Study Guide for Unit 3

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1 Business Management Essentials 1600 Unit 3: Organizing Chapters 9-12, Types of Businesses Handout, and Business Employment Law Handout Key Terms Types of Businesses: Sole Proprietorship Partnership Limited Partnership Corporation Limited Liability Corporation S-Corporation Franchise Chapter 9 (Organizational Structure): Organizational Process Departmentalization Functional Departmentalization Product Departmentalization Customer Departmentalization Geographic Departmentalization Matrix Departmentalization Chain of Command Unity of Command Line Authority Staff Authority Job Design Job Specialization Job Enlargement Job Enrichment Modular Organization Virtual Organization Chapter 10 (Managing Teams): Cross-Training Self-Managing Team Cross-Functional Team Project Team Stage of Team Development Forming Storming Norming Performing Chapter 11 (Human Resources) & Handout: Bona Fide Occupational Qualification (BFOQ) Sexual Harassment Quid Pro Quo Hostile Work Environment Job Analysis Job Description Job Specification Background Checks Job Interview Unstructured Interview Structured Interview Performance Appraisal Objective Performance Measures Subjective Performance Measures Compensation Piecework Commission Profit Sharing Employee Stock Ownership Plan Stock Options Downsizing Outplacement Services Early Retirement Incentive Programs Employee Turnover Functional Turnover Dysfunctional Turnover Affirmative Action Boycott Civil Rights Act of 1964 Diversity Reverse Discrimination Chapter 12 (Managing Diverse Work Force): Surface-level Diversity Deep-level Diversity Age Discrimination Sex Discrimination Racial/Ethnic Discrimination Disability Discrimination Diversity Audit

2 Sample Test Questions Types of Business Look at your handout to study for questions on types of businesses Which type of business is easiest to start? Which type of business often requires owners pay a royalty based on sales? Which type of business is owned by stockholders? Which type of business has two or more owners who share in the decision-making and the risk for the business? What does limited liability mean? List one advantage and one disadvantage of sole proprietorships. List one advantage and one disadvantage of partnerships. List one advantage and one disadvantage of corporations. Chapter 9 (Organizational Structure): means that workers report to just one supervisor. Textbook page 184 A function is an activity that contributes directly to creating or selling the company s products. Textbook page 185 Except for the core business activities that they can perform better, faster, and cheaper than others, outsource all remaining business activities to outside companies, suppliers, specialists, or consultants. Textbook page 195 Chapter 10 (Managing Teams): An organization engaged in its work team members is training them in how to do all or most of the jobs performed by the other team members. Textbook page 200 One way that teams can be broadly classified is as either a. Functional or departmental b. Local or national c. Line or staff d. Centralized or decentralized e. Functional or cross-functional Look at Textbook page 203 for how teams can be classified The is composed of employees from different functional areas of the organization. Textbook page 205

3 A group in Great Britain has been established to improve the employment, retention, and promotion prospects for ethnic minorities. The team has two years to gather information and create a plan. This describes what type of team? a. Self-designing b. Project c. Virtual Textbook page 205 Describe each of the four stages of team development. Textbook pages Group cohesion tends to be relatively strong at the stage of team development. Textbook page 210 A team has finally matured into a fully-functioning team at the stage of development. Textbook page 210 Chapter 11 (Human Resources): A is a purposeful, systematic process for collecting information on the important workrelated aspects of a job. Textbook page 221 The interview uses only standardized, job-related interview questions that are prepared ahead of time and asked of all candidates. Textbook page 230 Which of the following is an example of a subjective performance measure? a. observation (behavior observation scale) b. sales quotas c. production rate d. customer complaints See textbook page 235. Understand the difference between objective performance measures and subjective performance measures is the loss of high-performing employees who voluntarily choose to leave a company. Textbook page 244 The Civil Rights Act of 1964 provides protection based on what five areas? See your notes on handout The EEOC is an abbreviation for what government agency? See your notes on handout Can information from DNA testing be used to deny an employee health insurance? See your notes on handout Employers with fewer than 50 full-time employees are not required to offer health insurance to employees under the Affordable Care Act. See your notes on handout a. True b. false

4 Chapter 12 (Managing Diverse Work Forces) We covered several items for Chapter 11 during our class discussions for Chapter 11 look at your notes on the handout to help you with questions consists of differences communicated through verbal and nonverbal behaviors, such as personality and attitudes. Textbook page 251 A factory in the U.S. has 1,200 workers who speak 20 different languages. This factory illustrates a. acculturation b. diversity c. affirmative action d. cultural organization Look at page 248 of the textbook. Understand the difference between diversity and affirmative action. Diversity has a broader focus than affirmative action The fastest-growing population group in the United States is a. Vietnamese-Americans b. Hispanic-Americans c. African-Americans d. Canadians Remember the chart I showed as part of the PowerPoint presentation? The purposeful steps taken by an organization to create employment opportunities for minorities and women is called. a. Discretionary diversity b. Affirmative action c. Organizational plurality d. Cultural proaction Textbook page 248 In a recent meeting, San Mateo County Supervisors voted to conduct a(n) which would provide an accounting of how well the makeup of local boards and commissions reflects the racial, gender, cultural, geographic, and ethnic diversity of the county. a. Diversity comparison b. Diversity audit c. Employee-oriented attitudinal review d. SWOT analysis See page 264 of the textbook Remember this is just a sample of the test questions. Be familiar with the vocabulary and how to apply the concepts in case studies.

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