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Essentials of Organizational Behavior, 10e (Robbins/Judge) Chapter 16 Organizational Change 1) Phrases such as "more cultural diversity," "many new entrants with inadequate skills," and "increase in aging workers" are all examples of what force for change? A) technology B) world politics C) nature of the workforce D) social trends E) competition Answer: C Diff: 1 Page Ref: 246 Topic: Forces for Change AASCB Tag: Analytic Skills 2) An example of change in the nature of the workforce is an increase in ________. A) college attendance B) mergers and consolidations C) capital equipment D) divorce rates E) cultural diversity of employees Answer: E Diff: 2 Page Ref: 246 Topic: Forces for Change 3) Which of the following reflects the force for change of economic shock? A) the dot-com bust B) aging population C) growth of e-commerce D) war on terrorism E) competitors Answer: A Diff: 2 Page Ref: 246 Topic: Forces for Change AASCB Tag: Analytic Skills 1 Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall

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Essentials of Organizational Behavior, 10e (Robbins/Judge)Chapter 16 Organizational Change

1) Phrases such as "more cultural diversity," "many new entrants with inadequate skills," and "increase in aging workers" are all examples of what force for change?A) technologyB) world politicsC) nature of the workforceD) social trendsE) competitionAnswer: CDiff: 1 Page Ref: 246Topic: Forces for ChangeAASCB Tag: Analytic Skills

2) An example of change in the nature of the workforce is an increase in ________.A) college attendanceB) mergers and consolidationsC) capital equipmentD) divorce ratesE) cultural diversity of employeesAnswer: EDiff: 2 Page Ref: 246Topic: Forces for Change

3) Which of the following reflects the force for change of economic shock?A) the dot-com bustB) aging populationC) growth of e-commerceD) war on terrorismE) competitorsAnswer: ADiff: 2 Page Ref: 246Topic: Forces for ChangeAASCB Tag: Analytic Skills

4) Which of the following is not a primary force for change in organizations?A) technologyB) economic shocksC) decreasing skill setsD) social trendsE) competitionAnswer: CDiff: 1 Page Ref: 246Topic: Forces for Change

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5) An example of change in the nature of competition is ________.A) growth of e-commerceB) collapse of Enron CorporationC) Iraq-U.S. warD) increased interest in urban livingE) a decrease in interest ratesAnswer: ADiff: 1 Page Ref: 246Topic: Forces for Change

6) Organizations and their members resist change since they perceiveA) change as threatening.B) they are ok as they are.C) there is no need for change.D) change is not always good.E) all of the aboveAnswer: EDiff: 3 Page Ref: 246-247Topic: Resistance to Change

7) Which of the following is an individual source of resistance to change?A) perceptionB) habitC) personalityD) threat to established power relationshipsE) uncertaintyAnswer: BDiff: 2 Page Ref: Exh 16-1Topic: Resistance to Change

8) Which of the following is NOT an organizational source of resistance to change?A) structural inertia.B) limited focus of change.C) group inertia.D) fear of the unknown.E) threat to established power relationships,Answer: DDiff: 2 Page Ref: Exh 16-1Topic: Resistance to Change

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9) An example of a source of individual resistance to change is ________.A) inertiaB) structural inertiaC) a habitD) threat to expertiseE) a policy conflictAnswer: CDiff: 2 Page Ref: Exh 16-1Topic: Resistance to Change

10) Which of the following is not a source of individual resistance to change?A) habitB) securityC) programmed responsesD) structuralE) fear of the unknownAnswer: DDiff: 2 Page Ref: Exh 16-1Topic: Resistance to Change

11) Your supervisor has restructured the jobs within your division and some of your colleagues are not pleased. Don is concerned that he will not be able to perform the new tasks. Since he is paid by the amount he produces, his pay might be reduced. Tony is afraid that his job may be in jeopardy and he may be laid off. Doug dislikes uncertainty and has developed a negative attitude. The source of Don's resistance is ________.A) habitB) economicC) securityD) structural inertiaE) inertiaAnswer: BDiff: 2 Page Ref: Exh 16-1Topic: Resistance to ChangeAASCB Tag: Analytic Skills

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12) Your supervisor has restructured the jobs within your division and some of your colleagues are not pleased. Don is concerned that he will not be able to perform the new tasks. Since he is paid by the amount he produces, his pay might be reduced. Tony is afraid that his job may be in jeopardy and he may be laid off. Doug dislikes uncertainty and has developed a negative attitude. The source of Tony's resistance is ________.A) habitB) selective information processingC) securityD) group inertiaE) structural inertiaAnswer: CDiff: 2 Page Ref: Exh 16-1Topic: Resistance to ChangeAASCB Tag: Analytic Skills

13) Since the restructuring, your division has had trouble filling the open positions with appropriate candidates. The selection processes used by human resources have not yet adjusted to the new criteria required for the restructured job positions. This problem is an example of which kind of resistance to change?A) structural inertiaB) limited focus of changeC) group inertiaD) threat to expertiseE) threat to established power relationshipsAnswer: ADiff: 2 Page Ref: Exh 16-1Topic: Resistance to ChangeAASCB Tag: Analytic Skills

14) When GM announces a major layoff, the source of employees' resistance to change is ________.A) habitB) securityC) limited focusD) structuralE) economic factorsAnswer: BDiff: 2 Page Ref: Exh 16-1Topic: Resistance to ChangeAASCB Tag: Analytic Skills

