14. Explain in detail about the TOWS matrix and SWOT analysis.

15. What are the various stages in the process of rational decision making? Discuss
regarding a business decision.
16. How is decision taken in organizations? Explain the process of bounded rationality.
17. Discuss the various factors affecting the decision-making process.
18. Explain the various models of decision making.
19. Explain the various types of problem solving techniques.
20. Explain the importance of control in a business org. discuss the process of control with
suitable illustration.
21. Why is control a must in business management? What are the requirements of an
effective control system?
22. Why do employees inherently dislike and resist control? Suggest measures to
overcome resistance to control.
23. “Planning is meaningless without control and control is aimless without planning”.
Explain the statement with examples.
24. Discuss the major advantages and disadvantages of Management by Exception.
25. Briefly explain operational research techniques for taking managerial decisions
26. What is OR? Explain its role in decision making
27. Explain the concept of bounded rationality. What factors lead to bounded rationality?
28. “Planning is an intellectual process, the conscious determination of courses of action,
the basis of decisions on purposes, facts and estimates.” Discuss this statement and
identify the steps involved in planning process.
29. Discuss the nature of planning as a rational and as an open system approach. How can
planning be considered as pervasive?
30. ‘M.B.O is a comprehensive management system that integrates many key managerial
activities in a systematic manner and that is consciously directed to achieve the stated
objectives”. Explain this statement.
31. What do you mean by Management by Objectives (M.B.O)? What is the procedure of
M.B.O.?
32. What are the features of M.B.O. and explain how it is different from Management by
Exception?
33. A large organization consults you for introducing M.B.O. How will you explain the
problems and benefits of M.B.O? What steps would you advise for successful
implementation of M.B.O?

UNIT - III

(b) Multiple Choice Questions:

1 According to Herzberg, which of the following is a maintenance factor?

(a) Salary
(b) Work itself B
(c) Responsibility
(d) Recognition

2 The purpose of job enrichment is to

(a) Expand the number of tasks an individual can do
(b) Increase job efficiency

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 (c) Increase job effectiveness
(d) Increase job satisfaction of middle management

3 One who tries to bring discipline and order through formal structures, plans and
processes and tries to monitor performance against plans is a
(a) Leader
(b) Manager
(c) Co-coordinator
(d) Team-player

4 To preserve their perceptions, people tend to

(a) Resist change violently
(b) Ignore the change process
(c) Create bottlenecks for change agents
(d) Process information selectively

5 The process, which is aimed at seeking change in attitudes, stereotypes and perceptions,
that groups hold of each other is called
(a) Organizational development
(b) Inter-group development
(c) T-groups
(d) Team-building

6 ______need involves the desire to affiliate with and be accepted by others.

(a) Esteem
(b) Belongingness
(c) Safety
(d) Self-Actualization

7 Needs that impel creativity and innovation, along with the desire to have a productive
impact on our surroundings are___________ needs.
(a) Existence
(b) Relatedness
(c) Growth
(d) None of the Above

8 ERG theory was introduced by_____________.

(a) Clayton Alderfer
(b) McClelland
(c) Douglas McGregor
(d) J. Stacey Adams

9 __________ is counter to goal-setting theory.

(a) Expectancy Theory
(b) Reinforcement Theory
(c) ERG Theory
(d) None of given option

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10 Surroundings are needs.
(a) Existence
(b) Relatedness
(c) Growth
(d) None of the Above

11 Challenging goals usually lead to__________ performance from individuals and

groups.
(a) Higher
(b) Lower
(c) Excellent
(d) None of the Above

12 The theory that an individual tends to act in a certain way, with the expectation that the
act will be followed by a given outcome and according to the attractiveness of the
outcome is____________.
(a) Equity theory
(b) Three-needs theory
(c) Motivation-hygiene theory
(d) Expectancy theory

13 Which of the following statements would a Theory X manager consider to be true?

(a) The average person can learn to accept and even seek responsibility
(b) Employees will shirk responsibility
(c) Employees will exercise self-direction if they are committed to the objectives
(d) Employees view work as being as natural as play

