Ch 8 smartbook

When businesses evolved into larger organizations producing larger amounts of product more efficiently using mass production methods, it could be said that:

the bigger the plant, the more efficient production became.

True or false: Adapting to change is difficult because over time employees get stuck in their ways and are comfortable.

true

A Fayol principle that states each worker is to report to one and only one boss.

unity of command

Henri Fayol's principles for organization structure included:

unity of command managers can enforce their orders a hierarchy of authority

Max Weber's principles of organization resembled Fayol's. In addition, Weber emphasized which of the following principles?

Consistent procedures, regulations, and policies Written rules, decision guidelines, and detailed records Job descriptions

When designing responsive organizations, what decisions do firms have to make?

Decide the span of control Choose between tall or flat structures Decide between centralization versus decentralization

True or false: The key to success for companies in a capitalist economy is to remain inflexible during times of change.

False

Under which Fayol principle does it state that all workers should know to whom they report?

Hierarchy of authority

An organization that has direct two-way lines of responsibility, authority, and communication running from the top to the bottom of the organization, with all people reporting to only one supervisor is called a(n)

Line Organizations

Identify the four ways to structure an organization.

Line organizations Line-and-staff organizations Cross-functional self-managed teams Matrix-style organizations

True or false: The hierarchy of authority principle states that all workers should know to whom they report.

True

The result of the increase in the rate of change in the business environment from causes such as natural disasters and global competition has been that companies must:

adapt to new technologies change more quickly than ever before

Line managers are those who have the authority to:

adjust to changing conditions issue orders enforce discipline

Cross-functional self-managed teams are used in organizations to

break down barriers between functional departments

Less need for policy manuals, organization charts, and formal controls is a sign of shared values in a:

corporate culture that emphasizes service to others.

Organizations reorganized to empower frontline workers so that they:

could more efficiently and effectively serve customers

Groups of employees from different departments who work together on a long-term basis and are empowered to make decisions without management approval are __

cross-functional self-managed teams

Organizations reorganize to empower frontline workers to:

demonstrate appreciation and trust to frontline workers serve customers more efficiently and effectively let them know they are valuable assets to the organization

In economies of scale, a company buys raw materials in bulk so that the average cost of goods goes ___ as the production levels increase.

down

By developing , __ __ __ a company can reduce its production costs if it can purchase raw materials in bulk; the average cost of goods goes down as production levels increase.

economies of scale

Which of Fayol's principles states that a manager should treat employees and peers with respect and justice?

equity

As organizations adopt empowerment, reduce the number of middle managers, and hire more talented and better educated lower-level employees the trend today is to ______ the span of control

expand

The current trend in __ organizations is to the span of control.

expand

__ organization structures respond to customer demands faster because its lower-level employees have authority and responsibility for making decisions. Multiple choice question.

flat

Remaining __ is the key to an organization's success in changing times.

flexible

The ______ organization details lines of responsibility, authority, and position. It is the structure shown on organization charts.

formal

A cross-functional team that includes customers, suppliers, and distributors is

going beyond organizational boundaries

A firm that has a marketing department organized geographically and a production process organized by function has which type of departmental structure?

hybrid

A benefit of the unity of command principle is:

it prevents confusion since each employee reports to one manager

Because of the evolving business environment, including more global competition, technological innovations, and changing customer expectations, what has become a critical management function?

learning how to manage change

Production workers, distribution people, and marketing personnel who are responsible for directly achieving organizational goals are called ___ personnel.

line

The type of organization that has direct two-way lines of responsibility, authority, and communication from the top down, with everyone reporting to one supervisor is called a

line organization

Economies of scale work best in a company that makes large quantities of goods using __ ___ processes.

mass production

The method of producing large quantities of goods efficiently is:

mass production.

A large organization might use a flat organization structure in order to

match the flexibility of small firms

In a __ organization, project managers are in charge of teams made up of members from several departments.

matrix

Using communications technology and other means to link organizations and allow them to work together on common objectives is referred to as

networking

Innovations like the mass production of cars can create economies of scale. However, over time this benefit becomes less meaningful because __

other companies copy the processes

A cross-functional team that is working on the development of a new prosthetic device for amputees should include:

parts suppliers for medical devices amputees who will use it product designers

Advantages of a positive corporate culture include:

people who enjoy working together to be productive trust between employees emphasizing service to others, especially customers

The formal organization details lines of:

position responsibility authority

Real time is the ______ moment or the ______ time in which something takes place.

present; actual

The present moment or the actual time in which an event takes place is called ___ ___

real time

Regardless of the size of the organization, the principles of organizing include:

recognizing employee strengths dividing up the tasks to be done deciding what work needs to be done

Important decisions to be made while designing an organization include:

span of control departmentalization degree of centralization

According to Fayol, division of labor states that functions within an organization are to be divided into areas of __

specialization

In a virtual corporation the replaceable firms are joined together on a(n) ___ basis to create a flexible organization.

temporary

A system in which one person is at the top of the organization and there is a ranked or sequential ordering from the top down of managers who are responsible to that person is called a(n) ___

hierarchy

Firms may use a combination of departmentalization techniques to create a(n) ______ form of organization.

hybrid

Which is a true statement about the principles of organization?

Regardless of the business size the principles are similar.

An organization structure in which decision-making authority is maintained at the top level of management is called a(n) ______ organization.

centralized

Employees at all levels often resist___ because they are used to doing their jobs in ways they know.

change

Written rules and procedures. promotion based on qualifications, and job descriptions are organizing principles proposed by __

Max Weber

If an organization temporarily borrows its specialists from different functional areas to accomplish a common project, it is implementing what type of organization?

Matrix organization

Under unity of command, each worker is to report to only __ boss.

one

Fayol's ___ principle states that materials and people should be placed and maintained in the proper location within an organization.

order

A temporarily networked organization made up of replaceable firms that join and leave as needed is called a(n) organization.

virtual

According to Fayol's order principle, ______ and ______ should be placed and maintained in the proper location.

materials; people

Four organizational designs include: line, line and staff, ______, and cross-functional teams.

matrix

Functions being divided into areas of specialization such as production, marketing, and finance are examples of which Fayol principle?

Division of labor

Identify the principles of Henri Fayol's book General and Industrial Management from the following list.

Division of labor Unity of command Hierarchy of authority