Business Acumen Assessment UPDATED
QUESTIONS AND CORRECT ANSWERS
What is Management? - CORRECT ANSWER Management is the process of
achieveving organizational obhectives through people and other resources. The managers job
is to combine human and technical resources in the best way possible to achieve the
companys goals.
How do the jobs of top managers, middle managers, and supervisory managers differ? -
CORRECT ANSWER Top managers develop long-range plans, set a direction for their
organization, and inspire all employees to achieve the companys vision. Middle managers
focus on specific operations, products, or customers. They develop procedures to implement
the companys strategic plans. Supervisory managers interact dierectly with nonmanagerial
employees who produce and sell the companys goods and services. They are responsible for
implementing the plans developed by middle managers and motivating workers to
accomplish daily, weekly and monthly goals.
What is the relationship between the manager's planning and controlling functions? -
CORRECT ANSWER The basic purpose of controlling is to assess the success of the
planning function. Controlling also provides feedback for future rounds of planning.
What is the structure of the finance function at a typical company? - CORRECT
ANSWER The person in charge of the finance function of a company has the title of
chief financial officer (CFO) and generally reports directly to the company's chief executive
officer. Reporting to the CFO are the treasurer, the controller, and the vice president for
financial management.
What is meant by a vision for the company? - CORRECT ANSWER A vision serves as
the target for a companys actions, helping direct the company toward opportunities and
differentiating it from its competitors.
Why is it important for a top executive to set high ethical standards? - CORRECT
ANSWER High ethical standards often result in a stable workforce, job satisfaction,
and customer loyalty.
,Outline the planning process. - CORRECT ANSWER Some plans are very broad and
long range, focusing on key organizational objectives; others are more detailed and specify
how particular objectives will be achieved. from the mission statement to objectives to
specific plans, each phase must fit into a comprehensive planning framework.
Describe the purpose of tactical planning. - CORRECT ANSWER The purpose of
tactical planning is to determine which short term activites should be implemented to
accomplish the companys overall strategy.
Compare the kinds of plans made by top managers and middle managers. How does their
focus differ? - CORRECT ANSWER Top managers focus on long-range, strategic
plans. In contrast, middle-level managers focus on short-term tactical planning.
what is the purpose of a mission statement? - CORRECT ANSWER A mission
statement is a written explanation of a companys purpose, the reason it exists, the customers
it will serve, and how it is different from competitors. A mission statement guides the actions
of company managers and employees.
Which of a company's characteristics does a SWOT analysis compare? - CORRECT
ANSWER A SWOT analysis determines a companys strengths, weaknesses,
opportunities, and threats relative to its competitors.
How do managers use objectives? - CORRECT ANSWER Objectives set guideposts
by which managers define the organizations desired performance in such areas as new-
product development, sales, customer service and employee satisfaction.
Distinguish between programmed and nonprogrammed decisions. - CORRECT
ANSWER Programmed decisions, such as reordering office suppies, are simple and
happen frequently, so procesures for them can streamline the process. Nonprogrammed
decisions, such as entering a new market or developing a new product, require more
individual evalutation.
What are the steps in the deicsion making process? - CORRECT ANSWER The
decision-making steps are recognition of a problem or opportunity, development of
, alternatives, evaluation of alternatives, selection and implementation of the chosen
alternative, and follow-up to determine effectiveness of the decisions.
How is leadership defined? - CORRECT ANSWER Leadership means directing or
inspiring people to attain certain organizational goals. Effective leaders share several traits,
such as empathy, self-awareness, and objectivity in dealing with others. Leaders also use the
power of their jobs, expertise, and experience to influence others.
Identify the styles of leadership as they appear along a continuum of greater or lesser
employee participation. - CORRECT ANSWER At one end of the continuum,
autocratic leaders make decisions without consulting employees. In the miffle of the
continuum, democratic leaders ask employees for suggestions and encourage participation. At
the other end of the continuum, free-rein leaders leave most decisions to their employees.
What is the relationship between leadership style and corporate culture? - CORRECT
ANSWER The best leadership style to adopt often depends on the organizations
corporate culture and its system of principles, beliefs, and values. Managerial philosophies,
communications networks, and workplace enviornments and practices all influence corporate
culture.
How do managers reinforce corporate culture? - CORRECT ANSWER Managers use
symbols, rituals, ceremonies, and stories to reinforce corporate culture.
What is the purpose of an organization chart? - CORRECT ANSWER An organization
chart is a visual representation of a companys structure that illustrates job positions and
functions.
What are the five major forms of departmentalization? - CORRECT ANSWER Product
departmentalization organizes units by the different goods and services a company offers.
Geographical departmentalization organizes units by geographical regions. Customer
departmentalization organizes units by different types of customers. Functional
departmentalization organizes units by business activites such as finance, marketing, human
resources, and production. Process departmentalization organizes units by the steps or work
processes it takes to complete production or provide a service.
