1) Management strives to encourage individual activity that will ________.

A) promote the individual's growth

B) always produce outstanding results
C) utilize the maximum amount of resources
D) lead to reaching organizational goals
E) always generate the highest revenue
Answer: D

2) Jacob, an upper-level manager, recently saw a project fail because he did not establish
objectives for all important organizational areas during the initial stages. Jacob made a
mistake during the ________ stage of the management process.
A) organizing
B) influencing
C) controlling
D) monitoring
E) planning
Answer: E

3) ________ is the process of predicting future environmental happenings that will influence
the operation of the organization.
A) Forecasting
B) Disturbance
C) Planning
D) Scheduling
E) Monitoring
Answer: A

4) A manager is considered efficient and effective if the manager ________.

A) does not reach goals and does not waste resources
B) reaches goals and does not waste resources
C) does not reach goals and wastes resources
D) reaches goals and wastes resources
E) wastes resources on unattainable goals
Answer: B

5) ________ includes determining tasks and groupings of work. It should not be rigid, but
adaptable and flexible to meet challenges as circumstances change.
A) Organizing
B) Influencing
C) Controlling
D) Monitoring
E) Planning
Answer: A

6) Which of the following skills become more important when a manager moves from lower-
level management to upper-level management?
A) conceptual skills
B) technical skills
C) interpersonal skills
D) communication skills
E) presentation skills
Answer: A

7) The three sustainability gauges for organizational development — economy, environment,

and society — considered collectively are commonly referred to as the ________.
A) triple bottom-line
B) triple threat
C) long-term tests
D) global best practices
E) protection areas
Answer: A

8) Planning is concerned with setting objectives for organizational success, while controlling
is concerned with monitoring the actual performance of the organization's success.
Answer: TRUE

9) Walt is a sales manager charged with allocating funds, resources, and labor costs for the
coming year. In doing so he is preparing a ________.
A) budget
B) standing plan
C) procedure
D) tactic
E) rule
Answer: A

10) An organization that operates within a single country is known as a(n) ________
organization.
A) international
B) domestic
C) multinational
D) transnational
E) global
Answer: B
11) ________ resources refer to the machines used during the manufacturing process.
A) Hardware
B) Capital
C) Technology
D) Raw material
E) Monetary
Answer: B

12) Which set of the following two questions best summarizes the steps involved in the
planning function?
A) Where are we going? What prevents us from getting there?
B) Where are we going? How do we get there?
C) Who is doing the work? How will they do it?
D) How can this firm reach its goals? When will they reach the goals?
E) Where are we going? When will we get there?
Answer: B

13) The more resources unused during the production process, the more ________ the
manager.
A) inefficient
B) efficient
C) ineffective
D) effective
E) efficient and ineffective
Answer: A

14) A multinational corporation is a company that is primarily based in one country but has
continuing transactions in other countries.
Answer: FALSE

15) Which one of the following is an accurate statement in reference to management by

objectives (MBO)?
A) Rewards are given to workers independent from their objective attainment.
B) Managers and workers meet to agree on worker objectives.
C) Managers and workers do not meet to monitor progress.
D) Managers set objectives for workers without their input.
E) Rewards are given on the basis of the manager's effort.
Answer: B