Deck 9: Designing Adaptive Organizations

Question 1

Departmentalization is a method of organizing work and workers into separate units responsible for particular business functions or areas of expertise.

Answer 1

False

Question 2

In a decentralized organization, workers closest to problems are authorized to make the decisions necessary to solve the problems on their own.

Answer 2

True

Question 3

Job enlargement and job enrichment mean essentially the same thing.

Answer 3

False

Question 4

The term task description refers to the number, kind, and variety of tasks that individual workers perform in doing their jobs.

Question 5

Specialized jobs are generally inefficient.

Question 6

Cross-department coordination tends to be very easy in organizations with functional departmentalization.

Question 7

The coordination of departmental activities tends to be more difficult with the geographic approach to departmentalization than with the other approaches.

Question 8

In matrix departmentalization, as in other forms of departmentalization, most employees report to a single boss.

Question 9

Product departmentalization organizes work and workers into separate units responsible for particular kinds of customers.

Question 10

Functional departmentalization organizes work and workers into separate units responsible for particular business functions or areas of expertise.

Question 11

The two disadvantages associated with product departmentalization are costly duplication and difficulties with cross-departmental coordination.

Question 12

The most common matrix combines customer and functional forms of departmentalization.

Question 13

In spite of their disadvantages, companies continue to create and use specialized jobs because they are very economical.

Question 14

An organic organization is characterized by broadly defined jobs and responsibility; loosely defined, frequently changing roles; and decentralized authority and horizontal communication based on task knowledge.

Question 15

One of the reasons that matrix organizations are difficult to manage is that the organizational structure violates the principle of delegation of authority.

Question 16

Specialized jobs are characterized by simple, easy-to-learn steps; low variety; and high repetition.

Question 17

Under product departmentalization, it is easier for top managers to assess work-unit performance.

Question 18

While organizational structure emphasizes the activities through which work is done in the organization, organizational process emphasizes jobs and their authority relationships.

Question 19

Organizational structure is the description of the vertical and horizontal configuration of departments, authority, and jobs within a company.

Question 20

Matrix departmentalization is a hybrid structure in which two or more forms of departmentalization, such as the product and functional forms are used together.

Question 21

_____ emphasize the activities through which work gets done in the organization.

A)​​Organizational cultures
B)​​​Organizational hierarchies
C)​​Organizational dynamics
D)Organizational structures
E)Organizational processes

Question 22

A virtual organization is an organization that outsources noncore business activities to outside companies, suppliers, specialists, or consultants.

Question 23

Disadvantages of _____ include difficulty in cross-departmental coordination, slow decision making, and managers and workers with narrow experience and expertise.

A)product departmentalization
B)customer departmentalization
C)geographic departmentalization
D)functional departmentalization
E)hierarchical departmentalization

Question 24

The primary disadvantage of customer departmentalization is:

A)its overemphasis on customer needs.
B)that it leads to duplication of resources.
C)that it organizes work based on business functions solely.
D)its overspecialization of managers and workers.
E)its inability to solve problems for specific customers.

Question 25

Identify a true statement about functional departmentalization.

A)Companies tend to use functional departmentalization when they are small or just starting out.
B)Functional departmentalization is the least commonly used organizational structure.
C)All functionally departmentalized companies have the same functions.
D)The functional departments in a company that use functional structure are independent of the industry the company is in.
E)Functional departmentalization enables easy cross­ department coordination.

Question 26

A virtual organization is part of a network in which many companies share skills, costs, capabilities, markets, and customers with each other.

Question 27

Bridget's Gift Store has four departments. These departments are grouped as flowers and gifts, cards and e-cards, Bridget's collectibles, and Photo albums and scrapbooks. Bridget's Gift Store most likely uses _____.

A)matrix departmentalization
B)product departmentalization
C)customer departmentalization
D)geographic departmentalization
E)functional departmentalization

Question 28

Empowerment can lead to changes in organizational processes because meaning, competence, impact, and self-determination produce empowered employees who take active rather than passive roles in their work.

Question 29

Functional departmentalization can be most accurately defined as:

A)organizing work and workers into separate units responsible for particular kinds of customers.
B)​organizing work and workers into separate units responsible for particular business operations or areas of expertise.
C)organizing work and workers into separate units responsible for doing business in particular geographic areas.
D)organizing work and workers into separate units responsible for producing particular products or services.
E)a hybrid structure in which two or more forms of departmentalization are used together.

Question 30

Large accounting agencies typically have separate departments that deal with households, businesses, and governments. This allows them to better serve the needs of their clients by using _____.

A)matrix departmentalization
B)product departmentalization
C)customer departmentalization
D)geographic departmentalization
E)functional departmentalization

Question 31

Which of the following is NOT a characteristic of functional departmentalization?

A)It allows work to be done by highly qualified specialists.
B)It lowers costs by reducing duplication.
C)It produces managers with broader experience and expertise.
D)It complicates coordination between departments.
E)It organizes workers into separate units responsible for performing particular business functions.

Question 32

Which of the following statements about functional departmentalization is true?

