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Which of the following is a responsibility of leadership?
Evaluating how well they themselves are performing in leading the organization
Encouraging employees to perform at a high level to help the organization achieve its
goals
Evaluating an organization’s success in reaching its goals and taking corrective actions
Deciding which goals to measure and then designing control systems for them
Leadership revolves around encouraging all employees to perform at a high level to help
the organization achieve its vision and goals. Another outcome of leadership is a highly
motivated and committed workforce.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Leading
The task of managers to evaluate how well an organization has achieved its goals and to
take any corrective actions needed to maintain or improve performance is ________.
In controlling, the task of managers is to evaluate how well an organization has achieved
its goals and to take any corrective actions needed to maintain or improve performance.
The outcome of the control process is the ability to measure performance accurately and
regulate organizational efficiency and effectiveness.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Controlling
Which of the following processes gives managers the ability to measure performance
accurately and regulate organizational efficiency and effectiveness?
In controlling, the task of managers is to evaluate how well an organization has achieved
its goals and to take any corrective actions needed to maintain or improve performance.
The outcome of the control process is the ability to measure performance accurately and
regulate organizational efficiency and effectiveness.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 2 Medium
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Controlling
Mark, a manager at Matt’s Shack, monitors the work performance of workers in his
department to determine if the quality of their work is meeting the standards of the
company. Mark is engaging in which of the following managerial functions?
In controlling, the task of managers is to evaluate how well an organization has achieved
its goals and to take any corrective actions needed to maintain or improve performance.
The outcome of the control process is the ability to measure performance accurately and
regulate organizational efficiency and effectiveness.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Controlling
Susan, the CEO of United Group Ltd., reviews the performance of her company in the past
month’s Profit & Loss Statement to determine if the company is on pace to meet the
planned sales and profitability goals. Susan is engaged in which of the following
managerial functions?
In controlling, the task of managers is to evaluate how well an organization has achieved
its goals and to take any corrective actions needed to maintain or improve performance.
The outcome of the control process is the ability to measure performance accurately and
regulate organizational efficiency and effectiveness.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 01-02 Distinguish among planning, organizing, leading, and controlling (the four principal managerial
tasks), and explain how managers’ ability to handle each one affects organizational performance.
Topic: Controlling
Which of the following describes first-line managers?
They are also known as supervisors.
They are at the top of the managerial hierarchy.
They work in one single department of an organization.
They look out for the best way to organize resources.
At the base of the managerial hierarchy are first-line managers, often called supervisors.
They are responsible for daily supervision of the nonmanagerial employees who perform
the specific activities necessary to produce goods and services.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 01-03 Differentiate among three levels of management, and understand the tasks and responsibilities
of managers at different levels in the organizational hierarchy.
Topic: Levels and Skills of Managers
Which of the following is true of middle managers?
They decide how the different departments should interact.
They are responsible for daily supervision of the nonmanagerial employees.
They develop skills and know-how so that the organization is efficient and effective.
They are responsible for the performance of all departments.
To increase effectiveness, middle managers evaluate whether the organization’s goals are
appropriate and suggest to top managers how goals should be changed. A major part of
the middle manager’s job is developing and fine-tuning skills and know-how, such as
manufacturing or marketing expertise, that allow the organization to be efficient and
effective.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 01-03 Differentiate among three levels of management, and understand the tasks and responsibilities
of managers at different levels in the organizational hierarchy.
Topic: Middle-level Management
1-48
Which of the following is true of top managers?
They supervise nonmanagerial employees.
They help first-line managers better use resources.
They have cross-departmental responsibility.
They are responsible for a single department.
In contrast to middle managers, top managers are responsible for the performance of all
departments. They have cross-departmental responsibility. Top managers establish
organizational goals, such as which goods and services the company should produce; they
decide how the different departments should interact; and they monitor how well middle
managers in each department use resources to achieve goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Understand
Difficulty: 2 Medium
Learning Objective: 01-03 Differentiate among three levels of management, and understand the tasks and responsibilities
of managers at different levels in the organizational hierarchy.
Topic: Top-level Management
Who among the following is most likely to be a part of the top management team?
The chief executive officer (CEO) is a company’s most senior and important manager, the
one all other top managers report to. A central concern of the CEO is the creation of a
smoothly functioning top management team, a group composed of the CEO, the chief
operating officer (COO), and the vice presidents most responsible for achieving
organizational goals.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 01-03 Differentiate among three levels of management, and understand the tasks and responsibilities
of managers at different levels in the organizational hierarchy.
