Business Management Chapters 1-5 Exam Questions With Correct Answers

Organization - Answer A group of people who work together to achieve some specific purpose Management - Answer 1) the pursuit of organizational goals efficiently and effectively by 2) integrating the work of people through 3) planning, organizing, leading, and controlling the organizations success Efficient - Answer to use resources wisely and cost effectively Effective - Answer to achieve results, to make the right decisions, and to successfully carry them out so that they achieve the org's goals. The 4 parts of the management process - Answer Planning, organizing, leading, controlling Planning - Answer You set goals and decide how to achieve them Organizing - Answer You arrange tasks, people, and other resources to accomplish the work Controlling - Answer You monitor the performance, compare it with goals, and take corrective action as needed. Leading - Answer You motivate, direct, and otherwise influence people to work hard to achieve the org's goals. Competitive Advantage - Answer The ability of an org to produce goods/svcs more effectively than competitors do, thereby outperforming them Having a competitive advantage means: - Answer being responsive, innovation, quality, efficiency E-business - Answer using the internet to facilitate every aspect of running a business Percentage white population will decrease to: - Answer from 62% to 43% by 2060 Ration of residents expected to be over 65 years old: - Answer 1 in 5 by 2030 Annual e-commerce spend by 2019: - Answer 3.55 trillion $50 Billion ponzi scheme - Answer Bernie Madoff Tyco CEO guilty of grand larceny, securities fraud, and tax invasion - Answer Dennis Kozlowski Worldcom head convicted of fraud - Answer Bernard Ebbers Sustainability - Answer Economic development that meets the needs without compromising the ability of future generations to meet their own needs. 3 skills of exceptional managers - Answer technical, conceptual, and human skills. Technical skills - Answer job specific knowledge needed to perform well in a specialized field Conceptual skills - Answer the ability to think analytically, to visualize an org as a whole and understand how the parts work together Human skills (Soft skills) - Answer ability to work well in a cooperation with other people to get things done; the ability to motivate, inspire trust, and communicate with others 4 most valued traits in managers - Answer ability to motivate and engage others, the ability to communicate, work experience outside the USA, high energy levels to meet the demands of global travel and a 24/7 world What are the three types of managerial roles? - Answer interpersonal, informational, and decisional Interpersonal roles - Answer interact with people inside and outside of their work units (i.e figurehead, leader, liason) Informational roles - Answer receive and communicate information (monitor, disseminator, spokesperson) Decisional roles - Answer use info to make decisions to solve problems or take advantage of opportunities (entrepreneur, disturbance handler, resource allocator, negotiator) Scientific management (classical viewpoint) - Answer emphasized the scientific study of work methods to improve the productivity of individual workers Who pioneered scientific management? - Answer Frederick W Taylor and the Gilberths in the early 1900's Taylor's 4 principles of scientific management - Answer scientifically study each part of the task, carefully select workers with the right abilities, give workers the training and incentives to do the task properly, and use scientific principles to plan the work methods Why is the classical viewpoint important? - Answer work activity was amenable to a rational approach, through the application of scientific methods, time and motion studies, and job specialization it was possible to boost productivity, and it lead to later innovations such as management by objectives and goal setting. What was the problem with the classical viewpoint - Answer too mechanistic, did not take into account human needs The 3 phases of behavioral viewpoint - Answer behaviorism, human relations movement, and behavioral science Behavioral viewpoint - Answer emphasized the importance of understanding human behavior and motivating employees toward achievement. Human relations movement - Answer proposed that better human relations could increase worker productivity Who pioneered the human relations movement? - Answer Abraham Maslow and Douglas McGregor Maslow's Hierarchy of 5 needs - Answer physiological, safety, love, esteem, self-actualization Physiological needs - Answer food, clothing, shelter (covered by wages) Safety needs - Answer physical safety, emotional security, avoidance of violence (health insurance, job security, pension plans) Love need - Answer love, friendship, affection (office parties, company sports teams) Esteem needs - Answer self-respect, status, reputation, recognition, self-confidence (bonuses, promotions) Self-actualization needs - Answer need for the self-fulfillment, increasing competence, using abilities to the fullest (sabbatical leave) Who created Theory X versus Theory Y? - Answer Douglas McGregor Theory X - Answer reps a pessimistic, negative view of workers. Theory Y - Answer represents an optimistic, positive view of workers. Behavioral Science - Answer relies on scientific research for developing theories about human behavior that can be used to provide practical tools for managers The 4 disciplines of behavioral science - Answer psychology, sociology, anthropology, economics Psychology - Answer the scientific study of the human mind and its functions sociology - Answer the study of the development, structure, and functioning of human society. the study of social problems. anthropology - Answer the study of human societies and cultures and their development. economics - Answer the branch of knowledge concerned with the production, consumption, and transfer of wealth. The 2 types of quantitative viewpoints? - Answer Management science and operations management Quantitative viewpoint - Answer application to management of quantitative techniques, such as statistics and computer simulations Management Science - Answer focuses on using mathematics to aid in problem solving and decision making Operations Management - Answer focuses on managing the production and delivery of org' products/svcs more effectively. concerned with work scheduling, production planning, facilities design, and optimum inventory levels. Th 4 parts of a system - Answer inputs, transformational processes, outputs, feedback Inputs - Answer people, money, info, equipment, and materials required to produce an organizations goods/svcs