Question 1

Fayol believed that managers should treat employees and peers with respect and justice.

Accepted Answer

A) True 
 B)False

Question 2

Alleta Publishing Company,Inc.is considering the use of cross-functional teams.In order to be most effective,Alleta should include customers as members of the teams.

Accepted Answer

A) True 
 B)False

Question 3

Ashley experienced frustration with her new job at Walnut Securities,until she befriended a secretary from another department.Over lunch in the cafeteria,her new friend shared with Ashley the way things really work at Walnut Securities.Ashley quickly learned that:

Accepted Answer

A) what she learned in her business classes didn't really help her in the real world. 
B) an unofficial informal organization exists that she can utilize to help her do her job. 
C) organizational culture can be negative. 
D) not all businesses have a formal organization. 
A) what she learned in her business classes didn't really help her in the real world. 
B) an unofficial informal organization exists that she can utilize to help her do her job. 
C) organizational culture can be negative. 
D) not all businesses have a formal organization.

Question 4

The Social Media in Business box titled,"When Twitter and Facebook Are Old School," discusses the lifecycle of social media and predicts that this media will lose its appeal when businesses realize it is not adding to the bottom line.

Accepted Answer

A) True 
 B)False

Question 5

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

Accepted Answer

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. 
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.

Question 6

Whirlpond,a manufacturer of home appliances,has historically produced the components for their products.However,Whirlpond now contracts with other firms to produce these components.This strategy of __________ is a current trend among U.S.manufacturers.

Accepted Answer

A) outsourcing 
B) core positioning 
C) foreign competency 
D) competitive benchmarking 
A) outsourcing 
B) core positioning 
C) foreign competency 
D) competitive benchmarking

Question 7

Fayol believed that decision-making authority should remain in the hands of top management:

Accepted Answer

A) in small organizations,but should be delegated to middle and first-line managers in large organizations. 
B) in large organizations,but could be delegated to middle and first-line managers in small organizations. 
C) in all types and sizes of organizations. 
D) only in organizations subjected to significant government regulation. 
A) in small organizations,but should be delegated to middle and first-line managers in large organizations. 
B) in large organizations,but could be delegated to middle and first-line managers in small organizations. 
C) in all types and sizes of organizations. 
D) only in organizations subjected to significant government regulation.

Question 8

Currently,Mucho Dinero is organized into specialized departments such as marketing,finance,production and personnel.These departments are designed to allow people with similar skills and expertise to work together.This approach is known as ___________ departmentalization.

Accepted Answer

A) functional 
B) process 
C) interest group 
D) task-oriented 
A) functional 
B) process 
C) interest group 
D) task-oriented

Question 9

A bureaucracy empowers employees to quickly respond to customers' wants and desires.

Accepted Answer

A) True 
 B)False

Question 10

Bill,a financial manager at Carlyle Bank and Trust always strives to treat each subordinate with respect and fairness.Bill's treatment of employees is an example of Fayol's principle of:

Accepted Answer

A) unity of command. 
B) equity. 
C) empowerment. 
D) order. 
A) unity of command. 
B) equity. 
C) empowerment. 
D) order.

Question 11

Vaughn Studios organizes its operations by activity,such as production,marketing,accounting,and finance.Vaughn utilizes _____________ departmentalization in order to maximize their efficiency:

Accepted Answer

A) product 
B) customer 
C) functional 
D) standardized 
A) product 
B) customer 
C) functional 
D) standardized

Question 12

In recent years,large organizations have tried to improve their efficiency in communication and decision making by:

Accepted Answer

A) creating specific rules for everyone to follow. 
B) eliminating several layers of management. 
C) restructuring into a bureaucratic organization. 
D) reducing the span of control for managers. 
A) creating specific rules for everyone to follow. 
B) eliminating several layers of management. 
C) restructuring into a bureaucratic organization. 
D) reducing the span of control for managers.

Question 13

Departmentalization by function typically increases the cost of doing business.

Accepted Answer

A) True 
 B)False

Question 14

The widely shared values within an organization that provide unity and cooperation to achieve common goals is together known as the:

Accepted Answer

A) normative matrix. 
B) predefined group values. 
C) ethical system. 
D) organizational culture. 
A) normative matrix. 
B) predefined group values. 
C) ethical system. 
D) organizational culture.

Question 15

Companies benefit today by inter-firm cooperation.One of the ways they cooperate is through networking.Another way is by seeking technological knowledge and learning new processes from other firms that usually fall outside of their respective industries.We call this:

Accepted Answer

A) competency capturing 
B) technology swapping 
C) benchmarking 
D) broadening the knowledge base 
A) competency capturing 
B) technology swapping 
C) benchmarking 
D) broadening the knowledge base

Question 16

Ping believes all workers should receive the same wage rate regardless of their position within a company.Ping's views on wages illustrate Fayol's principle of equity.

