Question 1

One advantage of bureaucracy is that it separates the position from the person.

Accepted Answer

Bureaucracy is based on rules and regulations, and the decisions and actions of the person in the position are limited by those rules. The position is separate from the individual, meaning that when a person leaves their position, the rules and regulations still apply to the position and its duties. This helps to ensure continuity and consistency in organizational processes.

Question 2

Believing that top management was not reacting quickly enough to problems, Du Pont eliminated many of its top management levels.

Accepted Answer

Du Pont restructured its management to improve responsiveness and decision-making by reducing the number of management levels.

Question 3

The principle of minimum chain of command states that an organization should avoid hierarchies because individuals prefer to be empowered.

Accepted Answer

The principle of minimum chain of command actually emphasizes on reducing the number of levels in the hierarchy to speed up decision-making and improve communication, but it does not suggest avoiding hierarchies altogether. It is based on the idea that too many layers in the organization can slow down decision-making and communication, as well as create confusion and bureaucracy.

Question 4

A new organization is experiencing coordination and motivation problems due to high differentiation. The CEO is in the process of designing the hierarchy. What do you recommend?

Accepted Answer

The answer of A new organization is experiencing coordination and...

Question 5

Contingent workers are workers whose pay is contingent upon their performance.

Accepted Answer

The answer of Contingent workers are workers whose pay is...

Question 6

Companies with tall organizational structures have a minimum of 10 hierarchical levels.

Accepted Answer

There is no set definition of what constitutes a "tall" organizational structure, but generally it refers to structures that have more levels of hierarchy than flat structures. While tall structures typically have more than just a few levels, there is no requirement that they have at least 10 levels. The number of levels can vary widely depending on the size and complexity of the organization.

Question 7

According to Weber, rational- legal authority emerges as managers develop a reputation for making rational decisions.

Accepted Answer

The answer of According to Weber, rational- legal authority emerges...

Question 8

The hierarchy begins to emerge when subunit orientations become so prevalent that the organization cannot control employees.

Accepted Answer

The answer of The hierarchy begins to emerge when subunit...

Question 9

In a bureaucratic structure, norms should be used to control relationships between roles.

Accepted Answer

In a bureaucratic structure, norms are a set of rules and expectations that are used to guide and control behavior within the organization. These norms serve as a way to establish and maintain relationships between roles, and help to ensure that everyone within the organization is working towards the same goals and objectives. By adhering to these norms, individuals within the organization are able to establish clear expectations and guidelines for their behavior, which can help to promote efficiency, accountability, and effectiveness within the organization.

Question 10

Company ABC developed a new product that has been very successful. To handle this growth, the CEO has insisted on hiring many new managers. The company is not concerned with costs, because sales are on the rise. What are some potential future problems that ABC will have to face?

Accepted Answer

The answer of Company ABC developed a new product that...

Question 11

Weber was against putting rules in writing, because he was in favor of an empowered workforce making its own decisions about how to best accomplish the task.

Accepted Answer

Weber believed in written rules and procedures as a way to ensure consistency and efficiency in the organization. He emphasized the importance of bureaucratic control and formal rationality.

Question 12

Research and development laboratories use small spans of control because the content of each member's work is unrelated.

Accepted Answer

The answer of Research and development laboratories use small spans...

Question 13

Weber's bureaucracy should reduce both role conflict and role ambiguity.

Accepted Answer

Weber's bureaucracy emphasizes clear job descriptions, hierarchical authority, and formal rules and procedures, which should reduce both role conflict (confusion about which tasks are required) and role ambiguity (uncertainty about how to perform tasks).

Question 14

Increasing horizontal differentiation increases vertical differentiation.

Accepted Answer

Horizontal differentiation refers to differences in products or services within the same category or market. Increasing these differences leads to a more diverse range of options for consumers, which can increase their willingness to pay more for products that offer unique features or benefits. This, in turn, can lead to an increase in vertical differentiation, which refers to differences in quality or prestige between the products or services in a market. Hence, increasing horizontal differentiation may lead to higher perceived quality and status for certain products, resulting in greater vertical differentiation.

Question 15

An arithmetic increase in the number of managers is accompanied by a geometric increase in the number of subordinates.

Accepted Answer

This statement is not necessarily true. The increase in the number of subordinates can vary depending on factors such as the size of the organization and the hierarchy structure. It could be arithmetic or geometric or even more complex.

Question 16

A manager's span of control includes subordinates he or she supervises directly and subordinates he or she supervises indirectly (by supervising their direct boss).

Accepted Answer

The answer of A manager's span of control includes subordinates...

Question 17

Standardization makes it easier to increase span of control.

Accepted Answer

Standardization involves establishing uniform procedures, policies, and practices across an organization. By doing so, it creates a common ground and understanding within the organization, making it easier for managers to oversee an increased number of subordinates or departments. This, in turn, can lead to a wider span of control since managers can delegate tasks and responsibilities more efficiently.

Question 18

It has been estimated that 20% of the U.S. workforce consists of contingent workers.

Accepted Answer

According to a report by the U.S. Government Accountability Office, approximately 20% to 30% of the U.S. workforce are contingent workers, including part-time, temporary, and self-employed workers.

Question 19

Management by objectives is a form of goal setting in an organizational setting.

Accepted Answer

Management by objectives (MBO) is a goal-setting approach in which an organization defines its objectives and engages all levels of employees to contribute towards achieving those objectives.

Question 20

The CEO of a mid- sized software company is determined to keep the hierarchy at a minimum number of levels. Will this affect the organization's ability to control activities? What do you suggest?

Accepted Answer

The answer of The CEO of a mid- sized software...

Quiz 5: Designing Organizational Structure: Coordination, Communication, and Control