Chapter 1—Management
TRUE/FALSE
1. While good management is basic to starting and growing a business, once some measure of success
has been achieved, good management becomes less important.
2. Managers are responsible for doing the basic work in the company.
3. Companies that plan have larger profits and faster growth than companies that don’t.
4. Top managers are the managers responsible for facilitating team activities toward goal
accomplishment.
5. Typical titles used for top managers are general manager, plant manager, regional manager, and
divisional manager.
6. Top managers are responsible for creating a climate for change in an organization.
7. First-line managers are responsible for setting objectives consistent with organizational goals and
planning and implementing strategies for achieving these objectives.
8. Middle managers are typically responsible for coordinating and linking groups, departments, and
divisions within a company.
9. First-line managers are the only managers who do not supervise other managers.
10. Middle managers engage in plans and actions that typically produce results within a short time period.
11. The job of team leader would NOT be considered a management position.
12. Team leaders are responsible for managing both internal team relationships and external relationships
with other teams, departments, and divisions in a company.
13. While strong interpersonal conflict management skills are important for first-line managers, it is not a
very important skill for team leaders.
14. The three interpersonal roles are monitor, disseminator, and spokesperson.
15. There are four decisional roles. They are entrepreneur, disturbance handler, resource allocator, and
spokesperson.
16. In the entrepreneur role, managers adapt themselves, their subordinates, and their units to incremental
change.
17. Companies look for a total of four sets of skills in individuals to identify potential managers. These
desired skills are technical skills, human skills, conceptual skills, and motivation to manage.
18. Technical skill refers to the ability to see the organization as a whole, how the different parts affect
each other, and how the company fits into or is affected by its environment.
19. Conceptual skills are most important for lower-level managers to possess.
20. Upper-level managers may actually spend more time dealing with people than lower-level managers.
21. The motivation to manage tends to be higher among managers at higher levels in the organization than
it is among managers at lower levels in the organization.
22. The number one mistake made by managers who were derailed from their fast track up the managerial
ranks was that they didn’t develop or possess the necessary technical skills.
23. A management study discovered that companies that invest in their people will create long-term
competitive advantages difficult for other companies to duplicate.
MULTIPLE CHOICE
1. ____ is defined as getting work done through others.
a.
Management
b.
Planning
c.
Organizing
d.
Strategizing
e.
Controlling
2. When Ruth was hired to be the second–in-command at Graham Mailing Services, she was told that her
job was to deal with the employees to make sure they got the mailing done to the customers’
specifications. She was not instructed on how to run machines or in any other technical area because
her position was a job in:
a.
marketing
b.
relationship control
c.
management
d.
customer service
e.
strategizing
3. A manager striving to improve organizational ____________ is accomplishing tasks that help achieve
organizational objectives.
a.
efficiency
b.
effectiveness
c.
functionality
d.
synergy
e.
productivity
4. Coca-Cola and PepsiCo spent a total of $75 million to launch two sodas, banking on the low-carb
trend. Carb-conscious consumers rejected the drinks en masse. The new brands grabbed a combined
market share of less than 1 percent. Given that the objective of both soft drink manufacturers was to
increase their market share, the introductions failed to achieve:
a.
synergy
b.
empathy
c.
efficiency
d.
autonomy
e.
reciprocity
5. One of the primary reasons for the slow response to help the victims of Hurricane Katrina was an
antiquated government system that was bogged down in bureaucratic red tape. In other words, the
failure of assistance to arrive in a timely fashion was due to a lack of:
a.
apathy
b.
efficiency
c.
instrumentality
d.
effectiveness
e.
the absence of entropy
6. ____ is the accomplishment of tasks that help fulfill organizational objectives.
a.
Benchmarking
b.
Optimizing
c.
Satisficing
d.
Efficiency
e.
Effectiveness
7. To achieve its goal of increased market share, Krispy Kreme launched a program in Palm Beach
County, Florida, that awards grade-school students a free doughnut for every A on their report cards.
