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MBA101 Management Process and Organizational Behavior

UNIT-1

1. A strategy planned to expand one's business to another district or opening new branches, would be akin to a
________________.

a) Corporate strategy
b) Functional strategy
c) Business strategy
d) Organisational strategy

Answer: c

2. When the information flow takes place in all directions inside the organisation and it is considered to be the organisation
structure of the future, which structure are we referring to?

a) Matrix
b) Adhocracy
c) Hierarchical
d) Team

Answer: b

3. Every system in an organisation comprises of an input, __________ and an output.

a) Throughput
b) Supply
c) Demand
d) Dependency

Answer: A

4. Planning, organising, staffing, leading and controlling are all ________________.

a) Business formalities
b) Organisational systems
c) Organisational departments
d) Management processes

Answer: D

5. ____________ in an organisation subdivides roles, responsibilities and authority to carry out tasks.

a) Strategy
b) Process
c) Structure
d) Teams

Answer: C

6. An organisation creates opportunities and threats, but it is also affected by other external systems. This can be referred to
as ____________.

a) An ongoing system
b) An open system
c) An external information system
d) A closed system

Answer: B
1. Consider the following statements with respect to organisational processes: 1. A job is a cluster of similar activities and
the size of the cluster depends on the number of people executing it. 2. Process is a set of logical activities that lead to some
final or interim output. State True or False:

a) 1-True, 2- False
b) 1-False, 2- False
c) 1- False, 2- True
d) 1-True, 2- True

Answer: C

2. Consider the following statements with respect to organisational strategy: 1. The grand plan created by the corporate
headquarters is called 'Corporate Strategy' and it lays down the grand plan to be followed by each business under a
corporate headquarters. 2. Once you have a functional strategy, each independent department will need its own strategy.
This would be termed as 'Business Strategy'. State True or False:

a) 1- True, 2- False
b) 1-False, 2- False
c) False, 2- True
d) 1-True, 2- True

Answer: A

3. Consider the following statements with respect to organisational vision and mission: 1. When the organisation gets an
opportunity to expand or sell off, the decision dilemma can be sorted following the Core purpose of the organisation. 2. The
probability of attaining the BHAG is high, if the goal set is also high.

a) 1-False, 2-True
b) 1-True, 2-True
c) 1-False, 2- False
d) 1-True, 2- False

Answer: D

4. Consider the following statements: 1. Structuring inside an organisation not only increases productivity but also brings in
other jobs which require specialisation. 2. The goals in small organisations may not be well defined and they may continue
working without a goal. State True or False:

a) 1-True, 2-False
b) 1-True, 2-True
c) 1-False, 2- False
d) 1-False, 2- True

Answer: A

1. Consider the following statements with respect to concept of an organisation: 1. A business is an organisation that the
society has created to fulfil its needs. 2. When a competition takes place in business, society's needs are better fulfiled. 3.
Business organisations would exist, even if they do not fulfil the purpose of the society. 4. Business is a social system and
not just an economic entity. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 2, 3 & 4 are true
d) Statements 1, 2 & 4 are true

Answer: D
2. Consider the following statements: 1. The word 'Strategy' has been borrowed from the military. 2. Business strategy
applies only to large organisations. 3. Strategy is required to execute the vision of the organisation. 4. Corporate Strategy
lays down the grand plan to be followed by each business under corporate headquarters. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 1, 3 & 4 are true
d) Statements 2, 3 & 4 are true

Answer: C

3. Consider the following statements: 1. Strategy follows the structure. 2. A structure inside the organisation has
interdependent departments. 3. The basic pillars of a structure would have a head, few people and a rule for communication.
4. Communication can be vertical or lateral depending on the structure of the organisation. State True or False:

a) Statements 2, 3 & 4 are true


b) Statements 1, 2 & 3 are true
c) Statements 1, 3 & 4 are true
d) Statements 1, 2 & 4 are true

Answer: C

UNIT-2

1. Adherence to clearly defined superiors, sub-ordinates, norms, procedures, rules and regulations is an essential
management principle. Which principle are we talking about here?

a) Order
b) Authority
c) Discipline
d) Equity

Answer: C

2. Efficient management leads to better economical production and also increases the economic, social and general welfare
of the people.' This statement reiterates which important factor of management?

a) Essentials for prosperity of society


b) Establishes equilibrium
c) Establishes sound organisation
d) Reduces cost

Answer: A

3. Experiments have proved that good working relationship with the supervisor and colleagues and the idea of challenge
accounted for higher productivity. This is supported by which management theory?

a) Operational management theory


b) Behavioural science theory
c) Systems theory
d) Scientific management theory

Answer: B

4. With respect to modern management, _______________ extended his thoughts to the area of quality and how it can be
improved without any significant increase in costs.

a) William Ouchi
b) Peter Drucker
c) Thomas Peters
d) Edward Deming

Answer: D

5. Which amongst the following is not a principle of management, as enunciated by Henry Fayol?

a) Division of labour
b) Unity of command
c) Security
d) Fairness

Answer: C

6. Systems approach of management process implies connecting the management process to ______________ and view it
as a system that is existing in the overall system.

a) External environment
b) Functions
c) Hierarchy
d) Productivity

Answer: A

1. Consider the following statements based on scientific management theory: 1. It tries to identify one best way of doing a
job; however, emphasises on workers cooperation, management-labour relations and developing workers and motivating. 2.
This management thought identified six groups of activities in an organisation, i.e., technical, commercial, financial,
security, accounting and managerial. State True or False:

a) True, 2- True
b) False, 2- False
c) False, 2- True
d) 1-True, 2- False

Answer: D

2. Consider the following statements with respect to importance of management: 1. Optimum utilisation of resources
involves hiring people in advance, but it can be a result of haphazard planning. 2. Management helps in reducing costs as
proper planning could lead to maximum results at reduced costs. State True or False:

a) True, 2- False
b) 1- False, 2- True
c) 1-True, 2- True
d) 1- False, 2- False

Answer: B

3. Consider the following statements with respect to features of management principles: 1. Unity of command implies that
one person should report to only one boss. 2. Unity of direction implies that there may be many plans but only one way of
doing it. State True or False:

a) 1- True, 2-False
b) 1-False, 2- False
c) False, 2- True
d) 1- True, 2- True

Answer: A
4. Consider the following statements with respect to management functions: 1. The Japanese concept of 'Kaizen' means
continuous improvement. 2. Systems approach is very important because it helps us to do continuous improvement by
perceiving the system as fairly dependent on organisation input and processes. State True or False:

a) 1-True, 2- False
b) 1-False, 2- True
c) True, 2- True
d) False, 2- False

Answer: A

1. Consider the following statements with respect to management theory by Thomas Peters and Robert Waterman:

Out of the eight characteristics recognised for creating excellence in an organisation, these are a few: 1. High/ strong action
orientation. 2. High/ strong managerial autonomy and entrepreneurship. 3. High/ strong focus on the new business
researches. 4. High/ strong balance between centralisation and de-centralisation. State True or False:

a) Statements 1, 3 & 4 are true


b) Statements 1, 2 & 3 are true
c) Statements 2, 3 & 4 are true
d) Statements 1, 2 & 4 are true

Answer: D

2. Consider the following statements with respect to management thoughts:

1. The Scientific management theory means to scientifically select and then train, teach and develop the workman.

2. Operational management theory states that a good working relationship with superiors and sub-ordinates and challenges
in the job accounts for higher productivity.

3. The Behavioural Science theory is based on Henry Fayol's fourteen principles of management.

4. Modern management thoughts include Management by Objective, Improvement in quality of work and Higher
productivity concept etc. State True or False:

a) Statements 1 & 2 are true


b) Statements 2 & 3 are true
c) Statements 1 & 4 are true
d) Statements 3 & 4 are true

Answer: C

3. Consider the following statements with respect to management principles: 1. Management principles increase knowledge
on how to manage an organisation and help in taking decisions on critical issues as command and centralisation. 2.
Management principles warn of dangers and enables course correction. 3. Management principles give clear indication of
training needs in the organisation. 4. Management principles can be changed by the top authority as it would help change
the processes inside the organisation. State True or False:

a) Statements 1, 2 & 3 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 2 & 4 are true
d) Statements 1, 3 & 4 are true

Answer: A
UNIT 3

1. Which of the following combinations suggest that a business can take on the challenge but it must look at alternatives for
guaranteed success?

a) Strength & Opportunities


b) Weakness & Opportunities
c) Strength & Threats
d) Weakness & Threats

Answer: C

2. When a company plans for business based on the uniqueness of its product, it is termed as ____________________.

a) Focus strategy
b) Differentiation
c) Cost leadership
d) Experimentation

Answer: B

3. If the plan is reactive or pro-active, it is said to be based on _____________.

a) Approach
b) Importance
c) Level
d) Period

Answer: A

4. Under which step of planning does 'deciding on the environment in which the business plans are going to operate' fall?

a) Being aware of opportunities


b) Establishing objectives
c) Determining alternative course
d) Developing premises

Answer: D

5. Which of the following implies 'making plans that support the course of action by buying equipment, space, planning the
type of HR'?

