Exam 8: Structuring Organizations for Todays Challenges

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Which of the following are common responses of employees when faced with change?

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Small businesses often use a line organization model.

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The success of the firm often depends on assigning the right tasks to the right person.

(True/False)
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Correctly structuring a business organization allows managers to avoid delegating responsibility and authority to employees.

(True/False)
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In firms with centralized authority, each business unit is treated as if it is a completely separate and independent organization.

(True/False)
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Daniela thinks all workers should receive the same pay regardless of their position within a company. Daniela views on wages illustrate Fayol's principle of equity.

(True/False)
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Which of the following positions would be classified as a staff position?

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Which of the following was created as a solution to the temporary nature of the matrix structure?

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Cross-functional teams consist of employees from different departments who work together on a long-term basis.

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Javier is a self-employed patent attorney and it seems like he is always working! Large corporations hire him on an as-needed basis to review prospective ideas and help with securing patents for a variety of inventions including surgical instruments, medicines, and high-tech gadgets. Once he secures a contract, Javier knows approximately how many weeks or months he will work. Javier works for virtual corporations.

(True/False)
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Companies benefit today from interfirm cooperation. One of the ways they cooperate is through networking. Another way is by seeking technological knowledge and new processes from exemplary firms sometimes outside their own industries. This is called

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Bureaucratic organizations are not very responsive to customers.

(True/False)
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A matrix organization produces an environment that discourages cooperation and teamwork.

(True/False)
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Weber was a strong proponent of bureaucracy.

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Which of the following is an advantage of a line organization in a large business?

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Organizations with positive images for performing exceptional service to customers are usually friendly places to work, as well.

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Bright Electronics has found it needs to reorganize, including a significant trim of its middle management. This action will likely result in

(Multiple Choice)
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Which of the following describes the activity of a firm that assigns specific functions, such as accounting or legal work, to other organizations rather than performing these functions themselves?

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Weber promoted the idea of the pyramid-shaped organization structure for large businesses.

(True/False)
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The organizational structure of the U.S. Army's 1st Infantry Division provides for direct two-way lines of responsibility, authority, and communication running from the top to the bottom. Additionally, each person in the division reports to only one superior. The 1st Infantry Division is clearly an example of a(n)

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