Test Bank for MGMT 12, Principles of
Management, 12e Chuck Williams
(Answers at the end of each chapter)
Chapter 1
Indicate the answer choice that best completes the statement or answers the question.
1. Which of the following is defined as getting work done through others?
a. Orientation
b. Marketing
c. Management
d. Accounting
2. When Rosa was hired by Graham Services Inc. to head its customer service operations, she was told that her role
involved supervising the work of her employees and ensuring that they did their jobs well. Rosa’s job is related to _____.
a. marketing
b. recruitment
c. management
d. finance
3. At Troysten Inc., a construction company, Edward’s job responsibilities include monitoring the work carried out by the
company's site engineers. He is also responsible for ensuring that all the engineers are provided with ample guidance and
supervision so that they can perform all the assigned tasks to the best of their ability. In the given scenario, Edward’s job
is related to _____.
a. accounting
b. sales
c. management
d. production
4. Relish Inc. is a fruit juice manufacturing company. The company ensures that raw materials are fully utilized. It also
makes sure that minimal waste is produced. The juice extracting and packaging units of the company are designed in such
a way that the quality of its products is maintained with minimal costs. Relish is involved in achieving _____.
a. effectiveness
b. efficiency
c. autonomy
d. power
5. Trent Automobiles Inc. was expecting a large shipment of scrap metal a week earlier. Since the shipment did not arrive
on time, the supply manager at Trent Automobiles was forced to place another order for the same quantity of scrap metal
from a local manufacturer. As a result, its car manufacturing processes was delayed and expenses increased. In this
scenario, Trent Automobiles is demonstrating a lack of _____.
a. synergy
b. disintermediation
c. automation
d. efficiency
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,6. To reduce manual errors, Debronth Inc., a machinery manufacturing company, automated most of its production
processes using computer numeric control (CNC) machines. This reduced the labor cost, wastage of raw materials, and
rejection of finished goods due to quality issues. In the context of management, the automation of production processes at
Debronth Inc. exemplifies _____.
a. synergy
b. efficiency
c. autonomy
d. contingency
7. Which of the following involves accomplishing tasks that help fulfill organizational objectives?
a. Effectiveness
b. Equity
c. Synergy
d. Retrenchment
8. Venus Diner, a fast-food restaurant, has installed two additional billing counters to reduce waiting time for its
customers. This has helped the restaurant improve its customer service and satisfaction. This scenario illustrates that
Venus Diner is striving for _____.
a. effectiveness
b. consistency
c. synergy
d. cohesiveness
9. Calverd Bank was one of the first banks to open a branch in the rural county of Shirles. Even after many other banks
opened their branches in Shirles, Calverd Bank continues to have the biggest market share because of its excellent
customer service. In the context of management, the Shirles branch of Calverd Bank illustrates _____.
a. synergy
b. efficiency
c. autonomy
d. effectiveness
10. Providing a great shopping experience to customers is one of the important objectives of Purple Fashions Inc., a
clothing store. To achieve this objective, the company has a team of committed customer service professionals, whose job
is to ensure that customers get exactly what they want. This scenario illustrates that Purple Fashions is trying to achieve
_____.
a. organizational commitment
b. employee productivity
c. employee satisfaction
d. organizational effectiveness
11. In the context of management functions, which of the following is true of planning?
a. It is one of the best ways to improve performance.
b. It is the last function of management.
c. It involves monitoring progress toward goal achievement.
d. It involves hiring and leading workers.
12. Identify a true statement about planning.
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, a. It is the process of monitoring progress toward goal achievement.
b. It involves deciding where decisions will be made.
c. It encourages employees to engage in behaviors directly related to goal accomplishment.
d. It involves inspiring and motivating workers to work hard to achieve organizational goals.
13. After Hayworth Publishers realized that it was incurring losses, it set new objectives. These objectives were to
increase revenues by at least 5% and reduce net losses by at least 80% by the end of the next fiscal year. In this scenario,
which of the following management functions was most likely involved in setting these goals and determining a means for
the company to meet them?
a. Controlling
b. Organizing
c. Planning
d. Leading
14. Amanda, the sales manager at an e-commerce fashion site, sets the annual, monthly, and weekly targets of all the
salespeople in the company. She sets these targets in such a way that the salespeople work toward achieving the
organizational goals. In this scenario, which of the following management functions does Amanda perform?
a. Controlling
b. Organizing
c. Planning
d. Leading
15. In the context of management functions, organizing is about _____.
a. determining how things get done
b. determining organizational goals
c. motivating workers to work hard
d. monitoring progress toward goal achievement
16. A business administrator in a school is determining how classes will be scheduled, which rooms will be allocated, and
who will teach each subject in the curriculum. Which of the following management functions is illustrated in this
scenario?
a. Planning
b. Organizing
c. Controlling
d. Leading
17. Jada is in charge of her Rotary Club's annual fundraising auction. She determines the site of the event and decides who
will collect donations from local businesses. She also decides who will sell tickets to customers and who will conduct the
auction. Jada is engaged in the management function of _____.
a. planning
b. controlling
c. leading
d. organizing
18. Jasmine, a cofounder of a startup firm that provides financial services, is responsible for making the standard
operating procedure for the firm's wealth management division and assigning duties to the management trainees recruited
for this division. In the context of management functions, Jasmine’s job responsibilities best illustrate _____.
a. controlling
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, b. organizing
c. disseminating
d. leading
19. In the context of Henri Fayol's management functions, which of the following is a difference between planning and
organizing?
a. Planning involves motivating workers to work hard to achieve organizational goals, whereas organizing
involves identifying the means to achieve organizational goals.
b. Planning involves determining organizational goals, whereas organizing involves determining how things get
done.
c. Planning is deciding where decisions will be made, whereas organizing is monitoring progress toward goal
achievement.
d. Planning is inspiring workers to work hard on a daily basis, whereas organizing is taking corrective action
when progress isn't being made.
20. Kendall is the chief executive officer of Hayden Corp. She believes that it is important for top management to inspire
employees to work toward organizational goals. As a result, she develops an incentive plan to reward high-performing
employees and boost their morale. In the context of management functions, Kendall is engaged in _____.
a. planning
b. organizing
c. leading
d. controlling
21. Ronald, the advertising manager of a leading newspaper, congratulates every member of the space selling team who
achieves their daily target. This motivates the team members to work harder and collectively contribute to the
organizational goal of selling space for advertisements. In this scenario, which of the following management functions is
illustrated by Ronald?
a. Organizing
b. Planning
c. Leading
d. Controlling
22. Jamal, the operations head at Cerise Confectionery, showed gratitude to his employees by hosting an Employee
Appreciation Day. In this scenario, which management function did Jamal use to boost the morale of his employees?
a. Leading
b. Monitoring
c. Organizing
d. Controlling
23. The top management at Vermilion Inc. realized that there were some technical defects in the company's new
manufacturing plant that was under construction. Technical specialists were sent to the site to correct the issues. This
scenario illustrates the management function of _____.
a. planning
b. organizing
c. controlling
d. motivating
24. Jin, the recruitment manager at Randents Inc., reviews the performance of his team members on a monthly basis.
Based on the results of his monthly reviews, he decides to conduct daily reviews to analyze the performance of members
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