Question 1

Matrix organizations may:

Accepted Answer

A) decrease influence costs. 
B) reduce employee focus on the overall business. 
C) reduce functional supervision. 
D) increase influence costs. 
A) decrease influence costs. 
B) reduce employee focus on the overall business. 
C) reduce functional supervision. 
D) increase influence costs.

Question 2

What are the recent trends in organization design?

Accepted Answer

Traditionally,many firms were set up whe

Question 3

When a worker specializes in one task,he focuses on that one function in the production process,ignoring the whole system.This is likely to:

Accepted Answer

A) increase the cross-training costs. 
B) eliminate trade-offs since only one task is undertaken by each employee. 
C) lead to greater complementarity between one task and another. 
D) result in functional myopia that reduces overall productivity. 
A) increase the cross-training costs. 
B) eliminate trade-offs since only one task is undertaken by each employee. 
C) lead to greater complementarity between one task and another. 
D) result in functional myopia that reduces overall productivity.

Question 4

Which of the following is true of matrix organizations?

Accepted Answer

A) Employees are more likely to focus on the overall business process rather than on their functional specialty. 
B) Employees have strong incentives to cooperate with other teams within a company. 
C) Influence costs are low as there are separate product and functional managers. 
D) There are well-defined lines of authority,eliminating scope of interdependence and lack of incentives. 
A) Employees are more likely to focus on the overall business process rather than on their functional specialty. 
B) Employees have strong incentives to cooperate with other teams within a company. 
C) Influence costs are low as there are separate product and functional managers. 
D) There are well-defined lines of authority,eliminating scope of interdependence and lack of incentives.

Question 5

Enhanced Computers specializes in rebuilding computers.Recently reorganized into geographic divisions,the Southern division headed by Dan Unowsky is outperforming the other divisions in sales and profits.However,corporate executives have noticed that Unowsky no longer sends refurbished computers to other divisions,and he has instituted special warranties and pricing systems unavailable in the rest of the company.Should Unowsky be promoted or fired?

Accepted Answer

One advantage of decentralization is the

Question 6

Grouping people together within a subunit is likely to:

Accepted Answer

A) lower the communication and coordination costs within the subunit. 
B) increase the communication and coordination costs within the subunit. 
C) lead to empowerment. 
D) lead to boundary setting. 
A) lower the communication and coordination costs within the subunit. 
B) increase the communication and coordination costs within the subunit. 
C) lead to empowerment. 
D) lead to boundary setting.

Question 7

During the 1990s,many companies shifted from:

Accepted Answer

A) the M form to functional subunits. 
B) the M form to product-oriented organizations. 
C) product-oriented organizations to functional subunits. 
D) functional subunits toward more product-oriented organizations. 
A) the M form to functional subunits. 
B) the M form to product-oriented organizations. 
C) product-oriented organizations to functional subunits. 
D) functional subunits toward more product-oriented organizations.

Question 8

What do we mean by the U form?

Accepted Answer

The U form refers to the unitary form wh

Question 9

Which of the following is not a benefit of the unitary form (U form)of an organization?

Accepted Answer

A) Improved coordination among functional specialists 
B) Higher level of functional expertise 
C) Well-defined promotion path 
D) Opportunity costs of the time of senior management 
A) Improved coordination among functional specialists 
B) Higher level of functional expertise 
C) Well-defined promotion path 
D) Opportunity costs of the time of senior management

Question 10

What is a matrix organization?

Accepted Answer

A firm is set up as a matrix organizatio

Question 11

Functional U form subunits work best in:

Accepted Answer

A) large,geographically spread-out companies. 
B) companies that produce many products. 
C) small,specialized companies. 
D) industries with rapidly changing technology. 
A) large,geographically spread-out companies. 
B) companies that produce many products. 
C) small,specialized companies. 
D) industries with rapidly changing technology.

