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Narrow spans of control increase the speed of decision making.

A) True
B) False

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The major advantage of the virtual organization is its ________.


A) decentralized structure
B) ability to enhance role clarity
C) flexibility
D) highly departmentalized structure
E) ability to minimize organizational politics

F) B) and D)
G) D) and E)

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A virtual organization lacks flexibility.

A) True
B) False

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A manufacturing manager organizes a plant into engineering, accounting, manufacturing, personnel, and supply specialists departments. This division of an organization into groups according to work functions is an example of ________.


A) social clustering
B) bureaucracy
C) specialization
D) centralization
E) departmentalization

F) B) and D)
G) A) and E)

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Describe the various ways in which the negative impact of downsizing can be minimized.

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Companies can reduce negative impacts by...

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The more scarce, dynamic, and complex the environment, the more organic a structure should be.

A) True
B) False

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Who coined the term "boundaryless organization"?


A) Steve Jobs
B) Jack Welch
C) Henry Mintzberg
D) Bill Gates
E) Frederick Herzberg

F) C) and D)
G) B) and C)

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You are interested in explaining the different types of organizational designs to students of basic management. These students need to know the advantages and disadvantages of each structure as well as the structure's characteristics. You extol the virtues and benefits of standardization. You are probably promoting the ________.


A) matrix structure
B) virtual organization
C) bureaucracy
D) team structure
E) simple structure

F) None of the above
G) All of the above

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The Acme Products case study notes that the senior management at Acme is concerned because the company takes so long to bring new products to the market. Which of the following approaches would your trainees identify as the most likely solution to resolve this problem?


A) reducing the use of cross-functional work teams
B) decentralization of the decision-making process
C) decreased work specialization
D) decreased formalization of policies and procedures
E) reduced diversity within the company's work force

F) B) and D)
G) A) and C)

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What is departmentalization?

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The basis by which jobs are grouped toge...

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AgriProducers provides services related to the testing of soil and crops. It also provides advice to its customers for improving the productivity of the soil and the quality of the crops. It has customers all over the United States. The crops and soil are different in the various large areas of the nation, such as the west coast and the midwest. Which type of departmentalization would be best for AgriProducers?


A) functional
B) process
C) product
D) geographic
E) temporal

F) A) and C)
G) A) and E)

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In a boundaryless organization, how does management flatten the hierarchy and minimize status and rank?


A) by eliminating cross-hierarchical teams
B) by removing vertical boundaries
C) by discouraging participative decision-making practices
D) by dividing jobs into small standardized tasks
E) by enforcing the chain of command

F) C) and D)
G) A) and B)

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You are the CEO of Apex Systems. You have decided to hire other organizations to perform many of the basic functions of your business. You have hired an accounting firm to keep your records, a recruiting firm to handle human resource functions, and a computer firm to handle all records. To keep costs down, you are looking for other areas in which to outsource operations. You have chosen to operate your business as a ________.


A) matrix organization
B) virtual organization
C) highly centralized organization
D) boundaryless organization
E) bureaucracy

F) A) and C)
G) D) and E)

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Chain of command is a key element of an organization's structure. Which of the following key questions is addressed by this element?


A) How many individuals can a manager efficiently and effectively direct?
B) To whom do individuals and groups report?
C) On what basis will jobs be grouped together?
D) To what degree are activities subdivided into separate jobs?
E) To what degree will there be rules and regulations to direct employees and managers?

F) A) and D)
G) A) and B)

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You describe to your students a new committee within the university that brings together specialists from all different departments to develop a new interdisciplinary program. The structure of the committee best meets the definition of the ________.


A) matrix structure
B) simple structure
C) boundaryless organization
D) virtual organization
E) bureaucracy

F) C) and D)
G) None of the above

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While observing the departments in his division, Matthew notices that some managers with wide spans of control seem to perform more effectively than other managers with similarly sized spans of control. Which of the following statements is most likely to be true regarding the high-performing managers?


A) These managers are paid higher salaries than the low-performing managers.
B) These managers have eternal locus of control.
C) The employees within their departments tend to compete to reach productivity goals, which boosts performance.
D) The employees within their departments score high on agreeableness.
E) The employees within their departments are highly skilled and very knowledgeable about their jobs.

F) A) and E)
G) All of the above

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Which of the following is typically a characteristic of the mechanistic model of organization?


A) low formalization
B) rigid departmentalization
C) decentralized management
D) wide spans of control
E) low specialization

F) A) and D)
G) A) and E)

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All of the following are negative impacts of downsizing on organizational performance, except ________.


A) increased sickness absences
B) lower concentration on job
C) lower wage costs
D) less commitment to the organization
E) lower creativity

F) A) and E)
G) A) and D)

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Matthew is a new divisional manager. In reorganizing his division, he must make some decisions regarding the span of control for management within his division. The question of span of control determines ________.


A) the employee grievance policy of the organization
B) the number of levels and managers an organization has
C) where decisions are made
D) how jobs will be grouped
E) how employees will be compensated

F) B) and E)
G) None of the above

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A ________ is consistent with recent efforts by companies to reduce costs, cut overhead, speed up decision making, increase flexibility, get closer to customers, and empower employees.


A) wider span of control
B) high degree of formalization
C) longer chain of command
D) lack of work specialization
E) high degree of centralization

F) A) and D)
G) D) and E)

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