Principles of Management (C483)

Principles of Management (C483)

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Free Principles of Management (C483) Questions

1.

Harry has been promoted because of his hard work. Judy, his colleague, feels that it is unfair and that he does not deserve the promotion. In this case, Judy illustrates

  • Low instrumentality

  • Negative valence

  • High expectancy

  • Low valence

  • Negative instrumentality

Explanation

Correct Answer:

E) Negative instrumentality

Explanation:

Instrumentality refers to the belief that performance leads to outcomes (e.g., rewards, promotions). Negative instrumentality means that a person believes that outcomes are not fairly linked to performance—in this case, Judy does not believe that Harry’s promotion was truly earned.

Why other options are wrong:

A) Low instrumentality → This refers to a weak belief that performance leads to rewards in general, but negative instrumentality is a more accurate term for believing that rewards were distributed unfairly.

B) Negative valence → Valence refers to the value or attractiveness of a reward. Judy's complaint is not about whether the promotion itself is desirable, but rather about fairness.

C) High expectancy → Expectancy refers to the belief that effort leads to performance. Judy’s feelings do not reflect her belief in effort-performance linkage, but rather in reward fairness.

D) Low valence → Valence is about the desirability of a reward. Even if Judy does not personally want the promotion, her complaint is about fairness, not the attractiveness of the promotion.


2.

The final step in managing resistance involves strengthening new behaviors that support a change and is referred to as ___

  • Refreezing

  • Moving

  • Enforcing

  • Solidifying

  • Stabilizing

Explanation

Correct Answer A: Refreezing

Explanation:

Refreezing is the final step in Lewin’s Change Management Model, where new behaviors and processes are reinforced and institutionalized to ensure long-term adoption. This step prevents employees from reverting to old habits and helps stabilize the organization after change.

Why other options are wrong:

B) Moving → Refers to the transition phase where employees adopt new behaviors but have not yet solidified them.

C) Enforcing → Suggests imposing new behaviors rather than encouraging voluntary adoption.

D) Solidifying → A general term, but not a formal stage in change management models like Lewin’s.

E) Stabilizing → Similar in meaning to refreezing, but not the specific term used in change management theory.


3.

In which situation would it be reasonable for an employer to accommodate the needs of a worker with a disability

  • Providing an environment for a mentally ill worker where the worker does not have to interact with others

  • Providing a list of accommodations that the company is willing to make available to all potential employees

  • Providing a germ-free environment for a worker participating in a bone marrow transplant program

  • Providing a Braille keyboard for a worker who is visually impaired

Explanation

Correct Answer

D. Providing a Braille keyboard for a worker who is visually impaired

Explanation

Providing a Braille keyboard is a reasonable accommodation under the Americans with Disabilities Act (ADA) for a worker who is visually impaired. It directly helps the worker perform their job effectively without causing undue hardship to the employer. Accommodations such as these are aimed at ensuring that employees with disabilities have equal access to work and are able to contribute to their full potential.

Why other options are wrong

A. Providing an environment for a mentally ill worker where the worker does not have to interact with others – This may not be a reasonable accommodation, as it isolates the worker and may not necessarily address the specific needs related to the disability. Work environments should encourage integration unless specific medical conditions require different accommodations, which should be evaluated on a case-by-case basis.

B. Providing a list of accommodations that the company is willing to make available to all potential employees – This is not a reasonable accommodation, as it does not specifically address the individual needs of a disabled worker. Accommodations should be tailored to the employee’s specific requirements, not just a general list.

C. Providing a germ-free environment for a worker participating in a bone marrow transplant program – While this could be a necessary accommodation in certain circumstances, it may be seen as overly burdensome to the employer depending on the situation. The provision of a germ-free environment may be more extreme than what is required for most reasonable accommodations.


4.

In which situation does religious preference inappropriately affect decision making

  • A real estate agent uses her religious background as a basis for accepting bids on property that is for sale.

  • A company allows two days off per year for religious celebrations to all employees regardless of religious affiliation

  • A manager refuses to participate in an event that conflicts with the manager's personal religious beliefs.

  • An individual follows religious dietary restrictions while at work regardless of the religious beliefs of others.

Explanation

Correct Answer

A. A real estate agent uses her religious background as a basis for accepting bids on property that is for sale.

Explanation

Using religious preference to make business decisions, such as accepting bids based on personal religious beliefs, constitutes discrimination. It is inappropriate and illegal to make employment or business decisions based on religion in such a way.