a) Premising
b) Identifying alternatives
c) Formulating plan
d) Choosing an alternative

Answer: C

6. In decision making, after one has incubated the problem, ___________ happens in many cases.

a) Logical formulation
b) Insight
c) Incubation
d) Intuition

Answer: D
1. Consider the following statements with respect to planning and decision making: 1. Planning is the blueprint of business,
how it grows, how it implements various actions required for growth. 2. Decision making forms the first two steps of
management process; planning and staffing. State True or False:

a) 1- True, 2- False
b) 1-False, 2- True
c) False, 2- False
d) True, 2- True

Answer: A

2. Consider the following statements with respect to the importance of planning: 1. Planning helps in bridging the gap
between the past and the present business situation. 2. Planning helps the management to clarify, focus and research their
business developments and prospects. State True or False:

a) True, 2- True
b) True, 2- False
c) False, 2- False
d) 1- False, 2- True

Answer: D

3. Consider the following statements with respect to steps in planning: 1. Formulating plans implies making plans that
support the course of action by buying equipment, space, planning the type of HR etc. 2. Identifying the cost involved, how
the financial resources will be mobilised, what is capital expenditure, what is operational expenditure etc. are all a part of
Developing premises. State True or False:

a) True, 2- True
b) 1- True, 2- False
c) 1-False, 2- True
d) False, 2- False

Answer: B

4. Consider the following statements with respect to decision making and its model:

1. Taking a decision which is not entirely rational because of lack of information on issues, is called 'Bounded Rationality'.

2. The segments/ products and services not served by a business is termed as Red Ocean. State True or False:

a) 1- True, 2- False
b) 1True, 2- True
c) False, 2- False
d) False, 2- True

Answer: A

1. Consider the following statements with respect to evaluation of alternatives during decision making:

1. To evaluate the alternative course of action, organisations may use the quantitative or the qualitative method.

2. Alternative course can also be evaluated using marginal analysis.

3. Cost effective analysis is another method for alternative course evaluation. 4. Risk analysis is the most recent method to
evaluate alternative course. State True or False:

a) Statements 1, 2 & 4 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 2 & 3 are true
d) Statements 1, 3 & 4 are true

Answer: C

2. Consider the following statements: Planning is important because:

1. It provides a logical framework within which a business can develop and persue business.

2. It offers a benchmark against which the actual performance can be measured and reviewed.

3. It is a culmination of management functions control long and leading.

4. It helps in forecasting the future and makes the future visible to some extent. State True or False:

a) Statements 1, 2 & 4 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 2 & 3 are true
d) Statements 1, 3 & 4 are true

Answer: A

3. Consider the following statements with respect to decision making:

1. While taking a decision under uncertainty; experience, intuition and experimentation are used rather than research and
analysis.

2. Risk and uncertainty are not the same. Both can be estimated and hedged.

3. The top-management in any organisation usually takes non-programmed decisions.

4. Decisions taken under certainty cannot be altered. State True or False:

a) Statement 1, 2 & 4 are true


b) Statements 1, 2 & 3 are true
c) Statements 2, 3 & 4 are true
d) Statements 1, 3 & 4 are true

Answer: b

UNIT 4

1. Matrix organisation is a combination of ___________ and product patterns.

a) Information technology
b) Strategic units
c) Project
d) Functional

Answer: d

2. Staffing makes all the necessary arrangements for acquiring needed human force through proper and effective
________________.

a) Training
b) Recruitment & selection
c) Departmental requirements
d) Labour policies
Answer: B

3. The most fundamental authority that exists within an organisation is ____________.

a) Line authority
b) Functional authority
c) Staff authority
d) Manager / supervisor

Answer: A

4. Staff personnel helps to establish a mechanism for evaluating the effectiveness of organisational plans. Which role of staff
authority does this state?

a) Advisory role
b) Service role
c) Control role
d) Counselling role

Answer: C

5. ______________ is the process by which the requirement of manpower for an organisation is forecasted and a plan is
created for recruiting people.

a) Recruitment plan
b) Selection
c) Staffing
d) HR planning

Answer: D

6. The process of handing over specified duties and required authority and resources to a subordinate with a view to increase
organisation's efficiency is called _________________.

a) Delegating
b) Authority
c) Departmentation
d) Staffing

Answer: A

1. Consider the following statements with respect to the types of organisations: 1. In formal organisations, the relationships,
roles, norms and responsibilities are defined but the outcome of achieving or not achieving the goal is not defined. 2.
Informal organisation refers to a network of personal and social relationships which originate within the formal set up. State
True or False:

a) True, 2- True
b) False, 2- False
c) 1- False, 2- True
d) 1-True, 2- False

Answer: C

2. Consider the following statement with respect to organisation divisions: 1. The term department and division mean one
and the same. 2. A department indicates a high degree of homogeneity and high degree of difference from other divisions.
State True or False:

a) 1- True, 2- True
b) 1-False, 2- False
c) False, 2- True
d) True, 2- False

Answer: A

3. Consider the following statements with respect to departmentation:

1. Most organisations evolve and change their organising structure as they grow.

2. Many organisations use different types of departmentation even within a business unit and there are specific rules that
govern departmentation.

State True or False:

a) True, 2- True
b) False, 2- False
c) False, 2- True
d) 1- True, 2- False

Answer: D

4. Consider the following statements with respect to departmentation methods: 1. When the departmentation is done based
on geography, its biggest advantage is that economies of scale by central services may be compromised. 2. Another
advantage of departmentation by geography is that it facilitates better co-ordination and better communication. State True or
False:

a) True, 2- True
b) False, 2- False
c) 1- False, 2- True
d) 1- True, 2- False

Answer: C

1. Consider the following statements with respect to authority: 1. The line of communication between manager and
subordinate is as direct as possible. 2. The manager uses both formal and informal chain of commands to issue orders. 3.
Each organisation member has an assigned formal communication channel through which orders are received. 4. A
command is authenticated by the manager. State True or False:

a) Statements 2, 3 & 4 are true


b) Statements 1, 2 & 4 are true
c) Statements 1, 3 & 4 are true
d) Statements 1, 2 & 3 are true

Answer: C

2. Consider the following statements with respect to line and staff authority: 1. Staff authority may assume advisory, service
or control roles. 2. Staff authority is generally used in large organisations. 3. Conflict may arise if Staff authority tend to
assume line authority. 4. Organisations would perform effectively if line and staff authority work independently without
interfering in each other's line of work. State True or False:

a) Statements 2, 3 & 4 are true


b) Statements 1, 2 & 4 are true
c) Statements 1, 3 & 4 are true
d) Statements 1, 2 & 3 are true

Answer: D

3. Consider the following statements with respect to departmentation: 1. One of the advantages of enterprise function is that
it maintains power and prestige of major functions. 2. Enterprise function is a logical reflection of function 3. One of the
advantages of Product method is that it focuses on customer needs. 4. Another advantage of Product method is that it
promotes competition. State True or False:

a) Statements 2, 3 & 4 are true


b) Statements 1, 2 & 4 are true
c) Statements 1, 3 & 4 are true
d) Statements 1, 2 & 3 are true

Answer: B

UNIT 5

1. Which characteristic of leading is based on the belief that people get motivated by challenging jobs?

a) Pervasiveness
b) Continuity
c) Human factor
d) Creativity

Answer: C

2. When we say that 'through leading, the superiors are able to guide, inspire and instruct the subordinates to work', which
benefit of leading are we referring to?

a) Initiating action
b) Sustaining action
c) Integrating efforts
d) Providing stability

Answer: C

3. Which function of leading involves 'making the organisation act in unions with the mission statement'?

a) Setting direction
b) Goal setting
c) Creating alignment
d) Creating engagement

Answer: C

4. Whether you are the CEO or a supervisor at the shop floor, the ____________ role is inevitable.

a) Planning
b) Inspecting
c) Guiding
d) Mediating

Answer: A

5. Capturing the mind space of the stakeholders implies _________ .

a) Alignment
b) Direction setting
c) Engagement
d) Directing

Answer: C
6. Leading is the process of setting direction, _________ and creating engagement to deliver high productivity and to
facilitate change.

