MAN3025 Exam 4 (Ch 10)

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Which of the following is an effective way to deal with change and innovation?
A. Insist on success
B. Increase work rules and hierarchy
C. Copy others' successes
D. Have the courage to follow your ideas
E. Jump right into it

D. Have the courage to follow your ideas

Which of the following is NOT a supertrend shaping the future of business?
A. More niche products
B. Traditional companies struggling with radically innovative change
C. Information becoming a competitive advantage
D. Offshore suppliers affecting U.S. business
E. Faster speed-to-market

C. Information becoming a competitive advantage

A change that is made in response to arising problems or opportunities is called
A. reactive change.
B. incremental change.
C. proactive change.
D. radical change.
E. process change.

A. reactive change.

Which of the following is an example of a proactive change?
A. Ciara's staff is unhappy about the long hours they have been working and several of them quit before Mary knows there is a problem.
B. Ciara cannot get permission to hire another person until her group misses several deadlines.
C. Ciara's group sent a product that was nearing its launch date back to the drawing board based on a competitor's superior new offering.
D. Ciara explores improvements in bonus structures with her staff and begins to implement them prior to any serious discontent on the part of the staff.
E. Ciara is constantly "putting out fires", responding to daily crises in her group.

D. Ciara explores improvements in bonus structures with her staff and begins to implement them prior to any serious discontent on the part of the staff.

Wal-Mart's implementation of RFID, a type of technology that allows it to improve inventory tracking, is an example of a(n) ______ change.
A. reactive
B. incremental
C. proactive
D. responsive
E. radical

C. proactive

Which of the following is an example of a force for change originating outside the organization?
A. Productivity issues
B. Conflict management
C. Structural reorganization
D. Absenteeism
E. Social pressures

E. Social pressures

The invention of a machine to make plastic corks for wine bottles has severely affected companies that produce traditional cork. This is an example of a(n) ______ change.
A. market
B. social & political
C. demographic
D. technological
E. economic

D. technological

The increasing diversity of the American workforce is an example of a(n) ______ change.
A. demographic
B. market
C. social & political
D. political
E. economic

A. demographic

Inside forces for change include which of the following?
A. Domestic competition
B. Turnover
C. Advancements in automation
D. Immigration
E. Recession

B. Turnover

Arizona Pottery is having a difficult time finding inexpensive labor, which it attributes to an unfriendly climate toward Hispanics since the passage of tough illegal immigration legislation in that state. This is an example of a(n) ______ change.
A. market
B. employee
C. social and political
D. technological
E. economic

C. social and political

With the recession and the accompanying high levels of unemployment, La Russo's Italian Ice has had its choice of employees to support its growth. This is an example of a(n) ______ change.
A. market
B. social or political
C. arbitrary
D. technological
E. demographic

A. market

Recently many older workers who had planned to retire soon decided to keep working longer. This is an example of a(n) ______ change.
A. social or political
B. arbitrary
C. demographic
D. economic
E. structural

A. social or political

Which of the following is NOT an inside force that is an indicator for an organization that change might be needed?
A. High turnover
B. Excessive conflict between managers and employees
C. Job dissatisfaction
D. High levels of stress among employees
E. Increased competition

E. Increased competition

The human resource department at The Book Source has just calculated the absenteeism rate for 2010, and it is 25% higher than it was in 2008 and 2009. Managers should
A. wait until the end of 2011 and see what the rate is.
B. begin a major job redesign effort.
C. reduce employees' work hours.
D. investigate whether employees have become dissatisfied with their jobs.
E. institute strict disciplinary procedures for employees who are absent.

D. investigate whether employees have become dissatisfied with their jobs.

Non-managerial employees at Romero Manufacturing belong to a union. The union has come close to striking several times over the years and labor negotiations have recently been very tense. Romero likely needs to focus on changing
A. values among potential customers.
B. the likelihood that an acquisitions might occur.
C. manufacturing processes and procedures.
D. population variables.
E. forces originating inside the organization.