Why other options are wrong

B. A company allows two days off per year for religious celebrations to all employees regardless of religious affiliation – Allowing time off for religious celebrations is a form of reasonable accommodation, provided it is extended to all employees, regardless of their religious affiliation. This promotes inclusivity and fairness.

C. A manager refuses to participate in an event that conflicts with the manager's personal religious beliefs. – This is a personal choice and not an example of inappropriate decision-making. A manager has the right to refuse to participate in an event based on personal beliefs, as long as it does not interfere with their professional responsibilities.

D. An individual follows religious dietary restrictions while at work regardless of the religious beliefs of others. – Following personal dietary restrictions at work is not inappropriate. As long as the behavior does not interfere with work or impose undue hardship on others, it is generally acceptable.


5.

What can managers do to encourage useful conflict during a meeting to lessen inhibition about disagreeing and make the conflict less personal

  • Evaluate leadership style

  • Promote affective conflict

  • Provide a devil's advocate

  • Involve others in collaboration

Explanation

Correct Answer:

C) Provide a devil's advocate

Explanation:

Assigning a devil's advocate encourages critical thinking and open debate, making disagreement a structured and less personal process. It helps surface different perspectives in a constructive way, reducing fear of conflict.

Why other options are wrong:

A) Evaluate leadership style: While leadership style influences discussions, simply evaluating it does not actively encourage useful conflict.

B) Promote affective conflict: Affective conflict is emotional and personal, which can be counterproductive rather than useful in a meeting.

D) Involve others in collaboration: Collaboration is important but does not directly address reducing inhibition or making conflict less personal.


6.

Which of the following methods for managing resistance to change is relatively easy but has a drawback of being too expensive in many cases

  • Education and communication

  • Negotiation and rewards

  • Explicit and implicit coercion

  • Participation and involvement

  • Manipulation and cooptation

Explanation

Correct Answer B: Negotiation and rewards

Explanation:

Negotiation and rewards involve offering incentives to employees who resist change, such as higher wages, promotions, or better benefits. This method can be effective in securing cooperation but is often too expensive, as it requires significant financial resources to satisfy employees.

Why other options are wrong:

A) Education and communication → While useful, this method is not inherently expensive, just time-consuming.

C) Explicit and implicit coercion → This method involves forcing compliance, which may lead to resentment but does not have a high cost.

D) Participation and involvement → This approach engages employees in decision-making, but it is not as costly as negotiation-based methods.

E) Manipulation and cooptation → While it may involve incentives or symbolic gestures, it is usually a low-cost method compared to direct financial rewards.


7.

A(n) _____ illustrates the four key drivers of a firm's long-term success and shows how goals in each area are linked to others

  • Strategy map

  • Objective script

  • GANTT chart

  • PERT chart

  • Decision tree

Explanation

Correct Answer A: Strategy map.

Explanation:

A strategy map is a visual tool that links a company's goals across four key areas—financial performance, customer relationships, internal processes, and learning/growth. It helps organizations understand how different objectives contribute to long-term success.

Why other options are wrong:

B) Objective script:This is not a recognized strategic planning tool.

C) GANTT chart: A GANTT chart is used for project management to schedule tasks over time, not for illustrating strategic goals.

D) PERT chart: A PERT (Program Evaluation and Review Technique) chart is used for project scheduling and task dependencies, not for mapping business strategy.

E) Decision tree: Decision trees help in making choices based on probabilities and outcomes, but they don’t link strategic goals.


8.

Which entities protect the rights of employees and potential employees from discrimination in the workplace

  • Equal Employment Opportunity and Affirmative Action

  • National Labor Relations and Labor Management Relations

  • Fair Labor Standards and Worker Adjustment and Retraining Notification

  • Labor Management Reporting and Disclosure and Labor Management Relations

Explanation

Correct Answer:

A) Equal Employment Opportunity and Affirmative Action

Explanation:

Equal Employment Opportunity (EEO) and Affirmative Action are designed to prevent workplace discrimination and promote fair hiring practices. EEO laws protect individuals from discrimination based on race, gender, age, disability, and other factors. Affirmative Action programs aim to increase diversity and address past discrimination.

