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E2 Managing Performance Questions and Answers

Questions 4

W is the supervisor of the house-keeping team in a large hotel. X, a member of the team, is consistently late to work which means that other team members have to perform extra work. A number of team members have also complained to W about X's aggressive behaviour. Two months ago W spoke to X informally about these issues and for a short period things improved.

 

But it is now clear that X is again displaying unacceptable behaviour and upsetting colleagues. W knows further action must now be taken to deal with the situation.

 

With reference to the disciplinary process, which is the best course of action for W to take?

Options:

A.

Write a formal letter to X stating that if the unacceptable behaviour does not stop immediately X will be dismissed without further notice.

B.

Issue a formal verbal warning via a formal interview, with a record of the interview kept on file.

C.

Reduce the paid hours allocated to X as a temporary punishment until the behaviour improves.

D.

Speak to X informally in a private office and ask that X improves their behaviour and apologises to colleagues.

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Questions 5

Which of the following is CIMA's definition of strategy?

Options:

A.

A purpose and long term direction of the company including an action plan.

B.

A course of action, including specification of resources required, to achieve a specific objective.

C.

A plan to scope out the organisation's activities.

D.

A statement of long term goals along with a definition of the strategies and policies to achieve these goals.

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Questions 6

A leader of a new project at a marketing agency believes that good leadership requires focus on both the task needs and individual needs.

Based on Adair's action-centered leadership theory, which of the following skills is the leader less likely to have due to this?

Select ALL that apply.

Options:

A.

Setting performance standards

B.

Checking performance against plan

C.

Controlling quality of work

D.

Training and mentoring

E.

Building team spirit

F.

Ensuring communication within group

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Questions 7

Which of the following initiatives and schemes should be undertaken as a formal project?

 

Select ALL that apply.

Options:

A.

A head office relocation for an insurance company, involving the move to a new office for 250 staff.

B.

A long term health initiative which will put in place procedures to immunize every child in a country as they reach the age of three.

C.

Managing a national political campaign prior to an election.

D.

The design and launch of a new online order service for a global manufacturing company.

E.

A boat building company building motor yachts for a small market, generally building about three per month.

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Questions 8

The Finance Director in an organisation has suffered from some criticism in her management approach, in particular her poor communication methods. For example, using finance jargon in her emails and sending messages out of normal office working hours.

 

This has lead to some of the members of staff being demotivated.

 

Which of the following possible recommendations would improve the communication situation present in this organisaion?

 

Select ALL that apply.

Options:

A.

Arrange meetings whereby the Finance Director is the facilitator and an agenda is set which ensures clear objectives are established and action points noted and followed up.

B.

Send the members of staff on an away day event to improve morale.

C.

Have a glossary of key terminology, e.g. the meaning of the financial information abbreviations.

D.

Recruit a new Finance Director.

E.

Ensure the appropriate channels of communication are used to suit the situation and timing of responses is allowed.

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Questions 9

Third party consultants, Member rotation, Confrontation, and Super-ordinate goals are examples of which of the following?

Options:

A.

Causes of horizontal conflict

B.

Methods of managing intergroup conflict

C.

Methods of managing conflict according to the Thomas-Kilmann Conflict Mode Instrument (TKI)

D.

Causes of vertical conflict

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Questions 10

Barney (1991) identified four criteria necessary for a resource to be classed as unique and thus give competitive advantage. One of these is that it shouldn't be substitutable and another is that it should be rare.

 

Which TWO of the options below make up the list of four?

Options:

A.

Valuable

B.

Imperfectly Imitable

C.

Perfectly Imitable

D.

Costly to obtain

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Questions 11

Harvey Maylor created a project life cycle model based on four discrete and sequential stages. This is known as the 4D model. One of the stages involves the following activities:

 

- Documentation must be completed. Contracts, letters, accounting records etc. must be filed properly.

- Project systems must be closed down, including accounting systems - only after all costs have been settled.

- Handover to the client/end users must take place, and where appropriate obtain sign-off to signify that the contract is complete.

- Review the project to provide project staff with immediate feedback on performance.

 

To which stage of the 4D model do these activities apply?

Options:

A.

Define the project

B.

Design the project

C.

Deliver the project

D.

Develop the process

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Questions 12

The advantages of effective delegation include which THREE of the following?

Options:

A.

