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Cross-functional teams work best when the "voice of the customer" is brought into organizations.

A) True
B) False

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The basic idea behind the organization design of Fayol and Weber was that management wanted to control workers.

A) True
B) False

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The cross-functional team concept has resulted in lots of unhappy employees because less than 25% of employed workers do favor working with others.

A) True
B) False

Correct Answer

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

A) True
B) False

Correct Answer

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

A) True
B) False

Correct Answer

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The organizational structure of the U.S.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(n) :


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

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

Correct Answer

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The informal organization of a business can help generate creative solutions and inspires teamwork and camaraderie.

A) True
B) False

Correct Answer

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The __________ is the system of relationships that develop spontaneously as employees meet and form power centers.


A) informal organization
B) bureaucratic structure
C) secondary organization
D) formal organization

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

Correct Answer

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Julio is the owner of Celebration,Inc.a small party supply company.The company provides tents,tables,chairs,and related paraphernalia for wedding,Bar Mitzvah,Bot Mitzvah,graduation,birthday,and other celebratory events.As sales have increased,the organization has hired more personnel and departmentalized to more efficiently handle purchasing,sales,service,and accounting.Everyone is still responsible for achieving company goals.Upon seeing Celebration's organization chart,you agree it uses a ______________. Julio is the owner of Celebration,Inc.a small party supply company.The company provides tents,tables,chairs,and related paraphernalia for wedding,Bar Mitzvah,Bot Mitzvah,graduation,birthday,and other celebratory events.As sales have increased,the organization has hired more personnel and departmentalized to more efficiently handle purchasing,sales,service,and accounting.Everyone is still responsible for achieving company goals.Upon seeing Celebration's organization chart,you agree it uses a ______________.   A)  line organization model B)  line and staff organization model C)  matrix organization model D)  cross-functional team organization model


A) line organization model
B) line and staff organization model
C) matrix organization model
D) cross-functional team organization model

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

Correct Answer

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When employees are self-managed,a company can implement a wider span of control.

A) True
B) False

Correct Answer

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In a line organization,there are many specialists who serve as advisors and assistants to the managers who make decisions.

A) True
B) False

Correct Answer

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

A) True
B) False

Correct Answer

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Due to the competitive nature of companies that compete for the same customers,cross-functional teams never consist of individuals from more than one firm.

A) True
B) False

Correct Answer

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The line of authority that moves from the top of a hierarchy to the lowest level is called the:


A) chain of logic.
B) chain of command.
C) organizational design.
D) delegation of contingent authority.

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

Correct Answer

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A recent trend in organization models is the development of cross-functional,self-managed teams of employees who work together on a long-term basis.

A) True
B) False

Correct Answer

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An informal organization can be a valuable asset to managers attempting to create an environment of harmony among workers and establish the corporate culture.

A) True
B) False

Correct Answer

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A bureaucracy is an organization with many layers of managers who set rules and regulations and oversee all decisions.

A) True
B) False

Correct Answer

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A serious disadvantage of the matrix organization is the temporary nature of the teams.

A) True
B) False

Correct Answer

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______________ organizations are characteristic of many layers of management and function with well-defined rules and procedures.


A) Matrix
B) Inverted
C) Ordered
D) Bureaucratic

E) B) and C)
F) A) and B)

Correct Answer

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An advantage of a line-and-staff organization is that it provides people that advise and assist line managers as they perform their jobs.

A) True
B) False

Correct Answer

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