Leadership In Organizations 8th Edition By Gary Yukl – Test Bank

Chapter 11: Strategic Leadership by Top Executives

1. Which condition is not likely to limit a chief executive’s discretion to make major changes in the strategy of an organization?

a. the organization has a few major clients who account for most sales
b. the organization has ample financial reserves
c. the culture of the organization is strong
d. the organization has a strong board of directors
Answer: b.

2. Research finds that major changes in companies are usually initiated by:

a. a strong chief executive who has occupied the position for many years
b. an internal successor selected by the prior chief executive before retiring
c. an internal successor selected to replace the prior CEO who was forced out
d. an external successor brought in to replace a CEO who was forced out
Answer: d.

3. When an organization has declining performance, a CEO who has been in office for many years is least likely to:

a. look for ways to improve implementation of the existing strategy
b. make small, incremental changes in the strategy
c. give a pep talk and urge people to redouble their effort
d. make major changes in the organization’s strategy
Answer: d.

4. What is the best summary of findings in research on leadership succession?

a. chief executives have little influence on organization performance due to the overwhelming influence of economic and market conditions
b. chief executives have a strong impact on organization performance and are the primary determinant of whether the organization prospers or declines
c. chief executives have a moderate impact on organizational performance when measured over a period of several years
d. chief executives influence stock prices but have little or no influence on the firm’s actual economic performance
Answer: c.

5. According to Schein, organization culture is best described as:

a. basic values and beliefs shared by members of the organization
b. member perception of the primary mission of the organization
c. the values and objectives espoused by the top executives
d. member commitment to the organizational objectives
Answer: a.

6. How is a strong organizational culture related to the financial performance of an organization?

a. performance is enhanced
b. performance is reduced
c. performance may be enhanced or reduced
d. there is little impact on performance
Answer: c.

7. Which is not a core performance determinant for an organization in the flexible leadership theory?

a. efficiency and process reliability
b. leader experience and intelligence
c. human resources and relations
d. innovation and adaptation
Answer: b.

8. According to the flexible leadership theory, the CEO of an organization should:

a. focus primarily on short-term objectives such as quarterly profits
b. provide heroic, charismatic leadership for the organization
c. coordinate leadership processes across levels and subunits
d. emphasize direct behaviors more than management programs and systems
Answer: c.

9. According to flexible leadership theory, strategic leadership is most difficult when:

a. adaptation is more important than the other performance determinants
b. efficiency is more important than the other performance determinants
c. the performance determinants are all very important
d. the performance determinants all differ in importance
Answer: c.

10. Which guideline about management programs and systems is most consistent with flexible leadership theory?

a. programs and systems should be used to reduce the number of individual managers that are needed
b. a program or system should not be used if more than one performance determinant will be affected
c. a program or system should not duplicate the effects of direct behavior by individual managers
d. programs and systems should be supported by the direct behavior of individual managers
Answer: d.