Chapter 7

Question 1

Formal system of task and reporting relationships that coordinates and motivates organizational members so that they work together to achieve organizational goals

• The process by which managers make specific organizing choices that result in a particular kind of organizational structure

Answer 1

Organizing
Organizational structure
Organizational design

Question 2

• The process by which managers decide how to divide tasks into specific jobs
• The process of reducing the number of tasks that each worker performs
• Increasing the number of different tasks in a given job by changing the division of labor
• Increasing the degree of responsibility a worker has over a job

Answer 2

Job design
Job simplification
Job enlargement
Job enrichment

Question 3

Employee uses a wide range of skills.

Worker feels the task is meaningful to organization.

Worker is involved in all tasks of the job from the beginning to end of the production process.

Employee has freedom to schedule tasks and carry them out.

Worker gets direct information about how well the job is done.

Answer 3

Skill variety
Task identity
Task significance
Autonomy
Feedback

Question 4

An organizational structure composed of all the departments that an organization requires to produce its goods or services

Answer 4

Functional Structure

Question 5

Advantages
Encourages learning from others doing similar jobs
Easy for managers to monitor and evaluate workers

Disadvantages
Difficult for departments to communicate with others
Preoccupation with own department and losing sight of organizational goals

Answer 5

Grouping jobs into function

Question 6

An organizational structure composed of separate business units within which are the functions that work together to produce a specific product for a specific customer

Answer 6

Divisional structure

Question 7

• Each product line or business is handled by a self-contained division
• Each region of a country or area of the world is served by a self-contained division.
• Managers locate different divisions in each of the world regions where the organization operates. This structure used when managers are pursuing a multi-domestic strategy.
• Each product division, not the country or regional managers, takes responsibility for deciding where to manufacture its products and how to market them in foreign countries.
• Each kind of customer served by a self-contained division. Also called customer structure

Answer 7

Product structure 
Geographic structure
Global geographic structure
Global product structure 
Market structure

Question 8

• An organizational structure that simultaneously groups people and resources by function and product
• Employees are permanently assigned to a cross-functional team and report only to the product team manager or to one of his direct subordinates
• Group of managers brought together from different departments to perform organizational tasks

Answer 8

Matrix struxture
Product team structure
Cross functional team

Question 9

The power to hold people accountable for their actions and to make decisions concerning the use of organizational resources

An organization’s chain of command, specifying the relative authority of each manager

Answer 9

Authority

Hierarchy of authority

Question 10

The number of subordinates who report directly to a manager

Someone in the direct line or chain of command who has formal authority over people and resources

Someone responsible for managing a specialist function, such as finance or marketing

Answer 10

Span of control
Line manager
Staff manager

Question 11

Many levels of authority relative to company size

Fewer levels of authority relative to company size

Answer 11

Tall organization

Flat organization

Question 12

• Giving lower-level managers and nonmanagerial employees the right to make important decisions about how to use organizational resources
• Organizing tools that managers can use to increase communication and coordination among functions and divisions

Answer 12

Decentralizing authority

Integrating mechanism

Question 13

• A formal agreement that commits two or more companies to exchange or share their resources in order to produce and market a product
• A series of strategic alliances that an organization creates with suppliers, manufacturers, and distributors to produce and market a product
• To use outside suppliers and manufacturers to produce goods and services

Answer 13

Strategic alliance
B2b network structure
Outsource

Question 14

• An organization whose members are linked by computers, email, computer-aided design systems, video-conferencing and cloud-based software, and who, rarely, if ever, see one another face-to-face
• A company-specific virtual information system that systematizes the knowledge of its employees and facilitates the sharing and integration of their expertise

Answer 14

Boyndaryless organization

Knowledge management system