Question 1

Candoo Ltd.will soon flatten its hierarchy by removing two of the five layers of management.If the number of employees in the organization remains constant,which of the following must also occur?

Accepted Answer

A)   It must adopt a matrix form of departmentalization.
B)   It must widen the span of control.
C)   It must rely more on direct supervision than standardization to coordinate the resulting structure.
D)   It must centralize decision making.
E)   All of these must occur.

Question 2

Organizations tend to become less formalized as they age and grow in number of employees.

Accepted Answer

A) True 
 B)False

Question 3

Decentralization is more likely to occur when:

Accepted Answer

A)   an organization becomes so complex that senior executives cannot process all the decisions that significantly influence the business.
B)   corporate leaders want more consistent decisions across all work units.
C)   corporate leaders want to increase consistency and reduce costs across the organization.
D)   all of these occur.
E)   none of these occur.

Question 4

One of the main forces pushing organizations towards a network structure is the recognition that an organization has only a few core competencies.

Accepted Answer

A) True 
 B)False

Question 5

One of the defining characteristics of a functional organizational structure is that it:

Accepted Answer

A)   has a narrow span of control and high degree of formalization and centralization.
B)   is the only structure that organizes employees around specific knowledge or other resources.
C)   overlays two organizational structures in order to leverage the benefits of both types of structure.
D)   uses self-directed work teams rather than individuals as the basic building block of organizations.
E)   is an alliance of several organizations for the purpose of creating a product or serving a client.

Question 6

The more diversified the environment,the more the firm would benefit from a divisionalized form of departmentalization.

Accepted Answer

A) True 
 B)False

Question 7

Team-based organizations rely extensively on:

Accepted Answer

A)   hourly wages and generous employee benefits.
B)   supervisors as the main source of direction and control.
C)   a tall hierarchy.
D)   communities of practice.
E)   self-directed work teams.

Question 8

Network structures come close to the perfect example of a mechanistic organizational structure.

Accepted Answer

A) True 
 B)False

Question 9

An organic structure works better than a mechanistic structure where tasks have high variety and low analyzability.

Accepted Answer

A) True 
 B)False

Question 10

A divisionalized structure works best where the organization:

Accepted Answer

A)   has few employees.
B)   operates in one market with one product and one client group.
C)   wants to assign the most power to executives responsible for technical expertise in the organization.
D)   is expanding into several distinct product and/or client groups.
E)   wants to maintain a strong centralized control over business activities.

Question 11

Organizations operating in diverse environments should:

Accepted Answer

A)   adopt a functional structure.
B)   centralize so that more decisions are made by top management alone.
C)   develop a set of formal rules and regulations specifically addressing what employees should do about that diversity.
D)   adopt a divisional structure aligned with that diversity.
E)   do none of these things.

Question 12

Team-based organizational structures are usually found:

Accepted Answer

A)   in the manufacturing operations of larger divisionalized structures.
B)   in Asia rather than North America.
C)   in the professional support (e.g. accounting)  units of larger functional structures.
D)   in government departments and agencies.
E)   as stand-alone organizations that apply no other organizational structures.

Question 13

To increase work efficiency and make it easier to match employee competencies with job requirements,companies tend to:

Accepted Answer

A)   divide work into more specialized jobs.
B)   rely on formal hierarchy as a coordinating mechanism.
C)   rely on a narrow span of control.
D)   centralize decision making.
E)   rely on formal hierarchy AND a narrow span of control.

Question 14

Freer trade,advances in information technology,and more global customers are pressuring many large global companies to:

Accepted Answer

A)   shift away from geographically based to more client-based divisionalized structures.
B)   increase direct supervision as the main coordinating mechanism.
C)   shift away from divisionalized structures into functional structures.
D)   disband their team-based structures in favour of simple structures.
E)   shift from functional structures to geographically based divisionalized structures.

Question 15

The formal hierarchy can be used to coordinate the work of front-line workers and executives through the division of organizational activities.

Accepted Answer

A) True 
 B)False

Question 16

A simple structure is one of the best structures in which to accommodate organizational growth and diversification.

Accepted Answer

A) True 
 B)False

Question 17

Several global organizations have tried implementing a matrix structure to balance the power of its functional and divisional groups.However,many of these firms experienced problems and eventually switched to a hybrid form of divisionalized structure.Identify some of the problems that these companies may have experienced with a matrix structure.

Accepted Answer

Matrix structures have a number of limit...

Question 18

The number of layers in an organization's hierarchy depends on the number of people employed and the average span of control.

