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Thread: Solved Paper MGT503 Principal of Management Spring 2009 Final Term

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    28 Solved Paper MGT503 Principal of Management Spring 2009 Final Term

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    FINALTERM EXAMINATION
    Spring 2009
    MGT503 Principal of Management


    Question No: 1 ( Marks: 1 ) - Please choose one
    What is the basic assumption of situational approaches to leadership?

    ► Increasing worker job satisfaction through consideration behavior will get leaders the best results
    ► Initiating structure for employees by telling them what to do and how to do.
    The appropriate leadership style varies from one set of circumstances to another
    ► Effective leaders possess certain traits that are situation specific



    Lack of success in identifying an effective leadership style generalize-able to all situations
    led to consideration of situational factors—i.e., any particular style of leadership could be
    effective depending on the situation.

    Question No: 2 ( Marks: 1 ) - Please choose one
    Which of the following statement is NOT true for productivity?

    ► Productivity is a major goal in virtually every organization
    ► For individual companies, increased productivity means a more competitive cost structure
    ► Productivity is a composite of people and operations variables
    Productivity can be improved by dealing with large number of suppliers

    Question No: 3 ( Marks: 1 ) - Please choose one
    All of the following are primary management functions EXCEPT:

    ► Setting goals
    Hiring employees
    ► Monitoring activities
    ► Motivating employees

    Question No: 4 ( Marks: 1 ) - Please choose one
    Which one of the following is explaining the Entrepreneur in the best way?

    ► Goals Setter
    ► Decision Maker
    ► Communicator
    Initiator
    1) The entrepreneur acts as an initiator, designer, and encourager of change and innovation.
    Question No: 5 ( Marks: 1 ) - Please choose one
    The success of the business can be judged through:

    ► Customer satisfaction
    ► Achieving of Organizational Goals
    ► Cost price reduction
    All of the given options

    Question No: 6 ( Marks: 1 ) - Please choose one
    LG and Sony electronics agreed to cooperate on developing new technologies. Representatives from each firm meet regularly to coordinate this new venture. Which of the following roles these mangers are playing


    Liaison
    ► Leader
    ► Disseminator
    ► Spokesperson

    Question No: 7 ( Marks: 1 ) - Please choose one
    Determining the tasks to be accomplished, how the tasks are to be grouped and who is responsible for the various tasks is known as which of the following processes of management?

    ► Planning
    Organizing
    ► Leading
    ► Controlling

    Question No: 8 ( Marks: 1 ) - Please choose one
    Which level of management is responsible for making organization wide decisions and establishing the plans and goals that affect the entire organization?


    ► Non managerial staff
    Top management
    ►Middle management
    ► First-line management


    Question No: 9 ( Marks: 1 ) - Please choose one
    Henry Fayol described principles of management in the form of:


    ► 11 points
    ► 12 point
    14 points
    ► 15 points
    Fayol gives us 14 principles of management which are still being used
    nowadays.

    Question No: 10 ( Marks: 1 ) - Please choose one
    When management provides orderly personnel planning and ensures that replacements are available to fill vacancies, it is called :

    ► Division of work
    ► Discipline
    ► Unity of command
    Stability of tenure of personnel

    Stability of tenure of personnel Management should provide orderly personnel planning and ensure that replacements are available to fill vacancies.


    Question No: 11 ( Marks: 1 ) - Please choose one
    The father of industrial psychology is:

    ► Roert Owen
    Hugo Munsterberg
    ► Mary parker Follett
    ► Max Weber

    Hugo Munsterbeg (1863-1916) is considered to be the “father of industrial psychology” and is regarded by students of psychology as an important figure

    Question No: 12 ( Marks: 1 ) - Please choose one
    Environment reacts to the output of organization and provides:


    ► Feed forward
    ► Input
    ► Output
    Feedback

    Feedback: information about results and organizational status relative to its environment.

    Question No: 13 ( Marks: 1 ) - Please choose one
    Which of the following styles of decision making is characterized by individuals who prefer complete information and consider several alternatives?

    ► Analytic
    ► Conceptual
    Directive
    ► Behavioral

    The directive style is one that’s characterized by low tolerance for ambiguity and a rational way of thinking.

    Question No: 14 ( Marks: 1 ) - Please choose one
    The intent of which of the following is to reduce uncertainty by playing out potential situations under different specific conditions?


    ► Project management
    ► Scheduling
    ► Environmental analysis
    Scenario planning

    The intent of scenario planning is not to try to predict the future but to reduce uncertainty by
    playing out potential situations under different specified conditions

    Question No: 15 ( Marks: 1 ) - Please choose one
    Mission Statement of Dow Chemicals is:
    “To share the world’s obligation for the protection of the environment.”
    This statement shows which of the following attributes of mission statement?