Which management function was used to create this program?
a.
controlling
b.
leading
c.
focusing
d.
planning
e.
organizing
8. Nestlé was unsuccessful in early attempts to sell its chocolate in India. It discovered its chocolate bars
were not suitable for the Indian markets because the candy had to sit in direct sunlight without benefit
of air conditioning and became messy. Nestlé adopted an innovation strategy and developed
Chocostick, a liquid chocolate, which is very popular. Solving this problem involved what
management function?
a.
planning
b.
meeting the competition
c.
making things happen
d.
organizing people, processes, and projects
e.
leading
9. A manager engaged in the management function of ____ is determining organizational goals and the
means for achieving them.
a.
planning
b.
organizing
c.
leading
d.
human resources management
e.
controlling
10. After the makers of Wonder Bread declared bankruptcy, their objectives were to increase revenues by
at least 5 percent and reduce net losses by at least 80 percent. Which management function is used to
set these goals and help the company meet them?
a.
planning
b.
organizing
c.
controlling
d.
motivating
e.
leading
11. A manager engaged in the management function of ____ is monitoring progress toward goal
achievement and taking corrective action when needed.
a.
planning
b.
organizing
c.
leading
d.
controlling
e.
motivating
12. A business school administrator who is determining what classes will be offered in which rooms and
who will teach each specific class is involved in which classical management function?
a.
making things happen
b.
organizing
c.
controlling
d.
motivating
e.
leading
13. A U.S. Marine drill instructor motivating new recruits to challenge themselves is engaged in which
management function?
a.
planning
b.
organizing
c.
controlling
d.
motivating
e.
leading
14. Southern Living magazine was forced to pull an issue off newsstands and mail warnings to 2.5 million
subscribers after it became clear that a recipe for dinner rolls described as “little pillows from heaven”
was considered controversial. The management function of ____ was used when the warnings were
mailed to subscribers.
a.
planning
b.
organizing
c.
controlling
d.
motivating
e.
leading
15. Hormel Foods had to recall 104,000 pounds of Stagg canned chili—labeled “hearty beef with a kick of
green chilies”—after the kick turned out to come from the ground-up parts of a plastic handheld
calculator. The recall was the application of which management function?
a.
controlling
b.
leading
c.
motivating
d.
planning
e.
organizing
16. As the human resources manager for Spring Engineering and Manufacturing Corp. in Canton,
Michigan, Kim Radeback had to find inexpensive ways to reward high performing employees and
bolster morale during a sales-flattening economic downturn. Radeback had to engage in which
management function?
a.
Planning
b.
Organizing
c.
Leading
d.
Controlling
e.
Evaluating
17. Jane is in charge of her Rotary Club’s annual fund-raising auction. She will decide who will ask local
businesses for prizes, she will determine the site of the event, she will decide who will sell tickets to
customers, and who will work the night of the auction. She is engaged in the management function of:
a.
Planning
b.
Controlling
c.
Leading
d.
resource allocation
e.
Organizing
18. Robert Rothschild Farm boosted morale and showed its gratitude to its 75 employees at its retail store
by hosting its first employee appreciation week. It used the management function of ____ to boost
morale.
a.
Leading
b.
Commanding
c.
Organizing
d.
Controlling
e.
resource allocation
19. Eastman Kodak owns a company that manufactures dental radiation equipment. The company, which
is run as an independent unit, has experienced excessive financial losses the last three years. The ____
for the company would be expected to develop the long-term plans needed to make the company
profitable.
a.
supervising manager
b.
top manager
c.
first-line manager
d.
middle-level manager
e.
department manager
20. Coca-Cola and PepsiCo spent a total of $75 million to launch mid-calorie sodas. The new brands
grabbed a combined market share of less than 1 percent. Coke’s and PepsiCo’s ____ would be
responsible for determining that the product should be deleted from each of their product lines.
a.
middle-level management
b.
first-line management
c.
team leaders
d.
product supervisors
e.
top management
21. Which of the following typically is NOT performed by top managers?
a.
setting objectives consistent with organizational goals or planning and implementing
subunit strategies for achieving these objectives
b.
developing in employees the attitudes of commitment to and ownership of the company’s
performance
c.
creating a positive organizational culture through language and action
d.
monitoring the business environment
e.
creating a context for change
22. A top manager for a management consulting firm would:
a.
establish a positive organizational culture that encourages employees to be passionate
about their clients
b.
make sure employees are attired according to the company dress code
c.
evaluate the performance of individual consultants
d.
monitor expense statements turned in by consultants
e.
coordinate activities within and between consultants working in the field and support staff
in the office
23. The chairs of the accounting, marketing, and communications departments at a typical university are
assuming the roles of ____ because they supervise nonmanagerial employees.
a.
supervising managers
b.
top managers
c.
first-line managers
d.
middle-level managers
e.
department managers
24. ____ are responsible for creating a positive organizational culture through language and action.
a.