QUESTIONS AND CORRECT ANSWERS
What is Management? - CORRECT ANSWER Management is the process of
achieveving organizational obhectives through people and other resources. The managers job
is to combine human and technical resources in the best way possible to achieve the
companys goals.
How do the jobs of top managers, middle managers, and supervisory managers differ? -
CORRECT ANSWER Top managers develop long-range plans, set a direction for their
organization, and inspire all employees to achieve the companys vision. Middle managers
focus on specific operations, products, or customers. They develop procedures to implement
the companys strategic plans. Supervisory managers interact dierectly with nonmanagerial
employees who produce and sell the companys goods and services. They are responsible for
implementing the plans developed by middle managers and motivating workers to
accomplish daily, weekly and monthly goals.
What is the relationship between the manager's planning and controlling functions? -
CORRECT ANSWER The basic purpose of controlling is to assess the success of the
planning function. Controlling also provides feedback for future rounds of planning.
What is the structure of the finance function at a typical company? - CORRECT
ANSWER The person in charge of the finance function of a company has the title of
chief financial officer (CFO) and generally reports directly to the company's chief executive
officer. Reporting to the CFO are the treasurer, the controller, and the vice president for
financial management.
What is meant by a vision for the company? - CORRECT ANSWER A vision serves as
the target for a companys actions, helping direct the company toward opportunities and
differentiating it from its competitors.
Why is it important for a top executive to set high ethical standards? - CORRECT
ANSWER High ethical standards often result in a stable workforce, job satisfaction,
and customer loyalty.
,Outline the planning process. - CORRECT ANSWER Some plans are very broad and
long range, focusing on key organizational objectives; others are more detailed and specify
how particular objectives will be achieved. from the mission statement to objectives to
specific plans, each phase must fit into a comprehensive planning framework.
Describe the purpose of tactical planning. - CORRECT ANSWER The purpose of
tactical planning is to determine which short term activites should be implemented to
accomplish the companys overall strategy.
Compare the kinds of plans made by top managers and middle managers. How does their
focus differ? - CORRECT ANSWER Top managers focus on long-range, strategic
plans. In contrast, middle-level managers focus on short-term tactical planning.
what is the purpose of a mission statement? - CORRECT ANSWER A mission
statement is a written explanation of a companys purpose, the reason it exists, the customers
it will serve, and how it is different from competitors. A mission statement guides the actions
of company managers and employees.
Which of a company's characteristics does a SWOT analysis compare? - CORRECT
ANSWER A SWOT analysis determines a companys strengths, weaknesses,
opportunities, and threats relative to its competitors.
How do managers use objectives? - CORRECT ANSWER Objectives set guideposts
by which managers define the organizations desired performance in such areas as new-
product development, sales, customer service and employee satisfaction.
Distinguish between programmed and nonprogrammed decisions. - CORRECT
ANSWER Programmed decisions, such as reordering office suppies, are simple and
happen frequently, so procesures for them can streamline the process. Nonprogrammed
decisions, such as entering a new market or developing a new product, require more
individual evalutation.
What are the steps in the deicsion making process? - CORRECT ANSWER The
decision-making steps are recognition of a problem or opportunity, development of
, alternatives, evaluation of alternatives, selection and implementation of the chosen
alternative, and follow-up to determine effectiveness of the decisions.
How is leadership defined? - CORRECT ANSWER Leadership means directing or
inspiring people to attain certain organizational goals. Effective leaders share several traits,
such as empathy, self-awareness, and objectivity in dealing with others. Leaders also use the
power of their jobs, expertise, and experience to influence others.
Identify the styles of leadership as they appear along a continuum of greater or lesser
employee participation. - CORRECT ANSWER At one end of the continuum,
autocratic leaders make decisions without consulting employees. In the miffle of the
continuum, democratic leaders ask employees for suggestions and encourage participation. At
the other end of the continuum, free-rein leaders leave most decisions to their employees.
What is the relationship between leadership style and corporate culture? - CORRECT
ANSWER The best leadership style to adopt often depends on the organizations
corporate culture and its system of principles, beliefs, and values. Managerial philosophies,
communications networks, and workplace enviornments and practices all influence corporate
culture.
How do managers reinforce corporate culture? - CORRECT ANSWER Managers use
symbols, rituals, ceremonies, and stories to reinforce corporate culture.
What is the purpose of an organization chart? - CORRECT ANSWER An organization
chart is a visual representation of a companys structure that illustrates job positions and
functions.
What are the five major forms of departmentalization? - CORRECT ANSWER Product
departmentalization organizes units by the different goods and services a company offers.
Geographical departmentalization organizes units by geographical regions. Customer
departmentalization organizes units by different types of customers. Functional
departmentalization organizes units by business activites such as finance, marketing, human
resources, and production. Process departmentalization organizes units by the steps or work
processes it takes to complete production or provide a service.
