Multiple Choice Questions (Enter your answers on the enclosed answer sheet)
1. Health care concerns shared by the U.S., China and India include concerns over ____________.
a. the consolidated financial mechanism
b. lack of spending at the local level
c. the low number of specialists
d. lifestyle issues and behaviors
2. Investor-owned facilities comprise about ____________ percent of the hospital sector.
a. 15-20
b. 30-35
c. 55-60
d. 75-80
3. Organizations within the health care industry have increasingly consolidated into ____________
 over the past two decades with the stated objective of being more efficient, but may not operate
 as such.
a. community care centers
b. corporations
c. systems
d. foundations
4. Schools of management thought have evolved over the past ____________ to provide
 conceptual maps of how to deal with internal and external challenges.
a. century
b. decade
c. year
d. None of the above.
5. The Human Relations School ascertains that in order to improve productivity, management
 must ____________.
a. implement the top-down control of work
b. minimize the input of workers
c. offer monetary incentives
d. understand the informal organization of workers

6. This school of management is also known as the “Neo Weberian” model:
a. classical school
b. human relations school
c. decision-making school
d. scientific school
7. Sociologists have long taken the _____________ in describing the embeddedness of human
 behavior in social relationships.
a. social network approach
b. systems approach
c. perspectives approach
d. None of the above.
8. The decision-making school is focused on _____________.
a. physicians
b. middle managers
c. top executives
d. blue collar workers
9. One school of modern strategic management encompasses an emphasis on _____________.
a. industry net-worth
b. top-down decision making
c. industry structure and competitive forces
d. deliberate corporate rationality
10. _____________ (INDs) can fill the structural hole between independent physician groups who
 can jointly develop and implement care management practices.
a. Integrated delivery networks
b. Independent doctor networks
c. Interdependent development networks
d. Independent decision networks
11. _____________ are a domain in which strong professional forces confront a host of
 institutional and market forces.
a. HPRs
b. PHOs
c. ISMs
d. All of the above. 7
Final Examination
HCA 320 Essentials of Managed Care
12. ____________ can be defined as the process in which one engages others to set and achieve a
 common goal, often an organizationally defined goal.
a. Management
b. Leadership
c. Power
d. None of the above.
13. ____________ provide supervision directly to care providers.
a. Front-line mangers
b. Top managers
c. Middle managers
d. All of the above.
14. ____________ have responsibility for entire units within the health care organization.
a. Front-line mangers
b. Top managers
c. Middle managers
d. All of the above.
15. An example work plan is also known as a ____________ Chart.
a. Gantt
b. Weber
c. Levy
d. management
16. One of the key roles of the C-Suite is to interact with key ____________.
a. external stakeholders
b. managers
c. union leaders
d. producers
17. A critical role of leadership is ____________ setting.
a. agenda
b. mission
c. objective
d. goal 8
Final Examination
HCA 320 Essentials of Managed Care
18. Which of the following is not a step in the strategic problem solving process?
a. define the problem
b. set the overall objective
c. conduct a root cause analysis
d. all are steps in the strategic problem solving process
19. Performance outcomes in health care are classified into three major categories:
 (1) patient-related, (2) staff-related, and (3) ____________-related.
a. community
b. stakeholder
c. government
d. management
20. The complexity and difficulty of leading health care organizations (HCOs) in a dynamic world
 has spurred interest in identifying _____________.
a. avenues of change
b. competencies
c. novel health practices
d. directives
21. Studies have identified two types of support that those in leadership roles must provide for
 successful change: instrumental and _____________ support.
a. industrial
b. proactive
c. interpersonal
d. unconventional
22. Processing the stress related to leadership action is recommended as a routine approach to
 self-_____________ in leadership positions.
a. fulfillment
b. care
c. destruction
d. motivation
23. Service lines are programs that are organized around _____________.
a. technologies
b. diseases
c. patient populations
d. All of the above.9
Final Examination
HCA 320 Essentials of Managed Care
24. The purpose of ____________ is to bring people together, while avoiding the negative effects
 of differences in power of different participants and of limits in perspectives of each
 department and level in the hierarchy.
a. parallel organization
b. informed consent
c. process evaluation
d. external organization
25. ____________ is the coordination of activities among organizational units, including the
 management of conflicts among the units.
a. Specialization
b. Integration
c. Interdependence
d. All of the above.
26. ____________ are programs that are organized around diseases or conditions, patient
 population or technologies.
a. Service lines
b. Delivery systems
c. Parallel systems
d. None of the above.
