Deck 14: Organizational Structure

Question 1

The question of 'Who reports to whom?' is answered by which of the following elements of organizational structure?

A)Span of control
B)Formalization
C)Centralization
D)Work specialization
E)Chain of command

Answer 1

E

Question 2

At ABC Manufacturing Inc. ,only senior management has the authority to make final decisions.ABC is described as an organization with a _____ structure.

A)wide
B)marginally decentralized
C)moderately reciprocal
D)narrow
E)highly centralized

Answer 2

E

Question 3

_______ organizations are flexible,adaptive,outward-focused organizations that thrive in dynamic environments.

A)Mechanistic
B)Global
C)Multi-divisional
D)Matrix
E)Organic

Answer 3

E

Question 4

If decision-making is passed down to lower-level employees,and these employees feel empowered to make decisions on their own,that organization is described as having a _________ structure.

A)wide
B)decentralized
C)reciprocal
D)narrow
E)centralized

Question 5

Which element of organizational structure signifies formal authority relationships?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 6

_______ allow(s)managers to be much more hands on with employees,giving them the opportunity to use directive leadership styles while developing close mentoring relationships with employees.

A)Wide spans of control
B)High formalization
C)Low centralization
D)Narrow spans of control
E)Low formalization

Question 7

_______ refers to where decisions are formally made in the organization.

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 8

A drawing that represents every job in the organization and the formal reporting relationships between those jobs is called:

A)The chain of command
B)an organizational chart
C)centralization
D)formalization flow
E)span of control

Question 9

Mechanistic organizations are typified by a structure that relies on all of the following,except?

A)High levels of formalization
B)A rigid and hierarchical chain of command
C)High degree of work specialization
D)Wide spans of control
E)Centralized decision-making

Question 10

The degree to which tasks in an organization are divided into separate jobs refers to:

A)centralization
B)chain of command
C)span of control
D)formalization
E)work specialization

Question 11

At Personal Touch,Inc. ,there is total focus on providing care and satisfaction to each customer.In the 'major-clients division',each manager is assigned three employees to supervise.In the 'product-assembly division' each manager supervises about 15 employees.The major-clients' division managers can be described as having _______ and the product assembly managers,_______.

A)a narrow span of control;a wide span of control
B)tall formalization;flat formalization
C)narrow centralization;tall centralization
D)a wide span of control;a narrow span of control
E)flat formalization;tall formalization

Question 12

A _______ span of control creates a _______ organization structure.

A)wide;flat
B)tall;flat
C)moderate;narrow
D)narrow;flat
E)flat;moderate

Question 13

Which of the following represents how many employees each manager in the organization has responsibility for?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 14

Which of the following elements of organizational structure is also referred to as a company's division of labour?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 15

The degree to which rules and procedures are used to standardize behaviours and decisions in an organization is called:

A)chain of command
B)formalization
C)centralization
D)work specialization
E)span of control

Question 16

Current research suggests that a _______ span of control is best for an organization's productivity.

A)wide
B)tall
C)moderate
D)narrow
E)flat

Question 17

_______ formally dictates how jobs and tasks are divided and coordinated between individuals and groups within the company.

A)Span of control
B)Formalization
C)Centralization
D)Organizational structure
E)Chain of command

Question 18

Which of the following are efficient,rigid,predictable,and standardized organizations that thrive in stable environments?

A)Mechanistic organizations
B)Client structure organizations
C)Multi-divisional organizations
D)Matrix organizations
E)Organic organizations

Question 19

All of the following are elements of organizational structure,except?

A)Chain of command
B)Centralization
C)Idealized influence
D)Formalization
E)Span of control

Question 20

A _______ span of control creates a _______ organization structure.

A)wide;tall
B)tall;flat
C)moderate;narrow
D)narrow;tall
E)flat;moderate

Question 21

All of the following are characteristics of mechanistic organizations,except?

A)Having a high degree of work specialization.
B)Having very clear lines of authority.
C)Where knowledge and expertise are decentralized.
D)Having high levels of hierarchical control.
E)Where information is passed through vertical communication between an employee and his/her supervisor.

Question 22

Which of the following is a necessary coordination mechanism that organizations rely on to get a standardized product or to deliver a standardized service?

A)Formalization
B)Centralization
C)Span of control
D)Chain of command
E)Work specialization

Question 23

Which element of organizational structure was Raj looking at?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 24

Queen City Furniture is the manufacturer of hand-crafted furniture.The company has 94 locations throughout the country and relies on decentralized decision-making to meet the needs of a dynamic business environment.Which of the following organizational structures may be most appropriate for Queen City Furniture?

A)Simple
B)Global
C)Mechanistic
D)Organic
E)Matrix

Question 25

Stable environments allow organizations to focus on:

A)flexibility
B)change
C)efficiency
D)adaptation
E)centrality

Question 26

Which of the following is associated with decentralization in decision-making?

