Organizational Management Exam Questions
Course Introduction
Organizational Management explores the principles and practices essential for effectively leading and administering organizations. The course covers key topics such as strategic planning, leadership styles, decision-making, organizational structure, change management, communication, motivation, and team dynamics. Through real-world case studies and theoretical frameworks, students will develop a deep understanding of how to align organizational goals with operational activities, foster a positive workplace culture, and navigate challenges in a rapidly changing business environment. The course aims to equip future managers and leaders with the skills necessary to drive organizational success and adapt to evolving industry demands.
Recommended Textbook
Strategic Management and Business Policy 13th Edition by Thomas L. Wheelen
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12 Chapters
1260 Verified Questions
1260 Flashcards
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Chapter 1: Basic Concepts in Strategic Management
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109 Flashcards
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Sample Questions
Q1) The integrated internationalization of markets and corporations is called
A)normalization.
B)economic integration.
C)globalization.
D)nationalization.
E)regionalization.
Answer: C
Q2) Punctuated equilibrium describes organizations as evolving through relatively long periods of stability punctuated by relatively short bursts of fundamental change.
A)True
B)False
Answer: True
Q3) Which of the following is an example of a mission statement?
A)Diversify product line to appeal to more people.
B)Increase sales by 10% over last year.
C)Pay highest salaries to keep high quality employees.
D)Develop and sell quality appliances worldwide.
E)Divide a sales region into a group of sales districts.
Answer: D
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Page 3
Chapter 2: Corporate Governance
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Sample Questions
Q1) The requirements of a board of directors vary significantly by country and by state; however, there is a developing consensus as to what the major responsibilities should be.Which of the following is NOT one of the responsibilities?
A)Reviewing and approving the use of resources.
B)Setting corporate strategy, overall direction, mission or vision.
C)Controlling, monitoring, or supervising top management.
D)Becoming directly involved in managerial decisions.
E)Hiring and firing the CEO and top management.
Answer: D
Q2) One study conducted by Korn/Ferry International of directors of large U.S.corporations found that more than ________ of directors indicated that their CEOs were not utilizing them to their full potential in the strategy setting process.
A)20%
B)30%
C)60%
D)70%
E)90%
Answer: B
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Chapter 3: Ethics and Social Responsibility in Strategic Management
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Sample Questions
Q1) The theory of vital responsibility proposes that a private corporation has responsibilities to society that extend beyond making a profit.
A)True
B)False
Answer: False
Q2) Ethics is defined as
A)formal codes that permit or forbid certain behaviors.
B)a general rule of conduct of personal behavior, based on religious or philosophical grounds.
C)consensually accepted standards of behavior for an occupation, trade, or profession.
D)imposing one's morality upon another.
E)voluntary obligations assumed by an individual or organization.
Answer: C
Q3) According to Kohlberg's levels of moral development, the conventional level is characterized by considerations of society's laws and norms.
A)True
B)False
Answer: True
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Chapter 4: Environmental Scanning and Industry Analysis
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116 Flashcards
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Sample Questions
Q1) All of the following are technological breakthroughs already having a significant impact on many industries EXCEPT
A)growing health consciousness.
B)alternative energy sources.
C)genetically altered organisms.
D)smart, mobile robots.
E)virtual personal assistants.
Q2) What are the two factors that tend to determine whether an industry will be primarily multidomestic or primarily global?
Q3) According to Michael Porter, the weaker each of the competitive forces, the more limited companies are in their ability to raise prices and earn greater profits.
A)True
B)False
Q4) A corporation's internal strategic factors are those key environmental trends that are judged to have both a medium to high probability of occurrence and a medium to high probability of impact on the corporation.
A)True
B)False
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Chapter 5: Internal Scanning and Organizational Analysis
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Sample Questions
Q1) A divisional structure has no functional or product categories and is appropriate for a small, entrepreneur-dominated company with one or two product lines that operates in a reasonably small, easily identifiable market niche.
A)True
B)False
Q2) Cultural integration is the degree to which members of a unit accept the norms, values, or other culture content associated with the unit.
A)True
B)False
Q3) The impact of a specific change in sales volume on net operating income is referred to as the
A)continuous system.
B)chronological processing.
C)operating leverage.
D)debt capacity.
E)intermittent system.
Q4) What are the two distinct attributes of culture?
Q5) Discuss the three basic organizational structures.
Q6) Define a value chain and the significance of the center of gravity.
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Chapter 6: Strategy Formulation: Situation Analysis and Business Strategy
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Sample Questions
Q1) A propitious niche is a need in the marketplace that is currently unsatisfied.
A)True
B)False
Q2) Which offensive tactic utilizes a head-to-head approach with the firm's competitor by matching every category of competition from price to promotion to distribution channel?