Accepted Answer

A) True 
 B)False

Question 17

What is a cross-functional,self-managed team? Who would serve on such teams? Why do cross-functional,self-managed teams often lead to networking?

Accepted Answer

a)A cross-functional team is a group of

Question 18

Weber put great trust in the creativity,skills,and pride of employees and believed that managers should act more as coaches than as bosses.

Accepted Answer

A) True 
 B)False

Question 19

Multinational pharmaceutical companies who during the past 20 years preferred to contract with companies in India and other places with cheap labor are turning back to the U.S.to produce their products.The recent popularity of _______________ is due to compliance issues and legal issues ,as well as the quality of output.

Accepted Answer

A) market transition 
B) market transformation 
C) outsourcing 
D) insourcing 
A) market transition 
B) market transformation 
C) outsourcing 
D) insourcing

Question 20

Which of the following is true of cross-functional teams?

Accepted Answer

A) Cross-functional teams are required not to share information across national boundaries 
B) Employees on the teams are frustrated by organizational rules and regulations 
C) Cross-functional teams work best when the voice of the customer is brought into the organization 
D) Cross-functional teams are disbanded once the current project is complete 
A) Cross-functional teams are required not to share information across national boundaries 
B) Employees on the teams are frustrated by organizational rules and regulations 
C) Cross-functional teams work best when the voice of the customer is brought into the organization 
D) Cross-functional teams are disbanded once the current project is complete

Exam 8: Structuring Organizations for Todays Challenges

Fayol believed that managers should treat employees and peers with respect and justice.

Alleta Publishing Company,Inc.is considering the use of cross-functional teams.In order to be most effective,Alleta should include customers as members of the teams.

Ashley experienced frustration with her new job at Walnut Securities,until she befriended a secretary from another department.Over lunch in the cafeteria,her new friend shared with Ashley the way things really work at Walnut Securities.Ashley quickly learned that:

The Social Media in Business box titled,"When Twitter and Facebook Are Old School," discusses the lifecycle of social media and predicts that this media will lose its appeal when businesses realize it is not adding to the bottom line.

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

Whirlpond,a manufacturer of home appliances,has historically produced the components for their products.However,Whirlpond now contracts with other firms to produce these components.This strategy of __________ is a current trend among U.S.manufacturers.

Fayol believed that decision-making authority should remain in the hands of top management:

Currently,Mucho Dinero is organized into specialized departments such as marketing,finance,production and personnel.These departments are designed to allow people with similar skills and expertise to work together.This approach is known as ___________ departmentalization.

A bureaucracy empowers employees to quickly respond to customers' wants and desires.

Bill,a financial manager at Carlyle Bank and Trust always strives to treat each subordinate with respect and fairness.Bill's treatment of employees is an example of Fayol's principle of:

Vaughn Studios organizes its operations by activity,such as production,marketing,accounting,and finance.Vaughn utilizes _____________ departmentalization in order to maximize their efficiency:

In recent years,large organizations have tried to improve their efficiency in communication and decision making by:

Departmentalization by function typically increases the cost of doing business.

The widely shared values within an organization that provide unity and cooperation to achieve common goals is together known as the:

Companies benefit today by inter-firm cooperation.One of the ways they cooperate is through networking.Another way is by seeking technological knowledge and learning new processes from other firms that usually fall outside of their respective industries.We call this:

Ping believes all workers should receive the same wage rate regardless of their position within a company.Ping's views on wages illustrate Fayol's principle of equity.

What is a cross-functional,self-managed team? Who would serve on such teams? Why do cross-functional,self-managed teams often lead to networking?

Weber put great trust in the creativity,skills,and pride of employees and believed that managers should act more as coaches than as bosses.

Which of the following is true of cross-functional teams?

Taking Risks and Making Profits Within the Dynamic Business Environment

Understanding Economics and How It Affects Business

Doing Business in Global Markets

Demanding Ethical and Socially Responsible Behavior

How to Form a Business

Entrepreneurship and Starting a Small Business

Management and Leadership

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Union and Employeemanagement Issues

Marketing: Helping Buyers Buy

Developing and Pricing Goods and Services

Distributing Products

Using Effective Promotions

Understanding Accounting and Financial Information

Financial Management

Using Securities Markets for Financing and Investing Opportunities

Money,financial Institutions,and the Federal Reserve

test Planning Table for Bonus Chapter A

Using Technology to Manage Information

Managing Risk

Managing Personal Finances

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