Ch10 Managing Organizational Structure Complete Test Bank

Contemporary Management, 11e (Jones)

Chapter 10 Managing Organizational Structure and Culture

1) Researchers have determined that stable, mechanistic organizational structures are always the most effective.

2) Determining the best choice for organizational structure relies in part on the characteristics of an organization's human resources.

3) Increasing the number and variety of tasks in a given job is likely to increase the degree to which employees behave mechanically.

4) When pursuing a multidomestic strategy, managers are likely to adopt a global geographic structure.

5) A primary feature of a matrix organizational structure is that it creates rigid, simplified reporting relationships among teams and functions.

6) As the hierarchy of an organization becomes taller, the organization may become less flexible.

7) Decentralizing authority empowers employees and allows them to behave in a flexible way even as the organization hierarchy grows.

8) Direct contact and liaison roles provide sufficient coordination when multiple functions or divisions must work together on common goals and problems.

9) Organizational culture is shaped in part by the personal and professional characteristics of people within the organization.

10) Adaptive organizational cultures focus on short-term employment to meet the immediate needs of the business rather than on inspiring employees for growth and change.

11) Organizational ________ is/are the formal system of task and job reporting relationships that determine(s) how employees use resources to achieve organizational goals.

A) design

B) culture

C) structure

D) strategy

E) values

12) Employees at Pinnacle share the belief that every product defect is the responsibility of the entire organization to resolve, regardless of which team may have caused the defect. This shared belief is an aspect of Pinnacle's organizational

A) structure.

B) culture.

C) design.

D) strategy.

E) enrichment.

13) Managers at a start-up company are working to identify the reporting structures and culture that will best enable employees to accomplish the goals of the company as it grows. What process are the managers undertaking?

A) forward vertical integration

B) job enlargement

C) contingency planning

D) job enrichment

E) organizational design

14) What characteristics of an organizational structure and culture are best suited to achieving a cost-leadership strategy?

A) informal, with managers promoting innovation

B) formal, with employees having control over activities

C) formal, with managers incentivizing employee autonomy

D) informal, with managers having control over activities

E) formal, with managers having control over activities

15) To obtain scarce resources given a rapidly changing and uncertain external environment, what would you recommend managers do?

A) Establish restrictive norms to guide employee activities.

B) Centralize authority.

C) Use a mechanistic form of organizing.

D) Maintain control of employee activities.

E) Create an entrepreneurial culture.

16) When considering an external environment with a high level of resources and low degree of uncertainty, managers are most likely to

A) decentralize authority.

B) encourage employee autonomy.

C) cultivate an entrepreneurial culture in the organization.

D) establish norms that emphasize change and innovation.

E) use detailed rules, SOPs, and restrictive norms to govern employees' activities.

17) When an organization is competing in a stable market environment with resources readily available,

A) less coordination and communication are needed among functions.

B) an entrepreneurial culture will be encouraged.

C) managers typically design more flexible organizational structures.

D) authority is likely to be decentralized.

E) lower-level employees are given autonomy to make important operating decisions.

18) A ________ strategy that is aimed at increasing perceived value of goods and services by the customer usually fares best in a more ________ structure and a culture of innovation.

A) low-cost; formal

B) differentiation; stable

C) differentiation; flexible

D) vertical integration; formal

E) low-cost; informal

19) The more complicated the technology that an organization uses,

A) the lesser the need for a progressive culture.

B) the greater the need for a flexible structure.

C) the greater the need for rules, SOPs, and restrictive norms.

D) the easier it is to regulate the technology.

E) the lesser the need for creative problem solving.

20) ________ is the combination of skills, knowledge, machines, and computers that are used to produce and distribute goods and services.

A) Human resources

B) Technology

C) Organizational design

D) Job design

E) Strategy

21) The use of routine technology is

A) ideal for organizations facing unexpected or novel problems regularly.

B) unsuitable for organizations with numerous programmed solutions available.

C) one factor that makes organizational control more difficult.

D) the best choice for a company that uses an organic structure.

E) best suited for organizations that encounter limited new or unexpected situations.

22) Task ________ is the degree to which programmed solutions are available to people or functions to solve the problems they encounter.

