Question 1

Standing plans:
A) are developed to achieve a set of goals that are unlikely to be repeated in the future.
B) are used to provide guidance for tasks performed repeatedly within the organization.
C) define company responses to specific situations, such as emergencies or setbacks.
D) are the most important in the organizations.
E) are none of these.

Accepted Answer

Standing plans are developed to provide guidance and consistency for tasks that are performed repeatedly within the organization. These plans can include policies, procedures, and rules that help to streamline operations and ensure that everyone is on the same page. They are not developed for one-time goals, specific situations, or emergencies. While standing plans are important, they are not necessarily the most important plans in the organization, as each type of plan serves a different purpose.

Question 2

_____ is the final step in the MBO process.
A) Appraise overall performance
B) Develop an action plan
C) Review progress
D) Set goals
E) Conduct periodic checkups

Accepted Answer

The final step in the MBO (Management by Objectives) process is to appraise overall performance, which involves evaluating whether the objectives were achieved or not. This appraisal helps in identifying the strengths and weaknesses of the process and provides insights into areas that require improvement. Therefore, option A is the correct answer.

Question 3

Which of the following is NOT involved in the stages of crisis planning?
A) Setting up effective communication systems
B) Creating detailed crisis management plans
C) Investigating all stakeholders
D) Designating a crisis management team and spokesperson
E) Building relationships

Accepted Answer

Investigating all stakeholders is not a stage of crisis planning. The other options, including setting up effective communication systems, creating detailed crisis management plans, designating a crisis management team and spokesperson, and building relationships, are all important steps in crisis planning.

Question 4

_____ enables firms to cope with unexpected events that are so sudden and devastating that they have the potential to destroy the organization if managers aren't prepared with a quick and appropriate response.
A) Incident planning
B) Contingency planning
C) Strategic planning
D) Crisis planning
E) Emergency planning

Accepted Answer

Crisis planning is specifically designed to deal with unexpected and potentially catastrophic events that can threaten the survival of an organization. It involves preparing for various scenarios, developing response plans, and establishing communication protocols to ensure that leaders can respond quickly and effectively in the face of a crisis.

Question 5

"No food and/or drinks in the classroom" is an example of a _____.
A) procedure
B) rule
C) policy
D) single-use plan
E) project

Accepted Answer

"No food and/or drinks in the classroom" is a general guideline that applies to all students and staff within the classroom. It is a rule that is set in place to maintain cleanliness and avoid damage to school property.

Question 6

A project is an example of a:
A) policy.
B) standing plan.
C) procedure.
D) single-use plan.
E) rule.

Accepted Answer

A project is a temporary endeavor with a specific goal and timeline, which makes it a single-use plan. Policies, standing plans, procedures, and rules are all ongoing and repeatable processes or guidelines within an organization.

Question 7

Traditionally, if Stephanie, CEO of Butterfly Pillows, needed to conduct corporate planning, it would be performed by all of the following except:
A) central planning departments.
B) decentralized planning groups.
C) top executives.
D) consulting groups.
E) the president of the company.

Accepted Answer

Decentralized planning groups are not traditionally involved in corporate planning, as this process is typically centralized and conducted by top executives, central planning departments, consulting groups, or the president of the company.

Question 8

The two stages of crisis planning include:
A) prevention and control.
B) planning and leading.
C) prevention and preparation.
D) preparation and control.
E) leading and organizing.

Accepted Answer

The two stages of crisis planning include prevention and preparation. Prevention involves taking steps to avoid a crisis from occurring in the first place, while preparation involves developing a plan of action in the event that a crisis does occur. Control, leading, and organizing may be components of the preparation stage, but they are not the two stages themselves.

Question 9

Which of the following is a commonly-cited limitation of planning?
A) Plans limit employee motivation and commitment.
B) Plans make resource allocation more difficult.
C) Plans make it more difficult to measure standards of performance.
D) Plans boost intuition and creativity.
E) Plans can create a false sense of security.

Accepted Answer

Planning can create a false sense of security because plans are often made in a controlled environment and do not account for unforeseeable events or changes in the external environment, leading to failure when circumstances do not match the planned scenario.

Question 10

An example of a _____ is a statement supporting the organization's efforts in the area of sexual harassment.
A) procedure
B) rule
C) policy
D) single-use plan
E) program

Accepted Answer

A policy is a general guideline or principle established by an organization to guide its actions and decision-making in a particular area. A statement supporting the organization's efforts in the area of sexual harassment would be a policy statement, as it is a general guideline or principle that supports the organization's overall efforts in this area. The other options are not appropriate, as they refer to more specific or narrow aspects of organizational management or planning.

Question 11

Jerrica, a finance manager at LRV industries, is asked by her boss to develop a plan in the event that company sales drop by 20 percent or more. This type of plan is known as _____.
A) contingency planning
B) financial planning
C) crisis planning
D) consumer protection
E) environmental planning

Accepted Answer

The type of plan Jerrica is asked to develop is a contingency plan, which is a type of planning that involves creating backup plans to address potential disruptions or unexpected situations.

Question 12

_____ define boundaries within which to make a decision.
A) Programs
B) Policies
C) Rules
D) Procedures
E) Projects

Accepted Answer

Policies are guidelines that define boundaries for decision-making in an organization. They set expectations for behavior and establish rules for acceptable actions. While programs, rules, procedures, and projects may also have defined boundaries, they are typically more specific and focused on the implementation of policies rather than the overall decision-making framework. Therefore, policies are the best choice for defining boundaries within which to make a decision.

