Exam Review 1

Question 1

___ is the process of arranging people and other resources to work together to accomplish a goal.

Planning
Organizing
Controlling
Leading
Strategizing

Answer 1

Organizing

Question 2

When a manager divides work up into manageable components, arranges resources, and coordinates results to achieve a common purpose, the manager is practicing ___

leadership
organizing
strategic planning
forecasting
setting objectives

Answer 2

Organizing

Question 3

Given a clear mission, core values, objectives and strategy, ___ begins the process of implementation by clarifying jobs and working relationships.

planning
controlling
organizing
coordinating
leading

Answer 3

Organizing

Question 4

___ is the system of tasks, workflows, reporting relationships, and communication channels that link together the work of diverse individuals and groups.

Job design
Management
Organization structure
Strategy
A work plan

Answer 4

Organization Structure

Question 5

Any organization structure should ___ and ___.

-allocate task assignments through a division of labour … provide for the coordination of performance results
-allocate task assignments through a division of labour … provide for the creation of a horizontal organization
-allocate organizational resources to important departments … provide for the oversight of less important departments
-assign good leaders to the effective work teams … assign poorer leaders to marginally effective work teams
-assign organizational objectives to divisions, departments, and work teams … provide for the coordination of performance results

Answer 5

Allocate task assignments through a division of labour…provide for the coordination of performance results

Question 6

Which of the following is the most accurate description regarding the purpose of an organization structure?

-to divide up and coordinate resources and tasks to be done for performance success
-to identify relationships between suppliers and company buyers
-to design titles for different types of workers
-to allocate management authority to department heads
-to assign daily work tasks to workers

Answer 6

To divide up and coordinate resources and tasks to be done for performance success

Question 7

Positions and job titles, lines of authority, and formal communication channels are often demonstrated for a company by drawing a special diagram. This diagram is called ___.

a flow chart
a PERT diagram
an organization chart
an input/output diagram
a structural diagram

Answer 7

An organization chart

Question 8

Which of the following pieces of information cannot be determined from an organization chart?

formal communication channels
type of work performed
division of work
levels of management
informal decision-making coalitions

Answer 8

Informal decision-making coalitions

Question 9

The ___ of the organization represents the way the organization is intended to function in terms of division of work, supervisory relationships, communication channels, major subunits, and levels of management.

informal structure
hierarchy or authority
management chart
channel outline
formal structure

Answer 9

Formal structure

Question 10

The ___ is a “shadow’ organization made up of the unofficial, but often critical, working relationships between organizational members.

formal structure
organizational chart
informal structure
adaptive organizational structure
horizontal organizational structure

Answer 10

Informal structure

Question 11

Jill, a recent MBA graduate in the field of accounting, is the finance manager of ION Company. Jill has a problem with a shadow organization in her division. One sensible first step in Jill’s management strategy might be ___.

-meeting with her employees to let them know she is the boss
-promising bonuses only to those employees who agree with her and work with her
-seeking to understand and work with the shadow organization
-firing the people who are members of the shadow organization
-assuming her staff is trying to undermine her and act accordingly

Answer 11

Seeking to understand and work with the shadow organization

Question 12

The following five examples describe different types of relationships between employees in XYZ Company. Which set of relationships indicates the existence of a shadow organization?

-Department managers report directly to the vice presidents in charge of their division.
-An employee asks questions of an immediate supervisor, gets answers, and works closely with this person.
-In one department, superior-subordinate relationships are strained. Subordinates take direction from the manager of another department.
-Members of a word processing pool provide secretarial services for all divisions on a first come, first served basis.
-The company president delegates authority to division managers, division managers delegate authority to department managers, and department managers delegate authority to support staff.

Answer 12

In one department, superior-subordinate relationships are strained. Subordinates takes direction from the manager of another department

Question 13

The process of learning that occurs as people work and interact together throughout the workday is called ___ learning.

casual
informal
interactive
formal
social

Answer 13

informal

Question 14

A(n) ___ identifies the informal structures and their embedded social relationships that are active in the organization.

informal structure
social network analysis
organization chart
functional chimney
functional structure

Answer 14

Social network analysis

Question 15

The process of grouping work positions into formal teams and departments, and then linking them together within the organization is known as ___.

differentiation
departmentalization
structural team development
organizing
functional team management

Answer 15

Departmentalization

Question 16

Three common types of traditional organizational structures are ___.

centralized, decentralized, and integrated
functional, horizontal, and vertical
divisional, centralized, and line
functional, divisional, and matrix
matrix, staff, and functional

Answer 16

Functional, divisional, and matrix

Question 17

When an organization chart shows vice presidents of marketing, manufacturing, finance, and human resources reporting directly to the president of a company, the top management group is organized as a ___ structure.

horizontal
vertical
functional
divisional
matrix

Answer 17

Functional

Question 18

Potential disadvantages of functional structures include all of the following except

-difficulties in pinpointing responsibilities for cost containment, product or service quality, timeliness, and innovation.
-provides for clear career paths.
-sense of cooperation and common purpose tends to break down.
-narrow view of performance objectives.
-too many decisions referred upward in the organizational hierarchy.

