Operations Management Test Preparation
Course Introduction
Operations Management is a foundational course that explores the principles, strategies, and techniques used to design, operate, and improve processes that produce goods and services. Students learn about key topics such as process analysis, capacity planning, quality management, supply chain logistics, inventory control, and lean production. Through case studies and practical applications, the course emphasizes decision-making skills aimed at optimizing operational efficiency, reducing costs, and delivering value to customers. This course is essential for understanding how businesses transform inputs into outputs in the most effective and efficient manner.
Recommended Textbook Management An Integrated Approach 2nd Edition by Ranjay Gulati
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20 Chapters
803 Verified Questions
803 Flashcards
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Page 2
Chapter 1: Introduction to Management
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Sample Questions
Q1) Which of the following questions is addressed by the organizational perspective of management?
A) How should a business compete?
B) How will performance be measured?
C) What strategy will allow a firm to adapt as the context evolves?
D) How do managers use power and influence?
Answer: B
Q2) Managerial view is a business framework where the job of top managers is to produce the highest possible stock market valuation of the firm's assets.
A)True
B)False
Answer: False
Q3) Through _____, senior leaders of a corporation meet with business unit managers to assess progress toward specific goals.
A) contingency planning
B) scientific management
C) strategic review process
D) scenario building
Answer: C
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Page 3
Chapter 2: The Global Business Environment
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Sample Questions
Q1) Successful business leaders not only respond to changes in the global business environment but also try to influence it.
A)True
B)False
Answer: True
Q2) Globalization has presented challenges including the emergence of new, powerful competitors in many industries.
A)True
B)False
Answer: True
Q3) Fuel and mining products are increasingly important components of MERCOSUR's export base.
A)True
B)False
Answer: True
Q4) The Uruguay Round is noteworthy because it created the successor to GATT.
A)True
B)False
Answer: True
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Chapter 3: Ethics and Corporate Social Responsibility
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Sample Questions
Q1) Explain economic responsibilities of a firm.
Answer: Economic responsibilities refer to a business's duty to make a profit and increase shareholder value. Business institutions are the basic economic units in society; therefore, they have a duty to produce goods and services that people want and to sell them at a profit. Everything else in business is built on this fundamental assumption. Companies engage in a variety of activities to increase profits, both directly and indirectly. Direct activities can include decreasing production costs and improving efficiency. Indirect actions refer to the intangible things that, over time, improve economic performance.
Q2) A firm's ethical responsibilities are
A) behaviors enforced on the firm.
B) implemented to meet financial obligations.
C) behaviors the general population expects.
D) defined by the federal government.
Answer: C
Q3) In business, members of a partnership are fiduciaries to one another.
A)True
B)False
Answer: True
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Chapter 4: Introduction to Strategy
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Sample Questions
Q1) According to Tzu, the process of gathering information was an integral component of developing strategy.
A)True
B)False
Q2) Which of the following statements best describes the vision of an organization?
A) The activities a firm performs for its customers
B) An illustration of how a firm can align its resources to get a position in the marketplace
C) A concept that defines a firm's reason for existence
D) A concept or picture of what a firm wants to achieve
Q3) According to the Roman military strategists, strategy was considered as
A) the manager's "game plan" to attain personal gain.
B) represented by the specific moves or actions their armies performed.
C) a plan of action designed to achieve a specific goal.
D) a plan not usually aimed at creating a military advantage.
Q4) According to Milton Friedman, the primary goal of a business is to
A) satisfy customers.
B) expand globally.
C) make profits.
D) provide employment.
Page 6
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Chapter 5: Business-Level Strategy
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Sample Questions
Q1) Which of the following is one of the generic strategies through which a manager can create a firm's competitive advantage?
A) Global strategy
B) Market-entry strategy
C) Transnational strategy
D) Differentiation strategy
Q2) _____ analysis separates a firm into its various activities to better understand total costs in the system and potential sources of firm differentiation.
A) SWOT
B) Value chain
C) Stakeholder
D) Trend
Q3) Which of the following barriers to entry occurs when a buyer's willingness to pay for a product increases as the number of other buyers for the industry's product increases?
A) Supply-side economies of scale
B) Restrictive government policy
C) Demand-side benefits of scale
D) Customer switching costs
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7
Chapter 6: Corporate-Level Strategy
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Sample Questions
Q1) According to one key study, a firm's performance decreases as it shifts from single-business strategies to related diversification.
