Valid Principles-of-Management Test Answers & WGU Principles-of-Management Exam PDF
WGU Principles-of-Management Certification Real 2024 Mock Exam
NEW QUESTION # 22
A company believes that employees should be grouped according to the tasks they perform in the organization.
Which type of organizational design does this company use? Choose 1 answer
- A. Functional
- B. Directional
- C. Virtual
- D. Divisional
Answer: A
Explanation:
The type of organizational design used when a company groups employees according to the tasks they perform is a functional structure. In a functional structure, employees are organized based on their specific roles or functions within the organization, such as marketing, finance, production, or human resources. This allows for specialization and efficiency within each functional area.
NEW QUESTION # 23
Which conflict-resolution technique would be most effective in helping create a shared goal that cannot be attained without the cooperation of each of the conflicting parties? Choose 1 answer
- A. Communication
- B. Authoritative command
- C. Avoidance
- D. Superordinate goals
Answer: D
Explanation:
The most effective conflict-resolution technique for creating a shared goal that cannot be attained without the cooperation of each of the conflicting parties is the establishment of superordinate goals.
* Superordinate Goals(Answer B): Superordinate goals are overarching goals that are important to both parties in a conflict and require their cooperation to be achieved. These goals help conflicting parties to focus on common objectives and work together to achieve them, thereby reducing conflict and promoting collaboration.
* Communication(Answer A): While communication is crucial in conflict resolution, it alone may not create a shared goal that necessitates cooperation.
* Avoidance(Answer C): Avoidance is a passive approach that generally postpones the conflict rather than resolving it.
* Authoritative Command(Answer D): This involves using authority to resolve the conflict, which may not create cooperation or shared goals among the parties.
NEW QUESTION # 24
What is a Benefit of a boundaryless organization? Choose 1 answer
- A. Employees are free to apply for other positions.
- B. Employees are allowed to form a union.
- C. Employees have access to all buildings.
- D. Employees may express their opinions freely.
Answer: D
Explanation:
A benefit of a boundaryless organization is that employees may express their opinions freely. Boundaryless organizations eliminate traditional barriers between departments and hierarchical levels, fostering open communication, collaboration, and a free flow of information across the organization. This openness encourages employees to share their ideas and opinions without fear of repercussions, enhancing innovation and problem-solving.
NEW QUESTION # 25
What is a common element of an effective diversity training program? Choose 1 answer
- A. Building awareness
- B. Analyzing feedback
- C. Identifying informal networks
- D. Completing a skills inventory
Answer: A
Explanation:
An effective diversity training program commonly includes building awareness among employees. This involves educating employees about the importance of diversity, the benefits it brings to the workplace, and how to recognize and appreciate differences among colleagues. Awareness-building helps in creating a more inclusive and respectful work environment, which is essential for the success of diversity initiatives.
* Building Awareness(Answer A): Effective diversity training programs focus on increasing cultural competencies, valuing differences, and understanding how diversity enhances business decisions.
* Completing a Skills Inventory(Answer B),Analyzing Feedback(Answer C), andIdentifying Informal Networks(Answer D): While these activities may support diversity efforts, they are not core elements of diversity training programs as described in the textbook.
NEW QUESTION # 26
Why might a company choose to adopt an organic structure instead of a mechanistic structure? Choose 1 answer
- A. It is more stable than a bureaucracy.
- B. It is efficient and controlled in a stable environment.
- C. It is less rigid and emphasizes flexibility.
- D. It has formal lines of authority.
Answer: C
Explanation:
A company might choose to adopt an organic structure instead of a mechanistic structure because it is less rigid and emphasizes flexibility. Organic structures are characterized by low levels of formalization and standardization, decentralized decision-making, and a greater degree of employee empowerment. This flexibility allows the organization to adapt quickly to changes in the environment, fostering creativity and innovation.
NEW QUESTION # 27
The manager of a corporation provided training and other resources needed by employees to carry out change and perform their jobs under new rules being implemented. Which approach to change was the manager using in this situation? Choose 1 answer
- A. Participation and involvement
- B. Facilitation and support
- C. Negotiation and reward
- D. Education and communication
Answer: B
Explanation:
The approach to change that the manager was using is facilitation and support. This method involves providing the necessary training and resources to employees to help them adapt to new changes. It includes efforts to reduce resistance by making the transition as smooth as possible and ensuring that employees feel supported during the change process.
NEW QUESTION # 28
An employee of a company is working to start a separate division. This project is out of the employee's normal duties and has not been assigned by the supervisor. However, the supervisor encourages this informal project.
Which intrapreneurship activity describes this project?
