Q&A Hero

Q: What is the primary reason for training SMT members in many different technical areas? A) Simplifying schedules B) Monitoring new budgets C) Enhancing team flexibility D) Handling interpersonal conflicts

Q: Which HR practice would most likely change after a firm implements self-managed work teams? A) Work flow analyses B) Job enrichment plans C) Organizational designs D) Performance appraisals

Q: Which of the following is NOT a typical responsibility for an SMT member? A) Scheduling work B) Handling performance evaluations C) Disciplining team members D) Terminating a team member's employment

Q: A self-managed team: A) consists of a small group of people who come together for specific, short-term assignments. B) gathers for a few hours each week to solve problems in various work processes. C) crosses functional or organizational boundaries to examine complex issues. D) focuses on quality and productivity issues.

Q: A work group differs from a team in what way? A) In a team, everyone is equal. In a work group, some members have more power than others. B) A work group depends on an outside supervisor for direction, while a team self-directs. C) A work group self-directs, while a team depends on an outside supervisor for direction. D) A team tends to have better rapport between members than a work group.

Q: A fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in cost, quality, service, and speed is referred to as ________.

Q: A pyramid-shaped organizational structure that consists of hierarchies with many levels of management is referred to as a(n) ________.

Q: Business process reengineering examines the fundamental way a company does business by analyzing its core processes.

Q: Work flow analysis examines and quantifies the manufacturing process.

Q: Flat organizational structures are helpful for organizations that emphasize customer satisfaction and have broadly defined jobs.

Q: A defender strategy might lead a company to functional divisions of labor and work specialization, which are elements of a boundaryless organization.

Q: If a company is using a prospector business strategy, its market is stable, its product is mature, and it wants to increase market share by "digging" for new customers with new products.

Q: Whenever management decides to change its business strategy, it must also reexamine its organizational structure.

Q: The work flow in an organization refers to the formal and informal relationships between people in the organization.

Q: Additional Case 2.2 You are the HR manager at Steel City, Inc., a firm that is considering going global in its product line and markets. The president realizes that this may require a reorganization. She wants to move into new international markets with minimum time and effort. She also wants to reduce management overhead and labor costs. At the same time, employees have been complaining about their work. Jobs are repetitive, and employees don't know how their work fits into the big picture. The president wants to provide employees with satisfying work, autonomy, and a performance-based pay system. She wants to give them as much control as possible and remove layers of management. Refer to Additional Case 2.2. The best organizational design match for Steel City would most likely be a: A) flat organizational structure. B) generic organizational structure. C) boundaryless organizational structure. D) bureaucratic organizational structure.

Q: Additional Case 2.1 Benson Manufacturing is a young, small firm that makes computer components and peripherals for assemblers like Dell and Gateway. Benson's market share is highly volatile based on the entrance and exit of competitors into the market. Benson buys raw materials from several suppliers who also supply competitors. The firm has two layers of management between the CEO and the component maker on the line. The firm's CEO read a book about innovation and organizational change and now wants to look at what HR should do about reorganizing and changing staffing practices. The CEO wants to reduce costs in order to increase profit margins because he believes that margins will continue to shrink. While productivity and quality are largely functions of the machines used in the process, the CEO still wants to focus on motivating Benson employees. He wants to motivate them by increasing wages through a bonus program, improving working conditions, and providing job security. Refer to Additional Case 2.1. Which type of organizational structure would be most appropriate for Benson? A) Bureaucratic structure B) Boundaryless structure C) Flat organizational structure D) Pyramid organizational structure

Q: Additional Case 2.1 Benson Manufacturing is a young, small firm that makes computer components and peripherals for assemblers like Dell and Gateway. Benson's market share is highly volatile based on the entrance and exit of competitors into the market. Benson buys raw materials from several suppliers who also supply competitors. The firm has two layers of management between the CEO and the component maker on the line. The firm's CEO read a book about innovation and organizational change and now wants to look at what HR should do about reorganizing and changing staffing practices. The CEO wants to reduce costs in order to increase profit margins because he believes that margins will continue to shrink. While productivity and quality are largely functions of the machines used in the process, the CEO still wants to focus on motivating Benson employees. He wants to motivate them by increasing wages through a bonus program, improving working conditions, and providing job security. Refer to Additional Case 2.1. Based on the current market situation, what business strategy would be best for Benson? A) Prospector strategy B) Defender strategy C) Tactical strategy D) Differentiated strategy

Q: What is the primary reason that firms use business process reengineering? A) To increase total quality management B) To prepare for a work flow analysis C) To identify jobs that can be eliminated D) To determine changing customer needs

Q: A company is involved in business process reengineering when it is: A) examining how work creates or adds value to the ongoing business processes. B) rethinking and redesigning its work processes to improve quality. C) reviewing the responsibility levels of specific jobs. D) gathering and organizing information about tasks.

