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In a bureaucracy, a manager's formal authority derives from


A) the manager's social standing and personal contacts.
B) informal rule-of-thumb knowledge.
C) intuitive knowledge.
D) codifying the new methods of performing tasks into written rules.
E) the position the manager holds in the organization.

F) C) and D)
G) A) and C)

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Michel's company's IT department sent an email to all employees explaining how employees must secure their computers when they leave their offices. Employees would most likely consider these instructions


A) norms.
B) rules.
C) suggestions.
D) orders.
E) recommendations.

F) A) and B)
G) B) and E)

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Which of Teece's managerial activities would a company embrace if it wanted to use company resources to capture value for the organization from previously determined opportunities?


A) sensing
B) seizing
C) transforming
D) positioning
E) controlling

F) C) and D)
G) A) and C)

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Every year, Johnson-Murphy holds a company picnic with competitive games and fun activities so its employees can get to know one another in a more social setting. Johnson-Murphy is focusing on Fayol's concept of


A) esprit de corps.
B) subordination of individual interests to the common interest.
C) remuneration of personnel.
D) order.
E) unity of direction.

F) A) and E)
G) A) and D)

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During the evolution of modern management, when crafts production was being replaced by large factories, why did owners and managers struggle with challenges and need to focus more on management?

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Owners and managers of the new factories...

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Frederick W. Taylor is best known for defining the techniques of


A) scientific management.
B) administrative management.
C) behavioral management.
D) management science.
E) organizational management.

F) C) and D)
G) None of the above

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________ refers to a formal system of organization and administration designed to ensure efficiency and effectiveness.


A) Empowerment
B) Bureaucracy
C) An open system
D) Synergy
E) Authority

F) A) and D)
G) A) and E)

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The owners of Hae-Won's company make all of the important decisions even through there are middle managers who supervise front-line employees. When there are problems, these managers are reluctant to make decisions without speaking with one of the owners. This illustrates the problem with which of Fayol's principles of management?


A) unity of direction
B) equity
C) order
D) centralization
E) discipline

F) None of the above
G) A) and D)

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Name three of the ways organizations changed after the industrial revolution. Which do you think has continued to affect business in the 21st century?

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1. Managers tried to find better ways to...

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Fayol's principle of initiative suggests that


A) managers must act fairly and equitably.
B) managers should encourage employees to act on their own without direction from a supervisor.
C) managers should ensure that the tasks and roles of each employee require innovation and creativity.
D) organizations provide employees with career opportunities that satisfy their needs.
E) managers should use rewards to motivate the behavior of employees.

F) A) and B)
G) C) and E)

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Administrative management is the study of how to


A) control the organization's relationship with its external environment.
B) create an organizational structure that leads to high efficiency and effectiveness.
C) tap into the feelings, thoughts, and behavior of work-group members and managers that affect worker performance.
D) determine characteristics of the work setting that affect worker performance.
E) motivate employees and encourage them to take on tasks outside their job title.

F) B) and E)
G) C) and E)

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When Max was promoted to supervise his fellow workers on a production line, he treated them with respect. His coworkers liked working for "one of their own," and their performance improved. This demonstrates the Hawthorne effect.

A) True
B) False

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Paolo is a manager for a small business. He wants his five subordinates to have positive working relationships and he wants to create a welcoming office environment. To encourage socializing and to motivate his staff to meet organizational goals, Paolo invites his subordinates to lunch once a week. Within a few weeks, Peter sees an increase in performance and improved collaboration among the staff members. This demonstrates the use of


A) administrative management.
B) scientific management.
C) behavioral management.
D) standard operating procedures (SOPs) .
E) organizational behavior.

F) A) and B)
G) A) and C)

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Companies that use mathematical techniques, such as modeling and simulation, to help determine how to invest its capital are using ________ management.


A) behavioral
B) contingency
C) quantitative
D) administrative
E) the human relations

F) A) and E)
G) C) and D)

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Paula starts a new bakery business. Because she must meet specific requirements from the state health department, Paula decides to use a mechanistic structure for management. What demonstrates Paula's choice to organize and control the business with a mechanistic structure?


A) The organization uses the structure only when needed-when the organizational environment is unstable.
B) A mechanistic structure requires more managerial time, money, and effort than an organic structure.
C) Employees are closely supervised and follow well-defined rules and standard operating procedures.
D) Authority is decentralized to middle and first-line managers to encourage them to take responsibility.
E) Managers can react more quickly to a changing environment than can managers in an organic structure.

F) C) and D)
G) A) and D)

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In an organization, rules are


A) formal, written instructions to achieve specific goals.
B) unwritten expectations of behavior.
C) informal codes of conduct.
D) focused more on creating goals rather than achieving them.
E) suggestions about best practices.

F) All of the above
G) B) and C)

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________ refers to a system of task and authority relationships that controls how employees use resources to achieve a company's goals.


A) Bureaucracy
B) A closed system
C) An open system
D) Organizational structure
E) Organic structure

F) A) and C)
G) A) and B)

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Henri Fayol's principle of equity refers to


A) the concentration of authority at the top of the managerial hierarchy.
B) shared feelings of comradeship, enthusiasm, or devotion to a common cause among members of a group.
C) the justice, impartiality, and fairness to which all organizational members are entitled.
D) the methodical arrangement of positions to provide the organization with the greatest benefit and to provide employees with career opportunities.
E) development of skills for long-term employees.

F) None of the above
G) B) and D)

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Your friend has just been promoted to CEO of her company and is considering moving to more centralization of authority. What drawbacks to this approach would you point out to your friend?

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Centralization is the concentration of a...

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According to Henri Fayol, esprit de corps refers to


A) the ability to act on one's own without direction from a superior.
B) shared feelings of comradeship, enthusiasm, or devotion to a common cause among members of a group.
C) the justice, impartiality, and fairness to which all organizational members are entitled.
D) the methodical arrangement of positions to provide the organization with the greatest benefit and to provide employees with career opportunities.
E) obedience, energy, application, and other outward marks of respect for a superior's authority.

F) B) and C)
G) C) and E)

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