TEST BANK for Fundamentals of Management (Canadian Edition) 7th Edition by Robbins, DeCenzo, Coulter and Anderson. ISBN 9780135423394 (All Chapters 1-15).

1 Copyright © 2011 Pearson Education, Inc Fundamentals of Management, 7e (Robbins/DeCenzo/Coulter) Chapter 1 Managers and Management 1) Part of what defines an organization is its purpose. Answer: TRUE Explanation: The goals or purpose of an organization define the organization's reason for existing. Without a common purpose, a group of individuals does not qualify as an organization. Diff: 2 Page Ref: 4 Objective: 1.1 2) All organizations have a structure that in some ways serves to define and limit the behavior of members of the organi zation. Answer: TRUE Explanation: The structure of an organization, whether formal or informal, defines how organization members interact. For example, a school's informal guidelines might determine how teachers fraternize. A school's formal guidelines m ight set up rules for interaction between students and teachers. Diff: 2 Page Ref: 4 Objective: 1.1 3) In order to be considered a manager, an individual must direct or oversee the work of others. Answer: TRUE Explanation: Directing and overseeing work distinguishes managers from nonmanagerial employees. Managers direct and oversee work of others. Nonmanagerial employees have no supervisory responsibilities. Diff: 2 Page Ref: 5 AACSB: Analytic Skills Objective: 1.1 4) A manager does not wor k directly on tasks for the organization. Answer: FALSE Explanation: Managers may work on tasks in addition to their supervisory duties. For example, a manager of a shop that designs clothing may also create designs on his or her own. Diff: 2 Page R ef: 5 Objective: 1.1 5) Supervisors and team leaders may both be considered first -line managers. Answer: TRUE Explanation: First -line managers are managers who oversee workers directly and are involved in day-to-day operations. For example, a team mana ger in an auto assembly plant might oversee and help solve everyday problems that arise on the assembly line. Higher level managers typically would not spend time helping to solve assembly line problems directly. Diff: 1 Page Ref: 5 Objective: 1.1 2 Copyright © 2011 Pearson Education, Inc 6) Effectiveness refers to the relationship between inputs and outputs. Answer: FALSE Explanation: Efficiency is concerned with maximizing the output -to-input ratio. Effectiveness, on the other hand, refers not to how well resources are used, but which re sources to use, and whether or not those resources help the organization attain its goals. Diff: 2 Page Ref: 6 AACSB: Analytic Skills Objective: 1.2 7) A goal of efficiency is to minimize output costs while maximizing input costs. Answer: FALSE Explanation: The goal of efficiency is the opposite —to maximize outputs while minimizing inputs. An efficient operation uses the fewest resources to generate the greatest amount of product. Diff: 2 Page Ref: 6 Objective: 1.2 8) Effectiveness refers to the attainment of the organization's goals. Answer: TRUE Explanation: Effectiveness is concerned with "doing the right things" — choosing the tasks that will help the organization achieve its goals. Efficiency, on the other hand, refers to "doing thin gs right," that is, once tasks are chosen they are done with a minimum of waste. Diff: 2 Page Ref: 6 Objective: 1.2 9) Managers who are effective at meeting organizational goals always act efficiently. Answer: FALSE Explanation: A manager may be e ffective, but not efficient. For example, a manager may excel at achieving goals but waste a lot of money, energy, and resources in achieving them. Diff: 3 Page Ref: 6 AACSB: Analytic Skills Objective: 1.2 10) The four contemporary management proce sses are planning, organizing, leading, and commanding. Answer: FALSE Explanation: Leading is a term that replaced commanding and coordinating. So commanding is considered to be part of leading and not distinct from it. Diff: 1 Page Ref: 7 Objective : 1.2 11) Determining who reports to whom is part of the controlling function of management. Answer: FALSE Explanation: The controlling function is largely a process of monitoring and evaluation. Subordinates are observed to see if they are working eff iciently. Programs are evaluated to make sure they are progressing toward organizational goals. Deciding who reports to whom is not a part of this function. Diff: 1 Page Ref: 8 Objective: 1.3 3 Copyright © 2011 Pearson Education, Inc 12) Providing motivation is part of the controlling funct ion of management. Answer: FALSE Explanation: Motivating employees falls under the category of leadership for a manager, not controlling. Diff: 2 Page Ref: 8 Objective: 1.3 13) Defining goals is a key part of the organizing function of management. Answer: FALSE Explanation: Defining goals for an organization is part of the planning, rather than the organizing function of management. Usually only top managers participate in defining broad, strategic goals, while all managers define goals for pract ical levels of organiztion operation. Diff: 1 Page Ref: 8 Objective: 1.3 14) Deciding who will be assigned to which job is a part of the leading function of management. Answer: FALSE Explanation: Assigning tasks falls largely in the category of or ganizing. Leading is concerned with directing and motivating employees. Diff: 1 Page Ref: 8 Objective: 1.3 15) Fayol's management processes are completely equivalent to Mintzberg's management roles. Answer: FALSE Explanation: Fayol's four function s of management are planning, leading, controlling, and organizing. Mintzberg's categories include some of these functions, such as leading and making planning decisions, but leave out the others. Though the two systems can ultimately be reconciled with on e another, it would be a stretch to say that they are equivalent. The strength of the two systems is that they represent different points of view and provide two different lenses with which to observe and analyze management. Diff: 3 Page Ref: 8 -10 AAC SB: Reflective Thinking Objective: 1.3 16) In Mintzberg's view, the roles of figurehead, leader, and liaison are all interpersonal roles. Answer: TRUE Explanation: Mintzberg sees the manager's interpersonal chores as providing motivation and support ( leading), representing the part of the organization you control (figurehead), and connecting with other parts of the organization and/or the outside world (liaison). Diff: 2 Page Ref: 9 Objective: 1.3 17) Disturbance handler is one of Mintzberg's in terpersonal roles. Answer: FALSE Explanation: Though "disturbance handler" sounds like an interpersonal role, it falls under Mintzberg's category of decisional roles. A disturbance handler must decide how to address problems that arise in a way that will best benefit the organization. Diff: 2 Page Ref: 9 Objective: 1.3