Principles of Management Exam Preparation Guide
Course Introduction
Principles of Management introduces students to the foundational concepts, theories, and practices essential for effective management in organizations. The course explores the core functions of management including planning, organizing, leading, and controlling while examining decision-making processes, motivational strategies, leadership styles, communication, and organizational structure. Emphasis is placed on understanding the dynamic environment in which managers operate, ethical considerations, and the impact of globalization and technology on modern management practices. Through case studies, discussions, and practical applications, students gain insights into the skills necessary to succeed as effective managers across diverse industries.
Recommended Textbook
Management 11th Edition by
Richard L. Daft
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19 Chapters
2924 Verified Questions
2924 Flashcards
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Page 2
Chapter 1: Innovative Management for a Changing World
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177 Verified Questions
177 Flashcards
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Sample Questions
Q1) To perform effectively, all managers must possess conceptual, human, and technical skills, though the degree of each skill necessary at different levels of an organization may vary.
A)True
B)False
Answer: True
Q2) Since not-for-profit organizations do not have a conventional _____, managers may struggle with the question of what constitutes results and effectiveness.
A) hierarchy
B) bottom line
C) information system
D) decision-making process
E) structure
Answer: B
Q3) Controlling involves monitoring employee's activities and taking corrective action as necessary.
A)True
B)False
Answer: True
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Page 3
Chapter 2: The Evolution of Management Thinking
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155 Verified Questions
155 Flashcards
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Sample Questions
Q1) Organizational development is one specific set of management techniques based in the _____ approach.
Answer: behavioral sciences
Q2) Which of these is a major criticism of scientific management?
A) It ignored the social context of work.
B) It ignored the impact of compensation on performance.
C) It overemphasized individual differences.
D) It overemphasized the intelligence of workers.
E) It emphasized the social context of work.
Answer: A
Q3) A management perspective that suggests jobs should be designed to meet higher-level needs by allowing workers to use their full potential is called a(n) _____.
Answer: human resources perspective
Q4) Economic forces pertain to the availability, production, and distribution of resources in a society.
A)True
B)False
Answer: True
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Chapter 3: The Environment and Corporate Culture
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167 Verified Questions
167 Flashcards
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Sample Questions
Q1) Roles assumed by people that link the organization with the external environment are called _____ roles.
Answer: boundary-spanning
Q2) Which of the following best describes One-Hit-Wonder's culture?
A) Clan culture
B) Achievement culture
C) Consistency culture
D) Adaptability culture
E) None of these
Answer: D
Q3) Organizations must manage environmental uncertainty to be effective.
A)True
B)False
Answer: True
Q4) The general economic health of the country or region in which the organization operates is represented by the _____ dimension.
Answer: economic
Q5) An object, act, or event that conveys meaning to others is known as a(n) _____.
Answer: symbol
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Chapter 4: Managing in a Global Environment
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157 Verified Questions
157 Flashcards
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Sample Questions
Q1) For the past several years, foreign companies have invested more in business in _____ than in any other place in the world.
A) Brazil
B) India
C) China
D) United States
E) Russia
Q2) Briefly describe the social characteristic of ethnocentrism and explain how this can have an impact on the success of an international manager.
Q3) Which of the following pairs of alternatives closely resemble each other in the amount of ownership, control and risk obtained in operating international businesses?
A) Direct investment/franchising
B) Wholly owned foreign affiliate/countertrade
C) Exporting/licensing
D) Franchising/licensing
E) All of these
Q4) List three examples of a country's infrastructure.
Q5) List the four dimensions of national value systems identified by Hofstede.
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Chapter 5: Managing Ethics and Social Responsibility
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153 Verified Questions
153 Flashcards
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Sample Questions
Q1) Any group within or outside the organization that has a stake in the organization's performance is called:
A) a supplier.
B) an international customer.
C) a stakeholder.
D) OPEC.
E) a trade association.
Q2) Monitoring the Internet to maintain the company's ethical climate and workplace productivity could be considered part of an individualistic approach.
A)True
B)False
Q3) What type of a stakeholder would a nature conservation group be for a paper manufacturing company?
A) Supplier
B) Competitor
C) Employee
D) Special interest group
E) None of these
Q4) List the four responsibilities of corporate social performance.
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Chapter 6: Managing Small Business Start Ups
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136 Verified Questions
136 Flashcards
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Sample Questions
Q1) At Stage 3 of growth for an entrepreneurial firm, managers often are hired to take over duties performed by the owner.
A)True
B)False
Q2) The takeoff stage is the last of the five stages of growth for an entrepreneurial company.
A)True
B)False
Q3) Janelle is very innovative and attentive to detail. As she starts her own company, she leads her employees and ensures that every detail is attended to. As her company grows, she finds it more difficult to deal with and motivate her employees. She is more interested in the product. What stage of growth is Janelle's company going through?
A) Resource maturity
B) Takeoff
C) Survival
D) Success
E) Existence
Q4) A(n) _____ is an unincorporated business owned by two or more people.
Q5) List the five stages of growth for an entrepreneurial company.
