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9/17/14

Management, 12th Edition solutions manual and test bank by Robert Kreitner | Carlene Cassidy

Management, 12th Edition solutions manual and test bank by Robert Kreitner | Carlene Cassidy 

CHAPTER 2

The Evolution of Management Thought

CHAPTER OBJECTIVES

· Identify two key assumptions supporting the universal process approach and briefly describe Henri Fayol’s contribution.

· Discuss Frederick W. Taylor’s approach to improving the practice of industrial management.

· Identify at least four key quality improvement ideas from W. Edwards Deming and the other quality advocates.

· Describe the general aim of the human relations movement and explain the circumstances in which it arose.

· Explain the significance of applying open-system thinking to management.

· Explain the practical significance of adopting a contingency perspective.

· Describe what “management by best seller” involves and explain what managers can do to avoid it.

OPENING cASE

What are Zildjian’s Secrets to Success?

Craigie Zildjian is head of The Zildjian Company, the world’s largest cymbal maker and the oldest continuously family-run business in the U.S. (founded in 1623 in Turkey, now located in Norwell, MA). Her perspective on their recipe for success:

· Guided by core values:

o Continuous quality improvement

o Innovation

o Craftsmanship

o Customer collaboration

o Empowering employees

o Avoiding complacency

o Reinvesting in the company

· Risky R&D (research and development) also help Zildjian maintain a competitive edge with 65% of the world cymbal market. Introducing the first titanium-coated cymbal and expanding their plant are two examples of how they are taking risks and betting on the future.

· Careful listening is part of the corporate strategy. This includes bringing in artists (musicians) to meet with the R&D manager and marketing staff. An excellent example of how Zildjian collaborates with their customers.

Ask students to compare much younger companies they are familiar with (they are likely to mention Apple or Google) with the nearly 400 year old Zildjian Company. What are the similarities and differences? What can these young companies learn from the history and success of such an old company?

LECTURE OUTLINE

Historians and managers alike believe that one needs to know where management has been if one is to understand where it is going.

Various approaches in the evolution of management thought are discussed relative to the lessons each can teach today’s managers.

I. THE PRACTICE AND STUDY OF MANAGEMENT

The systematic study of management is relatively new, essentially a product of the twentieth century. The actual practice of management has been around for thousands of years.

· The pyramids of Egypt stand as tangible evidence of the ancient world’s ability to manage.

· Those ancient managers faced many of the same general problems managers face today such as planning, staffing, managing resources, keeping records, monitoring progress and taking corrective action when needed.

A. Information Overload

· In early cultures, management was learned by word of mouth and by trial and error.

· There was no systematically recorded body of management knowledge.

· Thanks to modern print and electronic media there is a wealth of information on management available for students of management.

· So much information exists today that it is difficult or impossible to keep abreast of it all.

B. An Interdisciplinary Field

Scholars from many fields—including psychology, sociology, cultural anthropology, mathematics, philosophy, statistics, political science, economics, logistics, computer science, ergonomics, history, and various fields of engineering—have, at one time or another, been interested in management.

· Administrators in the areas of business, government, religious organizations, health care, and education have also contributed.

· Each group has offered its own perspective, with new questions and assumptions, new research techniques, different technical jargon, and new conceptual frameworks.

C. No Universally Accepted Theory of Management

· There is no single theory of management that is universally accepted today.

· This chapter covers five approaches to management, which provide the main headings for the chapter.

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II. THE UNIVERSAL PROCESS APPROACH

The universal process approach is the oldest and one of the most popular approaches to management thought. It is also called the universalist or functional approach. Early writers emphasized the specialization of labor, the chain of command, and authority.

There are two main assumptions:

· Although the purpose of organizations may vary, a core management process remains the same across all organizations.

· This process can be reduced to a set of separate functions and related principles.

A. Henri Fayol’s Universal Management Process

Henri Fayol published his classic book, Administration Industrielle et Générale, in 1916. It was not translated into English until 1949. Fayol’s work had a permanent impact on twentieth-century management thinking.

Fayol divided the manager’s job into five functions (as mentioned in Ch. 1):

(1) Planning

(2) Organizing

(3) Command

(4) Coordination

(5) Control

His 14 universal principles of management (listed and explained in Table 2.1 in the text) were intended to show managers how to carry out their functional duties. These principles are

(1) Division of work

(2) Authority

(3) Discipline

(4) Unity of command

(5) Unity of direction

(6) Subordination of individual interests to the general interest

(7) Remuneration

(8) Centralization

(9) Scalar chain

(10) Order

(11) Equity

(12) Stability and tenure of personnel

(13) Initiative

(14) Esprit de corps

These functions and principles have withstood the test of time because of their widespread applicability.

B. Lessons from the Universal Process Approach

· The complex management process can be separated into interdependent areas of responsibility, or functions.

· Management is a continuous process beginning with planning and ending with controlling.

· There is a concern that this rigid approach may make management seem more rational and orderly than it really is.

· The functional approach is useful because it specifies what managers should do.

III. THE OPERATIONAL APPROACH

The term operational approach is a convenient description of the production-oriented area of management dedicated to improving efficiency and cutting waste.

It has also been called scientific management, management science, operations research, production management, and operations management.

Its underlying purpose is “to make person-machine systems work as efficiently as possible.”

A. Frederick W. Taylor’s Scientific Management

· Taylor was born in 1856 and was a self-made man.

· As a factory manager, Taylor was appalled at the industry’s unsystematic practices.

· In his pursuit to find a better way he sought what he termed a “mental revolution” in the practice of industrial management.

· Scientific management is the development of performance standards on the basis of systematic observation and experimentation.

· Experiment was Taylor’s trademark.

Taylor focused on four areas:

· Standardization

· Time and task study

· Systematic selection and training

· Pay incentives

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B. Taylor’s Followers

Frank and Lillian Gilbreth were inspired by Taylor to turn motion study into an exact science.