14 Which management theorist is responsible for the motivation-hygiene theory?

(a) Abraham Maslow
(b) Dale Hawthorne
(c) Peter Drucker
(d) Frederick Herzberg

15 According to Abraham Maslow, the most elevated type of need is_____.

(a) Self-actualization
(b) Physiological
(c) Esteem
(d) Safety

16 Which of the following is not an internal force of change?

(a) technology
(b) strategy
(c) workforce
(d) employee attitudes

17 “They are the worst firm I have ever dealt with” is ………components of attitude.
(a) Affective component

25
 (b) Cognitive component
(c) Intentional component
(d) None of these

18 “I will never do business with them again” is ………components of attitude.

(a) Affective component
(b) Cognitive component
(c) Intentional component
(d) None of these

19 Which of the following is a method of measuring attitude?

(a) Opinion survey
(b) Interview
(c) Scaling techniques
(d) All the above

20 Basis of “Autocratic Model of OB is

(a) Economic resources
(b) Power
(c) Leadership
(d) Partnership

21 Basis of “Custodial Model of OB is

(a) Economic resources
(b) Power
(c) Leadership
(d) Partnership

22 “Person-Job fit” means

(a) Persons physical fitness match with the job
(b) Persons skills match with the job
(c) Persons contributions match with the incentives offered by the organization
(d) Persons education match with the job

23 …………is a person’s belief about his chances of successfully accomplishing a

specific task
(a) Self esteem
(b) Job satisfaction
(c) Self-efficacy
(d) Self-appraisal

24 Select the correct hierarchical order of qualities of an individual

(a) Ability-Skills- Aptitude- Competency
(b) Aptitude-Ability- Skills- Competency
(c) Skills- Aptitude- Competency- Ability
(d) Competency-Ability-Skills- Aptitude

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25 In what way does the Whistleblower Protection Act differ from the False Claims Act?
(a) Unlike the False Claims Act, the Whistleblower Protection Act extends its
protection to corporate employees.
(b) Unlike the Whistleblower Protection Act, the False Claims Act safeguards
corporate employees from retaliation.
(c) Unlike the False Claims Act, the Whistleblower Protection Act safeguards
federal employees from retaliation.
(d) Unlike the Whistleblower Protection Act, the False Claims Act guarantees the
anonymity of the whistle-blower.

26 Z theory is a Japanese approach of motivation developed by

(a) McClelland
(b) William Ouchi
(c) Alderfer
(d) Mc Gregor

27 According to ---------- the managers and workers should work together as partners and of
equal importance for the organizations success
(a) X theory
(b) Y theory
(c) Z theory
(d) 2 Factor theory

28. Which one of the following need is not coming under McClelland theory of motivation?
(a) Need for power
(b) Need for achievement
(c) Need for affiliation
(d) Need for actualization

29 S-O- B-A Model combines the S-R Model and

(a) Stimuli
(b) Response
(c) Human being
(d) Drive

30 Which of the following are terminal values?

(a) Accuracy and creativity
(b) Excellence and innovation
(c) Profitability and hard work
(d) Quality and capability

31 Which of the following is an instrumental value?

(a) Excellence
(b) Innovation
(c) Friendliness
(d) Profitability

32 'People dislike work and seek to avoid it at all costs' applies to which organisational
behaviour theory?
(a) Theory Y

27
 (b) Theory X
(c) Management by objectives
(d) Hawthorne effect
(e) All organisational behaviour theories about the individual in the workplace

33 Which of the following is not one of Drucker's seven tasks for managers?
(a) Manage by objectives
(b) Take strategic decisions
(c) Take operational decisions
(d) Build integrated teams

34 Who, in this list, has power in the organization?

(a) Only executives
(b) Only management level
(c) Only workers
(d) Executives, management, and workers

35 Why might empowering the workers be good for the organization?

(a) Because workers are better trained and therefore more productive.
(b) Empowered workers work best in a team.
(c) Managers have more control over telling people exactly what to do.
(d) Power resides at the level of the person actually doing the job, leading to
better decision making and can satisfy customer needs.

