Multiple Choice
Identify the choice that best completes the
statement or answers the question.
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1.
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Pre-employment drug screening is an example of _____ control.
a. | decentralized | b. | concurrent | c. | negative | d. | feedback | e. | feedforward |
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2.
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A McDonald's fast-food restaurant with 23 employees and the accounting
department at Bartlett-Towers advertising agency each have just one overall manager and both are
examples of:
a. | top-down budgeting centres. | b. | responsibility centres. | c. | buying
centres. | d. | management systems. | e. | networks. |
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3.
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Gracar is a consulting company that gives its employees great flexibility. When
an employee thinks he or she is through with a job, he is empowered to move on to the next customer
or to take a training course and learn a new skill. What kind of control does this
learning-oriented organization use to foster compliance with organizational goals?
a. | bureaucratic control. | b. | decentralized control. | c. | benchmarking. | d. | centralized control. | e. | total quality
management |
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4.
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What is the basic philosophy behind continuous improvement?
a. | Only major change is worthwhile. | b. | Change for intangibles cannot be
measured. | c. | With a continuous reinforcement schedule, all change is possible. | d. | Improving things a
little bit at a time all the time has the greatest probability of success. | e. | Because it is
continuous, employees do not fear change when this approach is in
place. |
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5.
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A budgeting process in which middle-level managers set departmental budget
targets in accordance with overall company revenues and expenditures specified by top management is
known as ____________.
a. | feedback budgeting | b. | feedforward budgeting | c. | departmental
budgeting | d. | top-down budgeting | e. | bottom-up
budgeting |
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6.
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A budgeting process in which lower level managers budget their
departments’ resource needs and pass them up to top management for approval is known as
____________.
a. | feedback budgeting | b. | feedforward budgeting | c. | departmental
budgeting | d. | top-down budgeting | e. | bottom-up
budgeting |
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7.
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Charlie’s company uses highly trained employees at every stage of the
production process who take a painstaking approach to details and problem solving to cut waste and
improve quality and productivity. This approach to manufacturing is known as
____________.
a. | total quality management | b. | lean manufacturing | c. | Just-In-Time
manufacturing | d. | one-source manufacturing | e. | contract
manufacturing |
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8.
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The following formula represents one method of calculating productivity:
Output / (Labour + Capital + Materials + Energy)
This method of calculating
productivity is known as ____________.
a. | labour productivity | b. | marginal productivity | c. | Just-In-Time
productivity | d. | total factor productivity | e. | incremental
productivity |
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9.
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The following formula represents one method of calculating productivity:
Output / Labour dollars
This method of calculating productivity is known as
____________.
a. | labour productivity | b. | marginal productivity | c. | Just-In-Time
productivity | d. | total factor productivity | e. | incremental
productivity |
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10.
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An organization-wide commitment to infusing quality into every activity through
continuous improvement is known as ____________.
a. | continuous improvement (CI) | b. | total quality management
(TQM) | c. | Just-In-Time management (JIT) | d. | total factor management
(TFM) | e. | incremental quality management (IQM) |
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11.
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Blake’s firm decided to implement a program to reduce cycle time.
The program would likely include an analysis of:
a. | the quality of outputs | b. | the number of workers involved in the
production process | c. | the steps taken to complete a company
process | d. | the amount of employee involvement | e. | the number of quality circles
used |
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12.
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A set of international standards for quality management, setting uniform
guidelines for processes to ensure that products conform to customer requirements is known as
___________.
a. | Six Sigma | b. | ISO 9000 | c. | ISO
14000 | d. | TQM | e. | EVA |
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13.
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A control system that measures performance in terms of after-tax profits minus
the cost of capital invested in tangible assets is known as ___________.
a. | Six Sigma | b. | ISO 9000 | c. | ISO
14000 | d. | TQM | e. | EVA |
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14.
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Estelle’s firm allows employees to see—through charts, computer
printouts, meetings, and so forth—the financial condition of the company. This type of
information sharing is known as ___________.
a. | Total Quality Management | b. | Economic Value Added | c. | Open-book
management | d. | Six Sigma | e. | Top-Down
Management |
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15.
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A comprehensive management control system that balances traditional financial
measures of customer service, internal business processes, and the organization’s capacity for
learning and growth is known as ___________.
a. | Total Quality Management | b. | Economic Value Added | c. | Open-book
management | d. | Six Sigma | e. | Balanced
Scorecard |
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16.
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The system of governing an organization so the interests of corporate owners are
protected is known as ___________.
a. | Total Quality Management | b. | Economic Oversight | c. | Open-book
management | d. | Corporate Governance | e. | Balanced
Scorecard |
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