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UW-Madison MHR 300 Online Final Exam Review
Management/Human Resources
86
Business
Undergraduate 2
05/12/2015

Additional Business Flashcards

 


 

Cards

Term
Laura Johnson is the leader of a team of architects at JDA Architects and Associates. She has just been given a last minute project from her boss. She has one day to complete it with a staff of ten
people. They do not know what to do, where to start, or how to accomplish the task. According to House’s Path-Goal theory, what leader-situation match behavior would work best for Laura in this
situation?
Definition
Directive Behavior
Term
Julie Craig, a business analyst at CMX International, has just been assigned by her boss, Steve Mitchell, to go out of town on her fourth business trip this month. She complains to her coworker,Jamal Walker, “This is really unfair. Anybody in the department could handle this assignment, and I’ve got more hours logged away from home than anyone else! I suppose I could ask Steve to find somebody else. I know he wouldn’t hold it against me if I told him I couldn’t go out of town again this month. I don’t think all this extra effort will pay off for me in the long
run. But I suppose he the right to give me whatever assignment he sees fit. I guess I’ll just go and do my job, as usual.” Julie's behavior in this situation is being influenced primarily by her boss’s __________ power.
Definition
Legitimate
Term
The Director of Research and Development made the decision to allocate $10 million to research
on biotechnology. After two years, this investment produced nothing in terms of any promising
breakthroughs. Based on this, everyone in the organization assumed that research in this area
would be discontinued. However, the Director of Research and Development continued to
allocate more and more funds to the research in hope of yielding some return on its initial
investment. In the end, over $50 million was wasted on biotechnology research that should have been terminated long ago. This situation is an example of which of the following?
Definition
Escalation of Commitment
Term
Lisa Williams is the district sales manager for a major pharmaceutical company based in Minneapolis. Lisa's biggest challenge right now is how to effectively train three new sales representatives. She has a number of basic rewards that she can use to reinforce the behavior of her new reps (e.g., recognition, shorter work days, small lump sum monetary bonuses), but she is not sure how often she should use them in order to effectively train her new reps. Lisa's main objective is to maximize the extinction period associated with the desired behaviors of her sales reps. Given this, which of the following schedules of reinforcement would be the most effective for Lisa to use for administering her rewards?
Definition
Variable Interval
Term
According to Fiedler’s LPC contingency theory of leadership, a __________ leader will be most effective when the situation is _____________.
Definition
Task oriented; Highly favorable
Term
According to Blake and Mouton’s Managerial Grid, the leadership style that is most effective for
all situations is ______________.
a. transformational leadership
b. impoverished management
c. authority-obedience management
d. organization man management
Definition
None of the above
Term
An organization that applies the principle of social responsibility is likely to__________.
Definition
Do more than required by law, but avoid public stands on issues.
Term
The selection and training implications of the ___________ leadership theories say that______________ when there is a poor match between the leader and the situation
Definition
Situation contingent behavior; you can change the behavior to match the leader.
Term
Managers can encourage ethical behavior in their organizations by ______________.
Definition
providing rewards for ethical behavior; punishing unethical behavior; developing organizational policies that state ethical objectives
Term
You have been hired as a management consultant by the CEO of Patriot Airlines, a major carrier
in the industry who has been struggling in recent years due to its hierarchical structure, high
costs, and lack of responsiveness to the changing needs of its customers. Your task is to advise
the CEO on how to restructure her company as part of her overall turnaround strategy. The
company has been focusing on making exceptional customer service its source of competitive
advantage over other airlines. The company's external environment is very dynamic. Based on this situation, which organizational design should you recommend to the CEO?
Definition
Decentralized design
Term
The AMX Corporation is a traditional manufacturing company that makes a variety of parts that
are used in industrial waste management systems. The external environment that the company
exists in is fairly stable. The company is concentrating on pursuing a low cost strategy as a
way to compete against Chinese manufacturers. Based on this situation, management at this company should use a _________________ organizational design.