Answer 18

provides for clear career paths

Question 19

The ___ problem refers to the lack of communication, coordination, and collaborative problem-solving across functions.

horizontal silos
vertical bug-a-boo
functional chimneys
divisional smokestack
matrix identity

Answer 19

Functional chimneys

Question 20

The functional chimneys problem can ___.

slow decision making
diminish cooperation and commitment to a common purpose
interfere with coordination across functions
create difficulties in pinpointing responsibilities
all of the above

Answer 20

all of the above

Question 21

A(n) ___ groups together people who work on the same product or process, serve similar customers, or work in the same area or geographic region.

divisional structure
informal structure
matrix structure
integration structure
functional structure

Answer 21

divisional structure

Question 22

___ clearly identify costs, profits, problems, and successes in a market area with a central point of accountability.

Product structures
Geographical structures
Area structures
Customer structures
Process structures

Answer 22

product structures

Question 23

___ structures group together jobs and activities that are being performed in the same location.

Product
Market
Geographical
Customer
Process

Answer 23

Geographical

Question 24

Structures that group together jobs and activities that are serving the same customers or clients are called ___ structures.

product
process
matrix
customer
geographical

Answer 24

Costumer

Question 24

___ structures are typically used when there is a need to differentiate products or services in various locations, such as in different regions of a nation or in international operations where there is a need to focus on the requirements of particular cultures and regions of the world.

Product
Market
Geographical
Customer
Process

Answer 24

Geographical

Question 25

___ are particularly appealing because they can best serve the special needs of different customer groups.

Product structures
Process structures
Matrix structures
Customer structures
Geographical structures

Answer 25

Costumer structures

Question 26

A ___ is a group of tasks related to one another that collectively creates something of value to a customer.

work team
work process
job
work group
manufacturing system

Answer 26

Work process

Question 27

A matrix structure basically combines elements of ___and ___ structures.

horizontal … vertical
horizontal … divisional
functional … vertical
functional … divisional
vertical … divisional

Answer 27

Functional…divisional

Question 28

Which structural approach makes use of permanent cross-functional teams to integrate functional expertise in support of a clear divisional focus on a product, project, or program?

hybrid
matrix
divisional
functional
individual

Answer 28

Matrix

Question 29

Workers in a matrix structure belong to at least two formal groups at the same time. These two groups are a ___ group and a ___ group.

functional … product, project, or program
supplier … distributor
union … product, project, or program
functional … non-functional
functional … total quality

Answer 29

Functional…product, project, or program

Question 30

If an organization is concerned about frequently adding and deleting new products or services and also wants to make sure that customers or clients always have a program manager available to respond to questions and concerns, the___ structural form is a good choice.

horizontal
vertical
functional
divisional
matrix

Answer 30

Matrix

Question 31

All the following are potential disadvantages of the matrix structure except

adding team leaders increase costs.
“groupitis”.
problem solving is forced down the hierarchy to where the best information is available.
power struggles between functional and program managers.
confusion of team members regarding task direction.

Answer 31

Problem-solving is forced down the hierarchy to where the best information is available

Question 32

A ___ uses both permanent and temporary cross-functional teams to solve problems, complete special projects, and accomplish daily tasks.

geographical structure
cross-functional structure
team structure
divisional structure
matrix structure

Answer 32

Team structure

Question 33

A(n) ___ brings together members from different areas of work responsibility.

interdepartmental team
cross-functional team
self-managing team
task team
network team

Answer 33

cross-functional team

Question 34

A ___ is set up for a particular task or project and disbands once it is a completed.

matrix structure
self-managing team
project team
process team
network team

Answer 34

Project team

Question 35

One of the disadvantages of using a team structure is ___.

conflicting loyalties of members
speed and quality of decisions
improved morale
shared knowledge
improving lateral relations

Answer 35

Conflicting loyalties of members

Question 36

Which of the following are potential disadvantages of team structures?

