Question 1

A supervisor may delegate all accountability to subordinates.

Accepted Answer

A supervisor cannot delegate all accountability to subordinates as they are still ultimately responsible for the outcome of the task or project. Delegation involves assigning tasks and responsibilities to subordinates, but the supervisor remains responsible for ensuring that the tasks are completed successfully.

Question 2

It is important that every company use only one departmentalisation basis.

Accepted Answer

It is not necessary for a company to use only one departmentalisation basis. In fact, companies can use multiple basis for departmentalisation depending on their needs and goals. This can include product, customer, geography, process, and function, among others. It is important for a company to choose the most effective basis for its specific operations and organizational structure.

Question 3

Job specialisation is the separation of all organisational activities into distinct tasks and the assignment of different tasks to different people.

Accepted Answer

Job specialisation involves dividing tasks and assigning them to different individuals for greater efficiency and productivity.

Question 4

Departmentalisation by location allows an organisation to readily respond to the unique demands of each geographic area.

Accepted Answer

Departmentalisation by location ensures that the specific needs and preferences of each geographic region are taken into account, allowing the organisation to be more responsive to local concerns and issues. This can help to improve customer satisfaction and increase the efficiency of the organisation's operations in different locations.

Question 5

The employees at the Ford production facility in Michigan work on an assembly line where each employee performs a specific task.This method of assembly-line production is a good example of job specialisation.

Accepted Answer

The statement correctly describes the assembly-line production method where each employee has a specific task or role in the production process, which is an example of job specialization.

Question 6

Using more than one basis for departmentalisation is the rule rather than the exception for larger firms.

Accepted Answer

Larger firms often use multiple bases for departmentalisation in order to achieve a more complex and diverse organisational structure that can effectively manage different functions and tasks. This allows them to be more adaptable and responsive to changes in the business environment.

Question 7

Delegation is the act of distributing work and power to subordinates.

Accepted Answer

Delegation involves assigning tasks and responsibilities to other individuals within an organization, giving them the power and authority to complete the work without micromanagement from higher-ups.

Question 8

A highly centralised organisation usually means that lower-level employees have the opportunity to make decisions regarding the best way to accomplish their assigned tasks.

Accepted Answer

A highly centralised organisation means that decision-making authority is concentrated at the top level of management, and lower-level employees have limited autonomy and decision-making power.

Question 9

Green Sports Incorporated is a small start-up company that manufactures and markets sports equipment made from recycled materials.Green Sports is best suited to base its departmentalisation on product.

Accepted Answer

The answer of Green Sports Incorporated is a small start-up...

Question 10

A manager's reluctance to delegate may stem from his or her belief that the subordinate will do the work too well.

Accepted Answer

A manager might fear that a subordinate performing too well could overshadow their own abilities or potentially threaten their position, leading to reluctance in delegating tasks.

Question 11

The most common bases for departmentalisation are function, product, location, and customer.

Accepted Answer

This statement is true. The most common ways to departmentalize within an organization are by function (grouping employees by similar job duties), product (grouping employees by specific products or services they work on), location (grouping employees by geographical proximity), and customer (grouping employees by the customers or market segments they serve).

Question 12

Job rotation is the systematic shifting of employees from one job to another.

Accepted Answer

Job rotation involves shifting employees from one job to another in a systematic manner to give them exposure to different roles and responsibilities.

Question 13

The human resource manager of one of Hershey Foods' production facilities has been noticing an increase in absenteeism among assembly-line workers in the chocolate bar plant.Switching to a job rotation system would probably significantly decrease the amount of absenteeism.

Accepted Answer

Job rotation can provide variety and reduce monotony, leading to increased job satisfaction and lower absenteeism.

Question 14

Accountability is the power within an organisation to accomplish an assigned job or task.

Accepted Answer

Accountability refers to the obligation of an individual or organization to account for its activities, accept responsibility, and disclose results, not the power to accomplish a task.

Question 15

When authority is concentrated at the top level of management, the organisation is said to be decentralised.

Accepted Answer

When authority is concentrated at the top level of management, the organisation is said to be centralised, not decentralised. Decentralisation refers to the delegation of authority to lower-level employees or departments.

Question 16

When managers attempt to spread authority widely in the lower levels of an organisation, they are attempting to centralise authority.

Accepted Answer

When managers attempt to spread authority widely in the lower levels of an organisation, they are attempting to decentralize authority. Centralization of authority occurs when decision-making power is concentrated at the top levels of an organization.

Question 17

An organisation in which management consciously attempts to spread authority to the lower organisational levels is said to be centralised.

Accepted Answer

An organisation in which management consciously attempts to spread authority to the lower organisational levels is said to be decentralised.

Question 18

Adam Smith, author of The Wealth of Nations, is widely credited with being the first person to emphasise the power of specialisation.

Accepted Answer

Adam Smith is indeed credited with being the first person to emphasise the power of specialisation in his seminal work, The Wealth of Nations.

Question 19

Ford Motor Company's marketing department has recently been restructured to implement a brand management strategy.This is an example of departmentalisation by product.

Accepted Answer

Departmentalization by product involves organizing a company's departments based on the products or brands they manage, which aligns with Ford's restructuring for brand management.

Question 20

Older, larger firms producing and selling various products base departmentalisation on function.

Accepted Answer

The answer of Older, larger firms producing and selling various...

Quiz 7: Flexibility Within the Organisation