Choose 1 answer
- A. Bootlegging
- B. Opportunity obsession
- C. Motivation to excel
- D. Skunkworks
Answer: A
Explanation:
The intrapreneurship activity described is bootlegging. Bootlegging refers to the informal and often unauthorized projects undertaken by employees who use company resources to work on new ideas outside their regular duties. These projects are not officially sanctioned but are tolerated or encouraged by supervisors to foster innovation within the company.
NEW QUESTION # 29
What is a feature ofa bureaucracy (vertical) organization? Choose 1 answer
- A. Formal position authority is generally the primary means of running the organization.
- B. Employees focus primarily on collaborating across departments and with frequent meetings.
- C. Decision making is decentralized so a considerable amount of information is communicated informally.
- D. Employees must answer to two or more bosses and prioritize demands across departments.
Answer: A
Explanation:
A feature of a bureaucracy (vertical) organization is that formal position authority is generally the primary means of running the organization. This means that decisions and directives come from a hierarchical chain of command, and roles, responsibilities, and processes are clearly defined and standardized.
* Formal Position Authority(Answer B): Bureaucratic organizations rely on a clear hierarchy where authority and decision-making processes are well-defined and based on formal positions.
* Decentralized Decision Making(Answer A),Collaboration Across Departments(Answer C), andAnswering to Multiple Bosses(Answer D): These features are more characteristic of organic or matrix organizations rather than traditional bureaucracies.
NEW QUESTION # 30
What is the process that Includes automation or support of customer processes, direct communication with customers, and analysis of customer data for a broad range of purposes? Choose 1 answer
- A. Customer connection society
- B. Customer liaison policy
- C. Customer relationship management
- D. Customer association organization
Answer: C
Explanation:
The process that includes automation or support of customer processes, direct communication with customers, and analysis of customer data for a broad range of purposes is Customer Relationship Management (CRM).
CRM systems help organizations manage interactions with current and potential customers, streamline processes, and improve profitability by using customer data analysis for various business strategies.
NEW QUESTION # 31
Which stage ofthe conflict process is considered a distinct stage because of its importance in intervening between perceptions or emotions and overt behavior? Choose 1 answer
- A. Opposition
- B. Intentions
- C. Outcomes
- D. Cognition
Answer: B
Explanation:
The stage of the conflict process considered distinct because of its importance in intervening between perceptions or emotions and overt behavior is intentions. Intentions reflect how an individual plans to behave in a conflict situation, mediating the transition from perception and feelings to actions. This stage is crucial as it involves decisions about how to approach the conflict, whether to compete, collaborate, avoid, accommodate, or compromise.
NEW QUESTION # 32
A team leader is having a difficult time implementing the company's new scheduling policy, which does not take into account seniority. The team is aware of the problem and has discussed options to deal with it, but no definitive solutions have been determined.
Which stage in the change process is the team experiencing?
Choose 1 answer
- A. Preparation
- B. Contemplation
- C. Action
- D. Precontemplation
Answer: B
Explanation:
The stage in the change process that the team is experiencing is contemplation. In this stage, the team is aware of the problem and is considering potential solutions but has not yet committed to a specific action. This stage involves discussions and evaluations of different options without definitive decisions being made.
NEW QUESTION # 33
A manager must choose between two qualified candidates for a promotion and must consider equal employment opportunity law. Which characteristics may the manager use to make the decision? Choose 1 answer
- A. Disability status
- B. Religion
- C. Fitness level
- D. Age
Answer: C
Explanation:
When considering equal employment opportunity law for a promotion decision, characteristics such as fitness level can be used, provided they are relevant to the job requirements. Characteristics like religion, disability status, and age are protected under EEO laws and cannot be used as criteria for employment decisions. Fitness level, however, can be considered if it is a bona fide occupational qualification necessary for the performance of the job.
NEW QUESTION # 34
Which customer relationship concept emphasizes the relationship between the company, the competition, and the customer? Choose 1 answer
- A. Strategic triangle
- B. Tactical strategy
- C. Strategic relationship
- D. Liaison concept
Answer: A
Explanation:
The customer relationship concept that emphasizes the relationship between the company, the competition, and the customer is the Strategic Triangle. This model highlights the importance of balancing these three elements to achieve competitive advantage. It involves understanding customer needs, monitoring competitor actions, and leveraging company strengths to deliver superior value to customers.
NEW QUESTION # 35
A computer manufacturer purchases the company that supplies computer chips for the company. Which type of corporate strategy is the company using? Choose 1 answer
- A. Strategic alliance
- B. Vertical integration
- C. Domain selection
- D. Conglomerate diversification
Answer: B
Explanation:
When a computer manufacturer purchases the company that supplies computer chips for the company, it is using a vertical integration strategy. Vertical integration involves expanding a company's operations into different stages of production within the same industry, such as acquiring suppliers or distributors, to increase control over the supply chain and reduce costs.
