Exam 9: Structuring Organizations for Todays Challenges

The flatter an organization's structure,the fewer managers are needed.

Weber believed that employees should be empowered to make their own decisions.

XYZ Industries produces a variety of anti-crime and safety products such as burglar alarms,smoke detectors,surveillance cameras,and specialty locks.XYZ sells to households,businesses,and government agencies.They have found that each market group requires a different marketing strategy.XYZ would probably benefit from departmentalization by:

The concept of economies of scale suggests that the average cost of goods decreases as the production level increases.

Departmentalization helps develop a creative environment through a groupthink process.

Heather works as a sales representative for the Westerly Company.She really enjoys working for Westerly,because the company treats her and other sales representatives as highly valued employees.Sales reps at Westerly are given freedom and flexibility in their relationships with customers.While there are only a few layers of management at Westerly,Heather has found that these managers try their best to support and assist her efforts.Based on Heather's experience,it appears that Westerly is a(n):

In a line organization,there are many specialists who serve as advisors and assistants to the managers who make decisions.

The line of authority that moves from the top of a hierarchy to the lowest level is called the:

Transparency describes the relationship between a firm and its stockholders.

Ashley had been frustrated 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 has quickly learned that:

Networking requires transparency.

Many organizations are moving their focus from management to customers.

Which of the following describes a networked organization made up of replaceable firms that join the network and leave it as needed?

According to your textbook,the very best organizations have cultures that emphasize service to others.

The matrix organizational structure violates the principle of one employee reporting to one boss.

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

Outsourcing involves assigning various functions to outside organizations.

The production of cars,computers and houses have benefited from mass production.

Buzzoff Corporation is a medium sized organization,organized with well-defined lines of authority and responsibility.Each employee reports to only one boss.However,the managers at Buzzoff often complain that they have no specialists available to offer advice,and inefficient long lines of communication.These characteristics suggest that Buzzoff employs a matrix organization.

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?