Definition
Functional
Term
Management at the VBM Corporation, a computer manufacturer, introduced a new
total quality management program earlier this year, but employees have actively resisted the
changes that they need to make to support the program. Management attempted to
educate employees about TQM and why they should support it, and they also tried to
provide opportunities for participation in the design of the program, as well as the use of
monetary incentives, and various types of support (e.g., training). Based on this situation,
which strategy for overcoming resistance to change should management use at this point?
Definition
Coercion
Term
Senior management at the DTS Corporation was holding its annual quarterly meeting to review
the company's performance. The first quarter of 2006 was very much a "mixed bag" for the
company. Although the company increased the sales and market share of its products, its
earnings were down by 30% and operating costs were up by 21%. In reviewing these findings,
the CEO of the company focused on how happy he was about the company's sales and market
share results, but he did not comment on the results related to earnings and operating costs. This
is an example of which perceptual factor (error)?
Definition
Selective Perception
Term
The CEO of the IndoNow Corporation was holding a leadership summit with her executive team
to explore unconventional, breakthrough strategies that might greatly enhance the company's
ability to be innovative. Unfortunately, many of the members of the leadership team came to the
summit with the expectation that they would get nothing out of it and that it was a waste of their
time. As a result of this expectation, the negative attitude of these individuals made them a
closed-minded and negative group throughout the summit. At the end of the event, the evaluation
of the summit revealed that the members of the leadership team did in fact feel that it was a
waste of their time and that they got nothing out of it. This is an example of which perceptual
factor (error)?
a. stereotype
b. halo error
c. contrast effect
d. perceptual defense
e. none of the above
Definition
E. None of the above
Term
Linda, a customer service supervisor, managed the motivation of her 10 staff members by giving
them clear instructions regarding what she wanted them to do, but she decided not to link
positively valued outcomes to the desired behavior. In terms of the basic elements of motivation, Linda's motivational strategy addressed the _____________ of her employees.
Definition
Motivational direction
Term
Which of the following consequences will always be effective in reinforcing desired employee behaviors in organizations?
Definition
It depends on the individual.
Term
Rothschild International, Inc. manufactures a wide range of guns and is extremely profitable.
Some of these guns have become the “choice of criminals” who use them on the streets to
commit violent crimes. However, the company continues to expand its range of gun models since
they are so profitable. Some critics could argue that the companies like Rothschild International are behaving in a(n) _________ manner.
Definition
legal and irresponsible
Term
A restaurant employee states that: (1) she plans on coming into work late on a regular basis
because (2) she dislikes her job as a server so much. These statements reflect respectively, the _________ and __________components of an attitude
Definition
behavioral tendency; affective
Term
The 9-Step model of strategic planning states that _____________ directly leads to (i.e., is
followed by) gap analysis.
Definition
opportunities and threats identification
Term
The Store Manager at a major department store in Northbrook, IL was meeting with her
departmental supervisors for their weekly meeting to discuss store operations. During the
meeting, the two assistant store managers made a presentation in which they argued that
customer satisfaction with the store's merchandise was extremely low. Their presentation
included results of surveys from customers, actual comments made by customers at focus
groups, and a summary of comments from store sales associates about the comments they
receive from customers about the store's merchandise. The Store Manager sat through the
presentation quietly. As soon as the assistant managers were finished with their presentation, the
Store Manager said that despite the data and arguments presented to her, she still strongly
believed that store's merchandise was "right on the mark." This is an example of which
perceptual factor (error)?
Definition
Perceptual Defense
Term
A project team leader is in charge of a new group in which members do not know each other and
they are unsure about the group's purpose, rules, and their roles. Based on the stages of group
development, what should the leader do in this situation to effectively manage this group?
Definition
Offer members the opportunities to share ideas and to exchange information.
Term
Joe Dobbs, District Manager for Philco Pharmaceutical Corporation, likes to hire sales
representatives who are "open-minded" about new approaches to performing their jobs. Based
on this, the best candidates for sales representatives in this situation would possess__________.
Definition
Low dogmatism.
Term
From an integrative perspective of OB, the valence component of Vroom’s expectancy theory can be determined based on applying _____________.
Definition
Alderfer's ERG theory
Term
Beth Taylor, the production supervisor at a luxury resort in northern Wisconsin, got into a heated
argument with another manager about some customer service issues. The conflict quickly
escalated into a "shouting match" and "personal comments" were starting to be made by both
parties. Based on this situation, which conflict-handling style should Beth use at this point?
