Question 1

Which of the following controls an organization's behavior when it is in the growth through creativity stage of Greiner's model?

Accepted Answer

Informal organization controls an organization's behavior when it is in the growth through creativity stage of Greiner's model.

Question 2

Packard, a high-priced, handcrafted car could not survive when Ford's low-cost, mass-produced cars dominated the market. This is an example of ________.

Accepted Answer

This scenario exemplifies natural selection, as the market favors the traits of low cost and mass production, leading to the demise of a comparatively expensive and handmade brand.

Question 3

An auto manufacturer increased its effectiveness by using flexible manufacturing. Many other companies have intentionally imitated the technology of this manufacturer. This is an example of ________.

Accepted Answer

The imitation of flexible manufacturing technology by many companies shows the process of mimetic isomorphism. Mimetic isomorphism occurs when organizations imitate other organizations because they believe it is the best practice or the most appropriate way to achieve their goals. In this case, the auto manufacturer that increased its effectiveness by using flexible manufacturing served as a role model for other companies to follow.

Question 4

At a trade show, a manager discusses with his competitor several different ideas on how to serve customers better. The competitor then uses some of these ideas in her organization. This is an example of ________.

Accepted Answer

Normative isomorphism refers to the process by which organizations in a field become more similar in response to the same set of expectations, often in the form of shared values, beliefs, or practices. In this scenario, the manager and competitor both operate within the same field and are exposed to similar expectations from customers. By discussing different ideas for better customer service, they are engaging in normative isomorphism; the competitor then adopting some of these ideas further reinforces this process. Natural selection, collusion agreements, and coercive isomorphism are not applicable in this scenario.

Question 5

In the creativity stage, an organization:

Accepted Answer

In the creativity stage, organizations often face a crisis of leadership as they transition from informal, entrepreneurial beginnings to needing more formal management structures.

Question 6

In Greiner's model, a crisis of leadership is followed by which of the following stages?

Accepted Answer

According to Greiner's model, a crisis of leadership is followed by the Growth through direction stage. This stage involves a focus on establishing clear and defined roles and responsibilities, as well as implementing formal processes and systems to manage growth.

Question 7

According to Greiner's model of growth, delegation is most likely to follow a crisis of ________.

Accepted Answer

The answer of According to Greiner's model of growth, delegation...

Question 8

In Greiner's model of growth, the phase of growth following a crisis of leadership is called:

Accepted Answer

According to Greiner's model of growth, the phase of growth following a crisis of leadership is called "growth through direction." This phase involves creating a more centralized leadership style to establish clear direction and goals for the organization.

Question 9

When organizations attend the meetings of trade associations, which of the following is a potential result?

Accepted Answer

Attending meetings of trade associations can result in normative isomorphism, where organizations adopt the norms and values of the association in order to gain legitimacy and acceptance from other members. This can lead to greater conformity and homogeneity within the industry, but can also limit creativity and innovation. Organizational inertia, coercive isomorphism, and liability of newness are other potential outcomes of attending such meetings, but they are not the best answer to the question as they do not directly relate to the effect on the organization from attending trade association meetings.

Question 10

Which of the following is not a stage in Greiner's model of growth?

Accepted Answer

Greiner's model of growth includes stages like Creativity, Direction, Delegation, Coordination, and Collaboration, but "Crisis" is not a stage; it refers to the challenges faced at the end of each stage.

Question 11

Learning outdated procedures is a potential disadvantage of ________.

Accepted Answer

Isomorphism refers to the tendency of organizations to adopt similar structures and procedures as their peers or competitors, even if those procedures are outdated or no longer effective. This can lead to a disadvantage of learning outdated procedures. The other options (A, C, D) are not directly related to the issue of learning outdated procedures.

Question 12

A new organization designs its organization structure in which of the following stages of Greiner's model of growth?

Accepted Answer

The stage of direction in Greiner's model of growth is characterized by the need for a more formalized organizational structure as the organization grows. In this stage, there is generally a single leader who makes all major decisions, and the organization structure is designed to support this centralized decision-making. Therefore, it would be most appropriate for a new organization to design its structure in this stage.

Question 13

Organizations follow equal employment opportunity (EEO) laws. This is an example of ________.

Accepted Answer

Coercive isomorphism refers to organizations being coerced or forced to follow certain regulations or laws. EEO laws are an example of this as organizations must comply with the legislation to avoid legal issues or penalties. Normative isomorphism refers to organizations following similar norms and values voluntarily, mimetic isomorphism refers to organizations imitating each other's practices, and natural selection is not directly related to this scenario.

Question 14

________ is the set of values and norms that governs the behavior of a population of organizations.

Accepted Answer

Institutional environment refers to the external factors that shape the behavior and actions of organizations, such as laws, regulations, cultural values, and social norms. It is the broader set of rules and expectations that govern the behavior of a population of organizations, and influences how they adopt, internalize, and respond to changes in their environment. Mimetic isomorphism refers to the tendency for organizations to imitate one another's behavior and practices, and is one of the ways in which the institutional environment can shape organizations. Growth theory and natural selection, on the other hand, are concepts from economics and biology, respectively, and are not directly related to the behavior of organizations in the institutional environment.

Question 15

An organization experiences a crisis of control in the ________ stage of Greiner's model.

Accepted Answer

In Greiner's model, the crisis of control occurs during the delegation stage, where increased autonomy leads to a need for more coordination and control mechanisms.

Question 16

Which theory proposes that an organization must gain legitimacy in the eyes of stakeholders in order to grow and survive?

Accepted Answer

Institutional theory proposes that organizations must gain legitimacy in the eyes of their stakeholders in order to gain resources and survive. This can mean conforming to societal norms, values, and expectations.

Question 17

________ is a theory that studies how organizations can increase their ability to grow and survive in a competitive environment by satisfying their stakeholders.

Accepted Answer

Institutional theory studies how organizations can increase their ability to grow and survive in a competitive environment by satisfying their stakeholders. It suggests that organizations must conform to the norms and values of their institutional environment to gain legitimacy and resources, which can help them achieve their goals.

Question 18

In Greiner's growth through direction stage, an organization may experience a crisis of ________.

Accepted Answer

In the growth through direction stage, organizations often face a crisis of autonomy as employees seek more independence and decision-making power.

Question 19

According to Greiner, an organization progresses through which of the following stages?

Accepted Answer

Greiner's model of organizational growth includes the stages of creativity, direction, delegation, coordination, and collaboration.

Question 20

A restaurant is experiencing declining sales. It determines that the reason is that it has a formal dress code, such as a coat and tie policy for customers. Because they determine that the restaurant market in their domain prefers a more casual dress code, they eliminate the policy. This is an example of ________.

Accepted Answer

This scenario is an example of isomorphism, which is the process of organizations adopting similar structures and practices in response to their environment. In this case, the restaurant recognized that their formal dress code was not aligned with the preferences of the restaurant market in their area, so they made a change to become more similar to their environment. Natural selection involves the process of organizations adapting and evolving based on their performance and the competitive environment, growth through direction refers to intentional efforts to increase an organization's size and influence, and faulty action implies an incorrect decision or mistake made within the organization.

Quiz 11: Organizational Birth, Growth, Decline, and Death