MGMT 466 c. 5, 6, 7, 8, 9

_____ define explicit rules, policies, and procedures for employee behavior. a. Hierarchical methods b. Decentralized methods c. Traditional methods d. Reorganized methods

a. Hierarchical methods

Which of the following statements best describes the elaboration stage of organizational life cycle? a. It is a mature stage of the life cycle in which a red tape crisis is resolved through the development of a new sense of teamwork and collaboration. b. It is the life cycle stage in which an organization is born and its emphasis is on creating a product and surviving in the marketplace. c. It is the life cycle stage that involves the installation and use of rules, procedures, and control systems. d. It is the life cycle stage in which employees identify with the mission of the organization and spend long hours helping the organization succeed.

a. It is a mature stage of the life cycle in which a red tape crisis is resolved through the development of a new sense of teamwork and collaboration.

The systematic study of bureaucracy was launched by _____. a. Max Weber b. Georg Simmel c. Abraham Maslow d. Jean Baudrillard

a. Max Weber

Which of the following is true of decentralized control? a. Rules and procedures are used only when necessary. b. Managers do not rely on shared goals and values to control employee behavior. c. Top-down authority is used. d. Task-related job descriptions are given to employees.

a. Rules and procedures are used only when necessary.

Which of the following is true of small businesses? a. They represent a large percentage of exporters. b. They represent 40 percent of all businesses in the United States. c. They often experience lesser employee commitment. d. They are generally slow to adapt to changing customer needs.

a. They represent a large percentage of exporters.

Which of the following is a characteristic of large organizations? a. Vertical hierarchy b. Flat structure c. Responsiveness d. Flexibility

a. Vertical hierarchy

As organizations increase in size, the _____ declines and the ratios for other support groups increase. a. administrative ratio b. personnel ratio c. profitability ratio d. clerical ratio

a. administrative ratio

Small companies become a victim of their own success: a. as they grow large and shift to a complex structure. b. when they cannot manage their profits and make incorrect decisions. c. when they overestimate the demand and block funds in inventory storage. d. as they spawn entrepreneurs rather than "organization men."

a. as they grow large and shift to a complex structure.

Nicholas started a computer assembling business with fifteen employees. All employees were responsible for the complete assembling of a unit. As his start-up grew overtime, he created departments and appointed a supervisor for each department. This signifies that Nicholas's business is in the _____ stage. a. collectivity b. formalization c. elaboration d. entrepreneurial

a. collectivity

Feedback control helps managers: a. make needed adjustments to help the organization be successful. b. emphasize decentralized control over employees. c. have complete hierarchical control on their subordinates. d. set organizational mission and vision.

a. make needed adjustments to help the organization be successful.

In recent years, the balanced scorecard has evolved into a system that helps managers see how: a. organizational performance results from cause-effect relationships among the four mutually supportive perspectives of balanced scorecard. b. decentralized control is effective for organizations to achieve the preset goals, mission, and vision. c. accuracy and responsiveness of employees improve drastically from the usage of outcome control instead of behavior control in their organization. d. each and every perspective of a balanced scorecard is dependent on each other.

a. organizational performance results from cause-effect relationships among the four mutually supportive perspectives of balanced scorecard.

Decentralized control differs from hierarchical control in that: a. power is more dispersed in decentralized control. b. top-down authority is used in decentralized control. c. detailed rules and procedures and formal control systems are used in decentralized control. d. organizational structure is vertical in decentralized control.

a. power is more dispersed in decentralized control.

The formalization stage of an organizational life cycle involves: a. the installation and use of rules, procedures, and control systems. b. the establishment of a hierarchy of authority, job assignments, and division of labor. c. the birth of the organization, and creation of a new product or service. d. the simplification of the formal system as it gets replaced by manager teams and task forces.

a. the installation and use of rules, procedures, and control systems.

_____ means identifying who is best at something in an industry and then duplicating the technique for creating excellence, perhaps even improving it in the process. a. Retention b. Benchmarking c. Ballooning d. Variation

b. Benchmarking

_____ is accused of many sins, including inefficiency, rigidity, and demeaning routinized work that alienates both employees and the customers an organization tries to serve. a. An organic structure b. Bureaucracy c. An entrepreneurial start-up d. Delegation

b. Bureaucracy

_____ focus on production and operating statistics, such as order fulfillment or cost per order. a. Customer service indicators b. Business process indicators c. Learning and growth potentials d. Quality control perspectives

b. Business process indicators

_____ are the external pressures exerted on an organization to adopt structures, techniques, or behaviors similar to other organizations. a. Mimetic forces b. Coercive forces c. Normative forces d. Generic forces

b. Coercive forces

Teaching in a high school and medical services in a health clinic are referred to as an organization's _____ technology. a. technical b. Core c. Craft d. reciprocal