Definition
Avoiding
Term
The production employees at a major kitchen appliance manufacturer are taught specific actions
that they should take when a problem occurs on the production line. This is an example of the use of which operant learning strategy?
Definition
Negative Reinforcement
Term
The employees at a luxury hotel are trained in specific service practices to prevent problems
from occurring in each guest's experience at the hotel. This has helped the hotel to
significantly increase their customer satisfaction ratings and reputation in the industry. This is an example of the use of which operant learning strategy?
Definition
Avoidance Learning
Term
An organization is planning to implement a new production system and organizational structure
to enhance its future competitiveness in an increasingly tough industry. To facilitate the effective
planning and implementation of the new production system and organizational structure, which
self-assessment measure (if it was administered to all employees) would be most valuable to
management in this situation?
Definition
Attitudes towards change self assessment
Term
A major department store donates millions of dollars to help single mothers on welfare and their children to have decent clothes and school supplies. The company even trains the single mothers and offers them jobs as sales associates. The objective of this program has been to reduce the number of people on welfare and to strengthen families with single parents. The practices of this organization best reflect which perspective of social responsibility?
Definition
None of these: trustee management b. profit-maximizing management c. value-driven management d. work-family balance management
Term
The employees at a public accounting firm feel that the rewards that they receive for good performance are not positively valued. This has had a negative effect on the motivation of these employees. According to expectancy theory, these employees will experience low motivation for high performance because of _______________.
Definition
Low valence
Term
If an organization's means goals are met, but its ends goals are not met, the appropriate course of action is to ___________.
Definition
None of these: . get back to the plan to correct b. verify that the plan works c. go through the entire strategic planning process to create a new strategic plan d. continue to follow the plan
Term
Which of the following is true about TQM?
Definition
None of these: It is easier to implement than Six Sigma in terms of its fundamental principles. b. TQM should be focused on quality mainly in terms of productivity and efficiency improvements. c. In practice, TQM is almost identical to the concept of the strategic planning process. d. TQM only works in manufacturing organizations.
Term
Equity theory says that the objective of a manager is to develop and implement policies and practices that will achieve and sustain employee feelings of _________.
Definition
Perceived equity
Term
Erin Greenwald-Yoder, CEO of the BPX Corporation, is in a battle with her board of directors over which strategy should be used to help turnaround the performance of the company. Although Erin's strategy has received mixed support from the board of directors, she is convinced that it is the right thing to do in the interest of the long-term welfare of the company.Based on this situation, which conflict-handling style should Erin use?
Definition
Competing
Term
The production workers at an automobile assembly plant are not motivated to perform their jobs
because they do not feel a sense of ownership for the production goals that have been given to
them by management. According to goal setting theory, the goal-directed effort of these workers is low due to a low level of ____________.
Definition
Goal acceptance
Term
The chief operating officer (COO) at the Maxima Corporation has just seen the company's
most recent quarterly results and balanced scorecard data and he is concerned that major
changes will be needed in how the company functions in order to survive in its highly
competitive industry. The COO takes the quarterly results to the chief executive officer (CEO)
of the company, presents the data, and makes a compelling case as to the need for drastic
changes in how things are done. The CEO is convinced by the COO's presentation and creates a
ask force to study the issue and to make recommendations about how to proceed. Based on
Lewin's change process model, the COO effectively addressed the _____________ stage of the process.
Definition
Unfreezing
Term
Based on the reading entitled, "Why Dream Teams Fail," and the analysis of this article in
discussion section, many so-called dream teams fail because they are unwilling to engage in a
practice called "putting the fish on the table." This practice is most closely related to which
major reason why dream teams fail?
Definition
Hiding from real issues
Term
Based on the reading entitled, “Strategic Organizational Design,” the last remaining source of
truly sustainable competitive advantage lies in _______________.
