Exam 13: Designing Organizational Structures

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Communication flows in all directions with little concern for the formal hierarchy in:

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A problem with the divisional organizational structure is that it does not allow the organization to grow within that structure.

(True/False)
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Standardizing work through job descriptions and procedures:

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Span of control is interconnected with organizational size and the number of layers in the hierarchy.

(True/False)
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One of the main benefits of formal hierarchy as a coordinating mechanism is that it increases flexibility and responsiveness to customer needs.

(True/False)
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An entrepreneur employs 20 people in a simple structure.However,the company will likely employ over 200 people in production,sales,engineering and administration within a few years due to the growing success of the company's new products.The entrepreneur likes the simple structure and wants to avoid other forms of departmentalization.Explain to the entrepreneur why his company would be more effective through other forms of departmentalization as it grows larger.

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Which coordinating mechanism is typically most important among people working in hospital surgical operations?

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The trend toward flatter organizational structures (delayering)has occurred because this action:

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Functional structures foster professional identity and permit greater specialization than most other forms of departmentalization.

(True/False)
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Organizations move towards a team-based structure by flattening the hierarchy,reducing formalization,and making extensive use of self-directed work teams.

(True/False)
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When work is divided among people,a coordinating mechanism is needed to ensure that everyone works in concert.

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Which of the following is pressuring large global organizations to move from geographically based to more client-based divisionalized structures?

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Larger organizations tend to:

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Employees are most likely to experience empowerment (least likely to experience powerlessness)when the organization has:

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The main reasons why companies are moving toward flatter organizational structures is because it improves coordination through formal hierarchy.

(True/False)
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One problem with the divisional structure is that it increases the risk of duplication and underutilization of resources.

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____________ establishes the chain of command,that is,the system of common supervision among positions and units within the organization.

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Organizations that follow a cost leadership strategy should apply an organic organizational structure.

(True/False)
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For which type of environment should organizations adopt an organic structure?

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Which of these statements about decentralization is FALSE?

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