b. Core

_____ compel units to work together for the good of their own unit as well as the overall organization. a. Global teams b. Cross-subsidiary teams c. Transnational teams d. Intercultural teams

b. Cross-subsidiary teams

_____ means providing exactly the service each customer wants and needs. a. Service complexity b. Customized output c. Mass customization d. Joint optimization

b. Customized output

_____ is based on values and assumptions that are almost opposite to those of hierarchical control. a. Centralized control b. Decentralized control c. Vertical control d. Horizontal control

b. Decentralized control

Which of the following reasons has spurred budding entrepreneurs to take a chance on starting their own company? a. The high rate of success of small businesses b. Economic woes and layoffs at many large firms c. Easy availability of financial resources d. Lucrative outsourcing prospects

b. Economic woes and layoffs at many large firms

Alphacone Inc. is a multinational plasticware manufacturing company. It operates in nine countries, and employs around 7000 people. The large firm is difficult to manage, and the director is looking for a way to capture the mindset and advantages of small businesses to turn the management process around. Which of the following approaches should the director of Alphacone Inc. use? a. He should hire managers from small organizations to implement their strategies. b. He should reorganize his organization into groups of small companies. c. He should cut down his business and limit it to one country. d. He should lay off employees and maintain a manageable number.

b. He should reorganize his organization into groups of small companies.

_____ occurs when price competition is used to evaluate the output and productivity of an organization or its major departments and divisions. a. Clan control b. Market control c. Bureaucratic control d. Economic control

b. Market control

Huge resources and economies of scale and scope are needed for many organizations to _____. a. carve out a niche b. compete globally c. have an organic structure d. reduce bureaucracy

b. compete globally

With _____, the culture is adaptive, and managers recognize the importance of organizational culture for uniting individual, team, and organizational goals for greater overall control. a. centralized control b. decentralized control c. vertical control d. hierarchical control

b. decentralized control

The reward and control system during the entrepreneurial stage of an organization is _____. a. impersonal b. paternalistic c. extensive d. customized

b. paternalistic

_____ is based on managers' direct observation and supervision of employee actions to see whether the individual follows rules and policies and performs tasks as instructed. a. Feedback control b. Outcome control c. Behavior control d. Transaction control

c. Behavior control

_____ are the lifeblood of the U.S. economy. a. Multi-nationals b. Established organizations c. Entrepreneurial start-ups d. Joint ventures

c. Entrepreneurial start-ups

Which of the following perspectives of a balanced scorecard includes traditional measures such as net income and return on investment? a. Learning and growth potential b. Customer service indicators c. Financial perspective d. Quality control perspective

c. Financial perspective

_____ refers to rules, procedures, and written documentation, such as policy manuals and job descriptions, that prescribe the rights and duties of employees. a. Monopolization b. Centralization c. Formalization d. Liberalization

c. Formalization

_____ are people who are at the center of an information network. These are people who are sought out for their knowledge and information. a. Brokers b. Peripheral players c. Hubs d. Communicators

c. Hubs

Which of the following statements is true of a professional partnership? a. It is a joint venture between two highly specialized organizations. b. It strongly believes in the effectiveness of bureaucratic principles. c. It works on consensus orientation rather than top-down direction. d. It comprises a mixed group of employees with varying skills and qualifications.

c. It works on consensus orientation rather than top-down direction.

_____ refers to the efforts to systematically find, organize, and make available a company's intellectual capital and to foster a culture of continuous learning and information sharing. a. Feedback control b. Outcome control c. Knowledge management d. Transaction management

c. Knowledge management

Steve, an entrepreneur, started a breakfast-on-the-go business that focused on providing customized breakfast packages to students and executives in his neighborhood. He had fifty people working for him who had the liberty to make decisions and propose improvement plans. Which of the following would most likely be a characteristic of Steve's business? a. Mechanistic management b. A complex structure c. Niche finding d. A stable market

c. Niche finding

Which of the following statements is true of the entrepreneurial stage of an organizational life cycle? a. There is limited control on the employees, and they make their own decisions. b. The organization is formal and bureaucratic. c. The growth comes from a creative new product or service. d. The founders devote all their time to strategic planning.

c. The growth comes from a creative new product or service.

