Exam 12: Decision Rights: The Level of Empowerment
Exam 1: Introduction29 Questions
Exam 2: Economists View of Behavior43 Questions
Exam 3: Markets, Organizations, and the Role of Knowledge43 Questions
Exam 4: Demand31 Questions
Exam 5: Production and Cost36 Questions
Exam 6: Market Structure47 Questions
Exam 7: Pricing With Market Power40 Questions
Exam 8: Economics of Strategy: Creating and Capturing Value41 Questions
Exam 9: Economics of Strategy: Game Theory32 Questions
Exam 10: Incentive Conflicts and Contracts39 Questions
Exam 11: Organizational Architecture39 Questions
Exam 12: Decision Rights: The Level of Empowerment37 Questions
Exam 13: Decision Rights: Bundling Tasks Into Jobs and Subunits36 Questions
Exam 14: Attracting and Retaining Qualified Employees44 Questions
Exam 15: Incentive Compensation38 Questions
Exam 16: Individual Performance Evaluation39 Questions
Exam 17: Divisional Performance Evaluation36 Questions
Exam 18: Corporate Governance39 Questions
Exam 19: Vertical Integration and Outsourcing43 Questions
Exam 20: Leadership: Motivating Change Within Organizations41 Questions
Exam 21: Understanding the Business Environment: The Economics of Regulation40 Questions
Exam 22: Ethics and Organizational Architecture38 Questions
Exam 23: Organizational Architecture and the Process of Management Innovation32 Questions
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If D represents the level of decentralization of corporate decision-making, then Benefits = B*D and Costs = A*D + C*D2. The optimal level of decentralization occurs where the:
(Multiple Choice)
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If D represents the level of decentralization of corporate decision-making, then Benefits = B*D and Costs = A*D + C*D2. The optimal level of decentralization occurs where:
(Multiple Choice)
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What are influence costs, and why do they inhibit efficient organizational design?
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Plain Truth Adverting employs KPR, a large accounting firm, to audit its books each year. This involves considerable expense for the advertising firm, since its sales account managers are very independent and maintain separate record keeping systems. Should the CEO at Plain Truth cancel the audit and rely on a brief year-end summary from each sales account manager? Why?
(Essay)
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Each year, most US companies bring a CPA firm to audit their books. This is an example of:
(Multiple Choice)
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Macrosoft is implementing a new research and design shop to integrate PC manufacturers' requirements for new computer software with Macrosoft's operating system. The process of integration usually requires five different kinds of software modification tasks, plus decisions about integrating these modifications. Discuss the problems of designing the new jobs in this research and design shop.
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If decision makers do not bear the major wealth effects of decisions, then:
(Multiple Choice)
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Kevin Freeman is the head of a team developing plastic knee replacements. Each member of the team brings specialized knowledge to the innovation process. Without both engineers and materials specialists, the project could not be successful. This an example of the:
(Multiple Choice)
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If an employee makes a point of stopping each morning in his manager's office to detail the positive outcomes yesterday's work, this is an example of:
(Multiple Choice)
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You are assigned a group project for the class, and you will be graded as a group, and your individual grade will be decided on the group's performance relative to other groups. Will you like this arrangement?
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Decentralizing decision rights marries authority with local knowledge. This would seem to be a good thing, but a problem that may arise is that:
(Multiple Choice)
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Which of the following is not a cost of decentralization of corporate decision-making?
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