Question 1

Dividing the required work among a group of employees is called:
A) departmentalization.
B) delegation of responsibility.
C) division of labor.
D) separation of control.

Accepted Answer

Dividing the required work among a group of employees is known as division of labor, as opposed to departmentalization which involves grouping jobs based on their functions or responsibilities within an organization. Delegation of responsibility and separation of control are related to assigning tasks and decision-making authority, respectively, but are not specific terms for dividing work among a group.

Question 2

Which of the following is an example of a move to reorganize?
A) Reducing the labor force within your business
B) Revising plans by creating contingency plans
C) Managing by objectives and clearing pathways for success
D) Developing a way to monitor financial success

Accepted Answer

Reducing the labor force within a business often involves structural changes to the organization, such as reassigning responsibilities, consolidating departments, or merging teams. This is a move to reorganize the business's structure and resources.

B, C, and D are all examples of management strategies or processes, but they do not necessarily involve reorganizing the business's structure. B is about contingency planning, C is about goal-setting and performance management, and D is related to financial management and monitoring.

Question 3

A(n) ________________ is a visual device which shows relationships among people and divides the organization's work
A) organization chart
B) Venn diagram
C) corporate tree
D) Gantt chart

Accepted Answer

The given description perfectly matches the definition of an organization chart, which is used to depict the hierarchy and division of work in an organization. Option B is used to show relationships and overlaps between sets, option C is not a commonly used term, and option D is used to illustrate the timeline of a project.

Question 4

Max Weber used the term ________ to describe middle managers whose job was to implement the orders of top management
A) management
B) autocrats
C) staff personnel
D) bureaucrats

Accepted Answer

Max Weber used the term "bureaucrats" to describe middle managers whose job was to implement the orders of top management.

Question 5

Organizing a business begins with:
A) acquiring the necessary resources.
B) choosing the best qualified employees.
C) developing an efficient plan of action.
D) determining the work to be done.

Accepted Answer

Before acquiring resources or choosing employees, the business needs to determine the work that needs to be done. This will help in developing an efficient plan of action and identifying the resources and employees required for the business.

Question 6

Dividing tasks into smaller jobs is called:
A) job enrichment.
B) job specialization.
C) departmentalization.
D) division of authority.

Accepted Answer

Job specialization is the process of dividing a task into smaller jobs that can be done by different workers. This allows for greater efficiency and productivity, as workers become specialized in performing specific tasks and can become more skilled in their work. Job enrichment involves increasing the level of responsibility and control a worker has over their work, departmentalization is the process of grouping tasks and workers into departments, and division of authority is the allocation of decision-making power among different levels of management.

Question 7

Fayol's ____________ principle says that tasks should be divided into areas of specialization
A) departmentalization
B) comparative advantage
C) division of labor
D) centralization

Accepted Answer

Fayol's principle of division of labor emphasizes the importance of breaking down tasks into smaller, specialized parts in order to improve efficiency and productivity. This allows workers to become experts in their specific tasks and to perform them more quickly and with greater accuracy. The other choices do not accurately reflect this principle.

Question 8

As your good friend ponders putting some structure to his/her graphic design business idea, which of the following do you not advise him/her to do?
A) Prepare the nonchangeable marketing plan for the next three years, including marketing analysis and marketing strategy.
B) List the work that needs to be done such as (1) computer-assisted design; (2) sales generation; (3) accounting and bookkeeping; (4) purchasing and supply ordering; and so on.
C) List who will do the various jobs, including who will perform the computer work, who will keep the books, and who will go out and create sales.
D) Assign responsibility and authority to certain employees.

Accepted Answer

It is not advisable to prepare a nonchangeable marketing plan for the next three years as the market is constantly changing and evolving, so it is important to remain flexible and adapt to new opportunities and challenges. A more realistic approach would be to prepare a general marketing plan that can be revised and adjusted according to the changing market conditions.

