Multiple Choice Questions CHAPTER 10

70. Which of the following is an effective way to deal with change and innovation? 
A Insist on
.  success.
B Increase work rules and
.  hierarchy.
C Copy others'
.  successes.
D Jump right
.  into it.
E Have the courage to follow your
.  ideas.
 
71. According to Jim Collins, undisciplined pursuit of more and grasping for salvation are stages of
institutional ___________. 
A decl
.  ine
B cha
.  nge
C interven
.  tion
D resista
.  nce
E innova
.  tion
 
72. Which of the following is not a supertrend shaping the future of business? 
A more niche
.  products.
B information becoming a competitive
.  advantage.
C traditional companies struggling with radically innovative
.  change.
D offshore suppliers affecting U.S.
.  business.
E faster speed-to-
.  market.
73. A change that is made in response to arising problems or opportunities is called __________. 
A radical
.  change
B incremental
.  change
C proactive
.  change
D reactive
.  change
E process
.  change
 
74. Which of the following is an example of a proactive change? 
A Ciara's staff is unhappy about the long hours they have been working and several of them quit
.  before she knows there is a problem.
B Ciara's group sent a product that was nearing its launch date back to the drawing board based
.  on a competitor's superior new offering.
C Ciara cannot get permission to hire another person until her group misses several
 .  deadlines.
D Ciara is constantly "putting out fires," responding to daily crises in her
.  group.
E Ciara explores improvements in bonus structures with her staff and begins to implement them
.  despite the fact that her employees are generally content.
 
75. Walmart's implementation of RFID, a type of technology that allows it to improve inventory
tracking, is an example of a(n) ______ change. 
A reac
.  tive
B increme
.  ntal
C cult
.  ural
D respons
.  ive
E proac
.  tive
 
76. Which of the following is an example of a force for change originating outside the organization? 
A productivity
.  issues
B conflict
.  management
C structural
.  reorganization
D social and political
.  pressures
E absenteei
.  sm
 
77. The increasing diversity of the American workforce is an example of a(n) ______ force for change. 
A mar
.  ket
B demograp
.  hic
C social and
.  political
D politi
.  cal
E econo
.  mic
 
78. The invention of a machine to make plastic corks for wine bottles has severely affected companies
that produce traditional cork. This is an example of a(n) ______ advancement. 
A mar
.  ket
B social and
.  political
C technologi
.  cal
D demographi
.  cal
E econo
.  mic
 
79. In the Internet Age, retailers like Amazon and Apple are not constrained by physical shelf space and
can offer consumers a much wider variety of products, yet small sales, one or two rather than
millions of items at a time, can produce big profits. This is an example of __________. 
A the marketplace becoming more segmented and moving toward more niche
.  products
B declining population in developed
.  countries
C China becoming the second-largest economic
.  power
D the rise of business-to-business
.  technology
E instant-gratification
.  shopping
 
80. Inside forces for change include which of the following? 
A domestic
.  competition
B recess
.  ion
C advancements in
.  automation
D immigra
.  tion
E low productivity and
.  turnover
 
81. Social media (LinkedIn, Facebook), used by 98% of recruiters, make finding employees more
efficient. This is an example of a(n) __________ advancement or force. 
A technologi
.  cal
B social or
.  political
C mar
.  ket
D ins
.  ide
E demograp
.  hic
 
82. So-called Millennials (those born after 1980) are vastly different from their parents in their views on
everything from technology to politics to marriage to tattoos. This is an example of a ______ force
for change. 
A so
.  cia
l
B demograp
.  hic
C politi
.  cal
D finan
.  cial
E struct
.  ural
 
83. Which of the following is not an inside force that indicates organizational change might be needed? 
 A high
.  turnover
B excessive conflict between managers and
.  employees
C increased
.  competition
D high levels of stress among
.  employees
E Job
.  dissatisfaction
 
84. Firms such as General Motors and McDonald's actively collect information about customer
preferences and try to address them in their new products. This reflects __________. 
A shareholder, customer, and market
.  changes
B social and political
.  pressures
C human resource
.  concerns
D managers'
.  behavior
E technological
.  advancements
 
85. The human resource manager at Helping Hands Inc. has just calculated that the employee
absenteeism rate for 2015 is 15% higher than it was in 2014, and the turnover rate has increased
18% in the same time period. She should consider all but which one of the following options? 
A wait until 2016 and see what the rate is
.  then
B deal with possible work
.  overload
C identify causes of job
.  dissatisfaction
D address job
.  design
E identify possible employee role
.  conflicts
 
