Question 1

"To lower the rate of employee attrition within the organization by 5 percent through the use of effective employee retention and motivation techniques." Which one of the following is a valid criticism of this objective?
A)It is not stated in a simple fashion.
B)It does not provide a time frame for achieving objectives.
C)It is not related to specific actions.
D)It is not achievable.
E)It does not pinpoint expected results.

Accepted Answer

The objective lacks a specific time frame for achieving the 5 percent reduction in employee attrition, making it difficult to measure progress or success within a given period.

Question 2

According to Drucker,which one of the following key areas for organizational objectives is more personal and subjective in nature,and hence likely to arouse managerial opposition?
A)productivity
B)innovation
C)worker performance and attitude
D)physical and financial resources
E)market standing

Accepted Answer

Drucker highlighted that objectives related to worker performance and attitude are more personal and subjective, making them more likely to provoke managerial opposition due to their direct impact on individuals and the subjective nature of assessing attitudes and performance.

Question 3

Which one of the following guidelines helps employees know exactly how managers will determine whether an objective has been reached?
A)Let people responsible for attaining objectives have a voice in setting them.
B)State objectives as specifically as possible.
C)Pinpoint expected results.
D)Set objectives only in relation to other organizational objectives.
E)Specify when goals are expected to be achieved.

Accepted Answer

Pinpoint expected results helps employees know exactly how managers will determine whether an objective has been reached.

Question 4

Organizations exist for a variety of purposes,but many see ________ as their primary purpose.
A)increasing shareholder wealth
B)making a profit
C)creating policies and procedures
D)writing objectives
E)advertising products

Accepted Answer

Many organizations, particularly businesses, see making a profit as their primary purpose, as it is essential for sustainability and growth.

Question 5

Short-term objectives are targets to be achieved within five to seven years.

Accepted Answer

Short-term objectives are typically aimed to be achieved within a year or less, not five to seven years.

Question 6

According to Drucker,management should set objectives that indicate the company's responsibilities to its customers and society but should not specify the extent to which the company intends to live up to these responsibilities.

Accepted Answer

Drucker emphasized that management should not only set objectives indicating the company's responsibilities to customers and society but also specify the extent to which the company intends to live up to these responsibilities, ensuring accountability and clear direction.

Question 7

One of the short-term objectives of Alport Corporation,a manufacturer of construction equipment,is "to achieve a 15 percent return on investment (ROI)by September 2018." According to Drucker,this objective relates to ________.
A)innovation
B)productivity
C)market standing
D)managerial performance
E)profitability

Accepted Answer

Achieving a 15 percent return on investment (ROI) is directly related to profitability, as ROI is a measure of the efficiency and success of an investment in generating profits.

Question 8

Which one of the following is NOT a guideline for establishing quality objectives?
A)Let people responsible for attaining objectives have a voice in setting them.
B)State objectives as specifically as possible.
C)Pinpoint expected results.
D)Set objectives that are not related to other organizational objectives.
E)Specify when goals are expected to be achieved.

Accepted Answer

Setting objectives that are not related to other organizational objectives is not a guideline for establishing quality objectives. Quality objectives should align with the overall goals and objectives of the organization to ensure coherence and support organizational success.

Question 9

Intermediate-term objectives are targets to be achieved in ________.
A)one year or less
B)one to five years
C)three to seven years
D)five to seven years
E)five to ten years

Accepted Answer

Intermediate-term objectives are typically set to be achieved within a one to five-year timeframe, bridging the gap between short-term actions and long-term goals.

Question 10

HomeTurf is a retailer of wooden furniture.The firm currently has three stores and has plans to set up two more within the next eight months.This is an example of a(n)________.
A)intermediate-term objective
B)short-sighted objective
C)long-term objective
D)short-term objective
E)suboptimal objective

Accepted Answer

Setting up two more stores within the next eight months is a short-term objective, as it is planned to be achieved in less than a year.

Question 11

According to Drucker,which one of the following statements is an example of an organizational objective related to productivity?
A)to reduce overall inventory management costs by 15 percent
B)to increase the use of environmentally friendly workplace practices
C)to lower the rate of attrition in the organization within the next 6 months
D)to increase the unit's monthly output by 10 percent within the next 12 months
E)to reduce total overhead costs by 5 percent by the end of the year

Accepted Answer

Productivity objectives focus on increasing the output or efficiency of the organization's processes. Increasing the unit's monthly output by 10 percent directly relates to enhancing productivity.

Question 12

Which one of the following guidelines for establishing quality objectives helps in keeping the risk of sub-optimization to a minimum?
A)relating objectives to specific actions whenever necessary
B)stating objectives as specifically as possible
C)setting objectives only in relation to other organizational objectives
D)specifying when goals are expected to be achieved
E)stating objectives clearly and simply

Accepted Answer

Setting objectives only in relation to other organizational objectives ensures alignment and coherence, minimizing the risk of sub-optimization by preventing conflicting goals.

Question 13

Plaxo Industries is a large-scale manufacturer of commercial kitchen equipment.Its products are currently sold in Europe and the Middle East.Plaxo wants to foray into the Asian market,and the company's management has set a target of entering the Chinese market by 2025.This is an example of a(n)________.
A)short-term objective
B)intermediate-term objective
C)long-term objective
D)medium-term objective
E)operational objective

Accepted Answer

Plaxo Industries' target of entering the Chinese market by 2025 is a long-term objective because it is a goal that will take more than one year to achieve.