A(n) _____ implies incorporating structures and processes that are appropriate for both small-company creativeness and large-company systems for exploiting innovations. a. joint venture b. dual structure c. ambidextrous approach d. paradoxical practice

c. ambidextrous approach

During the _____ stage, an organization begins to develop clear goals and direction. a. entrepreneurial b. elaboration c. collectivity d. formalization

c. collectivity

All effective control systems involve the use of _____ to determine whether organizational performance meets established standards to help the organization attain its goals. a. decentralization b. hierarchical referral c. feedback d. employee referral

c. feedback

Carter is a middle-level manager in his organization. He was satisfied with his job for the first three years, but he has decided to quit as he feels stifled by the bureaucracy and lack of innovation. Carter's organization is most likely in the _____ of the organizational life cycle. a. elaboration stage b. entrepreneurial stage c. formalization stage d. collectivity stage

c. formalization stage

An organization's _____ focuses on how well resources and human capital are being managed for the company's future. a. business process indicator b. customer service indicator c. learning and growth potential d. quality control perspective

c. learning and growth potential

Organizational atrophy occurs when: a. an organization loses to its competitors in the market. b. organizations are over-staffed, which gives rise to internal conflict. c. organizations grow older and become inefficient and overly bureaucratized. d. an organization chooses the wrong target market, and is unable to deliver to it.

c. organizations grow older and become inefficient and overly bureaucratized.

The goal of a company in the elaboration stage is _____. a. survival b. growth c. reputation d. expansion

c. reputation

The competing argument says small is beautiful because the crucial requirements for success in a global economy are: a. longevity and stability in an unstable environment. b. huge resources and economies of scale. c. responsiveness and flexibility in fast-changing markets. d. labor force and productivity.

c. responsiveness and flexibility in fast-changing markets.

A(n) _____ provides a visual representation of the key drivers of an organization's success and shows how specific outcomes in each area are linked. a. feedback map b. outcome map c. strategy map d. transaction map

c. strategy map

Bureaucracy provides for: a. easy access to top level managers for grievance redressal. b. effective ways to increase profit margins for an organization c. systematic and rational ways to organize and manage tasks. d. secure provisions to protect whistle-blowing employees.

c. systematic and rational ways to organize and manage tasks.

Which of the following is true of managers in the collectivity stage of an organization? a. Top managers may get replaced during this period as the organization reaches maturity. b. Middle management may resent the intrusion of staff. c. Strong managers are hired at this level to deal with issues. d. Lower-level managers begin to acquire more confidence and want more discretion.

d. Lower-level managers begin to acquire more confidence and want more discretion.

Which of the following is not a perspective of the balanced scorecard? a. Financial performance b. Customer service c. Learning and growth d. Quality control

d. Quality control

Which of the following is the first step in the feedback control model? a. Taking corrective action as needed b. Establishing metrics and standards of performance c. Comparing metrics of actual performance to standards d. Setting strategic goals

d. Setting strategic goals

What is the major goal of an organization during the entrepreneurial stage of the organizational life cycle? a. Profit maximization b. Reputation c. Growth d. Survival

d. Survival

Which of the following crises is faced by organizations in the entrepreneurial stage? a. The need to deal with too much red tape b. The need for delegation c. The need for revitalization d. The need for leadership

d. The need for leadership

Which of the following is true of an organization with decentralized control? a. The organization emphasizes extrinsic rewards, and task-related job descriptions are given to employees. b. The organization assumes that people are incapable of self-discipline and cannot be trusted. c. The organization uses detailed rules and procedures and formal control systems. d. The organization places great emphasis on the selection and socialization of employees.

d. The organization places great emphasis on the selection and socialization of employees.

Which of the following is true of large firms? a. They are badly affected by disasters and take time to recover. b. They are generally more customized. c. They have lower productivity compared to small firms. d. They are able to weather economic woes more efficiently.

d. They are able to weather economic woes more efficiently.

A form of outsourcing is to use _____, firms that collect data from multiple organizations and analyze the combined data for them. a. hubs b. peripheral players c. data summarizers d. data intermediaries

d. data intermediaries

_____ refers to using technologies such as blogs, Facebook, or Twitter for interacting with and facilitating communication and collaboration among employees, customers, and other stakeholders. a. Social business b. Decision support c. Transaction processing d. Business intelligence

a. Social business

Which of the following is true of functional managers in successful international firms? a. They are involved in identifying and linking an organization's expertise and resources worldwide. b. They coordinate various functional activities located within the country to meet the problems, opportunities, needs, and trends in the local market. c. They enable an organization to achieve multinational flexibility and rapid response. d. They help with the transfer of ideas, trends, products, and technologies that arise in one country.

a. They are involved in identifying and linking an organization's expertise and resources worldwide.