27. ____________ organizational structures maintain their traditional functional structures and
 create program structures for just one or two programs.
a. Divergent
c. Duplicate
b. Decentralized
d. Hybrid
28. ____________ is the specification of the training required to perform work.
a. Standardization of work
b. Standardization of skills
c. Standardization of compliance
d. Standardization of competence10
Final Examination
HCA 320 Essentials of Managed Care
29. ____________ is/are the exchange of information about work performance between two people
 who are not in a hierarchical relationship.
a. Consensual agreement
b. Mutual adjustment
c. Shared objectives
d. Alienated forces
30. _____________ coordination captures aspects of both the programming and feedback
 approaches to coordination.
a. Alliance
b. Conditioned
c. Relational
d. Intuitive
31. The state of feeling or thinking in which one is energized or aroused to perform a task or
 engage in a particular behavior is _____________.
a. motivation
b. power
c. leverage
d. None of the above.
32. _____________ can be useful in collecting information about beliefs and attitudes as long as
 they are anonymous and there is assurance the results will be acted on.
a. Interviews
b. Employee surveys
c. Public forums
d. Suggestion boxes
33. The four central components of expectancy theory are _____________.
a. job outcomes, victories, implementation and expectancy
b. job outcomes, valences, instrumentality and expectancy
c. job security, valences, implementation and eagerness
d. job security, valences, instrumentality and expectancy
34. _____________ is the most important defining characteristic of health care professionals.
a. Autonomy
b. Determination
c. Competence
d. Creativity11
Final Examination
HCA 320 Essentials of Managed Care
35. One of the best ways to motivate physicians include _____________.
a. distributing guidelines and protocols
b. financial incentives
c. traditional medical education programs
d. reminders and feedback
36. The causes of motivational problems often fall into three categories: 1) inadequate
 definition of the desired performance, 2) impediments to employee performance and
 3) _____________.
a. too much autonomy
b. inadequate performance-reward linkages
c. internal review structures
d. behavioral shortcomings
37. ____________ involves “directed autonomy” whereby individuals or teams are given an overall
 direction yet considerable leeway concerning how they go about following that direction.
a. Allotment
c. Enforcement
b. Engagement
d. Empowerment
38. ____________ is when altering certain aspects of the job may satisfy employees’ psychological
 needs and motivation.
a. Job description
b. Job finalization
c. Job redesign
d. All of the above.
39. Team goals and their accompanying tasks can be categorized according to ____________,
 complexity, and diversity.
a. goal direction
b. goal clarity
c. standardization
d. aptitude
40. Formal groups are formally recognized, organizational based social systems that are task
 oriented with specific purpose and produce measurable _____________.
a. outcomes
b. needs
c. jobs
d. None of the above.12
Final Examination
HCA 320 Essentials of Managed Care
41. Effective team performance is dependent upon a team’s ability to form ____________ with
 other teams in a positive and productive manner.
a. municipalities
b. intergroup relationships
c. intragroup dynamics
d. independence
42. ____________ leadership is the legitimate authority given to a team member.
a. Formal
b. Official
c. Informal
d. Direct
43. Members carrying out ____________ activities are involved in general scanning for ideas and
 information about the external environment.
a. ambassador
b. functional
c. scouting
d. locating
44. A ____________ is a member of a team who obtains the benefits of group membership but
 does not accept a proportional share of the costs of membership.
a. slacker
b. lazy person
c. free rider
d. leader
45. Which theory of motivation model includes hygiene factors?
a. McClelland’s model
b. Keller’s model
c. Maslow’s model
d. Herzberg’s model
46. _____________ group technique and Delphi technique elicit group members’ opinions prior to
 judgments about those opinions.
a. Normal
b. Biased
c. Unbiased
d. Nominal13
Final Examination
HCA 320 Essentials of Managed Care
47. The ____________ stage of team development is characterized by disagreement, counter-
 independence and the need to manage conflict.
a. storming
b. forming
c. adjourning
d. performing
48. ____________ described communication as mostly a linear process.
a. Plato
b. Plutarch
c. Aristotle
d. Socrates
49. According to the well-known management theorist, Nitin Nohria, effective leaders know
 how and when to use each of ____________ means of persuasion.
a. Plato’s
b. Aristotle’s
c. Plutarch’s
d. Socrates’s
50. People respond to ideas that are easy to visualize because they can be recalled from memory
 more readily. This is an example of the ____________ phenomenon.
a. association
b. photographic
c. availability
d. optical
51. After simplicity, the second most important quality of one’s message is _____________.
a. complexity
c. vividness
b. brevity
d. uniqueness
52. One reason that broad involvement of many different stakeholders is crucial to the success of
 a communicator is that stakeholders can ______________.
a. determine their worth
b. demand better benefits
c. reluctantly comply
d. offer their expertise14
Final Examination
HCA 320 Essentials of Managed Care
53. The issue of broad representation generally becomes more important as an organizational
 initiative moves into the ___________ phase.
a. origination
b. implementation
c. scouting
d. planning
54. A weakness of ____________ is that it is not appropriate for exploring a particular idea or
 proposal in depth.
a. structured interviews
b. focus groups
c. open-ended interviews
d. interview design
55. _____________ explains how information spreads.
a. Hierarchy
b. Collapsing
c. Contagion
d. Staggering
56. Real-time team meetings are venues where _____________ communication takes place.
a. enhanced
b. all-channel
c. structured
d. circle
57. Which of the following is not a method used in managing organizational communication?
a. open-ended interviews
b. structured interviews
c. one-minute essays
d. All the above.