Workloads of managers are reduced with subsequent reduction in stress.

B.

The aspiration through eventual promotion of subordinates who accept delegated duties must be met.

C.

Managers are left free to carry out non-routine tasks while passing on more routine tasks to subordinates.

D.

Training of subordinates is assisted by the delegation of tasks and is thus a very effective method of training.

E.

Effective delegation can be achieved by assigning agreed tasks, specifying performance levels and ensuring they are understood.

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Questions 13

Which of the following statements does NOT help characterise Quinn's notion of logical incrementalism?

Options:

A.

The alternative to having a long-term strategic plan is not having a plan at all, or having a series of short-term plans as a replacement.

B.

Generally managers know where they want to go and initially work out a few integrating principles that help guide the company's overall actions.

C.

Strategy is a step by step learning process which proceeds from early generalities toward later specifics, clarifying the strategy as events permit and dictate.

D.

Managers consciously keep their decisions small and flexible. In the early stages they avoid precise statements that might impair their flexibility to seize new opportunities.

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Questions 14

KK manufactures mobile phones and it possesses an inimitable resource in the mobile phone market in which it currently competes.

Which of the following  best describes this type of resource?

Options:

A.

It will provide wide access to a variety of markets

B.

A competitor will see the perceived benefits

C.

A competitor will find it difficult to copy

D.

A competitor could substitute the resource

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Questions 15

Which of the following are classed as part of the move stage of Lewin's model of change?

Select ALL that apply.

Options:

A.

Make sure the process is well managed and co-ordinated

B.

Ensure details of the changes occurring are communicated effectively

C.

Make sure everyone is given the necessary skills

D.

Ask people what their problems are and how they feel the change should proceed

E.

Focus on the reasons for change so people understand and accept it

F.

Deal with the issues of individuals to overcome personal concerns and objections

G.

Develop rewards for indhoduals following the new approaches after the changes

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Questions 16

Which of the following statements are not true based on Stalk, Evans and Schulman's principles of capability-based competition?

Select ALL that apply.

Options:

A.

Generating new ideas are core to business success.

B.

It is the process that is important and not the product or market.

C.

The business processes create value.

D.

It is important to invest in skills and processes, not business functions.

E.

The CEO leads the development of capabilities.

F.

Capability is developed from internal and external factors.

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Questions 17

A company, which is heavily reliant on its IT systems, experiences a critical problem affecting its just-in-time processes. The manager recognises an immediate need to change and upgrade systems, which he knows will meet resistance by some long serving staff.

 

Which of the following would be the most appropriate method for dealing with the resistance at this time?

Options:

A.

Coercion

B.

Facilitation

C.

Participation

D.

Negotiation

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Questions 18

A company is currently at the stage of organising the data which is captured within the big data process. What will they need to do next in order to complete all stages?

Select ALL that apply.

Options:

A.

The data will need interpreting, so it can be used to answer questions and help illustrate results

B.

The data will need to be illustrated in a clear and digestible format

C.

A search system will need to be implemented in order to search across the vast data landscape

D.

Data must be shared, allowing the relevant people access to the information produced

E.

The type of data needed will be identified and proxosion made for recording it

F.

Proxosion needs to be made to retain the vast amounts of information the big data process produces

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Questions 19

A company has used the Boston Consulting Group (BCG) matrix to plot the position of its products according to their relative market share and the growth of the market.

 

It has identified that it has several products under the heading of star.

 

Which of the following best describes its likely cash position? 

Options:

A.

Cash rich

B.

Cash neutral

C.

Cash negative

D.

This model doesn't consider the cash position

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Questions 20

There are several techniques that can be used when planning a project. Which of the following best describes a Work Breakdown Structure?

Options:

A.

A technique which can be used with critical path analysis to deal with uncertainties and risk within the project.

B.

A set of documents identifying each stage and task to be performed during development, defining a hierarchy of work prior to the allocation of tasks.

C.

A method of scheduling tasks using a chart on which bars represents the relative length of the task.

D.

A technique to arrange activities required to achieve the project objective, agreeing the objectives and determining exactly  the project aims.

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Questions 21

What is the main use of the Thomas-Kilmann Conflict Mode Instrument?

Options:

A.

It is a framework for assessing the causes of conflict in an organisation.

B.

It is a framework for assessing the symptoms of conflict in an organisation.

C.

