Exam 17: Introduction to Controlling

Rotana Hotels implements centralization of recruitment; paying special attention to recruitment prevents the company from hiring the wrong people and thus prevents mistakes being made in the future. This describes which type of control?

Two areas in which the corporate governance is being reformed are the role of boards of directors and ________.

________ is a term used to describe when a manager is out in the work area interacting directly with employees.

In a short essay, describe the most frequently used organizational performance measures.

Up to ________ of all theft and fraud is committed by firm employees, not outsiders.

The most popular type of control is ________ control.

In a short essay, describe workplace privacy concerns for managers today.

Which of the following ratios examines an organization's use of debt to finance its assets and its ability to meet the interest payments on the debt?

When organizations "manage" earnings, they "time" income and expenses to enhance current financial performance.

Samira has just gotten out of a rough meeting with the board. She is looking to take immediate corrective action by letting a few heads roll in the sales department. She hopes that such a drastic move might light a fire under the remaining sales force. Majid cautions that Bahrul Kabeero's sales management has been perpetually putting out fires over the past 3 years and that it might be wiser to take basic corrective action. Samira asks Majid what he means. Majid explains that basic corrective action ________.

Fortune's 100 Best Companies to Work For are chosen by answers given by thousands of randomly selected employees on a questionnaire called the ________.

The ________ is the standard of excellence against which to measure and compare.

Bahrul Kabeer's Control (Scenario) Bahrul Kabeer, Inc., is a statistical software company based in Kuwait. This publicly traded firm has grown in a systematic fashion over its 25 year existence and now claims more than 12,000 employees worldwide. As it has grown, the company has adopted a hierarchical structure, which emphasizes organizational authority. Management relies heavily on administrative rules, regulations, and policies in order to meet its goals. However, the company has struggled to meet projected revenues for each of the past 10 quarters. While it is true that world financial markets have been in a free-fall over the past three years, demand for the firm's products has typically been fairly recession-proof in the past. The board of directors is growing increasingly impatient with the management team. The firm's president, Samira is concerned that recent performance indicates that management has lost control of the workforce. She has hired Majid, an expert in control system design, to evaluate Bahrul Kabeer, Inc., and offer suggestions to improve the firm's performance. -Majid is adamant in telling Samira that what management measures is much more critical to the control process than how it is measured. Samira asks why Majid feels so strongly about this. Majid responds that what the organization measures ________.

The Balanced Scorecard (Scenario) Upon completing his industrial engineering degree, Najib took a position as a manager with the Bilad Mint, a manufacturer of commemorative and collectible products. Bassel, Najib's boss and the VP of operations, has been asked by the organization's CEO to look into the balanced scorecard approach of performance management to see whether this would be appropriate for the organization. In turn, Bassel has asked Najib to look into balanced scorecard approaches and report back to him. -The intent of the balanced scorecard is to ________.

Financial Ratios (Scenario) Jana was in a big hurry. She had just been given the assignment of reporting on the financial health of her company to the new divisional vice president. Dania, the new vice president, had asked Jana to work up several calculations to help her gain an understanding of the company's financial shape. Jana was working hard and had a big order to fill, one that could make or break her reputation with Dania. She quickly pulled out her old financial management textbook and turned to the chapter on financial ratios to help her answer the questions that were asked. -Dania was also interested in understanding the company's ability to meet short-term obligations, which meant that Jana had to calculate a(n) ________ ratio.

The control process is a two-step process that compares actual performance against a standard and takes managerial action to correct deviations or inadequate standards.

Direct supervision is the best-known form of concurrent control.

When a performance indicator can't be stated in quantifiable terms, managers should ________.

Some control criteria, such as employee satisfaction, are applicable to any management situation.

There are no company rankings in the Arab world similar to Fortune's "Best Companies to Work For".