Definition
Organizational capabilities
Term
USX, a U.S.-based airline that maintains a global network of flights across more than 30
countries, has been criticized for the unfriendly and unresponsive service that its flight
attendants provide for fliers, even in the first class section of flights. In response to this, senior
management launched a customer service improvement initiative named, “Customer1.” The
focus of this initiative was on the complete redesign of core service processes (e.g., check-in)
and in-flight amenities (e.g., freshly baked chocolate chip cookies, free headphones for listening
to music). One year after Customer1 had been launched, there was still no significant
improvement in customer satisfaction ratings the airline received from fliers. Based on the
reading entitled, “Strategic Organizational Design,” the problem with this organizational
redesign initiative was that it _____________.
Definition
Ignored political, social and cultural dynamics in the company.
Term
Based on the reading entitled, “Strategic Organizational Design,” the Congruence Model of
Organizational Behavior views an organization as a system that translates strategy into
organizational performance through the interaction of basic components that include
_____________.
Definition
. The core work required to produce products and/or services; The people who perform the core work of the organization; The informal organizational arrangements that shape patterns of social interaction
Term
Based on the Strategy video entitled, “How to Develop Action Pans for Business Goals,” an effective
action plan for supporting the achievement of business goals does NOT include___________.
Definition
Explicit integration of SWOT analysis into the action plan
Term
Based on the Strategy video entitled, “Secrets to Strategic Implementation,” effective strategic
implementation requires which of the following elements?
Definition
Strategy manager; communication; accountability; frequency
Term
Based on the reading entitled, “Leading Change- Why Organizational Transformations Fail,”
the key strategies that need to be implemented as part of the Communicating the Vision step
of the model include _____________.
Definition
Teach new behaviors by the example of the guiding coalition.
Term
Based on the reading entitled, “Leading Change- Why Organizational Transformations Fail,”
the key strategies that need to be implemented as part of the Planning for and Creating ShortTerm
Wins step of the model include _____________.
Definition
Plan for visible performance improvements
Term
Some analysts have stated that Nintendo, the video game console manufacturer and game developer
should NOT change its strategic focus for its gaming systems (e.g., Wii, Wii U) so that it competes
directly with the “next generation” (state of the art) video game consoles such as Sony’s PlayStation 4 and
Microsoft’s Xbox One systems. The basis for this argument is that Nintendo does not possess the
capabilities and funding necessary to establish itself in that segment of the video game market. Based on
our discussion of strategy tests, the argument above is saying that if Nintendo pursued a strategy to
compete with next generation video game consoles, it would most likely fail the __________ strategy test
Definition
Competence
Term
The River Rush Corporation (RRC) is a global casino and entertainment company. Although it operates
luxury hotels and casinos in Asia, the European Union, Latin America, and North America, it maintains
a highly centralized organizational structure based at its headquarters in Las Vegas. In recent years, this
centralized design has been inhibiting the growth and success of RRC hotels and casinos around the
world, as the business environments, cultures, and legal systems are so different from each other and
with the U.S. Based on our discussion of organizational design, what type of organizational design
would you recommend for the company, if you were hired as a management consultant?
Definition
Customer design
Term
Based on the 9-Step Strategic Planning Process discussed under the Organizational Strategy topic, what
would you need to focus on doing first once the strategic planning retreat is formally initiated?
Definition
Analyzing planning awareness
Term
Since this is the first time that BATC senior management has engaged in the strategic planning process,
you feel it is critical that they understand what needs “to be done” and “not be done” in order to make
the process effective. You are concerned that many members of the senior management team really do
not understand what strategic planning is or why it is important so they are dismissing it as being “just a
bunch of common sense.” Based on the video, “Common Pitfalls in Strategic Planning and How to
Avoid Them,” which of the following statements would be appropriate for you to make in your
discussion with BATC management?
Definition
“We need to ensure that the strategic plan that is ultimately developed is linked to how you operate on a daily basis.”
Term
Vizio, the consumer electronics company based in California, has established itself as the #1 high
definition TV company in the U.S. (based on market share) by maintaining a very small staff in
California for strategic management, marketing, product design, etc. and developing partnerships with a
range of contract manufacturers in Asia to handle production issues. This has enabled Vizio to maintain
low operating costs and to provide superior value in the products it sells to consumers. Based on our
discussion of organizational design, which design is being used by Vizio?
