PREPARATION PACK KEY LEADERSHIP THEORIES
ORGANIZATIONAL STRUCTURE AND DECISION
MAKING WITH SAMPLE QUESTIONS
◉ Accounting audits. Answer: Procedures used to verify accounting
reports and statements
◉ Acquisition. Answer: One firm buying another
◉ Activity-Based costing (ABC). Answer: A method of cost
accounting designed to identify streams of activity and then to
allocate costs across particular business processes according to the
mount of time employees devote to particular activities
◉ Adapters. Answer: Companies that take the current industry
structure and its evolution as givens, and choose where to compete.
◉ Adverse impact. Answer: When a seemingly neutral employment
practice has a disproportionately negative effect on a protected
group.
,◉ Advertising support model. Answer: Charging fees to advertise on
a site.
◉ affective conflict. Answer: Emotional disagreement directed
toward other people
◉ affiliate model. Answer: Charging fees to direct site visitors to
other companies' sites
◉ affirmative action. Answer: Special efforts to recruit and hire
qualified members of groups that have been discriminated against in
the past.
◉ Alderfer's ERG theory. Answer: A human needs theory postulating
that people have three basic sets of needs that can operate
simultaneously
◉ arbitration. Answer: The use of a neutral third party to resolve a
labor dispute.
◉ assessment center. Answer: A managerial performance test in
which candidates participate in a variety of exercises and situations.
,◉ assets. Answer: The values of the various items the corporation
owns.
◉ Authentic leadership. Answer: A style in which the leader is true
to himself or herself while leading
◉ autocratic leadership. Answer: A form of leadership in which the
leader makes decisions on his or her own and then announces those
decisions to the group
◉ autonomous work groups. Answer: Groups that control decisions
about and excution of a complete range of tasks
◉ avoidance. Answer: A reaction to conflict that involves ignoring
the problem by doing nothing at all, or deemphasizing the
disagreement.
◉ balance sheet. Answer: A report that shows the financial picture
of a company at a given time and itemizes assets, liabilities, and
stockholders' equity
◉ balanced scorecard. Answer: Control system combining four sets
of performance measures: financial, customer, business process, and
learning and growth
, ◉ barriers to entry. Answer: Conditions that prevent new companies
from entering an industry
◉ behavioral approach. Answer: a leadership perspective that
attempts to identify what good leaders do-that is, what behaviors
they exhibit
◉ benchmarking. Answer: The process of comparing an
organization's practices and technologies with those of other
companies.
◉ Bootlegging. Answer: Informal work on projects, other than those
officially assigned, of employees' own choosing and initiative
◉ boundaryless organization. Answer: organization in which there
are no barriers to information flow.
◉ bounded rationality. Answer: `A less-than-perfect form of
rationality in which decisions makers cannot be perfectly rational
because decisions are complex and complete information is
unavailable or cannot be fully processed.
◉ Brainstorming. Answer: A process in which group members
generate as many ideas about a problem as they can; criticism is
withheld until all ideas have been proposed.