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Accidents Progressive Insurance asked customers who had

Stats: Data and Models | 4th Edition | ISBN: 9780321986498 | Authors: Richard D. De Veaux, Paul F. Velleman, David E. Bock ISBN: 9780321986498 70

Solution for problem 14RE Chapter 5

Stats: Data and Models | 4th Edition

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Stats: Data and Models | 4th Edition | ISBN: 9780321986498 | Authors: Richard D. De Veaux, Paul F. Velleman, David E. Bock

Stats: Data and Models | 4th Edition

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Problem 14RE

Problem 14RE

Accidents Progressive Insurance asked customers who had been involved in auto accidents how far they were from home when the accident happened. The data are summarized in the table.

Miles from Home

% of Accidents

Less than 1

23

1 to 5

29

6 to 10

17

11 to 15

8

16 to 20

6

Over 20

17

a) Create an appropriate graph of these data.

b) Do these data indicate that driving near home is particularly dangerous? Explain.

Step-by-Step Solution:
Step 1 of 3

MGMT 321 – Exam 1: Studyguide Chapter 1  What are the challenges for managers o What does it mean to manage for change  Technology  Globalization o What does it mean to manage resources o What does it mean to manage strategically o What does it mean to manage entrepreneurially  4 functions of management o Planning  Set goals and decide how to achieve them o Organizing  Arrange tasks, people, and resources to accomplish the work o Leading  Motivate, direct, and influence people to work hard to achieve goals o Controlling  Monitor performance, compare it with goals and take corrective action as needed  Mintzberg’s managerial roles o Interpersonal  Managers act as figureheads (attending events as a representative)  Ex: LCB dean attends a basketball game (acts as a representative from the entire LCB)  Leader (influencing and directing) th  Ex: LCB dean wants to add a 5 center to the LCB, would appoint and direct a person to do it  Liaison (maintaining contacts) o Informational  Monitor (seeking and gathering information)  Disseminator (ensuring information gets to those who need access to it)  Spokesperson (representing a work product)  Ex: LCB dean talks about a paper an LCB associate wrote o Decisional  Entrepreneur (dealing with new products or opportunities)  Disturbance Handler (settling conflicts among employees)  Resource Allocator (deciding how resources are distributed)  Ex: Office space  Negotiator (representing the organization in mediating agreements)  Managerial skills o Technical skills  Having an expertise in something (increases respect) o Interpersonal skills  Persuasion, empathy o Conceptual skills  Logic, reasoning, judgement, analytic ability Chapter 4  Elements of a competitive advantage o Provide superior value o Be rare o Be difficult to imitate/substitute o Organized to use or exploit the resource  Mission and vision statements o Mission: What is our purpose  Ex: An organization’s philosophy, its commitment to its employees o Vision: What do we want to become  Very forward looking  Porter’s Five Forces Industry Analysis o Goal: maximize profits o Rivalry among firms  Price  Quality  Nature of rivalry  Many or few competitors o Threat of new entrants  Barriers to entry  Switching costs o Threat of substitutes  Identify substitutes o Bargaining power of buyers  Many or few customers  Fragmented or united o Bargaining power of suppliers  Many or few suppliers o Which factors lead to higher profits for an industry o Which factors lead to lower profits for an industry  VRIO Analysis o Is the resource Valuable o Rare o Imitable o Exploited by an Organization  SWOT/TOWS Analysis o What are the elements of a SWOT/TOWS Analysis o TOWS – use SWOT to generate options for managers  Porter’s Four Generic Positioning Strategies o What are the four strategies o How does one distinguish among the strategies o What are the two dimensions used to distinguish between the strategies Chapter 5  Strategic o Planning for 3­5 years forward o Broad view of an entire organization o Ex: Cut costs and keep fares low  Tactical o Planning for 1­2 years forward o Focused on a strategic business program o Ex: Cut costs in the maintenance program  Operational o Planning for 12 months or less o Most narrow, centered on a single department o Ex: Enhance productivity in unloading, refueling, and cleaning of arrival planes  SMART Goals o Specific o Measurable o Agreement (committed) o Realistic o Time Bound Chapter 6  What is organizational structure o How an organization divides and coordinates its labor into distinctive tasks o  the result  What is organizational design o Process of assessing the organization’s structure and determining appropriate structure o  process of deciding what structure to use  What is an organizational chart o Illustrates the relationship among units/lines of authority/subordinates o  visual representation of the structure you decided on  Differentiation – division of tasks into subtasks performed by specialists o Benefit: increases specialization o Trade off: challenges in coordination/integration o Ex: Low differentiation – everybody coming up with their own words and sentences; High differentiation – 2 people coming up with words, 2 people writing sentences, 2 people working quality assurance  What is task differentiation  What is cognitive differentiation  How do these two types of differentiation differ  Integration – extent to which different parts of an organization interact, coordinate, and cooperate with one another o Benefit: allows coordinated movement  What is pooled interdependence o Work independently  What is sequential interdependence o Group A creates words, then Group B writes, then Group C gives QA  What is reciprocal interdependence o 2 or more groups rely on each other for inputs o Ex: 2 people conduct the interview, 2 people give the presentation  Formalization – the greater an organization’s reliance on rules and standard procedures, the more formal the structure o Formal organizations stress:  Line of authority  Unity of command  Span of control – (less formal organization = wider span of control)  Informal organization – unofficial but influential means of communication, decision making, and control  Centralization – level at which decision are made within an organization o Centralized: as close to top of organization as possible  Ex: Boss makes all the decisions o Decentralized: pushed down to the lowest feasible level  6 generic organizational structures o Functional  Divided by a traditional, functional area (Marketing, Finance)  Horizontal differentiation  Ex: Manager of marketing – everyone in marketing is under that person (won’t find a marketer in another department) o Product  Divided based on products  Each division has a marketer, accountant, finance member (similar to OBA groups) o Customer  Divided based on customer  Customers’ needs may be very different  would make sense to divide needs o Division  Similar to Product, but group similar products o Geographical/regional  Customer demands and regulations differ among regions  Ex: Oil and gas companies have very different regulations depending on the state o Matrix  Division + Geographical structure  May enhance decision making (report to 2 different managers)  Moves very slowly  Rules/Values/Goals o When are rules vs. goals and values a more effective coordination mechanism  External environment o Simple vs. complex environments  What is a simple external environment  What is a complex external environment  What are the core categories of environmental complexity  Products  Customers  Geography  Technology  Competitors  Suppliers  What are the consequences of this distinction for organizational structure o Static vs. dynamic environments  What is a static external environment  Ex: Ball point pens – production hasn’t really changed over the years  What is a dynamic external environment  Ex: Airplane technology  What are the consequences of this distinction for organizational structure MGMT 321 – Exam 1: Studyguide Chapter 1  What are the challenges for managers o What does it mean to manage for change  Technology  Globalization o What does it mean to manage resources o What does it mean to manage strategically o What does it mean to manage entrepreneurially  4 functions of management o Planning  Set goals and decide how to achieve them o Organizing  Arrange tasks, people, and resources to accomplish the work o Leading  Motivate, direct, and influence people to work hard to achieve goals o Controlling  Monitor performance, compare it with goals and take corrective action as needed  Mintzberg’s managerial roles o Interpersonal  Managers act as figureheads (attending events as a representative)  Ex: LCB dean attends a basketball game (acts as a representative from the entire LCB)  Leader (influencing and directing) th  Ex: LCB dean wants to add a 5 center to the LCB, would appoint and direct a person to do it  Liaison (maintaining contacts) o Informational  Monitor (seeking and gathering information)  Disseminator (ensuring information gets to those who need access to it)  Spokesperson (representing a work product)  Ex: LCB dean talks about a paper an LCB associate wrote o Decisional  Entrepreneur (dealing with new products or opportunities)  Disturbance Handler (settling conflicts among employees)  Resource Allocator (deciding how resources are distributed)  Ex: Office space  Negotiator (representing the organization in mediating agreements)  Managerial skills o Technical skills  Having an expertise in something (increases respect) o Interpersonal skills  Persuasion, empathy o Conceptual skills  Logic, reasoning, judgement, analytic ability Chapter 4  Elements of a competitive advantage o Provide superior value o Be rare o Be difficult to imitate/substitute o Organized to use or exploit the resource  Mission and vision statements o Mission: What is our purpose  Ex: An organization’s philosophy, its commitment to its employees o Vision: What do we want to become  Very forward looking  Porter’s Five Forces Industry Analysis o Goal: maximize profits o Rivalry among firms  Price  Quality  Nature of rivalry  Many or few competitors o Threat of new entrants  Barriers to entry  Switching costs o Threat of substitutes  Identify substitutes o Bargaining power of buyers  Many or few customers  Fragmented or united o Bargaining power of suppliers  Many or few suppliers o Which factors lead to higher profits for an industry o Which factors lead to lower profits for an industry  VRIO Analysis o Is the resource Valuable o Rare o Imitable o Exploited by an Organization  SWOT/TOWS Analysis o What are the elements of a SWOT/TOWS Analysis o TOWS – use SWOT to generate options for managers  Porter’s Four Generic Positioning Strategies o What are the four strategies o How does one distinguish among the strategies o What are the two dimensions used to distinguish between the strategies Chapter 5  Strategic o Planning for 3­5 years forward o Broad view of an entire organization o Ex: Cut costs and keep fares low  Tactical o Planning for 1­2 years forward o Focused on a strategic business program o Ex: Cut costs in the maintenance program  Operational o Planning for 12 months or less o Most narrow, centered on a single department o Ex: Enhance productivity in unloading, refueling, and cleaning of arrival planes  SMART Goals o Specific o Measurable o Agreement (committed) o Realistic o Time Bound Chapter 6  What is organizational structure o How an organization divides and coordinates its labor into distinctive tasks o  the result  What is organizational design o Process of assessing the organization’s structure and determining appropriate structure o  process of deciding what structure to use  What is an organizational chart o Illustrates the relationship among units/lines of authority/subordinates o  visual representation of the structure you decided on  Differentiation – division of tasks into subtasks performed by specialists o Benefit: increases specialization o Trade off: challenges in coordination/integration o Ex: Low differentiation – everybody coming up with their own words and sentences; High differentiation – 2 people coming up with words, 2 people writing sentences, 2 people working quality assurance  What is task differentiation  What is cognitive differentiation  How do these two types of differentiation differ  Integration – extent to which different parts of an organization interact, coordinate, and cooperate with one another o Benefit: allows coordinated movement  What is pooled interdependence o Work independently  What is sequential interdependence o Group A creates words, then Group B writes, then Group C gives QA  What is reciprocal interdependence o 2 or more groups rely on each other for inputs o Ex: 2 people conduct the interview, 2 people give the presentation  Formalization – the greater an organization’s reliance on rules and standard procedures, the more formal the structure o Formal organizations stress:  Line of authority  Unity of command  Span of control – (less formal organization = wider span of control)  Informal organization – unofficial but influential means of communication, decision making, and control  Centralization – level at which decision are made within an organization o Centralized: as close to top of organization as possible  Ex: Boss makes all the decisions o Decentralized: pushed down to the lowest feasible level  6 generic organizational structures o Functional  Divided by a traditional, functional area (Marketing, Finance)  Horizontal differentiation  Ex: Manager of marketing – everyone in marketing is under that person (won’t find a marketer in another department) o Product  Divided based on products  Each division has a marketer, accountant, finance member (similar to OBA groups) o Customer  Divided based on customer  Customers’ needs may be very different  would make sense to divide needs o Division  Similar to Product, but group similar products o Geographical/regional  Customer demands and regulations differ among regions  Ex: Oil and gas companies have very different regulations depending on the state o Matrix  Division + Geographical structure  May enhance decision making (report to 2 different managers)  Moves very slowly  Rules/Values/Goals o When are rules vs. goals and values a more effective coordination mechanism  External environment o Simple vs. complex environments  What is a simple external environment  What is a complex external environment  What are the core categories of environmental complexity  Products  Customers  Geography  Technology  Competitors  Suppliers  What are the consequences of this distinction for organizational structure o Static vs. dynamic environments  What is a static external environment  Ex: Ball point pens – production hasn’t really changed over the years  What is a dynamic external environment  Ex: Airplane technology  What are the consequences of this distinction for organizational structure

Step 2 of 3

Chapter 5, Problem 14RE is Solved
Step 3 of 3

Textbook: Stats: Data and Models
Edition: 4
Author: Richard D. De Veaux, Paul F. Velleman, David E. Bock
ISBN: 9780321986498

The full step-by-step solution to problem: 14RE from chapter: 5 was answered by , our top Statistics solution expert on 08/30/17, 07:04AM. This textbook survival guide was created for the textbook: Stats: Data and Models , edition: 4. Stats: Data and Models was written by and is associated to the ISBN: 9780321986498. This full solution covers the following key subjects: accidents, data, home, these, graph. This expansive textbook survival guide covers 12 chapters, and 679 solutions. Since the solution to 14RE from 5 chapter was answered, more than 261 students have viewed the full step-by-step answer. The answer to “Accidents Progressive Insurance asked customers who had been involved in auto accidents how far they were from home when the accident happened. The data are summarized in the table.Miles from Home% of AccidentsLess than 1231 to 5296 to 101711 to 15816 to 206Over 2017a) Create an appropriate graph of these data.________________b) Do these data indicate that driving near home is particularly dangerous? Explain.” is broken down into a number of easy to follow steps, and 63 words.

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Accidents Progressive Insurance asked customers who had