Question 1

Sidwan, owner of Jacuzzi Warehouse, said, "We have to focus on our customers and how we can beat the competition, so we have to be flexible." He encourages his R&D department to develop innovative products and focuses on being quick to respond to market changes. Jacuzzi Warehouse has a(n)
A) market culture.
B) goal-driven agenda.
C) adhocracy culture.
D) clan culture.
E) focused approach.

Accepted Answer

An adhocracy culture has an external focus and values flexibility. This type of culture attempts to create innovative products by being adaptable, creative, and quick to respond to changes in the marketplace. Adhocracy cultures are well suited for start-up companies, those in industries undergoing constant change, and those in mature industries that are in need of innovation to enhance growth.

Question 2

Tyree, a graphic designer with Lincoln Advertising, enjoys working for the company because of the flexibility of its management and its culture, which encourages risk taking, innovation, and creativity. Tyree gets quick answers from his boss, allowing him and Lincoln Advertising to quickly respond to changes in the marketplace. Lincoln Advertising is an example of an adhocracy culture.

Accepted Answer

An adhocracy culture has an external focus and values flexibility. This type of culture attempts to create innovative products by being adaptable, creative, and quick to respond to changes in the marketplace. Employees are encouraged to take risks and experiment with new ways of getting things done.

Question 3

Teamsters is an example of a for-profit organization, and the Susan G. Komen for the Cure is an example of a nonprofit organization.

Accepted Answer

Mutual-benefit organizations, like the Teamsters, are voluntary collectives whose purpose is to advance members' interests (examples: unions, trade associations). Nonprofit organizations, like the Susan G. Komen for the Cure, are formed to offer services to some clients, not to make a profit (examples: hospitals, colleges). For-profit organizations are formed to make money, or profits, by offering products or services.

Question 4

Which of Edgar Schein's common elements unifies employees and gives everyone an understanding of the organization's reason for being?
A) coordinated effort
B) division of labor
C) hierarchy of authority
D) span of control
E) common purpose

Accepted Answer

The common purpose unifies employees or members and gives everyone an understanding of the organization's reason for being.

Question 5

Brodie, the owner of Wave Pools, is driven by competition. He is very focused on meeting deadlines and quality, and on delivering the results that customers want. He pushes his managers to continually exceed their productivity goals, and he stresses that profits take precedence over employee development and satisfaction. Brodie feels "there is not enough time for training." However, his employees are regularly rewarded for their success in meeting company goals. Wave Pools has a(n) ________ culture.
A) clan
B) target-driven
C) adhocracy
D) market
E) hierarchy

Accepted Answer

A market culture has a strong external focus and values stability and control. Uber has a "champions mind-set." The company uses an approach called "principled competition" to establish itself in new markets, developing a base of enthusiastic new riders and drivers and using that grassroots support to fend off opposition.

Question 6

Simply Marketing has a hierarchy culture, which means focusing externally, concentrating on strategic planning, taking risks, and preferring flexibility over stability.

Accepted Answer

Hierarchy culture has an internal focus and values stability and control over flexibility. Companies with this kind of culture are apt to have a formalized, structured work environment aimed at achieving effectiveness through a variety of control mechanisms that measure efficiency, timeliness, and reliability in the creation and delivery of products. Simply Marketing has an adhocracy culture, which has an external focus and values creativity.

Question 7

While figuring out how to save money for a bride who is having financial problems, Cadence, the catering manager of I Do I Do, asked her assistant, "What do you think is the best menu to offer under these particular circumstances? How can we offer the bride and groom's guests a great meal within their budget?" Cadence and her assistant are using the contingency approach.

Accepted Answer

According to the contingency approach to organization design, organizations are more effective when they are structured to fit the demands of the situation and when the structure is aligned with the strategies and internal actions of the organization. The manager following the contingency approach simply asks, "What method is the best to use under these particular circumstances?"

Question 8

An organizational structure is a set of shared, taken-for-granted implicit assumptions that a group holds and that determines how it perceives, thinks about, and reacts to its environments.

Accepted Answer

Organizational culture consists of the set of shared, taken-for-granted implicit assumptions that a group holds in the workplace. Organizational structure describes who reports to whom and who does what.