· Using motion pictures, they studied and streamlined work motions, paving the way for work simplification by cataloguing 17 different hand motions (called therbligs)

· They are best known today as the parents in the humorous book and movie Cheaper by the Dozen, which 2 of their 12 children wrote about living in a household where scientific management was applied.

Henry L. Gantt refined production control and cost control techniques.

· Variations of Gantt’s work-scheduling charts are still used today. (See Chapter 6.)

· Gantt also emphasized the importance of the human factor and urged management to concentrate on service rather than profits.

C. The Quality Advocates

Today’s managers recognize the strategic importance of quality. In the 1980s, Americans began to realize that quality was the reason for Japan’s dominance in world markets. As a result, the following quality advocates began to be listened to:

· Walter A. Shewhart introduced statistical quality control in 1931.

· Kaoru Ishikawa was a professor at the University of Tokyo who advocated quality before World War II.

o He founded JUSE (the Union of Japanese Scientists and Engineers).

o He focused on prevention and introduced the idea of both internal and external customers.

o He introduced fishbone diagrams, which are still used as a problem-solving tool. (See Chapter 8.)

· W. Edwards Deming introduced concepts such as employee participation and continuous improvement in Japan. His 1986 book, Out of the Crisis, became a bible for Deming disciples. (See Chapter 16 for more.)

· Joseph M. Juran also had a strong influence on Japanese managers.

o The Juran Institute helped strongly establish the concept of the internal customer.

o Teamwork, partnerships with suppliers, problem solving, and brainstorming are all Juran trademarks.

o Juran also introduced Pareto analysis, a technique for separating major problems from minor ones (his 80/20 rule is further discussed in Chapter 6 under the heading of “Priorities”).

· Armand V. Feigenbaum developed the concept of total quality control while a doctoral student at MIT.

o His 1951 book focused on quality improvement throughout an organization.

o He felt that the customer is the one who ultimately determines quality.

· Philip B. Crosby wrote the 1979 best-seller Quality Is Free, which promoted the concept of zero defects, or doing it right the first time.

D. Lessons from the Operational Approach

· Scientific management was a revolutionary approach, producing dramatic results in the context of the haphazard industrial practices at the time.

· clip_image004It created a much-needed emphasis on promoting production efficiency and combating waste.

· Even though Taylor’s work is often considered “dehumanizing” today, Taylor actually improved working conditions by reducing fatigue and redesigning machines to fit people.

· Operations management tends to be broader in scope and application than scientific management. Operations management is defined as developing tools and procedures to efficiently transform raw materials, technology, and human talent into useful goods and services.

IV. THE BEHAVIORAL APPROACH

This approach recognizes the importance of people in management and reflects the belief that successful management depends on the ability to understand and work with a variety of people.

A. The Human Relations Movement

The human relations movement was a concerted effort among theorists and practitioners to make managers more sensitive to employee needs. It was supported by three very different historical influences.

(1) The Threat of Unionization: The movement was a union-avoidance tactic, with the idea that satisfied employees would be less likely to join unions.

(2) The Hawthorne Studies: Practical behavioral research studies such as these made management aware of the psychological and sociological dynamics of the workplace. One outcome – researchers determined that productivity was much less affected by changes in work conditions than by the attitudes of the workers themselves.

(3) The Philosophy of Industrial Humanism: A convincing rationale for treating employees better and recognition that people were important to productivity. There were three primary proponents:

· Elton Mayo focused on emotional factors. He encouraged work that fostered personal and subjective satisfaction.

· Mary Parker Follett encouraged managers to motivate performance rather than demand it. She recognized that employees are a complex collection of emotions, beliefts, attitudes and habits. Cooperation, a spirit of unity, and self-control were keys to productivity.

· clip_image005Douglas McGregor created the Theory X/Y philosophy, with Theory X as the traditional assumptions (which he characterized as pessimistic, stifling and outdated) and Theory Y stating that employees are energetic and creative if given the opportunity.

B. Organizational Behavior

1. Organizational behavior is a modern approach to management that attempts to determine the causes of human work behavior and translates the results into effective management techniques.

clip_image0062. This is an interdisciplinary approach with psychology predominating.

C. Lessons from the Behavioral Approach

· Primarily, the behavioral approach makes it clear to present and future managers that people are the key to productivity.

· Negatively, traditional human relations doctrine has been criticized as vague and simplistic. Supportive supervision and good human relations does not guarantee higher morale and productivity.

V. THE SYSTEMS APPROACH

A system is a collection of parts operating interdependently to achieve a common purpose.

This approach requires a completely different style of thinking. The traditionalists said that the whole can be explained in terms of its parts. Systems theorists assume that the whole is greater than the sum of its parts. The difference is traditional analytic thinking (outside-in) versus synthetic thinking (inside-out). Systems theorists propound synthetic thinking because management is not practiced in a vacuum. Many organizational and environmental variables affect each other.

A. Chester I. Barnard’s Early Systems Perspective

· Barnard wrote the classic The Functions of the Executive in 1938.

· In it, he characterized all organizations as cooperative systems.

· “A cooperative system is a complex of physical, biological, personal, and social components which are in a specific systematic relationship by reason of the cooperation of two or more persons for at least one definite end.”

· Barnard felt that an organization did not exist if three principal elements—willingness to serve, common purpose, and communication—were not present and working interdependently (see Figure 2.4).

B. General Systems Theory

General systems theory is an interdisciplinary area of study based on the assumption that everything is part of a larger, interdependent arrangement. Ludwig von Bertalanffy, a biologist, was the founder of general systems theory.

1. Levels of Systems

· Identifying hierarchies of systems, ranging from very specific to very general, has helped make general systems theory more concrete.

· See the seven-level scheme of living systems in Figure 2.5.

2. Closed versus Open Systems

· A closed system is a self-sufficient entity.

· An open system depends on the surrounding environment for survival.

· Systems can be categorized as open or closed by evaluating the amount of interaction they have with the outside environment.

· Organizations are, by their very nature, open systems.

