Exam 12: Implementing Strategy Through Organization

​To build capabilities in organizational design that would allow a company to develop a competitive advantage, strategic managers must start at the functional level.

Susan works at a high-technology firm. As a manager, she is a member of the manufacturing function and a product development team. Susan's firm is likely to be operating under which of the following structural forms?

In a typical control system, which of the following actions is taken after variances are discovered between performance and established goals and standards?

If a firm's leaders are using a functional structure but feel it is becoming too complex as the company experiences growth, the leaders can turn to:

Organization architecture is the totality of a firm's organizational arrangements, including its formal organizational structure, controls systems, incentive systems, organizational culture, organizational processes, and human capital.

Natalie and Shay are both employees at RightTool, Inc. The marketing manager often meets with Shay, the production manager, to solve specific mutual problems. This is an example of:

Flat organizational structures are less flexible and tend to resist change.

In a multidivisional structure, corporate managers can compare the performance of one division to another in terms of its cost structure or the profit it generates.

When differentiation through innovation is high and environmental change is high, the best strategy is a matrix structure with very high integration.

In a business with a matrix structure and a high degree of integration, this dynamic environment calls for bureaucratic controls to be used for financial budgets and output controls to be applied to the different functions and to cross-functional product development teams.

Company Zeta is a company that hires employees based on their ability to fit into the ten core values of the company. There is a team dedicated to setting up fun events, lunches and programs. Employee team building is stimulated through the group cleaning of communal spaces and random group lunches with employees from different teams within the company. These strategies are an example of addressing which of the following?

Which of the following is responsible for the establishment and maintaining of organizational culture?

In a typical control system, after performance is compared to established goals and standards, next actions are different depending on whether the performance meets the goals and standards or there is variance between performance and established goals and standards.