Management Principles May 2014 Multiple choice questions for the CIS management principle exams - May 2014 samantha00zw published on February 02, 20153 responses 1 5.0★ / 5 Questions in vertical order 2.1 The current National Qualifications Framework (NQF) consists of __ levels. A 2 B 4 C 8 D 10 2.2 The systems approach to management ___ A states that all parts of an organisation must be healthy. B views an organisation as a group of interrelated parts. C believes that the more parts there are in the system, the easier it is to coordinate. D is no longer considered useful when trying to understand a business. 2.3 The market for an organisation’s products or services A is the place where its products or services are sold. B includes the organisation’s competitors. C consists of people who have needs to be satisfied and the finances to satisfy those needs. D consists only of people who live near the organisation. 2.4 Which one of the foll statements describes the macro-environment The macro-environment is controllable. The macro-environment is best described by Porter’s five-forces model. The macro-environment only plays a role in certain industries. The macro-environment includes the internal organisational structures of the business. 2.5 Which one of the foll statements is CORRECT? Tactical planning is performed by top management. The vision of the organisation is determined by the strategic goals. Implementation and control of business strategies do not form part of the strategic planning. Strategic planning does not take place at a functional level. 2.6 Which statement is NOT TRUE of budgets? They are most often stated in money terms. They cover a specific period. They contain an element of management commitment. Once approved they can never be changed. 2.7 Which statement is CORRECT? Data and information are the same thing. Information is data that has been processed and is useful to management. Information refers to the raw facts that are collected for processing. Information has nothing to do with data. 2.8 Which statement is INCORRECT? Downsizing and delayering are the same thing. Downsizing is a managerial activity aimed at reducing the size of an organisation’s workforce. Downsizing may result in the retrenchment of some staff. Delayering is the process of reducing the number of management layers in an organisation. 2.9 Which statement is CORRECT? Job specialisation refers to the narrowing down of activities to simple repetitive routines. Job specification should not be used if the employees are illiterate or inexperienced. Job specialisation is the same thing as person specialisation. Medical specialists are an example of job specialisation. 2.10 Which one of the following is a reason that people resist change in an organisation? Lack of trust of management. Mistiming of the implementation. Pressure from fellow workers. All of the above. 2.11 When describing company culture, the term “rituals” refers A set of rules that must be followed. Secret practices performed by some employees. Practices and actions that occur repeatedly and are significant within the organisation. Activities performed by a sangoma employed by the company. 2.12 Which statement is INCORRECT? Diversity is about demographics. Diversity is about culture. Diversity is about profitability. Diversity is about values. 2.13 Which statement is CORRECT? Leaders establish direction. Leaders steer people in the right direction. Leaders motivate people and teams. All of the above. 2.14 Fiedler’s contingency theory of leadership states that ___ organisational climate and organisational culture are the same thing. it is not necessary for a manager to understand his or her style of leadership. leading and managing are the same thing. successful leadership depends on the match between the leader, the subordinate and the situation. 2.15 The utilitarian approach to ethical decision making __ considers an ethically correct decision to be one that best protects the rights of those affected by it. states that ethical decisions should entail the equitable, fair and impartial distribution of benefits and costs among individuals and groups. is based on the rights defined in the Bill of Rights. weighs the potentially positive results of the decision and action against the potentially negative results.