NEW QUESTION # 36
During an annual staff meeting the CEO of a corporation addressed the audience by stating that the long-term goal of the corporation is to "become the most competitive company in the world and to grow more rapidly than our competitors by providing the best customer service in the business." What did the CEO's statement reflect?
Choose 1 answer
- A. Strategic competencies
- B. Strategic analysis
- C. Strategic vision
- D. Strategic mission
Answer: C
Explanation:
The CEO's statement about the long-term goal of the corporation reflects the strategic vision. A strategic vision articulates what the organization aspires to achieve in the future, guiding its direction and efforts. It is a broad statement that defines the desired long-term outcomes and the future state the company aims to reach.
NEW QUESTION # 37
What is the first step of the control process? Choose 1 answer
- A. Taking corrective action
- B. Setting performance standards
- C. Comparing performance against standards
- D. Measuring performance
Answer: B
Explanation:
The first step of the control process is setting performance standards.
* Setting Performance Standards(Answer B): This step involves establishing the criteria against which performance will be measured. These standards serve as the benchmark for assessing actual performance and determining any necessary corrective actions.
* Measuring Performance(Answer C) andComparing Performance Against Standards(Answer D): These
* steps come after setting performance standards.
* Taking Corrective Action(Answer A): This is the final step in the control process.
NEW QUESTION # 38
A company believes that their manufacturing processes can be measured, analyzed, improved, and controlled.
They have the commitment of the entire organization, particularly top management, to initiate a quality control process. The company has decided to produce output of their product at or below a particular defect level with the goal of improving all of their processes to that level of quality or better.
Which quality process is the company using?
Choose 1 answer
- A. Reengineering
- B. Six Sigma
- C. ISO 9000
- D. Customer relationship management
Answer: B
Explanation:
The quality process the company is using is Six Sigma. Six Sigma is a disciplined, data-driven approach and methodology for eliminating defects in any process. It emphasizes the measurement, analysis, improvement, and control of manufacturing and business processes with the aim of producing output at or below a particular defect level. This approach requires the commitment of the entire organization, particularly top management, to ensure continuous process improvement and to maintain high standards of quality.
NEW QUESTION # 39
Entrepreneurs who want to start a new business need to understand the level of risk and both dimensions.
What do entrepreneurs use to assess levels of risk and innovation?
Choose 1 answer
involved in establishing a new venture and must then decide if they are comfortable with
- A. Innovation creation diagram
- B. Collaboration tracking matrix
- C. Entrepreneurial strategy matrix
- D. Entrepreneurial loss function diagram
Answer: C
Explanation:
Entrepreneurs who want to start a new business need to assess levels of risk and innovation involved in establishing a new venture. The tool commonly used to assess these dimensions is the Entrepreneurial Strategy Matrix.
* Entrepreneurial Strategy Matrix(Answer D): This matrix helps entrepreneurs evaluate their business ideas by plotting the level of innovation (low to high) against the level of risk (low to high). This analysis aids in understanding the feasibility and potential success of the new venture by identifying which strategies are likely to succeed given the level of risk and innovation involved.
* Collaboration Tracking Matrix(Answer A) andInnovation Creation Diagram(Answer B): These are not standard tools used to assess risk and innovation in entrepreneurship as described in the textbook.
* Entrepreneurial Loss Function Diagram(Answer C): This is not a recognized tool for assessing risk and innovation in entrepreneurial ventures as per the principles of management.
NEW QUESTION # 40
Which competitive force is reduced by the barriers provided by government policies, capital requirements, brand identification, and cost disadvantages? Choose 1 answer
- A. Threat of supplier power
- B. Threat of new entrants
- C. Threat of customer power
- D. Threat of substitutes
Answer: B
Explanation:
The competitive force reduced by barriers such as government policies, capital requirements, brand identification, and cost disadvantages is the threat of new entrants. These barriers make it difficult for new firms to enter an industry and compete with established companies, thereby protecting existing firms from new competitors.
NEW QUESTION # 41
Equal employment opportunity laws were designed to ensure that people are considered for employment without regard to certain traits. Which traits are protected by these laws? Choose 1 answer
- A. Criminal record, race, and gender
- B. Race, religion, and abilities
- C. Race, religion, and ethnic background
- D. National origin, race, and education
Answer: C
Explanation:
Equal employment opportunity laws are designed to ensure that people are considered for employment without regard to certain protected traits.
* Race, Religion, and Ethnic Background(Answer D): These traits are protected under equal employment opportunity laws, ensuring that individuals are not discriminated against based on these characteristics.
* Criminal Record(Answer A),Education(Answer B), andAbilities(Answer C): These are not protected traits under equal employment opportunity laws.
NEW QUESTION # 42
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