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Code d'Examen: IIA-CIA-Part4
Nom d'Examen: IIA (Certified Internal Auditor - Part 4, Business Management Skills)
Questions et réponses: 535 Q&As
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NO.1 Which of the following is not one of the advantages of self-managed teams?
A. Motivation is improved because decision making is decentralized.
B. Improved processes of production if the teams are supported properly.
C. Managerial acceptance by tradition-oriented managers.
D. Improved communication because all members understand the team's activities better.
Answer: C
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Explanation:
Managerial resistance is often the primary obstacle of self-managed teams. Organizational change is
difficult and tradition-oriented managers tend to regard self-managed teams as a threat to their
status.
NO.2 Some studies show that managers spend 60 to 70% of their time communicating and that
nearly 60% of that time is spent listening. Listening effectiveness is best increased by:
A. Resisting both internal and external distractions.
B. Waiting to review key concepts until the speaker is through talking.
C. Tuning out messages that do not seem to fit the meeting purpose.
D. Factoring in biases to evaluate the information being given.
Answer: A
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Explanation:
Concentrating on what the speaker is saying is critical to effective listening. This result is best
achieved by resisting internal and external distractions. Physical distractions such as noise, a
tendency to be overly aware of the speaker's physical and other differences from the listener,
focusing on interesting details at the expense of major points, or emotional reactions to a statement
with which the listener disagrees should be avoided.
NO.3 Rivalry among existing firms in an industry is more likely to be strong when:
A. The industry is in the rapid growth stage.
B. Investment intensity is low.
C. A few firms are dominant.
D. Capacity must be expanded in large increments.
Answer: D
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Explanation:
The intensity of rivalry and the threat of entry may vary with the extent of capacity expansion
dictated by the need to achieve economics of scale. If it must be made in large increments to
achieve economics of scale, competition will be more intense. The need for large-scale expansion to
achieve production efficiency may result in an excess of industry capacity over demand. However, if
capacity may be expanded in small increments, industry capacity is less likely to be excessive, the
supply-demand balance is less likely to be upset, and price cutting is less likely to be necessary.
NO.4 The General Electric (GE) portfolio model for competitive analysis of strategic business units
(SBUs) should be compared with the Boston Consulting Croup's growth-share matrix. The GE model:
A. Is a matrix with two variables:relative market share and market growth rate.
B. Calculates an index for each of its two variables.
C. Considers such factors for business strength as market size, growth rate, and price levels.
D. Considers such factors for market attractiveness as market share, growth rate, and marketing
skills.
Answer: B
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Explanation:
The GE model is a multifactor portfolio matrix with two variables. Business strength or competitive
position (BUS) is on one axis, and market attractiveness (MAT) is on the other. BUS is classified as
strong, medium, or weak, and MAT is classified as high, medium, or low. Thus, the matrix in this
model is 3 x 3 and has nine cells. SBUs are shown in the matrix as circles. Circle size is directly
proportional to the size of the related market, with a shaded portion in the circle that represents
the SBU's market share. To measure BUS and MAT, the firm must isolate the multiple factors
affecting each, quantify them, and create an index. Factors will vary with each business. The
measurements will provide the values on the axes of the matrix.
NO.5 Which of the following concepts is not consistent with a successful authoritarian organization?
A. Each subordinate should only have one superior.
B. Superiors may have as many subordinates as possible within the superior's span of control.
C. Responsibility may be delegated.
D. The hierarchy of authority should be precisely defined.
Answer: C
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Explanation:
Taylor, Fayol, and other traditionalists advocated the creation of authoritarian organizations. One of
the criteria for success was the ability to delegate authority but not responsibility. Responsibility
should always remain with the person who made the decision.
NO.6 Paul Hersey and Ken Blanchard developed a situational leadership model with two
dimensions:task and relationship behaviors. In this model, the delegating leadership style is
appropriate when followers have:
A. Low maturity.
B. Low to moderate maturity.
C. Moderate to high maturity.
D. High maturity.
Answer: D
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Explanation:
The dimensions of the delegating leadership style are low task and low relationship. Consequently,
task- and relationship-related behaviors are low. The leader provides little direction or support
because the maturity of followers is high. They are willing and able to do what is necessary.
NO.7 Which of the following is least likely to be an example of synergy?
A. A shopping mall with several businesses providing different products and performing different
services.
B. A car dealership providing warranties on automobile parts to maximize customer value.
C. A manufacturing company hiring a new manager with technological experience lacking in the
company.
D. Military Humvees being converted into sports utility vehicles for sale to civilians.
Answer: B
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Explanation:
Synergy occurs when the combination of formerly separate elements has a greater effect than the
sum of their individual effects.
However, a car dealership's provision of warranties reflects anoperational strategy designed to
provide post-purchase services to gain a competitive advantage and maximize customer value. It
does not reflect the complementary sharing of resources, technology, or competencies. In contrast,
synergy arises from selling a line of carsthat share some components or abrand identification.
NO.8 With the shift in some countries' economies toward service industries, a new form of
organization has developed. This organization structure is referred to as the professional
bureaucracy. While this structure resembles the machine bureaucracy which relies on standardized
work processes) in several respects, it is different in one key aspect. This significant difference is that
in a professional bureaucracy:
A. Senior management has had to give up a substantial amount of control.
B. Tasks are accomplished with a high degree of efficiency.
C. There is strict adherence to rules.
D. There is a tendency for subunit conflicts to develop.
Answer: A
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Explanation:
A professional bureaucracy e.g., a university or library) is a complex and formal but decentralized
organization in which highly trained specialists have great autonomy. The jobs performed by these
professionals require years of education and training. By their nature, such jobs can be performed
effectively only if the employees are afforded substantial autonomy.
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