Deck 7: Designing Organizational Structure

Question 1

The extent to which the design of a job requires the worker to perform all of the tasks that are required to complete the job successfully is known as the task significance.

Answer 1

False
Explanation: Task significance is the degree to which a worker feels his/her job is meaningful because of its effect on people inside the organization, such as coworkers, or on people outside the organization, such as customers.

Question 2

It is easier for managers to monitor and evaluate subordinates' performance in a functional structure than a divisional structure.

Answer 2

True
Explanation: When people who perform similar jobs are grouped together, it is easier for managers to monitor and evaluate their performance. A functional structure allows workers to evaluate how well coworkers are performing their jobs, and if some workers are performing poorly, more experienced workers can help them develop new skills.

Question 3

The process by which managers set the structure of working relationships among workers in an organization is called organizing.

Answer 3

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

Question 4

The first step in organizational design is job design.

Question 5

Managers lose control over their different businesses by moving to a more flexible structure.

Question 6

Division of labor among employees is the result of the differentiation process.

Question 7

The job characteristics model explains how managers can make jobs more interesting and motivating.
G. R. Oldham's job characteristics model is an influential model of job design that explains in detail how managers can make jobs more interesting and motivating.

Question 8

The degree to which a job design gives a worker the freedom to schedule his/her tasks and to decide how to carry them out is known as the task identity.

Question 9

The more skilled its workforce,the less likely an organization is to use a flexible,decentralized structure.

Question 10

Increasing the number of different tasks in a job by changing the division of labor is known as job enrichment.

Question 11

Increasing the degree of responsibility that a worker has over his/her job is known as job simplification.

Question 12

A differentiation strategy aimed at increasing the customer's perception of an organization services usually succeeds even with an inflexible structure.

Question 13

According to contingency theory,there can be only one best way to design an organization's structure.

Question 14

The more nonroutine the technology an organization uses,the easier it is for managers to control and regulate the technology.

Question 15

A functional structure is an organizational structure composed of all of the departments that an organization needs to produce its products.

Question 16

Routine technologies are characterized by low task variety and high task analyzability.

Question 17

In a quickly changing external environment,decentralizing authority and empowering lower-level employees tend to make organizations less flexible and slow in making decisions.

Question 18

The degree to which a manager feels that his/her job is meaningful because of the way that it affects other people is known as the autonomy of the job.

Question 19

The nature of an organization's human resources is an important determinant of the organization's structure.

Question 20

Organizational design reflects the organization's mission statement irrespective of the situation.

Question 21

The more complex an organization,the less important the use of cross-functional teams become to the organization.

Question 22

As an organization grows and begins to produce a wider range of products,a functional structure becomes more efficient and effective.

Question 23

When managers group workers both by function and by product within the same structure,they are said to be following the matrix structure.

Question 24

Too much decentralization has disadvantages for an organization.

Question 25

The number of subordinates who report directly to a manager is known as the hierarchy of authority for that manager.

Question 26

A flat organization has fewer levels of authority relative to the size of that organization.

Question 27

A group of managers from different departments working together on an organizational task is known as a cross-functional team.

Question 28

To satisfy the needs of diverse customers,a company might adopt a customer structure,which groups divisions according to the particular kinds of customers they serve.

Question 29

The "chain of command" of an organization is the hierarchy of authority for that organization.

Question 30

A division is a collection of departments that work together within the organization to produce the product.

Question 31

Decentralization makes an organization flexible as the organization grows and becomes taller.

Question 32

Task forces are often called ad hoc committees because they are temporary.

Question 33

The idea that top management should design an organization with as few levels of authority as is needed to conduct the business of the organization in an efficient and effective manner is known as the minimum chain of command.

Question 34

A line manager is someone in the chain of command who has formal authority over people and resources.

Question 35

Using a market structure,managers place each distinct product line or business in its own self-contained division and give divisional managers the responsibility for devising an appropriate business-level strategy to allow the division to compete effectively in its industry.

Question 36

When managers organize divisions according to the types of customer to whom they market their products,they are focusing on a product structure.