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C. New Directions in Systems Thinking

· Organizational Learning and Knowledge Management

Organizational learning portrays the organization as a living and thinking open system.

· Like the human mind, organizations rely on feedback to adjust to changing environmental conditions, and they learn from experience.

· Organizations engage in complex mental processes such as anticipating, perceiving, envisioning, problem solving, and remembering.

· When organizational learning becomes a strategic initiative to identify and fully exploit valuable ideas from both inside and outside the organization, a knowledge management program exists. More is said about knowledge management and how it relates to decision making in Chapter 8.

· Chaos Theory and Complex Adaptive Systems

· Chaos theory was developed in the 1960s and 1970s by mathematicians Edward Lorenz and James Yorke.

· The challenge for those in the emerging field known as complex adaptive systems theory is the notion that every complex system has rules that govern the seemingly random patterns and that those rules can be discovered in a seemingly chaotic system.

· With this theory, managers are challenged to be more flexible and adaptive than in the past.

· Chaos theory and complex adaptive systems theory are launching pads for new and better management models, not final answers.

· Lessons from the Systems Approach

· Managers have a greater appreciation for the importance of seeing the whole picture.

· The systems approach also works to integrate various management theories.

· Critics say the systems approach is short on verifiable facts and practical advice.

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VI. THE CONTINGENCY APPROACH

The contingency approach is an effort to determine, through research, which managerial practices and techniques are appropriate in specific situations.

· Different situations require different managerial responses.

· This approach is particularly appropriate in intercultural situations.

· In real-life management, the success of any given technique is dictated by the situation.

A. Contingency Characteristics

Contingency thinking is viewed as a workable compromise between the systems approach and a purely situational perspective. (Figure 2.6 illustrates this.)

The contingency approach is

(1) An open-system perspective

(2) A practical research orientation

(3) A multivariate approach

· Bivariate analysis looks for simple one-to-one causal relationships.

· Multivariate analysis is a research technique used to determine how a combination of variables interacts to cause a particular outcome.

B. Lessons from the Contingency Approach

· The contingency approach is a helpful addition to management thought because it emphasizes situational appropriateness.

· Contingency thinking is a practical extension of the systems approach.

· Critics say contingency theory creates the impression that the organization is a captive of its environment, making attempts to manage it useless.

· The contingency approach is not yet fully developed. Its final impact remains to be seen.

clip_image009VII. THE ERA OF MANAGEMENT BY BEST SELLER: PROCEED WITH CAUTION

Over the last 25 years or so, the field of management moved from the classroom into the mainstream. Peter Drucker launched this trend, becoming the first management guru who appealed to both academics and practicing managers.

In 1982, the popularization of management shifted into high gear when Thomas J. Peters and Robert H. Waterman, Jr. published In Search of Excellence.

Others followed (see Table 2.4), and the popular appeal of management grew.

Certain academics worried that the instant gurus and their best sellers would encourage shoddy research and simplistic thinking.

A. What’s Wrong with Management by Best Seller?

Top managers will apply concepts learned in a book to an organization with no diagnosis or assessment to determine the real organizational problems. This is not the fault of the management books, which typically contain some really good ideas. Rather, it is the hurried and haphazard application of those ideas that causes the problems.

B. How to Avoid the Quick-Fix Mentality

In a follow-up study of the “excellent” companies outlined in Peters and Waterman’s In Search of Excellence, companies that satisfied all of the excellence criteria turned out to be no more effective than a random sample of Fortune 1000 companies.

To avoid the quick-fix mentality, managers should

1. Remain current with literature in the field, particularly with journals that translate research into practice.

2. Ensure that concepts applied are based on science or, at least, some form of rigorous documentation, rather than purely on advocacy.

3. Be willing to examine and implement new concepts, but first do so using pilot tests with small units.

4. Be skeptical when solutions are offered; analyze them thoroughly.

5. Constantly anticipate the effects of current actions and events on future results.

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C. Putting What You Have Learned to Work

To put this historical overview into proper perspective, this chapter provides a useful conceptual framework for students but generally does not carry over to the practice of management. Managers are pragmatists; they use whatever works, generally a “mixed bag” approach.

END OF CHAPTER FEATURES

· Terms to Understand – encourage students to make use of the flashcards available on the student website. Also, suggest they visit the Manager’s Toolkit section on the website for tips and suggestions for aspiring managers.

· Action Learning Exercise – Open Systems Thinking and Recycling Encourage students to keep a log for 24 hours recording all tangible items they buy or consume, include in the report what they did with packaging, waste and leftovers. Then have students respond to the questions for consideration at the end, and discuss the results in class.

· Ethics Exercise – Do The Right Thing, Putting the Recent Recession into Historical Perspective. After reading John Gerzema’s observations have students respond to the questions that follow. A few possible responses they are likely to offer are included.

What are the ethical implications of the following interpretations?

1. Managers will need to be mindful of the new reality – money has become less important to people. From an ethical perspective we hope this is good news. Although we may see less bad behavior that is motivated by money and instead is replaced by a quality of life incentive. Changes in motivation do not automatically eliminate ethical concerns. Therefore, managers will need to learn what does motivate their employees as they strive to increase employee loyalty and productivity while still fostering an ethical workplace. The American Dream that was driven by material possessions has taken a bit of turn to also include happiness that is derived from activities and relationships.

2. Historical blip or new reality? Have we learned from the past? A walk down memory lane will remind us of “old-fashioned” values – family, faith and community. These have come and gone often times as unemployment rates and prosperity hit peaks and valleys. Students’ opinions will vary on whether or not this new reality is here to stay.

3. Younger employees are less motivated by money and more interested in balancing their work and personal lives. In an effort to find the keys to motivating this new generation, managers should begin by simply asking each employee. As we learned from Mary Parker Follett, employees are a complex collection of emotions, beliefs, attitudes and habits. From an ethical perspective it simply makes good sense to treat each person as a unique individual with emotional needs rather than a number or machine. Each person has a unique set of needs, wants and values so a manager cannot assume that each of their team members is motivated by the same opportunities or rewards. Lead by seeking input and inviting feedback. Ask them “what’s working?” and “what’s not?”.