86. Joan, a new manager, must enforce sales report deadlines, but her team is struggling. She creates a
new system to streamline the process and helps everyone understand why the deadlines are
important. This is an example of which force for change? 
A demographic
.  characteristics
B shareholder, customer, and market
.  changes
C manager's
.  behavior
D human resource
.  concerns
E social and political
.  pressures
 
87. Studies exploring nurses' perceptions about using PDAs in their daily patient practice found initial
resistance, with some nurses concerned about the cost and short technological life cycle of these
devices. This is an example of the __________ stage of change. 
A unfreez
 .  ing
B freez
.  ing
C cha
.  nge
D refreez
.  ing
E thaw
.  ing
 
88. Sparkling Clean, Inc. is considering implementing a system that will pay its cleaning workers based
on the number of completed residential jobs, coupled with satisfactory ratings on random
inspections to ensure quality. This system is new to the organization, an example of __________
change. 
A adap
.  tive
B innova
.  tive
C fami
.  liar
D radically
.  innovative
E highly
.  complex
 
89. Northstar Insurance is about to install a program that will change the way its adjusters settle claims.
Adjusters will be able to complete adjustment and issue the check right at the scene of the accident.
Although employees are uncertain this can work, other insurance agencies have been successful
with this approach. This represents ________. 
A motivated
.  change
B innovative
.  change
C adaptive
.  change
D radically innovative
.  change
E refusal to
.  change
 
90. Appliance America customer complaints have increased because its drivers became lost when
attempting deliveries and arrived late. The drivers have resisted using GPS systems, claiming they
knew their territories. But managers are now encouraging them to look for the best solution.
Appliance America is in the ________ stage of Lewin's change model. 
A chang
.  ing
B unfreez
.  ing
C evalua
.  tion
D learn
.  ing
E refreez
.  ing
 
91. ________ is an emotional/behavioral response to real or imagined threats to an established work
 routine. 
A Change
.  agent
B Benchmark
.  ing
C OD
.  intervention
D Radical
.  innovation
E Resistance to
.  change
92. Which of the following is not an interacting factor that affects the level of resistance to change? 
A gender of the change
.  agent
B employee characteristics and perceptions of
.  change
C individual differences of the change
.  agent
D change agent-employee
.  relationship
E change agent actions and
.  inactions
93. The two co-founders of Network Appliance, a data-storage firm in Sunnyvale, California, were
feuding with each other because one founder couldn't stick to his decisions, which drove the other
founder crazy. A(n) ____________ began working with the warring executives in separate sessions
to solve the problem. 
A organizational behavior
.  specialist
B family
.  doctor
C informational
.  technologist
D acquisition
.  consultant
E labor relations
.  specialist
 
94. Employees are likely to see an adaptive change as __________. 
A highly
.  threatening
B moderately
.  threatening
C least
.  threatening
D significantly complex, costly, and
.  uncertain
E totally
.  unacceptable
 
95. During December at Toys For Tiny Tots, employees know that they are generally required to work
different schedules, weekends, and often with overtime to support the holiday shopping season.
This is an example of a(n) ______ change. 
A reac
.  tive
B adap
 .  tive
C innova
.  tive
D increme
.  ntal
E radically
.  innovative
96. As owner and senior accountant at a tax preparation firm, Mark is changing the work schedule of all
employees, including managers and accountants, for the months of March and April, the company's
busiest time. He is requiring work on weekends for everyone, using the same basic schedule as last
two years. Mark should expect that his employees will be __________. 
A terribly upset and
.  quit
B moderately upset but not willing to
.  quit
C moderately upset and
.  complain
D hardly upset or not upset at
.  all
E terribly upset but not
.  quit
 
97. ____________ is a change that represents the introduction of a new practice to an organization but
one that is not new to the industry. 
A Proactive
.  change
B Adaptive
.  change
C Innovative
.  change
D Reactive
.  change
E Radically innovative
.  change
 
98. An innovative change involves ______ complexity, cost, and uncertainty. 
A n
. 
B minim
.  um
C hid
.  den
D moder
.  ate
E extre
.  me
 
99. Teachers Credit Union has decided that tellers must rotate through a new weekend shift on
Saturday afternoons since several of its financial competitors have recently begun to offer additional
hours to customers. This is a(n) ______ change. 
A radically
.  innovative
B reac
.  tive
C adap
 .  tive
D proac
.  tive
E innova
.  tive
 