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Chapter 7: Managerial Planning and Goal Setting
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146 Verified Questions
146 Flashcards
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Sample Questions
Q1) What can Katelynn expect to be doing during the final step of the MBO process?
A) Setting goals
B) Reviewing progress
C) Appraising overall performance
D) Defining mission
E) Developing action plans
Q2) _____ plans are developed to achieve a set of goals that are not likely to be repeated in the future.
Q3) _____ is a method whereby managers and employees define goals for every department, project, and person and use them to monitor subsequent performance.
Q4) A group of planning specialists assigned to major departments and divisions to help managers develop their own strategic plans is called _____.
Q5) Plans provide a standard of assessment.
A)True
B)False
Q6) Plans that define company responses to specific situations, such as emergencies, setbacks, or unexpected conditions are called _____ plans.
Q7) In what ways do plans and goals benefit an organization?
Page 9
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Chapter 8: Strategy Formulation and Execution
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138 Verified Questions
138 Flashcards
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Sample Questions
Q1) The world-wide standardization of product design and advertising refers to globalization.
A)True
B)False
Q2) When organizational parts interact to produce a joint effect that is greater than the sum of the parts acting alone, _____ occurs.
Q3) When an organization expands into a totally new line of business, it is implementing a strategy of:
A) Related diversification
B) Unrelated diversification
C) Cross-functional diversification
D) Product line diversification
E) Industry diversification
Q4) Differentiation, cost leadership, and focus are three of Porter's competitive strategies.
A)True
B)False
Q5) _____ includes the planning and decision making that lead to the establishment of the firm's goals and the development of a specific strategic plan.
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Chapter 9: Managerial Decision Making
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173 Verified Questions
173 Flashcards
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Sample Questions
Q1) Explain the four underlying assumptions of the administrative model.
Q2) List four of the eight questions Kepner and Tregoe recommend that managers ask when diagnosing and analyzing causes.
Q3) _____ means that managers know which goals they wish to achieve, but information about alternatives and future events is incomplete.
A) Certainty
B) Risk
C) Uncertainty
D) Ambiguity
E) Advocacy
Q4) _____ means that the goals to be achieved or the problem to be solved is unclear, alternatives are difficult to define, and information about outcomes is unavailable.
Q5) _____ decisions are made in response to situations that are unique, are poorly defined and largely unstructured, and have important consequences for the organization.
Q6) Justifying past decisions is a common bias of managers.
A)True
B)False
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Chapter 10: Designing Adaptive Organizations
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201 Verified Questions
201 Flashcards
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Sample Questions
Q1) The _____ is the number of employees reporting to a supervisor.
Q2) Flash Card Inc. recently underwent a significant company-wide change that involved revision of its manufacturing and leadership processes. The result of this was a stronger emphasis on horizontal coordination. This level of change is referred to as _____.
A) reorganization
B) reengineering
C) e-engineering
D) strategic planning
E) corporate structuring
Q3) In determining Javier's span of management, he should consider all of the following EXCEPT:
A) is the work performed by subordinates stable and routine?
B) do subordinates perform similar tasks?
C) are rules and procedures defining task activities available?
D) do Javier's personal preferences and style favor a larger or small span?
E) all of these.
Q4) In the _____ approach of structural design, departments are independent, contracting services to the central hub for a profit.
Q5) Describe service technology.
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Chapter 11: Managing Change and Innovation
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163 Verified Questions
163 Flashcards
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Sample Questions
Q1) Which of the following describes a person who is passionately committed to a new product of idea despite rejection by others?
A) An idea champion
B) A sponsor
C) A new-venture team
D) A skunkwork
E) An investor
Q2) Organizational development involves the application of behavioral science techniques to improve an organization's effectiveness and success.
A)True
B)False
Q3) Which of the following is an OD intervention technique in which questionnaires on organizational climate and other factors are distributed among employees and the results reported back to them by a change agent?
A) Team building activities
B) Survey feedback activities
C) Intergroup activities
D) Process-consolidation activities
E) Symbiotic leadership activities
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Page 13
Chapter 12: Managing Human Resources
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151 Verified Questions
151 Flashcards
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Sample Questions
Q1) One of the most dangerous performance evaluation errors is _____, which places an employee into a class or category based on one or a few traits or characteristics.
A) homogeneity
B) the halo effect
C) stereotyping
D) diversion
E) leniency
Q2) _____ is defined as activities or practices that define the characteristics of applicants to whom selection procedures are ultimately applied.
A) Selection
B) Recruiting
C) Training
D) Developing
E) Planning
Q3) In the _____ process, employers attempt to determine the skills, abilities, and other attributes a person needs to perform a particular job.
Q4) Explain the purpose of the selection process and identify four of the most frequently used selection devices.
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Chapter 13: Managing Diversity
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105 Verified Questions
105 Flashcards
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Sample Questions
Q1) _____ are less likely than _____ to develop mentoring relationships.
