Question 1

Under which of the following circumstances would an organic form of control work best?

Accepted Answer

A)  if a manager uses primarily relationship-oriented behaviors 
B)  if the culture of the firm favors decision-making at the top 
C)  if performance can be quantified and explicitly measured 
D)  if the culture of the firm avoids employee participation 
E)  if managers use primarily task-oriented behaviors 
A)  if a manager uses primarily relationship-oriented behaviors 
B)  if the culture of the firm favors decision-making at the top 
C)  if performance can be quantified and explicitly measured 
D)  if the culture of the firm avoids employee participation 
E)  if managers use primarily task-oriented behaviors

Question 2

Match each term with the correct statement below.
-the things of value that an individual or organization owns

Accepted Answer

A)  balance sheet 
B)  assets 
C)  current assets 
D)  fixed assets 
E)  liabilities
F) current liabilities
G) long-term liabilities
H) owners equity
I) income statement
J) liquidity ratios
K) profitability ratios
L) debt ratios 
A)  balance sheet 
B)  assets 
C)  current assets 
D)  fixed assets 
E)  liabilities
F) current liabilities
G) long-term liabilities
H) owners equity
I) income statement
J) liquidity ratios
K) profitability ratios
L) debt ratios

Question 3

Profit margin on sales is calculated by dividing net income by total assets.

Accepted Answer

A) True 
 B)False

Question 4

The first step in the process of control is

Accepted Answer

A)  responding to deviations. 
B)  measuring actual performance. 
C)  developing organizational structure. 
D)  comparing performance to standards. 
E)  setting performance standards. 
A)  responding to deviations. 
B)  measuring actual performance. 
C)  developing organizational structure. 
D)  comparing performance to standards. 
E)  setting performance standards.

Question 5

The bureaucratic control style usually works better than the organic control style if task performance is difficult to measure.

Accepted Answer

A) True 
 B)False

Question 6

To maintain adequate control in any system, the control system must contain as much variety as the system being controlled. This is known as the law of compulsory variety.

Accepted Answer

A) True 
 B)False

Question 7

One issue that surfaces in cases of undercover surveillance is the concern that management has a low regard for and little trust in its own employees.

Accepted Answer

A) True 
 B)False

Question 8

One of the reasons McDonald's has such crisp french fries is that the company has a stringent set of standards for the potatoes it buys. McDonald's standards in this area is a form of

Accepted Answer

A)  feedback control. 
B)  concurrent control. 
C)  cross-functional control. 
D)  safeguard control. 
E)  feedforward control. 
A)  feedback control. 
B)  concurrent control. 
C)  cross-functional control. 
D)  safeguard control. 
E)  feedforward control.

Question 9

Feedforward control is often referred to as preventive control.

Accepted Answer

A) True 
 B)False

Question 10

The managers of Sterling Vision strongly believe that employees are trustworthy and willing to perform correctly without extensive rules and supervision. This philosophy of control is consistent with __________ control.

Accepted Answer

A)  hierarchical 
B)  bureaucratic 
C)  cross-functional 
D)  organic 
E)  systematic 
A)  hierarchical 
B)  bureaucratic 
C)  cross-functional 
D)  organic 
E)  systematic

Question 11

Since it is conceivable that impaired motor skills may be the cause of an accident, a reasonable time for a drug test would be after an accident.

Accepted Answer

A) True 
 B)False

Question 12

According to the text, computer monitoring is most concerned with

Accepted Answer

A)  employee pilferage of company assets. 
B)  measuring employee performance. 
C)  detecting whether or not employees are jeopardizing the firm's security. 
D)  determining whether or not the employee is engaging in data mining of customer accounts. 
E)  employees increasing the risk of company liabilities. 
A)  employee pilferage of company assets. 
B)  measuring employee performance. 
C)  detecting whether or not employees are jeopardizing the firm's security. 
D)  determining whether or not the employee is engaging in data mining of customer accounts. 
E)  employees increasing the risk of company liabilities.

Question 13

With the organic method of control, standard operating procedures and policies prescribe acceptable employee behavior and standards for employee performance.

Accepted Answer

A) True 
 B)False

Question 14

Sensitivity refers to the precision with which a measurement can be made.

Accepted Answer

A) True 
 B)False

Question 15

During the busy Christmas season, Randy Thomas is particularly concerned that his control system provide feedback quickly enough for the shelves in his store to be restocked with the appropriate items. Mr. Thomas is concerned that his control system be

Accepted Answer

A)  related to organizational strategy. 
B)  timely. 
C)  acceptable. 
D)  composed of objective and subjective measures. 
E)  complete. 
A)  related to organizational strategy. 
B)  timely. 
C)  acceptable. 
D)  composed of objective and subjective measures. 
E)  complete.

Question 16

This type of control is sometimes referred to as "corrective control because it is intended to discover undesirable output and implement corrective action.

Accepted Answer

A)  static 
B)  feedforward 
C)  concurrent 
D)  feedback 
E)  independent 
A)  static 
B)  feedforward 
C)  concurrent 
D)  feedback 
E)  independent

Question 17

When a control system is linked to organizational strategy, it recognizes strategic shifts and is flexible enough to measure what is important as indicated by the firm's strategy.

Accepted Answer

A) True 
 B)False

Question 18

The __________ can indicate whether or not firms have trouble meeting their short-term debt obligations.

