Question 1

The more centralized an organization, the more of a problem communication will be.

Accepted Answer

A) True 
 B)False

Question 2

A ________ structure provides for more integration between corporate and divisional managers and between divisional managers.

Accepted Answer

A)  functional 
B)  bureaucratic 
C)  multidivisional matrix 
D)  transactional 
A)  functional 
B)  bureaucratic 
C)  multidivisional matrix 
D)  transactional

Question 3

Multidivisional structures tend to be the tallest of all organizational structures.

Accepted Answer

A) True 
 B)False

Question 4

When ________, the cost of each function's contribution to the development of each product becomes increasingly difficult to measure.

Accepted Answer

A)  an organization with a divisional structure uses the system of management by objectives 
B)  an organization with a functional structure grows and the number and complexity of their functions and products increases 
C)  an organization with a matrix structure operates in a stable environment 
D)  an organization with a divisional structure operates in a rich but complex environment 
A)  an organization with a divisional structure uses the system of management by objectives 
B)  an organization with a functional structure grows and the number and complexity of their functions and products increases 
C)  an organization with a matrix structure operates in a stable environment 
D)  an organization with a divisional structure operates in a rich but complex environment

Question 5

Describe the characteristics of a boundaryless organization.

Accepted Answer

A boundaryless organization is composed

Question 6

Which of the following is a difference between the product team and the matrix structures?

Accepted Answer

A)  Employees have two bosses in a product team structure and only one boss in a matrix structure. 
B)  A product team structure uses teams to coordinate activities but a matrix structure does not use teams. 
C)  Employees move between teams in a matrix structure but not in a product team structure. 
D)  A matrix structure has a taller hierarchy than a product team structure. 
A)  Employees have two bosses in a product team structure and only one boss in a matrix structure. 
B)  A product team structure uses teams to coordinate activities but a matrix structure does not use teams. 
C)  Employees move between teams in a matrix structure but not in a product team structure. 
D)  A matrix structure has a taller hierarchy than a product team structure.

Question 7

Which of the following statements is true regarding a network organization?

Accepted Answer

A)  A network structure is characterized by high production costs. 
B)  The organizations that use network structures have the tallest hierarchies. 
C)  An organization using a network structure experiences high beureaucratic costs. 
D)  A network structure allows an organization to act in an organic way. 
A)  A network structure is characterized by high production costs. 
B)  The organizations that use network structures have the tallest hierarchies. 
C)  An organization using a network structure experiences high beureaucratic costs. 
D)  A network structure allows an organization to act in an organic way.

Question 8

Which of the following statements is true regarding a product team structure?

Accepted Answer

A)  Use of product team structure increases the product development time. 
B)  In a product team structure divisions are organized according to the requirements of the different locations in which an organization operates. 
C)  A product team structure is more decentralized than a functional structure. 
D)  Typically, a product team structure is used by an organization that operates in a stable environment where the requirements of the customers do not change quickly. 
A)  Use of product team structure increases the product development time. 
B)  In a product team structure divisions are organized according to the requirements of the different locations in which an organization operates. 
C)  A product team structure is more decentralized than a functional structure. 
D)  Typically, a product team structure is used by an organization that operates in a stable environment where the requirements of the customers do not change quickly.

Question 9

Which of the following statements is true regarding a product division structure?

Accepted Answer

A)  In a product division structure, each division is independent and self-contained. 
B)  Use of product division structure leads to duplication of organizational activities. 
C)  Typically, a product division structure is used by an organization which produces a wide variety of complex products. 
D)  In a product division structure, support functions are centralized at the top of the organization. 
A)  In a product division structure, each division is independent and self-contained. 
B)  Use of product division structure leads to duplication of organizational activities. 
C)  Typically, a product division structure is used by an organization which produces a wide variety of complex products. 
D)  In a product division structure, support functions are centralized at the top of the organization.

Question 10

What are the different types of divisional structures?

Accepted Answer

A divisional structure groups functions

Question 11

Most Fortune 500 companies use a functional structure because it allows them to grow and expand their operations while maintaining control over their activities.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following statements is true regarding a divisional structure?

Accepted Answer

A)  The goal behind the change to a divisional structure from a functional structure is to create larger subunits within an organization. 
B)  As compared to functional structure, divisional structure has lower levels of vertical differentiation. 
C)  A divisional structure employs more complex integrating mechanisms than a functional structure. 
D)  As compared to functional structure, divisional structure has lower levels of horizontal differentiation. 
A)  The goal behind the change to a divisional structure from a functional structure is to create larger subunits within an organization. 
B)  As compared to functional structure, divisional structure has lower levels of vertical differentiation. 
C)  A divisional structure employs more complex integrating mechanisms than a functional structure. 
D)  As compared to functional structure, divisional structure has lower levels of horizontal differentiation.

Question 13

Which of the following is a disadvantage of a multidivisional structure?

Accepted Answer

A)  A multidivisional structure decreases division of labor which ultimately decreases organizational effectiveness. 
B)  It becomes difficult for corporate headquarters to identify the divisions in which an investment of capital will yield the highest returns. 
C)  A multidivisional structure is not suitable for an organization which produces a wide range of complex products. 
D)  Multidivisional structures are very expensive to operate. 
A)  A multidivisional structure decreases division of labor which ultimately decreases organizational effectiveness. 
B)  It becomes difficult for corporate headquarters to identify the divisions in which an investment of capital will yield the highest returns. 
C)  A multidivisional structure is not suitable for an organization which produces a wide range of complex products. 
D)  Multidivisional structures are very expensive to operate.

