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CHAPTER 18: ORGANIZATIONAL CULTURE AND CULTURAL DIVERSITY
Test Correlation Table Question Types/Level of Difficulty
2. Compare and contrast four types of organizational culture.
TF 9, 10, 13 11, 12, 16, 17 14, 15
MC 33, 36, 37, 41, 43, 50
30, 32, 34, 35, 38, 39, 40, 42, 46, 49, 51
31, 44, 45, 48, 52
ES — 2, 3, 5 4
3. Discuss several types of subcultures that may exist in organizations.
TF 18, 23 19, 20, 22, 25, 26, 28 21, 24, 27
MC 53, 57, 60, 61, 63, 65, 67, 72
55, 59, 62, 68, 71, 73, 75
54, 56, 58, 64, 66, 69, 70
ES — — 6
4. Describe several activities for successfully managing diversity.
TF 33, 38 29, 31, 34, 35, 36, 39, 40
30, 32, 37
MC 76, 78, 84, 85, 90, 96, 98
77, 79, 80, 81, 82, 83, 87, 88, 89, 93, 94, 97
86, 91, 92, 95
ES — — 7, 8
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True/False Questions
Learning Objective 1
1. The elements of a culture include symbols, language, and narratives.
ANSWER: T, Knowledge, Moderate, p. 512
2. At Southwest Airlines, “fun first” is a norm shared by the airline’s employees and customers alike.
ANSWER: F, Knowledge, Difficult, p. 513
3. A value comprises multiple beliefs that are compatible and supportive of one another.
ANSWER: F, Knowledge, Difficult, p. 513
4. The most powerful organizational socialization is through consistent role modeling, teaching, coaching, and enforcement by coworkers and managers.
ANSWER: T, Knowledge, Easy, p. 514
5. Symbols are the simplest and most basic observable form of cultural expression.
ANSWER: T, Knowledge, Moderate, p. 514
6. Narratives are based on legends that may not necessarily be entirely true.
ANSWER: T, Knowledge, Difficult, p. 516
7. Taboos are culturally forbidden behaviors.
ANSWER: T, Knowledge, Easy, p. 517
8. Ceremonies are elaborate and formal activities designed to generate strong feelings.
ANSWER: T, Knowledge, Moderate, p. 517
Learning Objective 2
9. No one type of culture is ideal for every situation.
ANSWER: T, Knowledge, Easy, p. 518
10. The long-term concerns of a bureaucratic culture are predictability, efficiency, and stability.
ANSWER: T, Knowledge, Easy, p. 518
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11. Peer pressure to adhere to important norms is strong in a clan culture.
ANSWER: T, Knowledge, Moderate, p. 518
12. Tradition, loyalty, personal commitment, and extensive socialization are attributes of an entrepreneurial culture.
ANSWER: F, Knowledge, Moderate, pp. 518–519
13. Social relations are important and officially emphasized and rewarded in a market culture.
ANSWER: F, Knowledge, Easy, p. 519
14. Entrepreneurial cultures are only appropriate for the start-up phase of organizations. A different culture is more appropriate later.
ANSWER: F, Knowledge, Difficult, p. 519
15. Oracle is known for their nurturing of an entrepreneurial culture.
ANSWER: F, Knowledge, Difficult, p. 519
16. One reason for maintaining an established organizational culture is to create a stronger, more consistent organization as the external environment changes.
ANSWER: F, Knowledge, Moderate, p. 520
17. It is not unusual to find several subcultures within a single organization.
ANSWER: T, Knowledge, Moderate, p. 520
Learning Objective 3
18. Departments and divisions within companies may have their own subcultures.
ANSWER: T, Knowledge, Easy, p. 521
19. Incompatibility of cultures is the most frequently cited reason for the failure of mergers.
ANSWER: T, Knowledge, Moderate, p. 521
20. In organizations that operate in several countries, subcultures that reflect these national differences are likely to exist even when there is a common organizational culture.
ANSWER: T, Knowledge, Moderate, pp. 522–523
21. The subculture of western China is the most individualistic of the main local cultures.
ANSWER: F, Knowledge, Difficult, p. 523
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22. Nearly 1 in 10 workers in the United States today is foreign born—the lowest rate in 70 years.
ANSWER: F, Knowledge, Moderate, pp. 523–524
23. Employees within each generation tend to share a subculture distinct from the subcultures of other generations.
ANSWER: T, Knowledge, Easy, p. 525
24. The Generation Xers have become known for challenging authority and creating open lines of communication.
ANSWER: F, Knowledge, Difficult, p. 525
25. Diversity campaigns have finally eliminated most of the formation of organizational subcultures based on gender.
ANSWER: F, Knowledge, Moderate, p. 525
26. Many managers believe that the presence of distinct subcultures in an organization can be beneficial and should be valued.