Q: Managers most likely use work flow analysis in order to: A) recombine a specialized task into one more complex and satisfying job. B) simplify jobs by breaking them into individual component tasks. C) understand the overall environment in which a job operates. D) quantify the tasks involved in a specific position.

Q: Which term refers to the process of examining how work creates or adds value to the ongoing processes in a business? A) Job analysis B) Process evaluation C) Work flow analysis D) Business process reengineering

Q: A company would most likely adopt a boundaryless organizational structure if management wants to: A) structure its organization around functions. B) enter foreign markets that have entry barriers. C) move into a stable and predictable global market. D) reorganize around its products, services, or customers.

Q: Which of the following would be the best environment in which to implement a flat organizational structure? A) A global environment B) A service-oriented environment C) A predictable environment D) A rapidly changing environment

Q: Which of the following is a characteristic of a boundaryless organization? A) Many levels of management B) Top-down management approach C) Teams whose members cross organizational boundaries D) Hierarchical career paths may exist within one function

Q: Courtland Corporation recently reduced its number of management levels and decentralized its entire managerial approach. Prior to this, the corporation maintained a pyramid-shaped management structure and was based on a functional division of labor. Courtland evolved from a ________ organization to a ________ organization. A) prospector / defender B) boundaryless / bureaucratic C) bureaucratic / boundaryless D) bureaucratic / flat

Q: One organizational structure that lends itself to the formation of joint ventures and strategic alliances is a: A) bureaucratic structure. B) flat structure. C) generic structure. D) boundaryless structure.

Q: Maryland Times News is a publishing company that has a functional division of labor, work specialization, and a pyramid of authority. MTN most likely uses a: A) bureaucratic organizational structure. B) flat organizational structure. C) boundaryless organizational structure. D) work flow organizational structure.

Q: Bureaucratic organizational structures are marked by: A) narrow job descriptions and sharp vertical and horizontal boundaries. B) division of labor around products, services, or customers. C) high employee involvement in decision making. D) decentralized management.

Q: Alyssa finds a job description for an interesting retail position. The job description indicates exactly what department of the store she would be responsible for and what her duties would be. The ad describes good opportunities for advancement within the retail area, so she could become the managing retail director for her department. However, she would not be able to move into finance or production. This is an example of which organizational strategy? A) Top-down management B) Work specialization C) Prospector strategy D) Pyramid-building

Q: Which type of organizational structure would be most appropriate for a company with a defender strategy? A) Flat B) Boundaryless C) Differentiated D) Bureaucratic

Q: A company with a prospector strategy would most likely: A) have a bureaucratic organizational structure. B) give employees more responsibility. C) use a vertical information system. D) use hierarchy to resolve conflict.

Q: Cheap Shoes manufactures a line of inexpensive shoes. The firm uses a defender strategy, which means the most effective structure for them involves: A) maximizing autonomy among strategic divisions. B) implementing decisions from the top down. C) utilizing self-managing work teams. D) establishing a flat structure.

Q: The choice of a prospector strategy for a business would be most appropriate when a firm: A) operates in an uncertain business environment. B) functions in a relatively stable business environment. C) sells products that are in the maturity stage of the life cycle. D) prefers a top-down decision making approach for management.

Q: Formal or informal relationships between people in an organization are known by which term? A) Work flow group B) Organizational culture C) Management team D) Organizational structure

Q: The Society for Human Resource Management (SHRM) offers which of the following? A) Diversity training B) Benefits packages C) Professional certification D) Salary negotiations

Q: Carson is gathering information for an HR audit. With which of the following areas should he be concerned? A) Work teams B) Turnover rate C) Available technology D) Employee interdependence

Q: Which of the following actions would most likely foster an effective relationship between managers and HR? A) Focusing on the technical side of productivity and teaching it to HR B) Hiring outside consultants to assist HR in implementing its programs C) Requiring some management experience as part of HR professionals' training D) Mandating after-work socializing among HR professionals and line managers

Q: The primary role of HR is to: A) alleviate the personnel management responsibility from managers. B) develop technical expertise for effective recruiting. C) support and help managers perform their jobs. D) conduct all performance evaluations.

Q: A periodic review of the effectiveness with which a company uses its human resources is called a(n) ________.

Q: A study of fast-growth firms shows that they are more likely to employ managers who are: A) structured. B) risk-takers. C) entrepreneurs. D) technically competent.

