Deck 4: Basic Challenges of Organizational Design

Question 1

Which of the following is the simplest integrating mechanism?

A)Direct contact
B)Task force
C)Liaison role
D)Hierarchy of authority

Answer 1

D

Question 2

Which of the following is an adaptive function?

A)Sales
B)Engineering
C)Public relations
D)Long- range planning

Answer 2

D

Question 3

is the power to hold people accountable for their actions and to make decisions concerning the use of resources.

A)Function
B)Control
C)Differentiation
D)Authority

Answer 3

D

Question 4

allows top managers to keep an organization focused on organizational goals.

A)Horizontal differentiation
B)Decentralization
C)Centralization
D)Mutual adjustment

Question 5

Which of the following is not a characteristic of an organic structure?

A)Roles are loosely defined.
B)Coordination is achieved through standardization.
C)Integrating mechanisms are complex.
D)Both the informal and formal authority relationships change in response to changing internal conditions.

Question 6

is the extent to which an organization depends on rules and procedures.

A)Socialization
B)Vertical differentiation
C)Formalization
D)Horizontal differentiation

Question 7

Which of the following is not a characteristic of a mechanistic structure?

A)Roles are clearly defined.
B)The information flow is mainly vertical.
C)Complex integrating mechanisms are used.
D)The informal organization is very status conscious.

Question 8

A mechanistic structure is characterized by:

A)a high level of standardization
B)loosely defined rules
C)complex integrating mechanisms
D)decentralization

Question 9

Centralization is most effective when an organization:

A)operates in a dynamic environment.
B)has complex environmental forces.
C)operates in a stable environment.
D)operates in a poor environment.

Question 10

is conformity to specific models-defined by sets of rules and norms-that are considered proper in a given situation.

A)Differentiation
B)Standardization
C)Management
D)Integration

Question 11

When an organization has a high level of formalization, it will generally:

A)promote innovation and flexibility.
B)decentralize decision- making authority.
C)centralize decision- making authority.
D)encourage mutual adjustment.

Question 12

An organic structure is characterized by:

A)loosely defined roles.
B)a high level of standardization.
C)simple integrating mechanisms.
D)centralization.

Question 13

IBM experienced coordination and communication problems when it tried to launch OS/2 due to ineffective .

A)standardization
B)formalization
C)integration
D)differentiation

Question 14

structures promote flexibility, so people initiate change and can adapt quickly to changing conditions.

A)Formalized
B)Mechanistic
C)Complex
D)Organic

Question 15

Which of the following structures is most appropriate for an organization that operates in a dynamic environment?

A)Differentiated
B)Systematic
C)Mechanistic
D)Organic

Question 16

A disadvantage of centralization is that:

A)it is hard to predict employees' behavior.
B)top managers may neglect operational decision- making about day- to- day activities such as hiring.
C)top managers may neglect strategic decision- making about future organizational activities such as deciding on which strategy to use to expand globally.
D)it makes coordination difficult.

Question 17

A committee is formed to find new ways to recycle cans in a container company. This integrating mechanism is called .

A)hierarchy of authority
B)direct contact
C)task force
D)integrating role

Question 18

If a company desires predictable behavior, it should _ authority and adopt a(n)structure.

A)centralize/mechanistic
B)centralize/organic
C)decentralize/mechanistic
D)decentralize/organic

Question 19

is the process of coordinating various tasks, functions, and divisions to work together and not be at cross- purposes.

A)Subunit orientation
B)Supervision
C)Integration
D)Organizational behavior

Question 20

Which of the following integrating mechanisms are listed from simplest to most complex?

A)Liaison roles, direct contact, teams, integrating roles
B)Direct contact, liaison roles, task forces, teams
C)Liaison roles, integrating roles, task forces, teams
D)Liaison roles, integrating roles, teams, task forces

Question 21

When individuals use their own judgment rather than relying on rules, it is called .

A)decentralization
B)empowerment
C)mutual adjustment
D)standardization

Question 22

One disadvantage of decentralization is that:

A)it may be hard to coordinate activities.
B)top managers may neglect strategic decision- making.
C)the decision- making process is inflexible.
D)it may be hard to motivate managers.

Question 23

Which of the following would be least appropriate for a company that desires flexibility?

A)An organic structure
B)Mutual adjustment
C)Decentralization
D)Standardization

Question 24

"Rate- Busters" are:

A)punished because they violate the norm by working too slow.
B)punished because they violate the norm by working too fast.
C)punished by managers because they break the rules.
D)praised because they slow down the pace of work.

Question 25

Subunit orientations are the result of differences in:

A)official goals.
B)perspectives of time frames and goals among departments.
C)the personalities of organizational managers.
D)external environments among departments.

Question 26

The two main subunits that develop in an organization are:

A)marketing and R&D.
B)organizational roles and functions.
C)horizontal differentiation and vertical differentiation.
D)functions and divisions.

Question 27

Top managers of a telecommunication company must make complex decisions, such as whether to enter unstable, developing countries. These managers are most likely to rely on to coordinate and control their decisions about global expansion.

