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Exam 9: Structuring Organizations for Todays Challenges

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Question 31

True/False

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Molly,who works on the production line at Holiday Industries,has just been talking to a friend of hers in the marketing department during a coffee break.During the conversation Molly picked up a rumour that one of the managers in accounting is about to be fired.She is eager to see if other friends at Holiday know any more about the situation.This flow of information is an example of Holiday's grapevine in operation.

A) True
B) False

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Question 32

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The organizational structure of the Canadian Army's 1st Infantry Division provides for direct two-way lines of responsibility,authority,and communication running from the top to the bottom.Additionally,each person in the division reports to only one superior.The 1st Infantry Division is clearly an example of a:

A) functional organization.
B) matrix organization.
C) line organization.
D) service organization.

E) None of the above
F) A) and D)

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Question 33

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Max Weber's organizational theories require an educated work force to operate efficiently.

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

The widely shared values within an organization that provide coherence and cooperation to achieve common goals is known as the:

The informal organization of a business can help generate creative solutions to short-term problems.

Fayol's ________principle states that each worker should report to one,and only one,boss.

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

Alleta Publishing Company,Inc.is considering the use of cross-functional teams.In order to be most effective,Alleta should include customers and suppliers as members of the teams.

The Internet makes real time availability of data possible.

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

TQM focuses on the customer.

Bureaucracy does not work well in any business today.

An organization with only a few layers of management is known as a:

Flat organization structures can be highly responsive to customer demands.

In an organization characterized by decentralized authority,top management delegates decision-making authority to middle and supervisory management.

The line organization is common among very small companies.

Matrix organizations bring together specialists from different parts of the firm to work on specific projects.

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

Matrix organization structures provide for more efficient use of organizational resources.