Mgmt 301 final exam questions and answers well elaborated graded a+

1) develop culture 2) encourage innovation 3) manage change - correct answers what three things must managers do (in relation to culture, innovation, and change) personal, organizational, corporate, global - correct answers what are the 4 types of culture personality - correct answers organization's culture is like it's ______ - system of shared beliefs/values guiding behavior (internal) - set of signals of what is consider appropriate vs. inappropriate (external) - "the way we do things around here" what do you SEE and what do they SAY - correct answers define culture (internal and external def.) high impact on people leaving their jobs; get to know people before hiring them to see if they'll fit in - correct answers what is the impact of a strong cultural fit - hierarchial: emphasize authority, clear roles & rules, predictability - rational: emphasize process, efficiency, planning, and slow change - entrepreneurial: change, growth, creativity, and competition - team: teamwork, collaboration, authority shared, trust - correct answers what are the 4 types of organizational culture (explain each) clear, well defined, and widely shared among organization members; shapes behavior and influences performance; reinforced by socialization - correct answers define strong culture new members learn the culture of an organization; reinforces a strong culture; ex: Disney's "traditions" training - correct answers define socialization - shape attitudes - reinforce beliefs - direct behavior - set expectations - correct answers what are the 4 impacts/results of culture only 17% add value, 83% no benefit, 50%+ destroyed value - correct answers what is the success rate of mergers observed (visible) and core (invisible) - Schein's levels of culture - correct answers what are the two types of culture (explain using iceberg example) values or beliefs about right ways to behave; ex: performance, excellence, innovation, customer service, integrity, teamwork; values usually found in mission statement - correct answers define core culture heroes, symbols, rites + rituals, stories - correct answers what are the 4 types of observable culture people you look up to that represent our values benefits: - shared knowledge of hero stories - establish or represent core value ex: Walt Disney - correct answers define heroes and the benefits of them (2) - creates connections - people and organization - builds morale and engagement - shared hands on experiences ex: singing alma mater after PSU football game - correct answers what are the benefits (3) of rites and rituals - common understanding of culture - easy to recognize (you and others) ex: Nittany Lion and drum major, Tony the Tiger - correct answers what are the benefits (2) of symbols - easily remembered and passed on - instills deeper cultural understanding ex: any example of superior customer service story,; Harland Sanders for KFC and Dave Thomas for Wendy's - correct answers what are the benefits (2) of stories innovation is the life blood of business def: taking a new idea and putting it into practice; the process of translating an idea or invention into a good or service that creates value for which customers will pay - correct answers what is innovation and define it process, product, business model - correct answers what are the 3 types of innovation - reduction in cost - increased turn around (cycle time) - increase in output - better customer satisfaction six sigma = process improvement lean principles = reduction of waste ex: vending machines - correct answers what are the 4 benefits of process innovation (also six sigma and lean principles) coming up with a brand new product we haven't seen before ex: Drones; Amazon Kindle - correct answers define product innovation taking exactly what you're doing now and forming it in another way ex: Netflix rentals turned into a subscription business; Google thrives on advertising - correct answers define business model innovation type of process innovation that: - reduces the carbon footprint of an organization - energy use, water use, and waste management - correct answers define sustainability innovation process of taking a product and bringing it to the market; begins with invention and end with application - correct answers define commericalization creates products or services that become so widely used that they largely replace prior practices and competitors; ex: cell phones disrupted traditional landlines market - correct answers define disruptive innovation innovation driven by a social conscience (i.e. poverty, famine, disease) - correct answers define social innovation pursues innovative ways to solve pressuring social problems - correct answers define social entrepreneurship - strategy: includes innovation - culture: values innovation and emphasizes it - structure: supports innovation - management: supports and drives innovation (69% of people say a source of a culture of innovation is their CEO) - staffing: for creative innovation (hire creative people and inspire them to innovate) - correct answers what are the 5 protocols that support innovation and how they do so special creative units set free from the normal structure for the purpose of innovation (part of structure) - correct answers define shunkworks - fear of the unknown - loss of control - correct answers how can change be disruptive on people dealing with grief is just like dealing with change - denial, anger, bargain, depression, acceptance, move on - correct answers how does Kubler-Ross's 5 stages of grief relate to change and what are the 5 stages opportunity or threat - correct answers what are two fundamental change drivers - transformational: results in a major redirection of the organization (new wisdom, strategy, culture, structure, people) - incremental: day-to-day, process improvements, continuous improvement (new