A) flexibility

B) specialization

C) autonomy

D) variety

E) analyzability

23) Each day a computer engineer is faced with unexpected or unique problems that require him to take initiative and identify creative solutions not fully addressed in existing procedures. This environment could be characterized as having

A) routine technology.

B) a flexible organizational structure.

C) low task variety.

D) high task analyzability.

E) a formal organizational structure.

24) Employees at a hedge fund company are all highly skilled and demonstrate strong professional values. What would be the best structure for this company?

A) a mechanistic, informal structure between functional groups

B) an organizational hierarchy, with authority concentrated at the top of the organization

C) a behavioral culture, governed by strict rules, SOPs, and norms

D) an authoritative structure, with managers expected to actively monitor and control activities

E) a decentralized organization, where employees are empowered and given autonomy

25) The greater the level of uncertainty in an organization's environment,

A) the more complex its strategy and technologies.

B) the less qualified and skilled its workforce.

C) the less likely employees are to be given autonomy.

D) the more likely managers are to design a mechanistic structure.

E) the more likely the culture is rigid and inflexible.

26) ________ is the process by which managers decide how to divide tasks into a specific division of labor.

A) Job design

B) Job enlargement

C) Span of control

D) Task analyzability

E) Job integration

27) The goal of the job design process is to

A) place employees in specific positions.

B) create an efficient division of labor among employees.

C) reduce the number of roles available.

D) increase the number of tasks performed by each employee.

E) minimize job specialization.

28) Teagan works at a local manufacturing company. Recently, the company decided to reassign some of her responsibilities to a new employee. What impact may this have on the company if Teagan finds her responsibilities too simple?

A) There will be a high employee demand for redesigned roles.

B) It will reduce job monotony.

C) It will reduce efficiency.

D) It will increase the level of performance by all employees.

E) It will increase efficiency, which will lead to overproduction.

29) ________ is increasing the number of different tasks in a given job by changing the division of labor.

A) Job simplification

B) Job enlargement

C) Job enrichment

D) Span of control

E) Job autonomy

30) Enrique noticed that Corey, an automotive technician at his repair shop, seemed bored to be repeatedly performing oil changes, so Enrique gave him the additional duty of repairing tires. This is an example of

A) job simplification.

B) job enrichment.

C) job enlargement.

D) span of control.

E) task analyzability.

31) Judy's manager asked her to take the lead on learning a new software program. He empowered her to engage the necessary team members and develop a proposal on how it could be leveraged. This is an example of

A) job enlargement.

B) job simplification.

C) job enrichment.

D) span of control.

E) task analyzability.

32) To increase the degree of responsibility workers have over their jobs, managers should

A) encourage workers to continue using previously established methods of doing a job.

B) allow workers to monitor and measure their own performance.

C) encourage workers to hone their current skills rather than develop new skills.

D) give workers detailed instructions to help them do their work.

E) encourage workers to turn to their superiors when faced with unexpected situations.

33) The reasoning behind the concept of job enrichment is that

A) increasing workers' responsibility increases their involvement in their jobs.

B) increasing the range of tasks performed by a worker reduces boredom and fatigue.

C) increasing the number of tasks performed by a worker reduces the need for additional human resources.

D) reducing the number of tasks that each worker performs simplifies their jobs.

E) reducing workers' responsibility reduces the work-related stress accompanying their jobs.

34) ________ is the degree to which a position requires a worker to use a wide range of knowledge and abilities.

A) Task identity

B) Task significance

C) Job autonomy

D) Skill variety

E) Job feedback

35) ________ is the extent to which a job requires that a worker perform the necessary activities to complete a job, from the beginning to the end of production.

A) Skill variety

B) Task identity

C) Task significance

D) Division of labor

E) Autonomy

36) An example of task significance would be

A) a worker feeling her job is meaningful because it makes the efforts of the entire team more efficient.

B) a division of labor resulting in an employee owning the production process from the beginning to the end.

C) an employee empowered to decide what tasks are needed and how they will be done.

D) a job requiring the use of a wide range of different skills, abilities, and knowledge.

E) a manager that meets weekly with an employee to provide clear, direct information about employee performance.

37) José works for a company where he is given the freedom to decide how best to carry out the tasks assigned to him. It can be said that José's job has high

A) skill variety.

B) task identity.

C) task significance.

D) feedback.

E) autonomy.

