes
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Q1) When the management team of an organization accepts a satisfactory rather than a maximum level of performance when making decisions, what are they engaging in?
A) satisficing
B) problemistic search
C) problem consensus
D) escalating commitment
Q2) The Carnegie Model and the incremental model disagree with each other on how decisions are made-the former claiming that they are made through a political process and the latter claiming that they emerge over time following careful objective analysis.
A)True
B)False
Q3) Why would managers in high-velocity environments worry more about the present than the future? Discuss.
Q4) The selection phase of the incremental model is very clear that managers must analyze and choose on the basis of objective criteria in order to avoid any future delay that would interrupt implementation.
A)True
B)False
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Chapter 13: Conflict, Power, and Politics
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Sample Questions
Q1) People at the bottom levels of an organization can never obtain more power than those at higher levels of the organization.
A)True
B)False
Q2) Put labour-management teams on a continuum ranging from cooperative to competitive; defend your position. Then put labour-management teams on a continuum ranging from win-win strategy to win-lose strategy; defend your position.
Q3) What are the similarities and differences between power and politics in organizations?
Q4) Harold Ballard used his coercive power to control the Toronto Maple Leafs.
A)True
B)False
Q5) Which of the following is a domain of political activity?
A) management succession
B) expanded networks
C) resource dependence
D) complex change
Q6) Describe the steps of a win-win strategy and a win-lose strategy.
Q7) Describe when political activity is used.
Page 15
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