Question 1

Which of the following factors help determine a manager's span of control?

Accepted Answer

A)  The number of global competitors 
B)  The level of standardization of the work to be done 
C)  Method of accounting for production 
D)  Form of business ownership 
A)  The number of global competitors 
B)  The level of standardization of the work to be done 
C)  Method of accounting for production 
D)  Form of business ownership

Question 2

The traditional technique used to departmentalize an organization is by:

Accepted Answer

A)  function. 
B)  customer group. 
C)  geographic area. 
D)  production process. 
A)  function. 
B)  customer group. 
C)  geographic area. 
D)  production process.

Question 3

The informal organization is best suited for decision making on big issues.

Accepted Answer

A) True 
 B)False

Question 4

An advantage of a line-and-staff organization is that it provides people that advise and assist line managers as they perform their jobs.

Accepted Answer

A) True 
 B)False

Question 5

In Weber's view of a bureaucratic organization, the organization demands:

Accepted Answer

A)  a spirit of pride and loyalty among the workers. 
B)  cross-functional teams. 
C)  clearly established rules and guidelines that to be precisely followed. 
D)  self-managed teams. 
A)  a spirit of pride and loyalty among the workers. 
B)  cross-functional teams. 
C)  clearly established rules and guidelines that to be precisely followed. 
D)  self-managed teams.

Question 6

_________ is the term used to describe those functions that a firm can do as well or better than others. It performs these functions in-house, rather than outsourcing

Accepted Answer

A)  Benchmarks 
B)  Standard responsibilities 
C)  Operational requirements 
D)  Core competencies 
A)  Benchmarks 
B)  Standard responsibilities 
C)  Operational requirements 
D)  Core competencies

Question 7

Employees who perform functions that advise and assist line personnel are known as:

Accepted Answer

A)  middle managers. 
B)  empowered workers. 
C)  secondary employees. 
D)  staff personnel. 
A)  middle managers. 
B)  empowered workers. 
C)  secondary employees. 
D)  staff personnel.

Question 8

Dividing the required work among a group of employees is called:

Accepted Answer

A)  departmentalization. 
B)  delegation of responsibility. 
C)  division of labor. 
D)  separation of control. 
A)  departmentalization. 
B)  delegation of responsibility. 
C)  division of labor. 
D)  separation of control.

Question 9

Julio is the owner of Celebration, Inc., a small party supply company. The company provides tents, tables, chairs, and related paraphernalia for wedding, Bar Mitzvah, Bat Mitzvah, graduation, birthday, and other celebratory events. As sales have increased, the organization has hired more personnel and departmentalized to more efficiently handle purchasing, sales, service, and accounting. Everyone is still responsible for achieving company goals. Upon seeing Celebration's organization chart, you agree it uses a _______________.

Accepted Answer

A)  line organization model 
B)  line-and-staff organization model 
C)  matrix organization model 
D)  cross-functional team organization model 
A)  line organization model 
B)  line-and-staff organization model 
C)  matrix organization model 
D)  cross-functional team organization model

Question 10

Cross-functional self-managed teams work best when ________________

Accepted Answer

A)  leadership is shared. 
B)  there are at least two line and staff managers on the team. 
C)  the teams consist of members of only two functional units. 
D)  The academic levels of all members are comparable. 
A)  leadership is shared. 
B)  there are at least two line and staff managers on the team. 
C)  the teams consist of members of only two functional units. 
D)  The academic levels of all members are comparable.

Question 11

Alicia dreams of opening her own restaurant and knows that she will need to organize her business. Organizing begins with determining the work to be done.

Accepted Answer

A) True 
 B)False

Question 12

Businesses seldom create separate departments to serve customers with different needs.

Accepted Answer

A) True 
 B)False

Question 13

Heather works as a sales representative for the Westerly Company. She really enjoys working for Westerly, because the company treats her and other sales representatives as highly valued employees. Sales reps at Westerly are given freedom and flexibility in their relationships with customers. While there are only a few layers of management at Westerly, Heather has found that these managers try their best to support and assist her efforts. Based on Heather's experience, it appears that Westerly is a(n):

Accepted Answer

A)  bureaucratic organization. 
B)  inverted organization. 
C)  tall organization. 
D)  casual organization. 
A)  bureaucratic organization. 
B)  inverted organization. 
C)  tall organization. 
D)  casual organization.

Question 14

Weber was critical of bureaucrats because he felt they undermined the efficiency of the organization.

Accepted Answer

A) True 
 B)False

Question 15

Due to the competitive nature of companies that compete for the same customers, cross-functional teams never consist of individuals from more than one firm.

Accepted Answer

A) True 
 B)False

Question 16

A recent business trend is the elimination of layers of management, creating flatter organizations and subsequently, a wider span of control.

Accepted Answer

A) True 
 B)False

Question 17

The decision on how to departmentalize should depend on the customer and the product or service the firm is offering.

Accepted Answer

A) True 
 B)False

Question 18

One disadvantage of the matrix style of organization is that it is more difficult to keep development projects on schedule. The model slows down the time from design to production, and then to market.

Accepted Answer

A) True 
 B)False

Question 19

Departmentalization creates an environment in which people are trained in a variety of managerial responsibilities.

Accepted Answer

A) True 
 B)False

Question 20

When employees are self-managed, a company can implement a wider span of control.

Accepted Answer

A) True 
 B)False

Exam 8: Structuring Organizations for Todays Challenges

Which of the following factors help determine a manager's span of control?

The traditional technique used to departmentalize an organization is by:

The informal organization is best suited for decision making on big issues.

An advantage of a line-and-staff organization is that it provides people that advise and assist line managers as they perform their jobs.

In Weber's view of a bureaucratic organization, the organization demands:

_________ is the term used to describe those functions that a firm can do as well or better than others. It performs these functions in-house, rather than outsourcing

Employees who perform functions that advise and assist line personnel are known as:

Dividing the required work among a group of employees is called:

Cross-functional self-managed teams work best when ________________

Alicia dreams of opening her own restaurant and knows that she will need to organize her business. Organizing begins with determining the work to be done.

Businesses seldom create separate departments to serve customers with different needs.

Weber was critical of bureaucrats because he felt they undermined the efficiency of the organization.

Due to the competitive nature of companies that compete for the same customers, cross-functional teams never consist of individuals from more than one firm.

A recent business trend is the elimination of layers of management, creating flatter organizations and subsequently, a wider span of control.

The decision on how to departmentalize should depend on the customer and the product or service the firm is offering.

One disadvantage of the matrix style of organization is that it is more difficult to keep development projects on schedule. The model slows down the time from design to production, and then to market.

Departmentalization creates an environment in which people are trained in a variety of managerial responsibilities.

When employees are self-managed, a company can implement a wider span of control.

Taking Risks and Making Profits Within the Dynamic Business Environment

Understanding Economics and How It Affects Business

Doing Business in Global Markets

Demanding Ethical and Socially Responsible Behavior

How to Form a Business

Entrepreneurship and Starting a Small Business

Management and Leadership

Production and Operations Management

Motivating Employees

Human Resource Management: Finding and Keeping the Best Employees

Dealing With Union and Employeemanagement Issues

Marketing: Helping Buyers Buy

Developing and Pricing Goods and Services

Distributing Products

Using Effective Promotions

Understanding Accounting and Financial Information

Financial Management

Using Securities Markets for Financing and Investing Opportunities

Money, Financial Institutions, and the Federal Reserve

Managing the Marketing Mix: Product, Price, Place and Promotion

Extension: Working Within the Legal Environment

Extension: Using Technology to Manage Information

Extension: Managing Risk

Extension: Managing Personal Finances

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