Exam 13: Designing Organizational Structures

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_____ is the degree to which organizations standardize behavior through rules, procedures, formal training, and related mechanisms.

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ABC Production ABC Production, a consumer products firm with a functional structure, is expanding from a single product line into several diverse product groups, with most sales within one country.What form of departmentalization should it eventually adopt to manage the new conditions most effectively?

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Dividing work into more specialized jobs:

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One of the main forces pushing organizations toward a matrix structure is the recognition that an organization has only a few core competencies.

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Most organizations begin with centralized structures and become more decentralized as they grow larger and divide work into more specialized functions.

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Food4U Food4U, a wholesale grocery business, operates in one city and provides one service - stocking retailers with fresh produce.The company wants to ensure that employees develop expertise in their skill specialization and that these specializations are used efficiently.What form of departmentalization would be most appropriate here?

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A problem with the team-based organizational structure is that employees may experience more stress due to ambiguity of their roles.

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Distinguish between simple and complex environments.Which element of organizational structure best suits a complex environment?

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Organizations tend to become less formalized as they age and grow larger in terms of the number of employees.

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Define span of control and distinguish between narrow and wide span of control.

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One problem with a functional structure is that:

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Formalization in organizational structures tends to:

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One of the main advantages of network structures is that they ensure the core organization has a high degree of control over production, marketing and other functions.

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A mechanistic structure is decentralized, has a wide span of control and little formalization.

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The more integrated its environment, the more an organization would benefit from a divisionalized form of departmentalization.

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For which type of environment should organizations adopt an organic structure?

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Larger organizations:

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Organizational strategy influences both the contingencies of structure and the structure itself.

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Mechanistic structures operate better in stable environments than in rapidly changing environments.

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Span of control, centralization, and formalization together form a cluster around two broader organizational forms called:

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