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Chapter 1: Definition and Significance of Leadership Multiple Choice Questions 1. Various definitions of leadership include all but one of the following: a. influence process b. goal achievement c. group phenomenon d. control Answer: d; LO1; Moderate 2. Which one of the following is not part of a general definition of leadership? a. exercise of control b. group phenomenon c. influence d. hierarchy Answer: a; LO1 Moderate 3. The definition of leadership has how many key elements? a. one b. two c. three d. four Answer: d; LO1; Moderate 4. Bill Gates, founder of Microsoft, considers which of the following to be key to leadership? a. setting goals b. articulating a vision c. empowerment d. addressing the needs of stakeholders Answer: c; LO1; Moderate 5. Jonas Falk, CEO of Organic Life, believes that ___________ is the key to leadership. a. team performance b. inspiration c. goal setting d. control Answer: a; LO1; Moderate; AACSB: Interpersonal relations and teamwork

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6. Which of the following factors is not part of the definitions of leadership effectiveness? a. achieving goals b. follower satisfaction c. ability to change d. maintaining control Answer: d; LO1; Moderate 7. Barbara Waugh, a Civil Rights activist and worldwide change manager at Hewlett-Packard Laboratories, defines leadership effectiveness as _______. a. empowering employees b. meeting corporate objectives c. always making the customer happy d. finding a story worth living Answer: d; LO1; Moderate 8. According to Fred Luthans, effective managers focus on ________ while successful managers focus on ________. a. stakeholders; goal achievement b. employee satisfaction; quick promotions c. goal achievement; stock prices d. change management; employee satisfaction Answer: b; LO1; Moderate 9. According to Fred Luthans, effective managers are those who: a. take care of their own careers b. take care of their employees c. worry about all stakeholders d. maintain control through a crisis Answer: b; LO1; Difficult 10. According to Fred Luthans, successful managers are those who: a. take care of their own careers b. take care of their employees c. worry about all stakeholders d. maintain control through a crisis

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Answer: a; LO1; Difficult 11. Based on Fred Luthans’ research, what percentage of managers are both effective and successful? a. 10% b. 30% c. 50% d. over 60% Answer: a; LO1; Moderate 12. Which of the following statements is true about the definition of leadership effectiveness? a. Leadership effectiveness depends on the goals of the organization b. Leadership effectiveness must take into account the personality of the leader c. Leadership effectiveness is the same regardless of the organization d. Leadership effectiveness is always based on performance Answer: a; LO1; Moderate 13. The case of the New York Times newspaper is an example of . a. the importance of stakeholders in defining effectiveness b. the role of national culture c. generational differences d. the complexity of defining effectiveness Answer: d; LO1; Moderate; AACSB: Analytic thinking 14. Which one of the following factors is the key element of most definitions of leadership effectiveness? a. employee satisfaction b. stakeholder needs c. focus on outcome d. financial measures Answer: c; LO1; Moderate 15. While _________ are an important aspect of leadership effectiveness, the key element is ___________. a. leader style; providing direction b. internal processes; outcome c. goal achievement; stakeholder satisfaction d. empowerment; participation Answer: b; L01; Moderate Copyright © 2015 Pearson Education, Inc.

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16. Which one of the following is not an element of the definition of leadership effectiveness? a. goal achievement b. smooth internal functioning c. external adaptability d. efficiency Answer: d; LO1; Moderate 17. The three key elements of leadership effectiveness are: a. goal achievement, smooth internal processes, external adaptability b. follower satisfaction, leader control, empowerment c. goal achievement, stock prices, customer satisfaction d. flexibility, follower satisfaction, stakeholder satisfaction Answer: a; LO1; Moderate 18. Comparable companies require salespersons to get 8 hours of training during the first year on the job, however it is not unusual for The Container Store sales people to get hours of training before a new store opens. a. 12 b. 20 c. 100 d. 200 Answer: d; LO1; Moderate 19. The Container Store is able to pay its associates how much more than their competitors? a. 10-30 percent b. 30-50 percent c. 50-100 percent d. 100-200 percent Answer: c; LO1; Moderate 20. The Contain Store’s efforts to create a family-friendly environment have paid off. Whereas their competitors’ turn-over rate is approximately 90 percent, The Container Store’s turnover rate is only . a. 2 percent b. 10 percent c. 20 percent d. 50 percent Answer: b; LO1; Moderate 21. Which is not a reason the text provides as to why leaders are needed? Copyright © 2015 Pearson Education, Inc. ScholarFriends.com