ANSWER: T, Knowledge, Moderate, p. 526
27. The experience of African Americans working in the accounting profession was much different back in the 1980s when very few were made partners, compared to today when about 15% of all partners are African Americans.
ANSWER: F, Knowledge, Difficult, p. 526
28. A multicultural organization is one that tries to ensure that the dominant culture does not exploit the other subcultures.
ANSWER: F, Knowledge, Moderate, p. 527
Learning Objective 4
29. In the 1980s the term diversity was used to refer to the number of women and minorities in an organization.
ANSWER: T, Knowledge, Moderate, p. 527
30. Language is an area of coverage in the diversity initiatives of less than 50 percent of surveyed companies.
ANSWER: T, Knowledge, Difficult, p. 527
31. The creation of economic value is not a major goal for organizations that are concerned about their management of cultural diversity.
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ANSWER: F, Knowledge, Moderate, p. 528
32. The basic goal of affirmative action is to compensate for past injustices.
ANSWER: F, Knowledge, Difficult, p. 528
33. The most common methods used to assess organizational culture are employee surveys and focus groups.
ANSWER: T, Knowledge, Easy, p. 529
34. The actual cost to Texaco for racial discrimination exceeded the $175 million settlement to former employees.
ANSWER: T, Knowledge, Moderate, p. 530
35. Texaco’s management established themselves as leaders in the industry for recognizing early the importance of developing cultural diversity in its organization.
ANSWER: F, Application, Moderate, p. 530
36. Some types of homogeneity may be appropriate for managers to effectively operate the organization and should be retained rather than replaced by diversity.
ANSWER: T, Knowledge, Moderate, p. 530
37. Non-U.S. citizens who work in the United States is one of the employee groups created by GM, designed to promote cultural diversity.
ANSWER: T, Knowledge, Difficult, p. 531
38. Planned organizational change usually follows an evolutionary—not revolutionary—path.
ANSWER: T, Knowledge, Easy, p. 531
39. Awareness training is aimed at ensuring that employees understand the meaning of the actions the company will take when someone complains of being harassed.
ANSWER: T, Knowledge, Moderate, p. 534
40. It is not unusual for the implementation of cultural diversity in an organization to actually result in heightened conflict within the team.
ANSWER: T, Knowledge, Moderate, p. 537
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Multiple Choice Questions
Preview 1. At the firm of GSD&M, the norm associated with “Your butt is connected to your head”
is __________.a. immersionb. integrityc. responsibilityd. fun
ANSWER: A, Knowledge, Difficult, p. 512
2. __________ is(are) so important to the cofounder of GSD&M in Austin, TX, that he has campaigned to have the city add it to their official slogan.a. Funb. Freedomc. Ideasd. Curiosity
ANSWER: C, Knowledge, Easy, p. 512
Learning Objective 1
The Elements of a Culture3. Which of the following is not considered one of the basic elements of a culture?
a. shared valuesb. shared assumptionsc. shared knowledged. shared norms
ANSWER: C, Knowledge, Moderate, p. 512
4. A __________ is the unique pattern of shared assumptions, values, and norms that shape the socialization, language, symbols, narratives, and practices of a group of people.a. microclimate b. social systemc. communityd. culture
ANSWER: D, Knowledge, Easy, p. 512
5. Which of the following is not an observable element of culture?a. narrativesb. normsc. symbolsd. socialization
ANSWER: B, Knowledge, Difficult, p. 513
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6. To what does Herb Kelleher, Chairman of Southwest Airlines, attribute the success of the airline?a. on-time flightsb. low airfaresc. customer serviced. the culture of the organization
ANSWER: D, Knowledge, Easy, p. 512
7. Culture has everything to do with Southwest Airlines’ success, according to founder Herb Kelleher, because __________.a. culture gives meaning and purpose to employeesb. costs are already as low as they can goc. competitors can’t copy its cultured. all of the above
ANSWER: C, Knowledge, Moderate, p. 512
8. Karen Patel has recently begun a new job at a large engineering firm. She realizes that the new organization differs from her old organization about what the notion of effectiveness means. What element of culture does this illustrate?a. shared assumptionsb. shared valuesc. shared socializationd. shared symbols
ANSWER: A, Application, Difficult, pp. 512–513
9. __________ are the underlying thoughts and feelings that members of a culture take for granted and believe to be true.a. Organizational symbolsb. Shared assumptionsc. Organizational realitiesd. Attitudes
ANSWER: B, Knowledge, Easy, p. 513
10. All of the following are true statements concerning shared assumptions in a culture except:a. at Linux, software programmers share the assumption that software code should be
openly available to anyone.b. GSD&M assumes that creativity needs to be stimulated by the external
environment.c. companies differ in their assumptions about strategy.d. all of the above
ANSWER: D, Knowledge, Moderate, pp. 512–513
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11. A __________ is a basic belief about something that has considerable importance and meaning to individuals and is stable over time.a. shared assumptionb. ritualc. valued. symbol
ANSWER: C, Knowledge, Easy, p. 513
12. At Southwest Airlines, __________ is a shared value.a. having funb. working overtimec. competitivenessd. on-time flights
