Q & A organization business and management

STUDY QUESTIONS
Question 1: Why is management important to society?
Question 2: Why is management important to individuals?
Question 3: What is the role of the manager?
Question 4: Define management.
Question 5: How are the four functions of management related?
Question 6: Should excellence characteristics impact management
functions?
Question 7: What resources do managers have available?
Question 8: How do resources relate to production?
Question 9: Describe managerial effectiveness.
Question 10: What resources do managers have available?
Question 11: How do resources relate to production?
Question 12: Describe managerial effectiveness.
Question 13: What resources do managers have available?
Question 14: How do resources relate to production?
Question 15: Describe managerial effectiveness.
Question 16: How do resources relate to production?
Question 17: Describe managerial effectiveness.
Question 18: What resources do managers have available?
Question 19: How do resources relate to production?
Question 20: Describe managerial effectiveness.
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Answers of STUDY QUESTIONS
Answer 1: Your answer should be similar to the follow:
For a society to survive and prosper there must be maintained efficient and
effective management of the production of goods and services.
Answer 2: Your answer should be similar to the follow:
The management function is a source of employment to 18% of the growing work
force. It offers good salaries, status, and opportunities for personal growth.
Answer 3: Your answer should be similar to the follow:
The role of the manager is to guide and combine the organization’s human and
physical resources through specific tasks, and to encourage behavior toward
attainment of organizational goals.
Answer 4: Your answer should be similar to the follow:
Management is defined as a process of working with and through people and
other organizational resources.
Answer 5: Your answer should be similar to the follow:
Each management function is essential to ongoing processes, and all functions
are interrelated so that the performance of one is dependent on the performance
of all others.
Answer 6: Your answer should be similar to the follow:
According to Peters’ and Waterman’s In Search of Excellence, excellent
companies exhibit eight distinctive characteristics. Parts of each of those
attributes can be related to the management functions.
a. Planning: Peters’ and Waterman’s related attributes consist of a bias for
action, which limits the time spent planning; close to customers which focuses
the planning for customer needs; and stick to the knitting, which assures that
planning will be directed toward the right goals.
b. Organizing: Peters’ and Waterman’s related attributes consist of simple form,
lean staff for an uncomplicated organization; simultaneous loose-tight properties,
which uses a decentralized organization guided by values more than policies;
autonomy and entrepreneurship, which permits the structure to be more flexible.
c. Influencing: Peters’ and Waterman’s related attributes consist of: productivity
through people, which involves viewing people as resources, not just tools; using
teams and encouraging ideas through quality circles; hands on, value driven,
which suggests the avoidance of “we/they” attitudes and instead connotes being
approachable by workers who share corporate values.
d. Controlling: Peters’ and Waterman’s related attributes consist of some of
those previously mentioned, such as simultaneous, loose-tight properties, a bias
for action, and simple form, lean staff, which suggests that control is best
accomplished through commonly shared values and a simple and responsive
system which is uncluttered by policies and procedures.
Answer 7: Your answer should be similar to the follow:
a. People or human resources: this includes the employees as well as their skills