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a. to keep groups orderly and focused b. to accomplish tasks c. to be romantic ideals d. to provide effective customer service Answer: d; LO1; Moderate 22. Bob, a salesperson for ABC, Inc., relies heavily on his supervisor to provide annual goals and direction was well as to clarify activities for the upcoming year. Which reason for ‘why we need leaders’ best fits this situation? a. to keep groups orderly and focused b. to accomplish tasks c. to make sense of the world d. to be romantic ideals Answer: b; LO1; Moderate; AACSB: Reflective Thinking 23. Which one of the following is not one of the obstacles to effective leadership? a. uncertainty that creates pressure for quick responses b. reliance on old ideas about leadership c. rigid and short-term oriented organizations d. inaccessible academic research Answer: b; LO2; Moderate 24. Sally was recently hired as president and CEO of AlphaSports, Inc, a regional chain of sporting goods stores. She has been hired to internalize the organization as well as expand market share. Many members of the organization are highly skeptical because the organization has never attempted anything like this in the past. Sally is experiencing which obstacle to effective leadership? a. the organization is rigid and unforgiving b. the organization is falling back on old ideas c. the organization is facing considerable uncertainty d. there is a lack of understanding in applying academic research findings Answer: c; LO2; Moderate; AACSB: Reflective Thinking 25. Jake was appointed president and CEO of XYZ, Inc. The board of directors wants him to lower expenses by laying off 50 percent of the front-line workers. Which of the following would not be an obstacle for Jake?. a. Organizations are rigid and unforgiving during times of change. b. The organization is facing considerable uncertainty. c. Stockholders do not support leaders who make change. d. They are falling back on old ideas.

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Answer: b; LO2; Moderate; AACSB: Reflective Thinking 26. While managers focus on ________, leadership is aimed at ________. a. getting power; here and now b. getting followers motivated; sharing values c. planning and stability; movement and change d. personal relationships; political networks Answer: c; LO3; Easy 27. Managers are , while leaders are . a. short-term oriented; long-term oriented b. long-term oriented; short-term oriented c. interested in creating a culture based on values; interested in maintaining existing structure d. making use of personal power; making use of positional power Answer: a; LO3; Moderate 28. Compared to managers, leaders do all of the following except a. focus on the future b. create culture based on shared values c. maintain existing structure d. create change Answer: c; LO3; Moderate

29. Compared to leaders, managers do all of the following except a. establish an emotional link with followers b. maintain status quo c. implement policies and procedures d. use position power Answer: a; LO3; Moderate

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a. effectiveness and competence b. national and organizational culture c. individual traits d. organizational performance Answer: a; LO3; Moderate 31. In addition to basic managerial functions of planning, organizing, staffing, directing, and controlling, leaders are ascribed . a. procedural and external roles b. procedural and internal roles c. strategic and internal roles d. strategic and external roles Answer: d; LO4; Moderate 32. Kip Tindell, founder of The Container Store, created a family-friendly work environment with higher wages and flexible shifts. He may be considered an effective leader because . a. he focused entirely on the present b. he created a culture on shared values c. he was interested in maintaining the status quo d. he only used position power to get things done Answer: b; LO4; Moderate; AACSB: Reflective Thinking 33. Which of the following is not one of the managerial roles proposed by Mintzberg? a. figurehead b. leader c. conflict manager d. resource allocator Answer: c; LO4; Difficult: 34. Henry Mintzberg identified a. 5 b. 7 c. 9 d. 10 Answer: d; LO4; Moderate

executive roles for managerial activities.