product, process, technology) - correct answers what are the 2 types of change and explain each unfreeze, change, freeze (ice cube example) - correct answers what are the 3 stages of the change process create a need for change; a situation is prepared for change - engages a need/urgency for change in people - establish good relationship with people - correct answers explain the unfreeze step of the change process (def. and 2 steps of it) implement and manage the process of change; should only be done when people and systems are ready - helps reduce risk of resistance - correct answers explain the change step in the change process make change long-lasting; create acceptance; using rewards and positive reinforcement - correct answers explain the refreezing step of the change process #1: timing #2: communication - correct answers what is the #1 and #2 monster issue of change actively making steps to back-up your company's values ex: company saw their product dissatisfied customers so they pulled it off the market even though they lost a lot of money by doing so - correct answers define value-based management (culture) serve as an organization's role model for their culture - correct answers define symbolic leader involves practices that create meaning and shared community among organizational members; included meaningful purpose, trust + respect, honesty, ethics - correct answers define workplace spirituality (1) idea creation: discovering a potential product or way to modify an existing one (2) initial experimentation: sharing the idea with others and testing it in prototype form (3) feasibility determination: testing the practicality and financial viability of the new product (4) final application: commercializing the product for sale to customers - correct answers what are the 4 steps of commercialization and explain each takes products or services developed in emerging or foreign markets, often subject to price constraints, and finds ways to use them elsewhere - correct answers define reverse (trickle-down) innovation adjustments are continually made as changes are being implemented; because change is dynamic and uncertain; new change may begin before refreezing of the old change occurs - correct answers define improvisational change force-coercion, rational persuasion, and shared power - correct answers what are the 3 change strategies - using position power to create change by decree and formal authority; fastest method; useful for unfreezing; uses legitimacy power, rewards, and punishments; lowest chance of compliance by people - managerial behavior: direct forcing (commanding) or political maneuvering/indirect action (bargaining, alliances) - correct answers explain the force-coercion change strategy and managerial behavior to implement it (2 types) - creating change through rational persuasion and empirical argument; uses expertise power (need credibility) - managerial behavior: change via persuasion backed by a rational or logical argument - correct answers explain the rational persuasion change strategy and managerial behavior to implement it developing support for change through personal values and commitments (aka normative re-educative strategy); uses reference power; slowest method, highest chance of compliance by people - managerial power: participative efforts to share power and involves others in planning/implementing change (change should naturally emerge) - correct answers explain the shared power change strategy and managerial behavior to implement it - developing and selling products to the 7 billion people currently on the planet - figuring out how to produce for the 9 billion people by 2043 - correct answers what is the bottom line of global business (2 parts) the increased mobility of goods, services, labor, technology, and capital throughout the world OR the process of growing interdependence among elements of the global economy - correct answers define globalization where large global firms gain disproportionately from the global economy vs. smaller firms; ex: revenues of Exxon Mobil are equivalent to Egypt's GDP - correct answers define globalization gap to increase earnings - correct answers what is the #1 reason to go global - new markets (for customers/profits) - sourcing (suppliers of goods/services) - financing (capital to expand operations) - labor (low cost and skilled) - risk (business, natural, country) - technology (communication, data) - correct answers what are the 6 reasons to go global global, transnational, international, and multinational - correct answers what are the 4 global strategic forms a business may take pressure for local responsiveness (pressure to change product to meet a local need) vs. pressure for global integration (how deeply do you need to be in the other country) - correct answers what are the axis's of the integration responsiveness grid - invested and present in many countries (physically there) - single corporate office strategy direction - ex: McDonald's goal is to have stores in every country - correct answers define global (IR grid) - focus on importing and exporting - low investment outside of home country - ex: Xerox doesn't actually have stores in other countries, but ships printers all around the world, same for Gulfstream - correct answers define international (IR grid) - substantial investment in other countries - focus on adapting products for local needs - ex: Toyota has many plants in US and many plants in other countries too (unlike international because there isn't just one plant) - correct answers define multinational (IR grid) - borderless basis; operating world-wide without being identified with one national home - substantial investment globally - competitors compete globally - ex: Coke and Pepsi want to be in every single country - correct answers define transnational (IR grid) from our home country and from a host country - correct answers what are the 2 ways to go global