a) Guiding
b) Setting goals
c) Creating plans
d) Creating alignment

Answer: D

1. Consider the below mentioned statements: 1. Leading is carried out by all employess at all levels throughout the working
of an enterprise. 2. Leading is a continuous activity as it is continuous throughout the life of organisation. State
True or False:

a) 1-False, 2-False
b) 1-True, 2-True
c) 1-False, 2-True
d) 1-True, 2-False

Answer: C

2. Identify the following statements that belongs to the importance of leading? 1. It helps in achieving of goals 2. The top
management achieves engagement by creating high performance work arrangement, recruiting and nurturing exceptional
talent 3. Through goal setting helps in clarifying the role of every subordinate towards his work 4. The lower management
engages its employees by giving day to day guidance, listening to their opinions and explaining policies

a) 1&3
b) 1&2
c) 2&4
d) 2&3

Answer: A

3. Consider the below mentioned statements: 1. A leader takes the managing role at various levels. At the lower levels this
implies dividing the work to various workers according to their abilities. 2. In guiding role, a CEO would be
guiding the strategy and other actions while a supervisor guides his/her co-worker and subordinates on how to optimise their
productivity. State True or False:

a) 1-True, 2-False
b) 1-True, 2-True
c) 1-False, 2-False
d) 1-False, 2-True

Answer: D

4. Consider the below mentioned statements: 1. Creating alignment can be defined as fixing the purpose and the mission of
an organisation along with the values. 2. Creating engagement can be defined as making the organisation act in unions
with the mission statement. State True or False:

a) 1-False, 2-False
b) 1-True, 2-True
c) 1-False, 2-True
d) 1-True, 2-False

Answer: A
1. Consider the below mentioned statements: 1. In aligning the delivery, the top management level identifies the right
segment and matches the segment and the product proposition. 2. In managing role, every manager irrespective of his/her
level has to inspect so that he/she can control the variance and ensure that discipline is maintained in day to day activities
and productivity. 3. In aligning the HR process, the middle level, it is about being fair, transparent, equitable, empathetic and
about translating the top management policies into actions. 4. In creating engagement, the purpose of leading is to get
faultless, flexible, proactive and sustained actions from an employee.

a) 1, 2 & 3
b) 1, 2 & 4
c) 2, 3 & 4
d) 1, 3 & 4

Answer: D

2. Consider the below mentioned statements: 1. Management, as a function, has three important components - direction
setting, aligning and creating engagement. 2. In creativity, leading is carried out by all managers and executives at all levels
throughout the working of an enterprise. 3. In executive function, leading implies that the the followers execute the
functions, which the leader and the follower agree is important for achieving the organisational goals and through it the
individual goals. 4. Directing is a process or technique by which instruction can be issued and operations can be carried out
as originally planned. State True or False:

a) Statements 1, 2 & 4 are true


b) Only statement 3 is false
c) Statements 3 & 4 are true
d) Statements 1, 2, 3 & 4 are false

Answer: C

3. Match the following: Part A

1. Initiates actions

2. Aligning the product portfolio

3. Utilises resources efficiently

4. Copes with the changes Part B

A.The product and services of the organisation are in tune with the mission.

B. This helps in maximum possible utilisation of resources of men, machine, materials and money, which helps in
reducing costs and increasing profits.

C. Through this function subordinates understand their jobs and work according to the guidelines and agreed methods.

D. Adaptability with changing environment helps in sustaining planned growth and becoming a market leader.

a) 1D, 2C, 3B, 4A


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4D
d) 1C, 2A, 3B, 4D

Answer: D

UNIT 6

1. Which of the following is an example of intangible standards?

a) Customer complaints
b) Return on investment
c) Rejection rate
d) Managerial effectiveness

Answer: D

2. Which of the following is important for a new project and also in the case of replacement of machinery?

a) Capital standards
b) Cost standards
c) Revenue standards
d) Goals as standards

Answer: A

3. Which control measure is of the simplest form and captures the revenue and cost?

a) Control through ROI


b) Profit and loss control
c) Management audits and accounting
d) Clan control

Answer: B

4. ___________ is the process of comparing one's business processes and performance with industry bests and/or best
practices from other firms or industries.

a) JIT
b) Kaizen
c) Benchmarking
d) Six sigma

Answer: C

5. Which of the following is a term used in PERT and CPM methods of project management?

a) Critical path
b) Critical control point
c) Balanced scorecard
d) Overall performance control

Answer: A

6. Which of the following is an example of physical standards of critical control points?

a) Labour cost per unit


b) Labour hours
c) Material cost per unit
d) Achieving 10% market share

Answer: B

1. Consider the following statements with respect to effective controlling: 1. Only leading and controlling are integral parts
of an organisation as both are important for smooth running of an enterprise. 2. A business will be able to expand in product
portfolio and geography and delegate and outsource only because controls are possible. State True or False:

a) True, 2- True
b) False, 2- False
c) 1- False, 2- True
d) 1- True, 2- False

Answer: C

2. Consider the following statements with respect to pre-requisites of effective control implemented by a manager in an
organisation: 1. If a control has to be effective, it must control the exception and that too at the critical point. 2. The
financial controls used at the middle levels can be progressively multiplied in a lateral way. State True or False:

a) 1- True, 2- False
b) 1-False, 2- False
c) True, 2- True
d) 1- False, 2- True

Answer: A

3. Consider the following statements with respect to the steps involved in controlling: 1. Deviation can be defined as the
similarities between actual performance and the planned targets. Hence, matching of actual performance with the planned
targets is very important. 2. Once the causes and extent of deviations are known, the manager has to detect those errors and
take remedial measures. State True or False:

a) True, 2- False
b) False, 2- False
c) 1- False, 2- True
d) 1-True, 2- True

Answer: C

4. Consider the following statements with respect to the critical control points a manager should follow in an organisation:
1. If you (manager) want to introduce a new product or programme for improving the quality of the sales force, you can fix
the standards not only in terms of cost but also success. 2. Minor deviations have to be neglected. Major deviations like
replacement of machinery, appointment of workers, quality of raw material, rate of profits, etc. should be looked upon
randomly. State True or False:

a) 1- True, 2- False
b) 1-False, 2- False
c) True, 2- True
d) False, 2- True

Answer: A

1. Assume that you are a manager in XYZ company. What are the enterprise resource planning system in IT enabled
processes that you would have followed? 1. It is a modern system of integrating the manufacturing or service process
upward and downward. 2. This combines with mobile communication systems, this would be able to exercise real time
control on a remote basis, while on the move and perhaps even when we are doing something else. 3. Enterprise resource
planning system connects the logistics, sales, HR, finance and other functions in an integrated and real time manner. 4. We
may still need time to analyse the variance, the prompt report system enables us to reduce the reaction time and thus enables
better control. Which of them is True?

a) Statements 1,2 & 3 are true


b) Statements 1,3 & 4 are true
c) Statements 1,2 & 4 are true
d) Statements 2,3 & 4 are true

Answer: B

2. Match the following sets: Part A


1. Activity based costing

2. Target costing

3. Total Quality Management (TQM)

4. Kaizen Part B

A. It has 5 s framework. The 5 S framework means tidiness (seiri), orderliness (seiton), cleanliness (seiso), standardised
clean up (seiketsu) and discipline (shitsuke).

B. When we allocate the cost of production to a product, we do it by the number of items made by a machine rather than
the time taken for producing by the machine and its consequent cost.

C. One way to price a product is to make it, identify the cost incurred and then fix its actual price. But that price may not
be competitive.

D. The first realisation takes you to the next step i.e., the problems are created by process and not by people. So this
control makes you look at the processes rather than employees.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: C

3. Match the following sets: Part A

1. From feedback to feed-forward

2. Overall performance control

3. Control through Return on Investment (ROI)

4. Zero based budgeting Part B

A. It is an excellent window to see the accomplishment of non-financial areas and the causes can be evaluated.

B. This system is focused on the input, which can create a variation in the output and can be corrected in time. It is not
about post mortem but of proactive action.

C. It is usually done for support functions rather than production. In this method, every year, the activities and their costs
are worked from the base.

D. It measures both the absolute and the relative success of a company or unit by the ratio of earnings to investment on
capital.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: A

UNIT 7

1. In which of the sub-experiments, it was found that not only social cohesion and participatory decision making, but also
work place challenges increased productivity?
a) Illumination experiments
b) Mass interviewing programme
c) Relay assembly test room study
d) Bank wiring observation room experiment

Answer: C

2. Which approach implies that different situations require different behavioural practices for effectiveness?

a) Human resources approach


b) Contingency approach
c) Productivity approach
d) Systems approach

Answer: B

3. By ____________________, we mean a performance measure that includes both effectiveness (achievement of goals)
and efficiency (ratio on output versus input required to achieve it).

a) Turnover
b) Organisational citizenship
c) Absenteeism
d) Productivity

Answer: D

4. Which of the following is an individual level variable?

a) Attitude
b) Interpersonal behaviour
c) Roles and culture
d) Power and politics

Answer: A

5. Which of the following is true regarding organisational behaviour?

a) It is a remedy for the removal of conflict and frustration


b) It is the only system operating within a large social system
c) The ethical standards of those who use its techniques is very high
d) When in the hands of people who lack system understanding, it is in danger

Answer: D

6. Which of the following is true regarding globalisation?

a) It refers to the simple economic network of international competition, resource suppliers and product markets
b) It is affected by several forces such as rapid growth in information technology and electronic communication.
c) People and resources still cannot move freely and industries cannot be set up that easily
d) It discourages the need for regional economic alliances