Why other options are wrong:

B) National Labor Relations and Labor Management Relations: These laws focus on labor unions and employer-employee relations, not specifically on workplace discrimination.

C) Fair Labor Standards and Worker Adjustment and Retraining Notification: These regulate wages, overtime pay, and worker notification before layoffs but do not primarily address discrimination.

D) Labor Management Reporting and Disclosure and Labor Management Relations: These regulate labor unions and collective bargaining, not anti-discrimination protections.


9.

What is the activity called when a corporate project team is created to develop a new product

  • Benchmarking

  • Venture capitalism

  • Intrapreneurship

  • Competitive innovation

Explanation

Correct Answer

C. Intrapreneurship

Explanation

Intrapreneurship refers to the process where employees within a company are given the freedom and resources to develop new products or services, acting like entrepreneurs within the organization. This process enables the company to foster innovation internally without starting a new business.

Why other options are wrong

A. Benchmarking – Benchmarking is the process of comparing business processes and performance metrics to industry bests or best practices from other companies. It is not specifically about developing new products.

B. Venture capitalism – Venture capitalism involves investing in start-up companies with high growth potential. It is not related to internal teams working on new products within an existing company.

D. Competitive innovation – Competitive innovation focuses on developing new ideas to outperform competitors but is not specific to the activity of creating a team to develop new products within an organization.


10.

During an annual staff meeting, the CEO of a corporation addressed the audience by stating that the long-term goal of the corporation is to become the most competitive company in the world and to grow more rapidly than our competitors by providing the best customer service in the business. What did the CEO's statement reflect

  • Strategic mission

  • Strategic vision

  • Strategic competencies

  • Strategic analysis

Explanation

Correct Answer

B. Strategic vision

Explanation

A strategic vision outlines where an organization wants to be in the future. The CEO's statement about becoming the most competitive company and providing the best customer service reflects a future-oriented goal and the long-term direction for the company, which is characteristic of a strategic vision.

Why other options are wrong

A. Strategic mission – A strategic mission is typically a statement about an organization’s current purpose or fundamental reason for existing. The CEO’s statement is focused on future goals, making it more about vision than mission.

C. Strategic competencies – Strategic competencies refer to the skills or capabilities that enable a company to achieve its objectives. The CEO's statement is not focused on specific competencies but on broader company goals.

D. Strategic analysis – Strategic analysis involves assessing the current state of an organization to determine how to achieve its goals. The CEO’s statement is a future goal, not an analysis of the current situation.


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BUS 2301 C483 Principles of Management: 

Introduction to Management:
Management involves coordinating and overseeing the activities of an organization to achieve its goals. It involves decision-making, leadership, and organizational skills. The field of management covers various aspects such as planning, organizing, leading, and controlling resources to achieve specific goals effectively and efficiently.

1. The Functions of Management:

A. Planning:

  • Definition: The process of setting objectives and determining the course of action to achieve them.
  • Types of Planning:
    1. Strategic Planning: Long-term, high-level planning, typically done by top management.
    2. Tactical Planning: Medium-term planning to implement strategic plans, usually by middle management.
    3. Operational Planning: Short-term, day-to-day planning focused on specific tasks.
  • Planning Process:
    1. Define Objectives
    2. Determine Resources
    3. Establish Strategies
    4. Develop Action Plans
    5. Monitor and Evaluate Progress

B. Organizing:

  • Definition: The process of arranging resources and tasks in a structured way to achieve the organization’s objectives.
  • Key Components:
    • Organizational Structure: Defines roles, responsibilities, and relationships within the organization (e.g., hierarchical, flat).
    • Delegation: The assignment of responsibility and authority to others while maintaining accountability.
    • Departmentalization: Grouping jobs and people into units or departments based on similarity (e.g., functional, geographical, product-based).

C. Leading:

  • Definition: Influencing and motivating employees to work towards achieving organizational goals.
  • Leadership Styles:
    • Autocratic: Centralized decision-making, leader makes decisions alone.
    • Democratic: Decision-making shared with employees, encourages collaboration.
    • Laissez-faire: Minimal supervision, employees are given freedom to make decisions.
  • Motivation Theories:
    • Maslow’s Hierarchy of Needs: Focuses on fulfilling basic to advanced needs, from physiological to self-actualization.
    • Herzberg’s Two-Factor Theory: Divides factors into hygiene (e.g., salary, working conditions) and motivators (e.g., recognition, achievement).
    • McGregor’s Theory X and Theory Y: Theory X assumes workers are inherently lazy and need strict control, while Theory Y believes workers are self-motivated and thrive on responsibility.

