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Chapter 01—An Overview of Organizational Behavior
True / False
1. Organizational behavior is the study of human behavior in organizational settings, the interface between human
behavior and the organization, and the organizational itself.
a.
True
b.
False
True
2. Even though humans behave in organizations, such conduct occurs independently of the environment.
a.
True
b.
False
False
3. Organizational behavior is a designated business function just like marketing and accounting.
a.
True
b.
False
False
4. Developing new corporate goals that involve acquiring new businesses is part of the planning function.
a.
True
b.
False
True
5. Organizing is the process of designing jobs and establishing patterns of authority.
a.
True
b.
False
True
6. Leading is the process of setting deadlines and making plans to achieve goals.
a.
True
b.
False
False
7. The controlling function includes monitoring organizational behavior and taking corrective action when needed.
a.
True
b.
False
True
8. The ability to think in the abstract comes from a manager’s conceptual skills.
a.
True
b.
False
True
9. Managers use their interpersonal skills to understand cause-and-effect relationships.
a.
True
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Chapter 01—An Overview of Organizational Behavior
b.
False
False
10. A system is an interrelated set of elements that function as a whole.
a.
True
b.
False
True
11. An organizational system receives inputs from the environment, combines and transforms them, and then returns them
to the environment.
a.
True
b.
False
True
12. A systems perspective keeps managers focused on both internal and environmental processes.
a.
True
b.
False
True
13. In organizations, most situations and outcomes are contingent; that is, the precise relationship between any two
variables is likely to be dependent on other variables.
a.
True
b.
False
True
14. Over time, organizational behavior has gradually shifted from a situational perspective to a universal perspective.
a.
True
b.
False
False
15. The organizational system has four basic categories of input from its environment: technological, financial, material,
and human.
a.
True
b.
False
False
16. The situational perspective is illustrated by the notion that the relationship between workers’ skill levels and their
performance levels is dependent on their degree of loyalty.
a.
True
b.
False
True
17. Interactionalism attempts to explain how people select, interpret, and change various situations.
a.
True
b.
False
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Chapter 01—An Overview of Organizational Behavior
True
18. Cohesiveness can be measured at the individual and organizational levels.
a.
True
b.
False
False
19. A manager who pays workers high wages may increase workers’ satisfaction, but may also lower important
organizational-level outcomes.
a.
True
b.
False
True
20. Technology is used to transform inputs into outputs.
a.
True
b.
False
True
21. From a universal perspective, managers try to identify the possible ways to solve problems based on organizational
conditions.
a.
True
b.
False
22. The successful application of organizational behavior principles can reduce a company’s rates of turnover and
absenteeism.
a.
True
b.
False
True
23. The study of organizational behavior involves both human behavior and characteristics of organizations, but its
principal focus is the exterior environment that surrounds the organization.
a.
True
b.
False
False
Multiple Choice
24. All organizational successes and failures result directly from
a.
stakeholder management.
b.
comprehensive selection and placement.
c.
supplier relationships.
d.
the behaviors of many people.
e.
the dynamics of the reward system of the organization.
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Chapter 01—An Overview of Organizational Behavior
25. Organizational behavior (OB) typically includes the study of which of the following basic components?
a.
financial reporting
b.
research and development
c.
human behavior in organizations.
d.
the task environment
e.
customer retention.
26. The first goal of a consultant hired to solve a problem in an organization should be to
a.
recognize that the organization has always been this way and little can be done to change it.
b.
learn as much as possible about the organization and the people within it.
c.
generate an action plan, with specific targets and completion dates.
d.
focus exclusively on changing the reward system, since everything else depends on it.
e.
make sure employees know the consultant has come to solve the company’s problems.
27. Which is NOT an important reason for understanding organizational behavior?
a.
Most people are born and educated in organizations.
b.
Government organizations regulate many of our activities.
c.
Most adults spend the better part of their lives working in organizations.
d.
Organizational behavior offers specific perspectives on the human side of management.
e.
Sole proprietorships are increasing common for entrepreneurial organizations.
28. Organizational behavior focuses on
a.
the economic side of management.
b.
the control side of management.
c.
the human side of management.
d.
the financial side of management.
e.
the production side of management.