A)True
B)False
Q2) The ultimate goal of an unrelated diversification strategy is usually to A) create financial economies.
B) support failing businesses.
C) enhance innovation.
D) expand globally.
Q3) The ultimate goal of developing a corporate-level strategy is to build
A) employee commitment.
B) a corporate advantage.
C) customer relationships.
D) a wholly owned subsidiary.
Q4) Discuss the results of diversification.
Q5) In a single-product diversification strategy
A) a firm attempts to develop core competencies in a specific market.
B) a firm owns numerous businesses that are linked in some manner.
C) a firm manages several businesses with no reasonable connection.
D) a firm's main focus is on establishing customer recognition and loyalty.
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Chapter 7: Organizational Design
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Sample Questions
Q1) The factor that distinguishes functional organizational structure from divisional is that
A) a functional structure is organized around the outputs a firm produces.
B) a functional structure is best suited to deal with environmental change.
C) a functional structure groups diverse functions into separate divisions.
D) a functional structure is organized in terms of the main activities to be performed.
Q2) Star Hydraulics is organized into self-supervising teams that are responsible for a set of tasks. In the teams, each member is cross-trained to be able to perform multiple tasks, and individual goals and values completely overlap with the organization's values. Workers collaborate on projects and must negotiate proper team behavior, using the organization's mission and values as a guide. Star Hydraulics has adopted a _____ approach to organizational control.
A) clan
B) bureaucratic
C) mutually adaptive
D) totalitarian
Q3) Explain the concepts of division of labor and scope of position.
Q4) Describe the clan approach.
Q5) Define organizational structure and briefly describe its types.
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Chapter 8: Organizational Culture
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Sample Questions
Q1) Which of the following statements is true of the levels of organizational culture?
A) Assumptions are deeply embedded in an organization's culture.
B) It is quite difficult to note the artifacts present in an organization.
C) Assumptions are the meanings that members of an organization attach to artifacts.
D) Values are visible organizational structures, processes, and languages.
Q2) _____ refer to the meanings that members of an organization attach to visible aspects of a firm.
A) Artifacts
B) Values and beliefs
C) Assumptions
D) Objectives
Q3) Which of the following is a disadvantage of a strong culture?
A) A strong culture seldom influences an organization's performance.
B) A strong culture tends to be difficult to change.
C) In a strong culture, the goals are unclear.
D) A strong culture requires more coordination and monitoring.
Q4) Describe three elements that can be helpful in assessing a firm's culture.
Q5) Identify the different levels of a firm's culture and their specific attributes.
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Chapter 9: Managing Human Capital
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Sample Questions
Q1) Eris Company is managing employees by outlining a series of specific milestones that they are expected to meet in a defined time period. Eris is utilizing
A) off-the-job training.
B) management by objectives.
C) Total Quality Management.
D) 360-degree feedback.
Q2) Which of the following statements is true about the different types of training?
A) Informal training programs, in particular, are easy to measure.
B) Formal training is seldom valuable to an employee's learning.
C) Informal training of employees includes coaching or mentorship.
D) Formal training often tend to be much more effective than informal training.
Q3) In switching jobs, individuals should always be going "from" rather than "to."
A)True
B)False
Q4) Which of the following statements is a disadvantage of group-based pay systems?
A) Group-based systems cannot be fully customized to a particular department.
B) They do not allow managers to modify their targets and formulas.
C) Group-based pay systems tend to result in a diffusion of responsibility.
D) All group-based pay programs are generally difficult to calculate and monitor.
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Chapter 10: Performance Management
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Sample Questions
Q1) What is a balanced scorecard? Briefly describe its perspectives.
Q2) Because GE operates in many businesses, ranging from aircraft engines to healthcare imaging, GE would
A) not be able to use the balanced scorecard.
B) have to adopt a common strategy for all businesses to be able to use the balanced scorecard.
C) need to create a unique balanced scorecard for each of its business units.
D) have to choose one business unit with which it could use the balanced scorecard.
Q3) Discuss TQM, Six Sigma, and ISO 9000.
Q4) The factor that differentiates behavior and output is that
A) outputs include the decisions of individual employees.
B) behavior is controlled at the unit or department level.