100. Introducing a practice that is new to the industry is called a(n) ______ change. 
A revolution
.  ary
B adap
.  tive
C radically
.  innovative
D reac
.  tive
E innova
.  tive
 
101. Links Cable Network has decided to offer an one-hour appointment window for customers needing
installation or repair of its service, which will require the company to have several technicians on
call. Links hopes this practice will give it an advantage over the competition, none of which have
adopted such a practice. It is introducing a(n) ______ change. 
A reac
.  tive
B innova
.  tive
C radically
.  innovative
D adap
.  tive
E ac
.  tiv
e
 
102. Which of the following is not a leading reason that employees resist change? 
A individual predisposition toward
.  change
B lack of personal
.  ethics
C fear of
.  failure
D climate of
.  mistrust
E nonreinforcing reward
.  systems
 
103. Lewin's change model consists of __________. 
A three stages: unfreezing, changing, and
.  refreezing
B three forces: employee characteristics, change agent characteristics, and change agent-
.  employee relationships
C four steps: recognize problems, gain allies, overcome resistance, and
.  execute
D three types: adaptive, innovative, and radically
.  innovative
 E three steps: diagnosis, intervention, and
.  evaluation
 
104. During Lewin's changing stage, managers should __________. 
A reduce the barriers to
.  change
B make employees dissatisfied with the present
.  situation
C reinforce the desired
.  change
D give employees new information, perspectives, and models for
.  behavior
E encourage employees to exhibit the new
.  change
 
105. During Lewin's refreezing stage, managers should __________. 
A make employees dissatisfied with the present way of doing
.  things
B give employees the tools for
.  change
C provide benchmarking
.  results
D encourage and reinforce the desired change in the
.  employees
E reduce the barriers to
.  change
 
106. _______ is the process by which a company compares its performance with that of high-performing
organizations. 
A Reference
.  innovation
B Benchmark
.  ing
C Competitive
.  change
D Continuous
.  improvement
E Radical
.  innovation
 
107. After Mary's Gifts and Cards surveyed its customers, it discovered that its customers preferred the
company's competition more than 70% of the time. The most frequently cited reason was customer
service. This information will be most helpful to introduce to her employees during which stage of
Lewin's change model? 
A stabiliz
.  ing
B continuous
.  improvement
C unfreez
.  ing
D chang
.  ing
E refreez
.  ing
 
108. Kotter proposed which of the following for organization change? 
 A eight steps for leading organizational
.  change
B three types of innovation: adaptive, innovative, and radically
.  innovative
C a three stage model: unfreezing, changing, and
.  refreezing
D a three-step model: diagnosis, intervention, and
.  evaluation
E ten reasons employees resist
.  change
 
109. _____________ is the set of techniques used for implementing planned change to make people and
organizations more effective. 
A Corporate
.  transformation
B Organizational
.  development
C Revitaliza
.  tion
D Continuous
.  improvement
E Incremental
.  innovation
 
110. Organizational development is often put into practice by a __________. 
A transformative
.  consultant
B catalytic
.  consultant
C counse
.  lor
D change
.  agent
E training
.  specialist
 
111. Which of the following is not one of the primary uses of OD? 
A adapting to a
.  merger
B improving
.  recruitment
C managing
.  conflict
D revitalizing an
.  organization
E adapting to an
.  acquisition
 
112. In which of the following situations would OD techniques be the most helpful? 
A increasing efficiency among employees in a
.  firm
B helping employees from two similar organizations work better together in a strategic
.  alliance
C dealing with employee stress that comes from changing behaviors or from adapting to
.  mergers
 D facilitating discussion of ethical issues in preparing a company's code of
.  ethics
E working with the CEO to determine how to increase
.  profitability
 
113. As an OD consultant, Sharon is designing a survey of employee attitudes to be given to workers at
SW Emergency Clinic. By collecting this information, Sharon is conducting the ______ stage of OD. 
A unfreez
.  ing
B interven
.  tion
C evalua
.  tion
D diagn
.  osis
E refreez
.  ing
114. "What shall we do about the problem?" is the question that would most likely be asked during the
______ stage of OD. 
A chang
.  ing
B diagn
.  osis
C feedb
.  ack
D treatment or
.  intervention
E evalua
.  tion
 
115. Omar, an OD consultant, is working with members of a cross-functional team to build cohesiveness
and practice skills to function better as a team. Omar is conducting the ______ stage of OD. 
A Feedb
.  ack
B Diagn
.  osis
C Evalua
.  tion
D Chang
.  ing
E treatment or
.  intervention
 