Accepted Answer

A) True 
 B)False

Question 19

One common type of matrix structure overlays a functional structure with:

Accepted Answer

A)   a network structure.
B)   project teams.
C)   a simple structure.
D)   a mechanistic structure.
E)   another functional structure.

Question 20

Tall hierarchies tend to encourage employee empowerment and engagement because they focus power around employees rather than managers.

Accepted Answer

A) True 
 B)False

Exam 13: Designing Organizational Structures

Decentralization is more likely to occur when:

Correct Answer
verified

Team-based organizations rely extensively on:

Correct Answer
verified

One common type of matrix structure overlays a functional structure with:

Correct Answer
verified

To increase work efficiency and make it easier to match employee competencies with job requirements,companies tend to:

Correct Answer
verified

Network structures come close to the perfect example of a mechanistic organizational structure.

Correct Answer
verified

A simple structure is one of the best structures in which to accommodate organizational growth and diversification.

Correct Answer
verified

The formal hierarchy can be used to coordinate the work of front-line workers and executives through the division of organizational activities.

Correct Answer
verified

A divisionalized structure works best where the organization:

Correct Answer
verified

One of the defining characteristics of a functional organizational structure is that it:

Correct Answer
verified

Correct Answer
verified
Matrix structures have a number of limit...
View Answer

Team-based organizational structures are usually found:

Correct Answer
verified

Candoo Ltd.will soon flatten its hierarchy by removing two of the five layers of management.If the number of employees in the organization remains constant,which of the following must also occur?

Correct Answer
verified

Organizations operating in diverse environments should:

Correct Answer
verified

An organic structure works better than a mechanistic structure where tasks have high variety and low analyzability.

Correct Answer
verified

Organizations tend to become less formalized as they age and grow in number of employees.

Correct Answer
verified

The more diversified the environment,the more the firm would benefit from a divisionalized form of departmentalization.

Correct Answer
verified

Freer trade,advances in information technology,and more global customers are pressuring many large global companies to:

Correct Answer
verified

One of the main forces pushing organizations towards a network structure is the recognition that an organization has only a few core competencies.

Correct Answer
verified

The number of layers in an organization's hierarchy depends on the number of people employed and the average span of control.

Correct Answer
verified

Tall hierarchies tend to encourage employee empowerment and engagement because they focus power around employees rather than managers.

Correct Answer
verified

Exam 13: Designing Organizational Structures

Decentralization is more likely to occur when:

Correct AnswerverifiedShow Answer

Team-based organizations rely extensively on:

Correct AnswerverifiedShow Answer

One common type of matrix structure overlays a functional structure with:

Correct AnswerverifiedShow Answer

To increase work efficiency and make it easier to match employee competencies with job requirements,companies tend to:

Correct AnswerverifiedShow Answer

Network structures come close to the perfect example of a mechanistic organizational structure.

Correct AnswerverifiedShow Answer

A simple structure is one of the best structures in which to accommodate organizational growth and diversification.

Correct AnswerverifiedShow Answer

The formal hierarchy can be used to coordinate the work of front-line workers and executives through the division of organizational activities.

Correct AnswerverifiedShow Answer

A divisionalized structure works best where the organization:

Correct AnswerverifiedShow Answer

One of the defining characteristics of a functional organizational structure is that it:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedMatrix structures have a number of limit...View AnswerShow Answer

Team-based organizational structures are usually found:

Correct AnswerverifiedShow Answer

Candoo Ltd.will soon flatten its hierarchy by removing two of the five layers of management.If the number of employees in the organization remains constant,which of the following must also occur?

Correct AnswerverifiedShow Answer

Organizations operating in diverse environments should:

Correct AnswerverifiedShow Answer

An organic structure works better than a mechanistic structure where tasks have high variety and low analyzability.

Correct AnswerverifiedShow Answer

Organizations tend to become less formalized as they age and grow in number of employees.

Correct AnswerverifiedShow Answer

The more diversified the environment,the more the firm would benefit from a divisionalized form of departmentalization.

Correct AnswerverifiedShow Answer

Freer trade,advances in information technology,and more global customers are pressuring many large global companies to:

Correct AnswerverifiedShow Answer

One of the main forces pushing organizations towards a network structure is the recognition that an organization has only a few core competencies.

Correct AnswerverifiedShow Answer

The number of layers in an organization's hierarchy depends on the number of people employed and the average span of control.

Correct AnswerverifiedShow Answer

Tall hierarchies tend to encourage employee empowerment and engagement because they focus power around employees rather than managers.

Correct AnswerverifiedShow Answer

Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified
Matrix structures have a number of limit...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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