· Managers-In-Action Video Case Study – Mitchell Gold + Bob Williams

Gold & Williams Industry Trendsetter

Length: 8 minutes and 15 seconds

Topics:

Quality, Employees, Eco-friendly manufacturing\Recycling, Employee Benefits, Customer Expectations, Diversity, Work environment, Recruitment, Retention, Health & Wellness, and Innovation.

Company Background

Source: Mitchell Gold + Bob Williams company website January 4, 2011
http://www.mgbwhome.com/

Whether you're raising a baby or a business, there are more than enough rules on how to do it. The furniture industry is no exception. Right from the start, Mitchell Gold knew he had to break some of those rules to satisfy their customers. And it paid off big time.

In 1989 when the economy was unstable, he and his partner, Bob Williams, naively created The Mitchell Gold Co. Since then, despite tough economic times and upheaval in the furniture industry, sales have reached in excess of $100 million. The combination of Gold's years of marketing experience with Williams' talents as art director set the course for Mitchell Gold and changed the furniture industry.

One of their earliest ideas, "Relaxed Design," was based on trends they saw in the apparel industry. Designing furniture Bob Williams would want in his own home - comfortable, classic, affordable - he dressed his pieces in relaxed slipcovers of pre-washed fabrics like denim, khaki and velvet. He also addressed the need for a less-intimidating shopping experience by limiting choices to avoid confusing consumers. Along the way, Williams has received numerous awards, including Design 100 awards from Metropolitan Home magazine. And today, the line, which started with dining chairs, offers both slipcovered and tailored upholstery (including down-blend cushions, premium goose-down-blend and comfortable sleepers), leather, sectionals, beds, ottomans, recliners and yes.. dining chairs.

Mitchell Gold + Bob Williams has won accolades from the media, as well as its consumers. Following are some innovations on the company's journey to success:

Customer Service. "Our emphasis is on taking care of a small and highly select number of customers extremely well," says Gold. "And on training each store's salespeople so that consumers feel safe and satisfied buying from them." To do that, explains Gold, "we added a special group called TAPs (The Answer People), who travel the country doing no selling, but only sharing knowledge of our products."
Retail Partners. The company is a leading home-furnishings brand, carried in such national chains as Pottery Barn, Restoration Hardware, Williams Sonoma Home, and Bloomingdale’s, as well as in more than 60 independent retailers nationwide. In addition, there is a growing chain of Mitchell Gold + Bob Williams Signature Stores that carries exclusively their products, in cities ranging from New York to D.C., Miami, Houston, Portland OR, and L.A.
Commercial Ventures. Mitchell Gold + Bob Williams furniture is so popular that hip hotel chains such as the W Hotels or Rande Gerber's Whiskey Bars want to treat their guests to Mitchell Gold + Bob Williams.
Brand Building. "People want to know who makes the furniture they're spending their lives on and want to buy a brand associated with the lifestyle they want to live", says Gold. The right ads, the right publications and subtle "co-branding" with retailers have helped Gold do that.
Hot Stuff. It's not just advertising that makes people remember a brand, says Gold. It's the right advertising. Designed to "make a statement" and grab consumers' attention by pushing the envelope in style, content and theme, Mitchell Gold's advertising campaigns are always unexpected and a strong departure from typical advertisements in the industry. Besides, who said furniture ads can't be as provocative as apparel or cosmetics?
Instant Antiques. Leather European club chairs that look as if they'd been in the family for years and go so well with flea market finds - but are proportioned just right for today.
Factory Power. Where does 18 years of incredible growth lead? A big factory. In 1998 Mitchell Gold built a 267,000 sq-ft., state-of-the-art factory, bringing total manufacturing and warehouse space to 400,000 sq. ft. The new facility has a health-conscious café, employee gym and indoor walking track, and even its own on-site daycare center for its over 700+ employees (lulu's child enrichment center link) - the first one of its kind in the residential furniture industry.
Community Advocacy. Mitchell Gold + Bob Williams are honored to support grass-roots and national not-for-profits who champion for those less fortunate and individuals living with life-challenging illnesses. The company is proud to support groups such as the Human Rights Campaign, Empire State Pride Agenda, DIFFA (Design Industries Foundation for AIDS), Friends In Deed, ALFA (AIDS Leadership Foothills-area Alliance), Juvenile Diabetes Research Foundation, Ovarian Cancer Research Fund and the Leukemia Society.

On the Mitchell Gold + Bob Williams website there is a link (http://mgbwhome.com/whoweare.asp) to “Who We Are” which leads to the list below which is great for class discussion on company values and becoming a people-centered organization. This also appears in the background on a wall during the video.

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Mitchell Gold + Bob Williams

Synopsis of Video

Company Founders Mitchell Gold and Bob Williams discuss their unique approach in the furniture industry when they started their company. They clearly demonstrate how successful companies can produce quality products while also providing a great place to work. Employees share their perspective, which makes it easy to understand why Mitchell Gold + Bob Williams has grown from 23 employees to more than 700.

For more information about Mitchell Gold + Bob Williams visit their website: http://www.mgbwhome.com/

Previewing Questions

1. Describe quality management ideas and practices suggested by quality advocates Deming, Ishikawa, Juran, and Feigenbaum (discussed in this chapter in the Quality Advocates section)?

Kaoru Ishikawa who advocated quality by focusing on prevention. He also introduced the idea of both internal and external customers, and fishbone diagrams as a problem-solving tool.

W. Edwards Deming introduced concepts such as employee participation and continuous improvement.

Joseph M. Juran helped strongly establish the concept of the internal customer. Teamwork, partnerships with suppliers, problem solving, and brainstorming are all Juran trademarks. He also introduced Pareto analysis, a technique for separating major problems from minor ones ( 80/20 rule)

Armand V. Feigenbaum developed the concept of total quality control focused on quality improvement throughout an organization. He felt that the customer is the one who ultimately determines quality.