ANSWER: A, Knowledge, Moderate, p. 513
13. A European company has recently announced its intention to open a new office in the United States. Management of the company is aware that the cornerstones of private enterprise and individual rights are believed to be mutually supportive of each other. What element of culture is this company trying to understand?a. shared assumptionsb. shared socializationc. shared valuesd. shared symbols
ANSWER: C, Application, Difficult, p. 513
14. __________ is a process by which new members are brought into a culture.a. Deindividuationb. Selectionc. Brainwashingd. Socialization
ANSWER: D, Knowledge, Easy, p. 514
15. The most powerful way to socialize people into a culture is through consistent use of all of the following except __________.a. role modelingb. teachingc. coachingd. all of the above
ANSWER: D, Knowledge, Easy, p. 514
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16. A __________ is anything visible that can be used to represent an abstract shared value or something having special meaning.a. shared symbolb. shared assumptionc. shared languaged. shared practice
ANSWER: A, Knowledge, Easy, p. 514
17. __________ are the simplest and most basic observable form of cultural expression of an organization.a. Labels b. Mottosc. Symbolsd. Mascots
ANSWER: C, Knowledge, Easy, p. 514
18. Prudential Life Insurance uses the Rock of Gibraltar to represent continuity and dependability, which have great meaning to both employees and customers. The Rock is a(n) __________ of Prudential.a. valueb. mascotc. icond. symbol
ANSWER: D, Application, Easy, p. 514
19. Setpoint’s alignment between company objectives and the way employees thought about their work can be attributed to __________.a. cultureb. communityc. social normsd. shared knowledge
ANSWER: A, Knowledge, Easy, p. 515
20. At Setpoint, “the board” symbolized __________.a. mistakes made by a failed management teamb. open and trusting relationships between managers and employeesc. a culture where quality is never at the point where it can be considered adequated. customer relationships
ANSWER: B, Knowledge, Difficult, p. 515
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21. From a cultural perspective, __________ is (are) a shared system of vocal sounds, written signs, and/or gestures used to convey special meanings among members of a culture.a. coalitions b. phenomenologyc. symbolsd. language
ANSWER: D, Knowledge, Easy, p. 515
22. Commerce Bank’s use of a “Wow Department” indicates their understanding of the link between __________ and culture.a. socializationb. symbolsc. languaged. values
ANSWER: C, Knowledge, Moderate, p. 516
23. __________ is (are) the unique stories, sagas, legends, and myths in a culture.a. Coalitions b. Symbolsc. Jargond. Narratives
ANSWER: D, Knowledge, Easy, p. 516
24. A(n) __________ describes the unique accomplishments and beliefs of the organization and its leaders over time, usually in heroic and romantic terms.a. icon b. reflectionc. alliterationd. narrative
ANSWER: D, Knowledge, Easy, p. 516
25. A new salesperson for Mary Kay recently learned how Mary Kay Ash founded her successful company while struggling to support herself and her children as a single parent. What element of culture does this describe?a. shared practicesb. shared narrativesc. shared assumptionsd. shared language
ANSWER: B, Application, Moderate, p. 516
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26. What is the most complex but observable cultural form?a. shared socializationb. shared assumptionsc. shared narrativesd. shared practices
ANSWER: D, Knowledge, Difficult, p. 517
27. In the entertainment industry, at the annual ceremonies that bestow the Oscar, Grammy, and Emmy awards, the recipients always thank many other people who made their success possible. What element of culture does this illustrate?a. shared practicesb. shared assumptionsc. shared narrativesd. shared values
ANSWER: A, Application, Difficult, p. 517
28. Johnson & Johnson, a leader in the development of pharmaceuticals, has a culture that forbids putting profits ahead of ethical responsibilities to doctors, nurses, and patients. Shared practices, such as those evident at Johnson & Johnson, which forbid certain behaviors are known as __________.a. taboosb. ritesc. ceremoniesd. sagas
ANSWER: A, Application, Moderate, p. 517
29. Steven Jobs introduces Apple’s new product line during an elaborate and formal activity, designed to generate strong feelings of surprise and excitement among the employees. What type of activity is Jobs performing?a. riteb. ceremonyc. practiced. narrative
ANSWER: B, Application, Moderate, p. 517
Learning Objective 2
Basic Types of Organizational Cultures30. __________ is not one of the four major types of organizational cultures described in
your textbook.a. Bureaucratic b. Marketc. Cland. Transformational
ANSWER: D, Knowledge, Moderate, p. 517
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31. All of the following statements are true concerning types of organizational cultures except:a. in a culturally homogeneous organization, no single type of culture will
predominant.b. there are four pure types of organizational culture.c. a market culture has a stable control orientation. d. all of the above
ANSWER: A, Knowledge, Difficult, pp. 517–518
32. Which of the following correctly describes organizational cultures?a. Different organizational cultures may be appropriate under different conditions.b. Some employees prefer one culture over another.c. Employees who work in organizations with cultures that fit their view of an ideal
culture tend to be committed to the organization.d. All of the above are true.
