Management Principles and Applications, Fifth Edition BiermanFerrellFerrell
Chapters 1-16 Answers are at the End of Each Chapter
Chapter 1
TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.
1) If there were no organisations, there would be no need for managers.
Answer: True False
Diff: 2
Topic: Why are managers important?
Objective: LO1
2) Identifying critical issues is an important task that managers need to play in today's business world.
Answer: True False
Diff: 3
Topic: Why are managers important?
Objective: LO1
3) According to the Gallup Organization survey, the relationship between employees and their colleagues is more
important to their success than any other factor.
Answer: True False
Diff: 3
Topic: Why are managers important?
Objective: LO1
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the
question.
4) Which of the following is NOT a challenge in today's business world that requires managers to be able to craft
responses?
A) the worldwide economic climate
B) the risks of global warming
C) scientific developments in medicine
D) changing technology
E) ever-increasing globalisation
Answer: C
Diff: 2
Topic: Why are managers important?
Objective: LO1
Managerial Basic Training (Scenario)
Imagine that your marketing company has just merged with a manufacturing organisation. You have been asked
to help provide some 'basic' managerial training to the engineers in the research and development unit of the new
sister company. Your boss has asked to see an overview of materials that you will be providing the engineers, to
make sure you are covering the necessary materials.
5) Refer to Managerial Basic Training (Scenario). Now that both companies are merged and are a systematic
arrangement of people set to accomplish a specific purpose they could be described as a(n) ________.
,A) business unit
B) multinational company
C) cross-functional work group
D) organisation
E) holding company
Answer: D
Diff: 1
Topic: Why are managers important?
Objective: LO1
6) How can managers assist organisations in handling complex issues such as the Global Financial Crisis in
2007-2010?
A) by increasing organisational efficiency
B) by restricting employee unsupervised activities
C) by identifying critical issues and crafting responses
D) by mentoring a better line-management force
E) by increasing collaboration across units
Answer: C
Diff: 1
Topic: Why are managers important?
Objective: LO1
TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.
7) A distinct purpose is important in defining an organisation.
Answer: True False
Diff: 1
Topic: What is an organisation?
Objective: LO2
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the
question.
8) An organisation is ________.
A) a collection of individuals working for the same company
B) a deliberate arrangement of people to accomplish some specific purpose
C) the physical location where people work
D) a group of individuals focused on profit making for their shareholders
E) different from a 'company' because of legal definitions
Answer: B
Diff: 1
Topic: What is an organisation?
Objective: LO2
9) Which of the following is NOT a characteristic of an organisation?
A) developing a deliberate structure
B) setting a goal or goals
C) having a distinct purpose
D) being composed of people
E) encouraging employee free-time activities
Answer: E
Diff: 2
Topic: What is an organisation?
,Objective: LO2
10) One of the common characteristics of all organisations, ________, clarifies members' work relationships.
A) its goals
B) its deliberate structure
C) its purpose
D) norms
E) its people
Answer: B
Diff: 2
Topic: What is an organisation?
Objective: LO2
11) One of the common characteristics of all organisations, ________, is typically expressed in terms of its goals.
A) its people
B) norms
C) its goals
D) its purpose
E) its systematic structure
Answer: D
Diff: 1
Topic: What is an organisation?
Objective: LO2
12) Which of the following is NOT a characteristic of contemporary organisations?
A) employee participation in decision making
B) team orientation
C) workforce diversity
D) flexible work arrangements
E) clearly identifiable work units
Answer: E
Diff: 2
Topic: What is an organisation?
Objective: LO2
TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false.
13) The term 'operative' refers to an entity that has a distinct purpose, includes people and has a deliberate
structure.
Answer: True False
Diff: 3
Topic: Who are managers?
Objective: LO3
14) As organisations have changed, the distinction between managers and non-managerial employees has blurred.
Answer: True False
Diff: 2
Topic: Who are managers?
Objective: LO3
15) Supervisors and forepersons may both be considered first-line managers.
Answer: True False
, Diff: 1
Topic: Who are managers?
Objective: LO3
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the
question.
16) Traditionally, ________ were individuals in an organisation who worked directly on a job or task but had no
subordinates.
A) line managers
B) non-managerial employees
C) subordinates
D) managers
E) team leaders
Answer: B
Diff: 2
Topic: Who are managers?
Objective: LO3
17) ________ are organisational members who coordinate and oversee the work of others.
A) Operatives
B) Subordinates
C) Team leaders
D) Managers
E) Agents
Answer: D
Diff: 1
Topic: Who are managers?
Objective: LO3
18) Which of the following is the lowest level of management?
A) top managers
B) team leaders
C) middle managers
D) first-line managers
E) subordinates
Answer: D
Diff: 1
Topic: Who are managers?
Objective: LO3
19) Supervisor is another name for whom?
A) first-line managers
B) team leaders
C) middle managers
D) subordinates
E) top managers
Answer: A
Diff: 2
Topic: Who are managers?
Objective: LO3