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15) When management changes the technological process of the accounting department, but fails to modify the structure to match, the resistance to change is from ________.A) unfreezingB) the limited focus of changeC) habitD) securityE) double-loop learningAnswer: BDiff: 2 Page Ref: Exh 16-1Topic: Resistance to ChangeAASCB Tag: Analytic Skills

16) ________ acts as a counterbalance to sustain stability when an organization is confronted with change.A) Structural inertiaB) SecurityC) Limited focus of changeD) The threat to established power relationshipsE) Group inertia Answer: ADiff: 2 Page Ref: Exh 16-1Topic: Resistance to ChangeAASCB Tag: Analytic Skills

17) If an organization used an outside consultant as opposed to an insider as a change agent, the result would probably be more ________.A) conservative and risk averseB) reflective of the organization's history and cultureC) objectiveD) reflective of the fact that change agents must live with the consequences of their actionsE) prone to biasAnswer: CDiff: 2 Page Ref: 248Topic: Resistance to Change

18) Which factor in choosing an outside consultant as change agent is likely to result in more drastic changes?A) the costB) internal members' resistance to outsidersC) they don't have to live with the repercussions after the changeD) an objective perspectiveE) they don't know the organizationAnswer: CDiff: 2 Page Ref: 248Topic: Resistance to Change

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19) Change agents can be ________.A) managersB) non-managersC) current employeesD) outside consultantsE) all of the aboveAnswer: EDiff: 1 Page Ref: 247-248Topic: Resistance to Change

20) If an organization used an insider as a change agent, as opposed to an outside consultant, the change would ________.A) probably be more cautiousB) probably be more drasticC) probably be more objectiveD) most likely be second orderE) most likely be tertiaryAnswer: ADiff: 1 Page Ref: 248Topic: Resistance to Change

21) You have brought in the local extension agent to explain demographics and the changing nature of the area in which you live. The method for overcoming resistance that you have chosen is ________.A) education and communicationB) participationC) negotiationD) manipulation and cooptationE) coercionAnswer: ADiff: 1 Page Ref: 248Topic: Resistance to ChangeAASCB Tag: Analytic Skills

22) Which tactic for overcoming resistance to change basically assumes that the source of resistance lies in misinformation?A) training and developmentB) facilitation and supportC) education and communicationD) teaching and advancementE) cooptation and manipulationAnswer: CDiff: 2 Page Ref: 248Topic: Resistance to Change

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23) When change agents ensure that employees perceive the changes as being made consistently, they are using which tactic to reduce resistance to change?A) participationB) building emotional commitmentC) implementing changes fairlyD) coercion E) education and communication Answer: ADiff: 2 Page Ref: 248Topic: Resistance to Change

24) If management realizes that firing up employees can help them let go of the status quo to change, which method of overcoming resistance to change are they likely to use?A) education and communicationB) participationC) building emotional commitmentD) selecting people who accept changeE) coercionAnswer: CDiff: 2 Page Ref: 248Topic: Resistance to ChangeAASCB Tag: Analytic Skills

25) Your company, Johnson Farm Products, has decided to expand its traditional business serving farm owners in order to include home gardeners in its customer base. This change is not met with enthusiasm by the sales personnel who have had good long-term relationships with area farmers. You know that the change will be difficult if you cannot overcome the resistance of the sales personnel and obtain their cooperation. You have decided to involve the sales personnel in planning for the change and in stocking appropriate new items to sell to gardeners. The method for overcoming resistance that you have chosen is ________.A) education and communicationB) participationC) negotiationD) manipulation and cooptationE) coercionAnswer: BDiff: 1 Page Ref: 248Topic: Resistance to ChangeAASCB Tag: Reflective Thinking Skills

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26) Which of the following is NOT an approach to building emotional commitment to overcome resistance to change?A) employee counselingB) new skills trainingC) energizing employeesD) buying off resistorsE) providing a short paid leave of absenceAnswer: DDiff: 2 Page Ref: 248Topic: Resistance to Change

27) Which tactic to deal with resistance to change can backfire if the targets become aware that they were used?A) participationB) education and communicationC) coercionD) cooptationE) building emotional supportAnswer: DDiff: 2 Page Ref: 248Topic: Resistance to Change

28) Which one of the following is NOT suggested as a tactic for dealing with resistance to change?A) accelerationB) coercionC) participationD) cooptationE) building emotional commitmentAnswer: ADiff: 1 Page Ref: 248-249Topic: Resistance to Change

29) You have threatened to eliminate positions and even to close down the company if your employees don't change their attitudes. The method for overcoming resistance that you have chosen may be ________.A) education and communicationB) participationC) negotiationD) coercion E) building support and commitmentAnswer: DDiff: 1 Page Ref: 249Topic: Resistance to Change

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30) Research suggested that organizations could facilitate the change process by selecting people with high ________.A) uncertainty avoidanceB) risk toleranceC) external locus of controlD) authoritarianismE) dogmatismAnswer: BDiff: 2 Page Ref: 249Topic: Resistance to Change

31) Using direct threats to overcome resistance to change is called ________.A) participationB) building support and commitmentC) selecting people who accept changeD) coercion E) education and communication Answer: DDiff: 2 Page Ref: 249Topic: Resistance to Change

32) Which tactic to overcome resistance to change is last on the list and is likely to harden resistance to change or lead to hidden revolts?A) participationB) building support and commitmentC) selecting people who accept changeD) coercion E) education and communication Answer: DDiff: 2 Page Ref: 249Topic: Resistance to Change