Answer: B

1. Consider the following statements with respect to limitations of Organisational Behaviour: 1. Organisational effectiveness
is achieved by having more and more of a particular factor and unstructured level of it. 2. Organisational behaviour is not a
remedy for the removal of conflict and frustration but can only reduce them. State True or False:

a) True, 2- True
b) False, 2- False
c) 1- False, 2- True
d) 1-True, 2- False

Answer: C

2. Consider the following statements with respect to organisational behaviour: 1. Conceptual dimension of management
refers to the purpose of the organisation, purpose of work etc. 2. Out of the three dimensions of management, the most
difficult to manage is the technical dimension. State True or False:

a) 1- True, 2- False
b) 1-False, 2- False
c) True, 2- True
d) False, 2- True

Answer: A

3. Consider the following statements with respect to modern approach implemented in organisational behaviour: 1. People
are the central resource in any organisation. Hence it tries to create a work climate for improved abilities. 2. Productivity
approach is also known as 'supportive approach', where it tries to integrate individual objectives. State True or False:

a) Should have chosen 1- True, 2- False


b) 1-False, 2- False
c) True, 2- True
d) False, 2- True

Answer: A

4. Consider the following statements with respect to the Bank wiring observation room experiment: 1. This experiment
concluded that social cohesion and changing work environment increases productivity. 2. Apart from financial incentives,
social and psychological needs must be satisfied to increase productivity. State True or False:

a) True, 2- False
b) False, 2- False
c) 1- False, 2- True
d) 1-True, 2- True

Answer: C

1. Consider the following statements with respect to the relationship between organisational behaviour and management
processes: 1. People with introverted personality are motivated differently than extroverted ones. 2. When we have very
effective groups, we can have a very flat organisation and increase much of the supervisory cost. 3. Though people interpret
anything at their individual level, they are often modified by group pressures. 4. It impacts the planning process as
individuals can perceive both opportunity and threat in a situation. State True or False:

a) Statements 1,2 & 3 are true


b) Statements 1,3 & 4 are true
c) Statements 1,2 & 4 are true
d) Statements 2,3 & 4 are true

Answer: B

2. Match the following sets: Part A

1. Groups

2. Hawthorne experiments
3. Contingency approach

4. Job satisfaction Part B

A. It is a general attitude towards the difference between the amount of reward the workers receive and the amount they
believe they should receive.

B. They are capable of making their own plans and objectives in consonance with the organisational objectives, make
extremely good decisions.

C. It made it clear that social and psychological factors play a major role in employee job satisfaction and productivity.

D. It helps to use all the current knowledge about people in the organisation in the most appropriate manner.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: C

3. Match the following sets: Part A

1. Mass interviewing programme (1928-1930)

2. Human resources approach

3. Systems approach

4. Turnover Part B

A. Here the manager's primary role changes from control of employees to providing an active support for their growth
and performance.

B. People like to work in a group, have fun and talk about matters that are important to them and when these were
permitted, productivity would increase.

C. It mean voluntary and involuntary permanent withdrawal from an organisation (simply put exiting or quitting).

D. It means that the organisation 'people' employ 'technology' in performing the 'task' that they are responsible for, while
the 'structure' of the organisation serves as a basis for coordinating all their different activities.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: A

UNIT 8

1. ________________ establishes norms, attitudes and values that are passed on from generation to generation and create
consistencies over time.

a) Heredity
b) Environment
c) Family
d) Culture

Answer: D
2. According to Catell's 16 PF model, if a person is mature, which personality factor does he / she possess?

a) Rule-consciousness
b) Emotional stability
c) Reasoning
d) Perfectionism

Answer: B

3. _________________ indicates a tendency to experience unpleasant emotions easily, such as anger, anxiety, depression or
vulnerability.

a) Neuroticism
b) Agreeableness
c) Openness
d) Conscientiousness

Answer: A

4. _______________ is the term that some social and personality psychologists use to describe a person's tendency to
deceive and manipulate others for personal gain.

a) Self-monitoring
b) Self-esteem
c) Locus of control
d) Machiavellianism

Answer: D

5. Which of the following is correct regarding the perception aspect of organisational behaviour?

a) While creating vision for an organisation, our perception of the present situation should be is a deciding factor
b) While making strategy, out perception of the opportunities and threats make us see different situations in the same
manner
c) Perception gives the impetus to seek more information to make more rational decisions
d) Perception does not affect planning because the goals set depend on our perception of the world

Answer: C

6. _______________ is the tendency of people to attribute success to internal factors and failure to external factors.

a) Self-serving bias
b) Selective perception
c) Halo effect
d) Self-fulfilling prophecy

Answer: A

1. Consider the following statements: 1. The factors determining perception are heredity, environment, culture, family
situation and social factors. 2. MBTI is a testable personality trait model that classifies human beings based on four
categories of opposite pairs. State True or False:

a) True, 2- False
b) 1- False, 2- True
c) 1-True, 2- True
d) False, 2- False

Answer: B
2. Consider the following statements: 1. Locus of control is the belief that things are controlled by the person himself or by
some external agencies or forces. 2. Self-esteem refers to an individuals ability to adjust his/her behaviour to external,
situational factors. State True or False:

a) 1- True, 2- False
b) 1False, 2- True
c) True, 2- True
d) False, 2- False

Answer: A

3. Consider the following statements: 1. Fundamental attribution error is the tendency to underestimate the influence of
external factors and overestimate the internal ones. 2. Stereotyping is judging someone on the basis of our perception of the
group to which he or she belongs. State True or False:

a) True, 2- False
b) False, 2- True
c) 1- True, 2- True
d) 1-False, 2- False

Answer: C

4. Consider the following statements: 1. The 16 personality factor has four dimensions namely extroverted or introverted,
sensing or intuitive, thinking or feeling and perceiving or judging. 2. Those high on self-esteem are always excellent
negotiators with people. State True or False:

a) True, 2- True
b) 1- False, 2- False
c) 1-False, 2 - True
d) True, 2- False

Answer: b

1. Match the following: Part A

1. Machiavellianism

2. Perfectionism

3. Stereotyping

4. Heredity Part B

A. It is the approach which argues that the ultimate explanation of an individuals personality is the structure of the genes.

B.It is the term that some social and personality psychologists use to describe a person's tendency to deceive and
manipulate others for personal gain.

C. It is one of the 16 primary factors of cattells 16 Personality Factor Model and includes organised, compulsive, self-
disciplined, socially precise, exacting will power, control, self-sentimental.

D. It refers to judging someone on the basis of our perception of the group to which he or she belongs.

a) 1B, 2C, 3D, 4A


b) 1B, 2C, 3A, 4D
c) 1A, 2B, 3C, 4D
d) 1D, 2C, 3B, 4A

Answer: a
2. Consider the following statements: According to Holland's themes: 1. Artistic: Prefers physical activities that require skill,
strength and coordination. 2. Social: Prefers activities that involve helping and developing others. 3. Conventional: Prefers
rule-regulated, orderly and unambiguous activities. 4. Enterprising: Prefers verbal activities in which there are opportunities
to influence others and attain power. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 2,3 & 4 are true
d) Statements 1,2 & 4 are true

Answer: C

3. Consider the following statements: 1. Perception is the way we see and interpret things. 2. According to the manager,
personality denotes the measurable traits, both inner and outer which can predict the performance in an organisation. 3.
Catell reduced the traits to 16 primary factors, each of these has high and low ranges. 4. 16 PF, MBTI and Holland hexagon
are the most popular personality tests. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 2,3 & 4 are true
d) Statements 1,2 & 4 are true

Answer: B

UNIT 9

1. What is defined as a complex psycho-physiological experience in an individual's state of mind and created by interaction
of biochemical and environmental influences?

a) Behaviour
b) Attitude
c) Emotion
d) Values

Answer: C

2. What would you term the capacity for effectively managing one's motives and regulating one's behaviour?

a) Self-management
b) Self-awareness
c) Relationship-management
d) Social awareness

Answer: A

3. Which Emotional Intelligence instrument rates an individual on 20 competencies that Goleman's research suggests?

a) EQ-I
b) ECI
c) MEIS
d) EQ Map

Answer: B

4. Attitudes help people to regain their dignity and self-image. Which important function does 'Attitude' serve from the
viewpoint of Organisational Behaviour?
a) Adjustment function
b) Value-expressive function
c) Knowledge function
d) Ego-defensive function

Answer: D

5. What is referred to as 'frames of reference'?

a) Attitude
b) Values
c) Behaviour
d) Emotional Intelligence

Answer: A

6. ___________ comprises the three dimensions of Emotional Intelligence i.e. self-awareness, self-regulation and
motivation.

a) Self-confidence
b) Self-assessment
c) Personal competence
d) Social competence