Definition
Network design
Term
Management at Electra Corporation, a struggling electric car battery manufacturer based in Palo
Alto, CA, developed a formal turnaround strategy based on the input of employees. Management has
spent a lot of time explaining the turnaround strategy to employees through memos, meetings, etc.
Management has also provided training and new technology needed by employees to execute the
turnaround strategy effectively. Management has also offered employees pay increases and bonuses
for accepting and implementing the turnaround strategy and for achieving desired results based on
the strategy. Despite all of these actions by management, employees have resisted the turnaround
strategy because they don’t feel a need to change and they are more comfortable with the old way of
doing things. Based on this situation, which strategy for overcoming resistance to change should
management deploy at this point?
Definition
Coercion
Term
A new “Performance Excellence” initiative was launched at Green Initiatives Consulting firm in
Portland, OR. Although employees understood what the initiative was, based on the explanation
they received from management, and they were given opportunities to provide input into the
process for designing the initiative, they still resisted the change because they felt that they were not
given adequate staff, budget, and equipment needed to implement the initiative. Based on this
situation, which strategy for overcoming resistance to change did management fail to implement?
Definition
Facilitative support
Term
Based on Professor Dunham’s discussion of readiness for change, which of the following questions
should be asked to support the assessment of an organization’s readiness to implement change?
a. Is there support for change from senior level management?
b. Will the change be integrated with existing strategy and programs?
c. Is there a culture that emphasizes a shared urgency and continuous improvement?
Definition
All of the above
Term
The chief operating officer (COO) at the Optimus Corporation has just seen the company's most
recent quarterly results and balanced scorecard data and he is concerned that major changes will be
needed in how the company functions in order to survive in its highly competitive industry. The
COO takes the quarterly results to the chief executive officer (CEO) of the company, presents the
data, and makes a compelling case as to the need for drastic changes in how things are done. The
CEO is convinced by the COO's presentation and creates a ask force to study the issue and to make
recommendations about how to proceed. Based on Stage 3 (Implementing Change) element of the
Change Management Process Model, the COO effectively addressed the _____________ stage of
the process.
Definition
Unfreezing
Term
Management asked Kristin Jones, one of the most personable and well-liked senior executives in the
company to lead the turnaround initiative for OCM, a struggling auto parts manufacturer based in
Michigan. The CEO of the company selected Kristin as he felt that the front-line workers could
relate to her because she started his career on the production line in the company 25 years ago and
worked her way up the company’s hierarchy. She was also born in Michigan and has lived in the area
where the company is located for most of her life. In this situation, Kristine Jones most likely
possesses ___________ power.
Definition
Referent
Term
Susan Adams, a 22 year-old, recent graduate from the UW-Madison has just been hired as a sales
team leader at a medical systems manufacturer. The company has decided to assign her as the leader
of an existing team composed of sales representatives with 3-15 years of sales experience. Although
Susan was an exceptional student and she did complete multiple marketing and sales internships
during her undergraduate career, her sales team views her as being too young and inexperienced to
be have any credibility in their eyes as their team leader. As a result, many of her team members
ignored many of the requests she gave them for completing various tasks as they preferred to do
things their way. Based on this situation and our discussion of Power and Politics, which base of
power is Susan lacking, in particular?
Definition
Legitimate
Term
The members of the Indigo Product Development Team at TPX Corporation come from various
functional units in the company including finance, marketing, engineering, Human Resources, and
Information Technology. One of the challenges facing Keenan Swift, the team leader, is that each
team member seems to be unable to see issues from outside of their own functional perspective. For
example, Kenisha Williams, from the marketing department, only looks at marketing issues related to
product development while Peter King, from finance, is only able to see issues related to financial
issues associated with the team’s work. This has made it difficult for the team to develop an
integrated approach for developing innovative products within their time desired time frame. Based
on our discussion of perceptual biases, the members of the Indigo team appear to be demonstrating
___________.
Definition
Selective perception
Term
Which of the following statements is(are) true regarding the Jung Typology Test that you completed
as a self-assessment as part of our coverage of the Personal Characteristics topic?