Question 9

Routine tasks and paperwork, as well as jobs that help your subordinates grow, are tasks that
A) a manager should not delegate, according to Edgar Schein.
B) should be delegated, according to Maslow.
C) a manager should delegate, according to Edgar Schein.
D) should not be delegated, according to Maslow.
E) a manager should never delegate, according to Frank Gilbreth.

Accepted Answer

Organizational psychologist Edgar Schein recommends that you delegate tasks that help your subordinates grow, as well as routine tasks and paperwork. Let your employees solve their own problems whenever possible. Let them try new things so they will grow in their jobs.

Question 10

For division of labor to work, there must be a minimum of four employees.

Accepted Answer

The arrangement of having discrete parts of a task done by different people is known as division of labor. Even a two-person crew operating a fishing boat probably has some work specialization-one steers the boat and the other works the nets. With division of labor, an organization can parcel out the entire complex work effort to be performed by specialists, resulting in greater efficiency.

Question 11

Organizational culture appears in four layers: clan, adhocracy, market, and hierarchy.

Accepted Answer

Organizational culture appears as three layers: observable artifacts, espoused values, and basic assumptions. Cultures can be classified into four types: clan, adhocracy, market, and hierarchy.

Question 12

Employees and customers are treated like a family at State Street Coffee House. Jason and Jill, the owners, work to encourage unity to increase their employees' job satisfaction and commitment. At their coffee house, Jason and Jill have built a(n)
A) market culture.
B) goal-driven agenda.
C) bureaucracy culture.
D) clan culture.
E) adhocracy culture.

Accepted Answer

A clan culture has an internal focus and values flexibility rather than stability and control. Like a family-type organization, it encourages collaboration among employees, striving to encourage cohesion through consensus and job satisfaction and to increase commitment through employee involvement. Clan organizations devote considerable resources to hiring and developing their employees, and they view customers as partners.

Question 13

According to the competing values framework, the four types of ________ are clan, adhocracy, market, and hierarchy.
A) organizational values
B) industry cultural standards
C) organizational norms
D) value statements
E) organizational cultures

Accepted Answer

The competing values framework categorizes organizational cultures into four types: clan, adhocracy, market, and hierarchy, emphasizing the different ways organizations operate, their values, and their approaches to achieving success.

Question 14

Imagination Station uses an organizational structure that includes both functional divisions (such as marketing and HR) and a divisional chain of command (such as the marketing and sales divisions). For example, Raj, a salesperson for Imagination Station, reports to both the marketing manager and the sales manager as he starts to develop the Creative Minds account. Imagination Station uses a matrix structure.

Accepted Answer

In a matrix structure, an organization combines functional and divisional chains of command in a grid so that there are two command structures: vertical and horizontal. Thus, a marketing person might report to both the vice president of marketing and to the project manager.

Question 15

Richard, the store manager at an Old Navy outlet, was speaking with Brescia, his new assistant manager, about the store's system of job relationships; he also explained whom she will report to and who will report to her. Richard said, "This system is one of the things that motivates our employees to work together to achieve our company's goals." Richard was telling Brescia about the store's
A) organizational structure.
B) organizational culture.
C) code of ethics.
D) diversity plan.
E) values statement.

Accepted Answer

Organizational structure is a formal system of task and reporting relationships that coordinates and motivates an organization's members so that they can work together to achieve the organization's goals.

Question 16

Changing organizational culture is essentially a teaching process in which members instruct each other about the organization's preferred values, beliefs, expectations, and behaviors.

Accepted Answer

Changing organizational culture is essentially a teaching process-that is, a process in which members instruct each other about the organization's preferred values, beliefs, expectations, and behaviors. The process is accomplished by using one or more of the following 12 mechanisms: formal statements; slogans and sayings; rites and rituals; stories, legends, and myths; leader reactions to crises; role modeling, training, and coaching; physical design; rewards, titles, promotions, and bonuses; organizational goals and performance criteria; measurable and controllable activities; organizational structure; and organizational systems and procedures.