A)It allows work to be done by highly qualified specialists.
B)It increases costs by reducing duplication.
C)It complicates communication and coordination for departmental managers.
D)It requires all functionally departmentalized companies to have the same functions.
E)It eases out cross­department coordination.

Question 33

Amethyst Inc. is a manufacturer of acrylic and latex gloves. It sells the gloves to medical laboratories, chemical factories, micro-tech equipment manufacturing companies, and cleaning services. The work and workers at Amethyst Inc. are organized to better satisfy the needs of each of its four target markets. As such, Amethyst Inc. most likely uses _____.

A)matrix departmentalization
B)product departmentalization
C)customer departmentalization
D)geographic departmentalization
E)functional departmentalization

Question 34

Using reciprocal interdependence, work must be performed in succession because one group or job's outputs become the inputs for the next group or job.

Question 35

One of the advantages of a virtual organization is the fact that it allows member companies to share costs.

Question 36

_____ can be best defined as a method of subdividing work and workers into separate organizational units that are responsible for completing particular tasks.

A)Centralization
B)Standardization
C)Departmentalization
D)Authorization
E)Specialization

Question 37

Nikolai & Sons Corp. is subdivided into organizational units called Nikolai & Sons Health Care, which provides general medicines for hospitals; Nikolai & Sons Professional, which provides office supplies for businesses; and Nikolai & Sons Consumer, which sells consumer goods. From this scenario, it can be inferred that Nikolai & Sons Corp. uses _____.

A)​hierarchy​
B)departmentalization
C)​decentralization
D)​job rotation
E)​job enrichment

Question 38

The term _____ can be best defined as the collection of activities that transform inputs into outputs that customers value.

A)organizational hierarchy
B)product management
C)organizational structure
D)product position
E)organizational process

Question 39

Senora is the CEO of a new company called BSL Corp. She has instructed the managers to use the traditional approach to create the organization's structure. What should the managers at BSL Corp. do?

A)Create an organizational structure with vertical and horizontal configurations
B)Use an organizational process to create a matrix design
C)Create a virtual organization
D)Use the organizational structure to control creativity
E)Create a matrix structure that will adhere to the unity of command principle

Question 40

​ACST University is well known for the wide array of courses it offers. It offers courses in fine arts, humanities, science, and management. The university has dedicated divisions for each stream. In management terms, the university uses _____ to manage the different disciplines.

A)reengineering
B)functionalization
C)departmentalization
D)functional empowerment
E)job dissemination

Question 41

Which of the following scenarios is an example of matrix departmentalization?

A)Buzzband Inc., an internet service provider, has divided operations according to cities and has an office in every city to which it provides services.
B)Nyda Pharmaceuticals maintains different offices for managing orders for public hospitals, military hospitals, as well as local pharmacies.
C)Durawear Corp., a company that manufactures plastic preparation, storage, and serving containers, has different factories and warehouses for manufacturing and storing small, medium, and large containers.
D)Quad Fibre Works, a company that manufactures electrical wiring, has divided its departments as fabrication, assembly, and packaging.
E)​InsureClef Inc., an insurance company, has departments that focus on major commercials and small businesses and also has departments that focus on the different products that the company offers across its clientele.

Question 42

Matrix departmentalization is a hybrid structure in which two or more forms of departmentalization, such as the product and functional forms are used together.

Question 43

Cross-department coordination tends to be very easy in organizations with functional departmentalization.

Question 44

One of the reasons that matrix organizations are difficult to manage is that the organizational structure violates the principle of delegation of authority.

Question 45

The primary disadvantage of geographic departmentalization is _____.

A)the absence of cross­departmental coordination
B)the lack of empowerment
C)broken chains of command
D)​duplication of resources
E)spans of control that are too wide

Question 46

While organizational structure emphasizes the activities through which work is done in the organization, organizational process emphasizes jobs and their authority relationships.

Question 47

A(n) _____ is a form of matrix departmentalization in which managers in different parts of the matrix negotiate conflicts and resources directly.

A)simple matrix
B)networked matrix
C)empathetic matrix
D)matrix of convenience
E)synergistic matrix

Question 48

Under product departmentalization, it is easier for top managers to assess work-unit performance.

Question 49

With _____, most employees report to two bosses.

A)geographic departmentalization
B)matrix departmentalization
C)product departmentalization
D)customer departmentalization
E)functional departmentalization

Question 50

Which of the following statements about matrix departmentalization is true?

A)Employees in an organization that uses matrix departmentalization report to only one boss.
B)With matrix departmentalization, there tends to be less cross­functional interaction among employees than in other types of departmentalization.
C)With matrix departmentalization, there is hardly any need for coordination between functional and project managers.
D)The most common matrix combines product and functional departmentalization.
E)Matrix workers are typically members of several functional departments.

Question 51

The primary advantage of _____ is the fact that it allows companies to manage large, complex tasks efficiently by avoiding duplication.

A)product departmentalization
B)functional departmentalization
C)matrix departmentalization
D)geographic departmentalization
E)functional departmentalization

Question 52

In matrix departmentalization, as in other forms of departmentalization, most employees report to a single boss.