A) Women; minorities
B) Minorities; women
C) Men; women
D) Women; men
E) Whites; minorities
Q2) Organizations must find ways to eliminate the glass ceiling effect. One effective way to do this has been:
A) through targeted recruitment.
B) through affirmative action.
C) to develop mentoring relationships.
D) top management speeches.
E) to hire only white males.
Q3) Age, race, and gender are included in the primary dimension of diversity.
A)True
B)False
Q4) Sexual harassment in the workplace is a violation of Title VII of the 1964 Civil Rights Act
A)True
B)False
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Chapter 14: Understanding Individual Behavior
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130 Verified Questions
130 Flashcards
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Sample Questions
Q1) Which of the following is the uncertainty about what behaviors are expected of a person in a particular role?
A) Role conflict
B) Task overload
C) Nonprogrammed decisions
D) Role ambiguity
E) Task underload
Q2) Loyalty to and heavy involvement in one's organization is called ______.
Q3) Low Machs are particularly good in jobs that require bargaining skills or that involve substantial rewards for winning.
A)True
B)False
Q4) The Myers-Briggs Type Indicator is a personality test that measures a person's preference for introversion vs. extroversion, sensation vs. intuition, thinking vs. feeling, and judging vs. perceiving.
A)True
B)False
Q5) Briefly describe the perception process.
Q6) A(n) ______ is an evaluation that predisposes a person to act in a certain way.
Page 16
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Chapter 15: Leadership
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153 Verified Questions
153 Flashcards
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Sample Questions
Q1) The Michigan researchers used the term _____ for leaders who established high performance goals and displayed supportive behavior toward subordinates.
A) job-centered leaders
B) employee-centered leaders
C) initiating structure
D) consideration
E) impoverished management
Q2) The _____ leader is distinguished by his/her ability to bring about organizational change.
A) transformational
B) participative
C) charismatic
D) achievement-oriented
E) people-oriented leader
Q3) An active follower is characterized by a need for constant supervision.
A)True
B)False
Q4) Describe the three situational elements under Fiedler's Contingency Theory that can be described as either favorable or unfavorable.
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Chapter 16: Motivating Employees
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174 Verified Questions
174 Flashcards
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Sample Questions
Q1) The implication of the two-factor theory for managers is clear. Providing hygiene factors will eliminate employee dissatisfaction but will not motivate workers to high achievement levels.
A)True
B)False
Q2) Employee motivation affects productivity, and part of a manager's job is to channel motivation toward the accomplishment of organizational goals.
A)True
B)False
Q3) Goal-setting theory proposes that managers can increase motivation by setting specific, challenging goals that are accepted as valid by subordinates, then helping people track their progress toward goal achievement by providing timely feedback.
A)True
B)False
Q4) _____ incorporates high-level motivators into the work, including job responsibility, recognition, and opportunities for growth, learning, and achievement.
Q5) _____ theories emphasize the needs that motivate people.
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Chapter 17: Managing Communication
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138 Verified Questions
138 Flashcards
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Sample Questions
Q1) Describe the three categories of horizontal communication.
Q2) The topics covered in upward communication are indoctrination and implementation of goals and strategies.
A)True
B)False
Q3) A(n) _____ is a team communication structure in which team members communicate through a single individual to solve problems or make decisions.
Q4) A decentralized network is a team communication structure in which team members freely communicate with one another and arrive at decisions together.
A)True
B)False
Q5) A manager might use _____ as a type of communication.
A) meetings
B) telephone conversations
C) talking informally
D) all of these
E) meetings and telephone conversations
Q6) The major problem with downward communication is known as communication
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Q7) Describe the difference between centralized networks and decentralized networks.
Chapter 18: Leading Teams
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154 Verified Questions
154 Flashcards
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Sample Questions
Q1) _____ is the extent to which team members are attracted to the team and motivated to remain in it.
A) Norming
B) Commitment
C) Caring
D) Cohesiveness
E) Leadership.
Q2) _____ occurs when members of a team feel comfortable disagreeing and challenging one another in the interest of finding the best solution.
A) Attention to results
B) Team obligation
C) Team responsibility
D) Team cohesiveness
E) Healthy conflict
Q3) Although diversity contributes to higher levels of agreement in a team setting, it also results in reduced creativity.
A)True
B)False
Q4) In a(n) _____ team, team members take over managerial duties.
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Chapter 19: Managing Quality and Performance
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153 Verified Questions
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Sample Questions
Q1) A(n) _____ is defined as any organizational department or unit under the supervision of a single person who is responsible for its activity.
Q2) The _____ plans future investments in major assets to be depreciated over several years.
A) capital budget
B) balance sheet budget
C) cash budget
D) revenue budget
E) profit budget
Q3) Which of the following is a philosophy of organization-wide commitment to continuous improvement, focusing on teamwork, customer satisfaction, and lowering costs?
A) Engineering
B) Total quality management
C) Outsourcing
D) Culture
E) Diversity
Q4) List the four steps in the feedback control model.
Q5) When _____ deviates from a(n) _____, managers must interpret the deviation.
Page 21
Q6) Describe the difference between a balance sheet and an income statement.
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