MGT 162 FUNDAMENTALS OF MANAGEMENT

JUNE OCT 2016

ADDITIONAL EXERCISE FOR CAHPTER 1
CHAPTER 3
MULTIPLE CHOICE.
1. Managers who train their workers to use the fewest inputs to generate a given
output are focusing on
A) efficiency
B) effectiveness
C) management
D) controlling
2. The process by which an organization makes plan and decisions, which are
focused on its long-run performance is referred to as
A) operational planning
B) tactical planning
C) strategic planning
D) functional planning
3. The second step of the decision making process deals with the results the
organizations wants to attain. This step is referred to as
A) monitoring and evaluating
B) reaching decisions
C) generating alternatives
D) identifying objectives
4. The three major activities included in the planning process are:
A. Motivating, understanding and directing the members of the organization
B. Monitoring performance, identifying deviation and taking corrective action
C. Goal setting, developing a plan of action and monitoring the progress
D. Motivating, identifying deviation and monitoring the progress
5. The purpose of is to ensure that the organization is both effective and efficient in
its activities.
A. planning
B. organizing
C. controlling
D. leading
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6. Which of the following is not an example of an interpersonal role according to

Mintzberg?
A. Spokesperson
B. Figurehead
C. Leader
D. Liaison
7. If an individual knows the price of the three similar photocopy machines at
different dealership, he or she is operating under what type of decision-making
conditions?
A. Risk
B. Actual
C. Certainty
D. Uncertainty
8. Which of the following is NOT a major type of single use plan?
A. Programs
B. Policies
C. Projects
D. Budgets
9. The "art of getting things done" through other people was Mary Parket Folletfs
classic definition of
A. organizing.
B. management.
C. planning.
D. controlling
10. The CEO of PespiCo spends a considerable amount of time outlining the
activities necessary to achieve the goals of his organization. That process is called
A. auditing.
B. scripting.
C. planning.
D. organizing.

11. Airlines such as Continental, United, and Delta operate with very narrow profit
margins. As a result, these companies try hard to use the fewest inputs (jet fuel,
maintenance hours, ticket agents etc.) to generate a given output. This information
tells us that is a critical managerial issue at major airlines.
A. effectiveness
B. proficiency
C. potency
D. efficiency
12. An organization is a group of individuals who work together
A. to maximize shareholder wealth.
B. to generate the most profit.
C. to become more efficient.
D. toward common goals.
13. The three (3) main roles of a manager according to Henry Mintzberg are:
A. interpersonal, informational and decisional.
B. planning, organizing and leading.
C. conceptual, human and technical.
D. top managers, middle managers and lower managers.
14. When top management set the goals for the organization and decides on the
marketing strategy necessary to achieve these goals, we say that top management is
engaged in which of the basic functions of management?
A. Controlling.
B. Leading.
C. Organizing.
D. Planning.
15. Which of the following titles probably indicates a first-line manager?
A. President
B. Supervisor
C. Technician
D. Marketing manager
16. Examples of standing plans are:
A. programs, projects and budgets.
B. programs, policies and rules.
C. policies, procedures and rules.
D. policies, projects and budgets.
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17. From a general perspective, the planning process offers 4 primary benefits.
They are:
A. better coordination, a road map as a guide, a focus on forward thinking and
more effective control systems.
B. better supervision, a focus on historical thinking, a road map and more effective
control systems.
C. better coordination, focus on historical thinking, a top-down work environment
and more effective control systems.
D. better supervision, focus on forward thinking, a top-down work environment
and substitution of empowerment for control.
18. "We encourage the use of environmentally-safe materials" is an example of
A. rule.
B. procedure.
C. policy.
D. program.
19. A small manufacturing company in Kangar is organized into accounting,
marketing, and production departments. The managers of each of these
departments are referred to as a .
A. general manager
B. divisional manager
C. functional manager
D. administrative manager
20. Standing plans are developed to address issues in an organization that recur
A. frequently
B. infrequently
C. only once
D. even once
21. Decisions made in response to situations that are unique, unstructured, or
poorly defined are referred to as .
A. static decisions
B. non-programmed decisions
C. programmed decisions
D. experiential decisions

22. The step in the decision making process that asks the question, "Which solution
is best?" is referred to as:
A. choosing implementation strategies.
B. monitoring and evaluating.
C. identifying objectives.
D. evaluating alternatives.
23. Azura is facing a decision where she cannot assess the probability of
occurrence for the various state of nature. This type of decision-making situation is
known
A. decision making under risk.
B. decision making under uncertainty.
C. decision- making under pressure.
D. decision- making under certainty.
24. Suppose the managers in an auto plant are primarily concerned with training
their workers to use the fewest inputs to generate a given level of output. This
scenario depicts managers who are primarily focused on
A. efficiency.
B. effectiveness.
C. directing.
D. controlling.
25. An organization is a group of individuals who work together
A. to maximize shareholder's wealth.
B. to generate the most profit.
C. to become more efficient.
D. toward common goals.