Question 14

In order to increase the quality of their objectives,managers should ________.
A)set employees' goals as high as possible
B)ensure that they set objectives entirely by themselves
C)establish goals that are within easy reach
D)let the people responsible for attaining the objectives have a voice in setting them
E)avoid relating objectives to specific actions

Accepted Answer

Allowing employees to have a say in setting their objectives increases their commitment and the likelihood of achieving these goals. It fosters a sense of ownership and motivation.

Question 15

Which one of the following is the rationale behind letting the people responsible for attaining certain objectives have a voice in setting them?
A)Employees are more capable than managers and are better at establishing objectives.
B)Managers are motivated when their employees are allowed to have a say in goal setting.
C)Employees can showcase their managerial potential when they are allowed to set their own goals.
D)Managers tend to set objectives that are often easily achievable and do not challenge employees.
E)The people responsible for attaining the objectives know their job better than the managers do.

Accepted Answer

The rationale is that the individuals who are directly responsible for achieving certain objectives have a deeper understanding of the intricacies of their job than their managers might. This insight allows them to set realistic and achievable goals that are relevant to their work.

Question 16

A sales manager sets the following performance objective for members of his sales team: To increase customer sales by 10 percent within the next 6 months.Which one of the following is a valid criticism of this objective?
A)It does not pinpoint expected results.
B)It is not stated in simple fashion.
C)It is not achievable.
D)It does not relate to specific actions.
E)It is not related to other organizational objectives.

Accepted Answer

The objective of increasing customer sales by 10 percent within the next 6 months lacks specificity regarding the actions or strategies the sales team should employ to achieve this goal. It states a desired outcome without outlining the specific steps or methods to be used, making it difficult for team members to understand exactly what is expected of them in terms of behavior or actions.

Question 17

Tandem Industries is a cycle manufacturer.As part of its planning activities,it sets an objective to increase its market share by 5 percent within 3 years.This is an example of a(n)________.
A)short-term objective
B)intermediate-term objective
C)long-term objective
D)suboptimal objective
E)principled objective

Accepted Answer

Intermediate-term objectives are typically set for a period of 1 to 5 years, making the goal of increasing market share by 5 percent within 3 years an intermediate-term objective.

Question 18

Which one of the following refers to targets to be achieved within a time frame of five to seven years?
A)short-term objectives
B)intermediate-term plans
C)long-term objectives
D)operational goals
E)medium-term objectives

Accepted Answer

Long-term objectives typically refer to targets set to be achieved over a period of five to seven years or more.

Question 19

It is important to provide employees with a time frame for accomplishing their objectives because ________.
A)it instills a sense of urgency in employees
B)it allows employees to pace themselves accordingly
C)it makes the goals more meaningful
D)it reduces the risk of suboptimization
E)it motivates employees to improve their performance

Accepted Answer

The answer of It is important to provide employees with...

Question 20

When setting objectives,managers should state objectives as specifically as possible because ________.
A)it ensures that employees have explicit directions for what they should do
B)it ensures that employee productivity will vary according to the needs of the situation
C)it allows employees to make inferences about what they should do to accomplish their goals
D)it allows them to set the pace for employees' work
E)it reduces the risk of suboptimization

Accepted Answer

Specific objectives provide clear and explicit directions, helping employees understand exactly what is expected of them.

Quiz 7: Plans and Planning Tools

"To lower the rate of employee attrition within the organization by 5 percent through the use of effective employee retention and motivation techniques." Which one of the following is a valid criticism of this objective?

According to Drucker,which one of the following key areas for organizational objectives is more personal and subjective in nature,and hence likely to arouse managerial opposition?

Which one of the following guidelines helps employees know exactly how managers will determine whether an objective has been reached?

Organizations exist for a variety of purposes,but many see ________ as their primary purpose.

Short-term objectives are targets to be achieved within five to seven years.

According to Drucker,management should set objectives that indicate the company's responsibilities to its customers and society but should not specify the extent to which the company intends to live up to these responsibilities.

One of the short-term objectives of Alport Corporation,a manufacturer of construction equipment,is "to achieve a 15 percent return on investment (ROI) by September 2018." According to Drucker,this objective relates to ________.

Which one of the following is NOT a guideline for establishing quality objectives?

Intermediate-term objectives are targets to be achieved in ________.

HomeTurf is a retailer of wooden furniture.The firm currently has three stores and has plans to set up two more within the next eight months.This is an example of a(n) ________.

According to Drucker,which one of the following statements is an example of an organizational objective related to productivity?

Which one of the following guidelines for establishing quality objectives helps in keeping the risk of sub-optimization to a minimum?

In order to increase the quality of their objectives,managers should ________.

Which one of the following is the rationale behind letting the people responsible for attaining certain objectives have a voice in setting them?

A sales manager sets the following performance objective for members of his sales team: To increase customer sales by 10 percent within the next 6 months.Which one of the following is a valid criticism of this objective?

Tandem Industries is a cycle manufacturer.As part of its planning activities,it sets an objective to increase its market share by 5 percent within 3 years.This is an example of a(n) ________.

Which one of the following refers to targets to be achieved within a time frame of five to seven years?

It is important to provide employees with a time frame for accomplishing their objectives because ________.

When setting objectives,managers should state objectives as specifically as possible because ________.