Question 1

Biogyn produces tissues and diagnostics substances for three market segments: hospitals,universities,pharmaceutical companies.Jasper,a member of the upper management team,is trying to decide whether to decentralize its R&D activities by division or not.You have been called in as a consultant to explain the advantages and disadvantages of such a move.What will you say?

Accepted Answer

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Question 2

The Frankfurt Clock Company has subsidiaries in several different countries that are highly autonomous.The clock markets in these countries are very diverse and the needs of the local markets vary greatly.The _____ or _____ strategies for R&D are most appropriate for this situation.

Accepted Answer

The local-for-local or locally leveraged strategies are most appropriate because they allow subsidiaries to tailor R&D to meet the specific needs of their diverse local markets.

Question 3

Gerusa is a company that uses Photodynamic Therapy to treat cancer and has major divisions in Germany,Russia,and the U.S.The scientists in Russia develop the cancer treatment methods,the Germans organize treatment clinics,and the U.S.division gathers the financing and markets the treatment methods.What type of strategy is this and what are the advantages and disadvantages of this type of strategy?

Accepted Answer

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Question 4

Cromwell Electronics would like to integrate its world wide operations in order to enhance its adaptability and flexibility to environmental situations.Essentially,Cromwell would like to be able to leverage its resources and capabilities whenever and wherever an opportunity arises.What would you recommend that Cromwell do?

Accepted Answer

Utilizing division-spanning teams would allow Cromwell Electronics to leverage its resources and capabilities across its global operations. This would enhance its adaptability and flexibility, allowing the organization to respond quickly to environmental situations and exploit opportunities as they arise. Encouraging divisions to function as independent silos would hinder the integration of operations, and strictly adhering to a decentralized structure would limit the organization's ability to leverage resources across its global operations. Focusing on its global image instead of its national brands could be beneficial but may not directly address Cromwell's goal of enhancing adaptability and flexibility.

Question 5

In the locally leverage strategy the R&D divisions _____ while in the globally linked strategy the R&D divisions _____.

Accepted Answer

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Question 6

What are some of the advantages and disadvantages of large firms in terms of R&D?

Accepted Answer

The answer of What are some of the advantages and...

Question 7

Explain why a mechanistic organizational structure can stifle creativity.

Accepted Answer

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Question 8

The International Framing Company wants to tightly control R&D and achieve specialization and economies of scale.At the same time it wants to protect its core competencies and spread its innovations throughout the company.The _____ strategy would help achieve this goal.

Accepted Answer

The center-for-global strategy centralizes R&D to achieve specialization and economies of scale while allowing the company to protect core competencies and disseminate innovations company-wide.

Question 9

The Kaibash Motor Company is considering using the loosely-coupled organizational structure.They have asked you for your evaluation of such a structure and whether you would recommend it for an automobile manufacturer.Provide your answer.

Accepted Answer

The answer of The Kaibash Motor Company is considering using...

Question 10

Gerusa is a company with major divisions in Germany,Russia,and the U.S.(hence the name).The scientists in Russia develop cancer treatment methods.The Germans organize treatment clinics.The U.S.division gathers the financing and markets the treatment methods.This is an example of a _____ strategy.

Accepted Answer

This is an example of a globally linked strategy, where each division handles a different aspect of the business (research, treatment, financing/marketing) but they are all linked globally under the same company umbrella.

Quiz 10: Organizing for Innovation

The Frankfurt Clock Company has subsidiaries in several different countries that are highly autonomous.The clock markets in these countries are very diverse and the needs of the local markets vary greatly.The _ or _ strategies for R&D are most appropriate for this situation.

In the locally leverage strategy the R&D divisions _ while in the globally linked strategy the R&D divisions _.

What are some of the advantages and disadvantages of large firms in terms of R&D?

Explain why a mechanistic organizational structure can stifle creativity.

The International Framing Company wants to tightly control R&D and achieve specialization and economies of scale.At the same time it wants to protect its core competencies and spread its innovations throughout the company.The _____ strategy would help achieve this goal.

The Kaibash Motor Company is considering using the loosely-coupled organizational structure.They have asked you for your evaluation of such a structure and whether you would recommend it for an automobile manufacturer.Provide your answer.

Gerusa is a company with major divisions in Germany,Russia,and the U.S.(hence the name) .The scientists in Russia develop cancer treatment methods.The Germans organize treatment clinics.The U.S.division gathers the financing and markets the treatment methods.This is an example of a _____ strategy.