Question 1

The common financial ratios are:
A) Liquidity
B) Activity
C) Profitability
D) Leverage
E) All of the above

Accepted Answer

The common financial ratios include liquidity ratios (measuring a company's ability to meet short-term obligations), activity ratios (measuring a company's efficiency in using its assets), profitability ratios (measuring a company's ability to generate profits), and leverage ratios (measuring a company's debt burden and ability to meet long-term obligations). Therefore, option E, "All of the above", is the correct choice.

Question 2

To evaluate and reward employees effectively for the achievement of _____, managers need clear standards that reflect activities that ________ to the organization's overall strategy in a significant way.
A)
standards
B)
reports
C)
contribute
D)
conform

Accepted Answer

The answer of To evaluate and reward employees effectively for...

Question 3

The balanced scorecard has four major perspectives, they are financial, _____, learning and growth and ______.
A)
internal business processes
B)
employees
C)
management
D)
customers

Accepted Answer

The balanced scorecard has four major perspectives, they are financial, internal business processes, learning and growth and customers. So, the best choices are A and D.

Question 4

A part of the Benson and Butlers empathy/achievement grid is:
A) High empathy / low achievement
B) High empathy / high achievement
C) Low empathy / low achievement
D) low empathy / high achievement
E) All of the above

Accepted Answer

The Benson and Butlers empathy/achievement grid includes all combinations of high and low empathy with high and low achievement, so all options are part of the grid.

Question 5

ISO9000 quality standards are now the most recognized quality standards for evaluating organizations on ______. ISO9000 is now a requirement to do business in many organizations.
A)
an international scale
B)
a local scale
C)
a departmental scale
D)
an individual basis

Accepted Answer

ISO9000 quality standards are set on an international scale and are recognized worldwide, making it a requirement to do business in many organizations. It is not evaluated on a local, departmental, or individual basis.

Question 6

Activity ratios measures ______ performance with respect to the key activities defined by management
A) external performance
B) internal performance
C) competitor performance
D) sales performance

Accepted Answer

Activity ratios are used to assess a company's internal operational efficiency and effectiveness. These ratios measure how efficiently a company uses its assets to generate revenue or cash flow. Therefore, option B is the best choice as it relates to internal performance. Options A, C, and D do not accurately describe activity ratios.

Question 7

The financial performance perspective reflects a concern that the organization's activities ____________ short- and long-term financial performance.

Accepted Answer

The answer of The financial performance perspective reflects a concern...

Question 8

Zero-based budgeting is an established approach to planning and decision-making that requires managers to justify every _____ on a budget, it does not allow for ______ or accruals and applying a percentage uplift.
A)
line item
B)
payment
C)
tax receipt
D)
customer complaint
E)
prior budgets

Accepted Answer

The answer of Zero-based budgeting is an established approach to...

Question 9

The current approach to organizational control is to take a _________ of company performance, integrating various dimensions of control that focus on markets and ______, as well as employees and financials.

Accepted Answer

The answer of The current approach to organizational control is...

Question 10

Decentralized control is supported in many organization by the use of ________ management techniques and principles.
A) closed-book
B) hierarchical
C) open-book
D) board

Accepted Answer

Open-book management techniques and principles involve sharing financial and operational information with all employees, which empowers them to make decisions and take responsibility for their actions. This type of transparency and trust is essential for effective decentralized control in an organization. Closed-book and hierarchical management techniques restrict information and decision-making to a select few, while board management techniques involve a centralized governing body rather than decentralized control.

Question 11

Hierarchical control involves monitoring and influencing employees behaviour through extensive use of _____, policies, hierarchy of authority, written documentation, _______ and other ________.
A)
rules
B)
reward systems
C)
observation
D)
customer complaints
E)
formal mechanisms

Accepted Answer

The answer of Hierarchical control involves monitoring and influencing employees...

Question 12

The balanced scorecard is an effective tool for managing and improving performance, but only if it is clearly linked to a well-defined ______ _______ and goals.

