Question 1

Matthew is a new divisional manager. In reorganizing his division, he must make some decisions regarding the span of control for management within his division.
-The question of span of control determines ________.

Accepted Answer

A)  who reports to whom 
B)  the number of levels and managers an organization has 
C)  where decisions are made 
D)  how jobs will be grouped 
E)  how employees will be compensated

Question 2

What is the chain of command within an organization?

Accepted Answer

The answer of What is the chain of command within...

Question 3

A plant manager who organizes the plant by separating engineering, accounting, manufacturing, personnel, and purchasing into departments is practicing ________ departmentalization.

Accepted Answer

A)  target customer 
B)  product 
C)  functional 
D)  geographic 
E)  graphic

Question 4

AgriProducers has customers all over the United States that need their soil tested in their labs as well as their products for their crops. The crops and soil are different in the various large areas of the nation, such as the West Coast, and the Mid-West. Which type of departmentalization would be best for AgriProducers?

Accepted Answer

A)  functional 
B)  process 
C)  product 
D)  geographic 
E)  temporal

Question 5

Which one of the following problems is most likely to occur in a matrix structure?

Accepted Answer

A)  decreased response to environmental change 
B)  decreased employee motivation 
C)  loss of economies of scale 
D)  increases in groupthink 
E)  employees receiving conflicting directives

Question 6

A decentralized organization is more likely to result in a feeling of alienation by employees than a centralized organization.

Accepted Answer

A) True 
 B)False

Question 7

Aeronautics Inc., a parts supplier, has departments for government aircraft and contracts, large commercial aircraft clients, and small personal aircraft clients. This is an example of ________ departmentalization.

Accepted Answer

A)  product 
B)  function 
C)  geography 
D)  customer 
E)  service

Question 8

Evidence indicates that ________ is positively related to job satisfaction.

Accepted Answer

A)  span of control 
B)  high specialization 
C)  decentralization 
D)  complexity 
E)  centralization

Question 9

One disadvantage of the simple structure is its high risk.

Accepted Answer

A) True 
 B)False

Question 10

Explain the organizational component of work specialization. Discuss its advantages and drawbacks.

Accepted Answer

The answer of Explain the organizational component of work specialization....

Question 11

The major advantage of the virtual organization is its ________.

Accepted Answer

A)  control 
B)  predictability 
C)  flexibility 
D)  empowerment 
E)  complexity

Question 12

________ is a systematic effort to make an organization leaner by selling off business units, closing locations, or reducing staff.

Accepted Answer

A)  Removing boundaries 
B)  Departmentalizing 
C)  Decentralizing 
D)  Downsizing 
E)  Formalizing

Question 13

You assign your students a project that involves developing a business plan for a retail store. The store will have 200 employees and will serve customers both locally and internationally via a storefront and an Internet catalog. Which of the following organizational designs is least likely to benefit the goals of this retail store?

Accepted Answer

A)  matrix 
B)  virtual 
C)  bureaucracy 
D)  team 
E)  simple

Question 14

________ is characterized by a low degree of departmentalization, wide spans of control, authority centralized in a single person, and little formalization.

Accepted Answer

A)  Bureaucracy 
B)  Matrix organization 
C)  Simple structure 
D)  Team structure 
E)  Centralized structure

Question 15

Which of the following is not a benefit achieved from work specialization?

Accepted Answer

A)  decreased time in changing tasks 
B)  decreased training costs 
C)  increased investment in machinery 
D)  increased efficiency and productivity 
E)  decreased time in putting away tools

Question 16

Which of the following is not a negative impact of reducing the size of the workforce?

Accepted Answer

A)  reduced employee commitment 
B)  increased absenteeism 
C)  lower creativity 
D)  reduced wage costs 
E)  voluntary turnover

Question 17

The trend in recent years has been toward ________.

Accepted Answer

A)  narrower spans of control 
B)  wider spans of control 
C)  a span of control of four 
D)  an ideal span of control of six to eight 
E)  eliminating spans of control in favor of team structures

Question 18

An organization pursues a price-minimization strategy by controlling costs, avoiding unnecessary innovation or marketing expenses, and cutting prices in selling basic products.

Accepted Answer

A) True 
 B)False

Question 19

Businesses structured according to the mechanistic model usually have high employee participation in decision making.

Accepted Answer

A) True 
 B)False

Question 20

The ________ principle helps preserve the concept of an unbroken line of authority.

Accepted Answer

A)  span of control 
B)  chain of command 
C)  cross-functionality 
D)  centralization 
E)  unity-of-command

Exam 15: Foundations of Organization Structure

Matthew is a new divisional manager. In reorganizing his division, he must make some decisions regarding the span of control for management within his division. -The question of span of control determines ________.

What is the chain of command within an organization?

A plant manager who organizes the plant by separating engineering, accounting, manufacturing, personnel, and purchasing into departments is practicing ________ departmentalization.

Which one of the following problems is most likely to occur in a matrix structure?

A decentralized organization is more likely to result in a feeling of alienation by employees than a centralized organization.

Aeronautics Inc., a parts supplier, has departments for government aircraft and contracts, large commercial aircraft clients, and small personal aircraft clients. This is an example of ________ departmentalization.

Evidence indicates that ________ is positively related to job satisfaction.

One disadvantage of the simple structure is its high risk.

Explain the organizational component of work specialization. Discuss its advantages and drawbacks.

The major advantage of the virtual organization is its ________.

________ is a systematic effort to make an organization leaner by selling off business units, closing locations, or reducing staff.

________ is characterized by a low degree of departmentalization, wide spans of control, authority centralized in a single person, and little formalization.

Which of the following is not a benefit achieved from work specialization?

Which of the following is not a negative impact of reducing the size of the workforce?

The trend in recent years has been toward ________.

An organization pursues a price-minimization strategy by controlling costs, avoiding unnecessary innovation or marketing expenses, and cutting prices in selling basic products.

Businesses structured according to the mechanistic model usually have high employee participation in decision making.

The ________ principle helps preserve the concept of an unbroken line of authority.