38) Deborah works for a telecommunications company, and she prides herself on the fact that her job duties help keep the emergency service phone line operating, which ultimately saves lives. Deborah's sentiment reflects

A) task significance.

B) task identity.

C) feedback.

D) skill variety.

E) autonomy.

39) Jennie started working as a hostess at a local restaurant one month ago. She feels like she is doing a good job but would like to know what her manager thinks about her performance. What job characteristic is Jennie's role lacking?

A) task identity

B) feedback

C) autonomy

D) task significance

E) skill variety

40) According to Hackman and Oldham's job characteristics model, what type of employee would most likely be satisfied and perform at a high level?

A) an employee focused on a specialized task and not the full production process

B) an employee not expected to learn new skills

C) an employee in an organization where authority is centralized

D) an employee allowed to work in total seclusion

E) an employee responsible for his or her own work outcomes

41) An organizational chart of a company shows vice presidents with responsibility for key areas such as design, manufacturing, sales, marketing, and after-sales support. This reflects a ________ structure.

A) product

B) matrix

C) product team

D) functional

E) market

42) A company's product is very complex, and there is value in having employees develop deep expertise in each aspect of the production process. Which organizational structure would foster deep, specialized knowledge?

A) functional

B) divisional

C) matrix

D) market

E) product

43) A ________ structure simultaneously groups people and resources by function and by product.

A) matrix

B) market

C) product

D) functional

E) divisional

44) Why might an organization choose a divisional structure?

A) to create smaller, more manageable units within the organization

B) to facilitate specialization of skills and knowledge throughout the production process

C) to permanently assign employees to cross-functional teams

D) to group people and resources by function and product simultaneously

E) to enhance feedback processes by establishing dual reporting relationships

45) Right Hand Inc.'s company structure is designed to provide focus to each distinct industry the company serves. This is an example of a ________ structure.

A) geographic

B) matrix

C) product

D) functional

E) cross-functional

46) What would motivate managers to design an organization using a product structure?

A) to empower product teams

B) to have managers develop their skills in each specific product area

C) to understand how differences in products are perceived in different national markets

D) to connect each product team to the specific customers its serves

E) to enable employees to develop deep expertise in production process activities

47) Temp Services has offices in different locations around the country. Each office is self-contained and caters to the needs of the specific region in which it is located. This is an example of a ________ structure.

A) market

B) divisional

C) product

D) functional

E) geographic

48) When managers organize divisions based solely on the type of customer they focus on, they adopt a ________ structure.

A) product

B) geographic

C) market

D) functional

E) product team

49) Maria reports to Jeff. Jeff's team specializes in programming features for mobile phones. Maria is also accountable to Connie, the product team manager, who is responsible for a new device being developed. This is an example of a ________ structure.

A) functional

B) product team

C) customer

D) divisional

E) matrix

50) The term "two-boss employee" is associated with a ________ organizational structure.

A) product

B) matrix

C) geographic

D) functional

E) divisional

51) A ________ structure provides an organization with the most flexibility, but easier to operate.

A) functional

B) product

C) matrix

D) geographic

E) product team

52) As a dietician working for a food company, Nalini is assigned to a team developing a new line of organic snack bars. She reports to both the Nutritional Standards manager and the Organic Snack Bar manager. Nalini's company is utilizing a ________ structure.

A) matrix

B) functional

C) customer

D) product

E) market

53) How is flexibility ensured in the matrix structure?

A) by empowering product teams to make most of the important product decisions

B) by making managers responsible for making most of the important product decisions

C) by focusing groups on specific areas of expertise

D) by connecting geographic regions to every product team

E) by minimizing conflicts between functional and product demands

54) A cross-functional team is a(n)

A) group of employees cross-trained in all tasks required to produce a product.

B) organizational structure in which each type of customer is served by a self-contained division.

C) group of managers brought together from different departments to perform organizational tasks.

D) organizational structure in which each region is served by a self-contained division.

E) organizational structure in which each product line is handled by a self-contained division.

55) The hierarchy of authority in an organization is referred to as its

A) chain of command.

B) integrating mechanisms.

C) span of control.

D) degree of autonomy.

E) management succession.

56) To coordinate the activities of people, functions, and divisions and to allow them to work together effectively, managers must develop a clear

A) product structure.