A)the hierarchy
B)formalization
C)standardization
D)mutual adjustment

Question 28

A subunit of people who possess similar skills or use the same kind of techniques to perform their jobs are termed .

A)division
B)department
C)function
D)task

Question 29

Norms are:

A)easier to change than rules.
B)formal written statements that control behavior.
C)used only at lower levels in the organization.
D)often established by the informal organization.

Question 30

A large computer manufacturer makes complex products such as notebook computers and multimedia software. This company uses direct contact and the hierarchy of authority to coordinate and control activities. What design challenge does this organization face?

A)Balancing differentiation and integration
B)Balancing centralization and decentralization
C)Balancing standardization and mutual adjustment
D)Coordinating the informal and formal organizations

Question 31

What are the primary integrating mechanisms used at Amgen?

A)Integrating roles and task forces
B)Task forces and teams
C)Hierarchy of authority and direct contact
D)Teams and liaison roles

Question 32

The study by Lawrence and Lorsch:

A)supports contingency theory.
B)analyzes mechanistic and organic structures.
C)supports transaction cost theory.
D)supports resource dependency theory.

Question 33

Task forces and teams can increase _ .

A)mutual adjustment
B)vertical differentiation
C)horizontal differentiation
D)standardization

Question 34

Decentralization is most effective when an organization:

A)operates in a stable environment.
B)operates in a complex environment.
C)operates in a simple environment.
D)operates in a rich environment.

Question 35

Personnel is a function.

A)maintenance
B)support
C)managerial
D)production

Question 36

The relationship between teams and task forces as integrating mechanisms is that:

A)task forces are used for routine problems and teams are created to solve specific problems.
B)teams are permanent task forces.
C)task forces involve many departments and teams involve only a few departments.
D)task forces are formally assigned and teams evolve.

Question 37

According to Burns and Stalker, an organization should its structure to match its environment for effectiveness.

A)adapt
B)centralize
C)simplify
D)decentralize

Question 38

One important difference between an integrating role and a liaison role is:

A)the liaison role is a formal position inside one of the departments and the integrating role is informal.
B)the integrating role is a formal position inside one of the departments and the liaison role is informal.
C)the liaison role is a more complex integrating mechanism.
D)the integrating role is located outside the departments that are being coordinated.

Question 39

An advantage of centralization is that it:

A)increases the motivation of middle managers.
B)encourages flexibility.
C)gives top managers time to focus on strategic decision- making.
D)allows top managers to keep the organization focused on organizational goals.

Question 40

Production is concerned about reducing costs in the short- term whereas R & D is concerned about innovation, which is long- term. This is an example of .

A)educational differences
B)standardization
C)integration
D)subunit orientation

Question 41

One manager has responsibility for coordinating the Diaper and Baby Soap divisions to enhance marketing activities. Which of the following integrating mechanisms is being used in this example?

A)Direct contact
B)Integrating role
C)Liaison role
D)Hierarchy of authority

Question 42

A _ is a subunit composed of a group of people, working together, who possess similar skills or use the same kind of knowledge, tools, or techniques to perform their jobs.

A)norm
B)function
C)role
D)hierarchy

Question 43

is the process by which organizational members learn the norms of the organization.

A)Socialization
B)Standardization
C)Integration
D)Mutual adjustment

Question 44

At the B.A.R and Grille Restaurant, Bob and Amanda took turns cooking and waiting on tables. This type of organization is _.

A)specialized
B)coordinated
C)simple
D)complex

Question 45

A regular customer went to a retail store that required two forms of identification to process a check. Because the customer had only one form of identification, the clerk refused to accept the check, and this action resulted in lost business. What is the design challenge this organization faces?

A)Balancing differentiation and integration
B)Balancing standardization and mutual adjustment
C)Coordinating the informal and formal organizations
D)Balancing centralization and decentralization

Question 46

states that in order to manage effectively, an organization should design its structure to fit with the environment.

A)Contingency theory
B)Environmental richness
C)Organizational behavior
D)Organizational theory

Question 47

Mutual adjustment is the:

A)process of strictly following written rules.
B)process of using judgment to address a problem.
C)process of using the hierarchy of authority to integrate subunits.
D)result of centralization.

Question 48

A is a classification of people according to authority and rank.

A)norm
B)hierarchy
C)team
D)role

Question 49

is the process by which an organization allocates people and resources to organizational tasks and establishes the task and authority relationships to reach goals.

A)Differentiation
B)Management
C)Strategy
D)Structure

Question 50

A salesperson reports to the sales manager of a computer company. This integrating mechanism is .

A)hierarchy of authority
B)liaison role
C)team
D)task force

Question 51

means that the authority to make important decisions about organizational resources and new projects is delegated to managers at all levels in the hierarchy.

A)Direct contact
B)Decentralization
C)Centralization
D)Standardization

Question 52

Grouping tasks into roles is part of .

