Deck 18: Creating and Leading Change

Question 1

According to Collins and Porras, truly great companies have

A)limited product lines.
B)unswerving dedication to getting ahead.
C)a corner on their respective markets.
D)strong core values.
E)little need to turn a profit.

Answer 1

D

Question 2

"We've had to cut our overhead expenses, and we let go several of our support staff," said J. Montgomery Sutcliffe, Managing Partner of Pleshette and Sutcliffe LLC. "However, you are brilliant attorneys, and I am counting upon each of you to creatively deliver even better legal services to our clients, even while doing extra work that was previously done by our support staff." J. Montgomery is counting upon his team to subscribe to the belief known as the ________, the ability to achieve multiple objectives at the same time.

A)"tyranny of the or"
B)"genius of the and"
C)"purpose of the because"
D)"desire of the want"
E)"reason for the why"

Answer 2

B

Question 3

Shared responsibility for change in very small organizations is often lost with growth and over time.

Answer 3

True

Question 4

According to Collins and Porras, an essential characteristic of a built-to-last company is

A)incremental goal setting.
B)competitive focus.
C)a conservative mindset.
D)entrepreneurial thinking.
E)a profit-focused mentality.

Question 5

Encouraging words said by senior management help to avoid complacency.

Question 6

The companies that lead change most effectively establish a sense of normalcy and protect their employees from the pressures in the market.

Question 7

Many individuals and companies are plagued by the ________, the belief that multiple objectives are mutually exclusive.

A)problem of the if
B)tyranny of the or
C)timing of the when
D)genius of the and
E)threat of the what

Question 8

To be world class, an organization should

A)strive for a controlled improvement.
B)operate at the highest standards of any place anywhere.
C)be driven by business-as-usual goals.
D)solely focus on beating the competition.
E)continue to use the methods, systems, and cultures of the past.

Question 9

Blue Mountain Art Supply has adopted a new workflow for its office to improve efficiency. This is an example of a ________ organization development intervention.

A)strategic
B)techno-structural
C)supply chain
D)human process
E)human resource management

Question 10

Tri-State Waste Management put a new program in place to attract employees who have skills that better match the company's needs. This is an example of a ________ organization development intervention.

A)human resources management
B)human process
C)techno-structural
D)supply chain
E)strategic

Question 11

Force-field analysis involves identifying an employee's charisma and leadership potential.

Question 12

In managing resistance to change, facilitation and support can be time-consuming and expensive and still fail.

Question 13

An organization's ability to achieve multiple objectives at the same time is referred to as the

A)benefit of the also.
B)tyranny of the or.
C)timing of the when.
D)genius of the and.
E)perfection of the two.

Question 14

Organization development is a systemwide application of ________ knowledge to develop, improve, and reinforce the strategies, structures, and processes that lead to organization effectiveness.

A)financial
B)quality control
C)technological
D)behavioral science
E)product development

Question 15

In studying 18 successful organizations, Collins and Porras found that all such companies were continually

A)competing, profiting, and winning.
B)maintaining their past successes.
C)holding on to winning formulas.
D)changing, progressing, and adapting.
E)crushing the competition.

Question 16

Becoming world class means becoming

A)one of the best in the world at what you do.
B)better compared to where you were in the past.
C)so powerful that competitors are afraid to challenge you.
D)successful at maintaining your market position.
E)adept at retaining your customer base.

Question 17

Boardman Metal Works Inc. sent the members of its office staff for training in communication and teamwork. This is an example of a(n)________ organization development intervention.

A)strategic
B)operational
C)techno-structural
D)human resource management
E)human process

Question 18

Asking for and listening to others' information and opinions and reflecting honestly on one's own successes and failures are part of lifelong learning.

Question 19

Being world class requires

A)having the highest standards in the country.
B)improving most of the time.
C)accepting that being the best is an unrealistic goal.
D)ignoring the competition.
E)applying the best, most up-to-date knowledge.

Question 20

The "tyranny of the or" refers to the belief that things

A)can be neither A nor B.
B)must be either A or B, but not both.
C)can be either A or B or both.
D)must be both A and B.
E)must be both A and B, or neither.

