Principles of Management Exam Bank
Course Introduction
Principles of Management introduces students to the fundamental concepts, theories, and practices that form the foundation of effective management in organizations. This course examines the key managerial functions of planning, organizing, leading, and controlling, alongside the role and responsibilities of managers in diverse business environments. Students will explore decision-making processes, organizational behavior, motivation, communication, and strategic management, gaining insights into how managers coordinate resources and people to achieve organizational goals. Through real-world case studies and practical examples, learners will develop essential management skills applicable across various industries.
Recommended Textbook Management 9th Edition by Richard L. Daft
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20 Chapters
3425 Verified Questions
3425 Flashcards
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Page 2
Chapter 1: Innovative Management for Turbulent Times
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195 Verified Questions
195 Flashcards
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Sample Questions
Q1) Empowered employees are expected to seize opportunities and solve problems as they emerge in the new workplace.
A)True
B)False
Answer: True
Q2) As globalization, workforce diversity, uncertainty, and societal turbulence increase, ____ skills become even more crucial.
A) conceptual
B) human
C) technical
D) leading
E) controlling
Answer: B
Q3) The primary characteristic of the new workplace is that it is centered on loyal and homogeneous employees.
A)True
B)False
Answer: False
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Page 3
Chapter 2: The Evolution of Management Thinking
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167 Flashcards
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Sample Questions
Q1) The management science perspective emerged after World War II to treat problems associated with
A) modern global warfare.
B) environmental issues.
C) employee involvement.
D) Germany.
E) improving manufacturing.
Answer: A
Q2) A management perspective that emerged around the late nineteenth century that emphasized understanding human behavior, needs, and attitudes in the workplace is referred to as a(n) ____________________.
Answer: humanistic perspective
Q3) One of the criticisms of scientific management is it did not acknowledge variance among individuals.
A)True
B)False
Answer: True
Q4) List the five components of the basic systems theory of organizations. Answer: inputs; a transformation process; outputs; feedback; and the environment.
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Chapter 3: The Environment and Corporate Culture
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Sample Questions
Q1) Corporate culture plays a key role in creating an organizational climate that enables learning and innovative responses to threats from the external environment, challenging new opportunities, or organizational crises.
A)True
B)False
Answer: True
Q2) Physical symbols are associated with the surface level of organizational culture.
A)True
B)False
Answer: False
Q3) The bureaucratic culture has an external focus and a consistency orientation for a dynamic environment.
A)True
B)False
Answer: False
Q4) The ____________________ environment includes the sectors that conduct day-to-day transactions within the organization.
Answer: task
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Page 5
Chapter 4: Managing in a Global Environment
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Sample Questions
Q1) A preference for a loosely knit social framework in which individuals are expected to take care of themselves is called ____________________.
Q2) The Mercedes-Benz plant in Alabama is an example of a ____.
A) greenfield venture
B) joint venture
C) direct investment
D) foreign affiliate
E) direct acquisition
Q3) A country's physical facilities that support economic activities make up its ____.
A) resource markets
B) infrastructure
C) physical markets
D) product markets
E) plants and equipment
Q4) The fifth dimension of Hofstede's social values is preliminary-term orientation and extended-term orientation.
A)True
B)False
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Page 6
Chapter 5: Managing Ethics and Social Responsibility
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Sample Questions
Q1) The ____ leadership style matches with the preconventional level of personal moral development.
A) autocratic
B) team oriented
C) servant leadership
D) guiding/encouraging
E) transforming
Q2) ____________________ generally outline the procedures to be used in specific ethical situations, such as marketing practice, conflicts of interest, and observance of laws.
Q3) When a company does just what is necessary to satisfy legal requirements, it falls under the ____________________ approach in shades of green.
Q4) The great majority of managers operate at level two, the conventional level.
A)True
B)False
Q5) Free choice lies between the domains of codified law and ethics.
A)True
B)False
Q6) List and define the criteria of corporate social responsibility.
Page 7
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Chapter 6: Managerial Planning and Goal Setting
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162 Flashcards
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Sample Questions
Q1) A(n) ____________________ is a desired future state that the organization attempts to realize.
Q2) List the five reasons explicit goals and plans are important.
Q3) Contingency plans can also be considered as scenarios.
A)True
B)False
Q4) Managers work with planning experts to develop their own goals and plans in decentralized planning.
A)True
B)False
Q5) ____ refers to a desired future state that an organization attempts to realize?
A) Plan
B) Vision statement
C) Goal
D) Mission statement
E) Idea
Q6) Specific and measurable goal characteristics apply only to the lower-level goals.
A)True
B)False
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Chapter 7: Strategy Formulation and Implementation
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Sample Questions
Q1) With a multidomestic strategy, a company will achieve the globalization or standardization of marketing and production approaches.
