Deck 9: Designing Adaptive Organizations

Question 1

Timothy, a laboratory manager at a multinational photography company, manages a team of seven designers. All of them report to him, and he has the power to command them and assign duties to them. In this scenario, Timothy most likely has _____.

A) horizontal authority
B) line authority
C) pseudo-authority
D) staff authority

Answer 1

B

Question 2

__________is the vertical and horizontal configuration of departments, authority, and jobs within a company.

A) Organizational consensus
B) Organizational culture
C) Organizational innovation
D) Organizational structure

Answer 2

D

Question 3

The working relationships between modular organizations and outside companies tend to be more stable and longer lasting than the relationships found among the virtual companies in a network alliance.

Answer 3

True

Question 4

Danielle is a receptionist at Stanlam Corp. In addition to her daily tasks, Courtney, Danielle's boss, asks her to prepare financial statements for a few small companies Stanlam owns. This is an example of job rotation.

Question 5

Aisletton, an electronic gadgets manufacturer, organizes its workforce into various departments based on the service the department provides. These departments include cell phones, gaming consoles, television sets, cameras, and watches. In this scenario, Aisletton most likely follows _____.

A) functional departmentalization
B) geographic departmentalization
C) customer departmentalization
D) product departmentalization

Question 6

Empowerment can lead to changes in organizational processes because meaning, competence, impact, and self-determination produce empowered employees who take active rather than passive roles in their work.

Question 7

At Afterbadge, a chain of stores that sells computer accessories, all the marketing activities are planned at the company headquarters. These plans are required to be carried out by the employees without any deviation. In the context of organizational authority, which of the following is best illustrated in this scenario?

A) Delegation of authority
B) Centralization of authority
C) Staff authority
D) Distributed authority

Question 8

Sannomsy, a confectionary company, uses similar conveyor belts with several interchangeable parts and the same procedure for the manufacture of all the toffees in its product line. This gives the company an advantage over its competitors in terms of consistency in quality, efficient processes, and price leadership. In the context of organizational authority, Sannomsy is most likely using _____.

A) customization
B) decentralization
C) standardization
D) adaptation

Question 9

The third transfer that occurs with delegation is that the manager gives the subordinate full authority over the budget, resources, and personnel needed to do a job.

Question 10

In a decentralized organization, workers closest to problems are authorized to make the decisions necessary to solve the problems on their own.

Question 11

In _____, different jobs or groups work together in a back-and-forth manner to complete an intraorganizational process.

A) sequential interdependence
B) pooled interdependence
C) reciprocal interdependence
D) comprehensive interdependence

Question 12

Staff functions are activities that directly contribute to creating and selling a company's products, whereas line functions are activities that support staff functions.

Question 13

Keithomp, a company that manufactures and exports candies, sells different flavors of candy depending on the taste preferences of the country that it supplies to. Each country has a dedicated manufacturing facility that functions as a separate department. In this scenario, which of the following organizational structures does Keithomp most likely follow?

A) Functional departmentalization
B) Geographic departmentalization
C) Customer departmentalization
D) Product departmentalization

Question 14

Minimal managerial skills are required to make a network of independent organizations work well together in a virtual organization.

Question 15

The primary advantage of matrix departmentalization is that it does not require high level of coordination to manage ongoing projects.

Question 16

A virtual organization is an organization that outsources noncore business activities to outside companies, suppliers, specialists, or consultants.

Question 17

Fred is an assembly line worker in a tool manufacturing company. He operates and monitors machines; measures, shapes, and trims different parts used for production; and plays a significant role in the manufacturing process. In the context of organizational authority, which of the following functions does Fred most likely perform?

A) Support function
B) Staff function
C) Line function
D) Advisory function

Question 18

Empowering workers means permanently passing decision-making authority and responsibility from managers to workers.

Question 19

The chain of command is a vertical line of responsibility that clarifies which task has to be performed by whom.

Question 20

Phillip is a mechanical engineer who works for an automobile company. He is assigned projects that require intensive designing and planning before its initiation. This is an example of job rotation.

Question 21

Skrugetech Inc. designs its jobs in such a way that each job profile has a number of tasks associated with it. The employees are also given a substantial amount of liberty to make decisions about their work as long as they fulfill other work and quality requirements. In the context of job design, Skrugetech Inc. is most likely using _____.