A)integration
B)horizontal differentiation
C)vertical differentiation
D)formalization

Question 53

An advantage of decentralization is that it:

A)allows top managers to keep the organization focused on organizational goals.
B)may increase the motivation of managers.
C)simplifies the coordination process.
D)ensures predictable behavior.

Question 54

According to Burns and Stalker, an organization in a stable environment should:

A)use mutual adjustment.
B)adopt a mechanistic structure.
C)use complex integrating mechanisms.
D)adopt an organic structure.

Question 55

causes functions or divisions to develop subunit orientations.

A)Authority
B)Horizontal differentiation
C)Integration
D)Vertical differentiation

Question 56

Determining the number of levels to have in the hierarchy is part of .

A)mutual adjustment
B)horizontal differentiation
C)vertical differentiation
D)standardization

Question 57

"Chiselers" are:

A)punished by managers because they break the rules.
B)praised because they slow down the pace of work.
C)punished because they violate the norm by working too fast.
D)punished because they violate the norm by working too slow.

Question 58

The primary integrating mechanism used in a mechanistic structure is/are .

A)liaison roles
B)the hierarchy of authority
C)task forces
D)direct contact

Question 59

Which of the following functions manages the conversion process?

A)Support
B)Managerial
C)Production
D)Maintenance

Question 60

An important implication of high differentiation in an organization is that:

A)coordination between departments will be difficult.
B)controlling the environment will be difficult.
C)the hierarchy of authority will be the most important integrating mechanism.
D)the organization will be more organic.

Question 61

Which is not a part of horizontal differentiation?

A)Division of labor
B)Increased productivity
C)Centralization
D)Specialization

Question 62

An organizational chart is a drawing that primarily depicts .

A)differentiation
B)socialization
C)integration
D)standardization

Question 63

Amazon.com ensured customer service through all the design choices except .

A)empowerment
B)mutual adjustment
C)centralized control
D)decentralized control

Question 64

Which of the following integrating mechanisms is/are independent of the subunits or divisions being integrated?

A)Teams
B)Liaison roles
C)Integrating roles
D)Task forces

Question 65

means that the authority to make important decisions is retained by managers at the top of the hierarchy.

A)Integration
B)Coordination
C)Centralization
D)Decentralization

Question 66

As the B.A.R. and Grille Restaurant grew, Bob and Amanda did not:

A)perform all the tasks themselves.
B)allocate people to tasks.
C)allocate resources to tasks.
D)increase the division of labor.

Question 67

Which of the following structures is most appropriate for an organization that operates in a stable environment?

A)Systematic
B)Mechanistic
C)Differentiated
D)Organic

Question 68

A restaurant has so much conflict between the cooks and the wait staff that they hire a supervisor to handle communication between the two functions. They have created a(n).

A)level in the hierarchy
B)task force
C)direct contact
D)integrating role

Question 69

Which of the following integrating mechanisms is most appropriate for an organization that has low differentiation?

A)Task forces
B)Direct contact
C)Teams
D)Integrating roles

Question 70

Company XYZ is missing many new opportunities because employees do not take responsibilities or risks. What is the primary design challenge facing this organization?

A)Coordinating the formal and informal organization
B)Balancing differentiation and integration
C)Balancing centralization and decentralization
D)Establishing levels of horizontal and vertical differentiation

Question 71

structures are designed to induce people to behave in predictable, accountable ways.

A)Organic
B)Simple
C)Decentralized
D)Mechanistic

Question 72

In a complex organization, differentiation is _ and division of labor is _.

A)low/low
B)low/high
C)high/high
D)high/low

Question 73

According to Lawrence and Lorsch, a poor fit between an organization and its environment leads to .

A)failure
B)profit minimization
C)success
D)effectiveness

Question 74

In a simple organization, differentiation is _ and the division of labor is .

A)low/high
B)high/high
C)high/low
D)low/low

Question 75

A waiter sets up a meeting with the cook to discuss why the food keeps taking so long to cook. This integrating mechanism is called _ .

A)direct contact
B)integrating role
C)hierarchy of authority
D)task force

Question 76

Which of the following functions helps an organization control its relations with its environment and its stakeholders?

A)Adaptive
B)Support
C)Managerial
D)Production

Question 77

Which of the following findings were discovered by Lawrence and Lorsch?

A)Effective companies in stable environments were less formalized.
B)All effective companies used complex integrating mechanisms.
C)Organizations that operate in uncertain environments were more effective if they relied on standardization instead of mutual adjustment.
D)Attitudinal differences between departments were greater in companies that operated in uncertain environments than in companies that operated in stable environments.

Question 78

The opposite of standardization is .

A)de- standardization
B)customization
C)decentralization
D)mutual adjustment

Question 79

Status in an organic organization is determined by:

A)the hierarchy of authority.
B)the team to which a person is assigned.
C)organizational structure.
D)the ability to provide creative leadership.

Question 80

are task- related behaviors required of a position in an organization.

A)Organizational roles
B)Controls
C)Norms
D)Rules