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Exam 8: Structuring Organizations for Todays Challenges

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Question 91

True/False

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As organizations grew,the use of Fayol's principles led to rigid organizations that didn't always respond quickly to consumer requests.

A) True
B) False

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Question 92

Multiple Choice

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Gangsta Industries produces a variety of anti-crime and safety products such as burglar alarms,smoke detectors,surveillance cameras,and specialty locks.Gangsta sells to households,businesses,and government agencies.They have found that each market requires a different marketing strategy.Gangsta would probably benefit from departmentalization by:

A) function.
B) process.
C) customer type.
D) market opportunities.

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

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Question 93

Multiple Choice

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Empowering employees to better serve customers requires __________ front-line employees.

Ben was confident that sports fans would fill the seats in his brewery restaurant after major league baseball games if they just knew about the place - after all,he offered convenience,easy walking distance,great local talent for entertainment and several fresh premium brews.He decided to join social networks such as Twitter and Facebook,and offer wireless services and lunch for afternoon customers.These are worthy strategies for reaching digital natives.

Antonio works in the accounting department of a large firm.This is an example of Fayol's division of labor concept.

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

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

Most businesses adopt a bureaucratic organization in order to speed up their decision making process.

Rapid Response Security Firm,a company that provides on-site security services for malls and other retail environments needs to review current procedures used by its professional officers to make certain they are in compliance with new laws.On crucial issues such as this,it is more important to gather information through the informal organization,as opposed to the formal organization.

The purpose of a division of labor and specialization is to improve an employee's job performance.

One key to organizational success is to go back to basic principles and build the business on a sound foundation.

According to Fayol's principle of Authority,if you have authority you also have responsibility.

Organizations that utilize functional departmentalization benefit from improved communication between departments.

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

When we experience economies of scale this means that as production levels rise we make more of something),the cost of supplies and cost of labor that goes into the production,goes down.

Managers near the top of an organization have the broadest span of control.

Gary was a politically savvy employee who had worked for his company for several years.After several promotions,he emerged as the new president of the company.Grace,a colleague of Gary's who reported to him when he was a first-line supervisor,understood how the human side of the organization worked and made certain that she maintained a direct line of communication with Gary at all times.On the company's organization chart,Grace maintained a lower level position;however,due to her open line of communication with President Gary,she seemed to successfully push her agend A.The human side of the organization is synonymous with the _________________.

Networking requires transparency to work most effectively.

Matrix organizational structures were first developed in:

Economies of scale can be achieved through departmentalization.