Chapter 8 SmartBook

A cross-functional team that includes suppliers, distributors, and customers goes beyond organizational ___________.

boundaries

Groups of employees from different departments who work together on a long-term basis are called:

cross-functional teams

Important decisions to be made while designing an organization include:

departmentalization degree of centralization span of control

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

flat

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

flexible

The structure that details lines of responsibility, authority, and position that represents different types of organizational design is known as a ________ organization.

formal

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

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

matrix

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

matrix

Regardless of the size of the business, the principles of ________ its structure remain the same.

organizing

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

Today's trend is to expand the span of control because:

the workforce is better educated at all levels organizations save by reducing the number of middle managers

A productive corporate culture is one where there is mutual _________.

trust

Fayol's equity principle states that a manager should treat employees and peers:

with respect and justice

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

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

Identify the four ways to structure an organization.

- Line organizations - Line-and-staff organizations - Matrix-style organizations - 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

The formal organization details lines of:

-responsibility -authority -position

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

Order

Which is a true statement about the principles of organization?

Regardless of the business size the principles are similar.

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

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

Line managers are those who have the authority to:

-Issue orders -Enforce discipline -adjust to changing conditions

When GM and Ford Motor Company introduced large factories and mass production, the cost of building each car declined. This effect exemplifies ______.

economies of scale

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

Methods of structuring organizations to produce large amounts of goods is ___________ ____________.

mass production

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

According to Fayol's equity principle, a manager should treat employees and peers with _________ and _________.

respect and justice, or fairness

Organizations reorganized to empower frontline workers so that:

they could more efficiently and effectively serve customers

The principles of bureaucracy which brought consistent application of rules and procedures to organizations were proposed by

Max Weber

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

True Reason: Long time employees often feel "if it's not broke don't fix it."

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

A(n) ___________ organization structure maintains the decision-making authority at the top level of management.

centralized

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

change

Managing _____ has become a critical managerial function because the increasing rate of change affects all organizations.

change

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

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

When a company purchases raw materials in bulk, thus reducing the cost of production, it is called:

economies of scale

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

line

Those directly responsible for achieving the organization's production goals by issuing orders and enforcing discipline are ______ managers.

line

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

networking

Which of Fayol's principles states that materials and people should be placed and maintained in the proper location:

order

The line organization has direct lines of _______ that extend from the top manager to employees at the lowest level of the organization.

responsibility, communication, and authority

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

True or false: Networking uses technology, such as a company intranet, to link organizations and their suppliers to allow them to work together for a common goal.

True Reason: This is an exact example of technology used in organizational networking.

Centralized authority occurs when decision making is done:

at the top level of management

Four ways to structure an organization include line, _______ and ________ , matrix, and cross-functional teams.

line and staff

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

match the flexibility of small firms

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

going beyond organizational boundaries

The organization structure that creates a chain of command with one person at the top and others in ranked order to the bottom is a ________.

hierarchy

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 structure or organization

The key to success is remaining ________ in changing times.

flexible

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

hybrid

Some companies create ________ structures because the sales department has geographic departments, production is by function, and marketing is by customer groups.

hybrid or combination

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 process

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