Test Bank for Fundamentals Of Management, 11rth Edition

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1Fundamentals of Management, 11e(Robbins)Chapter 1 Managers and Management in Today's Workplace1) Which one of the following is a common myth about the study of management?A) Management is just common sense.B)Managers need to be well disciplined inall of the business areas.C) Managers are found in all types of organizations, large and small.D) Many of today's managers are minorities.Answer: AExplanation: Students might be surprised to know that theacademicstudy of management isfilled withinsights, based on extensive research, which often run counter to what seems to becommon sense. That's why we decided to tackle head-on this common-sense perception byopening each chapter with a particular "management myth" and then "debunking" this mythbyexplaining how itisjust a common-sense myth.Diff: 2AACSB: Analytical thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Analytical2) An organization is ________.A) the physical location where people workB) any collection of people who perform similar tasksC) a deliberate arrangement of people to accomplish some specific purposeD) a group of individuals focused on profit-making for their shareholdersAnswer: CExplanation:By definition, an organization is a deliberate arrangement of people broughttogether to accomplish some specific purpose or goal.Diff: 2AACSB: Reflective thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Concept

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23) All organizations have ________ that define(s) the organization's purpose and reason forexisting.A) limitsB) rulesC) structureD) goalsAnswer: DExplanation:An organization's goals define its purpose and reason for existing. For example,Mark Zuckerberg, CEO of Facebook, facing increasedpublic scrutiny over things his companywas doing and not doing in relation to protecting its community of users and the globalcommunity at large, stated that his company's goal was to fix those important issues and to getback to its original purpose–providing meaningful interactions between family and friends. Rulescan help an organization achieve its goals, but rules do not explicitly define those goals.Organizational structure defines and limits how people within an organization interact, butstructure on its own is not something that serves to define an organization's purpose.Diff: 2AACSB: Reflective thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Concept4) One of the common characteristics of all organizationsis ________ define(s) and limits thebehavior of its members.A) a set of written bylawsB) an explicit goalC) a structureD) a stated purposeAnswer: CExplanation: An organization isstructuredin some way that defines and limits the behavior ofitsmembers. Within that structure, rules, regulations, and policies might guide what people canor cannot do; some members willsupervise other members; work teams might be formed ordisbanded; or job descriptions might be created or changed so organizational members knowwhat they're supposed to do.Diff: 2AACSB: Reflective thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Concept

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35) A college Spanish club is an example of an organization because it is comprised of peoplewho ________.A) share the same values, traditions, and customsB) share the same goals and valuesC) share goals and functionwithin a common structureD) function under the same set of rules and regulationsAnswer: CExplanation: Members of an organization must not only share the same goals, they must allwork within a common structure to attain those goals. To grasp this distinction, compare twobaseball players on different teams: both may share the same goal of winning the World Series,but they belong to different organizations. Similarly, simply sharing values or rules is notsufficient to identify or differentiate an organization. To make up an organization, people need tobelong to a shared structure or institution and have common goals.Diff: 2AACSB: Analytical thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Application6)Which one of the following is a key difference between managerial and nonmanagerialemployees?A) Managerial employees receive higher pay compensation.B) Nonmanagerial employees have less formal education.C) Nonmanagerial employees do not oversee the work of others.D) Managerial employees work longer hours.Answer: CExplanation: The distinction between managerial and nonmanagerial employees resides solelyin overseeing work. Managers have the responsibility of supervising and directing work ofothers.Nonmanagerial employees do not have this responsibility. Managers may or may notreceive better compensation, have more education, or worklonger hours than nonmanagers—sonone of these criteria can serve to distinguish between the two.Diff: 1AACSB: Reflective thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Analytical