Answer: C

1. Consider the following statements with respect to Attitudes in organisational behaviour: 1. An attitude is the
predisposition of the individual to evaluate some objects in a favourable or an unfavourable manner. 2. Ego-defensive
function is the mental process involved in gaining knowledge and comprehension, including thinking, knowing,
remembering, judging and problem solving. State True or False:

a) 1- True, 2- False
b) 1-True, 2- True
c) False, 2- False
d) False, 2- True

Answer: A

2. Consider the following statements with respect to types of attitude: 1. Job satisfaction is the measure of the degree to
which a person identifies psychologically with his/her job and considers his/her perceived performance level important to
self-worth. 2. Organisational commitment is related to lower rates of absenteeism, higher quality of work and increased
productivity. State True or False:

a) True, 2- False
b) True, 2- True
c) False, 2- False
d) 1- False, 2- True

Answer: D

3. Consider the following statements with respect to 'Emotions': 1. Positive emotions in the workplace help employees
obtain favourable outcomes including achievement, job enrichment and higher quality and productivity. 2. Emotions are
generalised feelings or states that are not typically identified with a particular stimulus and not sufficiently intense to
interrupt ongoing thought processes. State True or False:

a) True, 2- True
b) 1- True, 2- False
c) 1-False, 2- False
d) False, 2- True

Answer: B

4. Consider the following statements with respect to Emotional Intelligence: 1. The characteristics of leaders possessing
high level of EI include setting higher goals and focus on employer's feelings and achieving its objectives. 2. Leaders prefer
praise as the tool for training and inspiring the employees. State True or False:

a) True, 2- False
b) True, 2- True
c) False, 2- False
d) 1- False, 2- True

Answer: D

1. Assume that you are a HR manager in AS software company. As your job, It becomes necessary for you to know the
attitudes of members of an organisation as they have to perceive specific aspects like pay, hours of work, promotion, etc.
What are the important functions of the attitude you will consider from the viewpoint of organisational behaviour? 1.
Adjustment functions: This help employees adjust to their environment and form a basis for future behaviour. 2. Ego-
defensive function: This help people to retain their dignity and self-image. 3. Organisation Citizenship Behaviour: This
provide standards and frames of reference that allow people to understand and perceive the world around them. 4. Value-
expressive function: It provide individuals with a basis for expressing their values. Functions of Attitude:

a) Statements 1, 2 & 4
b) Statements 2, 3 & 4
c) Statements 1, 3 & 4
d) Statements 1, 2 & 3

Answer: A

2. Consider the following with respect to 'emotions': 1. Emotional labour is a form of emotional regulation wherein workers
are expected to display certain emotions as part of their job and to promote organisational goals. 2. Response-focused
emotion regulation modifies initial feelings by changing the situation or the cognition. 3. Emotion regulation refers to the
process of modifying one's own emotions and expressions. 4. Employees can display organisationally-desired emotions by
acting out the emotion by either surface acting or deep acting. State True or False:

a) Statements 1, 2 & 4 are true


b) Statements 2, 3 & 4 are true
c) Should have chosen Statements 1, 3 & 4 are true
d) Statements 1, 2 & 3 are true

Answer: C

3. Consider the following with respect to attitude in organisational behaviour: 1. Specificity is handled in organisations by
specifying the minimum acceptable standards in behaviour and by creating norms. 2. Attitudes that are easily remembered
are more likely to predict behaviour than attitudes that are not accessible in memory. 3. Similarities between attitudes and
behaviour are more likely to occur where there is social pressure to behave in a certain manner. 4. The attitude-behaviour
relationship is likely to be much stronger if an attitude refers to an individuals direct personal experience. State True or
False:

a) Should have chosen Statements 1, 2 & 4 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 3 & 4 are true
d) Statements 1, 2 & 3 are true

Answer: A
UNIT 10

1. _____________ is caused by the lack of any consequence following a behaviour.

a) Shaping
b) Extinction
c) Avoidance learning
d) Chaining

Answer: B

2. The ability to pull up information later and act on it is vital to observational learning'. This statement pertains to the
______________ .

a) Attention processes
b) Reinforcement processes
c) Retention processes
d) Motor reproduction processes

Answer: C

3. Which of the following is a benefit of motivation?

a) Creates an environment with low degree of coordination and reduced cost of controls
b) Improves efficiency by increasing productivity at an increased cost
c) Leads to innovation because of employees' desire to do a job better
d) Makes the employees capable of delivering better with close supervision

Answer: C

4. The 'drive to become what one is capable of becoming' pertains to which hierarchy of Maslow's hierarchy of the need's
theory?

a) Self-actualisation
b) Esteem
c) Social
d) Physiological

Answer: A

5. According to ______________ theory, employees make comparisons of their job inputs and outcomes relative to those of
others.

a) McClellands Theory of Needs


b) Goal-Setting Theory
c) Expectancy Theory
d) Equity Theory

Answer: D

6. _________________ is the practice of providing positive or negative feedback to an individual or groups of individuals
after completion of a particular project or achievement of a particular goal.

a) Classical conditioning
b) Operant conditioning
c) Reinforcement
d) Avoidance learning

Answer: C
1. Consider the following statements with respect to learning theories: 1. According to Russian scientist Pavlov's classical
conditioning, we can create a conditioned response by using only conditioned stimulus. 2. Classical conditioning procedures
are not maintained by consequences but by association of reflexes. State True or False:

a) True, 2- True
b) False, 2- False
c) True, 2- False
d) 1- False, 2- True

Answer: D

2. Consider the following statements with respect to Maslows hierarchy of needs theory: 1. According to this theory, needs
follow an order of preference (called inclination) and when a lower need is satisfied, he has to balance it with a higher level
need. 2. The focus of organisations today is to fulfil this need and social need and so combine it with reward that he can
fulfil most of his other needs. State True or False:

a) False, 2- False
b) True, 2- True
c) True, 2- False
d) 1- False, 2- True

Answer: D

3. Consider the following statements with respect to the contemporary theories of Motivation: 1.McClellands (1961) theory
focuses on three needs: achievement, power, and Opportunity. 2. In need for achievement (nAch), people prefer to work
independently so that successful task performance (or failure) can be related to their own efforts rather than the efforts of
someone else and seek feedback. State True or False:

a) False, 2- False
b) False, 2- True
c) True, 2- True
d) 1- True, 2- False

Answer: D

4. Consider the following statements with respect to reward systems implemented in organisation for motivating employees:
1. Extrinsic rewards addresses the acquire drive and fulfils several of Maslows hierarchy such as physiological need, safety
need and so on. 2. Intrinsic rewards operation is explained quite clearly by Vrooms theory. Those with high Nach also use
this as a measure of their success which motivates such people. State True or False:

a) False, 2- False
b) True, 2- True
c) Fasle, 2- True
d) 1- True, 2- False

Answer: D

1. Consider the following statements with respect to the importance of motivation to an individual: 1. It leads to innovation
because of the desire to do a job better and accomplish a challenge. 2. It leads to stability of work force, personal life and
the consequent high turnover, recruiting cost and stabilises predictability. 3. Motivation helps in self-development of
individual. 4. An individual would always gain by working with a dynamic team. State True or False:

a) Statements 1,2 & 3 are true


b) Statements 1,3 & 4 are true
c) Statements 1,2 & 4 are true
d) Statements 2,3 & 4 are true
Answer: B

2. Match the following sets: Part A

1. ERG

2. Expectancy Theory

3. Contingency approach

4. Nitin Nohria Model Part B

A. It is a general attitude towards the difference between the amount of reward the workers receive and the amount they
believe they should receive.

B. According to this Alderfer (1972) classifies needs as growth category which refers to personal development (akin to
esteem and self-actualisation).

C. In this theory, an individuals beliefs that he will be rewarded in accord with his or her own level of performance
(Instrumentality).

D. It helps to use all the current knowledge about people in the organisation in the most appropriate manner.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: C

3. Match the following sets: Part A

1. Operant conditioning

2. Avoidance learning

3. Motor reproduction processes

4. Non-contingent reinforcement Part B

A. It differs from classical conditioning in its modification of voluntary behaviour as against reflexive behaviour in
classical conditioning.

B. This refers to delivery of strengthened stimuli regardless of the organism's (aberrant) behaviour.

C. It is a type of learning in which a certain behaviour results in the cessation of an aversive stimulus.

D. In this, after a person has seen a new behaviour by observing the model, the watching must be converted to action or
doing.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: B

UNIT 11

1. A ________________ is made up of employees who work together to complete a particular task or project.
a) Command group
b) Committee
c) Interest group
d) Task group

Answer: D

2. In which stage of group formation, members try to find out their role and expectation from others or their contribution to
the goal including the obstacles?

a) Forming
b) Storming
c) Norming
d) Performing

Answer: B

3. Which phase of the group process ends when there is realisation that new insights have been gained and new solutions to
problems are possible?

a) Concluding Phase 1
b) Concluding Phase 2
c) Concluding Phase 3
d) Concluding Phase 4

Answer: C

4. ____________ is perhaps the greatest danger to effectiveness of groups.

a) Conformity
b) Groupthink
c) Social loafing
d) Status

Answer: B

5. Identify the correct statement regarding groupshift.

a) Once the members become familiar, they become bolder.


b) As the society values less risk, people want to be seen as less risk taking.
c) Group decision is attributable to a single person.
d) People have to shoulder accountability for a decision individually.

