BMGT 2200 - CHP #15

A matrix structure combines:

vertical and horizontal

Which of the following describe networked virtual structures?

They join forces because each possesses core competencies needed for a project. They establish a collaborative network of independent firms or individuals to create a virtual entity. They are used in the movie/entertainment industry.

A formal hierarchy of _____ delineates the official chain of command, communication network, and speaks volumes about compensation.

authority

A firm where management has largely succeeded in breaking down barriers between job functions and departments is called a _____ organization.

bondaryless

When key decisions are made by top management, what type of decision-making process is occurring?

centralized

A(n) _____ system organization is said to be a self-sufficient entity.

closed

Historically, management theorists downplayed the environment in exchange for the _____ system approach characterized by highly disciplined military units.

closed

Coordination of effort, aligned goals, division of labor and hierarchy of authority embody _____ _____ of a firm and are considered the four common denominators of any organization.

conscious coordination

Organizations that are structured to fit the demands of the situation are said to follow the ______ approach to organization design.

contingency

What types of marketplace changes might cause an organization to change its structure?

customer preferences new competitors alternate products

Organizations that allow important decisions to be made by middle- and lower-level managers are enacting

decentralized decision making

At each successively lower level of the organization jobs become more specialized, which is the basic premise of ______.

division of labor

When employees are segregated into organization groups based on similar products or services, customers or clients or geographic regions the firm is said to have a(n) __________ structure.

divisional

In terms of division of labor, organizations become more specialized at

each successively lower level in the organization.

What characteristics need to be aligned for an organization to maximize performance?

employees' human and social capital human resource practices and policies strategy and structure

A balanced scorecard examines an organization from which perspectives?

financial learning and growth customer

What type of design approach organizes people around specific segments of the work flow?

horizontal

_____ innovations are more incremental and are less likely to generate significant amounts of new revenue.

improvement

A focus on existing customers and optimizing existing product/services for them specifically is called

improvement innovation

What is a key driver of long-term organizational performance?

innovation

A(n) ________ organization is one that proactively creates, acquires and transfers knowledge and that changes its behavior on the basis of new knowledge and insights.

learning

Select the factors that determine span of control.

managers' skill level organizational size managerial responsibilities organizational culture

Application of the open _____ structure is difficult because it takes much more collaboration and integration to implement it effectively.

matrix

Organizations with rigid bureaucracies, strict rules, narrowly defined tasks and top-down communication are called organizations.

mechanistic

In a _____ structure the company assembles product parts, components or modules provided by external contractors.

modular

Larger organizations tend to have ______ spans of control and more organizational layers.

narrow

A hollow structure, also known as a _____ structure, is designed around a central core of key functions and outsources other functions to other companies or individuals who can do them cheaper or faster.

network

Innovations targeted at creating new markets and customers with reliance on breakthroughs and inventing things that do not currently exist are called _____- _____ innovations.

new direction

To the casual observer, the term _____ _____ means the family tree-like pattern of boxes and lines posted on workplace walls.

organization chart

One of the five independent subprocesses an organization uses to learn, which involves encoding, storing, and retrieving the lessons learned from the firm's history, is called ______.

organizational memory

What is the term that organizations use when they review and discuss past successes and failures to acquire more information?

postmortems

A product innovation changes the good or service while a _____ innovation changes how it is conceived.

process

What are the key contingency factors to consider when making decisions about organization design?

strategy and goals market uncertainty size technology

What are the three characteristics that all organizations share?

the goal of being effective a structure that serves as a fingerprint the idea that innovation is crucial to remain in business

What is the point of having a postmortem in conjunction with the knowledge integration process?

to seek consensus about what the learned information means

When an activity does not deliver its expected results or outcome it is known as a(n):

failure

Which statements are true about a horizontal structure?

Each process consists of every task and responsibility needed to meet the customer's needs. Teams are created to work on common projects. It tends to focus on work processes.

