London Metropolitan University

Guildhall Faculty of Business & Law

Week 4 Formative Assessment: Quiz

Student Name: _____________________________ ID Number: _____________

Time for the Test: 30 minutes

Materials: None

There are two short written answer questions and 12 Multiple Choice Questions (MCQ).

ALL questions should be answered.

There is a maximum of 20 points for each of the two written answers.

Answer the MCQ questions by HIGHLIGHT the correct letter in the end column. There is only ONE correct
answer per question. If more than one letter has been HIGHLIGHTED, then the question will be marked as
incorrect. 5 points per correct answer.

Feedback:

Part 1 score (out of 40 points) __________ points

Part 2 score (out of 60 points) __________ points

OVERALL SCORE (out of 100 points): __________ points

Tutor comment:

Date: _________________ Tutor: __________________________

PLEASE DO NOT OPEN THIS TEST PAPER UNTIL TOLD TO DO SO

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London Metropolitan University
Guildhall Faculty of Business & Law
MN4002QA 2020/21: Fundamentals of Management

Part 1

Answer each of the following TWO questions within a MAXIMUM of 50 words for each answer. You
should draw on the material covered in the course in writing your answer. Each question is worth 20
points.

1. Define management. (20 points)

Answer:

According to Draft (2021) Management is the key division of an organization that used to manage, organize
and direct each and every organizational function and also responsible for meeting organizational objectives.
Management involves operations for establishing an organization's strategy and organising its workers'
efforts in achieving its goals by using the resources available, including financial, natural, technical and
human resources. This phrase is used rather often. a collaborative effort that serves as a guide to achieving
specific pre-determined aims. The word "management" may also be used for persons who are managers of
an organisation. Management has been characterised as a social phenomenon in which business owners are
responsible for successful and economical business operations, while also exercising control over company
activities. The process is dynamic and consists of a number of different aspects and actions. The functions
outlined above are distinctly different from those of operating functions, such as marketing, finance,
purchasing, etc. It goes without saying that each and every manager have all of these abilities. Business
planning is an essential aspect of management. It describes a method of formulating a plan of action and
selecting ahead of time on the most suitable steps to accomplish a predefined objective. It includes
comparing compliance with the standards and if necessary correcting deviance to guarantee that
organisational objectives are achieved. The aim of checking is to guarantee that everything goes according
to the standards. An effective control system may anticipate deviations before they happen.

Tutor feedback & points (out of 20):

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London Metropolitan University
Guildhall Faculty of Business & Law
MN4002QA 2020/21: Fundamentals of Management

2. Discuss how business analysis tools (e.g. SWOT, PESTEL) are useful to Managers. (20 points)

Answer:

Business analysis also helps managers control time and productivity. However, above all, the key to a shared
knowledge of the requirements of the company is business analysis, and stakeholders may make smart
choices to satisfy them from this standpoint. Not to add, changes are also made simpler if the organization's
demands are understood (Gürel and Tat, 2017).

SWOT analysis is one of the significant tools of business analysis which helps managers to understand and
evaluate strength, weakness, opportunities and threats of the organization. SWOT is a strategy planning
method that is used by managers to assess the internal environment associated with corporate or project
planning for an organisation. At the organisational level, SWOT analyses are used to assess how near a
company is to its development trajectories and success criteria, but they also may be used to see how well a
single project, such as an internet advertising campaign, performs as original forecasts.

As per the viewpoint of Perera (2017), the PESTLE analysis outlines the macro-environmental elements
employed as part of the strategic management environmental scanning. With the help of PESTLE analysis,
managers can identify the political, economic, social, technological, legal and environmental factors that
might influence the business. It is included in an external study for strategic analysis or market research and
offers an overview of several macro-environmental aspects. Managers used in assessing the growth or
decline of the market, corporate position, potential and direction of company. Businessmen and
businesspeople commonly use tools for business analysis to help them make proper choices for their
businesses.

Tutor feedback & points (out of 20):

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London Metropolitan University
Guildhall Faculty of Business & Law
MN4002QA 2020/21: Fundamentals of Management
Reference List
Daft, R.L., 2021. Management. Cengage Learning.
Gürel, E. and Tat, M., 2017. SWOT analysis: a theoretical review. Journal of International Social Research,
10(51).
Perera, R., 2017. The PESTLE analysis. Nerdynaut.

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London Metropolitan University
Guildhall Faculty of Business & Law
MN4002QA 2020/21: Fundamentals of Management

Part 2

Answer the MCQ questions by Highlighting the correct letter in the end column. There is only ONE correct
answer per question. If more than one letter has been Highlighted, then the question will be marked as
incorrect. 5 points per correct answer.
1 Boddy defines the 4 main management tasks as being:
A) Planning, Delegating, Leading, Controlling A
B) Planning, Organising, Leading, Controlling B
C) Planning, Organising, Leading, Commanding C
D) Planning, Delegating, Leading, Commanding D
2 Boddy sees the purposes of management as including:
A) Adding value A
B) Achieving objectives B
C) Monitoring the business environment C
D) All of the above D
3 Mintzberg identified 10 management roles and grouped them under 3 categories i.e.
A) Inter-relationships, Inter-related, Decisional A
B) Monitoring, Interpersonal, Decisional B
C) Informational, Interpersonal, Decisional C
D) Inter-related, Monitoring, Informational D
4 Studying the future and arranging the means for dealing with it is part of the process
of:
A) Organising A
B) Controlling B
C) Leading C
D) Planning D
5 Boddy defines Line managers as managers responsible for:
A) an area of technical or professional work A
B) performance of activities that directly meet customers’ needs B
C) a particular project intended to change part of the organisation C
D) None of the above D
6 A A well-known business analysis method to assess competitive forces including
“potential entrants” and “power of buyers” was devised by:
A) Drucker A
B) Mintzberg B
C) Porter C
D) Weber D

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London Metropolitan University
Guildhall Faculty of Business & Law
MN4002QA 2020/21: Fundamentals of Management
7 PESTEL is an analysis tool used to identify important factors in the wider business
environment. Factors include:
A) Political, Environmental A
B) Power, Strategy B
C) External, Economy C
D) Environment, Labour D
8 Managers use various business analysis tools, including SWOT which examines:
A) Systems, Weaknesses, Obstacles, Tasks A
B) Strengths, Weaknesses, Obstacles, Threats B
C) Strengths, Weaknesses, Opportunities, Threats C
D) Systems, Weaknesses, Opportunities, Tasks D
9 “Ensuring the organisation serves its basic purposes” and “takes charge of strategy
making” are among 6 reasons why organisations need managers, as proposed
by:
A) Drucker A
B) Maslow B
C) Mintzberg C
D) Mullins D
10 Which analysis tool do you use to analyse an organisation’s competitive environment?
A) SWOT A
B) Porter’s Five Forces B
C) PESTEL C
D) All of the above D
11 Models of management are of practical use because they:
A) Help simplify complex situations and relationships A
B) Identify relevant variables such as people issues, finance B
C) Help managers more fully understand the organisation C
D) All of the above D
12 Quinn and colleagues developed a method of combining 4 models of management. It
is called the:
A) Competing Values Framework A
B) Combined Values Concept B
C) Complete Models Framework C
D) Complete Management Models D

END OF PAPER

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