Deck 9: Organizational Agility

Question 1

Managers who want to strengthen their firms' competitiveness via core competencies need to focus on the organization's HR department.

Answer 1

False

Question 2

To be successful,the partners in a strategic alliance must pay attention to the human relationships.

Answer 2

True

Question 3

Downsizing is the planned elimination of jobs.

Answer 3

True

Question 4

A firm may try to be both "big" and "small" in order to capitalize on the advantages of each.

Question 5

In the organic organization,expertise is highly valued.

Question 6

The strategies and structures used by the organization are based on the firm's core competencies,its strategic alliance,its ability to learn,and its ability to engage all the people in the organization in achieving its objectives.

Question 7

Survivor's syndrome occurs when an employee loses a spouse or partner.

Question 8

Today's environment requires mechanistic structures to ensure a firm's success.

Question 9

The strategic triangle includes three key players: the organization,the government,and the competition.

Question 10

Rightsizing is a successful effort to achieve an appropriate size at which the company performs most efficiently.

Question 11

The more organic a firm is,the more responsive it will be to changing competitive demands and market realities.

Question 12

"Diseconomies of Scale" refers to the costs of an organization being too big.

Question 13

Because of their size,smaller companies can produce scale economies that can help lower operating costs and generate greater purchasing power.

Question 14

Large organizations are typically less organic than small ones.

Question 15

Having people engage in disciplined thinking and attention to details and making decisions based on data and evidence rather than guesswork and assumptions,are key components to a learning organization.

Question 16

A low-involvement organization is a type of an organization in which top management ensures that there is consensus about the direction in which the business is heading.

Question 17

Smaller companies can move fast,provide quality goods and services to targeted market niches and can inspire greater involvement for their people.

Question 18

Customer relationship management (CRM)helps companies understand and anticipate the needs of only their current customers.

Question 19

One of the most important characteristics of an organization is its size.

Question 20

A value chain is the sequence of activities that flow from raw materials to the delivery of a good or service,with additional value created at each step.

Question 21

An organizational form that emphasizes flexibility is a(n)

A)dynamic network.
B)mechanistic organization.
C)bureaucratic organization.
D)continuous improvement organization.
E)organic structure.

Question 22

Some customers demand ISO 9001 certification before they will do business with a company.

Question 23

Who developed the terms "mechanistic" and "organic" to describe organizations?

A)Max Weber
B)Frederick Taylor
C)Burns and Stalker
D)Taylor and Weber
E)Abraham Maslow

Question 24

Technology can be viewed as the methods,processes,systems,and skills used to transform resources into products.

Question 25

Large batch technologies occur with high variety of products and high volumes.

Question 26

Reengineering answers the question "If you were the customer,how would you like us to operate?"

Question 27

The particular form--and degree--of organic structure the organization adopts should depend on its

A)strategy.
B)size.
C)customers.
D)technology.
E)All of the above determine the particular form and degree of organic structure the organization adopts.

Question 28

People in organic organizations work more as ________ than _________.

A)friends,enemies
B)teammates,subordinates
C)family,workers
D)employees,servants
E)acquaintances,friends

Question 29

The formal structure of an organization is put in place to

A)control people.
B)manage the ROI.
C)increase promotion.
D)allow for intrapraneurship.
E)encourage entrepreneurship.

Question 30

Total quality management is a way of managing in which everyone is committed to the continuous improvement of his or her part of the operation.

Question 31

Companies meet the increasing demand for mass customization by creating "modules" that perform a certain task or process.

Question 32

Managers who want to strengthen their firms' competitiveness via core competencies need to focus on which of the following issues?

A)Assigning specific tasks to specific workers
B)Purchasing more capital assets
C)Writing a strategic plan
D)Extending competencies to find new applications and opportunities for the markets of tomorrow
E)Stock price

Question 33

In a lean manufacturing organization,the emphasis is on quality,speed and flexibility.

Question 34

At the high-volume end of the scale are companies that use small batch technologies.

Question 35

Which of the following statements about the pure organic structure is true?

A)Jobholders have fewer responsibilities.
B)It is more rigid than a mechanistic structure.
C)It emphasizes conformity.
D)It is relatively informal.
E)It emphasizes specific processes.

Question 36

Reengineering is about making minor organizational changes.

Question 37

Just-in-time operations and simultaneous engineering are key elements of time-based competition.

Question 38

U.S.companies first became interested in ISO 9001 because it helps to keep the environment "green."

Question 39

Mass specialization refers to organizations that are trying to produce both high-volume and high-variety products at the same time.

Question 40

Some customers demand ISO 9001 certification before they will do business with a company.

Question 41

The capability--knowledge,expertise,skill--that underlies a company's ability to be a leader in providing a range of specific goods or services is called

A)synergy.
B)organizational talent.
C)core competence.
D)organizational leadership.
E)knowledge flow.