Question 21

A direct and sometimes effective way to convince people to change is to

A)show them how the organization has done better than its competitors.
B)focus on the negative consequences of failing to change.
C)emphasize the difficulty of the challenges that lie ahead.
D)compare the organization's performance to that of competitors.
E)suppress negative talk in favor of positive motivation.

Question 22

Alison, a line manager at the computer monitor manufacturer Ocular, has come up with a new system to streamline production. However, her supervisor resists the idea on the basis that the current system "has worked just fine for a couple of decades." The supervisor's resistance to change is a result of

A)misunderstanding.
B)timing.
C)surprise.
D)inertia.
E)self-interest.

Question 23

"Bjorn, your group members are going to resist that change, regardless of the content of the change. That's human nature. The old ways of doing things are comfortable and easy, so your staff will not want to try something new. That's called ________," said Bjorn's manager and mentor.

A)moving
B)inertia
C)freezing
D)management tactics
E)refreezing

Question 24

Juana Ponce, CEO of Gabriel Enterprises, told her vice presidents, "We're a huge company, and we are talking about a massive change in the way we do business. A lot of long-time employees will resist these changes, so we must help them recognize that their old ways are obsolete." How would you advise them to accomplish this?

A)Tell the employees that they will be punished severely if they do not switch to the new ways from the obsolete old ways.
B)Discuss the negative consequences of the old ways by comparing the organization's performance to that of its competitors.
C)Pin the blame for the organization's poor performance directly and entirely on the workers.
D)Show the employees the new way to perform their job without consulting them.
E)Induce fear among employees by bombarding them with facts related to the organization's performance.

Question 25

The key to successful change in an organization is

A)technology.
B)people.
C)bureaucracy.
D)timing.
E)capital.

Question 26

Despite a good balance sheet and stock performance in recent quarters, the top management of Ackerman Consumer Products can see trouble on the horizon. From its beginnings as a family business manufacturing specific household items, it has grown to an industry giant with a line that includes several hundred tools. This growth has allowed it to acquire three other former rivals, all of which were victims of their own inability to change with the times. Along the way, Ackerman has maintained the same principles, particularly in terms of valuing the contributions of its employees and cultivating a strong workforce. Nevertheless, earnings are off. Which of the following did Ackerman's leadership most likely fail to do during the course of the organization's growth over the past few years?

A)design a cohesive workflow program that allows employees to manufacture, ship, and complete the necessary paperwork in an efficient manner
B)broaden its acquisition strategy to include business in industries unrelated to tool and household item manufacturing
C)work on communication and conflict resolution with its employees through the use of seminars and team bonding events
D)develop enough alliances with other companies to ensure that Ackerman has sufficient access to the materials it needs to manufacture its tools
E)attract and reward enough good people in every level of the organization, from line worker up through executive management

Question 27

After reading a Harvard/McKinsey study of organizational excellence, CEO Don Stillhouse was motivated to lead his company to achieve sustained, superior performance by focusing on the key factors identified by the authors, i.e.,

A)demonstrating how needs can be met, exploring ways to meet unidentified needs, meeting needs, and developing new ways to meet needs.
B)strategy, execution, culture, and structure.
C)inertia, timing, surprise, and peer pressure.
D)assessing, unfreezing, moving, and refreezing.
E)thinking, making, and trading.

Question 28

Organization development has an underlying ________ orientation.

A)profit
B)value
C)stability
D)dominance
E)protective

Question 29

Doreen has announced to her employees at the Cable Car Bakery that she is changing their pay structure in a way that she believes will benefit them in the long run. However, Taryn is not so convinced, and later she tells her coworkers that her sister's employer did something similar. "No matter what she says," Taryn said regarding Doreen, "it's all about what benefits her." This is an example of ________, a cause for resistance to change.