Answer: A

6. In which group decision making technique, members write down their ideas and pass them to the coordinator?

a) Nominal group technique


b) Electronic meeting
c) Interacting
d) Adjourning

Answer: a

1. Consider the following statements: 1. Informal groups are classified as command group, task group and committee group.
2. The goal of the informal group is not directly derived from the organisational goals. State True or False:

a) True, 2- False
b) True, 2- True
c) False, 2- False
d) 1- False, 2- True
Answer: d

2. Consider the following statements: 1. Some of the factors affecting group behaviour are norms, conformity, status,
groupthink, group shift, social loafing, production blocking. 2. Stages of group formation are friendship groups, reference
groups, membership groups, cliques. State True or False:

a) False, 2- True
b) True, 2- True
c) False, 2- False
d) 1- True, 2- False

Answer: D

3. Consider the following statements: 1. Group process enables excellent planning since the views of several stake holders
are taken into consideration. 2. Some of the group decision making techniques are interacting, brainstorming, nominal group
technique, electronic meetings. State True or False:

a) True, 2- False
b) False, 2- True
c) 1- True, 2- True
d) 1-False, 2- False

Answer: C

4. Consider the following statements: 1. Status is a socially defined position or rank given to groups or group members by
others. 2. Conformity can be defined as acceptable standards of behaviour that are
shared by the group members. State True or False:

a) True, 2- True
b) False, 2- False
c) False, 2 - True
d) 1- True, 2- False

Answer: d

1. Match the following: Part A

1. Adjourning

2. Performing

3. Forming

4. Norming Part B

A. The group comes into balance; accept a formal or informal structure, leadership, roles, duties, way of conduct etc.

B. Normally a group adjourns after it has accomplished its goal e.g., a project, product development etc.

C. The group now becomes stable, knows the details and start execution. Work proceeds as per the norms set towards the
goals set.

D. In this process, the members come together, get to knowing each other, identify the goals and in general getting over
the anxiety of it all.

a) 1B, 2C, 3D, 4A


b) 1B, 2C, 3A, 4D
c) 1A, 2B, 3C, 4D
d) 1D, 2C, 3B, 4A
Answer: A

2. Consider the following statements: According to Concept of group: 1. Every organisation is divided into formal
organisational structures such as marketing, finance, operations, project etc. 2. A group is based on the concept of synergy to
attain the goal. 3. Social facilitation theory explains how performance tends to improve or decline in the presence of others.
4. Synergy is dependent on social facilitation. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 2,3 & 4 are true
d) Statements 1,2 & 4 are true

Answer: C

3. Consider the following statements: 1. Phase I Task is orientation. It defines the task, specify its details, identify the
expectations, output and nature of the work etc. 2. Phase II Task is to organise and get the work done. 3. Phase III Task is
information flow. 4. Phase IV forms the basis for future group creation. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 2, 3 & 4 are true
d) Statements 1, 2 & 4 are true

Answer: B

UNIT 12

1. ____________ refers to the condition where group members agree on the group's goals.

a) Clear purpose
b) Consensus decision making
c) Listening
d) Open communication

Answer: A

2. A team can work only if there is someone who can take things to its logical end just like a typical manager. Which
function of the team does this point convey?

a) Controller inspector function


b) Concluder producer function
c) Upholder maintainer function
d) Reporter advisor function

Answer: B

3. If the team is _______, it would lead to a better understanding and interpreting the goals correctly.

a) Creative
b) Competitive
c) Collaborative
d) Cultural

Answer: C

4. Groups of people from the same work area or department, who meet on a regular basis to analyse customer needs, solve
problems, provide members with support, promote continuous improvement and share information is called
______________ team.
a) Intact teams
b) Cross-functional teams
c) Self-managing teams
d) Project teams

Answer: A

5. One of the disadvantages crticised most often, responsible for developing and maintaining teams is _________.

a) Social loafing
b) Negative work culture
c) Faster and better individuals
d) Process losses and Time loss

Answer: D

6. What do you understand by Informal relations within a team?

a) It reflects group members' ability and willingness to link up with others, external to the group.
b) It occurs when group members are not only tolerant of style and behavioural differences but also actively seek out
those differences necessary to perform and develop.
c) It occurs within a group environment that can be characterised by a comfortable and relaxed atmosphere. Under
these conditions, interpersonal interactions are sought out and maintained because members feel comfortable with
each other.
d) It facilitates strategy development and increases member self-efficacy.

Answer: c

1. Consider the following statements with respect to team: 1. Cross-functional team is a group of people who gradually
assume responsibility for self-direction in all aspects of work. 2. A team is any group of people organised to work together
interdependently and cooperatively to meet a purpose or a goal. State True or False:

a) True, 2- True
b) True, 2- False
c) False, 2- False
d) Should have chosen 1- False, 2- True

Answer: d

2. Consider the following statements with respect to issues in team building: 1.The team should get sufficient resources-
people, time and money as organisations have clear performance targets and expectations from the team. 2. One should
ensure that all the members believe in the mission and anticipate recognition for their contribution. The level of commitment
might vary within members but the team would still perform well. State True or False:

a) True, 2- True
b) False, 2- True
c) 1- True, 2- False
d) 1False, 2- False

Answer: C

3. Consider the following statements with respect to steps involved in team building: 1. Usually, after the intervention
requirement is identified, a consultant or a trainer is called who undertakes a one or two day team building activity. 2. Pre-
established decision criteria are used to select the appropriate intervention strategies to improve deficient team
characteristics. State True or False:

a) 1- True, 2- True
b) 1-False, 2- True
c) True, 2- False
d) False, 2- False
Answer: A

4. Consider the following statements with respect to Cross-functional teams: 1. Cross-functional teams includes employees
from all levels of an organisation. 2. The decision making in a cross-functional team is done by the person higher up the
hierarchy in the team. State True or False:

a) True, 2- True
b) False, 2- True
c) Should have chosen 1- True, 2- False
d) 1-False, 2- False

Answer: C

1. Consider the following statements with respect to reasons of team failure: 1. The consultant is often unfamiliar with the
particular characteristics of the business, organisation and its people. 2. Consultants attempt the team building as an offsite
training activity in artificial settings that fail to adequately reflect actual work-site conditions and therefore make transfer
difficult. 3. It fails to plan for, monitoring and assessing the transfer of team-building activities to the work environment. 4.
Managers should not be made a part of this team building effort as it is an external activity and also a one-time activity.
State True or False:

a) Statements 1, 2 & 3 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 2 & 4 are true
d) Statements 1, 3 & 4 are true

Answer: A

2. Consider the following statements with respect to characteristics of an effective team: 1. Learning environment means
when group members take advantage of communication opportunities, openly share their feelings, provide timely and
relevant feedback and share relevant information with other group members. 2. Civilised disagreement implies that groups
have developed appropriate internal mechanisms and interpersonal sensitivities necessary to manage the full range of
conflicts that occur within the groups. 3. Clear roles and assignments occur when group members have a clear
understanding of their roles and assignments and other group members also agree to the roles. 4. Leader/Management style
relates to the manager's ability to support, encourage, coach and empower his or her staff so as to facilitate employee self-
confidence, self management and interpersonal interactions. State True or False:

a) Statements 1, 2 & 3 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 2 & 4 are true
d) Statements 1, 3 & 4 are true

Answer: B

3. Match the following: Part A 1. Thruster organiser

2. Reporter advisor

3. Controller inspector function

4. Explorer promoter function Part B

A. They are entrepreneurial in nature and have excellent networking skills. They are out and about and bring back
contacts and resources. They are always looking for the next opportunity and therefore are not good in controlling and
having something going on in a typical business format.

B. This person in the team need to get work done to a schedule. They work as per established plans and are task oriented.
They are the people who can get things moving.
C. This person does the classic advisory role. He / She collects information and takes actions only with full information.
He is quick to detect conflicts and proactively prevents them.

D. They are quite reflective people who work with facts and figures. They are comfortable working with rules and
regulations and ensure that they enforce these.

a) 1D, 2C, 3B, 4A


b) 1B, 2C, 3D, 4A
c) 1C, 2B, 3A, 4D
d) 1A, 2B, 3C, 4D

Answer: B

UNIT 13

1. Which of the following is correct regarding the Bass and Avolio report on transformational leadership?

a) Time pressure inhibited leadership development plans for some 30% of the participants
b) Employees' learning was not affected by the culture of the organisation, their superiors, their enthusiasm to change
or their colleagues
c) Learning depended on whether the participant recognised the need to change and had a plan to do so
d) Self-awareness and self-discipline are not that important if the training has to be fruitful

Answer: C

2. Which theory postulates that leaders may emerge with the characteristics and skills to meet the needs of the group,
organisation or society at a given time.

a) Leader Member Exchange theory


b) Contingency and situational leadership theory
c) Trait theory
d) Theory of emergent leadership

Answer: D

3. Which leadership style pertains to a leader neither having a high regard for creating systems for getting the job done nor
for creating a work environment that is satisfying and motivating?

a) Impoverished leadership
b) Country club leadership
c) Produce or perish leadership
d) Middle-of-the-road leadership

Answer: A

4. According to Reddin's four effective styles, which style includes people who are highly task oriented and use a directive
style?

a) Executive
b) Benevolent autocrat
c) Developer
d) Bureaucrat

Answer: B

5. _________________ involves leading by managing exception (variations) and providing conditional rewards.

a) Transformational leadership
b) Transactional leadership
c) Pseudo-transformational leadership
d) Charismatic leadership

Answer: B

6. Which of the following is a leader characteristics?

a) Focusing on people
b) Focusing on systems and structures
c) Relying on control
d) Accepting the status quo

