test three business

Ace Inc., an American multinational computer software company has a large number of hierarchical levels. Each manager is responsible for a few employees and maintains a tight control on them. At Ace Inc., the time take to make decisions is very high, as each decision needs to go through numerous management layers. Which of the following statements is true about the organizational structure of Ace Inc.?

Ace Inc. has a narrow span of management.

Which of the following is a characteristic of a matrix structure?

Assigning employees to functional and project teams simultaneously.

Which of the following is the main objective of engaging in inventory control?

Balancing supply and storage costs

Which of the following is the main purpose of just-in-time systems?

Better inventory management

A rural hospital is trying to determine how many beds it should have in its emergency room. This is an example of ______.

Capacity planning

___________ is defined as a pathway for the flow of authority from one management level to the next.

Chain of command

Which of the following is a measure of how committed team members are to their team's goals?

Cohesiveness

Functional team are also known as _________ teams.

Command

From the perspective of companies, which of the following is a potential benefit of an unstructured firm?

Companies can ramp capacity up and down more quickly and with less trauma.

Achieving ISO certification indicates that the ________.

Company's internal processes meet accepted standards.

Kaizen refers to ______.

Continuous quality improvement

___________ are those activities in which a company excels and has the potential to create competitive advantages?

Core competencies

The sequence of activities that take the longest time from start to finish in a PERT diagram is called the ________ path.

Critical path

MNB Manufacturers, a home appliances manufacturing firm, creates a team comprised of employees from research and development, finance, marketing and sales, and product assurance departments. The face-to-face team is closely scrutinized. The specialized, permanent team is responsible for generating innovative business expansion plans. It is most likely to be which of the following forms of teams?

Cross-functional team

At Meyer Department Store, employees are encouraged to make certain decisions without consulting their managers. For example, cashiers are allowed to make price adjustments for customers without consulting the store manager as long as the amount of the adjustment is less than $10. Meyer Department Store is most likely to have which of the following organizational structures?

Decentralized decision making

Grouping people within an organization according to function, division, matrix, or network is called ____________.

Departmentalization

Which of the following is a characteristic of effective teams?

Disagreements are discussed openly and calmly.

Another term for work specialization is __________.

Division of labor

A team that may become permanent in order to deal with regularly recurring tasks is called a task force. True or False.

False

Conflict is a destructive force in an organization and should be avoided at all costs. True or False.

False

In a PERT diagram, the critical path is the shortest sequence of operations. True or False.

False

Outsourcing and offshoring are synonymous terms. True or False.

False

The number of people under one manager's control is that manager's chain of command. True or False.

False

When a manager has many employees reporting directly to her, she has a narrow span of control. True or False.

False

Customer involvement tends to be more for goods than services. True or False.

False.

Identical goods or services are created in large quantities in mass customization. True or False.

False.

A team that may become permanent in order to deal with regularly recurring tasks is called a task force. True or False.

False. Task force is for one specific activity.

Capacity planning is not directly linked to estimation of future demand. True or False.

Flase

According to Bruce Tuckman's model, the _________ stage is a period of orientation and ice-breaking, when members get to know each other.

Forming

Grouping workers according to their similar skills, resource use, and expertise is called a(n) ________ structure.

Functional

Alpha Laboratories, a global pharmaceuticals company, groups its employees into several departments such as research and development, regulatory affairs, production, quality control, quality assurance, and sales & marketing. Employees are grouped by specialization to allow for the efficient use of resources and encourage and development of in-depth skills. Alpha Laboratories is most likely to have a(n) ___________.

Functional structure

Mark works in a small advertising firm as a graphic designer. He is part of a team consisting of five graphic designers who have been working together for several years and have high group cohesiveness. The firm hires a new graphic designer who is a fresher. Mark's team members often bully the new hire, and burden him with excessive work. Mark supports his team members due to peer pressure, even though he feels their behavior is unethical. This is an example of ___________.

