Management exam 2

Question 1

3 perspectives on problem-solving

Answer 1

Avoidance, challenge and opportunity, challenge and an opportunity for improvement of the service or product

Question 2

Problem

Answer 2

unwanted deviation from an expected outcome or desire, caused by change

Question 3

programmed problem vs non-programmed

Answer 3

programmed is day-to-day problems that are covered by standard operating procedures and non-programmed are unusual occurrences that can be a threat

Question 4

3 basic structures of the problem-solving framework

Answer 4

causal, decision, and action

Question 5

basic values in problem-solving

Answer 5

Relativism, pluralism, deontological, consequentialist (utilitarian, and egoism)

Question 6

context

Answer 6

Stakeholders, biophysical, social, economic, political, legal, available resources

Question 7

positive vs normative statements

Answer 7

positive statements state an observation or fact. normative statement express a judgment of whether it is desirable or undesirable.

Question 8

ethical relativism

Answer 8

what one society considers right another society considers wrong. therefore, right and wrong are relative.

Question 9

moral pluralism

Answer 9

many different views can exist within one society. more views lead to more nuance and viewer communal anchors to latch on to.

Question 10

Deontological Theory

Answer 10

right and wrong are based on nature and duty. Act based on moral laws

Question 11

Consequentialism

Answer 11

the outcome of an action determines if the action is right or wrong.

Question 12

egoism

Answer 12

human interests are based on self-interest. the morality of an action is based on the best possible outcome for the individual.

Question 13

utilitarianism

Answer 13

takes into account the outcomes for both the individual and the collective.

Question 14

Jeremy Bentham

Answer 14

Wrote “principles of Utilitary” and discussed the philosophical implications of pain and pleasure in society.

Question 15

3 guiding management principles (definitely on exam 2)

Answer 15

productivity (efficient use of your resources), equity (ensure that people are given equal opportunity to meet their needs), and sustainability (maintain productivity throughout time, while minimizing the effect on the larger environment).

Question 16

Aldo Leopold

Answer 16

Considered by many to be the father of wildlife ecology and the United States’ wilderness system, Aldo Leopold was a conservationist, forester, philosopher, educator, writer, and outdoor enthusiast. Create the “Land Ethic (1949).

Question 17

Problem definition

Answer 17

1) is this a problem that calls for action?
2) is it my problem?
* 3) In what context will I address the problem?
4) What is the first step?

Question 18

Addressing the problem

Answer 18

1) factual situation
2) question that calls for action
3) short-term objective
4) long-term goal
5) practical response

Question 19

limitations of decision making

Answer 19

ambiguity, uncertainty, time constraints, cost, and cognitive limitations.

Question 20

bounded rationality

Answer 20

decision-making capabilities bounded by the manager’s cognitive capability.

Question 21

“satisficing”

Answer 21

adequacy, not optimization, is the target when faced with bounded rationality, ambiguity, time, economic costs, etc.

Question 22

cognitive biases

Answer 22

1) prior hypothesis
2) representative bias
3) illusion of control
4) escalating commitment
5) rules of thumb
6) group think
7) isolation

Question 23

Span of control

Answer 23

number of subordinates that report directly to the manager

Question 24

principle of minimum chain of command

Answer 24

top managers construct a hierarchy with the fewest number of managers as possible and effective use of resources in the organization is met.

Question 25

Classical decision-making model

Answer 25

- List all alternatives and consequences of the different alternatives - Rank each alternative - Select alternative(s) that lead to desired future state

Question 26

Administrative decision-making model

Answer 26

* The alternative to the Classical Model * Acknowledges Bounded Rationality: – risk and uncertainty – incomplete information – time and resource cons

Question 27

tall organizations

Answer 27

a organization have many levels of authority and narrow spans of control

Question 28

Flat structures

Answer 28

structure with fewer levels and wider span of control

Question 29

Managers promoting synergy

Answer 29

Ensure people have skills and knowledge, empower subordinates, ensure accountability, refrain from micromanaging, ensure strategic resources, ensure inter-group communication

Question 30

Task interdependence

Answer 30

the degree to which work is performed by one member if a group influences work by others.

Question 31

Social Loafers

Answer 31

Individuals that hide in the crowd and do not do their fair share of work.

Question 32

Stages of group development

Answer 32

1) forming 2) storming 3) norming 4) performing 5) adjourning

Question 33

Delphi decision-making technique

Answer 33

- identify and define - solicit individual opinion anonymously - consolidate all the individual opinions - collect new opinions and consolidate

Question 34

nominal decision-making technique

Answer 34

- Brainstorm alternatives - all ideas are presented to the group - all ideas are discussed - put alternatives to a secret vote - no face-to-face discussion - alternatives with the most votes are selected - need stronger facilitators

Question 35

stepladder technique

Answer 35

individuals A & B a given a problem to solve, and each comes up with a solution. A & B meet and come to a group decision. A & B meet C who came up with their own decision. rinse and repeat

Question 36

correlation vs causation

Answer 36

correlation: strong mathematic between two or more variables, strong predictive power, does not describe cause and effect relationship Causation: the act or process of producing an effect action or condition.

Question 37

Action planning framework

Answer 37

1) decide who to include 2) translate the decision into a series of targets 3) identify steps 4) gain commitment to plan 5) consider closely related targets 6) implement the plan 7) monitor progress 8) take corrective action

Question 38

SMART targets

Answer 38

SPECIFIC, MEASURABLE, ATTAINABLE, RELEVANT, TIME-BASED

Question 39

Peter Drucker

Answer 39

one of the most widely-known and influential thinkers on management. "action without planning is the cause of every failure".

Question 40

SWOT analysis

Answer 40

strength, weakness, opportunity, threats

Question 41

Criteria

Answer 41

similar to goals. same points that are put into a matrix when making a decision

Question 42

Micheal Porter

Answer 42

Porter's Five Forces of Competitive Position Analysis were developed in 1979 by Michael E Porter of Harvard Business School as a simple framework for assessing and evaluating the competitive strength and position of a business organization.

Question 43

Porter's 5 forces of competition

Answer 43

1) rivalry among existing competitors 2) potential for entry 3) substitute products 4) leverage of customer 5) leverage of the supplier

Question 44

Horizontal diversification

Answer 44

diverse product line and services. moving into more than one sector

Question 45

vertical integration

Answer 45

organizing business along your value chain, both upstream and downstream

Question 46

synergistic horizontal diversification

Answer 46

the new business or sector somehow relates to the existing one

Question 47

venture horizontal diversification

Answer 47

unrelated diversification primarily to improve portfolio.