A) job specialization
B) task rigidity
C) job enrichment
D) task identity

Question 22

_____ is a management principle which means that workers should report to just one boss.

A) Unity of command
B) Line authority
C) Staff function
D) Task identity

Question 23

__________are characterized by broadly defined jobs and responsibilities; loosely defined, frequently changing roles; and decentralized authority and horizontal communication based on task knowledge.

A) Mechanistic organizations
B) Organic organizations
C) Modular organizations
D) Virtual organizations

Question 24

Orampuse, an apparel manufacturer and retailer, has its outlets all over the world. Its management has organized its labor force on the basis of the groups of countries or the continents it caters to. Each of these departments also has its own sales, marketing, finance, legal, human resources, and transportation divisions. In this scenario, which of the following organizational structures does Orampuse most likely follow?

A) Process departmentalization
B) Geographic departmentalization
C) Customer departmentalization
D) Matrix departmentalization

Question 25

Clanacotta, a designing firm, organizes its workforce into departments based on the service the department provides, such as web designing, magazine designing, and portfolio publishing. In this scenario, Clanacotta most likely follows _____.

A) functional departmentalization
B) customer departmentalization
C) product departmentalization
D) geographic departmentalization

Question 26

Nicole works as a financial analyst in an automobile manufacturing company. Her job responsibilities include analyzing cash flows, mergers, and acquisitions of companies. In the context of organizational authority, which of the following functions does Nicole most likely perform?

A) Line function
B) Staff function
C) Marketing function
D) Core function

Question 27

Jasemach Inc., a machinery manufacturing company, has organized its labor force into separate divisions for procurement, marketing, accounting, sales, transportation, and production. Given this information, which of the following organizational structures is Jasemach Inc. most likely following?

A) Functional departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Geographic departmentalization

Question 28

Larry, a human resources executive at Printopress, caters to the human resources needs of other departments in the company, such as printing, publishing, marketing, accounting, and transportation. In this scenario, which of the following types of organizational structures does Printopress most likely follow?

A) Functional departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Geographic departmentalization

Question 29

Tammy, the executive producer of a television channel, directed a creative associate to work on a proposal for an upcoming interview. Tammy was originally responsible for this, but he reassigned it because he was held up in a meeting. In the context of organizational authority, which of the following is best illustrated in this scenario?

A) Delegation of authority
B) Centralization of authority
C) Staff authority
D) Concentrated authority

Question 30

Bovindar, a wholesale distributor of gym equipment, organizes its salesforce based on the region it caters to. Therefore, the salespeople who work in the north, south, east, and west regions of a country report to their respective department heads. In this scenario, which of the following organizational structures does Bovindar most likely follow?

A) Functional departmentalization
B) Geographic departmentalization
C) Customer departmentalization
D) Product departmentalization

Question 31

A__________is a form of matrix departmentalization in which managers in different parts of the matrix negotiate conflicts and resources directly.

A) simple matrix
B) complex matrix
C) network matrix
D) parallel matrix

Question 32

Brian, a newly appointed finance manager of a tire manufacturing company, has the power to command his subordinates irrespective of the number of years they have been in the organization. In this scenario, Brian most likely has _____.

A) horizontal authority
B) pseudo-authority
C) line authority
D) staff authority

Question 33

In the context of organizational environments, which of the following is true of mechanistic organizations?

A) They are characterized by specialized jobs and responsibilities.
B) They are characterized by broadly defined jobs and responsibilities.
C) They are characterized by loosely defined and frequently changing roles.
D) They are characterized by horizontal communication based on task knowledge.

Question 34

Mildred, the marketing manager of an automobile manufacturing company, is responsible for pricing products, conducting market research, and designing advertising campaigns and promotional activities for the company. In the context of organizational authority, which of the following functions does Mildred most likely perform?

A) Line function
B) Staff function
C) Support function
D) Advisory function

Question 35

The store managers of Chimbake, a chain of bakeries, are allowed to come up with new dessert flavors of their choice as long as they do not fall short of the company's quality standards. They are also allowed to come up with effective marketing strategies based on their respective market requirements. In the context of organizational authority, which of the following is best illustrated in this scenario?

A) Centralization of authority
B) Decentralization of authority
C) Staff authority
D) Concentrated authority

Question 36

In the context of the job characteristics model, _____ is motivation that comes from the job itself rather than from outside rewards such as a raise or praise from the boss.

A) competence motivation
B) affiliation motivation
C) internal motivation
D) extrinsic motivation

Question 37

Shmature, a law firm, organizes its staff into various departments depending on the type of clients it deals with. These departments include federally incorporated organizations, sole proprietorships, partnerships, limited liability companies, and corporations. In this scenario, Shmature most likely follows _____.

A) functional departmentalization
B) customer departmentalization
C) product departmentalization
D) geographic departmentalization

Question 38

The second transfer that occurs with delegation is:

A) that the manager gives the subordinate full authority over the budget, resources, and personnel needed to do a job.
B) that the manager transfers full responsibility for an assignment to the subordinate.
C) the transfer of accountability.
D) that the manager delegates his or her managerial authority to the subordinate in exchange for results.

Question 39

Billy works for the editorial department of a magazine. The chief editor makes Billy edit a different column of the magazine every month. This is an example of__________.

A) job enrichment
B) job enlargement
C) job specialization
D) job rotation

Question 40

__________is a hybrid organizational structure in which two or more forms of departmentalization are used together.

A) Customer departmentalization
B) Product departmentalization
C) Functional departmentalization
D) Matrix departmentalization

Question 41

Sobaminth, a manufacturer and supplier of home appliances, organizes its labor force based on the core products the employees deal with, such as washing machines, dishwashers, refrigerators, and televisions. Each of these departments also has its own training, servicing, finance, and human resources teams. In this scenario, which of the following organizational structures does Sobaminth most likely follow?

A) Matrix departmentalization
B) Geographic departmentalization
C) Customer departmentalization
D) Process departmentalization

Question 42

Marjoriesse, a multinational chain of gold jewelry stores, allows each of its stores to run advertising campaigns of its choice. Depending on the market conditions, demographic factors, and geographical factors, the store managers of Marjoriesse can choose between print, radio, and television media to advertise. In the context of organizational authority, which of the following is best illustrated in this scenario?

A) Decentralization of authority
B) Centralization of authority
C) Staff authority
D) Concentrated authority

Question 43

Judith, the public relations officer of a music production company, advises her peers on how they can contribute to managing the company's external communication. In the context of organizational authority, Judith is most likely exercising _____.

A) pseudo-authority
B) centralized authority
C) line authority
D) staff authority

Question 44

Which of the following statements best defines a staff function?

A) It is the right to command immediate subordinates in the chain of command.
B) It is the right to advise but not command others who are not subordinates in the chain of command.
C) It is an activity that contributes directly to creating or selling a company's products.
D) It is an activity that does not contribute directly to creating or selling a company's products but instead supports line activities.

Question 45

Louise, a project manager of a software services company, is in charge of scheduling projects for his team. Instead of completing the task himself, he assigns it to his subordinates. In the context of organizational authority, which of the following is best illustrated in this scenario?

A) Delegation of authority
B) Centralization of authority
C) Staff authority
D) Concentrated authority

Question 46

LifeAura, a lifestyle accessories store, organizes its workforce into different divisions such as home décor, sports, clothing, and electronics. In this scenario, which of the following organizational structures does LifeAura most likely follow?

A) Functional departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Geographic departmentalization

Question 47

Stephan joined as a clerk in Violetcoast Corp. Over a period of one year, Stephan was moved from one department to another, and he got the opportunity to do a variety of jobs, such as data entry and preparing financial statements, along with his daily work. This is an example of _____.

A) job enrichment
B) job enlargement
C) job specialization
D) job rotation

Question 48

As the art director of a film production company, Arthur carries out the duties that are assigned to him by his manager. At the same time, Arthur issues orders to the assistant art directors who work under him. In the context of organizational authority, which of the following features of a traditional organizational structure does this scenario best illustrate?

A) Line authority
B) Pseudo-authority
C) Horizontal authority
D) Staff authority

Question 49

Which of the following is an advantage of product departmentalization?

A) It allows managers and workers to specialize in one area of expertise.
B) It makes cross-department coordination less problematic.
C) It reduces costs by reducing duplication.
D) It focuses an organization on customer needs.

Question 50

Which of the following best defines staff authority?

A) It is the right to command immediate subordinates in the chain of command.
B) It is the right to advise but not command others who are not subordinates in the chain of command.
C) It is an activity that contributes directly to creating or selling a company's products.
D) It is an activity that does not contribute directly to creating or selling a company's products but instead supports line activities.

Question 51

Timothy works at Sunshine Mailing, a daily newspaper, and is responsible for editing the sports column. Chloe, Timothy's manager, asks him to handle the gossip column along with the sports column. Which of the following job redesign techniques is used by Chloe?

