Managing Organizational Change Ian Palmer 3rd Edition- Test Bank

 

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Sample Test

Chapter 03

Why Change? Contemporary Pressures and Drivers

 

Multiple Choice Questions

1.	According to the _____ perspective of organizational change, firm survival depends on satisfying shareholders. A. economic   B. organizational learning   C. political   D. control

 

2.	According to the _____ perspective of organizational change, organizations and human systems are complex and evolving and cannot be reduced to a single objective of maximizing shareholder value. A. economic   B. organizational learning   C. political   D. control

 

3.

Which of the following is an example of change as a response to geopolitics? A. Change as a response to the latest management fad   B. Change as a response to the preferences of Generation C   C. Change as a response to formally mandated legislation and regulation   D. Change as a response to global warming

 

4.	_____ occurs when organizations imitate the structures and practices of others, but not necessarily in the same sector, and usually those that they consider to be legitimate and successful. A. Mimetic isomorphism   B. Coercive isomorphism   C. Simulated change   D. Chronic adhesion

 

5.	When managers respond to the latest management fad in an attempt to be seen as professional and progressive, the organizational change is a response to _____. A. fashion   B. demography   C. geopolitics   D. hypercompetition

 

6.	ChevronTexaco and Coca-Cola were under court orders to improve their record on diversity management. This is an example of change as a response to _____. A. fashion   B. external mandate   C. geopolitics   D. hypercompetition

 

7.	When change is forced on organizations through formally mandated legislation and regulation, it is known as _____. A. mimetic isomorphism   B. dichotic isomorphism   C. coercive isomorphism   D. flexible isomorphism

 

8.	_____ pressures include government mandates such as new laws and policies. A. Formal coercive   B. Informal coercive   C. Hypercompetitive   D. Demographic

 

9.	_____ arise when interdependent organizations persuade each other to behave in particular ways, and to collude with each other in certain actions. A. Formal coercive pressures   B. Informal coercive pressures   C. Geopolitical pressures   D. Demographic pressures

 

10.	The changes that organizations made after the terrorist attacks on New York on September 11, 2001 and the outbreak of severe acute respiratory syndrome (SARS) were a response to _____. A. fashion   B. hypercompetition   C. demographics   D. geopolitics

 

11.

Which of the following does NOT exemplify geopolitical pressures that impact organizations? A. The terrorist attacks on New York on September 11, 2001   B. The outbreak of severe acute respiratory syndrome (SARS)   C. The political instability in Egypt since 2011   D. The latest management fad, such as big data and data analytics

 

12.	Which of the following is NOT one of the global environmental forces for change that was identified by John Kotter? A. New technologies   B. The expansion of international trade   C. Maturing markets   D. The end of the World War I

 

13.

During the 1990s, problems cited against Walt Disney Company’s board of directors included all of the following EXCEPT: A. excessive ownership of the company’s stock.   B. close ties between the chief executive and directors.   C. lack of management experience.   D. minimal oversight of the company.

 

14.	According to Boyd et al., a(n) _____ occurs when the environment is (objectively) stable, but managers perceive it as turbulent and take (unnecessary) actions. A. type 1 error   B. type 2 error   C. institutional error   D. transactional error

 

15.	According to Boyd et al., _____ occurs when managers threaten the survival of their firms by failing to act because they perceive the environment as stable when it is (objectively) turbulent. A. A type 1 error   B. A type 2 error   C. A type 3 error   D. A type 4 error

 

16.

Hypercompetition forces companies to: A. deliver goods and services more quickly and more flexibly.   B. take on activities similar to other organizations due to government mandate.   C. rectify the poor or negative images of an organization.   D. commit to organizational changes such as employee empowerment.