A)flanking maneuver
B)bypass attack
C)encirclement
D)frontal assault
E)guerilla warfare
Q3) An example of a company following a cost focus strategy is Potlach Corporation, who makes house brands toilet paper for Safeway and other grocery store chains.
A)True
B)False
Q4) The first company to manufacture and sell a new product or service is called the ground breaker.
A)True
B)False
Page 8
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Chapter 7: Strategy Formulation: Corporate Strategy
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Sample Questions
Q1) Management contracts are common when a host government expropriates part or all of a foreign-owned company's holdings in its country.
A)True
B)False
Q2) Which strategy involves giving up management of the firm to the courts in return for some settlement of the corporation's obligations?
A)liquidation
B)bankruptcy
C)diversification
D)divestment
E)consolidation
Q3) A disadvantage of vertical integration is that it
A)creates exit barriers.
B)improves coordination of activities.
C)increases the cost of improvement of coordination and control.
D)creates entry barriers.
E)avoids time consuming tasks.
Q4) Define a retrenchment strategy.Discuss the more popular options.
Q5) Discuss the three general orientations comprising directional strategy?
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Chapter 8: Strategy Formulation: Functional Strategy and Strategic Choice
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Sample Questions
Q1) Cultural backgrounds affect strategic choices.Korean executives emphasize ________ in their decisions; whereas U.S.executives emphasize ________.
A)projected demand, discounted cash flow, and ROI; industry attractiveness, sales and market share
B)Industry attractiveness, sales and market share; projected demand, discounted cash flow, and ROI
C)Ego; industry attractiveness
D)Maintaining the status quo; change
E)none of the above
Q2) The key to outsourcing is to purchase from outside only those activities that are not key to the company's distinctive competencies.
A)True
B)False
Q3) The attractiveness of a strategic alternative is seldom affected by its perceived compatibility with the key stakeholders in a corporation's task environment.
A)True
B)False
Q4) Discuss W.Edward Deming's position on sole sourcing.
Page 10
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Chapter 9: Strategy Implementation: Organizing for Action
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Sample Questions
Q1) According to Goold and Campbell, which of the following is NOT one of the forms that synergy can take?
A)shared know how
B)coordinated strategies
C)value chain creation
D)pooled negotiating power
E)economies of scale or scope
Q2) Standard operating procedures typically detail the various activities that must be carried out to complete a corporation's programs.
A)True
B)False
Q3) The sum total of the activities and choices required for the execution of a strategic plan is known as
A)strategic formulation.
B)environmental scanning.
C)strategy implementation.
D)evaluation and control.
E)strategic development.
Q4) Discuss Chandler's conclusion concerning strategy.
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Chapter 10: Strategy Implementation: Staffing and Directing
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Sample Questions
Q1) Action plans are important for several reasons.Which one of the following is NOT one of these reasons?
A)If the action plan is implemented properly, it ensures that the strategy will be a success.
B)It serves as a link between strategy formulation and evaluation and control.
C)The action plan specifies what needs to be done differently from the way operations are currently carried out.
D)During the evaluation and control process, an action plan helps in the appraisal of the performance and identifying remedial actions needed.
E)Motivation may be improved with the assignment of specific responsibility.
Q2) Approximately what percent of manufacturing companies have implemented some form of quality management practices.
A)92
B)76
C)50
D)22
E)10
Q3) What is executive succession? Discuss the hiring of insiders versus outsiders.
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Chapter 11: Evaluation and Control
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Sample Questions
Q1) ISO 2000 Standards Series, developed by the International Standards Association of Geneva, Switzerland, is an example of a behavior control.
A)True
B)False
Q2) Which of the following is not considered an adequate measure by itself of corporate performance?
A)ROI
B)EPS
C)ROE
D)Operating cash flow
E)all of the above
Q3) The measure which is after-tax operating income minus the total annual cost of capital is called
A)ROI.
B)EPS.
C)ROE.
D)EVA.
E)MVA.
Q4) What is the balanced scorecard? What are the four areas to be addressed?
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Chapter 12: Suggestions for Case Analysis
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Sample Questions
Q1) If a firm's trends in common-size statements are generally in line with those of the rest of the industry, problems are less likely than if the firm's trends are worse than the industry average.
A)True
B)False
Q2) According to Yankelovich Partners survey firm, eight out of 10 portfolio managers and 35 percent of security analysts use annual reports when making decisions.
A)True
B)False
Q3) Cases present actual business situations and enable you to examine both successful and unsuccessful corporations.
A)True
B)False
Q4) When conducting a financial analysis, select and discuss those financial ratios that have an impact on the company's problems.
A)True
B)False
Q5) List Schilit's short checklist of items to examine for red flags.
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