    ► Desired public image
    ► Customers
    ► Location
    ► Self concept

    Concern for public image: what are the organization’s public responsibilities and what image is desired?

    Question No: 16 ( Marks: 1 ) - Please choose one
    Which of the following is an area in the environment that if exploited may generate high performance for organization?


    ► Strength
    ► Weakness
    Opportunity
    ► Threat



    Question No: 17 ( Marks: 1 ) - Please choose one
    Which of the following is a system in which specific performance objectives are jointly determined by subordinates and their superiors and progress towards objectives is periodically reviewed?



    Management by objective
    ► Management by resources
    ► Management by authority
    ► Management by system

    In Management by objectives (MBO) specific performance goals are jointly determined by employeesand their managers, progress toward accomplishing these goals is periodically reviewed, and rewards are allocated on the basis of this progress.

    Question No: 18 ( Marks: 1 ) - Please choose one
    Most managers believe that if an MBO (program is to be successful, it must start at:

    ► Non-managerial level
    Top Level
    ► Middle level
    ► Lower level

    The weaknesses of MBO are that it
    1. Tends to falter without strong, continual commitment from top management.

    Question No: 19 ( Marks: 1 ) - Please choose one
    A firm that stops buying supplies from other companies and begins to provide its own supplies, has diversified through:


    ► Forward vertical integration
    ► Backward vertical integration
    ► Forward horizontal integration
    ► Backward horizontal integration

    Vertical integration involves effecting growth through the production of
    inputs previously provided by suppliers or through the replacement of a
    customer role (Such as that of a distributor) by disposing of one’s own
    outputs. 1) Backward integration occurs when a business grows by becoming
    its own supplier



    Question No: 20 ( Marks: 1 ) - Please choose one
    In BCG matrix which of the following businesses have the largest share of a rapidly growing market?


    ► Cash cow
    ► Question mark
    Star
    ► Dogs


    Question No: 21 ( Marks: 1 ) - Please choose one
    In BCG matrix which of the following businesses have a large share of a market that are not expected to grow substantially?

    ► Dogs
    ► Question mark
    ► Star
    ► Cash cow



    Question No: 22 ( Marks: 1 ) - Please choose one
    The degree to which tasks in an organization are divided into separate jobs is called:


    ► Centralization
    ► Span of control
    ► Chain of command
    Work specialization

    Work specialization is the degree to which the work necessary to achieve organizational goals is broken down into various jobs.

    In Work specialization the tasks in an organization are divided into separate jobs. Another term for this is division of labor.



    Question No: 23 ( Marks: 1 ) - Please choose one
    As the number of employees in an organization grows, structure tends to become more:


    ► Informal
    ► Centralized
    Decentralized
    ► Specialized

    Question No: 24 ( Marks: 1 ) - Please choose one

    The fact that managers can become experts within their industry is a function of which kind of departmentalization?


    Product
    ► Functional
    ► Process
    ► Geographical

    Product departmentalization - Grouping activities by product line. Tasks can also be grouped according to a specific product or service, thus placing all activities related to the product or the service under one manager. Each major product area in the corporation is under the authority of a senior manager who is specialist in, and is responsible for, everything related to the product line. LA Gear is an example of company that uses product departmentalization. Its structure is based on its varied product lines which include women’s footwear, children’s footwear and men’s’ footwear.

    Process departmentalization - Grouping activities on the basis of product or service or customer flow. Because each process requires different skills, process departmentalization allows homogenous activities to be categorized. For example, the applicants might need to go through several departments namely validation, licensing and treasury, before receiving the driver’s license.

    Question No: 25 ( Marks: 1 ) - Please choose one
    The organization structure in which separate business units are grouped under a manager who is responsible for performance, strategy and operations is called:

    ► Outdated structure
    A divisional structure
    ► Functional structure
    ► A simple structure

    Question No: 26 ( Marks: 1 ) - Please choose one
    “CLEAR” shampoo introduced the first ever anti-dandruff shampoo range for men. Through this shampoo Unilever is practicing which of the following strategies?

    ► Focus Strategy
    Differentiation strategy
    ► Cost leadership strategy
    ► Emergent strategy

    A differentiation strategy involves attempting to develop products and services
    that are viewed as unique in the industry.

    Question No: 27 ( Marks: 1 ) - Please choose one
    What things the Organizations are doing to facilitate an effective wider span of control for their managers?

