Chapter 6 (6.1-6.5)

Question 1

Functions of Management

Answer 1

Planning
Leading
Organizing
Controlling

Question 2

Planning

Answer 2

determining what the business needs to do and the best way to achieve it

Question 3

Organizing

Answer 3

determining how to use existing resources to implement the plan - arranging jobs in a structure to create an efficient task system

Question 4

Leading

Answer 4

guiding and motivating subordinates to meet objectives

Question 5

Controlling

Answer 5

managers monitor the firm’s performance

Question 6

Top Management

Answer 6

responsible for overall performance of the firm

Question 7

Middle Management

Answer 7

responsible for implementing decisions of top managers

Question 8

First-line Management

Answer 8

responsible for supervising employees

Question 9

Areas of Management

Answer 9

Marketing Managers
Financial Managers
Operations Managers
Human Resource Managers
Information Managers

Question 10

Time-Management Skills

Answer 10

productive use of time

Question 11

Decision-Making Skills

Answer 11

Recognize and define the decision situation
Identify alternatives
Evaluate the alternatives

Question 12

Behavioral Aspects of Decision Making

Answer 12

Organizational Politics
Intuition
Escalation of Commitment
Risk Propensity

Question 13

Strategic Management

Answer 13

process of aligning the organization with its external environment

Question 14

Strategic Goals

Answer 14

performance objectives that a firm plans to achieve

Question 15

Purpose of Setting Goals

Answer 15

Provides direction, guidance, and motivation

Question 16

Kinds of Goals

Answer 16

Long-term
five or more years
Intermediate
one to five years
Short-term
less than one year

Question 17

SMART Goals

Answer 17

Specific

Measurable

Achievable

Relevant

Time-Framed

Question 18

Mission Statement

Answer 18

how the organization will achieve its purpose (reason for being)

Question 19

Setting strategic goals

Answer 19

long-term goals based on the mission statement

Analyzing the organization and its environment (S W O T)

Matching the organization to its environment

Question 20

S W O T Analysis

Answer 20

Internal
Strengths
External
Opportunities
Internal
Weaknesses
External
Threats

Question 21

Strategic plans

Answer 21

associated with senior management
establish long-term plans (2-5 years)

Question 22

Tactical plans

Answer 22

usually created by middle managers
support the strategic plans & define resource allocation (1-2 years)

Question 23

Operational plans

Answer 23

executed and finalized by first-line managers
for short-term targets of less than a year (usually monthly, weekly or daily)

Question 24

Contingency Planning

Answer 24

identify in advance changes that might occur and ways the company can respond to changes