Select the four common denominators of all organizations.

Hierarchy of authority Aligned goals Division of labor Coordination of effort

Which statements describe a hollow structure?

Hollow structures have increased the need for freelance workers. An organization becomes more hollow the more it outsources. It outsources functions to other companies or individuals who can do them faster and cheaper.

Which of these characterize a virtual structure?

Its members rely on e-mail and other forms of information technology to communicate. The concept was an outgrowth of 1990s information technology. Companies using the virtual structure give the illusion that employees work together physically.

Which of these characterize a modular structure?

Like a hollow organization, it uses outsourcing. It assumes responsibility for ensuring that parts meet quality standards. It ensures that parts arrive in a timely fashion.

Those who occupy formal decision-making positions within the chain of command are called _____ managers.

Line

Which of these statements describe an organization's strategy?

Setting a corporate strategy requires an organization to decide how it will compete. Organizational design must be developed in tandem with establishing strategy. It is the cornerstone of the organization's decision about the most appropriate design.

Select the four basic dimensions of organizational structure.

Spans of control Division of labor Line and staff positions Hierarchy of authority

Which statements are true of organizations with a matrix structure?

They can be complex and confusing. They often fail due to management issues. They can provide a reasonable counterbalance among stakeholders.

Which of the following describe internal virtual structures?

They combine the efforts of far-flung employees. They coordinate the work for one organization. They rely primarily on the use of information technology.

What is needed across internal characteristics for organizations to achieve higher performance?

alignment

Why might a company change its structure?

attempts to resolve performance issues changes in the marketplace revisions in its strategic goals

What individual characteristics are positively associated with innovation?

foreign work intrinsic motivation creativity

An organization that groups all of its marketers in one department, its finance people in another, and product designers in another is which type of organizational structure?

functional

Mechanistic organizations typically have a _____ culture and organizational design.

hierachal

Who reports to whom is referred to as

hierarchy of authority

Which design has a lower cost of entry and overhead, and is therefore best for companies facing heavy price competition with pressure to cut costs, but increases the danger that the organization will be supplanted by suppliers?

hollow

Organizations with a(n) _____ design work hard to flatten hierarchy.

horizontal

The effectiveness measure of the _____ business process perspective focuses on "what the organization must excel at" to meet its objectives.

internal

One of the five independent subprocesses an organization uses to learn, which occurs when information is shared and accumulated across different parts of the organization in order to make better-informed decisions, is called _____ _____

knowledge integration

The structure that combines a vertical structure with an equally strong horizontal overlay is a called a _____ structure.

matrix

A(n) _____ system organization depends on constant interaction with the environment for survival.

open

_____ systems are capable of self-correction, adaptation and growth thanks to feedback from the environment.

open

Select activities associated with the internal business processes dimension of effectiveness.

operational excellence being a good corporate citizen customer service innovation

A firm with flexible networks of multitalented individuals who perform a variety of tasks is called:

organic

In unstable and uncertain environments, which type of organizations tend to be more successful?

organic

A system of consciously coordinated activities or forces of two or more persons is called a(n):

organization

The phrase "consciously coordinated" is key to the definition of a(n)

organization

Select resources needed to support innovation.

right culture and climate appropriate resources required structure and process necessary human capital

The number of people reporting directly to a given manager is called

span of control.

What are the workers called who perform background research and provide technical advice and recommendations to their line managers?

staff employees

Which structure's cons include a high level of communication necessary to avoid redundancy; low trust and coordination among widely distributed employees; failure to promote strong employee loyalty or organizational identification.

virtual

Routine tasks in an organization do not require direct supervision and so _____ spans of controls are more likely to be found.

wide

The creation of something new that makes money is called an

innovation

The idea that each employee should report to only one manager is called the _____ of _____ principle.

unity of command

Traditional designs rely on a(n) _____ hierarchy with clear departmental boundaries and reporting relationships.

vertical