Deck 14: Organizational Structure and Change

Question 1

Organic structures are highly formalized and centralized.

Answer 1

False

Question 2

Decentralization is the concentration of decision making at higher levels in the organization.

Answer 2

False

Question 3

Functional structures are most effective for companies with large product lines.

Answer 3

False

Question 4

Employees feel that decentralized organizations provide greater levels of procedural fairness.

Question 5

Employees working in dynamic environments depend on their general mental abilities for good performance.

Question 6

Just-in-time production leads to antagonistic relations between Toyota and its suppliers.

Question 7

Organic structures are related to higher levels of job satisfaction.

Question 8

A strategic alliance is a type of boundaryless organization where all nonessential functions are outsourced.

Question 9

Toyota employees are expected to be experts in what they do.

Question 10

The biggest advantage of a mechanistic structure,especially in a stable environment,is its efficiency.

Question 11

Matrix organizations violate the unity of command principle.

Question 12

Tall structures have wider span of control than flat structures.

Question 13

If a firm is operating in a stable environment,the centralized organizational structure may lead to the most efficient operations.

Question 14

Toyota uses a system of continuous improvement and learning.

Question 15

In divisional structures,employees tend to be more specialists than generalists.

Question 16

Toyota employees feel a sense of ownership in their company,which is supported by the firm's matrix structure.

Question 17

A formalized structure leads to faster decision making.

Question 18

A unionized firm has very formalized structures.

Question 19

Conflict at various levels is a potential issue for matrix organizations.

Question 20

Flat structures are better at satisfying employee self-actualization needs while tall structures are better at satisfying employee security needs.

Question 21

People do not welcome change whether it is favorable or not to them.

Question 22

Moore's law says the overall complexity of computer circuits will double every 18 months with no increase in costs,so firms will rapidly change their technology.

Question 23

Change is more likely to occur in firms that are performing poorly because successful firms keep doing what they have done to make them successful.

Question 24

Organizational change can be either radical or incremental.

Question 25

A learning organization is one where acquiring knowledge and changing behavior as a result of the newly acquired knowledge is part of the organization's design.

Question 26

Which of the following statements regarding Toyota's structure is INCORRECT?

A)Toyota's structure facilitates communication among functions.
B)Toyota uses cross-functional module development teams.
C)Toyota's production system has led it to be structured as a matrix organization.
D)Toyota requires all its employees to be generalists.

Question 27

Resistance to change is never a positive force for an organization.

Question 28

During the change efforts,the organization should focus on big wins to demonstrate the success of the effort.

Question 29

Surveys indicate that resistance to change is one of the top two reasons why change efforts within organizations fail.

Question 30

Convincing the opinion leaders in your organization of the need for organizational change is a more successful technique to ensure change than trying to get everyone on board at the same time.

Question 31

When people react to organizational change negatively,they are absent more often and are more likely to voluntarily leave the company.

Question 32

While manufacturing jobs have been outsourced,knowledge-based jobs are safe from outsourcing.

Question 33

Employees with more complete information are no more committed to the change effort than those who have less than complete information.

Question 34

Passive resistance refers to sabotaging the change effort and being outspoken about the negative effects of change.

Question 35

Which of the following statements regarding Toyota's just-in-time production and suppliers is INCORRECT?

A)Around 75% of the final Toyota vehicle is produced by its suppliers.
B)Long-term relationships are established with Toyota suppliers.
C)Toyota work goes to the lowest bidding supplier.
D)Toyota sends engineers to supplier firms to assess and improve their production processes.

Question 36

The first stage in Lewin's Model of planned change is unfreezing.

Question 37

Cultures low in uncertainty avoidance are comfortable with change.

Question 38

Those employees who feel they can perform well under a new system will be more committed to change.

Question 39

The lean manufacturing system employs all of the following human resource strategies EXCEPT

A)high bonuses.
B)high investment in training.
C)internal promotions.
D)employment stability.

Question 40

Employees with a positive self-concept are better at coping with change.

Question 41

Unity of command is NOT found in what type of organizational structure?

A)functional structure
B)divisional structure
C)boundaryless structure
D)matrix structure

Question 42

Functional structures

A)are most effective when an organization has a large number of products.
B)are most effective in dynamic environments.
C)tend to facilitate the effective performance of employees with general mental abilities.
D)are cost-effective structures for the human resource and information technology departments of most companies.

Question 43

Organic structures

A)are those that resemble a bureaucracy and are highly formalized and centralized.
B)cross a functional structure with a product structure.
C)are flexible and decentralized structures with low levels of formalization where communication lines are more fluid.
D)are how individual and team work within an organization are coordinated.

