Chapter 1—Management
TRUE/FALSE
1. While good management is basic to starting and growing a business, once some measure of
success has been achieved, good management becomes less important.
ANS: F
Good management is basic to starting a business, growing a business, and maintaining a business
once it has achieved some measure of success.
PTS: 1 DIF: Easy REF: 1-1 NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
2. Managers are responsible for doing the basic work in the company.
ANS: F
The manager's job is not to do the basic work in the company but to help others do their work.
PTS: 1 DIF: Easy REF: 1-1 NAT: Level I Knowledge
TOP: AACSB Analytic KEY: Leadership Principles
3. Companies that plan have larger profits and faster growth than companies that don’t.
ANS: T PTS: 1 DIF: Easy REF: 1-2a
NAT: Level I Knowledge TOP: AACSB Analytic
KEY: Leadership Principles | Strategy
,4. Top managers are the managers responsible for facilitating team activities toward goal
accomplishment.
ANS: F
Top managers are executives responsible for the overall direction of the organization. Team
leaders are the managers responsible for facilitating team activities toward goal accomplishment.
PTS: 1 DIF: Moderate REF: 1-3a NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
5. Typical titles used for top managers are general manager, plant manager, regional manager, and
divisional manager.
ANS: F
These are typical titles for middle managers, not top managers.
PTS: 1 DIF: Moderate REF: 1-3a | 1-3b NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
6. Top managers are responsible for creating a climate for change in an organization.
ANS: T PTS: 1 DIF: Moderate REF: 1-3a
NAT: Level I Knowledge TOP: AACSB Analytic
KEY: Leadership Principles
7. First-line managers are responsible for setting objectives consistent with organizational goals and
planning and implementing strategies for achieving these objectives.
ANS: F
, This is one of the responsibilities of middle managers.
PTS: 1 DIF: Moderate REF: 1-3c NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
8. Middle managers are typically responsible for coordinating and linking groups, departments, and
divisions within a company.
ANS: T PTS: 1 DIF: Moderate REF: 1-3b
NAT: Level II Comprehension TOP: AACSB Analytic
KEY: Leadership Principles
9. First-line managers are the only managers who do not supervise other managers.
ANS: T PTS: 1 DIF: Easy REF: 1-3c
NAT: Level II Comprehension TOP: AACSB Analytic
KEY: Leadership Principles
10. Middle managers engage in plans and actions that typically produce results within a short time
period.
ANS: F
First-line managers engage in such plans and actions. Middle managers plan 6 to 18 months out.
PTS: 1 DIF: Moderate REF: 1-3b | 1-3c NAT: Level I Knowledge
TOP: AACSB Analytic KEY: Leadership Principles
11. The job of team leader would NOT be considered a management position.
, ANS: F
The job of team leader is indeed one of the four kinds of management jobs, which are top
managers, middle managers, first-line managers, and team leaders.
PTS: 1 DIF: Easy REF: 1-3d NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
12. Team leaders are responsible for managing both internal team relationships and external
relationships with other teams, departments, and divisions in a company.
ANS: T PTS: 1 DIF: Moderate REF: 1-3d
NAT: Level II Comprehension TOP: AACSB Analytic
KEY: Leadership Principles
13. While strong interpersonal conflict management skills are important for first-line managers, it is
not a very important skill for team leaders.
ANS: F
This is a critical skill for team leaders. Team leaders are responsible for internal team relations.
Since the entire team suffers when a conflict arises between members, it is critical for team
leaders to know how to help team members resolve conflicts.
PTS: 1 DIF: Easy REF: 1-3d NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
14. The three interpersonal roles are monitor, disseminator, and spokesperson.
ANS: F
The three interpersonal roles are figurehead, leader, and liaison. See Exhibit 1.3.
TRUE/FALSE
1. While good management is basic to starting and growing a business, once some measure of
success has been achieved, good management becomes less important.
ANS: F
Good management is basic to starting a business, growing a business, and maintaining a business
once it has achieved some measure of success.
PTS: 1 DIF: Easy REF: 1-1 NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
2. Managers are responsible for doing the basic work in the company.
ANS: F
The manager's job is not to do the basic work in the company but to help others do their work.
PTS: 1 DIF: Easy REF: 1-1 NAT: Level I Knowledge
TOP: AACSB Analytic KEY: Leadership Principles
3. Companies that plan have larger profits and faster growth than companies that don’t.
ANS: T PTS: 1 DIF: Easy REF: 1-2a
NAT: Level I Knowledge TOP: AACSB Analytic
KEY: Leadership Principles | Strategy
,4. Top managers are the managers responsible for facilitating team activities toward goal
accomplishment.
ANS: F
Top managers are executives responsible for the overall direction of the organization. Team
leaders are the managers responsible for facilitating team activities toward goal accomplishment.
PTS: 1 DIF: Moderate REF: 1-3a NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
5. Typical titles used for top managers are general manager, plant manager, regional manager, and
divisional manager.
ANS: F
These are typical titles for middle managers, not top managers.
PTS: 1 DIF: Moderate REF: 1-3a | 1-3b NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
6. Top managers are responsible for creating a climate for change in an organization.
ANS: T PTS: 1 DIF: Moderate REF: 1-3a
NAT: Level I Knowledge TOP: AACSB Analytic
KEY: Leadership Principles
7. First-line managers are responsible for setting objectives consistent with organizational goals and
planning and implementing strategies for achieving these objectives.
ANS: F
, This is one of the responsibilities of middle managers.
PTS: 1 DIF: Moderate REF: 1-3c NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
8. Middle managers are typically responsible for coordinating and linking groups, departments, and
divisions within a company.
ANS: T PTS: 1 DIF: Moderate REF: 1-3b
NAT: Level II Comprehension TOP: AACSB Analytic
KEY: Leadership Principles
9. First-line managers are the only managers who do not supervise other managers.
ANS: T PTS: 1 DIF: Easy REF: 1-3c
NAT: Level II Comprehension TOP: AACSB Analytic
KEY: Leadership Principles
10. Middle managers engage in plans and actions that typically produce results within a short time
period.
ANS: F
First-line managers engage in such plans and actions. Middle managers plan 6 to 18 months out.
PTS: 1 DIF: Moderate REF: 1-3b | 1-3c NAT: Level I Knowledge
TOP: AACSB Analytic KEY: Leadership Principles
11. The job of team leader would NOT be considered a management position.
, ANS: F
The job of team leader is indeed one of the four kinds of management jobs, which are top
managers, middle managers, first-line managers, and team leaders.
PTS: 1 DIF: Easy REF: 1-3d NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
12. Team leaders are responsible for managing both internal team relationships and external
relationships with other teams, departments, and divisions in a company.
ANS: T PTS: 1 DIF: Moderate REF: 1-3d
NAT: Level II Comprehension TOP: AACSB Analytic
KEY: Leadership Principles
13. While strong interpersonal conflict management skills are important for first-line managers, it is
not a very important skill for team leaders.
ANS: F
This is a critical skill for team leaders. Team leaders are responsible for internal team relations.
Since the entire team suffers when a conflict arises between members, it is critical for team
leaders to know how to help team members resolve conflicts.
PTS: 1 DIF: Easy REF: 1-3d NAT: Level II
Comprehension
TOP: AACSB Analytic KEY: Leadership Principles
14. The three interpersonal roles are monitor, disseminator, and spokesperson.
ANS: F
The three interpersonal roles are figurehead, leader, and liaison. See Exhibit 1.3.
