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Conflict has heightened between the departments of a textile manufacturer, following a recent decision by the manager of the cloth inspection department to a tightening up of the inspection standards. She insists that the quality of output has to improve if the organisation is to remain competitive.

This has resulted in some staff being idle more frequently and the sight of this idle time has frustrated the management and other employees in the weaving department, due to the direct link between time and bonus payments.

Using the Thomas-Kilman Conflict Mode Instrument, which of the following would be the most appropriate method of resolving the conflict in this situation?

  1. Competing
  2. Collaborating
  3. Avoiding
  4. Accommodating

Answer(s): B



John is a young management accountant who, after completing his examinations recently, was put in charge of a small established accounts department.

At his first progress review with his superior, he was very confident and enthusiastic about numerous initiatives. John expressed disappointment that his staff were so reactionary and uncooperative.

It would seem most of the staff reporting to John are dissatisfied about his leadership. The younger ones are frightened of him and they say he his always in a hurry. The older ones who have worked in the department for years are worried about John's risky decisions. Others resent him and are frustrated that John never listens to their ideas.

Which behaviour should John adopt to improve motivation in the department?

  1. John should dismiss the older staff and send the younger staff on training and take on an autocratic style of management.
  2. John should create time for one to ones with his staff and take on a participative style of management. Improving communication with regular briefings.
  3. John should not do anything as he will see things settle down over time and take on a more laissez-faire style of management.
  4. John should hire some external business consultants to overhaul the working practices and find solutions to get the department back on track.

Answer(s): B



Michael Porter identified four determinants of national competitive advantage, one of which is Factor conditions.

A company has the following 4 factor conditions. According to Porter, which will give the company a sustainable competetive advantage?

  1. Unskilled labour
  2. Raw materials
  3. R & D experience
  4. Initial capital availability

Answer(s): C



Projects carried out using the PRINCE2 methodology are always set out in a series of distinct and sequential stages.
Which of the following is NOT a valid reason for a planned break between stages?

  1. The project team is required to break and regroup ready for the next package of work.
  2. The project board can make a decision as to whether the project business case is still viable.
  3. The progress of the project can be reviewed to ensure this justifies the continuation of the project.
  4. Risks to the project can be reassessed before further commitments of money or resources.

Answer(s): A






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