A)Moderate spans of control
B)Tall spans of control
C)Wide spans of control
D)Narrow spans of control
E)Flat spans of control

Question 27

Javier is collecting information on which element of organizational structure?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 28

Which of the following environmental effects has the largest implications for organizational structure?

A)Whether the outside environment is stable or dynamic
B)Extrinsic culture clashing with intrinsic values
C)Internal factors affecting number of layers in an organization
D)Competitor's structures matching industry needs
E)Government mandates spans of control

Question 29

Which of the following encourages employees to develop knowledge and expertise outside of their specialization?

A)Multi-divisional organizations
B)Matrix organizations
C)Organic organizations
D)Mechanistic organizations
E)Global organizations

Question 30

Organic organizations are described by a structure that relies on all of the following,except?

A)Low levels of formalization
B)Weak chains of command
C)High degree of work specialization
D)Wide spans of control
E)Low formalization and high specialization

Question 31

Span of control is associated with which of the following?

A)The degree to which tasks in an organization are divided into separate jobs.
B)Answers the question of 'Who reports to whom?' and signifies formal authority relationships.
C)The level at which decisions are formally made in organizations.
D)Each manager represents how many employees he/she is responsible for in the organization.
E)The degree to which rules and procedures are used to standardize behaviours and decisions in an organization.

Question 32

Organic organizations are described as a structure that relies on which of the following?

A)High levels of formalization
B)A rigid and hierarchical chain of command
C)High degree of work specialization
D)Wide spans of control
E)Centralized decision-making

Question 33

Kristine was asked to collect evidence on which element of organizational structure?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 34

Organizations depend on which flow of authority to attain order,control,and predictable performance?

A)Span of control
B)Formalization
C)Centralization
D)Work specialization
E)Chain of command

Question 35

Which of the following structural elements are typically found in a mechanistic structure?

A)Low levels of formalization
B)Weak chains of command
C)High degree of work specialization
D)Wide spans of control
E)Low degree of work specialization and weak chains of command

Question 36

South Park Erasures is the low-cost producer of one type of standard erasures.Given that it operates in a fairly stable environment,the company focuses on making its product as efficiently as possible.Which of these organizational structures may be appropriate for South Park?

A)Multi-divisional
B)Global
C)Mechanistic
D)Matrix
E)Organic

Question 37

Alex was asked to collect information on which element of organizational structure?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 38

The process of creating,selecting,or changing the structure of an organization is referred to as:

A)formalization
B)organization design
C)specialization
D)spans of control
E)restructuring

Question 39

Anita is looking into information on which element of organizational structure?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 40

Which of the following,to some degree,is a never-ending trade-off among productivity,flexibility,and worker motivation?

A)Chain of command
B)Formalization
C)Centralization
D)Work specialization
E)Span of control

Question 41

Star Brokerage,Inc.(SBI)has grouped its work around the size and type of accounts they serve: Institutional Accounts,Pension Fund Accounts,and Personal Accounts.SBI has created which of the following organizational structures?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 42

Canadian Toy Manufacturer (CTM)groups its business units around the following divisions: educational toys,girl's toys,boy's toys,and electronic toys.CTM has created which of the following organizational structures?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 43

At Modern Technology,employees are grouped according to their functional expertise as well as the different key product lines that they are working on.Hence,the company has simultaneously created a combination of a functional and a product structure.This is an example of which organizational structure?

A)Conglomerate
B)Matrix
C)Geographic
D)Global
E)Simple

Question 44

The biggest weakness of a functional structure is that:

A)the organization as a whole has a relatively narrow focus
B)the organization has fewer product lines or services
C)the organization operates in a stable environment
D)the employees lose sight of the bigger organizational picture
E)efficiency is magnified as the span of control increases

Question 45

At ABC Manufacturing Inc. ,employees are grouped according to their expertise.All marketing employees are in one department,all finance employees are grouped in another department and similarly,all human resources and manufacturing employees are in their respective departments.ABC has which of the following structures?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 46

When General Motors groups its business units around its various automobile lines such as Chevrolet,Buick,or Cadillac,it is creating which of the following structures?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 47

A bureaucratic structure is an organizational form that exhibits many of the elements of the _______ organization.

A)simple
B)global
C)adaptive
D)organic
E)mechanistic

Question 48

As organizations become larger,they tend to become more _______ in nature.

A)simple
B)global
C)mechanistic
D)organic
E)matrix

Question 49

When a company organizes its activities according to where they do business,such as Northeast,Southeast,Northwest,Southwest,Midwest,etc. ,it is creating which of these organizational structures?

A)Simple
B)Product
C)Client-based
D)Functional
E)Geographic

Question 50

The method by which an organization transforms its inputs into outputs refers to its:

A)structure
B)technology
C)environment
D)strategy
E)chart

Question 51

Differentiators are more likely to take which approach to organizational design?

