Question 1

The basic process of control involves all of the following steps except which one?

Accepted Answer

Developing organizational structure is not a step in the basic process of control. The control process focuses on setting standards, measuring performance, comparing it to those standards, and taking corrective action if necessary. Developing organizational structure is related to organizing, not controlling.

Question 2

The first step in the process of control is

Accepted Answer

The first step in the control process is setting performance standards, as these standards establish the criteria for what should be achieved in the future.

Question 3

Jerry Langley, the CEO of Minnesota Metals, is attempting to establish a process of control for his company. Mr. Langley should begin the process by

Accepted Answer

Setting performance standards is the first step in establishing a process of control, as it defines the expected outcomes or goals that the organization aims to achieve.

Question 4

Each November, the top management team of Oracle Corporation sets the standards of performance against which the company's activities will be compared during the coming year. Setting standards of performance is the first step in the process of

Accepted Answer

Setting standards of performance is a key part of the controlling function in management. This involves establishing benchmarks or standards, against which actual performance can be compared in order to take corrective action if necessary.

Question 5

Which of the following is likely to be the most effective control standard?

Accepted Answer

Option C, "Defect rates should be .02 percent or less," is the most effective control standard because it is specific, measurable, and provides a clear target for performance.

Question 6

Which of the following is a poorly articulated standard of performance?

Accepted Answer

Option A is poorly articulated because it is vague and does not provide a specific, measurable target.

Question 7

A new faculty member at the college stated in his course syllabus that "students should be prepared for class. This statement was largely unenforceable during the course of the semester, and students largely ignored this rule. This course syllabus violated the __________ performance recommendation regarding setting standards of performance.

Accepted Answer

The answer of A new faculty member at the college...

Question 8

The standard, "The integrated circuit boards should have no more than three defeats per 1,000,000 manufactured units is a __________ performance criterion.

Accepted Answer

This standard specifies a measurable outcome (no more than three defects per 1,000,000 units), making it a quantitative performance criterion. Quantitative criteria are based on numbers and measurable facts.

Question 9

What is the primary advantage of quantitative performance standards?

Accepted Answer

Quantitative performance standards are advantageous because they involve numerical or measurable factors, making it straightforward to compare these standards against actual performance outcomes. This facilitates objective assessment and tracking of performance over time.

Question 10

The first two steps of the control process provide managers with the information needed to make comparisons between actual performance and standards. These two steps are

Accepted Answer

The first two steps of the control process involve setting standards for performance and then measuring the actual performance against these standards. This allows managers to determine if there are deviations that need to be addressed.

Question 11

According to our textbook, what is the main difference between quantitative and qualitative performance measures?

Accepted Answer

Quantitative measures are based on numerical data that can be objectively measured and compared, while qualitative measures are based on observations, interviews, and opinions, making them subjective in nature.

Question 12

The Chicago Cutlery Company states that its knives "must be honed to a high degree of sharpness, and the wooden handles must be polished to a bright luster. These performance measures are __________ in nature.

Accepted Answer

The description of the knives being honed to a high degree of sharpness and having wooden handles polished to a bright luster refers to qualities that are subjective and cannot be measured numerically, making them qualitative in nature.

Question 13

The final step in the control process, the step in which the decision-maker must decide whether to take corrective action or not, is referred to as

Accepted Answer

The final step in the control process involves responding to deviations. This step occurs after performance has been measured and compared against set standards. If there are significant deviations, the decision-maker must decide on the appropriate corrective action to align performance with the desired standards.

Question 14

Rebecca Jones is making a change to some of the behaviors, activities, and aspects of her organization in order to bring performance into line with standards. This step of the control process is called

Accepted Answer

Responding to deviations is the step in the control process where adjustments are made to align performance with standards. After performance standards are set and actual performance is measured and compared to these standards, any deviations require a response to correct or adjust actions and processes to ensure alignment with the set goals.

Question 15

At Applied Materials, Inc., the managers routinely compare actual performance with performance standards and choose to either (1) take no corrective action, or (2) take corrective action based on the importance of the discrepancy. This is the final step in the process of

Accepted Answer

This is the final step in the control process, where performance is compared against standards, and decisions are made regarding corrective actions based on the outcomes of that comparison.

Question 16

Which of the following statements regarding control systems is not accurate?

Accepted Answer

The law of requisite variety, formulated by W. Ross Ashby, states that only variety can absorb variety. This means that to effectively control a system, the control system must have a level of complexity (variety) at least equal to that of the system being controlled. Statement C is inaccurate because it suggests increasing variety in the system being controlled, which would actually make control more difficult, not easier. The law implies adapting the control system to match the system's complexity, not the other way around.

Question 17

__________ refers to the number of activities, processes, or items that are measured and controlled.

Accepted Answer

The answer of __________ refers to the number of activities,...

Question 18

The top managers of Prodigy Communications put considerable thought into the number of activities, processes, and items that the company measures and controls. In other words, Prodigy's managers are concerned about the amount of __________ in their control system.

Accepted Answer

Prodigy's managers are concerned about the amount of variety in their control system, as they are considering the number of different activities, processes, and items to measure and control.

Question 19

To maintain adequate control in any system, the control system must contain as much variety as the system being controlled. This is known as the

Accepted Answer

The correct term is the "law of requisite variety," which states that for a control system to effectively manage a system, it must have at least as much variety in its responses as the system it is trying to control. This principle is fundamental in cybernetics and systems theory.

Question 20

The managers at Mitchell Home Builders recognize that, because so many materials and parts go into the construction of the homes, and these materials have so many sources, they must employ extensive control systems at all stages of construction in order to ensure that the finished homes meet their performance standards. Mitchell Home Builders is following the principles of the

Accepted Answer

The law of requisite variety states that any control system must be capable of adapting to the variety of conditions it will face. Mitchell Home Builders' approach of employing extensive control systems to manage the complexity of materials and sources aligns with this principle, ensuring that their homes meet performance standards despite the variability in construction inputs.

Quiz 15: Organizational Control in a Complex Business Environment