Department of Commerce, Bahauddin Zakariya University, Multan

Final-Term Exam, Thursday, February 04, 2021

Start Time: 11.15 AM- End Time: 1.15 PM
Program: MSc Acc & Fin Semester-1st
Course Name: Issues in Business Management Session: 2020-22
Course Instructor: Prof. Dr. Asif Yaseen Max Marks 50
Zoom Online Classroom Total time: 2 HOURS
Special instructions for Online Examination
1- Video attendance via Zoom link is mandatory and keep your camera and mic
turned on throughout the exam for active monitoring
2- Please write your roll number, name, subject name and page number clearly on
every exam sheet
3- Please scan answer scripts, save it with your name and roll number and send one
pdf file to dcomexam@gmail.com and cc to dcomexam1@gmail.com
4- Please use your own handwriting to write answer scripts and write clearly only
with black pointer so examiner can read easily.
5- Please be ready to send email of scanned answer scripts within 15 Minutes
after finishing your exam. Any answer script if received after the allocated time
will not be marked.
6- Avoid using any unfair means/ cheating. Student can be penalized if evidence is
found.
7- Page limit for mid-term exam is no more than 05 sheets (10 pages)

Attempt all questions.

Question No: 01 (Marks: 7)

Discuss the factors which influence an organization’s structure. Explain three consequences if
organizational structure is not implemented effectively in an organization.

Question No: 02 (Marks: 10)

In a short essay, discuss the equity theory and list five probable behavioral responses that
may occur when employees perceive an inequity.

Question No: 03 (Marks: 10)

In a short essay, discuss the situational leadership theory. Next, list the four specific
leadership styles and the four stages of follower readiness as defined by Hersey and
Blanchard.

Question No: 04 (Marks: 8)

Differentiate between creativity and innovation. Discuss the three sets of variables that have
been found to stimulate innovation. Next, discuss what causes employees to resist innovation
and change.
Question No: 05 (Marks: 15)
Objective Type
1- ________ is measured by the costs of acquiring and transforming the organizational
resources into the outputs.
A) Input
B) Quality
C) Effectiveness
D) Efficiency

2- The easiest way to increase the ratio of outputs to inputs would be to ________ of the
outputs.
A) decrease the selling price of outputs
B) increase the selling price of outputs
C) increase the cost of the input
D) hire additional employees

3- In order to increase the ratio of outputs to inputs, a manager would have to ________.
A) decrease the selling price
B) increase productivity
C) increase the cost of the input
D) hire additional employees

4- The fundamental concept behind which of the following two financial tools is that
companies are supposed to take in capital from investors and make it worth more?
A) principle value added and economic value added
B) economic value added and real value added
C) economic value added and market value added
D) market value added and principle value added

5- ________ is a measure of how appropriate organizational goals are and how well an
organization is achieving those goals.
A) Situational effectiveness
B) Organizational effectiveness
C) Competitor analysis
D) Environmental scanning

6- According to Mintzberg's management roles, the ________ roles are those that involve people and
other duties that are ceremonial and symbolic in nature.
A) informational B) interpersonal
C) technical D) decisional

7- Which of the following best describes the concept that management is needed in all types and sizes
of organizations, no matter the country in which they're located? ________
A) the partiality of management B) the segmentation of management
C) the universality of management D) the cultures of management

8- Frederick Taylor advocated which of the following management principles? ________

A) Work and responsibility should be divided almost equally between managers and workers.
B) Workers should perform all work, while management should maintain responsibility for the work
performed.
C) Managers should perform more work that workers, because managers are generally more skilled.
D) Workers can be highly productive even if they are randomly selected for a job.

