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Exam 8: Adapting Organizations to Todays Markets

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Question 61

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Fairview Community College is a multi-district college with four campuses.Each campus has one president,two vice presidents,five deans,12 department chairs,over 100 faculty members,and several persons in support roles.The presidents from each campus report to four vice-chancellors and the vice-chancellors report to the chancellor.It is clear that Fairview has a well-defined ____________.

A) channel of academic culture
B) chain of command
C) responsibility environment
D) bureaucratic reallocation

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

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Question 62

True/False

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Barclay developed two interactive computer games.He didn't do it entirely alone.Last year he started a small company,hired two programmers,and a marketing graduate.He considers himself a cutting-edge kind of guy and wants to position his company the same.Soliciting your advice as to how he should structure his organization as he moves forward,you suggest that he hire a few potential customers to join his team of employees as product testers.And,maybe he should solicit globally.The structure you have described would simulate a line and staff organization. Including potential customers on a work team simulates a cross- functional self-managed team.

A) True
B) False

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Question 63

True/False

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Networking uses communication technology to link organizations allowing them to work together on common objectives.

Alicia dreams of opening her own restaurant and knows that she will need to organize her business.Organizing begins with determining the work to be done. Organizing,also known as adding structure to the business begins with determining what work needs to be done and then dividing up tasks among the employees.

Which of the following positions would be classified as a staff position?

HairTrend,a cosmetology trade publication,utilizes the resources of other organizations as needed.Business relationships are temporary and flexible.HairTrend is a networked organization made up of replaceable firms that join the network and leave it as needed.This unique organization is an example of:

In open organizations the informal organization can be:

The driving force behind the change in business organizations is the change in consumer expectations.

Which of the following is considered to be an advantage of functional departmentalization?

All organizations have two organizational systems:

As indicated in the Spotlight for Small Business box titled,"Keeping that Small- Company Feeling," water cooler talk,idea brokers,and other informal ways of collecting creative ideas are proving to be good strategies for large companies. Companies that want to maintain that small-company feeling are promoting ways within their firms to get employees to talk with each other informally.Some companies have installed programs and internal social networks to generate discussion of creative ideas.

Samad accepted a managerial position at City Bank.In order to be more effective in his new position,he should try to learn who the important people are in City's informal organization. Important people within a firm's informal organization can be very helpful at teaching new employees the "ins and outs" of how to operate effectively within the organization.

Flat organizations have fewer managers.

Departmentalization by function allows employees opportunity to further develop their skills.

The formal organization of a firm provides the lines of authority to follow in routine situations.

Max Weber favored which of the following?

Fayol's principle of the division of labor says that functions should be divided into areas of specialization such as production,marketing,and finance.

The degree to which an organization allows lower level managers to make decisions determines the degree of decentralization.

As a manager of a retail clothing store,Lance favors detailed job descriptions,formal rules and regulations,detailed records,and standardized procedures.He also believes that staffing and promotion decisions should be based strictly on the qualifications of the people under consideration.Lance's attitudes suggest that he is strongly influenced by the ideas of:

To better organize his landscaping business,Frank divides each job into several parts.One part is excavation and removal of old landscaping,the next part is design,followed by purchasing,and the last part is installation of new plants.If he assigns a different employee to each part,this action would be an example of departmentalization. Departmentalization is the creation of functional units of a business.The jobs described in this question would all fall under the production department.Other departments in Frank's business may include marketing,sales,and accounting.By asking different employees to perform different tasks relating to a particular job,Frank is creating division of labor within his company,and/or specialization.