Which of the following did Perrow specify? a. Two dimensions of departmental activities: variety and analyzability b. Three types of interdependence: pooled, sequential, and reciprocal c. Two aspects of the environment that call for a particular organizational structure d. Three categories of technical complexity present in organizations

a. Two dimensions of departmental activities: variety and analyzability

In which of the following teams do members remain in separate locations around the world and conduct their work electronically? a. Virtual global teams b. Work teams c. Multidomestic teams d. Intercultural teams

a. Virtual global teams

An organization's _____ is the work process that is directly related to the organization's mission. a. core technology b. mediating technology c. long-linked technology d. noncore technology

a. core technology

In connection with the shift to employee participation and empowerment, many companies are adopting a: a. decentralized control process. b. hierarchical control process. c. vertical organizational structure. d. centralized organizational structure.

a. decentralized control process.

Organizational changes that result from coercive forces occur due to _____. a. dependence b. obligation c. uncertainty d. professionalism

a. dependence

In the _____ stage of international development, market potential is limited and is primarily in the home country. a. domestic b. international c. multinational d. global

a. domestic

The transnational model operates on a principle of _____. a. flexible centralization b. dynamic centralization c. global standardization d. local responsiveness

a. flexible centralization

In a _____, for multinational corporations, the geographic distances for communication are greater and coordination is more complex than in other structures. a. global matrix structure b. global geographic structure c. global product structure d. global dynamic structure

a. global matrix structure

The _____ means that product design, manufacturing, and marketing strategy are standardized throughout the world, which is less costly than creating different products for different markets. a. globalization strategy b. standardization strategy c. export strategy d. multidomestic strategy

a. globalization strategy

The goal of the sociotechnical systems approach is to design an organization for: a. joint optimization. b. reengineering. c. self-regulation of advanced technology. d. strong organization culture.

a. joint optimization.

Sequential interdependence occurs in organizations with what Thompson called _____. a. long-linked technology b. mediating technology c. intensive technology d. routine technology

a. long-linked technology

Juan works for a college that offers correspondence courses. She works in the mailroom department stuffing envelopes with the replies of professors to students. She then seals the envelopes and puts them in an outgoing bin and there is very little use for creativity. The department has very strict rules and the management process is not flexible. In this context, the department that Juan works for has a(n) _____ design. a. mechanistic b. organic c. nonroutine d. unanalyzable

a. mechanistic

In the context of mechanisms for institutional adaptation, benchmarking is a: a. mimetic process. b. coercive process. c. normative process. d. generic process.

a. mimetic process.

Penrose Inc. is an American corporation that provides business consulting, information technology, and outsourcing services. The company has extensive experience in a number of international markets and has established facilities in several foreign countries. Penrose Inc. is in the _____ stage of international development. a. multinational b. international c. domestic d. global

a. multinational

A system formed by the interaction of a community of organizations and their environment is referred to as a(n): a. organizational ecosystem. b. interorganizational network. c. collaboration network. d. institutional environment.

a. organizational ecosystem.

Which of the following links together manufacturing components that previously stood alone? a. Unit production systems b. Flexible manufacturing systems c. Subtractive manufacturing systems d. Rigid production systems

b. Flexible manufacturing systems

Which of the following structures is great for standardizing production and sales around the globe? a. Global matrix structure b. Global product structure c. Global dynamic structure d. Global geographic structure

b. Global product structure

The Verification Department of the Internal Revenue Service checks the calculations on returns and notes any discrepancies. According to Perrow, this department fits into the category of _____. a. craft technologies b. routine technologies c. engineering technologies d. nonroutine technologies

b. routine technologies

_____ are pressures to achieve standards of professionalism and to adopt techniques that are considered by the professional community to be up to date and effective. a. Mimetic forces b. Coercive forces c. Normative forces d. Generic forces

c. Normative forces

In the context of the population-ecology perspective, which of the following is a difference between specialists and generalists? a. Specialists offer a broader range of products or services than generalists. b. Specialists move slower than generalists and are less flexible. c. Specialists are generally more competitive than generalists. d. Specialists are generally larger than generalists.

c. Specialists are generally more competitive than generalists.

. In which of the following approaches do businesses, governments, and nonprofit organizations join together across sectors and industries to tackle huge, compelling problems of mutual interest? a. The Behavioral approach b. The Internal process approach c. The Megacommunity approach d. The Open innovation approach

c. The Megacommunity approach

Which of the following theories argues that organizations try to minimize their reliance on other organizations for the supply of important resources and try to influence the environment to make resources available? a. The Resource-retention theory b. The Environmental resource theory c. The Resource-dependence theory d. The Economic supply theory

c. The Resource-dependence theory

Which of the following is true of country managers? a. They identify and link an organization's expertise and resources worldwide. b. They enable a manufacturing organization to provide knowledge and integrated solutions across multiple businesses, divisions, and countries for a large retail customer. c. They enable an organization to achieve multinational flexibility and rapid response. d. They reach out to various parts of the organization to resolve problems and coordinate activities across groups, divisions, or countries.

c. They enable an organization to achieve multinational flexibility and rapid response.

