Exam 7: Organizing the Business Enterprise

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Bigbucks Bank has separate departments for consumer loans and commercial loans. It is departmentalized by

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As part of your annual physical, you notice that while at the hospital you'll be sent to the x-ray, to the lab for blood workups, to another department for stress testing, and so on. You realize that since each test requires different equipment and worker skills, the hospital is departmentalized by

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Samantha Grant is the CEO of Ace Products, a manufacturer of copiers, printers, and fax machines. Its customers fall into four groups: hospitals, small businesses, airlines, and provincial/local governments. The organization chart shows vice-presidents of manufacturing, finance, and marketing, but a management consultant recommends that Ace Products use a divisional structure. How might a divisional structure benefit Ace Products?

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List three factors that may affect a manager's span of control.

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Why are "department stores" so named?

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Which statement about organizational structure is true?

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Why do some companies adopt a truly global structure?

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Employees with specific areas of expertise like accounting, law, and human resources, are usually given ________ authority, while managers of areas like production, finance, and marketing are usually given ________ authority.

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What is the difference between specialization and departmentalization?

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Department stores like Hudson's Bay are most likely to departmentalize by

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What is accountability?

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Tarnopol Learning Services (TLS) offers tutoring to high school students, college students, and adults returning to school. TLS also bids on government-sponsored contracts. TLS's major product offerings include academic tutoring, standardized test preparation, and admissions consulting. Its operations spread over many geographic regions. Currently, the company is deciding whether it should change from its current approach of organizing by geographical area. A senior manager has predicted that if TLS is not profitable this year and fails to develop any new products, the company will switch to either a functional approach or a product approach. Which of the following, if true, would strengthen the argument that TLS should change its organizational structure?

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An international company that has organized itself by areas such as North America, Europe, Pacific, and South America is departmentalized by

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When Ford executives announced changes intended to eliminate corporate bureaucracy, speed decision making, and improve communication and working relationships among people at different levels of the organization, these changes were examples of the ________ function of management.

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List the three forms of authority.

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Centralized organizations usually have wide spans of control with a lot of delegation taking place.

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Which of the following best describes authority?

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Which of the following would have staff authority in a manufacturing firm?

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What type of authority is held by specialists in areas such as law, accounting, and human resource management?

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The term "span of control" refers to

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