CLEP Principles of Management Vol 1

Collective bargaining occurs between which of the following?
Unions and employers
Among the following steps involved in a decision-making process, which would be the final step?
Establish an evaluation and control system
The first phase of a company training program generally focuses on which of the following?
Needs assessment
Which of the following is an example of an intrinsic reward?
Personal Development
Which of the following landmark legal cases helped lay a foundation for racial and ethnic diversity in the workforce?
Brown v. Board of Education
If a plant manager is told to produce 10,000 units each day, this would be an example of what kind of goal?
I. Strategic

II. Tactical

III. Operational

III only
Which of the following would be most useful to a purchasing manager in determining which office machine will pay for itself most quickly?
Payback analysis
Which school of management focuses on the single best way to perform and manage tasks?
Who is known as the “father of scientific management”?
Frederick Taylor
Bureaucracies are NOT characterized by
prompt decision-making
Which of the following refers to the idea that subjects of an experiment alter their behavior in response to the fact that they are being studied?
Hawthorne effect
A wide span of managerial control is advisable in which of the following situations?
The organization has established operating procedures.
Henri Fayol is responsible for developing the
14 principles of management
Product development refers to which of the following?
I. Creation of new products

II. Improvement of existing products

III. Alteration of old products

I, II, and III
When two parties agree to work in a cooperative manner to resolve a labor dispute, it is called a(n)
Which of the following statements is true about an informal organization?
It emphasizes personal relationships.
A company that is the first to bring the latest trendy garments to the marketplace is most likely to have what kind of structure?
According to Frederick Herzberg’s two-factor theory, which of the following would be a hygiene factor?
Job security
Which of the following industries is part of a dynamic environment?
Which of the following is a benefit of a functional structure?
There is increased productivity.
Which of the following statements about flexible scheduling is NOT true?
Employees can make up their weekly schedules as they go along.
Which of the following is an example of change in a university’s internal environment?
Raising admissions standards
According to Abraham Maslow’s hierarchy of needs theory, which of the following would be most likely to satisfy an employee’s esteem need?
A promotion
All of the following are valid factors in determining the suitability of a candidate for an entry-level job EXCEPT requiring
a specific gender
Which of the following is the first step in problem solving?
Define the problem
A factory employee performing a single assembly-line task on a repeated basis is an example of
work specialization
A transactional leader may guide her subordinates by
I. offering rewards for actions aligned with goals

II. punishing undesirable behaviors

III. constantly shifting standards

I and II only.
A mechanistic structure would be LEAST likely to have which of the following characteristics?
Decentralized control
Which of the following refers to an individual who promotes the development of an innovative product within an organization?
Product champion
An e-business that charges customers an ongoing fee at regular intervals for unlimited access to products or services is following which type of model?
Subscription model
Which of the following refers to a code of organizational conduct that reflects the overall values and principles of a business?
Which of the following terms is also known as horizontal job loading?
Job enlargement
Which of the following would show an organization’s assets at any given point in time?
Balance sheet
Which of the following ensures protection for corporate whistle-blowers?
Sarbanes-Oxley Act
The NAFTA regional trading bloc is composed of which of the following?
Canada, Mexico, and the United States
According to the Total Quality Management definition of a customer, who among the following would be considered a customer of a dress manufacturer?
Salesperson selling the dress
The average manager spends the majority of his or her time engaged in which of the following activities?
The ability to garner the respect and cooperation of employees to achieve an organization’s goals is known as
The kind of power that is invested by employees in a leader whom they admire and wish to emulate is known as
A multinational company is concerned that its slogan will not deliver the proper message to customers in a foreign market. Their concern is about which of the following environments?
Social and cultural
Managers who possess the leadership traits of being ambitious and perseverant self-starters are said to have
The first management position to which most employees will be promoted is that of a(n)
Which of the following statements is NOT true about conflicts in the workplace?
They must result in a win-lose situation.
Which of the following statements about the Hawthorne studies is true?
The Hawthorne studies demonstrated that an increase in productivity is a direct result of a worker-friendly supervisory system.
According to Henry Mintzberg, managerial roles fall into which of the following three categories?
Informational, interpersonal, and decisional
The ability of a system to total more than the sum of its parts is known as
Which of the following do organizations implement so that employees will maintain a certain level of quality in their work?
When organizations mandate that managers adhere to company policy when making decisions, the result is that
Decisions are more consistent from manager to manager
Companies that wish to compete as world-class organizations should acquire which of the following as a demonstration of their maintenance of a high level of quality?
ISO 9000 Certification
TQM (Total Quality Management) requires a shift in approach toward control from
bureaucratic to decentralized
In a dynamic, fast-paced environment, the most efficient way of bringing about improvement in quality would be through
An effective goal should NOT
be very difficult to achieve
The obligation that an employee assumes when accepting an assigned task is known as a(n)
Organizational authority can be delegated from
I. manager to manager

