Question 1

Cardeck,an automobile manufacturing firm,is characterized by an organizational structure that has designated departments and sub departments to handle different operations.The production unit has employees with similar technical skills and expertise to deal with product development,while the marketing department exclusively handles promotional sales activities.This is an example of _____ departmentalization.

Accepted Answer

In functional departmentalization, employees are grouped based on their functional expertise, such as finance, marketing, production, etc. In the given example, the employees within the production unit and marketing department are grouped based on their functional expertise. Hence, it is an example of functional departmentalization.

Question 2

With regard to Max Weber's third conventional fundamental of organizing,which of the following is a true of the sustainable perspective?

Accepted Answer

The sustainable perspective, as per Weber's third conventional fundamental of organizing, emphasizes on effective distribution of dignity over authority. It believes that dignity is a valuable resource that should be given to all members of the organization. This approach is in contrast to the traditional perspective, which views authority as a limited resource that should be held by a few select individuals. Therefore, choice B is the correct answer.

Question 3

An optimal level of centralization in an organization:

Accepted Answer

Optimal level of centralization in an organization leads to vertically balanced decision making at various levels in the hierarchy. This means that important decisions can be made by top management while routine and everyday matters can be handled by lower-level managers and frontline workers. This ensures that the organization runs smoothly and is responsive to changes both inside and outside the organization. Curtailing time for top management to develop overarching plans and strategies can lead to poor decision making, while an increase in employee turnover may result in a loss of talented and experienced employees. Therefore, options A, B, and D are not the best choices.

Question 4

Simone Inc.is a cosmetic manufacturing company that has operations in both North America and Asia Pacific.The cultural differences between North America and Asia have led to the upper management organizing the company based on geographic locations rather than specializations.Which of the following types of departmentalization has Simone Inc.adopted?

Accepted Answer

Simone Inc. has organized the company based on geographic locations rather than specializations, which means that they have adopted divisional type departmentalization.

Question 5

Which of the following is true of an optimal emphasis on sustainable dignification?

Accepted Answer

An optimal emphasis on sustainable dignification enhances decision making at an appropriate level in an organization, as it values every employee's contribution and allows them to have a say in decision making. It does not increase counterproductive behavior or prevent connectedness, as it encourages collaboration and mutual respect among all levels of the organization. It also does not lead to a limited form of downward vertical balance, as it aims to create a balance and value all employees equally.

Question 6

Which of the following dimensions of departmentalization deals with whether employees are permanently or temporarily assigned to departments?

Accepted Answer

Membership deals with the way employees are assigned to departments, including whether they are permanently or temporarily assigned.

Question 7

Which of the following is the term that best describes the application of interactional justice to organizing?

Accepted Answer

Dignification refers to treating individuals with respect and fairness, which aligns with the principles of interactional justice in organizational contexts.

Question 8

Which of the following is true of the functional approach to departmentalization?

Accepted Answer

The functional approach to departmentalization groups together similar and related skills, functions and activities. This creates economies of scale as increased volume leads to low organizational costs. This approach helps the organization to perform more efficiently and effectively, and cuts down on duplication of effort. It also allows for specialization in terms of deeper skill development in each functional area. However, it may lead to a lack of communication and coordination among the functional areas, but it does not prevent opportunities for in-depth skill development. It does not give decision-making authority to the organization's customers.

Question 9

_____ refers to grouping members and resources together to achieve the work of the larger organization.

Accepted Answer

Departmentalization refers to grouping members and resources together to achieve the work of the larger organization. Devolution refers to the transfer of power or authority from a central government to local or regional governments. Delegation refers to the process of assigning tasks and responsibilities to subordinates. Decentralization refers to the distribution of authority and decision-making power to lower levels in the organization.

Question 10

G&K is a computer manufacturing center that has a product-based organizational structure.Its teams are broadly categorized into laptop services,desktop services,and handheld services according to the specific kind of products each of it deals with.Further,it is segregated based on geographic segmentation.This is a typical example of _____ departmentalization.

Accepted Answer

The given scenario represents divisional departmentalization as the teams are divided based on specific products and further segregated based on geographic location. This helps in streamlining operations and improving efficiency in each department.

Question 11

YKJ Corp.,a large Japanese electronics manufacturer,has decided to reorganize its departments.Presently,the company is organized into marketing,research and development,and production departments.It has decided to make the departments product specific and organize employees into the video gaming,personal computing,and consumer products departments.Which approach to departmentalization is YKJ currently using and to which approach is it changing?

Accepted Answer

YKJ is currently using the functional approach to departmentalization where employees are grouped according to their function such as marketing, research and development, and production departments. It is shifting to the divisional approach where departments are organized by product such as video gaming, personal computing, and consumer products departments.

Question 12

Which of the following is the sustainable counterpart of the conventional fundamental of departmentalization?

Accepted Answer

The answer of Which of the following is the sustainable...

Question 13

Which of the following is a disadvantage of highly decentralized organizations?

Accepted Answer

Highly decentralized organizations often distribute decision-making authority to lower levels, which can lead to limited upward connectedness as decisions are made more independently at various levels without necessarily being aligned or communicated effectively upwards.

Question 14

______ is the practice of using contracts to transfer some of an organization's recurring internal activities and decision-making rights to outsiders better equipped to utilize the latest technologies and reduce costs.

Accepted Answer

Outsourcing is the practice of using contracts to transfer some of an organization's recurring internal activities and decision-making rights to outsiders better equipped to utilize the latest technologies and reduce costs. This can be done domestically or internationally.

Question 15

_____ departmentalization occurs when members are placed into the same department based on having similar technical skills and using similar resources to perform their tasks.

Accepted Answer

Functional departmentalization occurs when members are placed into the same department based on having similar technical skills and using similar resources to perform their tasks.

Question 16

Which of the following is an advantage of the divisional approach to departmentalization?

Accepted Answer

The divisional approach to departmentalization promotes accountability by assigning clear responsibility for product or service delivery to specific divisions, making it easier to track performance and outcomes.

Question 17

Research suggests that members treat one another with more dignity and respect when:

Accepted Answer

Organizations lack centralized structures to monitor behaviour.

Question 18

_____ refers to a sustainable approach to organizational behaviour that places emphasis on mutual discernment and gives stakeholders a voice in how an organization is managed and how jobs are performed.

Accepted Answer

Participation refers to a sustainable approach to organizational behaviour that places emphasis on mutual discernment and gives stakeholders a voice in how an organization is managed and how jobs are performed. This approach involves increased involvement and collaboration with employees, customers, suppliers, and other stakeholders in decision making and problem solving. Participation helps build trust and commitment, improves communication and decision quality, and can lead to innovation and continuous improvement.

Question 19

_____ departmentalization occurs when an organization uses both functional and divisional structures.

Accepted Answer

Hybrid departmentalization refers to the use of both functional and divisional structures in an organization. This allows for a combination of both specialized functional areas and autonomous divisional units, providing flexibility and efficiency in the organization's operations.

Question 20

Which of the following dimensions of departmentalization focuses on internal efficiency and external adaptiveness?

Accepted Answer

The dimension of departmentalization that focuses on internal efficiency and external adaptiveness is "focus". This refers to the extent to which a department is focused on a specific product, customer group or geographical area. By having a clear focus, a department can tailor their processes and strategies to efficiently and effectively meet the needs of their target audience, while also being adaptable to changes in the external environment.

Quiz 12: Leading People Within Organizations