A)Mechanistic
B)Global
C)Multi-divisional
D)Matrix
E)Organic

Question 52

_______ are designed for efficiency and rely on high levels of work specialization,formalization,centralization of authority,rigid and well-defined chains of command,and relatively narrow spans of control.

A)Bureaucracies
B)Simple structures
C)Adaptive organizations
D)Organic structures
E)Non-profits

Question 53

Low-cost producers are more likely to take which approach to organizational design?

A)Mechanistic
B)Global
C)Multi-divisional
D)Matrix
E)Organic

Question 54

Which of the following describe an organization's objectives and how it attempts to capitalize on its assets to make money?

A)Organization structure
B)Company technology
C)Business environment
D)Company strategy
E)Organizational chart

Question 55

When 'Candies R Us' groups its business units according to where they do business such as the North America division,Europe division,the Asia division,or the Africa division,it is creating which of the following organizational structures?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 56

Which of the following statements about an organization's dynamic business environment is true?

A)It does not change frequently.
B)It allows organizations to primarily focus on efficiency.
C)Any changes that occur in dynamic environments happen very slowly.
D)It requires little change over time.
E)It requires organizations to have structures that are more adaptive.

Question 57

As an example of simple structures,more than 80 percent of employing organizations have fewer than _____ employees.

A)30
B)5
C)50
D)20
E)10

Question 58

The most basic bureaucratic structure is the _______ structure.

A)client-based
B)product
C)geographic
D)functional
E)simple

Question 59

More complex forms of organizational design that try to take advantage of two types of structures at the same time are called _______ structures.

A)simple
B)functional
C)client-based
D)product
E)matrix

Question 60

_______ structures are perhaps the most common form of organizational design.

A)Simple
B)Functional
C)Client-based
D)Product
E)Matrix

Question 61

Which of the following structures are extremely efficient when the organization has a relatively narrow focus,fewer product lines or services,and a stable business environment?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 62

The process of changing an organizational structure is called:

A)restructuring
B)organic structure
C)company strategy
D)formalization
E)work specialization

Question 63

The matrix structure gives each employee _______ chain(s)of command.

A)numerous
B)at least four
C)two
D)infinite
E)one

Question 64

Which of the following structures revolve around the different tastes of customers in different regions and the size of the locations that need to be covered by different salespeople?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 65

Which of the following are bureaucratic organizational forms in which employees are grouped into divisions around products,geographic regions,or clients?

A)Mechanistic structures
B)Global structures
C)Multi-divisional structures
D)Matrix structures
E)Organic structures

Question 66

According to research,restructuring has _______ effect on task performance.

A)a strong positive
B)a weak negative
C)no
D)a strong negative
E)a moderate positive

Question 67

Which of the following structures makes sense when firms diversify to the point that the products they sell are so different that managing them becomes overwhelming?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Simple

Question 68

Which of the following describes HairOil's organizational structure?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Matrix

Question 69

A _____ structure is a flat organization with one person as the central decision-making figure.

A)functional
B)product
C)client-based
D)simple
E)matrix

Question 70

Which of the following describes True Colours' organizational structure?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Matrix

Question 71

The first step in adapting to the environment is:

A)restructuring
B)recognizing the need to change
C)evaluating the external environment
D)evaluating the internal environment
E)exploring the competitor's structures

Question 72

Which of the following structures allows an organization to develop very flexible teams based on the experiences and skills of their employees?

A)Simple
B)Functional
C)Client-based
D)Product
E)Matrix

Question 73

Restructuring has _______ effect on commitment.

A)a strong positive
B)a weak negative
C)no
D)a moderate positive
E)a moderate negative

Question 74

Which of the following describes CurlyHair's organizational structure?

A)Client-based
B)Product
C)Geographic
D)Functional
E)Matrix

Question 75

A _______ structure gives each employee two chains of command,two groups with which to interact,and two sources of information to consider.

A)client-based
B)cross-border
C)geographic
D)matrix
E)product

Question 76

All of the following are elements of an organizational structure,except?

A)Work specialization.
B)Simple structure.
C)Chain of command.
D)Span of control.
E)Formalization.

Question 77

Which of the following structures generally develop from companies with functional structures,whose interests and goals become too diverse for that structure to handle?

A)Mechanistic
B)Global
C)Multi-divisional
D)Matrix
E)Organic

Question 78

As teams become a more common form for organizing work,which organizational structure is becoming more popular?

A)Client-based
B)Cross-border
C)Geographic
D)Matrix
E)Product

Question 79

A restructuring trend evident in recent years has been which of the following?

A)From a functional to a geographic-based
B)From a product to a client-based
C)From bureaucratic to a simple structure
D)A flattening of the organization
E)Creating a tall structure in the organization

Question 80

All of the following are associated with simple structures,except?

A)It is used by extremely small organizations in which the manager,president,and owner are all the same person.
B)It is not large enough to have a high degree of formalization.
C)It will only have very basic differences in work specialization.
D)It has high degree of work specialization that is centrally coordinated.
E)It is the most common form of organizational design.