Deck 15: Organizational Design and Structure

Question 1

A highly bureaucratized organization, such as the Social Security Administration, exhibits all of the following characteristics except:

A) specialization.
B) standardization.
C) tall hierarchy.
D) flexible structure.

Answer 1

D

Question 2

The strongest method of horizontal integration is through:

A) liaison roles.
B) integrators.
C) task forces.
D) teams.

Answer 2

D

Question 3

Flat organizational structures are characterized by:

A) narrow spans of control.
B) close supervision.
C) long communication channels.
D) high ratios of employees to supervisors.

Answer 3

D

Question 4

In their research on differentiation, Lawrence and Lorsch found that all of the following dimensions reflected differentiation except:

A) goal orientation.
B) interpersonal orientation.
C) formality of structure.
D) hierarchical control.

Question 5

When comparing the time orientation of a supervisor and corporate president, the supervisor is more likely to concentrate on:

A) long-run product development.
B) weekly production targets.
C) annual profit and loss experiences.
D) semi-annual sales forecasts.

Question 6

The Royal Bank of Canada moved its loan-processing work from its headquarters to its branch banks in order to avoid bottlenecks. This is an example of:

A) specialization.
B) formalization.
C) decentralization.
D) standardization.

Question 7

Organizational design is a process of specifying structural features of an organization. This process begins with:

A) determining the organization's goals.
B) identifying task specifications of each job.
C) arranging jobs into departments.
D) diagramming formal channels of communication.

Question 8

The extent to which work activities are defined and routinely performed the same way is known as:

A) centralization.
B) standardization.
C) complexity.
D) formalization.

Question 9

An organization chart shows:

A) the formal lines of authority and responsibility.
B) the number people employed by an organization.
C) the tasks for each job.
D) the number of positions in each department.

Question 10

gives an organization political and legal advantages in a country because it is identified as a local company.

A) Spatial differentiation
B) Vertical differentiation
C) Horizontal differentiation
D) Market differentiation

Question 11

The difference between the authority and responsibility in an organizational hierarchy is called:

A) horizontal differentiation.
B) span of control.
C) gap of accountability.
D) vertical differentiation.

Question 12

The particular grouping of activities or division of labor performed by an individual is referred to as:

A) horizontal differentiation.
B) vertical differentiation.
C) standardization.
D) specialization.

Question 13

Which of the following departments would probably have the most flexible structure?

A) Marketing
B) Operations
C) Research and development
D) Human resource management

Question 14

The process of breaking organizational goals into tasks and dividing work is known as:

A) integration.
B) coordination.
C) differentiation.
D) organization charting.

Question 15

Complexity refers to the:

A) number of activities, subunits, or subsystems within an organization.
B) process of coordinating the different departments of an organization.
C) number of employees in an organization.
D) number of levels within an organization.

Question 16

The degree of differentiation most affected by employee's specialized knowledge, education, or training is known as:

A) spatial differentiation.
B) vertical differentiation.
C) horizontal differentiation.
D) departmental differentiation.

Question 17

The process of coordinating the different parts of an organization is called:

A) centralization.
B) integration.
C) span of control.
D) hierarchy of authority.

Question 18

The degree to which an organization has official rules, regulations, and procedures is called:

A) standardization.
B) complexity.
C) formalization.
D) specialization.

Question 19

A tall hierarchy of authority is usually associated with:

A) simple communication chains.
B) informal and unofficial work roles.
C) flexible controls.
D) centralization structures.

Question 20

The process of constructing and adjusting an organization's structure to achieve its goals is called:

A) strategic management.
B) strategy-structure fit.
C) organizational design.
D) organizational reconfiguration.

Question 21

In a small organization (cafe, service station, or real estate office), supervision of employees and management control are most commonly done through:

A) detailed descriptions.
B) personal observation by the manager.
C) written policies and procedures.
D) rule books.

Question 22

The part of an organization's external environment that the organization claims for itself with respect to how it fits into its relevant environments is known as the:

A) task environment.
B) context.
C) general environment.
D) domain.

Question 23

Among Mintzberg's fundamental elements, the faculty of a university comprises the .

A) support staff
B) technical staff
C) middle level
D) operating core

Question 24

When examining the relationship between size and basic design dimensions, it can be concluded that small organizations are more than large organizations.

