Chapter 10 Management
1. TRUE
1. The deployment of organizational resources to achieve strategic goals refers to organizing.
10. FALSE
10. The acceptance theory of authority argues that managers have authority because employees do not have a choice in choosing to accept their commands.
11. TRUE
11. Line departments perform tasks that reflect the organization's primary goal and mission.
12. TRUE
12. The right to advise, recommend, and counsel in the staff specialists' area of expertise is included in staff authority.
13. TRUE
13. The number of employees reporting to a supervisor is his or her span of management.
14. TRUE
14. Traditional views of organizational design recommend a span of management of about 7 to 10 subordinates per manager.
15. FALSE
15. Many hierarchical levels and a correspondingly narrow span of management refers to a flat structure.
16. FALSE
16. The trend in recent years has been toward narrower spans of control as a way to facilitate delegation.
17. TRUE
17. A tall structure is a management structure characterized by an overall narrow span of management and a relatively large number of hierarchical levels.
18. FALSE
18. Certainty in the environment is usually associated with decentralization.
19. TRUE
19. The basis for grouping positions into departments and departments into the total organization is referred to as departmentalization.
2. FALSE
2. Organizing defines what to do while strategy defines how to do it.
20. TRUE
20. For companies to operate effectively, the amount of centralization or decentralization should fit the firm's strategy.
21. TRUE
21. At Fox End, people are grouped together in departments by common skills and work activities, including a sales department and a production department. This is an example of vertical functional approach.
22. FALSE
22. The functional structure offers a way to decentralize decision making and provide direction from the teams in the field.
23. FALSE
23. Because the chain of command converges at the top, the functional structure provides a way to decentralize decision making and provide unified direction from all managers.
24. FALSE
24. Quick response to external changes is an advantage of vertical functional structure.
25. FALSE
25. Divisions are created, in functional structures, as self-contained units with separate functional departments for each division.
26. TRUE
26. The divisional structure encourages decentralization.
27. TRUE
27. In a geographic-based structure, all functions in a specific country or region report to the same division manager.
28. FALSE
28. With a matrix structure, the entire organization is made up of horizontal teams that coordinate their work and work directly with customers to accomplish the organization's goals.
29. FALSE
29. Aspects of both functional and divisional structures simultaneously in the same part of the organization are combined in the virtual network approach.
3. TRUE
3. The framework in which the organization defines how tasks are divided, resources are deployed and departments are coordinated is called organizational structure.
30. FALSE
30. The horizontal structure provides traditional control within functional departments, and the vertical structure provides coordination across departments.
31. TRUE
31. The confusion and frustration caused by the dual chain of command is a major problem of the matrix structure.
32. FALSE
32. The overseer of both the product and functional chains of command, responsible for the entire matrix is the matrix boss.
33. TRUE
33. The modular approach is similar to virtual networking.
34. TRUE
34. The divisional structure fosters excellent coordination within divisions, but coordination across divisions is often poor.
35. FALSE
35. In the divisional approach, coordination across divisions is great whereas coordination within divisions is often poor.
36. TRUE
36. The matrix approach can be highly effective in a complex, rapidly changing environment in which the organization needs to be flexible and adaptable.
37. TRUE
37. One major disadvantage of the virtual network approach is the lack of hands-on control.
38. TRUE
38. Coordination is the quality of collaboration across departments.
39. FALSE
39. Reengineering is the outcome of information and cooperation.
4. FALSE
4. A organizational map is a visual representation of an organization's structure, showing communication and lines of power.
40. TRUE
40. A project manager is a person responsible for coordinating the activities of several departments for the completion of a specific project.
41. FALSE
41. Reengineering basically means preserving the past by establishing the sequence of activities by how work was done.
42. TRUE
42. The radical redesign of business processes to achieve dramatic improvements in cost, quality, service and speed is called reengineering.
43. TRUE
43. The distinctive feature of the project manager position is that the person is not a member of one of the departments begin coordinated.
44. FALSE
44. When an organization uses a differentiation strategy, it strives for internal efficiency.
45. TRUE
45. The pure functional structure is appropriate for achieving internal efficiency goals.
46. FALSE
46. A vertical structure that emphasizes specialization and centralization is appropriate when environmental uncertainty is high.
47. TRUE
47. A rigid, vertical structure in an uncertain environment prevents the organization form adapting to change.
48. FALSE
48. The functional structure is appropriate when the primary goal is innovation and flexibility.
49. FALSE
49. Small-batch production is distinguished by standardized production runs.
5. TRUE
5. Despite the apparent advantages of specialization, many organizations are moving away from this principle.
6. FALSE
6. The principle of unity of command suggests that managers within an organization should reach agreement on the goals and objectives of the organization.
7. TRUE
7. Authority is the right to use resources, make decisions and issue orders in an organization.
8. FALSE
8. The duty to perform the task or activity an employee has been assigned is called accountability.
9. FALSE
9. Most organizations today discourage managers to delegate authority to the lower levels given the challenges to meet customer needs and adapt to the environment
True
A rigid, vertical structure in an uncertain environment prevents the organization form adapting to change.
True
Despite the apparent advantages of specialization, many organizations are moving away from this principle.
False
Organizing defines what to do while strategy defines how to do it.
False
Small-batch production is distinguished by standardized production runs.
True
The deployment of organizational resources to achieve strategic goals refers to organizing.
True
The framework in which the organization defines how tasks are divided, resources are deployed and departments are coordinated is called organizational structure.
False
The functional structure is appropriate when the primary goal is innovation and flexibility.