33) The three-step description of the change process as unfreezing, movement, and refreezing was proposed by ________.A) Tom PetersB) Kurt LewinC) Edward DemingD) Peter SengeE) KotterAnswer: BDiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational Change

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34) According to Lewin, the stage of the change process where the new change is made permanent is ________.A) changingB) unfreezingC) movementD) refreezingE) equilibriumAnswer: DDiff: 1 Page Ref: 249Topic: Approaches to Managing Organizational Change

35) Mintz's Motor Repair is moving its location to a larger community 100 miles away. Mintz would like for its mechanics to move with the company but realizes that there will be some hardships associated with the move. Mintz has decided to use Lewin's three-step model in order to make the change. As a manager in charge of the relocation effort, you are offering a $2,000 moving bonus for any employee who will go to the new location. In Lewin's terms, you are attempting to ________.A) unfreeze the status quoB) move the process alongC) refreeze the changeD) bribe your employeesE) maintain the status quoAnswer: ADiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational ChangeAASCB Tag: Analytic Skills

36) Mintz's Motor Repair is moving its location to a larger community 100 miles away. Mintz would like for its mechanics to move with the company but realizes that there will be some hardships associated with the move. Mintz has decided to use Lewin's three-step model in order to make the change. You have implemented a permanent upward adjustment of salaries for employees who relocate. You are attempting to ________.A) unfreeze the status quoB) move the process alongC) refreeze the changeD) change a driving forceE) maintain the status quoAnswer: CDiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational ChangeAASCB Tag: Analytic Skills

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37) Mintz's Motor Repair is moving its location to a larger community 100 miles away. Mintz would like for its mechanics to move with the company but realizes that there will be some hardships associated with the move. Mintz has decided to use Lewin's three-step model in order to make the change. You counsel each employee individually, trying to lessen each person's fears about the move. This is an example of ________.A) removing driving forcesB) increasing driving forcesC) removing restraining forcesD) brainwashingE) increasing restraining forcesAnswer: CDiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational ChangeAASCB Tag: Reflective Thinking Skills

38) Research on organizational change has shown that to be effective,A) change has to happen quickly.B) organizations must build up to change.C) change must be phased in slowly across departments.D) strong cultures must be weakened.E) change must be incremental and not radical.Answer: ADiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational Change

39) ________ is one way to achieve unfreezing of an organization's status quo.A) Increasing the driving forces directing behavior away from the status quoB) Increasing the restraining forces which hinder movement from inequalityC) Increasing employee investment in the status quoD) Decreasing management's investment in changeE) Increasing the rigidity of the organizational hierarchyAnswer: ADiff: 3 Page Ref: 249Topic: Approaches to Managing Organizational Change

40) To move from equilibrium, Lewin suggests ________ forces.A) decreasing restrainingB) increasing compellingC) decreasing driving and restraining forcesD) increasing restrainingE) increasing restraining and drivingAnswer: ADiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational Change

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41) Kotter's eight-step plan for implementing change includes all of the following steps EXCEPTA) Discourage risk taking.B) Establish a sense of urgency for why change is needed.C) Form a coalition with enough power to lead the change.D) Communicate the vision throughout the organization.E) Reward short-term wins that move the organization toward the new vision.Answer: ADiff: 2 Page Ref: Exh 16-4Topic: Approaches to Managing Organizational Change

42) Kotter's eight-step plan for implementing changes builds onA) Lewin's three-step model.B) research on resistance to change.C) driving forces.D) appreciative inquiry.E) Senge's learning organization.Answer: ADiff: 2 Page Ref: 250Topic: Approaches to Managing Organizational Change

43) ________ encompasses a collection of planned-change interventions built on humanistic-democratic values that seek to improve organizational effectiveness and employee well-being.A) Organizational developmentB) Reflected changeC) Process consultationD) Action researchE) Economic validityAnswer: ADiff: 2 Page Ref: 251Topic: Managing Change Through Organizational Development

44) The change agent may be directive in OD; however, there is a strong emphasis on ________.A) overcoming resistanceB) collaborationC) coercionD) threatsE) getting the change done at any costAnswer: BDiff: 1 Page Ref: 251Topic: Managing Change Through Organizational Development

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45) Which of the following is not considered an underlying value in organizational development?A) participationB) confrontationC) implementationD) respect for peopleE) trustAnswer: CDiff: 1 Page Ref: 251Topic: Managing Change Through Organizational Development

46) Which of the following is not true of organizational development?A) Hierarchical authority is emphasized.B) There is an emphasis on collaboration.C) Effective organizations are characterized by trust.D) People should be treated with dignity and respect.E) Problems should be opening confronted.Answer: ADiff: 2 Page Ref: 251Topic: Managing Change Through Organizational Development

47) T-groups are also known as ________.A) action research teamsB) appreciative inquiry training groupsC) team-building groupsD) sensitivity training groupsE) focus groupsAnswer: DDiff: 1 Page Ref: 251Topic: Managing Change Through Organizational Development

48) ________ is a method of changing behavior through unstructured group interaction.A) Action researchB) Planned changeC) Process consultationD) Sensitivity trainingE) PsychoanalysisAnswer: DDiff: 2 Page Ref: 251Topic: Managing Change Through Organizational Development

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49) ________ is a tool for assessing attitudes held by organizational members, identifying discrepancies among member perceptions, and solving these differences.A) Sensitivity trainingB) Survey feedbackC) Process consultationD) Intergroup developmentE) MBWAAnswer: BDiff: 1 Page Ref: 251Topic: Managing Change Through Organizational Development