29. Which of the following is one of the specific perspectives of organizational behavior?
a.
people as technology users
b.
people as resources
c.
people as consumers
d.
people as task environments
e.
people as financial expenditures
30. In dealing with the work-related activities of people, managers must have an understanding of all of the following
EXCEPT
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Chapter 01—An Overview of Organizational Behavior
a.
leadership
b.
decision-making
c.
organizational structure and design
d.
organizational culture
e.
long-term plans of marketplace competitors
e
31. Which of the following is NOT a resource category that organizations use in the pursuit of goals and objectives?
a.
human
b.
financial
c.
physical
d.
intangible
e.
informational
32. Planning is the process of
a.
designing jobs, grouping jobs into units, and establishing patterns of authority between jobs and units.
b.
determining the organization‘s desired future position and deciding how best to get there.
c.
motivating the organization’s members to work together toward the organization’s goals.
d.
monitoring and correcting the actions of the organization and its members to keep them directed toward their
goals.
e.
utilizing organizational resources with the ultimate goal of attaining organizational goals efficiently and
effectively.
33. A manager who groups jobs into units and establishes patterns of authority is performing which function of
management?
a.
Planning
b.
Organizing
c.
Controlling
d.
Supervising
e.
Leading
34. When managers motivate employees with compensation and job opportunity, they are utilizing which managerial
function?
a.
Synergizing
b.
Controlling
c.
Leading
d.
Planning
e.
Organizing
c
35. Evaluating performance and verifying inventory levels are examples of
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Chapter 01—An Overview of Organizational Behavior
a.
leading.
b.
decision making.
c.
organizing.
d.
planning.
e.
controlling.
e
36. A manager acting in the role of a leader will
a.
choose the best resources to most effectively and efficiently produce the organization’s product or service.
b.
verify the quality of resources that pass through the organization.
c.
determine how organizational resources will be released in the environment.
d.
encourage workers to increase productivity.
e.
identify the various suppliers the organization will utilize to acquire resources.
37. A manager who schedules department meetings to effectively disseminate important information to employees has
high
a.
interpersonal skills.
b.
technical skills.
c.
diagnostic skills.
d.
conceptual skills.
e.
leadership skills.
a
38. A manager’s ability to develop solutions to problems is determined by her
a.
conceptual skills.
b.
time management skills.
c.
diagnostic skills.
d.
interpersonal skills.
e.
technical skills.
c
39. A manager who can see how the various tasks within the organization fit together and how each task contributes
toward the “big picture” has strong
a.
problem-solving skills.
b.
diagnostic skills.
c.
technical skills.
d.
conceptual skills.
e.
interpersonal skills.
40. An engineer who can solve complex mathematical equations on the job has strong
a.
interpersonal skills.
b.
problem-solving skills.
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Chapter 01—An Overview of Organizational Behavior
c.
conceptual skills.
d.
diagnostic skills.
e.
technical skills.
e
41. John, a middle manager in a high-tech form, has the ability to identify the products that consumers want to buy, which
is based on his ____.
a.
diagnostic skills
b.
conceptual skills
c.
technical skills
d.
interpersonal skills
e.
All of the above
42. Under the systems perspective, a system is defined as
a.
an interrelated set of elements that functions as a whole.
b.
a procedure for fair and impartial performance appraisals.
c.
a collection of independent organizations.
d.
the central technology of the organization.
e.
the ideal process for completing a particular job.
a
43. All of the following are inputs an organization receives from its environment EXCEPT
a.
money.
b.
materials.
c.
people.
d.
employee behaviors.
e.
information.
44. Under the systems view, the profits that Wal-Mart receives as a result of the services it provides is one type of
a.
technology.
b.
output.
c.
input.
d.
transformation.
e.
contingency.
45. The systems view is important to managers because it
a.
underscores the importance of the organization’s environment.
b.
gives them a set procedure for making decisions.
c.
allows them to eliminate the interaction among various elements of the organization.
d.
reduces their risk of human error.
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Chapter 01—An Overview of Organizational Behavior
e.
shifts the focus from outside the company to inside the company.
a
46. Which of the following perspectives argues that there’s “one best way” to solve a problem that will work for any
organization?
a.
The universal perspective
b.
Behavioral organization theory
c.
The systems perspective
d.
The interactional perspective
e.