II. employee to manager

III. manager to employee

I and III only
A group of people who work together cooperatively in an effort to achieve a common organizational objective is known as a
Which of the following goals is most likely to produce the desired results?
Increase sales capacity by 6% while maintaining current staffing levels.
Which of the following is a characteristic of a functional team?
It is composed of employees from a number of hierarchical levels.
Which of the following statements would a Machiavellian manager most likely make?
“The ends justify the means.”
Which of the following statements about exportation is true?
An exporter sells its products to a foreign broker.
Before a British motor vehicle company can sell its cars with right-side steering to an American partner company, it changes the side of the steering wheel in the car. This partnership is an example of a(n)
joint venture
Which of the following refers to an individual who exposes corporate misconduct?
Which of the following value dimensions emphasizes an institutional or group focus?
The package that includes an employee’s salary and benefits is known as
A written explanation of the tasks that constitute a job and the way in which these tasks should be performed is known as a
job description
A formal performance review should be conducted
annually or biannually
Which of the following are advantages of promoting an employee from within?
I. It saves on recruitment costs.

II. The employee is already familiar with company policy.

III. It brings in fresh talent and new ideas

I and II only
If a soft drink company is always the first to distribute the latest variety of soda it employs a
differentiation strategy
Margo enjoys working in a team environment. If she structures all of her departmental projects as team-based endeavors, what error of perception is she exhibiting?
When a manager delegates tasks to her subordinates, it is an example of
downward communication
The physical support system for the economic activities of a country is known as its
Mary Parker Follett emphasized all of the following EXCEPT
command-style hierarchies
Which of the following is NOT a characteristic of a high-performance team?
Roles and responsibilities are flexible.
Which of the following is a result of employees becoming empowered?
Management becomes more decentralized.
All of the following are examples of a performance outcome EXCEPT
employee satisfaction level
Which of the following strategies for managing conflict involves playing down differences among parties?
Which of the five basic managerial functions is most likely to involve the human resources department?
What is the major difference between job enlargement and job enrichment?
Only job enrichment provides the employee with increased authority and responsibility.
A work schedule is a tool that can help to ensure that
work is completed by a certain point in time
Which of the following statements about e-mail and the work environment is true?
Business e-mails should be concise.
Human resources activities include all of the following EXCEPT
disciplining employees
A small, independent in-house network that allows a group of on-site employees to have access to the same project is known as a(n)
Which of the following is NOT a reason why a company would consider outsourcing some of its work?
It does not want to lay off any employees.
Which of the following statements about employees in an organization is LEAST often true?
Employees are only concerned with their wages.
In order to be legal, a skills test administered to a job candidate must
only assess skills that pertain to the job in question
When an employee has two or more supervisors to whom she is directly accountable, there is a problem with her organization’s
unity of command
Which of the following is NOT one of the basic principles of TQM (Total Quality Management)?
Focus on only a few functional areas of the organization
A plant manager begins using robots on the assembly line. The initiation of robotics represents what kind of change?
The stage in an organization’s change process that involves an awareness of the need for a change and the obstacles that will be involved is known as
In any organization, a force of change directed toward solving a problem is known as a
According to the Blake-Mouton managerial grid model, the impoverished leadership style is characterized by
low-level concern with people and low-level concern with production
Which of the following is NOT typically the responsibility of a supervisor?
Devising long-term strategic plans for the department
A plan to make major changes to the processes and culture of an entire organization is known as
organizational development
According to Larry Greiner’s organizational development theory, which of the following is NOT one of the stages of growth?
An inherent problem with functional authority is that it can defy
unity of command
Which of the following types of business would mostly likely utilize small-batch production?
Print shop
The list of steps that an employee must follow in completing an assigned task is known as
Upon what types of power does a transactional leader mostly rely?
Coercive and reward
The Program Evaluation and Review Technique (PERT) process identifies the set of dependent tasks that together take the longest time to complete as the
critical path
At a certain organization, low-level managers create budgets that are then passed along to higher levels of management for approval and adjustment. This arrangement is an example of
bottom-up budgeting
If an employee receives additional financial compensation beyond a salary, it is called a

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