Deck 17: Organization Design

Question 1

Until the 1990s, China and many Asian countries (with the exception of Japan) had

A)global technology variations.
B)continuous process technologies.
C)an unfavorable attitude toward technology.
D)the most advanced technology in the world.
E)nonroutine technologies.

Answer 1

C

Question 2

Burns and Stalker proposed that the ____ determines the best method of structuring the organization.

A)alignment of the firm's mission and its goals
B)rate of change in technology
C)level of employee satisfaction
D)intensity of the competition
E)certainty of market conditions

Answer 2

B

Question 3

According to the research conducted by Peter Blau and his associates, large size is associated with all of the following EXCEPT:

A)more formalization.
B)a larger span of control.
C)more levels in the hierarchy.
D)greater flexibility.
E)specialization of labor.

Answer 3

D

Question 4

All of the following statements are true about organizational downsizing EXCEPT:

A)it often speeds decision making.
B)it has both psychological and sociological impact.
C)it is aimed primarily at reducing corporate staff and middle management.
D)it has consistently achieved good results.
E)it is a popular trend.

Question 5

Which of the following best describes the contingency approach to organization design?

A)Organizational efficiency and effectiveness can be achieved in many different ways.
B)Managers and employees should work together to design the organization.
C)Managers should gather input from employees regarding organization design, but should make the decision themselves.
D)Organization design should be based only on things managers can change, such as size and technology.
E)Certain organizational structures are designed to work in any situation.

Question 6

Which of the following is one of the key structural imperatives?

A)Competition
B)Sustainability
C)Environment
D)Efficiency
E)Effectiveness

Question 7

In contrast to universal approaches to organization design, contingency approaches

A)are dependent on the skills of employees.
B)have eliminated the debate about organizational strategy and structure.
C)prescribe "one best way" to structure the organization.
D)are less applicable to modern organizations.
E)suggest that organizational outcomes can be achieved in several ways.

Question 8

Organizational technology can best be described as

A)the plans and actions taken to meet organizational goals.
B)an organization's ability to adapt to change.
C)the mechanical and intellectual processes that transform inputs into outputs.
D)the fixed costs associated with plants and equipment.
E)the customization of parts.

Question 9

Which of these is the most heavily discussed and researched organizing approach within the past thirty years?

A)Structural imperatives
B)Human organization
C)Strategic choice
D)Ideal bureaucracy
E)Sociotechnical systems

Question 10

The organizational environment is comprised of all of the following factors EXCEPT:

A)Other organizations
B)Customers
C)Government
D)Unemployment rate
E)Employees

Question 11

Which of the following is NOT a method for assessing the size of an organization?

A)Physical capacity
B)Average stock value in the previous year
C)Value of assets
D)Total number of employees
E)Total sales in the previous year

Question 12

Which statement best summarizes the relationship among size, structure, and technology?

A)Technology influences structure more in large organizations than it does in small ones.
B)Technology influences structure more in small organizations than it does in large ones.
C)Technology has the same influence on structure in small organizations as it does in large ones.
D)Technology has an effect on structure, but not on size.
E)Technology has an effect on size, but not on structure.

Question 13

People in an organization's task environment includes all of these EXCEPT

A)employees.
B)suppliers.
C)customers.
D)donors.
E)shareholders.

Question 14

What is an economy of scale?

A)Paying off variable costs as soon as possible
B)Spreading fixed costs over a large number of units
C)Introducing products into as many countries as possible
D)Attracting the most customers as possible
E)Avoiding finance charges by assuming less debt

Question 15

Environmental uncertainty exists when managers

A)attempt to simplify the general environment.
B)attempt to stabilize the task environment.
C)have difficulty predicting the impact of environmental factors.
D)relax the constraints on product demand.
E)behave in an unpredictable fashion.

Question 16

The general environment includes which of the following factors?

A)Regulators
B)Donors
C)Suppliers
D)Customers
E)Technology

Question 17

Dynamism and complexity combine to create

A)organizational structure.
B)uncertainty.
C)management.
D)the environment.
E)strategy.

Question 18

The classifications of small-batch, large-batch, and continuous-process production were established by

A)Thompson.
B)Burns and Stalker.
C)Woodward.
D)Perrow.
E)the Aston studies.

Question 19

Chandler's conclusion in the strategy view of organization structure is that

A)structure follows strategy.
B)strategy follows structure.
C)technology affects structure.
D)larger organizations have more complex structures.
E)environmental uncertainty affects structure.