2. What responsibility should a company have to their employees’ quality of life and working conditions? Provide specific examples to support your answer.

Personal opinion question, however, based on the Ethics Exercise at the end of the chapter, evidence would suggest managers should pay attention to quality of life and working conditions. Examples will vary – consider using REI or Google as examples. They provide excellent employee benefits and outstanding working conditions that foster creativity, empowerment, loyalty, productivity, and long-term success.

3. How can business owners and managers get employees to produce their best work?
Taking the time to learn about each employee and what motivates them will help managers to provide the appropriate level of challenge and independence and to structure meaningful rewards.

Postviewing Questions

4. For each of the quality advocates referenced in question one, identify a quality idea\perspective and discuss a corresponding practice in place today at Gold + Williams.

Kaoru Ishikawa the idea of both internal and external customers is demonstrated when the owners discuss not only their commitment to being driven by the external customer as it relates to design but also focused on listening to their employees. This example also illustrates W. Edwards Deming’s concept of employee participation and Joseph M. Juran’s internal customer and teamwork. Armand V. Feigenbaum felt that the customer is the one who ultimately determines quality. Gold + Williams redefined how the furniture industry did business after listening to customers. The results were more affordable, flexible products delivered faster.

5. How does the work environment at Gold + Williams impact quality and success? Gold + Williams have created a corporate culture centered around people with the belief that if people are having fun and enjoy their job they will produce their best work. Air conditioning, good lighting and a place where everyone is welcome and valued contribute to a higher sense of ownership, employee engagement and success.

6. From an employee recruitment and retention perspective, what benefits, policies, and management practices provide Gold + Williams with a competitive advantage? Explain why.

Air conditioning, good lighting and good coffee were some of the items mentioned that brought people to the company. Policies and practices that are inclusive, where people are accepted regardless of their sexual orientation is another example. Their annual health fair with free physicals is yet another benefit where management has sent a strong message through their actions that people in the company are important. The owners also set an example by being friendly and personable with employees and leading by example in the community. Creating an environment where the emphasis is on teamwork: “Each person’s success is everyone’s success” contributes to a positive work environment. All of these things combine to create a company where employees feel valued and are therefore loyal and committed to doing their best work.

7. One of the five overarching changes mentioned in chapter 1 was environmentalism and sustainability. Discuss how Gold + Williams is responding to this change and adapting its manufacturing practices?
From day one, Gold + Williams has had a commitment to the environment. They changed the perspective to consumer/retail driven which leads to faster shipping and ideally, less waste.

CLOSING CASE: Six generations have fine tuned guitar maker

1. Division of Work: Specialization of labor includes a group of employees who make just the guitar strings.

Unity of command: No more absentee managers off fixing other factories.

Unity of direction: A commitment from every employee to try to make the perfect guitar.

Remuneration: Since 1986 employees have received about $15 million in profit sharing.

Initiative: Shifting from a traditional hierarchical structure to a more team oriented environment where employees were more involved.

Esprit de corps: Successfully producing 85,000 guitars in a team oriented environment where everyone is striving to make the perfect guitar and is rewarded with profit sharing for the effort implies there is a good bit of esprit de corps.

2. She would be very positive about it. Shifting from a top-down management structure to a more team oriented approach is certainly aligned with Follett’s focus on people. Everything Martin does is about valuing a motivated workforce and creating an environment where workers can shine.

3. Martin is definitely a Theory Y manager. His pride in the company and his belief in his employees’ ability to make the perfect guitar is evident.

4. An open system. They rely on customers for their business, they hired people from different industries with expertise in quality and they seek learning opportunities from outside, nontraditional experiences such as Outward Bound.

5. The 7 Habits of Highly Effective People: Powerful Lessons in Personal Change. Because all employees of any company should have the concepts in this book as part of their toolkit.

Reengineering the Corporation: A Manifesto for Business Revolution. Staying competitive in any industry involves using the all the productivity tools available for manufacturing and design.

INSTRUCTIONAL TIPS

1. In order to help support your students on research projects assigned in this class, this chapter in the manual provides a list of periodicals that are good resources for articles on management and related topics. You are welcome to copy this list and share it with your students when giving research assignments.

2. A brief class discussion of the impact of one’s personal background on one’s present and future perspective and direction can help highlight the value of using a historical perspective as a basis for understanding.

3. An interesting and enjoyable class exercise that helps personalize the material in Chapter 2 is to assign individuals or groups the roles of Henri Fayol, F. W. Taylor, Mary Parker Follett, Chester I. Barnard, W. Edwards Deming, and Thomas J. Peters. Then ask each expert to debate and discuss how he or she would handle various contemporary management situations (e.g., global competition, employee alcohol/drug abuse, diversity issues, the changing character and nature of the workforce, and motivation of younger employees who value leisure more than work).

4. A debate or other structured class discussion session about the relative merits of each of the major approaches to management is a good way to compare and contrast the various perspectives. It quickly becomes apparent that there is no single best approach and that each perspective contributes something of value to our knowledge of management.

5. There is a saying that “those who do not study history are condemned to repeat it.” Ask students which of the various approaches to management they think they could use when they become managers. What ideas do they think would no longer be effective in today’s workplace?

6. To add energy to the discussion of chaos theory and complex adaptive systems theory, bring a number of small soft balls or toys to class and start the students tossing them around the classroom. You’ll see the energy level of the class shoot up as students toss the items around. (You can add arbitrary rules such as “Toss objects to a different person each time.” You can also vary the size of the balls and toys. For example, add a beach ball to the collection being tossed around.) Slowly add additional balls and toys, one at a time, until the “system” collapses under the sheer number of flying things. Discuss the fine line between a complex system and total chaos, using this example. (Caution: To ensure the safety of this exercise, use only soft balls and toys, and allow only underhand throwing.)