50) Sensitivity training A) uses data from a questionnaire to identify problems.B) tabulates the data findings to feed back to employees.C) uses a consultant to advise the organization on the process of change.D) seeks to identify the strengths of the organization.E) uses an open environment to allow participants to express their attitudes about change.Answer: EDiff: 1 Page Ref: 251Topic: Managing Change Through Organizational Development

51) Providing subjects with increased awareness of their own behavior and how others perceive them is the objective of ________.A) sensitivity trainingB) survey feedbackC) process consultationD) inter-group developmentE) MBWAAnswer: ADiff: 2 Page Ref: 251Topic: Managing Change Through Organizational Development

52) Which of the following is NOT an intervention that change agents might consider?A) sensitivity trainingB) survey feedbackC) process consultationD) appreciative inquiryE) process reengineeringAnswer: EDiff: 1 Page Ref: 251-252Topic: Managing Change Through Organizational Development

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53) The purpose of ________ is for an outside consultant to assist a client, usually a manager, to perceive, understand, and act upon process events with which the manager must deal.A) a change agentB) survey feedbackC) process consultationD) action researchE) social reinforcementAnswer: CDiff: 2 Page Ref: 252Topic: Managing Change Through Organizational Development

54) Which of the following statements is true of process consultation?A) PC is less task-directed than sensitivity training.B) Process consultants are there to assist the organization by providing the insight into what is going on.C) The process consultant solves the organization's problems.D) Process consultation generally uses managers within the organization.E) PC resolves resistance to change.Answer: BDiff: 3 Page Ref: 252Topic: Managing Change Through Organizational Development

55) Rather than looking for problems, ________ seeks to identify the unique qualities and special strengths of an organization, which can then be built upon to improve performance.A) appreciative inquiryB) action researchC) team buildingD) process consultationE) social reinforcementAnswer: ADiff: 2 Page Ref: 252Topic: Managing Change Through Organizational Development

56) Which of the following is not a step in the appreciative inquiry process?A) discoveryB) dreamingC) devisingD) destinyE) designAnswer: CDiff: 2 Page Ref: 252Topic: Managing Change Through Organizational Development

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57) In which step of the AI process are people asked to envision the organization in five years and to describe what is different?A) discoveryB) dreamingC) designD) destinyE) inquiryAnswer: BDiff: 1 Page Ref: 252Topic: Managing Change Through Organizational Development

58) ________ is defined as a new idea applied to initiating or improving a product, process, or service.A) CreativityB) InnovationC) Process reengineeringD) Continuous improvementE) Organizational changeAnswer: BDiff: 1 Page Ref: 253Topic: Creating a Culture for Change

59) Nabisco's extension of the Oreo product line to include double-stuffed Oreos is an example ofA) product reengineering.B) radical breakthrough innovation.C) small incremental improvement.D) process innovation.E) creativity.Answer: CDiff: 1 Page Ref: 253Topic: Creating a Culture for Change

60) All of the following organizational factors positively influence innovation EXCEPTA) lower vertical differentiation.B) higher centralization.C) lower formalization.D) longer managerial tenure.E) more slack resources.Answer: BDiff: 1 Page Ref: 253Topic: Creating a Culture for Change

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61) Innovative organizational cultures are likely to do all of the following EXCEPTA) encourage experimentation.B) reward successes.C) reward failures.D) punish failures.E) celebrate mistakes.Answer: DDiff: 1 Page Ref: 253Topic: Creating a Culture for Change

62) Once an idea is developed, those who actively promote it, build support, overcome resistance and ensure the innovation is implemented are known asA) idea champions.B) innovators.C) management.D) resistors.E) innovators.Answer: ADiff: 1 Page Ref: 254Topic: Creating a Culture for Change

63) "Good isn't good enough" is the theme oA) process reengineering.B) appreciative inquiry.C) continuous improvement.D) distinctive competencies.E) organizational development.Answer: CDiff: 1 Page Ref: 254Topic: Contemporary Issues in Organizational Change

64) When management starts with a clean sheet to rethink the way they create value, they are engaged inA) process reengineering.B) appreciative inquiry.C) continuous improvement.D) distinctive competencies.E) organizational development.Answer: ADiff: 2 Page Ref: 255Topic: Contemporary Issues in Organizational Change

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65) One of the main consequences of process reengineering has been thatA) jobs have remained the same for most employees.B) skill sets remain stable.C) it is over quickly.D) many middle managers and support staff have lost their jobs.E) it results in very little stress.Answer: DDiff: 2 Page Ref: 255Topic: Contemporary Issues in Organizational Change

66) Which of the following is NOT true of stress?A) Challenge stress is associated with challenges in the work environment.B) Hindrance stress keeps you from reaching your goals.C) Challenge stress has many more negative implications than hindrance stress.D) Office politics is an example of hindrance stress.E) Some stress can be good.Answer: CDiff: 3 Page Ref: 256Topic: Contemporary Issues in Organizational Change

67) The concern today isA) to eliminate all stress on the job.B) to avoid all stressors.C) to eliminate all challenge stress.D) to reduce dysfunctional stress.E) to understand dysfunctional stress.Answer: DDiff: 1 Page Ref: 256Topic: Contemporary Issues in Organizational Change

68) The pressure of heavy workloads and deadlines can be seen asA) positive challenges.B) challenge stress.C) enhancements to job satisfaction.D) an opportunity to perform at maximum levels.E) all of the aboveAnswer: EDiff: 2 Page Ref: 256Topic: Contemporary Issues in Organizational Change

