CIMA CIMA-E2 Online Practice Questions and Exam Preparation

CIMA CIMA-E2 Online Questions & Answers

• Question 1:

  An employee of a company has been asked to explain the difference between a Grievance and Disciplinary Action. The employee knows the definitions of both and, whilst they have two examples of actions which would result in Disciplinary Action, they can only think of one circumstance which may result in a Grievance, and this is Discrimination.

  Which of the following could the employee use as an additional example of a Grievance?

  A. The employee is regularly absent.
  B. The employee feels that they have not been considered for promotion because of their age.
  C. The employee entered a restricted area.
  D. The employee feels that they have been given an unfair appraisal.
  D. The employee feels that they have been given an unfair appraisal.

• Question 2:

  Which TWO of the following are soft elements of culture highlighted in the McKinsey 7-S Model?

  A. Shared Values
  B. Strategy
  C. Systems
  D. Staff
  A. Shared Values
  D. Staff

• Question 3:

  Performance appraisal systems are designed to meet a number of objectives. Which of the following is a positive objective of such a system?

  A. To motivate individuals by providing an opportunity for feedback and an opportunity for a staff member to discuss any issues.
  B. Managers have a reluctance to give the highest or lowest grades, so end up giving all members of staff an average grading.
  C. Timing of appraisals can lead to problems for management as it tries to schedule a number of performance appraisals within a short time frame.
  D. If the scheme does not have top level buy in, it will be unlikely to succeed and may become a box ticking exercise.
  A. To motivate individuals by providing an opportunity for feedback and an opportunity for a staff member to discuss any issues.

• Question 4:

  Which of the models below identifies triggers for change from the macro environment?

  A. Michael Porter's Five Forces
  B. Michael Porter's Diamond
  C. LoNGPEST
  D. Ansoff's Growth Matrix
  C. LoNGPEST

• Question 5:

  The concept of core competences is key to successful outsourcing strategy. Organisations should:

  A. focus on core competences and outsource non-core competences to external firms that can add more value.
  B. focus on non-core competences in order to drive down the cost of non value adding activities.
  C. focus on core competences by outsourcing these functions to external firms that can add more value.
  D. focus on non-core competences by applying transaction cost theory to external firms.
  A. focus on core competences and outsource non-core competences to external firms that can add more value.

• Question 6:

  Which THREE of the following are advantages of empowerment?

  A. It reduces operational costs by eliminating unnecessary layers of management.
  B. It requires a clear vision and a learning environment for both management and employees.
  C. It helps generate innovative solutions that benefit both the department and the company.
  D. It requires feedback on performance from a variety of sources.
  E. It provides for greater job satisfaction, motivation and commitment.
  A. It reduces operational costs by eliminating unnecessary layers of management.
  C. It helps generate innovative solutions that benefit both the department and the company.
  E. It provides for greater job satisfaction, motivation and commitment.

• Question 7:

  The manager of Company A has decided to upgrade the IT systems in 18 months time. Although the employees understand the need and benefits from the change there is still some resistance from fear of the unknown and a question mark over the security of their jobs.

  Which TWO of the methods below for dealing with change are most appropriate under these circumstances?

  A. Coercion
  B. Education and communication
  C. Facilitation and support
  D. Participation
  C. Facilitation and support
  D. Participation

• Question 8:

  The difference between the latest event time and the earliest event time in a project network analysis is referred to as:

  A. Critical Activity
  B. Float
  C. Critical Path
  D. Node
  B. Float

• Question 9:

  Organisational change can be promoted by many different triggers. Which THREE of the following are external triggers of change?

  A. Activities and innovations of competitors
  B. Appointment of new chief executive officer
  C. Shifts in local, national and international politics
  D. New legislation and government policies
  E. Factory relocation to be closer to suppliers and markets
  A. Activities and innovations of competitors
  C. Shifts in local, national and international politics
  D. New legislation and government policies

• Question 10:

  The role of the project sponsor involves which THREE of the following?

  A. Provides resources for the project and is responsible for the budget.
  B. Ensures project objectives are achieved.
  C. Provides support and senior management commitment to the project.
  D. Initiates the project and ensures that a business case exists to justify the project.
  E. Makes decisions relating to system resources.
  A. Provides resources for the project and is responsible for the budget.
  C. Provides support and senior management commitment to the project.
  D. Initiates the project and ensures that a business case exists to justify the project.