GMGT 2060 MIDTERM EXAM QUESTIONS WITH
VERIFIED ANSWERS
Why Learn About Management?
1. Develop conceptual skills (complements technical and social skills)
2. Helps you to understand your managers (PETER principal where people are good at lower
positions get promoted then are bad but remain in that position)
3. Improves your understanding of the role management plays in society
4. Helps enhance organizational performance (including value creation and value capture)
5. Fosters self-understanding
The What of Management
management is the process of planning, organizing, leading, and controlling human and other
resources towards the effective achievement of organizational goals, an organization is a goal-
directed, deliberately structured group of people working together to provide specific goods and
services
Four Management Functions
planning, organizing, leading, controlling
Ten Managerial Roles
figurehead, leader, liaison, monitor, disseminator, spokesperson, entrepreneur, disturbance
handler, resource allocator, negotiator
FBL Management
focus on maximizing organizations' financial performance, the dominant approach in the past
century, appealing to individual self-interests, consistant with the invisible hand and
consequential utilitarianism
The Invisible Hand
suggests that the good of a community is assured when every individual is permitted to pursue
their own self-interests, assumes everyone is self-interested and materialistic
Consequential Utilitarianism
an action's rightness (and limiting wrongness) is measured by its effect on the net overall
happiness for everyone involved, "net happiness" is often measured via financial wealth created,
an actions deemed good or bad by the effect on the overall happiness for everyone involved
TBL Management
focus on maximizing financial performance via sustainable development, financial, social, and
ecological well-being, dominant approach over the past twenty years, argues that if more is put
, into sustainable development there will be financial rewards, developing a business case that
justifies/documents how a proposed new organisational initiative will enhance an orgs financial
well-being, follows enlightened consequential utilitarianism
Sustainable Development
"meeting the needs of the present generation without compromising the ability of future gens to
meet their needs"
Enlightened Consequential Utilitarianism
recognizes that firms can increase their financial well-being via reducing negative social and
ecological externalities (ie via sustainable development)
Social and Ecological Thought (SET) Management
focus on socio-ecological well-being ahead of maximizing financial, poised to become dominant
approach in future (esp among millennials), instead of reducing negative externalities creating
positive ones, mangers focus on optimizing social and ecological well-being, while ensuring
organizations remain financially viable (ie SET mgmt does not focus on maximizing financial
well-being), follows virtue ethics
Virtue Theory/Ethics
happiness is achieved by practicing virtues in community
Why Learn 3 Approaches to Management?
increases cirtical thinking, improves ethical thinking skills, and ability to adapt to different
situations and working with different people
Ideal-Type Management
refers to a specified constellation of concepts and theory that collectively identifies what
effective management means and how it is practiced, aka management types should not be one
category but a contiuum or combo
Varieties of Capitalism and Economics
documentation vs relational capitalism and acquisitive economics vs sustenance economics
Documentational Capitalism
emphasizes detailed contracts, public financial reports, management independence and rights,
stringent anti-trust legislation, rewarding a labour force that is mobile and has transferable skills,
short-term maximization of financial performance, and the use of stock options to motive
managers, popular in Canada, US, Australia, UK
Relational Capitalism
VERIFIED ANSWERS
Why Learn About Management?
1. Develop conceptual skills (complements technical and social skills)
2. Helps you to understand your managers (PETER principal where people are good at lower
positions get promoted then are bad but remain in that position)
3. Improves your understanding of the role management plays in society
4. Helps enhance organizational performance (including value creation and value capture)
5. Fosters self-understanding
The What of Management
management is the process of planning, organizing, leading, and controlling human and other
resources towards the effective achievement of organizational goals, an organization is a goal-
directed, deliberately structured group of people working together to provide specific goods and
services
Four Management Functions
planning, organizing, leading, controlling
Ten Managerial Roles
figurehead, leader, liaison, monitor, disseminator, spokesperson, entrepreneur, disturbance
handler, resource allocator, negotiator
FBL Management
focus on maximizing organizations' financial performance, the dominant approach in the past
century, appealing to individual self-interests, consistant with the invisible hand and
consequential utilitarianism
The Invisible Hand
suggests that the good of a community is assured when every individual is permitted to pursue
their own self-interests, assumes everyone is self-interested and materialistic
Consequential Utilitarianism
an action's rightness (and limiting wrongness) is measured by its effect on the net overall
happiness for everyone involved, "net happiness" is often measured via financial wealth created,
an actions deemed good or bad by the effect on the overall happiness for everyone involved
TBL Management
focus on maximizing financial performance via sustainable development, financial, social, and
ecological well-being, dominant approach over the past twenty years, argues that if more is put
, into sustainable development there will be financial rewards, developing a business case that
justifies/documents how a proposed new organisational initiative will enhance an orgs financial
well-being, follows enlightened consequential utilitarianism
Sustainable Development
"meeting the needs of the present generation without compromising the ability of future gens to
meet their needs"
Enlightened Consequential Utilitarianism
recognizes that firms can increase their financial well-being via reducing negative social and
ecological externalities (ie via sustainable development)
Social and Ecological Thought (SET) Management
focus on socio-ecological well-being ahead of maximizing financial, poised to become dominant
approach in future (esp among millennials), instead of reducing negative externalities creating
positive ones, mangers focus on optimizing social and ecological well-being, while ensuring
organizations remain financially viable (ie SET mgmt does not focus on maximizing financial
well-being), follows virtue ethics
Virtue Theory/Ethics
happiness is achieved by practicing virtues in community
Why Learn 3 Approaches to Management?
increases cirtical thinking, improves ethical thinking skills, and ability to adapt to different
situations and working with different people
Ideal-Type Management
refers to a specified constellation of concepts and theory that collectively identifies what
effective management means and how it is practiced, aka management types should not be one
category but a contiuum or combo
Varieties of Capitalism and Economics
documentation vs relational capitalism and acquisitive economics vs sustenance economics
Documentational Capitalism
emphasizes detailed contracts, public financial reports, management independence and rights,
stringent anti-trust legislation, rewarding a labour force that is mobile and has transferable skills,
short-term maximization of financial performance, and the use of stock options to motive
managers, popular in Canada, US, Australia, UK
Relational Capitalism