A) formalized
B) centralized
C) specialized
D) standardized

Question 25

An automobile plant with routinized operating tasks is most likely to use a(n) .

A) simple structure
B) machine bureaucracy
C) professional bureaucracy
D) adhocracy

Question 26

The most appropriate measure of organization size when considering alternative structural designs is:

A) number of units produced.
B) total assets.
C) sales volume.
D) number of employees.

Question 27

NASA, which is composed of many talented experts who work in small teams on a wide range of projects, is probably organized as a(n):

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

Question 28

Woodward's classification theme of technology (large batch, small batch, and continuous process) led to the conclusion that the more complex the technology, the:

A) lesser the investment capital the organization needed.
B) lesser the funds needed to be invested in training.
C) more complex the administrative component of the organization needs to be.
D) more a participative leadership style would lead to organizational effectiveness.

Question 29

According to Woodward's classification of different technologies, the technology of custom home building is:

A) unit or small batch in nature.
B) a continuous production process.
C) an assembly line process.
D) non-sequential in nature.

Question 30

For an organization to take advantage of its larger size in the 21st century, it must become:

A) centerless with a global core.
B) centralized with a technology critical mass.
C) cellular with strong elements of the horizontal form.
D) more like an adhocracy.

Question 31

The introduction and use of computer-aided manufacturing and networked information and communication systems have been associated with all of the following except:

A) broadened span of control.
B) flattened or delayered organization structures.
C) increased upward mobility or promotion opportunities.
D) enhanced technical knowledge requirements.

Question 32

Utilizing Perrow's framework of technology, problem analyzability refers to:

A) the amount and type of information needed to respond to task exceptions.
B) the type of technology that should be used to get maximum throughput.
C) whether the solution can be reduced by quantitative methods.
D) the degree of computer technology that is being used in the transformation process.

Question 33

Conditions that include political considerations, broad economic factors, ecological changes, sociocultural demands, and government regulation are considered to be part of the:

A) task environment.
B) operational environment.
C) general environment.
D) immediate environment.

Question 34

A moderately decentralized form of organization that emphasizes a support staff and standardization of work processes defines the:

A) machine bureaucracy.
B) professional bureaucracy.
C) adhocracy.
D) divisionalized form.

Question 35

The tools, techniques, and actions used by an organization to transform inputs into outputs are together called the:

A) organization's technology.
B) throughput.
C) transformation process.
D) organization's work design.

Question 36

Which of the following is NOT a major contextual variable of organizational design?

A) External environment
B) Leadership style
C) Strategy and goals
D) Technology

Question 37

A centralized form of organization that emphasizes the upper echelon and direct supervision under Mintzberg's configurations is the:

A) simple structure.
B) machine bureaucracy.
C) professional bureaucracy.
D) adhocracy.

Question 38

Anything outside the boundaries of an organization is considered:

A) a contextual variable.
B) its technology.
C) the environment.
D) the market.

Question 39

Which of the following contextual variables are LEAST controllable by the organization?

A) Strategy
B) Internal labor market
C) Technology
D) Environment

Question 40

The configuration that would best fuse interdisciplinary experts through ad hoc project teams and mutual adjustment is the:

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

Question 41

A job description is an example of formalization.

Question 42

To meet the conflicting demands of efficiency and customization, organizations need to:

A) strategically choose one or the other.
B) invest in robotics.
C) become a knowledge-based company.
D) become dynamically stable.

Question 43

All of the following are emerging organizational structures except:

A) circle.
B) network.
C) virtual.
D) cellular.

Question 44

Usually, the more specialized the jobs within an organization, the more departments are differentiated within that organization.

Question 45

Which of the following statements regarding the fit between structure and relevant contextual dimensions is NOT true?

A) The better the fit, the more likely that an organization will achieve its short-run goals.
B) The better the fit, the more likely an organization will process information and design appropriate organizational roles for long-term prosperity.
C) It is apparent that there must be some level of fit between the structure and the contextual dimensions of an organization.
D) The better the fit, the more likely the structure will determine the strategy and goals of an organization.

Question 46

Emerging organizational structures will emphasize all of the following except:

A) multiple competencies.
B) process rather than function.
C) self-managed teams.
D) extensive vertical differentiation.