36 Why does empowerment not necessarily produce greater freedom for the worker?
(a) Workers can get promoted but do not necessarily get paid more.
(b) Employees have increased responsibilities of how to carry out tasks without
necessarily being able to set the wider goals of the organization.
(c) Empowered workers might set harder goals for themselves than management
would have done.
(d) Empowered workers might share their secrets with management leading to
greater control over them.

37 Work attitudes can be reflected in an organization through

(a) Job satisfaction
(b) Organizational commitment
(c) Both ‘A’ and ‘B’
(d) None of the above

38 Which of the following individuals can be considered a whistle-blower?

(a) Jack, who discovers evidence of malpractice in the organization he works for
and chooses to report it
(b) Alan, who discovers evidence of malpractice in the organization he works for
and chooses to ignore it
(c) Hailey, who discovers and ignores the fact that her company's main competitor
is doing something unethical

28
 (d) Danielle, who discovers and reports the fact that her company's main competitor
is doing something unethical

39 If there is evidence that the whistle-blower is motivated by _____, then the legitimacy of
the act of whistle-blowing must be questioned.
(a) his or her value system
(b) the opportunity for financial gain
(c) concern for the welfare of consumers
(d) his or her personal integrity

40 . Which one is not a Need Based Theory of motivation?

(a) Maslow’s Theory
(b) F. Herzberg’s theory
(c) Alderfer’s theory
(d) Vroom’s theory

41 Which one is not a Process Based Theory of motivation?

(a) Porter Lawler theory
(b) McClelland’s theory
(c) Stacy Adams theory
(d) Vroom’s theory

42 Who developed Equity theory of motivation?

(a) Porter Lawler
(b) McClelland
(c) Stacy Adams
(d) Vroom

43 Porter Lawler Model is an extension of

(a) Maslow’s theory
(b) McClelland’s theory
(c) Stacy Adams theory
(d) Vroom’s theory

44 Work attitudes can be reflected in an organization through

(a) Job satisfaction
(b) Organizational commitment
(c) Both ‘A’ and ‘B’
(d) None of the above

45 Which of the following individuals can be considered a whistle-blower?

(a) Jack, who discovers evidence of malpractice in the organization he works for
and chooses to report it
(b) Alan, who discovers evidence of malpractice in the organization he works for
and chooses to ignore it
(c) Hailey, who discovers and ignores the fact that her company's main competitor
is doing something unethical

29
 (d) Danielle, who discovers and reports the fact that her company's main competitor
is doing something unethical

46 If there is evidence that the whistle-blower is motivated by _____, then the legitimacy of
the act of whistle-blowing must be questioned.
(a) his or her value system
(b) the opportunity for financial gain
(c) concern for the welfare of consumers
(d) his or her personal integrity

47 In what way does the Whistleblower Protection Act differ from the False Claims Act?
(a) Unlike the False Claims Act, the Whistleblower Protection Act extends its
protection to corporate employees.
(b) Unlike the Whistleblower Protection Act, the False Claims Act safeguards
corporate employees from retaliation.
(c) Unlike the False Claims Act, the Whistleblower Protection Act safeguards
federal employees from retaliation.
(d) Unlike the Whistleblower Protection Act, the False Claims Act guarantees the
anonymity of the whistle-blower.

48 Which of the following statements best describes a behaviourist approach to learning?

(a) People learn by forming patterns and associations in their mind
(b) People learn from experience
(c) People learn through punishment and reward.
(d) People learn by sharing 'war stories'.

49 People learn and memorize things by contextualizing them in a pattern, or by making

associations. Which approach to learning does this best describe?
(a) Behaviourist view of learning
(b) Experiential learning
(c) Gestaltist view of learning
(d) Organizational learning

50 A person's _______________ comprises internal factors, such as ability, intelligence

and personality, and will determine how an individual respond to certain stimuli.
(a) Sensory limit
(b) Psychological threshold
(c) Perceptual set
(d) Cognitive set

51 Which of the following will influence an individual's perceptions?

(a) Previous experiences.
(b) Sensory limitations.
(c) Individual needs.
(d) All of the above.