Groupthink

__________ refers to how the various business functions and work specialties are divided across the company.

Horizontal structure

Which of the following is a defining characteristic of the storming stage of Bruce Tuckman's model of team development?

IT is the stage in which conflicts arise as members jockey for position or form coalitions to promote their own perceptions of the team's mission.

From the perspective of workers, which of the following is a potential benefit of working for an unstructured organization?

Increased freedom and flexibility.

Goods and materials kept in stock for production or sale are called ______.

Inventory

Rolber Cycles is a manufacturer of racing bicycles. The company gives extreme importance to customer responsiveness and keeps products ready in the warehouse to deliver to customers immediately after they receive an order. These products are best referred to as _________.

Inventory

Which of the following statements is true regarding divisional departmentalization?

It can increase costs through duplication.

Which of the following is a defining characteristic of problem-solving team?

It is assembled to find ways of improving quality, efficiency or other performance measures.

Which of the following is a defining characteristic of a command team?

It is organized along the lines of the organization's vertical structure.

Which of the following is true about decentralization?

It pushes decision-making authority down to lower organizational levels.

Which of the following is a defining characteristic of unstructured organizations?

It takes the virtual and networked organizational concepts to an extreme

Which of the following is a defining characteristic of unstructured organizations?

It takes the virtual and networked organizational concepts to an extreme.

Which of the following is a defining characteristic of a committee?

It typically deals with regularly recurring tasks, such as addressing employee grievances.

From the perspective of the company, which of the following is potential drawback of using an unstructured organization?

Lack of built-in accountability.

Ronda Scooters is a leading Asian manufacturer of electric scooters. The company procures raw materials from a firm based in China. The Chinese supplier delivers materials in about three weeks after receiving a confirmed order. This period is referred to as the materials' ________.

Lead time

Which of the following chain-of-command systems was developed to address the need to combine specialization with management control?

Line-and-staff organization

Morkel Toys is a manufacturer of toys. the company produces tens of thousands of Barbie Dolls in its factories everyday. It uses large machinery to automate the production and the output is standardized. This is an example of _______________.

Mass production

___________ refers to the creation of identical goods or services in large quantities.

Mass production

______ is a tool used by manufacturing facilities to coordinate production of all the goods the company makes.

Master production schedule

A structure in which employees are assigned to both a functional group and a project team simultaneously is called a(n) ____________.

Matrix structure

A ________ structure is also called a virtual organization.

Network

A __________ structure is also called a virtual organization.

Network

Enid works as a customer service agent at Clarence Fashion Apparel, a New York based women's fashion apparel and accessories store. She is often late to work, is reluctant to offer assistance to customers, and has had low performance levels for the past six months. Enid is hostile toward the other customer service agents at the shop, and does not attend any of the team activities. She is most likely to be a ________.

Nonparticipator

Enid works as a customer service agent at Clarence Fashion Apparel, a New York based women's fashion apparel and accessories store. She is often late to work, is reluctant to offer assistance to customers, and has had low performance levels for the past six months. Enid is hostile toward the other customer service agents at the shop, and does not attend any of the team activities. She is most likely to be a _____________.

Nonparticipator

According to Bruce Tuckman's model, in the _________ stage, conflicts are resolved, and team harmony develops.

Norming

_________ refers to informal standards of conduct that guide team behavior.

Norms

__________ refers to transferring a part or all of a business function to a facility in another country.

Offshoring

______________ refers to overseeing all the activities involved in producing goods and services.

Operations managment

A diagram that shows how employees and tasks are grouped and where the lines of communication and authority flow is called a(n) _______.

Organization Chart

LaSalle Plating is a US company that offers metal finishing services. The company used to handle employee benefit administration and payroll management in-house, but recently decided to have these functions handled by an outside firm in Chicago. Which of the following terms best refers to this new strategy adopted by the company.