Definition
It provides information about the strengths of preferences and description of a person’s
personality type.
Term
The participants preparing for a strategic planning retreat with their company were told repeatedly by
their boss and the company, in advance, that they would have a fantastic experience at the retreat and
that they would do a lot of networking, team-building activities, etc. Based on this, the participants
formed a positive attitude and expectations for the retreat. After they participated in the event that
last three days, they walked away from it commenting that, “my expectations were confirmed – that
was an incredible experience.” Based on our discussion of perceptual errors under the Personal
Characteristics topic, this is an example of which bias?
Definition
Perceptual readiness
Term
One of the challenges facing management when launching new initiatives designed to produce
positive change in an organization is that there are oftentimes many other initiatives already
being implemented. As a result it can be extremely difficult for management to pay attention
to a new initiative. In terms of the stages of the perceptual process, this challenge would be
most closely related to the ___________ stage of the process.
Definition
Selection
Term
Based on empirical research, which of the following is (are) true regarding the relationship
between employee job satisfaction and employee and work-related outcomes
Definition
Job satisfaction has a negative relationship with union activity
Term
You have been hired as a management consultant by Michael Longo, the CEO of KaChing, an
online retailer for casual apparel. Michael is very concerned about how to enhance KaChing’s ability
to provide quality and efficient service to customers in this highly competitive industry. These new
areas of emphasis represent a massive change in the philosophy and value system for the company as
its traditional focus was simply on being a “no frills” discount retailer. Michael is seeking your advice
as to what he and his senior management team should focus on first to address the situation above
and what are the things that he needs to watch out for (i.e., pitfalls) in moving forward at this point.
Based on the Kotter Model for Transforming Organizations, what would be the best advice you
would give Michael in this situation?
Definition
Focus first on establishing a sense of urgency for the changes and don’t
underestimate the difficulty associated with driving people from their comfort zones.
Term
Based on the reading entitled, “Leading Change – Why Organizational Transformations
Fail,” the most critical step that needs to be addressed to maximize the likelihood of an organization
to sustain the positive gains associated with the implementation of a change in the long-term is called
______________.
Definition
Institutionalizing new approaches
Term
Based on the reading entitled, “Soft Skills Can Help You Get Ahead,” which of the following is one
of the recommended “day-to-day skills” that can determine your career success or failure in an
organization?
Definition
Compile lists to guide your actions
Term
Based on Professor Dunham’s lecture on Organizational Change, major factors that drive change in
organizations include _____________.
Definition
Technological factors; Business and economic factors; Social factors
Term
Companies like Target, and Barnes and Noble have a Starbucks café in their stores while companies
like United Airlines say that they “Proudly Serve Starbucks Coffee” to their customers. Based on
Professor Dunham’s lecture on Organizational Design, the structure that Starbucks has established
with other companies would be best described as a ___________.
Definition
Strategic Alliance
Term
The MNA Corporation, a global casino and entertainment company. Although it operates luxury hotels
and casinos in Asia, the European Union, Latin America, and North America, it maintains a highly
centralized organizational structure based at its headquarters in Las Vegas. This centralized design has
been inhibiting the growth and success of MNA’s hotels and casinos around the world as the business
environments, cultures, and legal systems are so different from each other and with the U.S. Based on our
discussion of organizational design, if you were hired as a management consultant by MNA, what type of
organizational design would you recommend for the company?
Definition
Divisional design
Term
The BVP is a major pharmaceutical company based in New York. It produces drugs to treat a variety of
diseases and conditions including diabetes, high cholesterol, and Alzheimer's Disease. In the past the
marketing division and the Research and Development units have co-existed in the same corporate
structure but they have had little or no interaction with each other. This has resulted in some cases where
drugs developed by the R&D had scientific merit but they were ultimately canceled due to a lack of an
attractive market for the drugs. In other cases, the marketing unit identified a huge long-term opportunity
and need for new drugs, but the R&D unit was not aware of this and as a result, did not consider
allocating resources toward developing these drugs. The overall impact of these problems was that BVP's
product pipeline was virtually empty and the drugs it did have under development did not have much
potential from a long-term business perspective. Based on our discussion of organizational design, BVP is
most likely using a ___________ design in this situation and it should consider using a ___________
design in order to have the best chance to overcome this problem.
