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Exam 8: Structuring Organizations for Todays Challenges

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Question 131

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A weakened corporate image is one of the disadvantages of a decentralized business organization.

A) True
B) False

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Question 132

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Inverted organizations define the role of front-line employees as those workers who follow the orders of top and middle management.

A) True
B) False

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Question 133

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Max Weber used the term ________ to describe middle managers whose job was to implement the orders of top management:

Competitive benchmarking rates an organization's products and operations against the industry average.

Fayol believed that the amount of decision-making power vested in top management should be the same in all situations.

Some firms use a combination of departmentalization techniques.

An advantage of a line-and-staff organization is that it provides people that advise and assist line managers as they perform their jobs.

Outsourcing has become commonplace,particularly when organizations want to focus on core competencies.

Heather works as a sales representative for the Westerly Company.She really enjoys working for Westerly,because the company treats her and other sales representatives as highly valued employees.Sales reps at Westerly are given freedom and flexibility in their relationships with customers.While there are only a few layers of management at Westerly,Heather has found that these managers try their best to support and assist her efforts.Based on Heather's experience,it appears that Westerly is an) :

The matrix organization model brings together experts from different functional units of the firm to work on specific projects.

In a bureaucratic organization:

Most companies are no longer self-sufficient or self-contained.

Dividing the required work among a group of employees is called:

The optimum number of subordinates a manager should supervise is referred to as the span of control.

A flat organizational structure is designed to be more responsive to the needs of management.

Which of the following describes an environment in which data is instantly available via the Internet to organizational partners?

Staff positions in an organization:

Weber promoted the idea of the pyramid-shaped organization structure for large businesses.

Joel,an employee of the engineering department,was temporarily assigned to work with specialists from other departments to develop a new product.Upon completion of this project,Joel returned to his position in the engineering department.This arrangement illustrates the use of a cross-functional team.

The functions that a company can perform as well as or better than anyone else in the world are known as that firm's optimized capabilities.