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47) The primary job of a manager is to ________.A) make decisions that help an organization growB) tackle tasks that are too difficult for nonmanagerialemployeesC) coordinate between organization leaders and ordinary employeesD) direct and oversee the work of othersAnswer: DExplanation: Though managers may make important decisions, tackle difficult tasks, orcoordinate between leaders and lower-level employees, a manager's primary job is to supervisethe work of others. The supervisory role is what distinguishes managers from nonmanagers.Diff: 1AACSB: Reflective thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Concept8) The work of a manager ________.A) is strictly limited to overseeing and monitoring the work of othersB) may involve performing tasks that are not related to overseeing othersC) involves only high-level tasks that require a sophisticated skill setD) does not involve interaction with nonmanagerial employeesAnswer: BExplanation: The primary job of a manager is to oversee work ofothers. However, this does notpreclude a manager from performing tasks on his or her own that do not involve supervision ofothers. For example, an insurance claims supervisor might process claims in addition tocoordinating the work activities of otherclaims employees. Tasks performed by managers arenot necessarily high level and may involve interaction with nonmanagerial workers, so neither ofthese choices is correct.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept9)Supervisoris another name for which one of the following?A) team leaderB) middle managerC) first-line managerD) top managerAnswer: CExplanation: An organization's management hierarchy typically follows this progression: first-line manager, middle manager or team leader, and top manager. This sequence usually reflectsthe degree to which managers are involved in planning and making higher-order decisions. Thelowest position in the sequence, the first-line manager, is generally more involved insupervisingothers than making higher-order decisions, so thisindividual is often termed asupervisor.Managers higher in the chain of command do lesssupervisingthan first-line managers so theyare less likely to be called asupervisor.Diff: 1LO: 1.1: Tell who managers are and where they work.Question Category:Concept

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510) Which one of the following types of managers is responsible for making organization-widedecisions and establishing the plans and goals that affect the entire organization?A) team leaderB) top managerC) department headD) project leaderAnswer: BExplanation: In a typical management hierarchy, the individuals responsible for making higher-order decisions that involve planning, goals, policy, and philosophy are the top managers. Teamleaders are generally first-line managers at the bottomof the hierarchy who are least involvedwith higher-order goals. Department heads and project leaders are titles for middle managerswho are more involved with the implementation ratherthan the making of goals and policy.Diff: 1LO: 1.1:Tell who managers are and where they work.Question Category: Concept11) Which one of the following is an important job responsibility for a middle manager?A) defining the organization's long-termgoalsB) translating goals defined by top managers into actionC) helping top managers define goalsD) performing tasks that are not related to long-term goalsAnswer: BExplanation: In an organization, top management typically defines long-term goals, then enlistsmiddle managers to find ways to achieve those goals. Thus, middle managers are not involved inidentifying long-term goals in any way. The job of a middle manager is very involved with long-term goals, it just doesn't involvedefiningthose goals.Diff: 2LO: 1.1: Tell who managers are and wherethey work.Question Category: Concept12) Which one of the following identifies a manager who does NOT typically supervise othermanagers?A) unit chiefB) shift managerC) vice presidentD) divisionmanagerAnswer: BExplanation: All but first-line managers are responsible at least in part for overseeing the workof other managers. The shift manager is the only first-line manager in this group. A unit chiefand division manager are both titles for middle managers who oversee other managers. A vicepresident is a top management position that is usually heavily involved with the management ofother managers.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept

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613)Of the following, which one is the lowest level of management?A) a nonmanagerial employeeB) an individual involved in defining the organization's philosophyC) a vice presidentD) a middle managerAnswer: DExplanation:The middle manager represents the lowest managerial position among the choicesgiven here, but it is not the lowest position in the managerial hierarchy. Individuals who rankabove a middle manager include a vice president and an individual who defines organizationalphilosophy, both ofwhom would qualify as top managers. Finally, a nonmanagerial employee islowest in the hierarchy among these choices, but this individual is not a part of management.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept14) All levels of management between the supervisory level and the top level of the organizationare termed ________.A) middle managersB) first-line managersC) supervisorsD) team leadersAnswer: AExplanation: Middlemanagement is defined as those individuals who are between topmanagement and the team leaders, supervisors, and other first-line managers who make up thesupervisory level of management. Any manager who is (1) not a part of top management and (2)not primarily a supervisor of nonmanagerial employees is classified as a middle manager.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept15) Which one of the following levels of management is associated with positions suchasexecutive vice president, chief operating officer, chief executive officer, and chairperson of theboard?A) team leadersB) middle managersC) first-line managersD) top managersAnswer: DExplanation: All of the titles listed above—executive vice president, chief operating officer,chief executive officer, and chairperson of the board—are executive positions that are typicallypart of an organization's top management. Team leaders are types of first-line managers and arenot part of top management.Any positions that includeexecutiveas part of the title wouldeliminate middle managers as a choice.Diff: 1LO: 1.1: Tell who managers are and where they work.Question Category: Application

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716)The "father" of scientific management was ________.A) Henri FayolB) Robert L. KatzC)Henry MintzbergD) Frederick Winslow TaylorAnswer: DExplanation: Fayol worked about the same time period as Taylor and was also fairly "scientific"in his approach.However, Taylor was the person who stressed being "scientific" and coined thetermscientific managementin his 1911 book. Mintzberg and Katz also contributed to ideas aboutscientific management, but both of these thinkers came later.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept17) Taylor beganto develop his theory of ________ after a result of viewing workers in steelcompanies.A) the functions of managementB) ethics-based managementC) management skillsD) scientific managementAnswer: DExplanation: Taylor's scientific management theoryposited that efficiency in organizationscould be improved by studying organizations objectively and systematically. The functions ofmanagement were developed by Fayol.Management skills were identified by Katz. Ethics-basedmanagement is not a known theory of management.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept18) A major contribution that Taylor made to the study of management was ________.A) to measure efficiency on a 4-star scaleB) to identify the onebest way to get a job doneC) to identify the three best ways to get a job doneD) to measure inefficiency on a 4-star scaleAnswer: BExplanation:Taylor measured efficiency and inefficiency, but he did not rank them on a starscale. What Taylor did dowas collect data to identify the "one best way" to do a job; that is, themost efficient and effective way to complete a task. Taylor focused on onlya single best way.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept

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819) Which one of the following did Taylor NOT find appalling in his study of workers in steelcompanies?A) Workers "took it easy" on the job.B) Workers employed different techniques for the same job.C) Workers would only attempt to perform a job ifthey were shown to have aptitude for it.D) Worker output was only about one-third of what was possible.Answer: CExplanation: Taylor indeed discovered that workers did not work hard on the job, did not havestandardized methods and techniques for completing a task, and only accomplished a fraction oftheir theoretical work potential. All of the above dismayed Taylor greatly, convincing him thatthe situation could be greatly improved with the application of standardized work rules and taskmethodology.The one thing in the list that Taylor did not discover was workers who refused towork at jobs they did not have aptitude for. In fact, he found that the reverse situation existed—workers performed jobs that they had no aptitude for—this constituted yet another practice thatwas appalling to Taylor.Diff: 3LO: 1.1: Tell who managers are and where they work.Question Category: Concept20) Part of whatdefines an organization is its purpose.Answer: TRUEExplanation: The goals or purpose of an organization define the organization's reason forexisting. Without a common purpose, a group of individuals does not qualify as an organization.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept21) All organizations have astructure that in some ways serves to define and limit the behaviorof members of the organization.Answer: TRUEExplanation: The structure of an organization, whether formal or informal, defines howorganization members interact. For example, a school's informal guidelines might determine howteachers fraternize. A school's formal guidelines might set up rules for interaction betweenstudents and teachers.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept22)In order to be considered a manager, an individual must direct or oversee the work of others.Answer: TRUEExplanation: Directing and overseeing work distinguishes managers from nonmanagerialemployees. Managers direct and oversee work of others. Nonmanagerial employees have nosupervisory responsibilities.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept

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923) A manager does not work directly on tasks for the organization.Answer: FALSEExplanation: Managers may workon tasks in addition to their supervisory duties. For example,a manager of a shop that designs clothing may also create designs on his or her own.Diff: 2LO: 1.1: Tell who managers are and where they work.Question Category: Concept24) Supervisors and team leaders may both be considered first-line managers.Answer: TRUEExplanation: First-line managers are managers who oversee workers directly and are involved inday-to-day operations. For example, a team manager in an auto assembly plant mightoverseeand help solve everyday problems that arise on the assembly line. Higher-level managerstypically would not spend time helping to solve assembly line problems directly.Diff: 1LO: 1.1: Tell who managers are and where they work.Question Category:Concept25) In a short essay, compare the tasks, priorities, and responsibilities of first-line, middle, andtop managers.Answer: First-line managers are the lowest level of management and manage the work ofnonmanagerial individuals who are directlyinvolved with the production or creation of theorganization's products. First-line managers are often called supervisors but may also be calledline managers, office managers, or even foremen. First-line managers spend more time leadingthan other managers and less time planning.Middle managers include all levels of management between the first-line level and the top levelof the organization. These managers manage the work of first-line managers and may have titlessuch as department head, project leader, plant manager, or division manager. Middle managersspend considerably less time leading than first-line managers and considerably more timeorganizing.Top managers are responsible for making organization-wide decisions and establishing the plansandgoals that affect the entire organization. These individuals typically have titles such asexecutive vice president, president, managing director, chief operating officer, chief executiveofficer, or chairman of the board. Top managers spend more time planningand organizing thanother managers and less time leading.Diff: 2AACSB: Analytical thinkingLO: 1.1: Tell who managers are and where they work.Question Category: Concept

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10The Perfect Manager (Scenario)Brenda Kraft has proven herself to be an ablemanager. Her section has a high projectcompletion rate with the highest-quality product and the lowest defects in her division. Inaddition, she accomplishes this with fewer full-time people than other managers. Coworkers saythat the secret of her success is in her ability to determine what needs to be done and by whom,and her understanding of the basic "management processes."26) Brenda's high project completion rate indicates that she is ________.A) an efficient managerB) an effective managerC) a good spokespersonD) a good resource allocatorAnswer: BExplanation: Completing a high number of projects is accomplishing a goal. Goal-accomplishment is a measure of the effectiveness of a manager. "An efficient manager" isincorrect because completingprojects says nothing about how efficient Brenda is. In a similarway, "a good spokesperson" and "a good resource allocator" are not correct as there is noindication in the paragraph of Brenda's skill as an information provider (spokesperson) ordecision-maker (resource allocator).Diff: 2AACSB: Application of knowledgeLO: 1.2: Define management.Question Category: Application27) If Brenda accomplished her projects with high-quality results, but she tookmore time thanother managers in the process,you could say that as a manager she was ________.A) efficient, but not effectiveB) a leader, but not a top managerC) project oriented, but not effectiveD) effective, but not efficientAnswer: DExplanation: Accomplishing goals makes Brenda effective. Taking too much time makesBrenda inefficient. These two qualities—high quality results coupled with longer than normaldelivery times—say nothing about Brenda's ability to be a leader.Diff: 2AACSB: Application of knowledgeLO: 1.2: Define management.Question Category: Application