    Decentralizing management functions
    ► Increasing inventory levels
    ► Increasing budget allowances
    ► Investing in employee training



    Question No: 28 ( Marks: 1 ) - Please choose one
    A complex uncertain environment influences an organization toward which of the following?
    ► Work specification
    ► Departmentalization
    Decentralization
    ► Formalization

    Organizations should move toward a decentralized structure when The environment is increasingly uncertain

    Question No: 29 ( Marks: 1 ) - Please choose one
    A company's "chain of command" is a part of which process?
    ► Span of control
    Organizational design
    ► Formalization
    ► Work specialization

    Organization design is the process of developing an organization structure. Organizational
    design is the process of developing or changing an organization’s structure. It involves decisions about six key elements: work specialization, departmentalization, chain of command, span of control, centralization/decentralization, and formalization. We need to take a closer look at each of these structural elements.



    Question No: 30 ( Marks: 1 ) - Please choose one
    While addressing the organizational design needs of the small organization which of the following is an important consideration?


    ► More formalization
    More specialization
    ► More centralization
    ► Tall hierarchy of authority

    A simple structure is an organizational design with low departmentalization, wide spans of
    , authority centralized in a single person, and little formalization.

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    a. Its strengths are its flexibility, speed and low cost to maintain.
    b. Its major drawback is that it’s most effective in small organizations


    Question No: 31 ( Marks: 1 ) - Please choose one
    Which of the following is an internal state that makes certain outcomes appear attractive?


    ► Fad
    ► Desir
    Need
    ► Fashion

    A need is an internal state that makes certain outcomes appear attractive. An unsatisfied need creates tension that stimulates drives within an individual. These drives generate a search behavior to findparticular goals that, if attained, will satisfy the need and reduce the tension.
    Hence motivation is the force that energizes behavior, gives direction to



    Question No: 32 ( Marks: 1 ) - Please choose one
    Which of the following is the best description of effort?


    ► The level of willpower towards work
    The measure of intensity or drive
    ► One's ability to work
    ► The work required to complete a task

    Effort is a measure of intensity or drive. High levels of effort are unlikely to lead t
    favorable job performance unless the effort is channeled in a direction that benefits the
    organization.

    Question No: 33 ( Marks: 1 ) - Please choose one
    Which of the following factor is more important for men than women?


    ► Opportunity to learn
    ► Flexibility
    ► Autonomy
    ► Convenient



    Question No: 34 ( Marks: 1 ) - Please choose one
    According to Maslow, which hierarchy is in proper order from lowest to highest?
    ► Safety, physiological, esteem, self-actualization, social.
    ► Esteem, physiological, self-actualization, safety, social
    ► Self-actualization, physiological, social, esteem, safety
    Physiological, safety, social, esteem, self-actualization



    Question No: 35 ( Marks: 1 ) - Please choose one
    According to Herzberg's Motivation-Hygiene Theory, which of the following is NOT a motivator?


    ► Recognition
    ► Responsibility
    ► Advancement
    Status

    Motivator factor can only lead workers to feel satisfied and motivated.

    a. Achievement
    b. Responsibility
    c. Work itself
    d. Recognition
    e. Growth and achievement


    Question No: 36 ( Marks: 1 ) - Please choose one
    According to McClelland's three-need theory, people who are striving for personal achievement rather than for the trappings and rewards of success have a high:

    ► Need for achievement
    ► Need for affiliation
    ► Need for power
    ► Need for sympathy

    The need of achievement (nAch) is the desire to accomplish challenging tasks and achieve a standard of excellence in one’s work.
    . The need for affiliation (nAff) is the desire to maintain warm, friendly relationships with others.
    . The need for power (nPow) is the desire to influence others and control one’s environment.

    Question No: 37 ( Marks: 1 ) - Please choose one
    While motivating Professionals which of the following is at the lowest Priority list?

    ► Challenging Goals
    Money and Promotio
    ► Appreciation letters
    ► Job satisfaction

    Money and promotions are typically low on the motivation priority list for professionals. Job challenge is usually ranked high as is support and the feeling that they’re working on something important.

    Question No: 38 ( Marks: 1 ) - Please choose one
    Which of the following is NOT an option while motivating low skilled employees?


    ► Clarity of goals
    ► Security
    High pay
    ► Job satisfaction

    Low-skilled minimum-wage workers typically have limited education and skills; offering higher pay is usually not an option.



    Question No: 39 ( Marks: 1 ) - Please choose one
    Visionary leaders appear to have all of the following qualities related to effectiveness in their leadership roles EXCEPT:


    ► Ability to explain the vision
    ► Ability to express the vision
    ► Ability to extend the vision
    Ability to enforce the vision

    Skills do visionary leaders have
    a. The ability to explain the vision to others.
    b. The ability to express the vision not just verbally but through behavior.
    c. The ability to extend or apply the vision to different leadership contexts.