35. According to research by Mintzberg, the job of a manager is characterized by . a. many cultural encounters b. a wide variety of tasks and many interruptions c. a series of well-defined activities that start with planning and end in controlling Copyright © 2015 Pearson Education, Inc. ScholarFriends.com

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d. political activities that are essential to being effective Answer: b; LO4; Moderate 36. Helgesen’s research about gender differences in management found that . a. women are better managers b. women preferred face-to-face communication c. women managers often have to focus on their job at the expense of personal life d. women are more isolated then men Answer: b; LO4; Moderate 37. Helgesen called the “female” style of management ________. a. the web b. participative management c. interconnected management d. non-hierarchical charisma Answer: a; LO4; Moderate 38. Helgesen’s research found that female managers only matched how many of Mintzberg’s categories of executive roles? a. one b. two c. four d. five Answer: b; LO4; Moderate 39. The example of Starbucks gourmet coffee illustrates . a. the importance of social responsibility b. how founders can impact an organization c. the importance of quality in the mission of an organization d. how men and women both practice participative management Answer: b; LO4; Moderate; AACSB: Analytic thinking 40. If the founder of the organization is a workaholic and control oriented, the organization is likely to be characterized as: a. ‘the web’ whereby the manager is in the center of an interconnected circle b. fast-paced decision making and centralized c. decentralized and open d. participative and supportive Answer: b; LO4; Copyright © 2015 Pearson Education, Inc. ScholarFriends.com

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Moderate; AACSB: Reflective Thinking 41. Leaders are often role models for their followers. Recent research suggests that leaders must also pay attention to . a. sexual harassment and its negative impact b. the use of power c. how outsiders impact their followers d. their own emotional reactions Answer: d; LO4; Moderate 42. Stephen Oesterle is a senior executive of Medtronics, an organization dedicated to promoting healthy lifestyles. Stephen runs marathons and maintains a personal healthy lifestyle. Which function of shaping an organizational culture best describes Stephen’s approach? (Stephen-see pages 4 & 12) a. creating an effective reward system b. being a role model c. hiring the right people d. creating an effective organizational strategy and structure Answer: b; LO4; Moderate Answer: AACSB: Reflective Thinking 43. Tyler Winkler, senior vice president of sales for Secure Works, takes an approach whereby employees “make your numbers in three months or run the risk of being put on probation, and then possibly termination.” Through this process he measures employee performance, provides detailed feedback and training to improve sales. Which function of how leaders shape organizational culture best describes Tyler’s approach? a. role modeling b. creating an effective reward system c. hiring the right people d. creating an effective organizational strategy and structure Answer: b; LO4; Moderate; AACSB: Reflective Thinking 44. Bob Landouceur, La Salle high-school football coach wants his team members to get in touch with their emotions and develop ‘love’ for their teammates. Through this process he demonstrates great empathy for his players. Which function of how leaders shape organizational culture best describes Bob’s leadership style? a. role modeling b. creating an effective reward system c. hiring the right people d. creating an effective organizational strategy and structure Answer: a; LO4; Moderate; AACSB: Reflective Thinking

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45. Leaders shape the culture of their organization through all but one of the following: a. role modeling b. the reward system c. market research d. hiring decisions related to employees and other managers and leaders Answer: c; LO4; Moderate 46. Determining span of control, reporting relationships, and degree of formalization and specialization are all elements of which function of how leaders shape organizational culture? a. developing strategies and structures b. influencing hiring decisions c. creating effective reward systems d. role modeling Answer: a; LO4; Moderate 47. When leaders establish a highly decentralized structure, the result is likely to be a _________ culture. a. closed b. participative c. internally focused d. inflexible Answer: b; LO4; Moderate 48. Jack Welch was able to have an impact on the future of GE’s culture by, a. negotiating a series of company acquisitions to insure GE’s long-term success. b. establishing rules and guidelines his predecessors would have to follow. c. purchasing enough of the company’s outstanding stock to be elected to the board of directors.. d. personally selecting the CEO and other top managers before he retired. Answer: d; LO4; Moderate 49. The factors that are pushing for new roles for leaders include all but one of the following: a. push for quality b. use of teams c. changing hierarchies d. increased homogeneity Answer: d; LO5; Moderate 50. In a results oriented organization that focuses on quality and teamwork, which level of organizational structure should assume primary responsibility? a. senior executives b. mid-level managers Copyright © 2015 Pearson Education, Inc. ScholarFriends.com