Organizational Theory & Behavior Exam #2

Front 1

Lewin's description of the change process as a break in the organization's equilibrium state is known as the ___________ metaphor.

Back 1

calm waters

Front 2

The lack of environmental stability and predictability requires that managers and organizations continually adapt (manage change actively to survive) is known as the ___________ metaphor.

Back 2

white-water rapids

Front 3

What are the three stages in the change process?
- ___________ the status quo
- ___________ to a new state
- ___________ to make the change permanent

Back 3

unfreezing, changing, refreezing

Front 4

Preparing the organization to accept that change is necessary, which involves breaking down the existing status quo is the objective of which stage in the change process?

Back 4

Unfreezing the status quo

Front 5

People begin to resolve their uncertainty and look for new ways to do things; people start to believe and act in was that support the new direction is the objective of which stage in the change process?

Back 5

Changing to a new state

Front 6

Help people and the organization internalize or institutionalize the changes - make sure the changes are used all the time and incorporated into everyday business is the objective of which stage in the change process?

Back 6

Refreezing to make the change permanent

Front 7

Any alterations in the people, structure, or technology of an organization is known as ___________.

Back 7

organizational change

Front 8

What are the three types of change?
- ___________- changing an organization's structural components or its structural design
- ___________- adopting new equipment, tools, or operating methods that displace old skills and require new ones
- ___________- changing attitudes, expectations, perceptions, and behaviors of the workforce

Back 8

structure, technology, people

Front 9

Replacing certain tasks done by people with machines is known as ___________.

Back 9

automation

Front 10

Persons who act as catalysts and assume the responsibility for managing the change process are known as ___________.

Back 10

change agents

Front 11

Techniques or programs to change people and the nature and quality of interpersonal work relationships are known as organizational ___________.

Back 11

development

Front 12

Work expectations that are hard to satisfy

Back 12

role conflict

Front 13

Having more work to accomplish than time permits

Back 13

role overload

Front 14

When role expectations are not clearly understood

Back 14

role ambiguity

Front 15

The adverse reaction people have to excessive pressure placed on them from extraordinary demands, constraints, or opportunities

Back 15

stress

Front 16

The ability to combine ideas in a unique way or to make an unusual association

Back 16

creativity

Front 17

Turning the outcomes of the creative process into useful products, services, or work methods

Back 17

innovation

Front 18

Individuals who actively and enthusiastically support new ideas, build support, overcome resistance, and ensure that innovations are implemented

Back 18

idea champions

Front 19

an obstacle that makes it difficult to achieve a desired goal or purpose

Back 19

problem

Front 20

making a choice from two or more alternatives

Back 20

decision

Front 21

Steps of the decision making process:
- Step 1: Identifying a ___________
- Step 2: Identifying decision ___________
- Step 3: Allocating ___________ to the criteria
- Step 4: Developing ___________
- Step 5: ___________ alternatives
- Step 6: Selecting an ___________
- Step 7: ___________ the alternative
- Step 8: Evaluating decision ___________

Back 21

problem, criteria, weights, alternatives, analyzing, alternative, implementing, effectiveness

Front 22

A problem becomes a problem when a ___________ becomes aware of it.

Back 22

manager

Front 23

Decision criteria are factors that are important (relevant) to resolving the problem, such as: ___________ that will be incurred (investments required), ___________ likely to be encountered (change of failure), and ___________ that are desired (growth of the firm).

Back 23

costs, risks, outcomes

Front 24

Decision criteria are not of equal ___________. Assigning a weight to each item places the items in the correct ___________ order of their importance in the decision-making process.

Back 24

importance, priority

Front 25

When you develop alternatives in the decision making process, alternatives are listed (without ___________) that can resolve the problem.

Back 25

evaluation

Front 26

When analyzing alternatives in the decision-making process, appraise each alternatives ___________ and ___________.