Question 42

Which of the following is a way that firms become true learning organizations?

A)Their people must engage in good assumptions.
B)They search constantly quick fixes to current problems.
C)They carefully review both success and failures.
D)They isolate innovation in each department until the innovation has proven to be successful.
E)Top management directs how to solve each major problem.

Question 43

Which of the following statements best describes management in a high-involvement organization?

A)Top management decides the direction in which the business is heading.
B)The leader makes all decisions on his/her own.
C)Task forces and study groups are not generally used as they are seen as a waste of precious time.
D)Benchmarking is avoided.
E)The organizational form is a flat,decentralized structure build around a customer,good,or service.

Question 44

Economies of scope refers to

A)lower costs per unit produced.
B)materials and processes employed in one product can be used to make other,related products.
C)getting products to market ahead of the competition.
D)the producer with the greatest percentage of market share.
E)indicators that an organization has contributed to economic growth.

Question 45

Small organizational size may improve

A)function.
B)manufacturing.
C)speed.
D)organizational design.
E)bureaucracy.

Question 46

Diseconomies of scale refers to

A)environmental forces which inherently have a negative impact on business growth.
B)the realization of lower per unit costs.
C)the costs associated with an organization being too big.
D)employing materials/processes in related products or services.
E)an inability to achieve the advantages of larger organizational size.

Question 47

The ability to utilize processes and/or materials in multiple applications is referred to as economies of

A)scale.
B)production.
C)strategy.
D)scope.
E)size.

Question 48

Which of the following is a characteristic of very large organizations?

A)They tend to be more organic.
B)Levels are added to keep spans of control from becoming too small.
C)Jobs are more specialized.
D)Rules,procedures and paperwork are unnecessary.
E)The organization is easy to control because of the organizational structure used.

Question 49

Learning organizations are good at

A)problem creation.
B)coming to consensus based on gut feelings.
C)containing knowledge.
D)discouraging new approaches.
E)shamelessly stealing ideas from other organizations.

Question 50

With the advantage of __________,huge companies with lots of money may be the best at taking on large foreign rivals in huge global markets.

A)higher levels of unemployment
B)economies of scope
C)economies of unit
D)a standardized labor force
E)a centralized set of processes

Question 51

Greater complexity,increased bureaucracy and specialized jobs are characteristic of

A)fast changing organizations.
B)static organizations.
C)mid-sized organizations.
D)very large organizations.
E)small,entrepreneurial organizations.

Question 52

A type of organization in which top management ensures that there is consensus about the direction in which the business is heading is a

A)learning organization.
B)high-involvement organization.
C)mechanistic organization.
D)network organization.
E)matrix organization.

Question 53

The Healthy Nutrition Counseling Center and the Simple Solutions Software Company have recently joined forces to produce a meal planning program for use on home computers.The two organizations decided to work together on the project since neither one could have developed the project with their own resources.Both organizations will own the resulting program.This effort could be considered a

A)network organization.
B)strategic alliance.
C)cluster organization.
D)classical conglomerate.
E)high-involvement organization.

Question 54

Downsizing is

A)the planned elimination of organizational positions.
B)efforts to achieve maximum corporate effectiveness.
C)transition from corporate equity to corporate debt.
D)the sale of less efficient operating units.
E)reducing waste in the corporation.

Question 55

A(n)__________ is a formal relationship created among independent organizations with the purpose of joint pursuit of mutual goals.

A)partnership
B)organizational alliance
C)network organization
D)cluster organization
E)strategic alliance

Question 56

Globaltech,a computer software company is in the process of eliminating hierarchy levels in the organization.Globaltech has carefully analyzed all of the positions in the company and strategically determined which positions to keep.It plans to protect its most talented people and help the others with special attention.Globaltech is beginning to

A)develop a new information system.
B)complete its retirement plan.
C)downsize.
D)avoid cyclical hiring.
E)determine the right fit of the organizational goals.

Question 57

An organization skilled at creating,acquiring and transferring knowledge and at modifying its behavior to reflect new knowledge and insights is a

A)learning organization.
B)high-involvement organization.
C)mechanistic organization.
D)network organization.
E)matrix organization.

Question 58

Which of the following statements about strategic alliances is true?

A)Managers typically do not devote enough time screening potential partners in financial terms.
B)For the alliance to work,the partners must develop the human relationships in the partnerships.
C)It is typical that the most successful strategic alliances have the same research interests.
D)Sometimes strategic alliances slow down the work of two organizations;this must be watched carefully.
E)Manufacturing costs are often increased by using a strategic alliance.

Question 59

Structurally,a high-involvement organization is

A)tall and decentralized.
B)flat and decentralized.
C)tall and centralized.
D)flat and centralized.
E)departmentalized.

Question 60

Economies in which materials and processes employed in one product can be used to make other,related products are

A)subassemblies.
B)economies of scope.
C)flexible factories.
D)functional organizations.
E)economies of scale.

