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Exam 8: Structuring Organizations for Todays Challenges

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Question 71

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Span of control refers to the number of different markets a business can serve efficiently.

A) True
B) False

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Question 72

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Ainsley is a middle manager at a large, multinational corporation. She prefers to involve her subordinates in decision making and gives her workers a reasonable amount of flexibility in how they do their jobs. Ainsley's management approach illustrates the principles first popularized by Max Weber.

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B) False

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Question 73

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The line of authority that moves from the top of a hierarchy to the lowest level is called the

While staff personnel have the authority to make policy decisions, line personnel have the authority to advise and make suggestions.

In a bureaucratic organization

Economies of scale can be achieved through departmentalization.

A(n) ________ consists of one person at the top of the organization and many levels of managers who are responsible to that person.

To better organize his lawncare business, Steven is dividing each job into several parts. Mark is the fastest on the riding mower, Manny can rake up every tiny piece left on the lawn, and Steven is a master edger. If he assigns employees to their best strength, what would this action exemplify?

Realizing that it was time to invest in an updated information system, the CEO made an announcement in his weekly email to his team: "We are going to shake things up around here. We need to break apart our information system, and start over." Unfortunately, the message translated poorly in the minds of employees. A total shake-up such as this could impact employee morale. Progressive companies today incorporate strategies that continuously embrace

Which of the following describes a temporary networked organization made up of replaceable firms that join and leave as needed?

The ________ is the nerve center of the informal organization.

Joelle, a designer for a business that installs underground sprinkler systems for residential and commercial customers, is experiencing some frustration. She has two bosses, Reid and Bryan, who both share the ownership responsibilities of the business. While Reid is in charge of commercial accounts, Bryan is in charge of residential accounts. Sometimes, however, Reid and Bryan double book Joelle's time, creating irritations and animosity. Since they share managerial responsibility, there is no clear way to decide whose accounts are most important. This type of situation represents a violation of Fayol's principle.

Southeastern Bank organizes its loan operations based on the market served-consumer, small business, or nonprofit organizations. Departmentalization based on ________ allows Southeastern to better serve borrowers with different needs.

In a(n) ________ organization, decision-making authority is concentrated at the top level of management.

By structuring the company with cross-functional teams, there is a greater chance that a business is more responsive to social trends affecting customer preferences.

Bureaucratic organizations establish rules and regulations that everyone is expected to follow.

Division of labor refers to deciding how many jobs must be accomplished and then dividing them up amongst the labor force.

The informal organization appears as dashed lines on a firm's organizational chart.

The process of setting up individual departments to do specialized tasks is called job specialization.

Mason Mills management works hard to ensure that nobody in its organization has more than one boss and all workers are treated with fairness and respect. Additionally, work is divided into areas of specialization so that everyone knows to whom they should report. The management of Mason Mills reflects the ideas and principles of