Back 26

strengths, weaknesses

Front 27

When selecting an alternative, the alternative with the ___________ total weight is chosen.

Back 27

highest

Front 28

When implementing the alternative, you convey the decision to and gain ___________ from those who will carry out the alternative.

Back 28

commitment

Front 29

When evaluating decision effectiveness, the soundness of the decision is judged by its ___________.

Back 29

outcomes

Front 30

___________ decision-making describes choices that are logical and consistent while maximizing value.

Back 30

Rational

Front 31

Decision making that's rational, but limited by an individual's ability to process information is known as ___________.

Back 31

bounded rationality

Front 32

Accepting solutions that are "good enough" is known as ___________.

Back 32

satisficing

Front 33

an explicit statement that limits what a manager or employee can or cannot do

Back 33

rule

Front 34

a general guideline for making a decision about a structured problem

Back 34

policy

Front 35

a series of interrelated steps that a manager can use to apply a policy in response to a structured problem

Back 35

procedure

Front 36

a situation in which a manager can make an accurate decision because the outcome of every alternative choice is known

Back 36

certainty

Front 37

a situation in which the manager is able to estimate the likelihood (probability) of outcomes that result form the choice of particular alternatives

Back 37

risk

Front 38

Using "rules of thumb" to simplify decision making

Back 38

heuristics

Front 39

Holding unrealistically positive views of oneself and one's performance is known as ___________ bias.

Back 39

overconfidence

Front 40

Choosing alternatives that offer immediate rewards and avoid immediate costs is known as ___________ bias.

Back 40

immediate gratification

Front 41

Fixating on initial information and ignoring subsequent information is known as the ___________ effect.

Back 41

anchoring

Front 42

Selecting, organizing and interpreting events based on the decision maker's biased perceptions is known as ___________ perception bias.

Back 42

selective

Front 43

Seeking out information that reaffirms past choices while discounting contradictory information is known as ___________ bias.

Back 43

confirmation

Front 44

Selecting and highlighting certain aspects of a situation while ignoring other aspects is known as ___________ bias.

Back 44

framing

Front 45

Losing decision-making objectivity by focusing on the most recent events is known as ___________ bias.

Back 45

availability

Front 46

Drawing analogies and seeing identical situations when none exist is known as ___________ bias.

Back 46

representation

Front 47

Creating unfounded meaning out of random events is known as ___________ bias.

Back 47

randomness

Front 48

Forgetting that current actions cannot influence past events and relate only to future consequences are known as ___________ errors.

Back 48

sunk cost

Front 49

Taking quick credit for successes and blaming outside factors for failures is known as ___________ bias.

Back 49

self-serving

Front 50

Mistakenly believing hat an event could have been predicted once the actual outcome is known (after-the-fact) is known as ___________ bias.

Back 50

hindsight

Front 51

a primary managerial activity that involves: defining the organization's goals, establishing an overall strategy for achieving those goals, and developing plans for organizational work activities

Back 51

planning

Front 52

desired outcomes for individuals, groups, or entire organizations; provide direction and evaluation performance criteria

Back 52

goals (also objectives)

Front 53

documents that outline how goals are to be accomplished; describe how resources are to be allocated and establish activity schedules

Back 53

plans

Front 54

___________ plans establish the organization's overall goals, seek to position the organization in terms of its environment, cover extended periods of time.

Back 54

Strategic

Front 55

___________ plans specify the details of how the overall goals are to be achieved, cover a short time period.

Back 55

Operational

Front 56

___________ plans have time frames extending beyond three years.

Back 56

Long-term

Front 57

___________ plans have time frames of one year or less.

Back 57

Short-term

Front 58

___________ plans are flexible plans that set out general guidelines and provide focus, yet allow discretion in implementation.

Back 58

Directional

Front 59

___________ plans are a one-time plan specifically designed to meet the need of a unique situation.

Back 59

Single-use

Front 60

___________ plans are ongoing plans that provide guidance for activities performed repeatedly.

Back 60

Standing

Front 61

Current plans affecting future commitments must be sufficiently long-term in order to meet those commitments. This is known as the ___________.