and knowledge.
b. Monetary resources: the financial resources needed to do business.
c. Raw materials: the physical ingredients used in operations.
d. Capital resources: the machines and equipment used in operations.
Answer 8: Your answer should be similar to the follow:
The resources serve as the inputs, which are then combined to produce outputs
or production.
Answer 9: Your answer should be similar to the follow:
It is managers’ ability to accomplish organizational goals through the utilization of
available resources.
Answer 10: Your answer should be similar to the follow:
Efficiency relates to the amount of inputs required to produce outputs, or how
many outputs are produced by the inputs. The higher the proportion of inputs or
resources contributes to productivity, the more efficient the manager.
Answer 11: Your answer should be similar to the follow:
The basic management functions and skills are applicable to all kinds of
organizations—whether business or nonbusiness, profit or nonprofit. The only
difference is the emphasis which may be placed on certain management functions
and skills.
Answer 12: Your answer should be similar to the follow:
A career is an individual’s sequence of work-related experiences and activities
over the span of the person’s working life.
Answer 13: Your answer should be similar to the follow:
a. The exploration state occurs at the beginning of a career and is characterized
by self-analysis and the exploration of different types of available jobs.
b. The establishment stage is when the learned skills from the first stage guide
the individual as he or she moves to different jobs within the same company or
different companies.
c. By the maintenance stage the managers is usually between 45 and 65 years
old and either demonstrates increased, stabilized, or decreased performance.
d. In the decline stage the manager’s productivity is declining. People in this
state find it difficult to maintain prior performance levels.
Answer 14: Your answer should be similar to the follow:
At this stage is a manager’s career there is little or no apparent progress in the
growth of the career.
Answer 15: Your answer should be similar to the follow:
The first step is to plan a career path toward the manager’s individual goals. The
manager must also be proactive in assessing individual strengths and liabilities.
From that assessment the individual explore all the avenues of opportunity open
a person with those strengths and liabilities, both inside and outside the
organization. Another key to promoting a career is to find managers who have
realistic and constructive roles in the career development of their employees.
Answer 16: Your answer should be similar to the follow:
A manger must adjust to changing situations. He or she must continually analyze
unique circumstances within your organization and apply management concepts
to fit those circumstances.
Answer 17: Your answer should be similar to the follow:
It is the ability to carry out the process of reaching organizational goals by
working with the available resources.
Answer 18: Your answer should be similar to the follow:
a. Technical skills: specialized knowledge and expertise.
b. Human skills: the ability to lead, obtain cooperation, and communicate.
c. Conceptual skills: understanding of:
1) the environment, 2) functional interrelationships within the organization, and
3) how changes in one part of an organization affect the other parts.
Answer 19: Your answer should be similar to the follow:
a. Task related activities are aimed at carrying out critical related duties in
organizations.
b. People related activities involve all aspects of managing people in
organizations.
c. Change related activities adjust management efforts to modify
organizational components as an organization evolves.
Answer 20: Your answer should be similar to the follow:

Any of the twelve skills listed in Figure A can be listed. They are all essential.

STUDY QUESTIONS
Question 1: What is the classical approach to management?
Question 2: Define scientific management.
Question 3: What is the significance of Taylor’s work at Bethlehem Steel
Company?
Question 4: What is motion study?
Question 5: What are Gantt’s most significant contributions?
Question 6: What is the comprehensive analysis of management?
Question 7: Describe Fayol’s general principles of management.
Question 8: Does the classical approach have limitations?
Question 9: What is the behavioral approach to management?
Question 10: What is the significance of the Hawthorne Studies?
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Answers of STUDY QUESTIONS
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Answers of STUDY QUESTIONS
Answer 1: Your answer should be similar to the follow:
The classical approach to management can best be defined as the approach that
stresses efficiency in the organization through task structuring. The task
structuring involves the analysis of the task to determine the “one best way” to
perform the task. This analysis is broken into two distinct areas: lower-level
management and comprehensive management analysis. Analysis of both areas
concentrates on efficiency and organization.
Answer 2: Your answer should be similar to the follow:
Scientific management is a process that attempts to find the “one best way” to
perform a task in order to achieve maximum worker productivity and efficiency.
This process requires scientific inquiry through observation and experimentation,
and results in the scientific design of the task based on these observations.
Answer 3: Your answer should be similar to the follow:
Taylor developed the tool of scientific designing of jobs, commonly referred to as
scientific management. Through observation and experimentation, he created
questions and by answering those questions he raised a worker efficiency and
corresponding morale through being more productive.
Answer 4: Your answer should be similar to the follow:
Motion study involved the reduction of each job to the most basic movements
possible. These motions were then analyzed to form job performance standards
and to eliminate unnecessary or wasted movements. The analysis was long and
complicated and involved the examination of three variables in the task
situation—the behavioral variables concerning the worker, the work environment,
and the motion itself.
Answer 5: Your answer should be similar to the follow:
Gantt sought to increase efficiency through the use of task scheduling and bonus
innovation. Gantt’s research led to the combining of many tasks and the
provision of incentives to increase worker efficiency.
Answer 6: Your answer should be similar to the follow:
Comprehensive analysis of management involves studying the management
function as a whole.
Answer 7: Your answer should be similar to the follow:
As a pioneer of administrative theory Fayol outlined the elements of management
through general functions—planning, organizing, commanding, coordinating, and
control. There are fourteen principles related to these functions. These general
principles are the following::
(1) Division of work. Work should be divided among individuals and groups to
ensure that effort and attention is focused on special portions of the task. Worker
specialization is the best way to use the organization’s human resources.
(2) Authority. Authority is the right to give orders and the power to exact
obedience. Responsibility involves being accountable and must be associated
with authority. Whenever one assumes authority, one also assumes
responsibility.
(3) Discipline. The common effort of the workers is necessary if the organization
is to be successful.
(4) Unity of command. Workers should receive orders from only one manager.
(5) Unity of direction. The entire organization should move towards a common
objective, in a common direction.
(6) Subordination of individual interests to the general interests. The interests of
one person should not be put before those of the organization as a whole.
(7) Remuneration. Many variables need to be considered in the determination of
a worker's pay. These variables include cost of living, the success of the
business, business conditions, and the supply of qualified personnel.
(8) Centralization. In this lowering of the importance of the subordinate role, the
degree to which an organization is centralized or decentralized depends upon the
specific organization.
(9) Scalar chain. Managers exist in a hierarchy, each having varying degrees of
authority that decrease as they move down from the level of president. Lowerlevel
managers should, thus, keep upper-level managers informed of their work
activities.
(10) Order. For the sake of efficiency and to keep coordination problems to a
minimum, all materials and people that are related to a specific kind of work
should be assigned to the same general location in the organization.
(11) Equity. All employees should be treated as equally as possible.
(12) Stability and tenure of personnel. Retaining productive employees should
always be a high priority for managers.
(13) Initiative. New or additional work activities taken on through the selfdirection
of the worker should be encouraged by the manager.
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(14) Esprit de corps. Management should encourage harmony and general
feelings among employees.
Answer 8: Your answer should be similar to the follow:
Yes, the primary limitation to the classical approach to management is the lack of
consideration given to the human variable in the organization. The interpersonal
areas of conflict, communication, leadership, and motivation are merely glanced
over, and for the most part, ignored.
Answer 9: Your answer should be similar to the follow:
The behavioral approach to management involves organizational success from an
understanding of people. Unlike the classical approach, production is increased
by understanding the people in the organization and adapting the organization to
them.
Answer 10: Your answer should be similar to the follow:
The significance of these studies was the realization of the importance of human
factors in the organization. The studies showed that the human variable could
directly decrease or increase production levels. Managers recognize that they
had to understand the influence that human factors could exert in an organization
in order to maximize the positive effects and minimize the negative effects

Question 11: What is the human relations movement?
Question 12: What is human relations skill?
Question 13: What is management science?
Question 14: Discuss the characteristics of the management science
applications.
Question 15: What is the contingency approach to management?
Question 16: What is the systems approach to management?
Question 17: What is a system?
Question 18: List and describe two types of systems.
Question 19: What is the relationship between ‘system’ and
‘wholeness’?
Question 20: What is a management system?
Question 21: What are the parts of the management system and how do
they function?
Question 22: What is triangular management?
Question 23: What is a learning organization?
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ANSWERS