Question 37

A strategic alliance is a series of global alliances that one or several organizations create with suppliers,manufacturers,and/or distributors to produce and market a product.

Question 38

Team members in a market structure are known as two-boss employees.

Question 39

The lesser the complexity of an organization's structure,the greater is the need for coordination among people,functions,and divisions to make the organizational structure work efficiently and effectively.

Question 40

Liaison roles increase the coordination among the business units of an organization.

Question 41

According to Charles Perrow,which of the following factors determines the routineness of technology?

A) Task stability
B) Task analyzability
C) Task creativity
D) Task certainty
E) Task utility

Question 42

The degree to which a job allows the worker to schedule the tasks of the job and to decide how to carry out these tasks is known as:

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

Question 43

Managers should design flexible structures,characterized by decentralized authority and empowered employees,for their organization when its:

A) environment is stable.
B) technology is simple.
C) workforce is highly skilled.
D) strategy is well understood.
E) strategy is simple.

Question 44

Which of the following is the degree to which programmed solutions are available to people or functions to solve the problems they encounter?

A) Task uncertainty
B) Task stability
C) Task analyzability
D) Task creativity
E) Task variety

Question 45

The degree to which a manager feels that his/her job is "meaningful" because of the way in which the job affects other people is known as:

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

Question 46

Mr.Pierson,an economics lecturer,reads an article in the newspaper which says that Roland,one of his students,has been appointed the CEO of a multinational corporation.At this moment,Mr.Pierson would have the highest of which of the following characteristics?

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

Question 47

A manager redesigns the job of a subordinate so that the subordinate has more responsibility over his/her job.Which of the following best describes this process?

A) Job enlargement
B) Job simplification
C) Job enrichment
D) Job reduction
E) Task identity

Question 48

The extent to which a job requires the worker to use a wide range of knowledge and abilities is known as:

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

Question 49

A network structure is a series of global strategic alliances that one or several organizations create with suppliers,manufacturers,and/or distributors to produce and market a product.

Question 50

The ability of managers to use outside suppliers and manufacturers to produce goods and services,has led many researchers and consultants to popularize the idea of a boundaryless organization.

Question 51

The extent to which a job requires a worker to perform all of the tasks that are required to complete the job is known as:

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

Question 52

Which of the following is the number of new or unexpected problems or situations that a person or function encounters in performing tasks or jobs?

A) Task uncertainty
B) Task stability
C) Task analyzability
D) Task creativity
E) Task variety

Question 53

A Place for Pizza encourages the basic division of labor among "chefs" and "food servers" where chefs perform all tasks involved in actual cooking and food servers perform all tasks involved in giving food to the customers.Which of the following grouping tasks is A Place for Pizza implementing?

A) Functional structure
B) Job design
C) Divisional structure
D) Product structure
E) Matrix structure

Question 54

Business-to-business (B2B)network is a company-specific virtual information system that allows workers to share their knowledge and expertise and find others to help solve ongoing problems.

Question 55

The process by which managers establish the structure of working relationships among workers of the organization is known as:

A) planning.
B) leading.
C) organizing.
D) controlling.
E) directing.

Question 56

A manager increases the number of tasks that a subordinate has to do in order to make the job more interesting for the subordinate.Which of the following best describes this process?

A) Job simplification
B) Job enlargement
C) Job enrichment
D) Task identity
E) Task significance

Question 57

The process by which managers decide how to divide into specific jobs the tasks that have to be performed to provide customers with goods and services is known as job:

A) design.
B) enlargement.
C) simplification.
D) rotation.
E) enrichment.

Question 58

The Pizza Man combined the jobs of "chef" and "food server" into a single job description.Which of the following grouping tasks is The Pizza Man implementing?

A) Functional structure
B) Divisional structure
C) Product structure
D) Job design
E) Matrix structure

Question 59

The greater the level of uncertainty in the organization's environment,the:

A) less likely managers are to design a structure and a culture that is innovative.
B) less likely managers are to design a structure and a culture that changes quickly.
C) more likely managers are to design an organizational structure that is formal and controlling.
D) more likely managers are to design a structure and a culture that are flexible.
E) more likely managers are to design an organizational culture that defines how employees should act in particular situations.