Accepted Answer

The answer of The balanced scorecard is an effective tool...

Question 13

Statistical measurement is an important part of achieving ______________

Accepted Answer

The answer of Statistical measurement is an important part of...

Question 14

TQM is an organization-wide effort to infuse ______ in an organization through continuous improvement.
A) control into every activity
B) and develop every activity
C) quality into every activity
D) management of every activity

Accepted Answer

TQM stands for Total Quality Management, which focuses on infusing quality into every aspect of an organization through continuous improvement. It is not solely about control or management, but rather about the overall quality of products, services, and processes.

Question 15

The income statement, sometimes called a ____________, summarizes the firm's financial performance for a given time interval, usually one year.

Accepted Answer

The answer of The income statement, sometimes called a ____________,...

Question 16

EFQM is a self-assessment tool that grades elements of an organization, there are a number of areas that indicate how objectives may be met, they are:
A)Leadership
B)People
C)Policy and strategy
D)Partnership and resources
E)Processes
F)All of the above

Accepted Answer

All of the areas listed (Leadership, People, Policy and strategy, Partnership and resources, and Processes) are elements that EFQM considers when grading an organization. Therefore, the best choice is F, "All of the above."

Question 17

___________ control refers to the systematic process of regulating organizational activities to make them consistent with the expectations established in plans, targets and standards of performance.

Accepted Answer

The answer of ___________ control refers to the systematic process...

Question 18

The _______ in the control process is comparing actual activity to performance standards.

Accepted Answer

The answer of The _______ in the control process is...

Question 19

The goal of open-book management is to have every employee _________ like a business person.
A) operating and working
B) searching
C) thinking and acting
D) selling

Accepted Answer

The goal of open-book management is to have every employee thinking and acting like a business person by giving them access to financial information, teaching them about the company's financial performance, and involving them in decision-making processes. It is not about operating, searching or selling like a business person.

Question 20

A responsibility centre is any organizational department or unit under the supervision of a single person who is ______ for its activities.

Accepted Answer

The answer of A responsibility centre is any organizational department...

Quiz 17: Managing Quality and Performance

The common financial ratios are:

To evaluate and reward employees effectively for the achievement of _, managers need clear standards that reflect activities that ____ to the organization's overall strategy in a significant way.

The balanced scorecard has four major perspectives, they are financial, _, learning and growth and __.

A part of the Benson and Butlers empathy/achievement grid is:

ISO9000 quality standards are now the most recognized quality standards for evaluating organizations on ______. ISO9000 is now a requirement to do business in many organizations.

Activity ratios measures ______ performance with respect to the key activities defined by management

The financial performance perspective reflects a concern that the organization's activities ____________ short- and long-term financial performance.

Zero-based budgeting is an established approach to planning and decision-making that requires managers to justify every _ on a budget, it does not allow for __ or accruals and applying a percentage uplift.

The current approach to organizational control is to take a ___ of company performance, integrating various dimensions of control that focus on markets and , as well as employees and financials.

Decentralized control is supported in many organization by the use of ________ management techniques and principles.

Hierarchical control involves monitoring and influencing employees behaviour through extensive use of _, policies, hierarchy of authority, written documentation, _ and other ______.

The balanced scorecard is an effective tool for managing and improving performance, but only if it is clearly linked to a well-defined _ and goals.

Statistical measurement is an important part of achieving ______________

TQM is an organization-wide effort to infuse ______ in an organization through continuous improvement.

The income statement, sometimes called a ____________, summarizes the firm's financial performance for a given time interval, usually one year.

EFQM is a self-assessment tool that grades elements of an organization, there are a number of areas that indicate how objectives may be met, they are:

___________ control refers to the systematic process of regulating organizational activities to make them consistent with the expectations established in plans, targets and standards of performance.

The _______ in the control process is comparing actual activity to performance standards.

The goal of open-book management is to have every employee _________ like a business person.

A responsibility centre is any organizational department or unit under the supervision of a single person who is ______ for its activities.