Additional Discussion/Essay Questions

1. What was Henri Fayol’s contribution to the evolution of management thought?

2. How did F. W. Taylor go about improving job performance through scientific management?

3. What circumstances gave rise to the human relations movement?

4. What is an open system, and why is it useful to view organizations as open systems?

5. As this chapter shows, the basis for the quality movement actually started in the 1930s. Why do you think it took so long to catch on in the United States?

6. How would you react if a new boss gave you a book to read and told you that the organization was going to change dramatically to reflect the book’s ideas?

Discussion Starter:

Historical perspective and context; Management history; Today’s students

Although management theory and practice have been researched and analyzed for hundreds of years, it is often difficult to convince today’s aspiring managers that learning about the history of management is worth their time. Today’s college students have grown up with the internet, social media and smart phones. How can they possibly learn from managers who never had access to these modern day communication tools?

For Discussion:

1. What impact has technology had on contemporary managers?

2. What aspects of management remain the same?

3. What useful lessons have you learned from the “school of hard knocks” (e.g., your own historical context)?

4. What lessons can be learned from managers who came before us? And why is it important (or unnecessary) to put modern management practices into historical context?

BONUS VIDEOS

BIZFLIX VIDEO CASES FROM THE TEXTBOOK WEBSITE

Discussion Questions and Guide

Chapter 2Video Case: Casino

Video Case Synopsis

Martin Scorcese’s film is a lengthy, complex, and beautifully photographed study of Las Vegas gambling casinos and their organized crime connections during the 1970s. According to VideoHound’s Golden Movie Retriever, it completes his trilogy that includes Mean Streets (1973) and Goodfellas (1990). Ambition, greed, drugs, and sex destroy the mob’s gambling empire. The film includes strong performances by Robert De Niro, Joe Pesci, and Sharon Stone. The violence and the expletive-filled dialogue give Casino its R rating.

This scene is part of “The Truth about Las Vegas” sequence that appears early in the film. It follows the scenes of the casino deceiving the Japanese gambler.

The scene starts with a close-up of Sam “Ace” Rothstein (Robert De Niro) standing between his two casino executives (Richard Amalfitano and Richard F. Strafella). In a voice-over narration he says, “In Vegas, everybody’s gotta watch everybody else.” The scene ends after Rothstein describes the former cheaters who monitor the gambling floor with binoculars.

Chapter 2—The Evolution of Management Thought

TRUE/FALSE

1. Founded in 1623, the Zildjian Company attributes its success to good management principles and an appreciation for the company legacy that keeps everyone focused on preserving the business for the long haul.

ANS: T PTS: 1 DIF: Moderate REF: p. 35

OBJ: LO: 2-1 NAT: BUSPROG: Analytic STA: DISC: Strategy

KEY: Bloom's: Knowledge

2. The Zildjian Company has an estimated 65% of the world cymbal market. They attribute this success to sticking with one product and never making changes.

ANS: F PTS: 1 DIF: Moderate REF: p. 35

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

3. When studying management, history and historical perspective do not matter because management is a new, forward-looking field.

ANS: F PTS: 1 DIF: Moderate REF: p. 36

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

4. We gain a better understanding of the present by taking a historical perspective.

ANS: T PTS: 1 DIF: Moderate REF: p. 36

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

5. Women and men from around the globe have been contributors to management theory and practice.

ANS: T PTS: 1 DIF: Moderate REF: p. 37

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Knowledge

6. Business management courses were not taught in the U.S. until the end of World War II.

ANS: F PTS: 1 DIF: Moderate REF: p. 37

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Knowledge

7. In early cultures, management was something one learned by word of mouth and trial and error, rather than something one studied.

ANS: T PTS: 1 DIF: Moderate REF: pp. 37-38

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Knowledge

8. Management has been practiced for thousands of years.

ANS: T PTS: 1 DIF: Moderate REF: p. 37

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Knowledge

9. The field of management is presently experiencing information overload.

ANS: T PTS: 1 DIF: Moderate REF: p. 38

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Knowledge

10. The interdisciplinary nature of management is a principal cause of the information explosion in management theory.

ANS: T PTS: 1 DIF: Moderate REF: p. 38

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

11. The only universally accepted theory of management is the systems approach.

ANS: F PTS: 1 DIF: Easy REF: p. 38

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

12. The universal process approach is the oldest, and one of the most popular, approaches to management.

ANS: T PTS: 1 DIF: Moderate REF: p. 39

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

13. According to the universalist or functional approach to management, administration of public and private organizations requires different processes.

ANS: F PTS: 1 DIF: Moderate REF: p. 39

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

14. Chain of command refers to who is ultimately responsible for getting things done.

ANS: F PTS: 1 DIF: Easy REF: p. 39

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

15. According to Henri Fayol, a manager’s job can be divided into the following five areas of responsibility: planning, organizing, leading, motivating, and controlling.

ANS: F PTS: 1 DIF: Moderate REF: p. 40

OBJ: LO: 2-1 NAT: BUSPROG: Analytic STA: DISC: Strategy

KEY: Bloom's: Comprehension

16. According to Henri Fayol’s unity of command principle, each employee should receive orders from only one superior..

ANS: T PTS: 1 DIF: Easy REF: p. 40

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

17. According to Fayol's centralization principle, the right to give orders must be centralized and the responsibility decentralized.

ANS: F PTS: 1 DIF: Moderate REF: p. 40

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

18. Subordinates should observe the formal chain of command unless expressly authorized by their respective superiors to communicate with each other. Fayol called this the scalar chain.

ANS: T PTS: 1 DIF: Moderate REF: p. 40

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

19. There is virtually no evidence of Henry Fayol's universal process approach in today's management literature.

ANS: F PTS: 1 DIF: Easy REF: p. 39 | p. 41

OBJ: LO: 2-1 NAT: BUSPROG: Operations Management

STA: DISC: Comprehension KEY: Bloom's: Comprehension

20. The operational approach to management focuses on improving efficiency and quality.

ANS: T PTS: 1 DIF: Moderate REF: p. 41

OBJ: LO: 2-2 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

21. Frederick Taylor's scientific management movement involved standardization, time and task study, systematic selection and training, and pay incentives.