E. forces originating inside the organization.

Laredo Insurance is about to install a new computer system that will change the way claims adjusters settle claims. Adjusters will be able to do the adjustment and issue the check right at the scene of the accident. Laredo most likely needs to focus on changing employee
A. performance.
B. skills.
C. attitudes.
D. management.
E. perceptions.

B. skills.

Employees might feel they are being underpaid for what they do, even if pay and benefits are superior to the competition. Here, managers must change
A. the tone of the debate.
B. attitudes.
C. tendencies toward greed.
D. perceptions.
E. the facts.

D. perceptions.

Which of the following is NOT an area in which change is often needed?
A. Strategy
B. Information
C. People
D. Structure
E. Technology

B. Information

Maid to Clean is considering implementing a system that will pay the cleaning workers based on the number of completed residential jobs, coupled with satisfactory ratings on random inspections to insure quality. Managers believe that this will reduce labor costs. Maid to Clean is focusing on changing employee
A. performance.
B. skills.
C. attitudes.
D. management.
E. structure.

A. performance.

Smart Office Furnishings has had several incidents lately in which its drivers became lost when attempting deliveries. The drivers have no GPS or other access to computerized information and rely on the customers themselves for directions. Smart Office Furnishings probably needs to change its
A. structure.
B. people.
C. technology.
D. culture.
E. strategy.

C. technology.

Yoga Productions is in the process of cross-training all of its entry-level employees to be able to take phone orders or answer customer questions, and to process orders in overflow situations. The company is changing its
A. people.
B. skills.
C. technology.
D. attitudes.
E. structure.

B. skills.

Falcon Touring Bikes recently instituted cross-functional teams to develop new products. Team members are spread across the country. It is expensive and time-consuming for people to travel from their different locations to headquarters to meet. The company would benefit most from a change in ______ involving
A. technology; teams meeting "virtually" through electronic media.
B. structure; disbanding the teams and relying on individuals to develop products.
C. culture; sending team members to conflict management courses.
D. people; hiring new people in the organization at the headquarters location.
E. strategy; dropping the strategy of developing new products.

A. technology; teams meeting "virtually" through electronic media.

The record industry has been forced into a ______ change because of the prevalence and ease of illegally downloading music.
A. technology
B. structure
C. culture
D. people
E. strategy

E. strategy

The set of techniques used for implementing planned change to make people and organizations more effective is called
A. corporate transformation.
B. TQM.
C. revitalization.
D. organizational development.
E. incremental innovation.

D. organizational development.

Organizational development is often put into practice by a
A. catalytic consultant.
B. change agent.
C. behavioral consultant.
D. transformative consultant.
E. behavioral agent.

B. change agent.

Which of the following is NOT one of the primary uses of OD?
A. Improving recruitment
B. Adapting to a merger
C. Managing conflict
D. Revitalizing an organization
E. Adapting to an acquisition

A. Improving recruitment

In which of the following situations would OD techniques be the most helpful?
A. Increasing efficiency among employees in a firm
B. Assisting employees in dealing with stressful situations
C. Helping employees from two similar organizations work better together in a strategic alliance
D. Facilitating discussion of ethical issues in preparing a company's code of ethics
E. Working with the CEO to determine how to increase profitability

B. Assisting employees in dealing with stressful situations

Javier, an OD consultant, is designing a survey of employee attitudes to be given to workers at Radar Security. Javier is conducting the ______ stage of OD.
A. unfreezing
B. intervention
C. diagnosis
D. evaluation
E. process consultation

C. diagnosis

The question "What shall we do about the problem?" would most likely be asked during the ______ stage of OD.
A. changing
B. diagnosis
C. adaptation
D. evaluation
E. intervention

E. intervention

Shreya, an OD consultant, is working with the members of a cross-functional team to help them build cohesiveness and practice skills to function better as a team. Shreya is conducting the ______ stage of OD.
A. intervention
B. diagnosis
C. evaluation
D. changing
E. adaptation