Q: Rudy is writing a report about the challenges at the individual-level his firm is facing. Which of the following topics would be LEAST relevant to the report? A) Motivating employees B) Encouraging ethical behavior C) Outsourcing low-paying jobs D) Retaining high-performing employees

Q: Which of the following has aided decentralization in many companies? A) Cost-cutting B) Federal support C) Internet technology D) Corporate orientation

Q: Which term refers to an organization-wide approach to improving the quality of all the processes that lead to a final product or service? A) Decentralization strategy B) Total Quality Management C) Human Resource Scorecard D) Organizational restructuring

Q: Which organizational challenge has the most significant impact on a firm's competitive advantage? A) Controlling costs B) Overseeing expatriation C) Developing joint ventures D) Establishing a corporate culture

Q: You are an HR manager working for a firm that is adhering to an overall cost leadership strategy. What HR strategies would fit the strategy of the firm and help the firm gain a competitive advantage?

Q: ________ are the characteristics that give a firm a competitive edge.

Q: A(n) ________ is the formulation and implementation of strategies by a firm that is relatively autonomous, even if it is part of a larger corporation.

Q: A firm's unique technical abilities and reputation are distinctive competencies.

Q: HR strategies need to fit a firm's overall management philosophy but may largely ignore the company's market posture and production processes, since those are line management responsibilities and HR has little impact on them.

Q: Prospector strategies are characterized by broad job classes, variable pay, and informal hiring processes.

Q: Firms with evolutionary business strategies are less likely to acquire businesses in different industries.

Q: A corporation that values centralization, long-term career development, and internal grooming of employees has probably adopted a steady state strategy.

Q: The Cola Corporation controls a bottle factory, a root beer brewery, and a bottling plant. This mix of businesses on the part of Cola Corp. is referred to as the business unit strategy.

Q: Additional Case 1.4 Crowe, Inc. has been a powerful steel producer for the last 15 years and predicts a profitable future. Crowe has a very secure position within the steel industry and does not plan to expand into different industries. Top managers exercise significant control over the firm. Crowe strives to develop new products and technologies. The company offers employees long-term career development and grooms employees for promotions through a highly structured HR system. In the past, the company's atmosphere has been very congenial and cohesive at all levels of the organization. Recently, there has been a noticeable shift in employee attitudes. Lower-level employees have expressed discontent about schedules, compensation, and training opportunities. Several employees have been fired, and many others have threatened to quit. Refer to Additional Case 1.4. The corporate strategy that Crowe would most likely espouse is a(n): A) evolutionary business strategy. B) decentralizing strategy. C) cost-cutting strategy. D) steady state strategy.

Q: Additional Case 1.4 Crowe, Inc. has been a powerful steel producer for the last 15 years and predicts a profitable future. Crowe has a very secure position within the steel industry and does not plan to expand into different industries. Top managers exercise significant control over the firm. Crowe strives to develop new products and technologies. The company offers employees long-term career development and grooms employees for promotions through a highly structured HR system. In the past, the company's atmosphere has been very congenial and cohesive at all levels of the organization. Recently, there has been a noticeable shift in employee attitudes. Lower-level employees have expressed discontent about schedules, compensation, and training opportunities. Several employees have been fired, and many others have threatened to quit. Refer to Additional Case 1.4. Crowe could be best described as a: A) defender. B) prospector. C) reactive corporation. D) company with distinctive competencies.

Q: Additional Case 1.3 Your company sells high-tech products throughout the world and is following a differentiation business strategy. The business environment for the company is volatile, rapidly changing, and highly complex. The company is highly entrepreneurial and has a strong moral commitment to quality products, employee job satisfaction, and corporate social responsibility. The management team has decided to create a common company culture among the various national and international subsidiaries. Refer to Additional Case 1.3. The company's differentiation strategy is a type of: A) corporate strategy. B) defender strategy. C) emergent strategy. D) business unit strategy.

Q: Additional Case 1.3 Your company sells high-tech products throughout the world and is following a differentiation business strategy. The business environment for the company is volatile, rapidly changing, and highly complex. The company is highly entrepreneurial and has a strong moral commitment to quality products, employee job satisfaction, and corporate social responsibility. The management team has decided to create a common company culture among the various national and international subsidiaries. Refer to Additional Case 1.3. The entrepreneurial climate and moral commitment are elements of this firm's: A) organizational culture. B) market posture. C) organizational structure. D) globalization strategy.