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1128) Another term for efficiency is ________.A) doing the right thingsB) doing things rightC) making sure things get doneD)doing things at the right timeAnswer: BExplanation: Efficiency is often termeddoing things rightbecause the phrase denotes themanner in which tasks are carried out. The "right" way or efficient way correlates with aminimum of wasted time, money, energy, and resources. "Doing the right things," on the otherhand, refers to effectiveness, not efficiency. Making sure that things get done and doing things atthe right time are both often part of an efficient undertaking, but neither effort could be saidtodefine efficiency.Diff: 2LO: 1.2: Define management.Question Category: Concept29)Which one of the following might be an example of increased efficiency in manufacturing?A) cutting the amount of labor required to make the productB) cutting theprice of the productC) increasing sales of the productD) increasing advertising for the productAnswer: AExplanation: Efficiency must involve reducing the input-to-output ratio in some way. Cuttingthe amount of labor reduces the amount of input andso marks an increase in efficiency. Cuttingthe price does not affect the amount of resourcesand labor that go into the product, nor does itimprove the product itself, so it is not an efficiency measure. Increasing sales and advertisingsimilarly do notchange the input-output ratio so they do not increase efficiency.Diff: 3AACSB: AnalyticalthinkingLO: 1.2: Define management.Question Category: Application30) Another term for effectiveness is ________.A) doing the right thingsB) doing things rightC) doing things intelligentlyD) doing things when necessaryAnswer: AExplanation: Effectiveness is said to be "doing the right things" because effectiveness isconcerned with obtaining results and reaching goals. Doing things "in the right way" results inefficiency rather than effectiveness. Note that an enterprise can be effective—i.e.,it can attaingoals—without being efficient insuch areas as keeping costs and resources down. Doing thingsintelligently is clearly part of an effective effort without being critical to it. The same can be saidof doing things when necessary—it is not a critical part of an effective effort.Diff: 2LO: 1.2: Define management.Question Category: Concept

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1231) Effectiveness is synonymous with ________.A) cost minimizationB) smart managementC) goal attainmentD) efficiencyAnswer: CExplanation: Effectiveness is concerned with ends as opposed to means. Being effective means"getting the job done" (attaining goals), while being efficient is concerned with "how the job gotdone" and such things as cost minimization. While effective operations usually feature smartmanagement, the two are not necessarily synonymous.Diff: 2LO: 1.2: Define management.Question Category: Concept32) Efficiency refers to ________.A) the relationship between inputs and outputsB) the additive relationship between inputs andoutputsC) the inverse relationship between inputs and outputsD) decreasing inputs onlyAnswer: AExplanation: Mathematically, efficiency is measured as a ratio of inputs to outputs. Forexample, in physics the ratio of input energy to output energy defines a machine's efficiency. Thesame principles apply to management. Efficiency is measured as the ratio of input energy, orother resources such as costs or labor, to the amount of product or output created. The input-output ratio is neither additive norinverse but rather directly proportional insome way. Finally,though decreasing inputs can increase efficiency, it is not the only way to increase efficiency.Diff: 2LO: 1.2: Define management.Question Category: Concept33)Good management strives for ________.A) low efficiency and high effectivenessB) high efficiency and low effectivenessC) high efficiency and high effectivenessD) moderate efficiency and moderate effectivenessAnswer: CExplanation: High efficiency andhigh effectiveness are both things that managers seek toobtain. High efficiency is associated with minimal waste and a maximum of production. Higheffectiveness is associated with success in achieving goals. Low or moderate measures ofefficiency or effectiveness are clearly inferior to a high amount of each quality.Diff: 2LO: 1.2: Define management.Question Category: Concept

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1334) A candy manufacturer would increase both efficiency and effectiveness by making________.A) better candy at the same costB) better candy at a lower costC) the same candy at a lower costD) the same candy at the same costAnswer: BExplanation: Increasing efficiency involves making the product at lower cost. Increasingeffectiveness means making a better product. So increasing efficiency and effectiveness wouldentail making a better product at a lower cost. Any other combination of the two variables—notimproving the cost or the quality of the candy—would not be an improvement in both efficiencyand effectiveness.Diff:3AACSB: Analytical thinkingLO: 1.2: Define management.Question Category: Application35) A candy manufacturer that made candy at a lower cost without improving the quality of thecandy could be said to ________.A) increase effectiveness without increasing efficiencyB) increase efficiency without increasing effectivenessC) increase both effectiveness and efficiencyD) decrease both effectiveness and efficiencyAnswer: BExplanation:Lowering cost is a measure of increased efficiency. Making better candy is ameasure ofincreased effectiveness. So lowering cost for unimproved candy shows an increase inefficiency but not effectiveness.Diff: 3AACSB: Analytical thinkingLO: 1.2: Define management.Question Category: Application36) Effectiveness refers to the relationship between inputs and outputs.Answer: FALSEExplanation: Efficiency is concerned with maximizing the output-to-input ratio. Effectiveness,on the other hand, refers not to how well resources are used but to which resources to use, andwhether or not those resources help the organization attain its goals.Diff: 2LO: 1.2: Define management.Question Category: Concept

