Question 1

In a(n) ________ organization, the decision-making authority is delegated as far down the chain of command as possible.

Accepted Answer

A)  bureaucratic 
B)  centralized 
C)  balanced 
D)  overcentralized 
E)  decentralized 
A)  bureaucratic 
B)  centralized 
C)  balanced 
D)  overcentralized 
E)  decentralized

Question 2

Hans is a manager of a bookstore. At the end of each year, he gives his employees performance reviews to let them know what they are doing well, what they need to improve on, and their annual raise amount. This is a form of ________ communication.

Accepted Answer

A)  upward 
B)  horizontal 
C)  diagonal 
D)  downward 
E)  reverse 
A)  upward 
B)  horizontal 
C)  diagonal 
D)  downward 
E)  reverse

Question 3

The more layers in an organization,

Accepted Answer

A)  the lower its administrative costs. 
B)  the flatter its organizational structure. 
C)  the wider its span of management. 
D)  the slower the communication. 
E)  the less managers it has. 
A)  the lower its administrative costs. 
B)  the flatter its organizational structure. 
C)  the wider its span of management. 
D)  the slower the communication. 
E)  the less managers it has.

Question 4

Alarm Solutions Inc., a large theft protection company, has different representatives to assist business clients and individual clients. This is an example of ________ departmentalization.

Accepted Answer

A)  process 
B)  product 
C)  geographical 
D)  functional 
E)  customer 
A)  process 
B)  product 
C)  geographical 
D)  functional 
E)  customer

Question 5

Rob's company has grown in recent years, and the firm is looking to restructure the organization into larger groups. Rob and his team are deciding whether to organize its departments on the basis of geography, customer type, or product. Regardless of which basis the firm uses, it will be organized using which structure?

Accepted Answer

A)  line 
B)  multidivisional 
C)  matrix 
D)  line-and-staff 
E)  simplistic 
A)  line 
B)  multidivisional 
C)  matrix 
D)  line-and-staff 
E)  simplistic

Question 6

Once a month, the sales managers of Black Corporation meet to discuss sales performance, production issues, and delivery schedules. Since the sales managers work in different parts of the country, they conduct their meetings through a videoconference and follow up with e-mails. This is an example of a

Accepted Answer

A)  task force. 
B)  virtual team. 
C)  committee. 
D)  matrix team. 
E)  focus group. 
A)  task force. 
B)  virtual team. 
C)  committee. 
D)  matrix team. 
E)  focus group.

Question 7

Access Motors released a new car model a year ago, and it has received customer complaints about the flimsy plastic used around the lights and in the interior consoles of the car. To address this problem, Access Motors forms a quality circle. What is a benefit of forming this type of group?

Accepted Answer

A)  It will shift the organization to a more participative culture. 
B)  It can include customers to help ensure that the resolution of the problem satisfies their needs. 
C)  It can devise, design, and implement a new car that will be better than the existing one. 
D)  It can deliver a new and improved product to customers. 
E)  It can change rapidly to respond to customer needs. 
A)  It will shift the organization to a more participative culture. 
B)  It can include customers to help ensure that the resolution of the problem satisfies their needs. 
C)  It can devise, design, and implement a new car that will be better than the existing one. 
D)  It can deliver a new and improved product to customers. 
E)  It can change rapidly to respond to customer needs.

Question 8

A narrow span of management would typically be found in?

Accepted Answer

A)  firms with decentralized authority. 
B)  organizations with highly competent employees. 
C)  organizations that have very few problems. 
D)  firms with centralized authority. 
E)  firms with a set of specific operating procedures. 
A)  firms with decentralized authority. 
B)  organizations with highly competent employees. 
C)  organizations that have very few problems. 
D)  firms with centralized authority. 
E)  firms with a set of specific operating procedures.

Question 9

Decentralization works best in companies

Accepted Answer

A)  that do not want to delegate decision-making to lower levels. 
B)  that have little to no competition. 
C)  that do not need to react quickly to changes in the business environment. 
D)  that want all decisions made at the top level of management 
E)  that operate in complex, unpredictable environments. 
A)  that do not want to delegate decision-making to lower levels. 
B)  that have little to no competition. 
C)  that do not need to react quickly to changes in the business environment. 
D)  that want all decisions made at the top level of management 
E)  that operate in complex, unpredictable environments.

Question 10

Grayson owns a local smoothie store. His business started small, but over the years, word of mouth has spread, bringing more people in to try his delicious homemade smoothies. Since business is booming, Grayson decides to expand his business and open three additional stores in surrounding towns. What does growth like this require in terms of structure?