 

17.	The view that “the outside world” is a construction based on individual perceptions is referred to as the _____. A. “enacted environment” perspective   B. behaviorist perspective   C. objective reality perspective   D. rehabilitative perspective

 

18.	Which of the following is a force for change? A. Institutionalism   B. Transaction costs   C. Adaptability   D. Sustained advantage

 

19.	Which of the following is NOT a force for change? A. Competitive advantage   B. Cost containment   C. Impatient capital markets   D. Transaction costs

 

20.	Which of the following is a force for stability? A. Institutionalism   B. Control   C. Competitive advantage   D. Adaptability

 

21.	Which of the following is NOT a force for stability? A. Predictability and uncertainty reduction   B. Organizational social capital   C. Sustained advantage   D. Competitive advantage

 

22.	_____ strategies are designed to maintain organizational effectiveness by adapting to external changes. A. Buffering   B. Bridging   C. Shielding   D. Shaping

 

23.	_____ strategies are designed to maintain organizational efficiency by avoiding change, by shielding an organization from external pressures. A. Buffering   B. Bridging   C. Binding   D. Adapting

 

24.	According to Brian Toft and Simon Reynolds, which of the following statements is true of passive learning? A. It refers to implementing changes.   B. It refers to identifying lessons.   C. It is overlooked in many organizations.   D. It is viewed as difficult to achieve in many organizations.

 

25.	According to David Buchanan, post-incident change contexts _____. A. have defensive agendas   B. have progressive agendas   C. are exciting for change agents   D. are aimed at taking risks

 

26.	Internal organizational change drivers include all of the following EXCEPT: A. growth.   B. integration and collaboration.   C. corporate identity.   D. social identity.

 

27.

The U.S. Mint faced a dilemma about whether it should produce coins as a passive organization following the dictates of the Federal Reserve and Congress or act like a market-based organization. This is an example of a(n): A. growth crisis.   B. political crisis.   C. identity crisis.   D. management crisis.

 

28.

Which of the following is most likely an advantage that new chief executive officers (CEOs) have over their predecessors? A. They create energy for change within an organization.   B. They strictly adhere to past organizational practices.   C. They tackle customer problems with credibility because of their associations with previous problems.   D. They focus on an organization’s “dogs” rather than its unresolved “cash cows.”

 

29.

Which of the following is NOT an advantage that new chief executive officers (CEOs) have over their predecessors? A. They can create energy for change within an organization.   B. They can focus on an organization’s unresolved “sacred cows.”   C. They adhere to past organizational practices.   D. They handle customer-related problems with credibility as they have no association with previous customer relationship issues.

 

30.

The tussle between Philip Purcell and John Mack for the chief executive’s position at Morgan Stanley after the company was bought by Dean Witter and Discover Financial Services Inc. in 1997 is an example of _____. A. geopolitical pressures   B. economic pressures   C. power and political pressures   D. reputational pressures

 

31.	During the 1990s, which of the following was cited by BusinessWeek as having one of the worst corporate boards in the United States? A. Home Depot Inc.   B. Walt Disney Co.   C. Campbell Soup Co.   D. General Electric Co.

 

 

True / False Questions

32.	Organizational change can occur as a simple response to the latest management fad or fashion. True    False

 

33.	Formal coercive pressure occurs when organizations are forced to change to meet new requirements relating to, for example, pollution, taxation, or affirmative action. True    False

 

34.	Inside out perspective means assessing how climate change will affect how the organization operates. True    False

 

35.	John Kotter argued that four sets of forces were translating global trends and developments into organizational adaptations and changes: new technologies, the expansion of international trade, maturing markets, and the end of the “cold war.” True    False

 

36.	Reputational pressures always develop slowly over time. True    False

 

37.	After being accused of having one of the worst corporate boards in the United States during the 1990s, the Walt Disney Company remains reluctant to incorporate any form of change into the board structure or practices. True    False

 

38.	Generally, all managers respond to external pressures for change in the same way. True    False

 

39.	“Trapped by success” is another reason why organizations can fail to respond to pressures for change. True    False

 

40.	A Type 1 error occurs when managers threaten the survival of their firms by failing to act because they perceive their environment as stable when it is turbulent. True    False

 

41.	Adaptability, impatient capital markets, and competitive advantage are all forces for organizational change. True    False

 

42.	According to Amy Edmondson, for effective post-incident change, those who report failures—the “messengers”—should be penalized, rather than praised. True    False

 

Chapter 03 Why Change? Contemporary Pressures and Drivers Answer Key

Multiple Choice Questions

1.	According to the _____ perspective of organizational change, firm survival depends on satisfying shareholders. A. economic   B. organizational learning   C. political   D. control

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-01 Understand the environmental pressures that can trigger organizational change.