58. This rests on a fundamental principle that practitioners and institutions that produce the best
 outcomes should receive more money than those who underperform.
a. pay-for-performance
b. pay-for-outcome
c. pay-for-efficiency
d. pay-for-quality15
Final Examination
HCA 320 Essentials of Managed Care
59. Emotional ____________ occurs when emotions are transmitted from one party to another.
a. reaching
b. passage
c. displacement
d. contagion
60. ____________ is the tendency for others to exchange equal levels of goods and services.
a. Bartering
b. Sharing
c. Reciprocity
d. Fairness
61. _____________ involves acquisition of knowledge or skills through study, instruction or
 experience.
a. Learning
b. Research
c. Studying
d. None of the above.
62. The three strategies that are the most common when individuals engage another party and
 seek resolution are ____________.
a. compromising, competing, and collaborating
b. compromising, competing and consistency
c. creating, combining and consistency
d. creating, cost-effectiveness and collaborating
63. _____________ is a negotiation tactic which involves trading off on issues that are of different
 value to each party.
a. Pitching
b. Compromising
c. Aggregating
d. Logrolling
64. Objective arguments are more effective than subjective arguments because they are rooted
 in _____________, not perception, and are therefore more difficult to refute.
a. rumors
b. stipulations
c. logic
d. arguments16
Final Examination
HCA 320 Essentials of Managed Care
65. BATNA stands for “Best _____________ to a Negotiated Agreement.”
a. Alternate
b. Acceleration
c. Advance
d. Arrival
66. Managers can use “____________,” as described by Sterman, to help them understand
 dynamic complexity and gain insight into sources of policy resistance.
a. corporate models
b. corporate simulators
c. management models
d. management simulators
67. ____________ learning is when problem solvers adjust their behavior and work processes in
 response to changing events or trends.
a. Adaptive
b. Creative
c. Organizational
d. Generative
68. The ____________ effect is the tendency to infer specific characteristics of a person or
 organization from our overall impressions or feelings about that person or organization.
a. abstraction
b. illusory
c. perception
d. halo
69. Through _____________, innovators learn about possible action alternatives, outcome
 preferences and contextual factors.
a. guessing
b. actions
c. discovery
d. production
70. According to Rosenzweig, the pervasive belief that organizational innovativeness could be
 replicated through a simple formulae can be attributed to observational bias known as
 _____________.
a. discovery
b. genesis
c. the halo effect
d. adaptation17
Final Examination
HCA 320 Essentials of Managed Care
71. According to Plesk and Wilson, the four key conditions or parameters required for space for
 novel ideas, creative solutions, and the emergence of new relationships are _____________.
a. discretion, boundaries, permission, and requirements
b. direction, brainstorming, permission, and resources
c. discretion, brainstorming, permission, and resources
d. direction, boundaries, permission, and resources
72. Three common myths or misconceptions about innovation are that (1) innovation is good;
 (2) there is a formula, and (3) innovation is ____________.
a. infinite
b. finite
c. linear
d. circular
73. _____________ are workforce or human resource practices that have been shown to improve
 an organization’s capacity to effectively attract, select, hire, develop, and retain high-
 performing employees.
a. High-Performance Work Practices
b. Just Culture/Just Safety Culture
c. Magnet Status
d. Pay-For-Performance
74. Burgeoning medical knowledge and the complexity of health care delivery have resulted in
 increasing _____________ in the health care workforce.
a. organization
b. professionalism
c. generalization
d. specialization
75. Six Sigma is a quality improvement strategy invented by _____________ in the mid 1980s.
a. IBM
b. Sprint
c. AT&T
d. Motorola
76. _____________ identification has effectively limited organizational identification
 (i.e., individuals’ sense of alignment with the organization).
a. Professional
b. Personal
c. Self
d. Group18
Final Examination
HCA 320 Essentials of Managed Care
77. ____________ comprises the fundamental values, assumptions, and beliefs held in common
by members of an organization.
a. Strategy
b. Culture
c. Structure
d. Branding
78. ____________ is the process of providing a lens through which to interpret a situation.
a. Structuring
b. Defining
c. Framing
d. Aligning
79. _____________ leadership is defined as influencing followers by “broadening and elevating
followers’ goals and providing them with confidence to perform beyond the expectations
specified in the implicit or explicit exchange agreement.”
a. Transactional
b. Transformational
c. Traditional
d. Innovative
80. _____________ can be defined as the creation, implementation, and overall direction for a
firm.
a. Strategic management
b. Competitive advantage
c. Environmental control
d. None of the above.
