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Managers are most effective when they consistently use the same leadership style with every employee assigned to their work group.

A) True
B) False

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Empowerment means that more authority and responsibility is given to top management.

A) True
B) False

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A vision is a detailed set of specific steps that a firm must take to achieve its short-run objectives.

A) True
B) False

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In many smaller firms the manager's role is to direct the employees,telling them exactly what to do.

A) True
B) False

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Mini-Case Lauzy Fare left his position as senior vice president at Blue Skies Electronics a few weeks ago to become the new CEO of Idle Time Gaming.Before joining the new company,Lauzy spent time studying Idle Time's competitive position and talking to employees in all divisions and at all levels of the organization.Based on his findings,Lauzy believes that Idle Time has potential,but also faces some serious challenges if it expects to grow. Lauzy found that when confronted by him,most of Idle Time's professional employees seemed almost afraid to express their opinions.He learned that Otto Craddick,the previous CEO and founder of the company viewed himself as the boss,and,as such,micromanaged every aspect of the business.This discouraged employees from using their own initiatives and ideas to solve problems.For example,Otto required sales and service representatives to get his approval before they made any major commitments to customers.Otto's policy prevented the organization from responding quickly to customer requests,so sales were lost.Unlike his predecessor,Lauzy believes it is important for sales and service personnel to be able to deal with many types of customer requests without needing approval from top management.He is confident that giving employees the authority and flexibility to deal with customers,and providing them with the training and resources to help them do so,will improve morale within the company,create customer satisfaction,and grow revenues. Lauzy also wants to make workers throughout the organization feel more appreciated.He plans to continue meeting with them on a regular basis to seek their advice.He hopes his work colleagues will eventually respond to his leadership style.He has already encouraged middle managers to get employees more involved in decision-making,and has suggested some problem solving techniques the managers could try. Although he thought that changing the rigidity of the company culture would be his first challenge at the new firm,Lauzy quickly realized that there were no standards in place to measure the progress of changes in internal morale,customer satisfaction,and profitability.He has asked managers in those departments to spend more time setting performance standards and then monitoring actual performance.Lauzy is confident that in a relatively short period of time internal changes will lead to good company performance.As a member of top management,Lauzy performs a variety of important tasks. -Which of the following statements best describes the relative importance of the various types of skills Lauzy will use to perform these tasks? The tasks Lauzy performs will require:


A) only technical skills.
B) mainly conceptual skills and human relations skills.
C) only human relations skills.
D) mainly technical skills and human relations skills.

E) B) and C)
F) A) and B)

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In today's business environment,the general trend is to develop long-term relationships between workers and their employers.

A) True
B) False

Correct Answer

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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.

A) True
B) False

Correct Answer

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Due to the growth of the Internet,recruiting is less important today than in the past.

A) True
B) False

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Goals are developed and agreed to by management so that the workers can follow them.

A) True
B) False

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Which of the following statements about effective leadership is the most accurate?


A) Effective leaders have the same personality traits
B) The most effective leadership style depends on who is being led and in what situation
C) The democratic style of leadership will almost always improve the effectiveness of the organization
D) One trait of effective managers is that they consistently maintain the same style of leadership

E) None of the above
F) A) and D)

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Which of the following statements has resulted in changes in the role of management?


A) Most workers today show little initiative or creativity,so managers must spend more time directing their efforts
B) The marketplace is becoming global,which increases both competition and opportunities for cooperation and integration
C) Firms are recognizing that their workforces are too diverse,so managers must find ways to reduce diversity without violating federal laws against discrimination
D) The desire to encourage teamwork has resulted in larger,more cumbersome organizations with too many workers

E) A) and B)
F) None of the above

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Enabling is the term used to describe the process by which employees recognize and respect the authority of managers to issue orders.

A) True
B) False

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Jack,a manager with Tiny Tots Toy Company,has just participated in a meeting that looked at future trends in the toy industry,and identified new challenges and opportunities for Tiny Tots.Jack's participation in this meeting was part of the organizing function of management.

A) True
B) False

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The management function concerned with anticipating future trends and determining the best strategies to achieve an organization's goals and objectives is known as:


A) directing.
B) leadership.
C) planning.
D) forecasting.

E) C) and D)
F) B) and C)

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Setting contingency plans in an organization is considered very important today mainly because:


A) managers have historically been poor tactical planners.
B) the government can charge firms with unfair business practices if they do not have such plans.
C) conditions change rapidly in today's economic and competitive environments.
D) most employees and staff don't understand strategic planning,so they tend to rely more on contingency plans.

E) A) and C)
F) All of the above

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Top management is also known as first-line management because it deals with key managerial decisions on a priority basis.

A) True
B) False

Correct Answer

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Planning is the function of management that includes anticipating future trends and determining the best strategies and tactics to achieve an organization's goals and objectives.

A) True
B) False

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The recession of 2008-2010 eliminated many middle managers giving the remaining managers more employees to supervise.

A) True
B) False

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A person who is a good first-line manager is automatically likely to be a good middle or top manager.

A) True
B) False

Correct Answer

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The focus of knowledge management is to make sure top managers have all of the information they need to run the company.

A) True
B) False

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