Question 20

The Aston group found that, compared to larger organizations, smaller organization's technology

A)comprised the strategic imperative.
B)was rare.
C)was almost always a continuous process.
D)reduced the need for leadership.
E)had more direct effects on structure.

Question 21

The term that is used to identify an organizational structure that is typical of old, very large organizations, divided according to the different markets it serves is

A)matrix design.
B)professional bureaucracy.
C)adhocracy design.
D)divisionalized form.
E)simple structure.

Question 22

Managers must consider the impact of multiple factors on contemporary organizational design. These multiple factors include all of the following EXCEPT:

A)technology.
B)people.
C)staying in touch with customers.
D)synergistic structure.
E)global organization.

Question 23

A key contribution of the strategic choice perspective is that it recognizes that

A)the relationship between strategy and structure may be reciprocal.
B)there is no relationship between strategy and structure.
C)structure determines strategy only in new organizations.
D)strategy follows structure.
E)structure follows strategy.

Question 24

The benefits of a matrix organization include all of the following EXCEPT:

A)it is flexible.
B)it can provide coordinated responses to pressures.
C)power struggles may occur.
D)it improves project coordination.
E)it improves communication.

Question 25

At the most advanced level of multinational activity a firm might become an international conglomerate. Two companies that are considered at that level are Nestle and ____.

A)Home Depot
B)Unilever N.V.
C)Southwest Airlines
D)Sears Group
E)Target

Question 26

The term that is used to identify an organizational structure that is characterized by horizontal specialization by professional areas of expertise is

A)matrix design.
B)professional bureaucracy.
C)adhocracy design.
D)divisionalized form.
E)simple structure.

Question 27

The strategy concept has been refined to include ____ as a key factor in determining the structure of an organization.

A)the role of the top management decision maker
B)technology
C)organizational goals
D)environmental factors
E)upper management

Question 28

Mitchell works in an organization with a clear hierarchy of authority, a boss who gives him instructions, and employees who are loyal and obedient. This organization is

A)mechanistic.
B)technological.
C)strategically chosen.
D)Burns and Stalker's.
E)organic.

Question 29

A(n) ____ structure is characterized by social networks.

A)mechanistic
B)technological
C)strategically chosen
D)synergistic
E)organic

Question 30

A(n) ____ relies on standardization of skills as the primary means of coordination.

A)mechanistic structure
B)professional bureaucracy
C)open system
D)virtual organization
E)adhocracy structure

Question 31

Which of the following is NOT true about a virtual organization?

A)It is a temporary alliance between two or more organizations.
B)A slow response will result in losses.
C)Each organization brings their best capabilities together.
D)It improves project coordination.
E)The organizations band together for a specific venture.

Question 32

The foundation of the sociotechnical systems approach to organizing is

A)universality.
B)group theory.
C)systems theory.
D)Mintzberg's framework.
E)leadership theory.

Question 33

The ____ is everything outside an organization and includes all elements, people, other organizations, economic factors, objects, and events, that lie outside the boundaries of the organization.

A)universal approach
B)general environment
C)organizational environment
D)task environment
E)contingency approach

Question 34

A mechanistic structure can be characterized by all of the following EXCEPT:

A)it is primarily hierarchical.
B)communication is typically vertical.
C)knowledge is concentrated at the top.
D)instructions come from the boss.
E)membership requires a commitment to the tasks of the organization.

Question 35

Environmental ____ is the degree to which environmental components change.

A)certainty
B)complexity
C)uncertainty
D)dynamism
E)synergism

Question 36

The term that is used to identify an organizational structure that is typical of young organizations in highly technical fields is

A)matrix design.
B)professional bureaucracy.
C)adhocracy design.
D)divisionalized form.
E)simple structure.

Question 37

Janice's personal values affect her decisions regarding strategies, which in turn influence the organization's structure. Which of the following perspectives account for these relationships?

A)Technological design
B)Strategic choice
C)Structural imperatives
D)Organic structuring
E)Environmental design

Question 38

According to Henry Mintzberg, the ways in which tasks are coordinated include all of the following EXCEPT:

A)by mutual adjustment.
B)by direct supervision.
C)by standardization of worker skills.
D)by developing a simple organizational structure.
E)by work processes.