ANSWER: D, Knowledge, Moderate, p. 518
33. An organization in which employees value formalization, rules, standard operating procedures, and hierarchical coordination can best be described as a __________ culture.a. bureaucraticb. functionalc. formalizedd. stable
ANSWER: A, Knowledge, Easy, p. 518
34. What type of organization would be a good “fit” for someone who believes it is their duty to “go by the book” and follow legalistic procedures?a. bureaucraticb. clanc. entrepreneuriald. market
ANSWER: A, Application, Moderate, p. 518
35. Samantha Robbins is a new employee with a major real estate developer and has noticed that her tasks, responsibilities, and authority have been very clearly defined and every one plays by a clear set of rules. What type of organizational culture has Samantha observed?a. functionalb. clanc. bureaucraticd. entrepreneurial
ANSWER: C, Application, Moderate, p. 518
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36. What type of culture is evident in most local, state, and federal governments?a. marketb. entrepreneurialc. functionald. bureaucratic
ANSWER: D, Knowledge, Easy, p. 518
37. Tradition, loyalty, personal commitments, extensive socialization, teamwork, self-management, and social influence are attributes of a(n) __________ culture.a. market b. entrepreneurialc. clan d. family
ANSWER: C, Knowledge, Easy, p. 518
38. Javier Torres has recently made a long-term commitment to his organization in the form of loyalty in exchange for the organization’s long-term commitment to his individual security. What type of organizational culture is Torres likely a member of?a. bureaucraticb. marketc. cland. none of the above
ANSWER: C, Application, Moderate, p. 518
39. All of the following correctly describe a clan culture except:a. members have a shared image of organizational style and conduct.b. a long and thorough socialization process takes place.c. members have a strong sense of identification and recognize the need to work
together.d. there is a commitment to experimentation, innovation, and being on the leading
edge.
ANSWER: D, Knowledge, Moderate, p. 518
40. Your brother-in-law has just graduated from college and is looking for work in an organization with a culture that fits his commitment to experimentation, innovation, and being on the leading edge. What organizational culture will be recommended to him?a. bureaucraticb. clanc. entrepreneuriald. none of the above
ANSWER: C, Application, Moderate, pp. 518–519
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41. High levels of risk taking, dynamism, and creativity characterize a(n) __________ culture.a. bureaucratic b. evolvingc. dynamic d. entrepreneurial
ANSWER: D, Knowledge, Easy, p. 518
42. During the 1990s, Internet-based start-ups enjoyed a great deal of success. What type of culture did the companies likely create?a. marketb. entrepreneurialc. cland. bureaucratic
ANSWER: B, Knowledge, Moderate, p. 519
43. The achievement of measurable and demanding goals, especially those that are financial and market-based, characterize a(n) __________ culture.a. economic b. marketc. entrepreneuriald. free-enterprise
ANSWER: B, Knowledge, Easy, p. 519
44. All of the following correctly describe organizations with a market culture except:a. the relationship between individual and organization is negotiated.b. there is not much informal social pressure exerted on the organization's members.c. individuality and independence are discouraged for the sake of higher profits.d. hard-driving competitiveness and a profit orientation prevail throughout the
organization.
