Principles of Management Exam Bank
Course Introduction
Principles of Management introduces students to the foundational concepts and functions of management applicable to organizations of all types. This course covers essential topics such as planning, organizing, leading, and controlling, while examining the roles and responsibilities of managers in achieving organizational goals. Students will explore topics including decision-making, communication, motivation, leadership styles, strategic planning, and ethical considerations in management. Through case studies and practical examples, learners will gain insight into how effective management principles are applied in real-world business situations, preparing them for future leadership roles.
Recommended Textbook Management Skills Application 14th Edition by Leslie Rue
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20 Chapters
1600 Verified Questions
1600 Flashcards
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Page 2
Chapter 1: Management in a Diverse Workplace
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Sample Questions
Q1) _____ managers divide their time about equally among the five management activities of planning,organizing,staffing,leading,and controlling.
A) Middle
B) Senior
C) Junior
D) Supervisory
E) Advisory Answer: B
Q2) Middle managers make sure that day-to-day operations run smoothly.
A)True
B)False
Answer: False
Q3) _____ managers make sure that the day-to-day operations of the organization run smoothly.
A) Middle
B) Senior C) Junior
D) Supervisory
E) Advisory Answer: D
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Chapter 2: The Management Movement
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Sample Questions
Q1) The Gantt chart graphically depicts both expected and actual profits.
A)True
B)False
Answer: False
Q2) The major difference between the works of Taylor and Fayol was in their orientation-Taylor stressed the management of operative work,whereas Fayol emphasized the management of organization.
A)True
B)False
Answer: True
Q3) Frank and Lillian Gilbreth studied hand and body movements to eliminate _____.
A) worker-management conflict
B) slippage
C) boredom and monotony
D) wasted motion
E) errors
Answer: D
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Page 4
Chapter 3: Developing Communication Skills
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Sample Questions
Q1) List the benefits of e-mail in the corporate world.
Answer: The e-mail system provides for high-speed exchange of written messages through the use of computerized text processing and computer-oriented communication networks.
The primary advantages of this system are that it saves time,eliminates wasted effort (such as unanswered or repeat phone calls),provides written records (if necessary)of communications without the formality of memos,and enables communication among individuals who might not communicate otherwise.
Q2) Intranets are primarily set up to enable effective communication with business partners and customers.
A)True
B)False
Answer: False
Q3) List a few ways of improving written communication skills.
Answer: Use language that is easy to understand; avoid using jargon or bureaucratic language; use short,simple sentences; use restrained language that is not overly emotional; avoid passive voice; use gender-neutral language; avoid sexist language.
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5
Chapter 4: Decision-Making Skills
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Sample Questions
Q1) Outline the positive aspects of group decision making.
Q2) When the decision maker has very little or no reliable information on which to evaluate the different possible outcomes,he or she is most likely to use the _____ approach for decision making.
A) expected value
B) economic man
C) maximin
D) synectics
E) error-free
Q3) Which of the following approaches for dealing with uncertainty involves choosing the alternative with the least variation among possible outcomes?
A) The satisficing approach
B) The risk-averting approach
C) The brainwriting approach
D) The maximin approach
E) The synectics approach
Q4) Describe the optimizing approach to decision making.
Q5) Describe the five-step approach to foster the creative environment.
Q6) What can managers do to establish a creative environment?
Page 6
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Chapter 5: Ethical, social, and Legal Responsibilities of Management
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Sample Questions
Q1) Commercial law regulates how much money businesses must pay the government to help provide services for the public.
A)True
B)False
Q2) Which of the following can be protected under a trademark?
A) Computer programs
B) Plays
C) Dances
D) Slogans used by organizations
E) Movies
Q3) The most popular and the latest school of thought among businesses today is the trusteeship management philosophy.
A)True
B)False
Q4) Which of the following statements is true about intellectual property rights?
A) Enforcing these laws for every industry in the United States is easy.
