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Exam 7: Creating a Flexible Organization

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Question 1

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Each rectangle in an organization chart represents a relationship within the organization.

A) True
B) False

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Question 2

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Adam Smith, author of The Wealth of Nations, is widely credited with being the first person to emphasize the power of specialization.

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If a new company desires to departmentalize in a way that will simplify supervision and facilitate coordination, it will most likely departmentalize by

Committees and task forces represent ____ groups within an organization, whereas employee bowling teams and gatherings represent ____ groups.

The number of subordinates reporting directly to one manager is called

An organization in which management consciously attempts to spread authority to the lower organizational levels is said to be centralized.

In which of the following types of organizations would managers have the greatest opportunity for advancement?

The matrix organizational structure facilitates greater communication between employees.

Through informal talks with employees, managers realized employees thought their plant would close, resulting in massive layoffs. A few were already seeking other employment. The managers responded promptly and aggressively to this rumor, assuring employees of the health of the corporation and the reasonable security of their jobs. Your managerial know-how tells you that these managers are attempting to

A manager with few subordinates is said to have a

Generally speaking, a narrow span of management implies that the height of the organization will be ____; a wide span of management implies that the height of the organization will be ____.

Human resources is a(n) ____ type of job, so it does not fit directly into the chain of command.

Why is job specialization needed?

A computer manufacturer is first divided into the following groups: Home Office/Personal Use, Small Business, Large Business, and Educational Institutions. Within each of these divisions, management is organized into finance, operations, marketing, and human resources. This company is organized first by ____, then by ____.

Joel Green has been working at The Bicycle Superstore for about two weeks. This morning he noticed that the store's inventory on bicycle tire repair kits is out, but he is unsure of whom he should report to for approval to place an order for more kits. Joel is unclear about the

Grouping the United States into the Northeast Region, the Northwest Region, the Southeast Region, and the Southwest Region would be departmentalization by

All of the following are reasons for a narrow span of management except

When authority is concentrated at the top level of management, the organization is said to be decentralized.

Target has several layers of management in between the entry-level management position and CEO. This implies that the span of management for each manager is relatively narrow and the organizational height of Target is tall.

A committee was organized at Xerox to study the company's hiring, promotion, and compensation policies. The group will review corporate procedures in these areas for the next six months and disband thereafter. This type of committee is referred to as a(n)