Definition
functional; matrix
Term
American X Labs is one of the largest and most profitable medical products companies in
the world with operations in the U.S. and 12 other countries. Due to the extremely high cost
and risk associated with developing breakthrough technologies for new products, a critical source
of profits, American X has created a new formal structure that requires the research and
development unit in the company to work with researchers at leading universities around the
world to conduct cutting-edge research in promising areas. American X is using ___________
in this situation to support its strategy for developing new breakthrough medical products in the
future.
Definition
a boundary spanning function
Term
The CEO of the IndoNow Corporation was holding a leadership summit with her executive team to
explore unconventional, breakthrough strategies that might greatly enhance the company's ability to be
innovative. Unfortunately, many of the members of the leadership team came to the summit with the
expectation that they would get nothing out of it and that it was a waste of their time. As a result of this
expectation, the negative attitude of these individuals made them a closed-minded and negative group
throughout the summit. At the end of the event, the evaluation of the summit revealed that the members
of the leadership team did in fact feel that it was a waste of their time and that they got nothing out of it.
This is an example of which perceptual factor (error)?
Definition
Perceptual readiness
Term
The CEO of a major toy manufacturer launched its new product line for the 2013 holiday season.
The stakes were high for the company as it was struggling to recover from the economic
recession from 2008. When an employee asked the CEO whether she thought that the new
product line would be a success this year, her response was, “it’s a matter of fate at this point.”
Based on our discussion of personal characteristics, this CEO is demonstrating which trait?
Definition
External locus of control
Term
Bob Johnson, vice-president of product development at the GHX Corporation, was the leader in charge of
the development of a new software application that experienced high visibility problems with customers
and the media shortly after its launch. The failure of the new software application was so severe that it
branded Bob negatively from that point on. Not only did it damage his credibility in relation to product
development, it resulted in others in the company perceiving him negatively in terms of his intelligence,
leadership skills, and commitment to the success of the company. Based on our discussion of perceptual
errors, which bias is most likely occurring in this situation?
Definition
Halo
Term
The 9-Step model of strategic planning states that _____________ directly leads to (i.e., is
followed by) opportunities and threats identification.
Definition
Organizational resource analysis
Term
The Store Manager at a major department store in Northbrook, IL was meeting with her
departmental supervisors for their weekly meeting to discuss store operations. During the
meeting, the two assistant store managers made a presentation in which they argued that
customer satisfaction with the store's merchandise was extremely low. Their presentation
included results of surveys from customers, actual comments made by customers at focus
groups, and a summary of comments from store sales associates about the comments they
receive from customers about the store's merchandise. The Store Manager sat through the
presentation quietly. As soon as the assistant managers were finished with their presentation, the
Store Manager said that despite the data and arguments presented to her, she still strongly
believed that store's merchandise was "right on the mark." This is an example of which
perceptual factor (error)?
Definition
Perceptual defense
Term
If an organization's means goals are not met, but its ends goals are met, the appropriate
course of action is to ___________.
Definition
Revise the plan or get back to the plan to correct
Term
The Matrix Corporation is a video game developer that develops new and innovative action and
role playing games for next generation game consoles such as the Xbox One and PS4.
Historically, the company’s competitive advantage came from the development of groundbreaking
and highly innovative games that became huge sellers in the marketplace. In order to
achieve this end, the company has always invested heavily in its game development pipeline in
terms of allocating staff time and funding. Unfortunately, the company has in the last couple
years greatly reduced its investment in game development in order to cut costs. This has resulted
in declining sales and profits for the company. Based on the strategy tests discussed under the
topic of Organizational Strategy, the Matrix Corporation most clearly fails which test?
Definition
Frame test
Term
Wellington Sternberg, a major investment bank on the east coast, implemented a cultural change initiative
in the firm to promote more collaboration among the analysts in the firm's equity research units in 2005.