A)True
B)False
Q2) Corporate-level strategy pertains to the organization as a whole.
A)True
B)False
Q3) Structural design pertains to managers' responsibilities, their degree of authority, and the consolidation of facilities, departments, and divisions.
A)True
B)False
Q4) Reward systems, pay incentives, budgets for allocating resources, information technology systems, and organization's rules, policies, and procedures are included in
Q5) Vertical integration means a firm expands into businesses that either produce the supplies needed to make products or that distribute and sell those products to customers.
A)True
B)False
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Chapter 8: Managerial Decision Making
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171 Verified Questions
171 Flashcards
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Sample Questions
Q1) Explain the four underlying assumptions of the administrative model.
Q2) Interestingly, major decisions in the business world are commonly made by an individual.
A)True
B)False
Q3) According to the administrative model of decision making, managers' searches for alternative are limited because of human, information, and resource constraints.
A)True
B)False
Q4) ____ decisions are associated with decision rules.
A) Nonprogrammed
B) Unique
C) Programmed
D) Ill-structured
E) Novel
Q5) Cognitive scientist Gary Klein has found that intuition begins with goals.
A)True
B)False
Q6) A(n) ____________________ is a choice made from available alternatives.
Page 10
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Chapter 9: Designing Adaptive Organizations
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Sample Questions
Q1) Strategy defines what to do; organizing defines how to do it.
A)True
B)False
Q2) Louise works in the manufacturing department at Ice Sculptures. The work in Louise's department is low in task specialization. As a result, Louise
A) usually performs a single task.
B) does a variety of tasks and activities.
C) is often bored.
D) is rarely challenged.
E) generally goofs-off.
Q3) The duty to perform the task or activity an employee has been assigned is called accountability.
A)True
B)False
Q4) A vertical structure that emphasizes specialization and centralization is appropriate when environmental uncertainty is high.
A)True
B)False
Q5) The ____________________ is the number of employees reporting to a supervisor.
11
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Chapter 10: Managing Change and Innovation
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172 Verified Questions
172 Flashcards
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Sample Questions
Q1) Explain the concept of force field analysis.
Q2) According to BusinessWeek and Boston Consulting Group, 72% of top executives reported that ____ is a top priority.
A) planning
B) competition
C) organization
D) cooperation
E) innovation
Q3) Which of the following is a person who sees the need for and fights for productive change in an organization?
A) A creative individual
B) A catalyst
C) An idea champion
D) A sponsor
E) A critic
Q4) A disparity between existing and desired performance levels is known as a(n)
Q5) ____________________ change is related to the organization's production process, i.e., how the organization does its work.
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Chapter 11: Managing Human Resources
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174 Flashcards
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Sample Questions
Q1) Coaching is when an experienced employee guides and supports a less-experienced employee.
A)True
B)False
Q2) The three primary goals of HRM are to attract the right people, manage talent so people achieve their potential, and maintain the workforce over the long term.
A)True
B)False
Q3) One of the questions that human resource planning should consider includes "what is the profit margin and inventory turnover rate?"
A)True
B)False
Q4) ____ is incentive pay that ties at least part of compensation to employee effort and performance.
A) Pay-for-performance
B) Seniority pay
C) Universal compensation plan
D) Cafeteria-plan
E) Group performance pay
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Chapter 12: Managing Diversity
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114 Verified Questions
114 Flashcards
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Sample Questions
Q1) Age, race, and gender are included in the primary dimension of diversity.
A)True
B)False
Q2) Mentoring programs are not consistent with the Civil Rights Act of 1991 that requires the diversification of middle and upper management.
A)True
B)False
Q3) The mentoring relationship is an excellent way to overcome the problem of a glass ceiling.
A)True
B)False
Q4) Homogeneous top management teams tend to be broadminded in their perspectives.
A)True
B)False
Q5) ____________________ implies that women's commitment to their children limits their commitment to the company or their ability to handle the rigors of corporate management.
Q6) In 2006, PepsiCo appointed its first female CEO.
A)True
B)False
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Chapter 13: Dynamics of Behavior in Organizations
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Sample Questions
Q1) An example of ____ would be someone who hates dealing with conflict because they had grown up with parents who constantly argued and often put them in the middle of their arguments.
A) perceptual defense
B) attribution
C) projection
D) halo effect
E) stereotyping
Q2) Roy is a top executive at a cigarette manufacturing company who believes that cigarettes are dangerous products and they kill people. This condition can be described as
A) job involvement.
B) extroversion.
C) cognitive dissonance.
D) Machiavellianism.
E) job satisfaction.
Q3) Role ambiguity is defined as uncertainty about what behaviors are expected of a person in a particular role.
A)True
B)False
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Chapter 14: Leadership
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Sample Questions
Q1) Self-confidence, honesty and integrity, and the desire to lead, are all components of which personal characteristic of leaders?
