Intro to Business Ch 8 Quiz (88%)

Which of the following statements about the informal organization is true?

All of the above statements about the informal organization are true.

A supervisor engaged in __________ is grouping people, tasks, and resources into organizational units to facilitate the planning, leading, and control processes.

departmentalization

At your neighborhood Wendy's, some employees take and fill orders, others prepare food, a few clean and maintain equipment, and some supervise. This process of dividing work into separate jobs and assigning tasks to workers is called:

division of labor

A non-virtual corporation is a network of independent companies linked by information technology to share skills, costs, and access to one another's markets.

false

Manufacturers often centralize production and decentralize their financial decision making.

false

Organization charts show the formal and informal relationships among people, jobs, and departments.

false

Kohber is a Swiss-company makes medical equipment. It recently purchased a company, which manufactures packaging for high-value drugs. Since it will run the packaging company as a separate division for its own use, it would seem that Kohber is departmentalized by:

function

One of the advantages of a wide span of control is:

greater organizational flexibility

A __________ organization is a design with direct, clear lines of authority and communication flowing from the top managers downward.

line

The purpose of reengineering is to:

make sure that the company is operating at the post-conventional ethical level

A __________ organization is characterized by a relatively high degree of job specialization, rigid departmentalization, many layers of management, narrow spans of control, centralized decision making, and a long chain of command.

mechanistic

Typical line positions are found in __________ departments.

production and marketing

Which of the following is a major building block for an efficient and effective organizational structure?

span of control

The ______ personnel provide advice and specialized support services to line managers.

staff

A company with a narrow span of control, which tends to have many managerial levels and a long chain of command, is said to have a __________ organizational structure.

tall

An organization that has undergone reengineering has completely redesigned its business structures and processes in order to improve operations.

true

Departmentalization is the grouping of jobs under the authority of one manager for the purposes of planning, coordination, and control.

true

Division of labor is the process of dividing the work and assigning tasks to workers.

true

Since Ibrahim Anguell has six subordinates reporting to him, his span of control is six.

true

The nature of the task and the location of the workers affect the size of a manager's span of control.

true

A research employee at the European Metabolic Diseases Group would have a boss at the company's European Research department and a boss at the company's European Metabolic Diseases product group. This would be in violation of:

unity of command

The __________ corporation is a network of independent companies linked by information technology to share skills, costs, and access to one another's markets.

virtual

Which of the following is NOT a key attribute of the virtual corporation?

The virtual corporation creates trust among its members.

__________ is a permanent organization structure that draws from horizontal and vertical authority relationships.

A matrix structure

Which of the following statements about the managerial hierarchy is true?

The managerial hierarchy is also called the management pyramid.