Deck 5: Managing Organizational Structure

Question 1

Which of the following has the responsibility to increase coordination and integration across departments or divisions to achieve performance gains?

A)Integrating role
B)Top management role
C)Leadership role
D)Coordinator role
E)Liaison role

Answer 1

A

Question 2

Too much decentralization has this as a disadvantage:

A)Employees are better able to recognize and respond to customer needs
B)Divisions and functions may begin to pursue their own goals at the expense of organizational goals
C)Managers no longer make decisions
D)It leads to slow and distorted communication
E)None of these choices are correct.

Answer 2

B

Question 3

The way that managers design organizational structures depends on the answers to which question?

A)How to group tasks into individual jobs that are interesting and motivating for employees?
B)Whether to pursue a more formal or flexible structure?
C)How to allocate authority among functional areas and divisions to ensure coordination and integration?
D)How to group jobs into departments and divisions as organizations grow?
E)All of these questions must be answered.

Answer 3

E

Question 4

An organizational structure in which employees are permanently assigned to a team and report only to the product manager or to one of his or her subordinates is known as a:

A)B2B network structures
B)Product/project team structure
C)Market team structure
D)Cross-functional team
E)Hybrid structure

Question 5

When McDonald's Corporation made a basic decision as to how to divide the tasks of the jobs of "chefs" and "food servers" in its restaurants, this was an example of:

A)Job reduction
B)Job simplification
C)Job enrichment
D)Job enlargement
E)Job design

Question 6

A formal structure is more appropriate when the technology used is:

A)uncertain
B)developed
C)cutting edge
D)routine
E)complicated

Question 7

A formal system of task and reporting relationships that coordinates and motivates organizational members so that they work to achieve organizational goals is known as:

A)The span of control
B)Organizational design
C)Organizational structure
D)Organizational architecture
E)All of these choices are correct.

Question 8

Which of the following is NOT a characteristic of an organic organizational structure?

A)They are appropriate in stable environments
B)They have decentralized authority
C)They are appropriate in dynamic environments
D)They have high cross-departmental cooperation
E)They have horizontal communication flows

Question 9

Boundaryless organizations are also called because members rarely see one another face to face.

A)network organizations
B)virtual organizations
C)learning organizations
D)All of the choices are correct.
E)None of the choices are correct.

Question 10

An organizational structure composed of all the departments that an organization requires to produce its goods or services is known as a:

A)Market structure
B)Product structure
C)Geographic structure
D)Functional structure
E)Divisional structure

Question 11

The criteria on which to answer design questions include:

A)Following the principle of the minimum chain of command
B)The most efficient way to make the product or service
C)Matching the firm's organizational environment, HR, technology, and strategy with its size and resources
D)The degree of change in the organizational environment
E)All of these criteria impact questions of designing an organizational structure.

Question 12

is the process by which managers establish the structure of working relationships among employees to allow them to achieve organizational goals efficiently and effectively.

A)Motivating
B)Leading
C)Planning
D)Organizing
E)Controlling

Question 13

Managers tend to move to what type of structure to overcome the problems of a functional structure?

A)Geographic structure
B)Network structure
C)Market structure
D)Product structure
E)Divisional structure

Question 14

A formal agreement that commits two or more companies to exchange or share their resources in order to produce and market a product is known as a:

A)Boundaryless organization
B)Strategic alliance
C)Joint venture
D)B2B network structure
E)Permanent venture

Question 15

In order to create an organizational structure, managers must make a decision about all of the following, except:

A)How to group tasks into jobs
B)Whether to pursue a formal or flexible structure
C)How to coordinate jobs, functions, and divisions by allocating authority
D)How to group jobs into functions and divisions
E)How to appraise employee performance

Question 16

If the external environment of an organization is stable and if uncertainly is , then _ coordination among workers is needed to obtain resources, and managers can bring formality to the design of the organizational structure.

A)low; less; more
B)high; less; less
C)high; less; more
D)low; more; more
E)All of these choices are incorrect.

Question 17

An organizational structure where the owner is the general manager responsible for the activities in all the functions is known as _.

A)simple structure
B)functional structure
C)network structure
D)matrix structure
E)departmentalization

Question 18

A group of individuals from different departments brought together to perform organizational tasks is known as a:

A)Hybrid structure
B)Market team structure
C)Product/project team structure
D)B2B network structures
E)Cross-functional team

Question 19

In a particular organization, departments are created according to the jobs performed in them.This best represents which type of organizational structure?

A)Functional structure
B)Market structure
C)Divisional structure
D)Geographic structure
E)Product structure

Question 20

Organizations that combine one or more types of organizational structures is known as ___________.

