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Business Management Quiz - 67

1. The concept of social audit proposed in the 1950s by Howard R. Bowen is technique for
[A]Measuring the social infrastructure within an organisation
[B]Measuring the social impact of an organisation in relation to its stakeholders
[C]Measuring the level of success or failure of an innovation
[D]Showing a total picture of how a business will operate


2. The principle, where individuals in an organization work in co-ordination and contribute to the achievement of organizational goals, is called
[A]Unity of direction
[B]Unity of command
[C]Hierarchy of authority
[D]Authority on Par


3. Jim's work team takes care of handling supplies and parts for the entire department. This team maintains a strong supporting focus on providing quality customer care. Which of the following is most likely to be the type of decision the members of Jim's team make?
[A]Operational
[B]Strategic
[C]Nonprogrammed
[D]Tactical


4. Plans can be categorized on the basis of their frequency of use. Based on the extent of use, they can be of two types: single-use plans and standing plans. Which of the following statements is/are true with respect to standing plans?
I. Standing plans are developed for activities that do not occur regularly over a period of time.
II. A policy is a standing plan that specifies the broad parameters within which organization members are expected to operate in pursuit of organization’s goals.
III. Rules are one of the standing plans that spell out specific actions that must be taken or not taken in a given situation.
[A]Only (I) above
[B]Only (II) above
[C]Both (I) and (II) above
[D]Both (II) and (III) above


5. The general type of managerial role identified by Mintzberg that includes the specific roles of entrepreneur, disturbance handler, resource allocator, and negotiator, is
[A]Decisional
[B]Interpersonal
[C]Informational
[D]Administrative


6. From the viewpoint of line personnel, major reason/s for line-staff conflict is/are that staff personnel
I. Encroach line authority.
II. Dilute the authority of line managers.
III. Take credit for success.
IV. Lack a first-hand experience of operations.
[A]Only (I) above
[B]Only (IV) above
[C]Both (I) and (II) above
[D]All (I), (II), (III) and (IV) above


7. After all factors have been determined, weights have been assigned, and alternatives have been identified, the next step in decision making is to
[A]Identify the problem
[B]Identify the decision criteria
[C]Analyze the alternatives
[D]Implement the alternative


8. In recent years, research has proved that culture has a tremendous impact on management practices. Which of the following is not a characteristic of Organizational Culture?
[A]It may vary in strength
[B]It is indistinct in nature
[C]It is based on certain norms
[D]It promotes dominant and stable values


9. People avoid planning for several reasons. Which of the following is/are organizational problems/reasons for avoiding planning?
I. Faulty reward schemes.
II. Experience.
III. The ‘get stuck in’ culture.
IV. Resistance to change.
[A]Only (I) above
[B]Both (I) and (III) above
[C]Both (II) and (IV) above
[D](I), (II) and (III) above


10. In order to understand the role of management, in the late 1960s, Henry Mintzberg devised a new approach – the managerial roles approach. According to him, which of the following managerial roles involves transmitting selected information to outsiders?
[A]Figure head
[B]Leader
[C]Liaison
[D]Spokesperson


11. Authority is vital for a manager. Exercising authority over the roles of other departments, related to specific tasks is known as
[A]Line authority
[B]Formal authority
[C]Functional authority
[D]Staff authority


12. Production planning is the decision-making area that determines when and where and in what quantity a manufacturer is to produce goods. In production planning areas of many organizations, which of the following methods is used for comparing the actual and planned performances?
[A]Unity of command
[B]Unity of direction
[C]Scalar chain
[D]Gantt chart


13. Which of the following cannot be considered a limitation of decentralization?
[A]It makes having a uniform policy more difficult
[B]It may result in loss of some control by upper level managers
[C]It hampers product diversification
[D]It involves considerable expenses for training managers


14. Strategic management is a process for achieving strategic goals, given available environmental and internal conditions. It falls in the purview of top management. Which of the following statements is correct regarding strategic management?
[A]It seeks to maximise profit
[B]It identifies areas where the organisation can build a competitive advantage
[C]It is short-term in nature
[D]It has little relevance to small organisations


15. Armugam works in an organization where a large amount of collaboration occurs and decision-making authority is decentralized. There are few rules, and duties are adaptable. This is an example of which of the following?
[A]Strategic organization
[B]Mechanistic organization
[C]Organic organization
[D]Bureaucratic organization


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