A. intervention

Ben, an OD consultant, is visiting Rainwater Supplements a year after he assisted them in making changes to their employee incentive plan. Now he is comparing sales and turnover data from the last three years to the current year. Ben is in the ______ stage of OD.
A. refreezing
B. intervention
C. diagnosis
D. adaptation
E. evaluation

E. evaluation

Which of the following circumstances is likely to increase the success of OD?
A. Applying each OD intervention uniformly in international locations
B. A single large intervention
C. Support of top managers
D. Implementing organizational change for its own sake
E. Goals focused on the short term rather than the long term

C. Support of top managers

Cynthia Barton Rabe, a former innovation strategist for Intel, suggests that too much ______ can kill innovation.
A. capital and investment
B. determination and effort
C. tolerance for ambiguity
D. knowledge and experience
E. creativity and invention

D. knowledge and experience

Which of the following is NOT one of Scott Berkun's seeds of innovation for organizations?
A. Hard work in a specific direction
B. Curiosity
C. Philanthropy
D. Hard work with direction change
E. Necessity

C. Philanthropy

A technological innovation is generally a(n) ______ innovation.
A. adaptive
B. product
C. reactive
D. process
E. industrial

B. product

A managerial innovation is generally a(n) ______ innovation.
A. product
B. method
C. process
D. adaptive
E. practical

C. process

A(n) ______ innovation is a change in the way a product or service is conceived, manufactured, or disseminated.
A. procedural
B. radical
C. product
D. process
E. adaptive

D. process

The management department at a local university began posting all assignments and other class materials to a course management website instead of creating a packet for students to purchase each term. This is a(n) ______ innovation.
A. practice
B. product
C. process
D. adaptive
E. reactive

C. process

The creation of products, services, or technologies that modify those that already exist is called ______ innovation.
A. incremental
B. product
C. process
D. radical
E. adaptive

A. incremental

Researchers working on hydrogen fuel cells hope that this could be a(n) ______ innovation, leading to a clean, renewable energy source, and reducing dependence on depleting fossil fuels with their adverse impact on the global environment.
A. incremental
B. product
C. process
D. radical
E. disruptive

D. radical

Rodeo Drive Cosmetics recently introduced a new acai berry lip balm. Nikhil, director of new product development, has just reviewed the dismal results. It appears that Nikhil's team did adequate research on the product's acceptance by consumers prior to its introduction and is equally troubled. Nikhil should
A. step down as director.
B. fire and replace the team lead as an example to others.
C. reward his team for their effort.
D. ignore the product failure.
E. demote the team leader.

C. reward his team for their effort.

Which of the following is NOT a way to encourage innovation?
A. Creating a culture that celebrates failure.
B. Supporting innovation with investments of time and money.
C. Rewarding successful innovations.
D. Withholding raises and promotions when innovation attempts don't work out.
E. Hiring top scientists, despite expense.

D. Withholding raises and promotions when innovation attempts don't work out.

In your efforts to gain allies and overcome employee resistance, excellent ______ will be a key to fostering innovation.
A. organization
B. communication
C. production
D. execution
E. recognition

D. execution

Which of the following sequences best describes how a manager can foster innovation in an organization?
A. Recognize problems, gain allies, overcome resistance, execute well
B. Recognize problems, overcome resistance, gain allies, stabilize system
C. Overcome resistance, empower employees, execute well, provide incentives
D. Recognize problems, empower employees, devise solutions, execute well
E. Devise solutions, reorganize, change culture, stabilize system

A. Recognize problems, gain allies, overcome resistance, execute well

Which of the following is NOT an interacting factor that affects the level of resistance to change?
A. Longevity of the change agent
B. Employee perceptions of change
C. Individual differences of the change agent
D. Change agent-employee relationship
E. Change agent actions and inactions

A. Longevity of the change agent

The reintroduction of a familiar practice within the same organization is called a(n)
A. practical change.
B. adaptive change.
C. reactive change.
D. innovative change.
E. radically innovative change.

