Management Midterm

____ involves assigning direct authority and responsibility to a subordinate to complete tasks for which the manager is normally responsible

Delegation of authority

Kimberly-Clark is subdivided into organizational units called Kimberly-Clark Health Care, which provides products to hospitals, Kimberly-Clark Professional, which sells to businesses, and Kimberly-Clark Consumer, which sells the company's products to customers. From this information, you know that Kimberly-Clark uses ____.

Departmentalization

Departmentalization is a method of organizing work and workers into separate units responsible for particular business functions or areas of expertise

False

While organizational structure emphasizes the activities through which work is done in the organization, organizational process emphasizes jobs and their authority relationships.

False

____ departmentalization is notorious for confusion and conflict between project managers in different areas of the organization

Matrix

____ is the collection of activities that transform inputs into outputs that customer's value.

Organizational process

Like most large U.S. hospitals, University Health Care System spends an enormous amount on patient supplies. The hospital has more than 15,000 individual products that are purchased on a routine basis. Its purchasing manager instituted a hospital-wide purchasing policy that gave a specific code to each individual item. In other words, the purchasing manager engaged in ____.

Standardization

. Organizational structure is the description of the vertical and horizontal configuration of departments, authority, and jobs within a company

True

A virtual organization is part of a network in which many companies share skills, costs, capabilities, markets, and customers with each other.

True

Functional departmentalization organizes work and workers into separate units responsible for particular business functions or areas of expertise.

True

In a decentralized organization, workers closest to problems are authorized to make the decisions necessary to solve the problems on their own.

True

The coordination of departmental activities tends to be more difficult with the geographic approach to departmentalization than with the other approaches

True

Which of the following positions most likely performs a staff function?

a member of the office cleaning crew

Refer to WWYD Eli Lilly. When John Lechleiter put everyone involved in drug development under one roof in a Development Center of Excellence, he increased the opportunities for the people directly responsible for drug development to connect and talk about their work. This single move increased the __________at the company.

behavior informality

Which of the following is NOT one of the core job characteristics in the job characteristics model (JCM)? a.client relationships b. task identity c. autonomy d. skill variety e. task significance

client relationships

The marketing manager of a company that manufactures church furniture has been given the job of increasing corporate profits by 5 percent during the upcoming year. The manager decided to give his assistant the full responsibility and authority for developing a mailing campaign to target churches on the Mississippi Gulf Coast. In other words, the marketing manager has ____.

delegated the task

Refer to Yahoo!. One of the causes of the precipitous drop in the value of Yahoo's stock was that too many unrelated decisions were being made by unrelated people in the company without any regard for what was best for the entire company. One way to solve this problem would be to use more ____.

delegation

Refer to Yahoo!. One of the causes of the precipitous drop in the value of Yahoo's stock was the company's inability to subdivide work and workers into separate organizational units responsible for completing particular tasks. For example, Yahoo has no sales unit to cultivate and call on advertising customers. Yahoo caused itself trouble when it decided to not engage in ____.

departmentalization

Novo Nordisk is a European manufacturer of pharmaceuticals. An employee , Rikke NedergaardBischoff, who is a clinical-development scientist, contends that Novo upholds the standards expected of public institutions without the stifling bureaucracy. She says, "There's a great deal of empowerment at Novo Nordisk." Novo Nordisk provides NedergaardBischoff with ____.

feelings of intrinsic motivation

In essence, reengineering changes organizations by ____.

increasing reciprocal interdependence

The central concern of the job characteristics model (JCM) is

internal motivation

The organizational process ____.

is the collection of activities that transform inputs into outputs that customers value

The job design approach associated with ____ involves increasing the number of different tasks that a worker performs within one particular job and giving workers the authority and control to make meaningful decisions about their work.

job enlargement and job enrichment

Decentralization ____.

leads to faster decision making and more satisfied customers and employees

In terms of the chain of command, ____ authority is the right to command immediate subordinates, while ____ authority is the right to advise but not command others who are not subordinates.

line; staff

In a(n) ____ organization, the normal procedure for dealing with any matter lying outside the boundaries of one individual's functional responsibility is to refer it to the point in the system where such responsibility is known to reside, or, failing that, to lay it before one's superior

mechanistic

Which of the following is an approach to managing interorganizational processes?

modular organizations

Refer to WWYD Eli Lilly. Lilly's move to outsource its research to contract research organizations to cut costs for R&D, rigorous testing, and manufacturing, is indicative of the company's new______structure.

modular structure

A(n) ____ organization is one that is characterized by broadly defined jobs and responsibilities; loosely defined, frequently changing roles; and decentralized authority and horizontal communication based on task knowledge.

organic

While ____ emphasizes jobs and their authority relationships, ____ emphasizes the activities through which work gets done in the organization.

organizational structure; organizational process

Modular organizations ____.

outsource all but the core business activities that they can perform best

Hallmark has four departments. These departments are (1) Flowers and Gifts, (2) Cards and E-cards, (3) Hallmark Collectibles, and (4) Photo Albums and Scrapbooks. Hallmark uses ____ departmentalization.

product

In recent years, the Air Force Weather Agency (AFWA) has undergone a radical change in how it determines and shares local weather conditions with pilots. Before the local base weather station was responsible for warnings. The quality of this information varied. Now AFWA provides the same high standard of weather information to all pilots. This is an example of ____?

reengineering

LexisNexis realized that its ability to serve new Web-based customers was severely straining its customer service department after thousands of small and midsize law firms representing a huge business opportunity had to wait 48 hours to have their Web accounts activated after signing up. Clearly, LexisNexis needed to revamp its customer sign-up and order-fulfillment processes, which were designed for large law firms and the ordering of hardcover legal tomes. LexisNexis would most likely use ____ to radically change its business practices.

reengineering

Zara clothing stores has developed a system that can order new fashions and deliver them to the store in only three weeks. It uses ____ to pass information to the next person in the line of development.

sequential interdependence

. Honeywell Inc. reorganized its European operations along customer lines to prepare for a unified European Union. In doing so, it abandoned matrix departmentalization. Why would Honeywell engage in such restructuring?

to end conflict between product managers in different parts of its matrix

A park, recreation, and open space (PROS) cooperative is a recognized association of park, recreation, open space, and related entities united voluntarily. PROS cooperatives conserve the diversity of valued resources and recreation opportunities for the benefit these afford individuals, communities, the economy, and the environment. A PROS cooperative is an example of a ____ organization.

virtual

In the automobile industry, three car manufacturers and a variety of suppliers and distributors have formed a network to create economies in production through outsourcing. It is intended for this ____ to cut as much as $3,000 from the costs of producing one car.

virtual organization

Of all types of departmentalization, ____ departmentalization requires the highest level of management skill for successful implementation.

Matrix

Procter & Gamble has divisions for personal and beauty, house and home, health and wellness, baby and family, and pet nutrition and care. These divisions indicate that the company uses ____ departmentalization.

Product

____ is the process of solving problems by consistently applying the same rules, procedures, and processes.

Standardization

Elena works in a data processing department for a large credit reporting service and is bored. She spends her days inputting an endless stream of monotonous data into much larger data bases. According to the job characteristics model (JCM), one of the primary reasons for her boredom is ____.

a low degree of task identity

Organizational authority is traditionally characterized by ____.

chain of command

As a class project, Senora is working with other classmates to create a company that would market NASCAR memorabilia. Senora's teacher has instructed her to use the traditional approach to create the organization's structure. What should Senora do?

create an organizational structure with vertical and horizontal configurations

Refer to WWYD Eli Lilly. The shift to "siloed" research would likely be proposed by those in the company who advocate______departmentalization.

functional