Answer 11: Your answer should be similar to the follow:
The human relations movement is a people-oriented approach to management.
The objective is being to enhance organizational success through people. Human
relation skills are those skills needed to work with people in such a way as to
enhance company success. Abraham Maslow and Douglas McGregor are big
advocates of the human relations movement.
Answer 12: Your answer should be similar to the follow:
Human relations skill is the ability to work with people in a way that enhances
organizational success.
Answer 13: Your answer should be similar to the follow:
The management science is the application of the scientific method to operational
problems to arrive at a solution to those problems. As such, mathematical
models must be constructed to represent the system. The problem’s solution is
found by solving the equations that represent the system. In contrast to the
classical and behavioral approaches to managing, the management science
approach advocates the use of the scientific method to increase production
efficiency.
Answer 14: Your answer should be similar to the follow:
There are four primary characteristics of management science application. First,
the management problems are so complicated that managers need help in
analyzing a large number of variable. Second, economic implications are used as
guidelines for making a decision. Third, mathematical models are useful in
investigating the decision situation. Fourth, the use of computers is needed due
to the complexity of the problems and need for mathematical analysis.
Answer 15: Your answer should be similar to the follow:
The contingency approach to management emphasizes the viewpoint that what
managers do in practice depends on, or is contingent upon, a given set of
circumstances—a situation. This approach attempts to outline the conditions or
situations in which various management methods have the best chance of being
successful.
Answer 17: Your answer should be similar to the follow:
A system is a number of interdependent parts functioning as a whole for some
purpose. An example would be the human body whose interdependent parts
include many organs and tissues, many of which are highly specialized.
Answer 16: Your answer should be similar to the follow:
The theory behind the systems approach to management is that to understand
fully the operation of an entity, the entity must be viewed as a system.
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Answer 18: Your answer should be similar to the follow:
A closed system does not interact with its environments, nor is it influenced by
them. Such systems are mostly mechanical. Open systems, on the other hand,
are constantly interacting with their environments. They are both influenced by
and have influence upon their environment.
Answer 19: Your answer should be similar to the follow:
“Wholeness” simply means that the system must be viewed as a whole and that
modification of the system must be made only through changes in the parts of
the system. More specifically, any analysis of the system must be made in the
context of the whole system, not any one part. In system analysis, the concept
of wholeness must be emphasized. Studies of the interdependent parts must be
secondary to analysis of the whole. The key to system analysis is an
understanding of the “whole,” the nature of the parts, their role and function in
the whole, and their integration and interrelatedness in the whole.
Answer 20: Your answer should be similar to the follow:
A management system is composed of a number of parts that function
interdependently to achieve a purpose.
Answer 21: Your answer should be similar to the follow:
The system consists of three main parts: (1) organizational input, (2)
organizational process, and (3) organizational output. More simply stated, these
parts are resources, the production process, and finished goods. These three
parts function in unison to achieve organizational objectives.
Answer 22: Your answer should be similar to the follow:
Triangular management is a management approach that emphasizes using
information from the classical, behavioral, and management science schools of
thought to manage the open management system.
Answer 23: Your answer should be similar to the follow:
A learning organization is an organization that does well in creating, acquiring,

and transferring knowledge, and in modifying behavior to reflect new knowledge.

STUDY QUESTIONS

Question 1: Define corporate social responsibility.

Question 2: What is the Davis model of corporate social responsibility?

Question 3: Why should business pursuing perform corporate social

responsibility activities?

Question 4: Why should business NOT perform corporate social

responsibility activities?

Question 5: Are there social responsibility activities that business must

perform?

Question 6: What is a voluntarily social responsibility activity?

Question 7: Discuss of possible outcomes of performing corporate

social responsibility activities.

Question 8: Why should managers communicate about corporate social

responsibility activities?

Question 9: Define social responsiveness.

Question 10: What is a stakeholder?

ANSWERS

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Answer 1: Your answer should be similar to the follow:
Corporate social responsibility is the managerial obligation to take action that
protects and improves the welfare of society as a whole as well as organizational
interests.
Answer 2: Your answer should be similar to the follow:
The Davis model contains five propositions describing why and how business
should adhere to the obligations to take action that protects and improves the
welfare of society and the organization. These five propositions are:
a. Proposition 1: Social responsibility arises from social power. Since business
holds a significant amount of power and influence over society, society can and
must hold business responsible for social conditions that result from exercising
this power.
b. Proposition 2: Business shall operate as a two-way open system, with open
receipt of input from society and open disclosure of its operations to the public.
Continuing, honest, and open communications between business and societal
representatives must exist if the overall welfare of society is to be maintained or
improved.
c. Proposition 3: Both social costs and benefits of an activity, product, or service
shall be thoroughly calculated and considered in deciding whether or not to
proceed with it. The technical feasibility and economic profitability must be
combined with the short- and long-term societal consequences of all business
activities before such activities are undertaken.
d. Proposition 4: Social costs related to each activity, product, or service shall be
passed on to the consumer. Society must understand that business cannot be
expected to completely finance socially advantageous activities that may be
economically disadvantageous to it.
e. Proposition 5: Business institutions, as citizens, have the responsibility to
become involved in certain social problems that are outside of their normal areas
of operation. If a business possesses the expertise to solve a social problem with
which it may not be directly associated, it should be held responsible for helping
society solve that problem.
Answer 3: Your answer should be similar to the follow:
There are three arguments that support business performing corporate social
responsibility activities. One argument is that it is in the best interest of business
to pursue socially responsible objectives. A healthier society increases the
demand for products and services, which in turn ensures the viability of business.
Another argument is that as a subset of society, business should not be exempt
from maintaining and improving the overall welfare of society. Another supportive
argument is that the pursuit of these objectives will be in the best interest of the
stockholders. The price of stock will increase in the long term, because the
company will be viewed as less risky and less open to attack by society for a
failure to pursue socially responsible objectives. In addition, some argue that
profitability and growth go hand in hand with responsible treatment of
employees, customers, and the community.
Answer 4: Your answer should be similar to the follow:
Milton Friedman argues against performing corporate social responsibility
activities.
Milton Friedman’s arguments stem from what he sees as the objective of private
organizations—profit. Making business managers simultaneously responsible to
business owners for reaching profit objectives and to society for enhancing
societal welfare represents a conflict of interests. This conflict might also be
unethical, since it requires business managers to spend money that really belongs
to other individuals. This conflict could lead to the demise of business as we
know it.
Answer 5: Your answer should be similar to the follow:
There are socially responsible activities that are required by law. Federal
legislation requires that business perform certain social responsibility activities.
Such legislation not only establishes the activities, but also establishes federal
agencies to monitor and enforce the performance.
Answer 6: Your answer should be similar to the follow:
This phrase refers to performing socially responsible activities beyond the
legislated minimum. How far beyond the legislated minimum a business should
go is determined by assessing the positive and negative outcomes of performing
socially responsible activities over the long and short runs. Only those socially
responsible activities that maximize management system success while making
some desirable contribution to maintaining or improving the welfare of society
should be performed.
Answer 7: Your answer should be similar to the follow:
The text lists five positive and five negative outcomes a business could
experience as a result of performing corporate social responsibility activities.
These outcomes are:
Positive outcomes (See text Table 3.2) include:
a. Enhanced corporate reputation and goodwill,
b. Strengthening of the social system in which the corporation functions,
c. Strengthening of the economic system in which the corporation functions,
d. Greater job satisfaction among all employees, and
e. Avoidance of government regulation.
Negative outcomes (See text Table 3.2) include:
a. Decreased short-term profitability,
b. Conflict of economic or financial and social goals,
c. Increased prices for consumers,
d. Conflict in criteria for assessing managerial performance, and
e. Discontent of stockholders.

Answer 8: Your answer should be similar to the follow:
As a spokesperson and representative of a corporation, it is the managerial
obligation to communicate what actions are being taken that protects and
improves the welfare of society along with the interests of the business itself.
Answer 9: Your answer should be similar to the follow:
Social responsiveness is the degree of effectiveness and efficiency an organization
displays in pursuing its social responsibilities.
Answer 10: Your answer should be similar to the follow:
Stakeholders are all individuals and groups that are directly or indirectly affected
by an organization’s decisions.

Question 11: Discuss the flowchart of social responsibility decisionmaking.


Question 12: Discuss three approaches to meeting social obligations.


Question 13: How can social responsibility activities be part of


organizational planning?


Question 14: How are social responsibility policies converted to action?


Question 15: Are social responsibility activities and organizing related?


Question 16: Are social responsibility activities and influencing related?


Question 17: In what areas should corporate social responsibility


activities be measured?


Question 18: What is a social audit?


Question 19: What can society do to help business meet social


obligations?


Question 20: What is ethics?


Question 21: How can ethics enhance corporate health?


Question 22: What is a code of ethics?


Question 23: How can managers create an ethical workplace?


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Answers of STUDY QUESTIONS

Answer 11: Your answer should be similar to the follow:


The flowchart has a series of questions responding the action being taken or not


taken and considerations for the answers. Managers can use it as a general


guideline for making social responsibility decisions that enhance the social


responsiveness of their organizations.


Answer 12: Your answer should be similar to the follow:


These approaches by Sethi entail behavior that reflects different degrees toward


performing social obligations. The three approaches center around to what


degree a business defines its social responsibility. While businesses using any of


the three approaches see business as having economic purposes, each views


societal goals in a different manner. For a business adhering to the social


obligation approach, economic purposes take priority. Social obligation is limited


to only legislated minimum.