ANSWER: C, Knowledge, Difficult, p. 519
45. Bryan Porter is the new marketing director of a regional bakery company. As a member of management, Bryan is hoping to be judged on his effectiveness as a role model and mentor to his employees. He is eager to develop social relations among co-workers and broaden his network of colleagues within the organization. What type of organizational culture would least satisfy Bryan?a. bureaucraticb. marketc. entrepreneuriald. all of the above
ANSWER: B, Application, Difficult, pp. 518–519
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46. Frito-Lay and Hewlett-Packard have adopted a culture in order to survive in the highly competitive consumer products businesses. What type of culture have these organizations likely adopted?a. bureaucraticb. clanc. marketd. entrepreneurial
ANSWER: C, Knowledge, Moderate, p. 519
47. Which organizational culture assures that an organization will yield high profits, have a productive and eager workforce, and make the stakeholders happy?a. clanb. marketc. entrepreneuriald. none of the above
ANSWER: D, Application, Moderate, pp. 518–519
48. Organizational culture has the potential to enhance all of the following except __________.a. organizational performanceb. individual satisfactionc. the sense of certainty about how problems are to be handledd. all of the above.
ANSWER: D, Knowledge, Difficult, p. 519
49. All of the following are attributes of a “strong” culture except:a. a single, consistent message is presented.b. managers and employees share a common behavioral style.c. problems are solved by top managers in a hierarchical structure.d. a common set of rules governs the use of rewards and punishments.
ANSWER: C, Knowledge, Moderate, p. 519
50. In Wilmington, DE, there is a noticeable clash of cultures between DuPont and __________.a. Dow Chemicalb. Citicorpc. MNBAd. Oracle
ANSWER: C, Knowledge, Easy, p. 520
51. The MBNA culture is noticeable in all of the following except:a. workers buy homes in the same neighborhoods.b. men are described as looking like Secret Service agents.c. the MBNAers like to have fun together at group activities.d. women almost always wear their gold MBNA pin on their left lapel.
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ANSWER: A, Knowledge, Moderate, p. 520
52. Firms are assessing organizational change after the economic downturn of 2002. They need to understand the impact of __________.a. reductions in merger and acquisition activityb. the shift toward knowledge-based competitionc. trends toward taxes, tariffs, and protection of marketsd. all of the above
ANSWER: B, Knowledge, Difficult, p. 520
Learning Objective 3
Subcultures within Organizations53. An __________ exists when assumptions, values, and norms are shared by some—
but not all—organizational members.a. organizational subcultureb. organizational mergerc. organizational assumptiond. organizational value
ANSWER: A, Knowledge, Easy, p. 521
54. Clashes of management style after a corporate merger is __________.a. a bigger problem than cultural incompatibilityb. a less serious problem than culture clashesc. the most common reason for failured. only acceptable in the short-term
ANSWER: B, Knowledge, Difficult, p. 521
55. Occupation-based subcultures __________.a. create cultural indoctrination, in some casesb. sometimes form their own mission statementsc. group members of a profession togetherd. all of the above
ANSWER: D, Knowledge, Moderate, p. 522
56. The subculture found at each IBM location around the world is defined as a combination of the organizational culture and __________.a. genderb. ethnicityc. regiond. language
ANSWER: C, Knowledge, Difficult, p. 522
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57. Subcultures with which employees may identify include all of the following except __________.a. occupational subculturesb. regional subculturesc. sexual orientation subculturesd. all of the above
ANSWER: D, Knowledge, Easy, pp. 521–525
58. The culture at the Alabama Mercedes-Benz factory that tends to be generalists rather than specialists is the __________.a. Japaneseb. Germanc. American d. United Auto Workers Union
ANSWER: A, Knowledge, Difficult, p. 523
59. Mercedes-Benz did all of the following except __________ to successfully merge the manufacturing cultures of Germany, Japan, and America at their Alabama facility.a. send U.S. engineers to Germany to work with German engineersb. send U.S. team leaders to Japan to learn quality techniquesc. create multidisciplinary teams to manage operationsd. create open and egalitarian manager and subordinate relationships
ANSWER: B, Knowledge, Moderate, p. 523
60. A person who lives in the U.S. and identifies with a Cuban, Puerto Rican, South American, or Central American culture is considered in what ethnic category?a. Asianb. Hispanicc. Native Islanderd. Pacific Islander
ANSWER: B, Knowledge, Easy, p. 524
61. Asian ethnicity includes people from all of the following groups except __________.a. Cambodiab. Indiac. Malaysiad. all of the above
ANSWER: D, Knowledge, Easy, p. 524