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69) Which of the following is NOT an organizational factor that can lower stress levels?A) conducting employee selection to ensure a good abilities-job fitB) using an objective job preview to reduce ambiguityC) improving organizational communication to reduce ambiguityD) designing goal-setting programs to provide clear performance objectivesE) redesigning jobs to eliminate all challengesAnswer: EDiff: 3 Page Ref: 256Topic: Contemporary Issues in Organizational Change

70) An organization that has developed the continuous capacity to adapt and change is termed a(n) ________.A) maladapted mechanismB) continuous improvement processC) innovative organizationD) double-loop learning organization E) learning organizationAnswer: EDiff: 1 Page Ref: 257Topic: Contemporary Issues in Organizational Change

71) Which of the following approaches might a manager consider recommending in order to address the stress arising from an employee's personal life?A) employee counselingB) time management programsC) physical activity programsD) relaxation programsE) all of the aboveAnswer: EDiff: 1 Page Ref: 277Topic: Contemporary Issues in Organizational Change

72) ________ involves correcting errors using past routines and present policies.A) Process reengineeringB) Single-loop learningC) Double-loop learningD) Continuous improvement process E) Organizational reactionAnswer: BDiff: 2 Page Ref: 257Topic: Contemporary Issues in Organizational Change

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73) Errors that are corrected by modifying the organization's objectives, policies, and standard routines are part of ________.A) single-loop learningB) double-loop learningC) process reengineeringD) continuous improvementE) tertiary continuance Answer: BDiff: 2 Page Ref: 257Topic: Contemporary Issues in Organizational Change

74) The learning organization is viewed as a remedy for which of the following problems inherent in traditional organizations?A) poor communicationB) overemphasis on competitionC) poor moraleD) poor employee engagementE) groupthinkAnswer: BDiff: 2 Page Ref: 257Topic: Contemporary Issues in Organizational Change

75) Which fundamental problem that is inherent in traditional organizations misdirects management's attention to problem solving rather than creation?A) crisis managementB) groupthinkC) overemphasis on competitionD) reactivenessE) fragmentationAnswer: DDiff: 2 Page Ref: 258Topic: Contemporary Issues in Organizational Change

76) The learning organization draws on which of the following OB concepts?A) quality managementB) functional conflictC) transformational leadershipD) the boundaryless organizationE) all of the aboveAnswer: EDiff: 3 Page Ref: 258Topic: Contemporary Issues in Organizational Change

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77) Which of the following is a characteristic of a learning organization? Its employees ________.A) have standard ways of doing their jobsB) pursue projects of interestC) discard their old ways of thinking and routines for solving problemsD) think in terms of independent relationshipsE) have high levels of technical knowledgeAnswer: CDiff: 3 Page Ref: Exh 16-5Topic: Contemporary Issues in Organizational Change

78) Which of the following is not a characteristic of a learning organization?A) There is a shared vision upon which everyone agrees.B) People sublimate their personal self-interest to work together to achieve the organization's shared vision.C) Members think of organization activities as independent activities.D) People openly communicate with each other.E) There is consensus on the direction of the organization.Answer: CDiff: 2 Page Ref: Exh 16-5Topic: Contemporary Issues in Organizational Change

79) Which is not a strategy for managers to make their firms learning organizations?A) Establish a strategy that makes management's commitment to innovation explicit.B) Redesign the organization's structure by flattening the structure and increasing the use of cross-functional teams.C) Reshape the organization's culture by emphasizing risk taking and openness.D) Systematically collect data and then select a change action based on the analyzed data.E) Make it clear that people high in the organization are behind any proposed change.Answer: DDiff: 2 Page Ref: 258-259Topic: Contemporary Issues in Organizational Change

80) Which of the following actions can management take to reshape the organization's culture in creating a learning organization?A) Flatten the structure.B) Reduce the use of cross-functional teams.C) Be a role model in avoiding risk.D) Discourage functional conflict.E) Discourage disagreements.Answer: ADiff: 3 Page Ref: 258-259Topic: Contemporary Issues in Organizational Change

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81) People will be more likely to take a passive approach toward change in countriesA) where people see themselves as subjugated to their environment.B) such as the United States.C) such as Canada.D) where people believe they can dominate their environment.E) that are collectivist in nature.Answer: ADiff: 3 Page Ref: 259Topic: Global ImplicationsAASCB Tag: Multicultural and Diversity Understanding

82) All of the following statements are true of culture change EXCEPTA) societies that focus on the long term will show patience in waiting for positive outcomes from change efforts.B) in the Unites States, people will seek change programs that promise fast results.C) resistance to change will be influenced by a society's reliance on tradition..D) Italians are less resistant to change than Americans.E) greater use of participation is expected in change efforts in Denmark.Answer: DDiff: 3 Page Ref: 259Topic: Global ImplicationsAASCB Tag: Multicultural and Diversity Understanding

83) Which of the following is true of the way idea champions do things in the global arena?A) Successful idea champions will do things differently in different cultures.B) People in collectivist cultures prefer appeals for cross-functional support for innovation efforts.C) People in high-power distance cultures prefer champions to work closely with those in authority before work is conducted on them.D) Idea champions in cultures high in uncertainty avoidance will be more effective by closely following procedures.E) all of the aboveAnswer: EDiff: 3 Page Ref: 259Topic: Global ImplicationsAASCB Tag: Multicultural and Diversity Understanding