Outsourcing

________ refers to contracting out certain business functions or operations to other companies.

Outsourcing

Groupthink occurs when _________.

Peer pressure cause individual team members to withhold contrary or unpopular opinions.

Group think occurs when __________.

Peer pressures cause individual team members to withhold contrary or unpopular opinions.

According to Bruce Tuckman's model, in the _________ stage of team development, members of the team are fully committed to the team's objectives and the team achieves its full potential in terms of task accomplishment.

Performing

________ refers to the acquisition of the raw materials, parts, components, supplies, and finished products required to produce goods and services.

Procurement

________ refers to the efficiency with which an organization can convert inputs to outputs.

Productivity

Which of the following is a key difference between quality control and quality assurance.

Quality assurance is more proactive than quality control.

________ is the comprehensive approach of companywide policies, practices, and procedures to ensure that every product meets quality standards.

Quality assurance.

Organizations can promote systems thinking by ___________.

Showing people how they contribute to the overall goal.

Which of the following does an organization chart do?

Shows lines of authority in the organization

______ is a rigorous quality management program that strives to eliminate deviations between the actual and desired performance of a business system and reduce defects to 3.4 per 1 million opportunities.

Six sigma

An employee who focuses on the needs of the team members over the task needs assumes the ________ role.

Socioemotional

Nick is the team lead of an 8 member team of loan originators at Cooper and Co., a commercial real estate brokerage firm. He tends to focus on supporting the emotional needs of his team members. He often organizes events such as baseball games and movie nights to strengthen the social unity of his team. However, he often neglects to complete specific tasks. He is most likely to be categorized under which of the following team member roles?

Socioemotional role

The number of works who report directly to a manager is called the manager's _________.

Span of management

In a team, people who focus on work-related accomplishments over human needs, and help the team reach its goals are said to assume the ___________.

Task-specialist role

A centralized organization concentrates decision-making authority at the upper levels of the organization. True or False.

True

A functional team is organized along the lines of the organization's vertical structure. True or False.

True

A matrix structure uses functional and divisional patterns simultaneously. True or False.

True

A network structure stretches beyond the boundaries of a company to connect a variety of partners and suppliers that perform selected tasks for a headquarters organization. True or False.

True

A team is a unit of two or more people who work together to achieve a shared goal. True or False.

True

Destructive conflict can lead to win-lose or lose-lose outcomes, in which one or both sides lose, to the detriment of the entire team. True or False.

True

Organization structure is a framework that enables managers to divide responsibilities, ensure employee accountability, and distribute decision-making authority. True or False.

True

Scalability is the potential to increase production by expanding or replicating its initial production capacity. True or False.

True

Services that must be consumed at the same time they are produced are known as perishable services.

True

Statistical process control refers to the use of random sampling and tools, such as control charts, to monitor the production process.

True

Unstructured organizations can be even more complex than matrix organizations because workers not only have multiple bosses but report to multiple bosses in multiple companies. True or False.

True

Value webs are multidimensional networks of suppliers and outsourcing partners True or False.

True

When people work together toward a common goal rather than competing for individual recognition, their efforts and energies tend to focus on the common good. True or False.

True

While a network structure can lower costs and increase a company's flexibility, it can also leave the company vulnerable to risks such as outside contractors going out of business or offering the same goods and services to a competitor. True or False.

True

____ include all the elements and process from transforming raw materials to making the final products available to the ultimate customer.

Value Chains

___________ refers to the number of layers the chain of command is divided into from the top of the company to the bottom.

Vertical structure

In a furniture factory, one worker cuts the wood according to the design, another work glues and screws the pieces together, and another worker stains and polishes the wood. This is an example of __________.

Work specialization

From the perspective of workers, which of the following is a potential drawback of working for an unstructured organization?

Workers are left to fend for themselves and to keep their skills current at their own expense.

Organizations can promote systems thinking by ______

showing people how they contribute to the overall goal