Accepted Answer

A)  cash ratios 
B)  liquidity ratios 
C)  activity ratios 
D)  debt ratios 
E)  profitability ratios 
A)  cash ratios 
B)  liquidity ratios 
C)  activity ratios 
D)  debt ratios 
E)  profitability ratios

Question 19

The __________ and the income statement give the best information to calculate ratios that are used to assess an organization's financial health.

Accepted Answer

A)  debt sheet 
B)  cash flow statement 
C)  profit and loss statement 
D)  balance sheet 
E)  income statement 
A)  debt sheet 
B)  cash flow statement 
C)  profit and loss statement 
D)  balance sheet 
E)  income statement

Question 20

The bureaucratic and organic approaches present two distinctly opposite control philosophies.

Accepted Answer

A) True 
 B)False

Under which of the following circumstances would an organic form of control work best?

Match each term with the correct statement below. -the things of value that an individual or organization owns

Profit margin on sales is calculated by dividing net income by total assets.

The first step in the process of control is

The bureaucratic control style usually works better than the organic control style if task performance is difficult to measure.

To maintain adequate control in any system, the control system must contain as much variety as the system being controlled. This is known as the law of compulsory variety.

One issue that surfaces in cases of undercover surveillance is the concern that management has a low regard for and little trust in its own employees.

One of the reasons McDonald's has such crisp french fries is that the company has a stringent set of standards for the potatoes it buys. McDonald's standards in this area is a form of

Feedforward control is often referred to as preventive control.

The managers of Sterling Vision strongly believe that employees are trustworthy and willing to perform correctly without extensive rules and supervision. This philosophy of control is consistent with __________ control.

Since it is conceivable that impaired motor skills may be the cause of an accident, a reasonable time for a drug test would be after an accident.

According to the text, computer monitoring is most concerned with

With the organic method of control, standard operating procedures and policies prescribe acceptable employee behavior and standards for employee performance.

Sensitivity refers to the precision with which a measurement can be made.

During the busy Christmas season, Randy Thomas is particularly concerned that his control system provide feedback quickly enough for the shelves in his store to be restocked with the appropriate items. Mr. Thomas is concerned that his control system be

This type of control is sometimes referred to as "corrective control because it is intended to discover undesirable output and implement corrective action.

When a control system is linked to organizational strategy, it recognizes strategic shifts and is flexible enough to measure what is important as indicated by the firm's strategy.

The __________ can indicate whether or not firms have trouble meeting their short-term debt obligations.

The __________ and the income statement give the best information to calculate ratios that are used to assess an organization's financial health.

The bureaucratic and organic approaches present two distinctly opposite control philosophies.

Management and Managers

Evolution of Management Thought

Social Responsibility and Ethics

Strategic Management and Planning in a Global Environment

Planning in the Contemporary Organization

Managerial Decision Making

Organizing for Effectiveness and Efficiency

Organizational Design

Strategic Human Resource Management

Organizational Culture and Change

Communicating Effectively Within Diverse Organizations

Leading in a Dynamic Environment

Exploring Individual Differences and Team Dynamics

Motivating Organizational Members

Productivity and Quality in Operations

Information Technology and Control

Filters

Exam 15: Organizational Control in a Complex Business Environment

Under which of the following circumstances would an organic form of control work best?

Match each term with the correct statement below. -the things of value that an individual or organization owns

Profit margin on sales is calculated by dividing net income by total assets.

The first step in the process of control is

The bureaucratic control style usually works better than the organic control style if task performance is difficult to measure.

To maintain adequate control in any system, the control system must contain as much variety as the system being controlled. This is known as the law of compulsory variety.

One issue that surfaces in cases of undercover surveillance is the concern that management has a low regard for and little trust in its own employees.

One of the reasons McDonald's has such crisp french fries is that the company has a stringent set of standards for the potatoes it buys. McDonald's standards in this area is a form of

Feedforward control is often referred to as preventive control.

The managers of Sterling Vision strongly believe that employees are trustworthy and willing to perform correctly without extensive rules and supervision. This philosophy of control is consistent with __________ control.

Since it is conceivable that impaired motor skills may be the cause of an accident, a reasonable time for a drug test would be after an accident.

According to the text, computer monitoring is most concerned with

With the organic method of control, standard operating procedures and policies prescribe acceptable employee behavior and standards for employee performance.

Sensitivity refers to the precision with which a measurement can be made.

During the busy Christmas season, Randy Thomas is particularly concerned that his control system provide feedback quickly enough for the shelves in his store to be restocked with the appropriate items. Mr. Thomas is concerned that his control system be

This type of control is sometimes referred to as "corrective control because it is intended to discover undesirable output and implement corrective action.

When a control system is linked to organizational strategy, it recognizes strategic shifts and is flexible enough to measure what is important as indicated by the firm's strategy.

The __________ can indicate whether or not firms have trouble meeting their short-term debt obligations.

The __________ and the income statement give the best information to calculate ratios that are used to assess an organization's financial health.

The bureaucratic and organic approaches present two distinctly opposite control philosophies.

Management and Managers

Evolution of Management Thought

Social Responsibility and Ethics

Strategic Management and Planning in a Global Environment

Planning in the Contemporary Organization

Managerial Decision Making

Organizing for Effectiveness and Efficiency

Organizational Design

Strategic Human Resource Management

Organizational Culture and Change

Communicating Effectively Within Diverse Organizations

Leading in a Dynamic Environment

Exploring Individual Differences and Team Dynamics

Motivating Organizational Members

Productivity and Quality in Operations

Information Technology and Control

Filters