Chemical plants, oil refineries, liquor producers, pharmaceuticals, and nuclear power plants are examples of _____. a. unit production b. mass production c. large-batch production d. continuous-process production

d. continuous-process production

In contrast to hierarchical control, decentralized control relies on: a. extensive use of rules and policies. b. close personal supervision. c. reward systems. d. cultural values.

d. cultural values.

The use of huge databases that combine all of a company's data and allow users to access the data directly, create reports, and obtain responses to what-if questions is referred to as: a. data mining. b. data processing. c. transaction processing. d. data warehousing.

d. data warehousing.

In the _____ stage of international development, a company transcends any single country. a. domestic b. international c. multinational d. global

d. global

Quidpro, a food and beverage company based in Germany, gets most of its sales from outside its home country. Its employees are spread all over the world. The CEO is Belgian, the chairman was born in Austria, and more than half of the company's managers are non-Germans. The company has hundreds of brands and has production facilities or other operations in almost every country in the world. Quidpro is in the _____ stage of international development. a. multinational b. international c. domestic d. global

d. global

The members of _____ come from different countries and meet face to face. a. multidomestic teams b. work teams c. virtual global teams d. intercultural teams

d. intercultural teams

A company may use any or all of the mechanisms of mimetic, coercive, or normative forces to change itself for greater _____ in the institutional environment. a. profit b. market share c. resource dependency d. legitimacy

d. legitimacy

A _____ provides products or services that link clients from the external environment and, in so doing, allows each department to work independently. a. craft technology b. pooled technology c. routine technology d. mediating technology

d. mediating technology

A(n) _____ means that competition in each country is handled independently of competition in other countries. a. globalization strategy b. standardization strategy c. export strategy d. multidomestic strategy

d. multidomestic strategy

The awesome advantage of a smart factory is that: a. little training is required. b. employee involvement is very less. c. one product can be produced at a time, making it easier for employees to operate the machines involved in production. d. products of different sizes, types, and customer requirements freely intermingle on the assembly line.

d. products of different sizes, types, and customer requirements freely intermingle on the assembly line.

_____ is the highest level of interdependence and exists when the output of operation A is the input to operation B, and the output of operation B is the input back again to operation A. a. Reciprocal interdependence b. Pooled interdependence c. Sequential interdependence d. Routine interdependence

a. Reciprocal interdependence

In the context of the population-ecology perspective, which of the following best illustrates a generalist strategy? a. Maffles Inc. sells books, electronic equipment, furniture, and fashion accessories. b. Harpors Inc. sells fiction novels in Canada. c. Tradcom Corp. sells music DVDs over the Internet. d. Togyon Corp. sells toys manufactured from recycled plastic and discarded toys.

a. Maffles Inc. sells books, electronic equipment, furniture, and fashion accessories.

Which of the following stages of the population ecology model of organizations refers to the preservation and institutionalization of selected organizational forms? a. Retention b. Variation c. Exertion d. Selection

a. Retention

Garin Corp., an automobile manufacturing company, tried to increase its sales by releasing car models with new colors. In the light of its huge success, other automobile manufacturers began doing the same. Which of the following mechanisms for institutional adaptation is best illustrated in this scenario? a. Mimetic forces b. Coercive forces c. Normative forces d. Generic forces

a. Mimetic forces

_____ have high task variety, and the conversion process is not analyzable or well understood. a. Nonroutine technologies b. Routine technologies c. Engineering technologies d. Craft technologies

a. Nonroutine technologies

Getwel Corp. and Sebastian Inc. are two computer manufacturers that share with each other the details of commonly occurring issues and customer complaints. This enables them to work together and provide better service to their customers and also saves the time required to diagnose the issues. Which of the following does this scenario illustrate? a. A Collaborative network b. Resource dependence c. Normative forces d. A Trade association

a. A Collaborative network

Arkal Corp. manufactures wooden chairs and Borston Corp. manufactures plastic chairs. Arkal Corp. wants to enter into a resource-dependence relationship with Borston Corp. Which of the following types of resource-dependence relationships is most likely to result in Arkal Corp. gaining full control over the joint outcome? a. Acquisition b. Joint Venture c. Strategic Alliance d. Interlock

a. Acquisition

_____ is a technology that builds objects one successive layer of material at a time. a. Additive manufacturing b. CAD c. CAM d. Lean manufacturing

a. Additive manufacturing

_____ provide coordination on a regional basis that might include several countries. a. Business integrators b. Network coordinators c. Functional managers d. Country managers

a. Business integrators

Which of the following is not a characteristic of service technology? a. Delayed response time is acceptable. b. Customer interaction is generally high. c. Human element is very important. d. Quality is perceived and difficult to measure.

a. Delayed response time is acceptable.

