64.
The ISO 9000 quality designation is accepted in over 100 countries around the world.
65.
Six Sigma means being 99.9997% perfect.
66.
Lean Six Sigma focuses on problem solving and performance improvement, or speed with
excellence of a well-defined project.
67.
Managers should develop control standards when they are developing strategic plans to
measure how well the plans are being achieved.
68.
Control systems should be flexible.
69.
Involving employees in both the planning and execution of control systems can bring
legitimacy to the process and heighten employee morale.
70.
Undue emphasis on reports can lead even to falsification of data.
71.
Liquidity ratios indicate how much cash an organization has accessible.
72.
The more goods and services that are produced and made easily available to us and for
export, the higher our standard of living.
73.
Debt management ratios indicate the degree to which an organization can meet its short-term
financial obligations.
74.
Asset management ratios indicate how effectively an organization is managing its assets, such
as whether it has obsolete or excess inventory on hand.
75.
Return ratios—often called return on investment (ROI) or return on assets (ROA)—indicate
how effective management is in generating a return, or profits, on its assets.
76.
Productivity is important because it determines whether the organization will make a profit or
even survive.
Multiple Choice Questions
77.
Gina was recently promoted to facilities director at Wholesome Grains. Which of the following
should she do immediately as she tries to improve productivity?
78.
Which of the following is a not one of the seven challenges a manager must deal with in the
21st century?
79.
Which of the following is a primary function of management?
80.
Productivity equals _____.
81.
Managers can increase overall productivity by increasing the efficiency of all the following
except _____.
82.
Britta is trying to measure her salon’s productivity during the first quarter. For this period, she
should divide _______ by the costs of her staff, loans, materials and utility bills.
83.
Which of the following best describes ERP systems?
84.
______ is defined as monitoring performance, comparing it with goals, and taking corrective
action as needed.
85.
Kim, a customer service manager, tracks monthly complaints and has been trying over the
past six months to reduce complaints to less than 0.2% through additional training for her staff.
She is engaged in _____.
86.
Which of the following is not one of the reasons that control is needed in an organization?
87.
Smith Commercial Development has effective control processes, allowing its managers to
discover ______ in bookkeeping right away, before a would-be embezzler could seriously
affect its business.
88.
Which of the following is a step in the control process?
89.
Standards are best measured when they are _____.
90.
All of the following are reasons why performance falls significantly short of the standard except
_____.
91.
The amount of acceptable deviation from a standard, determined when the standard was
established, is called the _____.
92.
Which of the following may be done as corrective action in the control process?
93.
Jimmy’s supervisor noticed that he was struggling with the computerized setup for production
runs at his new job. The supervisor observed him while he tried it again and gave suggestions
for improvement. The supervisor is doing which step of the control process?
94.
At UPS, delivery ______ vary according to whether a route is urban, suburban, or rural in
nature.
95.
Tactical control is performed mainly by _____.
96.
Monitoring performance to ensure that day-to-day goals are being implemented and taking
corrective action as needed is known as ______ control.
97.
Typically, operational control is accomplished through reports issued _____.
98.
A sales forecast is an example of an organizational control from the _____ area.
99.
Kara was required to take a word-processing test as part of her application for an executive
assistant position. This control is part of the ______ area.
100.
Which of the following is an example of an informational resource control?
101.
Which of the following is the best example of bureaucratic control?
102.
Michele manages employees at Maui Tours and Lodging. She has noticed that one of her
employees submits via the computer system the same suggestions for continuous
improvement multiple times, knowing that performance is evaluated on the number of
suggestions only. This problem is typical of ______ control.
103.
______ control is an approach to organizational control that is characterized by informal and
organic structural arrangements.
104.
Which of the following areas of control for organizations exerts informal control?
105.
Some managers use _____, which provides four indicators with which organizations can set
goals and measure performance.
106.
Which of the following is not a perspective of the balanced scorecard?
107.
Examining how the organization looks to shareholders is part of which of the balanced
scorecard perspectives?
108.
Which balanced scorecard perspective helps top management’s judgment to be better linked
to measures of employee actions at lower levels?
109.
According to Kaplan and Norton, “_______ show the cause-and-effect links by which specific
improvements create desired outcomes.”