A) Job enrichment
B) Job enlargement
C) Job specialization
D) Job rotation

Question 52

Jason is an employee at Manisch Burger and Meals. He is assigned the task of serving soft drinks to customers who order meals consisting of potato fries, a burger, and a roll. Which of the following best exemplifies Jason's job design?

A) Job enrichment
B) Job enlargement
C) Job specialization
D) Job rotation

Question 53

Which of the following is a difference between a line function and a staff function?

A) A line function does not contribute directly to creating a company's products, whereas a staff function contributes directly to creating a company's products.
B) A line function includes accounting, human resources, or legal services, whereas a staff function includes activities that take place within the manufacturing and marketing departments.
C) A line function can only be exercised by employees at the lower levels of the chain of command, whereas a staff function empowers employees at every level.
D) A line function contributes directly to selling a company's products, whereas a staff function does not contribute directly to selling a company's products but instead supports line activities.

Question 54

Elaine works as a history professor. The skills required for her job are limited and easy to acquire, and the job tends to get monotonous. She is unsatisfied with her job and often feels the need to switch jobs. In the context of job design, this scenario best illustrates _____.

A) job specialization
B) job rotation
C) job enlargement
D) job enrichment

Question 55

Which of the following is an advantage of matrix departmentalization?

A) It reduces costs by reducing duplication.
B) It focuses an organization on customer needs rather than on products or business functions.
C) It allows companies to manage large, complex tasks in an efficient manner.
D) It reduces costs by locating unique organizational resources closer to customers.

Question 56

The _____ is an approach to job redesign that seeks to formulate jobs in ways that motivate workers and lead to positive work outcomes.

A) job descriptive index
B) job characteristics model
C) job rotation index
D) job enlargement model

Question 57

Brenda, the finance manager of a fast-moving consumer goods company, advises Ben, the marketing manager of the company, on good financial practices that could be followed when implementing various marketing strategies. In this scenario, Brenda most likely has _____ over Ben.

A) pseudo-authority
B) centralized authority
C) line authority
D) staff authority

Question 58

Which of the following is an advantage of unity of command?

A) It prevents the confusion that might arise when an employee receives conflicting commands from two different bosses.
B) It develops employee capabilities throughout a company and leads to faster decision making and more satisfied customers and employees.
C) It gives workers the authority and control to make meaningful decisions about their work.
D) It overcomes the deficiencies in specialized work by increasing the number of tasks.

Question 59

Which of the following is an advantage of geographic departmentalization?

A) It focuses an organization on products rather than on customer needs or business functions.
B) It can reduce costs by locating unique organizational resources closer to customers.
C) It allows managers and workers to specialize in one area of expertise.
D) It lowers costs by reducing duplication.

Question 60

In the context of organizational structure,__________is the right to give commands, take action, and make decisions to achieve organizational objectives.

A) empowerment
B) motivation
C) influence
D) authority

Question 61

Applepom, a multinational restaurant chain, follows different pricing policies and serves different types of cuisine depending on the region it operates in. The company has separate departments for the Middle East, other Asian countries, Russia, other European countries, North America, Latin America, Oceania, and Africa. In this scenario, which of the following organizational structures does Applepom most likely follow?

A) Geographic departmentalization
B) Functional departmentalization
C) Customer departmentalization
D) Product departmentalization

Question 62

Edithprod Inc., a computer manufacturing company, sources its interchangeable spare parts in bulk and produces computer chassis in a high precision assembly line. It follows the same manufacturing process for a variety of its products, and this helps it reduce costs and improve quality. In the context of organizational authority, Edithprod Inc. is most likely using _____.

A) customization
B) standardization
C) decentralization
D) adaptation

Question 63

Amborfes Inc., a company that supplies packing materials to pharmaceutical manufacturing companies, ensures that its employees do not get bored of specific jobs by periodically moving them across a variety of jobs such as pasting of cartons, manufacturing of blisters, manufacturing of sleeves for plastic bottles, scoring of cartons, and printing and laminating of cartons. In the context of job design, Amborfes Inc. is most likely using _____.

A) job specialization
B) job rotation
C) task rigidity
D) task identity

Question 64

Joan, the editorial head of a daily newspaper, implements a change to the newspaper's outline. He discusses this change with Sylvia, the marketing head of the company, and advises her to improvise the marketing strategy based on the updated outline. In the context of organizational authority, Joan is most likely exercising _____.

A) pseudo-authority
B) centralized authority
C) line authority
D) staff authority

Question 65

Which of the following is true of virtual organizations?