Question 53

Organizational structure is the description of the vertical and horizontal configuration of departments, authority, and jobs within a company.

Question 54

The coordination of departmental activities tends to be more difficult with the geographic approach to departmentalization than with the other approaches.

Question 55

Functional departmentalization organizes work and workers into separate units responsible for particular business functions or areas of expertise.

Question 56

A(n) _____ is a form of matrix departmentalization in which managers from different parts of the matrix report to matrix managers, who help them sort out conflicts and problems.

A)networked matrix
B)synergistic matrix
C)complex matrix
D)hierarchical matrix
E)organic matrix

Question 57

_____ is notorious for confusion and conflict between project managers in different areas of the organization.

A)Matrix departmentalization
B)Functional departmentalization
C)Customer departmentalization
D)Product departmentalization
E)Geographic departmentalization

Question 58

The two disadvantages associated with product departmentalization are costly duplication and difficulties with cross-departmental coordination.

Question 59

Because of problems associated with conflicts over schedules, budgets, and available resources, and the availability of employees, _____ often evolves from a simple form to a more complex form.

A)hierarchical departmentalization
B)functional departmentalization
C)customer departmentalization
D)product departmentalization
E)matrix departmentalization

Question 60

The most common matrix combines customer and functional forms of departmentalization.

Question 61

Which of the following statements about functional departmentalization is true?

A)It allows work to be done by highly qualified specialists.
B)It increases costs by reducing duplication.
C)It complicates communication and coordination for departmental managers.
D)It requires all functionally departmentalized companies to have the same functions.
E)It eases out cross­department coordination.

Question 62

​ACST University is well known for the wide array of courses it offers. It offers courses in fine arts, humanities, science, and management. The university has dedicated divisions for each stream. In management terms, the university uses _____ to manage the different disciplines.

A)functional empowerment
B)reengineering
C)functionalization
D)job dissemination
E)​departmentalization

Question 63

An organic organization is characterized by broadly defined jobs and responsibility; loosely defined, frequently changing roles; and decentralized authority and horizontal communication based on task knowledge.

Question 64

_____ emphasize the activities through which work gets done in the organization.

A)​​Organizational cultures
B)​Organizational processes
C)​​​Organizational hierarchies
D)​​Organizational dynamics
E)Organizational structures

Question 65

Specialized jobs are characterized by simple, easy-to-learn steps; low variety; and high repetition.

Question 66

In spite of their disadvantages, companies continue to create and use specialized jobs because they are very economical.

Question 67

In a decentralized organization, workers closest to problems are authorized to make the decisions necessary to solve the problems on their own.

Question 68

Empowerment can lead to changes in organizational processes because meaning, competence, impact, and self-determination produce empowered employees who take active rather than passive roles in their work.

Question 69

One of the advantages of a virtual organization is the fact that it allows member companies to share costs.

Question 70

The term _____ can be best defined as the collection of activities that transform inputs into outputs that customers value.

A)organizational hierarchy
B)product management
C)organizational structure
D)product position
E)organizational process

Question 71

Using reciprocal interdependence, work must be performed in succession because one group or job's outputs become the inputs for the next group or job.

Question 72

Job enlargement and job enrichment mean essentially the same thing.

Question 73

_____ can be best defined as a method of subdividing work and workers into separate organizational units that are responsible for completing particular tasks.

A)Authorization
B)Centralization
C)Specialization
D)Standardization
E)​Departmentalization

Question 74

The term task description refers to the number, kind, and variety of tasks that individual workers perform in doing their jobs.

Question 75

Specialized jobs are generally inefficient.

Question 76

A virtual organization is part of a network in which many companies share skills, costs, capabilities, markets, and customers with each other.

Question 77

Nikolai & Sons Corp. is subdivided into organizational units called Nikolai & Sons Health Care, which provides general medicines for hospitals; Nikolai & Sons Professional, which provides office supplies for businesses; and Nikolai & Sons Consumer, which sells consumer goods. From this scenario, it can be inferred that Nikolai & Sons Corp. uses _____.

A)​decentralization
B)​hierarchy​
C)​job rotation
D)​departmentalization
E)​job enrichment

Question 78

A virtual organization is an organization that outsources noncore business activities to outside companies, suppliers, specialists, or consultants.

Question 79

Senora is the CEO of a new company called BSL Corp. She has instructed the managers to use the traditional approach to create the organization's structure. What should the managers at BSL Corp. do?

A)Create an organizational structure with vertical and horizontal configurations
B)Use an organizational process to create a matrix design
C)Create a virtual organization
D)Use the organizational structure to control creativity
E)Create a matrix structure that will adhere to the unity of command principle

Question 80

Functional departmentalization can be most accurately defined as:

A)organizing work and workers into separate units responsible for particular business operations or areas of expertise.
B)organizing work and workers into separate units responsible for producing particular products or services.
C)organizing work and workers into separate units responsible for particular kinds of customers.
D)organizing work and workers into separate units responsible for doing business in particular geographic areas.
E)a hybrid structure in which two or more forms of departmentalization are used together.