Question 61

Dr.Kenichi Ohmae points out that any business unit must take into account which three key items?

A)Profit,strategy,and employees
B)Control,structure,conduct
C)Customers,corporation,competitors
D)Control,customers,employees
E)Profit,customers,competitors

Question 62

Jim Smith,a manager at First Customer Ford,strives for long-term improvement rather than short-term profit.He has done this for years regardless of the economic environment.This is an example of which of Deming's 14 points of quality?

A)Create constancy of purpose
B)Adopt the new philosophy
C)Improve constantly and forever the system of production and service
D)Take action to accomplish the transformation
E)Institute training and retraining

Question 63

Total quality management is a way of managing in which __________ are committed to continuous improvement of the product/service.

A)top managers
B)operations managers
C)production workers
D)staff/support workers
E)all of the above

Question 64

Loss of productivity and morale in employees who remain after a downsizing is known as

A)relative syndrome.
B)survivor's syndrome.
C)downsizing syndrome.
D)demoralization guilt.
E)survivor's guilt.

Question 65

According to the text,another term for effective downsizing is

A)under sizing.
B)rightsizing.
C)left sizing.
D)life sizing.
E)resizing.

Question 66

Employees who still have their jobs after downsizing,experience heavier workloads,loss of organizational commitment and risk aversion.This is termed

A)downsizing blues.
B)survivor's syndrome.
C)downsizing disorientation.
D)downsizing syndrome.
E)employee depression.

Question 67

Senior managers at ZebraCorp,a manufacturer of striped leather sofas,have been working with a consultant to implement ISO 9001.They have established a vision and goals,and have been working hard to establish trust with their employees.Given this scenario,ZebraCorp.can be said to have strong

A)information and analysis.
B)strategic quality planning.
C)mutually beneficial supplier relationships.
D)process quality management.
E)leadership.

Question 68

A multifaceted process focusing on creating two-way exchanges with customers to foster intimate knowledge of their needs,wants and buying patterns is called

A)customer relationship management.
B)total quality management.
C)human resources management.
D)customer exchange.
E)customer intimacy.

Question 69

One of the most important contributors to total quality management has been the introduction of statistical tools to analyze the causes of product defects in an approach called

A)Six Sigma Quality.
B)Total Quality Integration.
C)ISO 9001.
D)Kaisan.
E)Kanban.

Question 70

A company that continually updates the methods and thinking of an organization is using which of Deming's 14 points of quality?

A)Create constancy of purpose
B)Adopt the new philosophy
C)Improve constantly and forever the system of production and service
D)Take action to accomplish the transformation
E)Institute training and retraining

Question 71

The planned elimination of positions or jobs is called

A)reengineering.
B)self-direction.
C)downsizing.
D)span of control.
E)economies of scale.

Question 72

The strategic triangle includes which three things?

A)Profit,strategy,and employees
B)Control,structure,conduct
C)Customers,corporation,competitors
D)Control,customers,employees
E)Profit,customers,competitors

Question 73

Which of the following statements about W.Edwards Deming's 14 points of quality is true?

A)Strive for short-term improvement rather than long-term profit.
B)Ensure compliance by punishing those who deviate from the process.
C)Eliminate slogans and buzzwords.
D)Use numerical quotas.
E)Mass inspection is the best way to ensure quality.

Question 74

An integrative approach to management that supports the attainment of customer satisfaction through a wide variety of tools and techniques that result in high-quality goods and services is called

A)Just-in time control (JIT).
B)customer relationship management.
C)total quality management.
D)time-based competition.
E)ISO 9001.

Question 75

The sequence of activities that flow from raw materials to the delivery of a product or service,with additional value created at each step is called

A)competitive analysis.
B)value chain.
C)customer analysis.
D)total quality management.
E)ISO 9000.

Question 76

Which of the following is a primary activity in the generic value chain?

A)Firm infrastructure
B)Human resource management
C)Technology development
D)Service
E)Procurement

Question 77

Which of the following is a support activity in the generic value chain?

A)Inbound logistics
B)Operations
C)Outbound logistics
D)Procurement
E)Marketing and sales

Question 78

In the realm of customer relations,__________ includes continually changing in order to connect with customers,even without waiting for customers to make the first move.

A)cooperative intimacy
B)continuous improvement
C)value chain analysis
D)customer exchange
E)total quality management

Question 79

Which of the following is an effective practice in downsizing?

A)Hire people that can cope with the new situation.
B)Make slow,small,frequent layoffs.
C)Expect employees to cope with the new situation/reality.
D)Communicate once a quarter,through the company newsletter,with people about the process.
E)Identify how the organization will operate more effectively in the future.

Question 80

Which of the following is one of the Baldridge criteria?

A)Use of JIT
B)Offering extensive training to workers
C)Computer/technology analysis
D)Business results
E)ROI focus