A) Physical characteristics
B) Intelligence and Ability
C) Personality
D) Social Characteristics
E) Social Background
Q2) Which of the following is a model of leadership that describes the relationship between leadership styles and specific organizational situations?
A) Contingency approach
B) Behavioral approach
C) Trait approach
D) Organizational approach
E) None of these
Q3) Leadership is reciprocal.
A)True
B)False
Q4) ____________________ leadership is about distinguishing right from wrong and choosing to do right.
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Chapter 15: Motivating Employees
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Sample Questions
Q1) The motivator factors, or satisfiers, that Donovan can change and influence include all of the following EXCEPT
A) recognition.
B) growth opportunities.
C) achievement.
D) salary.
E) all are motivator factors.
Q2) ____________________ theories explain how workers select behavioral actions to meet their needs and determine whether their choices were successful.
Q3) Which of the following is based on the relationships between effort, performance, and outcomes?
A) Equity theory
B) Expectancy theory
C) Reinforcement theory
D) Two-factor theory
E) ERG theory
Q4) The assumption that positively reinforced behavior tends to be repeated is the basis for the ____________________.
Q5) Differentiate between intrinsic and extrinsic rewards.
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Chapter 16: Managing Communication
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152 Flashcards
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Sample Questions
Q1) Communication permeates every management function.
A)True
B)False
Q2) Amy believes that successful managers solicit and respond to upward communication. Information that can be expected with upward communication includes all of the following EXCEPT which one?
A) Procedures and practices
B) Suggestions for improvement
C) Financial and accounting information
D) Performance reports
E) All of these are included
Q3) Messages that are designed to share information among teams and departments that can help the organization change, grow, or improve are called change initiatives and improvements.
A)True
B)False
Q4) Face-to-face discussion is the richest channel, in terms of channel richness.
A)True
B)False
Q5) Describe the three categories of horizontal communication.
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Chapter 17: Leading Teams
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Sample Questions
Q1) Functional team is also referred to as a
A) command team.
B) task force.
C) special purpose team.
D) horizontal team.
E) interorganizational team.
Q2) As one of the four common says in which norms develop in teams, ____________________ means that the first behaviors that occur in a team often set a precedent for later team expectations.
Q3) Describe the three types of formal teams.
Q4) As a common way group norms develop, critical events are norms the team brings from the outside.
A)True
B)False
Q5) The ____________________ style to handle conflict involves a low degree of assertiveness and a low degree of cooperation.
Q6) ____________________ negotiation is a competitive and adversarial negotiation approach in which each party strives to get as much as it can, usually at the expense of the other party.
Page 19
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Chapter 18: Managing Quality and Performance
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Sample Questions
Q1) According to the control model, after establishing standards of performance the manager should
A) compare performance to standards.
B) get the standards approved by the supervisors and subordinates.
C) measure actual performance.
D) take corrective action.
E) provide feedback.
Q2) The conversion ratio is considered to be a(n)
A) activity ratio.
B) liquidity ratio.
C) profitability ratio.
D) leverage ratio.
E) cash ratio.
Q3) ____________________ control uses cultural values, traditions, shared beliefs, and trust to generate compliance with organizational goals.
Q4) Economic value added system identifies various activities needed to provide a product and determines the cost of each of those activities.
A)True
B)False
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Chapter 19: Managing the Value Chain, Information
Technology, and E-Business
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Sample Questions
Q1) With integration, more companies are opting for a(n) ____________________ approach, which involves cultivating intimate relationships with a few carefully selected suppliers and collaborating closely to coordinate tasks that benefit both parties.
Q2) A facilities layout in which machines that perform the same function are grouped together in one location is called a process layout.
A)True
B)False
Q3) ____________________ inventory includes the materials moving through the stages of the production process that are not completed products.
Q4) List the three types of management information systems.
Q5) ____ file sharing allows PCs to communicate directly with one another over the Internet, bypassing central databases, servers, and Web pages.
A) B2B
B) C2C
C) P2P
D) C2B
E) B2C
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Chapter 20: Managing Small Business Start-Ups
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Sample Questions
Q1) Before opening his own business, Kareem was writing a report that details the specifics of his ideas and future business operations. This document is known as
A) a SWOT analysis.
B) a business portfolio.
C) a business plan.
D) a competitive analysis.
E) a mission statement.
Q2) Small businesses represent ____ percent of all firms and employ about half of all private sector employees.
A) 86.3
B) 21.9
C) 99.7
D) 54.2
E) 72.8
Q3) ____________________ entrepreneurs are committed to both good business and changing the world for the better.
Q4) A(n) ____________________ is a document specifying the business details prepared by an entrepreneur in preparation for opening a new business.
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