Business Management I Unit 1.04 - 1.06

One way to determine whether an employee is helping a business achieve its organizational goals is by:

• developing an incentive program.
• analyzing external economic factors.
• evaluating the employee’s performance.
• providing the employee with extensive training.

The primary purpose of developing organizational goals is to:

• establish loyalty.
• assign authority.
• provide direction.
• ensure profitability.

Patrice tells her sales staff to spend one-fourth of their time on sales meetings, one-fourth on sales reports, one-fourth on answering emails, and one-fourth on generating new leads. Which step of the organizing process is Patrice demonstrating?

• evaluating results
• allocating resources
• delegating authority
• grouping tasks into structures

An important aspect of the organizing function of management involves:

• promoting employees.
• motivating team members.
• establishing levels of authority.
• conducting performance reviews.

Within the next three years, the PRM Company wants to set up an electronic data interchange with all of its suppliers. What type of organizational goal is PRM establishing?

• contingency
• financial
• symmetrical
• technology

Amy and Tom work in a busy purchasing department. Amy relies on Tom to provide her with important information every day to do her job. Because the business’s ability to achieve its goals relies on Amy and Tom’s collaborative efforts, these two employees’ jobs are:

• flexible.
• incongruent.
• interdependent.
• symmetrical.

What management function is responsible for coordinating resources in ways that maximize efficiency?

• controlling
• directing
• organizing
• staffing

The Vice Presidents of Marketing, Product Development, Finance, and Operations all report to Camille, the CEO of a Fortune 500 company. They each have their own teams made up of several employees. Which organization structure does this represent?

• divisional
• functional
• matrix
• specialized

Coordinating business activities is an important aspect of the organizing function of management because it:

• defines the company’s mission statement.
• enables the business to prepare precise forecasts.
• establishes clear relationships between the company’s resources.
• ensures that the employees understand all the business’s processes.

Computers, Inc., manufactures and sells its computer hardware in four countries. It employs over 5,000 people worldwide. Which organizational structure makes the most sense for Computers, Inc.?

• divisional
• functional
• matrix
• specialized