 

2.	According to the _____ perspective of organizational change, organizations and human systems are complex and evolving and cannot be reduced to a single objective of maximizing shareholder value. A. economic   B. organizational learning   C. political   D. control

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-01 Understand the environmental pressures that can trigger organizational change.

 

3.

Which of the following is an example of change as a response to geopolitics? A. Change as a response to the latest management fad   B. Change as a response to the preferences of Generation C   C. Change as a response to formally mandated legislation and regulation   D. Change as a response to global warming

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

4.	_____ occurs when organizations imitate the structures and practices of others, but not necessarily in the same sector, and usually those that they consider to be legitimate and successful. A. Mimetic isomorphism   B. Coercive isomorphism   C. Simulated change   D. Chronic adhesion

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

5.	When managers respond to the latest management fad in an attempt to be seen as professional and progressive, the organizational change is a response to _____. A. fashion   B. demography   C. geopolitics   D. hypercompetition

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

6.	ChevronTexaco and Coca-Cola were under court orders to improve their record on diversity management. This is an example of change as a response to _____. A. fashion   B. external mandate   C. geopolitics   D. hypercompetition

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

7.	When change is forced on organizations through formally mandated legislation and regulation, it is known as _____. A. mimetic isomorphism   B. dichotic isomorphism   C. coercive isomorphism   D. flexible isomorphism

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

8.	_____ pressures include government mandates such as new laws and policies. A. Formal coercive   B. Informal coercive   C. Hypercompetitive   D. Demographic

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

9.	_____ arise when interdependent organizations persuade each other to behave in particular ways, and to collude with each other in certain actions. A. Formal coercive pressures   B. Informal coercive pressures   C. Geopolitical pressures   D. Demographic pressures

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

10.	The changes that organizations made after the terrorist attacks on New York on September 11, 2001 and the outbreak of severe acute respiratory syndrome (SARS) were a response to _____. A. fashion   B. hypercompetition   C. demographics   D. geopolitics

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

11.

Which of the following does NOT exemplify geopolitical pressures that impact organizations? A. The terrorist attacks on New York on September 11, 2001   B. The outbreak of severe acute respiratory syndrome (SARS)   C. The political instability in Egypt since 2011   D. The latest management fad, such as big data and data analytics

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

12.	Which of the following is NOT one of the global environmental forces for change that was identified by John Kotter? A. New technologies   B. The expansion of international trade   C. Maturing markets   D. The end of the World War I

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

13.

During the 1990s, problems cited against Walt Disney Company’s board of directors included all of the following EXCEPT: A. excessive ownership of the company’s stock.   B. close ties between the chief executive and directors.   C. lack of management experience.   D. minimal oversight of the company.

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

14.	According to Boyd et al., a(n) _____ occurs when the environment is (objectively) stable, but managers perceive it as turbulent and take (unnecessary) actions. A. type 1 error   B. type 2 error   C. institutional error   D. transactional error

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

15.	According to Boyd et al., _____ occurs when managers threaten the survival of their firms by failing to act because they perceive the environment as stable when it is (objectively) turbulent. A. A type 1 error   B. A type 2 error   C. A type 3 error   D. A type 4 error

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

16.

Hypercompetition forces companies to: A. deliver goods and services more quickly and more flexibly.   B. take on activities similar to other organizations due to government mandate.   C. rectify the poor or negative images of an organization.   D. commit to organizational changes such as employee empowerment.

 

Accessibility: Keyboard Navigation Difficulty: 3 Hard Learning Objective: 03-05 Relate differing images of managing change to pressures for change.

 

17.	The view that “the outside world” is a construction based on individual perceptions is referred to as the _____. A. “enacted environment” perspective   B. behaviorist perspective   C. objective reality perspective   D. rehabilitative perspective

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-02 Explain why not all organizations are affected equally by external pressures.

 

18.	Which of the following is a force for change? A. Institutionalism   B. Transaction costs   C. Adaptability   D. Sustained advantage

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-02 Explain why not all organizations are affected equally by external pressures.

 

19.	Which of the following is NOT a force for change? A. Competitive advantage   B. Cost containment   C. Impatient capital markets   D. Transaction costs

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-02 Explain why not all organizations are affected equally by external pressures.

 

20.	Which of the following is a force for stability? A. Institutionalism   B. Control   C. Competitive advantage   D. Adaptability

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-02 Explain why not all organizations are affected equally by external pressures.

 

21.	Which of the following is NOT a force for stability? A. Predictability and uncertainty reduction   B. Organizational social capital   C. Sustained advantage   D. Competitive advantage

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-02 Explain why not all organizations are affected equally by external pressures.

 

22.	_____ strategies are designed to maintain organizational effectiveness by adapting to external changes. A. Buffering   B. Bridging   C. Shielding   D. Shaping

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-02 Explain why not all organizations are affected equally by external pressures.

 

23.	_____ strategies are designed to maintain organizational efficiency by avoiding change, by shielding an organization from external pressures. A. Buffering   B. Bridging   C. Binding   D. Adapting

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-02 Explain why not all organizations are affected equally by external pressures.

 

24.	According to Brian Toft and Simon Reynolds, which of the following statements is true of passive learning? A. It refers to implementing changes.   B. It refers to identifying lessons.   C. It is overlooked in many organizations.   D. It is viewed as difficult to achieve in many organizations.

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-03 Explain why organizations often fail to change following crises.

 

25.	According to David Buchanan, post-incident change contexts _____. A. have defensive agendas   B. have progressive agendas   C. are exciting for change agents   D. are aimed at taking risks

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-03 Explain why organizations often fail to change following crises.

 

26.	Internal organizational change drivers include all of the following EXCEPT: A. growth.   B. integration and collaboration.   C. corporate identity.   D. social identity.

 

Accessibility: Keyboard Navigation Difficulty: 1 Easy Learning Objective: 03-04 Identify internal organizational factors that trigger change.

 

27.

The U.S. Mint faced a dilemma about whether it should produce coins as a passive organization following the dictates of the Federal Reserve and Congress or act like a market-based organization. This is an example of a(n): A. growth crisis.   B. political crisis.   C. identity crisis.   D. management crisis.

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-04 Identify internal organizational factors that trigger change.

 

28.

Which of the following is most likely an advantage that new chief executive officers (CEOs) have over their predecessors? A. They create energy for change within an organization.   B. They strictly adhere to past organizational practices.   C. They tackle customer problems with credibility because of their associations with previous problems.   D. They focus on an organization’s “dogs” rather than its unresolved “cash cows.”

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-04 Identify internal organizational factors that trigger change.

 

29.

Which of the following is NOT an advantage that new chief executive officers (CEOs) have over their predecessors? A. They can create energy for change within an organization.   B. They can focus on an organization’s unresolved “sacred cows.”   C. They adhere to past organizational practices.   D. They handle customer-related problems with credibility as they have no association with previous customer relationship issues.

 

Accessibility: Keyboard Navigation Difficulty: 2 Medium Learning Objective: 03-04 Identify internal organizational factors that trigger change.

 

30.

The tussle between Philip Purcell and John Mack for the chief executive’s position at Morgan Stanley after the company was bought by Dean Witter and Discover Financial Services Inc. in 1997 is an example of _____. A. geopolitical pressures   B. economic pressures   C. power and political pressures   D. reputational pressures

 

Accessibility: Keyboard Navigation Difficulty: 3 Hard Learning Objective: 03-04 Identify internal organizational factors that trigger change.