ANS: T PTS: 1 DIF: Easy REF: p. 41

OBJ: LO: 2-2 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

22. As an advocate of employee rights, Frederick Taylor believed in letting workers determine their own way of doing tasks.

ANS: F PTS: 1 DIF: Moderate REF: p. 41 | p. 43

OBJ: LO: 2-2 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

23. According to scientific management, workers produced more when paid by the hour.

ANS: F PTS: 1 DIF: Moderate REF: pp. 42-43

OBJ: LO: 2-2 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

24. Henry L. Gantt humanized Frederick Taylor's differential piece-rate plan by combining a guaranteed day rate (minimum wage) with an above-standard bonus.

ANS: T PTS: 1 DIF: Moderate REF: p. 44

OBJ: LO: 2-2 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

25. Frank and Lillian Gilbreth were dedicated to finding the one best way to do every job.

ANS: T PTS: 1 DIF: Moderate REF: p. 44

OBJ: LO: 2-2 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

26. A Pareto analysis can be used to separate major problems from minor ones by determining the 20 percent of possible causes leading to 80 percent of all problems.

ANS: T PTS: 1 DIF: Easy REF: p. 45

OBJ: LO: 2-2 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

27. According to Armand V. Feigenbaum, quality is determined by the customer.

ANS: T PTS: 1 DIF: Moderate REF: p. 45

OBJ: LO: 2-3 NAT: BUSPROG: Analytic STA: DISC: Creation of Value

KEY: Bloom's: Comprehension

28. The concept of a fishbone diagram, or doing it right the first time, was promoted by Philip B. Crosby.

ANS: F PTS: 1 DIF: Moderate REF: p. 45

OBJ: LO: 2-3 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

29. Whereas scientific management is limited largely to hand labor and machine shops, operations management specialists apply their expertise to all types of production and service operations.

ANS: T PTS: 1 DIF: Moderate REF: pp. 45-46

OBJ: LO: 2-3 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

30. Frederick Taylor and the early scientific management proponents have been praised for viewing workers as complex beings, not mindless machines who work just for money.

ANS: F PTS: 1 DIF: Easy REF: pp. 45-46

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

31. Advocates of the behavioral approach to management argue that profits must be the central focus of organized activity, since without profits the organization cannot exist.

ANS: F PTS: 1 DIF: Moderate REF: p. 46

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

32. The legal formation of labor unions was an important historical influence behind the human relations movement.

ANS: T PTS: 1 DIF: Moderate REF: pp. 46-47

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

33. The idea that "satisfied employees would be less inclined to join unions" was proposed by early human relations theory after the Wagner Act was passed.

ANS: T PTS: 1 DIF: Moderate REF: p. 47

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Legal Responsibilities KEY: Bloom's: Comprehension

34. Frederick Taylor's scientific management studies began in 1924 in a Western Electric plant near Chicago.

ANS: F PTS: 1 DIF: Moderate REF: p. 47

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

35. The performance of a select group of employees in the Hawthorne studies tended to improve, no matter how the physical surroundings were manipulated.

ANS: T PTS: 1 DIF: Moderate REF: p. 47

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

36. The Hawthorne studies concluded that productivity was affected less by changes in work conditions than by the attitudes of the workers.

ANS: T PTS: 1 DIF: Moderate REF: p. 47

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

37. Mary Parker Follett viewed organizations as technical systems.

ANS: F PTS: 1 DIF: Moderate REF: p. 48

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

38. Douglas McGregor's Theory Y assumes people are energetic and creative individuals capable of achieving great things if given the opportunity.

ANS: T PTS: 1 DIF: Easy REF: p. 48

OBJ: LO: 2-4 NAT: BUSPROG: Analytic STA: DISC: Individual Dynamics

KEY: Bloom's: Knowledge

39. Douglas McGregor's Theory Y assumes that most will only do as their told and that employees prefer to be directed.

ANS: F PTS: 1 DIF: Moderate REF: p. 48

OBJ: LO: 2-4 NAT: BUSPROG: Analytic STA: DISC: Individual Dynamics

KEY: Bloom's: Knowledge

40. The idea that most people dislike work, and will avoid it when they can, is a Theory Y assumption, according to McGregor.

ANS: F PTS: 1 DIF: Moderate REF: p. 49

OBJ: LO: 2-4 NAT: BUSPROG: Analytic STA: DISC: Individual Dynamics

KEY: Bloom's: Knowledge

41. The behavioral approach to management makes it clear to present and future managers that people are the key to productivity.

ANS: T PTS: 1 DIF: Easy REF: p. 49

OBJ: LO: 2-4 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

42. Systems theorists studied management by taking things apart.

ANS: F PTS: 1 DIF: Moderate REF: p. 50

OBJ: LO: 2-5 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

43. According to Chester Barnard's early systems model, the principal elements in an organization are willingness to serve, common purpose, and communication.

ANS: T PTS: 1 DIF: Moderate REF: p. 50

OBJ: LO: 2-5 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

44. Chester Barnard's systems perspective has encouraged management and organization theorists to study organizations as complex and dynamic wholes instead of piece by piece.

ANS: T PTS: 1 DIF: Moderate REF: p. 51

OBJ: LO: 2-5 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

45. Everything belongs to only one system 3/4 the solar system, according to general systems theory.

ANS: F PTS: 1 DIF: Easy REF: p. 51

OBJ: LO: 2-5 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

46. Given that a battery-powered digital watch runs without help from the outside environment, it could be described as a relatively closed system, after the battery is in place.

ANS: T PTS: 1 DIF: Challenging REF: p. 51

OBJ: LO: 2-5 NAT: BUSPROG: Reflective Thinking

STA: DISC: Operations Management KEY: Bloom's: Application

47. Organizational learning advocates say organizations can learn from experience, just as people do.

ANS: T PTS: 1 DIF: Moderate REF: p. 52

OBJ: LO: 2-5 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

48. A commonality between chaos theory and organizational learning is the concept that systems are influenced by feedback.