B) They are universal rights that remain constant for every country.
C) These rights are guaranteed through patent, trademark, and copyright laws.
D) It is not prominent in the American workplace.
E) It ensures that other users profit from the creator's work.
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Chapter 6: International Business
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Sample Questions
Q1) Companies that are not willing or able to invest millions of dollars in operations abroad prefer to set up multinational corporations.
A)True
B)False
Q2) When should a company ideally enter a foreign market?
A) When the foreign market is saturated
B) When the costs of labor and resources are higher than the domestic costs
C) When the demand for the product declines in the domestic market
D) When competition in the domestic market is the least
E) When protectionism is promoted
Q3) Embargoes usually are imposed for political rather than economic reasons.
A)True
B)False
Q4) A country that exports more than it imports runs a trade deficit.
A)True
B)False
Q5) Cultures that endorse low power distance expect and accept relations that are more democratic.
A)True
B)False
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Chapter 7: The Basics of Planning and Strategic Management
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Sample Questions
Q1) It is possible to prepare a formal plan with a well-defined strategy and not practice strategic management.
A)True
B)False
Q2) An organization's current structure places certain restrictions on strategy implementation.
A)True
B)False
Q3) The last step in the strategy formulation phase of the strategic management process is _____.
A) identifying organizational mission
B) conducting SWOT analysis
C) identifying past and present strategies
D) diagnosing past and present performance
E) selecting a corporate strategy from various alternatives
Q4) Procedures ignore details.
A)True
B)False
Q6) Outline areas for establishing objectives in most organizations. Page 9
Q5) Elaborate on the five forces model of competition developed by Michael Porter.
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Page 10
Chapter 8: Organizing Work
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Sample Questions
Q1) Which of the following is true of flextime?
A) It allows employees to choose when they start and end their workday without any limits.
B) It restricts employees from varying the hours worked each day.
C) It makes it difficult to retain hard-to-find qualified employees.
D) It allows employees to accommodate different lifestyles and schedules.
E) It lowers the productivity of employees and increases absenteeism and tardiness.
Q2) _____ allows employees to choose,within certain limits,when they start and end their workday.
A) Flextime
B) Overtime
C) Real time
D) Part-time
E) Lead time
Q3) Micromanaging is a problem that occurs when superiors make everyday decisions that they have delegated to subordinates.
A)True
B)False
Q4) What are the four elements that allow empowerment to take root and thrive?
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Chapter 9: Organizational Structure
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Sample Questions
Q1) Rocco Carzo and John Yanouzas found that groups operating in a flat structure had significantly better performance than those operating in a tall structure.
A)True
B)False
Q2) Which of the following is true of organic systems?
A) Communication content is largely instructions and decisions issued by superiors in organic systems.
B) Firms in dynamic industries tend to be organic in structure.
C) Structure of control, authority, and communication is hierarchical in organic systems.
D) Organic systems are characterized by lesser participation than mechanistic systems.
E) Organic systems have a better developed organizational hierarchy than mechanistic systems.
Q3) As organizations grow and experience success,they tend to evolve into increasingly simple and lean structures.
A)True
B)False
Q4) What are the challenges of transitioning to a virtual organization?
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Chapter 10: Understanding Work Groups and Teams
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Sample Questions
Q1) Which of the following is a consequence of large group size?
A) Reduced group cohesiveness
B) Reduced social loafing
C) Increased group conformity
D) Increased interactions
E) Increased trust among members
Q2) Which of the following is true about task groups?
A) They are informal groups.
B) These groups are confined to a single goal.
C) They are also called functional groups.
D) The group's work is ongoing.
E) The group consists of employees who lunch together regularly.
Q3) Outline the phases in the life of teams.
Q4) The _____ concluded that informal organizations with their own social systems exist within formal organizations.