B) product line.

C) span of control.

D) functional structure.

E) hierarchy of authority.

57) ________ refers to the number of subordinates who report directly to a manager.

A) Chain of command

B) Authority

C) Economies of scale

D) Span of control

E) Autonomy

58) The principle of ________ calls for managers to design a hierarchy with the fewest levels of authority necessary to efficiently and effectively use organizational resources.

A) minimum chain of command

B) unity of command

C) self-managed teams

D) centralization of power

E) dual command

59) In designing the company structure, the managers chose to ________ and gave lower-level managers and nonmanagerial employees the right to make important decisions about how to use organizational resources.

A) minimize their span of control

B) centralized authority

C) minimize the chain of command

D) decentralize authority

E) maximize the chain of command

60) Organizations can increase the flexibility in their hierarchy by

A) decreasing the span of control.

B) increasing the number of levels of management.

C) decentralizing authority.

D) using dual command.

E) decreasing autonomy.

61) Managers increase coordination among functions and divisions by

A) establishing liaison roles.

B) creating more managerial levels.

C) developing a taller organizational structure.

D) reducing the span of control.

E) implementing a mechanistic organizational structure.

62) Managers from multiple functions can come together as part of a ________ to solve a specific corporatewide problem.

A) self-managed team

B) virtual team

C) chain of command

D) task force

E) product team structure

63) Organizational ________ is the shared set of beliefs, expectations, values, and norms that influence how members of an organization relate to one another and cooperate to achieve organizational goals.

A) hierarchy

B) structure

C) design

D) culture

E) intelligence

64) Benito's company operates phone systems in many foreign countries. It has a zero-tolerance policy for paying any incentives or kickbacks to local politicians to smooth the way for necessary building permits. This policy is an example of organizational

A) design.

B) intelligence.

C) autonomy.

D) culture.

E) ethics.

65) Dahlia works for a large company in the petroleum industry. It is a centralized organization with many levels of authority. What best describes the company's organizational culture?

A) Managing by exception is a common practice.

B) Innovation is a priority.

C) Emphasis is placed on obeying authority.

D) Employees may have too much decision-making responsibility.

E) Flexibility is valued.

66) Trisha works for a company where authority is decentralized, and there are only three levels in her chain of command. What best describes the company's organizational culture?

A) It limits empowerment.

B) It rewards cautiousness and minimizing risk.

C) It values obeying authority.

D) It encourages innovation and autonomy.

E) It is relatively rigid.

67) ________ cultures exhibit values and norms that help an organization build momentum and evolve as needed to achieve goals and be effective.

A) Mechanistic

B) Entrepreneurial

C) Inert

D) Normative

E) Adaptive

68) A(n) ________ organizational culture focuses on driving employees to meet immediate business needs without investing in ongoing employee development and long-term job satisfaction.

A) entrepreneurial

B) flexible

C) inert

D) normative

E) adaptive

69) A(n) ________ culture promotes entrepreneurship, empowers employees to make decisions, and motivates them to succeed.

A) mechanistic

B) centralized

C) adaptive

D) normative

E) inert

70) In a(n) ________ culture, employees are happy to take instruction and have little incentive or motivation to perform beyond minimum work requirements.

A) inert

B) entrepreneurial

C) adaptive

D) normative

E) active

71) The culture at Quantum Sound Solutions focuses on empowering its employees and makes use of cross-functional teams. What type of culture is this?

A) ethical

B) mechanistic

C) adaptive

D) normative

E) inert

72) Kendra works for a pharmaceutical company. She directly manages three employees and she reports to a regional manager. Kendra's position is as a(n) ________ manager.

A) executive

B) assistant

C) delegating

D) line

E) staff

73) Lewis is responsible for all installation activities at a large utility company. He would be considered a ________ manager.

A) task force

B) zone

C) assistant

D) line

E) staff

74) Daniella manages a cafe that now offers online ordering and pickup for customers. The number of online orders is increasing, and she is determining how best to allocate tasks among her employees to become more efficient. Daniella is addressing

A) division of labor.

B) job simplification.

C) hierarchy of authority.

D) span of control.

E) job enrichment.

75) The COO at Stevens Distribution asks the top managers to redesign their organization to reduce the number of managers. This will help

A) centralize authority.