Which of the following is a characteristic of the new orientation to interorganizational relationships? a. Equity and fair dealing b. Contract limiting the relationship c. Minimal up-front investment d. Legal resolution of conflict

a. Equity and fair dealing

Which of the following statements is true about the population-ecology perspective? a. It focuses on organizational diversity and adaptation within organizations. b. It focuses on the alliance of companies to share scarce resources. c. It focuses on minimizing the dependence of an organization on other organizations. d. It focuses on the congruence between an organization and the expectations from its environment.

a. It focuses on organizational diversity and adaptation within organizations.

Which of the following is true of a global product structure? a. It provides a fairly straightforward way to effectively manage a variety of businesses and products around the world. b. It provides a way to achieve vertical and horizontal coordination simultaneously along two dimensions. c. It works best when pressure for decision making balances the interests of both product standardization and geographic localization. d. It enables a global firm to achieve aspects of both global uniformity and local diversification and responsiveness.

a. It provides a fairly straightforward way to effectively manage a variety of businesses and products around the world.

Which of the following is a difference between the domestic and international stages of international development? a. The domestic stage is export-oriented, while the international stage is globally oriented. b. In the domestic stage, the market potential is limited, while in the international stage, the market potential is large. c. In the domestic stage, managers are concerned about international competitive positioning, while in the international stage, managers consider initial foreign involvement. d. The domestic stage is structural, while the international stage is functional.

b. In the domestic stage, the market potential is limited, while in the international stage, the market potential is large.

Which of the following is an assumption of the population-ecology perspective? a. Management competence is the biggest factor in the survival of organizations. b. Individual organizations find it difficult to adapt to environmental changes. c. Principles of evolution are not applicable to organizations because the fittest do not survive. d. A community of organizations is a closed system.

b. Individual organizations find it difficult to adapt to environmental changes.

Which of the following is true of a globalization strategy? a. It encourages product design, assembly, and marketing tailored to the specific needs of each country. b. It can save a company money because it helps reap economy-of-scale efficiencies by standardizing product design and manufacturing. c. It divides the world into geographic regions, with each geographic division reporting to the CEO. d. It works best when pressure for decision making balances the interests of both product standardization and geographic localization.

b. It can save a company money because it helps reap economy-of-scale efficiencies by standardizing product design and manufacturing.

Which of the following is true of a multidomestic strategy? a. It allows a company to take responsibility for global operations in its specific product area. b. It encourages product design, assembly, and marketing tailored to the specific needs of each country. c. It delegates responsibility and decision-making authority in some areas, such as adapting products or services to meet local needs. d. It enables an organization to achieve multinational flexibility and rapid response.

b. It encourages product design, assembly, and marketing tailored to the specific needs of each country.

_____ is defined as the general perspective that an organization's actions are desirable, proper, and appropriate within the environment's system of norms, values, and belief. a. Variation b. Legitimacy c. Niche d. Retention

b. Legitimacy

Which of the following is a difference between the international division and the domestic division of a company? a. The international division uses a global matrix structure, while the domestic division does not use a global matrix structure. b. The international division is organized according to geographic interests, while the domestic division is typically organized along functional or product lines. c. The international division is placed above other divisions and departments within the company, while the domestic division has a status equal to other major departments or divisions within the company. d. The international division does not have its own hierarchy to handle business, while the domestic division has its own hierarchy to handle business.

b. The international division is organized according to geographic interests, while the domestic division is typically organized along functional or product lines.

. Which of the following is not true regarding mass production and a smart factory? a. Mass production has many levels of control, while the smart factory has few. b. The span of control in mass production is narrow, while the span of control in the smart factory is wide. c. Tasks in mass production are routine and repetitive, while tasks in the smart factory are adaptive and creative. d. Decision making is centralized in mass production, while it is decentralized in the smart factory.

b. The span of control in mass production is narrow, while the span of control in the smart factory is wide.

Which of the following is true of collaborative roles played by managers? a. They have direct control over people and resources. b. They are accountable for specific business results. c. They are rigid and passive. d. They have direct authority over horizontal colleagues.

b. They are accountable for specific business results.

Which of the following helps managers to make smarter decisions? a. Restricting the use of social media technologies b. Using business intelligence software to analyze data c. Restricting use of intranets for knowledge management d. Using only horizontal linkages and not vertical linkages

b. Using business intelligence software to analyze data

Software for business intelligence, also called _____, helps users make sense of all of a company's data. a. dynamic software b. analytic software c. decision support software d. warehousing software

b. analytic software

Organizations with a wide niche or domain, that is, those that offer a broad range of products and services or that serve a broad market are: a. specialists. b. generalists. c. mutualists. d. pacifists.

b. generalists.