62. In the U.S., White ethnicity can include people originating from __________.a. Spainb. Cubac. Irand. all of the above
ANSWER: D, Knowledge, Moderate, p. 524
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63. Characteristics such as age, ethnicity, and gender are typically referred to as __________.a. diversity markersb. workforce demographicsc. job qualificationsd. employment attributes
ANSWER: B, Knowledge, Easy, p. 523
64. Some of the techniques used by managers to create positive subcultures include all of the following except: a. celebrating personal milestones such as workers’ birthdays.b. listening to employees and recognizing their efforts.c. sponsoring picnics and parties.d. all of the above
ANSWER: C, Knowledge, Difficult, p. 523
65. Karina Cardenas is the child of recent immigrants, the first child in her family to be born in the United States. It is likely that she __________.a. was strongly influenced by her parents’ home country cultureb. feels homesickc. needed to rely on an interpreter for her school activitiesd. all of the above
ANSWER: A, Application, Easy, p. 524
66. The diversity director at Darden Restaurants said, “Our employees who were from __________ backgrounds were very pleased that we acknowledged their __________.a. African American; contributionsb. foreign; needsc. Hispanic; languaged. Muslim; faith
ANSWER: D, Knowledge, Difficult, p. 525
67. Employees within each generation tend to develop certain distinct __________ that have special meaning for them.a. slangb. symbolsc. values d. all of the above
ANSWER: D, Knowledge, Easy, p. 525
68. __________ are characterized by achieving success, challenging authority, and creating open lines of communication.a. Traditionalistsb. Baby Boomersc. Generation Xersd. Millenials
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ANSWER: B, Knowledge, Moderate, p. 525
69. The last birth year for Generation Xers was __________.a. 1979b. 1980c. 1982d. 1984
ANSWER: B, Knowledge, Difficult, p. 525
70. Gender continues to be an important basis for the formation of subcultures. Other elements of __________ include family status, sexual orientation, and physical disabilities.a. diversityb. culture c. subculture d. workforce demographics
ANSWER: D, Knowledge, Difficult, p. 525
71. Diversity in the workforce of an organization creates all of the following potential benefits except __________.a. more creativityb. less conflictc. recognition of customers’ point of viewd. all of the above
ANSWER: B, Knowledge, Moderate, p. 526
72. When one firm acquires another, employees of the acquired firm may be expected to give up their __________. a. performanceb. diversityc. cultured. creativity
ANSWER: C, Knowledge, Easy, p. 526
73. What company has established bilingual support centers in southern California to serve the area’s many foreign-born entrepreneurs?a. UPSb. Disneyc. Fordd. Pitney Bowes
ANSWER: A, Knowledge, Moderate, p. 526
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74. Clashes between __________ may be one reason why a recent survey found that 71 percent of black engineers were considering leaving their companies.a. ethnic culturesb. multicultural goalsc. diversity initiatives d. generations
ANSWER: A, Knowledge, Difficult, p. 526
75. __________ strive to permit many subcultures to coexist while ensuring that no one subculture dominates the others.a. Successful firmsb. Multicultural organizationsc. Entrepreneurial organizationsd. Diversity managers
ANSWER: B, Knowledge, Moderate, p. 527
Learning Objective 4
Successfully Managing Diversity76. __________ encompasses the full mix of the cultures and subcultures to which
members of the workforce belong.a. Workforce demographicsb. Cultural diversityc. Cultural complexityd. Ethnicity differences
ANSWER: B, Knowledge, Easy, p. 527
77. All of the following are goals that most organizations strive to achieve when managing diversity effectively except __________.a. complying with laws and regulationsb. creating a positive culture for employeesc. meeting stakeholders’ concerns for efficiencyd. creating economic value
ANSWER: C, Knowledge, Moderate, p. 528
78. The basic premise that companies should actively recruit job applicants to build a workforce that reflects the demographics of the qualified labor force locally is referred to as __________.a. cultural complianceb. affirmative actionc. positive conservatismd. progressive liberalism
ANSWER: B, Knowledge, Easy, p. 528
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79. What company publicly supported the University of Michigan’s efforts to achieve better cultural diversity through its admission decisions?a. Microsoftb. Bank Onec. General Motorsd. all of the above
ANSWER: D, Knowledge, Moderate, p. 528
80. All of the following correctly describe a positive organizational culture except:a. members are encouraged to file their grievances in court or with the EEOC.b. members of majority and minority subcultures feel respected.c. everyone has an equal chance to express views and influence decisions.d. everyone has similar access to both formal and informal networks within the
organization.
