Business Degree Certification Practice Test

What characterizes a manager with low effectiveness and low efficiency?

1. Effective resource use but unclear goals

2. Wrong goals and poor resource use

3. High effectiveness but low efficiency

4. High resources use with clear goals

The correct answer is: Wrong goals and poor resource use

A manager characterized by low effectiveness and low efficiency typically demonstrates both a failure to achieve the desired outcomes (effectiveness) and an inability to use resources wisely (efficiency). The option that best encapsulates this situation is the one where the manager is pursuing the wrong goals while also making poor use of resources. In this context, low effectiveness means that the manager is not aligning their actions with the objectives of the organization, resulting in an outcome that does not contribute to success. Simultaneously, low efficiency indicates that even the resources that are being used are not being allocated optimally or productively, potentially leading to wasted time, effort, or finances. This combination—misguided goals and ineffective resource management—illustrates a scenario where a manager is fundamentally misguided in their approach, resulting in poor performance across both dimensions of managerial effectiveness and efficiency. The other options imply different dynamics of effectiveness and efficiency, which do not align with the characteristics of low performance in both areas.