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Introduction to Management Principles (Management Quiz - 65)

1. Which strategic business units (SBU) mapped on the BCG matrix, either need more investment or can be considered for withdrawal?
[A]Question marks
[D]Cash cows

2. Which of the following is not true about why an organization adopts a strategic business unit (SBU) structure?
[A]To ensure that a product is not ignored among others that generate high profits
[B]To integrate goals and plans of the SBU with goals and plans of other SBUs
[C]It aids in concentrating energies on promoting a product or product line
[D]It conserves entrepreneurial attention and initiative

3. Which of the following is not a problem associated with a poor ‘span of control?’
[A]Problems in structuring the organization
[B]Delay in decisions
[C]Decreased levels of initiative and morale

4. A subordinate identifies communication from the superior as being authoritative only if he
I. Receives it in writing.
II. Understands the message.
III. Believes that it is in agreement with the organization’s purpose.
IV. Feels that it serves his interests.
[A]Only (I) above
[B]Both (I) and (III) above
[C]Both (II) and (IV) above
[D](II), (III) and (IV) above

5. The intensity of an ethical issue is greater when
I. The number of people harmed is large.
II. Everyone agrees that the action is wrong.
III. The consequences of the action may be felt immediately.
IV. Financial loss incurred is great.
[A]Both (I) and (II) above
[B]Both (III) and (IV) above
[C](I), (II) and (III) above
[D](I), (II) and (IV) above

6. The key result areas in business suggested by Peter Drucker include
I. Physical and financial resources.
II. Profitability.
III. Innovation.
IV. Worker performance and attitude.
[A]Both (I) and (II) above
[B]Both (III) and (IV) above
[C](I), (II) and (IV) above
[D]All (I), (II), (III) and (IV) above

7. Which of the following is not a guideline for successful planning and implementation?
[A]Involve the right people in the planning process
[B]Communicating the plan throughout the organization
[C]Goals should be ‘SMARTER’
[D]There should be no deviations from the plan

8. An organization’s leaders should follow certain principles for clarity and simplicity in the way the organization is managed. Which of the following principles relates to ‘working relationships?’
[A]The optimal reach of management should be determined
[B]Responsibility should be clearly defined and assigned to one person
[C]An organization should provide for the development of leaders
[D]Separate functions should, as far as possible, work toward a common objective

9. According to Moskowitz, which of the following is not a characteristic of the work environment in well-managed companies?
[A]It highlights distinction in ranks
[B]It makes people feel they are part of a team
[C]It encourages open communication
[D]It stresses quality

10. Group decision-making is the norm in most large and complex organizations. Which of the following is a disadvantage of group decision-making?
[A]Greater comprehension
[C]Greater pool of knowledge
[D]Different perspectives to a problem

11. Which of the following statements about ‘managerial functions’ is/are not true?
I. Time spent by top-level managers in planning and organizing is much more than that spent by middle level and first level managers.
II. Leading is substantially more important for higher-level managers than first level supervisors.
III. Time spent on controlling is similar at all levels.
[A]Only (I) above
[B]Only (II) above
[C]Only (III) above
[D]Both (I) and (III) above

12. Which of the following is a function of how much decision-making authority is pushed down to lower levels in the organization?
[C]Span of control

13. The fact that managers make consistent, value-maximizing choices within specified constraints is known as
[A]Implementation of the alternative
[B]Decision implementation
[C]Rational decision making
[D]Irrational decision making

14. Organizations that adopt a matrix structure generally pass through some structural stages. Which of these structural stages is a traditional structure and follows the unity of command principle?
[A]Functional (stage 1)
[B]Temporary overlay (stage 2)
[C]Permanent overlay (stage 3)
[D]Mature matrix (stage 4)

15. A production manager of a manufacturing organization is trying to determine how to organise the production department, so that it can produce more units per day and achieve the targets in a specified time. Identify the managerial function.


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