D. Controlling:

  • Definition: The process of monitoring performance, comparing it with objectives, and taking corrective action when necessary.
  • Control Process:
    1. Set Standards: Determine what performance should look like.
    2. Measure Performance: Track actual performance.
    3. Compare Performance to Standards: Identify deviations.
    4. Take Corrective Action: Adjust strategies or activities to align with objectives.

2. Key Management Skills:

A. Technical Skills:

  • The ability to apply specialized knowledge or expertise.
  • Example: A software developer’s technical ability to write code.

B. Human Skills:

  • The ability to work effectively with people, understanding their needs, and communicating well.
  • Example: A manager’s ability to motivate a team.

C. Conceptual Skills:

  • The ability to think critically and analytically, seeing the organization as a whole and understanding its interrelationships.
  • Example: A manager’s ability to foresee how changes in one department may affect others.

3. Management Theories:

A. Classical Management Theories:

  • Scientific Management: Introduced by Frederick Taylor, focused on improving efficiency by scientifically analyzing work tasks and setting standards.
  • Administrative Management: Henri Fayol’s theory emphasized the importance of administrative functions and management principles like division of labor and authority.
  • Bureaucratic Management: Max Weber’s theory focused on a structured, rule-based system to maintain fairness and efficiency in organizations.

B. Behavioral Management Theories:

  • Focused on understanding human behavior in organizations and using that knowledge to improve management practices.
  • Hawthorne Studies: Research that showed how employees' productivity increases when they feel observed and valued.
  • Theory X and Theory Y (McGregor): As previously mentioned, these theories deal with assumptions about employee motivation.

C. Contemporary Management Theories:

  • Systems Theory: Views an organization as a system of interrelated parts that work together to achieve common goals.
  • Contingency Theory: Argues that there is no one-size-fits-all approach to management; instead, it should depend on the specific situation or context.
  • Total Quality Management (TQM): Focuses on continuous improvement, customer satisfaction, and empowering employees to improve processes.

4. Decision-Making in Management:

A. Decision-Making Process:

  • Step 1: Identify the Problem or Opportunity
  • Step 2: Gather Information
  • Step 3: Develop Alternatives
  • Step 4: Evaluate Alternatives
  • Step 5: Make the Decision
  • Step 6: Implement the Decision
  • Step 7: Monitor and Evaluate the Outcome

B. Types of Decisions:

C. Decision-Making Styles:

  • Directive: Focuses on efficiency and quick decision-making, often in routine situations.
  • Analytical: Involves thorough analysis and data evaluation before deciding.
  • Conceptual: Focuses on creativity and long-term strategy.
  • Behavioral: Emphasizes people’s needs and feelings when making decisions.

5. Organizational Culture:

  • Definition: The shared values, beliefs, and norms that influence how employees interact and work within the organization.

  • Types of Culture:
    • Clan Culture: Family-like, emphasizes collaboration and employee involvement.
    • Adhocracy Culture: Focuses on innovation, creativity, and risk-taking.
    • Market Culture: Results-oriented, emphasizes competition and achieving goals.
    • Hierarchy Culture: Structured, emphasizes stability and control.

6. Organizational Change and Development:

A. Theories of Change:

  • Lewin’s Change Model: Involves three stages—unfreeze (prepare for change), change (implement new practices), and refreeze (stabilize the new practices).
  • Kotter’s 8-Step Change Model: Provides a detailed process for implementing change, such as creating a sense of urgency and forming a guiding coalition.

B. Change Management:

  • Effective change management involves careful planning, clear communication, and support for employees throughout the process.

C. Organizational Development:

  • Focuses on improving organizational effectiveness and employee well-being through interventions like training, team building, and conflict resolution.

7. Ethics and Social Responsibility in Management:

  • Business Ethics: Refers to the moral principles that guide decision-making and actions within an organization.
  • Corporate Social Responsibility (CSR): Refers to a company’s efforts to improve society and the environment beyond profit-making activities.
  • Sustainability: Long-term organizational strategies focused on preserving resources for future generations while ensuring profitability.

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