ANSWER: A, Knowledge, Moderate, pp. 528–529
81. At the accounting firm of Deloitte and Touche, employment numbers alerted the partners to what disturbing trend?a. Hispanic males were seldom hired.b. Women college graduates were seldom hired.c. Only 5 percent of the partners were women and the turnover rate for women was
30 percent.d. Derogatory racial comments were used during corporate meetings
ANSWER: C, Knowledge, Moderate, p. 529
82. Deloitte and Touche made significant changes to address high turnover among women. This included __________.a. flexible work arrangementsb. paid child-care leavec. job sharingd. all of the above
ANSWER: D, Knowledge, Moderate, p. 529
83. Organizations that use cultural audits to evaluate their diversity efforts are likely to learn about all of the following except:a. whether the language used in organizational documents and advertising is
appropriate.b. whether the symbols used to decorate public spaces are acceptable.c. whether the policies regarding holidays and absences are fair.d. all of the above
ANSWER: C, Knowledge, Moderate, p. 529
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84. With a diverse workforce and positive organizational culture in place, many managers believe their companies will be able to accomplish which of the following?a. develop products and services for new marketsb. improve customer satisfaction and increase business from repeat customersc. reduce costs, including those associated with litigationd. all of the above
ANSWER: D, Knowledge, Easy, p. 529
85. Managers find that diversity efforts which improve customer satisfaction and increase business from repeat customers is a way to __________.a. create a positive subcultureb. create economic valuec. comply with laws an regulationsd. carry out the process of change
ANSWER: B, Knowledge, Easy, p. 529
86. CEOs are finding that managing diversity poorly is __________.a. a fast way to get firedb. the most serious problem they facec. risky businessd. all of the above
ANSWER: C, Knowledge, Difficult, p. 530
87. What company suffered from a nearly $1 billion decline in market value after a tape recording was released in which an executive was heard making racist remarks to other executives?a. Exxonb. Coopers & Lybrandc. Philip Morrisd. Texaco
ANSWER: D, Knowledge, Moderate, p. 530
88. What company agreed to pay some $175 million to current and former employees who experienced racial discrimination?a. Exxonb. Texacoc. Burger Kingd. Baker & McKenzie
ANSWER: B, Knowledge, Moderate, p. 530
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89. Organizations that succeed in managing cultural diversity go through a process of change that typically includes all of the following except __________.a. vision of the futureb. involvement of employeesc. timing of the planned organizational changed. all of the above
ANSWER: D, Knowledge, Moderate, pp. 530–531
90. How do traditional organizational practices tend to minimize cultural diversity?a. recruiting practices are emphasized that find candidates from “reliable” sourcesb. interviews screen out candidates who “don’t fit”c. standardized work schedulesd. all of the above
ANSWER: D, Knowledge, Easy, p. 530
91. Which of the following is true about legitimate reasons for not implementing cultural diversity?a. some types of homogeneity may be appropriateb. important employees may leave the firmc. the financial cost may not be justifiedd. none of the above
ANSWER: A, Knowledge, Difficult, p. 530
92. According to most experts, who is the key to articulating a vision of a new organizational culture that supports and builds on diversity?a. the stakeholdersb. the employees themselvesc. the CEOd. the human resources director
ANSWER: C, Knowledge, Difficult, p. 530
93. What company has a long record dating back before the mid-1970s of providing supportive diversity management, including caucus groups for African Americans and women?a. Texacob. Xeroxc. GMd. Ford
ANSWER: B, Knowledge, Moderate, p. 531
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94. When GM initiated cultural change, they created the __________ in order to make sure that all voices are heard.a. ERG: employee resource groupb. RFG: regular feedback groupc. CCG: communication competency groupd. GMC: General Motors communicators
ANSWER: A, Knowledge, Moderate, p. 531
95. United Technologies believes that __________ diversity is just as important as cultural diversity.a. genderb. agec. intellectuald. political
ANSWER: C, Application, Difficult, p. 533
96. United Technologies uses all of the following diversity management practices except:a. maintaining a diverse pool of workers for career advancement.b. training managers to make accurate performance appraisals of subordinates. c. sponsoring forums and symposia for women and minorities.d. all of the above
ANSWER: D, Knowledge, Easy, pp. 533–534
97. Which of the following is an unanticipated problem that can result from diversity programs?a. Older workers may be resistant to change.b. A stigma may be created for members targeted to benefit.c. Courts may intervene if progress is too slow.d. all of the above
ANSWER: B, Knowledge, Moderate, p. 536
98. All of the following are problems that can occur when organizations begin the process of making improvements in their approach to cultural diversity except: a. some managers do not understand that cultural diversity can have organizational
consequences.b. diversity may lead to creativity, but also breed conflicts.c. successfully recruiting women may irritate the men on the team.d. all of the above
ANSWER: D, Knowledge, Easy, p. 537
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Essay Questions
Learning Objective 1
1. Describe the core elements of culture.
A culture is the unique pattern of shared assumptions, values, and norms that shape the socialization activities, language, symbols, and practices that unite members of a group and make them distinctive relative to nonmembers. Assumptions are the underlying thoughts and feelings that are taken for granted and believed to be true. Values are basic beliefs about a condition that has considerable importance and meaning to individuals and is stable over time. Socialization is a systematic process by which new members are brought into a culture and taught the norms for behavior. A symbol is anything visible that can be used to represent an abstract shared value or something having special meaning. Language is a shared system of vocal sounds, written signs, and/or gestures used to convey special meanings among members. Narratives are the unique stories, sagas, legends, and myths in a culture. Shared practices include taboos (forbidden behaviors) and rites and ceremonies (formal activities that generate strong feelings).
