Question 1

Decentralizing decision rights marries authority with local knowledge.This would seem to be a good thing,but a problem that may arise is that:

Accepted Answer

A) local management may conserve central management's time and effort. 
B) local knowledge may allow local managers to tailor prices and services to suit local needs. 
C) lack of local incentives may mean that local managers do not work to maximize firm value. 
D) local managers may have too strong a corporate identification. 
A) local management may conserve central management's time and effort. 
B) local knowledge may allow local managers to tailor prices and services to suit local needs. 
C) lack of local incentives may mean that local managers do not work to maximize firm value. 
D) local managers may have too strong a corporate identification.

Question 2

The use of hierarchies is common in modern corporations:

Accepted Answer

A) because of the principle of comparative advantage. 
B) because of the principle of separation of decision management and decision control. 
C) to avoid collective-action problems. 
D) to enhance employee buy-in. 
A) because of the principle of comparative advantage. 
B) because of the principle of separation of decision management and decision control. 
C) to avoid collective-action problems. 
D) to enhance employee buy-in.

Question 3

Decision control is made up of:

Accepted Answer

A) initiation and ratification of projects. 
B) implementation and monitoring of projects. 
C) ratification and monitoring of projects. 
D) initiation and implementation of projects. 
A) initiation and ratification of projects. 
B) implementation and monitoring of projects. 
C) ratification and monitoring of projects. 
D) initiation and implementation of projects.

Decentralizing decision rights marries authority with local knowledge.This would seem to be a good thing,but a problem that may arise is that:

The use of hierarchies is common in modern corporations:

Decision control is made up of:

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: Bundling Tasks Into Jobs and Subunits

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

Filters

Exam 12: Decision Rights: the Level of Empowerment

Decentralizing decision rights marries authority with local knowledge.This would seem to be a good thing,but a problem that may arise is that:

The use of hierarchies is common in modern corporations:

Decision control is made up of:

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: Bundling Tasks Into Jobs and Subunits

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

Filters