3.2 Describing The Functional Structure

Question 1

Is a system that outline how certain activities are directed in order to achieve the goals of an organization. These activities can include rules, roles, and responsibilities.

Answer 1

Organizational Structure

Question 2

Determine how information flows between level within the company.

Answer 2

Organizational Structure

Question 3

Standard practices that have developed over the firm’s history often dictate how a company organizes and operates.

Answer 3

Company Operational and Organizational Guidelines

Question 4

The management team operates in a manner unique to a given company. Companies might be formal or informal, or democratic or autocratic.

Answer 4

Management Style

Question 5

Customers particularly governmental agencies, may require formal specifications or administrative controls. Thus, the organization needs to understand and respond to these requirements.

Answer 5

Customer Influences

Question 6

Large companies have the ability to maintain formal systems and records, whereas smaller companies may not.

Answer 6

Company Size

Question 7

An organization suitable for the manufacture of a small number of highly sophisticated products may differ dramatically from an organization that produces a high volume of standard goods.

Answer 7

Diversity and Complexity of product line

Question 8

It generate economies of scale that influence supervision, corrective action, and other quality related issues.

Answer 8

Stability of the product line

Question 9

Quality managers need to recognize that their efforts must fit within the overall budget of the firm.

Answer 9

Financial stability

Question 10

The lack of certain skills may require other personnel such as supervisors, to assume duties they ordinarily would not be assigned.

Answer 10

Availability of personnel

Question 11

The organization is divided into functions such as operations and maintenance, each of which is headed by a manager.

Answer 11

Functional Structure

Question 12

It provides organizations with a clear chain of command and allow people to specialize in the aspect of the work for which they are best suited.

Answer 12

Functional Structure

Question 13

Few employees in the functional organization have direct contact with customers or even a clear idea of how their work combines with the work of others to satisfy customers.

Answer 13

It separates employees from customers

Question 14

No organizational unit has control over a whole process, although most processes involve a large number of functions.

Answer 14

Inhibits process improvement

Question 15

It breaks the feedback loop that informs employees that their work needs to be improved.

Answer 15

Often have a separate function for quality called Quality Control or Quality Assurance

Question 16

Individuals or process owners are accountable for process performance and have the authority to manage and improve their process.

Answer 16

Focus on Processes

Question 17

2 Classifications of processes

Answer 17

(1) Value creation or core processes
(2) Support processes

Question 18

Drive the creation of products and services that are critical to customer satisfaction, and have large impact on the strategic goals of an organization.

Answer 18

Value creation or core processes

Question 19

Generally do not add value directly to the product or service.

Answer 19

Support processes

Question 20

It is not unusual for Total Quality-focused organizations to eliminate the quality department and make everyone in the organization a quality manager.

Answer 20

Make Quality Everyone’s Job

Question 21

Many organizations flip the organizational chart to put customer at the top, as opposed to the traditional functional structure.

Answer 21

Put external customers first

Question 22

Customer-supplier links should be forged, one at a time, from the organization’s suppliers all the way to its external (real customers).

Answer 22

Recognize Internal Customers

Question 23

Companies accept functional or cross-functional teams, each of which has the responsibility to carry out and improve one of the organization’s core processes.

Answer 23

Create a Team-Based Organization

Question 24

Reduction of hierarchical levels in the organization, can eliminate non-value added activities and the empowerment of frontline workers to improve processes, there is a less supervision and coordination of managers to do.

Answer 24

Reduce Hierarchy

Question 25

It is the integration of steering committees or quality councils.

Answer 25

Use Leadership Teams

Question 26

Elements of Leadership teams:

Answer 26

(1) Leaderships
(2) Planning
(3) Implementation
(4) Review

Question 27

Organizations make fundamental changes in organizational structure through flexibility, innovation and knowledge skill sharing, alignment with organizational directions, customer focus, and rapid response to changing business needs and marketplace requirements.

Answer 27

Redesign work systems

Question 28

It presents the two types of organization structures the centralization and decentralization.

Answer 28

Structural Contingency Theory

Question 29

If the adoption of a certain structure helps the organization to be seen as legitimate in the eyes of those who have the power to determine the organization’s fate, then it is worthwhile.

Answer 29

Institutional Theory

Question 30

This presents the integration of institutional theory and contingency theory to derive and test a number of interesting propositions which will result organizational effectiveness.

Answer 30

Contextual Factors and Total Quality Performance