A) Their operating costs are significantly higher than that of traditional organizations.
B) The outside organizations a company does its businesses with are tightly linked to the central company.
C) They develop employee capabilities throughout a company.
D) They use a broker to create and assemble the knowledge, skills, and resources from different companies for customers.

Question 66

At Auternli, a cosmetics manufacturing company, all major decisions, such as production, marketing, and financial decisions, are made only by the top management. The middle and lower level managers are responsible for implementing these strategies without modifying any of the procedures. In the context of organizational authority, which of the following is best illustrated in this scenario?

A) Delegation of authority
B) Staff authority
C) Centralization of authority
D) Distributed authority

Question 67

Which of the following is an advantage of decentralization?

A) It prevents the confusion that might arise when an employee receives conflicting commands from two different bosses.
B) It helps a company respond to the demands of different markets, especially when the company sells in different countries.
C) It develops employee capabilities throughout a company and leads to faster decision making and more satisfied customers and employees.
D) It attempts to overcome the disadvantages of job specialization by periodically moving workers from one specialized job to another to give them more variety and the opportunity to use different skills.

Question 68

_____ is solving problems by consistently applying the same rules, procedures, and processes.

A) Standardization
B) Decentralization
C) Specialization
D) Departmentalization

Question 69

Sharon works in the travel division of Weston Inc., a software company, and is responsible for arranging the travel documents of the employees who travel to other countries for official purposes. The documents are sorted based on the different divisions of the company, such as marketing, sales, training, and production. Given this information, which of the following organizational structures does Weston Inc. most likely follow?

A) Geographic departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Functional departmentalization

Question 70

Cashvestment, a wealth management firm, renders services to various clients such as salaried employees, entrepreneurs, high-net-worth individuals, and retired employees. The employees of Cashvestment are organized based on the type of clients they are involved with. In this scenario, Cashvestment most likely follows _____.

A) functional departmentalization
B) product departmentalization
C) customer departmentalization
D) geographic departmentalization

Question 71

The designers at Fhontrake, a designer tailor shop, are organized into departments such as men's wear, women's wear, children's clothing, or infants' clothing based on the clients for whom they specialize in designing clothes. Given this information, which of the following organizational structures does Fhontrake most likely follow?

A) Customer departmentalization
B) Product departmentalization
C) Functional departmentalization
D) Geographic departmentalization

Question 72

Lee operates injection molding machines on a regular basis. He is responsible for observing meters to verify press-cycle times, pressures, and specified temperatures and getting the final product ready. In the context of organizational authority, which of the following functions does Lee most likely perform?

A) Line function
B) Staff function
C) Support function
D) Advisory function

Question 73

_____ is a method of subdividing work and workers into separate organizational units that take responsibility for completing particular tasks.

A) Reengineering
B) Departmentalization
C) Decentralization
D) Class reconstruction

Question 74

In the context of the job characteristics model,__________is the number of different activities performed in a job.

A) autonomy
B) task significance
C) task identity
D) skill variety

Question 75

Which of the following statements is true of functional departmentalization?

A) It allows work to be done by highly qualified specialists.
B) It focuses an organization on customer needs rather than on products.
C) It leads to duplication of resources, which often results in higher costs.
D) It is a hybrid structure in which two or more forms of departmentalization are used together.

Question 76

Jonamser Bank has separate legal, marketing, finance, and human resources divisions. Each of these units has qualified specialists pertaining to the concerned department. Given this information, which of the following organizational structures does Jonamser Bank most likely follow?

A) Functional departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Geographic departmentalization

Question 77

_____ is the location of most authority at the upper levels of an organization.

A) Line authority
B) Staff authority
C) Centralization of authority
D) Delegation of authority

Question 78

Denzel, the production manager in a paper manufacturing company, advises the editorial manager of the company to increase the number of units of paper produced per week. In the context of organizational authority, Denzel is most likely exercising _____.

A) pseudo-authority
B) staff authority
C) line authority
D) centralized authority

Question 79

Because employees simply switch from one specialized job to another,__________allows companies to retain the economic benefits of specialized work.

A) job enrichment
B) job enlargement
C) job specialization
D) job rotation

Question 80

Which of the following best defines an interorganizational process?

A) It is a collection of activities that take place among companies to transform inputs into outputs that customers value.
B) It is the vertical and horizontal configuration of departments, authority, and jobs within a company.
C) It is the process of periodically moving workers from one specialized job to another to give them more variety and the opportunity to use different skills.
D) It is a process of solving problems by consistently applying the same rules, procedures, and processes.