Difficult, pp. 512–517
Learning Objective 2
2. Compare and contrast four types of organizational culture.
Each organization’s culture is unique. Nevertheless, four general types of organizational cultures that are useful for comparing organizations are bureaucratic, clan, entrepreneurial, and market cultures. They are characterized by differences in formal control (ranging from stable to flexible) and focus of attention (ranging from internal to external).
Moderate, pp. 517–519
3. Describe the four pure types of organizational cultures that exist.
a. Bureaucratic is an organization where employees value formalization, rules, standard operating procedures, and hierarchical coordination.
b. Clan is an organization where members value tradition, loyalty personal commitment, extensive socialization, teamwork, self-management, and social influence. Members recognize an obligation beyond the simple exchange of labor for a salary.
c. Entrepreneurial is an organization characterized by high levels of risk taking, dynamism, and creativity. Members are committed to experimentation, innovation, and being on the leading edge.
d. Market is an organization that emphasizes achievement of measurable and demanding goals, especially those that are financial and market based. Members recognize that hard-driving competitiveness and a profit orientation prevail throughout the organization.
Moderate, pp. 518–519
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4. Discuss how the types of organizational cultures can differ.
Although all organizational cultures are unique, some general types of cultures can be identified. The four types discussed are bureaucratic, clan, entrepreneurial, and market cultures. They are characterized by differences in the extent of formal control (ranging from stable to flexible) and focus of attention (ranging from internal to external). Thus an organization could represent many blends of these pure cultural types, either as a whole or through its subcultures. Strong cultures may work for or against organizational performance depending on their fit with the demands of external stakeholders and the competitive environment.
Difficult, pp. 517–519
5. Discuss how MBNA uses its communication competency to create a unique and highly functional culture.
MBNA is the world’s largest independent credit card company, located in Wilmington, Delaware. It is a striking contrast to the other influential company in town—DuPont. While DuPont employees keep a low profile, MBNAers wear a characteristic look of suits and gold MBNA pins on their left lapel. One reporter said they look like Secret Service agents. MBNA workers tend to be in their mid-20s to mid-40s, physically fit and trim. They participate in many group activities and are considered to be cultish due to their strong culture. These qualities contribute to the firm’s strategic goals and successful performance in their industry.
Moderate, p. 520
Learning Objective 3
6. Discuss several types of subcultures that may exist in organizations.
The culture diversity of a workforce reflects the range of subcultures to which employees belong. When two organizations merge, the subcultures of the original firms may become subcultures within the new organization. Subcultures also reflect departmental and occupational differences. Subcultures that come about as a result of the demographic characteristics of employees include those based on age, gender, and ethnicity. In multicultural organizations, no one subculture dominates the others. The organizational culture reflects a blending of all the subcultures found within the organization.
Difficult, pp. 521–526
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Learning Objective 4
7. Explain why managing cultural diversity is important and describe several activities required to manage it successfully.
Concern about effectively managing workforce diversity reflects three types of organizational goals: complying with EEO laws and regulation, creating a positive organizational culture that makes work enjoyable for all employees, and creating economic value. Managing cultural diversity in order to achieve these objectives is a long-term process requiring substantial investments of time, money, and people. Organizations use many activities to manage diversity effectively. Diversity training and family-friendly practices are two popular approaches to creating a positive culture for a diverse workforce. An organization’s approach to managing diversity is determined by its specific goals and objectives as well as by the subcultures present within the organization.
Difficult, pp. 527–530
8. Discuss the challenges to implementation of diversity programs.
Diversity programs can be affected by unanticipated problems that can cause them to backfire. This is particularly true if the programs seem to reinforce stereotypes or highlight cultural differences that workers have tried to erase in order to fit into the company’s culture. Affirmative action programs can create a stigma for members of groups targeted to benefit, as they are perceived to have an unfair advantage. Thus, even the most qualified people are presumed to have acquired their positions due to their demographics rather than on the basis of merit.
Three challenges faced by companies implementing changes are:1) Managing reactions of members of the dominant culture, who may feel that they
are losing their power base.2) Synthesizing the diversity of opinions from individuals and using them as the basis
for reaching agreement on meaningful issues.3) Avoiding real and perceived tokenism and quota systems that are destructive to
developing a positive culture while quantitative goals are being met.