81. The _____________ Framework has often been employed to understand the competitive forces
in industries.
a. Forward Financial
b. Five Fingers
c. Five Forces
d. Forward Forces
82. ____________ costs are the costs incurred when a customer changes from one supplier or
product to another.
a. Detrimental
b. Rotating
c. Oscillating
d. Switching19
Final Examination
HCA 320 Essentials of Managed Care
83. ___________ power is when customers seek to drive down price and improve quality.
a. Buyer
b. Intentional
c. Supplier
d. Group
84. The analytical tool used for evaluating organizational capabilities, SWOT, stands for
 ____________.
a. strengths, weakness, organization, and teamwork
b. strengths, weakness, opportunities, and threats
c. structure, weakness, opportunities and teamwork
d. structure, weakness, organization and threats
85. When competing products or services are similar, buyers may obtain value based on the
 company’s ____________.
a. portfolio
b. image
c. efficiency
d. efforts
86. ____________ analysis compares the value of the strategic business units (SBUs) of firms.
a. Creative
b. Systems
c. Organizational
d. Portfolio
87. The physician-hospital relationships fall into three broad categories: noneconomic integration,
 economic integration, and ____________ integration.
a. employee
b. formal
c. personal
d. clinical
88. Governance mechanisms of alliances include (1) joint ownership in which partners share
 control of some or all alliance assets; (2) contracts that specify rights and obligations of
 alliance partners; (3) _____________ that rely on trust and goodwill; or (4) some combination
 of these.
a. formal rewards
b. informal rewards
c. formal agreements
d. informal agreements20
Final Examination
HCA 320 Essentials of Managed Care
89. ____________ and conflict-management systems are subsets of relational norms underlying
 the process exchange over time.
a. Trust
b. Intent
c. Productivity
d. Competition
90. A major difficulty that organizations face in addressing alliance problems is actually their
 inability to identify the ____________ correctly.
a. truth
b. strengths
c. problem
d. structure
91. An example of an appropriate way to deal with an alliance problem is ____________.
a. implementing performance monitors
b. swapping capabilities
c. creating governing boards
d. creating a system of checks and balances
92. To form a successful alliance, the members of the alliance need to be able to learn from their
 experience and to build additional _____________ as needed.
a. lines of evidence
b. outputs
c. capital
d. capabilities
93. Willingness to put alliance interests first is a key factor of the _____________ stage of a life
 cycle model of organizational alliances in health care.
a. critical crossroads
b. maturity
c. emergence
d. transition
94. ____________ partners are not particularly interested in the strategic aspirations of the other
 partner in the alliance relationship.
a. Indifferent
b. Cooperative
c. Quasi-cooperative
d. Competitive 21
Final Examination
HCA 320 Essentials of Managed Care
95. The ____________ (HIPAA) limits the ability of new employers to exclude coverage for
 preexisting conditions.
a. Health Insurance Portability and Accountability Act
b. Health Inspection Portability and Accountability Act
c. Heath Insurance Preferentially and Accountability Act
d. Health Inspection Preferentially and Accountability Act
96. The ____________ of 1986 is designed to prevent institutions from denying care to anyone
 seeking emergency medical treatment, regardless of citizenship, insurance status, or ability to
 pay.
a. Emergency Medical Transfer and Litigation Act (EMTALA)
b. Emergency Medical Treatment and Labor Act (EMTALA)
c. Emergency Medical Treatment and Litigation Act (EMTALA)
d. Emergency Medical Transfer and Labor Act (EMTALA)
97. The ____________ stores information regarding physicians’ and dentists’ professional
 competence and conduct.
a. National Practitioner Data Bank (NPDB)
b. Network of Competencies Data Bank (NCDB)
c. National Record of Health Care Provider Competencies (NRHCPC)
d. Network of Known Practitioner Errors (NKPE)
98. One approach to aligning the IS function with the rest of the organization includes the
 idea that IS function should _____________ that of the organization.
a. control
b. unite
c. supplement
d. mirror
99. Successful strategic _____________ should result in a set of IS projects that the organization
 has identified as important to its strategic direction or for sustaining existing capabilities.
a. values
b. governance
c. implementation
d. alignment
100. The construction phase of the systems development life cycle (SDLC) includes system
 design, building, and _____________.
a. testing
b. selling
c. marketing
d. contracting

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