C) outputs are more flexible and diverse.
D) behavior can be specified for an entire organization.
Q5) Organizations that focus solely on performance without a focus on support tend to produce burnout contexts.
A)True
B)False
Q6) Describe the two primary areas in which leaders take corrective action.
Page 12
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Chapter 11: Organizational Change
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Sample Questions
Q1) Juan is an employee at a company where the CEO is pushing for drastic change in processes. Juan just finished creating computer programming that streamlined the old processes, for which he was expecting a raise and promotion. The proposed new changes make all of his recent work null and void. Juan is resisting change. The change leader needs to
A) discourage employees from venting any frustration or concern.
B) assign Juan to a task force.
C) assure employees that there is a path for success that will be facilitated through training and development opportunities.
D) assure employees that they will get credit for past achievements.
Q2) Which of the following is a characteristic of successful change leaders?
A) Firmly continuing with existing power bases and norms
B) Personal initiative to move within boundaries
C) Sense of humor about themselves and the situation
D) Ability to keep the reasons for change strictly confidential
Q3) Organizations that focus on both sustainable and disruptive technologies often make bad decisions concerning disruptive innovations.
A)True
B)False
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Page 13
Chapter 12: Leadership in Organizations
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Sample
Questions
Q1) Hersey and Blanchard believed that
A) leaders are fixed in their leadership style and that the situation should be changed to match the leader.
B) leaders have the flexibility and range of skills to adapt their behavior to the maturity of their subordinates.
C) the most important aspect of leadership is the followers' belief that they can complete a task and that they will gain rewards and satisfaction upon completion.
D) each situation is characterized by certain variables that make the situation either favorable or unfavorable to lead.
Q2) _____ skills enable a leader to gather and process large amounts of information, create suitable strategies, solve problems, and make correct decisions.
A) Research
B) Technical
C) Financial
D) Cognitive
Q3) Discuss the darker side of charismatic leadership.
Q4) Explain the traits-based leadership theory.
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Chapter 13: Becoming a Leader: Knowing Yourself
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Sample Questions
Q1) Which of the following individuals demonstrates external locus of control?
A) William, a student, strongly believes that by putting extra effort and working hard he will be able to score good marks.
B) Monica, who is looking forward to something really important, remains confident as she believes that the situation is under her control.
C) Maria, an athlete, believes it was only because of her weak opponents that she was able to win the competition.
D) Jacob, who recently got a job, believes that accepting more projects and completing them on time will help him gain recognition.
Q2) Which of the following best describes Robert Sternberg's contextual intelligence component of the triarchic theory?
A) The ability to generate novel or unique propositions, ideas, or solutions
B) The ability to generate many solutions that fit some requirement
C) The ability to shape and be shaped by the external environment
D) The ability to identify and react to novel situations and stimuli
Q3) The ability to communicate effectively with others is called self-awareness.
A)True
B)False
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Chapter 14: Power and Influence
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Sample Questions
Q1) A core network includes
A) people who provide career guidance and help in obtaining visible assignments.
B) the exchange of specific job-related resources such as information and expertise.
C) people who share a common background or interest.
D) relationships that are characterized by close bonds and reciprocity.
Q2) Describe the different influence styles.
Q3) Which of the following is required to sustain power?
A) Willingness to engage in constructive feedback
B) Inflated view of self
C) Sense of entitlement
D) Willingness to use others
Q4) Which of the following is the first step in exercising power through influence?
A) Build sources of power.
B) Use specific influence principles.
C) Assess performance.
D) Choose an influence style and influence tactics.
Q5) Briefly describe the reactions to power.
Q6) List four of the factors that are required for sustaining power.
Q7) Define the terms leadership, power, and influence.
Page 16
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Chapter 15: Decision Making
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Sample Questions
Q1) The managers, due to time constraints, opted for the first alternative that appeared to solve the problem even though better options may have existed. The managers were using which model of decision making?
A) Classical model
B) Administrative model
C) Political model
D) Garbage can model
Q2) Peter is a senior manager in an organization that is currently laying off its employees. It is Peter's responsibility to convey this message to the laid-off employees. Harry is one among them with whom Peter had a conflict a year ago. Therefore, in an attempt to avoid any such conflicts again, Peter requested a human resources representative to convey the message instead. In this case, Peter used the _____ heuristic.