Question 9

Jack just learned that several people in Arizona became ill from the peanut butter that was produced and jarred in his plant. As he walks the back stairs at the plant, he ponders, "It's time to get the informal organization in on this. We've got to stop this in its tracks!" Jack is taking the right approach to solving this serious problem.

Accepted Answer

The answer of Jack just learned that several people in...

Question 10

Fayol's ____________ principle says that workers' attitudes can create an environment of pride and loyalty within an organization
A) esprit de corps
B) hierarchy of loyalty
C) unity of command
D) equity

Accepted Answer

Fayol's principle of esprit de corps emphasizes on the importance of team spirit and unity among workers. When workers have a sense of pride and loyalty towards their organization, they work towards achieving common goals and objectives, improving their morale and productivity. This principle highlights the significance of the social aspects of work that contribute to better employee relations and organizational culture.

Question 11

As Brett prepares to open his new business, he has identified the tasks that need to be accomplished and has assigned employees to each task. This illustrates:
A) management departmentalization.
B) division of labor.
C) specialization of priorities.
D) mass production economies.

Accepted Answer

The scenario describes the division of labor, which involves breaking down tasks into smaller, specialized tasks and assigning them to specific individuals or groups. This improves efficiency and productivity, making it a common practice in business operations. The other options do not accurately describe the situation presented.

Question 12

The proven success of job specialization lies in the fact that:
A) it leads to groupthink.
B) it avoids the pitfalls of division of labor, where workers become removed from thinking conceptually about the business.
C) it is a detractor to others who are thinking about entering your industry because it successfully creates barriers to entry.
D) it adds efficiency to the business's operation by identifying tasks that some do better than others.

Accepted Answer

The best choice is D, as the proven success of job specialization lies in the fact that it adds efficiency to the business's operation by identifying tasks that some do better than others. This helps the business operate more efficiently and effectively, and allows workers to focus on the tasks that they are most skilled at. Option A is incorrect as groupthink is a negative outcome of specialization, not a positive one. Option B is incorrect as job specialization and division of labor are closely related concepts that both aim to increase efficiency in the workplace. Option C is incorrect as job specialization does not create barriers to entry, but rather helps businesses operate more efficiently.

Question 13

In the Making Ethical Decisions box titled "Would You Sacrifice Safety for Profit?" which of the following statements best expresses the theme of the discussion?
A) In the beginning, company procedures that require value judgments are often too costly. As the business grows, the owner can add ethical procedures to each job.
B) The principles of organization state that the only company objective is to gain profits for the owner(s) or stockholders. If your competitors are cutting corners with safety regulations, you should consider the same.
C) The only way to be profitable is to avoid risk. If new safety equipment becomes available that is applicable to your business, even if it slows productivity, you should adopt it.
D) The corporate culture you create as you begin your service will last a long time. Your workers will adopt your values.

Accepted Answer

The corporate culture you create as you begin your service will last a long time. If you want your employees to adopt your business values, it is important to emphasize safety and environmental concern from the start.

Question 14

Fayol's _____________ principle states that each worker should report to one, and only one, boss
A) division of labor
B) unity of command
C) esprit de corps
D) comparative advantage

Accepted Answer

Unity of command is a key principle in Fayol's theory of management. It means that each employee should have only one supervisor or manager to whom they report. This avoids confusion, ensures accountability, and makes it clear who is responsible for each task or area of work.

Question 15

__________ believed that managers were trustworthy and companies would do well if employees simply did what they were told
A) John Keynes
B) Adam Smith
C) Peter Drucker
D) Max Weber

Accepted Answer

Max Weber believed in a hierarchical organizational structure where managers held power and authority over their subordinates. He emphasized the importance of following rules and procedures in order to achieve efficiency and effectiveness in organizations.

