Chapter 4

Question 1

the process of guiding the development, maintenance, and allocation of resources to attain
organizational goals

Answer 1

Management

Question 2

Role of a manager that includes setting objectives, anticipating potential problems or opportunities, and crafting strategies

Answer 2

planning

Question 3

Role of a manager that includes coordinating and allocating resources needed to implement plans

Answer 3

Organizing

Question 4

Role of a manager that includes guiding, motivating, and communicating with employees to resolve conflicts and manage change

Answer 4

Leading

Question 5

Role of a manager that includes the process of assessing an organization’s progress toward accomplishing its goals

Answer 5

Controlling

Question 6

is the ability to produce a desired result

Answer 6

Effectiveness

Question 7

using the least amount of resources to accomplish an organization’s goals

Answer 7

Efficiency

Question 8

the process of creating long-range (one to five years), broad goals for an organization and determining what resources will be needed to accomplish those goals

Answer 8

Strategic planning

Question 9

the process of beginning to implement a strategic plan by addressing issues of
coordination and allocating resources to different parts of an organization; it has a shorter time frame (less
than one year) and more specific objectives than strategic planning

Answer 9

Tactical planning

Question 10

the process of creating specific standards, methods, policies, and procedures that are
used in specific functional areas of an organization; helps guide and control the implementation of tactical
plans

Answer 10

Operational planning

Question 11

the process of identifying alternative courses of action for very unusual or crisis situations; typically stipulates the chain of command, standard operating procedures, and communication channels an organization will use during an emergency

Answer 11

Contingency planning

Question 12

the highest level of managers who develop strategic plans
▪ Includes CEOs, presidents, and vice presidents

Answer 12

Top management

Question 13

the managers who design and carry out tactical plans in specific areas of a
company
▪ Includes regional managers, division heads, and directors

Answer 13

Middle management

Question 14

is the managers who design and carry out operational plans for the ongoing daily
activities of a firm
▪ Includes supervisors and team leaders

Answer 14

Supervisory management

Question 15

the process of dividing work into separate jobs and assigning tasks to workers

Answer 15

Division of labor
▪ Example: We may bring in someone to help raise and manage money and someone else to manage
getting our product to market

Question 16

the process of grouping jobs together so that similar or associated tasks and activities can be coordinated

Answer 16

Departmentalization
Example: The marketing department may have researchers, salespeople, customer support, and product
managers; each has their own task, but together, they serve the marketing department

Question 17

the assignment of some degree of authority and responsibility to persons lower in the chain of command

Answer 17

Delegation
Example: CEOs will offload tasks to people below them, like handling financing or marketing; within
marketing, CMOs will have product managers and research directors under them; research directors may
have junior-level researchers under them

Question 18

Organizational structure that is based on the primary functions performed within an organizational unit

Answer 18

Functional
Example: marketing, finance, human resources, production, shipping

Question 19

Organizational structure that is based on the goods or services produced or sold by an organizational unit

Answer 19

Product
Example: dog toys, treats and food, accessories, dog clothing

Question 20

Organizational structure that is based on the production process used by an organizational unit

Answer 20

Process
Example: food prep, sewing, 3D printing, design

Question 21

Organizational structure that is based on the primary type of customer served by an organizational unit

Answer 21

Customer
Example: retail, e-tail, wholesale, boutique

Question 22

Organizational structure that is based on the geographic segmentation of organizational units

Answer 22

Geographic
Example: Asia, North America, Europe

Question 23

an organizational structure that combines functional and product departmentalization by bringing together people from different functional areas of an organization to work on a special project

Answer 23

Matrix structure

Question 24

an organizational structure in which authority and responsibility are held by a group rather than an individual

Answer 24

committee structure

Question 25

power that is derived from an individual’s personal charisma, and the respect and/or admiration the individual inspires

Answer 25

Referent power

Question 26

power is derived from an individual’s extensive knowledge in one or more areas

Answer 26

Expert

Question 27

Power that is derived from one’s position in an established
organization

Answer 27

Legitimate or positional power

Question 28

power that is derived from an individual’s control over rewards

Answer 28

Reward power

Question 29

power that is derived from an individual’s ability to threaten negative outcomes

Answer 29

coercive

Question 30

leadership that is characterized by directive leaders who prefer to make decisions and solve problems
on their own with little input from subordinates

Answer 30

Autocratic
ex: elon musk

Question 31

leadership that is characterized by leaders who share decision-making with group members and encourage discussion of issues and alternatives

Answer 31

participative
Example: universities

Question 32

a form of participative leadership in which leaders solicit input from all members of the group and then allow group members to make the final decision through a voting process

Answer 32

Democratic

Question 33

a form of participative leadership in which leaders encourage discussion about issues
and then require that all parties involved agree to the final decision

Answer 33

consensual

Question 34

a form of participative leadership in which leaders confer with subordinates before making a decision but retain the final decision-making authority

Answer 34

consultative

Question 35

characterized by a leader who turns over all authority and control to subordinates

Answer 35

lassiez faire or free rein
Examples: hair salon, architectural firm, entertainment agency

Question 36

the set of attitudes, values, and standards of behavior that distinguishes one organization from
another

Answer 36

corporate culture

Question 37

the number of employees the manager directly supervises

Answer 37

span of control- can be narrow or wide
Narrow: Pros: higher degree of control, more personalized, more immediate feedback
▪ Cons: more expensive, less flexible, less employee empowerment
Wide: Pros: cheaper, more flexible, more employee empowerment (and more satisfaction)
▪ Cons: potential lack of coordination, managers spread too thin, lack of personalization

Question 38

the degree to which formal authority is concentrated in one area or level of an organization; top management makes most of the decisions

Answer 38

Centralization
ex:us military, apple

Question 39

when the decision-making process is relatively localized

Answer 39

decentralization
ex: eventbrite

Question 40

a process that includes evaluations from managers, peers/colleagues, oneself, one’s
subordinates, and even the customers/clients external to an organization

Answer 40

360 degree evaluation

Question 41

A management strategy that involves employees and managers defining clear
objectives together

Answer 41

Management by objectives

Question 42

A method of evaluating employee performance in specific areas

Answer 42

BARS Behaviorally Anchored Rating Scales