Back 61

commitment concept

Front 62

What managers do to develop the organizations strategies

Back 62

strategic management

Front 63

the plans for how the organization will do what it's in business to do, how it will compete successfully, and how it will attract and satisfy its customers in order to achieve its goals

Back 63

strategies

Front 64

How a company is going to make money is known as a ___________ model.

Back 64

business

Front 65

a statement of the purpose of an organization; the scope of its products and services

Back 65

mission

Front 66

an organizational strategy that determines what businesses a company is in or wants to be in, and what it wants to do with those businesses

Back 66

corporate strategy

Front 67

a corporate strategy that’s used when an organization wants to expand the number of markets served or products offered, through either its current business(es) or new businesses(es)

Back 67

growth strategy

Front 68

a corporate strategy in which an organization continues to do what it is currently doing

Back 68

stability strategy

Front 69

a corporate strategy designed to address declining performance

Back 69

renewal strategy

Front 70

an organizational strategy for how an organization will compete in its business(es)

Back 70

competitive strategy

Front 71

What strategy seeks to attain the lowest total overall costs relative to other industry competitors?

Back 71

cost leadership strategy

Front 72

What strategy attempts to create a unique and distinctive product or service for which customers will pay a premium?

Back 72

Differentiation strategy

Front 73

What strategy uses a cost or differentiation advantage to exploit a particular market segment as opposed to a larger market?

Back 73

Focus strategy

Front 74

The strategies used by an organization's various functional departments to support the competitive advantage are known as ________ strategies.

Back 74

functional

Front 75

what sets an organization apart; its distinctive edge

Back 75

competitive advantage

Front 76

What are the five competitive forces?
- Threat of new ________ – the ease or difficulty with which new competitors can enter an industry
- Threat of ________ – the extent to which switching costs and brand loyalty affect the likelihood of customers adopting substitute products and services
- ________ power of buyers – the degree to which buyers have the market strength to hold sway over and influence competitors in an industry
- Bargaining power of ________ – the relative number of buyers to suppliers and threats from substitutes and new entrants affect the buyer-supplier relationship
- Current ________ – intensity among rivals increases when industry growth rates slow, demand falls, and product prices descend.

Back 76

entrants, substitutes, bargaining, suppliers, rivalry

Front 77

the continuous line of authority that extends from upper levels of an organization to the lowest levels of the organization – clarifies who reports to whom

Back 77

chain of command

Front 78

the number of employees who can be effectively and efficiently supervised by a manager

Back 78

span of control

Front 79

arranging and structuring work to accomplish an organization’s goals

Back 79

organizing

Front 80

the formal arrangement of jobs within an organization

Back 80

organizational structure

Front 81

a process involving decisions about six key elements: work specialization, departmentalization, chain of command, span of control, centralization and decentralization, formalization

Back 81

organizational design

Front 82

31. What are the five types of departmentalization?
- _________ – grouping jobs by functions performed
- _________ – grouping jobs by product line
- _________ – grouping jobs on the basis of territory or geography
- _________ – grouping jobs on the basis of product or customer flow
- _________ – grouping jobs by type of customer and needs

Back 82

functional, product, geographical, process, customer

Front 83

the rights inherent in a managerial position to tell people what to do and to expect them to do it

Back 83

authority

Front 84

the obligation or expectation to perform

Back 84

responsibility

Front 85

the concept that a person should have one boss and should report only to that person

Back 85

unity of command

Front 86

the degree to which decision-making is concentrated at upper levels in the organization.

Back 86

centralization

Front 87

when an organization relegates decision making to managers who are closes to the action.

Back 87

decentralization

Front 88

the degree to which jobs within the organization are standardized and the extent to which employee behavior is guided by rules and procedures

Back 88

formalization

Front 89

Highly formalized jobs offer little _____ over what is to be done. Low formalization means fewer _______ on how employees do their work.