Question 44

Centralized organizations

A)tend to have faster,more efficient decision making.
B)attract more job candidates.
C)put less pressure on higher level managers.
D)can lead to large cost savings in purchasing operations.

Question 45

All of the following statements regarding the matrix structure are correct EXCEPT

A)The matrix structure increases the frequency of informal communication but decreases the frequency of formal communication.
B)The matrix structure is a response to uncertainty and dynamism in the environment.
C)Matrix structures violate the unity of command principle.
D)Matrix structures require managers to be more interdependent than in traditional structures and thus more of their time must be spent coordinating their work.

Question 46

Flat structures

A)have narrow spans of control.
B)provide lower levels of self-actualization than tall structures.
C)provide opportunities for greater role clarity for employees.
D)provide limited advancement opportunities.

Question 47

An organization that eliminates traditional barriers between departments as well as barriers between the organization and the external environment is a

A)matrix organization.
B)functional organization.
C)boundaryless organization.
D)divisional organization.

Question 48

Tall structures provide

A)employees greater levels of role ambiguity.
B)employees with greater self-actualization need satisfaction.
C)employees with greater security need satisfaction.
D)managers with a greater span of control.

Question 49

The company was organized into the detergent area,the dishwashing soap area,and the health and beauty aid area.This firm has a

A)divisional structure.
B)functional structure.
C)mechanistic structure.
D)matrix structure.

Question 50

The degree to which decision-making authority is concentrated at higher levels in an organization is

A)formalization
B)centralization
C)hierarchical levels
D)departmentalization

Question 51

Mechanistic structures

A)are conducive to entrepreneurial activity and general innovativeness.
B)maximize efficiency and minimize costs.
C)enhance intrinsic motivation on the job.
D)are flexible and react well to change.

Question 52

Formalization

A)can lead to greater innovativeness.
B)enhances employee motivation.
C)provides for quicker decision making.
D)makes employee behavior predictable.

Question 53

Which of the following is NOT a good piece of advice to give to individuals who have multiple bosses in a matrix structured organization?

A)Make an effort to establish a good relationship with each manager.
B)Keep conflicts you are experiencing to yourself.
C)Make sure all managers are familiar with your overall workload.
D)Do not assume that having multiple bosses is a bad thing.

Question 54

Organic structures

A)are related to lower job satisfaction.
B)have formal communication channels.
C)maximize efficiency and minimize costs.
D)are conducive to entrepreneurial activity and general innovativeness.

Question 55

The company is organized into accounting,marketing,human resource management,and production departments.This firm has a

A)divisional structure.
B)functional structure.
C)product structure.
D)matrix structure.

Question 56

Highly formalized and centralized structures similar to bureaucracies are

A)mechanistic structures.
B)organic structures.
C)matrix structures.
D)product structures.

Question 57

Organization structure is

A)the degree to which decision-making authority is concentrated at higher levels in the organization.
B)how the individual and team work within an organization is coordinated.
C)the degree to which policies,procedures,job descriptions and rules are written and explicitly articulated.
D)the number of employees reporting to a single manager.

Question 58

In which of the following firms is formalization likely to occur?

A)small,local pizza shop
B)advertising agency
C)unionized manufacturing firm
D)nonunion heavy construction firm

Question 59

In an organization,the union contract is very explicit as to employee work rules,the tasks each individual employee will perform,the pay each individual will receive,how each individual can move from one position to another and so on.This organization's structure is an example of a ____________ structure in the organization.

A)centralized
B)departmentalized
C)hierarchical
D)formalized

Question 60

_________ is the number of levels an organization has.

A)Hierarchy
B)Departments
C)Structure
D)Centralization

Question 61

Which of the following statements regarding factors of change in the organization is INCORRECT?

A)Rapid developments in technology force a firm to change its technology to keep up.
B)Manufacturing jobs have been outsourced,but knowledge-based jobs are largely safe from such movement.
C)Though 50% of all small businesses fail,those that succeed often evolve into large,complex organizations over time.
D)Changes in market conditions or the economy may cause companies to change the manner in which they do business.

Question 62

Two or more companies that find an area of collaboration and combine their efforts to create a partnership beneficial to both parties is a

A)strategic alliance.
B)modular organization.
C)matrix organization.
D)learning organization.

Question 63

Learning organizations use all of the following approaches to acquire knowledge that they can use to change behavior EXCEPT

A)conducting formal retrospective meetings.
B)studying customer habits.
C)benchmarking against best industry practices.
D)acquiring a firm to gain its research and development area.