Question 47

If an organization confronts a situation with scarce resources, large amounts of change, and many competitors, the situation would be considered one:

A) with strategic disadvantage.
B) where profit will be difficult to achieve.
C) of high environmental uncertainty.
D) where a task oriented leadership style is necessary.

Question 48

Which of the following competitive or market environments would be considered relatively stable?

A) Commercial airline
B) Casual and sports clothing
C) Can manufacturing
D) Computer and consumer electronics

Question 49

In contrasting structural roles of managers today with managers of the future managers:

A) must adopt a relatively narrow functional focus.
B) will tend to get things done by giving employees orders.
C) must encourage cross-functional collaboration.
D) will strictly adhere to boss-employee authority relationships.

Question 50

Which of the following would NOT be a symptom of poor alignment between the structure and contextual variables of an organization?

A) Delays in decision making
B) Lack of innovative responses to a changing environment
C) Increased conflict between departments
D) High executive turnover

Question 51

A temporary set of organizations designed to come together swiftly to exploit an apparent market opportunity is called a:

A) cellular organization.
B) circle organization.
C) virtual organization.
D) network organization.

Question 52

The degree of vertical differentiation affects organizational effectiveness, but there is no consistent finding that flatter or taller organizations are better.

Question 53

The geographic dispersion of an organization's offices, plants, and personnel is known as spatial integration.

Question 54

An organization using a weblike structure where some or all of their operating functions are contracted to other organizations would be called a:

A) network organization.
B) virtual organization.
C) cellular organization.
D) circle organization.

Question 55

Which of the following statements regarding complexity and the strategic decision process is NOT true?

A) As complexity increases, the strategic decision process will become more politicized.
B) Organizations will find it more difficult to recognize environmental opportunities and threats as complexity increases.
C) As complexity increases, the strategic process will be constrained by the limitations of top managers.
D) The constraints on good decision processes will be multiplied by the limitations of each individual within an organization.

Question 56

Horizontal differentiation accounts for the difference in authority and responsibility in the organizational hierarchy.

Question 57

An organization that faces considerable environmental uncertainty and rapid change is more likely to be successful with:

A) a rigid and tall structure.
B) an organic structure.
C) a highly defined set of policies and procedures.
D) high levels of job specialization and low levels of job interdependence.

Question 58

Tall structures, those with narrow spans of control, tend to be characterized by loose supervision and weaker controls.

Question 59

The downsizing of organizations and loss of middle management has lengthened the chain of command.

Question 60

Short product and organizational life cycles place considerable emphasis on:

A) increasing formalization of job requirements.
B) hierarchical control and centralized decision making.
C) generalization and standardization.
D) flexibility and efficiency.

Question 61

The prime coordinating mechanism for the professional bureaucracy is standardization of skills.

Question 62

The adhocracy displays a high degree of standardization, a low level of complexity, and minimal environmental uncertainty.

Question 63

Formalization, specialization, and standardization all tend to be greater in larger organizations because they are necessary to control activities within the organization.

Question 64

The domain of an organization is particularly important because it is defined by the organization.

Question 65

Rules, procedures, liaison persons, and task forces are integrative mechanism that link organization parts and programs.

Question 66

The strongest method of horizontal integration is to develop a person or department designed to be an integrator.

Question 67

Designing and building linkage coordination mechanisms is known as specialization.

Question 68

Differentiation is the process of deciding how to divide the work in an organization.

Question 69

Generally, the taller the organization, the more vertical integration mechanisms are needed.

Question 70

The domain of an organization refers to anything outside the boundaries of the organization.

Question 71

The prime coordinating mechanism in an adhocracy is mutual adjustment.

Question 72

Generally, the flatter an organization, the more vertical integration mechanisms are needed.

Question 73

Mintzberg's adhocracy configuration would most similar to the matrix type of structure.

Question 74

Perrow's nonroutine technology is characterized by ill-defined problems and many exceptions.

Question 75

Technical and support staffs make up the higher levels in the hierarchy of authority of a large hospital.

Question 76

Formalization and specialization help large organizations decentralize decision making.

Question 77

The degree to which jobs are narrowly defined and depend on unique expertise defines standardization.

Question 78

Large-scale organizations tend to exhibit specialization, formalization, and complexity.

Question 79

Organic forms of organization are simple, informal, and standardized.

Question 80

The strongest method of horizontal integration is through teams.