Question 1

Advances in information technology have hindered the growth of loosely coupled organizational structures.

Accepted Answer

Advances in information technology have actually enabled and facilitated the growth of loosely coupled organizational structures, such as the use of remote teams and virtual collaborations.

Question 2

The Bobcat Machinery Company has a high degree of formalization and requires standardization of procedures with many rules dictated.Bobcat will find that this regulation leads to disciplined thinking which in turn fosters innovation.

Accepted Answer

The statement is not necessarily true. While formalization and standardization may lead to consistency and efficiency, it can also stifle creativity and hinder innovation as employees may feel constrained by rules and procedures. It ultimately depends on the specific organizational culture and how it balances structure with flexibility.

Question 3

The not-invented-here syndrome encourages companies to try innovations from divisions in other countries because persons who live in another country are more often seen as experts.

Accepted Answer

The not-invented-here syndrome typically refers to a reluctance to adopt ideas or innovations from outside one's own organization or group, not an encouragement to try them.

Question 4

A loosely coupled structure is better suited for activities that involve the exchange of tacit knowledge.

Accepted Answer

The answer of A loosely coupled structure is better suited...

Question 5

Frankie's Chicken Shack wants to ensure better consistency and quality.To accomplish this Frankie needs to make her procedures more standardized.

Accepted Answer

Standardizing procedures can help to ensure consistency and quality as everyone is following the same set of guidelines.

Question 6

Standardization refers to the degree to which activities are performed in a uniform way.

Accepted Answer

Standardization refers to performing activities in a uniform and consistent way, which helps organizations to achieve greater efficiency and quality in their operations. Standardization may involve establishing standardized procedures, protocols, or guidelines for performing specific tasks or activities, and ensuring that all employees follow them consistently to reduce errors and variability in output.

Question 7

For the transnational approach to R&D to work,the organization must balance its identity between national brands and global image.

Accepted Answer

The transnational approach to R&D aims to balance the national brands with a global image. Therefore, it is true that the organization must balance its identity.

Question 8

Coalitions of small firms often have well-defined systems of authority and control.

Accepted Answer

Coalitions of small firms often have less formal systems of authority and control, as decision-making and power sharing is typically more decentralized and collaborative.

Question 9

Formalization refers to the degree to which a firm's decision-making authority is retained only at high levels of the firm's hierarchy.

Accepted Answer

Formalization refers to the extent to which rules, procedures, and communications are written and explicitly articulated, not the centralization of decision-making authority.

Question 10

The locally leveraged and globally linked R&D strategies are the same.

Accepted Answer

Locally leveraged R&D strategies focus on utilizing local resources and knowledge to drive innovation, while globally linked R&D strategies involve collaboration and knowledge-sharing across different regions and markets. While there may be some overlap in the approaches, they are not the same.

Question 11

A modular product is one that "modifies" or enhances another product.

Accepted Answer

A modular product is designed with interchangeable components or modules, allowing for customization and flexibility, not necessarily to modify or enhance another product.

Question 12

The International Cyberspace Corporation is a very large firm.It can overcome its size barriers to creativity if it has the internal structures with the incentives and behaviors of small firms.

Accepted Answer

This statement suggests that size barriers to creativity can be overcome with the right internal structures and incentives, allowing the large company to function more like a small firm. Therefore, the statement is true.

Question 13

The transnational approach to R&D leverages resources and capabilities that exist anywhere within the firm and deploys them when and where an opportunity to do so exists.

Accepted Answer

The statement accurately describes the transnational approach to R&D. It emphasizes the importance of utilizing resources and capabilities from all parts of the organization, regardless of geographic location, in order to respond quickly and effectively to new opportunities.

Question 14

The Peedle Chocolate Company is headquartered in Belgium.In the United States,it uses manufacturing techniques from France and marketing techniques from Great Britain.It seems to be using the locally leveraged R&D strategy.

Accepted Answer

The answer of The Peedle Chocolate Company is headquartered in...

Question 15

When large companies break up into networks of small,often more autonomous divisions of independent firms it is called the Icarus Paradox.

Accepted Answer

The Icarus Paradox refers to the phenomenon in which a company becomes too successful and grows too quickly, resulting in its downfall. The situation described in the question is actually referring to the concept of "decentralization" or "disintegration" of large companies into smaller, more independent units.

Question 16

According to research,consumer product companies tend to use the centralized R&D structure to better meet individual market needs.

Accepted Answer

According to research, consumer product companies tend to use a decentralized R&D structure to better meet individual market needs. This allows for greater flexibility and responsiveness to local markets.

Question 17

The globally linked R&D strategy is great for global coordination,but it is expensive.

Accepted Answer

The statement is true. While a globally linked R&D strategy is great for global coordination, it can be expensive due to the need for resources and coordination across different geographical locations.

Question 18

An ambidextrous organization is one with a complex organizational form that is composed of multiple internally inconsistent architectures that can collectively achieve both short-term efficiency and long-term innovation.

Accepted Answer

An ambidextrous organization is one that balances the conflicting needs of both short-term efficiency and long-term innovation. This is achieved through multiple internal architectures that are individually inconsistent but collectively allow the organization to function effectively.

Question 19

Firms which have multiple product divisions generally implement a common structure across all the divisions.

Accepted Answer

Firms with multiple product divisions often tailor their structures to fit the specific needs and strategies of each division, rather than implementing a uniform structure across all divisions.

Question 20

A firm's organization structure can both help and hinder the firm's efforts at innovation.

Accepted Answer

A firm's organization structure can help innovation by providing resources, support, and a clear direction for innovative projects. However, it can also hinder innovation by creating bureaucracy, resistance to change, and a lack of flexibility. Therefore, a well-designed organization structure can facilitate innovation, while a poorly designed one can impede it.

Quiz 10: Organizing for Innovation