Topic: Top-level Management
Being a part of top management at a large fast food chain, Donald is most likely to spend
more of his time in ________.
planning and organizing resources
planning and controlling nonmanagerial employees
organizing and leading first-line managers
organizing resources and leading first-line managers
The amount of time managers spend planning and organizing resources to maintain and
improve organizational performance increases as they ascend the hierarchy. Top
managers devote most of their time to planning and organizing, the tasks so crucial to
determining an organization’s long-term performance. The lower that managers’ positions
are in the hierarchy, the more time the managers spend leading and controlling first-line
managers or nonmanagerial employees.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 01-03 Differentiate among three levels of management, and understand the tasks and responsibilities
of managers at different levels in the organizational hierarchy.
Topic: Top-level Management
The ability to analyze and diagnose a situation and to distinguish between cause and
effect demonstrates a manager’s ________ skills.
Conceptual skills are demonstrated in the general ability to analyze and diagnose a
situation and to distinguish between cause and effect. Top managers require the best
conceptual skills because their primary responsibilities are planning and organizing.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-04 Distinguish among three kinds of managerial skill, and explain why managers are divided into
different departments.
Topic: Levels and Skills of Managers
The general abilities to understand, alter, lead, and control the behavior of individuals and
groups are ________ skills.
Human skills include the general ability to understand, alter, lead, and control the behavior
of other individuals and groups. The ability to communicate, to coordinate, and to motivate
people and to mold individuals into a cohesive team distinguishes effective from
ineffective managers.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-04 Distinguish among three kinds of managerial skill, and explain why managers are divided into
different departments.
Topic: Levels and Skills of Managers
The job-specific skills required to perform a particular type of work at a high level are a
part of a manager’s ________ skills.
Technical skills are the job-specific skills required to perform a particular type of work or
occupation at a high level. Examples include a manager’s specific manufacturing,
accounting, marketing, and increasingly, IT skills.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-04 Distinguish among three kinds of managerial skill, and explain why managers are divided into
different departments.
Topic: Levels and Skills of Managers
The specific set of departmental skills, knowledge, and experience that allows one
organization to outperform its rivals is known as the organization’s ________.
The term “core competency” is often used to refer to the specific set of departmental
skills, knowledge, and experience that allows one organization to outperform its
competitors. In other words, departmental skills that create a core competency give an
organization a competitive advantage.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-04 Distinguish among three kinds of managerial skill, and explain why managers are divided into
different departments.
Topic: Levels and Skills of Managers
Simplifying, shrinking, or downsizing an organization’s operations to lower operating costs
is known as ________.
Restructuring involves simplifying, shrinking, or downsizing an organization’s operations to
lower operating costs. It can be done by eliminating product teams, shrinking departments,
and reducing levels in the hierarchy, all of which result in the loss of large numbers of jobs
of top, middle, or first-line managers, as well as nonmanagerial employees.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-05 Discuss some major changes in management practices today that have occurred as a result of
globalization and the use of advanced information technology (IT).
Topic: Recent Changes in Management Practices
Fresh Farms, Inc., is facing financial problems. In order to tackle the situation, the
management has decided to reduce the number of middle managers by 20 percent to help
them cut costs. This is an example of ________.
Restructuring involves simplifying, shrinking, or downsizing an organization’s operations to
lower operating costs. It can be done by eliminating product teams, shrinking departments,
and reducing levels in the hierarchy, all of which result in the loss of large numbers of jobs
of top, middle, or first-line managers, as well as nonmanagerial employees.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 01-05 Discuss some major changes in management practices today that have occurred as a result of
globalization and the use of advanced information technology (IT).
Topic: Recent Changes in Management Practices
The company for which Margaret works has announced that due to declining global sales,
it will lay off 12 percent of its labor force. This is an example of ________.
Restructuring involves simplifying, shrinking, or downsizing an organization’s operations to
lower operating costs. It can be done by eliminating product teams, shrinking departments,
and reducing levels in the hierarchy, all of which result in the loss of large numbers of jobs
of top, middle, or first-line managers, as well as nonmanagerial employees.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Apply
Difficulty: 2 Medium
Learning Objective: 01-05 Discuss some major changes in management practices today that have occurred as a result of
globalization and the use of advanced information technology (IT).
Topic: Recent Changes in Management Practices
Contracting with another company, usually in a low-cost country abroad, to have it
perform a work activity the organization previously performed itself is known as ________.
Outsourcing involves contracting with another company, in a low-cost country abroad. It
increases efficiency because it lowers operating costs, freeing up money and resources
that can then be used in more effective ways.
AACSB: Analytical Thinking
Accessibility: Keyboard Navigation
Blooms: Remember
Difficulty: 1 Easy
Learning Objective: 01-05 Discuss some major changes in management practices today that have occurred as a result of
globalization and the use of advanced information technology (IT).
Topic: Recent Changes in Management Practices