Chapter 4 Management by objectives (MBO) is a management

Document Type
Test Prep
Book Title
Effective Management 6th Edition
Authors
Chuck Williams
Course Post-Assessment CH 04
Williams Effective Management 6e
TRUE/FALSE
1. Both proximal and distal goals are used to provide additional motivation and rewards for employees.
2. Standing plans deal with unique, one-time-only events.
3. The bounded rationality model argues that managers try to take a rational approach to decision making
but are restricted by real-world constraints, incomplete and imperfect information, and their own
limited decision-making capabilities.
MULTIPLE CHOICE
1. For options-based planning to work, the organization must:
a.
have slack resources
b.
use cross-functional teams
c.
have broad spans of management
d.
have tall organizational structures
e.
use decentralization
2. Top management is responsible for developing long-term:
a.
standing plans
b.
tactical plans
c.
operational plans
d.
strategic plans
e.
mission statements
3. Management by objectives (MBO) is a management technique often used to develop and carry out:
a.
single-use plans
b.
standing plans
c.
operational plans
d.
tactical plans
e.
hierarchical plans
4. ____ are standing plans that indicate the specific steps that should be taken in response to a particular
event.
a.
Policies
b.
Procedures
c.
Actionable plans
d.
Options-based plans
e.
Single-use plans
5. One method of weighing decision criteria uses ____, which is a process where each decision is
compared directly to every other criterion.
a.
absolute comparisons
b.
relative comparisons
c.
valences
d.
minimum threshold rule
e.
comparative ranking scales
6. ____ occurs when managers choose an alternative that is good enough, rather than the best possible
alternative.
a.
Maximizing
b.
Optimizing
c.
Availability bias
d.
Negative frame
e.
sacrificing
7. Groupthink occurs in:
a.
newly formed groups whose members were arbitrarily selected and who are assigned to
make programmed decisions
b.
groups in which members have dissimilar backgrounds
c.
standing committees whose members are under no pressure to agree
d.
groups whose members are elected to serve as figureheads
e.
highly cohesive groups where there is a great deal of pressure to agree with each other
8. Which of the following steps in the decision-making process can be done better by groups than by
individuals?
a.
defining the problem and generating alternatives
b.
creating cohesive solutions to organization problems as a whole
c.
creating weighted alternatives and coping with bounded rationality
d.
dealing with the problems associated with bounded rationality
e.
evaluating how optimal the solution to the problem is and comparing it to other courses of
action

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