Chapter 7: Organization, Teamwork, and Communication

Which two factors would lead to a business being more centralized in its organization?

- decisions to be made are risky - low-level managers are not highly skilled in decision-making

Which of the following three items characterize a work group?

- emphasis on individual work products - promotes individual leadership - emphasis on individual accountability

Which two are considered disadvantages of a matrix organizational structure?

- employees can be confused on whose authority has priority - they are expensive to operate

What three items characterize work teams?

- has both individual and mutual accountability - has shared leadership roles - creates collective work products

Why can overcentralization cause serious problems for an organization?

- it can take longer for the organization to respond to changes on a regional scale - it can take longer for the organization to implement decisions - it can prevent low-level employees from reporting problems

What are two weaknesses of functional departmentalization?

- it requires greater coordination among departments - decision making across departments is slow.

Which of the following would be a positive result of departmentalization by product?

- it simplifies decision making - it helps coordinate all the activities related to a product or product group

Which three are considered advantages of a matrix organizational structure?

- provide enhanced cooperation and creativity - provide for flexibility - allow for quick response to changes in the environment

Which two factors are characteristic of a decentralized organization?

- the organization faces intense competition - the organization operates in a complex, unpredictable environment

Which two of the following characterize centralized organizations?

- very little decision-making authority is delegated to lower levels - authority is concentrated at the top levels of the organization

Product Development-Teams

a specific type of project team formed to devise, design, and implement a new product

Matrix Structure

a structure that sets up teams from different departments, thereby creating two or more intersecting lines of authority; also called a project-management structure

Task Force

a temporary group of employees responsible for bringing about a particular change

Organizational Chart

a visual display of the organizational structure, lines of authority (chain of command), staff relationships, permanent committee arrangements, and lines of communication

Decentralized Organization

an organization in which decision-making authority is delegated as far down the chain of command as possible

When jobs are organized by function, ______.

decision making that involves more than one department may be slow

True/False: The act of delegating authority to a subordinate relieves the superior of accountability for the delegated job. True false question.

false

An organization structure that has few layers of management and a broad span of control is called a(n) ______ organization structure.

flat

Organizations with few layers are _____ and have _____ spans of management.

flat; wide

The flow of communication within the formal organizational structure is called ______.

formal communication

Delegation Of Authority

giving employees not only tasks, but also the power to make commitments, use resources, and take whatever actions are necessary to carry out those tasks

An informal channel of communication separate from management's formal official communications related to a job or organization that can sometimes be gossip is called a ______.

grapevine

Project Teams

groups similar to task forces that normally run their operation and have total control of a specific work project

The organizational system that develops spontaneously as employees meet and form relationships is referred to as the ______.

informal organization

Internal company networks that increase communication across different departments and levels of management and help with the flow of everyday business activities are called ______.

intranets

Which of the following is TRUE of departmentalization by product?

it duplicates functions and resources

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) ______ structure.

line

In a pizza parlor the chain of command is a general manager, shift manager, and employees. The employees report to the shift manager who reports to the general manager. This exemplifies a ______.

line organization

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

matrix

A McDonald's restaurant anywhere in the world has an atmosphere and look that represents the company's values of cleanliness, quality service, and value. This is an example of ______.

organization culture

To find out the relationships among people in a company one may consult the company's ______.

organizational chart

Job dissatisfaction, poor work quality, more injuries, and high employee turnover are all negative consequences of ______.

overspecialization

The functional approach to departmentalization is common in ______ organizations.

small

Quality-Assurance Teams (or quality circles)

small groups of workers brought together from throughout the organization to solve specific quality, productivity, or service problems

Jasper is a production manager. He is responsible for assigning work tasks to his employees and coordinating their activities to help the firm reach its objectives. As such, Jasper is helping to develop the organization's ______.

structure

A company with many layers of managers is considered ______ and the span of management is _____.

tall; narrow

Customer Departmentalization

the arrangement of jobs around the needs of various types of customers

Organization's Structure

the arrangement or relationship of positions within an organization

Structure

the arrangement or relationship of positions within an organization

Specialization

the division of labor into small, specific tasks and the assignment of employees to do a single task

Functional Departmentalization

the group of jobs that perform similar functional activities, such as finance, manufacturing, marketing, and human resources

Geographical Departmentalization

the grouping of jobs according to geographic location, such as state, region, country, or continent

Departmentalization

the grouping of jobs into working units usually called departments, units, groups, or divisions

Organizational Layers

the levels of management in an organization

Span Of Management

the number of subordinates who report to a particular manager

Responsibility

the obligation, placed on employees through delegation, to perform assigned tasks satisfactorily and be held accountable for the proper execution of work

Product Departmentalization

the organization of jobs in relation to the products of the firm

Accountability

the principle that employees who accept an assignment and the authority to carry it out are answerable to a superior for the outcome

Line Structure

the simplest organizational structure, in which direct lines of authority extend from the top manager to the lowest level of the organization

Restructure

to change the basic structure of an organization

True/False: Every organization, regardless of size, organizational type, product, or profit objective has a corporate culture.

true

Group

two or more individuals who communicate with one another, share a common identity, and have a common goal

Line-And-Staff Structure

a structure having a traditional line relationship between superiors and subordinates and also specialized managers - called staff managers - who are available to assist line managers

Centralized Organization

a structure in which authority is concentrated at the top and very little decision-making authority is delegated to lower levels

Multidivisional Structure

a structure that organizes departments into larger groups called divisions

At Belinda's company, when pressed to meet a deadline, every worker is expected to put in overtime hours and work together to get the job done. This commitment to teamwork is part of the company's ______.

culture

What three items characterize a tall organization?

- a narrow span of management - many layers of managers - higher administrative costs

From this list select the three benefits of multidivisional structures.

- allows those closest to the action to make the decisions that will affect them - allows for each division or region to provide products to meet the needs of its customers - permits delegation of decision-making authority, allowing divisional and department managers to specialize

Select from the following the ways in which departments are commonly organized.

- by customer - by geographic region - by product - by function

Why do firms usually feel the need to restructure?

- decision making has slowed down - the firm has experienced growth and diversification - traditional structures become difficult to coordinate

Team

a small group whose members have complementary skills; have a common purpose, goals, and approach; and hold themselves mutually accountable

Organizational Culture

a firm's shared values, beliefs, traditions, philosophies, rules, and role models for behavior

Self-Directed Work Team (SDWT)

a group of employees responsible for an entire work process or segment that delivers a product to an internal or external customer

Committee

a permanent, formal group that performs a specific task

Grapevine

an informal channel of communication, separate from management's formal, official communication channels

True/False: Communication between friends that cuts across departments, divisions, and even management-subordinate boundaries comprises what is known as the formal organization.

false