ANS: T PTS: 1 DIF: Moderate REF: p. 52

OBJ: LO: 2-5 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

49. Complex adaptive systems cannot be changed.

ANS: F PTS: 1 DIF: Easy REF: p. 52

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

50. The most significant contribution of contingency theory has been the identification of the one best way to manage.

ANS: F PTS: 1 DIF: Moderate REF: p. 54

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

51. According to the contingency approach, different situations require different managerial responses.

ANS: T PTS: 1 DIF: Easy REF: p. 54

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

52. The contingency approach to management amounts to a purely situational view.

ANS: F PTS: 1 DIF: Moderate REF: p. 54

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

53. The three characteristics of the contingency approach are a multivariate approach, an open-system perspective, and a practical research orientation.

ANS: T PTS: 1 DIF: Moderate REF: pp. 54-55

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

54. Closed-system thinking is fundamental to the contingency view.

ANS: F PTS: 1 DIF: Moderate REF: p. 55

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

55. Bivariate analysis is a research technique used to determine how a combination of variables interacts to cause a particular outcome.

ANS: F PTS: 1 DIF: Moderate REF: p. 55

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Knowledge

56. The contingency approach is strictly theoretical 3/4 not research-oriented.

ANS: F PTS: 1 DIF: Moderate REF: pp. 54-55

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

57. Practical and relevant multivariate analyses are what contingency management theorists strive to carry out.

ANS: T PTS: 1 DIF: Moderate REF: p. 55

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

58. Management theory probably will not evolve beyond the contingency approach.

ANS: F PTS: 1 DIF: Moderate REF: p. 55

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

59. The contingency approach is a helpful addition to management thought because it emphasizes situational appropriateness.

ANS: T PTS: 1 DIF: Moderate REF: pp. 54-55

OBJ: LO: 2-6 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

60. In order to avoid the quick-fix mentality, which makes management by best-seller so tempting, managers should ensure that recommendations are based on science or, at least, on some form of rigorous documentation, rather than purely on advocacy.

ANS: T PTS: 1 DIF: Moderate REF: p. 58

OBJ: LO: 2-7 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

MULTIPLE CHOICE

61. The Zildjian Company’s key to success is

a.

their secret strategy

b.

good management practices

c.

avoiding risky R&D (research and development)

d.

buying their competitors

e.

their location

ANS: B PTS: 1 DIF: Moderate REF: pp. 35-36

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

62. The Zildjian Company has achieved long-term success in part, because they are guided by their core values. Which of the following is NOT one of their core values?

a.

innovation

b.

craftsmanship

c.

avoiding risk taking

d.

empowering employees

e.

customer collaboration

ANS: C PTS: 1 DIF: Moderate REF: p. 35

OBJ: LO: 2-1 NAT: BUSPROG: Analytic STA: DISC: Strategy

KEY: Bloom's: Analysis

63. Where did the pioneering contributors to management theory and practice come from?

a.

Around the globe

b.

The United States

c.

The Western Hemisphere

d.

The Third World countries

e.

The Eastern Hemisphere

ANS: A PTS: 1 DIF: Moderate REF: p. 37

OBJ: LO: 2-1 NAT: BUSPROG: Diversity

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

64. As an area of academic study, management is essentially a product of

a.

the sixteenth century.

b.

the British system.

c.

the twentieth century.

d.

trial and errors.

e.

corporate America.

ANS: C PTS: 1 DIF: Moderate REF: p. 37

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

65. Which of these best describes the body of management knowledge today?

a.

Japan-dominated

b.

Disappearing

c.

Experiencing information overload

d.

Severely limited

e.

Unified

ANS: C PTS: 1 DIF: Moderate REF: p. 38

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Evaluation

66. Steve Wozniak, cofounder of Apple sets the record straight on many factual errors written about him including that he dropped out of college (he didn’t). His story reminds managers that they should

a.

research only online using sites such as Wikipedia

b.

always trust data that has been published in books

c.

validate the real story by going to the person who is the subject of the article

d.

always trust data that has been published in journals

e.

validate the real story by going to the person writing the article or publication

ANS: C PTS: 1 DIF: Challenging REF: p. 38

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Environmental Influence KEY: Bloom's: Comprehension

67. The field of management can be described as

a.

interdisciplinary

b.

applied social science

c.

little more than common sense

d.

highly scientific

e.

seriously out of date

ANS: A PTS: 1 DIF: Easy REF: p. 38

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

68. Which of the following is not one of the approaches to management discussed in the text?

a.

The systems approach

b.

The contingency approach

c.

The universal process approach

d.

The multinational approach

e.

The behavioral approach

ANS: D PTS: 1 DIF: Easy REF: p. 39

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Analysis

69. Which approach is the oldest, and one of the most popular, approaches to management thought?

a.

Contingency

b.

Universal process

c.

Operational

d.

Systems theory

e.

Behavioral

ANS: B PTS: 1 DIF: Easy REF: p. 39

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

70. The functional approach to management is also known as the

a.

systems approach.

b.

behavioral approach.

c.

excellence approach.

d.

operational approach.

e.

universal process approach.

ANS: E PTS: 1 DIF: Moderate REF: p. 39

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

71. The universal process approach assumes that

a.

managing in public and private organizations is basically the same.

b.

small organizations are hardest to manage.

c.

management is not practiced in small organizations.

d.

managing in public and private organizations is completely different.

e.

it is more difficult to manage public organizations.

ANS: A PTS: 1 DIF: Easy REF: p. 39

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Comprehension

72. Henry Fayol’s 14 Universal Principles of Management includes ___________, the principle that specialization of labor is necessary for organizational success.

a.

discipline

b.

authority

c.

the chain of command

d.

the division of work

e.

the unity of direction

ANS: D PTS: 1 DIF: Moderate REF: p. 40

OBJ: LO: 2-1 NAT: BUSPROG: Analytic

STA: DISC: Operations Management KEY: Bloom's: Knowledge

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