Question 1

Which one of the following is an assumption associated with traditional goal setting?

Accepted Answer

A)  Employees will be more motivated to try to attain goals that they helped set. 
B)  Clarity and specificity are preserved as the goals filter down through organizational levels. 
C)  Top managers know what is best because they see the "big picture." 
D)  Managers and employees together develop goals.

Question 2

Which one of the following statements is true of planning in dynamic environments?

Accepted Answer

A)  Organizations should follow a pyramidal structure when operating in uncertain environments. 
B)  Organizations must discontinue formal planning in such a scenario. 
C)  To be useful in a dynamic environment, plans need to be specific and unchanging. 
D)  Flatter organizational hierarchies are necessary for planning in uncertain environments.

Question 3

The number of years used to define short-term and long-term plans has increased considerably because of the greater environmental certainty businesses have today.

Accepted Answer

A) True 
 B)False

Question 4

Which one of the following is true of the impact of formal planning on organizational performance?

Accepted Answer

A)  Formal planning is associated with positive financial results. 
B)  Organizations that formally plan invariably outperform those that don't plan. 
C)  The amount of planning done is more important to high performance than the quality of planning and implementation. 
D)  Companies can start seeing the impact of formal planning on performance about a year after starting the planning process.

Question 5

When organizational members are more actively involved in planning, the probability that the plan will be used increases.

Accepted Answer

A) True 
 B)False

Question 6

________ is a process of setting mutually-agreed upon goals and using those goals to evaluate employee performance.

Accepted Answer

A)  Management by objectives 
B)  Management by walking around 
C)  Management by observation 
D)  Management by exception

Question 7

________ involves defining the organization's goals, establishing strategies for achieving those goals, and developing plans to integrate and coordinate work activities.

Accepted Answer

A)  Execution 
B)  Logistics 
C)  Planning 
D)  Operations

Question 8

There is a fine line between what is legal and ethical and what is legal but unethical.

Accepted Answer

A) True 
 B)False

Question 9

Nike, Inc. is a sportswear and equipment manufacturer that serves a multitude of sports disciplines. Which one of the following statements from Nike would be the best example of a strategic goal?

Accepted Answer

A)  a ten percent increase in average annual sales 
B)  a seven percent increase in average annual income 
C)  achieving a return on investment of 17 percent 
D)  accelerating growth through focused execution

Question 10

Williamson is the owner of a small company that sells corporate gifts through an online store. Business has slowed down in recent months and he realizes that the organization must move in a different direction if it is to survive. He has reset some of the company's overall goals and wants to develop a plan to achieve those goals. He is anticipating the business environment to be volatile for the next few years. Considering the above information, it can be determined that his plan must be ________, ________, and ________.

Accepted Answer

A)  operational; directional; rigid 
B)  informal; unwritten; flexible 
C)  strategic; general; rigid 
D)  strategic; directional; flexible

Question 11

The presence of planning inhibits the ability of departments and individuals to work together or organizations to move.

Accepted Answer

A) True 
 B)False

Question 12

Bill has been working his plan for about three months. He is now discussing his progress with Jim, his supervisor. If Bill and Jim are using the MBO planning process, this discussion is called ________.

Accepted Answer

A)  performance feedback 
B)  redirection of goals 
C)  advise and adjust 
D)  the milestone checkpoint

Question 13

When lower-level managers and employees are involved in the planning process, ________.

Accepted Answer

A)  the documents they create are rarely reviewed 
B)  the plans take on a life of their own 
C)  their job satisfaction increases but productivity suffers 
D)  they see the plans as more than just something written down on paper

Question 14

How can managers effectively plan when the external environment is continually changing?

Accepted Answer

A)  They should discontinue formal planning. 
B)  They should set general, but rigid plans. 
C)  They should be ready to change directions if environmental conditions warrant. 
D)  They should continue to follow the set organizational plans as persistence will eventually pay.

Question 15

A ________ is an integrated network of goals in which the accomplishment of goals at one level makes possible the achievement of the goals at the next level.

Accepted Answer

A)  reverse pyramid 
B)  means-ends chain 
C)  bottom-up ladder 
D)  process sequence

Question 16

Which one of the following reflects the way goals are used in an MBO program?

Accepted Answer

A)  Goals are used to prepare financial budgets for each unit. 
B)  Goals are used to broadly set the direction subject to encourage interpretation by individual managers. 
C)  Apart from being used to ensure that employees are doing what they are supposed to be doing, goals are used as a motivating tool for employees. 
D)  Goals are used to compare organizational performance year over year.

Question 17

Which one of the following is the last step in goal setting?

Accepted Answer

A)  review the organization's mission or purpose 
B)  determine the goals individually or with input from others 
C)  write down the goals and communicate them to all who need to know 
D)  review results and whether goals are being met

Question 18

The standard procedure to be followed by the human resources department of a company when initiating disciplinary action against an employee is an example of a standing plan.

Accepted Answer

A) True 
 B)False

Question 19

Bonnie is discussing with her subordinate, Julie, the types of projects Julie would like to work on in the coming year. They are setting goals and determining what success would look like. Bonnie and Julie are engaged in ________.

Accepted Answer

A)  performance planning 
B)  strategic planning 
C)  management by observation 
D)  management by objectives

Question 20

Which one of the following is among the reasons why managers should plan?

Accepted Answer

A)  When work activities are coordinated around plans, inefficiencies become obvious. 
B)  Uncertainty can be eliminated and the organization can be insulated from change with planning. 
C)  Planning eliminates the need to set goals. 
D)  Planning eliminates the need to measure work effort.

Exam 8: Planning Work Activities

Which one of the following is an assumption associated with traditional goal setting?

Which one of the following statements is true of planning in dynamic environments?

The number of years used to define short-term and long-term plans has increased considerably because of the greater environmental certainty businesses have today.

Which one of the following is true of the impact of formal planning on organizational performance?

When organizational members are more actively involved in planning, the probability that the plan will be used increases.

________ is a process of setting mutually-agreed upon goals and using those goals to evaluate employee performance.

________ involves defining the organization's goals, establishing strategies for achieving those goals, and developing plans to integrate and coordinate work activities.

There is a fine line between what is legal and ethical and what is legal but unethical.

Nike, Inc. is a sportswear and equipment manufacturer that serves a multitude of sports disciplines. Which one of the following statements from Nike would be the best example of a strategic goal?

The presence of planning inhibits the ability of departments and individuals to work together or organizations to move.

Bill has been working his plan for about three months. He is now discussing his progress with Jim, his supervisor. If Bill and Jim are using the MBO planning process, this discussion is called ________.

When lower-level managers and employees are involved in the planning process, ________.

How can managers effectively plan when the external environment is continually changing?

A ________ is an integrated network of goals in which the accomplishment of goals at one level makes possible the achievement of the goals at the next level.

Which one of the following reflects the way goals are used in an MBO program?

Which one of the following is the last step in goal setting?

The standard procedure to be followed by the human resources department of a company when initiating disciplinary action against an employee is an example of a standing plan.

Bonnie is discussing with her subordinate, Julie, the types of projects Julie would like to work on in the coming year. They are setting goals and determining what success would look like. Bonnie and Julie are engaged in ________.

Which one of the following is among the reasons why managers should plan?