Top managers
b.
Middle managers
c.
Team leaders
d.
Supervisors
e.
Group facilitators
25. Robert Rothschild Farm boosted morale and showed its gratitude to its 75 employees at its retail store
by hosting its first employee appreciation week. “It was a good mix of fun and learning,” said Robin
Coffey, marketing manager. Coffey is an example of a:
a.
supervising manager
b.
top manager
c.
first-line manager
d.
middle manager
e.
department manager
26. As the human resources manager for Spring Engineering and Manufacturing Corp. in Canton,
Michigan, Kim Radeback had to find inexpensive ways to reward performing employees and bolster
morale during a sales-flattening economic downturn. Radeback is an example of a:
a.
supervising manager
b.
top manager
c.
first-line manager
d.
middle manager
e.
business line manager
27. Typical responsibilities for ____ include setting objectives consistent with organizational goals and
then planning and implementing the subunit strategies for achieving these goals.
a.
top managers
b.
shift supervisors
c.
first-line managers
d.
team leaders
e.
middle managers
28. Middle managers typically:
a.
plan and allocate resources
b.
coordinate and link groups and departments
c.
implement changes and strategies generated by top managers
d.
monitor the activities of first-line managers who report to them
e.
do all of these
29. Typical responsibilities for ____ include coordinating and linking groups, departments, and divisions
within a company.
a.
top managers
b.
middle managers
c.
vice presidents
d.
team leaders
e.
first-line managers
30. It is the responsibility of ____ to develop intermediate plans, or plans designed to produce results
within six to eighteen months.
a.
top managers
b.
middle managers
c.
first-line managers
d.
group facilitators
e.
team leaders
31. First-line managers will most likely have to:
a.
monitor the performance of corporate investments
b.
encourage, monitor, and reward the performances of their employees
c.
determine how to deal with long-term environmental changes
d.
periodically monitor the company’s organizational culture
e.
do none of these
32. Managers who train and supervise the performance of nonmanagerial employees and who are directly
responsible for producing the company’s products or services are categorized as:
a.
general managers
b.
middle managers
c.
first-line managers
d.
team leaders
e.
top managers
33. Mike Walker supervises operations on the chassis assembly line for a large vehicle manufacturer. Most
of his time is spent in quality control maintenance, scheduling workers, and training new employees.
Walker would be categorized as a:
a.
first-line manager
b.
middle manager
c.
top manager
d.
team leader
e.
group facilitator
34. A first-line manager for a large electric generator manufacturer would:
a.
monitor how its customers feel about electric-powered engines
b.
determine if the company needed to increase its production by adding another shift
c.
monitor and manage the performance of the company’s international subsidiaries
d.
manage the performance of employees who actually build the generators
e.
do all of these
35. A ____ for a McDonald’s fast-food restaurant would be responsible for placing orders for food and
paper supplies and for setting up weekly work schedules.
a.
corporate vice president
b.
middle manager
c.
first-line manager
d.
division supervisor
e.
top manager
36. Middle managers will most likely have to:
a.
facilitate a bottom-up planning approach to supervising
b.
manage the performance of entry-level employees
c.
implement the changes generated by top managers
d.
develop employees’ commitment to and ownership of the company’s performance
e.
monitor long-term environmental trends
37. The CEO of Camper Brand Shoes expects its designers to operate like a team when they create new
shoe designs. Most of its designers do not have a background in fashion so it is important that each
person shares his or her expertise. Each team has a leader who is responsible for:
a.
developing organizational codes of ethics
b.
managing external and internal team relationships
c.
developing growth strategies
d.
coordinating the performances of all teams
e.
