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A consumer products firm with a functional structure is expanding from a single product line into several diverse product groups, with most sales within one country.What form of departmentalization should it eventually adopt to manage the new conditions most effectively?


A) Divisional geographic structure
B) Network structure
C) Matrix structure
D) Divisional product structure
E) Keep the functional structure

F) A) and B)
G) A) and E)

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Which of the following are contingencies of organizational design?


A) Technology.
B) Organizational size.
C) Organizational environment.
D) All of these are contingencies of organizational design.
E) Only organizational size and environment are contingencies of organizational design.

F) A) and E)
G) A) and D)

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Decentralization is the preferred strategy for organizations in simple, integrated (one market) and hostile environments.

A) True
B) False

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False

Which of these statements about team-based organizational structures is FALSE?


A) Team-based structures have very little formalization.
B) Team-based structures make extensive use of formal hierarchy as a coordinating mechanism.
C) Team-based structures improve communication and cooperation across skills and areas of expertise.
D) Team-based structures are usually more responsive and flexible than functional structures.
E) Team-based structures are usually found within larger divisionalized structures.

F) A) and D)
G) D) and E)

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For many years, Quokka Consumer Corp has had a geographic divisionalized organizational structure.The company is now rethinking the appropriateness of this structure compared to other divisionalized structures.Describe the two other divisionalized structures that Quokka can consider adopting and explanation two reasons why Quokka might want to move away from the geographic structure.

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To answer this question, students first ...

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A team-based organizational structure has:


A) a very flat organizational hierarchy.
B) very little formalization.
C) extensive use of self-directed teams.
D) all of the above.
E) 'B' and 'C' only.

F) A) and C)
G) B) and C)

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Mechanistic structures operate best in stable environments.

A) True
B) False

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Dividing work into more specialized jobs tends to:


A) increase training costs.
B) reduce work efficiency.
C) reduce the opportunity to match people with appropriate jobs.
D) do all of the above.
E) do none of the above

F) B) and D)
G) B) and E)

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Standardizing processes is less effective in non-routine and complex work.

A) True
B) False

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Which organizational design element determines who shares resources and encourages coordination through informal communication?


A) Span of control
B) Formalization
C) Centralization
D) Departmentalization
E) None of these

F) All of the above
G) A) and B)

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D

Concurrent engineering can be used to encourage informal communication as a coordinating mechanism.

A) True
B) False

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One problem with the team-based organizational structure is that employees may experience more stress due to ambiguity of their roles.

A) True
B) False

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A wider span of control is possible where:


A) employees manage themselves rather than being coordinated through close supervision.
B) the company has a high degree of formalization and operates in a complex environment.
C) the organization has few employees and a tall hierarchy.
D) all of these conditions exist.
E) none of these conditions exist.

F) B) and C)
G) C) and E)

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The idea that an organization interacts with its environment (rather than being totally determined by it) is summed up in the phrase:


A) structure follows strategy.
B) feasibility breeds analyzability.
C) coordination through standardization.
D) strategy follows structure.
E) analyzability before feasibility.

F) B) and E)
G) B) and D)

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The number of layers in an organization's hierarchy depends on the number of people employed and the average span of control.

A) True
B) False

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When work activities are too complex to standardize through procedures or goals, companies often coordinate work effort:


A) through direct supervision.
B) by extensively training employees.
C) by giving one employee most of the tasks previously divided among many people.
D) through further division of labor.
E) through formal hierarchy.

F) C) and D)
G) None of the above

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Some matrix structures typically overlay a divisional structure with a functional structure to gain the benefits of both.

A) True
B) False

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The textbook states that all organizational structures include the division of labor and coordination of that labor.What do these mean and how does departmentalization contribute to these fundamental requirements?

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Division of labor refers to the subdivis...

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A problem with the divisional organizational structure is that it does not allow the organization to grow within that structure.

A) True
B) False

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False

When work is divided among people, a coordinating mechanism is needed to ensure that everyone works in concert.

A) True
B) False

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