-conflicting loyalties among members regarding both team and functional assignments
-excessive time spent in meetings
-effectiveness of the time that team members spend together depends on the quality of interpersonal relations, group dynamics, and team management
-alternatives a and b are potential disadvantages of team structures
-alternatives a, b, and c are potential disadvantages of team structures

Answer 36

alternatives a, b, and c are potential disadvantages of team structures

Question 37

Organizations that are set up with a central core that is linked with outside contractors and suppliers of essential business services are called ___ structures.

hybrid
network
geographic
horizontal
global

Answer 37

Network

Question 38

Network organizations own only the ___ and outsource ___.

information technology … actual production work
essential core functions … the support functions
support functions … core functions
intellectual property … the manufacturing of products
essential core functions … all customer contacts

Answer 38

Essential core functions…the support functions

Question 39

Potential advantages of network structures include which of the following?

-Companies can operate with fewer full-time employees and less complex internal systems.
-Companies can reduce overhead costs and increase operating efficiency.
-Companies can operate across great distances.
-All of the above are potential advantages of a network structure.
-None of the above is a potential advantage of a network structure.

Answer 39

All of the above are potential advantages of a network structure

Question 40

The potential disadvantages of the network structure are due primarily to the demands of ___.

being flexible in responding to changing conditions
having fewer full-time employees to help supervisor’s managerial empire
having new management responsibilities
operating across great distance
trying to reduce overhead through expanded relationships

Answer 40

Having new management responsibilities

Question 41

Which one of the following is not a potential disadvantage of network structures?

-Control and coordination problems may arise from network complexity.
-Permits operations across great distances.
-Potential loss of control over outsourced activities.
-The more complex the business or mission, the more complicated the network.
-Potential for lack of loyalty to develop among infrequently used contractors.

Answer 41

Permits operations across great distance

Question 42

A ___ organization eliminates internal boundaries among parts and external boundaries linking with the external environment.

divisional
boundaryless
functional
geographical
matrix

Answer 42

Boudaryless

Question 43

___ organizations are those in which teamwork and intense communication take the place of formal lines of authority.

divisional
boundaryless
functional
geographical
matrix

Answer 43

Boundaryless

Question 44

A(n) ___ is a special form of a boundaryless organization.

functional organization
divisional organization
virtual organization
upside-down pyramid
matrix structure

Answer 44

Virtual organization

Question 45

A key assumption underlying ___ organizations is that empowered people working together without bureaucratic restrictions can accomplish great things.

divisional
boundaryless
functional
geographical
matrix

Answer 45

Boundaryless

Question 46

A(n) ___ operates in a shifting network of external strategic alliances that are engaged as needed, and typically are supported by extensive information technology (IT) utilization.

virtual organization
upside-down pyramid
functional organization
divisional organization
matrix structure

Answer 46

Virtual organization

Question 47

Horizontal structures provide all of the following except

decreases hierarchy.
increases empowerment.
better mobilization of technology.
focuses the organization around functions, not processes.
better use of human talents.

Answer 47

Focuses the organization around functions, not processes

Question 48

___ have features of ___, including decentralized authority, fewer rules and procedures, less division of labour, wider spans of control, and more personal means of coordination.

Adaptive organizations … organic designs
Bureaucratic organizations … organic designs
Bureaucratic organizations … mechanistic designs
Adaptive organizations … mechanistic designs
Adaptive organizations … functional designs

Answer 48

Adaptive organizations…organic designs

Question 49

Failure to delegate may result from a manager’s lack of trust in others or his/her inflexibility regarding how things should be done.
-Failure to delegate overloads the manager with work that could be done by others.
-Effective delegation denies others opportunities to fully utilize their talents on the job.
-Effective delegation leads to empowerment of workers.
-Effective delegation can increase employees’ job satisfaction and work performance.

Answer 49

Effective delegation denies others opportunities to fully utilize their talents on the job

Question 50

Which of the following statements does not accurately describe challenges associated with the use of staff?

-Because of cost considerations, cutting back on staff is a common first choice in downsizing and other turnaround efforts.
-Staff with advisory authority can suggest but not dictate.
-Staff with functional authority can require that others do as requested within the boundaries of staff expertise.
-There is one best way to divide work between line and staff responsibilities.
-Staff can grow to the point where it costs more in administrative overhead than the staff is worth.

Answer 50

There is one best way to divide work between line and staff responsibilities