Back 89

discretion, constraints

Front 90

What are the characteristics of an organic organization?
Cross-_______ teams, cross-_______, free flow of _______, _______ spans of control, centralization or decentralization?, _______ formalization

Back 90

functional, hierarchal, information, wide, decentralization, low

Front 91

Name the four contingency variables.
- Overall _____ of the organization, _____ of the organization, _____ use employed by the organization, degree of _____ uncertainty

Back 91

strategy, size, technology, environmental

Front 92

a six-step process that encompasses strategic planning, implementation, and evaluation

Back 92

strategic management process

Front 93

Step 1 in the strategic management process focuses on identifying the organization's current _______ (a statement of the purpose of an organization; the scope of its products and services) ,_______ (the foundation for further planning; measurable performance targets) , and _______.

Back 93

mission, goals, strategies

Front 94

Step 2 of the strategic management process is doing an _______ analysis, the environmental scanning of specific and general environments. Focuses on identifying _______ and _______.

Back 94

external, opportunities, threats

Front 95

Step 3 of the strategic management process is doing an _______ analysis, assessing organizational resources, capabilities, and activities. _______ create value for the customer and strengthen the competitive position of the firm. _______ can place the firm at a competitive disadvantage. Analyzing financial and physical assets is fairly easy, but assessing _______ assets (employee skills, culture, corporate reputation, etc.) isn't as simple.

Back 95

internal, strengths, weaknesses, intangible

Front 96

Step 4 in the strategic management process is formulating _______.
1. Develop and evaluate strategic _______.
2. Select appropriate strategies for all levels in the organization that provide _______ advantage over competitors.
3. Match organizational _______ to environmental opportunities.
4. Correct _______ and guard against _______.

Back 96

strategies, alternatives, relative, strengths, weaknesses, threats

Front 97

Step 5 in the strategic management process is _______ strategies.
_______- effectively fitting organizational structure and activities to the environment. The _______ dictates the chosen strategy; effective strategy implementation requires an organizational structure matched to its requirements.

Back 97

implementing, implementation, environment

Front 98

Step 6 in the strategic management process is _______ results. How effective have strategies been? What adjustments, if any, are necessary?

Back 98

Evaluating

Front 99

What are the components of a SWOT analysis and which environment does each component relate to?

Back 99

Strengths, Weaknesses - Internal Environment

Opportunities, Threats - External Environment

Front 100

Organizational Development techniques that work for U.S. organizations may be inappropriate in other countries and cultures is known as _______.

Back 100

Global Organizational Development

Front 101

Changing consumer needs and wants, new governmental laws, changing technology, economic changes and the stock market are _______ forces for change.

Back 101

external

Front 102

New organizational strategy, change in composition of workforce, new equipment and changing employee attitudes are _______ forces for change.

Back 102

internal

Front 103

Change causes _______!

Back 103

stress/fear

Front 104

_______ is the opposite of paralysis by analysis.

Back 104

Satisfice

Front 105

With programmed decisions you (do/do not) have to give a lot of thought.

Back 105

do not

Front 106

_______ management carry out procedures (involved in day-to-day activities).

Back 106

Middle

Front 107

_______ management deal with rules.

Back 107

Lower

Front 108

_______ management create policies.

Back 108

Upper

Front 109

All decision have _______ (ex: make the wrong decision).

Back 109

risk

Front 110

With decision-making, apply _______, think about whether it's a _______/_______ decision, and consider the _______.

Back 110

rationality, programmed/non-programmed, risks

Front 111

Formal planning is _______, _______ down, and communicated down throughout the _______.

Back 111

organized, written, organization

Front 112

Goals (aka objectives) are the desired outcomes or the _______ result. _______ are how you're going to get there.

