Which of the following statements is true regarding a circle configuration of a top-management team?
A) A circle configuration slows organizational learning because all coordination takes place through the CEO.
B) Communication around a circle configuration takes much less time than that required for communication around a wheel configuration.
C) A circle configuration is not suitable for complex problems requiring coordination among group members.
D) A wheel configuration solves complex problems much more quickly than a circle arrangement.

Question

Quizplus · Accepted Answer

A circle configuration is characterized by a relatively flat structure with decentralized decision-making, allowing for easier communication and more efficient decision-making. Since communication in a circle configuration can occur more freely between members, there is less reliance on the CEO for coordination. A wheel configuration, on the other hand, is a hierarchical structure with the CEO at the top, leading to slower communication and decision-making. A circle configuration may not be suitable for complex problems that require input from multiple members, but it can be effective for more routine decision-making processes. Therefore, option B is the correct choice.

Which of the Following Statements Is True Regarding a Circle