Question 14

The structure that organizations most commonly adopt to solve the control problems that result from producing many different kinds of products in many different locations for many different types of customers is the divisional structure.

Accepted Answer

A) True 
 B)False

Question 15

Which of the following will allow managers to regain control of their organizations when they decide to adopt a more complex structure?

Accepted Answer

A)  decreasing vertical differentiation 
B)  increasing horizontal differentiation 
C)  decreasing integration 
D)  increasing formalization 
A)  decreasing vertical differentiation 
B)  increasing horizontal differentiation 
C)  decreasing integration 
D)  increasing formalization

Question 16

Differentiate between matrix structure and product team structure.

Accepted Answer

Both matrix structure and product team s

Question 17

Nike's product design and research function are located in Oregon and all the other production functions are outsourced to companies around the world. Nike uses a ________ structure.

Accepted Answer

A)  geographic divisional 
B)  network 
C)  functional 
D)  product team 
A)  geographic divisional 
B)  network 
C)  functional 
D)  product team

Question 18

Which of the following ways can be used by a manager to increase vertical differentiation?

Accepted Answer

A)  increase the number of levels in the hierarchy 
B)  increase the richness of the environment 
C)  diversify the business 
D)  manufacture products at several different locations 
A)  increase the number of levels in the hierarchy 
B)  increase the richness of the environment 
C)  diversify the business 
D)  manufacture products at several different locations

Question 19

A functional structure groups functions according to the specific demands of products, markets, or customers.

Accepted Answer

A) True 
 B)False

Question 20

A product team structure is more decentralized than a functional structure.

Accepted Answer

A) True 
 B)False

The more centralized an organization, the more of a problem communication will be.

A ________ structure provides for more integration between corporate and divisional managers and between divisional managers.

Multidivisional structures tend to be the tallest of all organizational structures.

When ________, the cost of each function's contribution to the development of each product becomes increasingly difficult to measure.

Describe the characteristics of a boundaryless organization.

Which of the following is a difference between the product team and the matrix structures?

Which of the following statements is true regarding a network organization?

Which of the following statements is true regarding a product team structure?

Which of the following statements is true regarding a product division structure?

What are the different types of divisional structures?

Most Fortune 500 companies use a functional structure because it allows them to grow and expand their operations while maintaining control over their activities.

Which of the following statements is true regarding a divisional structure?

Which of the following is a disadvantage of a multidivisional structure?

The structure that organizations most commonly adopt to solve the control problems that result from producing many different kinds of products in many different locations for many different types of customers is the divisional structure.

Which of the following will allow managers to regain control of their organizations when they decide to adopt a more complex structure?

Differentiate between matrix structure and product team structure.

Nike's product design and research function are located in Oregon and all the other production functions are outsourced to companies around the world. Nike uses a ________ structure.

Which of the following ways can be used by a manager to increase vertical differentiation?

A functional structure groups functions according to the specific demands of products, markets, or customers.

A product team structure is more decentralized than a functional structure.

Organizations and Organizational Effectiveness

Stakeholders, Managers, and Ethics

Organizing in a Changing Global Environment

Basic Challenges of Organizational Design

Designing Organizational Structure: Authority and Control

Creating and Managing Organizational Culture

Organizational Design and Strategy in a Changing Global Environment

Organizational Design, Competences, and Technology

Types and Forms of Organizational Change

Organizational Transformations: Birth, Growth, Decline, and Death

Decision Making, Learning, Knowledge Management, and Information Technology

Innovation, Intrapreneurship, and Creativity

Managing Conflict, Power, and Politics

Filters

Exam 6: Designing Organizational Structure: Specialization and Coordination

The more centralized an organization, the more of a problem communication will be.

A ________ structure provides for more integration between corporate and divisional managers and between divisional managers.

Multidivisional structures tend to be the tallest of all organizational structures.

When ________, the cost of each function's contribution to the development of each product becomes increasingly difficult to measure.

Describe the characteristics of a boundaryless organization.

Which of the following is a difference between the product team and the matrix structures?

Which of the following statements is true regarding a network organization?

Which of the following statements is true regarding a product team structure?

Which of the following statements is true regarding a product division structure?

What are the different types of divisional structures?

Most Fortune 500 companies use a functional structure because it allows them to grow and expand their operations while maintaining control over their activities.

Which of the following statements is true regarding a divisional structure?

Which of the following is a disadvantage of a multidivisional structure?

The structure that organizations most commonly adopt to solve the control problems that result from producing many different kinds of products in many different locations for many different types of customers is the divisional structure.

Which of the following will allow managers to regain control of their organizations when they decide to adopt a more complex structure?

Differentiate between matrix structure and product team structure.

Nike's product design and research function are located in Oregon and all the other production functions are outsourced to companies around the world. Nike uses a ________ structure.

Which of the following ways can be used by a manager to increase vertical differentiation?

A functional structure groups functions according to the specific demands of products, markets, or customers.

A product team structure is more decentralized than a functional structure.

Organizations and Organizational Effectiveness

Stakeholders, Managers, and Ethics

Organizing in a Changing Global Environment

Basic Challenges of Organizational Design

Designing Organizational Structure: Authority and Control

Creating and Managing Organizational Culture

Organizational Design and Strategy in a Changing Global Environment

Organizational Design, Competences, and Technology

Types and Forms of Organizational Change

Organizational Transformations: Birth, Growth, Decline, and Death

Decision Making, Learning, Knowledge Management, and Information Technology

Innovation, Intrapreneurship, and Creativity

Managing Conflict, Power, and Politics

Filters