B. adaptive change.

Employees are likely to see an adaptive change as
A. highly threatening.
B. moderately threatening.
C. somewhat threatening.
D. least threatening.
E. totally unacceptable.

D. least threatening.

At Monarch Toys, employees know that during the month of December they are generally required to work different schedules, often with some overtime, to support the holiday shopping season. This is an example of a(n) ______ change.
A. adaptive
B. reactive
C. innovative
D. incremental
E. radically innovative

A. adaptive

Micky, a manager in a snowboard store, is changing the work schedule of his long-term employees for the annual fall sale, the shop's busiest time. He is using the same basic schedule as last year. Micky should expect that his employees will be
A. terribly upset and quit.
B. terribly upset but not quit.
C. moderately upset and complain.
D. moderately upset but not complain.
E. hardly upset, or not upset at all.

E. hardly upset, or not upset at all.

A change that represents the introduction of a new practice to an organization but that is not new to the industry is called a(n)
A. mimicry change.
B. adaptive change.
C. reactive change.
D. innovative change.
E. radically innovative change.

D. innovative change.

An innovative change involves ______ complexity, cost, and uncertainty.
A. no
B. minimum
C. moderate
D. high
E. extreme

C. moderate

Prairie Bank has decided that tellers must rotate through a new weekend shift on Saturday afternoons since several of its competitors in the area have recently begun to offer these hours to customers. This is a(n) ______ change.
A. radically innovative
B. innovative
C. adaptive
D. proactive
E. reactive

B. innovative

Introducing a practice that is new to the industry is called a(n) ______ change.
A. revolutionary
B. radically innovative
C. adaptive
D. reactive
E. innovative

B. radically innovative

Lake City Documents has decided to hire enough drivers to pick up and deliver documents for their customers within two hours of a service order, hoping this practice will give them a significant advantage over the competition, none of whom have adopted such a practice. Lake City is introducing a(n) ______ change.
A. reactive
B. innovative
C. activist
D. adaptive
E. radically innovative

E. radically innovative

Which of the following is NOT a leading reason that employees resist change?
A. Individual predisposition toward change
B. Climate of mistrust
C. Fear of failure
D. Lack of personal ethics
E. Protection of others

D. Lack of personal ethics

Lewin's change model consists of
A. three types: adaptive, innovative, and radically innovative
B. three forces: employee characteristics, change agent characteristics, and change agent-employee relationships
C. four steps: recognize problems, gain allies, overcome resistance, and execute well
D. three stages: unfreezing, changing, and refreezing
E. three steps: diagnosis, intervention, and evaluation

D. three stages: unfreezing, changing, and refreezing

During Lewin's changing stage, managers should
A. reduce the barriers to change.
B. give employees new models for behavior.
C. reinforce the desired change.
D. make employees dissatisfied with the present situation.
E. encourage employees to exhibit the new change.

B. give employees new models for behavior.

During Lewin's refreezing stage, managers should
A. make employees dissatisfied with the present way of doing things.
B. give employees the tools for change.
C. provide benchmarking results.
D. reduce the barriers to change.
E. reinforce the desired change in the employees.

E. reinforce the desired change in the employees.

The process by which a company compares its performance with that of high-performing organizations is called
A. reference innovation.
B. competitive change.
C. benchmarking.
D. continuous improvement.
E. radical innovation.

C. benchmarking.

Kotter proposed which of the following for organizational change?
A. A three stage model: unfreezing, changing, and refreezing
B. Three types of innovation: adaptive, innovative, and radically innovative
C. Eight steps for leading organizational change
D. A three step model: diagnosis, intervention, and evaluation
E. Ten reasons employees resist change

C. Eight steps for leading organizational change

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