5 chapter Business Management Business Essentials 8 th

A process of planning, organizing, leading, and controlling helps an organization reach its goals. This process is known as: A. B. C. D. Management Executive decision making Conceptual planning Business analysis Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -2

A process of planning, organizing, leading, and controlling helps an organization reach its goals. This process is known as: A. B. C. D. Management Executive decision making Conceptual planning Business analysis The management process involves all four steps. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -3

Successful managers determine goals, develop a strategy, and design plans to execute the strategy. This element of management is: A. B. C. D. Leading Planning Organizing Controlling Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -4

Successful managers determine goals, develop a strategy, and design plans to execute the strategy. This element of management is: A. B. C. D. Leading Planning Organizing Controlling The planning stage gives direction to the organization. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -5

Successful managers must decide how to best arrange the organization’s resources. This function of management is: A. B. C. D. Leading Planning Organizing Controlling Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -6

Successful managers must decide how to best arrange the organization’s resources. This function of management is: A. B. C. D. Leading Planning Organizing Controlling The manager must determine the best fit for all of the organization’s resources, including human resources. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -7

Successful managers must guide and motivate employees to reach goals and objectives. This process is knows as: A. B. C. D. Leading Planning Organizing Controlling Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -8

Successful managers must guide and motivate employees to reach goals and objectives. This process is knows as: A. B. C. D. Leading Planning Organizing Controlling Leading an organization involves goal setting and motivating the team to reach those goals. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -9

Successful managers must closely monitor the progress of the organization. This step in the management process is called: A. B. C. D. Leading Planning Organizing Controlling Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -10

Successful managers must closely monitor the progress of the organization. This step in the management process is called: A. B. C. D. Leading Planning Organizing Controlling involves matching the organization’s progress against stated goals. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -11

These managers have responsibility for the firm’s overall performance: A. B. C. D. Middle managers (such as an operations manager) First-line managers (such as a supervisor) Top managers (such as a CEO) Employees Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -12

These managers have responsibility for the firm’s overall performance: A. B. C. D. Middle managers (such as an operations manager) First-line managers (such as a supervisor) Top managers (such as a CEO) Employees Responsibility for overall performance starts with top management. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -13

These managers are responsible for implementing strategies. A. B. C. D. Top managers Middle managers First-line managers Chairman of the board Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -14

These managers are responsible for implementing strategies. A. B. C. D. Top managers Middle managers First-line managers Chairman of the board Middle managers are responsible for carrying out the plans established by top managers. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -15

These managers are responsible for supervision of employees. A. B. C. D. Top managers Middle managers First-line managers Board of directors Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -16

These managers are responsible for supervision of employees. A. B. C. D. Top managers Middle managers First-line managers Board of directors First-line managers are responsible for the supervision and performance of employees. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -17

Which managers are most likely to require technical skills? A. B. C. D. Top managers Middle managers First-line managers Board of directors Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -18

Which managers are most likely to require technical skills? A. B. C. D. Top managers Middle managers First-line managers Board of directors First-line managers need technical skills to solve problems that require quick response. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -19

Which type of manager needs strong human relations skills the most? A. B. C. D. Top managers Middle managers First-line managers Board of directors Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -20

Which type of manager needs strong human relations skills the most? A. B. C. D. Top managers Middle managers First-line managers Board of directors Middle managers must relate well to top managers, and be skilled in communicating stated goals to first-line managers. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -21

Which type of manager relies most on conceptual skills? A. B. C. D. Top managers Middle managers First-line managers None of these Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -22

Which type of manager relies most on conceptual skills? A. B. C. D. Top managers Middle managers First-line managers None of these Top managers spend a great deal of time in the planning process. They need good conceptual skills. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -23

A process that helps a firm respond to the challenges in its environment. A. B. C. D. Strategic management Tactical management Contingency management Conceptual management Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -24

A process that helps a firm respond to the challenges in its environment. A. B. C. D. Strategic management Tactical management Contingency management Conceptual management Strategic management requires a close look at one’s competitive environment. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -25

How a business will achieve its purpose is often written in a(n): A. B. C. D. Strategy session Objective document Mission statement None of these Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -26

How a business will achieve its purpose is often written in a(n): A. B. C. D. Strategy session Objective document Mission statement None of these All businesses have a purpose. When the business chooses to put it in writing, it is known as a mission statement. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -27

Starbucks sets a goal to have a location in Egypt within 5 -10 years. This goal is a(n): A. B. C. D. Short-term goal Intermediate goal Long-term goal Operational goal Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -28

Starbucks sets a goal to have a location in Egypt within 5 -10 years. This goal is a(n): A. B. C. D. Short-term goal Intermediate goal Long-term goal Operational goal A long-term goal is any goal that looks beyond five years. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -29

Starbucks wants to introduce hot chocolate in all stores within 24 months. This goal is a(n): A. B. C. D. Short-term goal Intermediate goal Long-term goal Mission Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -30

Starbucks wants to introduce hot chocolate in all stores within 24 months. This goal is a(n): A. B. C. D. Short-term goal Intermediate goal Long-term goal Mission Goals within a period of one to five years is an intermediate goal. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -31

Starbucks wants to train all employees on a new process within the next 6 months. This goal is a(n): A. B. C. D. Short-term goal Intermediate goal Long-term goal Strategic goal Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -32

Starbucks wants to train all employees on a new process within the next 6 months. This goal is a(n): A. B. C. D. Short-term goal Intermediate goal Long-term goal Strategic goal Short-term goals are focused on the immediate future. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -33

Evaluating the business’s strengths, weaknesses, opportunities, and threats is identified in a(n): A. B. C. D. Operational plan Tactical plan Strategic plan SWOT analysis Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -34

Evaluating the business’s strengths, weaknesses, opportunities, and threats is identified in a(n): A. B. C. D. Operational plan Tactical plan Strategic plan SWOT analysis A SWOT analysis looks at controllable factors (strengths & weaknesses) and uncontrollable factors (opportunities & threats) Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -35

Top managers are normally responsible for this type of planning. A. B. C. D. Operational planning Tactical planning Strategic planning None of these Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -36

Top managers are normally responsible for this type of planning. A. B. C. D. Operational planning Tactical planning Strategic planning None of these Top managers are responsible for looking at the big picture and deciding how the business can best succeed. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -37

Type of planning used by lower-level managers to implement the tactics of top/middle managers. A. B. C. D. Operational planning Situational planning Strategic planning Contingency planning Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -38

Type of planning used by lower-level managers to implement the tactics of top/middle managers. A. B. C. D. Operational planning Situational planning Strategic planning Contingency planning Operational planning consists of the short-term activities (such as scheduling) needed to implement tactics. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -39

When the unexpected happens, management must have a “backup plan. ” This is known as: A. B. C. D. Contingency planning Surprise planning Environmental analysis Tactical planning Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -40

When the unexpected happens, management must have a “backup plan. ” This is known as: A. B. C. D. Contingency planning Surprise planning Environmental analysis Tactical planning Having a “backup plan” is known as contingency planning. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -41

Many organizations have their own unique stories, beliefs, and norms. This is a part of: A. B. C. D. Their crisis management program Their contingency planning process Their corporate culture Their business plan Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -42

Many organizations have their own unique stories, beliefs, and norms. This is a part of: A. B. C. D. Their crisis management program Their contingency planning process Their corporate culture Their business plan Over time, businesses begin to develop an identity. Successful businesses often collect their “stories” to help build their culture. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -43

All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright © 2011 Pearson Education, Inc. publishing as Prentice Hall 5 -44