A) Maslow studies
B) scientific management studies
C) Hawthorne studies
D) linchpin concept
E) classical conditioning theory
Page 13
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Chapter 11: Staffing
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Sample Questions
Q1) _____ interview is designed to place the interviewee under pressure.
A) Semistructured
B) Situational
C) Unstructured
D) Structured
E) Stress
Q2) Which of the following tests measure how well an applicant can do a sample of the work that is to be performed?
A) Psychomotor tests
B) Reliability tests
C) Aptitude tests
D) Proficiency tests
E) Job knowledge tests
Q3) Reverse discrimination is defined as _____.
A) providing preferential treatment for one group over another
B) eliminating candidates who are not qualified for the job
C) the remedying of past discriminatory actions
D) selecting candidates on the basis their work experience
E) merely providing equal opportunity
Q4) What are the advantages and the disadvantages of internal staffing?
Page 14
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Chapter 12: Employee Training and Development
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Sample Questions
Q1) List some of the methods for management development off the job.
Q2) The advantage of the _____ method of management development is that trainees get practical experience and can see the results of their decisions.
A) coaching
B) incident
C) in-basket
D) role playing
E) business games
Q3) In which of the following types of training are procedures and equipment similar to those used in the actual job,set up in a special working area?
A) Coaching
B) Sensitivity training
C) On-the-job training
D) Vestibule training
E) Apprenticeship training
Q4) Experiential methods of training emphasize creative thinking,problem solution,and human behavior skills.
A)True
B)False
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Chapter 13: Motivating Employees
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Sample Questions
Q1) Which of the following is true about the motivation-maintenance approach?
A) Hygiene factors produce motivation.
B) It contends that motivation comes from the manager.
C) Motivators along with maintenance factors provide true motivation.
D) It was developed by Abraham Maslow.
E) Hygiene factors include recognition, achievement, and responsibility.
Q2) The need for _____ is never completely satisfied.
A) affiliation
B) security
C) power
D) esteem
E) self-actualization
Q3) In motivation,motives are independent of needs.
A)True
B)False
Q4) In motivation,adequacies produce motives,which lead to the accomplishment of goals.
A)True
B)False
Q5) What are the steps involved in the use of positive reinforcement?
Page 16
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Chapter 14: Developing Leadership Skills
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80 Flashcards
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Sample Questions
Q1) The studies conducted by Rensis Likert indicate that the most effective form of management is one in which decisions are made by consensus and majority,based on total participation.
A)True
B)False
Q2) In the Managerial Grid,which of the following management styles attain efficiency in operations as a result of arranging conditions of work in such a way that human elements interfere to a minimum degree?
A) Country club management
B) Team management
C) Impoverished management
D) Authority-obedience management
E) Laissez-faire management
Q3) Leadership and management are not necessarily the same but are not incompatible.
A)True
B)False
Q4) Insights gained from available leadership theories can be used to develop more effective leaders.Discuss a few ways of doing this.
Q5) Evaluate the trait theory of leadership.
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Chapter 15: Managing Conflict and Stress
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Sample Questions
Q1) Identify the types of structural conflict.
Q2) Communication-related conflicts occur when a physical or organizational barrier to effective communication exists.
A)True
B)False
Q3) Introducing changes suddenly reduces the amount of job-related stress experienced by employees.
A)True
B)False
Q4) Which of the following statements is a myth regarding conflict?
A) Most conflicts can be managed.
B) Conflict can motivate change.
C) All conflicts can be resolved.
D) Conflict can help build relationships between people.
E) Conflict is a normal part of life within an organization.
Q5) List the critical elements of employee assistance programs.
Q6) Unequal departmental dependence fosters conflict.
A)True
B)False
Q7) What are some potentially useful effects of conflict?
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Chapter 16: Managing Change and Culture
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Sample Questions
Q1) Pine and Acorn Communications develops large-scale advertising campaigns for its major clients in high tech industries like telecommunications and electronic equipments.These advertising campaigns are high-budget with rapid acceptance or failure.The company emphasizes on individualism and very low uncertainty avoidance.Pine and Acorn Communications most likely has a _____ culture.