A) intuitive
B) availability
C) representativeness
D) adjustment
Q3) Differentiate between programmed and nonprogrammed decisions.
Q4) Outline heuristics and its types.
Q5) Describe confirmation bias.
17
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Chapter 16: Conflict and Negotiation
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Sample Questions
Q1) Which of the following statements about affective and cognitive conflicts is true?
A) Cognitive conflicts can have a positive influence on the team.
B) Cognitive conflicts cannot be interpreted as personal attacks.
C) In affective conflict situations, the focus is on the task at hand.
D) In most cases, cognitive conflicts are extremely destructive.
Q2) Conflict de-escalation occurs when one person's negative behaviors encourage another person's negative behaviors.
A)True
B)False
Q3) The process by which a negotiator attempts to gain benefits or concessions for his or her position is called
A) create value.
B) integrated negotiation.
C) claim value.
D) de-escalation.
Q4) Describe affective and cognitive conflict.
Q5) What is interpersonal and intergroup conflict? Outline the theories explaining intergroup conflict.
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Chapter 17: Leading Teams
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Sample Questions
Q1) Kevin is leading a team whose members came together and got to know about their tasks and responsibilities, and got an idea about each of their team member's competencies.Which of the following should Kevin typically do during this stage of team development?
A) Disband the team.
B) Provide resources.
C) Manage feelings of sadness.
D) Help the team evaluate work.
Q2) Identify and describe the behaviors of effective team leaders.
Q3) Identify the three main components of team process. Define participation and blocking behaviors.
Q4) Vertical teams are composed of employees from about the same hierarchical level but from several different departments in the organization.
A)True
B)False
Q5) In the forming stage of team development, team members experience conflicts about interpersonal issues.
A)True
B)False
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Chapter 18: Motivation
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Sample Questions
Q1) The _____ theory, proposed by Abraham Maslow, states that individuals have multiple needs that must be fulfilled in a specific order to ensure the greatest level of satisfaction.
A) acquired needs
B) hierarchy of needs
C) four-drive
D) two-factor
Q2) Of the three variables of expectancy theory, valence includes the evaluation of whether
A) the available outcomes are attractive to the employee.
B) putting in effort will lead to commensurate performance.
C) poor effort will lead to limited performance and rewards.
D) successful performance will lead to a desired reward.
Q3) Individuals who are motivated by personalized power like to make an impact on and influence others.
A)True
B)False
Q4) Outline the content theories of motivation.
Q5) Differentiate extrinsic and intrinsic rewards of motivation. Give examples.
Q6) Discuss the process theories of motivation.
Page 20
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Chapter 19: Communication
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Sample Questions
Q1) What can individuals do to bridge cultural differences in linguistics and communication?
Q2) Which of the following is true about gender differences in communication?
A) Men are generally inclined to value status and hierarchy more than women do.
B) Compared to women, men tend to spend more time communicating up in an organization.
C) Men are more successful than women when they are advocating for the needs of their team members.
D) Men are less likely to engage in self-promotion compared to women.
Q3) One of the most compelling ways to build a personal connection is through storytelling.
A)True
B)False
Q4) A communication audit allows organizations to improve the way in which they respond to routine and nonroutine circumstances.
A)True
B)False
Q5) Define communication style. Identify its dimensions.
Q6) Define interpersonal communication. List the core components of communication.
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Chapter 20: Networking
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Sample Questions
Q1) Dolly has arranged for a get-together at her house to which she has invited all of her friends. Most of her friends will be meeting the others in the group for the first time. Moreover, they are from diverse backgrounds with differing interests and experiences. Though all are not known to each other, all are known to Dolly. From this description of Dolly, it can be inferred that Dolly is
A) good at forging better connections.
B) focusing only on closed networks.
C) lacking weak ties in relationships.
D) more exposed to redundant contacts.
Q2) What are networking clubs? What are their purpose and how do they differ?
Q3) Sandy is a very competent technical expert, but her coworkers will not go to her for advice, seeking out the more likable, albeit less competent, Bob instead. From this scenario, we can infer that Sandy is a A) lovable star.
B) competent jerk.
C) incompetent jerk.
D) lovable fool.
Q4) Define networking. How can one build diverse networks?
Q5) Discuss the three types of interpersonal networks.
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