84) Today's managers are finding their world is characterized byA) change as occasional disturbances.B) stable environments.C) predictability.D) constant and chaotic change.E) more of the same.Answer: DDiff: 2 Page Ref: 260Topic: Implications for Managers

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85) When considering stress across cultures which of the following statements is NOT true?A) The job conditions that cause stress vary across cultures.B) Personality effects on stress are different across cultures.C) Stress is equally bad for employees of all cultures.D) Social support can help reduce the demand to work long hours for American employees.E) Social support can help reduce the demand to work long hours for Chinese employees.Answer: BDiff: 2 Page Ref: 260Topic: Implications for Managers

86) "Change or die" is the rallying cry among today's managers worldwide.Answer: TRUEDiff: 1 Page Ref: 245Topic: Forces for Change

87) The aging population, internet chat rooms, and the volatility of the stock market are all forces for change.Answer: TRUEDiff: 2 Page Ref: 246Topic: Forces for Change

88) Technology is a force that acts as a catalyst for change.Answer: TRUEDiff: 1 Page Ref: 246Topic: Forces for ChangeAASCB Tag: Use of Information Technology

89) We live in an age of continuity.Answer: FALSEDiff: 1 Page Ref: 246Topic: Forces for Change

90) The global economy means that competitors are as likely to come from across the ocean as from across town.Answer: TRUEDiff: 1 Page Ref: 246Topic: Forces for Change

91) Social trends remain static.Answer: FALSEDiff: 1 Page Ref: 246Topic: Forces for Change

92) Change is caused by individual, not organizational, factors.Answer: FALSEDiff: 1 Page Ref: 247Topic: Resistance to Change

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93) Research demonstrates that any effort to resist change is dysfunctional in terms of organizational effectiveness.Answer: FALSEDiff: 2 Page Ref: 247Topic: Resistance to Change

94) There is a negative correlation between people's need for security and their resistance to change.Answer: FALSEDiff: 3 Page Ref: Exh 16-1Topic: Resistance to Change

95) If an individual believes his/her income will be affected negatively by a particular change, resistance will be likely.Answer: TRUEDiff: 2 Page Ref: Exh 16-1Topic: Resistance to Change

96) "Change agent" is synonymous with "manager."Answer: FALSEDiff: 1 Page Ref: 247-248Topic: Resistance to Change

97) Outside consultants are more likely to initiate more drastic changes than internal change agents.Answer: TRUEDiff: 2 Page Ref: 248Topic: Resistance to Change

98) Internal change agents are more likely to be cautious in their recommended changes since they have to live with the consequences.Answer: TRUEDiff: 2 Page Ref: 248Topic: Resistance to Change

99) Internal change agents typically are individuals high in the organization who have little to lose from the change.Answer: FALSEDiff: 2 Page Ref: 248Topic: Resistance to Change

100) According to Lewin's model, refreezing is required if changes are to be permanent.Answer: TRUEDiff: 1 Page Ref: 249Topic: Approaches to Managing Organizational Change

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101) Retention forces are those that hinder movement from the existing equilibrium.Answer: FALSEDiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational Change

102) Inertia forces direct behavior away from the status quo.Answer: FALSEDiff: 1 Page Ref: 249Topic: Approaches to Managing Organizational Change

103) According to Lewin's change process, the status quo is considered an equilibrium state; moving from this equilibrium requires unfreezing.Answer: TRUEDiff: 3 Page Ref: 249Topic: Approaches to Managing Organizational Change

104) According to Lewin, to unfreeze from the equilibrium state the driving forces should be decreased.Answer: FALSEDiff: 2 Page Ref: 249Topic: Approaches to Managing Organizational Change

105) According to Lewin, once the change has been implemented, it will take hold immediately.Answer: FALSEDiff: 3 Page Ref: 249Topic: Approaches to Managing Organizational Change

106) Kotter's eight-step plan for implementing change builds on Lewin's three-step model to create a more detailed approach.Answer: TRUEDiff: 3 Page Ref: 250Topic: Approaches to Managing Organizational Change

107) There is a strong emphasis on collaboration in OD.Answer: TRUEDiff: 2 Page Ref: 251Topic: Approaches to Managing Organizational Change

108) Sensitivity training emphasizes changing behavior through structured group interaction.Answer: FALSEDiff: 2 Page Ref: 251Topic: Approaches to Managing Organizational Change

109) Sensitivity training is also known as T-groups.Answer: TRUEDiff: 1 Page Ref: 251Topic: Approaches to Managing Organizational Change

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110) The objectives of survey feedback are to provide subjects with increased awareness of their own behavior and how others see them.Answer: FALSEDiff: 1 Page Ref: 251Topic: Approaches to Managing Organizational Change

111) One tool for assessing attitudes held by organizational members, identifying discrepancies among member perceptions, and solving these differences is the survey feedback approach.Answer: TRUEDiff: 2 Page Ref: 251Topic: Approaches to Managing Organizational Change

112) Process consultants work with the clients in jointly diagnosing what processes need improvement.Answer: TRUEDiff: 2 Page Ref: 252Topic: Approaches to Managing Organizational Change

113) Process consultants are hired to solve the organization's problems.Answer: FALSEDiff: 2 Page Ref: 252Topic: Approaches to Managing Organizational Change

114) Appreciative inquiry refers to a change process based on systematic collection of data and then selection of a change action based on what the analyzed data indicates.Answer: FALSEDiff: 2 Page Ref: 252Topic: Approaches to Managing Organizational Change