Question 39

In a(n) ____, interactions and communication are typically horizontal, knowledge resides wherever it is most useful, and membership requires commitment to the organization's tasks.

A)organic structure
B)mechanistic structure
C)matrix structure
D)simple structure
E)machine bureaucracy

Question 40

The ____ approach views the organization as an open system structured to integrate the two important subsystems: the task and social subsystem.

A)open systems
B)close systems
C)sociotechnical systems
D)autonomous work group
E)organic design

Question 41

In the _____ approach to organization design, prescriptions or propositions are designed to work in any circumstances.

A)universal
B)systems
C)contingency
D)dynamic
E)outcomes

Question 42

The contingency approach has been criticized as unrealistic.

Question 43

The organizational environment consists of everything outside the boundaries of the organization.

Question 44

Organizational downsizing is a popular technique for reducing lower management in companies.

Question 45

Under the _____ approach to organization design, the desired outcomes for the organization can be achieved in several ways.

A)universal
B)systems
C)contingency
D)dynamic
E)outcomes

Question 46

A(n) ____ subsystem is the means by which inputs are transformed into outputs.

A)open
B)task
C)sociotechnical
D)synergistic
E)social

Question 47

Chandler concluded that "structure follows strategy."

Question 48

Size, environment, and technology have been identified as structural imperatives.

Question 49

Most theories of organization design either take a universal or a contingency approach.

Question 50

Which of these is the set of plans and actions necessary to achieve organizational goals?

A)Strategy
B)System
C)Structure
D)Scale
E)Social subsystem

Question 51

The structural imperatives approach to organization design follows a universal perspective.

Question 52

According to the universal approach, there are several ways to achieve organizational efficiency and the best way to do so depends on several factors.

Question 53

An organic structure can be characterized by all of the following EXCEPT:

A)structure: network based on interests
B)communication: primarily vertical
C)knowledge: throughout
D)instructions: through advice, information
E)membership: commitment to the task

Question 54

Global technology variations come in two forms: variations in available technology and variations in attitudes toward technology.

Question 55

It is necessary to determine the boundary of the organization in order to understand where the environment begins.

Question 56

The structure of large organizations is more influenced by technology than is the structure of small organizations.

Question 57

Most organizations rely on multiple technologies.

Question 58

Organizational technology consists of mechanical and intellectual processes that are used to create outputs.

Question 59

Economies of scale are an advantage of larger organizations.

Question 60

A(n) ____ subsystem includes the interpersonal relationships that develop among people in organizations.

A)open
B)task
C)sociotechnical
D)synergistic
E)social

Question 61

Many cultures still take a traditional view of organization structure not unlike the approaches used in the USA during the days of classical organization theory.

Question 62

The professional bureaucracy relies on standardization of skills as the primary means of coordination.

Question 63

Contemporary organizational designs has four dominant themes that include people, technology, customers, and globalization.

Question 64

A virtual organization is a permanent alliance between two or more organizations that band together to accomplish a specific venture.

Question 65

A(n) _______ approach suggests that there are several ways to achieve an outcome and that the best way to do it depends on one of several factors.

Question 66

The _______ approach to organization design has been the most discussed and researched perspective in the past thirty years.

Question 67

The matrix organizational design attempts to combine four different disparate designs to gain the benefits of each design.

Question 68

In the adhocracy organizational design, decision-making is centralized at the top of the organization, and power is in the hands of management.

Question 69

A(n) _______ consists of the plans and actions necessary to achieve organizational goals.

Question 70

Chandler observed that structure follows _______.

Question 71

Organizational _______ consists of the mechanical and intellectual processes that transform inputs into outputs.

Question 72

The simple structure characterizes small or new organizations with little specialization.

Question 73

The three structural imperatives are _______, technology, and environment.

Question 74

The task environment includes all of the specific organizations, groups, and individuals that influence the organization.

Question 75

A(n) ______ approach contends that a particular organization design will work in any situation.

Question 76

Rethinking the organization is a process for restructuring that throws out traditional assumptions that organizations should be structured with boxes and horizontal and vertical lines.

Question 77

The machine bureaucracy is typical of young organizations in highly technical fields.

Question 78

______ of scale are an advantage of large organizations.

Question 79

Mintzberg believed that fit among parts is the least important consideration in designing an organization.

Question 80

Organizational ______ is a popular trend aimed at reducing the size of corporate staffs.