It is a framework for classifying different ways of handling conflict.

D.

It is a framework for classifying the types of conflict in an organisation.

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Questions 22

The type of culture typified in an organisation where there is a clear hierarchical structure, formalised rules for decision making and clearly defined jobs is called a  

Options:

A.

Task Culture

B.

Person Culture

C.

Power Culture

D.

Role Culture

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Questions 23

The Managing Director of a large golf complex is using Drucker's five questions to help develop a new strategy.

Which of the following statements does not answer one of Drucker's questions?

Options:

A.

We will analyse the local market to ensure we are the best.

B.

We will offer state of the art facilities at affordable prices.

C.

We will target the fifty years plus demographic.

D.

We will utilise our knowledge in an attempt to improve our members golf skills and enjoyment of the sport.

E.

We will grow our revenues by 50% over the next three years.

F.

We will aim to constantly improve and update our course and the accompanying facilities.

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Questions 24

A large multinational organisation, with financial processing centres in several countries in which it operates, has chosen to consolidate these activities on one site or, in other words, into a Shared Service Centre (SSC).

 

Which THREE of the following are drawbacks of an SSC?

Options:

A.

Business relationships are weaker. The SSC may not be able to build strong relationships with the business area, which may result in a deterioration of performance in the business area.

B.

The accountants can feel isolated within the business and may develop their own ways of working which may not constitute best practice. Without a larger team around them, they may not be able to develop the acquired skills and knowledge.

C.

It distances the accountants from everyday decision-making in that he/she will be unlikely to have day to day contact with the business area which the SSC supports. The outcome may be that the accountant is unable to provide up-to-date information for decision-making.

D.

Loss of business knowledge as the finance function within the SSC may not have a detailed knowledge of each part of the business.

E.

Lack of knowledge may occur because there is less sharing of knowledge which can be achieved within a larger more diverse team. Best practice may not be employed and practices within some business areas may become outdated.

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Questions 25

Which type of culture, according to Charles Handy, is identified by an individual's tasks being clearly defined and their power coming from their position in the hierarchy? 

Options:

A.

Power Culture

B.

Task Culture

C.

Role Culture

D.

Person Culture

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Questions 26

According to Kurt Lewin which of the following leadership styles was thought to result in the highest level of productivity and satisfaction?

Options:

A.

Laissez-faire

B.

Authoritarian

C.

Democratic

D.

Benevolent Authoritative

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Questions 27

After undertaking competitive analysis, a company has assembled the information and is now in a position to benchmark its performance against that of its competitor. A manager has been asked to carry out strategic benchmarking, but he is unsure of what information he should use.

 

Which TWO of the options below could be used to undertake Strategic Benchmarking?

Options:

A.

% Market Share

B.

% return on Non Current Assets

C.

% late deliveries

D.

% sales returns

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Questions 28

When comparing a resource based approach with a positioning based approach, which of the following are statements are true about the positioning based approach?

Select ALL that apply.

Options:

A.

A positioning based approach is flexible and easy to adapt.

B.

A positioning based approach requires innovation to succeed.

C.

A positioning based approach leads to change, which can be difficult to manage.

D.

A positioning based approach offers consistency and stability based on resources and competencies.

E.

A positioning based approach can provide a product or service better than competitors.

F.

A positioning based approach is dangerous where the environment significantly changes.

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Questions 29

In the UK there is a principles based approach to corporate governance. Which THREE of the following statements are part of this approach?

Options:

A.

It consists of principles to be followed unless there is a justifiable reason not to do so.

B.

It includes legislation involving punishment for non-compliance.

C.

The UK code of corporate governance adopts a 'comply or explain' approach.

D.

Some of the provisions of the UK corporate code may not be followed exactly providing departure can be justified.

E.

It provides a set of rules which must be followed in all circumstances.

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Questions 30

Setting a mission is the first stage of the rational approach to strategy setting. According to David, which THREE of the following are useful areas to include in an organisation's mission statement?

Options:

A.

Customers

B.

Shareholders

C.

Markets

D.

Philosophy

E.

Suppliers

F.

Government

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Questions 31

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?

Options:

A.

Coercion

B.

Education and communication

C.

Facilitation and support

D.

Participation

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Exam Code: E2
Exam Name: Managing Performance
Last Update: Apr 27, 2024
Questions: 185
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