Exam 8: Structuring Organizations for Todays Challenges

Organizational culture refers to the widely shared values within a corporation that foster unity and cooperation.

A manager needs to be called to sign off on every return that a cashier performs at Sun and Fun Sportswear. The CEO continues this policy because he wants every manager to "look those customers right in the eye" and "stake their job on taking those items back." Clearly, Sun and Fun empowers its employees to make decisions at their jobs.

Departments are functional units within the business such as sales, accounting, finance, and marketing.

Cameron, a financial manager at Southeastern Bank, always attempts to treat each subordinate with respect and fairness. Cameron's treatment of employees is an example of Fayol's principle of

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

Cross-functional teams avoid involving groups outside of the firm to ensure their plans are not leaked to their competitors.

Companies have learned that working transparently through real-time networks has provided competitive advantages in the marketplace.

An organization with only a few layers of management is known as a(n)

A virtual corporation refers to a permanent network of firms linked by high-tech communication systems.

Angelica's decision to completely redesign Mucho Dinero's organization indicates that she believes the best approach to her firm's problems is

As a result of rapidly changing markets and global differences in consumer tastes, more firms are considering centralized authority.

The Cairo Company is organized into departments such as finance, production, marketing, data processing, and accounting. Cairo has chosen to departmentalize by function.

Empowering employees to better serve customers requires ________ front-line employees.

Jacob was temporarily assigned to work with a team of specialists from various departments to develop a new product, though his usual home is in the engineering department. After the project is completed, Joel will return to his regular position in the engineering department. This arrangement illustrates the use of a cross-functional team.

Managing a growing business often requires managers to create departments to accomplish various tasks.

An organization chart shows who is accountable for the completion of specific work and who reports to whom.

After a report identified low employee morale, managers for Night and Day Inn, Inc. were concerned. Employee responses showed frustration with their inability to deal directly with customers' concerns and complaints. Employees feel that if they were empowered with the authority to make decisions, customer satisfaction would dramatically increase. This illustrates one of the disadvantages of decentralized authority.

Departmentalization by function typically increases the cost of doing business.

Which of the following positions would be classified as a staff position?

According to Weber, a bureaucrat is a middle manager whose job is to implement top management's orders.