Question 64

All of the following statements regarding resistance to change are correct EXCEPT

A)all change attempts have to overcome the resistance of people.
B)if resistance to change is not addressed by the firm,time and energy will be lost.
C)when people react negatively to change,they are absent more often.
D)when people react negatively to change,they experience negative emotions,but are no more likely to leave the firm than they would be in a firm that was not undergoing organizational change.

Question 65

All of the following are external forces that are creating change for organizations EXCEPT

A)technology.
B)workforce demographics.
C)market conditions.
D)growth of unions.

Question 66

Being disturbed by changes without voicing your opinion is

A)active resistance.
B)passive resistance.
C)enthusiastic support.
D)compliance.

Question 67

Which of the following statements regarding reasons employees resist change is correct?

A)people may not welcome the change currently proposed,but they do not usually place those changes into any past context,so former unsuccessful changes have little impact on the situation.
B)people resist change even if it is personally beneficial to them.
C)people are less likely to resist a change that is big in scope and has far reaching consequences.
D)people resist change that negatively impacts their influence and power in the firm.

Question 68

Marta has been a part-time faculty member at the university for nine years.She has been teaching two to three writing courses a semester.Last month,the dean held a meeting where he announced that next academic year,part-time instructors would be limited to teaching only two classes during the entire year.Marta is very upset and tells her husband,"I may look into teaching at the community college next year but don't let anyone at the university know." This is an example of what kind of change reaction?

A)passive resistance
B)enthusiastic support
C)compliance
D)active resistance

Question 69

An organization where all the nonessential functions are outsourced is a

A)strategic alliance.
B)modular organization.
C)matrix organization.
D)learning organization.

Question 70

The practice of outsourcing as a response to the globalization of business has created all of the following changes for organizations EXCEPT a need to

A)retrain the workforce.
B)deal with employee stress.
C)understand how to compete in a global marketplace.
D)restructure employee communication channels.

Question 71

Andy is vehemently opposed to the restructuring of the jobs in his department in the manufacturing firm.He decides that since no one is listening to what he has to say he will get their attention by damaging each of the parts he is making for tomorrow's shipment.This is an example of what kind of change reaction?

A)enthusiastic support
B)passive resistance
C)active resistance
D)compliance

Question 72

All of the following statements regarding reasons employees resist change are correct EXCEPT

A)those who feel they can perform well under a new system will be more committed than those who have lower confidence in their ability to perform.
B)we are creatures of habit.
C)feelings of uncertainty create stress.
D)people with a negative self-concept view change as an opportunity.

Question 73

Georgio just returned from a meeting where his boss informed everyone of the new procedures to use in requesting reimbursement for travel.Georgio says,"I just figured out how to fill the other one out and now they are changing things.Oh,well,what are you going to do?" This is what kind of a reaction to change?

A)enthusiastic support
B)active resistance
C)compliance
D)passive resistance

Question 74

The most negative reaction to a proposed change attempt is

A)enthusiastic support.
B)active resistance.
C)passive resistance.
D)compliance.

Question 75

All of the statements regarding workplace demographics and their impact on change are correct EXCEPT an older workforce

A)that chooses retirement may cause a loss of valuable knowledge for firms.
B)will create a need for new types of benefits.
C)will likely cause flexible work hours and job sharing to diminish as older people like the structure of set hours of work.
D)will create a need to train managers so that they are not using age-related stereotypes in managing those employees.

Question 76

Compliance is

A)going along with proposed changes with little enthusiasm.
B)the most negative reaction to a proposed change.
C)defending the change and encouraging others to give their support to the change as well.
D)being disturbed by changes without voicing those opinions.

Question 77

People resist change for all of the following reasons EXCEPT

A)disrupted habits.
B)personality.
C)feelings of certainty.
D)fear of failure.

Question 78

Which of the following statements regarding performance and organizational change is INCORRECT?

A)More successful firms find it easier to change than those performing poorly.
B)Nothing fails like success is a fitting saying to describe the relationship between organizational change and performance.
C)Change in upper level management is a motivator for organizational level change.
D)Successful companies often have special practices in place to keep the organization open to change.

Question 79

The new CEO of XYZ Corporation has developed a plan that will call for the restructuring of the organization from a functional structure to a matrix one.In his meeting with his subordinates,manager Ervin says,"This will be great.You will still work for this area and me,but you will have variety in that you will also all be reporting to a second manager for various projects to which you will be assigned.This new structure will only help grow this company." This is what kind of a reaction to change?

A)compliance
B)enthusiastic support
C)active resistance
D)passive resistance

Question 80

Which of the following statements regarding change is INCORRECT?

A)Organizational change is the movement of an organization from one state of affairs to another.
B)Organizational change takes on limited forms.
C)Organizational change,at its most basic,involves effective people management.
D)Organizational change can be forced or planned.