9- A company that sees its employees as the driving force behind the organization probably follows
which managerial approach?
A) workplace diversity B) organizational behavior
C) quantitative analysis D) total quality management

10- Without question, the most important contribution to the developing field of organizational
behavior came out of the ________.
A) Taylor Studies B) Porter Studies
C) Parker Studies D) Hawthorne Studies

11- Which of the following involves changing, revolutionizing, transforming, or introducing new
products or services or new ways of doing business? ________
A) organizational structures B) innovation
C) organizational systems D) ethical standards
12- The current dominant assumption in management theory suggests ________.
A) a view of managers as symbolic and omnipotent
B) an emphasis on the view that managers are symbolic
C) an emphasis on the view that managers are omnipotent
D) that both the symbolic and omnipotent views are obsolete
13- Organizational culture is concerned with how members perceive the organization, not whether
they ________.
A) like the organization B) like their peers
C) like their bosses D) like their customers

14- Which of the following dimensions of organizational culture is defined as the degree to which an
organization's actions and decisions emphasize maintaining the status quo?
A) stability B) outcome orientation
C) team orientation D) innovation and risk taking

15- Selecting an alternative in the decision-making process is accomplished by ________.

A) choosing the alternative with the highest score B) choosing the one you like best
C) selecting the alternative that has the lowest price D) selecting the reliable alternative

16- Which of the following is important in effectively implementing the chosen alternative in the
decision-making process?-----------
A) getting upper-management support B) double-checking your analysis for potential errors
C) allowing those impacted by the outcome to participate
D) ignoring criticism concerning your chosen alternative

17- Which of the following is important to remember in evaluating the effectiveness of the decision-
making process?---------
A) You should ignore criticism concerning the decision-making process.
B) You may have to start the whole decision process over.
C) You will have to restart the decision-making process if the decision is less than 50 percent
effective.
D) Ninety percent of problems with decision making occur in the implementation step.

18- In analyzing the environment, managers should know ________.

A) the competition's stock price
B) pending legislation that might affect the organization
C) the organization's purpose
D) the goals currently in place and the strategies currently being used

19- If a bank estimates the capabilities of its training and development department employees prior to
implementing a new training program designed to change their method of providing customer service,
it is completing what step in the strategic management process?
A) doing an external analysis B) identifying the current mission, goals, and strategies
C) doing an internal analysis D) formulating strategies

20- A plant manager needs to find a vendor who can reliably supply a chemical that is needed
for a new process established at the plant. She looks at the vendors that have proved reliable
in the past. What is the manager doing in only looking at vendors she has used previously?
A) She is making a programmed decision.
B) She is applying Gresham’s law of planning.
C) She is applying the retrospective decision model.
D) She is applying a heuristic to limit her search.

21- To maximize motivation among today's diverse work force, managers need to think in
terms of ________.
A) flexibility
B) consistency
C) needs
D) wants

22- In ________, employees work fewer days, but more hours per day.
A) a reorganization
B) flexible work hours
C) a job characteristics model
D) a compressed workweek

23- ________ work hours are where employees work a certain number of hours per week,
but are free, within limits, to vary the hours of work.
A) Flexible
B) Compressed
C) Congruent
D) Parallel

24- What type of job scheduling option would allow two different employees to share one 40-
hour-a-week systems analyst position?
A) compressed workweek
B) job sharing
C) flextime
D) telecommuting

25- The linking by computer and modem of workers at home with coworkers and
management at an office is termed ________.
A) job sharing
B) compressed workweek
C) flextime
D) telecommuting
26- Which of the following describes the leadership style in which a leader tends to centralize
authority, dictate work methods, make unilateral decisions, and limit employee participation?
A) cultural style
B) autocratic style
C) democratic style
D) laissez-faire style

27- The ________ style of leadership describes a leader who tends to involve employees in
decision making, delegate authority, encourage participation in deciding work methods and
goals, and use feedback as an opportunity for coaching employees.
A) cultural
B) autocratic
C) democratic
D) laissez-faire

28- Which of the following describes the leadership style in which the leader generally gives
the group complete freedom to make decisions and complete the work in whatever way it
sees fit?
A) cultural style
B) autocratic style
C) democratic style
D) laissez-faire style

29- In the University of Iowa behavioral studies, group members' satisfaction levels were
generally ________.
A) higher under an autocratic leader in the long run
B) improved when the leader was considerate of the outcomes
C) maintained when the leader was autocratic on the short run
D) higher under a democratic leader than under an autocratic one

30- According to the Ohio State studies, which of the following dimensions of leader
behavior refers to the extent to which a leader is likely to define and structure his or her role
and the roles of group members in the search for goal attainment?
A) intelligence structure
B) psychological structure
C) initiating structure
D) consideration structure