Question 1

The top managers at the Sax Department Store find that their employees do not really share a common sense of purpose or have a common set of values. This suggests that top management has not provided a clear vision for the firm.

Accepted Answer

Employees having different sense of purpose and values indicates a lack of clarity in the vision and mission set by the top management.

Question 2

Jamika is a manager at a well-known retail store. Each morning she determines the order in which store projects are performed; she sets work schedules for employees and standards that must be met. These activities suggest that Jamika is involved in operational planning.

Accepted Answer

The activities described align with operational planning, which involves determining specific procedures to carry out daily tasks and achieving short-term goals.

Question 3

Contingency planning is most important in markets where conditions are relatively stable and market growth is predictable.

Accepted Answer

Contingency planning is most important in markets where conditions are unpredictable and market growth is volatile. In stable markets, companies can more easily rely on standard business practices and assume business will continue as usual. However, in uncertain markets, a company must have contingency plans in place to quickly adapt to changing conditions and mitigate risks.

Question 4

The SWOT analysis focuses only on the internal activities of the firm, while a PERT analysis is used to review the external environment in which the firm operates.

Accepted Answer

The statement is actually reversed. A SWOT analysis reviews both internal and external factors that can affect the firm, while a PEST analysis (not PERT) is used to analyze the external environment.

Question 5

The recent recession eliminated many middle managers giving the remaining managers more employees to supervise.

Accepted Answer

During the recession, many companies downsized their workforce and eliminated middle management positions. This resulted in fewer managers supervising larger teams or departments.

Question 6

After management has created a plan of action, the focus turns to the controlling function to recheck and often redo the plan.

Accepted Answer

The controlling function is not primarily about rechecking and redoing the plan; it is about monitoring performance to ensure that the goals of the plan are being met and taking corrective action if necessary. Planning and controlling are distinct functions, although they are closely related.

Question 7

Brainstorming is coming up with as many solutions as possible in a short period of time with a focus toward not censoring anyone's ideas.

Accepted Answer

Brainstorming is all about generating a large number of ideas without judgment or criticism, and encouraging every participant to contribute their thoughts freely.

Question 8

Lucy is part of the top management team at Cloudy Daze Rain Gear, a company that produces umbrellas, raincoats, hats and all-weather shoes. As a member of top management, Lucy is more likely to be involved in strategic planning than in tactical planning.

Accepted Answer

Top management is responsible for strategic planning, which involves long-term planning and decision-making related to the overall direction and goals of the company. Tactical planning, on the other hand, is more short-term and involves implementing specific actions to achieve the goals set by the strategic plan.

Question 9

A CEO is often the president of the firm and is responsible for developing the strategic plans.

Accepted Answer

A CEO is often the president of the firm and their main responsibility is to develop strategic plans for the success of the company.

Question 10

PMI is a problem-solving technique that involves listing pluses, minuses and implications.

Accepted Answer

PMI stands for Plus, Minus, Implication and is a problem-solving technique that involves listing the positive aspects (pluses), negative aspects (minuses) and potential consequences or outcomes (implications) of a decision or action.

Question 11

In order to ensure effective implementation, managers should make only one set of plans and carefully follow them to ensure that the organization's objectives are achieved.

Accepted Answer

While it is important to have a plan in place, it is also important to be flexible and adjust plans as necessary based on changing circumstances or unforeseen challenges. Managers should also regularly evaluate and adjust plans as necessary to ensure that they are still aligned with the organization's objectives.

Question 12

Tactical planning involves making decisions about which customers to serve, what products or services to sell, and the geographic areas in which the firm will compete.

Accepted Answer

The fundamental nature of the topics described in this question would be considered in the strategic planning process.

Question 13

Problem solving is more formal than using the rational decision-making model.

Accepted Answer

The rational decision-making model is a formal approach to problem solving that involves identifying goals and alternatives, evaluating their pros and cons, and selecting the best option. Problem solving can be less formal and may involve trial and error or intuition.

Question 14

Sharon needed to solve a problem quickly, so she called together the work team in her department and asked them to list as many possible solutions as they could come up with in a short period of time. During the process she encouraged responses and avoided censoring what her workers said. Sharon is utilizing a problem-solving technique known as brainstorming.

Accepted Answer

Sharon is using the technique of brainstorming, where she encourages the team to come up with as many ideas as possible without criticism or censorship.

Question 15

Organizing involves allocating resources, assigning tasks, and establishing procedures for accomplishing the organizational objectives.

Accepted Answer

This statement is true as organizing is a key function of management that involves arranging resources, tasks, and procedures in a way that helps achieve specific goals and objectives of the organization.

Question 16

Middle managers usually are responsible for tactical planning and controlling.

Accepted Answer

Middle managers are responsible for executing the plans and strategies set by top-level managers, and translating them into actionable goals for lower-level employees. They are also responsible for monitoring and controlling the day-to-day operations of the organization. This is known as tactical planning and control.

Question 17

Branch and plant managers and division heads are classified as first-line managers.

Accepted Answer

Branch and plant managers and division heads are typically classified as middle managers, as they oversee the work of first-line managers and report to top management.

Question 18

A mission statement should provide a detailed explanation of how a company will achieve its objectives.

Accepted Answer

A mission statement should provide a brief, concise statement of the company's purpose and the goals it hopes to achieve, rather than a detailed explanation of how those goals will be reached. The strategies and tactics for achieving those goals are typically outlined in separate documents such as business plans, operational plans, and marketing plans.

Question 19

The visual illustration of the relationships among the people within an organization that shows who is accountable for the work and who reports to whom is called a Gantt Chart.

Accepted Answer

The description refers to an organizational chart. A Gantt Chart is a type of timeline chart used in project management to show the schedule of tasks and their dependencies.

Question 20

Supervisory managers are those who directly oversee the activities of workers and evaluate their daily performance.

Accepted Answer

Supervisory managers are responsible for supervising and evaluating the performance of workers under their direct supervision.

Quiz 7: Management and Leadership