Exam 11: Organizational Design: Structure, Culture, and Control

Telescopic Inc., a web development firm, is headed by Rob Dennis, the CEO. Each functional department of the company-marketing, finance, and HR-has a president who reports to the CEO directly. Each department has various managers who manage teams. The managers report to the presidents, and the team leads report to the managers. Finally, the employees at the lowest level report to their team leads. It is rare for a lower-level employee to interact with the CEO of the company. In this scenario, Telescopic Inc. can be said to have a(n)

Free

(Multiple Choice)

4.9/5

(93)

Question 1

Correct Answer:

Verified

A firm that successfully balances exploitation of current opportunities and exploration of future possibilities is considered ambidextrous.

Free

(True/False)

5.0/5

(74)

Question 2

Correct Answer:

Verified

True

Discuss the not-invented-here syndrome with the help of an example.

Free

(Essay)

4.9/5

(88)

Question 3

Correct Answer:

Verified

Student examples will vary. A sample answer follows:
Firms following the closed innovation model are at risk of falling prone to the not-invented-here syndrome: "If the R&D leading to a discovery and a new development project was not conducted in-house, it cannot be good." As documented, the pharmaceutical company Merck suffers from the not-invented-here syndrome. That is, if a product was not created and developed at Merck, it could not be good enough. Merck's culture and organizational systems perpetuate this logic, which assumes that since the company hired the best people, the smartest people in the industry must work for Merck, and so the best discoveries must be made at Merck. The company leads the industry in terms of R&D spending, because Merck believes that if it is the first to discover and develop a new drug, it would be the first to market.

Discuss how a cost-leadership strategy is used with a functional structure.

(Essay)

5.0/5

(85)

Question 4

________ refers to a firm's resistance to change the status quo that can set the stage for the firm's subsequent failure.

(Multiple Choice)

4.7/5

(83)

Question 5

Discuss how a differentiation strategy is used with a functional structure.

(Essay)

5.0/5

(83)

Question 6

As demonstrated by business historian Alfred Chandler in his seminal book "Strategy and Structure," organizational structure must follow strategy. Why?

(Essay)

4.9/5

(74)

Question 7

Cheetah, a web development firm, wants to implement an organic structure to foster innovation and attract the most talented creative minds. Which of the following features will make it difficult to do so?

(Multiple Choice)

4.9/5

(79)

Question 8

W. L. Gore & Associates is organized in such a way that it has no formal job titles, job descriptions, or chains of command. This implies that it has

(Multiple Choice)

4.8/5

(81)

Question 9

When a firm diversifies into different product lines and geographies, a ________ structure is preferred.

(Multiple Choice)

4.8/5

(79)

Question 10

Jen works as a front-line employee for a nationwide retail store. She reports to a floor manager, who reports to a departmental manager, who reports to a regional supervisor, who reports to a vice president, who reports to the CEO. Which of the following best describes this retail store?

(Multiple Choice)

4.8/5

(85)

Question 11

BioCure Inc. is a pharmaceutical company that has many breakthroughs in medicine to its credit. Unlike many other pharmaceutical companies, BioCure has a relaxed work environment where employees are free to discuss projects with each other. Employees are encouraged to choose the projects that interest them; communication between team members and their supervisors is open and easy. Because of the company's work culture, its employees feel motivated to work harder and display more entrepreneurial behaviors. In this scenario, BioCure Inc. is most likely an organization that is

(Multiple Choice)

4.8/5

(86)

Question 12

Which of the following is an advantage offered by a functional structure?

(Multiple Choice)

4.8/5

(69)

Question 13

Which of the following statements is true of organizational culture?

(Multiple Choice)

4.9/5

(60)

Question 14

Which of the following types of groups is most susceptible to groupthink?

(Multiple Choice)

4.9/5

(77)

Question 15

Why does a functional structure rely on a flat organizational structure?

(Multiple Choice)

4.8/5

(69)

Question 16

Why should managers using the M-form organizational structure to support a related-diversification strategy ideally concentrate decision making at the top of the organization?

(Multiple Choice)

4.9/5

(61)

Question 17

Why does a firm use an organic organization combined with a functional structure when implementing a differentiation strategy?

(Multiple Choice)

4.9/5

(72)

Question 18

Turquoise Games relies on its employees to provide innovative ideas for new educational products. To foster intrinsic motivation in its workforce, Turquoise should

(Multiple Choice)

4.7/5

(76)

Question 19

Which of the following accurately describes an organic organization?

(Multiple Choice)

5.0/5

(88)

Question 20

Showing 1 - 20 of 100

A firm that successfully balances exploitation of current opportunities and exploration of future possibilities is considered ambidextrous.

Discuss the not-invented-here syndrome with the help of an example.

Discuss how a cost-leadership strategy is used with a functional structure.

________ refers to a firm's resistance to change the status quo that can set the stage for the firm's subsequent failure.

Discuss how a differentiation strategy is used with a functional structure.

As demonstrated by business historian Alfred Chandler in his seminal book "Strategy and Structure," organizational structure must follow strategy. Why?

Cheetah, a web development firm, wants to implement an organic structure to foster innovation and attract the most talented creative minds. Which of the following features will make it difficult to do so?

W. L. Gore & Associates is organized in such a way that it has no formal job titles, job descriptions, or chains of command. This implies that it has

When a firm diversifies into different product lines and geographies, a ________ structure is preferred.

Jen works as a front-line employee for a nationwide retail store. She reports to a floor manager, who reports to a departmental manager, who reports to a regional supervisor, who reports to a vice president, who reports to the CEO. Which of the following best describes this retail store?

Which of the following is an advantage offered by a functional structure?

Which of the following statements is true of organizational culture?

Which of the following types of groups is most susceptible to groupthink?

Why does a functional structure rely on a flat organizational structure?

Why should managers using the M-form organizational structure to support a related-diversification strategy ideally concentrate decision making at the top of the organization?

Why does a firm use an organic organization combined with a functional structure when implementing a differentiation strategy?

Turquoise Games relies on its employees to provide innovative ideas for new educational products. To foster intrinsic motivation in its workforce, Turquoise should

Which of the following accurately describes an organic organization?

What Is Strategy

Strategic Leadership: Managing the Strategy Process

External Analysis: Industry Structure, Competitive Forces, and Strategic Groups

Internal Analysis: Resources, Capabilities, and Core Competencies

Competitive Advantage, Firm Performance, and Business Models

Business Strategy: Differentiation, Cost Leadership, and Blue Oceans

Business Strategy: Innovation, Entrepreneurship, and Platforms

Corporate Strategy: Vertical Integration and Diversification

Corporate Strategy: Strategic Alliances, Mergers, and Acquisitions

Global Strategy: Competing Around the World

Corporate Governance and Business Ethics

Filters