Question 1

The competing values model of effectiveness makes two contributions. First, it integrates diverse concepts of effectiveness into a single perspective. Second, the model calls attention to how effectiveness criteria are socially constructed from management values and shows how opposing values exist at the same time.

Accepted Answer

The statement accurately describes the two contributions of the competing values model of effectiveness.

Question 2

Stability reflects a management value for efficiency and top-down control, whereas flexibility represents a value for learning and change.

Accepted Answer

Stability is often valued in management for its ability to maintain consistency and minimize risk, while flexibility is valued for its ability to adapt to changes and promote innovation. These values can sometimes be at odds with each other, as stability may prioritize maintaining the status quo while flexibility may prioritize experimentation and improvement.

Question 3

Numerous studies have shown that specific high goals can significantly decrease employee performance.

Accepted Answer

Numerous studies have actually shown that specific high goals can improve employee performance, as they serve as a clear target for employees to strive towards and motivate them to put in more effort. However, unrealistic or unattainable goals can have a negative effect on employee performance.

Question 4

All organizations exist for a purpose.

Accepted Answer

All organizations have a specific purpose or goal they strive to achieve. This purpose may vary depending on the type of organization, but it is always present.

Question 5

One would expect the effectiveness criteria of a football team to be affected by goal measurability.

Accepted Answer

The measurability of goals in football (soccer) is an important factor in assessing the effectiveness of a team as the ultimate goal is to score more goals than the opposing team. The number of goals scored and conceded can be easily measured, making it a tangible and quantifiable indicator of a team's success.

Question 6

Organizations using the differentiation strategy try to distinguish their products or services from others in the industry.

Accepted Answer

Organizations using the differentiation strategy focus on creating unique and distinct products or services that set them apart from their competitors.

Question 7

The internal process approach to effectiveness utilizes both cultural and economic measures.

Accepted Answer

The internal process approach to effectiveness involves measuring both cultural and economic factors to assess the effectiveness of the internal processes within an organization. Therefore, the statement is true.

Question 8

Indicators of effectiveness are quantitative but not qualitative in nature.

Accepted Answer

Indicators of effectiveness can be both quantitative and qualitative in nature. Quantitative indicators are numerical and measurable, while qualitative indicators are descriptive and subjective. Both types of indicators are important in evaluating effectiveness.

Question 9

The internal process emphasis represents management values of structural control and external focus.

Accepted Answer

The internal process emphasis represents management values of structural control and internal focus, not external focus.

Question 10

The reactor strategy is a strategy because it responds to environmental threats and opportunities in a strategic fashion.

Accepted Answer

The reactor strategy is not considered a true strategy because it is characterized by a lack of consistent strategic approach, often reacting to environmental changes without a clear plan.

Question 11

You have just been hired by a large organization to serve as a first line supervisor, but because you are in an influential department, you have the opportunity to meet the top managers at a company party and to dialogue with the CEO on his responsibilities. Knowing the responsibilities and types of decisions made by top management as we studied them in organization theory, what would you discuss about the organization with the CEO?

Accepted Answer

The answer of You have just been hired by a...

Question 12

A defender strategy is concerned with internal efficiency and control to produce reliable, high-quality products for steady customers.

Accepted Answer

This statement accurately reflects the definition of a defender strategy, which focuses on maintaining internal stability and producing consistent, reliable products or services for a loyal customer base.

Question 13

The internal process approach looks at the input side of the transformation process.

Accepted Answer

The internal process approach focuses on the efficiency and effectiveness of the processes within an organization, not specifically on the input side.

Question 14

Government and nonprofit organizations such as social services agencies or labor unions do not have goals of profitability, but they do have goals that attempt to specify the delivery of services to clients or members within specific expense levels.

Accepted Answer

Government and nonprofit organizations have goals focused on providing services to their clients or members within their budgetary constraints, even though they do not aim for profitability.

Question 15

The mission statement communicates legitimacy to stakeholders.

Accepted Answer

A mission statement provides a clear understanding of the organization's purpose, goals, and values. It helps stakeholders, including customers, employees, investors, and partners, to understand and identify with the organization. Therefore, a mission statement communicates legitimacy to stakeholders.

Question 16

The low-cost leadership strategy is known for requiring skills based on strong marketing ability, creative flair, strong capability in basic research, and corporate reputation for technological leadership.

Accepted Answer

The statement is incorrect. While marketing ability and creativity may be important for a low-cost leadership strategy, the key skills needed include highly efficient operations, tight cost controls, and economies of scale. Basic research and technological leadership may not be as important in this strategy.

Question 17

The resource-based approach combines several indicators of effectiveness into a single framework, balancing traditional financial measures with operational measures relating to a company's critical success factors.

Accepted Answer

The resource-based approach focuses on a company's internal resources and capabilities as sources of competitive advantage, rather than combining indicators of effectiveness into a single framework.

Question 18

Differentiation is the strategy that is specifically designed to innovate, take risks, and above all, grow in its dynamic environment.

Accepted Answer

Differentiation is a strategy focused on making a product or service stand out from competitors, often through unique features or branding, rather than specifically being about innovation, risk-taking, or growth in a dynamic environment.

Question 19

A strategy is a plan for achievement of organizational goals.

Accepted Answer

A strategy outlines how an organization plans to achieve its goals and objectives. It provides a roadmap for decision-making and resource allocation to increase the chances of success in achieving those goals.

Question 20

Organizational goals represent the reason for an organization's existence and the outcomes it seeks to achieve.

Accepted Answer

Organizational goals define the purpose of the organization and the desired results that it wants to accomplish. These goals help in planning, decision making, resource allocation, and measuring performance.

Quiz 2: Strategy, Organization Design, and Effectiveness