The initiative started out well from 2005-2009 and produced some positive gains in terms of opening up
communication between people and units in the firm and in enhancing the quality of the research being
conducted for internal users and external clients. However, by 2010, the new cultural initiative had lost
all of its momentum and there was virtually no excitement or support for the initiative any longer. A
major reason for this was that management had failed to incorporate collaboration as a key value and
strategic objective into the firm's vision and mission. It also failed to realign the firm's performance
appraisal and reward systems to reflect an emphasis on collaboration. Based on Lewin's change process
model, management failed to manage the ___________ phase of the model effectively.
Definition
refreezing
Term
Based on the “Strategic Planning Retreats” video, which of the following statements would
be appropriate to make to IFC management in terms of discussing planning issues regarding
the retreat?
Definition
“We need to develop a plan for what will be done after we complete the strategic planning
process before we initiate the process.”
Term
Since this is the first time that IFC senior management has engaged in the strategic planning
process, you feel it is critical that they understand what needs “to be done” and “not be
done” in order to make the process effective. You are concerned that many members of the
senior management team really do not understand what strategic planning is or why it is
important so they are dismissing it as being “just a bunch of common sense.” Based on the
video, “Common Pitfalls in Strategic Planning and How to Avoid Them,” which of the
following statements would be appropriate for you to make in your discussion with IFC management?
Definition
“We need to ensure that the strategic plan that is ultimately developed is linked to how
you operate on a daily basis.”
Term
Based on the 9-Step Strategic Planning Process discussed under the Organizational Strategy
topic, what would you need to focus on doing first once the strategic planning retreat is formally
initiated?
Definition
Analyze the planning awareness
Term
You have been hired as a consultant by executives at a apparel design firm that
produces a wide range of a essentials and accessories for value-conscious consumers
from around the world. The major problems the company is experiencing include
inefficient product development, high manufacturing costs, poor quality, poor sales due
to negative customer reactions to the company’s products, and strained relations with
retailers who are frustrated that the company has missed its promised delivery dates on
a number of newly released products. Part of these problems appear to be due to the
fact that the various units involved in product development do not work together to
develop each product. The development process can best be described as sequential in
that each unit completes its part of the process and then sends the work to the next unit
in the development process. The company wants you to start by helping them to figure
out what kind of organizational design they need to implement to produce better results.
Based on this situation, which organizational design would be most appropriate?
Definition
Matrix
Term
One of the trends in management in recent years has been to eliminate middle layers of
management and empowering front-line workers. As a result of this the distance from the
bottom of the organization to the top (in terms of number of levels) has decreased
significantly. Based on our discussion of Organizational Design, which of the following
changes would tend to be associated with this trend?
Definition
The span of control of managers is increasing
Term
The SRX Corporation wants workers to support the new Productivity Maximization
Initiative (PMI), but many employees are not supporting it as they do not feel there is
anything in it for them that would make them want to participate in it. Which strategy for
overcoming resistance to change should management implement in this situation?
Definition
Incentives and Rewards
Term
Based on Professor Dunham’s discussion of Reactions to Change, workers that would be
most resistant to change if it was being led by a lower-ranking manager or an individual
contributor would be those that possess ______________while workers that would be most
resistant to change if the plan for implementing change and its effectiveness are unknown
would be those that possess _____________.
Definition
high authoritarianism; low tolerance for ambiguity
Term
Based on the Abilities Model discussed in Professor Dunham’s Personal Characteristics
podcast, which of the following statements best described the relationship between ability
and performance?
Definition
Performance is a function of ability and motivation moderated by situational and
organizational factors
Term
Van Wilder, a new management trainee at a major corporation in Chicago, is known for his
determination to get to the top of the company regardless of what he has to do to get there.
This means that he is willing to play dirty politics, if necessary. During his annual
performance review with his manager, he complained about how he felt that it is others in
the company that plays dirty politics. Based on our discussion of perceptual errors under the
Personal Characteristics topic, this is an example of which bias?
Definition
Projection
Term
The order in which the stages of the perceptual process occur is _______________.
Definition
Sensation, Selection, Organization, Interpretation
Term
Based on the article, “What Millennials Don’t Know about the Job Market,” the 2013 State
of St. Louis survey of employers found that they were most dissatisfied with which attributes
that they saw in many Millennials?
Definition
Poor work ethic
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