IIA IIA-CIA-PART4 Online Practice Questions and Exam Preparation

IIA IIA-CIA-PART4 Online Questions & Answers

• Question 251:

  The benefits of electronic communication for a company and the company's employees include:

  A. More efficient use of resources to increase profitability.
  B. Creation of redundant tasks that allow employees to develop expertise.
  C. Constant development of new procedures.
  D. Elimination of simulation models.
  A. More efficient use of resources to increase profitability.

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  The benefits of electronic communication include better control of information, more timely information, elimination of tedious tasks, improvement of competitiveness due to improved technology, standardization of procedures by computer programs, assistance for strategic planning, and optimization of organizational resources to improve productivity.

• Question 252:

  According to thebehavioral theory of management:

  A. Employees are motivated to fulfill needs.
  B. Morale problems are not goal related.
  C. Compensation is a universal motivator.
  D. Productivity is not correlated with job satisfaction.
  A. Employees are motivated to fulfill needs.

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  The behavioral theory of management holds that all people including employees) have complex needs, desires, and attitudes. The fulfillment of needs is the goal toward which employees are motivated. Effective leadership matches need-fulfillment rewards with desired behavior tasks) that accomplishes organizational goals.

• Question 253:

  A large company uses assembly line techniques to manufacture a single product. Its choice of relatively mechanistic organizational design was more likely based on its:

  A. Need for rapid response to environmental change.
  B. Primary concern for operational efficiency.
  C. Low fixed technology requirements.
  D. Project management emphasis.
  B. Primary concern for operational efficiency.

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  Mechanistic organizations have vertical structures with duties and authority clearly defined by position in the hierarchy, a stringent set of formal controls, and a centralized staff. Such organizations tend to emphasize efficiency and operate in a stable environment withwell- establishedtechnology. Large firms in basic industries autos, utilities) often adopt this structure.

• Question 254:

  A manager believes that the department's most valuable resource is the employees' time. The manager enforces a set of rigid rules for employees. A characteristic of this leadership style is that

  A. Employees are encouraged to participate in decision making.
  B. Personal interaction among employees is limited.
  C. Organizational objectives are coordinated with each employee's goals.
  D. The manager's perceptions are similar to McGregor's Theory Y.
  B. Personal interaction among employees is limited.

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  The characteristics of a leadership style based on deadlines and strict rules include an emphasis on relatively inflexible congruence with the organization's overall goals, perceptions related to McGregor's Theory X, and limitations on interaction and communication among employees.

• Question 255:

  The retail petroleum industry consists of a few large firms that sell a standardized product.Which of the following best describes this industry?

  A. Monopoly.
  B. Oligopoly.
  C. Monopolistic competition.
  D. Pure competition.
  B. Oligopoly.

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  An oligopoly consists of a few large firms. If products are standardized, competition may be based solely on price. If products are partially differentiated, each firm may attempt to lead the industry regarding a given attribute, e.g., price, quality, service, or features. The retail petroleum industry is dominated by a small number of firms that control a vast majority of the market. Furthermore, it is an example of an industry that sells a standardized product, with competition based primarily on price.

• Question 256:

  Which of the following is the best indicator of the effectiveness of a communication on a receiver?

  A. Understanding of message received.
  B. Clarity of message.
  C. Change in receiver's attitude.
  D. Change in receiver's behavior.
  D. Change in receiver's behavior.

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  The best indicator of the effectiveness of a communication on the receiver is the change in the receiver's behavior in the direction requested or required by the communication. The sender has the responsibility to solicit feedback or observe results) to determine the communication's effectiveness.

• Question 257:

  Two managers have been informed that their units will be relocated to a new site. The units are to share space at the new office location. The managers have been arguing for several weeks over the allocation of space and the location of offices. This disagreement is threatening the relocation schedule and disrupting other projects. The managers' supervisor has now becomeinvolved in the conflict and must try to minimize the potential for hurt feelings while resolving the problem quickly. Identify the supervisor's best approach for this situation.

  A. Sit down with the managers and determine a solution.
  B. Design a floor plan and tell the managers who occupies what space.
  C. Remind the managers that the company needs their cooperation in this effort so that costs can be reduced
  D. Tell the managers not to worry and that problems like this have a way of working themselves out.
  A. Sit down with the managers and determine a solution.

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  Problem solving is a means of confronting the conflict and removing its causes. The emphasis is on facts and solutions, not personalities and assignment of blame. The disadvantage is that problem solving takes time. In this situation, a three-party negotiation stressing a win-win attitude is appropriate. Negotiation should be feasible because the parties have overlapping interests.

• Question 258:

  Departmentalization may be performed by:

  I. Function

  II. Product

  III.

  Geography

  A. I only.
  B. II only.
  C. I and II only.
  D. I, II and III.
  I. Function II. Product III. Geography
  D. I, II and III.

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  Departmentation may be performed by function, product, and geography. Departmentation by function is found in almost every organization at some level, whether for-profit or nonprofit. The most common departments in for-profit organizations are marketing, production, and finance though other terms maybe used). These often extend upward in the organizational chart to the level below the chief executive. Departmentation by product or service is growing in importance for multiline, large-scale enterprises. It is often an outgrowth of functional departmentation. The result is that product-service subunits may be treated as separate businesses with a high degree of autonomy. Managers must therefore have a broad perspective, not a merely functional orientation. Departmentation by territory geographic location) is favored by national or multinational firms and government agencies with scattered resources, offices, or plants.

• Question 259:

  A manager resolves a conflict between two employees by recommending that concessions to be made by both employees. The two employees agree to the concessions and the conflict is resolved. Both employees gain and lose. Which of the following describes the way the manager addressed the conflict?

  A. Forcing.
  B. Smoothing.
  C. Compromise.
  D. Problem solving.
  C. Compromise.

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  Compromise entails negotiation by the parties in conflict. The conflict is resolved through aprocess by which each side makes concessions. Thus, the parties both gain and lose. Because both employees made concessions, the conflict was resolved through compromise.

• Question 260:

  Dutch researcher Geert Hofstede has examined the cultural dimensions of organizational behavior in 40 countries. The United States ranked the highest in which dimension?

  A. Power distance.
  B. Uncertainty avoidance.
  C. Individualism.
  D. Masculinity.
  C. Individualism.

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  The individualism-collectivism dimension addresses whether the organization or individual must meet his/her own security needs.