A)product/project team structure
B)B2B network structures
C)market team structure
D)cross-functional team
E)hybrid structure

Question 21

Which of the following has the responsibility for coordinating with other functional departments or divisions?

A)Leadership role
B)Liaison role
C)Coordinator role
D)Integrating role
E)Top management role

Question 22

A teacher who sees the effect of his or her efforts in a well-educated and well-adjusted student enjoys high compared to a dishwasher who monotonously washes dishes as they come to the kitchen.

A)task significance
B)task variety
C)task identity
D)autonomy
E)skill variety

Question 23

Which of the following is NOT true of matrix structures?

A)It is useful when technology is rapidly changing
B)It is useful because it is flexible
C)It is useful in environments of uncertainty
D)It is useful when customer needs are rapidly changing
E)It is useful in environments of certainty

Question 24

An organizational structure composed of separate business units within which are the functions that together produce a specific product for a specific customer is known as a:

A)Divisional structure
B)Team structure
C)Geographic structure
D)Matrix structure
E)Functional structure

Question 25

All of the following are characteristics of the job characteristics model except:

A)Skill variety
B)Task significance
C)Task variety
D)Task identity
E)Autonomy

Question 26

As an organization grows and changes its strategy, all of the following can occur with a functional structure, except:

A)Functional managers become less effective because they perceive problems only from the narrow perspective of their department
B)Communication between managers of different departments becomes difficult
C)Efficiency is enhanced
D)Functional managers can lose sight of organizational goals
E)Coordination becomes difficult when managers are responsible for several different products

Question 27

A large organization that has many divisions and simultaneously uses many different organizational structures is known as a:

A)Strategic alliance
B)Boundaryless organization
C)B2B network structure
D)Simple structure
E)Hybrid structure

Question 28

A series of strategic alliances that an organization creates with suppliers, manufacturers, and distributors to produce and market a product is known as a:

A)Boundaryless organization
B)Joint venture
C)Permanent venture
D)Strategic alliance
E)B2B network structure

Question 29

When Subway Corporation made the basic decision that it would group the jobs of "chef" and "food server" into a single job description, this was an example of:

A)Job enrichment
B)Job reduction
C)Job simplification
D)Job enlargement
E)Job design

Question 30

The initial process by which managers decide how to divide tasks into specific jobs is known as:

A)Job design
B)Job enrichment
C)Job enlargement
D)Job reduction
E)Job simplification

Question 31

Increasing the number of different tasks in a given job by changing the division of labour is known as:

A)Job reduction
B)Job design
C)Job simplification
D)Job enlargement
E)Job enrichment

Question 32

A craftsworker who takes a piece of wood and transforms it into a custom-made desk has higher than does a worker who performs only one of the numerous operations required to assemble a flat-screen TV.

A)task identity
B)task variety
C)autonomy
D)task significance
E)skill variety

Question 33

Reducing the number of tasks that each worker performs is known as:

A)Job reduction
B)Job simplification
C)Job design
D)Job enrichment
E)Job enlargement

Question 34

Highly skilled human resources are better suited to work in _______________ organizational structures.

A)flexible
B)stable
C)mechanistic
D)hierarchical
E)formal

Question 35

A group of organizations that join together and use IT to link their supply and distribution chains is known as _.

A)B2B network structures
B)cross-functional team
C)product/project team structure
D)hybrid structure
E)market team structure

Question 36

Which of the following is NOT a characteristic of a mechanistic organizational structure?

A)They are hierarchical
B)They have centralized authority
C)They are appropriate in dynamic environments
D)They have strict rules and procedures
E)They have vertical communication flows

Question 37

Which of the following is a potential problem with decentralizing decision-making authority?

A)Possible synergies might be missed
B)Divisions, functions, or teams may lose sight of organizational goals
C)Organizational performance might suffer
D)Lack of communication among functional managers might occur
E)All of these choices are correct.

Question 38

Which of the following is NOT something managers must decide on when coordinating functions and divisions?

A)How to determine the optimal span of control
B)How to enlarge the jobs of first line managers
C)Whether the organization should be tall or flat
D)To what degree authority should be decentralized
E)What the minimum chain of command should be

Question 39

The outcome of the process of job design is:

A)Job simplification
B)Job reduction
C)Job enrichment
D)A division of labour among employees
E)Job enlargement

Question 40

According to the text, Nike formed a with suppliers of designs and manufacturers.

A)joint venture
B)boundaryless organization
C)strategic alliance
D)permanent venture
E)B2B network structure

Question 41

Identify the elements managers have to consider in designing organizational structures.

Question 42

Which of the following is true of an organic organizational structure?

A)They have strict rules and procedures
B)They have centralized authority
C)They are hierarchical
D)They are appropriate in dynamic environments
E)They have vertical communication flows SHORT ANSWER.Write the word or phrase that best completes each statement or answers the question.

Question 43

A boundaryless organization is also referred to as a virtual organization.

Question 44

Discuss the advantages and disadvantages of a matrix structure of organizational design.

Question 45

A differentiation strategy that focuses on increasing the value that customers perceive in an organization's goods and services succeeds best in which type of structure?

A)Hierarchical
B)Stable
C)Flexible
D)Mechanistic
E)Formal

Question 46

Which of the following is true of mechanistic organizational structures?

A)They have decentralized authority
B)They have high cross-departmental cooperation
C)They are appropriate in dynamic environments
D)They are appropriate in stable environments
E)They have horizontal communication flows

Question 47

Discuss the advantages and disadvantages of a functional organizational structure.

Question 48

Discuss the advantages and disadvantages of "decentralization" in terms of organizational design.

Question 49

Four factors determine the appropriate design of an organizational structure overall.

Question 50

Explain the decisions that managers make when grouping tasks into jobs.

Question 51

What types of organizational structures are available to managers to make the best use of organizational resources?

Question 52

Strategic alliances and B2B network structures are two recent innovations in organizational design.What advantages do they bring to the organization? Describe how changes in information technology have impacted their growing popularity.

Question 53

In a matrix structure, managers group people and resources by function and by product.

Question 54

Which of the following is NOT an advantage of organizing using a product structure?

A)Frees up corporate managers from the need to supervise the daily activities of the division
B)Increases customer responsiveness by divisional managers
C)Allows corporate managers to choose corporate level strategies
D)Helps managers choose business level strategies to differentiate their products
E)Allows functional managers to become familiar with a wide variety of products

Question 55

Discuss the advantages and disadvantages of grouping functions into "divisions" that focus their efforts on the production and marketing of specific product lines.

Question 56

The more complex the organizational structure a company uses to group its activities is, the greater the problems of linking and coordinating its different functions and divisions.

Question 57

The process by which managers make specific organizing choices that result in a particular kind of organizational structure is known as:

A)Organizational design
B)Organizational structure
C)The span of control
D)Organizational architecture
E)All of these choices are incorrect.

Question 58

Four factors are important determinants of whether a formal or flexible overall organizational structure is appropriate.Discuss any two of these factors.

Question 59

An organizational structure in which each region of a country or area of the world is served by a self-contained division is known as a:

A)Product structure
B)Market structure
C)Geographic structure
D)Functional structure
E)Divisional structure

Question 60

When managers organize divisions according to the region in which they serve, this is known as market structure.

Question 61

Managers coordinate functions and divisions by creating a hierarchy of authority.

Question 62

The nature of an organization's technology is an important determinant of its overall structure.

Question 63

Mechanistic structures allow managers to utilize resources effectively and efficiently in a stable environment.

Question 64

The job characteristics model suggests that the strength of the employees' need for growth, or growth need strength, affects their psychological states and levels of motivation.

Question 65

Matrix and product/project team structures provide managers with more flexibility than divisional structures.

Question 66

A market structure is also called customer structure.

Question 67

Product structures are self-contained separate divisions organized on the basis of one type of good or service.

Question 68

Organic structures allow managers to utilize resources effectively and efficiently in a stable environment.

Question 69

Job enrichment empowers employees by increasing their responsibilities and giving them more control over decision making.

Question 70

Increasing the degree of responsibility a worker has over his or her job is known as job enlargement.

Question 71

The second step in the process of organizational design is to decide how to divide tasks into specific jobs.

Question 72

A network structure is a series of strategic alliances that an organization creates with suppliers, manufacturers, and/or distributors.

Question 73

A strategic alliance is an agreement among two or more companies to jointly establish and share the ownership of a new business.

Question 74

The result of the job design process is a division of labour among employees.

Question 75

A cross-functional team is a group of individuals brought together from different departments to perform organizational tasks.

Question 76

The number of subordinates who report directly to a manager is known as span of control.

Question 77

Decentralizing authority allows an organization and its employees to behave flexibly even as the organization grows and becomes taller.

Question 78

Federal Express uses a geographic structure to serve its customers.

Question 79

Business-to-business (B2B)networks arose as a result of organizations pushing to lower costs.

Question 80

An advantage for managers in grouping similar jobs together into departments is that organizational goals take second place to departmental goals.