Accepted Answer

A)  Growth requires flexibility, and thus, no structure. 
B)  Growth requires adopting a universal structure that works for all businesses. 
C)  Growth requires letting employees determine what the structure should be. 
D)  Growth requires developing a formal structure to function efficiently. 
E)  Growth requires developing a rigid structure that never undergoes changes. 
A)  Growth requires flexibility, and thus, no structure. 
B)  Growth requires adopting a universal structure that works for all businesses. 
C)  Growth requires letting employees determine what the structure should be. 
D)  Growth requires developing a formal structure to function efficiently. 
E)  Growth requires developing a rigid structure that never undergoes changes.

Question 11

Lisa and Gin are friends who work at the same company but in different departments. They often go out for lunch and drinks after work, and sometimes, they send each other personal e-mails and instant messages at work. Such friendships comprise the ________ of a firm.

Accepted Answer

A)  formal organization 
B)  grapevine 
C)  informal organization 
D)  sounding device 
E)  diagonal communication 
A)  formal organization 
B)  grapevine 
C)  informal organization 
D)  sounding device 
E)  diagonal communication

Question 12

An advantage of decentralization is that it

Accepted Answer

A)  does not require low-level managers to be highly skilled in decision making. 
B)  is highly effective when risky decisions have to be made. 
C)  may increase the organization's productivity. 
D)  increases the levels of management within an organization. 
E)  results in a tall organizational structure. 
A)  does not require low-level managers to be highly skilled in decision making. 
B)  is highly effective when risky decisions have to be made. 
C)  may increase the organization's productivity. 
D)  increases the levels of management within an organization. 
E)  results in a tall organizational structure.

Question 13

An organizational structure is

Accepted Answer

A)  only applicable to formal organizations. 
B)  the arrangement or relationship of positions within an organization. 
C)  usually not seen in government and nonprofit organizations. 
D)  based on the company's shared beliefs and values. 
E)  fixed, even if the company grows in size. 
A)  only applicable to formal organizations. 
B)  the arrangement or relationship of positions within an organization. 
C)  usually not seen in government and nonprofit organizations. 
D)  based on the company's shared beliefs and values. 
E)  fixed, even if the company grows in size.

Question 14

Accurate Awnings is experiencing production delays resulting in a backlog of customer orders, so the firm assembles a team to look into the issue. The team is given full authority to implement a new process for streamlining production without having to get management approval. In this scenario, the team is likely to be

Accepted Answer

A)  unproductive. 
B)  centralized. 
C)  dysfunctional. 
D)  restricted. 
E)  self-directed. 
A)  unproductive. 
B)  centralized. 
C)  dysfunctional. 
D)  restricted. 
E)  self-directed.

Question 15

A wide span of management works best when the level of interaction between superiors and subordinates is low.

Accepted Answer

A) True 
 B)False

Question 16

Which statement is true about e-mail communication?

Accepted Answer

A)  Employees and managers are increasingly using phone conversations instead of e-mail. 
B)  E-mail sent from corporate accounts is the property of the sender. 
C)  In-depth tasks are usually communicated via e-mail. 
D)  Using work e-mail accounts to send personal information may be against company policy. 
E)  Most companies don't have a need for e-mail policies. 
A)  Employees and managers are increasingly using phone conversations instead of e-mail. 
B)  E-mail sent from corporate accounts is the property of the sender. 
C)  In-depth tasks are usually communicated via e-mail. 
D)  Using work e-mail accounts to send personal information may be against company policy. 
E)  Most companies don't have a need for e-mail policies.

Question 17

Downward communication typically conveys

Accepted Answer

A)  organizational rumors. 
B)  assignments of tasks and responsibilities. 
C)  complaints. 
D)  inquiries. 
E)  grievances. 
A)  organizational rumors. 
B)  assignments of tasks and responsibilities. 
C)  complaints. 
D)  inquiries. 
E)  grievances.

Question 18

Lucie and Cara are both managers at a home improvement store. Lucie oversees the flooring, lighting, appliances, and hardware departments. Cara provides each of these departments with advice and support in the areas of finance and human resources. What is true regarding Lucie and Cara's roles in the company?

Accepted Answer

A)  Lucie is a line manager, while Cara is a staff manager. 
B)  Lucie is a staff manager, while Cara is a line manager. 
C)  Cara has direct authority over Lucie and her subordinates. 
D)  Cara does not have direct authority over subordinates in the finance and human resources departments. 
E)  Lucie and Care are both line managers, who focus on their area of expertise in the operation of the business. 
A)  Lucie is a line manager, while Cara is a staff manager. 
B)  Lucie is a staff manager, while Cara is a line manager. 
C)  Cara has direct authority over Lucie and her subordinates. 
D)  Cara does not have direct authority over subordinates in the finance and human resources departments. 
E)  Lucie and Care are both line managers, who focus on their area of expertise in the operation of the business.

Question 19

What is an advantage of job specialization?