A)different assessments
B)management tactics
C)inertia
D)timing
E)surprise

Question 30

Having recognized that their company is not where it needs to be in terms of sales, profits, or other metrics, the managers at Marathon Athletic Gear have established some goals and long-term objectives. This is the beginning of the stage known as

A)unfreezing.
B)moving.
C)refreezing.
D)mobilizing.
E)stabilizing.

Question 31

Francisco, a project manager at a telephone systems engineering firm, is holding a meeting in which he announces to the members of his work group that from now on, they will need to copy him on all email correspondence with clients. This raises an uproar, which Francisco quells by holding up a hand and saying, "This is the way I want it done!" He looks around the room before saying "Any questions?" in a tone that implies there had better not be any questions. As a result, the team members comply, but every time one of them has to copy Francisco on a client email, no matter how insignificant the subject matter, they resent it. This is an example of resistance brought about by

A)misunderstanding.
B)different assessments.
C)peer pressure.
D)self-interest.
E)management tactics.

Question 32

Refreezing is

A)the third step in motivating meaningful change in all circumstances.
B)best when it creates and rewards rigid business-related behaviors.
C)appropriate when it promotes continued adaptability, flexibility, and experimentation.
D)most successful when it prevents the need for future changes.
E)sometimes the first step in the process of motivating people to change.

Question 33

Strategic, techno-structural, human resource management, and human process are types of

A)awareness building techniques.
B)organization behavior modification approaches.
C)organization development interventions.
D)total quality management systems.
E)affirmative action programs.

Question 34

The CEO of Universal Products Group is implementing changes to the company that will be difficult for the employees. The best approach to managing resistance to change would be to ________ the staff about the upcoming changes, before they occur, and to ________ the nature of the changes and their logic.

A)learn from; harmonize
B)educate; minimize
C)educate; communicate
D)vaguely communicate to; not mention
E)freeze; refreeze

Question 35

The most accurate definition of a performance gap is the difference between

A)what is and what could be.
B)what was and what is.
C)what two employees can accomplish.
D)what one company does and what its competitors do.
E)what is manually possible and what is technologically possible.

Question 36

Claus manages a large business unit in a global corporation. Recently, the business unit has experienced recruiting failures. Claus needs to change the long-standing recruiting process, although many staff will resist any changes, including Nick, a tremendous talent but a "loose cannon." Nick has been vocal in his criticism of the recruiting program. What is a covert tactic that Claus might successfully employ to change his recruiting program and gain the staff's acceptance of the changes?

A)Design the new program over a weekend, and announce it on Monday, to be effective immediately.
B)Use "new blood" to design and implement the change, not the key stakeholders who are affected by the change.
C)Withhold communication about the nature of the change or its logic.
D)Use co-optation by asking Nick to serve a significant role in the change process.
E)Announce that incentives (promotions and bonuses)will be withheld until all resistance to change ceases.

Question 37

When management realizes that its current practices are no longer appropriate and that the company must break out of its present mold by doing things differently, this is known as the ________ stage of motivating change.

A)mobilizing
B)stabilizing
C)unfreezing
D)moving
E)refreezing

Question 38

Another name for the genius of the and is organizational

A)development.
B)unfreezing.
C)ambidexterity.
D)agility.
E)refreezing.

Question 39

The systemwide application of behavioral science knowledge to develop, improve, and reinforce the strategies, structures, and processes that lead to organizational effectiveness is referred to as organization

A)development.
B)restructuring.
C)ambidexterity.
D)reengineering.
E)positioning.

Question 40

Estelle Melendez, factory manager at West Coast Manufacturing, told her shift supervisor, "Bob, our target reject rate is 1.5 percent or less. Your shift usually performs at a reject rate even lower than that. But recently your reject rate has crept up to 3 percent. That's unacceptable." Estelle has identified a(n)

A)loophole.
B)performance gap.
C)ambidexterity.
D)force-field analysis.
E)guiding coalition.

Question 41

Dominique noticed that whenever she told her employees that they needed to improve customer service, they paid little attention. She had the strong impression that they thought they were doing a good enough job. In this particular instance, what would be Dominique's best strategy for dealing with their complacency?

A)encouraging them more when she sees them doing something right
B)talking even more specifically about the organization's weaknesses
C)backing up her points with general principles rather than data
D)putting them in direct contact with unhappy customers
E)making the performance goals easier to attain

Question 42

Aspiring leaders of change tend to ________ their vision.

A)under communicate
B)overcomplicate
C)underestimate
D)overcommunicate
E)undermine

Question 43

Realizing that current practices are inappropriate and that new behavior must be enacted is part of ________, a required stage for managing resistance.

A)stabilizing
B)moving
C)storming
D)norming
E)unfreezing

Question 44

Gustavo, chief executive officer for Pacific Sunshine, maker of high-end aquariums, has spent some time working as an "undercover boss" on the production line, and what he sees is not pleasing. He has observed shoddy workmanship and a lackadaisical attitude reflected in the quality of the company's products. In Gustavo's estimation, current production quality is not what it should or could be. He has thus

A)started a service initiative.
B)uncovered a performance gap.
C)performed a force-field analysis.
D)discovered a need for job posting.
E)identified adapters.

Question 45

Tactics to stop complacency include

A)shielding employees from unhappy customers.
B)reducing feedback from external sources.
C)making resources more visible.
D)giving pep talks.
E)setting stretch goals.

Question 46

Among the methods for managing resistance to change, using ________ runs the risk of leaving people angry at the initiators.

A)participation and involvement
B)facilitation and support
C)negotiation and rewards
D)manipulation and cooptation
E)explicit and implicit coercion

Question 47

Joel's boss has just given him an incredible opportunity-an assignment to go work at the company's Hawaii office for two weeks, three months from now-but he is not excited. The problem is that his family needs him because his mother will have just had surgery, and his elderly father cannot take care of her on his own. Joel's resistance to the Hawaii assignment is based on

A)surprise.
B)peer pressure.
C)differing assessments.
D)timing.
E)self-interest.

Question 48

When employees do not see the advantage of a particular change compared to current practices or do not recognize how such a change fits with the firm's strategy, the result is most likely resistance to change driven by

A)surprise.
B)timing.
C)inertia.
D)misunderstanding.
E)self-interest.

Question 49

In the context of motivating change, "moving" refers to

A)the management's realization that its current practices are no longer appropriate.
B)strengthening the new behaviors that support the change.
C)instituting the change, which begins with establishing a vision.
D)the process of identifying performance gaps.
E)the process of breaking from the old ways of doing things.

Question 50

Total organization change is also referred to as

A)organizational ambidexterity.
B)force-field analysis.
C)the genius of the and.
D)large group intervention.
E)proactive change.

Question 51

Tyra Kendrick, Western Division manager, knows that the upcoming year's budget and planning process will be a challenge. For the first time in ten years, the company is changing its budgeting, salary administration, and marketing approach, and a major reorganization will be involved. She expects the managers and staff to resist the planned changes. How might she influence her managers to accept and publicly support the changes?

A)Involve her managers in design and implementation of the budget and planning process.
B)Centralize authority and limit empowerment during the changes.
C)Lay down the law, reminding her managers of who is boss.
D)Remind her managers that she will not have patience or understanding with staff affected by the changes.
E)Withhold information from her managers regarding the nature and logic associated with the changes.

Question 52

Resistance to change is

A)usually motivated by self-interest and peer pressure.
B)typically overestimated by management.
C)the same across the board, from company to company.
D)common at all levels of an organization.
E)a key to organization development.

Question 53

When people think a change will cause them to lose something of value, this may bring about resistance to change motivated by

A)misunderstanding.
B)management tactics.
C)self-interest.
D)surprise.
E)different assessments.

Question 54

Identifying the specific forces that prevent people from changing and those that will drive people toward change is called

A)force-field analysis.
B)strategic maneuvering.
C)operational planning.
D)trend analysis.
E)situational assessment.

Question 55

When resistance to change results from adjustment problems, a good way of managing the resistance to change is through

A)education and communication.
B)facilitation and support.
C)negotiation and rewards.
D)manipulation and cooptation.
E)explicit and implicit coercion.

Question 56

Safety is a big concern at the Glory Canning Company, and so the company has spent a great deal of money on an education program that includes cartoons, stickers, skits put on by employees, daily announcements, and array of other promotional methods and items. Nevertheless, employees have proven less than enthusiastic about the initiative. Most likely their resistance is due to

A)inertia.
B)self-interest.
C)peer pressure.
D)management tactics.
E)surprise.

Question 57

A relatively quick and inexpensive way to manage resistance to change is

A)education and communication.
B)participation and involvement.
C)facilitation and support.
D)negotiation and rewards.
E)manipulation and cooptation.

Question 58

When change initiators do not have all the information they need to design the change and others have considerable power to resist, the best approach to managing resistance to change is through

A)participation and involvement.
B)facilitation and support.
C)negotiation and rewards.
D)manipulation and cooptation.
E)explicit and implicit coercion.

Question 59

Individual team members may not strongly oppose a change suggested by management, but the opinions of their coworkers may encourage resistance due to

A)self-interest.
B)surprise.
C)peer pressure.
D)different assessments.
E)inertia.

Question 60

One cause for complacency is

A)too much negative talk.
B)a frank discussion of weaknesses.
C)too many visible resources.
D)the presence of a major crisis.
E)high performance standards.

Question 61

Too much happy talk from company leadership, too many visible resources, low overall standards, a lack of sufficient performance feedback from outside sources, and the absence of a visible crisis are all causes for

A)change.
B)unfreezing.
C)moving.
D)refreezing.
E)complacency.

Question 62

The final step in managing resistance involves strengthening new behaviors that support a change and is referred to as

A)solidifying.
B)moving.
C)stabilizing.
D)enforcing.
E)refreezing.

Question 63

In the context of leading change, highlighting positive results and developing new change agents are a part of

A)generating short-term wins.
B)consolidating gains.
C)anchoring new approaches in the culture.
D)unfreezing behavior.
E)empowering broad-based action.

Question 64

Introducing and sustaining multiple policies, practices, and procedures across multiple units and levels is called

A)total organization change.
B)force-field analysis.
C)total quality management.
D)organizational ambidexterity.
E)reactive change.

Question 65

Typically, companies tend to have too ________ change initiatives.

A)few continuous
B)many simultaneous
C)few ambitious
D)many unrealistic
E)few coordinated

Question 66

Among the steps for leading change, the one that involves determining the idealized, expected state of affairs after the change is implemented is

A)communicating the change vision.
B)consolidating gains and producing more change.
C)generating short-term wins.
D)developing a vision and strategy.
E)anchoring new approaches in the culture.

Question 67

Buddy Mann, operations manager, anticipated that his employees would resist the company's change to a new benefits program. Therefore, to make the change easier and to show consideration for his employees' concerns, he arranged for a corporate HR representative to host several optional training workshops, allowed each employee to take half a day off to learn about the new program, and invited his employees to meet with him to voice their concerns and questions. Buddy's efforts to manage resistance to change can be described as

A)thinking, making, and trading.
B)facilitation and support.
C)strategy, execution, culture, and structure.
D)manipulation and cooptation.
E)explicit and implicit coercion.

Question 68

PetroChem, an international energy company with offshore oil platforms throughout the Caribbean, has introduced new technology that has led to the replacement of a number of local workers with experts from Europe and North America. This has resulted in protests from a group called Nuestro Mar, which claims to speak for the displaced workers. In response, PetroChem has just appointed the leader of Nuestro Mar to its board of directors, an example of

A)education and communication.
B)facilitation and support.
C)negotiation and rewards.
D)manipulation and cooptation.
E)explicit and implicit coercion.

Question 69

"Team, our organization is in a fight for its very survival," said Thor Isaacsen, CEO of Hammer Products. "However, over the past month, we have developed sweeping changes in the way that we do business that will ensure our long-term success. And I believe that the most effective way for you to lead change in your divisions is to

A)keep our staff unaware of the crises we face."
B)refrain from discussing our weaknesses and missed opportunities."
C)establish a sense of urgency."
D)engage in management 'happy talk'."
E)shield employees from unhappy customers and shareholders."

Question 70

Among the steps for leading change, the one that involves gaining leadership from top management and gradual support over time from managers and supervisors is

A)establishing a sense of urgency.
B)creating a guiding coalition.
C)communicating the change vision.
D)empowering broad-based action.
E)generating short-term wins.

Question 71

In return for participation and cooperation in instituting a major organizational change, employees of Keystone Capital Management received two extra days of paid vacation. This scenario exemplifies ________, a method of managing resistance to change.

A)education
B)facilitation
C)rewards
D)manipulation
E)implicit coercion

Question 72

The managers at Perpetual Motion, a production and media agency, have recently decided that in order to maximize profits, employees will have to work on weekends. To help with this change, they have given all employees a bonus of 10 percent and an option to choose specific days off during the week. This is an example of using ________ to manage resistance to change.

A)education and communication
B)facilitation and support
C)negotiation and rewards
D)manipulation and cooptation
E)explicit and implicit coercion

Question 73

Orrin was reluctant to follow a new customer service policy that his company adopted. Orrin's boss, Bella, told him that if he did not begin following the policy immediately, he would lose the chance at a bonus he hoped to get. Bella used ________ to overcome Orrin's resistance to change.

A)negotiation
B)coercion
C)cooptation
D)facilitation
E)participation

Question 74

The companies that lead change most effectively establish a

A)steering committee.
B)chain of command.
C)sense of urgency.
D)plan for the future.
E)helpline for problems.

Question 75

Among the steps for leading change, the one that requires using every possible channel and opportunity to talk up and reinforce the company's long-term aspirations and required new behaviors is

A)generating short-term wins.
B)establishing a sense of urgency.
C)creating a guiding coalition.
D)communicating the change vision.
E)empowering broad-based action.

Question 76

Max is manager of the local Zesty Sam's, a fast-food restaurant. His store has consistently underperformed the national average for the chain, and now word has come down from on high that he needs to make some major changes if he wants to keep his job. He has analyzed the situation and knows that the problem comes from the workforce, which is composed primarily of teenagers. Most of them tend to be blasé when it comes to following instructions, and many seem more interested in elaborate jokes and pranks than in getting the job done. The best way for Max to bring about the changes he needs is to tell his employees what needs to be done and then inform them that

A)he is appointing a couple of leaders from the group to the management team.
B)those who do not understand what is expected of them will receive training.
C)they can be involved in designing plans for the changes to take place.
D)anyone who fails to comply with his instructions will be fired within two weeks.
E)there will be a pay raise for those who comply with his instructions.

Question 77

To help implement a big change in its employee management procedures, the president of the Midland Gasket Manufacturing appoints a union official to the company's executive committee. This is an example of managing resistance through

A)education and communication.
B)facilitation and support.
C)negotiation and rewards.
D)manipulation and cooptation.
E)explicit and implicit coercion.

Question 78

In managing resistance to organizational changes, facilitation and support mean

A)gaining employee participation and soliciting ideas for managing the change.
B)giving a resisting individual a role in the change process.
C)using force to make people comply with the change.
D)making the change as easy as possible for employees.
E)offering concrete incentives for cooperation.

Question 79

The managers at Finnegan Insurance are proposing a change in the way performance evaluations are done. Most employees who dislike the change are unsure about how exactly the change will be made and do not have enough information about the new policy. Given this situation, the best method for managing resistance to change is most likely through

A)education and communication.
B)facilitation and support.
C)negotiation and rewards.
D)manipulation and cooptation.
E)explicit and implicit coercion.

Question 80

Jaime thought - to himself - that the change proposed by management was reasonable. However, he wanted to be liked and accepted by his coworkers, most of whom vocally opposed the change. Therefore, he joined his coworkers in criticizing management for the change. This is an example of resistance brought about by

A)misunderstanding.
B)different assessments.
C)peer pressure.
D)self-interest.
E)management tactics.