115) Appreciative inquiry is a collection of change techniques or interventions built on humanistic-democratic values.Answer: FALSEDiff: 2 Page Ref: 252Topic: Approaches to Managing Organizational Change

116) Appreciative inquiry is problem-focused.Answer: FALSEDiff: 2 Page Ref: 252Topic: Approaches to Managing Organizational Change

117) Rather than looking for problems to fix, appreciative inquiry seeks to identify the unique qualities and special strengths of an organization.Answer: TRUEDiff: 2 Page Ref: 252Topic: Approaches to Managing Organizational Change

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118) In the discovery step of the AI process, the organization finds out what people think the organization's strengths are..Answer: TRUEDiff: 2 Page Ref: 252Topic: Approaches to Managing Organizational Change

119) Organic organizational structures positively influence innovation.Answer: TRUEDiff: 2 Page Ref: 253Topic: Creating a Culture for Change

120) The search for continuous improvement recognizes that good isn't good enougheven for excellent performance.Answer: TRUEDiff: 2 Page Ref: 254Topic: Contemporary Issues in Organizational Change

121) Process reengineering involves minor tinkering with organizational processes.Answer: FALSEDiff: 1 Page Ref: 255Topic: Contemporary Issues in Organizational Change

122) Process reengineering means eliminating cross-functional teams.Answer: FALSEDiff: 2 Page Ref: 255Topic: Contemporary Issues in Organizational Change

123) A consequence of process reengineering has been the loss of middle management jobs.Answer: TRUEDiff: 2 Page Ref: 255Topic: Contemporary Issues in Organizational Change

124) Not all stress is dysfunctional.Answer: TRUEDiff: 1 Page Ref: 256Topic: Contemporary Issues in Organizational Change

125) Employee selection can lower stress levels by ensuring employee abilities match the job requirements.Answer: TRUEDiff: 2 Page Ref: 256Topic: Contemporary Issues in Organizational Change

126) Stress may offer the opportunity for potential gain.Answer: TRUEDiff: 1 Page Ref: 256Topic: Contemporary Issues in Organizational Change

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127) Conditions that cause stress are universal in effect.Answer: FALSEDiff: 1 Page Ref: 256Topic: Contemporary Issues in Organizational Change

128) To help manage stress, organizations can use the techniques of goal setting and redesigning jobs, among others.Answer: FALSEDiff: 1 Page Ref: 256Topic: Contemporary Issues in Organizational Change

129) Few of the factors that cause stress are controlled by management.Answer: FALSEDiff: 1 Page Ref: 256-257Topic: Contemporary Issues in Organizational Change

130) Double-loop learning is an error correction process that relies on past routines and present policies.Answer: FALSEDiff: 2 Page Ref: 257Topic: Contemporary Issues in Organizational Change

131) A learning organization is an ideal rather than an organizational reality.Answer: TRUEDiff: 1 Page Ref: 258Topic: Contemporary Issues in Organizational Change

132) Transformational leadership is needed in a learning organization to implement the shared vision.Answer: TRUEDiff: 2 Page Ref: 258Topic: Contemporary Issues in Organizational Change

133) Seldom does an organization's formal structure act as an impediment to learning.Answer: FALSEDiff: 3 Page Ref: 258Topic: Contemporary Issues in Organizational Change

134) It is important for management in a learning organization to demonstrate by their actions that taking risks and admitting failures are desirable traits.Answer: TRUEDiff: 2 Page Ref: 259Topic: Contemporary Issues in Organizational Change

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135) People openly communicate with each other across vertical and horizontal boundaries in the learning organization.Answer: TRUEDiff: 2 Page Ref: Exh 16-5Topic: Contemporary Issues in Organizational Change

136) Cultures across the globe are in agreement in terms of beliefs about their ability to control their environment.Answer: FALSEDiff: 2 Page Ref: 259Topic: Global ImplicationsAASCB Tag: Multicultural and Diversity Understanding

137) In high-power-distance cultures, change efforts will tend to be autocratically implemented by top management.Answer: TRUEDiff: 2 Page Ref: 259Topic: Global ImplicationsAASCB Tag: Multicultural and Diversity Understanding

138) Since Italians focus on the past, they should be less resistant to change efforts.Answer: FALSEDiff: 2 Page Ref: 259Topic: Global ImplicationsAASCB Tag: Multicultural and Diversity Understanding

139) An idea champion in Germany will be more effective by ignoring budgets and procedures.Answer: FALSEDiff: 2 Page Ref: 259-260Topic: Global ImplicationsAASCB Tag: Multicultural and Diversity Understanding

140) Managers must continually act as change agents.Answer: TRUEDiff: 1 Page Ref: 260Topic: Implications for Managers

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141) Discuss some of the forces for change. Answer: Some of the forces for change are: the nature of the workforce, technology, economic shocks, competition, social trends, and world politics.