Accepted Answer

A)  It allows workers to specialize in a variety of skills. 
B)  It makes training employees easier. 
C)  It eliminates dissatisfaction and boredom among employees. 
D)  It completely eliminates the need for departmentalization within an organization. 
E)  It requires employees to perform more than one task within a firm. 
A)  It allows workers to specialize in a variety of skills. 
B)  It makes training employees easier. 
C)  It eliminates dissatisfaction and boredom among employees. 
D)  It completely eliminates the need for departmentalization within an organization. 
E)  It requires employees to perform more than one task within a firm.

Question 20

Chuck manages a hardware superstore, where he supervises 45 employees. Because he manages a large number of employees, fewer management layers are needed, and thus, his organization is flat with a wide span of management. As a result, what is most likely true of Chuck's duties, in comparison with managers in tall organizations?

Accepted Answer

A)  He spends less time supervising subordinates. 
B)  He spends less time working with subordinates. 
C)  He spends more time communicating with middle management. 
D)  He performs less administrative duties. 
E)  He performs more administrative duties. 
A)  He spends less time supervising subordinates. 
B)  He spends less time working with subordinates. 
C)  He spends more time communicating with middle management. 
D)  He performs less administrative duties. 
E)  He performs more administrative duties.

In a(n) ________ organization, the decision-making authority is delegated as far down the chain of command as possible.

Hans is a manager of a bookstore. At the end of each year, he gives his employees performance reviews to let them know what they are doing well, what they need to improve on, and their annual raise amount. This is a form of ________ communication.

The more layers in an organization,

Alarm Solutions Inc., a large theft protection company, has different representatives to assist business clients and individual clients. This is an example of ________ departmentalization.

Access Motors released a new car model a year ago, and it has received customer complaints about the flimsy plastic used around the lights and in the interior consoles of the car. To address this problem, Access Motors forms a quality circle. What is a benefit of forming this type of group?

A narrow span of management would typically be found in?

Decentralization works best in companies

Lisa and Gin are friends who work at the same company but in different departments. They often go out for lunch and drinks after work, and sometimes, they send each other personal e-mails and instant messages at work. Such friendships comprise the ________ of a firm.

An advantage of decentralization is that it

An organizational structure is

A wide span of management works best when the level of interaction between superiors and subordinates is low.

Which statement is true about e-mail communication?

Downward communication typically conveys

What is an advantage of job specialization?

The Dynamics of Business and Economics

Business Ethics and Social Responsibility

Business in a Borderless World

Options for Organizing Business

Small Business, Entrepreneurship, and Franchising

The Nature of Management

Managing Operations and Supply Chains

Motivating the Workforce

Managing Human Resources

Customer-Driven Marketing

Dimensions of Marketing Strategy

Digital Marketing and Social Networking

Accounting and Financial Statements

Money and the Financial System

Financial Management and Securities Markets

Personal Financial Planning and Legal and Regulatory Environment

Appendix A: Guidelines for the Development of the Business Plan

Appendix B: Personal Career Plan

Appendix C: Risk: The Basics of Risk Management

Filters

Exam 7: Organization, Teamwork, and Communication

In a(n) ________ organization, the decision-making authority is delegated as far down the chain of command as possible.

Hans is a manager of a bookstore. At the end of each year, he gives his employees performance reviews to let them know what they are doing well, what they need to improve on, and their annual raise amount. This is a form of ________ communication.

The more layers in an organization,

Alarm Solutions Inc., a large theft protection company, has different representatives to assist business clients and individual clients. This is an example of ________ departmentalization.

Access Motors released a new car model a year ago, and it has received customer complaints about the flimsy plastic used around the lights and in the interior consoles of the car. To address this problem, Access Motors forms a quality circle. What is a benefit of forming this type of group?

A narrow span of management would typically be found in?

Decentralization works best in companies

Lisa and Gin are friends who work at the same company but in different departments. They often go out for lunch and drinks after work, and sometimes, they send each other personal e-mails and instant messages at work. Such friendships comprise the ________ of a firm.

An advantage of decentralization is that it

An organizational structure is

A wide span of management works best when the level of interaction between superiors and subordinates is low.

Which statement is true about e-mail communication?

Downward communication typically conveys

What is an advantage of job specialization?

The Dynamics of Business and Economics

Business Ethics and Social Responsibility

Business in a Borderless World

Options for Organizing Business

Small Business, Entrepreneurship, and Franchising

The Nature of Management

Managing Operations and Supply Chains

Motivating the Workforce

Managing Human Resources

Customer-Driven Marketing

Dimensions of Marketing Strategy

Digital Marketing and Social Networking

Accounting and Financial Statements

Money and the Financial System

Financial Management and Securities Markets

Personal Financial Planning and Legal and Regulatory Environment

Appendix A: Guidelines for the Development of the Business Plan

Appendix B: Personal Career Plan

Appendix C: Risk: The Basics of Risk Management

Filters