Answer: A

1. Consider the following statements: 1. Interpersonal orientation emphasises productivity through the acquisition of
technical skills. 2. Michigan studies gave us the framework of task and relationship as effective dimensions in an effective
manager. State True or False:

a) True, 2- False
b) 1- False, 2- True
c) 1True, 2- True
d) False, 2- False

Answer: B

2. Consider the following statements: 1. FCM postulates that the leaders effectiveness is based on situational contingency
which is a result of the interaction of two factors, i.e., leadership style and situational favorableness. 2. Situational
leadership brings in a high degree of individual need. State True or False:

a) 1- True, 2- False
b) 1False, 2- True
c) True, 2- True
d) False, 2- False

Answer: A

3. Consider the following statements: 1. The work of Bernard Bass and Bruce Avolio in 1980s and 1990s highlighted a full
range of leadership model. 2. Transformational leaders tend to use idealised influence, inspirational motivation, intellectual
stimulation and individualised consideration. State True or False:

a) True, 2- False
b) False, 2- True
c) 1- True, 2- True
d) 1False, 2- False

Answer: C

4. Consider the following statements: 1. Idealised influence is about building confidence and trust and being a role model
through setting examples. 2. Inspirational motivation involves catering for the individual needs in the organisation. State
True or False:

a) True, 2- True
b) False, 2- False
c) False, 2 - True
d) Should have chosen 1- True, 2- False

Answer: D
1. Match the following: Part A

1. Task Orientation

2. Interpersonal Orientation

3. Manager Characteristics

4. Leader Characteristics Part B

A. Focuses on people.

B. Most of the time, communicates in writing.

C. Most often communicates orally.

D. Focuses on systems and structures.

a) 1B, 2C, 3D, 4A


b) 1B, 2C, 3A, 4D
c) 1A, 2B, 3C, 4D
d) 1D, 2C, 3B, 4A

Answer: A

2. Consider the following statements with respect to New leadership: 1. Full range is not applicable across hierarchies
though it may seem more pronounced at the top level. 2. Full range is universally applicable across cultures though the
specifics may vary. 3. The concept has rejuvenated research on leadership. 4. Contingent reward continues to have an
importance in full range also. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 2,3 & 4 are true
d) Statements 1,2 & 4 are true

Answer: C

3. Consider the following statements with respect to Reddin's 3D theory: 1.This theory builds on the Hersey Blanchard
theory of situational leadership and Blake and Mouton theory of Managerial grid. 2. He identifies four effective styles that
are matched to the situation using the situational sensitivity of the leaders. 3. There are four styles in Reddin's 3D theory. 4.
The four styles are: Directive style, Consultative, Developer and Bureaucrat. State True or False:

a) All statements are true


b) Statements 1, 2 & 3 are true
c) Statements 2, 3 & 4 are true
d) Statements 1, 2 & 4 are true

Answer: B

UNIT 14

1. Which of the following refers to the ability of a leader to influence a follower because of the follower's loyalty, respect,
friendship, admiration, affection or a desire to gain approval?

a) Expert power
b) Charismatic power
c) Referent power
d) Reward power
Answer: C

2. ________________ occurs when emotions are incompatible with the goals.

a) Cognitive conflict
b) Person-role conflict
c) Intra-role conflict
d) Affective conflict

Answer: D

3. Which conflict-handling style is appropriate for the situation 'when goals are important but not worth the effort or
potential disruption of more assertive modes.'?

a) Compromising
b) Collaborating
c) Avoiding
d) Accommodating

Answer: A

4. Whose role involves high control over both the process and the outcome of conflict resolution?

a) Arbitrator
b) Consultant
c) Mediator
d) Inquisitor

Answer: D

5. Identify a way to manage stress from the following statements:

a) Just ignore the stressors and the emotional and physical reactions.
b) Recognise what can be changed.
c) Increase the intensity of the emotional reactions to stress.
d) Ignore physical exercise as they create more stress.

Answer: B

6. Which of the following should employees practice to make their workplace healthier?

a) Keep the talk outside and just the work inside.


b) Focus only on helping yourself.
c) Join gossips to understand what's going on.
d) Live at peace with others.

Answer: D

1. Consider the following statements with respect to power to influence people in an organisation: 1. In inspirational
appeals, the person seeks your participation in making a decision or planning how to implement a proposed policy, strategy,
or change. 2. In ingratiation, the person seeks to get you in a good mood or to think favourably of him or her before asking
you to do something. State True or False:

a) 1- False, 2- True
b) 1False, 2- False
c) True, 2- True
d) True, 2- False

Answer: A
2. Consider the following statements with respect to the steps involved in the negotiation process: 1. In making trade-offs
and creating joint gains stage, each party gathers information about the other side its history, likely behaviour, previous
interactions and previous agreements reached by the parties. 2. In evaluation of alternatives stage, the parties evaluate the
range of acceptable agreements and from that identifies the Best Alternative To a Negotiated Agreement (BATNA). State
True or False:

a) True, 2- True
b) False, 2- False
c) Should have chosen 1- False, 2- True
d) 1True, 2- False

Answer: C

3. Consider the following statements with respect to conflicts based on the organisational outcomes: 1. Low-to-moderate
levels of task conflict are functional and consistently demonstrate a positive effect on group performance because it
stimulates discussion, improving group performance. 2. Multi-functional conflict hinders the group performance. It is
unhealthy, destructive and causes disagreement between two or more people. State True or False:

a) 1- True, 2- False
b) 1-False, 2- False
c) True, 2- True
d) False, 2- True

Answer: A

4. Consider the following statements with respect to conflicts based on organisational source: 1. In bottlenecks in the flow of
work, a bottleneck at any point can affect the line supervisors from being effective and is quite naturally an occasion for
overlapping responsibility conflict. 2. In organisation-individual disagreements, the conflict between the organisation and
the individual centres around the individual's failure to fulfil the organisation's expectations regarding productivity or
compliance with rules. State True or False:

a) True, 2- False
b) False, 2- False
c) 1- False, 2- True
d) 1-True, 2- True

Answer: C

1. Consider the following statements with respect to mediator's role as a third party negotiator in an organisation: 1. Is a
neutral third party who facilitates a negotiated solution by using reasoning and persuasion, suggesting alternatives, etc. 2.
Allows each party to present facts or arguments and then decides on the outcome and may even enforce it. 3. The role
involves exerting high control over the process but not the outcome. 4. Interviews the parties separately and then tries to
help them reach a solution by bringing those together or ferrying messages back and forth during labour-management
negotiations. State True or False:

a) Statements 1,2 & 3 are true


b) Should have chosen Statements 1,3 & 4 are true
c) Statements 1,2 & 4 are true
d) Statements 2,3 & 4 are true

Answer: B

2. Match the following sets: Part A

1. Cognitive conflict

2. Inter-role conflict
3. Person-role conflict

4. Interpersonal conflict

Part B

A. This conflict occurs when two individuals disagree about issues, actions, or goals and the outcomes are important to
both,

B. It occurs when an intellectual discomfort gets created by trying to achieve incompatible goals.

C. It occurs when a person experiences conflict among the multiple roles in his or her life.

D. This conflict occurs when an individual in a particular role is expected to perform behaviours that clash with his or her
values.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: C

3. Match the following sets: Part A

1. Rational persuasion

2. Charismatic power

3. Coalition

4. Empowerment

Part B

A. It is the ability to control anothers behaviour by using logical arguments.

B. Employees choose to go the extra mile expending their discretionary energy for the sake of the organisation. They
choose to invest themselves in the organisation rather than be available to the highest bidder.

C. It is based on the leader's exceptional personal qualities or the demonstration of extraordinary insight and
accomplishment, which inspire loyalty and obedience from the followers.

D. The person seeks the aid of others to persuade you to do something or uses the support of others as an argument for
you to agree also.

a) 1B, 2A, 3D, 4C


b) 1A, 2C, 3D, 4B
c) 1B, 2C, 3D, 4A
d) 1C, 2A, 3B, 4D

Answer: B

UNIT 15

1. What do you understand by Status Quo?

a) People do not want any disturbance in their existing equilibrium of life and work pattern.
b) People resisting to any new idea.
c) A change may affect the ego of the people affected by the change and in order to defend their ego, people resist
change.
d) A change may be perceived as entering into unchartered area which is unknown. The change will bring results in the
future, which is always uncertain.