Back 112

result, plans

Front 113

_______ goals are what's on paper, while _______ goals are what gets done.

Back 113

Stated, real

Front 114

A business plan around 1 year is also known as an _______ plan.

Back 114

operational

Front 115

Strategic (long-term) plans are now about _______ years.

Back 115

5

Front 116

Operational plans are (very/not very) specific.

Back 116

very

Front 117

Organization's don't plan beyond 3 years because of the degree of _______.

Back 117

environmental uncertainty

Front 118

With environmental uncertainty:
A stable environments involves _______ plans and a dynamic environment involves specific but _______ plans.

Back 118

specific, flexible

Front 119

With the commitment concept, you have to be able to stick to a plan, commit _______ to see it through.

Back 119

resources

Front 120

A criticism of planning is that plans cannot be developed for _______ environments. They recognize that things re going to change and want to change with the _______.

Back 120

dynamic, time

Front 121

Planning in dynamic environments involves developing plans that are specific but flexible, open to _______.

Back 121

change

Front 122

Persistance in planning eventually pays off. Planning takes _______.

Back 122

time

Front 123

What you're best at are known as your _______ competencies.

Back 123

core

Front 124

_______ of control involves how many locations a manager should be responsible of.

Back 124

Span

Front 125

The downside of work specialization is _______, which can result in human diseconomies such as boredom, fatigue, stress, poor quality, absenteeism, and higher turnover.

Back 125

overspecialization

Front 126

You see a lot of work specialization in _______.

Back 126

manufacturing

Front 127

Accounting, HR, and purchasing are examples of _______ departmentalization.

Back 127

functional

Front 128

You go to a different person to get a loan than to open a checking account is an example of _______ departmentalization.

Back 128

product

Front 129

Sales and customer service are examples of _______ departmentalization.

Back 129

geographic

Front 130

Organizational Structure: You need to understand where in your organization you need to put _______ in order to facilitate goals & objectives set forth.

Back 130

authority

Front 131

Is there a right number for the span of control?

Back 131

No, everyone can't manage the same number of employees.

Front 132

Hands on managers have a _______ span of control, while managers that trust people have a _______ span of control.

Back 132

smaller, wider

Front 133

A wide span of control results in _______ managers and is lots _______.

Back 133

less, cheaper

Front 134

If you don't have the right number for your span of control because you're trying to cut costs, you'll lose what you're saving through _______.

Back 134

inefficiencies

Front 135

With centralization, there are lots of _______, it's not as _______, and is ok in _______ environmental uncertainty.

Back 135

rules/regulations, flexible, low

Front 136

The degree to which decision making is concentrated at upper levels in the organization is known as _______. This is common in organizations in which top managers make all the decisions and the lower-level employees simply carry out those orders.

Back 136

centralization

Front 137

With decentralization, there is _______ environmental uncertainty and they respond _______ when opportunities present themselves,

Back 137

high, quickly

Front 138

A part of decentralization (when an organization relegates decision making to managers who are closest to the action) where an organization increases the decision-making authority (power) of employees. This is known as _______.

Back 138

employee empowerment

Front 139

More formalization usually means less _______.

Back 139

innovation

Front 140

Mechanic vs. Organic Organizations:
Which is more available to move with the times? Which is more successful in environmental uncertainty?

Back 140

organic, organic

Front 141

Cost minimization is not going to be _______, the cheapest product isn't usually innovative.

Back 141

innovative

Front 142

Innovation is not highly _______/_______.

Back 142

structured/formalized

Front 143

If we're setting up an innovative company, we're going to have _______ formalization, (centralized or decentralized?), _______ spans of control.

Back 143

low, decentralized, wide

Front 144

_______ organizational structures tend to be most effective in stable and simple environments. The flexibility of _______ organizational structures is better suited for dynamic and complex environments.

Back 144

mechanistic, organic

Front 145

The greater the environmental uncertainty, the more an organization should be (centralized or decentralized)?

Back 145

decentralized