INSTITUTE OF BANKERS IN MALAWI CERTIFICATE IN BANKING EXAMINATION SUBJECT: MANAGEMENT (IOBM – C107) Date: Thursday, 2nd May 2013 Time Allocated: 3 hours (13:30 – 16:30 pm ) INSTRUCTIONS TO CANDIDATES 1 This paper consists of TWO Sections, A and B. 2 Section A consists of 20 multiple questions, each question carries 2 marks. Answer ALL questions. 3 Section B consists of 5 questions, each question carries 20 marks. Answer ANY THREE questions. 4 You will be allowed 10 minutes to go through the paper before the start of the examination, you may write on this paper but not in the answer book. 5 Begin each answer on a new page. 6 Please write your examination number on each answer book used. Answer books without examination numbers will not be marked. 7 DO NOT open this question paper until instructed to do so. SECTION A (40 MARKS) Answer ALL Questions from this section 1. Business organisations are mainly found in the a) b) c) d) Industrial sector of the economy Private sector of the economy Public sector of the economy Banking sector of the economy. 2. Who sets the standard behaviour for all types of businesses? a) b) c) d) The people through non-governmental organisations The government through various bodies The society through parliament and the courts The businesses through their umbrella body. 3. One of the two modern theories to the thinking of Management is a) b) c) d) Classical theory Excellence theory Contingency theory Human relations theory 4. The Quantitative School of Management thinking had its origin in a) b) c) d) Military application Business application Economic application Maths and science application 5. Strategic planning is defined as a) The process by which managers set objectives, assess the future, and develop courses of action designed to accomplish these objectives b) Predetermined courses of action developed for repetitive situations that will appear in future c) The process of planning, organizing, leading and controlling to achieve organizational objectives A qualification examined by the Institute of Bankers in Malawi 2 d) The process of determining organizational objectives and then adopting courses of action and allocating resources necessary to achieve these objectives. 6. Operational planning is a) The implementation of activities and allocation of resources necessary to achieve organizational objectives b) Coordinating the work standards and the appropriate individuals to implement second level plans c) The second stage in the Strategic planning process d) The setting of objectives and determining courses of action for functional areas in the organization. 7. A problem associated with the chain of command principle occurs when a) A manager fails to discipline his or her subordinates b) A subordinate does not manage his boss c) A subordinate bypasses a manager in giving information or requesting a decision d) A manager delegates his powers to one of his subordinates. 8. The one who distinguished between three types of interactions in an organisation is a) b) c) d) Urwick Gulick Graicunus Taylor 9. An organisation that consists of a small core of full-time employees and hires outside specialists temporarily as needed to work on projects is known as a) b) c) d) A network organisation A virtual organisation A matrix organisation A divisional structure 10. The traditional approach to employee motivation is best presented by the work of a) Fredrick Taylor b) Elton Mayo c) Henri Fayol d) Abraham Maslow A qualification examined by the Institute of Bankers in Malawi 3 11. Behaviour modification in motivation is a) A technique for applying the concepts of reinforcement theory in organizational setting b) A model developed by J stacy Adams to stimulate the motivation process c) A technique that allows the employee to focus on needs that will lead to desired behavior d) A model that best describes the process theories of motivation. 12. Charismatic leadership style can seem similar to a) b) c) d) Bureaucratic leadership Transformational leadership Democratic leadership Laissez-faire leadership 13. Every member of a group plays a role within that group. Some roles relate to the task aspects of the group while others a) b) c) d) Promote social interaction Relate to organizational goals Refer to behavioural patterns Identify group members 14. The term conflict refers to a) b) c) d) Arguments within a group Perceived incompatible differences resulting in some form of interference Resistance by some group members to adhere to given standards Disagreements and fighting amongst group members. 15. Many employees resist control if they feel over-controlled, or it they think control is inappropriately focused or rewards inefficiency, or; a) b) c) d) If they are uncomfortable with accountability If they think the boss is being jealous If they think the other employees are being favoured If they think it is not important to do so 16. One of the characteristics of useful information is that a) The supervisor must take the lead A qualification examined by the Institute of Bankers in Malawi 4 b) Data must be collected from many people c) It must tell a complete story d) It must be generated from a computer 17. Organizations install information systems because a) b) c) d) They will make the organization more effective and efficient They will have computers that motivate performance They will be known to be technologically advanced They will require IT personnel. 18. One of the factors contributing to increased diversity at the work place is a) b) c) d) Globalization Age distribution Gender Ethnicity. 19. One of the following factor must be considered when choosing the best advertising media for a vacant position: a) b) c) d) Type of job Location of organization Human resource strategy Design of the advert 20. Some businesses are reluctant to spend on training because; a) b) c) d) They fear employees will be very knowledgeable They fear that employees will demand high salaries They fear employees will be poached by competitors They fear that competitors will copy their skills. A qualification examined by the Institute of Bankers in Malawi 5 SECTION B (60 MARKS) Answer ANY THREE questions from this section QUESTION 2 (a) Using a simple diagram (organizational chart) describe a functional structure of any organization of your choice. (5 marks) (b) Leadership continues to be the focus of a great deal of research. There are three new perspectives on leadership that have attracted much attention. (i) Name the three new perspectives on leadership. (3 marks) (ii) State any two facts about each of the three new perspectives on leadership mentioned in (i) above. (12 marks) (Total 20 marks) QUESTION 3 (a) Name one advantage and one disadvantage of the following organizational design concepts: (i) Matrix project (4 marks) (ii) Team structure (4 marks) (b) Centralization is the systematic and consistent reservations of authority at central points in the organization. Mention the three implications of centralization. (6marks) (c) Span of control refers to the number of subordinates that a supervisor has. Explain clearly any two factors that can affect the span of control. (6 marks) (Total 20 marks) QUESTION 4 (a) Explain any two ways information systems may affect the organization’s basic structure and design. (6 marks) (b) The starting point for estimating supply is the existing workforce. Name three factors that a business should take account of when doing this exercise. (9 marks) (c) Explain the marketing argument as a benefit of diversity management to a firm that sells cosmetics. (5 marks) (Total 20 marks) A qualification examined by the Institute of Bankers in Malawi 6 QUESTION 5 (a) Explain any two of the three political behaviours in an organizational setting. (4 marks) (b) Explain clearly the four step process in trying to resolve conflict within yourself (core process). (16 marks) (Total 20 marks) QUESTION 6 (a) Explain the four decisional roles as identified by Henry Mintzberg. (8 marks) (b) How does SWOT analysis help the organisation to make effective decisions for its future goals? (12 marks) (Total 20 marks) END OF EXAMINATION PAPER A qualification examined by the Institute of Bankers in Malawi 7