Question 1

An organization's mission describes what the organization stands for and its reason for existence is called:

Accepted Answer

The mission of an organization provides legitimacy by defining its purpose and the values it stands for, which justifies its existence.

Question 2

The fact that the people with authority and responsibility are subject to reporting and justifying task outcomes to those above them in the chain of command is known as:

Accepted Answer

Accountability refers to the obligation of those in authority to justify and report task outcomes to those above them in the chain of command. Liability refers to legal responsibility for something, which is not the same as being accountable. Legal responsibility may or may not involve accountability, depending on the specific situation. Therefore, option B is the best choice.

Question 3

A system that interacts with the external environment is called Open system.

Accepted Answer

An open system interacts with its external environment and exchanges matter, energy, and information with it.

Question 4

A blueprint specifying the resource allocations, schedules, and other actions necessary for attaining goals is called:

Accepted Answer

A plan is a detailed outline of the specific steps, resources, and scheduling necessary for achieving a set of goals. It is a more specific and detailed concept than a mission or goal, and often feeds into an overall strategy for an organization or project.

Question 5

An approach that applies social science in an organizational context, drawing from economics, psychology, sociology, and other disciplines is called:

Accepted Answer

The approach that applies social science in an organizational context, drawing from economics, psychology, sociology, and other disciplines is called the Behavioral sciences Approach. This approach focuses on the behavior of individuals, groups, and organizations and how it affects productivity, efficiency, and effectiveness. It helps organizations understand the role of human behavior and motivation in achieving their goals and improving performance.

Question 6

Plans that define company responses to specific situations, such as emergencies, or unexpected conditions are called:

Accepted Answer

Contingency plans are specifically designed to help a company respond to unexpected or emergency situations. Operational plans are more focused on day-to-day operations, while definite and precise plans do not typically refer to responses to specific situations.

Question 7

Synergy means that the whole is greater than the sum of its parts.

Accepted Answer

Synergy refers to the phenomenon where the combined effect of multiple elements is greater than the sum of their individual effects. This means that when two or more components work together, they create an outcome that is more effective, efficient or productive than the sum of what they could have produced individually.

Question 8

______________ is the attainment of organizational goals in an effective and effective manner through planning, organizing, leading and controlling organizational resources.

Accepted Answer

The given definition matches the concept of management, which involves planning, organizing, leading and controlling organizational resources to achieve the desired objectives. The other options such as mission statement, operational goals, and knowledge management are related concepts but not the best fit for the given definition.

Question 9

A system, which unites all of a company's major business functions, such as order processing, product design, purchasing, inventory, manufacturing, distribution, human resources, receipt of payments, and forecasting of future demand is called:

Accepted Answer

The system described in the question is commonly known as Enterprise Resource Planning (ERP). The other options mentioned in the question do not accurately describe this type of system.

Question 10

The degree to which organizational tasks are subdivided into separate jobs is known as:

Accepted Answer

Work specialization, also known as division of labor, refers to the degree to which organizational tasks are subdivided into separate jobs. This can increase efficiency and productivity, but can also lead to monotony and dehumanization of workers.

Question 11

A method whereby managers and employees define goals for every department, project, and person and use them to monitor subsequent performance is known as:

Accepted Answer

The method described is Management by Objectives (MBO). On-time program management and management by performance are not specifically related to the process of setting and monitoring goals.

Question 12

A management perspective that suggests jobs should be designed to meet higher-level needs by allowing workers to use their full potential is known as:

Accepted Answer

The human resource perspective focuses on designing jobs to meet higher-level needs and allowing workers to use their full potential, emphasizing the importance of employee development and satisfaction.

Question 13

The basic systems theory of organizations includes which of the following components?

Accepted Answer

The basic systems theory of organizations includes inputs (resources such as materials, information, and human capital), transformation process (how inputs are converted to outputs), outputs (products or services), feedback (information about outputs that is used to modify inputs or transformation processes), and environment (factors outside the organization that affect its operation). Option B accurately includes all of these components.

Question 14

In which theory, mangers take a negative view and assume that most employees do not like work and try to avoid it?

Accepted Answer

X Theory, also known as the traditional theory of management, assumes that employees inherently dislike work and will try to avoid it unless they are motivated by external rewards or punishments. This theory is generally viewed as outdated and ineffective in modern management practices. Contrarily, Y Theory assumes that employees are motivated by internal factors such as autonomy, mastery, and purpose, and will strive to achieve their goals if given the right conditions and support from their managers.

Question 15

What refers to a Japanese style of management that is characterized by long-term employment, slow promotions, considerable job rotation, consensus-style decision making, and concern for the employee as a whole?

Accepted Answer

Theory Z refers to a Japanese style of management that emphasizes long-term employment, slow promotions, job rotation, consensus-style decision making, and concern for the whole employee.

Question 16

The ongoing plans that are used to provide guidance for tasks performed repeatedly within the organization are called:

Accepted Answer

Standing plans are ongoing plans that provide guidance for tasks performed repeatedly within the organization. Examples of standing plans include policies, procedures, and rules. Procurement plans are specific plans related to purchasing goods and services, long-lasting plans and single-use plans are not specific to ongoing tasks performed within the organization.

Question 17

The deployment of organizational resources to achieve strategic goals is called:

Accepted Answer

Organizing involves arranging and deploying resources, such as personnel and finances, to achieve strategic goals effectively.

Question 18

A universal property of systems and which refers to their tendency to run down and die is called:

Accepted Answer

Entropy is a universal property of systems which refers to their tendency to run down and become disordered or die. Closed systems are isolated from their surroundings and do not exchange matter or energy with them, while a subsystem is a part of a larger system. Therefore, neither A nor B accurately describe the concept of entropy.

Question 19

Organizational structure is defines by:

Accepted Answer

Organizational structure is not just limited to formal tasks or reporting relationships, but also includes the design of systems for effective coordination. Therefore, all options A, B, and C are correct, making D the best choice.

Question 20

An extension of the humanistic perspective in which the successful resolution of organizational; problems is thought to depend on managers' identification of key variations in the situation at hand is known as:

Accepted Answer

The contingency view is an extension of the humanistic perspective that suggests there is no universal approach to managing organizations. Instead, successful problem-solving depends on managers' ability to identify key variations in the situation at hand and adapt their approach accordingly. This view emphasizes the importance of situational analysis and recognizes that different situations may require different management techniques.

Exam 1: Certified Business Manager