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Chapter 7 Exercise
Management, 10e (Robbins) Chapter 7 Foundations of Planning
1) Planning is concerned with how objectives are to be accomplished, not what is to be accomplished.
2) Planning provides direction to managers and nonmanagers alike.
3) Even without planning, departments and individuals always work together, allowing organizations to move efficiently toward its goals.
4) Research indicates that nonplanning organizations always outperform planning organizations.
5) Goals are the foundation of organizational planning.
6) Most businesses have only one objective: to make a profit.
7) Most companies ' goals can be classified as either strategic or financial.
8) Goals and objectives are two terms used interchangeably in the planning process.
9) Strategic goals are related to the financial performance of the organization.
10) An organization 's real goals are often quite irrelevant to what actually goes on.
11) Strategic plans can be categorized as long term, directional, and single use
12) Operational plans encompass a particular operational area of the organization.
13) Long term used to mean anything over three years, but now it means anything over one year.
14) Short-term plans are those covering one year or less.
15) Directional plans have clearly defined objectives.
16) When uncertainty is high and managers must be flexible in order to respond to unexpected changes, directional plans are preferable.
17) An integrated network of goals is sometimes called a means-end chain.
18) In MBO, or management by objectives, goals are often less well-defined, giving managers and employees more flexibility to respond to changing conditions.
19) In a typical MBO program, successful achievement of objectives is reinforced by performance-based rewards. 20) An MBO program consists of four elements: loose goals, participative decision making, an explicit time period, and performance feedback.
21) Studies of actual MBO programs find mixed results in terms of its

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