    Question No: 40 ( Marks: 1 ) - Please choose one
    Leaders who guide or motivate their followers toward established goals by clarifying role and task requirements are using which of the following?


    Charismatic
    ► Transformational
    ► Transactional
    ► Democratic-participative
    Transactional leaders are leaders who guide or motivate their followers in the direction of established goals by clarifying role and task requirements.



    Question No: 41 ( Marks: 1 ) - Please choose one
    Which of the following group engages in collective work that requires joint effort and generates a positive synergy?


    ► Work group
    Work team
    ► Quality circle
    ► Functional team

    Work Group Processes
    A. Group processes are the dynamic, inner workings of groups as they operate over a period
    of time.
    1. Process loss is the energy diverted from the task to develop and operate the groupitself.
    2. Positive synergy is the force that results when the combined gains from group interaction (as opposed to individuals operating alone) are greater than group process losses.
    3. Negative synergy is the force that results when group process losses are greater than any gains achieved from combining the forces of group members.



    Question No: 42 ( Marks: 1 ) - Please choose one
    All of the following are advantages of oral communication EXCEPT:

    ►It is easy to use
    It is accurate
    ► It facilitates feedback
    ► It can be done with little preparation

    Question No: 43 ( Marks: 1 ) - Please choose one
    Which of the following is the process of monitoring activities and correcting any significant deviations?

    Controlling
    ► Planning
    ► Organizing
    ► Leading



    Question No: 44 ( Marks: 1 ) - Please choose one
    Which of the following is NOT a formal group?


    ► Command groups
    ► Task forces
    ► Cross-functional teams
    Business unit alliances
    A formal group is a group officially planned and created by an organization for a
    specific purpose.
    a. A command or functional group is a formal group consisting of a manager and all the subordinates who report to that manager.


    Question No: 45 ( Marks: 1 ) - Please choose one
    Decisions which deal with situations where the factors are fairly structured and occur with some frequency are called


    ► Heuristic decision
    Programmed decision
    ► Satisficing decision
    ► Non-programmed decision



    Question No: 46 ( Marks: 1 ) - Please choose on
    Which one of the following functions or activities involves in recruiting and placing qualified personnel needed for the organization so that it may achieve its objectives and goals?


    ► Planning
    ► Organizing
    ► Staffing
    ► Leading

    Question No: 47 ( Marks: 1 ) - Please choose one
    An organized set of behavior that is associated with particular office or position is called:


    Role
    ► Obligation
    ► Responsibility
    ► Function

    Management Roles:
    Managers fulfill a variety of roles. A role is an organized set of behaviors that is associated with a particular office or position

    Question No: 48 ( Marks: 1 ) - Please choose one
    Which of the following is the disadvantage of the Process departmentalization?


    ► Time consuming process
    Cost of Production is high
    ► Can be used only with certain type of products
    ► Duplication of functions across the departments



    Question No: 49 ( Marks: 1 ) - Please choose one
    Which of the following are groups defined by the organization's structure, that have designated work assignments and specific tasks?


    Formal groups
    ► Informal groups
    ► Command groups
    ► Interest groups

    Formal groups
    work groups defined by the organization’s structure that have designated work assignments and tasks. Appropriate behaviors are defined by and directed toward organizational goals.
    Informal groups : Groups that are independently formed to meet the social needs of their members.

    Question No: 50 ( Marks: 1 ) - Please choose one
    There are three different approaches to designing control systems. Which of the following is used primarily in team-based or less bureaucratic types of organizations?


    ► Market control
    ► Economic control
    ► Bureaucratic control
    Clan control

    Clan control relies on values, beliefs, traditions, corporate culture, share norms and information relationships to regulate employee behaviors and facilitate the reaching of organizational goals.



    Question No: 51 ( Marks: 5 )
    Is organizing important for all levels of managers? Give your opinion.


    Question No: 52 ( Marks: 10 )
    ABC Ltd is a small marketing services company. You have been put in charge of a new project team. It is the second week the team has been together, and progress on the task is frustratingly slow. There are lots of creative ideas being put forward, but team members criticize everything and try to put their own ideas over others. Your manager is getting concerned and asks you to report on how the team is working.

    Propose different measures for encouraging cohesion in your team.


    Question No: 53 ( Marks: 10 )
    Suppose that an organization has some distinctive competencies, how long it will retain those competencies?



    Question No: 54 ( Marks: 10 )

    Discuss the Boston Consulting Group (BCG) matrix and explain its usefulness in segmenting businesses. Discuss the characteristics for each of the four categories based on the BCG matrix..
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    28 Here are some more Papers of MGT503 solved Fall 2009 Final Term

    Papers of MGT503 solved Fall 2009 Final Term
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