MGMT 3202 Chapter 7 Quiz

there is little duplication of services across divisions.

All of the following are advantages of a divisional structure, except:

false

Aspects of both functional and divisional structures simultaneously in the same part of the organization are combined in the virtual network approach

true

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.

false

Certainty in the environment is usually associated with decentralization

false, coordination

Collaboration refers to the managerial task of adjusting and synchronizing the diverse activities among different individuals and departments.

reengineering

Flash Card Inc. recently underwent a significant company-wide change that involved revision of its manufacturing and leadership processes. The result of this was a stronger emphasis on horizontal coordination. This level of change is referred to as: a. reorganization. b. reengineering. c. e-engineering. d. strategic planning. e. corporate structuring.

true

For companies to operate effectively, the amount of centralization or decentralization should fit the firm's strategy

false

In the divisional approach, coordination across divisions is great whereas coordination within divisions is often poor

coordination

Innovative Creations Corporation is designed along functional lines. New product development is very slow and the process is plagued by many problems. One of the problems is that the people in marketing never communicate with the people in production. This is an example of poor:

Tall

Jacob, a customer service representative for AB Retailers, has seven levels of management between himself and the company's CEO. In contrast, his friend Rhonda, a customer service representative for YZ Retailers, has only four levels of management between her and the company CEO. Compared to YZ, Jacob's company has what type of organizational structure?

does a variety of tasks and activities

Louise works in the manufacturing department at Ice Sculptures. The work in Louise's department is low in task specialization. As a result, Louise:

horizontal; vertical

Makai's Marketing Mix (MMM) does not use its resources wisely. The employees at MMM spend too much time in meetings and not enough time focusing on the task at hand. MMM's management should consider changing the organizational structure from _____ to _____. a. horizontal; vertical b. team based; horizontal c. vertical; team based d. mechanistic; rigid e. team-based; virtual network

functional

Organ Rentals Corporation has been having numerous problems. Communication across departments is poor and decisions are backing up at the top of the organization. Organ Rentals uses a _____ structure.

false

Organizing defines what to do while strategy defines how to do it

false

Quick response to external changes is an advantage of vertical functional structure

Scalar principle

Rebecca works for a company that has clearly defined lines of authority. Each employee knows that he or she has authority and responsibility for a distinct set of tasks. Employees are also aware of the company's reporting structure as well as successive management levels all the way to the top. Rebecca's company follows which principle?

false

Reengineering basically means preserving the past by establishing the sequence of activities by how work was done

true

Service firms include banks, hotels, and law firms.

divisional structure.

Stephanie works in one of seven research and development departments at Tara's Terrace, Inc. This would suggest that Tara's Terrace has a:

mass production

Swift Move Facilities manufacturers two different bicycle models. The company produces a high volume of products using standardized production runs. The company does very little product customization. Swift Move uses what type of technology structure?

organizational chart

The _____ delineates the chain of command, indicates departmental tasks and how they fit together, and provides order and logic for the organization. a. management chart b. employee directory c. structural table d. administrative chart e. organizational chart

true

The confusion and frustration caused by the dual chain of command is a major problem of the matrix structure.

true

The distinctive feature of the project manager position is that the person is not a member of one of the departments begin coordinated.

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.

divisional; matrix

The functional, _____, and _____ are traditional approaches that rely on the chain of command to define departmental groupings and reporting relationships along the hierarchy.

Unity of command

The matrix structure violates which of the following principles of management?

false

The principle of unity of command suggests that managers within an organization should reach agreement on the goals and objectives of the organization.

true

The pure functional structure is appropriate for achieving internal efficiency goals

false

The trend in recent years has been toward narrower spans of control as a way to facilitate delegation.

true

Traditional views of organizational design recommend a span of management of about 7 to 10 subordinates per manager

virtual network

Walt works for a large company. Recently, his organization began to contract out such functions as training, engineering, and computer service. This approach is consistent with a _____ structure.

false

When an organization uses a differentiation strategy, it strives for internal efficiency

Subordinates are located at various different locations.

Which of the following factors is NOT associated with larger span of control?

teams

Which of the following is a contemporary approach to structural design in departmentalization?

functional structure

Which of the following structures is most consistent with a strategy of stability? a. Team based structure b. Organic structure c. Matrix structure d. Functional structure e. Learning structure

A horizontal structure

Which of the following structures works best in an uncertain organizational environment?

Manufacturing

Which of the following typically is NOT considered a staff department?

differentiation

With a(n) _____ strategy, the organization attempts to develop innovative products unique to the market. a. differentiation b. integration c. reengineering d. cost leadership e. defensive

staff, line

_____ departments include all of those that provide specialized skills in support of _____ departments.

service technology

_____ is characterized by intangible outputs.