Question 16

Organization theorists emerged during the era of mass production, meaning:
A) the development of ways to produce a large quantity of product efficiently.
B) the development of ways to purchase raw materials in bulk.
C) the decline in the cost of production due to an increase in the cottage industry.
D) the era when most companies adopted very similar methods of producing goods and services, which led to standardization of organizational design.

Accepted Answer

Organization theorists emerged during the era of mass production, which was characterized by the development of ways to produce a large quantity of product efficiently. This era saw the widespread adoption of assembly line techniques and the division of labor, which led to greater efficiency in production. Organization theorists studied these practices and developed theories to explain how to design organizations to maximize efficiency and productivity.

Question 17

Job specialization is known to:
A) minimize delegated authority and responsibility.
B) improve job performance.
C) create work teams and improve resource allocation.
D) establish procedures.

Accepted Answer

Job specialization involves focusing on one particular aspect of a job or task. This can lead to improvements in job performance as individuals become more skilled and efficient in their specific area of expertise.

Question 18

Henri Fayol and Max Weber are best known for their contributions to:
A) production theory.
B) marketing theory.
C) organization theory.
D) finance theory.

Accepted Answer

Henri Fayol and Max Weber are both pioneers in the field of organization theory, specifically in the areas of organizational structure, management principles, and bureaucracy. Fayol introduced the concept of five functions of management (planning, organizing, commanding, coordinating, and controlling), while Weber developed the theory of bureaucracy, which emphasized the importance of rules, hierarchies, and specialization in organizations.

Question 19

The concept of ____________ suggests that as a firm produces more, the average cost of goods produced goes down
A) natural growth
B) survival of the fittest
C) cost enhancement
D) economies of scale

Accepted Answer

Economies of scale suggests that as a firm increases production, the average cost of goods produced decreases due to factors such as specialization of labor, better utilization of resources, and increased bargaining power with suppliers.

Question 20

The process of setting up individual functional units of the business to do specialized tasks is called:
A) departmentalization.
B) division of labor.
C) job specialization.
D) delegation of authority.

Accepted Answer

Departmentalization is the process of dividing a company into different functional units or departments, each specializing in a particular set of tasks or activities. This can help to achieve greater efficiency and effectiveness within the organization, as each unit can focus on its own core competencies and function more autonomously. Division of labor and job specialization are related concepts that refer to the process of breaking down complex tasks into smaller, specialized tasks, which can also contribute to greater efficiency and productivity. Delegation of authority refers to the process of assigning responsibility and decision-making power to individuals or teams within the organization. While this can be an important aspect of organizational structure and management, it is not the same as departmentalization.

Quiz 8: Structuring Organizations for Todays Challenges

Dividing the required work among a group of employees is called:

Which of the following is an example of a move to reorganize?

A(n) ________________ is a visual device which shows relationships among people and divides the organization's work

Max Weber used the term ________ to describe middle managers whose job was to implement the orders of top management

Organizing a business begins with:

Dividing tasks into smaller jobs is called:

Fayol's ____________ principle says that tasks should be divided into areas of specialization

As your good friend ponders putting some structure to his/her graphic design business idea, which of the following do you not advise him/her to do?

Fayol's ____________ principle says that workers' attitudes can create an environment of pride and loyalty within an organization

As Brett prepares to open his new business, he has identified the tasks that need to be accomplished and has assigned employees to each task. This illustrates:

The proven success of job specialization lies in the fact that:

In the Making Ethical Decisions box titled "Would You Sacrifice Safety for Profit?" which of the following statements best expresses the theme of the discussion?

Fayol's _____________ principle states that each worker should report to one, and only one, boss

__________ believed that managers were trustworthy and companies would do well if employees simply did what they were told

Organization theorists emerged during the era of mass production, meaning:

Job specialization is known to:

Henri Fayol and Max Weber are best known for their contributions to:

The concept of ____________ suggests that as a firm produces more, the average cost of goods produced goes down

The process of setting up individual functional units of the business to do specialized tasks is called: