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Exam 9: Adapting Organizations to Todays Markets

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Question 101

Multiple Choice

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Which of the following was created as an answer to the temporary nature of the matrix structure?

A) Line organizations
B) Self-managed teams
C) Line and staff organizations
D) Network organizations

E) B) and C)
F) A) and B)

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Question 102

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Staff personnel perform functions that contribute directly to the primary goals of the organization,such as production and marketing.

A) True
B) False

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Question 103

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Employees with the formal authority to issue orders,make policy decisions,and enforce discipline are classified as:

At the Montell Company,functions are divided into areas of specialization such as production,marketing,accounting,and finance.This type of organization reflects Fayol's principle of:

All of the following are common responses of employees when faced with change except:

Max Weber's principles of organization were similar to those of Henri Fayol.

While staff personnel have the authority to make policy decisions,line personnel have the authority to advise and make suggestions.

The division of labour and specialization often improves an employee's job performance.

A firm's informal organization refers to the structure that identifies the authority,responsibility,and position of people within the organization.

Novachek,Inc.is a large and bureaucratic firm with many layers of management and formal rules and regulations.The company is losing many of its customers to smaller and more flexible rivals and is currently struggling for survival.Joe has just been hired as Novachek's new CEO,and his most pressing concern is to turn around the struggling company.Joe's best approach to dealing with this type of organization is probably to:

It is relatively expensive to maintain a tall organization structure.

A bureaucratic style of organization is slow when responding to change.

As the head of the marketing department,Jody works with her subordinates on complex and challenging projects.The level of detail in this work requires Jody to spend a significant amount of time with her subordinates providing advice and support.Within the marketing department,Jody probably has a(n) ________ span of control.

Joe,a production engineer at Freestone Tires,has recently been assigned to a team of specialists from other areas,such as marketing and finance.His semi-permanent assignment to this team has produced several new products.Joe enjoys this work environment,in part because Freestone's management has given the team the freedom and flexibility to make decisions.An interesting development has been the inclusion of "outsiders" from Freestone's major distributors and suppliers on the team.It appears that Joe's team is a(n) :

The matrix organizational structure violates the principle of one employee reporting to one boss.

In a bureaucratic organization:

All of the following are advantages of the matrix organizational structure except:

A firm's formal organization would be better suited than its informal organization to:

The informal organization is best suited for reasoned decision making on big issues.

Organizations that utilize departmentalization benefit from improved communication between their different departments.