Exam 10: Creating Effective Organizational Designs

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By takeover constraint, we mean

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Public companies are required by law to disclose information regarding executive compensation packages.

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What are the three key means to align the interests of owners (shareholders) and managers in a corporation?

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Different functional areas within an organization often have different reward systems.

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Product diversification by a company is a cheaper way to reduce shareholder risk than portfolio diversification by shareholders.

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Discuss at least three external control mechanisms.

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For a reward system to be effective, it must be perceived as fair and equitable.

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The U.S. Congress introduced the Sarbanes-Oxley Act in 2002 to ensure better governance of public corporations-similar provisions have NOT been put in place in Canada.

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External control mechanisms include all of the following except

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What are the four characteristics of effective contemporary control systems?

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In a corporation, the primary participants include all except

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It is generally argued that the takeover constraint:

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The risk of being acquired by hostile raiders is often referred to as the takeover constraint.

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Contemporary approaches to strategic control rely primarily on

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Action plans permit a degree of autonomy for managers who sometimes must modify activities to achieve the desired outcome.

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An organization's reward system is typically a weak method of motivating employees.

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All of the following are types of information that all public corporations are required to disclose except

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The causes of counterproductive behaviour in organizations include

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