Question 60

According to _____ theory,managers should choose a structure that fits the circumstances affecting their organization the most.

A) contingency
B) design
C) agency
D) equity
E) expectancy

Question 61

Xpress Delivery Corporation organizes its managers according to the different regions of the world in which the managers work.This is an example of which of the following organizational structures?

A) Market structure
B) Customer structure
C) Product structure
D) Matrix structure
E) Geographic structure

Question 62

Which of the following structures allows managers to be responsive to the needs of their customers and allows them to act flexibly in making decisions in response to customers' changing needs?

A) Market structure
B) Geographic structure
C) Functional structure
D) Matrix structure
E) Transitional structure

Question 63

Another name for the organization's hierarchy of authority is the:

A) chain of command.
B) span of control.
C) corporate ladder.
D) unity of command.
E) organizational constitution.

Question 64

The manager of the human resources department of a company is a(n)_____ manager.

A) line
B) product
C) staff
D) task force
E) operations

Question 65

A doctor who works with people suffering from malignant diseases has _____ than the salesperson of a prescription drug store.

A) a low degree of feedback
B) less autonomy
C) less skill variety
D) less task identity
E) higher task significance

Question 66

When different managers from different functional areas are brought together to work on an organizational task,they are known as a(n)_____ team.

A) functional
B) co-dependent
C) cross-functional
D) independent
E) virtual

Question 67

Rusty is a project manager who has 15 executives reporting directly to him.This refers to which of the following responsibilities of Rusty as a manager?

A) Unity of command
B) Span of control
C) Chain of command
D) Unity of direction
E) Hierarchy of authority

Question 68

The relative authority that each manager in the organization has from the CEO down to the lowest-level manager is called the _____ of the organization:

A) span of control
B) unity of command
C) corporate ladder
D) unity of direction
E) chain of command

Question 69

Which of the following is an organizational structure comprising of all the departments that an organization requires to produce its goods or services?

A) Autonomous structure
B) Provisional structure
C) Divisional structure
D) Transitional structure
E) Functional structure

Question 70

A sales executive who is given the authority to choose the prospective customers he will make a personal sales call on,has _____ than an order taker at a restaurant.

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

Question 71

In which type of organizational design are employees correctly referred to as two-boss employees?

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

Question 72

The extent to which a job gives the worker direct and clear information about how well the worker is performing the job is known as:

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

Question 73

At Xen Ltd.,each product line is managed within a division.In each of these divisions,the division manager is responsible for creating the business-level strategy for the product line.What type of structure is the organization using?

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

Question 74

In Cosmeto & Co.,Pat is assigned to a team to develop a new kind of shampoo.He reports to both the marketing manager and the personal care product manager.The organization is pursuing which of the following organizational structures?

A) Matrix structure
B) Global product structure
C) Customer structure
D) Geographic structure
E) Market structure

Question 75

In the design of an organization,another name for "market structure" is _____ structure.

A) product
B) geographic
C) customer
D) functional
E) matrix

Question 76

When designing an organization,if managers are grouped both by function and by product at the same time,the organizational structure being used is the _____ structure.

A) market
B) geographic
C) functional
D) matrix
E) divisional

Question 77

Which of the following refers to the number of subordinates who report directly to a manager?

A) Unity of command
B) Hierarchy of authority
C) Chain of command
D) Span of control
E) Pecking order

Question 78

The units of Zach Ltd.are grouped together such that the functions that work together to produce a product are grouped together.This is an example of which of the following structures?

A) Market structure
B) Transitional structure
C) Organic structure
D) Functional structure
E) Divisional structure

Question 79

Which of the following structures is most likely to be used by managers pursuing a multidomestic strategy?

A) Market structure
B) Customer structure
C) Global geographic structure
D) Global transitional structure
E) Global product structure

Question 80

When customers around the world are willing to buy the same kind of product,or slight variations thereof,managers are more likely to pursue a _____ structure.

A) market
B) customer
C) global geographic
D) global transitional
E) global product