Question 17

Tech company ITOpportunity has a clan culture; employees have generous perks and are empowered to participate in a way in the company that is fun. The end results are profitability and an enviably low 2 percent turnover rate. A clan culture has a(n)
A) internal focus and values flexibility.
B) strong external focus and values stability and control.
C) external focus and values flexibility.
D) internal focus and values stability and control.
E) continual focus on efficiency, cost cutting, and outsourcing.

Accepted Answer

A clan culture has an internal focus and values flexibility rather than stability and control.

Question 18

Will, the owner of Will's Landscaping, was talking to a visitor in his office, telling her that "We are a fun-loving group that believes in teamwork and a family atmosphere at work, which significantly affects our work outcomes. Plus, we do things together outside of work. This is the 'social glue' that binds the members of our company together." Will was referring to his company's
A) mission statement.
B) organizational culture.
C) code of ethics.
D) diversity plan.
E) analytics.

Accepted Answer

Organizational culture, or corporate culture, is the set of shared, taken-for-granted implicit assumptions that a group holds and that determines how it perceives, thinks about, and reacts to its various environments. Corporate culture is the "social glue" that binds members of the organization together. Just as a human being has a personality-such as fun-loving, warm, uptight, or competitive-so an organization has a "personality." And that is culture.

Question 19

Online retailer Amazon relies heavily on a hierarchy culture to manage its vast and complex shipping processes. ________ are part of Amazon's hierarchy culture.
A) An internal focus and valuing stability and control
B) A strong external focus and valuing stability and control
C) An external focus and valuing flexibility
D) An internal focus and valuing innovation and creativity
E) A continual focus on efficiency, cost cutting, and outsourcing

Accepted Answer

A hierarchy culture has an internal focus and values stability and control over flexibility.

Question 20

Organizational psychologist Edgar Schein recommends that managers delegate
(1) emergencies, (2) confidential matters, and (3) personnel-related matters.

Accepted Answer

Organizational psychologist Edgar Schein proposed the four common elements of (1) common purpose, (2) coordinated effort, (3) division of labor, and (4) hierarchy of authority. To Schein's four common elements we may add three others that most authorities agree on: (5) span of control, (6) authority, responsibility, and delegation, and (7) centralization versus decentralization of authority.

Quiz 8: Organizational Culture, Structure, and Design: Building Blocks of the Organization

Sidwan, owner of Jacuzzi Warehouse, said, "We have to focus on our customers and how we can beat the competition, so we have to be flexible." He encourages his R&D department to develop innovative products and focuses on being quick to respond to market changes. Jacuzzi Warehouse has a(n)

Teamsters is an example of a for-profit organization, and the Susan G. Komen for the Cure is an example of a nonprofit organization.

Which of Edgar Schein's common elements unifies employees and gives everyone an understanding of the organization's reason for being?

Simply Marketing has a hierarchy culture, which means focusing externally, concentrating on strategic planning, taking risks, and preferring flexibility over stability.

An organizational structure is a set of shared, taken-for-granted implicit assumptions that a group holds and that determines how it perceives, thinks about, and reacts to its environments.

Routine tasks and paperwork, as well as jobs that help your subordinates grow, are tasks that

For division of labor to work, there must be a minimum of four employees.

Organizational culture appears in four layers: clan, adhocracy, market, and hierarchy.

Employees and customers are treated like a family at State Street Coffee House. Jason and Jill, the owners, work to encourage unity to increase their employees' job satisfaction and commitment. At their coffee house, Jason and Jill have built a(n)

According to the competing values framework, the four types of ________ are clan, adhocracy, market, and hierarchy.

Changing organizational culture is essentially a teaching process in which members instruct each other about the organization's preferred values, beliefs, expectations, and behaviors.

Tech company ITOpportunity has a clan culture; employees have generous perks and are empowered to participate in a way in the company that is fun. The end results are profitability and an enviably low 2 percent turnover rate. A clan culture has a(n)

Online retailer Amazon relies heavily on a hierarchy culture to manage its vast and complex shipping processes. ________ are part of Amazon's hierarchy culture.

Organizational psychologist Edgar Schein recommends that managers delegate (1) emergencies, (2) confidential matters, and (3) personnel-related matters.