Capstone CHP 11
Which of the following is an advantage offered by a functional structure?
. It allows for a higher degree of specialization and deeper domain expertise
Why did W. L. Gore reorganize itself into a functional structure from a simple structure?
A simple structure could not provide the effective division, coordination, and integration of work required to accommodate future growth.
Which of the following statements about an organization's culture is not true?
A strong monitoring and supervision mechanism is needed to enforce the culture.
Which of the following is an advantage of using a functional structure when pursuing a cost-leadership strategy?
It allows a cost-leader to upgrade core competencies in manufacturing and logistic.
Why should managers using the M-form organizational structure to support a related-diversification strategy ideally concentrate decision making at the top of the organization?
It allows a high level of integration.
Why does Zappos offer its new recruits $2,000 to quit at the end of the first week of their job?
It believes that individuals who choose to stay on will fit in with the Zappos culture.
Which of the following statements best describes groupthink?
It is a situation in which opinions coalesce around a leader without individuals critically challenging and evaluating that leader's opinions and assumptions.
Which of the following statements is true of organizational culture?
It is better for founder CEOs to create a relevant culture, structure, and strategy in the early stages.
Why is the optimal organizational structure a multidivisional structure?
Its focus is on driving down costs.
What was one of the reasons for Jerry Yang's failure at Yahoo?
Jerry's preference for obtaining consensus among his managers led to bickering and infighting
Which of the following real-world scenarios best exemplifies formalization?
McDonald's use of standard operating procedures across the world
_____ describes the collectively shared values and norms of an organization's members.
Organizational culture
Which of the following statements is true of strategy in an organization?
Organizational structure must follow strategy in order for firms to achieve superior performance.
Which of the following real-world scenarios best exemplifies the use of organizational culture to build competitive advantage?
Southwest Airlines pilots sometimes help load baggage, which results in quick turnaround time.
Why does strategy implementation often require changes within an organization?
Strategy implementation transforms strategy into actions and business models
Which of the following did management at Zappos do to reduce the level of formalization in their organization?
They avoided asking their customer service reps in call centers to follow a detailed script.
Which of the following statements about W. L. Gore & Associates best supports the fact that it is organized in an informal and decentralized manner?
W. L. Gore & Associates refers to its employees as associates rather than employees.
W. L. Gore has four product divisions: electronic products, industrial products, medical products, and fabrics division. It also has manufacturing facilities in the U.S., China, Germany, Japan, and Scotland, and business activities in 30 countries across the globe. Based on this information, which of the following statements is most accurate?
W. L. Gore is using a multidivisional structure.
Which of the following terms or phrases best characterizes Zappos' organizational structure?
extremely flat
To maintain its core competency of providing a superior customer experience in the face of explosive growth, Zappos split the organization into 10 standalone units. Which of the following does this scenario best illustrate?
how an organization accommodates strategy implementation through a flexible organizational structure
An organization that is organized according to strategic business units (SBUs) and also along organizational structures is most likely using a _____ structure.
matrix
Plow Inc. is a greeting card manufacturing company. Plow's market dominance exists primarily because of the innovative designs of its greeting cards when compared to those of its competitors. In this scenario, Plow Inc.'s managers must ideally rely on a functional structure that resembles a(n) _____ organization.
mechanistic
Walmart is an example of a(n) _____ organization
mechanistic
Organizational culture can help a firm gain and sustain competitive advantage only if the culture makes a positive contribution to the firm's economic value creation and
obeys the VRIO principles
An organization is characterized as having a flexible division of labor, distributed decision making, and generalized knowledge of how to accomplish strategic goals valued. This organization is most likely _____ in nature.
organic
Fast Call Inc. is a pharmaceutical company that has many breakthroughs in medicine to its credit. Unlike many other pharmaceutical companies, Fast Call has a relaxed work environment where employees are free to discuss projects with each other. Employees are encouraged to choose the projects that interest them; communication between team members and their supervisors is open and easy. Because of the company's work culture, its employees feel motivated to work harder and display more entrepreneurial behaviors. In this scenario, Fast Call Inc. is most likely an organization that is
organic.
Zappos' 10 core values that define what it means for employees to be working at Zappos also define the _____ of Zappos.
organizational culture
Which of the following is an unintended side effect of a high degree of specialization in an organization?
reduced employee satisfaction due to repetition of tasks
. While working a night job at a call center, Carlos creates an app called DineSmart, which can be used to place orders at restaurants, rate the restaurants, and make reservations. Because he receives good responses for his app, he quits hiscurrent job to focus his efforts on DineSmart. He creates a start-up called TYOP and hires three people to help him improve DineSmart and maintain the servers that run it. In this scenario, TYOP most likely has a _____ structure.
simple
Zappos established its unique organizational culture
through explicitly stated values that are connected to its reward system.
Which of the following is true of W. L. Gore & Associates, which has a lattice organizational form?
All employees are empowered to speak to all other employees in the organization
Why does a firm use an organic organization combined with a functional structure when implementing a differentiation strategy?
It allows the firm to constantly upgrade core competencies in R&D, innovation, and marketing.
Which of the following characteristics of McDonald's best supports the fact that it is a mechanistic organization?
Its job descriptions are very descriptive
_____ define appropriate employee attitudes and behaviors.
Norms