B) create a mechanistic structure.

C) maintain an entrepreneurial culture.

D) initiate a tall organizational structure.

E) minimize the chain of command.

76) A pet supply company organized its divisions according to the type of customers they serve. This organization is using a ________ structure.

A) geographic

B) product

C) market

D) functional

E) span of control

77) ________ is a strategy managers can use to increase an employee's level of responsibility to improve his or her interest in the quality of outputs.

A) Job enlargement

B) Job enrichment

C) Span of control

D) Task significance

E) Task identity

78) Bridgette is not a manager but is expected to make important decisions about how to leverage organizational resources. When she needs another perspective, Bridgette consults with her manager. This demonstrates

A) cross-functional team structure.

B) centralized authority.

C) decentralized authority.

D) maximum span of control.

E) minimum chain of command.

79) A large, multidomestic organization recently adopted a geographic structure, with numerous divisions. What mechanism would best increase communication and coordination between divisions in this complex structure?

A) liaison roles

B) task forces

C) cross-functional teams

D) integrating roles

E) ad hoc committees

80) A(n) ________ culture develops an emphasis on close supervision and hierarchical authority.

A) adaptive

B) self-managed

C) inert

D) normative

E) ethical

81) In an inert organizational culture,

A) poor working relationships frequently develop between the organization and its employees.

B) the organization tries to avoid layoffs.

C) the organization emphasizes long-term employment.

D) employees regularly receive rewards for their performance.

E) values and norms help the organization build momentum.

82) When designing an organizational structure in a business with high levels of uncertainty, a(n) ________ structure is best.

A) adaptive

B) job simplification

C) tall organizational

D) mechanistic

E) inert

83) Rosa is assigned new projects to be completed each week. She determines how best to approach each one, only consulting with her manager for project clarification or assistance with road blocks. Rosa's job demonstrates

A) minimal skill variety.

B) high feedback.

C) low task identity.

D) high autonomy.

E) low task significance.

84) Vijay, who works in the marketing department, meets monthly with a colleague from the research department to ensure marketing stays apprised of any potential new technologies. Vijay is performing a(n) ________ role.

A) task force

B) liaison

C) cross-functional

D) chain of command

E) integrating

85) A furniture store's employees have historically held distinct roles in either showroom sales or order processing and fulfilment services. What would be the best strategy for the company to adopt in order to have employees participate in both aspects of the business?

A) job enrichment strategy

B) job simplification strategy

C) self-managed team strategy

D) cross-functional team strategy

E) job enlargement strategy

86) Discuss why different business strategies often call for the use of different organizational structures and cultures.

87) Define the key factors used to characterize technology and describe how the factors determine whether a technology is routine or complicated.

88) Describe three of the factors that must be considered by managers when designing an organizational structure. Explain how each factor contributes to the flexibility of the organization.

89) Differentiate between job enlargement and job enrichment. Describe how each affects the performance of employees.

90) Use Hackman and Oldham's job characteristics model to discuss the desired job attributes for a start-up high technology company that aims to create a motivating, empowering culture with a high-performing workforce.

91) Many organizations choose a divisional structure to enable functions to work better together toward achieving business goals. Demonstrate your understanding of the three forms of divisional structure by providing an example for each form.

92) Discuss the advantages of grouping functions into divisions that focus their efforts on the production and marketing of specific products.

93) What are the advantages and disadvantages of a matrix structure?

94) Explain why an organization may choose to decentralize authority. What are some possible downsides to this approach?

95) Demonstrate your understanding of organizational culture and explain what shapes the culture of an organization.

96) Julian's business is growing and the number of functions and divisions are increasing. He is concerned that the organization is becoming too tall and contains too many managers. What approach would you recommend Julian take for reducing the number of managers? Explain your reasoning.

97) As companies evolve, effective communication and coordination across divisions and functions are essential. Identify three integrating mechanisms and discuss the use of each in terms of complexity.

98) The production process at an appliance assembly plant is very complex. Quality is essential for every step in the production process. In recent days, the product team managers have identified similar problems at each of the various inspection stations. What integrating mechanism would you recommend? Explain your reasoning.

99) Explain how a matrix structure makes the most of human resources.

100) What is task analyzability? How does it relate to decision making, and how does it differ regarding nonroutine and routine technology?