The contingency perspective
a
47. Which perspective of management would most likely refute the notion that one style of leadership would enhance
employee satisfaction and job performance under any condition?
a.
Situational perspective
b.
Classical perspective
c.
Behavioral perspective
d.
Interactional perspective
e.
Universal perspective
a
48. ____ attempts to explain how people select, interpret, and change various situations.
a.
Interactionalism
b.
Contextualism
c.
Universalism
d.
Individualism
e.
Systems theory
a
49. Which of the following is not studied as a group-level outcome in organizational behavior?
a.
Productivity
b.
Absenteeism
c.
Norms
d.
Performance
e.
Cohesiveness
50. Some outcomes can be studied at the individual, group, and organization levels. Which of the following is generally
assessed at both the individual and organizational levels?
a.
Absenteeism
b.
Financial performance
c.
Survival
d.
Norms
e.
Cohesiveness
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Chapter 01—An Overview of Organizational Behavior
a
51. A person’s ____________________ is an indicator of his or her efficiency and is measured in terms of the products or
services created per unit of output.
a.
productivity
b.
absenteeism
c.
turnover
d.
profitability
e.
cost-effectiveness
a
52. A ________ is anything that gives a firm an edge over rivals in attracting customers and defending itself against
competition.
a.
cultural privilege
b.
business bias
c.
personal talent
d.
competitive advantage
e.
monopoly
53. Successful business strategies are grounded in creating and maintaining a competitive advantage that is
______________.
a.
inflexible
b.
sustainable
c.
volatile
d.
intangible
e.
all of these
54. According to Michael Porter, to have a competitive advantage, a company must ultimately be able to give customers
_______________.
a.
the best possible product
b.
the best possible service
c.
the best possible price
d.
superior value for their money
e.
everything they want
55. Although Costco pays its employees substantially more than its closest competitor, Sam’s Club, it has similar financial
returns on its labor costs due to which of the following?
a.
lower turnover and higher levels of productivity
b.
higher turnover and higher levels of employee productivity
c.
promotion-from-within policies and better benefits
d.
a larger part-time workforce
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Chapter 01—An Overview of Organizational Behavior
a
56. Firms pursuing a __________ strategy strive to be the lowest cost producer in an industry for a particular level of
product quality.
a.
cost leadership
b.
differentiation
c.
specialization
d.
growth
e.
self-sabotaging
a
57. Which of the following is NOT a source of competitive advantage?
a.
selling the most expensive version of an adequate product
b.
having a well-known brand name
c.
providing the best customer service
d.
being more convenient to buy from
e.
developing a steady stream of innovative products
a
58. If a company creates and maintains a culture that encourages employees to bring new ideas into the company, it is
most likely to be using what strategy?
a.
cost leadership
b.
differentiation
c.
specialization
d.
growth
e.
sabotage
59. Businesses pursuing a ______________ strategy focus on a narrow market segment or niche.
a.
cost leadership
b.
differentiation
c.
specialization
d.
growth
e.
psychological
c
60. Organizations pursuing a specialization strategy often try to develop a competitive advantage based on
customer ____________.
a.
intimidation
b.
integrity
c.
intimacy
d.
integration
e.
immolation
c
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Chapter 01—An Overview of Organizational Behavior
61. Organizations pursuing a differentiation strategy often try to develop a competitive advantage based on product
_____________.
a.
intervention
b.
integration
c.
invitation
d.
innovation
e.
integrity
62. Maximizing the efficiency of the manufacturing or product development process to minimize costs is referred to as
_________.
a.
managerial skill
b.
business superiority
c.
operational excellence
d.
maintenance strategy
e.
differentiation
c
63. An organization with a product innovation competitive advantage would likely seek a core workforce of research and
development employees who have which quality?
a.
an entrepreneurial mindset
b.
a shorter-term focus
c.
a low tolerance for ambiguity
d.
conservative values
e.
a high aversion to taking risks
a
64. What strategy focuses on company expansion, either organically or through acquisitions?
a.
differentiation
b.
cost leadership
c.
specialization
d.
growth
e.
domination
65. __________ management is based on the belief that productivity is maximized when organizations are rationalized
with precise sets of instructions based on time-and-motion studies.
a.
Scientific
b.
Sociological
c.
Straightforward
d.
Strategic
e.
Stratospheric
a