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1437) A goal of efficiency is to minimize outputcosts while maximizing input costs.Answer: FALSEExplanation: The goal of efficiencyis the opposite—to maximize outputs while minimizinginputs. An efficient operation uses the fewest resources to generate the greatest amount ofproduct.Diff: 2LO: 1.2: Define management.Question Category: Concept38) Effectiveness refers to the attainment of the organization's goals.Answer: TRUEExplanation: Effectiveness is concerned with "doing the right things"—choosing the tasks thatwill help the organization achieve its goals. Efficiency, on the other hand, refers to "doing thingsright," that is, once tasks are chosen they are done with a minimum of waste.Diff: 2LO: 1.2: Define management.Question Category: Concept39) Managers who are effective atmeeting organizational goals always act efficiently.Answer: FALSEExplanation:A manager may be effective but not efficient. For example, a manager may excelat achieving goals but waste a lot of money, energy, and resources in achieving them.Diff: 3LO: 1.2: Define management.Question Category: Concept40) In a short essay, discussthe difference between efficiency and effectiveness.Answer: Efficiency refers to getting the most output from the least amount of input. Efficiencyis often referred to as "doing things right"—that is, performing a task with a minimum of wastedtime, energy, labor, and resources and a maximum of the product being created. A mathematicalmeasure of efficiency is given by the ratio of input to output. The smaller the input-to-outputratio, the greater the efficiency of the process.Effectiveness is often described as "doing the right things"—that is, those work activities thatwill help the organization reach its goals. Where efficiency is concerned with the means ofgetting things done, effectiveness is concerned with the ends, or attainment of organizationalgoals.Diff: 2AACSB: Analytical thinkingLO: 1.2: Define management.Question Category: Concept

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1541) In a short essay, explain through examples how a process can be (a) efficient but noteffective and (b) effective but not efficient.Answer:(a)Efficient but not effective: A craftsman building a wooden table may be highlyefficient in the way he uses his time, energy, and wood in producing his product. However,despite this efficiency, the craftsman may still end up with a rickety table, therebynot fulfillinghis goal of building a strong, sturdy table and failing to be effective.(b) Effective but not efficient: A craftsman may be inefficient and waste a great deal of time,energy, and wood in building a table. However, the table itself canturnout to be strong, sturdy,and beautiful, thereby fulfilling the goal of the process and qualifying the craftsman as effective.Diff: 2AACSB: Analytical thinkingLO: 1.2: Define management.Question Category: ApplicationThe Perfect Manager (Scenario)Brenda Kraft has proven herself to be an able manager. Her section has a high projectcompletion rate with the highest-quality product and the lowest defects in her division. Inaddition, she accomplishes this with fewer full-time people than other managers. Coworkers saythat the secret of her success is in her ability to determine what needs to be done and by whom,and her understanding of the basic "management processes."42) Brenda's ability to determine what needs to be done and by whom is evidencethat she excelsat which management function?A) planningB) controllingC) leadingD) organizingAnswer: DExplanation:Good organizers excel at determining the right job for the right person. Planningmay include a minor element of delegating, as a planner must map out future tasks. Leadingincludes an element of directing, which also involves delegating. However, neitherplanning norleading is as directly involved in delegating as organizing is. Finally, controlling, largely amonitoring activity, haslittle to do with delegating.Diff: 2AACSB: Application of knowledgeLO: 1.3: Describe what managers do.Question Category: Application

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