The nature of the workforce includes more cultural diversity, increase in professionals, and many new entrants with inadequate skills. Technology includes faster and cheaper computers, new mobile communication devices, and deciphering of the human genetic code. Economic shocks include the rise and fall of dot.com stocks, the decline in the value of the Euro, and the collapse of Enron Corporation. Competition includes global competitors; mergers and consolidations; and the growth of e-commerce. Social trends include Internet chat rooms, the retirement of Baby Boomers, and the increased interest in urban living. World politics includes the escalation of hostilities in the Middle East, the opening of markets in China, and the war on terrorism. Page Ref: 246Topic: Forces for Change

142) Discuss organizational sources of resistance to change.Answer: One major organizational source of resistance is structural inertia. Organizations have built-in mechanisms to produce stability: the selection process systematically selects certain people in and certain people out; training and other socialization techniques reinforce specific role requirements and skills; and formalization provides job descriptions, rules, and procedures for employees to follow. When an organization is confronted with change, this structural inertia acts as a counterbalance to sustain stability. Another organizational factor that leads to resistance to change is the limited focus of change. Organizations are made up of interdependent subsystems. One can't change without affecting the others. Limited changes in subsystems tend to get nullified by the larger system. Group inertia may act as a constraint even if individuals themselves want to change. Changes in organizational patterns may threaten the expertise of specialized group. Andy redistribution of decision-making authority can threaten long-established power relationships within the organization. Finally, groups in the organization that control sizable resources often see change as a threat.Page Ref: Exh 16-1Topic: Approaches to Managing Organizational Change

143) Discuss the actions that managers can take to overcome resistance to change.Answer: Change agents can take a number of approaches to lessen the resistance to change. Resistance can be reduced by communicating with employees to help them see the logic of a change and educating them in the change. Prior to making a change, those opposed can be brought into the decision process. Their involvement can reduce resistance and obtain commitment. Change agents can offer a range of supportive efforts to reduce resistance. Employee counseling and therapy, new skills training, or a short paid leave of absence may facilitate adjustment. Energizing employees can also help them emotionally commit to the change rather than embrace the status quo. Through cooptation, the leaders of a resistance group can be bought off. Organizations can facilitate the change process by selecting people who score high on openness to experience, positive attitude toward change, willingness to take risks, flexibility in their behavior, high risk tolerance, and self concept. As a last resort, coercion may be used to lessen resistance to change.Page Ref: 248-249Topic: Approaches to Managing Organizational Change

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144) Describe Lewin's model for change.Answer: Kurt Lewin argued that successful change in organizations should follow three steps: unfreezing the status quo, movement to a new state, and refreezing the new change to make it permanent. The status quo is an equilibrium state. To move from this equilibrium, unfreezing is necessary. It can be achieved by increasing the driving forces, decreasing the restraining forces, or both.Page Ref: 249Topic: Approaches to Managing Organizational Change

145) Discuss four OD interventions that change agents might consider using.Answer: Sensitivity training refers to a method of changing behavior through unstructured group interaction. Members are brought together in a free and open environment in which participants discuss themselves and their interactive processes, loosely directed by a professional behavioral scientist. One tool for assessing attitudes held by organizational members, identifying discrepancies among member perceptions, and solving these differences is the survey feedback approach. The purpose of process consultation is for an outside consultant to assist a client to perceive, understand, and act upon process events with which he or she must deal. Finally, appreciative inquiry seeks to identify the unique qualities and special strengths of an organization, which can then be built upon to improve performance. That is, it focuses on an organization's successes rather than its problems.Page Ref: 251-252Topic: Approaches to Managing Organizational Change

146) Discuss the structural variables that serve as sources of innovation in organization.Answer: Organic structures positively influence innovation. Because they are lower in vertical differentiation, formalization, and centralization, organic organizations facilitate the flexibility, adaptation, and cross-fertilization that make the adoption of innovations easier. Second, long tenure in management is associated with innovation. Third, innovation is nurtured when there are slack resources. Finally, interunit communication is high in innovative organizations. They utilize committees, task forces, cross-functional teams, and other mechanisms that facilitate interaction across departmental lines.Page Ref: 253-254Topic: Creating a Culture for Change

147) Define process reengineering and identify its three key elements.Answer: Process reengineering is how you would do things if you could start all over from scratch. It means that management should start with a clean sheet of paperrethinking and redesigning those processes by which the organization creates value and does work, ridding itself of operations that have become antiquated. The three key elements of process reengineering are identifying an organization's distinctive competencies, assessing core processes, and reorganizing horizontally by process.Page Ref: 255Topic: Contemporary Issues in Organizational Change

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148) What is stress?Answer: Stress is a dynamic condition in which an individual is confronted with an opportunity, constraint, or demand related to what he or she desires and for which the outcome is perceived to be both uncertain and important. Stress is not necessarily bad in and of itself. It is an opportunity when it offers potential gain.Page Ref: 256Topic: Contemporary Issues in Organizational Change

149) What is a learning organization? Discuss the difference between single-loop and double-loop learning.Answer: A learning organization is an organization that has developed the continuous capacity to adapt and change. Just as individuals learn, so too do organizations. A learning organization is one in which people put aside their old ways of thinking, learn to be open with each other, understand how their organization really works, form a plan or vision that everyone can agree on and then work together to achieve that vision.Most organizations engage in what has been called single-loop learning. When errors are detected, the correction process relies on past routines and present policies. In contrast, learning organizations use double-loop learning. When an error is detected, it is corrected in ways that involve the modification of the organization's objectives, policies, and standard routines. Double-loop learning challenges deep-rooted assumptions and norms within an organization. It provides opportunities for radically different solutions to problems and dramatic jumps in improvement.Page Ref: 257Topic: Contemporary Issues in Organizational Change

150) What can managers do to make their firms learning organizations?Answer: Managers can make their firms learning organizations through a number of suggestions. Management can establish a strategy. Management might also redesign the organization's structure. In addition, they can reshape the organization's culture.Page Ref: 258-259Topic: Contemporary Issues in Organizational Change

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