chapter 8 quiz

Two advantages of decentralization are that managers are encouraged to not solve their own problems, but ask for assistance as soon as possible, and decisions are made slower, since they are discussed at a higher level of management. True False

False An advantage of decentralized authority is that managers are encouraged to solve their own problems rather than to buck the decision to a higher level. In addition, decisions are made more quickly, which increases the organization's flexibility and efficiency.

Productivity expert Odette Pollar proposed that "To accomplish more in a day, you must do more and do everything faster." True False

False Oakland, California, productivity expert Odette Pollar proposed that "To do more in a day, you must do less—not do everything faster."

Mutual-benefit organizations are voluntary collectives whose purpose is to advance members' interests, while nonprofit organizations are formed to offer services to some clients, not to make a profit. True False

True Mutual-benefit organizations are voluntary collectives whose purpose is to advance members' interests (examples: unions, trade associations). Nonprofit organizations are formed to offer services to some clients, not to make a profit (examples: hospitals, colleges). For-profit organizations are formed to make money, or profits, by offering products or services (examples: Microsoft, Dell Computer. Delta Airlines).

The arrangement of having discrete parts of a task done by different people is known as a(n) ____. organization chart employee structure common purpose division of labor contingency approach

division of labor Division of labor, also known as work specialization, is the arrangement of having discrete parts of a task done by different people.

Greg, the CEO of Organic Market, wants managers and employees to instruct each other about the organization's chosen values and beliefs. Greg has encouraged the seasoned employees to retell stories about the company legends, and he plans on bringing back the monthly rewards. Greg is endeavouring to ____. add heroes establish a value system use a diversity plan embed industry culture embed company culture

embed company culture Changing organizational culture is a teaching process in which organizational members teach each other about the organization's preferred values, beliefs, expectations, and behaviors. The process is accomplished by using one or more of the following 12 mechanisms; 1. Formal statements; 2. Slogans & sayings; 3. Rites & rituals; 4. Stories, legends, & myths; 5. Leader reactions to crises; 6. Role modeling, training, & coaching; 7. Physical design; 8. Rewards, titles, promotions, & bonuses; 9. Organizational goals & performance; 10. Measurable & controllable activities; 11. Organizational structure; 12. Organizational systems and procedures.

Espoused values are _____. explicitly stated values and norms preferred by an organization the values and norms actually exhibited in the community physical manifestations of its core beliefs profit and cost expectations stated in the business plan a narrative based on true events, which emphasize a particular value

explicitly stated values and norms preferred by an organization Espoused values are the explicitly stated values and norms preferred by an organization, as may be put forth by the firm's founder or top managers.

Philip, a shift manager in a factory, has 40 employees on his shift that he directly supervises. The 40 workers who report directly to Philip represent his _____. unity of command span of direction span of control division of labor hierarchy of authority

span of control The span of control, or span of management, refers to the number of people reporting directly to a given manager.

According to Chester I. Barnard, an organization is made up of at least one person who strives daily to achieve the organization's goals. True False

False According to Chester I. Barnard's classic definition, an organization is a system of consciously coordinated activities or forces of two or more people.

Organizational culture appears as five layers: observable artifacts, espoused values, basic assumptions, informal groups, and management groups. True False

False Organizational culture appears as three layers: (1) observable artifacts, (2) espoused values, and (3) basic assumptions.

The IT network that allows for the movement of organizational information within that company is known as the organizational structure. True False

False Organizational structure is a formal system of task and reporting relationships that coordinate and motivates an organization's members so that they can work together to achieve the organization's goals.

Thomas, an employee for a government contractor, likes the strict culture that he finds with ABC Industries, which supplies equipment parts to several government bases. There is very little focus on the external environment and little company flexibility due to the type of customers they serve. Since the product they sell needs little improvement and there is virtually no competition, few are risks taken. This is an example of an adhocracy culture. True False

False A hierarchy culture has an internal focus and values stability and control over flexibility. An adhocracy culture has an external focus and values flexibility. This type of culture attempts to create innovative products (new drugs) by being adaptable, creative, and quick to respond to changes in the marketplace. Employees are encouraged to take risks and experiment with new ways of getting things done (drug research).

Hannah, the youngest owner of a family-owned grocery, wants to make sure her company's culture is embedded in their organization. In a recent tradeshow workshop, she learned that she can do this by having company rites and rituals, continuing to tell stories about company legends, and being a role model to her employees. True False

True Embedding organizational culture is essentially a teaching process—that is, a process in which members instruct each other about the organization's preferred values, beliefs, expectations, and behaviors. The process is accomplished by using one or more of the following 12 mechanisms: 1. Formal statements; 2. Slogans & sayings; 3. Rites & rituals; 4. Stories, legends, & myths; 5. Leader reactions to crises; 6. Role modeling, training, & coaching; 7. Physical design; 8. Rewards, titles, promotions, & bonuses; 9. Organizational goals & performance; 10. Measurable & controllable activities; 11. Organizational structure; 12. Organizational systems & procedures.

When managers and employees within the same department are brought together in cross-functional teams to solve particular problems, this is a team-based design. True False

True When managers from different functional divisions are brought together in cross-functional teams to solve particular problems, the barriers between the divisions break down. The focus on narrow divisional interests yields to a common interest in solving the problems that brought them together.

A system of shared beliefs and values that develops within an organization and guides the behavior of its members is known as the company's culture or organizational culture. True False

True A system of shared beliefs and values that develops within an organization and guides the behaviour of its members is known as the company's culture or organizational culture.

A control mechanism for making sure the right people do the right things at the right time is a(n) _____. matrix structure division of labor hierarchy of authority organization chart contingency design

hierarchy of authority The hierarchy of authority, or chain of command, is a control mechanism for making sure the right people do the right things at the right time.

Ann is a teacher who became interested in helping adults in some of the poorer neighborhoods learn how to read. She plans to start a reading center in a low income area to help residents with reading skills at no cost. Ann's center is an example of a(n) _____. association for-profit organization union nonprofit organization coop

nonprofit organization A nonprofit organization is formed to offer services to some clients, as the Humane Society does, not to make a profit.

The company dress code and award ceremonies are part of its ____. mission statement organization benefits observable artifacts core values ethical codes

observable artifacts At the most visible level, organizational culture is expressed in observable artifacts, which are physical manifestations such as manner of dress, awards, myths and stories about the company, rituals and ceremonies, and decorations, as well as visible behavior exhibited by managers and employees.

A(n) ______ is a system of consciously coordinated activities or forces of two or more people. culture hierarchy of authority task plan organization closed system

organization According to Chester I. Barnard's classic definition, an organization is a system of consciously coordinated activities or forces of two or more people. By this definition, a crew of two coordinating their activities to operate a commercial tuna fishing boat is just as much an organization as the entire StarKist Tuna Co.

A hierarchy culture has an internal focus and most values ____. community standards flexibility stability and control external stakeholders risk-taking

stability and control A hierarchy culture has an internal focus and values stability and control over flexibility.

The chain of command is also known as _____. the vertical hierarchy the movement chart the organizational picture the horizontal specialization: an analytics tool

the vertical hierarchy The vertical hierarchy is also known as the chain of command.