A) performance-reward
B) high achiever
C) work-hard/play-hard
D) bet-your-company
E) tough-person, macho
Q2) _____ refers to an organizationwide,planned effort managed from the top,with a goal of increasing performance through planned interventions.
A) Organizational climate
B) Organizational culture
C) Organizational socialization
D) Organizational structure
E) Organizational development
Q3) Describe in detail the methods used in the diagnosis phase of organizational development.
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Page 19
Chapter 17: Management Control
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Sample Questions
Q1) Objective realization requires constant monitoring to ensure that _____.
A) enough progress is being made toward established objectives
B) the organization is operating within its established boundaries of constraint
C) the day-to-day policies and rules are given more importance as compared to the long-term goals
D) the stability of an operation is maintained
E) control is practiced after problems occur
Q2) What is the function of leverage ratios?
A) They indicate an organization's operational efficiency.
B) They indicate how well an organization is being managed.
C) They measure the magnitude of owners' and creditors' claims on the organization.
D) They evaluate how effectively an organization is managing some of its basic operations.
E) They judge how well an organization will be able to meet its short-term financial goals.
Q3) Actual performance always conforms exactly to standards.
A)True
B)False
Q4) How can a manager lessen negative reactions to controls?
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Chapter 18: Appraising and Rewarding Performance
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Sample Questions
Q1) Leniency,a common error in performance appraisals,occurs when performance appraisal statistics indicate that most employees are evaluated similarly as doing average work.
A)True
B)False
Q2) Holly is a project manager in a software development firm.She has been asked to conduct the annual performance appraisal for her team.She lists the names of her team members on the left side of a sheet of paper.She then compares the first employee with every other employee on the list on the quality of work criterion and places a check mark on the one who produced the best quality of work in each of the paired comparisons.In this way she compares each employee to every other employee in the list.Which of the following performance appraisal method has Holly implemented?
A) The critical-incident comparison method
B) The alternation ranking approach
C) The paired comparison ranking method
D) The management by objectives (MBO) approach
E) The paired graphic rating scale method
Q3) Outline some appropriate preconditions for merit pay.
Q4) What are the activities involved in a typical MBO process?
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Chapter 19: Operations Management and Planning
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Sample Questions
Q1) Outline some of the options available for expanding capacity when the present facility is overcrowded.
Q2) Which of the following is a characteristic of intermittent flow systems?
A) They generally have a standardized product or service.
B) The products are often advertised.
C) The products are immediately available to the customers.
D) They have relatively large volumes of similar products in similar stages of the operating system.
E) They usually do not keep an inventory of finished products.
Q3) Aggregate production planning is also referred to as aggregate operations planning.
A)True
B)False
Q4) Process layouts are generally used in _____ flow operating systems.
A) standardized
B) intermittent
C) routing
D) continuous
E) fixed-position
Q5) What are operating systems? What are their functions?
Page 22
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Chapter 20: Operations Control
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Sample Questions
Q1) Kanban is a philosophy for quality improvement that applies the principles of participatory management toward incremental improvement of the current methods and processes.
A)True
B)False
Q2) The optimal size of the safety stock is determined by the relative costs of a stock-out of the item versus the costs of carrying the additional inventory.
A)True
B)False
Q3) Outline the benefits of material requirements planning (MRP).
Q4) Discuss total quality management (TQM)and outline different quality improvement approaches that have relevance to TQM.
Q5) Discuss the types of costs that are considered when determining the optimal number of units to order.Outline economic order quantity (EOQ)and its weakness(es).
Q6) Pure Machine Parts Inc.(PMP)has decided to launch a zero-defects program in their Michigan plant.The plant employs 122 employees on the shop-floor with four supervisors and two managers.Discuss how the firm's management should proceed with the implementation of the program.
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