World of Business Chapters 7 & 8 Sample Questions

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5. A(n) _____ organization is a network of connections and channels of communication based on the informal relationships of individuals inside an organization.

informal

4. A(n) _____ 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

3. ______ is the practice of giving a great deal of authority and decision-making freedom to lower-level managers.

decentralization

6. The goal of ______ is to redesign business processes to achieve improvements in cost control, product quality, and customer service.

reenginerring

1. The typical problem-solving team:

A. makes final decisions B. allocates resources C. is comprised of employees from several different functional areas D. meets on a regular basis to share information and discuss ways to improve processes E. is accurately described by all of the above

2. The number of people or subordinates that a manager effectively controls and directs is called the manager's span of:

control

7. The virtual corporation is a network of independent companies, including suppliers, customers, and competitors that locate in the same building to share skills, costs, and access to one another's markets.

true


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