Q: Additional Case 1.3 Your company sells high-tech products throughout the world and is following a differentiation business strategy. The business environment for the company is volatile, rapidly changing, and highly complex. The company is highly entrepreneurial and has a strong moral commitment to quality products, employee job satisfaction, and corporate social responsibility. The management team has decided to create a common company culture among the various national and international subsidiaries. Refer to Additional Case 1.3. Which of the following HR strategies would most likely support the company's business strategy? A) Implementing highly structured procedures B) Using piece rate pay plans and bonuses C) Closely monitoring workers D) Encouraging creativity

Q: Mona is interested in buying a new computer. She has heard that Shell processors are on the low end of the cost spectrum and that the company offers an excellent warranty. Mona is focused on the firm's: A) multiple appraisal inputs. B) distinctive competencies. C) entrepreneurial climate. D) moral commitment.

Q: A firm that encourages an entrepreneurial climate would most likely: A) implement a variable pay compensation system. B) display a strong top-down managerial preference. C) discourage innovation and risk taking among workers. D) rely on authoritarian employee-manager relationships.

Q: Stacey notes that her firm is risk averse, operates with a flexible, delegating management style, and is outwardly focused. Stacey's observations describe which organizational characteristic of a company? A) The firm's market posture B) The firm's organizational structure C) The firm's management philosophy D) The organization's overall personality

Q: Which of the following is an aspect of an organization's "personality"? A) Empowerment strategies B) Outsourcing policies C) Litigation actions D) Market posture

Q: A firm considering the volatility of its product market, the degree of change that its product is experiencing over the passing of time, and the number of competitors with which it is competing is probably examining its HR strategy's fit with: A) organizational characteristics. B) organizational capabilities. C) the environment. D) the customers.

Q: Firms that are low on uncertainty and change, and that operate in stable environments would benefit most from HR strategies that involve: A) variable pay and flexibility. B) control emphasis and fixed pay. C) external recruitment and an informal hiring process. D) low dependency on superiors and tailored appraisal procedures.

Q: Firms that are high on uncertainty or that operate in volatile environments would benefit most from HR strategies that involve: A) variable pay and flexibility. B) control emphasis and fixed pay. C) centralized pay decisions and explicit job descriptions. D) internal recruitment and a formal hiring process.

Q: Firms that display a defender strategy will most likely: A) involve co-workers in the selection process. B) provide customized performance appraisals. C) encourage individual training. D) recruit externally.

Q: HR strategies that fit a company's focus strategy are best described as being: A) between those of a prospector and a defender strategy. B) identical to those of a company using a defender strategy. C) identical to those of a company using a low-cost strategy. D) between those of a differentiation and a low-cost strategy.

Q: An HR strategy that fits a company's differentiation strategy would most likely: A) emphasize innovation. B) pursue cost reductions. C) limit distribution costs. D) standardize appraisals.

Q: Manvel Enterprises is implementing a differentiation strategy. Manvel will most likely: A) supervise its staff employees very closely. B) design a product for easy manufacture. C) strive for low-cost production. D) create a unique product.

Q: Which of the following HR strategies would most likely be appropriate for a firm implementing an overall cost leadership business strategy? A) Encourage innovation B) Recruit only from external sources C) Use performance appraisal as a control device D) Develop broad job classifications for work groups

Q: An evolutionary firm would most likely: A) be a mixture of several different global firms. B) exhibit strong control over employees. C) be highly decentralized and flexible. D) discourage entrepreneurship.

Q: For an HR strategic plan to fit with organizational strategies, it most likely needs to align with: A) individual employees' personal goals. B) work flows used by the organization. C) the firm's corporate and business unit strategies. D) the company's international management plans.

Q: Which of the following is LEAST important when determining which HR strategies will positively impact a firm's performance? A) Organizational capabilities B) Organizational strategies C) Organizational characteristics D) Overall cost leadership strategy

Q: Which of the following is a true statement about the contribution of an HR strategy to an organization's performance? A) Firm performance decreases when too much overlap occurs with strategic planning. B) Firm performance decreases if HR strategy focuses too much on distinct competencies. C) Firm performance increases if department HR strategies are independent of each other. D) Firm performance increases when HR strategy matches unique organizational features.

Q: Which term refers to the compatibility between HR strategies and other key aspects of an organization? A) Fit B) Unity C) Focus D) Centralization

Q: What strategic choices does a company have regarding issues such as staffing and performance appraisals? How does the concept of fit relate to decisions made about such HR strategies?

Q: How do human resources influence a firm's performance? How does strategic HR planning benefit a firm?

Q: The process of formulating HR strategies and establishing programs or tactics to implement them is called ________.

Q: Work flow refers to how a specific task is organized to meet the production or service goals of a firm.

Q: Emergent strategies provide organizations with a sense of purpose and a guide for allocating resources.