Companies that use a _____ have typically been those with mature product lines and stable technologies. a. global dynamic structure b. global geographic structure c. global matrix structure d. global product structure

b. global geographic structure

Relatively enduring resource transactions, flows, and linkages that occur among two or more organizations are called: a. intraorganizational networks. b. interorganizational relationships. c. internal processes. d. regulation processes.

b. interorganizational relationships.

In the context of international development, _____ means competitive issues in each country are independent of other countries; a company deals with each country individually. a. domestic b. multidomestic c. multinational d. global

b. multidomestic

Companies accept normative pressures to become like one another due to _____. a. dependence b. obligation c. uncertainty d. independence

b. obligation

Baxton Burgers is a chain of fast-food restaurants. It has outlets throughout the world. Each of the outlets is independent and does not communicate with each other, but each of them contributes to the growing success of the restaurant. In this context, the outlets of Baxton Burgers have _____. a. sequential interdependence b. pooled interdependence c. reciprocal interdependence d. successive interdependence

b. pooled interdependence

In football, the interdependence tends to be: a. pooled because management must select individual players and develop their skills. b. sequential because plays are run sequentially and events during the plays occur sequentially. c. reciprocal because mutual adjustments must be made by the players. d. sporadic because it is really a game of individual talents.

b. sequential because plays are run sequentially and events during the plays occur sequentially.

The _____ reflects the ultimate in both organizational complexity, with many diverse units, and organizational coordination, with mechanisms for integrating the varied parts. a. transformative model b. transnational model c. global model d. multidomestic model

b. transnational model

_____ is the process that causes one unit in a population to resemble other units that face the same set of environmental conditions. a. Allomorphism b. Chromaticism c. Isomorphism d. Isochronism

c. Isomorphism

_____ is a manufacturing process characterized by long production runs of standardized parts, and output often goes into inventory from which orders are filled because customers do not have special needs. a. Continuous-process production b. Unit production c. Large-batch production d. Small-batch production

c. Large-batch production

_____ refers to technologies, skills, and processes for searching and examining massive, complex sets of data that traditional data processing applications cannot handle to uncover hidden patterns and correlations. a. Social business b. Data warehousing c. Big data analytics d. Business intelligence

c. Big data analytics

_____ refers to the quality of collaboration across organizational units. a. Contingency b. Standardization c. Coordination d. Sustainability

c. Coordination

Which of the following statements is true about mimetic forces? a. Organizations are forced to behave similarly in order to maintain productive relationships. b. Political and governmental processes force organizations to become similar. c. In the face of uncertainty, organizations copy or model each other. d. Diversity is maintained in order for organizations to find and maintain a marketing niche.

c. In the face of uncertainty, organizations copy or model each other.

Which of the following is true of international divisions? a. They are typically organized along functional or product lines. b. They move organizations from more sophisticated international operations to domestic divisions. c. They have their own hierarchy to handle businesses in various countries. d. They sell products and services created by international operations in domestic markets.

c. They have their own hierarchy to handle businesses in various countries.

In the _____ component of a smart factory, computers are used to assist in the drafting, creation, and engineering of new parts. a. manufacturing processes management b. computer-aided manufacturing c. computer-aided design d. product life cycle management

c. computer-aided design

Service organizations can achieve their greatest economies through: a. centralization of services. b. geographic concentration. c. disaggregation into small units located close to customers. d. centralized decision making with a high formalization.

c. disaggregation into small units located close to customers.

Organizations operating under the resource-dependence philosophy will: a. withdraw control over external resources, thereby maximizing dependence. b. succeed by emphasizing interdependence with other companies, thereby establishing lasting relationships. c. do whatever is needed to avoid dependence on the environment, thereby reducing uncertainty. d. set up dependencies when they become more self-reliant, thereby maximizing autonomy.

c. do whatever is needed to avoid dependence on the environment, thereby reducing uncertainty.

Hill Fog is a brand of bottled water in India. Asif, the marketing manager at Hill Fog, is aware of the global environment and is considering initial foreign involvement in the United States to expand production volume and realize economies of scale. Hill Fog is in the _____ stage of international development. a. multinational b. international c. domestic d. global

c. domestic

All of the following except _____ are the stages of the population ecology model of organizations. a. retention b. variation c. exertion d. selection

c. exertion

Reciprocal interdependence tends to occur in organizations with what Thompson called _____, which provide a variety of products or services in combination to a client. a. craft technologies b. mediating technologies c. intensive technologies d. long-linked technologies

c. intensive technologies

In the _____ stage of international development, a company has extensive experience in a number of international markets and has established marketing, manufacturing, or research and development (R&D) facilities in several foreign countries. a. domestic b. international c. multinational d. global