116. A year after she assisted them in making changes to an employee incentive plan, Kara, an OD
consultant, is visiting Thomas Engineering to determine if the changes were helpful. Kara will
compare sales and turnover data from the last three years to the current year. Kara is in the ______
stage of OD. 
A refreez
.  ing
B interven
.  tion
C diagn
.  osis
D evalua
.  tion
 E adapta
.  tion
 
117. Which of the following circumstances is unlikely to increase the success of OD? 
A consideration of cross-cultural
.  differences
B single
.  intervention
C top management
.  support
D goals geared to short term
.  results
E goals geared to long term
.  results
 
118. When it comes to failure in the innovation process, Procter & Gamble CEO A. G. Lafley suggests that
the key is to __________. 
A work within a competent team so that blame is spread around among strong
.  players
B look for innovation in small increments, so that failure risks are
.  small
C fail early, fail cheaply, and don't make the same mistake
.  twice
D develop a tolerance for ambiguity so that failure does not personally upset
.  you
E avoid it by almost any means necessary, since it will irreparably harm your
.  reputation
 
119. Which of the following is the factor that most reduces an organization's ability to learn from failure? 
A employees who like to experiment with multiple
.  solutions.
B employees who blame others for
.  failure.
C employees with a strong desire to acquire personal
.  wealth.
D employees who embrace a learning
.  culture.
E employees with a high tolerance for
.  ambiguity.
 
120. Which of the following is not one of Scott Berkun's seeds of innovation for organizations? 
A hard work in a specific
.  direction
B curio
.  sity
C neces
.  sity
D wealth and
.  money
E philanthr
.  opy
121. A technological innovation that improves the performance and speed of a computer's operating
system would be considered a(n) ______ innovation. 
A adap
.  tive
 B transformatio
.  nal
C person
.  nel
D prod
.  uct
E proc
.  ess
 
122. A(n) ______ innovation is a change in the way a product or service is conceived, manufactured, or
disseminated. 
A proced
.  ural
B proc
.  ess
C prod
.  uct
D transformatio
.  nal
E adap
.  tive
 
123. A managerial innovation that improves the efficiency of a company's cross-functional teams would
be considered a ______ innovation. 
A prod
.  uct
B proc
.  ess
C c
.  o
r
e
D transformatio
.  nal
E practi
.  cal
124. The management department at a local university began posting all assignments and other class
materials to a course management website instead of creating a packet for students to purchase
each term. This is a ______ innovation. 
A proc
.  ess
B prod
.  uct
C pol
.  icy
D breakthro
.  ugh
E reac
.  tive
125. The creation of products, services, or technologies that modify those that already exist is called
______ innovation. 
A radi
.  cal
B prod
.  uct
 C proc
.  ess
D increme
.  ntal
E adap
.  tive
 
126. Researchers working on hydrogen fuel cells hope that this could be a(n) ______ innovation, leading
to a clean, renewable energy source, and reducing dependence on depleting fossil fuels with their
adverse impact on the global environment. 
A increme
.  ntal
B radi
.  cal
C proc
.  ess
D prod
.  uct
E disrup
.  tive
 
127. Personal Care Products recently introduced a new acai berry shampoo. Rinn, director of new
product development, has just reviewed the dismal results. As it appears that his team adequately
researched the product's acceptance by consumers prior to its introduction, he is confused by the
outcome. But to keep his team open to innovation, Rinn should __________. 
A step down as
.  director
B fire and replace the team lead as an example to
.  others
C acknowledge the team for their
.  effort
D ignore the product
.  failure
E demote the team
.  leader
 
128. Which of the following is not a way to encourage innovation? 
A creating a culture that celebrates
.  failure.
B supporting innovation with investments of time and
.  money.
C withholding raises and promotions when innovation attempts don't work
.  out.
D reinforcing
.  experimentation.
E implementing effective reward
.  systems.
 
129. Four steps to making innovation happen within an organization include all of the following except
____. 
A recognize problems and opportunities and devise
.  solutions
B gain allies by communicating your
.  vision
C overcome employee
.  resistance
 D execute
.  well
E punish
.  failures
 
130. Which of the following sequences best describes how a manager can foster innovation in an
organization? 
A devise solutions, reorganize, change culture, stabilize
.  system
B recognize problems, overcome resistance, gain allies, penalize
.  failures
C overcome resistance, empower employees, execute well, provide
.  incentives
D recognize problems, train employees, devise solutions, execute
.  well
E recognize problems, gain allies, overcome resistance, execute
.  well