Question 12

The most famous story about organizing tasks into jobs comes from Adam Smith's tale of the pin factory.In that story,he argues that:

Accepted Answer

A) specialization of jobs into simple tasks increases productivity. 
B) cross-training is critical for productivity. 
C) coordination is the biggest problem for factory efficiency. 
D) one worker should be assigned all the tasks in pin construction. 
A) specialization of jobs into simple tasks increases productivity. 
B) cross-training is critical for productivity. 
C) coordination is the biggest problem for factory efficiency. 
D) one worker should be assigned all the tasks in pin construction.

Question 13

Some of the activities of Chase Manhattan are organized by product,some by geography,and some by customer.Therefore,Chase Manhattan is said to have a(n):

Accepted Answer

A) U form of business organization. 
B) M form of business organization. 
C) network organization. 
D) mixed design. 
A) U form of business organization. 
B) M form of business organization. 
C) network organization. 
D) mixed design.

Question 14

Which of the following is not a type of an organization?

Accepted Answer

A) The U form 
B) The M form 
C) Mixed design 
D) Trade-off free bundled mixed design 
A) The U form 
B) The M form 
C) Mixed design 
D) Trade-off free bundled mixed design

Question 15

What do we mean by the M form?

Accepted Answer

The M form refers to the multidivisional

Question 16

In the Bagby Copy Company case study,the executives are faced with wiring ten different copiers that they make in five separate European countries.They must choose between specializing by country or specializing by manufacturing of copier type.The executives hire a lobbyist to work for a standard regulatory and sales environment across the entire European Union.Why?

Accepted Answer

A standard environment would reduce the

Question 17

Historically,many businesses have preferred specialized task assignment for employees over broad task assignments.Why has this been the case?

Accepted Answer

Specialized task assignment has two majo

Question 18

What do you mean by a specialized task assignment and what are its advantages?

Accepted Answer

A specialized task assignment is one whe

Question 19

The Japanese keiretsu is an example of a(n)______.

Accepted Answer

A) U form of organization 
B) M form of organization 
C) mixed design 
D) network organization 
A) U form of organization 
B) M form of organization 
C) mixed design 
D) network organization

Question 20

Large multinational corporations are usually set up as:

Accepted Answer

A) U form of business organizations. 
B) M form of business organizations. 
C) network organizations. 
D) mixed designs. 
A) U form of business organizations. 
B) M form of business organizations. 
C) network organizations. 
D) mixed designs.

Exam 13: Decision Rights: Bundling Tasks Into Jobs and Subunits

Matrix organizations may:

What are the recent trends in organization design?

When a worker specializes in one task,he focuses on that one function in the production process,ignoring the whole system.This is likely to:

Which of the following is true of matrix organizations?

Grouping people together within a subunit is likely to:

During the 1990s,many companies shifted from:

What do we mean by the U form?

Which of the following is not a benefit of the unitary form (U form)of an organization?

What is a matrix organization?

Functional U form subunits work best in:

The most famous story about organizing tasks into jobs comes from Adam Smith's tale of the pin factory.In that story,he argues that:

Some of the activities of Chase Manhattan are organized by product,some by geography,and some by customer.Therefore,Chase Manhattan is said to have a(n):

Which of the following is not a type of an organization?

What do we mean by the M form?

Historically,many businesses have preferred specialized task assignment for employees over broad task assignments.Why has this been the case?

What do you mean by a specialized task assignment and what are its advantages?

The Japanese keiretsu is an example of a(n)______.

Large multinational corporations are usually set up as:

Introduction

Economists View of Behavior

Exchange and Markets

Demand

Production and Cost

Market Structure

Pricing With Market Power

Economics of Strategy: Creating and Capturing Value

Economics of Strategy: Game Theory

Incentive Conflicts and Contracts

Organizational Architecture

Decision Rights: the Level of Empowerment

Attracting and Retaining Qualified Employees

Incentive Compensation

Individual Performance Evaluation

Divisional Performance Evaluation

Corporate Governance

Vertical Integration and Outsourcing

Leadership: Motivating Change Within Organizations

Understanding the Business Environment: the Economics of Regulation

Ethics and Organizational Architecture

Organizational Architecture and the Process of Management Innovation

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