c. multinational

Vintichic, a fashion house, plans to launch its new collection for summer. Each department has a part to play in producing the final product. The designers send the fabric and designs to the tailors, the tailors send the sewed clothes to the department that accessorize the clothes, the accessorizing department sends the clothes to the packaging and shipping department, and finally the packaging and shipping department transports the clothes to their various outlets throughout the world. In this scenario, the type of interdependence exhibited by the departments of the fashion house is _____. a. pooled interdependence b. reciprocal interdependence c. sequential interdependence d. autonomous interdependence

c. sequential interdependence

Jenson Motors, a car manufacturing company, decides to change its production operations strategy. In the company, an employee adds a part to the car frame and then sends it to another employee to add another part. This process continues until they get the final product, a complete car. The management wants to divide the employees into teams where each team is responsible for building an entire car. If Jenson Motors implements the change, the interrelationships would change from: a. pooled interdependence on the line to reciprocal interdependence between the teams. b. reciprocal interdependence on the line to sequential interdependence between the teams. c. sequential interdependence on the line to pooled interdependence between the teams. d. sequential interdependence on the line to reciprocal interdependence between teams.

c. sequential interdependence on the line to pooled interdependence between the teams.

A(n) _____ collects data from sales, purchases from suppliers, and inventory changes and stores them in a database. a. inventory control system b. automated analysis system c. transaction processing system d. decision support system

c. transaction processing system

In the population-ecology model of organizations, _____ means the appearance of new, diverse forms in a population of organizations. a. retention b. selection c. variation d. legitimacy

c. variation

The frequency of unexpected and novel events that occur in the conversion process is known as: a. complexity. b. accountability. c. variety. d. analyzability.

c. variety

_____ means searching out and analyzing data from multiple sources across the enterprise, and increasingly from outside sources as well, to identify patterns and relationships that might be significant. a. Data warehousing b. Data processing c. Data entry d. Data mining

d. Data mining

Which of the following is a difference between functional managers and country managers? a. Functional managers provide integrated solutions for a large retail customer, while country managers provide integrated solutions for a small retail customer. b. Functional managers enable an organization to achieve multinational flexibility and rapid response, while country managers identify and link an organization's expertise and resources worldwide. c. Functional managers coordinate information and activities related to key customer accounts, while country managers provide coordination on a regional basis that might include several countries. d. Functional managers coordinate across countries, while country managers coordinate across functions.

d. Functional managers coordinate across countries, while country managers coordinate across functions.

_____ involves monitoring and influencing employee behavior through extensive use of rules, policies, order of authority, written documentation, reward systems, and other formal mechanisms. a. A vertical organizational structure b. Decentralized control c. A horizontal organizational structure d. Hierarchical control

d. Hierarchical control

Which of the following is true of a global matrix structure? a. It coordinates sales and marketing initiatives across all geographic locations. b. It divides the world into geographic regions, with each geographic division reporting to the CEO. c. It provides a fairly straightforward way to effectively manage a variety of businesses and products around the world. d. It provides a way to achieve vertical and horizontal coordination simultaneously along two dimensions.

d. It provides a way to achieve vertical and horizontal coordination simultaneously along two dimensions.

Which of the following is a reason for a mimetic process to occur in an organization? a. Managers face high risks by supporting innovation. b. Managers are old-fashioned and stick to their original approach. c. Managers are unaware of the innovations occurring in the environment. d. Managers face high uncertainty.

d. Managers face high uncertainty.

_____ refers to the number and variety of products and services a company offers as well as the number and variety of regions, countries, and markets it serves. a. Integrator b. Cooptation c. Domain d. Scope

d. Scope

_____ is a highly ambitious quality standard that specifies a goal of no more than 3.4 defects per million parts. a. Kaizen b. Joint optimization c. Mass customization d. Six Sigma

d. Six Sigma

Which one of the following basic technology groups relies heavily on the human operator and is not highly mechanized? a. Large-batch production b. Assembly line production c. Continuous-process production d. Small-batch production

d. Small-batch production

Which of the following statements is true about smart factories? a. The span of control is wide in smart factories. b. The decision making is centralized in smart factories. c. The customer demand is stable in smart factories. d. The tasks are adaptive and craftlike in smart factories.

d. The tasks are adaptive and craftlike in smart factories.

In the _____, companies join together to become more competitive and to share scarce resources. a. institutional perspective b. resource-dependence perspective c. population-ecology perspective d. collaborative-network perspective

d. collaborative-network perspective

The purpose of the sociotechnical systems approach is to: a. apply the theory of job enlargement. b. increase the amount to pooled interdependence in organizations. c. increase the amount of manual labor used in organizations. d. combine human needs with technical efficiency in job design.

d. combine human needs with technical efficiency in job design.