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52 Which two of the following are terms used by Cook to describe the two kinds of
information used in an social encounter?
(a) Secondary information, Impressionistic information.
(b) Primary information, Secondary information
(c) Dynamic information, Static information.

53 Which three of the following does Kelley suggest are the basic criteria that we use
when making attributions?
(a) Consensus, Consistency, Distinctiveness.
(b) Internal factors, External factors, Conformity
(c) None of these.

54 The process by which the perception of a person is formulated based on a single

favourable or unfavourable trait or impression, where other relevant characteristics of
that person are dismissed is called:
(a) Stereotyping.
(b) Clouded judgment.
(c) The angel effect.
(d) The halo effect.

55 What are the three classes of factors that influence perception?

(a) factors in the setting, factors in the environment and factors in the motives
(b) factors in the perceiver, factors in the target and factors in the situation
(c) factors in the character, factors in knowledge and factors in experience
(d) factors in the personality, factors in the character and factors in the values
(e) factors in the senses, factors in the surroundings and factors in the lighting

56 What do we call the process by which individuals organize and interpret their sensory
impressions to give meaning to their environment?
(a) interpretation
(b) environmental analysis
(c) social verification
(d) outlook
(e) perception

57 Two people see the same thing at the same time yet interpret it differently. Where do
the factors that operate to shape their dissimilar perceptions reside?
(a) the perceivers
(b) the target
(c) the timing
(d) the context
(e) the situation

58 What is the relationship between what one perceives and objective reality?
(a) They are the same
(b) They can be substantially different.
(c) They should be the same.
(d) They are rarely if ever the same.
(e) They cannot be the same.

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59 Which of the following is not a factor in the individual perceiver?
(a) Attitude
(b) motive
(c) Expectation
(d) Location
(e) Perception

60. According to Tolman, reward is not required for learning but is required for
(a) extinction.
(b) performance.
(c) memory.
(d) direction.

Ans. 1(a), 2(a), 3(b), 4(a), 5(c), 6(b), 7(c), 8(a), 9(b), 10(c), 11(a), 12(d), 13(b), 14(d), 15(a),
16(a), 17(b), 18(c), 19(d), 20(b), 21(c), 22(b), 23(c), 24(b), 25(c), 26(b), 27(c), 28(d), 29(c),
30(b), 31(d), 32(b), 33(d), 34(b), 35(d), 36(b), 37(b), 38(c), 39(a), 40 (b), 41(c), 42(a), 43 (c),
44(d), 45(c), 46(a), 47(b), 48(c), 49(c), 50(c), 51(c), 52(d), 53(c), 54(a), 55(a), 56(b), 57(e),
58(a), 59(b), 60(b)

II Short Answer Type Questions:

(a) Explain the following:

1. People behave based on what they perceive rather than what is.
2. Operant conditioning theory is more applicable in organizations.
3. Rewards are both extrinsic and intrinsic.
4. Discuss the three key elements of motivation
5. Why has the study of OB become a standard component of business school programs?
6. Discuss two ways people learn about organizational behavior.
7. In reality, workplace learning is a mixture of both cognitive and behavioural
learning—discuss.
8 What relevance do operant and classical conditioning have to the
explanation of workplace behaviour?
9. Why do managers need to have knowledge of behaviour?
10. Explain the meaning and concept of behaviour.
11. Explain the importance of personality, needs and situation in
determination of behaviour.
12. Why do managers need to understand the concept of individual
differences?
13. Briefly explain the meaning of organizational behavior.
14. What is meant by dealing with changed employee expectations?
15. Describe the differences between classical and operant conditioning.
16. To what extent can there be a ‘technology of behavior’?
17. Why is learning theory important to modern economies?

(b) Differentiate between the following:

• Classical and social learning theories
• Job Involvement and Job Satisfaction

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