Answer: A

2. Ego defensiveness is a _____________ factor that affects organisational change.

a) Social
b) Psychological
c) Economic
d) Technological

Answer: B

3. The first thing that should be done to remove obstacles, while leading to change in organisational culture, is __________.

a) Talk of change and its benefits and vision often


b) Decide on the values that are central and how the values will be better served by change.
c) Identify change leaders
d) Look at sure-fire projects and implement them

Answer: C

4. What is the fourth step as per John Kotter on Leading Change?

a) Create urgency
b) Form a powerful coalition
c) Create a vision for change
d) Communicate the vision

Answer: D

5. Which hypothesis refers to the idea that a common perspective, shared beliefs and communal values among the
organisational participants will enhance internal coordination?

a) The consistency hypothesis


b) The mission hypothesis
c) The participation hypothesis
d) The adaptability hypothesis

Answer: A

6. A strong culture could also be a means of manipulation and co-optation" was suggested by whom?

a) March and Simon


b) Perrow
c) Schien
d) Collins and Poras

Answer: B

1. Consider the following statements with respect to strong and weak culture: 1. Strong work culture lays emphasis on the
degree of consistency of beliefs, values, assumptions and practice across the organisational members. 2. March and Simon
supported strong organisational culture as the behavioural norms and ways of doing things become so important that they
assist in achieving the original purpose of the organisation. State True or False:

a) True, 2- True
b) False, 2- False
c) 1- True, 2- False
d) 1-False, 2- True

Answer: C

2. Consider the following statements with respect to forces of change: 1. The internal forces of change in an organisation
can be, change in the top management, change in the size of the organisation, performance gaps, employee needs and
values, change in labour laws and economic changes. 2. Political and legal environment and social awareness can be
external forces of change. State True or False:

a) True, 2- True
b) False, 2- False
c) True, 2- False
d) 1- False, 2- True

Answer: D

3. Consider the following statements with respect to the basic model of change: 1. The three steps involved in the basic
model of change are freezing, change and unfreezing. 2. At the unfreezing stage, the forces, which maintain the status quo in
the organisational behaviour, are reduced by refuting the present attitude and behaviour to create a perceived need for
something new. State True or False:

a) 1- False, 2- True
b) 1False, 2- False
c) True, 2- False
d) True, 2- True

Answer: A

4. Consider the following statements with respect to steps in leading change: 1. The sixth step in leading change is 'Don't
declare victory too early'. 2. The last step in leading change is 'Anchor the changes in corporate culture'. State True or False:

a) True, 2- True
b) False, 2- False
c) True, 2- False
d) 1- False, 2- True

Answer: D

1. Match the following: Part A

1. Mission hypothesis

2. Unfreezing

3. Refreezing

4. Status quo Part B

A. This refers to the idea that a shared sense of purpose, direction and strategy can coordinate and galvanise the
organisational members toward collective goals.

B. At this stage, the changes are institutionalised and are made part of the culture so that people do not fall back to the old
ways.

C. This stage is facilitated by environmental pressure such as increasing competition, declining productivity and
performance, feeling the need to improve the style of work, etc.
D. The change initiated by the organisation disturbs such equilibrium and people have to obtain another equilibrium
which is a painful exercise. Therefore, everyone tries to avoid it.

a) 1A, 2B, 3C, 4D


b) 1A, 2C, 3B, 4D
c) 1B, 2C, 3D, 4A
d) 1D, 2C, 3B, 4A

Answer: B

2. Consider the following statements with respect to steps in leading change: 1. Forming a coalition would mean where the
need for a strong leadership who is courageous enough to enlist the support of several top managers. 2. It is important to get
a team of influential people to lead the change. 3. The power of a coalition may come from job title, status, expertise,
political importance, communication competence, etc. 4. The coalition should work as a group to create momentum and
change. State True or False:

a) Statements 1, 2 & 3 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 2 & 4 are true
d) Statements 1, 3 & 4 are true

Answer: A

3. Consider the following statements with respect to forces of change: 1. Changes are necessary because of deficiency in the
present organisational arrangement and process. 2. Organisations change their policies with changing needs and values of
the employees. 3. Change in the top management and consequent change in the ideas to run the organisation. 4. A change in
the location of the organisation will force a change in the organisation. State True or False:

a) Statements 1, 2 & 3 are true


b) Statements 2, 3 & 4 are true
c) Statements 1, 2 & 4 are true
d) Statements 1, 3 & 4 are true

Answer: A

PRACTICE QUESTIONS

1. i. Consider the following statements

I. A process is a logically sequenced set of actions.

II. Vision statements must be elaborated and complex. State True or False.

a. I- False, II- True

b. I- False, II- False

c. I- True, II- False

d. I- True, II- True

ii. Fill in the blanks

I. A ________ is a desired future state that the organization attempts to reach.


II. Planning helps management to clarify, ___________ and _________ their businesses or project's
development and prospects.

a. I- Vision , II- Mission & goals

b. I- Goal, II- Focus & research

c. I- Focus, II- Goal

d. I- Mission & Goal, II- Vision

iii. Fill in the blanks

I. Engagement can be defined as capturing the ________ of stakeholders.

II. When an employee buys into the vision and mission, time has come for ________ rather than
__________.

a) I-Mind Space, II- Leading, directing.

b) I-Leading, II- directing.

c) I-Controlling, II- delegation.

d) I- Planning, II- Organizing.

iv. True or False

I. If you know your OB, you can completely remove conflict and frustration.

II. Tunnel vision of OB can lead to satisfying employee experiences at the cost of broader system of
an organisation.

a) I-False, II- True.

b) I-True, II- True.

c) I-True, II- False.

d) I- False, II- False.

v. Components of attitude

Pick the correct one: I. Cognition. II. Humour. III.Afftect. IV.Behaviour.

a. I, II & III

b. I, III & IV

c. I, II, IV
d. II, III & IV.

vi. Fill in the blanks:

I. The term _______________ in definition of motivation is concerned with how hard a person tries.

II. Motivation improves ____________ by increasing productivity and decreasing cost.

a) I- Intensity, II- Efficiency.

b) I- Permanent, II- Extinction.

c) I- Leading, II- Reinforce.

d) I- Motivation, II- Experience.

vii. Consider the following statements:

I. Punctuated equilibrium model explains a way to bring about balance between time lost in
conflict and deadlines.

II. For a formal work group to be effective, it must be independent.

State True or False.

a. I- False, II- True

b. I- True, II- False

c. I- False, II- False

d. I- True, II- True

viii. Consider the following statements:

I. According to Deloitte Touche study, creating vision is one of the characteristics of a leader.

II. A 5, 5 leader is a good compromise between task and people orientation. State True or False.

a. I- True, II- False

b. I- False, II- True

c. I- True, II- True

d. I- False, II- False

ix. Fill in the blanks:

I. Power is of two types __________ and _________.


II. Getting that account will be tough, but I know you can do it. This is an example of using
__________as a tactic for influence.

a) I- Formal & Informal, II- Inspiration

b) I-Formal, II- Informal.

c) I- Inspiring, II- Aggressive & Tactical.

d) I-Passive & Active, II- Knowledge.

x. Fill in the blanks:

I. The system takes its own feedback and uses it and other resources to __________.

II. Any change or modification required to correct a problem would start by looking at the
__________."

a) (I)-Modify, (II)--Highest level

b) (I)--Change, (II)--Source

c) (I)--Self-rejuvenate, (II)--Lowest level

d) (I)--Improve efficiency, (II)--Highest level

SHORT ANWER QUESTIONS (5 Marks each)

2. List out the various important points of Management.

3. What do you understand by Span of Control?

4. What is controlling? Discuss some of its importance in relation to management.

5. Discuss the various determinants of Personality.

6. What are the various functions of attitudes? Discuss.

7. Write a brief note on Contingency Theories of Leadership

ESSAY-TYPE QUESTIONS (10 Marks each)

8. What steps shall be taken to overcome resistance to change?

9. Explain the leadership styles as per the Managerial Grid Theory.

10. List the group decision making techniques, and explain each of them.

11. Define OB and explain the framework for learning OB.


MOST IMPORTANT QUESTIONS FOR SHORT TYPE QUESTIONS AND DESCRIPTIVE:- (5 AND
10 MARKS)

1Q. what do you understand by strategy? Briefly explain functional strategy. (CHAPTER 1)

2Q. what are the eight characteristics that are found in an excellent organisation? Which of these
are applied in the case of Green Path hotels? (CHAPTER - 2)

3Q. Describe the steps in creative decision making. (CHAPTER 3)

4Q. Staffing function and HR management are inseparable. Justify. CHAPTER - 4

5Q. Differentiate between a formal organisation and an informal organisation. CHAP 4

6Q. Explain the controlling process. Why is controlling important in management functions
CHAPTER -6

7Q. Define OB and explain the framework for learning OB. CHAPTER -7

8Q. Define personality. What are the factors determining personality? CHAPTER -8

9Q. Define perception and highlight some of its importance. CHAPTER -8

10Q. what are the types of national culture? CHAPTER -9

11Q. what are the components of attitude? CHAPTER -9

12Q. Why is necessary for managers to know about motivation? CHAPTER -10

13Q. Define group. What are the types of formal groups? CHAPTER -11

14Q. What is a team? How are teams beneficial to organisations? CHAPTER -12

15Q. What are the key issues in team building? CHAPTER -12

16Q. Explain the leadership styles as per the Managerial Grid Theory. CHAPTER -13

17Q. What are the types of negotiations? CHAPTER 14

18Q. Explain the causes for stress. CHAPTER -14

19Q. Explain the concept of culture. What are the social factors that lead to resistance to change?
CHAPTER -15

20Q. Define the concept of leading. What are the characteristics of leading? Why is leading
important? What are the main functions of leading CHAPTER -5

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