Exam 11: Organizational Structure and Controls

Discuss the organizational structures used to implement corporate-level strategies.

IKEA is a global furniture retailer with more than 300 outlets in 39 countries and regions.IKEA focuses on lowering its costs as well as understanding customer needs, especially younger ones.IKEA's international strategy is best described as __________, and the appropriate organizational structure to implement this strategy is the __________ structure.

Which of the following is NOT a primary task of the strategic center firm in a strategic network?

Describe the three major types of organizational structure and their appropriate use.

What are the two general types of measures that make up financial controls?

A private university is made up of various "schools," such as the School of Journalism, the School of Business, the School of Law, the School of Arts and Sciences, and so forth.The university is experiencing some financial problems, so the administration has decided to have each school of the university become a profit center.This scheme is somewhat parallel to the __________ organizational structure.

McDonald's operates through a franchising system wherein the head office uses strategic and financial controls to ensure that the franchises are creating the greatest possible value.This is an example of a(n):

The CEO of Transector, Inc., set a 6.5 percent rate-of-return target for all divisions for the past year.Now, at the end of the year, three of Transector's seven divisions have not met this rate-of-return goal.The division managers of these three underperforming divisions have all secretly contacted executive-placement firms to investigate openings at other firms, because they know their future at Transector is in jeopardy as financial performance is all-important at Transector.Transector probably uses the __________ structure.

To effectively use strategic controls in firms using related diversification strategies, the executives must have a deep understanding of the business-level strategies being implemented within individual strategic business units.

Typically, an organization using a simple structure would be:

Organizational structures must be both stable and flexible.

Which of the following multidivisional structures is CORRECTLY paired with the appropriate corporate-level strategy?

The __________ structure is the most appropriate structure for implementing the integrated cost leadership/differentiation strategy.

What type of organizational structure is best suited for a firm that pursues an unrelated diversification strategy, and why?

The fewest integrative devices are used in the __________ structure.

Successful implementation of the differentiation strategy requires a structure that:

A multidomestic strategy would be associated with:

If an analysis were to show that a firm is benefitting from internal competition, it is probably using what type of strategy?

Specialization refers to the extent to which decision-making authority is retained at higher managerial levels.

Research has consistently shown that there is one best way to structure all organizations, regardless of competitive strategy.