In contrast, for a business adhering to the social responsibility approach, societal


goals are moved up in their priority to the point where the business will accept


and strive to fulfill extra legal societal responsibilities. Such a business will not,


however, sacrifice its economic interests for societal goals.


Finally, the social responsiveness approach characterizes a business that accepts


societal goals as part of its operations and sacrifices its economic interests in


actively working to overcome social problems or to prevent their appearance.


Answer 13: Your answer should be similar to the follow:


Planning social responsibility activities involves determining how the organization


will get where it wants to go in the area of social responsibility.


Answer 14: Your answer should be similar to the follow:


The process of turning social responsibility policy into action involves three


sequential phases. Each phase commits a successively larger share of the


organization to the chosen social obligation. In Phase 1, top management


formulates and communicates policy to all organizational members about social


obligation. In Phase 2, staff specialists aid top management in gathering


additional information related to meeting the social obligation. In Phase 3,


division management is brought into the process. While top management is


obtaining a commitment from organizational members to the social obligation and


creating realistic expectations of the effects such commitments will have on


productivity, staff specialists encourage responses within the organization to meet


the social obligation. The division management participates by actually


committing resources and modifying existing procedures so that appropriate


socially oriented activity can and will be performed in the organization.


Answer 15: Your answer should be similar to the follow:


For social responsibility activities, the manager must lead, communicate,


motivate, and work with groups to attain the social responsibility objectives.


Organizing for social responsibility activities establishes logical relationships


among all management system resources to meet social objectives in a manner


consistent with social responsibility plans of the management system.


Answer 17: Your answer should be similar to the follow:


There are four main areas in which any management system can take


measurements to control for social responsibility activities:


a. The economic function area deals with the economic contribution being made


by the management system to the benefit of society. It assesses such activities


as producing goods and services that society needs, paying fair wages, and


creating jobs.


b. The quality-of-life area deals with determining if the management system is


improving the general quality of life by the quality of its products and services, its


Answer 16: Your answer should be similar to the follow:


Influencing relates to the planning of social responsibility activities in the same


way as they do in the overall management system. To fulfill the influencing


function for social responsibility activities, the manager must lead, communicate,


motivate, and work with groups to attain the social responsibility objectives.


dealings with employees and customers, and its efforts to preserve the natural


environment.


c. The social investment area deals with the degree to which the organization is


investing its resources to solve social problems through aid to education,


charities, and the arts.


d. The problem-solving area deals with the degree to which the management


system deals with social problems as opposed to symptoms of these problems.


Answer 18: Your answer should be similar to the follow:


A social audit is the process of actually taking social responsibility measurements,


such as those noted in question 176. This provides management with an


assessment of management system performance in the social responsibility area.


Answer 19: Your answer should be similar to the follow:


Society can do several things to help business meet social obligations. Society


can set rules that are clear and consistent so that business knows the direction it


must take in this area. The rules themselves must be technically, as well as


economically, feasible. Rules which are technically unattainable for business or


unaffordable for society will only delay and complicate the burden of meeting


social responsibilities for business and society. Anything other than futureoriented


goals is counterproductive. Finally, society should make the rules goaloriented


and not prescriptive, and should leave it to the ingenuity of indus to


devise the best way to accomplish the ends desired.


Answer 20: Your answer should be similar to the follow:


Ethics is our concern for good behavior; our obligation to consider not only our


own well-being, but also that of other human beings.


Answer 21: Your answer should be similar to the follow:


The employment of ethical business practices can enhance overall corporate


health in three important areas: productivity, stakeholder relations, and


government regulation.


Answer 22: Your answer should be similar to the follow:


A code of ethics is a formal statement that acts as a guide for making decisions


and acting within an organization.


Answer 23: Your answer should be similar to the follow:


Managers can take steps to make their organizations more ethical workplaces.


One common step is the creation, distribution, and continual improvement of the


company's code of ethics. Other steps a manager can take to create ethical


workplaces is to create a special office or department with the responsibility of


ensuring ethical practices within the organization and to furnish organization

members with appropriate training.

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