#1:A disadvantage of planning is that it ________.

a.

causes managers to focus on the future

b.

reduces organizational flexibility once plans are set

c.

requires organizational resources

d.

can take up too much managerial time

e.

involves planning for situations that may not occur

#2Which of the following steps in the planning process should precede the others?

Select one:

a.

develop premises upon which each alternative is based

b.

develop plans to pursue the chosen alternative

c.

list alternative ways of reaching objectives

d.

choose the best alternative for reaching objectives

e.

put plans into action

#3 The nominal group technique of decision making begins with ________.

Select one:

a.

members presenting their individual ideas orally

b.

the entire group discussing their ideas simultaneously

c.

group members writing down individual ideas on the matter being discussed

d.

members writing their ideas on a board for all other members to see

e.

a secret ballot which allows members to support their favorite ideas without fear

#4Which of the following is true about the GE Multifactor Portfolio Matrix?

Select one:

a.

Businesses falling in the cells that form a diagonal from lower left to upper right in the matrix are strong businesses that should be invested in regularly.

b.

Businesses in the cells below and to the right of the diagonal are medium-strength businesses that should be invested in only selectively.

c.

The GE Multifactor Portfolio Matrix does not consider factors such as various types of risk associated with product development.

d.

In the matrix, businesses above and to the left of the diagonal are the weakest and serious candidates for divesture.

e.

This tool helps managers develop organizational strategy that is based primarily on market attractiveness and business strengths.

#5The organization structure at Sinclair Funds, a financial services company, is divided horizontally into Insurance, Mutual Funds, and Wealth Management departments. Identify the departmentalization mode being used here.

Select one:

a.

matrix

b.

customer

c.

product or service

d.

geographic

e.

functional

#6The ________ of an organization refers to the extent to which firms use lateral subdivisions or specialties within an organization.

Select one:

a.

laddering

b.

horizontal dimensioning

c.

vertical integration

d.

vertical dimensioning

e.

backward integration

#7According to many management theorists, the most basic method of dividing job activities is the ________.

Select one:

a.

process control method

b.

customer location method

c.

centralization method

d.

functional similarity method

e.

overlapping responsibility chart method

#8 Which of the following statements is true about authority?

Select one:

a.

It is the obligation to perform assigned activities.

b.

It allows its holder to influence the actions of others through indirect means.

c.

It is the holder's self-assumed commitment to handle a job to the best of his or her ability.

d.

It allows its holder to allocate the organization's resources to achieve organizational objectives.

e.It guarantees that a specific command will be obeyed.

#9Bay Industries has a small-scale shoe manufacturing plant which has encountered a high number of product defects in the past several months. The quality control team studies the problem and recommends that the production manager change one of the company's suppliers of leather. In this scenario, the quality control team has ________.

Select one:

a.

staff authority

b.

line authority

c.

functional authority

d.

traditional authority

e.

informal authority