Question 13

Which of these is true about single-use plans?
A) They are developed to achieve a set of goals that are unlikely to be repeated in the future.
B) They are used to provide guidance for tasks performed repeatedly within the organization.
C) They define plans that define company responses to specific situations, such as emergencies or setbacks.
D) They are most important in the organizations.
E) None of these

Accepted Answer

Single-use plans are developed for achieving a specific set of goals that are unlikely to be repeated in the future. For example, planning for an event or launching a new product.

Answer: C 
 Single-use plans define plans that define company responses to specific situations, such as emergencies or setbacks. They are developed for use only once and are not repeated in the future.

Answer: E 
 None of the options except A and C correctly explains the true nature of single-use plans. Hence, both A and C are the best choices.

Question 14

The crisis management plan should be a _____ that specifies the actions to be taken, and by whom, if a crisis occurs.
A) vague, verbal plan
B) detailed, verbal plan
C) long, difficult to read plan
D) vague, written plan
E) detailed, written plan

Accepted Answer

A detailed, written plan is the best option for a crisis management plan as it provides clear instructions and limits confusion during a high-stress situation. A vague or verbal plan can lead to misunderstandings and miscommunications, and a long or difficult-to-read plan may not be effective in a fast-moving crisis situation.

Question 15

Contingency plans are also referred to as:
A) standing plans.
B) rules.
C) scenarios.
D) procedures.
E) operationally tactical plans.

Accepted Answer

Contingency plans are also known as scenarios. They are designed to be put into action if certain specific events occur. These plans provide guidelines for how to respond in the event of a crisis or unexpected situation, and they help ensure that the organization can continue to operate effectively. While contingency plans are similar to procedures and standing plans, they are typically more flexible and adaptable to changing circumstances.

Question 16

Cheyenne Creamery requires that all absent employees bring a note from their doctor when returning to work. This is an example of a:
A) single-plan use.
B) standing plan.
C) program.
D) procedure.
E) project.

Accepted Answer

A standing plan is a policy or procedure designed for repeated use in response to commonly occurring events, such as requiring a doctor's note for absences, to ensure consistency and efficiency in handling such situations.

Question 17

Which of the following is NOT one of the benefits of MBO?
A) Performance can be improved at all company levels.
B) Employees are motivated.
C) Efforts are focused on activities that will lead to goal attainment.
D) Operational goals are able to displace strategic goals.
E) Individual and department goals are aligned with company goals.

Accepted Answer

MBO aims to align individual, department, and company goals, improve performance, focus efforts, and motivate employees. However, operational goals cannot displace strategic goals under MBO as the latter serves as the guiding force for organizational direction and decision-making.

Question 18

_____ involves looking at trends and discontinuities and imagining possible alternative future to build a framework within which unexpected future events can be managed.
A) Scenario building
B) Crisis planning
C) Contingency planning
D) Trend management
E) Caution planning

Accepted Answer

Scenario building involves creating hypothetical future scenarios based on trends and potential disruptions, in order to prepare for unexpected events and develop strategies to manage them. Crisis planning and contingency planning are more reactive approaches that focus on responding to specific events, rather than anticipating and preparing for a range of possibilities. Trend management and caution planning are not commonly used terms in the field of strategic planning.

Question 19

Which of these are true about contingency plans?
A) They are developed to achieve a set of goals that are unlikely to be repeated in the future.
B) They are used to provide guidance for tasks performed repeatedly within the organization.
C) They define company responses to specific situations, such as emergencies or setbacks.
D) They are most important in the organizations.
E) None of these

Accepted Answer

Contingency plans are developed to define the company's responses to specific situations, such as emergencies or setbacks. They are not developed for achieving a set of goals that are unlikely to be repeated in the future or provide guidance for tasks performed repeatedly within the organization. While they are important, they may not be the most important thing in an organization.

Question 20

One major limitation of goals and plans is:
A) goals and plans guide resource allocation.
B) goals and plans may cause rigidity in a turbulent environment.
C) goals and plans decrease employee motivation.
D) goals and plans decrease employee commitment.
E) none of the above.

Accepted Answer

While goals and plans can provide direction and focus for an organization, they can also become inflexible in a constantly changing environment. This rigidity can limit an organization's ability to adapt quickly to new situations or opportunities. The other choices listed are not accurate limitations of goals and plans.

Quiz 7: Managerial Planning and Goal Setting

Standing plans:

_____ is the final step in the MBO process.

Which of the following is NOT involved in the stages of crisis planning?

_____ enables firms to cope with unexpected events that are so sudden and devastating that they have the potential to destroy the organization if managers aren't prepared with a quick and appropriate response.

"No food and/or drinks in the classroom" is an example of a _____.

A project is an example of a:

Traditionally, if Stephanie, CEO of Butterfly Pillows, needed to conduct corporate planning, it would be performed by all of the following except:

The two stages of crisis planning include:

Which of the following is a commonly-cited limitation of planning?

An example of a _____ is a statement supporting the organization's efforts in the area of sexual harassment.

Jerrica, a finance manager at LRV industries, is asked by her boss to develop a plan in the event that company sales drop by 20 percent or more. This type of plan is known as _____.

_____ define boundaries within which to make a decision.

Which of these is true about single-use plans?

The crisis management plan should be a _____ that specifies the actions to be taken, and by whom, if a crisis occurs.

Contingency plans are also referred to as:

Cheyenne Creamery requires that all absent employees bring a note from their doctor when returning to work. This is an example of a:

Which of the following is NOT one of the benefits of MBO?

_____ involves looking at trends and discontinuities and imagining possible alternative future to build a framework within which unexpected future events can be managed.

Which of these are true about contingency plans?

One major limitation of goals and plans is: