Deck 10: Organizational Change and Innovation: Lifelong Challenges for the Exceptional Manager

Question 1

B corporations are ones whose stocks are not listed on NASDAQ or as part of the Dow Jones Industrial Average.

Answer 1

False

Question 2

Procter & Gamble modified a liquid detergent to make it available as a concentrated powder in a pouch.P&G's new product is an example of a core innovation.

Answer 2

True

Question 3

In OD,single interventions have been found to work better than multiple interventions.

Answer 3

False

Question 4

During tax-preparation time,the store's accounting department may work similar hours.Although accounting employees are in a different department from stockroom and sales employees,it's reasonable to expect that the accounting employees wouldn't be terribly upset by the temporary change in hours because they've seen it in effect elsewhere in the store.This is an example of innovative change.

Question 5

Walt Disney Company's investment of $1 billion into a wearable technology that it hopes will revolutionize the way visitors spend money at Walt Disney World,featuring a website ("My Disney Experience")and data-collecting wristbands ("MagicBands")that interact with scanners throughout the 40-square-mile theme park,is an example of proactive change.

Question 6

Which of the following is an effective way to deal with change and innovation?

A)Insist on success and punish failure.
B)Offer different explanations for the change to different work groups.
C)Hold closely to established methods of getting the job done.
D)Innovate by varying existing products that are already on the market.
E)Have the courage to follow your ideas.

Question 7

Which of the following is not a supertrend shaping the future of business?

A)more niche products
B)information becoming a competitive advantage
C)traditional companies struggling with radically innovative change
D)offshore suppliers affecting U.S.business
E)faster speed-to-market

Question 8

Innovation is mostly the product of hard work and dedication rather than a "eureka" moment of epiphany.

Question 9

Which of the following is an example of a force for change originating outside the organization?

A)productivity issues
B)conflict management
C)structural reorganization
D)social and political pressures
E)absenteeism

Question 10

A process innovation is a change in the appearance or the performance of a product or a service or the creation of a new one.

Question 11

Which of the following is an example of a proactive change?

A)Ciara's staff is unhappy about the long hours they have been working and several of them quit before she knows there is a problem.
B)Ciara's group sends a product that is nearing its launch date back to the drawing board based on a competitor's superior new offering.
C)Ciara cannot get permission to hire another person until her group misses several deadlines.
D)Ciara is constantly "putting out fires," responding to daily crises in her group.
E)Ciara explores improvements in bonus structures with her staff and begins to implement them despite the fact that her employees are generally content.

Question 12

Demassification refers to customers becoming part of mass markets that reflect mass behavior and mass values.

Question 13

Keurig created a new category of coffee/tea preparation by offering one-cup-at-a-time pod-style brewing with its "K-cups." Keurig's product is an example of a transformational innovation.

Question 14

Adaptive change is the least threatening type of change and is therefore least likely to create resistance.

Question 15

The marketplace is becoming less homogeneous and moving toward more niche products.

Question 16

An example of innovative change is a department store deciding to adopt a new practice used by competitors by staying open 24 hours a day and requiring employees to work flexible schedules,a change that employees are likely to see as moderately threatening.

Question 17

An organizational culture that celebrates failure helps foster innovation.

Question 18

________ change is made in response to arising problems or opportunities.BP's response to an explosion on a drilling platform in the Gulf of Mexico is an example of this kind of change.

A)radical
B)incremental
C)proactive
D)reactive
E)process

Question 19

Reactive change involves making carefully thought-out changes in anticipation of possible or expected problems or opportunities.

Question 20

Corporate restructurings threaten to eliminate jobs and generally trigger strong resistance.

Question 21

The increasing diversity of the American workforce,and the fact that people aged 18-34 are more likely to be living with their parents than with a spouse or partner,are both examples of a(n)______ force for change.

A)market
B)demographic
C)social and political
D)political
E)economic

Question 22

Firms such as General Motors and McDonald's actively collect information about customer preferences and try to address them in their new products.General Motors and McDonald's are actively trying to adapt to

A)shareholder,customer,and market changes.
B)social and political pressures.
C)human resource concerns.
D)managers' behavior.
E)technological advancements.

Question 23

Which of the following is not a factor that affects the level of resistance to change?

A)the gender of the change agent
B)employee characteristics and perceptions of change
C)the change agent's leadership style
D)change agent-employee relationship
E)the change agent's ability to empathize with the employee's perspective

Question 24

The invention of a machine to make plastic corks for wine bottles has severely affected companies that produce traditional cork.The invention of the machine for making plastic corks is an example of a(n)______ advancement.

A)market
B)social and political
C)technological
D)demographical
E)economic

Question 25

Which of the following is not an inside force that indicates organizational change might be needed?

A)high turnover
B)excessive conflict between managers and employees
C)increased competition
D)high levels of stress among employees
E)job dissatisfaction

Question 26

Appliance America's customer complaints have increased because its drivers often get lost when attempting deliveries,which means that the deliveries arrived late.The drivers have resisted using GPS systems,claiming they know their territories.But managers are now encouraging them to look for the best solution to the increased level of customer complaints.Appliance America is in the ________ stage of Lewin's change model.

A)changing
B)unfreezing
C)evaluation
D)learning
E)refreezing

Question 27

Which of the following is an inside force for change?

A)domestic competition
B)recession
C)advancements in automation
D)immigration
E)low productivity and turnover

Question 28

Sparkling Clean,Inc.is considering implementing a system that will pay its cleaning workers based on the number of completed residential jobs,coupled with satisfactory ratings on random inspections to ensure quality.This system is new to the organization,and it is an example of __________ change.

A)adaptive
B)innovative
C)familiar
D)radically innovative
E)highly complex

Question 29

The two cofounders of Network Appliance,a data-storage firm in Sunnyvale,California,were feuding with each other because one founder couldn't stick to his decisions,which drove the other founder crazy.A(n)____________ began working with the warring executives in separate sessions to solve the problem.

A)organizational behavior specialist
B)family doctor
C)informational technologist
D)acquisition consultant
E)labor relations specialist

Question 30

Studies exploring nurses' perceptions about using PDAs in their daily patient practice found initial resistance,with some nurses concerned about the cost and short technological life cycle of these devices.As part of the __________ stage of change,the nurses' managers try to instill in them the motivation to change,encouraging them to let go of attitudes and behaviors that are resistant to innovation.

A)unfreezing
B)freezing
C)change
D)refreezing
E)thawing

Question 31

___________ change introduces a new practice to an organization but one that is not new to the industry.

A)Proactive
B)Adaptive
C)Innovative
D)Reactive
E)Radically innovative

Question 32

At Toys 4 Tiny Tots,employees know that during the December shopping season they are often required to work different schedules,weekends,and overtime.The December work schedules at Toys 4 Tiny Tots is an example of a(n)______ change because workers have experienced it in the past.(They experience it every December. )

A)reactive
B)adaptive
C)innovative
D)incremental
E)radically innovative

Question 33

As owner and senior accountant at a tax preparation firm,Mark is changing the work schedule of all employees,including managers and accountants,for the months of March and April,the company's busiest time.He is requiring everyone to work on weekends,just as he has during the tax-preparation season for the last ten years.Mark should expect that his employees will be

A)terribly upset and will quit.
B)moderately upset but not willing to quit.
C)moderately upset and complain.
D)hardly upset or not upset at all.
E)terribly upset but not quit.

Question 34

The human resource manager at Helping Hands Inc.has just calculated that the employee absenteeism rate for 2016 is 15 percent higher than it was in 2015,and the turnover rate increased 18 percent over the same time period.Which of the following is NOT an option she should consider for improving the situation?

A)Wait until 2017 and see what the turnover rate is at the end of that year.
B)Deal with employees' possible work overloads.
C)Identify causes of job dissatisfaction.
D)Address and adjust job design.
E)Identify possible employee role conflicts.

Question 35

Northstar Insurance is about to begin using a program that will change the way its adjusters settle insurance claims.Adjusters will be able to complete an adjustment and issue a check right at the scene of the accident.Although employees are uncertain that the new system will work,other insurance agencies have been successful with this approach.At Northstar Insurance,the new program represents ________ change.

A)motivated
B)innovative
C)adaptive
D)radically innovative
E)refusal to

Question 36

Joan,a new manager,must enforce sales report deadlines,but her team is struggling.She creates a new system to streamline the process and helps everyone understand why the deadlines are important.On which of the following internal forces is Joan trying to have an impact?

A)demographic characteristics
B)shareholder,customer,and market changes
C)manager's behavior
D)human resource concerns
E)social and political pressures

Question 37

In the Internet Age,retailers like Amazon and Apple are not constrained by physical shelf space and can offer consumers a much wider variety of products;yet small sales,one or two rather than millions of items at a time,can produce big profits.This development is an example of

A)the marketplace becoming more segmented and moving toward more niche products.
B)declining population in developed countries.
C)China becoming the second-largest economic power.
D)the rise of business-to-business technology.
E)instant-gratification shopping.

Question 38

Employees are likely to see an adaptive change as

A)highly threatening.
B)moderately threatening.
C)least threatening.
D)significantly complex,costly,and uncertain.
E)totally unacceptable.

Question 39

Social media (LinkedIn,Facebook)can make the search for new employees more efficient.The rise of social media is an example of a(n)__________ advancement or force.

A)technological
B)social or political
C)market
D)inside
E)demographic

Question 40

________ is an emotional/behavioral response to real or imagined threats to an established work routine.

A)Change agency
B)Benchmarking
C)OD intervention
D)Radical innovation
E)Resistance to change

Question 41

Links Cable Network has decided to offer a one-hour appointment window for customers needing installation or repair of its service,which will require the company to have several technicians on call.Links hopes this practice will give it an advantage over the competition,none of which have adopted such a practice.Links Cable Network is introducing a(n)______ change.

A)reactive
B)innovative
C)radically innovative
D)adaptive
E)active

Question 42

Which of the following is one of Scott Berkun's seeds of innovation for organizations?

A)hard work in a specific direction
B)curiosity
C)necessity
D)wealth and money
E)philanthropy

Question 43

An innovative change involves ______ complexity,cost,and uncertainty.

A)no
B)minimum
C)hidden
D)moderate
E)extreme

Question 44

Omar,an OD consultant,is working with members of a cross-functional team to build cohesiveness and practice skills to function better as a team.Omar is conducting the ______ stage of the OD process.

A)feedback
B)diagnosis
C)evaluation
D)changing
E)treatment,or intervention,

Question 45

A(n)_____ change involves introducing a practice that is new to the industry,such as using drones (rather than delivery trucks)to deliver products to customers.

A)revolutionary
B)adaptive
C)radically innovative
D)reactive
E)innovative

Question 46

A year after she assisted Thomas Engineering in making changes to an employee incentive plan,Kara,an OD consultant,is visiting the company to determine if the changes were helpful.Kara will compare sales and turnover data from the last three years to the current year.Kara is in the ______ stage of the OD process.

A)refreezing
B)intervention
C)diagnosis
D)evaluation
E)adaptation

Question 47

Which of the following is not one of the primary uses of OD?

A)adapting to a merger
B)improving recruitment
C)managing conflict
D)revitalizing an organization
E)adapting to an acquisition

Question 48

Which of the following factors most reduces an organization's ability to learn from failure?

A)employees who like to experiment with multiple solutions
B)employees who blame others for failure
C)employees with a strong desire to acquire personal wealth
D)employees who embrace a learning culture
E)employees with a high tolerance for ambiguity

Question 49

After Mary's Gifts and Cards surveyed its customers,it discovered that its customers preferred the company's competition more than 70 percent of the time.The most frequently cited reason was customer service.During which stage of Lewin's change model should Mary provide her employees with this information about the problems with customer service?

A)stabilizing
B)continuous improvement
C)unfreezing
D)changing
E)refreezing

Question 50

Teachers Credit Union has decided that tellers must rotate through a new weekend shift on Saturday afternoons because several of its financial competitors have recently begun to offer additional hours to customers.Teachers Credit Union is implementing a(n)______ change.

A)radically innovative
B)reactive
C)adaptive
D)proactive
E)innovative

Question 51

Which of the following circumstances is unlikely to increase the success of OD?

A)consideration of cross-cultural differences
B)single intervention
C)top management support
D)goals geared to short-term results
E)goals geared to long-term results

Question 52

During Lewin's refreezing stage,managers should

A)make employees dissatisfied with the present way of doing things.
B)give employees the tools for change.
C)provide benchmarking results.
D)encourage and reinforce the desired change in the employees.
E)reduce the barriers to change.

Question 53

Lewin's change model consists of

A)three stages: unfreezing,changing,and refreezing.
B)three forces: employee characteristics,change agent characteristics,and change agent-employee relationships.
C)four steps: recognize problems,gain allies,overcome resistance,and execute.
D)three types: adaptive,innovative,and radically innovative.
E)three steps: diagnosis,intervention,and evaluation.

Question 54

A technological innovation that improves the performance and speed of a computer's operating system would be considered a(n)______ innovation.

A)adaptive
B)transformational
C)personnel
D)product
E)process

Question 55

Which of the following is not a leading reason that employees resist change?

A)individual predisposition toward change
B)lack of personal ethics
C)fear of failure
D)climate of mistrust
E)nonreinforcing reward systems

Question 56

During Lewin's changing stage,managers should

A)reduce the barriers to change.
B)make employees dissatisfied with the present situation.
C)reinforce the desired change.
D)give employees new information,perspectives,and models for behavior.
E)encourage employees to exhibit the new change.

Question 57

In which one of the following situations would OD techniques be the most helpful?

A)increasing efficiency among employees in a firm
B)helping employees from two similar organizations work better together in a strategic alliance
C)dealing with employee stress that comes from revitalizing an organization or adapting to a merger
D)facilitating discussion of ethical issues in preparing a company's code of ethics
E)working with the CEO to determine how to increase profitability

Question 58

A _______ often puts organizational development into practice.

A)transformative consultant
B)catalytic consultant
C)counselor
D)change agent
E)training specialist

Question 59

_______ is the process by which a company compares its performance with that of high-performing organizations.

A)Reference innovation
B)Benchmarking
C)Competitive change
D)Continuous improvement
E)Radical innovation

Question 60

_____________ is the set of techniques used for implementing planned change to make people and organizations more effective.

A)Corporate transformation
B)Organizational development
C)Revitalization
D)Continuous improvement
E)Incremental innovation

Question 61

Suppose a soft-drink company,Loco Cola,is conducting a force-field analysis to determine which forces could facilitate a proposed change (the introduction of a new lemon-lime soda)and which forces could act against it.Which of the following would Loco Cola consider a counterthruster?

A)Market research indicates that noncaffeinated,clear (lemon-lime)sodas are increasing in popularity.
B)Loco Cola's Facebook pages has more than 3.5 million likes.
C)Loco Cola has never been able to gain any significant market share outside of the Midwest.
D)In unbiased surveys,college students often say that Loco Cola manufactures their favorite soft drinks.
E)Loco Cola is a favorite among the Millennial generation.

Question 62

This question has two parts;be sure to answer both.First,explain the three steps in the OD process.Next,suppose you are a student member of your college's or university's committee that is attempting to study why an excessive number of students drop out of your college.Give examples of activities your task force might take in each stage of its OD process.

Question 63

This question has two parts;be sure to answer both.First,give examples of two forces outside an organization and two forces inside that would be likely indicators of a need for change.Next,imagine that you run a small downtown store,On the Board,that specializes in selling board games from around the world.Explain how each of the forces you identified might affect your business.

Question 64

Describe what OD is and what it can be used for.

Question 65

Which of the following is not a way to encourage and foster innovation?

A)creating an innovation strategy
B)supporting innovation with investments of time and money
C)withholding raises and promotions when innovation attempts don't work out
D)getting commitment from top managers
E)obtaining the necessary human resources

Question 66

Personal Care Products recently introduced a new acai berry shampoo.Rinn,director of new product development,has just reviewed the dismal results.As it appears that his team adequately researched the product's acceptance by consumers prior to its introduction,he is confused by the outcome.But to keep his team open to innovation,Rinn should

A)step down as director.
B)fire and replace the team lead as an example to others.
C)foster an innovative culture and climate that permits experimentation,risk taking,and failure.
D)ignore the product failure.
E)demote the team leader.

Question 67

List at least five of ten reasons that employees resist change.

Question 68

According to the systems model of change,which of the following is not an input?

A)the organization's mission statement
B)the organization's vision statement
C)the organization's products or services
D)the organization's strategic plan
E)an analysis of the organization's readiness for change

Question 69

The management department at a local university began posting all assignments and other class materials to a course management website instead of creating a packet or printed materials for students to purchase each term.The management department is implementing a ______ innovation.

A)process
B)product
C)policy
D)breakthrough
E)reactive

Question 70

Suppose your college or university wanted to make a major change in some important aspect of student life at your school,such as getting students more involved in charitable organizations.How should the college or university use Lewin's model to guide its actions?

Question 71

A(n)______ innovation is a change in the way a product or service is conceived,manufactured,or disseminated.

A)procedural
B)process
C)product
D)transformational
E)adaptive

Question 72

Define the four types of innovation.Give an example of each.

Question 73

This question contains multiple sections;be sure to answer each.First,list the three sources of resistance to change,giving an example of each.Next,define a change agent and explain his or her role in bringing about organizational change.Third,imagine that you are the CEO of ShopAtHome,a personalized shopping service.Currently you have 20 personal shoppers on staff.To compete better,you decide to change your way of doing business.Instead of meeting clients at their homes to discuss their clothing preferences and look through catalogs,your employees will now be required to pick each customer up at her home,take her to various stores,and work with her to choose the right clothes.This stronger focus on each customer means that each of your employees will have fewer clients,which means they may earn less money and commissions.Explain some types of resistance you might encounter from your employees and how you might address each one.

Question 74

This question contains two parts;be sure to answer both.First,describe the seven steps in creating an effective innovation system.Next,explain how you would implement each of the seven steps at the company you manage,AppsRUs,which specializes in creating easy-to-use smartphone apps that help businesspeople manage their daily schedule,contacts,and sales leads.

Question 75

Which of the following jobs are least likely to be taken over by automation?

A)knowledge-work jobs that require creativity and problem solving
B)bookkeeping jobs
C)clerical jobs
D)assembly-line jobs
E)jobs that require unskilled labor

Question 76

What are two myths about innovation?

Question 77

Describe at least three supertrends that are occurring in business that are likely to result in changes in many industries.Provide an example of each.

Question 78

This question has two parts;be sure to answer both.First,which four factors are essential to successful implementation of an OD program? Briefly explain each.Next,assume that you manage the U.S.office a multinational corporation that has offices in Europe,Asia,and South America.You are having difficulty with your company's product receiving many negative reviews on Amazon,Yelp,and other online review sites.Explain how you will improve the situation through awareness of each of the four factors.

Question 79

A managerial innovation that improves the efficiency of a company's cross-functional teams would be considered a ______ innovation.

A)product
B)process
C)core
D)transformational
E)practical

Question 80

This question has two parts;be sure to answer each.First,describe the difference between proactive and reactive change,contrast how managers act in each type.Which type of change is better? Second,imagine that you own a dogwalking service,Paws.How might you be proactive in terms of managing your business?