doing all of these
38. Team leaders typically:
a.
conduct quality control audits
b.
manage external and internal relationships
c.
act as department liaisons
d.
oversee strategy implementation
e.
do all of these
39. Team leaders typically:
a.
create a context for change
b.
manage internal and external relationships
c.
monitor and manage the performance of subunits
d.
make detailed schedules and operating plans
e.
monitor the organizational culture
40. According to Mintzberg, which of the following are the three major roles managers fulfill while
performing their jobs?
a.
interpersonal roles, informational roles, and decisional roles
b.
informational roles, ethical roles, and action roles
c.
corporate roles, coordination roles, and informational roles
d.
decisional roles, informational roles, and organizational roles
e.
interpersonal roles, intrapersonal roles, and departmental roles
41. Which of the following is an example of an interpersonal role?
a.
figurehead
b.
monitor
c.
disseminator
d.
resource allocator
e.
spokesperson
42. When Millard Fuller, who founded the world-renowned Christian housing ministry Habitat for
Humanity International with his wife, ended his service as president his role was limited to that of a
figurehead. After this change, what functions did Fuller most likely do until he retired?
a.
He distributed critical information to employees.
b.
He monitored the environment.
c.
He helped the organization adapt to incremental changes.
d.
He negotiated salaries, raises, and promotions.
e.
He performed ceremonial duties like greeting company visitors.
43. At the death of her husband, Miriam McAllister became the CEO of a company that is the world’s
leading manufacturer of kidney dialysis machines. It was believed when she took the position that she
would perform only ceremonial duties and would not want to be actively involved in the running of the
company. In other words, it was assumed she would be a:
a.
resource allocator
b.
monitor
c.
disseminator
d.
spokesperson
e.
figurehead
44. Lorenzo Fluza is the owner and CEO of the company that makes Camper shoes. Mintzberg would
describe Lorenzo Fluza as fulfilling the leader role within the organization. This means he spends
much of his time:
a.
negotiating
b.
responding to instrumental change
c.
performing ceremonial duties
d.
motivating and encouraging its employees to meet their organizational objectives
e.
ignoring interpersonal roles
45. As described by Mintzberg, a marketing manager who was hired by a manufacturer of plumbing
fixtures to operate information booths would have the informational role of:
a.
entrepreneur
b.
resource allocator
c.
figurehead
d.
communicator
e.
spokesperson
46. According to a speech to a forum for retail leaders made by Dr. Hans-Joachim Koerber, “Sustained
growth is essential. Sustaining growth is a challenge for virtually every company.” Koerber is the CEO
of Metro Group, Germany’s largest retailer, which has more than 2,400 stores in 30 countries. What
informational role did Koerber assume?
a.
liaison
b.
resource allocator
c.
figurehead
d.
negotiator
e.
spokesperson
47. During a meeting of the Ambulatory Care Nursing Association (ACNA) board of directors, a
commitment was made to ask members for their feedback about their experiences with and perceptions
of ACNA. The head of the organization said, “The essence of being a leader is to make sure the
organization knows itself.” Then she volunteered to conduct the environmental scanning and share
what she learned with the others. What informational roles is she assuming?
a.
liaison and spokesperson
b.
resource allocator and liaison
c.
monitor and disseminator
d.
negotiator and monitor
e.
spokesperson and liaison
48. At the death of her husband, Miriam McAllister became the CEO of a company that is the world’s
leading manufacturer of kidney dialysis machines. Even though she was not expected to, she quickly
asked company employees to develop ideas for new products that would lead to organizational growth
in a changing environment. The decisional role she took on was that of a(n):
a.
leader
b.
disseminator
c.
resource allocator
d.
spokesperson
e.
entrepreneur
49. In the decisional role of ____, managers adapt themselves, their subordinates, and their units to
incremental change.
a.
resource allocator
b.
entrepreneur
c.
disturbance handler
d.
liaison
e.
disseminator
50. Spiegel announced to the media that it was nearing the completion of its corporate restructuring and
was one step closer to emerging from Chapter 11 status after filing its proposed joint plan of
reorganization. According to Mintzberg, which managerial role would have been adopted in order to
make this announcement to the media?
a.
environmental