DSST Management 2 — Questions and Answers
Question 1: Which management theory views organizations as systems that interact with their external environment?
- Scientific management
- Systems theory (Correct answer)
- Bureaucratic theory
- Human relations theory
Correct answer: Systems theory
Systems theory treats organizations as open systems that exchange inputs and outputs with their environment.
Question 2: A manager who delegates authority but retains accountability is practicing which principle?
- Unity of command
- Scalar chain
- Parity principle (Correct answer)
- Division of labor
Correct answer: Parity principle
The parity principle states that authority delegated must equal the responsibility assigned, but the manager retains overall accountability.
Question 3: In Herzberg's two-factor theory, which of the following is a hygiene factor?
- Achievement
- Recognition
- Salary (Correct answer)
- Advancement
Correct answer: Salary
Hygiene factors like salary prevent dissatisfaction but do not inherently motivate employees.
Question 4: Which type of organizational structure groups employees by function such as marketing, finance, and operations?
- Divisional structure
- Matrix structure
- Functional structure (Correct answer)
- Network structure
Correct answer: Functional structure
A functional structure organizes employees by their specialized role or department.
Question 5: The process of comparing an organization's performance metrics to industry best practices is called:
- Forecasting
- Benchmarking (Correct answer)
- Auditing
- Budgeting
Correct answer: Benchmarking
Benchmarking involves measuring performance against recognized standards or top-performing competitors.
Question 6: Which leadership style involves the leader making decisions without consulting the team?
- Laissez-faire
- Democratic
- Autocratic (Correct answer)
- Transformational
Correct answer: Autocratic
Autocratic leadership centralizes decision-making authority with the leader alone.
Question 7: Gantt charts are primarily used in management to:
- Evaluate employee performance
- Schedule and track project tasks over time (Correct answer)
- Analyze financial ratios
- Map organizational hierarchy
Correct answer: Schedule and track project tasks over time
Gantt charts display project tasks as horizontal bars across a timeline to aid scheduling and progress tracking.
DSST Management 2
Which management theory views organizations as systems that interact with their external environment?